title-52•Title 52 — State Government, Departments and Officers
# Title 52 — State Government, Departments and Officers
## **Chapter 1**
##### **§ 52:1-1** Trenton seat of government; location of legislative sessions. {#sec-52-1-1 omnilex-key=us-nj-statutes--title-52--52:1-1}
a. Trenton, in the county of Mercer, shall be the seat of the government of this State.
b. All sessions of the Legislature shall be held at Trenton or, on a temporary basis, for ceremonial or commemorative purposes or, notwithstanding section 1 of P.L.1963, c.118 (C.52:1-1.1), by reason of emergency or other exigency, at such other locations in the State as shall be designated by the Legislature by concurrent resolution.
c. During a period of emergency or exigency, as determined by the Governor pursuant to the laws of this State or by the Legislature pursuant to concurrent resolution, the Legislature may use any technology or electronic means
to conduct its business or otherwise carry out its purposes, or
to comply with the requirements of paragraph 6 of Section IV of Article IV or, for the purpose of ensuring the continuity of governmental operations, of paragraph 4 of Section VI of Article IV of the Constitution of the State of New Jersey.
##### **§ 52:1-1.1** Emergency temporary location; proclamation by governor. {#sec-52-1-1.1 omnilex-key=us-nj-statutes--title-52--52:1-1.1}
1. Whenever, due to an emergency or the anticipated effects of such emergency, it becomes imprudent, inexpedient or impossible to conduct the affairs of State Government at the normal location of the seat thereof in the city of Trenton in the county of Mercer, the Governor shall, as often as the exigencies of the situation require, by proclamation, declare an emergency temporary location, or locations, for the seat of Government at such place, or places, within or without this State as he may deem advisable under the circumstances, and shall take such action and issue such orders as may be necessary for an orderly transition of the affairs of State Government to such emergency temporary location, or locations. Such emergency temporary location, or locations, shall remain as the seat of Government until the Legislature shall by law establish a new location, or locations, or until the emergency is declared to be ended by the Governor and the seat of Government is returned to its normal location.
##### **§ 52:1-1.2** Validity of acts performed at emergency temporary location {#sec-52-1-1.2 omnilex-key=us-nj-statutes--title-52--52:1-1.2}
During such time as the seat of Government remains at such emergency temporary location, or locations, all official acts now or hereafter required by law to be performed at the seat of Government by any officer, agency, department or authority of this State, including the convening and meeting of the Legislature in regular, extraordinary, or emergency session, shall be as valid and binding when performed at such emergency temporary location, or locations, as if performed at the normal location of the seat of Government.
##### **§ 52:1-1.3** Contrary or conflicting laws {#sec-52-1-1.3 omnilex-key=us-nj-statutes--title-52--52:1-1.3}
The provisions of this act shall control and be supreme in the event it shall be employed notwithstanding the provisions of any other law to the contrary or in conflict herewith.
## **Chapter 2**
##### **§ 52:2-1** Description of great seal of state {#sec-52-2-1 omnilex-key=us-nj-statutes--title-52--52:2-1}
The great seal of this state shall be engraved on silver, which shall be round, of two and a half inches in diameter and three-eighths of an inch thick; the arms shall be three ploughs in an escutcheon, azure; supporters, Liberty and Ceres. The Goddess Liberty to carry in her dexter hand a pole, proper, surmounted by a cap gules, with band azure at the bottom, displaying on the band six stars, argent; tresses falling on shoulders, proper; head bearing over all a chaplet of laurel leaves, vert; overdress, tenne; underskirt, argent; feet sandaled, standing on scroll. Ceres: Same as Liberty, save overdress, gules; holding in left hand a cornucopia, or, bearing apples, plums and grapes surrounded by leaves, all proper; head bearing over all a chaplet of wheat spears, vert. Shield surmounted by sovereign's helmet, six bars, or; wreath and mantling, argent and azure. Crest: A horse's head, proper. Underneath the shield and supporting the goddesses, a scroll azure, bordered with tenne, in three waves or folds; on the upper folds the words "Liberty and Prosperity" ; on the under fold in Arabic numerals, the figures "1776" . These words to be engraved round the arms, viz., "The Great Seal of the State of New Jersey" .
##### **§ 52:2-2** New great seal; illumination; use of replica in office of secretary of state {#sec-52-2-2 omnilex-key=us-nj-statutes--title-52--52:2-2}
A new great seal of the state, drawn in accordance with the description set forth in section 52:2-1 of this title, shall be certified thereon by the state house commission as being correct, and when illuminated, the colors and tinctures shall conform thereto.
A replica or copy thereof, made on steel, shall be for use in the office of the secretary of state.
##### **§ 52:2-3** Persons authorized to use the Great Seal {#sec-52-2-3 omnilex-key=us-nj-statutes--title-52--52:2-3}
1. The Governor of the State, the head of any principal executive department of the State, the members of the Legislature of the State, the former members of the Legislature of the State as provided in section 2 of P.L.1999, c.374 (C.39:3-27.115), the Justices of the Supreme Court, the judges of the Superior Court, the county prosecutors, county clerks, surrogates and sheriffs, the Secretary of the Senate, the Clerk of the General Assembly and members of the Congress of the United States and each of them, are authorized to use, exhibit and display the Great Seal of the State of New Jersey, in whole or in part, including such use, exhibition and display on their motor vehicle license plates.
##### **§ 52:2-4** Unauthorized use; penalty {#sec-52-2-4 omnilex-key=us-nj-statutes--title-52--52:2-4}
Any person who is not authorized by law to use, exhibit or display the State Seal, who uses, exhibits or displays the Great Seal of the State of New Jersey, in whole or in part, is a disorderly person and upon conviction as such shall be subject to a fine of $50.00.
##### **§ 52:2-5** Unauthorized use upon vehicle license plate; revocation {#sec-52-2-5 omnilex-key=us-nj-statutes--title-52--52:2-5}
Any person who is convicted as a disorderly person for an unauthorized use of the State Seal upon a motor vehicle license plate shall be subject to a revocation of his motor vehicle registration by the Director of the Division of Motor Vehicles in the State Department of Law and Public Safety.
##### **§ 52:2-7** Repealer {#sec-52-2-7 omnilex-key=us-nj-statutes--title-52--52:2-7}
Section 2A:148-23 of the New Jersey Statutes is repealed.
##### **§ 52:2-8** Effective date {#sec-52-2-8 omnilex-key=us-nj-statutes--title-52--52:2-8}
This act shall take effect 30 days after its approval.
##### **§ 52:2-9** Use of reproductions; consent; rules and regulations; violations; penalties {#sec-52-2-9 omnilex-key=us-nj-statutes--title-52--52:2-9}
Notwithstanding any other provision of the law, the Secretary of State is hereby authorized to give written consent to the use of reproductions of the Great Seal of the State of New Jersey in the preparation of commemorative items and for historical, civic and educational purposes. The secretary shall promulgate rules and regulations governing the extent of each such usage to prevent inappropriate or misleading use of the Seal and to assure a high quality reproduction thereof. He shall require every application for such consent to be accompanied by such information and specifications as he shall deem necessary in order to assure compliance with his rules and regulations. Each application shall be accompanied by a $10.00 filing fee and shall be valid for not longer than 1 year from the date of its issuance.
Any person who violates the provisions of this act or the rules and regulations promulgated by the secretary shall be liable to a penalty of $50.00 for each violation. Such penalty shall be collected and enforced in a summary proceeding in accordance with the provisions of the penalty enforcement law, N.J.S. 2A:58-1.
## **Chapter 2A**
##### **§ 52:2A-1** Official colors {#sec-52-2a-1 omnilex-key=us-nj-statutes--title-52--52:2A-1}
The official colors of the State of New Jersey for use on the State Flag and for other purposes shall be buff and Jersey blue.
For the purposes of this act the specifications, references and designations for the official colors of the State are as follows:
Jersey Blue (Cable No. 70087, Royal Blue. The Color Association of the United States, Inc.)
Buff (Cable No. 65015, U.S. Army Buff. The Color Association of the United States, Inc.).
## **Chapter 3**
##### **§ 52:3-1** State flag; color {#sec-52-3-1 omnilex-key=us-nj-statutes--title-52--52:3-1}
The state flag shall be of buff color, having in the center thereof the arms of the state emblazoned thereon.
##### **§ 52:3-2** State flag to be headquarters flag {#sec-52-3-2 omnilex-key=us-nj-statutes--title-52--52:3-2}
The state flag shall be the headquarters flag for the governor as commander in chief, but shall not supersede distinctive flags which are or may be prescribed for different arms of military or naval service of this state.
##### **§ 52:3-3** Display of flag on state house {#sec-52-3-3 omnilex-key=us-nj-statutes--title-52--52:3-3}
A suitable flag shall be hoisted and displayed on the state house flagstaff during the hours when the senate or house of assembly is in session, and on such days as the governor is present at the state house for the transaction of state business in the discharge of his official duty, and it shall be the duty of the custodian of the state house, or such person as shall be delegated to take care of such building, to display such flag during the hours intervening between sunrise and sunset upon all national holidays.
##### **§ 52:3-4** Display of foreign flag unaccompanied by national flag prohibited; exception; violation misdemeanor {#sec-52-3-4 omnilex-key=us-nj-statutes--title-52--52:3-4}
It shall be unlawful to display the flag or emblem of any foreign state or country either on public or private property within this state, unless such foreign flag or emblem be accompanied by a national flag of the United States of America, of at least equal dimensions; but whenever a foreigner becomes the guest of the United States, the state, or any city or municipality, upon the proclamation of the governor or the mayor of any such city or municipality, the flag of the country of which such public guest shall be a citizen may be displayed upon any state, county or municipal building without being accompanied by a national flag as above provided.
Any person violating this section shall be guilty of a misdemeanor, and punished by a fine not exceeding one hundred dollars, or imprisonment in the county jail not exceeding sixty days, or both.
##### **§ 52:3-5** Preservation of historic flags {#sec-52-3-5 omnilex-key=us-nj-statutes--title-52--52:3-5}
All historic battle and other flags of the State displayed in the State House shall be maintained and preserved by the State authority in whose custody they are. Removal of historic battle flags for display elsewhere than in the State House may be authorized by the State House Commission.
##### **§ 52:3-6** Display of state flag {#sec-52-3-6 omnilex-key=us-nj-statutes--title-52--52:3-6}
The State flag may be displayed on all occasions and in such manner as it shall be appropriate and lawful to display the flag of the United States.
##### **§ 52:3-7** Historic flags; repair and preservation {#sec-52-3-7 omnilex-key=us-nj-statutes--title-52--52:3-7}
The Adjutant-General is hereby authorized and directed to provide for the repair and preservation of all historic flags of the State of New Jersey.
##### **§ 52:3-8** American Night on National Flag Day {#sec-52-3-8 omnilex-key=us-nj-statutes--title-52--52:3-8}
The Governor be and he is hereby authorized to name, designate and hereafter cause to be known the period between sundown and midnight of National Flag Day as "American Night."
##### **§ 52:3-9** Findings, declarations {#sec-52-3-9 omnilex-key=us-nj-statutes--title-52--52:3-9}
The Legislature finds and declares that:
a. Over 2,400 Americans, including 64 from the State of New Jersey, who served in the United States armed forces during the war in Indochina are still listed as prisoners of war or missing in action.
b. There is significant evidence that many of these missing American servicemen are still alive and being held against their will in Indochina.
c. This nation is deeply indebted to its servicemen of all wars and conflicts for their courage and sacrifice and should demonstrate its special commitment to the missing men of all wars and conflicts and their families by obtaining the release of those still held prisoner and the fullest possible accounting from the responsible governments of Americans listed as missing.
d. The P.0.W.-M.I.A. flag is an appropriate symbol of the plight of these missing Americans which serves to remind the public of the commitment this nation must have to determining the fate of its servicemen.
e. It is appropriate, therefore, that the P.0.W.-M.I.A. flag should be displayed at public buildings throughout this State in order to increase public awareness of the P.0.W.-M.I.A. issue and to gain public support for the efforts of the United States government to resolve this matter.
##### **§ 52:3-10** P.O.W.-M.I.A. flag display {#sec-52-3-10 omnilex-key=us-nj-statutes--title-52--52:3-10}
The P.0.W.-M.I.A. flag, which depicts a prisoner's profile against the background of a P.0.W. camp watchtower, shall be displayed at public buildings in the State of New Jersey during normal business hours.
As used in this section, "public buildings" means the principal municipal building in each municipality, the principal county building in each county seat and the State House in Trenton.
##### **§ 52:3-11** Flag at half-staff {#sec-52-3-11 omnilex-key=us-nj-statutes--title-52--52:3-11}
The Governor shall, upon receiving timely notification and verification of the death of a New Jersey citizen who has been awarded the Congressional Medal of Honor by an act of the Congress of the United States, direct that the State flag at all public buildings throughout the State be flown at half-staff for a period of one week following the death of such a citizen.
##### **§ 52:3-12** State House flags flown at half-staff; death in line of duty for police, firemen, paramedics, EMTs. {#sec-52-3-12 omnilex-key=us-nj-statutes--title-52--52:3-12}
1. a. The Governor, upon timely notification and verification of the death of a federal, State or local law enforcement officer or firefighter who either works in New Jersey or is a citizen of New Jersey and who died in the line of duty, shall direct that the flag of the United States and the State flag be flown at half-staff for one week at the State House. The flags shall be flown upon an existing flagstaff or flagstaffs or, at the option of the Governor, a flagstaff or flagstaffs erected at an appropriate site, after consultation with organizations representing law enforcement officers and firefighters on the location and design of the flagstaff or flagstaffs.
The flags flown in honor of the deceased law enforcement officer or firefighter shall be presented to the family of that officer or firefighter.
b. The Governor, upon timely notification and verification of the death of a member of a duly incorporated first aid and emergency or volunteer ambulance or rescue squad or association rendering services in a county or municipality of this State or a duly certified mobile intensive care paramedic or emergency medical technician who either works in New Jersey or is a citizen of New Jersey and who died in the line of duty while rendering first aid, ambulance, rescue or emergency medical service, shall direct that the flag of the United States and the State flag be flown at half-staff for one week at the State House. The flags shall be flown upon an existing flagstaff or flagstaffs or, at the option of the Governor, a flagstaff or flagstaffs erected at an appropriate site, after consultation with organizations representing first aid, ambulance, rescue or emergency medical service providers on the location and design of the flagstaff or flagstaffs.
The flags flown in honor of the deceased member, paramedic or technician shall be presented to the family of that member, paramedic or technician.
##### **§ 52:3-12.1** Electronic notification system for flags flying at half-staff. {#sec-52-3-12.1 omnilex-key=us-nj-statutes--title-52--52:3-12.1}
1. The Secretary of State shall create and maintain an electronic notification system in which a person may sign-up to receive automatic notification of when the Governor orders the United States flag and the State flag flown at half-staff. The notification shall include the date and purpose for the flags being flown at half-staff.
##### **§ 52:3-13** Designation of "Honor and Remember Flag." {#sec-52-3-13 omnilex-key=us-nj-statutes--title-52--52:3-13}
1. The "Honor and Remember Flag" is designated as the State's official flag for recognizing all armed service members who have died as a result of serving the United States in any war or conflict the nation has been involved in since its inception.
##### **§ 52:3-14** Killed in Action flag designated an official State flag. {#sec-52-3-14 omnilex-key=us-nj-statutes--title-52--52:3-14}
1. a. The Killed in Action (K.I.A.) flag is designated an official State flag for recognizing members of the Armed Forces of the United States who were killed in action, or died of wounds resulting from injuries received in action, in any war or conflict in which the United States has been involved. The K.I.A. flag is a red flag which depicts the silhouette of a helmet on top of a firearm next to a servicemember.
b. The flag shall be displayed during normal business hours at the State House in Trenton, the principal municipal building in each municipality, and the principal county building in each county seat.
## **Chapter 4**
##### **§ 52:4-1** Promulgation of national census {#sec-52-4-1 omnilex-key=us-nj-statutes--title-52--52:4-1}
The governor is authorized to issue a statement declaring the date on which the Governor received the federal decennial census. Whenever in any statute or regulation reference is made to promulgation of the federal decennial census, the same shall mean and refer to the receipt by the Governor of the official federal decennial census.
##### **§ 52:4-1.1** Collection, maintenance of information concerning incarcerated individuals. {#sec-52-4-1.1 omnilex-key=us-nj-statutes--title-52--52:4-1.1}
1. The Department of Corrections shall collect and maintain an electronic record of the residential address of each individual entering its custody starting on the 30th day following the date of enactment of P.L.2019, c.385 (C.52:4-1.1 et seq.). At a minimum, this record shall contain the last known complete street address of each such individual prior to incarceration, the individual's race, whether the individual is of Hispanic or Latino origin, and whether the person is over the age of 18. To the degree possible, the record shall also permit an alternative residential address to be updated, as appropriate. For the purposes of P.L.2019, c.385 (C.52:4-1.1 et seq.), the classification of an individual's race, ethnic origin, and age shall be the same as used by the United States Bureau of the Census for the purposes of Pub.L.94-171 (13 U.S.C. s.141).
##### **§ 52:4-1.2** Information concerning incarcerated individuals to be delivered to the Secretary of State. {#sec-52-4-1.2 omnilex-key=us-nj-statutes--title-52--52:4-1.2}
2. a. In each year in which the federal decennial census is taken and in which the United States Bureau of the Census enumerates incarcerated persons as residents of correctional facilities, the Department of Corrections shall, by May 1st of that year, deliver to the Secretary of State:
(1) a unique identifier, not including the name, for each incarcerated individual subject to the jurisdiction of the department on the date the bureau completes the federal decennial census for the State;
(2) the street address of the correctional facility in which the individual was incarcerated at the time of the report;
(3) the residential address of the individual prior to incarceration or alternative residential address, if known;
(4) the individual's race, whether the individual is of Hispanic or Latino origin, and whether the individual is over the age of 18, if known; and
(5) any additional information the secretary may deem necessary.
b. The department shall provide the information specified in subsection a. of this section in such form as the secretary shall specify.
c. Notwithstanding any other provision of law, the information required to be provided under this section shall not include the name of any incarcerated individual and shall not allow for the identification of any such individual therefrom. The identity of each such individual shall be treated as confidential and shall not otherwise be disclosed except as aggregated by census block for purposes specified in section 5 of P.L.2019, c.385 (C.52:4-1.5).
##### **§ 52:4-1.3** Request for report. {#sec-52-4-1.3 omnilex-key=us-nj-statutes--title-52--52:4-1.3}
3. The secretary shall request of each agency that operates a federal facility in this State that incarcerates persons convicted of a criminal offense to provide the secretary with a report that includes the information specified in section 2 of P.L.2019, c.385 (C.52:4-1.2).
##### **§ 52:4-1.4** Geographic units of population counts. {#sec-52-4-1.4 omnilex-key=us-nj-statutes--title-52--52:4-1.4}
4. a. For each individual included in a report received under sections 2 and 3 of P.L.2019, c.385 (C.52:4-1.2 and C.52:4-1.3), the secretary shall determine the geographic units for which population counts are reported in the federal decennial census that contain the address of the facility in which the individual was incarcerated and the residential address of the individual, as listed according to the report.
No later than December 31st of each year in which the federal decennial census is taken and in which the United States Bureau of the Census enumerates incarcerated persons as residents of the geographic units in which the correctional facilities are located, the secretary shall report to the members of the Apportionment Commission, established pursuant to Article IV, Section III, paragraphs 1 through 3 of the New Jersey Constitution, that this determination has been completed.
b. For each individual included in a report received under sections 2 and 3 of P.L.2019, c.385 (C.52:4-1.2 and C.52:4-1.3), if the residential address of the individual is known and located in this State, the secretary shall:
(1) re-allocate all relevant population counts reported in the census to reflect residential address, as determined under sections 2 and 3, on the date the Bureau of the Census completes the federal decennial census for the State; and
(2) ensure that the individual is not represented in any applicable population counts reported in the federal decennial census for the geographic units that include the facility at which the person was incarcerated on the day the bureau completes the federal decennial census for this State.
c. For each individual included in a report received under sections 2 and 3 of P.L.2019, c.385 (C.52:4-1.2 and C.52:4-1.3), and for all persons reported in the census as residing in a federal correctional facility for whom a report was not provided, if the residential address of the individual is not known or not located in this State, the secretary shall:
(1) re-allocate all relevant population counts reported in the census to reflect that the person resided at an unknown geographic location within the State on the day the bureau completes the federal decennial census for this State; and
(2) ensure that the individual is not represented in any applicable population counts reported in the federal decennial census for the geographic units that include the facility at which the person was incarcerated on the day the bureau completes the federal decennial census for this State.
##### **§ 52:4-1.5** Report of data to Apportionment Commission. {#sec-52-4-1.5 omnilex-key=us-nj-statutes--title-52--52:4-1.5}
5. The Secretary of State shall report the data as determined under section 4 of P.L.2019, c.385 (C.52:4-1.4) to the members of the Apportionment Commission, established pursuant to Article IV, Section III, paragraphs 1 through 3 of the New Jersey Constitution, not later than the seventh day after the Governor receives the data provided pursuant to Pub.L.94-171 (13 U.S.C. s.141) for this State from the United States Bureau of the Census. The data prepared by the secretary under section 4 of P.L.2019, c.385 (C.52:4-1.4), together with data provided by the bureau pursuant to Pub.L.94-171 (13 U.S.C. s.141), shall be the basis of the legislative districts established by the Apportionment Commission. To the greatest extent practicable, districts shall be drawn so as to meet equal population requirements calculated under both data sets. Residences at unknown geographic locations within the State described in section 4 of P.L.2019, c.385 (C.52:4-1.4) shall not be used to determine the ideal population of any set of districts or wards.
##### **§ 52:4-1.6** Reporting of certain data to the Apportionment Commission. {#sec-52-4-1.6 omnilex-key=us-nj-statutes--title-52--52:4-1.6}
1. a. Upon reporting the data determined under section 4 of P.L.2019, c.385 (C.52:4-1.4) to the members of the Apportionment Commission pursuant to section 5 of P.L.2019, c.385 (C.52:4-1.5), the Secretary of State shall also report the same to the members of the New Jersey Redistricting Commission established under Article II, Section II, paragraphs 1 through 9 of the New Jersey Constitution and P.L.1991, c.510 (C.19:46-6 et seq.) for the establishment of congressional districts; to the members of each county district commission for the establishment of the county districts under section 121 of P.L.1972, c.154 (C.40:41A-121); to the members of each ward commission for the establishment of the municipal wards under section 7 of P.L.1981, c.496 (C.40:44-15), and to each entity responsible for the apportionment of the members of each board of education of a regional school district pursuant to the provisions of N.J.S.18A:13-8, and sections 1 and 3 of P.L.2017, c.45 (C.18A:13-34a and C.18A:13-46.1, respectively).
b. Notwithstanding the provisions of any law, rule, or regulation to the contrary, the data prepared by the secretary under section 4 of P.L.2019, c.385 (C.52:4-1.4), together with data provided by the bureau pursuant to Pub.L.94-171 (13 U.S.C. s.141), shall be the basis of the congressional districts established by the New Jersey Redistricting Commission, of county districts established by each county district commission, and of municipal wards established by each municipal ward commission. To the greatest extent practicable, congressional districts, county districts, and municipal wards shall be drawn so as to meet equal population requirements calculated under both data sets. Residences at unknown geographic locations within the State described in section 4 of P.L.2019, c.385 (C.52:4-1.4) shall not be used to determine the ideal population of any set of districts or wards.
c. Notwithstanding the provisions of any law, rule, or regulation to the contrary, the data prepared by the secretary under section 4 of P.L.2019, c.385 (C.52:4-1.4) shall be the basis of the apportionment of the members of each board of education of a regional school district pursuant to chapter 13 of Title 18A of the New Jersey Statutes. Residences at unknown geographic locations within the State described in section 4 of P.L.2019, c.385 (C.52:4-1.4) shall not be used to determine the apportionment of each board of education of a regional school district.
##### **§ 52:4-2** Effective date of 1960 census {#sec-52-4-2 omnilex-key=us-nj-statutes--title-52--52:4-2}
The Federal Census of 1960 shall become effective May 6, 1961, or on the date of the filing of the bulletin provided for in section 52:4-1 of the Revised Statutes, whichever date is later.
##### **§ 52:4-3** Effective date of 1970 census {#sec-52-4-3 omnilex-key=us-nj-statutes--title-52--52:4-3}
Except for the apportionment and election of the members of boards of education of regional districts pursuant to P.L.1970, c. 305 (C. 18A:13-9.1 et seq.), the Federal census of 1970 shall become effective May 1, 1971, or on the date of the filing of the bulletin provided for in R.S. 52:4-1, whichever date is later.
##### **§ 52:4-4** Effective date of federal census of 1980 {#sec-52-4-4 omnilex-key=us-nj-statutes--title-52--52:4-4}
The Federal census of 1980 shall become effective January 1, 1982, or on the date of filing of the bulletin provided for in R.S. 52:4-1, whichever date is later.
##### **§ 52:4-5** Effective date of Federal census of 2000 {#sec-52-4-5 omnilex-key=us-nj-statutes--title-52--52:4-5}
1. Notwithstanding the provisions of any law to the contrary, the Federal census of 2000 shall become effective on January 1, 2002. This act shall not determine the effective date of the census for the purposes of reapportionment or redistricting following the promulgation of the 2000 Federal census, or for the purpose of the distribution of financial aid by the State to any of its political subdivisions.
##### **§ 52:4-6** Findings, declarations. {#sec-52-4-6 omnilex-key=us-nj-statutes--title-52--52:4-6}
1. The Legislature finds and declares that:
Asian Americans, Native Hawaiians, and Pacific Islanders (AANHPI), Middle Easterners and North Africans (MENA), and South Asian and Indian Diaspora peoples are significant and important communities in New Jersey. New Jersey has nearly one million Asian Americans, Native Hawaiians, and Pacific Islanders residing in the State, about 10 percent of the State population. The number of Middle Eastern and North African and South Asian and Indian Diaspora residents cannot be accurately determined with the current collection methods. The members of these communities have made significant contributions to the culture and economy of this State.
Due to the diversity in the AANHPI communities, the United States Office of Management and Budget's Statistical Policy Directive No. 15, entitled "Race and Ethnic Standards for Federal Statistics," separated the "Asian and Pacific Islander" category into two distinct and separate categories, now called "Asians" and "Native Hawaiians and Other Pacific Islanders." These two distinct categories were first used in the 2000 United States Census. The United States Census Bureau currently reports data for more than 20 different ethnicities within these two categories.
The MENA communities in this State and on the federal level are categorized as "White." However, this racial identity has not matched the discrimination in housing, workplaces, and through daily life that many in the MENA community say they have faced. Many younger people in the MENA community often compare their experiences to those in communities of color. However, with a lack of a clear category, this paradox has been difficult to show through data.
The South Asian and Indian Diaspora communities in this State often have difficulty selecting which category they fit into when filling out demographic information. Given India's extensive migration history over the centuries, ethnic Indians have established communities on every continent as well as on islands in the Caribbean and the Pacific and Indian Oceans. These communities are wide-ranging and while they do share geographical and cultural commonalities, they also experience diverse social, educational, health, and economic differences that are unique to their respective communities.
Existing State law requires demographic data to be collected, which includes the AANHPI communities. However, the collection by State agencies is often far too general and does not incorporate breakdowns for the numerous ethnic groups within the AANHPI communities. Additionally, State law does not require such a breakdown for the MENA and South Asian and Indian Diaspora communities. Also, this data is not made as accessible as it can be to the public. Data should be updated on a regular basis and made accessible to the public so that local governments, elected officials, decision makers, and other stakeholders can use the information to strategically target programs for those most in need.
Given the diversity of languages and culture, separating data for additional Asian, Native Hawaiian, Pacific Islander, Middle Eastern and North African, and South Asian and Indian Diaspora ethnic groups and making that data publicly accessible are critical for enhancing our State's understanding of the needs and experiences of these different communities.
##### **§ 52:4-7** Demographic data collection, separate collection categories, tabulations. {#sec-52-4-7 omnilex-key=us-nj-statutes--title-52--52:4-7}
2. a. Each State agency that directly or by contract collects demographic data as to the ancestry of residents of the State of New Jersey shall use separate collection categories and tabulations for the following:
(1) each major Asian group, including, but not limited to, Chinese, Japanese, Filipino, Korean, Vietnamese, Asian Indian, Laotian, Cambodian, Bangladeshi, Hmong, Indonesian, Malaysian, Pakistani, Sri Lankan, Taiwanese, Nepalese, Burmese, Tibetan, and Thai;
(2) each major Pacific Islander group, including, but not limited to, Native Hawaiian, Chamorro or Guamanian, Samoan, Fijian, and Tongan;
(3) each major Middle Eastern and North African group, including, but not limited to, Algerian, Bahraini, Egyptian, Jordanian, Kuwaiti, Lebanese, Libyan, Moroccan, Omani, and Tunisian;
(4) each major South Asian and Indian Diaspora group, including, but not limited to, Guyanese, Trinidadian and Tobagonian, and Surinamese; and
(5) other Asian, Pacific Islander, South Asian and Indian Diaspora, or Middle Eastern and North African groups.
b. Each State agency that directly or by contract collects demographic data as to the ancestry of residents of the State of New Jersey shall use separate collection categories and tabulations for the following:
(1) the primary language spoken at home and, if such language is a non-English language, whether the respondent is fluent in English; and
(2) the ancestry.
c. The data collected pursuant to the provisions of subsections a. and b. of this section shall be included in every demographic report on ancestry of residents of the State of New Jersey by the State agency published or released on or after the first day of the sixth month following the effective date of this act, P.L.2023, c.264 (C.52:4-6 et seq.).
The data shall be made available to the public in accordance with State and federal law, except for personal identifying information, which shall be deemed confidential, by posting the data on the internet website of the State agency.
d. State agencies may continue to collect and report demographic data in the form that the data was submitted if the data was collected under either of the following circumstances:
(1) Pursuant to federal laws, regulations, programs, or surveys, whereby the requirements or guidelines for demographic data collection categories are defined by the federal law, regulation, program, or survey.
(2) Demographic data collected by other entities, including third-party, entity-administered surveys not solely funded by the State agency.
e. Each State agency may update its data collection and reporting practices as needed in response to changes made to the American Community Survey published by the United States Census Bureau.
f. As used in this section:
"Ancestry" means the respondent's self-identification of the respondent's origin or descent, "roots," heritage, or place where the respondent or the respondent's parents or ancestors were born.
"Primary language spoken at home" means the language currently used by respondents at home, either "English only" or a non-English language which is used in addition to English or in place of English.
"State agency" means any agency in the executive branch of the State government, including, but not limited to, any department, board, bureau, commission, division, office, council, or instrumentality thereof, or independent agency, public authority or public benefit corporation, and any State college or public institution of higher education.
## **Chapter 4A**
##### **§ 52:4A-1** Actions on tort against state {#sec-52-4a-1 omnilex-key=us-nj-statutes--title-52--52:4A-1}
Except for actions founded upon the Constitution of this State or the United States or an express provision of the statutory laws of this State, no action shall be instituted or continued against the State or any department or other agency thereof for the recovery of money damages, based on tort, where the cause of action accrues prior to July 1, 1972.
## **Chapter 4B**
##### **§ 52:4B-1** Short title {#sec-52-4b-1 omnilex-key=us-nj-statutes--title-52--52:4B-1}
This act shall be known and may be cited as the "Criminal Injuries Compensation Act of 1971."
##### **§ 52:4B-2** Definitions. {#sec-52-4b-2 omnilex-key=us-nj-statutes--title-52--52:4B-2}
2. As used in P.L.1971, c.317:
"Agency" means the Victims of Crime Compensation Agency;
"Child" means an unmarried person who is under 21 years of age and includes a stepchild or an adopted child;
"Dependent" means a relative of a deceased victim who was wholly or partially dependent upon the victim's income at the time of the victim's death and shall include the child of a victim born after the victim's death;
"Legal assistance" means assistance provided to a crime victim in the enforcement of victim's rights in all courts; family law matters, including, but not limited to, child protection actions, divorce, custody, parenting time, child support, emancipation, dependency, guardianship, and family reunification; obtaining protective and restraining orders; employment matters, including, but not limited to, wage and hour claims; accessing public benefits; life planning; and any other situation for which an eligible crime victim needs legal services related to the victimization;
"Personal injury" means actual bodily harm and includes pregnancy and mental or nervous shock;
"Relative" of any person means the person's spouse, parent, grandparent, stepfather, stepmother, child, grandchild, brother, sister, half-brother, half-sister, or parent of the person's spouse;
"Relevant evidence" means evidence having a tendency in reason to prove or disprove any fact of consequences to the determination of the action and that is deemed to be admissible under the rules of evidence and does not include rumor, supposition, and speculation, hearsay or opinion, except as otherwise deemed admissible under the rules of evidence;
"Review Board" or "board" means the Victims of Crime Compensation Review Board established by section 2 of P.L.2007, c.95 (C.52:4B-3.2);
"Victim" means a person who suffers personal, physical, or psychological injury or death as a result of the conduct of another person who commits against that person any of the offenses specified in section 11 of P.L.1971, c.317 (C.52:4B-11) or an act by a juvenile, which if committed by an adult, would constitute a violation of any of these offenses. The term shall include, in the case of a criminal homicide or an act by a juvenile which, if committed by an adult, would constitute a criminal homicide, the spouse, parent, legal guardian, grandparent, child, sibling, domestic or civil union partner of the decedent, or parent of the decedent's child;
"Victims of Crime Compensation Office" or "office" means the Victims of Crime Compensation Agency established pursuant to P.L.1971, c.317 (C.52:4B-1 et seq.) which is continued as the Victims of Crime Compensation Office pursuant to P.L.2007, c.95 (C.52:4B-3.2 et al.) and Reorganization Plan No. 001-2008 and allocated to the Division of Violence Intervention and Victim Assistance pursuant to section 4 of P.L.2023, c.167 (C.52:4B-60.7).
##### **§ 52:4B-3.2** Victims of Crime Compensation Office. {#sec-52-4b-3.2 omnilex-key=us-nj-statutes--title-52--52:4B-3.2}
2. a. There is hereby established in the Department of Law and Public Safety the Victims of Crime Compensation Office.
b. The chief executive officer of the Victims of Crime Compensation Office shall be the director, who shall be appointed by the Governor, with the advice and consent of the Senate. The director shall serve at the pleasure of the Governor. The Governor may appoint an acting director to serve as chief executive officer of the Victims of Crime Compensation Office, who may be the person serving as chairman of the Victims of Crime Compensation Board on the effective date of P.L.2007, c.95 (C.52:4B-3.2 et al.), and who shall serve as the director of the Victims of Crime Compensation Office until a successor is appointed and qualifies. The director shall, in consultation with the Review Board established pursuant to subsection c. of this section, develop, establish and supervise all practices and procedures of the office.
c. There is hereby established in the Victims of Crime Compensation Office the Victims of Crime Compensation Review Board which shall be composed of five citizens, to be appointed by the Governor, with the advice and consent of the Senate, one of whom shall be designated chairman by, and serve as such at the pleasure of, the Governor. Three members of the board shall, by training or experience, have expertise in the rights of crime victims. One member of the board shall have direct knowledge or experience related to the trauma of criminal victimization and one member shall be an attorney admitted to the practice of law in the State of New Jersey and who shall have practiced law in the courts of New Jersey for a minimum of five years. The purpose of the Victims of Crime Compensation Review Board shall be:
(1) to hear appeals of decisions of the Victims of Crime Compensation Office involving issues of victim compensation;
(2) to consult with the director in developing, establishing and supervising all practices and procedures of the office;
(3) to review individual and supplemental awards to a victim or a victim's family in excess of $10,000 in the aggregate, and awards of attorney fees for legal representation to victims;
(4) to review, on at least a bi-monthly basis, information detailing the aggregate claims received and paid by the office, and the operations of the office; and
(5) to review and, if appropriate, approve any rules and regulations, standards, and maximum rates and service limitations for reimbursement proposed by the office.
d. All the functions of the Violent Crimes Compensation Board and the Victims of Crime Compensation Board are continued in the Victims of Crime Compensation Office and the Victims of Crime Compensation Review Board. Whenever in any law, rule, regulation, judicial or administrative procedure or otherwise, reference is made to the Violent Crimes Compensation Board or to the Victims of Crime Compensation Board, the same shall mean and refer to the Victims of Crime Compensation Office or the Victims of Crime Compensation Review Board, as the case may be.
##### **§ 52:4B-3.3** Violent Crimes Compensation Board abolished. {#sec-52-4b-3.3 omnilex-key=us-nj-statutes--title-52--52:4B-3.3}
3. The Violent Crimes Compensation Board established pursuant to section 3 of P.L.1971, c.317 (C.52:4B-3) is abolished and the terms of the persons serving as members of that board on the effective date of P.L.2007, c.95 (C.52:4B-3.2 et al.) shall cease and determine as of that effective date.
##### **§ 52:4B-3.4** Victims of Crime Compensation Review Board, members, terms, no compensation. {#sec-52-4b-3.4 omnilex-key=us-nj-statutes--title-52--52:4B-3.4}
4. The term of office of each member of the Victims of Crime Compensation Review Board shall be three years and until the member's successor is appointed and qualifies, except that of the members first appointed one shall be appointed for a term of one year, two for terms of two years and two for terms of three years. All vacancies, except through the expiration of term, shall be filled for the unexpired term only.
Each member of the board shall be eligible for reappointment and any member of the board may be removed by the Governor for inefficiency, neglect of duty or malfeasance in office.
The members of the board shall serve without compensation.
##### **§ 52:4B-5** Duties, compensation, employees. {#sec-52-4b-5 omnilex-key=us-nj-statutes--title-52--52:4B-5}
5. The agency is authorized to appoint and fix the duties and compensation of such officers, examiners, and other experts as may be necessary for carrying out its functions under this act, and the provisions of section 4 of P.L.1970, c.74 (C.52:17B-100) shall be applicable to these employees. The agency may, subject to Title 11A of the New Jersey Statutes, "Civil Service," appoint and fix the duties and compensation of such other assistants and employees as are necessary. The compensation fixed pursuant to this section shall be within the limits of the funds appropriated or otherwise made available to the agency for that purpose.
##### **§ 52:4B-5.1** Access to criminal history records. {#sec-52-4b-5.1 omnilex-key=us-nj-statutes--title-52--52:4B-5.1}
11. The Victims of Crime Compensation Agency is authorized to obtain direct access to criminal history records maintained by the State Bureau of Identification in the Division of the State Police and is hereby designated a criminal justice agency for that purpose.
##### **§ 52:4B-6** Principal office; place to conduct affairs. {#sec-52-4b-6 omnilex-key=us-nj-statutes--title-52--52:4B-6}
6. The principal office of the Victims of Crime Compensation Office shall be in Newark, New Jersey, but the office may sit and conduct its affairs in any place.
##### **§ 52:4B-7** Hearings by review board. {#sec-52-4b-7 omnilex-key=us-nj-statutes--title-52--52:4B-7}
7. Hearings on appeals from decisions of the Victims of Crime Compensation Agency involving issues of victim compensation shall be conducted by the Victims of Crime Compensation Review Board in the following manner:
a. Upon an application made to the board under the provisions of the "Criminal Injuries Compensation Act of 1971," P.L.1971, c.317, the board shall fix a time and place for a hearing on the application and shall cause notice thereof to be given to the applicant.
b. For the purpose of carrying out the provisions of the "Criminal Injuries Compensation Act of 1971," P.L.1971, c.317, the board, or any member thereof, may hold hearings, sit, and act at times and places, and take testimony as the board or any member may deem advisable. Any member of the board may administer oaths or affirmations to witnesses. The board shall have full powers of subpoena and compulsion of attendance of witnesses and production of documents, except that no subpoena shall be issued except under the signature of a member of the board, and application to any court for aid in enforcing the subpoena may be made in the name of the board by any member thereof. Subpoenas shall be served by any person designated by the board.
c. In any case in which the person entitled to make an application is a child, the application may be made on the person's behalf by the person's parent, guardian, or advocate. In any case in which the person entitled to make an application is incapacitated, the application may be made on the person's behalf by the guardian, advocate, or other individual authorized to administer the person's estate.
d. Any person having a substantial interest in a proceeding may appear, produce evidence, and cross-examine witnesses in person or by attorney.
e. The board may receive in evidence any statement, document, information, or matter that may in the opinion of the board contribute to its functions under the "Criminal Injuries Compensation Act of 1971," P.L.1971, c.317, but the board shall not be bound by the rules of evidence.
f. If any person has been convicted of any offense with respect to an act or omission on which a claim under the "Criminal Injuries Compensation Act of 1971," P.L.1971, c.317 is based, proof of that conviction shall be taken as conclusive evidence that the offense has been committed, unless an appeal or any proceeding with regard thereto is pending.
##### **§ 52:4B-8** Attorney fees and costs. {#sec-52-4b-8 omnilex-key=us-nj-statutes--title-52--52:4B-8}
8. a. (1) The Victims of Crime Compensation Office may, as a part of any order entered under P.L.1971, c.317 (C.52:4B-1 et seq.), determine and allow reasonable attorney fees and costs, which shall not exceed 15 percent of the amount awarded as compensation under section 10 of P.L.1971, c.317 (C.52:4B-10), to be paid in addition to the amount of this compensation, to the attorney representing the applicant. Notwithstanding the provisions of this subsection, an award for attorney fees shall not be less than $500, unless the office determines that the attorney has not acted diligently or in good faith representing the claimant.
(2) If the office enters an order denying compensation, it may nevertheless allow attorney fees of $500 to the attorney representing the claimant if the office determines that the attorney has acted diligently or in good faith representing the claimant.
(3) It shall be unlawful for any attorney to ask for, contract for, or receive any larger sum than the amount allowed under paragraph (1) or (2) of this subsection.
b. The office may allow payment up to a maximum of $10,000, at an hourly rate of $275 or more to be fixed by the office, to an attorney who provides legal assistance to a victim in any legal matter arising out of the victimization, other than a decision of the Victims of Crime Compensation Office involving victim compensation or any related appeal, arising from or related to having been the victim of an offense specified in section 11 of P.L.1971, c.317 (C.52:4B-11), provided that the victim is otherwise eligible to receive compensation. Payment pursuant to this subsection shall be subject to the limitation on compensation set forth in section 18 of P.L.1971, c.317 (C.52:4B-18).
##### **§ 52:4B-8.1** Development of an informational tracking system. {#sec-52-4b-8.1 omnilex-key=us-nj-statutes--title-52--52:4B-8.1}
19. a. The Victims of Crime Compensation Agency, after consultation with the Attorney General, the Department of Corrections, and the Administrative Office of the Courts, on behalf of the county probation divisions and the municipal court clerks, shall continue to develop the existing uniform system for recording all information necessary to ensure proper identification, tracking, collection and disposition of moneys owed for:
(1) assessments imposed pursuant to section 2 of P.L.1979, c.396 (C.2C:43-3.1);
(2) fines and restitutions imposed in accordance with provisions of Title 2C of the New Jersey Statutes;
(3) fees imposed pursuant to N.J.S.2C:35-20;
(4) penalties imposed pursuant to N.J.S.2C:35-15.
b. The Victims of Crime Compensation Agency shall use the moneys deposited in the Criminal Disposition and Revenue Collection Fund to defray the costs incurred by the agency in developing, implementing, operating and improving the agency's component of the uniform system for tracking and collecting revenues described in subsection a. of this section.
c. The Youth Justice Commission established pursuant to section 2 of P.L.1995, c.284 (C.52:17B-170), the Department of Corrections, and the Administrative Office of the Courts, on behalf of the county probation divisions and the municipal court clerks, shall file such reports with the Victims of Crime Compensation Agency as required for the operation of the uniform system described in subsection a. of this section.
d. The Victims of Crime Compensation Agency shall report annually to the Governor, the Attorney General, the Administrative Director of the Administrative Office of the Courts, the Commissioner of the Department of Corrections, the Youth Justice Commission and the Legislature on the development, implementation, improvement and effectiveness of the uniform system and on moneys received, deposited and identified as receivable.
##### **§ 52:4B-9** Rules and regulations; determination of compensation. {#sec-52-4b-9 omnilex-key=us-nj-statutes--title-52--52:4B-9}
9. In the performance of its functions, the agency is authorized to make rules and regulations prescribing the procedures to be followed in the filing of applications and the proceedings under P.L.1971, c.317, and such other matters as the agency deems appropriate.
In determining the amounts of compensation payable pursuant to P.L.1971, c.317, the agency shall insofar as practicable formulate standards for uniform application of this act and shall take into consideration rates and amounts of compensation payable for injuries and death under other laws of this State and of the United States and the availability of funds appropriated for the purposes of P.L.1971, c.317.
The agency shall establish maximum rates and service limitations for reimbursement for medical and medical related expenses, including counseling. In establishing these rates, the agency shall reflect the medical fee schedules for health care providers established by the Commissioner of Banking and Insurance pursuant to the provisions of section 10 of P.L.1988, c.119 (C.39:6A-4.6). A medical service provider who accepts payment from the agency for a service shall accept the agency's rates as payment in full and shall not accept any payment on account of the service from any other source if the total of payments accepted would exceed the maximum rate set by the agency for that service.
All standards formulated and maximum rates and service limitations for reimbursement established by the agency shall be subject to the prior review and approval of the Review Board.
##### **§ 52:4B-10** Persons entitled to compensation; order. {#sec-52-4b-10 omnilex-key=us-nj-statutes--title-52--52:4B-10}
10. In any case in which a person suffers personal, physical, or psychological injury or death as a result of the conduct of another person who commits an offense against that person which is within the description of the offenses listed in section 11 of P.L.1971, c.317 (C.52:4B-11), the office may, upon application, order the payment of compensation in accordance with the provisions of P.L.1971, c.317 (C.52:4B-1 et seq.):
a. to or on behalf of the victim,
b. in the case of the personal, physical, or psychological injury of the victim, where the compensation is for pecuniary loss suffered or expenses incurred by any person responsible for the maintenance of the victim, to that person, or
c. in the case of the death of the victim, to or for the benefit of the dependents of the deceased victim, or any one or more of the dependents.
In determining whether to make an order under this section, the office may consider any facts that provide relevant evidence as to whether the victim contributed to the victim's injury or death and as to whether the victim's conduct was the proximate cause of the victim's injury or death; provided, however, there shall be a presumption that the office will order the payment of compensation. Notwithstanding any other provision of P.L.1971, c.317 (C.52:4B-1 et seq.) to the contrary, the office is authorized to make a limited award for funeral benefits, mental health counseling, loss of support for dependent children, and attorneys' fees in any case in which it is determined that the victim's conduct was the contributing factor to the victim's death.
An order may be made under this section whether or not any person is prosecuted or convicted of any offense arising out of any act or omission. Upon application made by an appropriate prosecuting authority, the office may suspend proceedings under P.L.1971, c.317 (C.52:4B-1 et seq.) for the period it deems appropriate on the ground that a prosecution for an offense arising out of the act or omission has been commenced or is imminent.
##### **§ 52:4B-10.1** Emergency award. {#sec-52-4b-10.1 omnilex-key=us-nj-statutes--title-52--52:4B-10.1}
1. a. The Victims of Crime Compensation Office may make one or more emergency awards to any applicant for compensation pending final determination of a case, when it determines that compensation is likely to be provided and that the applicant will suffer undue hardship if funds are not made immediately available. The amount of any one emergency award shall not exceed $7,500. Any emergency awards made to an applicant shall be deducted from the final amount of compensation provided to an applicant by the office. If the amount of compensation made by the office to an applicant is less than the sum provided to the applicant through emergency grants, the applicant shall pay to the office an amount of money equal to the difference. If the office determines that an applicant who has received emergency awards shall receive no compensation, the applicant shall repay to the office the total amount of all emergency awards which the applicant received.
b. In addition to any emergency award made pursuant to the provisions of subsection a. of this section, the office may make an emergency award in an amount not to exceed $1,000 for compensation for funds stolen from a victim in connection with any of the incidents specified in section 11 of P.L.1971, c.317 (C.52:4B-11) except burglary pursuant to paragraph (11) of subsection b. of section 11 of P.L.1971, c.317 (C.52:4B-11), whether or not the victim suffered personal injury, under the following circumstances:
(1) The victim is 60 years of age or older or is disabled as defined pursuant to the federal Social Security Act, 42 U.S.C. s. 416(i);
(2) The victim's income does not exceed the limits adopted by the State Department of Human Services as the standard of need for the General Assistance Program;
(3) (Deleted by amendment, P.L.2019, c.380)
(4) The victim establishes:
(a) that the victim has filed a police report indicating, among other things, the amount stolen;
(b) that the victim has cooperated with investigative and prosecuting authorities; and
(c) the source of the funds stolen; and
(5) The office is satisfied that there are no other sources available to provide the victim with funds necessary to cover immediate costs of essential shelter, food, or medical expenses, and that, but for the victim's loss, the victim would otherwise have had the funds to pay these costs.
c. The office shall direct that any funds awarded pursuant to this act be expended solely to cover the costs established pursuant to paragraph (5) of subsection b. of this section.
d. (Deleted by amendment, P.L.2007, c.95).
##### **§ 52:4B-10.2** Additional compensation. {#sec-52-4b-10.2 omnilex-key=us-nj-statutes--title-52--52:4B-10.2}
3. In addition to ordering the payment of compensation for personal injury or death which resulted from the incidents specified in section 11 of P.L.1971, c.317 (C.52:4B-11), the Victims of Crime Compensation Office may order the payment of compensation for funds in connection with those incidents to compensate certain victims, whether or not those victims suffered personal injury, as specified in paragraphs (1) through (5) of subsection b. of section 1 of P.L.1981, c.258 (C.52:4B-10.1), in an amount not to exceed $1,000.
##### **§ 52:4B-11** Victim compensation. {#sec-52-4b-11 omnilex-key=us-nj-statutes--title-52--52:4B-11}
11. The Victims of Crime Compensation Office may order the payment of compensation in accordance with the provisions of P.L.1971, c.317 (C.52:4B-1 et seq.) for personal injury or death which resulted from:
a. an attempt to prevent the commission of crime or to arrest a suspected criminal or in aiding or attempting to aid a police officer to do so; or
b. the commission or attempt to commit any of the following offenses:
(1) aggravated assault;
(2) (Deleted by amendment, P.L.1995, c.135).
(3) threats to do bodily harm;
(4) lewd, indecent, or obscene acts;
(5) indecent acts with children;
(6) kidnapping;
(7) murder;
(8) manslaughter;
(9) aggravated sexual assault, sexual assault, aggravated criminal sexual contact, criminal sexual contact;
(10) any other crime involving violence including domestic violence as defined by section 3 of P.L.1981, c.426 (C.2C:25-3) or section 3 of P.L.1991, c.261 (C.2C:25-19);
(11) burglary;
(12) tampering with a cosmetic, drug or food product;
(13) a violation of human trafficking, section 1 of P.L.2005, c.77 (C.2C:13-8); or
c. the commission of a violation of R.S.39:4-50, section 5 of P.L.1990, c.103 (C.39:3-10.13), section 19 of P.L.1954, c.236 (C.12:7-34.19), or section 3 of P.L.1952, c.157 (C.12:7-46); or
d. theft of an automobile pursuant to N.J.S.2C:20-2 or section 1 or 2 of P.L.2023, c.101 (C.2C:20-10.1 or 2C:20-10.2), eluding a law enforcement officer pursuant to subsection b. of N.J.S.2C:29-2 or unlawful taking of a motor vehicle pursuant to subsection b., c., or d. of N.J.S.2C:20-10 where injuries to the victim occur in the course of operating an automobile in furtherance of the offense; or
e. the commission of a violation of N.J.S.2C:16-1, bias intimidation; or
f. simple assault pursuant to N.J.S.2C:12-1 or disorderly conduct pursuant to N.J.S.2C:33-2; or
g. a motor vehicle accident resulting in injury or death where the driver of the vehicle left the scene of the accident in violation of R.S.39:4-129.
##### **§ 52:4B-12** Losses or expenses reimbursable. {#sec-52-4b-12 omnilex-key=us-nj-statutes--title-52--52:4B-12}
12. The agency may order the payment of compensation under this act for:
a. expenses actually and reasonably incurred as a result of the personal injury or death of the victim, including out-of-pocket losses which shall mean unreimbursed and unreimbursable expenses or indebtedness reasonably incurred for medical care or other services necessary as a result of the injury upon which such application is based,
b. loss of earning power as a result of total or partial incapacity of such victim,
c. pecuniary loss to the dependents of the deceased victim, and
d. any other pecuniary loss resulting from the personal injury or death of the victim which the agency determines to be reasonable.
##### **§ 52:4B-12.1** Payment for relocation of certain witnesses of crimes. {#sec-52-4b-12.1 omnilex-key=us-nj-statutes--title-52--52:4B-12.1}
1. Notwithstanding the provisions of section 10 of P.L.1971, c.317 (C.52:4B-10) or the provisions of section 12 of P.L.1971, c.317 (C.52:4B-12), the Victims of Crime Compensation Office may, upon application, order the payment of relocation expenses for a witness and the family of the witness.
As used in this section, "witness" means a person who witnessed the commission of any of the offenses listed under section 11 of P.L.1971, c.317 (C.52:4B-11) and who has been threatened as a result.
##### **§ 52:4B-13** Directory of impartial medical experts. {#sec-52-4b-13 omnilex-key=us-nj-statutes--title-52--52:4B-13}
13. To assist the agency in determining the nature, extent or cause of personal injury or cause of death compensable under P.L.1971, c.317, the agency shall maintain a directory of impartial medical experts.
##### **§ 52:4B-18** Compensation for criminal injuries; statute of limitations for claims. {#sec-52-4b-18 omnilex-key=us-nj-statutes--title-52--52:4B-18}
18. An order for the payment of compensation shall not be made under section 10 of P.L.1971, c.317 (C.52:4B-10) unless the application has been made within five years after the date of the personal injury or death or after that date upon determination by the office that good cause exists for the delayed filing, and the personal injury or death was the result of an offense listed in section 11 of P.L.1971, c.317 (C.52:4B-11) which had been reported to the police or other appropriate law enforcement agency within nine months after its occurrence or reasonable discovery. If the victim is under 18 years of age, the five-year limit on filing shall commence on the day the victim turns 18 years old. For the purposes of this section, "good cause" shall include, but not be limited to, instances where the victim or the victim's dependents were not appropriately informed of the benefits offered by the office as required by law. The office will make its determination regarding the application within 90 days of acknowledgment by the office of receipt of the completed application and any and all necessary supplemental information, provided that this period may be extended for good cause if an administrative denial would otherwise result. Notwithstanding this time period, the office shall reimburse the claimant or pay to any third-party service provider the amount claimed to be due and owing within 30 days after eligibility has been determined and the amount submitted for payment has been determined by the office to be fair and reasonable.
In determining the amount of an award, the office shall determine whether, because of the victim's conduct, the victim of such crime contributed to the infliction of the victim's injury, and the office shall reduce the amount of the award or reject the application altogether, in accordance with the determination, except that the office is authorized to make a limited award for funeral benefits, mental health counseling, loss of support for dependent children, and attorneys' fees in cases of criminal homicide when it is determined that the victim's conduct was a contributing factor to the victim's death. The office shall not consider any conduct of the victim contributory toward the victim's injury, if the record indicates the conduct occurred during efforts by the victim to prevent a crime or apprehend a person who had committed a crime in the victim's presence or had in fact committed a crime.
The office may reduce an award where the victim has not paid in full any payments owed on assessments imposed pursuant to section 2 of P.L.1979, c.396 (C.2C:43-3.1) or restitution ordered following conviction for a crime and the office may deduct any amount due for these assessments or restitution from an award of compensation and make payments to satisfy these obligations prior to making any payments of compensation to the victim.
No compensation shall be awarded if:
a. Compensation to the victim proves to be substantial unjust enrichment to the offender or if the victim did not cooperate with the reasonable requests of law enforcement authorities unless the victim demonstrates a compelling health or safety reason for not cooperating; or
b. (Deleted by amendment, P.L.1990, c.64.)
c. The victim was guilty of a violation of subtitle 10 or 12 of Title 2A or subtitle 2 of Title 2C of the New Jersey Statutes, which caused or contributed to the victim's injuries; or
d. The victim was injured as a result of the operation of a motor vehicle, except as provided in subsection c. or d. of section 11 of P.L.1971, c.317 (C.52:4B-11), boat, or airplane unless the vehicle, boat, or airplane was used as a weapon in a deliberate attempt to run the victim down; or
e. The victim suffered personal injury or death while an occupant of a motor vehicle or vessel where the victim knew or reasonably should have known that the driver was operating the vehicle or vessel in violation of R.S.39:4-50, section 5 of P.L.1990, c.103 (C.39:3-10.13), section 19 of P.L.1954, c.236 (C.12:7-34.19), section 3 of P.L.1952, c.157 (C.12:7-46), subparagraph (b) of paragraph (2) of subsection b. of N.J.S.2C:20-2, subsection b. of N.J.S.2C:29-2 or subsection b., c., or d. of N.J.S.2C:20-10 .
f. (Deleted by amendment, P.L.2019, c.380)
g. (Deleted by amendment, P.L.2019, c.380)
Except as provided in this section, compensation shall not be awarded under P.L.1971, c.317 (C.52:4B-1 et seq.) in an amount in excess of $25,000, and all payments shall be made in a lump sum, except that in the case of death or protracted disability the award may provide for periodic payments to compensate for loss of earnings or support.
An award made pursuant to P.L.1971, c.317 (C.52:4B-1 et seq.) shall not be subject to execution or attachment other than for expenses resulting from the injury which is the basis of the claim.
Compensation may be awarded in an amount not exceeding the actual cost of a rehabilitative service of the type enumerated in section 2 of P.L.1999, c.166 (C.52:4B-18.2).
The award may provide for periodic payments in the case of protracted care or rehabilitative assistance.
##### **§ 52:4B-18.1** Increased compensation; applicability. {#sec-52-4b-18.1 omnilex-key=us-nj-statutes--title-52--52:4B-18.1}
3. The increase in compensation to a maximum of $25,000 provided for in P.L.1982, c.192 shall apply only to crimes committed after the effective date of P.L.1982, c.192 when personal injury or death occurs.
##### **§ 52:4B-18.2** Supplemental awards for rehabilitative assistance to certain crime victims. {#sec-52-4b-18.2 omnilex-key=us-nj-statutes--title-52--52:4B-18.2}
2. a. In addition to any award granted pursuant to section 18 of P.L.1971, c.317 (C.52:4B-18), the Victims of Crime Compensation Agency may make one or more supplemental awards for the purpose of providing rehabilitative assistance to catastrophically injured crime victims or other persons entitled to compensation under section 10 of P.L.1971, c.317 (C.52:4B-10).
b. The rehabilitative assistance which the supplemental award may cover can include, but is not limited to, any of the following services not covered by the original award of compensation or by other sources provided that the agency determines that the services are reasonable and necessary:
(1) Surgical and therapeutic procedures;
(2) Rehabilitative physical and occupational therapy designed to restore an optimum function level;
(3) Prescription drugs and medical supplies;
(4) Cognitive and psychological therapy;
(5) Home health assistance;
(6) Vehicle modifications;
(7) Driver training;
(8) Wheelchair, braces, splints, crutches, walkers, shower or commode chair and any other personal adaptive equipment required to meet individual disability needs;
(9) Structural modifications to living environment designed to provide accessibility and to maximize independence;
(10) Dependent care as needed.
c. The Victims of Crime Compensation Agency is authorized to make rules and regulations prescribing the procedures to be followed in qualifying for a supplemental award. The agency is also authorized to establish a cap on the total amount of supplemental awards to be made in a year and a cap on the amount which a person may receive as a supplemental award, which personal cap shall not be less than $25,000.
d. The payment of any supplemental award granted under the provisions of this section shall be approved by the agency for payment out of funds appropriated for the administration of P.L.1971, c.317 (C.52:4B-1 et seq.), the "Criminal Injuries Compensation Act of 1971."
e. A catastrophically injured crime victim who received a compensation award prior to the enactment of this section may apply for a supplemental award pursuant to the provisions of this section. A denial by the agency of an application made pursuant to the provisions of this subsection shall not be subject to appeal.
f. As used in this section, "catastrophically injured crime victim" means a person who is injured by any act or omission of another person which is within the description of the offenses specified in section 11 of P.L.1971, c.317 (C.52:4B-11) and who has sustained a severe long term or life long personal injury.
##### **§ 52:4B-19** Determination of amount of compensation. {#sec-52-4b-19 omnilex-key=us-nj-statutes--title-52--52:4B-19}
19. In determining the amount of compensation to be allowed by order, the office shall take into consideration amounts received or receivable from any other source or sources by the victim or his dependents as a result of the offense or occurrence giving rise to the application, except that life insurance payments and private donations received by the dependents of the victim shall not be considered as other sources.
Each order for compensation made by the office shall be filed with the Director of the Division of Budget and Accounting and shall constitute authority for payment by the State Treasurer to the person or persons named therein of the amounts specified in such order.
##### **§ 52:4B-19.1** Victims of Crime Compensation Office, annual report to Governor, Legislature. {#sec-52-4b-19.1 omnilex-key=us-nj-statutes--title-52--52:4B-19.1}
1. a. The Attorney General shall direct the Executive Director of the Victims of Crime Compensation Office in the Department of Law and Public Safety to annually submit to the Governor and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1) a report summarizing compensation awarded to victims and other information including, but not limited to, applications for compensation, the number of applications granted and denied and the reasons for the dispositions, the amount of awards, demographics concerning awards, services for which awards were provided, funding received by the office, and any other information deemed relevant by the Attorney General and the executive director.
b. The report shall be based on the State fiscal year and shall be completed within six months following the last day of the previous fiscal year.
c. The report shall be published on the official website of the Department of Law and Public Safety.
##### **§ 52:4B-20** Subrogation of agency to cause of action of victim against person responsible for personal injury or death; liens. {#sec-52-4b-20 omnilex-key=us-nj-statutes--title-52--52:4B-20}
20. a. Whenever an order for the payment of compensation is or has been made for personal injury or death resulting from an act or omission constituting an offense under this act, the agency shall, upon payment of the amount of the order, be subrogated to the cause of action of the applicant against the person or persons responsible for such personal injury or death to recover such payments. With the consent of the board, the agency also shall be entitled to bring an action against such person or persons for the amount of the damage sustained by the applicant. In the event that the amount paid in satisfaction of a judgment entered pursuant to this section is more than the amount paid by reason of the order for payment of compensation, the agency shall pay the balance to the applicant.
b. If a judgment is entered in favor of the agency pursuant to subsection a. of this section to recover payments made to the applicant pursuant to order for payment of compensation, the judgment shall constitute a lien on any and all real and personal property or income in which the person or persons responsible for the personal injury or death has or may acquire an interest, including the net proceeds, after the payment of fees and costs, of any settlement negotiated prior or subsequent to the filing of a lawsuit, any civil judgment, any civil arbitration award and any inheritance payable to the person or persons responsible for the personal injury or death. The lien shall have priority over all other levies and garnishments against the net proceeds of actions identified in this section unless otherwise provided by the Superior Court. The lien shall not have priority over levies to recover unpaid income taxes owed to the State or a judgment for child support entered pursuant to section 1 of P.L.1988, c.111 (C.2A:17-56.23a).
c. All judgments and other related papers required for the purposes of this section shall be received and recorded by the clerk of the Superior Court without payment of fees.
d. To discharge or otherwise compromise any lien or liens arising pursuant to this section, the agency shall file with the clerk of the Superior Court a duly acknowledged certificate setting forth the fact that the agency desires to discharge or amend the lien of record.
e. Any person desiring to secure immediate discharge of any lien arising pursuant to this section may deposit with the court cash in an amount sufficient to cover the amount of the lien or post a bond in an amount and with sureties approved by the court. Upon proper notice to the agency of such deposit or bond, a satisfaction of the lien shall be filed at once with the clerk of the Superior Court.
f. Any person affected in any manner, whether directly or indirectly by any lien arising under this section, and desiring to examine the validity of the lien or the facts and circumstances surrounding the entry of the lien, may do so in an action brought in the county where the lien was filed. The action shall be brought against the agency claiming the lien, and the court may proceed in the action in a summary manner and enter such judgment as it may deem appropriate.
##### **§ 52:4B-21** Severability. {#sec-52-4b-21 omnilex-key=us-nj-statutes--title-52--52:4B-21}
21. If any section or sections of P.L.1971, c.317 or any provision thereof shall be declared to be unconstitutional, invalid or inoperative in whole or in part, such section or provision shall, to the extent that it is not unconstitutional, invalid or inoperative be enforced and effectuated and no such determination shall be deemed to invalidate or make ineffectual the remaining provisions of the sections of P.L.1971, c.317.
##### **§ 52:4B-22** Information booklets, pamphlets. {#sec-52-4b-22 omnilex-key=us-nj-statutes--title-52--52:4B-22}
1. a. Every State, county, and municipal police department and hospital or other place of emergency medical care shall have available and shall post in a public place information booklets, pamphlets or other pertinent written information, to be supplied by the Victims of Crime Compensation Agency, relating to the availability of crime victims' compensation including all necessary application blanks required to be filed with the agency.
b. Included in the information supplied by the Victims of Crime Compensation Agency shall be information for victims of sexual offenses. This information shall contain the location of rape crisis centers in all geographical areas throughout the State and shall instruct victims of sexual offenses that if a rape crisis center is not available in a victim's immediate geographical area, the victim may contact the appropriate county victim-witness coordinator appointed by the Chief of the Office of Victim-Witness Advocacy established pursuant to P.L.1985, c.404 (C.52:4B-39 et seq.). The information shall also provide that victims will not be charged any fee for services that are directly associated with a forensic sexual assault examination, including routine medical screening, medications for prophylaxis of sexually transmitted infections, pregnancy tests, emergency contraception, supplies, equipment and use of space.
Unless the victim requires immediate medical attention, this information shall be personally conveyed to the victim of a sexual offense by a representative of the hospital or place of emergency care before a medical examination of the victim is conducted, or by a representative of the police department before the victim's statement is taken, to afford the victim the opportunity to arrange to have assistance from the rape crisis center or county victim-witness coordinator during these procedures. Hospitals shall be held harmless from suits emanating from a hospital's carrying out the obligation to convey information to victims of sexual offenses.
"Rape crisis center" means an office, institution or center offering assistance to victims of sexual offenses through crisis intervention, medical and legal information and follow-up counseling.
c. Every police department shall, upon the filing of a report of a violent crime, make available to any victim information concerning crime victims' compensation.
##### **§ 52:4B-23** Failure to give notice; immunity from liability; nonalteration of requirements. {#sec-52-4b-23 omnilex-key=us-nj-statutes--title-52--52:4B-23}
2. No cause of action against the State, any county, or any municipality, or any employee thereof, shall arise out of a failure to give the notice required by section 1 of P.L.1981, c.256 (C.52:4B-22), nor shall any such failure be deemed or construed to effect or alter any time limitation or other requirement contained in P.L.1971, c.317 for the filing or payment of a claim hereunder.
##### **§ 52:4B-24** Senior citizens' public awareness program. {#sec-52-4b-24 omnilex-key=us-nj-statutes--title-52--52:4B-24}
3. The agency shall undertake a special senior citizens' public awareness program to make brochures and applications for claim forms available to senior citizens.
##### **§ 52:4B-25** Victim counseling service. {#sec-52-4b-25 omnilex-key=us-nj-statutes--title-52--52:4B-25}
2. a. The Victims of Crime Compensation Office shall establish a victim counseling service which shall identify and develop sources to provide counseling to victims as defined in P.L.1971, c.317. The service shall provide assistance to victims without charge, including information and advice relative to filing a claim with the board, emergency food and clothing, employment opportunities, referral to violence intervention programs and other social service agencies, and in obtaining legal advice or representation. The service shall be conducted at locations within the State as the office deems advisable.
b. The office is authorized to appoint personnel for the service as may be necessary to carry out its functions. Appointments made pursuant to this subsection shall be within the funds appropriated or otherwise made available to the agency for this purpose.
c. (Deleted by amendment, P.L.2007, c.95).
d. The office may also identify and develop sources to provide mental health counseling to victims, and provide victims with information as may be appropriate through its victim counseling service.
##### **§ 52:4B-25.1** Child and family counseling unit. {#sec-52-4b-25.1 omnilex-key=us-nj-statutes--title-52--52:4B-25.1}
1. a. In addition to the victim counseling service established pursuant to section 2 of P.L.1982, c.192 (C.52:4B-25), the Victims of Crimes Compensation Agency shall establish a specialized child and family counseling unit. This unit shall be under the direction of a person appointed by the executive director whose training or experience includes the handling of child abuse cases.
b. The agency is authorized to appoint such personnel for the child and family counseling unit as may be necessary to carry out its functions. Appointments made pursuant to this subsection shall be within the limits of the funds appropriated or otherwise made available to the agency for that purpose.
c. The child and family counseling unit may be principally located in any place as the agency deems advisable, but shall be available to lend assistance to child victims in every county in this State.
##### **§ 52:4B-25.2** Payment for certain victim counseling services. {#sec-52-4b-25.2 omnilex-key=us-nj-statutes--title-52--52:4B-25.2}
1. a. In the event that a person is the victim of a firearm or stabbing injury incurred during the course of an offense described in subsection b. of section 11 of P.L.1971, c.317 (C.52:4B-11), and the person receives counseling in connection with the injury, the entity providing counseling services may directly bill the Victims of Crime Compensation Office for the counseling services, provided that:
(1) the counseling was provided by a licensed psychiatrist, psychologist, social worker, or therapist, or by a peer or support counselor or other individual authorized by the Victims of Crime Compensation Office to provide such counseling while under the supervision of a licensed professional;
(2) the person providing the counseling is affiliated with the hospital where the victim received treatment for the injury or is affiliated with a hospital-based or hospital-linked violence intervention program recognized by the Victims of Crime Compensation Office;
(3) the victim reported the injury to law enforcement within nine months after its occurrence or reasonable discovery, except that, notwithstanding the requirements of section 18 of P.L.1971, c.317 (C.52:4B-18), a report made after such time shall not be deemed to bar a claim for compensation for counseling services if the victim was admitted to the hospital for the injury and the victim consents to the hospital releasing records of the admission to the Victims of Crime Compensation Office;
(4) the victim has consented in writing to the entity directly billing the Victims of Crime Compensation Office pursuant to this section; and
(5) the victim has filed a claim with the Victims of Crime Compensation Office that is deemed eligible for counseling services pursuant to P.L.1971, c.317 (C.52:4B-1 et seq.).
Compensation to be paid for counseling services provided under this section shall be determined in accordance with the provisions of subsection b. of this section and section 19 of P.L.1971, c.317 (C.52:4B-19).
b. The Victims of Crime Compensation Office shall establish by regulation the maximum amount of compensation that may be directly billed pursuant to subsection a. of this section, which in any case shall not exceed $1,000 in connection with a given injury.
c. An entity that directly bills for counseling services pursuant to subsection a. of this section shall not bill the victim or any other person or entity in any amount for any counseling services for which it received compensation from the Victims of Crime Compensation Office pursuant to this section.
##### **§ 52:4B-25.3** Rules, regulations. {#sec-52-4b-25.3 omnilex-key=us-nj-statutes--title-52--52:4B-25.3}
2. The Victims of Crime Compensation Office may, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt such rules and regulations as may be necessary to implement the provisions of this act.
##### **§ 52:4B-34** Short title {#sec-52-4b-34 omnilex-key=us-nj-statutes--title-52--52:4B-34}
This act shall be known and may be cited as the "Crime Victim's Bill of Rights."
##### **§ 52:4B-35** Findings, declarations {#sec-52-4b-35 omnilex-key=us-nj-statutes--title-52--52:4B-35}
The Legislature finds and declares that without the participation and cooperation of crime victims and witnesses, the criminal justice system would cease to function. The rights of these individuals should be given full recognition and protection. The Legislature has the responsibility to enhance and protect the necessary role of crime victims and witnesses in the criminal justice process. In furtherance of this, the improved treatment of these persons should be assured through the establishment of specific rights. These rights are among the most fundamental and important in assuring public confidence in the criminal justice system.
##### **§ 52:4B-36** Findings, declarations relative to rights of crime victims, witnesses. {#sec-52-4b-36 omnilex-key=us-nj-statutes--title-52--52:4B-36}
3. The Legislature finds and declares that crime victims and witnesses are entitled to the following rights:
a. To be treated with dignity and compassion by the criminal justice system;
b. To be informed about the criminal justice process;
c. To be free from intimidation, harassment or abuse by any person including the defendant or any other person acting in support of or on behalf of the defendant, due to the involvement of the victim or witness in the criminal justice process;
d. To have inconveniences associated with participation in the criminal justice process minimized to the fullest extent possible;
e. To make at least one telephone call provided the call is reasonable in both length and location called;
f. To medical assistance reasonably related to the incident in accordance with the provisions of the "Criminal Injuries Compensation Act of 1971," P.L.1971, c.317 (C.52:4B-1 et seq.);
g. To be notified in a timely manner, if practicable, if presence in court is not needed or if any scheduled court proceeding has been adjourned or cancelled;
h. To be informed about available remedies, financial assistance and social services;
i. To be compensated for loss sustained by the victim whenever possible;
j. To be provided a secure, but not necessarily separate, waiting area during court proceedings;
k. To be advised of case progress and final disposition and to confer with the prosecutor's representative so that the victim may be kept adequately informed;
l. To the prompt return of property when no longer needed as evidence;
m. To submit a written statement, within a reasonable amount of time, about the impact of the crime to a representative of the prosecuting agency which shall be considered prior to the prosecutor's final decision concerning whether formal criminal charges will be filed, whether the prosecutor will consent to a request by the defendant to enter into a pre-trial program, and whether the prosecutor will make or agree to a negotiated plea;
n. To make, prior to sentencing, an in-person statement directly to the sentencing court concerning the impact of the crime.
This statement is to be made in addition to the statement permitted for inclusion in the presentence report by N.J.S.2C:44-6;
o. To have the opportunity to consult with the prosecuting authority prior to the conclusion of any plea negotiations, and to have the prosecutor advise the court of the consultation and the victim's position regarding the plea agreement, provided however that nothing herein shall be construed to alter or limit the authority or discretion of the prosecutor to enter into any plea agreement which the prosecutor deems appropriate;
p. To be present at any judicial proceeding involving a crime or any juvenile proceeding involving a criminal offense, except as otherwise provided by Article I, paragraph 22 of the New Jersey Constitution;
q. To be notified of any release or escape of the defendant; and
r. To appear in any court before which a proceeding implicating the rights of the victim is being held, with standing to file a motion or present argument on a motion filed to enforce any right conferred herein or by Article I, paragraph 22 of the New Jersey Constitution, and to receive an adjudicative decision by the court on any such motion.
##### **§ 52:4B-36.1** Rights of victim's survivor relative to a homicide prosecution. {#sec-52-4b-36.1 omnilex-key=us-nj-statutes--title-52--52:4B-36.1}
2. Pursuant to Article I, paragraph 22 of the New Jersey Constitution, in any homicide prosecution:
a. A victim's survivor may, at the time of making the in-person statement to the sentencing court authorized by subsection n. of section 3 of P.L.1985, c.249 (C.52:4B-36), display directly to the sentencing court a photograph of the victim taken before the homicide including, but not limited to, a still photograph, a computer-generated presentation, or a video presentation of the victim. The time, length and content of such presentation shall be within the sound discretion of the sentencing judge; and
b. A victim's survivor may, during any judicial proceeding involving the defendant, wear a button not exceeding four inches in diameter that contains a picture of the victim, if the court determines that the wearing of such button will not deprive the defendant of his right to a fair trial under the Sixth Amendment of the United States Constitution and Article I of the New Jersey Constitution. Other spectators at such judicial proceedings may also wear similar buttons if the court so determines. If the victim's survivor seeks to wear the button at trial, the victim's survivor shall give notice to the defendant and to the court no less than 30 days prior to the final trial date.
##### **§ 52:4B-36.2** Crime victims not required to pay certain costs. {#sec-52-4b-36.2 omnilex-key=us-nj-statutes--title-52--52:4B-36.2}
3. Pursuant to Article I, paragraph 22 of the New Jersey Constitution:
a. A crime victim shall not be required to pay the maintenance, support, rehabilitation, or other costs arising from the imprisonment or commitment of a victimizer as a result of the crime; and
b. A crime victim shall not be charged any fee otherwise prescribed by law or regulation to obtain copies of the victim's own records to which the victim is entitled to access as provided in section 1 of P.L.1995, c.23 (C.47:1A-1.1), including, but not limited to, any law enforcement agency report, domestic violence offense report, and temporary or permanent restraining order.
##### **§ 52:4B-37** "Victim" defined. {#sec-52-4b-37 omnilex-key=us-nj-statutes--title-52--52:4B-37}
4. As used in this act, "victim" means a person who suffers personal, physical or psychological injury or death or incurs loss of or injury to personal or real property as a result of a crime committed by an adult or an act of delinquency that would constitute a crime if committed by an adult, committed against that person. "Victim" also includes the spouse, parent, legal guardian, grandparent, child, sibling, domestic partner or civil union partner of the decedent in the case of a criminal homicide or act of juvenile delinquency that would constitute a criminal homicide if committed by an adult.
##### **§ 52:4B-38** "Tort Claims Act" rights {#sec-52-4b-38 omnilex-key=us-nj-statutes--title-52--52:4B-38}
Nothing contained in this act shall mitigate any right which the victim may have pursuant to the New Jersey Tort Claims Act (N.J.S. 59:1-1 et seq.).
##### **§ 52:4B-39** Definitions. {#sec-52-4b-39 omnilex-key=us-nj-statutes--title-52--52:4B-39}
1. As used in P.L.1985, c.404:
a. "Victim" means a person who suffers personal physical or psychological injury or death or incurs loss of or injury to personal or real property as a result of a crime committed against that person.
b. "Agency" means the Victims of Crime Compensation Agency in the Department of the Treasury.
##### **§ 52:4B-40** Office of Victim-Witness Assistance. {#sec-52-4b-40 omnilex-key=us-nj-statutes--title-52--52:4B-40}
2. There is established under the jurisdiction of the Victims of Crime Compensation Agency in the Department of the Treasury an Office of Victim-Witness Assistance under the supervision of the Director of the Office of Victim-Witness Assistance.
##### **§ 52:4B-40.1** Director of the Office of Victim-Witness Assistance. {#sec-52-4b-40.1 omnilex-key=us-nj-statutes--title-52--52:4B-40.1}
31. The Office of Victim-Witness Assistance shall operate under the direction of the Director of the Office of Victim-Witness Assistance, who shall be appointed by the executive director of the agency. The Director of the Office of Victim-Witness Assistance shall have a minimum of five years of experience in crime victim direct services and advocacy. The appointment made pursuant to this section shall be within the limits of the funds appropriated or otherwise made available to the agency for this purpose.
##### **§ 52:4B-42** Victim-witness rights information program. {#sec-52-4b-42 omnilex-key=us-nj-statutes--title-52--52:4B-42}
4. The victim-witness rights information program shall:
a. Provide victims or their representatives with information about the availability of social and medical services, especially emergency and social services available in the victim's immediate geographical area;
b. Provide victims or their representatives with information about possible compensation under the "Criminal Injuries Compensation Act of 1971," P.L.1971, c.317 (C.52:4B-1 et seq.) and of the sentencing court's authority to order restitution under chapter 43 of Title 2C of the New Jersey Statutes;
c. Provide victims or their representatives with information about how to contact the appropriate county office of victim-witness advocacy and the appropriate county prosecutor's office;
d. Provide a 24-hour toll-free hotline telephone number for victims and witnesses to call with inquiries concerning the information and services available pursuant to this act;
e. Provide victims and witnesses with a detailed description of the rights established under the Crime Victim's Bill of Rights created by P.L.1985, c.249 (C.52:4B-34 et seq.) and Article I, paragraph 22 of the New Jersey Constitution;
f. Gather available information from victim assistance programs throughout the country and make that information available to the Office of Victim-Witness Advocacy, police agencies, hospitals, prosecutors' offices, the courts, and other agencies that provide assistance to victims of crimes;
g. Sponsor conferences to bring together personnel working in the field of victim assistance and compensation to exchange methods and procedures for improving and expanding services to victims;
h. Provide assistance to victims without charge, which assistance shall include information and advice relative to filing a claim with the board, emergency food and clothing, employment opportunities, referral to other social service agencies, and in obtaining legal advice or representation; and
i. Conduct training programs for attorneys and victim service providers.
##### **§ 52:4B-43** Office of Victim-Witness Advocacy {#sec-52-4b-43 omnilex-key=us-nj-statutes--title-52--52:4B-43}
There is established in the Division of Criminal Justice in the Department of Law and Public Safety an Office of Victim-Witness Advocacy under the supervision of the Chief of the Office of Victim-Witness Advocacy.
##### **§ 52:4B-43.1** Continuation of The Victim and Witness Advocacy Fund {#sec-52-4b-43.1 omnilex-key=us-nj-statutes--title-52--52:4B-43.1}
20. a. The Victim and Witness Advocacy Fund, established in the State Treasury by section 2 of P.L.1979, c.396 (C.2C:43-3.1), administered by the Department of Law and Public Safety through the Division of Criminal Justice, pursuant to rules and regulations promulgated by the Director of the Division of Criminal Justice, to support the development and provision of services to victims and witnesses of crimes and for related administrative costs, is hereby continued.
b. The division is authorized to continue disbursing moneys deposited in the Victim and Witness Advocacy Fund to fund the operation of the State Office of Victim and Witness Advocacy, the 21 county offices of Victim and Witness Advocacy and to provide funding to other public entities as deemed appropriate for the implementation of the Attorney General Standards to Ensure the Rights of Crime Victims.
c. In addition, the division, pursuant to rules and regulations to be promulgated by the director to ensure that funds are given to qualified entities that will provide services consistent with this act, shall award grants to qualified public entities and not-for-profit organizations that provide direct services to victims and witnesses, including but not limited to such services as:
(1) shelter, food and clothing;
(2) medical and legal advocacy services;
(3) 24-hour crisis response services and 24-hour hotlines;
(4) information and referral and community education;
(5) psychiatric treatment programs;
(6) expanded services for victims' families and significant others;
(7) short and long term counseling and support groups;
(8) emergency locksmith and carpentry services;
(9) financial services; and
(10) medical testing ordered by a court pursuant to section 4 of P.L.1993, c.364 (C.2C:43-2.2).
d. Organizations eligible to apply for grants under subsection c. of this section include but are not limited to:
(1) member programs of the New Jersey Coalition for Battered Women, including but not limited to
(a) Atlantic County Women's Center;
(b) Shelter Our Sisters, (Bergen County);
(c) Providence House/ Willingboro Shelter, (Burlington County);
(d) YWCA/SOLACE, (Camden County);
(e) Family Violence Project and The Safe House, (Essex County);
(f) People Against Spouse Abuse, (Gloucester County);
(g) Battered Women's Program, (Hudson County);
(h) Women's Crisis Services, (Hunterdon County);
(i) Womanspace, Inc., (Mercer County);
(j) Women Aware, Inc., (Middlesex County);
(k) Women's Resource and Survival Center, (Monmouth County);
(l) Jersey Battered Women's Services, Inc., (Morris County);
(m) Passaic County Women's Center, (Passaic County);
(n) Salem County Women's Services, (Salem County);
(o) Resource Center for Women and Their Families, (Somerset County);
(p) Domestic Abuse Services, Inc., (Sussex County);
(q) Project Protect, (Union County);
(r) Domestic Abuse and Rape Crisis Center, Inc., (Warren County); and
(s) Ocean County Women's Center; and
(2) rape care services and programs, including, but not limited to:
(a) Atlantic County Women's Center, (Atlantic County);
(b) Bergen County Rape Crisis Center, (Bergen County);
(c) Women Against Rape, (Burlington County);
(d) Women Against Rape, (Camden County);
(e) Coalition against Rape and Abuse, (Cape May County);
(f) Cumberland County Guidance Center;
(g) North Essex Helpline and Sexual Assault Support Service, (Essex County);
(h) Gloucester County Rape Assault Prevention Program;
(i) Christ Hospital Mental Health Center, serving Hudson County;
(j) Women's Crisis Services, (Hunterdon County);
(k) Rape Crisis Program Mercer County YWCA, (Mercer County);
(l) Rape Crisis Intervention Center Roosevelt Hospital, (Middlesex County);
(m) Women's Resource Center, (Monmouth County);
(n) Parenting Center, Morristown Hospital, (Morris County);
(o) Ocean County Advisory Commission on the Status of Women, (Ocean County);
(p) Passaic County Women's Center, (Passaic County);
(q) Salem County Rape Crisis Service, (Salem County);
(r) Rape Crisis Service of Somerset and Richard Hall Mental Health Center Somerset County Coalition for the prevention and Treatment of Sexual Abuse;
(s) Project Against Sexual Assault Abuse, (Sussex County);
(t) Union County Rape Crisis Center;
(u) Domestic Abuse and Rape Crisis Center, (Warren County); and
(v) Alternatives to Domestic Violence of Hackensack, N.J. (Bergen County).
e. The Director shall report annually to the Governor and the Legislature concerning the administration of the Victim and Witness Advocacy Fund and the administration and award of grants authorized by this section.
##### **§ 52:4B-43.2** "Sex Crime Victim Treatment Fund." {#sec-52-4b-43.2 omnilex-key=us-nj-statutes--title-52--52:4B-43.2}
2. a. The "Sex Crime Victim Treatment Fund" shall be a separate, nonlapsing, revolving fund and shall be administered by the Victims of Crime Compensation Board established pursuant to section 3 of P.L.1971, c.317 (C.52:4B-3),and all moneys deposited in that fund pursuant to this act shall be used for the provision of counseling and treatment services to victims of specified sex offenses as set forth in section 1 of P.L.2005, c.73 (C.2C:14-10) and the families of these victims.
b. The development and provision of counseling and treatment services to victims and their families shall be pursuant to rules and regulations promulgated by the Victims of Crime Compensation Board. The board shall coordinate these counseling and treatment services with other services offered by the State Office of Victim and Witness Advocacy, the 21 county offices of Victim and Witness Advocacy and as otherwise deemed appropriate for the implementation of the Attorney General Standards to Ensure the Rights of Crime Victims.
##### **§ 52:4B-44** Standards, law enforcement agencies, ensure rights of crime victims. {#sec-52-4b-44 omnilex-key=us-nj-statutes--title-52--52:4B-44}
6. a. The Attorney General shall, through the Office of Victim-Witness Advocacy in the Division of Criminal Justice in the Department of Law and Public Safety and in consultation with the county prosecutors and the Office of Trial and Criminal Justice Process in the Division of Violence Intervention and Victim Assistance, promulgate standards for law enforcement agencies to ensure that the rights of crime victims are enforced.
b. The standards shall require that the Office of Victim-Witness Advocacy in the Division of Criminal Justice and each county prosecutor's office provide the following services upon request for victims and witnesses involved in the prosecution of a case:
(1) Orientation information about the criminal justice system and the victim's and witness's role in the criminal justice process;
(2) Notification of any change in the case status and of final disposition;
(3) Information on crime prevention and on available responses to witness intimidation;
(4) Information about available services to meet needs resulting from the crime and referrals to service agencies, where appropriate;
(5) Advance notice of the date, time and place of the defendant's initial appearance before a judicial officer, submission to the court of any plea agreement, the trial and sentencing;
(6) Advance notice of when presence in court is not needed;
(7) Advice about available compensation, restitution and other forms of recovery and assistance in applying for government compensation;
(8) A waiting or reception area separate from the defendant for use during court proceedings;
(9) An escort or accompaniment for intimidated victims or witnesses during court appearances;
(10) Information about directions, parking, courthouse and courtroom locations, transportation services and witness fees, in advance of court appearances;
(11) Assistance for victims and witnesses in meeting special needs when required to make court appearances, such as transportation and child care arrangements;
(12) Assistance in making travel and lodging arrangements for out-of-State witnesses;
(13) Notification to employers of victims and witnesses, if cooperation in the investigation or prosecution causes absence from work;
(14) Notification of the case disposition, including the trial and sentencing;
(15) Assistance to victims in submitting a written statement to a representative of the county prosecutor's office about the impact of the crime prior to the prosecutor's final decision concerning whether formal charges will be filed;
(16) Advice to victims about their right to make a statement about the impact of the crime for inclusion in the presentence report or at time of parole consideration, if applicable;
(17) Notification to victims of the right to make an in-person statement, prior to sentencing, directly to the sentencing court concerning the impact of the crime;
(18) Expediting the return of property when no longer needed as evidence;
(19) Advise and counsel, or refer for advice or counseling, victims of sexual assault, or other criminal acts involving a risk of transmission of disease, concerning available medical testing and assist such victims, or refer such victims for assistance, in obtaining appropriate testing, counseling and medical care and in making application to the Victims of Crime Compensation Office for compensation for the costs of such testing, counseling and care;
(20) Assistance to victims in submitting a written impact statement to a representative of the county prosecutor's office concerning the impact of the crime which shall be considered prior to the prosecutor's accepting a negotiated plea agreement containing recommendations as to sentence and assistance to victims in securing an explanation of the terms of any such agreement and the reasons for the agreement;
(21) Notification to the victim of the defendant's release from custody which shall include:
(a) notice of the defendant's escape from custody and return to custody following escape;
(b) notice of any other release from custody, including placement in an Intensive Supervision Program or other alternative disposition, and any associated conditions of release;
(c) notice of the filing by an inmate of an application for commutation of sentence pursuant to N.J.S.2A:167-4 and its disposition;
(d) notice of parole consideration pursuant to provisions of P.L.1979, c.441 (C.30:4-123.45 et seq.); and
(e) notice of the pending release of an inmate due to expiration of sentence;
(22) Interpreting services for victims and witnesses when necessary to assist a victim or witness who is hearing impaired or developmentally disabled as defined in section 3 of P.L.1977, c.82 (C.30:6D-3) to understand questions and frame answers; and
(23) Providing any applicable assistance to victims of sexual assault or sexual misconduct who are incarcerated in a State correctional facility that is available to other victims or witnesses.
c. In a case involving a victim of aggravated sexual assault or sexual assault as defined in subsection a. or c. of N.J.S.2C:14-2, the Office of Victim-Witness Advocacy or the county prosecutor's office involved in the case shall:
(1) Notify the victim of the victim's right to obtain an approved serological test for acquired immune deficiency syndrome (AIDS) or infection with the human immunodeficiency virus (HIV) or any other related virus identified as a probable causative agent of AIDS, and assist the victim, or refer the victim for assistance, in obtaining a test and appropriate counseling and medical care;
(2) Notify the victim of the victim's right to obtain a court order pursuant to subsection a. of section 4 of P.L.1993, c.364 (C.2C:43-2.2) requiring the offender to submit to an approved serological test for acquired immune deficiency syndrome (AIDS) or infection with the human immunodeficiency virus (HIV) or any other related virus identified as a probable causative agent of AIDS in the event that the offender is indicted, formally charged, convicted or adjudicated delinquent;
(3) Communicate the request of a victim who agrees to seek an order pursuant to subsection a. of section 4 of P.L.1993, c.364 (C.2C:43-2.2) to the prosecutor handling the case and notify the victim or arrange for the victim to be notified of the test result; and
(4) Assist the victim in applying to the Victims of Crime Compensation Office for compensation for the costs of testing, counseling and medical care.
d. The Attorney General shall, through the Office of Victim-Witness Advocacy and in consultation with the Commissioner of Health, the Superintendent of State Police and representatives of providers of sexual assault services, to be designated by the Director of the Office of Victim-Witness Advocacy, coordinate the establishment of standard protocols for the provision of information and services to victims of sexual assault, and shall make such protocols available to victims upon request, except that the provision of information and services with regard to emergency contraception and sexually transmitted diseases shall be in accordance with P.L.2005, c.50 (C.26:2H-12.6b et al.).
e. In a case involving a victim of human trafficking as defined in section 1 of P.L.2005, c.77 (C.2C:13-8), the Office of Victim-Witness Advocacy or the county prosecutor's office involved in the case shall ensure that the victim of human trafficking obtains assistance in receiving any available benefits or services, including assistance in receiving any necessary certifications or endorsements needed to be recognized as having federal T non-immigrant status for the purpose of receiving any federal benefits or services available pursuant to the "Trafficking Victims Protection Reauthorization Act of 2003," 22 U.S.C. s. 7101 et seq.
f. The Attorney General shall, through the Office of Victim-Witness Advocacy and in consultation with the Commissioner of Health, the Superintendent of State Police and representatives of providers of services to victims of human trafficking, to be designated by the Director of the Office of Victim-Witness Advocacy, coordinate the establishment of standard protocols for the provision of information and services to victims of human trafficking, including coordination of efforts with the appropriate federal authorities pursuant to the "Trafficking Victims Protection Reauthorization Act of 2003," 22 U.S.C. s. 7101 et seq. and shall make such protocols available to victims upon request.
g. The Attorney General, shall, through the Office of Victim-Witness Advocacy and in consultation with the Commissioner of Corrections, promulgate standards to ensure that the rights of female crime victims incarcerated in State correctional facilities are enforced. The standards shall include a requirement that unannounced visits be made to the facilities housing female inmates and random surveys be conducted for the purpose of identifying inmates who are the victims of sexual assault or sexual misconduct; an inmate who is determined to be a victim shall be informed of the available services set forth in subsection b. of this section and, upon request, be provided with any of these services. An inmate chosen by inmates in a housing unit as the liaison between the correctional facility administration and the inmate population shall be provided with a copy of this section of law. The liaison also shall be provided with a summary of the assistance and services available pursuant to subsection b. of this section for dissemination to the inmates in the housing unit.
h. The Office of Victim-Witness Advocacy shall issue, upon request of the Office of Trial and Criminal Justice Process in the Division of Violence Intervention and Victim Assistance, reports regarding the Office of Victim-Witness Advocacy's performance of its duties as may be requested, and all State departments and agencies, boards, commissions, and authorities, as well as municipal and county governing bodies, boards, commissions, and authorities, shall cooperate fully in the preparation of any reports to the extent required and appropriate.
##### **§ 52:4B-44.1** Establishment of standard protocols for provision of information and services to victims of human trafficking, minors charged with prostitution. {#sec-52-4b-44.1 omnilex-key=us-nj-statutes--title-52--52:4B-44.1}
7. The Attorney General shall, in consultation with the Commissioner of the Department of Health and Senior Services, the Commissioner of Children and Families, the Superintendent of State Police and representatives of providers of services to victims of human trafficking and sexually exploited minors, coordinate the establishment of standard protocols for the provision of information and services to victims of human trafficking and to minors under the age of 18 who are charged with prostitution, including coordination of efforts with the appropriate federal authorities pursuant to the "Trafficking Victims Protection Reauthorization Act of 2003," 22 U.S.C. s.7101 et seq. and shall make such protocols available upon request.
##### **§ 52:4B-44.1a** Attorney General, community outreach, victims of human trafficking; pilot program, grants. {#sec-52-4b-44.1a omnilex-key=us-nj-statutes--title-52--52:4B-44.1a}
1. a. The Attorney General shall exercise its authority as head of the Department of Law and Public Safety and chief law enforcement officer of the State to utilize the resources of the department to perform outreach in the community and deliver services to victims of human trafficking in conjunction with other governmental entities, the Victims of Crime Compensation Office, and other victims' rights organizations, through means as the Attorney General deems appropriate, including, but not limited to, the use of a Statewide victim service provider or other public agencies or private service providers, component divisions of the department, family justice centers, or any other resources that may be made available for this purpose.
b. The Attorney General shall be authorized to establish within the limits of funds made available for this purpose a pilot program to award grants to service providers to perform outreach and deliver services to victims of human trafficking in urban municipalities with the highest crime index in this State, according to the most recent Uniform Crime Report prepared by the New Jersey Division of State Police and in municipalities that are located near major maritime transportation hubs and have significant minority populations, as determined by the Attorney General. Application to the pilot program shall be made on forms and pursuant to procedures prescribed by the department, and upon completion, any pilot program shall be evaluated to determine the effectiveness of the pilot program, with a recommendation as to whether the pilot program should be continued, expanded, or made permanent.
##### **§ 52:4B-44.2** Law enforcement training concerning needs of crime victims. {#sec-52-4b-44.2 omnilex-key=us-nj-statutes--title-52--52:4B-44.2}
1. a. At least one law enforcement officer in every State, county, and municipal police department located in the six urban municipalities with the highest crime index in this State, according to the most recent Uniform Crime Report prepared by the New Jersey Division of State Police, shall receive in-service training on the specialized needs of crime victims and available services in accordance with subsection b. of section 9 of P.L.1985, c.404 (C.52:4B-47).
b. The Attorney General shall ensure that at least one law enforcement officer in each police department in these municipalities has successfully completed the required in-service training.
c. The Division of Criminal Justice shall provide assistance to law enforcement agencies in implementing the training requirements of this act.
##### **§ 52:4B-44.3** Information available to victims of sexual assault. {#sec-52-4b-44.3 omnilex-key=us-nj-statutes--title-52--52:4B-44.3}
1. Upon receiving a report of aggravated sexual assault or sexual assault as defined in subsection a. or c. of N.J.S.2C:14-2, the Office of Victim-Witness Advocacy, the county prosecutor's office, or any other law enforcement agency involved in the case shall make a packet of information available to the victim in electronic or paper format that includes, but is not limited to:
a. rights and laws pertaining to victims of sexual assault;
b. the criminal justice process as it pertains to victims of sexual assault;
c. existing medical, counseling, and mental health services available to victims of sexual assault;
d. any additional services available to victims of sexual assault through the Office of Victim-Witness Advocacy;
e. a telephone number, established by the county prosecutor's office involved in the case, that the victim may call at any time for updates concerning the victim's case; and
f. contact information for the appropriate county Office of Victim-Witness Advocacy.
The victim may elect to waive the right to receive the packet of information. Notwithstanding the provisions of any other law, rule, or regulation to the contrary, the Office of Victim-Witness Advocacy, the county prosecutor's office, or any other law enforcement agency involved in the case shall not discuss or provide information regarding crime prevention strategies with an alleged victim of aggravated sexual assault or sexual assault.
##### **§ 52:4B-44.3a** Required timeframe to submit sexual assault forensic evidence kits to appropriate forensic laboratories; retention of certain kits. {#sec-52-4b-44.3a omnilex-key=us-nj-statutes--title-52--52:4B-44.3a}
1. a. Every State, county, and municipal law enforcement agency shall submit every sexual assault forensic evidence kit collected from a victim, who has consented to the release of the evidence to law enforcement, to the appropriate forensic laboratory for testing within 10 calendar days of the victim’s sexual assault medical forensic examination in accordance with guidelines promulgated by the Division of Criminal Justice.
b. Every medical facility or other facility that conducts sexual assault medical forensic examinations shall notify the appropriate law enforcement agency immediately, but in no case more than 24 hours, after the collection of a new sexual assault forensic evidence kit where the victim consents to the release of the evidence to law enforcement.
c. A law enforcement agency that receives a notification pursuant to subsection b. of this section shall take possession of the sexual assault forensic evidence kit within three business days of the notification and submit the sexual assault forensic evidence kit to the appropriate forensic laboratory in accordance with the timeframe set forth in subsection a. of this section.
d. Every sexual assault forensic evidence kit collected from a victim who has not reported the crime to law enforcement or has not consented to the release of the evidence to law enforcement shall be retained in a manner that preserves the evidence for a minimum of 20 years from the date of collection, and where the victim is a minor, for a minimum of 20 years after the victim reaches the age of 18.
e. The victim shall have the right to report the crime to law enforcement and submit the sexual assault forensic evidence kit for testing at any time until the end of the retention period as set forth in subsection d. of this section.
f. The Attorney General shall issue or amend guidelines or directives necessary to effectuate the provisions of this section.
##### **§ 52:4B-44.4** Reporting of sexual assault, criminal sexual contact cases. {#sec-52-4b-44.4 omnilex-key=us-nj-statutes--title-52--52:4B-44.4}
1. a. The Attorney General, in consultation with the county prosecutors, regularly shall report cases of sexual assault and criminal sexual contact in this State. Information to be reported shall include, but not be limited to, the number of sexual assault and criminal sexual contact cases:
(1) reported to law enforcement agencies;
(2) in which reports or complaints were filed by victims;
(3) referred to the county prosecutor;
(4) declined to be prosecuted by the county prosecutor and further classified by categorical description of the reason for declining;
(5) resulting in indictments or other charges;
(6) downgraded from the New Jersey Superior Court to municipal court;
(7) resulting in a plea-agreement and the specific disposition of the case; and
(8) presented for trial and the specific disposition of the case.
b. The Attorney General shall include in the report any other relevant information concerning statutory obligations to respond to and investigate sexual assault or criminal sexual contact cases.
c. The Attorney General annually shall prepare a report summarizing the information required pursuant to subsection a. of this section. The annual report shall not contain any personal or identifying information about any victim. The Attorney General shall submit the annual report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature. The annual report also shall be posted on the official website of the Department of Law and Public Safety.
##### **§ 52:4B-45** County victim-witness coordinators {#sec-52-4b-45 omnilex-key=us-nj-statutes--title-52--52:4B-45}
a. The Chief of the Office of the Victim-Witness Advocacy shall appoint a county victim-witness coordinator in each county.
b. A county victim-witness coordinator shall be responsible for the implementation of the victim-witness rights program in that county.
c. Each county prosecutor shall provide office space, when available, for the victim-witness coordinator of that county.
d. Each municipality may provide office space for these purposes at minimal or no cost.
##### **§ 52:4B-46** Coordination with law enforcement agencies {#sec-52-4b-46 omnilex-key=us-nj-statutes--title-52--52:4B-46}
In providing the information and services mentioned above, the Office of Victim-Witness Advocacy shall coordinate its efforts with the various law enforcement agencies. These agencies are required by P.L. 1985, c. 249 (C. 52:4B-34 et seq.) to inform victims of the availability of this assistance.
##### **§ 52:4B-47** Training. {#sec-52-4b-47 omnilex-key=us-nj-statutes--title-52--52:4B-47}
9. a. The curriculum for police training courses required pursuant to P.L.1961, c.56 (C.52:17B-66 et seq.) shall include training on responding to the needs of crime victims, and specific training on responding to the needs of victims of human trafficking as defined in section 1 of P.L.2005, c.77 (C.2C:13-8), and on services available to provide assistance, including information on federal, State, and local hotlines available to receive reports of and provide assistance to victims of human trafficking.
b. In-service training shall be made available for police officers, assistant prosecutors, county detectives and investigators on specialized needs of crime victims and available services.
##### **§ 52:4B-48** Criminal Justice assistance {#sec-52-4b-48 omnilex-key=us-nj-statutes--title-52--52:4B-48}
The Division of Criminal Justice shall provide assistance to county prosecutors and law enforcement agencies in implementing the guidelines and training requirements of this act.
##### **§ 52:4B-49** Annual reports {#sec-52-4b-49 omnilex-key=us-nj-statutes--title-52--52:4B-49}
a. The Chief of the Office of Victim-Witness Advocacy shall annually report to the Attorney General, through the Director of the Division of Criminal Justice in the Department of Law and Public Safety, on the services provided to victims and witnesses, as required by this act.
b. Each county prosecutor, as part of his annual report to the Attorney General pursuant to subsection b. of section 15 of P.L. 1970, c. 74 (C. 52:17B-111), shall report on the services provided to victims and witnesses, as required by this act.
##### **§ 52:4B-50** Findings, declarations relative to Sexual Assault Nurse Examiner program. {#sec-52-4b-50 omnilex-key=us-nj-statutes--title-52--52:4B-50}
2. The Legislature finds and declares that the Sexual Assault Nurse Examiner program, established pursuant to P.L.1997, c.328, has been successful in ensuring more timely and accurate collection of forensic evidence for use in prosecuting suspected rapists and in creating a compassionate way to treat sexual assault victims, and it is important to establish the program throughout the State of New Jersey.
##### **§ 52:4B-51** Statewide Sexual Assault Nurse Examiner program. {#sec-52-4b-51 omnilex-key=us-nj-statutes--title-52--52:4B-51}
3. The Attorney General shall establish a Statewide Sexual Assault Nurse Examiner program in the Department of Law and Public Safety.
Upon implementation of the certification process for a forensic sexual assault nurse examiner pursuant to section 5 of P.L.2001, c.81 (C.52:4B-53), the county prosecutor in each county shall appoint or designate a certified forensic sexual assault nurse examiner to serve as program coordinator for the program in the county in accordance with the provisions of this section.
a. The county prosecutor may appoint an employee of the prosecutor's office who is a certified forensic sexual assault nurse examiner to serve as program coordinator to administer the program in that county.
b. In a county where the county prosecutor does not appoint an employee of his office to serve as program coordinator, the county prosecutor shall designate a certified forensic sexual assault nurse examiner who is an employee of a licensed health care facility or a county rape care program that is designated by the Division on Women in the Department of Children and Families to serve as the program coordinator. A person designated as a program coordinator pursuant to this subsection shall not be deemed an employee of the county prosecutor's office.
##### **§ 52:4B-52** Duties of program coordinator; "rape care advocate" defined. {#sec-52-4b-52 omnilex-key=us-nj-statutes--title-52--52:4B-52}
4. The program coordinator shall:
a. Coordinate the county Sexual Assault Nurse Examiner program in accordance with standard protocols for the provision of information and services to victims of sexual assault developed by the Attorney General pursuant to subsection d. of section 6 of P.L.1985, c.404 (C.52:4B-44);
b. Perform forensic sexual assault examinations on victims of sexual assault in accordance with the standards developed by the Attorney General and appropriate medical and nursing standards of care;
c. Designate one or more licensed physicians or certified forensic sexual assault nurse examiners to perform forensic sexual assault examinations on victims of sexual assault in accordance with the standards developed by the Attorney General and appropriate medical and nursing standards of care;
d. Develop and implement standardized guidelines for forensic sexual assault examinations performed by designated physicians or certified forensic sexual assault nurse examiners in the county;
e. Develop and implement a standardized education and training program to provide instruction to members of the county Sexual Assault Response Team established pursuant to section 6 of this act which shall include, but not be limited to, instruction in the following areas:
(1) the importance of a coordinated, multi-disciplinary response to a report of sexual assault;
(2) the policies and procedures which govern the responsibilities of each team member;
(3) the psychological effects of sexual assault and rape trauma syndrome on the victim and the victim's family and friends;
(4) the collection, handling and documentation of forensic evidence; and
(5) confidentiality issues associated with the treatment of a victim of sexual assault and the investigation of a report of sexual assault;
f. Establish, in cooperation with licensed health care facilities, private waiting rooms and areas designated for forensic sexual assault examinations and the provision of rape care services in the licensed health care facilities participating in the program;
g. Develop, in cooperation with licensed health care facilities, protocols for the storage of forensic evidence;
h. Provide appropriate services to victims of sexual assault, including the opportunity to tend to personal hygiene needs, obtain fresh clothing and speak with a rape care advocate prior to and during any medical procedure or law enforcement investigation, unless the victim requires immediate medical attention, as appropriate;
i. Collaborate with law enforcement officials and the county rape care program to ensure that the needs of victims of sexual assault are met in a compassionate manner;
j. Participate in regular meetings of the Sexual Assault Nurse Examiner Program Coordinating Council established pursuant to section 7 of this act; and
k. Develop and implement procedures to ensure that victims of sexual assault are not charged any fee for services that are directly associated with forensic sexual assault examinations, including routine medical screening, medications for prophylaxis of sexually transmitted infections, pregnancy tests, emergency contraception, supplies, equipment and use of space.
As used in this section and section 6 of this act, "rape care advocate" means a victim counselor, as defined pursuant to section 3 of P.L.1987, c.169 (C.2A:84A-22.14), who specializes in the provision of rape care services.
##### **§ 52:4B-53** Certification process for forensic sexual assault nurse examiners; qualifications. {#sec-52-4b-53 omnilex-key=us-nj-statutes--title-52--52:4B-53}
5. The Attorney General and the New Jersey Board of Nursing shall jointly establish a certification process for a forensic sexual assault nurse examiner.
a. An applicant for certification as a forensic sexual assault nurse examiner shall be a registered professional nurse licensed in the State and in good standing with the New Jersey Board of Nursing, and shall have the following qualifications:
(1) A minimum of two years of current nursing experience as defined by regulation of the Attorney General pursuant to section 17 of this act;
(2) Certification verifying the completion of a forensic sexual assault nurse examiner training program that meets requirements established by the Attorney General and the New Jersey Board of Nursing; and
(3) Demonstrates clinical competence in performing a forensic sexual assault examination.
b. The Attorney General and the New Jersey Board of Nursing shall certify an applicant who meets the requirements of subsection a. of this section as a certified forensic sexual assault nurse examiner.
##### **§ 52:4B-54** Sexual Assault Response Team in each county. {#sec-52-4b-54 omnilex-key=us-nj-statutes--title-52--52:4B-54}
6. a. The county prosecutor's office in each county shall establish a Sexual Assault Response Team or shall enter into a collaborative agreement with another county to share the services of that county's response team. The response team shall be comprised of: a certified forensic sexual assault nurse examiner, a rape care advocate from the county program established, or designated by the Division on Women in the Department of Children and Families, as provided under section 3 of P.L.2001, c.81 (C.52:4B-51), and a law enforcement official. The response team shall:
(1) respond to a report of sexual assault at the request of a victim of sexual assault pursuant to guidelines established by the Attorney General pursuant to section 17 of P.L.2001, c.81 (C.52:4B-60); and
(2) provide treatment, counseling, legal, and forensic medical services to a victim of sexual assault in accordance with the standard protocols developed by the Attorney General pursuant to subsection d. of section 6 of P.L.1985, c.404 (C.52:4B-44).
b. Each member of the response team shall complete the standardized education and training program developed by the program coordinator pursuant to subsection e. of section 4 of P.L.2001, c.81 (C.52:4B-52).
##### **§ 52:4B-54.1** Sexual assault training course for law enforcement officers. {#sec-52-4b-54.1 omnilex-key=us-nj-statutes--title-52--52:4B-54.1}
1. a. The Division of Criminal Justice shall develop or approve a training course and curriculum for law enforcement officers on the handling, investigation, and response procedures for reports of sexual assault. This training course and curriculum shall be reviewed at least every two years by the division and modified as need may require. The division shall make the curriculum available to all law enforcement agencies in the State.
b. The Attorney General shall be responsible for ensuring that all law enforcement officers complete in-service training triennially on the handling of sexual assault matters.
##### **§ 52:4B-54.2** In-service training course on how to handle, investigate, and respond to reports of sexual assault. {#sec-52-4b-54.2 omnilex-key=us-nj-statutes--title-52--52:4B-54.2}
1. a. The Division of Criminal Justice shall develop or approve a triennial in-service training course and curriculum specifically for every county prosecutor and each assistant county prosecutor to whom sexual assault cases are assigned on how to appropriately handle, investigate, and respond to reports of sexual assault.
b. The training course and curriculum shall include a component emphasizing the value of restorative justice in sexual assault cases.
c. The division shall make the training course and curriculum available to all county prosecutor's offices in the State.
d. The division shall review the training course and curriculum every five years, in consultation with nationally recognized trainers with expertise in trauma informed care and the New Jersey Coalition Against Sexual Assault, and make any necessary modifications.
e. The division may make the training course and curriculum available in an online format, but prosecutors shall complete the course and curriculum in person every six years.
f. The Attorney General shall be responsible for ensuring that all county prosecutors and appropriate assistant county prosecutors triennially complete the in-service training on handling sexual assault matters required by this section.
g. A county prosecutor or assistant county prosecutor appointed after the effective date of P.L.2021, c.66 (C.52:4B-54.2 et al.) shall complete the training course and curriculum within 60 days of the prosecutor's initial appointment. The division shall determine whether training in the handling of sexual assault cases completed by a prosecutor appointed prior to the effective date of P.L.2021, c.66 (C.52:4B-54.2 et al.) complies with the requirements of this section. If the training does not comply with these requirements, the prosecutor shall complete the training course and curriculum required by this section within 60 days of the effective date of P.L.2021, c.66 (C.52:4B-54.2 et al.).
h. The division shall develop an open process pursuant to which the division will accept bids by organizations to assist in developing and providing the training required by this section.
##### **§ 52:4B-55** Sexual Assault Nurse Examiner Program Coordinating Council. {#sec-52-4b-55 omnilex-key=us-nj-statutes--title-52--52:4B-55}
7. a. The Attorney General shall establish a Sexual Assault Nurse Examiner Program Coordinating Council comprised of: the Attorney General, the Director of the Division on Women, the Chief of the Office of Victim-Witness Advocacy, the Executive Director of the Division of Violence Intervention and Victim Assistance, the Executive Director of the New Jersey Coalition Against Sexual Assault, and the Executive Director of the New Jersey Board of Nursing, or their respective designees; a representative from the New Jersey County Prosecutor's Association; and the program coordinators appointed or designated pursuant to section 3 of P.L.2001, c.81 (C.52:4B-51).
The Attorney General, through the sexual assault unit established pursuant to section 8 of P.L.2001, c.81 (C.52:4B-56), and in consultation with the coordinating council, shall oversee the Statewide Sexual Assault Nurse Examiner program and identify and obtain any State and federal funding available to supplement the funds appropriated to operate the program.
b. The coordinating council shall review the effectiveness of the services provided by the State to victims of sexual assault and make recommendations to the Attorney General for any needed changes in the standards, regulations or State policy concerning the provision of victim services.
##### **§ 52:4B-56** Sexual assault unit, Department of Law and Public Safety. {#sec-52-4b-56 omnilex-key=us-nj-statutes--title-52--52:4B-56}
8. The Attorney General shall establish a sexual assault unit within the Division of Criminal Justice in the Department of Law and Public Safety which shall include a sexual assault investigator and a certified forensic sexual assault nurse examiner.
The unit shall consult with the Division of Violence Intervention and Victim Assistance in its oversight of the operation of the county sexual assault nurse examiner programs, and provide assistance to counties in the investigation and prosecution of sexual assaults. The unit shall review all complaints received regarding a county's investigation and prosecution of a sexual assault and shall provide recommendations to the Attorney General regarding the county's investigation and prosecution of the case. The unit also shall provide training to law enforcement officials and county prosecutors, on an ongoing basis, in the investigation and prosecution of sexual assault. Any training the unit may provide to county prosecutors and assistant county prosecutors shall comply with the requirements of section 1 of P.L.2021, c.66 (C.52:4B-54.2).
##### **§ 52:4B-57** Immunity from liability for authorized forensic sexual assault examinations. {#sec-52-4b-57 omnilex-key=us-nj-statutes--title-52--52:4B-57}
9. a. A designated certified forensic sexual assault nurse examiner and a designated licensed physician shall be immune from civil and criminal liability in the performance of the nurse examiner's or physician's duties when acting in response to a request from a law enforcement agency or a program coordinator to perform a forensic sexual assault examination pursuant to the provisions of this act, if the skills and care exercised by the forensic sexual assault nurse examiner or the licensed physician during the examination are those ordinarily exercised by others in the nursing and medical profession, respectively.
b. A licensed health care facility in which a forensic sexual assault examination is performed pursuant to this act shall be immune from civil and criminal liability in the performance of the examination when acting in response to a request from a law enforcement agency or a program coordinator if the care exercised by the licensed health care facility during the examination is that ordinarily exercised by a licensed health care facility.
##### **§ 52:4B-58** Continuation of existing program. {#sec-52-4b-58 omnilex-key=us-nj-statutes--title-52--52:4B-58}
10. Notwithstanding the provisions of this act to the contrary, a county forensic sexual assault nurse examiner program in existence on the effective date of this act may continue to operate in accordance with the standard protocols for the provision of information and services to victims of sexual assault developed by the Attorney General pursuant to subsection d. of section 6 of P.L.1985, c.404 (C.52:4B-44), until the implementation of the certification process for a forensic sexual assault nurse examiner pursuant to section 5 of this act.
##### **§ 52:4B-59** "Statewide Sexual Assault Nurse Examiner Program Fund." {#sec-52-4b-59 omnilex-key=us-nj-statutes--title-52--52:4B-59}
12. There is hereby established the "Statewide Sexual Assault Nurse Examiner Program Fund" as a nonlapsing, revolving fund. This fund shall be administered by the Attorney General, and all moneys deposited therein pursuant to section 11 of P.L.2001, c.81 (C.2C:43-3.6) shall be used in accordance with guidelines established by the Attorney General for the operational expenses of the sexual assault nurse examiner program in each county. This fund shall be used in coordination with and in supplementation of any available federal funding under the "Victims of Crime Act of 1984," 42 U.S.C. s.10601 et seq., or any other grant funding for this purpose.
##### **§ 52:4B-60** Rules, regulations, guidelines. {#sec-52-4b-60 omnilex-key=us-nj-statutes--title-52--52:4B-60}
17. The Attorney General, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations to effectuate the purposes of this act. The Attorney General shall also establish guidelines governing a county Sexual Assault Response Team's response to a report of sexual assault pursuant to the provisions of section 6 of this act.
##### **§ 52:4B-60.1** Short title. {#sec-52-4b-60.1 omnilex-key=us-nj-statutes--title-52--52:4B-60.1}
1. This act shall be known and may be cited as the "Sexual Assault Victim's Bill of Rights."
##### **§ 52:4B-60.2** Findings, declarations relative to the rights of victims of sexual violence. {#sec-52-4b-60.2 omnilex-key=us-nj-statutes--title-52--52:4B-60.2}
2. The Legislature finds and declares that:
a. The enactment of the "Crime Victim's Bill of Rights," P.L.1985, c.249 (C.52:4B-34 et seq.) and the "New Jersey Campus Sexual Assault Victim's Bill of Rights Act," P.L.1994, c.160 (C.18A:61E-1 et seq.) have resulted in significant advances in the recognition and protection of the rights of crime victims and survivors once they enter the criminal justice system;
b. Nonetheless, victims of sexual violence in particular often face circumstances where they may be blamed for the crime, assumed to be fabricating the crime, or taken less seriously than their injuries warrant. These victims are sometimes discouraged from proceeding with their complaints and as a result may not be afforded the protections and rights in the criminal justice system to which they are entitled;
c. Therefore, with no diminution of the legislatively-recognized rights of crime victims, it is the public policy of this State that the criminal justice system accord victims of sexual violence the following rights:
(1) To have any allegation of sexual assault treated seriously; to be treated with dignity and compassion; and to be notified of existing medical, counseling, mental health, or other services available for victims of sexual assault, whether or not the crime is reported to law enforcement;
(2) To be free, to the extent consistent with the New Jersey or United States Constitution, from any suggestion that victims are responsible for the commission of crimes against them or any suggestion that victims were contributorily negligent or assumed the risk of being assaulted;
(3) To be free from any suggestion that victims are to report the crimes to be assured of any other guaranteed right and that victims should refrain from reporting crimes in order to avoid unwanted personal publicity;
(4) When applicable, to no-cost access to the services of a sexual assault response team comprised of: a certified forensic nurse examiner, a confidential sexual violence advocate, and a law enforcement official as provided in accordance with the Attorney General's Standards for Providing Services to Victims of Sexual Assault, and the choice to opt into or out of any of the team's services;
(5) To be informed of, and assisted in exercising, the right to be confidentially or anonymously tested for acquired immune deficiency syndrome (AIDS) or infection with the human immunodeficiency virus (HIV) or any other related virus identified as a probable causative agent of AIDS; and to be informed of, and assisted in exercising, any rights that may be provided by law to compel and disclose the results of testing of a sexual assault suspect for communicable diseases;
(6) To have forensic medical evidence, if collected, retained for a minimum of five years, and to receive information about the status of the evidence upon request in accordance with section 2 of P.L.2024, c.59 (C.52:4B-60.2a);
(7) To choose whether to participate in any investigation of the assault;
(8) To reasonable efforts to provide treatment and interviews in a language in which the victim is fluent and the right to be given access to appropriate assistive devices to accommodate disabilities that the victim may have, whether temporary or long term;
(9) To information and assistance in accessing specialized mental health services; protection from further violence; other appropriate community or governmental services, including services provided by the Victims of Crime Compensation Office; and all other assistance available to crime victims under current law;
(10) To be apprised of the availability and process by which a court may order the taking of testimony from a victim via closed circuit television in accordance with section 1 of P.L.1985, c.126 (C.2A:84A-32.4); and
(11) To be apprised of the availability and process by which to seek protections through a temporary or final protective order under the "Victim's Assistance and Survivor Protection Act," P.L.2015, c.147 (C.2C:14-13 et al.), if the victim believes that the victim is at risk for re-victimization or further harm by the perpetrator.
##### **§ 52:4B-60.2a** Sexual assault victim, right to be informed, certain details. {#sec-52-4b-60.2a omnilex-key=us-nj-statutes--title-52--52:4B-60.2a}
2. a. A victim of a sexual assault offense shall have the right to be informed:
(1) of whether a DNA profile of an assailant was obtained from the processing of forensic medical evidence in a sexual assault case;
(2) of whether a DNA profile of an assailant has been entered into any data bank designed or intended to be used for the retention or comparison of case evidence;
(3) of whether there is a match between the DNA profile of an assailant obtained in the sexual assault case and any DNA profile contained in any data bank designed or intended to be used for the retention or comparison of case evidence. This paragraph shall not apply if disclosure would impede or compromise an ongoing investigation; and
(4) when sexual assault evidence is submitted to a forensic laboratory, when the evidence is compared against any data bank, and of the results of the comparison. This paragraph shall not apply if disclosure would impede or compromise an ongoing investigation.
b. Upon the request of a victim of a sexual assault offense, the law enforcement agency with the primary responsibility for investigating that sexual assault case shall inform the victim of the status of the processing of all evidence collected in that case. The law enforcement agency may require that the victim's request made pursuant to this subsection be in writing.
The law enforcement agency may respond to a victim's request under this section with a written communication or by electronic mail, if an electronic mail address is available. A law enforcement agency is not required by this subsection to communicate with the victim regarding the status of the processing of crime scene evidence unless the victim has made a specific request to do so.
A sexual assault victim may designate another person of the victim's choosing to receive information requested by the sexual assault victim or any notice required under this act.
c. The law enforcement agency with the primary responsibility for investigating a sexual assault case shall provide information to a victim pursuant to this section in a timely manner and, upon request of the victim, advise the victim of any significant changes in the information of which the law enforcement agency is aware. To receive notice under this section, the victim shall inform the law enforcement agency of the name, address, telephone number, and electronic mail address of the person to whom the information should be provided, and of any changes to the information. A person accused or convicted of a crime against the victim shall not have standing to object to any failure to comply with this section. The failure to inform a sexual assault victim with notice or information pursuant to this section shall not be the basis for setting aside the conviction or sentence.
##### **§ 52:4B-60.3** Publication of notice of rights on Internet website, posting at certain locations. {#sec-52-4b-60.3 omnilex-key=us-nj-statutes--title-52--52:4B-60.3}
3. The Attorney General, in consultation with the New Jersey Coalition Against Sexual Assault, shall publish a notice of the rights enumerated in the "Sexual Assault Victim's Bill of Rights" pursuant to subsection c. of section 2 of this act, and shall make this notice available to the public on the Internet website of the Department of Law and Public Safety. All hospital emergency departments, police stations and other law enforcement agencies, sexual violence service organizations, and any other entity informing victims of sexual violence of their rights shall post a copy of this notice in a conspicuous location that is available to the public.
The Attorney General shall incorporate the rights and services enumerated in the "Sexual Assault Victim's Bill of Rights" pursuant to this act and in the "Victim's Assistance and Survivor Protection Act," P.L.2015, c.147 (C.2C:14-13 et al.), in the Attorney General Standards for Providing Services to Victims of Sexual Assault to ensure the compassionate and sensitive delivery of services to all sexual violence victims.
##### **§ 52:4B-60.4** Division of Violence Intervention and Victim Assistance established, Department of Law and Public Safety. {#sec-52-4b-60.4 omnilex-key=us-nj-statutes--title-52--52:4B-60.4}
1. There is hereby established in the Department of Law and Public Safety the Division of Violence Intervention and Victim Assistance. The division shall be under the immediate supervision of an executive director who shall be appointed by and serve at the pleasure of the Attorney General and who shall administer the work of the division under the direction and supervision of the Attorney General. The Attorney General shall fix the compensation of the executive director within the limits of available appropriations.
##### **§ 52:4B-60.5** Division of Violence Intervention and Victim Assistance, work organized, Attorney General. {#sec-52-4b-60.5 omnilex-key=us-nj-statutes--title-52--52:4B-60.5}
2. The Attorney General shall organize the work of the division in bureaus and other organizational units as the Attorney General may determine to be necessary for efficient and effective operation and shall assign to the division employees in the Department of Law and Public Safety as may be necessary to assist the executive director in the performance of the executive director's duties. All employees of the division, except for secretarial and clerical personnel, shall be in the unclassified service of the Civil Service.
##### **§ 52:4B-60.6** Division of Violence Intervention and Victim Assistance, services. {#sec-52-4b-60.6 omnilex-key=us-nj-statutes--title-52--52:4B-60.6}
3. a. The Division of Violence Intervention and Victim Assistance shall oversee and coordinate in the Department of Law and Public Safety all matters related to violence intervention and prevention and victim assistance and services performed by or on behalf of the Attorney General, including, but not limited to:
(1) directly providing, within the limits of resources made available for this purpose, victim and violence intervention and prevention services and coordinating the delivery of the services provided through the various divisions in the Department of Law and Public Safety;
(2) reviewing and overseeing the department's provision of services to victims of crime, human trafficking, and violence and services to communities for the prevention of violence;
(3) monitoring and administering the department's violence intervention and prevention programs, initiatives, and services intended to reduce the cycle of violence and advocating to advance the objectives of these measures;
(4) developing and implementing measures and strategies to better address the needs of underserved victim populations;
(5) assisting, supporting, consulting on and participating in the development and implementation of initiatives, projects, and strategies to address issues related to violence reduction and victim support, including, but not limited to, the development of a State infrastructure for victim assistance and violence intervention and prevention services, formation of a Statewide strategy for the growth and standardization of services, and directing efforts to enhance community engagement and program accountability;
(6) serving as a resource center and facilitator to provide technical assistance and training with respect to victim assistance and violence intervention and prevention services for the purpose of improving access to available services, promoting awareness of available resources and models of services, expanding the scope and availability of these services, and developing new preventative strategies;
(7) building partnerships between, coordinating with, and supporting initiatives to improve public health and safety involving law enforcement entities and victim assistance and violence intervention and prevention service providers;
(8) developing intergovernmental partnerships and engaging in outreach and collaboration efforts with other State, county, and local government agencies on policy and programmatic issues, reforms, and initiatives related to violence intervention, and victim assistance;
(9) safeguarding victims' rights and ensuring appropriate consideration of victims' rights and interests in the performance of public safety, law enforcement, and prosecutorial functions by other divisions in the department;
(10) performing, arranging for, or coordinating community support and assistance programs and services in the aftermath of crimes involving multiple victims such as mass shootings, school shootings, or acts of terrorism; providing assistance to other governmental entities in their response to these crimes; and serving as a repository of resources to assist communities in preparing for these events;
(11) developing grant applications and applying for available grant funding for violence intervention and victim assistance projects and programs on behalf of the department;
(12) receiving and processing, or monitoring the receipt and processing of, applications from State and local government agencies and nonprofit organizations for violence intervention and prevention and victim service or assistance project grants that may be made available from or through the department, including, but not limited to, the promulgation of standards and procedures related to the solicitation, qualification, and award of grants; and
(13) performing other functions as the Attorney General may prescribe.
b. In carrying out its responsibilities, the division shall take steps as it deems appropriate in furtherance of the following objectives:
(1) to promote a trauma-informed approach in the provision of victim and violence intervention and prevention services by the department, other State agencies, and local and county governments providing these services;
(2) to provide and coordinate the provision of services to victims of crime and violence at the State, county, and local levels in order to ameliorate the impact of crime and violence and to prevent future violence;
(3) to promote access to and deployment of services to vulnerable and less accessible victim populations, including, but not limited to, promoting policies that recognize that an individual's status as a prior offender should not be grounds for denial of services that could prevent future violence;
(4) to serve as a point of contact and engagement for community members, stakeholders, crime survivors, former clients, and justice-involved persons to offer input, local knowledge, and collaborative viewpoints for the purpose of improving services and influencing policymaking;
(5) to support and advocate for policies that promote the hiring and recruitment of culturally competent individuals in the field of victim assistance and violence intervention and prevention services;
(6) to promote policies and practices that encourage the use of peer support, such as credible messengers, individuals with lived experience, and trauma survivors in the provision of services;
(7) to identify best practices and evidence-based interventions in the provision of victim and violence intervention and prevention services and promote these measures within the department, other State agencies, and local county governments that provide these services through methods including, but not limited to, training and reporting; and
(8) to provide or direct resources and assistance to communities and victims to address and ameliorate the impact of hate crimes or acts of violence which are motivated by or evince a discriminatory intent.
##### **§ 52:4B-60.7** Victims of Crime Compensation Office, functions, powers, duties transferred employees, certain, unclassified, Civil Service. {#sec-52-4b-60.7 omnilex-key=us-nj-statutes--title-52--52:4B-60.7}
4. a. All the functions, powers, and duties of the Victims of Crime Compensation Office in the Department of Law and Public Safety, originally established as the Victims of Crime Compensation Agency pursuant to P.L.1971, c.317 (C.52:4B-1 et seq.) and continued as the Victims of Crime Compensation Office pursuant to P.L.2007, c.95 (C.52:4B-3.2 et al.) and the Reorganization Plan No. 001-2008, are transferred to the Division of Violence Intervention and Victim Assistance established hereunder.
b. Except for secretarial and clerical personnel, all employees of the Victims of Crime Compensation Office, including the Victims of Crime Compensation Office investigators, shall be in the unclassified service of the Civil Service.
##### **§ 52:4B-60.8** Office of Violence Intervention and Prevention, responsibilities, duties. {#sec-52-4b-60.8 omnilex-key=us-nj-statutes--title-52--52:4B-60.8}
5. a. The Attorney General shall establish an Office of Violence Intervention and Prevention in the Division of Violence Intervention and Victim Assistance in the Department of Law and Public Safety under the supervision of either a Director or Chief of the Office of Violence Intervention and Prevention. The office shall promote and facilitate the performance or provision of violence intervention and prevention services set forth in section 3 of P.L.2023, c.167 (C.52:4B-60.6) and manage and oversee the State's violence intervention and prevention work. The office's responsibilities shall include:
(1) managing and overseeing violence intervention and prevention programs maintained and operated by the department, including, but not limited to, any hospital-based or community-based violence intervention program;
(2) developing, and supporting the effectuation of, policies and projects related to violence intervention and prevention, including, but not limited to, a Statewide infrastructure of violence intervention and prevention services;
(3) assisting and advising community-based programs and local entities in their development and implementation of violence intervention and prevention programs and strategies, including, but not limited to, promoting, supporting, and facilitating, through the provision of training, guidance, and technical assistance, community-based violence intervention and prevention programs that adhere to or incorporate a public health approach to public safety, identifying best practices and evidence-based interventions, and recommending programs and services to be supported by local governing bodies which address community violence;
(4) developing or providing support for the development of a network of community-based organizations and health and mental health providers within the community that offer outreach that supports communities and individuals who experience or are at risk of experiencing community violence;
(5) supporting school-based opportunities to incorporate violence intervention and prevention strategies that address community violence;
(6) promoting the use of peer support services, such as credible messengers or other individuals with lived experience to serve as mentors or role models for individuals who are at risk of engaging in criminal activity or who have a high risk of involvement in violence;
(7) identifying, developing, and prioritizing approaches to violence intervention and prevention that are trauma-informed and promoting solutions that are supportive of and incorporate mental health services; and
(8) establishing partnerships with institutions of higher education and research centers to identify and develop tools for evaluating and measuring the effectiveness of violence intervention and prevention strategies and partnering on grant applications studying or implementing the same.
b. The office may apply for and accept on behalf of the State any grants from the federal government or any agency thereof, or from any foundation, corporation, association or person, and may comply with the terms, conditions, and limitations thereof, for any of the purposes of the office. Any money received may be expended by the division, subject to any limitations imposed in the grants, to effectuate any of the purposes of the office upon warrant of the Director of the Division of Budget and Accounting of the Department of the Treasury on vouchers certified and approved by the director.
c. The Attorney General may establish a local, county, or regional structure for the execution of violence intervention and prevention services set forth in this section.
##### **§ 52:4B-60.9** Office of Victim Support and Assistance, responsibilities, duties. {#sec-52-4b-60.9 omnilex-key=us-nj-statutes--title-52--52:4B-60.9}
6. a. The Attorney General shall establish an Office of Victim Support and Assistance in the Division of Violence Intervention and Victim Assistance in the Department of Law and Public Safety under the supervision of either a Director or Chief of the Office of Victim Support and Assistance. The office shall promote and facilitate the performance or provision of victim support and assistance services set forth in section 3 of P.L.2023, c.167 (C.52:4B-60.6) and oversee the department's victim-related services in a manner consistent with the goal of making victim assistance a key strategy for a public health approach to public safety that prevents violence and victimization. The office's responsibilities shall include:
(1) providing strategy and resources for the State to address the needs of victims of crimes, and through this assistance, to intervene in violence and prevent repeat victimization;
(2) setting departmental policy with respect to victims of crime and violence, including, but not limited to, victims of sexual assault, victims of domestic violence and intimate partner abuse, youth victims, victims of discrimination and bias-based crimes, and immigrant populations;
(3) serving as a repository of resources, information, best practices, and guidance for communities in the aftermath of mass or multiple acts of violence or bias-based acts, and developing policies and partnerships to prevent these incidents;
(4) identifying victim populations in need of support and assistance, including, but not limited to, victims of non-violent offenses, and communities and demographics that are disproportionally affected by violence, and developing policies for these populations;
(5) enhancing access to healing services after incidents of victimization;
(6) providing technical assistance, training, and guidance to other divisions and organizational units within the department relating to the provision of victim support and assistance;
(7) identifying best practices and evidence-based interventions for improving services to victims, and providing resources and toolkits to State and local government agencies to assist in the effective implementation of these strategies;
(8) identifying, developing, and prioritizing trauma-informed approaches to victim assistance and violence intervention that promote solutions that are supportive of and incorporate mental health services;
(9) identifying, developing recommendations on, and setting crime response policies that may impact the range of victim populations, including restorative justice approaches and other solutions; and
(10) identifying and cultivating survivor-centered strategies through guidance, policy and outreach support, and funding.
b. The office may apply for and accept on behalf of the State any grants from the federal government or any agency thereof, or from any foundation, corporation, association, or person, and may comply with the terms, conditions, and limitations imposed in the grants, to effectuate any of the purposes of the office upon warrant of the Director of the Division of Budget and Accounting of the Department of the Treasury on vouchers certified and approved by the director.
c. The Attorney General may designate the Office of Victim Support and Assistance to be the programmatic manager of victim-related federal and State grant funds, including grants issued to the State under the federal Victims of Crime Act and the federal Violence Against Women Act, which are allocated to or administered by the department.
##### **§ 52:4B-60.10** Office of Trial and Criminal Justice Process, responsibilities, duties. {#sec-52-4b-60.10 omnilex-key=us-nj-statutes--title-52--52:4B-60.10}
7. The Attorney General shall establish an Office of Trial and Criminal Justice Process in the Division of Violence Intervention and Victim Assistance in the Department of Law and Public Safety under the supervision of either a Director or Chief of the Office of Trial and Criminal Justice Process. The office shall promote and facilitate the performance or provision of victim support and assistance services set forth in section 3 of P.L.2023, c.167 (C.52:4B-60.6), coordinate and set policy for crime victims as they navigate the criminal justice process, and enhance crime victims' access to services. The office's responsibilities shall include:
(1) advising the New Jersey State Office of Victim-Witness Advocacy and the county prosecutor's victim witness advocates;
(2) receiving and reviewing reports from the Office of Victim-Witness Advocacy and the county prosecutor's victim witness advocates;
(3) setting Statewide policy, identifying best practices, and receiving and reviewing reports regarding performances and compliance with policies and rules for the Office of Victim-Witness Advocacy and the county prosecutor's victim witness advocates;
(4) developing policy for witnesses and victims of crime who are not currently served entities at the State, county, or municipal levels;
(5) identifying best practices and setting policies aimed at better informing and empowering victims of crime; and
(6) coordinating with organizational units under the direction of the Division of Violence Intervention and Victim Assistance and other divisions or departments regarding services affecting victims in the criminal justice process.
##### **§ 52:4B-60.11** Rules, regulations. {#sec-52-4b-60.11 omnilex-key=us-nj-statutes--title-52--52:4B-60.11}
8. The Executive Director of the Division of Violence Intervention and Victim Assistance shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) necessary to implement the provisions of P.L.2023, c.167 (C.52:4B-60.4 et al.).
##### **§ 52:4B-61** Findings, declarations relative to profits related to crime {#sec-52-4b-61 omnilex-key=us-nj-statutes--title-52--52:4B-61}
1. a. The Legislature finds:
(1) The State of New Jersey has a compelling interest in preventing any person who is convicted of a crime from directly or indirectly profiting from the crime or circumstances surrounding the crime.
(2) To that end, the State has established the Victims of Crime Compensation Board to help compensate victims of crime for their loss.
b. The Legislature declares that it is altogether fitting and proper and within the public interest to provide a mechanism where profits from a crime that are received by a convicted person should be available as restitution to the victim of the crime.
##### **§ 52:4B-62** Definitions relative to profits related to crime {#sec-52-4b-62 omnilex-key=us-nj-statutes--title-52--52:4B-62}
2. For the purposes of this act:
a. "Crime" means:
(1) any crime as defined under the laws of this State; or
(2) any offense in any jurisdiction which includes all of the essential elements of any crime as defined under the laws of this State; and
(a) the crime victim was a resident of this State at the time of the commission of the offense; or
(b) the act or acts constituting the offense occurred in whole or in part in this State.
b. "Profits from a crime" means:
(1) any property obtained through or income generated from the commission of a crime of which the defendant was convicted;
(2) any property obtained by or income generated from the sale, conversion or exchange of proceeds of a crime, including any gain realized by such sale, conversion or exchange; and
(3) any property which the defendant obtained or income generated as a result of having committed the crime, including any assets obtained through the use of unique knowledge obtained during the commission of, or in preparation for the commission of, a crime, as well as any property obtained by or income generated from the sale, conversion or exchange of such property and any gain realized by such sale, conversion or exchange.
c. "Funds of a convicted person" means all funds and property received from any source by a person convicted of a crime, or by the representative of such person, including the convicted person's spouse, children, parents, siblings or such other person whom a court of competent jurisdiction may deem to be the alter ego of the convicted person, giving due regard to the purpose and intent of this act, but excluding child support and earned income, where such person:
(1) is an inmate or prisoner serving a sentence under the custody and control of the Department of Corrections and includes funds received on behalf of an inmate or prisoner and deposited in an inmate or prisoner account to the credit of the inmate or prisoner;
(2) is not an inmate or prisoner, but who is serving a sentence of probation or conditional discharge or is presently subject to a term of post release supervision, but shall include earned income earned during a period in which such person was not in compliance with the conditions of probation, conditional discharge or post release supervision; or
(3) is no longer subject to a sentence of probation, conditional discharge or post release supervision, and where, within the previous three years, the full or maximum term or period terminated or expired or such person was granted a discharge by the State Parole Board pursuant to applicable law, or granted a discharge or termination from probation pursuant to applicable law or granted a discharge or termination under applicable federal or State law, rules or regulations prior to the expiration of such full or maximum term or period; and includes only:
(a) those funds paid to such person as a result of any interest, right, right of action, asset, share, claim, recovery or benefit of any kind that the person obtained, or that accrued in favor of such person, prior to the expiration of such sentence, term or period;
(b) any recovery or award collected in a lawsuit after expiration of such sentence where the right or cause of action accrued prior to the expiration or service of such sentence; and
(c) earned income earned during a period in which such person was not in compliance with the conditions of probation, conditional release or post release supervision.
d. "Crime victim" means:
(1) the victim of a crime;
(2) the representative of a crime victim;
(3) a Good Samaritan, as provided in P.L.1963, c.140 (C.2A:62A-2 et seq.);
(4) the Victims of Crime Compensation Board or other governmental agency that has received an application for or provided financial assistance or compensation to the victim.
e. "Earned income" means income derived from one's own labor or through active participation in a business, but does not include income from dividends or investments.
f. "Board" means the Victims of Crime Compensation Board established pursuant to section 3 of P.L.1971, c.317 (C.52:4B-3).
##### **§ 52:4B-63** Requirement for written notice of payment to board {#sec-52-4b-63 omnilex-key=us-nj-statutes--title-52--52:4B-63}
3. a. Every person, firm, corporation, partnership, association or other legal entity, or representative of such person, firm, corporation, partnership, association or entity, which knowingly contracts for, pays, or agrees to pay: (1) any profits from a crime to a person charged with or convicted of that crime, or to the representative of such person, or (2) any funds of a convicted person where such conviction is for a crime and the value, combined value or aggregate value of the payment or payments of such funds exceeds or will exceed $10,000 shall give written notice to the board of the payment or obligation to pay as soon as practicable after discovering that the payment or intended payment constitutes profits from a crime or funds of a convicted person.
b. Notwithstanding subsection a. of this section, whenever the payment or obligation to pay involves funds of a convicted person that a superintendent of a correctional facility receives or will receive on behalf of an inmate or prisoner serving a sentence with the Department of Corrections and deposits or will deposit in an inmate or prisoner account to the credit of the inmate or prisoner and the value, combined value or aggregate value of such funds exceeds or will exceed $10,000, the superintendent shall also give written notice to the board. Further, whenever the State makes payment or has an obligation to pay funds of a convicted person and the value, combined value or aggregate value of such funds exceeds or will exceed $10,000, the State shall also give written notice to the board. In all other instances where the payment or obligation to pay involves funds of a convicted person and the value, combined value or aggregate value of such funds exceeds or will exceed $10,000, the convicted person who receives or will receive such funds, or the representative of such person, shall give written notice to the board.
c. The board, upon receipt of notice of a contract, an agreement to pay or payment of profits from a crime or funds of a convicted person pursuant to subsection a. or b. of this section, or upon receipt of notice of funds of a convicted person from the superintendent where the inmate or prisoner is confined, shall notify all known crime victims of the convicted person of the existence of such profits or funds at their last known address.
##### **§ 52:4B-64** Crime victim right to bring civil action for damages; statute of limitations {#sec-52-4b-64 omnilex-key=us-nj-statutes--title-52--52:4B-64}
4. Notwithstanding any other law to the contrary, any crime victim shall have the right to bring a civil action in a court of competent jurisdiction to recover money damages from a person convicted of a crime of which the crime victim is a victim, or the representative of that convicted person, within three years of the discovery of any profits from a crime or funds of a convicted person, as those terms are defined in this act. Notwithstanding any other provision of law to the contrary, a judgment obtained pursuant to this section shall not be subject to execution or enforcement against the first $1,000 dollars deposited in an inmate account to the credit of the inmate or in a prisoner account to the credit of the prisoner. In addition, where the civil action involves funds of a convicted person and such funds were recovered by the convicted person pursuant to a judgment obtained in a civil action, a judgment obtained pursuant to this section may not be subject to execution or enforcement against a portion thereof. If an action is filed pursuant to this section after the expiration of all other applicable statutes of limitation, any other crime victims must file any action for damages as a result of the crime within three years of the actual discovery of such profits or funds, or within three years of actual notice received from or notice published by the board of such discovery, whichever is later.
##### **§ 52:4B-65** Notice of filing of action to board {#sec-52-4b-65 omnilex-key=us-nj-statutes--title-52--52:4B-65}
5. Upon filing an action pursuant to section 4 of this act, the crime victim shall give notice to the board of the filing by delivering a copy of the summons and complaint to the board. The crime victim may also give such notice to the board prior to filing the action so as to allow the board to apply for any appropriate provisional remedies which are otherwise authorized to be invoked prior to the commencement of an action.
##### **§ 52:4B-66** Actions of board upon receipt of notice from crime victim {#sec-52-4b-66 omnilex-key=us-nj-statutes--title-52--52:4B-66}
6. Upon receipt of a copy of a summons and complaint, or upon receipt of notice from the crime victim prior to filing the action as provided in section 5 of this act, the board shall immediately take such actions as are necessary to:
a. notify all other known crime victims of the alleged existence of profits from a crime or funds of a convicted person by certified mail, return receipt requested, where the victims' names and addresses are known by the board;
b. publish, at least once every six months for three years from the date it is initially notified by a victim, pursuant to section 5 of this act, a legal notice in newspapers of general circulation in the county wherein the crime was committed and in counties contiguous to such county advising any crime victims of the existence of profits from a crime or funds of a convicted person. The board may, in its discretion, provide for such additional notice as it deems necessary;
c. avoid the wasting of the assets identified in the complaint as the newly discovered profits from a crime or as funds of a convicted person.
##### **§ 52:4B-67** Provisional remedies available to board, plaintiff {#sec-52-4b-67 omnilex-key=us-nj-statutes--title-52--52:4B-67}
7. The board, acting on behalf of the plaintiff and all other victims, shall have the right to apply for any and all provisional remedies that are also otherwise available to the plaintiff.
a. The provisional remedies of attachment, injunction, receivership and notice of pendency available to the plaintiff under the civil practice law and rules, shall also be available to the board in all actions under this section.
b. On a motion for a provisional remedy, the moving party shall state whether any other provisional remedy has previously been sought in the same action against the same defendant. The court may require the moving party to elect between those remedies to which it would otherwise be entitled.
##### **§ 52:4B-68** Failure to give notice of payment; notice of hearing, proceedings; findings, penalties {#sec-52-4b-68 omnilex-key=us-nj-statutes--title-52--52:4B-68}
8. a. Whenever it appears that a person or entity has knowingly and willfully failed to give notice in violation of subsection a. of section 3 of this act, the board shall be authorized to serve a notice of hearing upon the person or entity by personal service or by registered or certified mail. The notice shall contain the time, place and purpose of the hearing. In addition, the notice shall be accompanied by a petition alleging facts of an evidentiary character that support or tend to support that the person or entity, who shall be named therein as a respondent, knowingly and willfully failed to give the notice required in subsection a. of section 3 of this act. Service of the notice and petition shall take place at least 15 days prior to the date of the hearing.
b. The chairperson of the board, or any board member designated by the chairperson, shall preside over the hearing. The presiding member shall administer oaths and may issue subpoenas. The presiding member shall not be bound by the rules of evidence or civil procedure, but the presiding member's determination shall be based on a preponderance of the evidence. At the hearing, the burden of proof shall be on the board, which shall be represented by the counsel to the board or another person designated by the board. The board shall produce witnesses and present evidence in support of the alleged violation, which may include relevant hearsay evidence. The respondent, who may appear personally at the hearing, shall have the right of counsel and may cross-examine witnesses and produce evidence and witnesses in his behalf, which may include relevant hearsay evidence. The issue of whether the person who received an alleged payment or obligation to pay committed the underlying crime shall not be relitigated at the hearing. Where the alleged violation is the failure to give notice of a payment amount involving two or more payments the combined value or aggregate value of which exceeds $10,000, no violation shall be found unless it is shown that such payments were intentionally structured to conceal their character as funds of a convicted person. At the conclusion of the hearing, if the presiding member is not satisfied that there is a preponderance of evidence in support of a violation, the member shall dismiss the petition. If the presiding member is satisfied that there is a preponderance of the evidence that the respondent committed one or more violations, the member shall so find. Upon such a finding, the presiding member shall prepare a written statement, to be made available to the respondent and respondent's counsel, indicating the evidence relied on and the reasons for finding the violation. The board shall adopt, promulgate, amend and repeal administrative rules and regulations governing the procedures to be followed with respect to hearings, including rules and regulations for the administrative appeal of a decision made pursuant to this paragraph, provided such rules and regulations are consistent with the provisions of this section.
c. Whenever it is found that a respondent knowingly and willfully failed to give the required notice, the board shall impose an assessment of up to the amount of the payment or obligation to pay and a civil penalty of up to $1,000 or ten percent of the payment or obligation to pay, whichever is greater. If a respondent fails to pay the assessment and civil penalty imposed, the assessment and civil penalty may be recovered from the respondent by an action brought by the Attorney General, upon the request of the board, in any court of competent jurisdiction. The board shall deposit the assessment in an escrow account pending the expiration of the three-year statute of limitations authorized by section 4 of this act to preserve such funds to satisfy a civil judgment in favor of a person who is a victim of a crime committed by the convicted person to whom such failure to give notice relates. The board shall pay the civil penalty to the State Treasurer who shall deposit the money in the State treasury. The board shall then notify any crime victim or crime victims, who may have a claim against the convicted person, of the existence of such moneys. Such notice shall instruct such person or persons that they may have a right to commence a civil action against the convicted person, as well as any other information deemed necessary by the board. Upon a crime victim's presentation to the board of a civil judgment for damages incurred as a result of the crime, the board shall satisfy up to 100 percent of that judgment, including costs and disbursements as taxed by the clerk of the court, with the escrowed fund, but in no event shall the amount of all judgments, costs and disbursements satisfied from such escrowed funds exceed the amount in escrow. If more than one such crime victim indicates to the board that they intend to commence or have commenced a civil action against the convicted person, the board shall delay satisfying any judgment, costs and disbursements until the claims of all such crime victims are reduced to judgment. If the aggregate of all judgments, costs and disbursement obtained exceeds the amount of escrowed funds, the amount used to partially satisfy each judgment shall be reduced to a pro rata share.
After expiration of the three-year statute of limitations period established in section 4 of this act, the board shall review all judgments that have been satisfied from such escrowed funds. In the event no claim was filed or judgment obtained prior to the expiration of the three-year statute of limitations, the board shall return the escrowed amount to the respondent. In the event a claim or claims are pending at the expiration of the statute of limitations, such funds shall remain escrowed until the final determination of all such claims to allow the board to satisfy any judgment which may be obtained by the crime victim. Upon the final determination of all such claims and the satisfaction of up to 100 percent of such claims by the board, the board shall be authorized to impose an additional civil penalty of up to $1,000 or ten percent of the payment or obligation to pay, whichever is greater. Prior to imposing any such penalty, the board shall serve a notice upon the respondent by personal service or by registered or certified mail of the intent of the board to impose such penalty 30 days after the date of the notice and of the opportunity to submit documentation concerning the board`s determination. After imposing and deducting any such additional civil penalty, the board shall distribute 50 percent of the remaining escrowed funds to the State Treasurer, who shall deposit the money in the General Fund for general State purposes. The other 50 percent of the remaining escrowed funds shall be distributed to the board and may be used for purposes the board deems appropriate, including, but not limited to, awarding scholarships pursuant to P.L.2000, c.163 (C.18A:71B-53 et seq.), the Tony Pompelio Commemorative Scholarship Fund Act.
d. Notwithstanding any other provision of law to the contrary, an alleged failure by a convicted person to give notice under this act may not result in proceedings for an alleged violation of the conditions of probation, conditional release or post release supervision unless: one or more claims were made by a crime victim against the convicted person pursuant to this section, and the crime victims board imposes an assessment or penalty upon the convicted person pursuant to this section, and the convicted person fails to pay the total amount of the assessment or penalty within sixty days of the imposition of such assessment or penalty.
e. Records maintained by the board and proceedings by the board or a board member based thereon regarding a claim submitted by a victim or a claimant shall be deemed confidential.
##### **§ 52:4B-69** Cause of action by crime victim for enhanced value of memorabilia gained from crime {#sec-52-4b-69 omnilex-key=us-nj-statutes--title-52--52:4B-69}
9. a. A crime victim shall have a cause of action against any person who offers for sale or purports to offer for sale, any memorabilia or other property or item of the defendant, the value of which is enhanced by the notoriety gained from the commission of the crime.
b. Upon proof, by a preponderance of the evidence, of a person's violation of this section and of resulting damages, the person shall be liable as follows:
(1) To the person or persons injured, for an award in the amount of damages incurred as a result of the sale or purported sale of the defendant's property, including damages for any emotional distress suffered as a result of the sale, such punitive damages as may be assessed, and any reasonable attorney's fees and costs of suit incurred; and
(2) Such injunctive relief as the court may deem necessary to avoid the defendant's continued violation.
##### **§ 52:4B-70** Severability {#sec-52-4b-70 omnilex-key=us-nj-statutes--title-52--52:4B-70}
10. If any provision of this act or the application thereof to any person or circumstance is held invalid, the invalidity shall not affect other provisions or applications of the sections which can be given effect without the invalid provision or application, and to this end the provisions of this act are severable.
##### **§ 52:4B-71** Automatic notification system relative to offender release, relocation. {#sec-52-4b-71 omnilex-key=us-nj-statutes--title-52--52:4B-71}
1. a. The Attorney General shall maintain, or arrange for the State to participate in, an automatic notification system to alert crime victims, witnesses, and other appropriate persons when an offender is released from custody or is transferred within the correctional system.
b. Notification of the offender's change of custody shall be made to persons who have elected to register with the automatic notification system. Victims and witnesses and, as determined by the prosecuting agency, other appropriate persons, shall be provided with the opportunity to supply contact information in order to be notified when the offender's custody status changes. The automatic notification system shall alert the victim, witnesses, and other appropriate persons about the custody status change.
c. If a person who has registered pursuant to this section cannot be contacted through the automatic notification system, notification of the offender's change of custody shall be made to the appropriate investigating agency or county correctional facility and such agency or facility shall use reasonable efforts to notify the person.
d. The Attorney General shall issue a directive to effectuate the purposes of P.L.2013, c.270 (C.52:4B-71 et al.).
##### **§ 52:4B-72** Establishment of family justice centers. {#sec-52-4b-72 omnilex-key=us-nj-statutes--title-52--52:4B-72}
1. a. (1) A county or a non-governmental, community-based agency, in partnership with the county and municipal governments therein, may provide multi-agency governmental and non-governmental assistance, including but not limited to legal, law enforcement, social services, and health care assistance, to any victim of domestic violence as defined in subsection d. of section 3 of P.L.1991, c.261 (C.2C:25-19), sexual assault as defined in N.J.S.2C:14-2, human trafficking as defined in section 1 of P.L.2005, c.77 (C.2C:13-8), or criminal abandonment or neglect of an elderly person or disabled adult as defined in section 1 of P.L.1989, c.23 (C.2C:24-8), as well as assistance to the victim's family members, by establishing a centralized location, to be referred to as a family justice center, through which the victim and family members can request and access all available multi-agency assistance, and this assistance can be efficiently coordinated.
(2) A county or non-governmental, community-based agency may establish more than one family justice center, so long as the same forms of multi-agency governmental and non-governmental assistance are available at each center. If multiple centers are established in a county, they shall coordinate and collaborate with one another with respect to the provision of services.
b. The family justice center shall operate under a director, who shall have, by education, training, or experience, an expertise in victim advocacy, and who may be an existing county official or employee, or a designated professional from a community-based agency. The family justice center shall be additionally staffed by a privacy officer designated by the director, who may be an existing county official or employee, or a professional from a community-based agency, and who is responsible for overseeing the center's privacy policies and procedures, as described in section 4 of this act, concerning the maintenance of confidential records on victims and their family members, and the limited sharing of information from those records and other sources, when consented to by the victim, amongst the providers of assistance at the center, as well as third-party service providers. The county or community-based agency may also provide for any additional administrative and other personnel which it deems necessary for the proper operation of the center.
c. In cooperation with the Judiciary, municipalities, and non-governmental entities, the multi-agency assistance available at a county's or community-based agency's family justice center may be provided by, but is not limited to, the following professionals or volunteers:
(1) law enforcement officers;
(2) county or municipal prosecutors;
(3) representatives from the Judiciary's Domestic Violence Hearing Officer Program;
(4) the county's victim-witness coordinator, defined in section 7 of P.L.1985, c.404 (C.52:4B-45), or a designated representative thereof, or the director or designated representative of a designated county-wide domestic violence agency as defined in subsection c. of section 3 of P.L.2013, c.82 (C.34:11C-3) or rape crisis center as defined in section 1 of P.L.1981, c.256 (C.52:4B-22);
(5) health care professionals, which could include a certified forensic sexual assault nurse examiner who is certified pursuant to the provisions of section 5 of P.L.2001, c.81 (C.52:4B-53);
(6) victim counselors as defined in subsection e. of section 3 of P.L.1987, c.169 (C.2A:84A-22.14), certified domestic violence specialists as defined in subsection c. of section 3 of P.L.2013, c.82 (C.34:11C-3), rape care advocates as defined in section 4 of P.L.2001, c.81 (C.52:4B-52), or representatives of providers of services to victims of human trafficking that have been designated as victim service providers by the Director of the State's Office of Victim-Witness Advocacy pursuant to section 6 of P.L.1985, c.404 (C.52:4B-44);
(7) staff from the county's child advocacy center as defined in section 6 of P.L.1998, c.19 (C.9:6-8.104), or members of the county's multidisciplinary team, established pursuant to that same section, which investigates child abuse and neglect and provides victim services to abused children and their families;
(8) domestic violence shelter staff from shelters which meet all of the standards for operating and service delivery required by the "Shelters for Victims of Domestic Violence Act," P.L.1979, c.337 (C.30:14-1 et seq.);
(9) staff from local governmental or non-governmental, community-based social and human services agencies, including child care services;
(10) staff from the county health department established pursuant to section 6 of P.L.1975, c.329 (C.26:3A2-6), or municipal local health agencies or municipalities' contracting health agencies as described in section 10 of P.L.1975, c.329 (C.26:3A2-10);
(11) staff from the county welfare board, or local assistance boards, municipal advisory committees, or resident helpers involved with services and relief for the poor, as established or appointed pursuant to Title 44 of the Revised Statutes; and
(12) attorneys from Legal Services of New Jersey or its affiliates, or other legal service providers which provide legal assistance in civil matters to the poor.
d. The director of the family justice center shall develop, approve, and provide for a training program, or in the alternative approve the use of a training program offered by a federal, State, or local governmental entity or recognized non-profit organization, for all professionals and volunteers providing assistance at the family justice center, which consists of eight or more hours of instruction annually, covering topics that include, but are not limited to, victims' rights, victim advocacy, risk assessments for victims and their family members and the appropriate case response thereto, and confidentiality issues associated with the treatment and protection of victims and their family members.
##### **§ 52:4B-73** Availability of services. {#sec-52-4b-73 omnilex-key=us-nj-statutes--title-52--52:4B-73}
2. a. The availability of services at a family justice center shall not be made conditional on the basis of a victim's or family member's willingness to cooperate with law enforcement authorities or participate in the criminal justice system, and services shall not be denied if a victim or family member does not cooperate with law enforcement authorities or participate in the criminal justice system.
b. (1) The availability of services at a family justice center shall not be made conditional on the basis of a victim or family member consenting to a criminal history record background check, and a criminal history background check shall not be conducted on a victim or family member without that person's written consent, unless the background check is being done in the course of a criminal investigation.
(2) Services at a family justice center shall not be denied solely on the basis of any victim's or family member's criminal history, or citizenship or immigration status.
##### **§ 52:4B-74** Consultation, development of policies and procedures. {#sec-52-4b-74 omnilex-key=us-nj-statutes--title-52--52:4B-74}
3. a. The director of a family justice center shall consult, and develop policies and procedures in collaboration with non-governmental organizations involved in victim advocacy and services, as well as former victims of domestic violence as defined in subsection d. of section 3 of P.L.1991, c.261 (C.2C:25-19), sexual assault as defined in N.J.S.2C:14-2, human trafficking as defined in section 1 of P.L.2005, c.77 (C.2C:13-8), and criminal abandonment or neglect of an elderly person or disabled adult as defined in section 1 of P.L.1989, c.23 (C.2C:24-8), concerning the family justice center's intake process for victims and family members, the forms of multi-agency assistance available at the center and the coordination thereof, and victim safety, and may consult and develop policies and procedures in collaboration with the organizations and former victims on any other aspect of the center's operations. The director shall also provide a procedure for the receipt, on an ongoing basis, of additional input and evaluations of family justice center operations by those non-governmental organizations and former victims with whom the director consults pursuant to this subsection.
b. The director of a family justice center shall provide a procedure for the receipt, on an ongoing basis, of input and evaluations by all victims and their family members who request and access assistance through the center regarding the center's operations, particularly concerning issues with the provision or coordination of services, and the conduct of the providers of assistance at the center and the center's own personnel.
##### **§ 52:4B-75** Compliance with privacy laws. {#sec-52-4b-75 omnilex-key=us-nj-statutes--title-52--52:4B-75}
4. a. A family justice center shall develop and maintain, under the immediate supervision of the center's privacy officer designated by the director pursuant to subsection b. of section 1 of this act, policies and procedures which comply with all applicable federal and State privacy laws pertaining to the confidentiality of records to be maintained on victims and their family members who request and access assistance through the center.
b. All of the providers of assistance at a family justice center shall comply with the applicable laws on confidentiality and privileged communications concerning their respective professions. Nothing in this section shall be deemed to abrogate or modify any existing handling of confidential records or information, or privileged communications, as set forth and recognized under State or federal constitutional, statutory, or common law, or court rule, including any legal obligation by a provider of assistance to report or disclose to other parties specific information or incidents when the disclosure is mandated under State or federal law or required by court order.
c. (1) A family justice center shall develop and maintain, under the immediate supervision of the center's privacy officer, a procedure to seek and obtain an informed, voluntary, written consent from each victim at the time the victim initially requests to access assistance through the center, which consent shall be reasonably time limited and intended to only permit the collection and subsequent sharing of the victim's and family members' confidential records and information, and the content of otherwise privileged communications, amongst some or all of the center's personnel, some or all of the providers of assistance at the center, and third-party service providers not providing assistance at the center, as agreed to by the victim. A victim shall not be required to provide written consent to the family justice center for the victim or any family member to access services at the center.
(2) (a) At the time of seeking the victim's written consent for the collection and limited sharing of confidential and privileged records, information, and communications, the victim shall also be informed that the limitations of any written consent, if given, shall not prevent the sharing of any records, information, and communications offered by the victim or victim's family members when, as described in subsection b. of this section, there is a mandatory, lawful duty to report to law enforcement officers, prosecutors, or other governmental officers or officials based upon any specific information that is provided by the victim or a family member, the type of incident involved, or if the victim or a family member is a danger to himself, herself, or others, or disclosure is required by a court order. The family justice center shall obtain and maintain on file a written acknowledgment from the victim that the victim is aware that any mandatory, lawful duty to report or to disclose pursuant to court order shall apply regardless of the provisions set forth in any written consent for limited sharing, if provided by the victim.
(b) Except for a mandatory, lawful duty to report or to disclose pursuant to court order as set forth in subsection b. of this section, and the authorized sharing of information concerning a family justice center's operations and utilization by victims and their family members pursuant to section 5 of this act, the family justice center's personnel and the providers of assistance at the center shall not share any confidential or privileged records, information, and communications in any manner, and with any other parties, other than as consented to in the victim's written consent and consistent with the applicable laws on confidentiality and privileged communications concerning their respective professions.
(3) The victim's written consent shall not be deemed to be a more general waiver of confidentiality or privileged communications beyond that which is consented to in the victim's written consent, and beyond that which is consistent with the applicable laws on confidentiality and privileged communications concerning the respective professionals amongst whom any records, information, and communications are shared.
##### **§ 52:4B-76** Authorization to share certain information. {#sec-52-4b-76 omnilex-key=us-nj-statutes--title-52--52:4B-76}
5. a. A family justice center is authorized to share information, as well as recommendations, concerning the center's operations and utilization by victims and their family members, which does not include any personal identifiers of those victims and family members, with Alliance for Hope International, the national, nonprofit organization that assists with the development and operation of new and existing family justice centers and serves as a national membership organization for all centers, when requested by that organization. The information which may be shared includes, but is not limited to:
(1) the number of victims who received assistance, the number of children and other family members of victims who received assistance, and the number of victims, children, and other family members who received assistance multiple times;
(2) the reasons that victims and their family members requested assistance;
(3) the filing, conviction, and dismissal rates for criminal, and disorderly persons and petty disorderly persons cases handled at the center;
(4) subjective and objective measurements of the impacts of centrally located multi-agency services related to the safety, empowerment, and mental and emotional well-being of victims and their family members, and comparison data from victims and family members, if available, on their access to services outside the family justice center model; and
(5) barriers, if any, to receiving available services at a family justice center, including actual or perceived barriers based on immigration status, criminal history, substance use disorder or mental health issues, or privacy concerns, and potential means to mitigate any identified barriers to accessing services and for improving the utilization rate of services.
b. Alliance for HOPE International may file a report, utilizing any information collected pursuant to subsection a. of this section, with the Governor, the Division on Women in the Department of Children and Families, and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), the Legislature, annually or upon request by the Attorney General. The report may include recommendations for expanding or improving the Statewide operation of family justice centers, as well as suggested executive or legislative action, if necessary, to accomplish any recommendations.
## **Chapter 4C**
##### **§ 52:4C-1** Findings, declarations relative to persons mistakenly imprisoned. {#sec-52-4c-1 omnilex-key=us-nj-statutes--title-52--52:4C-1}
1. The Legislature finds and declares that innocent persons who have been convicted of crimes and subsequently imprisoned have been frustrated in seeking legal redress and that such persons should have an available avenue of redress to seek compensation for damages. The Legislature intends by enactment of the provisions of this act that those innocent persons who can demonstrate by clear and convincing evidence that they were mistakenly convicted and imprisoned be able to recover damages against the State.
In light of the substantial burden of proof that must be carried by such persons, it is the intent of the Legislature that the court, in exercising its discretion as permitted by law regarding the weight and admissibility of evidence submitted pursuant to this section, may, in the interest of justice, give due consideration to difficulties of proof caused by the passage of time, the death or unavailability of witnesses, the destruction of evidence or other factors not caused by such persons or those acting on their behalf.
##### **§ 52:4C-2** Suit for damages. {#sec-52-4c-2 omnilex-key=us-nj-statutes--title-52--52:4C-2}
2. a. Notwithstanding the provisions of any other law, any person convicted and subsequently imprisoned for one or more crimes which he did not commit may, under the conditions hereinafter provided, bring a suit for damages in Superior Court against the Department of the Treasury.
b. Any award of damages to such person in an action against the State or any political subdivision thereof or against any employee of the State or any political subdivision thereof with respect to the same subject matter shall be offset by any award of damages awarded under this act.
##### **§ 52:4C-3** Evidence claimant must establish. {#sec-52-4c-3 omnilex-key=us-nj-statutes--title-52--52:4C-3}
3. The person (hereinafter titled, "the claimant") shall establish the following by clear and convincing evidence:
a. That he was convicted of a crime and subsequently sentenced to a term of imprisonment, served all or any part of his sentence; and
b. He did not commit the crime for which he was convicted; and
c. He did not commit or suborn perjury, fabricate evidence, or by his own conduct cause or bring about his conviction. Neither a confession or admission later found to be false shall constitute committing or suborning perjury, fabricating evidence, or causing or bringing about his conviction under this subsection; and
d. He did not plead guilty to the crime for which he was convicted.
##### **§ 52:4C-4** Time to bring suit. {#sec-52-4c-4 omnilex-key=us-nj-statutes--title-52--52:4C-4}
4. The suit, accompanied by a statement of the facts concerning the claim for damages, verified in the manner provided for the verification of complaints in civil actions, shall be brought by the claimant within a period of two years after his release from imprisonment, or after the grant of a pardon to him; provided, however, that any eligible claimant released or pardoned during the five-year period prior to May 2, 1996 shall have two years from the effective date of this act to file a suit.
##### **§ 52:4C-5** Damages, attorney fees. {#sec-52-4c-5 omnilex-key=us-nj-statutes--title-52--52:4C-5}
5. a. (1) Damages awarded under this act shall not exceed the greater of:
(a) twice the amount of the claimant's income in the year prior to his incarceration; or
(b) $50,000 for each year of incarceration.
(2) In the event that damages exceed $1 million, the court may order that the award be paid as an annuity with a payout over a maximum period of 20 years. The court shall consider the best interests of the claimant in making such determination.
b. In addition to the damages awarded pursuant to subsection a., the claimant shall be entitled to receive reasonable attorney fees and costs related to the litigation. A claimant may also be awarded other non-monetary relief as sought in the complaint including, but not limited to vocational training, tuition assistance, counseling, housing assistance, and health insurance coverage as appropriate.
c. Damages awarded under this act shall not be subject to treatment as gross income to the claimant under the provisions of the "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq.
##### **§ 52:4C-6** Noneligibility. {#sec-52-4c-6 omnilex-key=us-nj-statutes--title-52--52:4C-6}
6. a. A person serving a term of imprisonment for a crime other than a crime of which the person was mistakenly convicted shall not be eligible to file a claim for damages pursuant to the provisions of this act.
b. A person shall not be eligible to file a claim for damages pursuant to the provisions of this act if the sentence for the crime of which the person was mistakenly convicted was served concurrently with the sentence for the conviction of another crime.
##### **§ 52:4C-7** Applicability of act. {#sec-52-4c-7 omnilex-key=us-nj-statutes--title-52--52:4C-7}
6. The provisions of this amendatory and supplementary act (P.L.2013, c.171) shall apply to any claimant released from imprisonment or granted a pardon on or after the effective date of this act.
## **Chapter 4D**
##### **§ 52:4D-1** Cigarette smoking, health, financial concerns to State; policy {#sec-52-4d-1 omnilex-key=us-nj-statutes--title-52--52:4D-1}
1. a. Cigarette smoking presents serious public health concerns to the State and to the citizens of the State. The Surgeon General has determined that smoking causes lung cancer, heart disease and other serious diseases, and that there are hundreds of thousands of tobacco-related deaths in the United States each year. These diseases most often do not appear until many years after the person in question begins smoking.
b. Cigarette smoking also presents serious financial concerns for the State. Under certain health care programs, the State may have a legal obligation to provide medical assistance to eligible persons for health conditions associated with cigarette smoking, and those persons may have a legal entitlement to receive such medical assistance.
c. Under these programs, the State pays millions of dollars each year to provide medical assistance for these persons for health conditions associated with cigarette smoking.
d. It is the policy of the State that financial burdens imposed on the State by cigarette smoking be borne by tobacco product manufacturers rather than by the State to the extent that such manufacturers either determine to enter into a settlement with the State or are found culpable by the courts.
e. On November 23, 1998, leading United States tobacco product manufacturers entered into a settlement agreement, entitled the "Master Settlement Agreement," with the State. The Master Settlement Agreement obligates these manufacturers, in return for a release of past, present and certain future claims against them as described therein, to: pay substantial sums to the State, tied in part to their volume of sales; fund a national foundation devoted to the interests of public health; and make substantial changes in their advertising and marketing practices and corporate culture, with the intention of reducing underage smoking.
f. It would be contrary to the policy of the State if tobacco product manufacturers who determine not to enter into such a settlement could use a resulting cost advantage to derive large, short-term profits in the years before liability may arise without ensuring that the State will have an eventual source of recovery from them if they are proven to have acted culpably. It is thus in the interest of the State to require that such manufacturers establish a reserve fund to guarantee a source of compensation and to prevent such manufacturers from deriving large, short-term profits and then becoming judgment-proof before liability may arise.
##### **§ 52:4D-2** Definitions relative to tobacco product manufacturers. {#sec-52-4d-2 omnilex-key=us-nj-statutes--title-52--52:4D-2}
2. As used in this act:
"Adjusted for inflation" means increased in accordance with the formula for inflation adjustment set forth in Exhibit C to the Master Settlement Agreement.
"Affiliate" means a person who directly or indirectly owns or controls, is owned or controlled by, or is under common ownership or control with, another person. Solely for purposes of this definition, the term "owns," "is owned" and "ownership" mean ownership of an equity interest, or the equivalent thereof, of 10% or more, and the term "person" means an individual, partnership, committee, association, corporation or any other organization or group of persons.
"Allocable share" means allocable share as that term is defined in the Master Settlement Agreement.
"Cigarette" means any product that contains nicotine, is intended to be burned or heated under ordinary conditions of use, and consists of or contains:
(1) any roll of tobacco wrapped in paper or in any substance not containing tobacco; or
(2) tobacco, in any form, that is functional in the product, which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette; or
(3) any roll of tobacco wrapped in any substance containing tobacco which, because of its appearance, the type of tobacco used in the filler, or its packaging and labeling, is likely to be offered to, or purchased by, consumers as a cigarette described in paragraph (1) of this definition.
The term "cigarette" includes "roll-your-own," which means any tobacco that, because of its appearance, type, packaging, or labeling is suitable for use and likely to be offered to, or purchased by, consumers as tobacco for making cigarettes. For purposes of this definition of "cigarette," 0.09 ounces of "roll-your-own" tobacco shall constitute one individual "cigarette."
"Master Settlement Agreement" means the settlement agreement, and related documents, entered into on November 23, 1998 by the State and leading United States tobacco product manufacturers.
"Qualified escrow fund" means an escrow arrangement with a federally or State chartered financial institution having no affiliation with any tobacco product manufacturer and having assets of at least $1,000,000,000 where such arrangement requires that such financial institution hold the escrowed funds' principal for the benefit of releasing parties and prohibits the tobacco product manufacturer placing the funds into escrow from using, accessing or directing the use of the funds' principal except as consistent with paragraph (2) of subsection b. of section 3 of this act.
"Released claims" means released claims as that term is defined in the Master Settlement Agreement.
"Releasing parties" means releasing parties as that term is defined in the Master Settlement Agreement.
"Tobacco Product Manufacturer" means an entity that after the date of enactment of this act directly, and not exclusively through any affiliate:
(1) manufactures anywhere cigarettes that the manufacturer intends to be sold in the United States, including cigarettes intended to be sold in the United States through an importer; provided, however, that an entity that manufactures cigarettes that it intends to be sold in the United States shall not be considered to be a tobacco product manufacturer under this paragraph (1) if (a) such cigarettes are sold in the United States exclusively through an importer that is an original participating manufacturer, as that term is defined in the Master Settlement Agreement, that will be responsible for the payments under the Master Settlement Agreement with respect to such cigarettes as a result of the provisions of subsection II(mm) of the Master Settlement Agreement and that pays the taxes specified in subsection II(z) of the Master Settlement Agreement, and (b) the manufacturer of such cigarettes does not market or advertise such cigarettes in the United States;
(2) is the first purchaser anywhere for resale in the United States of cigarettes manufactured anywhere that the manufacturer does not intend to be sold in the United States; or
(3) becomes a successor of an entity described in paragraph (1) or (2) of this definition.
The term "tobacco product manufacturer" shall not include an affiliate of a tobacco product manufacturer unless such affiliate itself falls within any of paragraphs (1) through (3) of this definition.
"Units sold" means the number of individual cigarettes on which the State has the authority under federal law to impose excise or similar taxes, regardless of whether such taxes were imposed or collected by the State, that were sold in the State by the applicable tobacco product manufacturer, whether directly or through a distributor, retailer or similar intermediary or intermediaries, during the year in question. The State Treasurer shall promulgate such regulations as are necessary to ascertain the amount of State excise tax paid on the cigarettes of, and number of units sold by, such tobacco product manufacturer for each year.
##### **§ 52:4D-3** Responsibilities of tobacco product manufacturer. {#sec-52-4d-3 omnilex-key=us-nj-statutes--title-52--52:4D-3}
3. Any tobacco product manufacturer selling cigarettes to consumers within the State, whether directly or through a distributor, retailer or similar intermediary or intermediaries, after the date of enactment of this act shall do one of the following:
a. become a participating manufacturer, as that term is defined in section II(jj) of the Master Settlement Agreement, and generally perform its financial obligations under the Master Settlement Agreement; or
b. (1) place into a qualified escrow fund by April 15 of the year following the year in question the following amounts, as such amounts are adjusted for inflation:
(a) 1999, $.0094241 per unit sold after the date of enactment of this act;
(b) 2000, $.0104712 per unit sold;
(c) for each of 2001 and 2002, $.0136125 per unit sold;
(d) for each of 2003 through 2006, $.0167539 per unit sold; and
(e) for each of 2007 and each year thereafter, $.0188482 per unit sold.
(2) A tobacco product manufacturer that places funds into escrow pursuant to paragraph (1) of this subsection shall receive the interest or other appreciation on such funds as earned. Such funds themselves shall be released from escrow only under the following circumstances:
(a) to pay a judgment or settlement on any released claim brought against such tobacco product manufacturer by the State or any releasing party located or residing in the State. Funds shall be released from escrow under this subparagraph: (i) in the order in which they were placed into escrow; and (ii) only to the extent and at the time necessary to make payments required under such judgment or settlement;
(b) to the extent that the tobacco product manufacturer establishes that the amount that it was required to place into escrow on account of units sold in the State in a particular year was greater than the Master Settlement Agreement payments, as determined pursuant to section IX(i) of that Agreement including after final determination of all adjustments, that such manufacturer would have been required to make on account of such units sold had it been a participating manufacturer, the excess shall be released from escrow and revert back to the tobacco product manufacturer; or
(c) to the extent not released from escrow under subparagraph (a) or (b) of this paragraph, funds shall be released from escrow and revert back to the tobacco product manufacturer 25 years after the date on which they were placed into escrow.
(3) Each tobacco product manufacturer that elects to place funds into escrow pursuant to this subsection shall annually certify to the Attorney General that it is in compliance with this subsection. The Attorney General may bring a civil action on behalf of the State against any tobacco product manufacturer that fails to place into escrow the funds required under this section. Any tobacco product manufacturer that fails in any year to place into escrow the funds required under this section shall:
(a) be required within 15 days to place such funds into escrow as shall bring it into compliance with this section. The court, upon a finding of a violation of this subsection, may impose a civil penalty, to be paid into the General Fund, in an amount not to exceed 5% of the amount improperly withheld from escrow per day of the violation and in a total amount not to exceed 100% of the original amount improperly withheld from escrow;
(b) in the case of a knowing violation, be required within 15 days to place such funds into escrow as shall bring it into compliance with this section. The court, upon a finding of a knowing violation of this subsection, may impose a civil penalty, to be paid into the General Fund, in an amount not to exceed 15% of the amount improperly withheld from escrow per day of the violation and in a total amount not to exceed 300% of the original amount improperly withheld from escrow; and
(c) in the case of a second knowing violation, be prohibited from selling cigarettes to consumers within the State, whether directly or through a distributor, retailer or similar intermediary or intermediaries, for a period not to exceed two years.
Each failure to make an annual deposit required under this section shall constitute a separate violation. A person who violates this section shall pay the State's costs and attorney's fees incurred during a successful prosecution under this paragraph (3).
##### **§ 52:4D-3.1** Effect of holding of unconstitutionality, repeal. {#sec-52-4d-3.1 omnilex-key=us-nj-statutes--title-52--52:4D-3.1}
2. If this act, or any portion of the amendment made in section 1 of this act amending subparagraph (b) of paragraph (2) of subsection b. of section 3 of P.L.1999, c.148 (C.52:4D-3), is held by a court of competent jurisdiction to be unconstitutional, then such subparagraph (b) shall be deemed to be repealed in its entirety. If paragraph (2) of subsection b. of section 3 of P.L.1999, c.148 (C.52:4D-3) shall thereafter be held by a court of competent jurisdiction to be unconstitutional, then this act shall be deemed repealed, and subparagraph (b) of paragraph (2) of subsection b. of section 3 of P.L.1999, c.148 (C.52:4D-3) restored as if no such amendment had been made. Neither any holding of unconstitutionality nor the repeal of subparagraph (b) of paragraph (2) of subsection b. of section 3 of P.L.1999, c.148 (C.52:4D-3), shall affect, impair or invalidate any other portion of section 3 of P.L.1999, c.148 (C.52:4D-3), or the application of such section to any other person or circumstance, and such remaining portions of section 3 of P.L.1999, c.148 (C.52:4D-3) shall at all times continue in full force and effect.
##### **§ 52:4D-3.2** Annual report to Joint Budget Oversight Committee. {#sec-52-4d-3.2 omnilex-key=us-nj-statutes--title-52--52:4D-3.2}
3. The State Treasurer shall submit an annual report to the Joint Budget Oversight Committee on or before December 31 of each year setting forth a list of the amount of payments by and refunds to Participating Manufacturers and Non-Participating Manufacturers for the previous fiscal year and a list of any payments of penalties required under section 3 of P.L.1999, c.148 (C.52:4D-3) for the previous fiscal year.
##### **§ 52:4D-4** Findings, declarations relative to enforcement of the Model Statute {#sec-52-4d-4 omnilex-key=us-nj-statutes--title-52--52:4D-4}
1. The Legislature finds and declares that facilitating the diligent enforcement of P.L.1999, c.148 (C.52:4D-1 et seq.), the so-called "Model Statute" contemplated by the "Master Settlement Agreement" which settled tobacco-related litigation between the settling states, including New Jersey, and leading United States tobacco product manufacturers, is beneficial to the public interest. The Model Statute requires tobacco product manufacturers that are not participants in the Master Settlement Agreement to pay into a qualified escrow fund to guarantee a source of compensation to pay any future judgment or settlement that may be reached with the State. Overall tobacco industry compliance with the provisions of the Model Statute will be encouraged by requiring cigarette distributors to stamp and distribute only cigarettes of tobacco product manufacturers that are in compliance with the act and by requiring holders of certificates of authority under P.L.1990, c.39 (C.54:40B-1 et seq.) and other persons that collect or pay the tax on a tobacco product as defined in section 2 of P.L.1990, c.39 (C.54:40B-2) that is also defined as a cigarette under section 2 of P.L.1999, c.148 (C.52:4D-2) to distribute only the tobacco products of tobacco product manufacturers that are in compliance with the act. The establishment of additional procedural enhancements and penalties related to these requirements will aid the State in its continuing diligent enforcement of this law and thereby safeguard the Master Settlement Agreement and the effectuation of the goals of the tobacco litigation settlement, which in turn will have a salutary effect on the fiscal soundness of the State and the public health.
##### **§ 52:4D-5** Definitions relative enforcement of the Model Statute {#sec-52-4d-5 omnilex-key=us-nj-statutes--title-52--52:4D-5}
2. As used in this act, unless the context otherwise requires, the following words and terms shall have the following meanings:
"Brand family" means all styles of cigarettes sold under the same trademark and differentiated from one another by means of additional modifiers or descriptors, including, but not limited to, "menthol," "lights," "kings," and "100's" and includes any similar use of a brand name, alone or in conjunction with any other word, trademark, logo, symbol, motto, selling message, recognizable pattern of colors, or any other indicia of product identification identical or similar to, or identifiable with, a previously known brand of cigarettes.
"Cigarette" has the same meaning as that term is defined in section 2 of P.L.1999, c.148 (C.52:4D-2).
"Director" means the Director of the Division of Taxation in the Department of the Treasury.
"Licensed distributor" means a person that is authorized pursuant to P.L.1948, c.65 (C.54:40A-1 et seq.), to affix tax stamps or impress or attach metered impressions of tax to packages or other containers of cigarettes or any person that is required to pay the excise tax imposed pursuant to P.L.1948, c.65 (C.54:40A-1 et seq.).
"Master Settlement Agreement" means the settlement agreement, and related documents, entered into on November 23, 1998 by the State and leading United States tobacco product manufacturers.
"Non-Participating Manufacturer" means any tobacco product manufacturer that is not a participating manufacturer.
"Participating Manufacturer" has the meaning given that term in Section II(jj) of the Master Settlement Agreement and all amendments thereto.
"Qualified escrow fund" has the same meaning as prescribed for that term under section 2 of P.L.1999, c.148 (C.52:4D-2).
"Tobacco product manufacturer" has the same meaning as prescribed for that term under section 2 of P.L.1999, c.148 (C.52:4D-2).
"Units sold" has the same meaning as prescribed for that term under section 2 of P.L.1999, c.148 (C.52:4D-2).
##### **§ 52:4D-6** Certification by tobacco product manufacturer as to compliance {#sec-52-4d-6 omnilex-key=us-nj-statutes--title-52--52:4D-6}
3. a. Every tobacco product manufacturer whose cigarettes are sold in this State, whether directly or through a distributor, retailer or similar intermediary or intermediaries, annually shall execute and deliver in the manner prescribed by the Attorney General a certification to the director and Attorney General no later than April 30, certifying under penalty of perjury that, as of the date of such certification, such tobacco product manufacturer either is a participating manufacturer or is in full compliance with the requirements of P.L.1999, c.148 (C.52:4D-1 et seq.).
(1) A participating manufacturer shall include in its certification a complete list of its brand families. The participating manufacturer shall update such list no later than 30 days prior to any addition or modification to brand families by executing and delivering a supplemental certification to the Attorney General.
(2) A non-participating manufacturer shall include in its certification a complete list of all of its brand families: (a) separately listing brand families of cigarettes and the number of units sold for each brand family that were sold in the State during the preceding calendar year; (b) all of its brand families that have been sold in the State at any time during the current calendar year; (c) indicating, by an asterisk, any brand family sold in the State during the preceding calendar year that is no longer being sold in the State as of the date of the certification; and (d) identifying by name and address any other manufacturer of those brand families in the preceding calendar year. The non-participating manufacturer shall update the list no later than 30 days prior to any addition or modification to its brand families by executing and delivering a supplemental certification to the Attorney General.
(3) In the case of a non-participating manufacturer, the certification shall further certify: (a) that the non-participating manufacturer is registered to do business in the State or has appointed a resident agent for service of process and provided notice thereof as required by subsection b. of section 6 of this act; (b) that the non-participating manufacturer has (i) established and continues to maintain a qualified escrow fund; and (ii) executed a qualified escrow agreement that has been reviewed and approved by the Attorney General and that governs the qualified escrow fund; (c) that the non-participating manufacturer is in full compliance with P.L.1999, c.148 (C.52:4D-1 et seq.), and this act, and any regulations promulgated pursuant thereto; (d) (i) the name, address and telephone number of the financial institution at which the non-participating manufacturer has established the qualified escrow fund required pursuant to section 3 of P.L.1999, c.148 (C.52:4D-3), and all regulations promulgated thereto; (ii) the account number of the qualified escrow fund and sub-account number for the State of New Jersey; (iii) the amount the non-participating manufacturer placed in the fund for units sold in the State during the preceding calendar year, the date and amount of each of those deposits, and such evidence or verification as may be deemed necessary by the Attorney General to confirm the foregoing; and (iv) the amounts of and dates of any withdrawal or transfer of funds the non-participating manufacturer made at any time from the fund or from any other qualified escrow fund into which it has ever made escrow payments pursuant to section 3 of P.L.1999, c.148 (C.52:4D-3) and all regulations promulgated thereto.
b. A tobacco product manufacturer shall not include a brand family in its certification unless:
(1) in the case of a participating manufacturer, that participating manufacturer affirms that the brand family is to be deemed to be cigarettes of the participating manufacturer for purposes of calculating its payments under the Master Settlement Agreement for the relevant year, in the volume and shares determined pursuant to the Master Settlement Agreement; and
(2) in the case of a non-participating manufacturer, that non-participating manufacturer affirms that the brand family is to be deemed to be cigarettes of the non-participating manufacturer for purposes of calculating its units sold pursuant to section 3 of P.L.1999, c.148 (C.52:4D-3).
Nothing in this section shall be construed as limiting or otherwise affecting the State's right to maintain that a brand family constitutes cigarettes of a different tobacco product manufacturer for purposes of calculating payments under the Master Settlement Agreement or for purposes of P.L.1999, c.148 (C.52:4D-1 et seq.).
c. A tobacco product manufacturer shall maintain all invoices and documentation of sales and any other information relied upon for the certification for a period of five years, unless otherwise required by law to maintain them for a longer period of time.
##### **§ 52:4D-7** Development, publication of directory listing compliers {#sec-52-4d-7 omnilex-key=us-nj-statutes--title-52--52:4D-7}
4. a. Not later than 60 days after enactment of this act, the Attorney General shall develop and publish through the Internet a directory listing all tobacco product manufacturers that have provided current and accurate certifications conforming to the requirements of subsection a. of section 3 of this act in a timely manner, pursuant to the initial schedule provided in section 9 of this act, and all brand families that are listed in those certifications, except as noted below.
b. The Attorney General shall not include or retain in the directory the name or brand families of any non-participating manufacturer that fails to provide the required certification or whose certification the Attorney General determines is not in compliance with paragraph (2) or paragraph (3) of subsection a. of section 3 of this act, unless the Attorney General has determined that the violation has been cured to the satisfaction of the Attorney General.
c. The Attorney General shall not include or retain a tobacco product manufacturer or brand family in the directory if the Attorney General concludes that (1) in the case of a non-participating manufacturer all escrow payments required pursuant to section 3 of P.L.1999, c.148 (C.52:4D-3), for any period for any brand family, whether or not listed by that non-participating manufacturer, have not been fully paid into a qualified escrow fund governed by a qualified escrow agreement that has been approved by the Attorney General, or (2) all outstanding final judgments, including interest thereon, for violations of P.L.1999, c.148 (C.52:4D-1 et seq.) have not been fully satisfied for that brand family and that manufacturer.
d. The Attorney General shall update the directory as necessary in order to correct mistakes and to add or remove a tobacco product manufacturer or brand families to keep the directory in conformity with the requirements of this act.
##### **§ 52:4D-7.1** Requirements for listing in directory of manufacturers. {#sec-52-4d-7.1 omnilex-key=us-nj-statutes--title-52--52:4D-7.1}
5. A non-participating manufacturer shall not be listed in the directory of manufacturers established pursuant to section 4 of P.L.2003, c.25 (C.52:4D-7) unless and until it posts a bond for the benefit of the State in the manner described herein:
a. The bond shall be posted by corporate surety located within the United States in an amount equaling the greatest required escrow due from the non-participating manufacturer or its predecessor for any of the four preceding calendar years or $25,000, whichever amount is higher;
b. The bond shall be conditioned on the performance by the non-participating manufacturer of all its duties and obligations imposed by section 3 of P.L.1999, c.148 (C.52:4D-3), section 3 of P.L.2003, c.25 (C.52:4D-6), section 5 of P.L.2003, c.25 (C.52:4D-8) and section 6 of P.L.2003, c.25 (C.52:4D-9);
c. If a non-participating manufacturer that posted a bond has failed to make or have made on its behalf deposits equal to the full amount of escrow owed for a given year, within fifteen days following the due date for the deposit the State may execute upon the bond to recover any amount the non-participating manufacturer failed to deposit into escrow, as well as civil penalties, the costs of investigation, costs of the action and reasonable attorneys' fees pursuant to subsections a. and c. of section 8 of P.L.2003, c.25 (C.52:4D-11); and
d. Beginning on April 30, 2015, the bond shall be posted or updated by the end of each quarter of each calendar year as a condition to the inclusion of a non-participating manufacturer and its brand families in the directory of manufacturers, and proof of the sufficiency of such bond shall be submitted quarterly.
##### **§ 52:4D-8** Unlawful practices {#sec-52-4d-8 omnilex-key=us-nj-statutes--title-52--52:4D-8}
5. It shall be unlawful for any person: a. to affix a tax stamp or impress or attach a metered impression of tax to a package or other container of cigarettes of a tobacco product manufacturer or brand family not included in the directory established pursuant to section 4 of this act, or, b. to sell, offer or possess for sale in this State, cigarettes of a tobacco product manufacturer or brand family not included in the directory established pursuant to this act.
##### **§ 52:4D-9** Registered agent necessary for listing of non-resident, non-participating manufacturer; responsibility for escrow deposit. {#sec-52-4d-9 omnilex-key=us-nj-statutes--title-52--52:4D-9}
6. a. Any non-resident or foreign non-participating manufacturer that has not registered to do business in this State as a foreign corporation or business entity shall, as a condition precedent to having its brand families listed or retained in the directory established pursuant to section 4 of this act, appoint and continually engage without interruption the services of an agent in New Jersey to act as agent for the service of process on whom all process, and any action or proceeding against it concerning or arising out of the enforcement of the act and P.L.1999, c.148 (C.52:4D-1 et seq.), may be served in any manner authorized by law. Such service shall constitute legal and valid service of process on the non-participating manufacturer. The non-participating manufacturer shall provide the name, address, telephone number and proof of the appointment and availability of such agent to the Attorney General.
b. A non-participating manufacturer shall provide notice to the director and Attorney General not later than 30 calendar days prior to termination of the authority of an agent and shall further provide proof to the satisfaction of the Attorney General of the appointment of a new agent no less than five calendar days prior to the termination of an existing agent appointment. If an agent terminates an agency appointment, the non-participating manufacturer shall notify the director and Attorney General of that termination within five calendar days and shall include proof to the satisfaction of the Attorney General of the appointment of a new agent.
c. A non-participating manufacturer whose products are sold in this State, without appointing or designating an agent as herein required shall be deemed to have appointed the Secretary of State as that agent and may be proceeded against in the courts of this State by service of process upon the Secretary of State; provided however, that the appointment of the Secretary of State as that agent shall not satisfy the condition precedent to having its brand families listed or retained in the directory established pursuant to section 4 of P.L.2003, c.25 (C.52:4D-4 et seq.).
d. Any person who imports cigarettes of a foreign non-participating manufacturer for sale in this State, whether directly or through a distributor, retailer, or similar intermediary or intermediaries, shall be jointly and severally responsible for any escrow deposit required by section 3 of P.L.1999, c.148 (C.52:4D-3), to the extent that the non-participating manufacturer failed to deposit the required escrow amount. Such person shall also be subject to the provisions of subsections a. and c. of section 8 of P.L.2003, c.25 (C.52:4D-11).
##### **§ 52:4D-10** Submission of information. {#sec-52-4d-10 omnilex-key=us-nj-statutes--title-52--52:4D-10}
7. a. Within 20 days after the end of each calendar quarter, and more frequently if so directed by the director, each licensed distributor and each holder of a certificate of authority pursuant to section 6 of P.L.1990, c.39 (C.54:40B-6) shall submit such information as the director requires to facilitate compliance with this section, including, but not limited to, a list by brand family of the total number of cigarettes or in the case of roll your own, the equivalent stick count, for which the licensed distributor affixed stamps or impressed or attached metered impressions or for which the holder of the certificate of authority otherwise paid the tax due for such cigarettes during the previous calendar quarter. Each licensed distributor and holder of a certificate of authority shall, for a period of five years, maintain, and make available to the director and the Attorney General, all invoices and documentation of sales of all cigarettes sold by the licensed distributor or holder of a certificate of authority that were manufactured by a non-participating manufacturer and any other information relied upon in reporting to the director.
b. The director is authorized to disclose to the Attorney General any information received under P.L.2003, c.25 (C.52:4D-4 et seq.) or requested by the Attorney General for purposes of determining compliance with and enforcing the provisions of P.L.2003, c.25 (C.52:4D-4 et seq.). The director and Attorney General shall share with each other the information received under P.L.2003, c.25 (C.52:4D-4 et seq.), and may share such information with other federal, State or local agencies only for purposes of enforcement of P.L.2003, c.25 (C.52:4D-4 et seq.), P.L.1999, c.148 (C.52:4D-1 et seq.), or the corresponding laws of other states, and with the data clearinghouse or similar entity established pursuant to the settlement with respect to the non-participating manufacturer adjustment, as such adjustment is described in the provisions of section IX(d) of the Master Settlement Agreement.
c. The Attorney General may require at any time that a non-participating manufacturer provide from the financial institution in which the manufacturer has established a qualified escrow fund for the purpose of compliance with P.L.1999, c.148 (C.52:4D-1 et seq.), proof of the amount of money in the fund being held on behalf of the State and the dates of deposits, and listing the amounts of all withdrawals from the fund and the dates thereof.
d. In addition to the information required to be submitted pursuant to this section, the director or Attorney General may require a stamping agent, licensed distributor, holder of a certificate of authority pursuant to section 6 of P.L.1990, c.39 (C.54:40B-6), or tobacco product manufacturer to submit any additional information including, but not limited to, samples of the packaging or labeling of each brand family, as is necessary to enable the Attorney General to determine whether a tobacco product manufacturer is in compliance with this act.
e. To promote compliance with the provisions of P.L.2003, c.25 (C.52:4D-4 et seq.), the Attorney General may promulgate regulations requiring a tobacco product manufacturer subject to the requirements of paragraph (2) of subsection a. of section 3 of P.L.2003, c.25 (C.52:4D-6) to make the escrow deposits required in more frequent installments during the year in which the sales covered by the deposits are made. The Attorney General may require production of information sufficient to enable the Attorney General to determine the adequacy of the amount of the installment deposit.
##### **§ 52:4D-11** Additional penalties. {#sec-52-4d-11 omnilex-key=us-nj-statutes--title-52--52:4D-11}
8. a. In addition to or in lieu of any other civil or criminal remedy provided by law, upon a determination that any person has violated section 5 of P.L.2014, c.85 (C.52:4D-7.1) or section 5 of P.L.2003, c.25 (C.52:4D-8) or subsection d. of section 6 of P.L.2003, c.25 (C.52:4D-9) or any regulation adopted pursuant thereto, the director may revoke or suspend the license of any person pursuant to section 203 of P.L.1948, c.65 (C.54:40A-5) or revoke or suspend the holder's certificate of authority pursuant to procedures applicable to the suspension of a license set forth in section 203 of P.L.1948, c.65 (C.54:40A-5). Each stamp or metered impression affixed and each offer to sell cigarettes in violation of section 5 of P.L.2003, c.25 (C.52:4D-8) shall constitute a separate violation. For each violation hereof, the director may also impose a civil penalty in an amount not to exceed the greater of 500% of the retail value of the cigarettes sold or $5,000 upon a determination of violation of section 5 of P.L.2003, c.25 (C.52:4D-8) or any regulations adopted pursuant thereto.
b. Any cigarettes that have been sold, offered for sale or possessed for sale in this State in violation of section 5 of P.L.2003, c.25 (C.52:4D-8) shall be deemed contraband, without regard to whether the violation was knowing under section 607 of P.L.1948, c. 65 (C.54:40A-30), and those cigarettes shall be subject to seizure and forfeiture as provided in section 607, and all cigarettes so seized and forfeited shall be destroyed and not resold.
c. The Attorney General, on behalf of the director, may seek an injunction to restrain a threatened or actual violation of: section 5 of P.L.2014, c.85 (C.52:4D-7.1); section 5 of P.L.2003, c.25 (C.52:4D-8); or subsection d. of section 6 of P.L.2003, c.25 (C.52:4D-9); or subsection a. or subsection b. of section 7 of P.L.2003, c.25 (C.52:4D-10) by a licensed distributor or a holder of a certificate of authority pursuant to section 6 of P.L.1990, c.39 (C.54:40B-6) and to compel the licensed distributor or holder of a certificate of authority to comply with the requirements provided therein. In any action brought pursuant to this section, the State shall be entitled to recover the costs of investigation, costs of the action and reasonable attorney fees.
d. It shall be unlawful for any person to sell or distribute cigarettes or acquire, hold, own, possess, transport, import, or cause to be imported cigarettes that the person knows or should know are intended for distribution or sale in the State in violation of section 5 of P.L.2003, c.25 (C.52:4D-8). A violation of this subsection shall be a crime of the third degree.
##### **§ 52:4D-12** Determination to list, remove from list, review. {#sec-52-4d-12 omnilex-key=us-nj-statutes--title-52--52:4D-12}
9. a. A determination of the Attorney General to not list or to remove from the directory a brand family or tobacco product manufacturer shall be subject to review in the manner prescribed by the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
b. No person shall be issued a license or granted a renewal of a license to act as a stamping agent, or a certificate of authority pursuant to section 6 of P.L.1990, c.39 (C.54:40B-6), unless that person has certified in writing, under penalty of perjury that the person will comply fully with this section.
c. Notwithstanding the dates otherwise prescribed in this act:
(1) the first report required after enactment of this act by a licensed distributor or a holder of a certificate of authority pursuant to subsection a. of section 7 of this act shall be due 30 days after enactment of this act;
(2) the first certification required after enactment of this act by a tobacco product manufacturer described in subsection a. of section 3 of this act shall be due 45 days after enactment of this act; and
(3) the first publication required after enactment of this act of the directory described in subsection a. of section 4 of this act shall be completed within 90 days after the enactment of this act.
d. The Attorney General may promulgate regulations necessary to effect the purposes of this act.
e. In any action brought by the State to enforce this act, the State shall be entitled to recover the costs of investigation, expert witness fees, costs of the action and reasonable attorney fees.
f. If a court determines that a person has violated this act, the court shall order any profits, gain, gross receipts or other benefit from the violation to be disgorged and paid to the State Treasurer. Unless otherwise expressly provided, the remedies or penalties provided by this act are cumulative, and in addition to the remedies or penalties available under all other laws of this State.
##### **§ 52:4D-13** Findings, declarations relative to tobacco Master Settlement Agreement; maximum total appeal bond {#sec-52-4d-13 omnilex-key=us-nj-statutes--title-52--52:4D-13}
1. a. The Legislature finds and declares that:
(1) New Jersey receives hundreds of millions of dollars annually as a result of the Master Settlement Agreement. These funds have been used to provide important services for the citizens of the State, including tobacco-use prevention, elder care, pharmaceutical assistance, health insurance for the working poor, cancer research, and school renovation and construction. If this reliable revenue stream were jeopardized, the State might be forced to cut many vital services and programs.
(2) Recent jury verdicts in private litigation against tobacco manufacturers who were signatories to the Master Settlement Agreement have resulted in a $145 billion class action judgment, which is on appeal, and other large judgments. A plaintiff can typically collect such judgments while an appeal is proceeding, meaning that a defendant's assets can be taken even while it appeals.
(3) A defendant can prevent a plaintiff from taking its assets while it appeals in two ways, by posting a bond under State law or by declaring bankruptcy. If a tobacco company faced with a large judgment could not afford to post a bond under State law it might be forced to declare bankruptcy, and this could interrupt the flow of payments to the State under the Master Settlement Agreement. This would hurt the residents of New Jersey.
(4) New Jersey law requires a defendant to post a bond at least equal to the full amount of the judgment. This may not be possible for the signatories to the Master Settlement Agreement in light of the size of the judgments they are facing. The Legislature finds that it is strongly in the public interest to ensure that a Master Settlement Agreement signatory has access to a full appeal of an adverse judgment before its financial soundness, and its payments to the State, are threatened by the judgment, and thus to ensure that a Master Settlement Agreement signatory is not forced into bankruptcy due to its inability to post a bond pending appeal of an adverse judgment. In furtherance of this compelling public interest the Legislature finds that a maximum appeal bond should be established for cases involving Master Settlement Agreement signatories, successors and affiliates.
(5) The Legislature declares that nothing in this act, P.L.2003, c.195 (C.52:4D-13), is intended to affect the liability of a tobacco manufacturer in any litigation. This act merely ensures that a Master Settlement Agreement signatory, a successor of a signatory, or any affiliate of a signatory, can fully appeal an adverse judgment, thereby avoiding the necessity of seeking a stay in the bankruptcy court. This, in turn, will protect not only New Jersey but all states participating in the Master Settlement Agreement by preserving the uninterrupted flow of tobacco settlement revenues.
b. In order to secure and protect the monies to be received as a result of the Master Settlement Agreement, as defined in section 2 of P.L.1999, c.148 (C.52:4D-2), in civil litigation under any legal theory involving a signatory, a successor of a signatory, or any affiliate of a signatory to the Master Settlement Agreement, the appeal bond to be furnished during the pendency of all appeals or discretionary reviews by any appellate courts in order to stay the execution of any judgment granting legal, equitable or other relief during the entire course of appellate review shall be set in accordance with applicable laws or court rules, except that the total appeal bond that is required of all appellants collectively shall not exceed $50,000,000, regardless of the value of the judgment.
c. Notwithstanding subsection b. of this section, if an appellee proves by a preponderance of the evidence that an appellant is dissipating assets outside the ordinary course of business to avoid payment of a judgment, a court may enter orders that:
(1) are necessary to protect the appellee; and
(2) require the appellant to post a bond in an amount up to the total amount of the judgment.
## **Chapter 5**
##### **§ 52:5-1** State fiscal year {#sec-52-5-1 omnilex-key=us-nj-statutes--title-52--52:5-1}
Except as otherwise expressly provided by law, the fiscal year of the state and of the several state departments, officers and institutions shall begin on the first day of July and end on the thirtieth day of June.
## **Chapter 6**
##### **§ 52:6-12** Appointment; number; designation and description; application; fees {#sec-52-6-12 omnilex-key=us-nj-statutes--title-52--52:6-12}
a. The Secretary of State may appoint such number of commissioners resident in each of the States and territories of the United States and the District of Columbia as he may deem expedient, except where the appointments are incompatible with the laws of the jurisdiction wherein the commissioners reside. Persons thus appointed shall be commissioned by the Governor.
b. Each commissioner so appointed shall be designated a "foreign commissioner of deeds for New Jersey," and may be so described in his appointment and commission or as a "commissioner for taking the acknowledgment or proof of deeds for New Jersey in (such State, territory or district)." He may use either of these designations in his certificates.
c. A person desiring to be appointed and commissioned a foreign commissioner of deeds shall make application to the Secretary of State on a form prescribed by him and endorsed by a member of the Legislature or the Secretary of State or the Assistant Secretary of State. Renewals shall be made in the same manner as the original application. The fees required to be paid for the issuance of any commission to a person appointed as foreign commissioner of deeds for New Jersey shall be paid to the Secretary of State, who shall account to the State Treasurer for the same.
##### **§ 52:6-13** Terms of office; removal by governor {#sec-52-6-13 omnilex-key=us-nj-statutes--title-52--52:6-13}
Commissioners appointed by virtue of section 52:6-12 of this title shall hold office for a term of three years. They may be removed from office at the pleasure of the governor, and shall be removed if it is made to appear to the governor that they have been or are charging more or greater fees than are allowed by law.
##### **§ 52:6-14** Removal from residence as vacating appointment {#sec-52-6-14 omnilex-key=us-nj-statutes--title-52--52:6-14}
Except as provided in section 52:6-15 of this title, if a foreign commissioner removes out of the state, territory or district in which he resides at the time of his appointment, his commission shall thereupon be void.
##### **§ 52:6-15** Foreign commissioner of deeds for adjoining states {#sec-52-6-15 omnilex-key=us-nj-statutes--title-52--52:6-15}
No person shall be denied appointment as a foreign commissioner of deeds of an adjoining state on account of residence outside of that State, provided such person resides in this State. The official acts of such a commissioner resident in this State and performed in an adjoining state shall be as valid and effectual as if he had resided in the adjoining state.
##### **§ 52:6-16** Fee to accompany application for commission {#sec-52-6-16 omnilex-key=us-nj-statutes--title-52--52:6-16}
Each applicant for a commission as a foreign commissioner of deeds for New Jersey shall inclose with his application the fee required by section 22:4-1 of the title Fees and Costs, which shall be returned if a commission is not issued to him.
##### **§ 52:6-17** Official oath; by whom administered {#sec-52-6-17 omnilex-key=us-nj-statutes--title-52--52:6-17}
Each foreign commissioner of deeds shall, before he enters upon the duties of his office, take and subscribe an oath to perform well and faithfully the duties of his office in accordance with the laws of this State. The oath may be administered by any person authorized to do so under R.S. 41:2-1 or R.S. 41:2-17.
##### **§ 52:6-18** Seal; impression of filed with secretary of state {#sec-52-6-18 omnilex-key=us-nj-statutes--title-52--52:6-18}
Each foreign commissioner of deeds shall attest his official acts by an official seal, an impression of which, in wax or other appropriate substance shall, with his official oath, be filed in the office of the secretary of state of this state.
##### **§ 52:6-20** Use and effect of official certificates {#sec-52-6-20 omnilex-key=us-nj-statutes--title-52--52:6-20}
The official certificates of a foreign commissioner of deeds attested by his official seal may be indorsed upon or annexed to any instrument of writing for use or record in this state, and shall be entitled to full faith and credit.
##### **§ 52:6-21** Manual; provision to applicants {#sec-52-6-21 omnilex-key=us-nj-statutes--title-52--52:6-21}
The secretary of state shall provide to each applicant a manual prescribing the powers and duties of a foreign commissioner of deeds.
##### **§ 52:6-22** List of foreign commissioners of deeds {#sec-52-6-22 omnilex-key=us-nj-statutes--title-52--52:6-22}
The secretary of state shall maintain a list of all foreign commissioners of deeds including the dates of their appointment and the expiration of their terms.
## **Chapter 7**
##### **§ 52:7-10** Short title. {#sec-52-7-10 omnilex-key=us-nj-statutes--title-52--52:7-10}
1. Short title.
This act shall be known and may be cited as the "New Jersey Law on Notarial Acts."
##### **§ 52:7-10.1** Definitions. {#sec-52-7-10.1 omnilex-key=us-nj-statutes--title-52--52:7-10.1}
2. Definitions.
As used in P.L.2021, c.179 (C.52:7-10.1 et al.):
a. "Acknowledgment" means a declaration by an individual before a notarial officer that the individual has signed a record for the purpose stated in the record and, if the record is signed in a representative capacity, that the individual signed the record with proper authority and signed it as the act of the individual or entity identified in the record.
b. "Electronic" means relating to technology having electrical, digital, magnetic, wireless, optical, electromagnetic, or similar capabilities.
c. "Electronic signature" means an electronic symbol, sound, or process attached to, or logically associated with, a record and executed or adopted by an individual with the intent to sign the record.
d. "In a representative capacity" means acting as:
(1) An authorized officer, agent, partner, trustee, or other representative for a person other than an individual;
(2) A public officer, personal representative, guardian, or other representative, in the capacity stated in a record;
(3) An agent or attorney-in-fact for a principal; or
(4) An authorized representative of another in any other capacity.
e. "Non-attorney applicant" means an applicant for an initial or renewal commission as a notary public who is not also a licensed attorney-at-law in this State.
f. "Notarial act" means an act, whether performed with respect to a tangible or electronic record, that a notarial officer may perform under the laws of New Jersey. The term includes:
(1) taking an acknowledgment,
(2) administering an oath or affirmation,
(3) taking a verification on oath or affirmation,
(4) witnessing or attesting a signature,
(5) certifying or attesting a copy or deposition, and
(6) noting a protest of a negotiable instrument.
g. "Notarial officer" means a notary public or other individual authorized by law to perform a notarial act.
h. "Notary public" means an individual commissioned by the State Treasurer to perform a notarial act.
i. "Official stamp" means a physical image affixed to or embossed on a tangible record or an electronic image attached to, or logically associated with, an electronic record.
j. "Person" has the meaning ascribed to it in R.S.1:1-2.
k. "Record" means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form.
l. "Sign" means, with present intent to authenticate or adopt a record:
(1) To execute or adopt a tangible symbol; or
(2) To attach to or logically associate with the record an electronic symbol, sound, or process.
m. "Signature" means a tangible symbol or an electronic signature that evidences the signing of a record.
n. "Stamping device" means:
(1) A physical device capable of affixing to or embossing on a tangible record an official stamp; or
(2) An electronic device or process capable of attaching to or logically associating with an electronic record an official stamp.
o. "State" means the State of New Jersey; "other state" or "another state" means any state, the District of Columbia, the Commonwealth of Puerto Rico, the United States Virgin Islands, and any other insular possession or territory of the United States other than the State of New Jersey.
p. "Verification on oath or affirmation" means a declaration, made by an individual on oath or affirmation before a notarial officer, that a statement in a record is true.
##### **§ 52:7-10.2** Course of study; continuing education. {#sec-52-7-10.2 omnilex-key=us-nj-statutes--title-52--52:7-10.2}
6. Course of Study; Continuing Education.
a. The provisions of this section do not apply to notaries public who are also licensed attorneys-at-law in this State.
b. A non-attorney applicant for an initial commission as a notary public pursuant to section 2 of P.L.1979, c.460 (C.52:7-11) shall comply with all educational requirements that the State Treasurer shall set forth in rules adopted pursuant to the "Administrative Procedure Act," P.L.1969, c.410 (C.52:14B-1 et seq.). The State Treasurer shall prescribe and approve a course of study to foster and confirm applicants' understanding of the principles and standards that govern notarial practices. Applicants shall be required to acknowledge that they have read and understood the Notary Public Manual and complete any other educational programs that the Treasurer may require.
c. A non-attorney applicant for renewal of a commission pursuant to section 2 of P.L.1979, c.460 (C.52:7-11) who has previously completed the educational requirements required pursuant to subsection b. of this section at least one time, or who was commissioned for the first time before the effective date of P.L.2021, c.179 (C.52:7-10.1 et al.) shall comply with any additional educational requirements that the State Treasurer sets forth in rules adopted pursuant to the "Administrative Procedure Act," P.L.1969, c.410 (C.52:14B-1 et seq.). The State Treasurer shall prescribe and approve a continuing education course for non-attorney applicants seeking a renewal of a commission pursuant to section 2 of P.L.1979, c.460 (C.52:7-11).
d. The State Treasurer shall prescribe an application form and certificate of approval for any notary public course of study and any notary public continuing education course proposed by a provider. The State Treasurer may also provide a notary public course of study and continuing education course.
e. Any course of study developed pursuant to subsections b. and c. of this section may be given by the State Treasurer or by independent vendors.
f. The State Treasurer shall compile a list of all independent vendors offering an approved course of study and continuing education course pursuant to this section and shall provide the list on the website of the State Treasurer.
g. Any course of study for a non-attorney applicant for an initial commission shall cover the statutes, regulations, procedures, and ethics for notaries public as described in the manual issued by the State Treasurer, and shall include the duties and responsibilities of a notary public. The course of study may be provided by classroom instruction, by online instruction, or by any other method approved by the State Treasurer.
h. Any continuing education course for a non-attorney applicant for renewal of a commission shall cover topics which ensure maintenance and enhancement of skill, knowledge, and competency necessary to perform notarial acts. The continuing education course may be provided by online instruction, classroom instruction, or by any other method approved by the State Treasurer.
i. The Treasurer shall regularly assess the efficacy of the State's notarial education program. The Treasurer shall adjust the program's content as notarial technologies and processes evolve, and publish on the Treasury website, on or before September 30 each year, a report on the state of notary education in New Jersey. The report shall contain a summary of commissioning activity, an assessment regarding the need for new or changed educational content, and the estimated timelines for delivering the new or changed content.
##### **§ 52:7-10.3** Examination. {#sec-52-7-10.3 omnilex-key=us-nj-statutes--title-52--52:7-10.3}
7. Examination.
a. The provisions of this section do not apply to applicants who are licensed attorneys-at-law in this State.
b. The State Treasurer shall prescribe an examination to determine the fitness of a non-attorney applicant to exercise the functions of a notary public as provided in section 2 of P.L.1979, c.460 (C.52:7-11). The examination shall:
(1) be based on the statutes, rules, regulations, procedures, and ethical requirements for notaries public as described in the manual issued by the State Treasurer; and
(2) include the requirements, functions, duties, and responsibilities of a notary public.
c. The examination required by subsection b. may be given by the State Treasurer or by an independent vendor under contract to the State Treasurer. If a contract vendor is utilized, the contract vendor shall develop and administer the examination in accordance with specifications approved by the State Treasurer. The State Treasurer shall have the sole responsibility for establishing minimum qualifications and passing requirements of candidates taking the examination.
d. The State Treasurer shall establish a nonrefundable fee which shall be payable at the examination site. Such fee shall be established or changed by the State Treasurer taking into consideration the fee charged by any independent contract vendor to develop and administer the examination, and consideration of the need to defray any proper expenses incurred by the Department of the Treasury in its administration of any independent contract vendor administering the examination. The fee shall not be fixed at a level that will raise amounts in excess of the amount estimated to be so required.
##### **§ 52:7-10.4** Grounds for State Treasurer to deny application, refuse to renew commission, or revoke, suspend, or limit commission. {#sec-52-7-10.4 omnilex-key=us-nj-statutes--title-52--52:7-10.4}
9. Grounds for State Treasurer to Deny Application, Refuse to Renew Commission, or Revoke, Suspend, or Limit Commission.
a. The State Treasurer may deny an application for commission as a notary public; refuse to renew a commission of a notary public; or suspend, revoke, or otherwise limit the commission of a notary public for any act or omission that demonstrates the individual lacks the honesty, integrity, competence, or reliability necessary to act as a notary public, including:
(1) failure to comply with P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.);
(2) a fraudulent, dishonest, or deceitful misstatement or omission in the application for commission as a notary public submitted to the State Treasurer;
(3) a finding against, or admission of liability by, the applicant or notary public in any legal proceeding or disciplinary action based on fraud, dishonesty, or deceit, including but not limited to a violation of section 1 of P.L.1997, c.1 (C.2C:21-31) or section 1 of P.L.1994, c.47 (C.2C:21-22), but nothing in this paragraph shall be deemed to supersede P.L.1968, c.282 (C.2A:168A-1 et seq.);
(4) a conviction of a crime of the second degree or above, but nothing in this paragraph shall be deemed to supersede P.L.1968, c.282 (C.2A:168A-1 et seq.);
(5) failure by the notary public to discharge any duty required by any law, including P.L.1979, c.460 (C.52:7-10 et seq.), any rules or regulations promulgated thereunder by the State Treasurer, and any other State or federal law;
(6) use of false or misleading advertising or representation by the notary public representing that the notary is commissioned, licensed, or authorized to practice or engage in work that the notary is not commissioned, licensed, or authorized to engage in;
(7) in the case of a notary public who is not an attorney licensed to practice law, any of the following:
(a) giving legal advice;
(b) acting as an immigration consultant or an expert on immigration matters;
(c) otherwise performing the duties of an attorney licensed to practice law in New Jersey;
(d) a disciplinary or other administrative action resulting in a finding of culpability if the applicant holds any professional license regulated by the State; or
(e) creating or reinforcing, by any means, a false impression that the person is licensed to engage in the practice of law in this State or any other state, including, but not limited to, committing a violation of P.L.1994, c.47 (C.2C:21-22) or P.L.1997, c.1 (C.2C:21-31);
(8) failure to take and subscribe to the oath pursuant to section 5 of P.L.1979, c.460 (C.52:7-14) within three months of the receipt of a notary public commission;
(9) withholding access to or possession of an original record or photocopy provided by a person who seeks performance of a notarial act by the notary public, except where allowed by law; or
(10) the denial of an application for notary public in another state; the refusal to renew in another state; or the suspension, revocation, or other limitation of the commission of the notary public in another state.
b. If the State Treasurer denies an application for notary public; refuses to renew a commission of a notary public; or suspends, revokes, or otherwise limits the commission of a notary public, the applicant or the notary public is entitled to timely notice and hearing in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
c. The authority of the State Treasurer to deny an application for notary public; refuse to renew a commission of a notary public; or suspend, revoke, or otherwise limit the commission of a notary public shall not prevent a person aggrieved by the actions of a notary public from seeking other criminal or civil remedies provided by law.
##### **§ 52:7-10.5** Official stamp. {#sec-52-7-10.5 omnilex-key=us-nj-statutes--title-52--52:7-10.5}
14. Official Stamp.
a. The official stamp of a notary public shall:
(1) include the name of the notary public, the title "Notary Public, State of New Jersey," and the notary public's commission expiration date; and
(2) be capable of being copied together with the record to which it is affixed or attached or with which it is logically associated.
b. If a notarial act regarding a tangible record is performed by a notary public, an official stamp shall be affixed to or embossed on the certificate near the signature of the notary public so as to be clear and readable. If a notarial act regarding an electronic record is performed by a notary public and the certificate contains the information specified in subsection a. of this section, an official stamp must be attached to or logically associated with the certificate.
##### **§ 52:7-10.6** Stamping device. {#sec-52-7-10.6 omnilex-key=us-nj-statutes--title-52--52:7-10.6}
15. Stamping Device.
a. A notary public is responsible for the security of the stamping device used by the notary public and may not allow another individual to use the device to perform a notarial act, except at the specific instruction of a notary public who cannot physically use the stamping device.
b. The stamping device is the property of the notary public and not of the notary public's employer, even if the employer paid for the stamping device.
c. If the stamping device used by the notary public is lost or stolen, the notary public or the notary public's personal representative shall notify the State Treasurer of the loss or theft within 10 days.
##### **§ 52:7-10.7** Authority to perform notarial act. {#sec-52-7-10.7 omnilex-key=us-nj-statutes--title-52--52:7-10.7}
16. Authority to Perform Notarial Act.
a. A notarial officer may perform a notarial act authorized by P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.), and any other applicable law.
b. A notarial officer may not perform a notarial act with respect to a record to which the officer or the officer's spouse or civil union partner is a party, or in which either of them has a direct beneficial interest. A notarial act performed in violation of this subsection is voidable.
c. A notarial officer may certify that a tangible copy of an electronic record is an accurate copy of the electronic record.
##### **§ 52:7-10.8** Requirements for certain notarial acts. {#sec-52-7-10.8 omnilex-key=us-nj-statutes--title-52--52:7-10.8}
17. Requirements for Certain Notarial Acts.
a. A notarial officer who takes an acknowledgment of a record shall determine, from personal knowledge or satisfactory evidence of the identity of the individual, that the individual appearing before the officer and making the acknowledgment has the identity claimed and that the signature on the record is the signature of the individual.
b. A notarial officer who takes a verification of a statement on oath or affirmation shall determine, from personal knowledge or satisfactory evidence of the identity of the individual, that the individual appearing before the officer and making the verification has the identity claimed and that the signature on the statement verified is the signature of the individual.
c. A notarial officer who witnesses or attests to a signature shall determine, from personal knowledge or satisfactory evidence of the identity of the individual, that the individual appearing before the officer and signing the record has the identity claimed.
d. A notarial officer who certifies or attests a copy of a record or an item that was copied shall determine that the copy is a full, true, and accurate transcription or reproduction of the record or item.
e. A notarial officer who makes or notes a protest of a negotiable instrument shall determine the matters set forth in subsection b. of N.J.S.12A:3-505.
f. For the purposes of this section:
(1) A notarial officer has personal knowledge of the identity of an individual appearing before the notarial officer if the individual is personally known to the notarial officer through dealings sufficient to provide reasonable certainty that the individual has the identity claimed.
(2) A notarial officer has satisfactory evidence of the identity of an individual appearing before the notarial officer if the notarial officer can identify the individual by means of:
(a) A passport, driver's license, or government-issued, non-driver identification card, which is current or expired not more than three years before the performance of the notarial act; or
(b) Another form of government-issued identification, which is current or expired not more than three years before the performance of the notarial act, and which:
(i) contains the individual's signature or a photograph of the individual's face; and
(ii) is satisfactory to the notarial officer; or
(c) A verification of oath or affirmation of a credible witness personally appearing before the notarial officer or using communication technology to appear before the notarial officer pursuant to section 19 of P.L.2021, c.179 (C.59:7-10.10)and personally known to the notarial officer or whom the notarial officer can identify on the basis of a passport, driver's license, or government-issued, non-driver identification card, which is current or expired not more than three years before the performance of the notarial act.
(3) A notarial officer may require an individual to provide additional information or identification credentials necessary to assure the notarial officer of the identity of the individual.
##### **§ 52:7-10.9** Personal appearance; use of communication technology. {#sec-52-7-10.9 omnilex-key=us-nj-statutes--title-52--52:7-10.9}
18. Personal Appearance; Use of Communication Technology.
If a notarial act relates to a statement made in, or a signature executed on, a record, the individual making the statement or executing the signature shall appear personally before the notarial officer or shall use communication technology to appear before the notarial officer pursuant to section 19 of P.L.2021, c.179 (C.59:7-10.10).
##### **§ 52:7-10.10** Notarial act performed by remotely located individual. {#sec-52-7-10.10 omnilex-key=us-nj-statutes--title-52--52:7-10.10}
19. Notarial Act Performed by Remotely Located Individual.
a. As used in this section:
(1) "Communication technology" means an electronic device or process that:
(a) allows a notarial officer and a remotely located individual to communicate with each other simultaneously by sight and sound; and
(b) when necessary and consistent with other applicable law, facilitates communication with a remotely located individual who has a vision, hearing, or speech impairment.
(2) "Foreign state" means a jurisdiction other than the United States, a state, or a federally recognized Indian tribe.
(3) "Identity proofing" means a process or service by which a third person provides a notarial officer with a means to verify the identity of a remotely located individual by a review of personal information from public or private data sources.
(4) "Outside the United States" means a location outside the geographic boundaries of the United States, Puerto Rico, the United States Virgin Islands, and any territory, insular possession, or other location subject to the jurisdiction of the United States.
(5) "Remotely located individual" means an individual who is not in the physical presence of a notarial officer performing a notarial act under subsection c.
b. This section does not apply to a record to the extent it is governed by a law governing the creation and execution of wills or codicils, except that subsections e., f., g., and h. of this section shall apply to notarial acts performed on a tangible record that is governed by a law governing the creation or execution of wills and codicils.
c. A remotely located individual may comply with section 18 of P.L.2021, c.179 (C.59:7-10.9) and subsections a. and b. of R.S.46:14-2.1 by using communication technology to appear before a notarial officer.
d. A notarial officer located in this State may perform a notarial act using communication technology for a remotely located individual if:
(1) the notarial officer:
(a) has personal knowledge pursuant to paragraph (1) of subsection f. of section 17 of P.L.2021, c.179 (C.59:7-10.8) of the identity of the individual;
(b) has satisfactory evidence of the identity of the remotely located individual by oath or affirmation from a credible witness appearing before the notarial officer pursuant to paragraph (2) of subsection f. of section 17 of P.L.2021, c.179 (C.59:7-10.8.) or using communication technology to appear before the notarial officer pursuant to this section; or
(c) has obtained satisfactory evidence of the identity of the remotely located individual by using at least two different types of identity proofing;
(2) the notarial officer is able reasonably to confirm that a record before the notarial officer is the same record in which the remotely located individual made a statement or on which the remotely located individual executed a signature;
(3) the notarial officer, or a person acting on behalf of the notarial officer, creates an audio-visual recording of the performance of the notarial act; and
(4) for a remotely located individual who is located outside the United States:
(a) the record:
(i) is to be filed with or relates to a matter before a public official or court, governmental entity, or other entity subject to the jurisdiction of the United States; or
(ii) involves property located in the territorial jurisdiction of the United States or involves a transaction substantially connected with the United States; and
(b) the act of making the statement or signing the record is not prohibited by the foreign state in which the remotely located individual is located.
e. A notarial officer in this State may use communication technology under subsection d. of this section to take an acknowledgement of a signature on a tangible record that is in the possession of the notary public if the record is displayed to and identified by the remotely located individual during the audio-visual session required by paragraph (3) of subsection d. of this section.
f. A notarial officer's obligation under paragraph (2) of subsection d. of this section for the performance of a notarial act with respect to a tangible record not physically present before the notarial officer is satisfied if:
(1) the remotely located individual:
(a) during the audio-visual session required by paragraph (3) of subsection d. of this section, signs:
(i) the record; and
(ii) a declaration, substantially in the following form, which is part of or securely attached to the record:
"I declare under penalty of perjury that the record to which this declaration is attached is the same record on which performed a notarial act and before whom I appeared by means of communication technology on [date].
_____________________ Printed name of remotely located individual
_____________________ Signature of remotely located individual"; and
(b) sends the record and declaration to the notarial officer not later than three days after the notarial act was performed; and
(2) the notarial officer:
(a) in the audio-visual recording required by paragraph (3) of subsection d. of this section, records the individual signing the record and declaration; and
(b) after receipt of the record and declaration from the individual, executes the certificate of notarial act required by section 13 of P.L.2021, c.179 (C.59:7-10.19), which must include the following statement or words of similar import:
"I [name of notarial officer] witnessed, by means of communication technology, [name of remotely located individual] sign the attached record and declaration on [date]".
g. A notarial act performed in compliance with subsection f. of this section complies with paragraph (1) of subsection a. of section 13 of P.L.2021, c.179 (C.59:7-10.19) and is effective as of the date on which the declaration was signed by the remotely located individual.
h. Subsections f. and g. of this section are not intended to exclude other procedures to satisfy the requirements of this section for a notarial act performed with respect to a tangible record.
i. A notarial officer in this State may administer an oath to a remotely located individual using communication technology. Except as required or permitted by rule or law of this State, the notarial officer shall identify the individual under paragraph (1) of subsection d. of this section, create an audio-visual recording under paragraph (3) of subsection d. of this section of the individual taking the oath, and preserve a copy of the audio-visual recording under subsection l. of this section.
j. If a notarial act is performed under this section, the certificate of notarial act required by section 10 of P.L.1979, c.460 (C.52:7-19), the certificate required by section c. of R.S.46:14-2.1, or the short-form certificate provided in section 21 of P.L.2021, c.179 (C.59:7-10.12) must indicate that the notarial act was performed using communication technology.
k. A short-form certificate provided in section 21 of P.L.2021, c.179 (C.59:7-10.12) for a notarial act subject to this section is sufficient if it:
(1) complies with any rules or regulations adopted by the State Treasurer under paragraph (1) of subsection o. of this section or section 29 of P.L.2021, c.179 (C.59:7-10.20); or
(2) is in the form provided by section 21 of P.L.2021, c.179 (C.59:7-10.12) and contains a statement substantially as follows: "This notarial act involved the use of communication technology."
l. A notarial officer, a guardian, conservator, or agent of a notarial officer, or a personal representative of a deceased notarial officer, shall retain the audio-visual recording created under paragraph (3) of subsection d. of this section or cause the recording to be retained by a repository designated by or on behalf of the person required to retain the recording. Unless a different period is required by any rule or regulation adopted by the State Treasurer under paragraph (4) of subsection o. of this section, the recording must be retained for a period of at least 10 years after the recording is made.
m. Before a notary public performs the notary public's initial notarial act under this section, the notary public must notify the State Treasurer that the notary public will be performing such notarial acts and identify the technologies the notary public intends to use.
n. If the State Treasurer has established standards under subsection i. of this section and section 29 of P.L.2021, c.179 (C.59:7-10.20) for approval of communication technology or identity proofing, the communication technology and identity proofing must conform to those standards.
o. In addition to adopting rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) under section 29 of P.L.2021, c.179 (C.59:7-10.20), the State Treasurer may adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) under this section regarding the performance of a notarial act. The rules and regulations may:
(1) prescribe the means of performing a notarial act involving a remotely located individual using communication technology;
(2) establish standards for communication technology and identity proofing;
(3) establish requirements or procedures to approve providers of communication technology and the process of identity proofing;
(4) establish standards and a period for the retention of an audio-visual recording created under paragraph (3) of subsection d. of this section; and
(5) prescribe methods for confirmation of a tangible record by a notarial officer permitted under subsection e. of this section.
p. Before adopting, amending, or repealing a rule or regulation governing performance of a notarial act with respect to a remotely located individual, the State Treasurer must consider:
(1) the most recent standards regarding the performance of a notarial act with respect to a remotely located individual promulgated by national standard-setting organizations such as the Mortgage Industry Standards Maintenance Organization and the recommendations of the National Association of Secretaries of State;
(2) standards, practices, and customs of other jurisdictions that have laws substantially similar to this section; and
(3) the views of governmental officials and entities and other interested persons.
q. (1) A notarial officer may perform a notarial act using communication technology for a remotely located individual that meets the requirements of section 19 of P.L.2021, c.179 (C.59:7-10.10) and subsections a. and b. of R.S.46:14-2.1 regardless of whether the remotely located individual is physically located in this State.
(2) A notarial act performed using communication technology for a remotely located individual is deemed performed in New Jersey and is governed by New Jersey law.
r. It is the intent of the Legislature that, to the fullest extent allowed by the Full Faith and Credit Clause of the United States Constitution and the laws of the 50 states and the District of Columbia, a notarial act performed in this State shall be recognized, be enforceable, and have the same effect under the law of the 50 states as if performed by a notarial officer of those jurisdictions.
s. By allowing its communication technology or identity proofing to facilitate a notarial act for a remotely located individual or by providing storage of the audio-visual recording created under paragraph (3) of subsection d. of this section, the provider of the communication technology, identity proofing, or storage appoints the State Treasurer as the provider's agent for service of process in any civil action in this State related to the notarial act.
##### **§ 52:7-10.11** Signature if individual unable to sign. {#sec-52-7-10.11 omnilex-key=us-nj-statutes--title-52--52:7-10.11}
20. Signature if Individual Unable to Sign.
If an individual is physically unable to sign a record, the individual may direct an individual other than the notarial officer to sign the record with the individual's name. The notarial officer shall insert "Signature affixed by (name of other individual) at the direction of (name of individual)" or words of similar import.
##### **§ 52:7-10.12** Certificate form. {#sec-52-7-10.12 omnilex-key=us-nj-statutes--title-52--52:7-10.12}
21. Certificate Form.
The following short form certificates of notarial acts are sufficient for the purposes indicated, if the requirements of section 10 of P.L.1979, c.460 (C.52:7-19) are satisfied. Certificates of notarial acts are deemed sufficient for the purposes indicated if substantially all of the requirements of section 10 of P.L.1979, c.460 (C.52:7-19) and this section are satisfied:
a. For an acknowledgment in an individual capacity:
State of ________________________________________
County of ___________________________________
This record was acknowledged before me on __________ (date) by __________________________________
(Name(s) of individual(s))
__________________________________
Signature of notarial officer
Stamp
__________________________________
Title of office
(My commission expires: _________)
b. For an acknowledgment in a representative capacity:
State of _________________________________________
County of ______________________________________
This record was acknowledged before me on _______(date) by _____________________
(Name(s) of individual(s)
as (type of authority, such as officer or trustee) of (name of party on behalf of whom record was executed).
__________________________________
Signature of notarial officer
Stamp
__________________________________
Title of office
(My commission expires: _________)
c. For a verification on oath or affirmation:
State of _________________________________________
County of ______________________________________
Signed and sworn to (or affirmed) before me on _______ (date) by ______________________
(Name(s) of individual(s) making statement)
__________________________________
Signature of notarial officer
Stamp
[__________________________________]
Title of office
(My commission expires: _________)
d. For witnessing or attesting a signature:
State of _________________________________________
County of ______________________________________
Signed (or attested) before me on ________(date) by _______________________
(Name(s) of individual(s))
__________________________________
Signature of notarial officer
Stamp
[__________________________________]
Title of office
(My commission expires: _________)
e. For certifying a copy of a record:
State of _________________________________________
County of ______________________________________
I certify that this is a true and correct copy of a record in the possession of __________________________________(name).
Dated ___________________________
_____________________________
Signature of notarial officer
Stamp
__________________________________
Title of office
(My commission expires: _________ )
##### **§ 52:7-10.13** Notarial act in this State. {#sec-52-7-10.13 omnilex-key=us-nj-statutes--title-52--52:7-10.13}
22. Notarial Act in this State.
a. The signature and title of an individual performing a notarial act are prima facie evidence that the signature is genuine and that the individual holds the designated title.
b. A notarial act may be performed in this State by an individual authorized by the applicable law to perform the notarial act.
c. The signature and title of a notarial officer authorized by the applicable law to perform the notarial act conclusively establishes the authority of the officer to perform the notarial act.
##### **§ 52:7-10.14** Notarial acts outside this state. {#sec-52-7-10.14 omnilex-key=us-nj-statutes--title-52--52:7-10.14}
23. Notarial Acts Outside this State.
a. In Another State.
(1) A notarial act performed in another state has the same effect under the law of this State as if performed by a notarial officer of this State, if the act performed in that state is performed by:
(a) a notary public of that state;
(b) a judge, clerk, or deputy clerk of a court of that state; or
(c) any other individual authorized by the law of that state to perform the notarial act.
(2) The signature and title of an individual performing a notarial act in another state are prima facie evidence that the signature is genuine and that the individual holds the designated title.
(3) The signature and title of a notarial officer described in subparagraph (a) or (b) of paragraph (1) of this subsection conclusively establish the authority of the officer to perform the notarial act.
b. Under Authority of Federally Recognized Indian Tribe.
(1) A notarial act performed under the authority and in the jurisdiction of a federally recognized Indian tribe has the same effect as if performed by a notarial officer of this State, if the act performed in the jurisdiction of the tribe is performed by:
(a) a notary public of the tribe;
(b) a judge, clerk, or deputy clerk of a court of the tribe; or
(c) any other individual authorized by the law of the tribe to perform the notarial act.
(2) The signature and title of an individual performing a notarial act under the authority of and in the jurisdiction of a federally recognized Indian tribe are prima facie evidence that the signature is genuine and that the individual holds the designated title.
(3) The signature and title of a notarial officer described in subparagraph (a) or (b) of paragraph (1) of this subsection conclusively establish the authority of the officer to perform the notarial act.
c. Under Federal Authority.
(1) A notarial act performed under federal law has the same effect under the law of this State as if performed by a notarial officer of this State, if the actperformed under federal law is performed by:
(a) a judge, clerk, or deputy clerk of a court;
(b) an individual in military service or performing duties under the authority of military service who is authorized to perform notarial acts under federal law;
(c) an individual designated a notarizing officer by the United States Department of State for performing notarial acts overseas; or
(d) any other individual authorized by federal law to perform the notarial act.
(2) The signature and title of an individual acting under federal authority and performing a notarial act are prima facie evidence that the signature is genuine and that the individual holds the designated title.
(3) The signature and title of an officer described in subparagraph (a), (b), or (c) of paragraph (1) of this subsection conclusively establish the authority of the officer to perform the notarial act.
d. Foreign Notarial Acts.
(1) As used in this subsection, "foreign state" means a jurisdiction other than the United States, a state, or a federally recognized Indian tribe.
(2) If a notarial act is performed under authority and in the jurisdiction of a foreign state or constituent unit of the foreign state or is performed under the authority of a multinational or international governmental organization, the act has the same effect under the law of this State as if performed by a notarial officer of this State.
(3) If the title of office and indication of authority to perform notarial acts in a foreign state appears in a digest of foreign law or in a list customarily used as a source for that information, the authority of an officer with that title to perform notarial acts is conclusively established.
(4) The signature and official stamp of an individual holding an office described in paragraph (3) of this subsection are prima facie evidence that the signature is genuine and the individual holds the designated title.
(5) An apostille in the form prescribed by the Hague Convention of October 5, 1961 and issued by a foreign state party to the Hague Convention conclusively establishes that the signature of the notarial officer is genuine and that the notarial officer holds the indicated office.
(6) A consular authentication issued by an individual designated by the United States Department of State as a notarizing officer for performing notarial acts overseas and attached to the record with respect to which the notarial act is performed conclusively establishes that the signature of the notarial officer is genuine and that the notarial officer holds the indicated office.
##### **§ 52:7-10.15** Notification regarding performance of notarial act on electronic record; selection of technology; acceptance of tangible copy of electronic record. {#sec-52-7-10.15 omnilex-key=us-nj-statutes--title-52--52:7-10.15}
24. Notification Regarding Performance of Notarial Act on Electronic Record; Selection of Technology; Acceptance of Tangible Copy of Electronic Record.
a. A notarial officer may select one or more tamper-evident technologies to perform notarial acts with respect to electronic records. A person may not require a notarial officer to perform a notarial act with respect to an electronic record with a technology that the notarial officer has not selected.
b. Before a notary public performs the notary public's initial notarial act with respect to an electronic record, the notary public shall notify the State Treasurer that the notary public will be performing notarial acts with respect to electronic records and identify the technology that the notary public intends to use. If the State Treasurer has established standards for approval of technology pursuant to section 29 of P.L.2021, c.179 (C.59:7-10.20), the technology must conform to those standards. If the technology conforms to the standards, the State Treasurer shall approve the use of the technology.
c. A county clerk, a register of deeds and mortgages, and a county surrogate shall accept for recording a tangible copy of an electronic record containing a notarial certificate as satisfying any requirement that a record accepted for recording be an original, if the notarial officer executing the notarial certificate certifies that the tangible copy is an accurate copy of the electronic record.
##### **§ 52:7-10.16** Database of notaries public. {#sec-52-7-10.16 omnilex-key=us-nj-statutes--title-52--52:7-10.16}
25. Database of Notaries Public.
The State Treasurer shall maintain an electronic database of current and former notaries public, including the dates that the notary public was commissioned and authorized to perform notarial acts:
a. through which a person may verify the authority of a notary public to perform notarial acts; and
b. which indicates whether a notary public has notified the State Treasurer that the notary public will be performing notarial acts on electronic records.
##### **§ 52:7-10.17** Authority to refuse to perform notarial act. {#sec-52-7-10.17 omnilex-key=us-nj-statutes--title-52--52:7-10.17}
26. Authority to Refuse to Perform Notarial Act.
a. A notarial officer may refuse to perform a notarial act if the officer is not satisfied that:
(1) the individual executing the record is competent or has the capacity to execute the record;
(2) the individual's signature is knowingly and voluntarily made;
(3) the individual's signature on the record or statement substantially conforms to the signature on a form of identification used to determine the identity of the individual; or
(4) the physical appearance of the individual signing the record or statement substantially conforms to the photograph on a form of identification used to determine the identity of the individual.
b. A notarial officer may refuse to perform a notarial act unless refusal is prohibited by law other than P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.).
##### **§ 52:7-10.18** Journal. {#sec-52-7-10.18 omnilex-key=us-nj-statutes--title-52--52:7-10.18}
27. Journal.
a. A notary public shall maintain a journal of all notarial acts performed.
(1) The journal may be created and maintained on a tangible medium or in an electronic format.
(2) A notary public shall maintain only one journal at a time to chronicle all notarial acts, whether those notarial acts are performed regarding tangible or electronic records.
(3) If the journal is maintained on a tangible medium, it shall be a permanent, bound register with consecutively numbered lines and consecutively numbered pages.
(4) If the journal is maintained in an electronic format, it shall be in a permanent, tamper-evident electronic format complying with any rules and regulations promulgated by the State Treasurer.
b. For each notarial act, the notary public shall record in the journal:
(1) the date and time of the notarial act;
(2) the type of notarial act, including but not limited to the taking of an acknowledgment, the taking of a proof of a deed, the administration of an oath, or the taking of an affidavit;
(3) the name and address of each person for whom the notarial act is performed;
(4) if the identity of the individual is based on personal knowledge, a statement to that effect;
(5) if the identity of the individual is based on satisfactory evidence, a brief description of the method of identification and the identification credential presented, if any, including, if applicable, the type, date of issuance, and date of expiration of an identification document, or the name and signature of any identifying witness and, if applicable, the type, date of issuance, and date of expiration of a document identifying the witness; and
(6) an itemized list of all fees charged for the notarial act.
c. If a notary public's journal is lost or stolen, the notary public shall notify the State Treasurer within 10 days of the loss or theft.
d. The notary public shall either:
(1) retain the journal for 10 years after the performance of the last notarial act chronicled in the journal; or
(2) transmit the journal to the Department of the Treasury, Division of Revenue and Enterprise Services, or a repository approved by the State Treasurer.
e. On resignation from, or the revocation or suspension of, a notary public's commission, the notary public shall either:
(1) retain the journal in accordance with paragraph (1) of subsection d. of this section and inform the State Treasurer where the journal is located; or
(2) transmit the journal to the Department of the Treasury, Division of Revenue and Enterprise Services, or a repository approved by the State Treasurer.
f. On the death or adjudication of incompetency of a current or former notary public, the notary public's personal representative or guardian or any other person knowingly in possession of the journal shall, within 45 days, transmit it to the Department of the Treasury, Division of Revenue and Enterprise Services, or a repository approved by the State Treasurer.
g. In lieu of maintaining a journal, a notary public who is an attorney-at-law admitted to practice in this State, or who is employed by an attorney-at-law, or who is employed by or acting as an agent for a title insurance company licensed to do business in this State pursuant to P.L.2001, c.210 (C.17:22A-26 et seq.), may maintain a record of notarial acts in the form of files regularly maintained for the attorney's law practice or the title insurance company's business activities, as the case may be.
##### **§ 52:7-10.19** Validity of notarial acts. {#sec-52-7-10.19 omnilex-key=us-nj-statutes--title-52--52:7-10.19}
28. Validity of Notarial Acts.
a. Except as otherwise provided in section 9 of P.L.2021, c.179 (C.59:7-10.4), the failure of a notarial officer to perform a duty or meet a requirement specified in P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.), does not invalidate a notarial act performed by the notarial officer.
b. The validity of a notarial act under P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.), does not prevent an aggrieved person from seeking to invalidate the record or transaction that is the subject of the notarial act or from seeking other remedies available by law and as provided in P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.).
c. P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.), shall not validate any purported notarial act performed by an individual who does not have the authority to perform notarial acts.
##### **§ 52:7-10.20** Rules and regulations. {#sec-52-7-10.20 omnilex-key=us-nj-statutes--title-52--52:7-10.20}
29. Rules and Regulations.
a. The State Treasurer shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to implement the provisions of P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.). Any rules and regulations regarding the performance of notarial acts with respect to electronic records shall not require, or accord greater legal status or effect to, the implementation or application of a specific technology or technical specification. The rules and regulations may:
(1) prescribe the manner of performing notarial acts regarding tangible and electronic records;
(2) include provisions to ensure that any change to or tampering with a record bearing a certificate of a notarial act is self-evident;
(3) include provisions to ensure integrity in the creation, transmittal, storage, or authentication of electronic records or signatures;
(4) prescribe the process of granting, renewing, conditioning, denying, suspending, revoking, or otherwise limiting a notary public commission and assuring the trustworthiness of an individual holding a commission as notary public;
(5) include provisions to prevent fraud or mistake in the performance of notarial acts; and
(6) provide for the administration of the examination under section 7 of P.L.2021, c.179 (C.59:7-10.3) and the course of study under section 6 of P.L.2021, c.179 (C.59:7-10.2).
b. In adopting, amending, or repealing rules and regulations concerning notarial acts with respect to electronic records, the State Treasurer shall consider, consistent with the provisions of P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.):
(1) the most recent standards regarding electronic records promulgated by national bodies, such as the Mortgage Industry Standards Maintenance Organization and the National Association of Secretaries of State;
(2) standards, practices, and customs of other jurisdictions that substantially enact the Revised Uniform Law on Notarial Acts, as embodied in P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.); and
(3) the views of governmental officials and entities and other interested persons.
##### **§ 52:7-10.21** Relation to electronic signatures in global and national commerce act. {#sec-52-7-10.21 omnilex-key=us-nj-statutes--title-52--52:7-10.21}
34. Relation to Electronic Signatures in Global and National Commerce Act.
P.L.2021, c.179 (C.59:7-10.1 et al.) modifies, limits, and supersedes the Electronic Signatures in Global and National Commerce Act, 15 U.S.C. s.7001 et seq., but does not modify, limit, or supersede section 101(c) of that act, 15 U.S.C. 7001(c), or authorize electronic delivery of any of the notices described in section 103(b) of that act, 15 U.S.C. section 7003(b).
##### **§ 52:7-10.22** Savings clause. {#sec-52-7-10.22 omnilex-key=us-nj-statutes--title-52--52:7-10.22}
35. Savings Clause.
P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.), shall not affect the validity or effect of any notarial act performed before the effective date of P.L.2021, c.179 (C.59:7-10.1 et al.).
##### **§ 52:7-10.23** Rules, regulations. {#sec-52-7-10.23 omnilex-key=us-nj-statutes--title-52--52:7-10.23}
38. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the State Treasurer shall adopt, after notice, interim rules and regulations as shall be necessary for the implementation of this act within 90 days after the effective date of this act. The rules and regulations shall be effective as regulations immediately upon filing with the Office of Administrative Law and shall be effective for a period not to exceed 18 months, and may, thereafter, be amended, adopted or readopted by the Treasurer in accordance with the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:7-11** Commission; term; application; renewal. {#sec-52-7-11 omnilex-key=us-nj-statutes--title-52--52:7-11}
2. Commission; Term; Application; Renewal.
a. The State Treasurer may commission so many notaries public as the State Treasurer deems necessary to commission. Notaries public shall hold their respective offices for a term of five years.
b. An applicant for commission as a notary public shall make application to the State Treasurer on a form prescribed by the State Treasurer and endorsed by a member of the Legislature. Renewals shall be made in the same manner as the original application. All applications shall be submitted electronically.
The application form shall provide a notice to the applicant that a notary public who is not licensed as an attorney-at-law shall not use or advertise the title of lawyer or attorney-at-law, or equivalent terms, in any language, which mean or imply that the notary public is licensed as an attorney-at-law in the State of New Jersey or in any other jurisdiction of the United States. The application form shall also state that a notary public who advertises the notary public's services in any language is required to provide with such advertisement a notice in the language of the advertisement which contains the following statement or translation of the following statement if the advertisement is not in English: "I am not an attorney licensed to practice law and may not give legal advice about immigration or any other legal matter or accept fees for legal advice."
c. The State Treasurer shall collect a nonrefundable fee of $25 for each commission or renewal. In collecting the fee, the State Treasurer shall accept the use of a credit card, debit card, or electronic funds transfer.
##### **§ 52:7-12** Qualifications. {#sec-52-7-12 omnilex-key=us-nj-statutes--title-52--52:7-12}
3. Qualifications.
a. A person commissioned as a notary public in this State shall:
(1) be at the time of appointment at least 18 years of age;
(2) be at the time of appointment a legal resident of this State or have a place of employment or practice in this State; and
(3) not be disqualified to receive a commission under section 9 of P.L.2021, c.179 (C.52:7-10.4 et al.).
b. A non-attorney applicant for an initial commission as a notary public shall provide satisfactory proof that the applicant has:
(1) completed a course of study approved by the State Treasurer pursuant to subsection b. of section 6 of P.L.2021, c.179 (C.52:7-10.2); and
(2) passed an examination prescribed by the State Treasurer pursuant to section 7 of P.L.2021, c.179 (C.52:7-10.3).
c. A non-attorney commissioned notary public applying to renew a commission who has satisfactorily completed a course of study required pursuant to subsection b. of section 6 of P.L.2021, c.179 (C.52:7-10.2) at least one time, or who was commissioned for the first time before the effective date of P.L.2021, c.179 (C.52:7-10.1 et al.) shall complete a continuing education course as set forth in subsection c. of section 6 of P.L.2021, c.179 (C.52:7-10.2) and provide satisfactory proof of such completion.
##### **§ 52:7-13** Commission of nonresidents; additional requirements. {#sec-52-7-13 omnilex-key=us-nj-statutes--title-52--52:7-13}
4. Commission of Nonresidents; Additional Requirements.
a. No person shall be denied a commission as a notary public on account of residence outside this State, provided such person maintains, or is regularly employed in, an office in this State or is an employee of a business with its domicile or primary place of business in this State and performs his employment duties remotely from a home office or a co-working space.
b. In addition to the requirements of section 3 of P.L.1979, c.460 (C.52:7-12), any nonresident shall file with the State Treasurer at the time of application a certificate setting forth the residence and the address of the applicant, and the office or place of employment of the applicant in this State.
c. Once commissioned, any such nonresident notary public shall file with the State Treasurer a certificate showing any change of residence or change of the office or place of employment of the notary public in this State.
##### **§ 52:7-14** Oath; filing; certificate of commission. {#sec-52-7-14 omnilex-key=us-nj-statutes--title-52--52:7-14}
5. Oath; Filing; Certificate of Commission.
a. Within three months of the receipt of a commission, each notary public shall take and subscribe an oath before the clerk of the county in which the notary public resides, to faithfully and honestly discharge the duties of the office; and make and keep a true record of all such matters as are required by law, which oath shall be filed with the clerk. The oath of office of a nonresident notary public shall be taken and subscribed before the clerk of the county in which the nonresident notary public maintains the notary public's office or the county in which the nonresident notary public is an employee of a business with its domicile or primary place of business in this State.
b. Upon the administration of the oath, the clerk shall cause the notary public to endorse the certificate of commission and qualification and shall transmit the certificate to the State Treasurer within 10 days of the administration of the oath. After the administration of the oath, the clerk shall provide a notice to the person that a notary public who is not licensed as an attorney-at-law shall not use or advertise the title of lawyer or attorney-at-law, or equivalent terms, in any language, which mean or imply that the notary public is licensed as an attorney-at-law in the State of New Jersey or in any other jurisdiction of the United States. The notice shall also state that a notary public who advertises the notary public's services, in any language, is required to provide with such advertisement a notice in the language of the advertisement which contains the following statement or translation of the following statement if the advertisement is not in English: "I am not an attorney licensed to practice law and may not give legal advice about immigration or any other legal matter or accept fees for legal advice."
c. The State Treasurer shall cancel and revoke the appointment of any notary public who fails to take and subscribe the oath within three months of the receipt of the commission and any appointment so canceled and revoked shall be null, void and of no effect. A commission authorizes the notary public to perform notarial acts. The commission does not provide the notary public any immunity or benefit conferred by the law of this State on public officials or employees.
##### **§ 52:7-15** Statewide authority. {#sec-52-7-15 omnilex-key=us-nj-statutes--title-52--52:7-15}
6. Statewide authority.
A notary public who has been duly commissioned and qualified is authorized to perform the duties of a notary public throughout the State.
##### **§ 52:7-17** Manual. {#sec-52-7-17 omnilex-key=us-nj-statutes--title-52--52:7-17}
8. Manual.
a. The State Treasurer shall maintain a manual on the Department of the Treasury's website that sets forth the requirements, functions, duties, and responsibilities of a notary public. The manual shall include, but not be limited to, the statutes, rules, regulations, procedures, and ethical requirements governing a notary public.
b. The manual shall specify that a notary public who is not licensed as an attorney-at-law shall not use or advertise the title of lawyer or attorney-at-law, or equivalent terms, in any language, which mean or imply that the notary public is licensed as an attorney-at-law in the State of New Jersey or in any other jurisdiction of the United States. The manual shall also state that a notary public who advertises the notary public's services in any language is required to provide with such advertisement a notice which contains the following statement or translation of the following statement if the advertisement is not in English: "I am not an attorney licensed to practice law and may not give legal advice about immigration or any other legal matter or accept fees for legal advice." The manual shall also state that no person shall be commissioned a notary public or receive a renewal of a notary public commission if that person has been convicted under the laws of this State of an offense involving dishonesty, including but not limited to a violation of section 1 of P.L.1997, c.1 (C.2C:21-31) or section 1 of P.L.1994, c.47 (C.2C:21-22), or a substantially similar crime under the laws of another state or the United States or of a crime of the second degree or above, but nothing in this paragraph shall be deemed to supersede P.L.1968, c.282 (C.2A:168A-1 et seq.).
c. The State Treasurer shall update the information contained in the manual and the Department of the Treasury's Internet website periodically.
##### **§ 52:7-18** Statement by notary public after change in name; filing; evidence of continuance of powers and privileges. {#sec-52-7-18 omnilex-key=us-nj-statutes--title-52--52:7-18}
9. Statement by Notary Public after Change in Name; Filing; Evidence of Continuance of Powers and Privileges.
a. If a notary public adopts a name different from that which the notary public used at the time the notary public was commissioned, before the notary public provides a signature to any record which the notary public is authorized or required to sign as notary public, the notary public shall make and sign a statement in writing and under oath, on a form prescribed and furnished by the State Treasurer, setting out the circumstances under which the notary public has adopted the new name. The statement shall state whether the new name has been adopted through marriage or civil union or by a change of name proceeding or otherwise, and such other information as the State Treasurer shall require.
b. The statement shall be filed in the office of the State Treasurer. Such statement, or a certified copy, shall be evidence of the right of the notary public to continue to exercise the powers and privileges and perform the duties of a notary public in the changed or new name.
##### **§ 52:7-19** Certificate of notarial act. {#sec-52-7-19 omnilex-key=us-nj-statutes--title-52--52:7-19}
10. Certificate of Notarial Act.
a. A notarial act shall be evidenced by a certificate. The certificate shall:
(1) be executed contemporaneously with the performance of the notarial act;
(2) be signed and dated by the notarial officer;
(3) identify the jurisdiction in which the notarial act is performed;
(4) contain the title of office of the notarial officer; and
(5) if the notarial officer is a notary public, indicate the date of expiration of the officer's commission.
b. A certificate of a notarial act is sufficient if it meets the requirements of subsection a. of this section and:
(1) is in a short form set forth in section 21 of P.L.2021, c.179 (C.52:7-10.12);
(2) is in a form otherwise permitted by the law of this State;
(3) is in a form permitted by the law applicable in the jurisdiction in which the notarial act was performed; or
(4) sets forth the actions of the notarial officer which shall meet the requirements provided in P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.52:7-10.1 et al.) and any other applicable laws of this State.
c. By executing a certificate of a notarial act, a notarial officer certifies that the officer has made the determinations specified by P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.52:7-10.1 et al.).
d. A notarial officer may not affix the officer's signature to, or logically associate it with, a certificate until the notarial act has been performed.
e. If a notarial act is performed regarding a tangible record, a certificate shall be part of, or attached to, the record.
f. If a notarial act is performed regarding an electronic record, the certificate shall be affixed to, or logically associated with, the electronic record.
g. If the State Treasurer has established standards pursuant to P.L.1979, c.460 (C.52:7-10 et seq.), as amended and supplemented by P.L.2021, c.179 (C.59:7-10.1 et al.) for attaching, affixing, or logically associating the certificate, the process shall conform to the standards.
## **Chapter 8**
##### **§ 52:8-1** Apportionment of surplus revenue among counties; repayment; loans; annual statement {#sec-52-8-1 omnilex-key=us-nj-statutes--title-52--52:8-1}
L.1837, p. 432 (Rev.1877, pp. 1131, 1132, s.s. 1 to 4 [C.S. pp. 5052 to 5054, s.s. 1 to 4] ), entitled "An act making provisions for the deposit and distribution of so much of the surplus revenue of the United States as now is or may hereafter be apportioned to and received by this state," passed March tenth, one thousand eight hundred and thirty-seven, saved from repeal, together with the supplement thereto passed March seventh, one thousand eight hundred and thirty-nine. L.1839, p. 157 (Rev.1877, pp. 1132 to 1134, s.s. 5 to 11 [C.S. pp. 5054 to 5056, s.s. 5 to 11] ). [These acts authorized the distribution among the counties of the state's portion of the surplus revenue of the United States; required the counties to issue certificates of deposit therefor and to repay such moneys whenever required for the purpose of being refunded into the United States treasury. Upon any county failing to return the money within three months after notice so to do, the state is authorized to levy a tax on the county therefor. The counties may loan the moneys so distributed and apportion the interest among the townships. Annually each county is required to publish a detailed statement of the loans.]
##### **§ 52:8-2** Receipt of fund by state treasurer; taxation to raise principal; cancellation of receipts {#sec-52-8-2 omnilex-key=us-nj-statutes--title-52--52:8-2}
The State Treasurer shall receive from the several counties or municipalities all of the amounts of the "1837 Surplus Revenue Fund" deposited with the counties in accordance with the act entitled "An act making provisions for the deposit and distribution of so much of the surplus revenue of the United States as now is or may hereafter be apportioned to and received by this State," passed March 10, 1837 (L.1837, p. 432), with its amendments and supplements, and give his receipt therefor. The several governing bodies of the counties or municipalities having heretofore received such funds shall raise by taxation the whole of the principal thereof remaining unpaid and provide for the same in the annual budget of appropriations for the year 1960 and repay it into the State Treasury on or before December 31, 1960. When a county or municipality shall have so repaid the full amount of the deposit received by it, the State Treasurer shall cancel and return to the duly authorized official of the county or municipality the receipts and pledges of said county or municipality, if any, heretofore delivered to the State.
##### **§ 52:8-3** Transfer of duties to state treasurer; notices to counties {#sec-52-8-3 omnilex-key=us-nj-statutes--title-52--52:8-3}
To carry out and accomplish the purposes of this chapter and the act of March tenth, one thousand eight hundred and thirty-seven, the state treasurer may do all or any of the acts or duties heretofore cast upon the governor, treasurer and speaker of the house of assembly, and he shall give and serve such notice or notices upon the governing bodies of the various counties as may be necessary or expedient to accomplish such purposes. Said notice or notices shall be as effectual as if done under said act of March tenth, one thousand eight hundred and thirty-seven, its supplements and amendments.
##### **§ 52:8-4** Definition of fund; state treasurer as custodian {#sec-52-8-4 omnilex-key=us-nj-statutes--title-52--52:8-4}
The moneys received by the state treasurer pursuant to the provisions of this chapter shall be kept as a fund to be known as the "1837 Surplus Revenue Fund" . The treasurer is hereby constituted the custodian of the fund and the surety bond given by him as state treasurer shall also cover his acts as such custodian.
##### **§ 52:8-5** Investment of moneys in fund {#sec-52-8-5 omnilex-key=us-nj-statutes--title-52--52:8-5}
The moneys in said fund shall be invested by the state treasurer only in bonds of the United States or of the state of New Jersey or of any county, municipality or school district of this state, or in the negotiable notes of any county, municipality or school district of this state.
##### **§ 52:8-6** Apportionment of income {#sec-52-8-6 omnilex-key=us-nj-statutes--title-52--52:8-6}
The income of the fund shall be apportioned annually on or before the thirtieth day of June to the several counties in the proportion that the amount repaid or redeposited in the State treasury by each county shall bear to the total of the principal of the fund so repaid or redeposited. The amounts so apportioned shall be paid by the State Treasurer to the several treasurers of the counties entitled to receive the same. The amount so received by the treasurer of the county shall be further apportioned among the several school districts of that county in the same manner as other school funds are apportioned.
In making the first apportionment under this amendatory statute the same may include income from the twelfth day of March, one thousand nine hundred and forty-five, to the thirtieth day of June, one thousand nine hundred and forty-six.
## **Chapter 9**
##### **§ 52:9-1** State director of United New Jersey Railroad and Canal Company; appointment, compensation and duties {#sec-52-9-1 omnilex-key=us-nj-statutes--title-52--52:9-1}
The following acts and parts of acts are hereby saved from repeal:
a. Sections 3 and 4 of an act entitled "An act to prescribe and declare the mode of appointing certain officers," approved April sixteenth, one thousand eight hundred and forty-six (L.1846, p. 188 [Rev.1877, p. 745, s.s. 10, 11; C.S. p. 3785, s.s. 9, 10] ).
b. Sections 1, 3 and 4 of an act entitled "An act prescribing the duties of the directors on behalf of the state of the Delaware and Raritan canal and Camden and Amboy railroad and transportation companies," approved April sixteenth, one thousand eight hundred and forty-six (L.1846, p. 157 [Rev.1877, p. 748, s.s. 26, 28, 29; C.S. p. 3793, s.s. 44 to 46] ), together with the supplement thereto approved March ninth, one thousand eight hundred and forty-eight (L.1848, p. 218 [Rev.1877, p. 748, s. 30; C.S. p. 3793, s. 47] ).
c. An act entitled "An act to provide compensation to the state directors of the Delaware and Raritan canal and the Camden and Amboy railroad and transportation companies," approved March fourth, one thousand eight hundred and forty-seven (L.1847, p. 174 [Rev.1877, p. 1409, s. 1; C.S. p. 3794, s. 48] ). [These acts provide for the appointment, oath, compensation and duties of the state directors of the Delaware and Raritan canal and Camden and Amboy railroad and transportation companies. By L.1872, c. 223, s. 2, p. 568, but one state director is to be appointed by the legislature in joint meeting. Pursuant to the authority contained in L.1867, c. 69, p. 114, as amended by L.1872, c. 223, p. 567, the aforesaid joint companies, together with the New Jersey Railroad and Transportation Company, consolidated into one corporation under the name of "The United New Jersey Railroad and Canal Company" (see L.1872, p. 1402) ].
## **Chapter 9A**
##### **§ 52:9A-1** Eastern goldfinch designated as state bird {#sec-52-9a-1 omnilex-key=us-nj-statutes--title-52--52:9A-1}
The eastern goldfinch is hereby designated as the New Jersey state bird.
##### **§ 52:9A-2** Violet; designation as state flower {#sec-52-9a-2 omnilex-key=us-nj-statutes--title-52--52:9A-2}
The violet (common meadow, V. sororia) is designated the New Jersey State Flower.
##### **§ 52:9A-3** Honey bee; designation as state bug {#sec-52-9a-3 omnilex-key=us-nj-statutes--title-52--52:9A-3}
The honey bee (apis mellifera) is designated as the New Jersey State Bug.
##### **§ 52:9A-4** Horse; designation as state animal {#sec-52-9a-4 omnilex-key=us-nj-statutes--title-52--52:9A-4}
The horse (Equus Caballus) is designated as the New Jersey State Animal.
##### **§ 52:9A-5** Designation of State dinosaur {#sec-52-9a-5 omnilex-key=us-nj-statutes--title-52--52:9A-5}
The Hadrosaurus Foulkii is designated as the New Jersey State Dinosaur.
##### **§ 52:9A-6** Designation of State Freshwater Fish. {#sec-52-9a-6 omnilex-key=us-nj-statutes--title-52--52:9A-6}
1. The brook trout (Salvelinus fontinalis) is designated as the New Jersey State Freshwater Fish.
##### **§ 52:9A-6.1** Striped bass designated NJ State Salt Water Fish. {#sec-52-9a-6.1 omnilex-key=us-nj-statutes--title-52--52:9A-6.1}
1. The striped bass (Morone saxatilis) is designated as the New Jersey State Saltwater Fish.
##### **§ 52:9A-7** Designation of State shell {#sec-52-9a-7 omnilex-key=us-nj-statutes--title-52--52:9A-7}
1. The shell of the knobbed whelk (busycon carica (gmelin)) is designated the New Jersey State Shell.
##### **§ 52:9A-8** A.J. Meerwald designated New Jersey State Tall Ship. {#sec-52-9a-8 omnilex-key=us-nj-statutes--title-52--52:9A-8}
1. The schooner A.J. Meerwald is designated as the New Jersey State Tall Ship.
##### **§ 52:9A-9** Highbush blueberry designated State fruit. {#sec-52-9a-9 omnilex-key=us-nj-statutes--title-52--52:9A-9}
1. The highbush blueberry (Vaccinium corymbosum) is designated as the New Jersey State Fruit.
##### **§ 52:9A-10** Black Swallowtail designated State butterfly. {#sec-52-9a-10 omnilex-key=us-nj-statutes--title-52--52:9A-10}
1. The Black Swallowtail butterfly (Papilio polyxenes) is designated as the New Jersey State Butterfly.
##### **§ 52:9A-11** USS New Jersey designated State ship. {#sec-52-9a-11 omnilex-key=us-nj-statutes--title-52--52:9A-11}
1. The USS New Jersey is designated as the New Jersey State Ship.
##### **§ 52:9A-12** "Garden State" designated State slogan. {#sec-52-9a-12 omnilex-key=us-nj-statutes--title-52--52:9A-12}
1. "Garden State" is designated as the New Jersey State Slogan.
##### **§ 52:9A-13** Bog turtle designated as State reptile. {#sec-52-9a-13 omnilex-key=us-nj-statutes--title-52--52:9A-13}
1. The Bog Turtle (Glyptemys muhlenbergii) is designated as the New Jersey State Reptile.
##### **§ 52:9A-14** Thomas Alva Edison designated State Inventor. {#sec-52-9a-14 omnilex-key=us-nj-statutes--title-52--52:9A-14}
1. Thomas Alva Edison is designated as New Jersey State Inventor.
##### **§ 52:9A-15** Streptomyces griseus designated New Jersey State Microbe. {#sec-52-9a-15 omnilex-key=us-nj-statutes--title-52--52:9A-15}
1. Streptomyces griseus is designated as the New Jersey State Microbe.
##### **§ 52:9A-16** New Jersey State Dog. {#sec-52-9a-16 omnilex-key=us-nj-statutes--title-52--52:9A-16}
1. The Seeing Eye(r) dog is designated as the New Jersey State Dog.
##### **§ 52:9A-17** Harriet Tubman Museum. {#sec-52-9a-17 omnilex-key=us-nj-statutes--title-52--52:9A-17}
1. The Howell House on Lafayette Street in Cape May, New Jersey is recognized as the Harriet Tubman Museum in New Jersey.
##### **§ 52:9A-18** Funding for museum signs. {#sec-52-9a-18 omnilex-key=us-nj-statutes--title-52--52:9A-18}
2. State and other public funds shall not be used for producing, purchasing, or erecting signs bearing the designation established under section 1 of this act, P.L.2020, c.91 (C.52:9A-17). The Governor, or the designee thereof, is authorized to receive gifts, grants, or other financial assistance from private sources for the purpose of funding or reimbursing the Governor, or the designee thereof, for the costs associated with producing, purchasing, and erecting signs bearing the designation established under section 1 of this act and entering into agreements related thereto, with private sources, including but not limited to non-governmental, non-profit, educational, or charitable entities or institutions. Work shall not proceed and funding shall not be accepted by the Governor, or the designee thereof, until an agreement has been reached with a responsible party for paying the costs associated with producing, purchasing, erecting, and maintaining the signs.
##### **§ 52:9A-19** Franklinite, official State mineral. {#sec-52-9a-19 omnilex-key=us-nj-statutes--title-52--52:9A-19}
1. Franklinite is designated as the official mineral of the State of New Jersey.
##### **§ 52:9A-20** Cranberry juice, State juice. {#sec-52-9a-20 omnilex-key=us-nj-statutes--title-52--52:9A-20}
1. Cranberry juice is designated as the State juice.
## **Chapter 9B**
##### **§ 52:9B-1** Commission established; functions {#sec-52-9b-1 omnilex-key=us-nj-statutes--title-52--52:9B-1}
There is hereby established the New Jersey Intergovernmental Relations Commission, whose function it shall be to carry forward the participation of this State as a member of the Council of State Governments, both regionally and nationally, to confer with officials of other States and of Federal Government, to formulate proposals for co-operation between this State and the other States, and with the Federal Government, to maintain liaison with the Advisory Commission on Intergovernmental Relations established by Federal law, and to organize and maintain governmental machinery for such purposes.
The commission shall annually appoint, from among its entire membership, a delegate as a member of the Governing Board of the Council of State Governments for this State, who shall serve for the legislative year in which he is appointed as a delegate and until his successor shall be appointed and shall qualify. Whenever the commission shall fail to so appoint a delegate, or the duly appointed delegate becomes unavailable or unable to serve for any reason whatever, the chairman of the commission shall serve as the delegate until such time as a delegate has been appointed and has qualified.
##### **§ 52:9B-2** Standing committee of Senate; membership {#sec-52-9b-2 omnilex-key=us-nj-statutes--title-52--52:9B-2}
There is hereby established a standing committee on intergovernmental relations, of the Senate, to consist of five Senators. The members and chairman of this committee shall be designated in the same manner as are the members and chairmen of other standing committees of the Senate. The president of the Senate may serve as one of the five members of this committee.
##### **§ 52:9B-3** Standing committee of general assembly; membership {#sec-52-9b-3 omnilex-key=us-nj-statutes--title-52--52:9B-3}
There is hereby established a similar standing committee on intergovernmental relations, of the General Assembly, also to consist of five members, and the members and chairman of this committee shall be designated in the same manner as are the members and chairman of other standing committees of the General Assembly. The Speaker of the General Assembly may serve as one of the five members of the committee.
##### **§ 52:9B-4** Membership of commission {#sec-52-9b-4 omnilex-key=us-nj-statutes--title-52--52:9B-4}
The New Jersey Intergovernmental Relations Commission shall be composed of 15 members, namely:
The five members of the committee on intergovernmental relations of the Senate.
The five members of the committee on intergovernmental relations of the General Assembly, and
Five officials of the State named by the Governor, who shall hold office during the pleasure of the Governor.
The Governor shall be an honorary member of the commission.
##### **§ 52:9B-5** Organization meeting; committees and advisory boards {#sec-52-9b-5 omnilex-key=us-nj-statutes--title-52--52:9B-5}
The commission shall meet annually in the month of January at the call of the Governor for the purpose of organization by the selection from among its members of a chairman and the appointment of a secretary and such other officers of the commission as it deems advisable who need not be members thereof. The commission may establish such committees and advisory boards as it deems advisable, to conduct conferences and to formulate proposals concerning subjects of intergovernmental cooperation. Subject to the approval of the commission, the members of every such committee and advisory board shall be appointed by the chairman of the commission. State officials who are not members of the commission may be appointed as members of any such committee or advisory board, and private citizens may serve on such board, but at least one member of the commission shall be a member of every such committee and board. The commission may establish such rules as it considers appropriate concerning the membership and the functioning of any committee or board which it establishes.
##### **§ 52:9B-6** Report to governor and legislature; compensation; expenses; employees {#sec-52-9b-6 omnilex-key=us-nj-statutes--title-52--52:9B-6}
The commission shall report to the governor and to the legislature within fifteen days after the convening of each regular legislative session, and at such other times as it deems appropriate. Its members and the members of all committees which it establishes shall serve without compensation, but they shall be paid their necessary expenses in carrying out their obligations under this chapter. The commission may employ such staff and incur such other expenses as may be necessary for the proper performance of its duties, and it may, by contributions to the council of state governments and other similar governmental organizations affiliated with it, participate with other states in maintaining the said council's regional and central secretariats and other similar governmental services.
##### **§ 52:9B-7** Standing committees; functions {#sec-52-9b-7 omnilex-key=us-nj-statutes--title-52--52:9B-7}
The Standing Committee of the Senate and the Standing Committee of the General Assembly shall function during regular sessions of the Legislature, and also during the interim periods between such sessions and their members shall serve until their successors are designated.
##### **§ 52:9B-8** Notification to other states {#sec-52-9b-8 omnilex-key=us-nj-statutes--title-52--52:9B-8}
The secretary of state shall forthwith communicate the text of this measure to the governor, to the senate, and to the house of representatives of each of the other states of the Union, and memorialize each legislature which has not already done so to enact a law similar to this measure, thus establishing a similar commission with like duties and powers, and thus joining with this state in the common cause of reducing the burdens which are imposed upon the citizens of every state by governmental confusion, competition and conflict.
## **Chapter 9DD**
##### **§ 52:9DD-8** New Jersey Human Relations Council. {#sec-52-9dd-8 omnilex-key=us-nj-statutes--title-52--52:9DD-8}
1. a. There is hereby created the New Jersey Human Relations Council, referred to hereinafter as the council, which shall promote prejudice reduction education and address the problem of bias and violent acts based on the victim's race, color, religion, national origin, ethnicity, sexual orientation, gender or disability. The council shall be a permanent, independent body in but not of the Department of Law and Public Safety.
b. The council shall consist of an executive committee which shall include ten public members who shall be representative of the various ethnic; religious; national origin; racial; sexual orientation; gender; and disabilities organizations in this State, of whom four shall be appointed by the Governor, no more than two of whom shall be of the same political party; three shall be appointed by the President of the Senate, no more than two of whom shall be of the same political party; and three shall be appointed by the Speaker of the General Assembly, no more than two of whom shall be of the same political party; two members of the Senate appointed by the President of the Senate, no more than one of whom shall be of the same political party; two members of the General Assembly appointed by the Speaker of the General Assembly, no more than one of whom shall be of the same political party; seven representatives from county human relations commissions representing the diversity of all county human relations commissions from the 21 counties of the State appointed by the Governor; and the following ex officio members: the Attorney General of the State of New Jersey; the Secretary of State; Commissioner of the Department of Education; the Commissioner of the Department of Community Affairs; the Commissioner of the Department of Corrections; the Commissioner of the Department of Human Services; the Public Defender; the Director of the Administrative Office of the Courts; the Director of the Division of Criminal Justice; the Superintendent of the Division of State Police; the Director of the Division on Civil Rights; the President of the County Prosecutors Association of New Jersey; the President of the New Jersey State Association of Chiefs of Police; the President of the Bias Crime Officers Association of New Jersey; a county Superintendent of Schools selected by the Commissioner of the Department of Education; the President of the New Jersey Principals and Supervisors Association; and the President of the New Jersey Education Association.
c. Of the public members first appointed to the council, six shall be appointed for a term of three years, two shall be appointed for terms of two years and two shall be appointed for a term of one year. The seven county human relations commissions representatives shall be appointed for terms of two years. The legislative members appointed initially under this act shall serve until the end of the legislative session in which the appointment is made. Thereafter, the legislative members shall be appointed for two-year terms to coincide with the two-year legislative term in which they serve on the council. Thereafter, the public members shall be appointed for terms of three years. Vacancies on the council shall be filled in the same manner as the original appointment but for the unexpired term. A chairperson and vice-chairperson shall be selected from among the public members of the council and the representatives from the county human relations commissions. The council shall have the authority to establish subcommittees as it deems appropriate and pursuant to this act. The executive committee of the council shall adopt bylaws to govern the council and elect officers from among the council members as it deems appropriate and pursuant to this act.
d. Each ex officio member may designate a person from the member's department or agency to represent the member at hearings of the council. All designees may lawfully vote and otherwise act on behalf of the member for whom they constitute the designee.
##### **§ 52:9DD-9** Duties of council {#sec-52-9dd-9 omnilex-key=us-nj-statutes--title-52--52:9DD-9}
2. It shall be the duty of the council:
a. to develop policy proposals for the State and assist with coordinating efforts to promote prejudice reduction and prevent and deter crimes based upon the victim's race, color, religion, national origin, sexual orientation, ethnicity, gender, or physical, mental or cognitive disability;
b. to assist in diffusing tensions in communities affected by such crimes;
c. to act as a clearinghouse for information and program ideas among the existing county human relations commissions;
d. to assist the efforts of the county human relations commissions in relieving tensions within the community;
e. to assist in providing training programs for members of the county human relations commissions and other interested community leaders;
f. to develop and present a biennial report to the Governor and Legislature on the status of bias and violence based upon race, color, religion, national origin, sexual orientation, ethnicity, gender, or physical, mental or cognitive disability;
g. to establish and maintain a listing of conflict resolution programs and experts to be available as a resource for communities in time of crisis;
h. (Deleted by amendment, P.L.2016, c.23)
i. to develop in conjunction with the Department of Education and the educational, civil rights and human relations communities educational programs intended to educate, encourage, develop, promote and strengthen respect for human rights and cultural diversity and prevent and combat racism, intolerance and bigotry;
j. to assist local communities in establishing local human relations commissions;
k. to assess changes in local demographics and assist communities in adapting to minority population shifts;
l. to assist State, county and local government agencies with multi-cultural awareness programs;
m. to require that the representatives from the county human relations commissions report back to the counties regarding the work and activities of the State council;
n. to provide conciliation assistance and conduct all activities in confidence and without publicity; and
o. to make recommendations to governmental entities for the development of policies and procedures in general and for programs of formal and informal education that will aid in eliminating all types of discrimination based on race, color, religion, national origin, sexual orientation, ethnicity, gender, or physical, mental or cognitive disability.
##### **§ 52:9DD-10** Confidentiality {#sec-52-9dd-10 omnilex-key=us-nj-statutes--title-52--52:9DD-10}
3. The council shall hold confidential any information acquired during the course of mediation or dispute resolution.
##### **§ 52:9DD-11** Powers of council {#sec-52-9dd-11 omnilex-key=us-nj-statutes--title-52--52:9DD-11}
4. The council shall have the following powers:
a. to conduct public hearings throughout the State;
b. to establish subcommittees;
c. to perform fact finding functions and prepare reports on particular issues regarding race; color; religion; sexual orientation; ethnicity; gender; or physical, mental or cognitive disability; and
d. to call to its assistance and avail itself of the services of any official of this State and its political subdivisions and their departments, boards, bureaus, commissions and agencies as it may require and may expend any funds appropriated or otherwise made available to it.
##### **§ 52:9DD-12** Meetings of council {#sec-52-9dd-12 omnilex-key=us-nj-statutes--title-52--52:9DD-12}
5. The council shall meet at least quarterly and hold hearings at such place or places it shall deem necessary.
##### **§ 52:9DD-13** Appropriations {#sec-52-9dd-13 omnilex-key=us-nj-statutes--title-52--52:9DD-13}
6. The Legislature shall annually appropriate such sums as are necessary to effectuate the purposes of this act.
## **Chapter 9E**
##### **§ 52:9E-1** Short title {#sec-52-9e-1 omnilex-key=us-nj-statutes--title-52--52:9E-1}
1. This act shall be known and may be cited as the "Spinal Cord Research Act."
##### **§ 52:9E-2** Definitions relative to spinal cord research. {#sec-52-9e-2 omnilex-key=us-nj-statutes--title-52--52:9E-2}
2. As used in this act:
a. "Approved research project" means a peer reviewed scientific research project, which is approved by the commission and which focuses on the treatment and cure of spinal cord injuries and diseases that damage the spinal cord.
b. "Commission" means the New Jersey Commission on Spinal Cord Research established pursuant to this act.
c. "Institutional support services" means all services, facilities, equipment, personnel and expenditures associated with the creation and maintenance of approved research projects.
d. "Qualifying research institution" means Rowan University; Rutgers, The State University; Princeton University; the Kessler Medical Rehabilitation Research and Education Corporation; the Coriell Institute for Medical Research; and any other research institution in the State approved by the commission.
##### **§ 52:9E-3** New Jersey Commission on Spinal Cord Research. {#sec-52-9e-3 omnilex-key=us-nj-statutes--title-52--52:9E-3}
3. a. There is established in the Executive Branch of the State government, the New Jersey Commission on Spinal Cord Research. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the commission is allocated within the Department of Health and Senior Services, but notwithstanding that allocation, the commission shall be independent of any supervision or control by the department or by any board or officer thereof.
b. The commission shall consist of 11 members, including the Commissioner of Health and Senior Services, or his designee, who shall serve ex officio; one representative of Rowan University; one representative of Rutgers, The State University; one representative of the federally designated Spinal Cord Injury Model System; one representative from the American Paralysis Association; and six public members who are residents of the State knowledgeable about spinal cord injuries and who include at least one physician licensed in this State and at least one person with a spinal cord injury. The members shall be appointed by the Governor with the advice and consent of the Senate.
c. The term of office of each appointed member shall be three years, but of the members first appointed, three shall be appointed for a term of one year, four for terms of two years, and three for terms of three years. All vacancies shall be filled for the balances of the unexpired terms in the same manner as the original appointments. Appointed members are eligible for reappointment upon the expiration of their terms. A member shall continue to serve upon the expiration of his term until a successor is appointed.
The members of the commission shall not receive compensation for their services, but shall be reimbursed for the actual and necessary expenses incurred in the performance of their duties as members of the commission.
##### **§ 52:9E-4** Responsibilities of commission {#sec-52-9e-4 omnilex-key=us-nj-statutes--title-52--52:9E-4}
4. The commission shall:
a. Review and authorize approved research projects, for which purpose the commission may establish an independent scientific advisory panel composed of scientists and clinicians who are not members of the commission to review proposals submitted to the commission and make funding recommendations to the commission;
b. Apportion all available funds to qualifying research institutions to finance approved research projects and necessary institutional support services;
c. Ensure that funds so apportioned to approved research projects are not diverted to any other use;
d. Take steps necessary to encourage the development within the State of spinal cord research projects;
e. Compile a directory of all spinal cord research projects being conducted in the State; and
f. Provide the Governor and the Legislature with a report by January 30 of each year describing the status of the commission's activities and the results of its funded research efforts.
##### **§ 52:9E-5** Authority of commission {#sec-52-9e-5 omnilex-key=us-nj-statutes--title-52--52:9E-5}
5. The commission is authorized to:
a. Adopt rules and regulations concerning the operation of the commission, the functions and responsibilities of its officers and employees and other matters as may be necessary to carry out the purposes of this act;
b. Maintain offices at such places within the State as it may designate;
c. Employ an executive director and other personnel as may be necessary, whose employment shall be in the unclassified service of the State, except that employees performing stenographic or clerical duties shall be appointed pursuant to Title 11A (Civil Service) of the New Jersey Statutes;
d. Design a fair and equitable system for the solicitation, evaluation and approval of proposals for spinal cord research projects;
e. Apply for and accept any grant of money from the federal government, which may be available for programs relating to research on the spinal cord;
f. Enter into contracts with individuals, organizations and institutions necessary or incidental to the performance of its duties and the execution of its powers under this act; and
g. Accept gifts, grants and bequests of funds from individuals, foundations, corporations, governmental agencies and other organizations and institutions.
##### **§ 52:9E-6** Election, duties of officers {#sec-52-9e-6 omnilex-key=us-nj-statutes--title-52--52:9E-6}
6. The commission shall annually elect a chairman and a vice-chairman from among its members. The chairman shall be the chief executive officer of the commission, shall preside at all meetings of the commission and shall perform other duties that the commission may prescribe.
The executive director shall serve as secretary to the commission and shall carry out its policies under the direction of the chairman.
##### **§ 52:9E-7** Direct application for funds permitted {#sec-52-9e-7 omnilex-key=us-nj-statutes--title-52--52:9E-7}
7. Nothing in this act shall preclude a qualifying research institution or any other research facility in the State from directly applying for or receiving funds from any public or private agency to conduct spinal cord research.
##### **§ 52:9E-8** Establishment, maintenance of central registry {#sec-52-9e-8 omnilex-key=us-nj-statutes--title-52--52:9E-8}
8. a. The commission shall establish and maintain, in conjunction with the Department of Health and Senior Services, a central registry of persons who sustain spinal cord injuries other than through disease, whether or not the injury results in a permanent disability, in order to provide a database that indicates the incidence and prevalence of spinal cord injuries and which will serve as a resource for research, evaluation and information on spinal cord injuries and available services.
b. The commission shall require the reporting of all cases of spinal cord injuries, except those caused through disease, and the submission of specified additional information on reported cases as it deems necessary and appropriate.
The commission shall, by regulation, specify the health care facilities and providers required to make the report of a spinal cord injury to the registry, information that shall be included in the report to the registry, the method for making the report and the time period in which the report shall be made.
c. The reports made pursuant to this section are to be used only by the commission and the Department of Health and Senior Services and such other agencies as may be designated by the commission or the department and shall not otherwise be divulged or made public so as to disclose the identity of any person to whom they relate; and to that end, the reports shall not be included under materials available to public inspection pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.).
d. No individual or organization providing information to the commission in accordance with this section shall be deemed to be, or held liable for, divulging confidential information. Nothing in this section shall be construed to compel any individual to submit to medical, commission or department examination or supervision.
e. A health care facility or health care provider who is required to report a spinal cord injury to the commission that fails to comply with the provisions of this section shall be liable to a penalty of up to $100 per unreported spinal cord injury case. A penalty sued for under the provisions of this section shall be recovered by and in the name of the commission and shall be deposited in the "New Jersey Spinal Cord Research Fund" established pursuant to this act.
##### **§ 52:9E-9** "New Jersey Spinal Cord Research Fund" {#sec-52-9e-9 omnilex-key=us-nj-statutes--title-52--52:9E-9}
9. a. There is established in the Department of the Treasury a nonlapsing revolving fund to be known as the "New Jersey Spinal Cord Research Fund." This fund shall be the repository for moneys provided pursuant to subsection e. of R.S.39:5-41. Moneys deposited in the fund, and any interest earned thereon, shall be used exclusively for the purpose of making grants for approved spinal cord research projects at qualified research institutions.
b. Any costs incurred by the department in the collection or administration of the fund may be deducted from the funds deposited therein, as determined by the Director of the Division of Budget and Accounting.
##### **§ 52:9E-10** Rules, regulations pertinent to spinal cord research {#sec-52-9e-10 omnilex-key=us-nj-statutes--title-52--52:9E-10}
11. The commission shall adopt such regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as are necessary to carry out the provisions of this act.
## **Chapter 9EE**
##### **§ 52:9EE-1** Short title. {#sec-52-9ee-1 omnilex-key=us-nj-statutes--title-52--52:9EE-1}
1. This act shall be known and may be cited as the "Brain Injury Research Act."
##### **§ 52:9EE-2** Definitions relative to brain injury research. {#sec-52-9ee-2 omnilex-key=us-nj-statutes--title-52--52:9EE-2}
2. As used in this act:
"Approved research project" means a scientific research project, which is approved by the commission and which focuses on the treatment and cure of brain injuries.
"Commission" means the New Jersey State Commission on Brain Injury Research established pursuant to this act.
"Institutional support services" means all services, facilities, equipment, personnel and expenditures associated with the creation and maintenance of approved research projects.
"Qualifying research institution" means Rutgers, The State University of New Jersey, Rowan University, and any other institution approved by the commission, which is conducting an approved research project.
##### **§ 52:9EE-3** New Jersey State Committee on Brain Injury Research. {#sec-52-9ee-3 omnilex-key=us-nj-statutes--title-52--52:9EE-3}
3. a. There is established in the Executive Branch of the State government, the New Jersey State Commission on Brain Injury Research. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the commission is allocated within the Department of Health and Senior Services, but notwithstanding that allocation, the commission shall be independent of any supervision or control by the department or by any board or officer thereof.
b. The commission shall consist of 11 members, including the Commissioner of Health and Senior Services, or his designee, who shall serve ex officio; one representative of Rutgers, The State University of New Jersey; one representative of Rowan University; six public members, appointed by the Governor with the advice and consent of the Senate, one of whom shall be a licensed physician in this State and one of whom shall be a person with a brain injury; and two public members, one of whom shall be appointed by the President of the Senate and one of whom shall be appointed by the Speaker of the General Assembly. All public members shall be residents of the State or otherwise associated with the State, and shall be known for their knowledge, competence, experience or interest in brain injury medical research.
c. The term of office of each public member shall be three years, but of the members first appointed, three shall be appointed for terms of one year, three for terms of two years, and two for terms of three years. All vacancies shall be filled for the balances of the unexpired terms in the same manner as the original appointments. Appointed members are eligible for reappointment upon the expiration of their terms. A member shall continue to serve upon the expiration of his term until a successor is appointed.
The members of the commission shall not receive compensation for their services, but shall be reimbursed for the actual and necessary expenses incurred in the performance of their duties as members of the commission.
##### **§ 52:9EE-4** Duties of commission. {#sec-52-9ee-4 omnilex-key=us-nj-statutes--title-52--52:9EE-4}
4. The commission shall:
a. Review and authorize approved research projects, emphasizing projects that study nerve regeneration as a means to a cure for brain injury, and may establish an independent scientific advisory panel composed of scientists and clinicians who are not members of the commission to review proposals submitted to the commission and make funding recommendations to the commission;
b. Apportion all available funds to qualifying research institutions to finance approved research projects and necessary institutional support services;
c. Ensure that funds so apportioned to approved research projects are not diverted to any other use;
d. Take steps necessary to encourage the development within the State of brain injury research projects;
e. Compile a directory of all brain injury research projects being conducted in the State; and
f. Provide the Governor and the Legislature with a report by January 30 of each year describing the status of the commission's activities and the results of its funded research efforts.
##### **§ 52:9EE-5** Authority of commission. {#sec-52-9ee-5 omnilex-key=us-nj-statutes--title-52--52:9EE-5}
5. The commission is authorized to:
a. Adopt rules and regulations concerning the operation of the commission, the functions and responsibilities of its officers and employees, the use of moneys from the "New Jersey Brain Injury Research Fund" established pursuant to section 9 of P.L.2003, c.200 (C.52:9EE-9) to meet the operating expenses of the commission, and other matters as may be necessary to carry out the purposes of this act;
b. Maintain offices at such places within the State as it may designate;
c. Employ an executive director and other personnel as may be necessary, whose employment shall be in the unclassified service of the State, except that employees performing stenographic or clerical duties shall be appointed pursuant to Title 11A (Civil Service) of the New Jersey Statutes;
d. Design a fair and equitable system for the solicitation, evaluation and approval of proposals for brain injury research projects;
e. Apply for and accept any grant of money from the federal government, which may be available for programs relating to research on brain injury;
f. Enter into contracts with individuals, organizations and institutions necessary or incidental to the performance of its duties and the execution of its powers under this act; and
g. Accept gifts, grants and bequests of funds from individuals, foundations, corporations, governmental agencies and other organizations and institutions.
##### **§ 52:9EE-6** Election of officers. {#sec-52-9ee-6 omnilex-key=us-nj-statutes--title-52--52:9EE-6}
6. The commission shall annually elect a chairman and a vice-chairman from among its members. The chairman shall be the chief executive officer of the commission, shall preside at all meetings of the commission and shall perform other duties that the commission may prescribe.
The executive director shall serve as secretary to the commission and shall carry out its policies under the direction of the chairman.
##### **§ 52:9EE-7** Direct applications for funds. {#sec-52-9ee-7 omnilex-key=us-nj-statutes--title-52--52:9EE-7}
7. Nothing in this act shall preclude a qualifying research institution or any other research facility in the State from directly applying for or receiving funds from any public or private agency to conduct brain injury research.
##### **§ 52:9EE-8** Central registry of persons who sustain brain injuries. {#sec-52-9ee-8 omnilex-key=us-nj-statutes--title-52--52:9EE-8}
8. a. The commission shall establish and maintain, in conjunction with the Department of Health and Senior Services, a central registry of persons who sustain brain injuries other than through disease, whether or not the injury results in a permanent disability, in order to provide a database that indicates the incidence and prevalence of brain injuries and that will serve as a resource for research, evaluation and information on brain injuries and available services.
b. The commission shall require the reporting of all cases of brain injuries, except those caused through disease, and the submission of specified additional information on reported cases as it deems necessary and appropriate.
The commission shall, by regulation, specify the health care facilities and providers required to make the report of a brain injury to the registry, information that shall be included in the report to the registry, the method for making the report and the time period in which the report shall be made.
c. The reports made pursuant to this section are to be used only by the commission and the Department of Health and Senior Services and such other agencies as may be designated by the commission or the department and shall not otherwise be divulged or made public so as to disclose the identity of any person to whom they relate; and to that end, the reports shall not be included under materials available to public inspection pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.) and P.L.2001, c.404 (C.47:1A-5 et al.).
d. No individual or organization providing information to the commission in accordance with this section shall be deemed to be, or held liable for, divulging confidential information. Nothing in this section shall be construed to compel any individual to submit to medical, commission or department examination or supervision.
e. A health care facility or health care provider who is required to report a brain injury to the commission and who fails to comply with the provisions of this section shall be liable to a penalty of up to $100 per unreported brain injury case. A penalty sued for under the provisions of this section shall be recovered by and in the name of the commission and shall be deposited in the "New Jersey Brain Injury Research Fund" established pursuant to this act.
##### **§ 52:9EE-9** "New Jersey Brain Injury Research Fund." {#sec-52-9ee-9 omnilex-key=us-nj-statutes--title-52--52:9EE-9}
9. a. There is established in the Department of the Treasury a nonlapsing revolving fund to be known as the "New Jersey Brain Injury Research Fund." This fund shall be the repository for moneys provided pursuant to subsection f. of R.S.39:5-41. Moneys deposited in the fund, and any interest earned thereon, shall be used for the purpose of making grants for brain injury research projects at qualified research institutions approved by the New Jersey State Commission on Brain Injury Research, and for the purpose of meeting the operating expenses of the commission.
b. Any costs incurred by the department in the collection or administration of the fund may be deducted from the funds deposited therein, as determined by the Director of the Division of Budget and Accounting.
##### **§ 52:9EE-10** Regulations. {#sec-52-9ee-10 omnilex-key=us-nj-statutes--title-52--52:9EE-10}
11. The commission shall adopt regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as are necessary to carry out the provisions of this act.
## **Chapter 9H**
##### **§ 52:9H-1** Budget message; recommendations for appropriations {#sec-52-9h-1 omnilex-key=us-nj-statutes--title-52--52:9H-1}
The budget message of the Governor shall contain his budget recommendations for all appropriations to be made from State revenues under one budget.
##### **§ 52:9H-2** State revenues, payment into General State Fund; uncommitted balances; lapses {#sec-52-9h-2 omnilex-key=us-nj-statutes--title-52--52:9H-2}
All State revenues which are now payable into the General State Fund and all State revenues which are now payable into the State Highway Fund shall after June thirtieth, one thousand nine hundred and forty-five, be payable and be paid into the General State Fund. All uncommitted balances as of July first, one thousand nine hundred and forty-five, in the State Highway Fund shall be paid into the General State Fund. All lapses in the State Highway Fund after June thirtieth, one thousand nine hundred and forty-five, shall be paid into the General State Fund.
##### **§ 52:9H-2.1** "Long Term Obligation and Capital Expenditure Fund"; funding; uses. {#sec-52-9h-2.1 omnilex-key=us-nj-statutes--title-52--52:9H-2.1}
1. a. There is established in the General Fund a separate, non-lapsing fund to be known as the "Long Term Obligation and Capital Expenditure Fund." The Long Term Obligation and Capital Expenditure Fund shall be credited with the amount appropriated to the fund pursuant to section 2 of P.L.2008, c.22 and such funds as the Legislature may from time to time appropriate for the purposes of the fund as enumerated in subsection b. of this section.
b. (1) The moneys in the Long Term Obligation and Capital Expenditure Fund shall only be used for the purposes of paying for capital improvements and the costs thereof, retiring and defeasing debt and the costs thereof, or making supplemental payments to reduce the unfunded post-retirement health benefits liability for members of, and to reduce the unfunded pension liabilities of, the Public Employees' Retirement System, the Teachers' Pension and Annuity Fund, the Police and Firemen's Retirement System, the State Police Retirement System, the Judicial Retirement System, and the costs thereof, and making supplemental payments to reduce the unfunded post-retirement health benefits liability for members of the Alternate Benefit Program, and the costs thereof.
(2) Appropriations from the Long Term Obligation and Capital Expenditure Fund shall be enumerated in a separate section of the annual appropriations act, apart from all other appropriated funds, and shall not be counted in the total amounts appropriated from any other fund.
(3) The provisions of this section shall not be construed to render balances in the Long Term Obligation and Capital Expenditure Fund unavailable for meeting the costs of any emergency which requires an immediate response in the protection of the life, safety or well-being of the citizens of this State.
##### **§ 52:9H-2.2** "New Jersey Debt Defeasance and Prevention Fund", created. {#sec-52-9h-2.2 omnilex-key=us-nj-statutes--title-52--52:9H-2.2}
1. a. There is created within the General Fund a restricted reserve fund to be known as the "New Jersey Debt Defeasance and Prevention Fund." The "New Jersey Debt Defeasance and Prevention Fund" shall be credited with the amount appropriated to the fund pursuant to section 2 of P.L.2021, c.125 and such funds as the Legislature may, from time to time, appropriate for the purposes of the fund as enumerated in subsection b. of this section.
b. Balances in the "New Jersey Debt Defeasance and Prevention Fund" may be appropriated by the Legislature only for the purposes of: retiring and defeasing State debt, including general obligation bonds and appropriations-backed bonds, and the costs thereof; and funding capital projects on a pay-as-you-go basis rather than issuing additional State debt, including general obligation bonds or appropriations-backed bonds.
##### **§ 52:9H-3** General appropriation law {#sec-52-9h-3 omnilex-key=us-nj-statutes--title-52--52:9H-3}
So far as known or can be reasonably foreseen, all needs for the support of the State Government and for all other State purposes shall be provided for in one general appropriation law covering one and the same fiscal year except that, if change in fiscal year is made, necessary provision may be made to effect the transition.
##### **§ 52:9H-4** Payment out of dedicated funds unaffected {#sec-52-9h-4 omnilex-key=us-nj-statutes--title-52--52:9H-4}
Nothing in this act shall be construed to change or affect in any way the payment or the amount of payment of moneys now or heretofore made under any items designated in former State highway appropriation acts as "Mandatory dedications" or the payment or amount of payment of any moneys into or out of any dedicated fund.
##### **§ 52:9H-14** Surplus Revenue Fund {#sec-52-9h-14 omnilex-key=us-nj-statutes--title-52--52:9H-14}
There is hereby created within the General Fund a restricted reserve fund to be known as the "Surplus Revenue Fund." The State Treasurer shall credit to the "Surplus Revenue Fund," on or before December 31, 1990 and annually on or before December 31 thereafter, and in addition to any sums appropriated to the "Surplus Revenue Fund," the amounts determined pursuant to section 3 of this act. Moneys credited to the "Surplus Revenue Fund" may be invested in the same manner as assets of the General Fund and any investment earnings on the "Surplus Revenue Fund" shall accrue to the "Surplus Revenue Fund" and shall be available subject to the same terms and conditions as other balances under this act. The State Treasurer may determine the amount of earnings to be credited to the "Surplus Revenue Fund" to reflect the average rate of return on the State of New Jersey Cash Management Fund. The State Treasurer shall provide a report of the status of the "Surplus Revenue Fund" to the Governor and to the Legislature through the Joint Budget Oversight Committee, or its successor, periodically, but not less often than annually on or about January 15.
##### **§ 52:9H-15** "Anticipated revenue" defined {#sec-52-9h-15 omnilex-key=us-nj-statutes--title-52--52:9H-15}
As used in this act "anticipated revenue" means the amount of revenue estimated to be realized in a fiscal year as General Fund resources to support appropriations made, including taxes, license fees, other miscellaneous departmental revenue, and revenue transfers to the General Fund from other funds in the State Treasury, and excluding federal funds and any fund balances, whether designated, undesignated or reserved.
##### **§ 52:9H-16** Determination of amount to be credited to fund {#sec-52-9h-16 omnilex-key=us-nj-statutes--title-52--52:9H-16}
The amount to be annually credited to the Surplus Revenue Fund shall be determined by the State Treasurer in the following manner:
a. He shall identify the amount of General Fund anticipated revenue certified by the Governor upon approval of the annual appropriation act for the fiscal year immediately preceding the fiscal year in which a credit to the "Surplus Revenue Fund" is required.
b. He shall determine, from the annual financial report of the General Fund for the fiscal year immediately preceding the fiscal year in which a credit to the "Surplus Revenue Fund" is required, the amount of revenue actually deposited in the General Fund in that fiscal year. If in any preceding fiscal year for which a determination under this subsection is to be made, there is a law enacted which will increase the revenue to the General Fund, the yield from that increase for that preceding fiscal year in which the increase is in effect shall be disregarded in determining the amount to be credited to the "Surplus Revenue Fund."
c. The amount of the credit to the "Surplus Revenue Fund" shall be an amount equivalent to 50% of the excess, if there be any, of the amount determined in subsection b. of this section over the amount determined in subsection a. of this section. If actual revenue collections pursuant to the "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq., for the fiscal year immediately preceding the fiscal year in which a credit to the "Surplus Revenue Fund" is required are less than the amount of revenue collections pursuant to that act as certified by the Governor upon approval of the annual appropriation act for that fiscal year, the amount of the credit to the "Surplus Revenue Fund" otherwise calculated pursuant to this section shall be reduced by the difference between the amount so certified and the actual collections.
##### **§ 52:9H-17** Estimate of credit to Surplus Revenue Fund {#sec-52-9h-17 omnilex-key=us-nj-statutes--title-52--52:9H-17}
The Governor shall include in his annual budget message to the Legislature an estimate of the credit to be made to the "Surplus Revenue Fund" as a reduction of the estimated undesignated fund balance in the General Fund as of July 1 of the fiscal year for which he is making his budget recommendations. The amount estimated by the Governor for this purpose shall not be less than 50% of the difference between the amount certified by him upon approval of the annual appropriation act for the fiscal year immediately preceding the fiscal year for which his budget recommendations are being made and the amount of revenue anticipated for that preceding fiscal year as reflected in the annual budget message for that preceding fiscal year.
##### **§ 52:9H-18** Restriction on appropriation of balances in Surplus Revenue Fund {#sec-52-9h-18 omnilex-key=us-nj-statutes--title-52--52:9H-18}
Balances in the "Surplus Revenue Fund" shall not be available for appropriation except as provided in this act. Balances in the "Surplus Revenue Fund" may be appropriated by the Legislature only: a. upon separate certification by the Governor that anticipated revenues in the General Fund are estimated to be less than those certified by him upon approval of the annual appropriation act; or b. upon a finding by the Legislature, based on its research, that to offset revenue declines anticipated in the General Fund an appropriation from the "Surplus Revenue Fund" is a more prudent fiscal policy than imposing new taxes or increasing any rate of tax or otherwise modifying the tax structure, including elimination or modification of deductions, exclusions or exemptions.
##### **§ 52:9H-19** Use of balances for meeting costs of emergency {#sec-52-9h-19 omnilex-key=us-nj-statutes--title-52--52:9H-19}
The provisions of this act shall not be construed to render balances in the "Surplus Revenue Fund" unavailable for meeting the costs of any emergency identified by the Governor. Balances in the "Surplus Revenue Fund" are appropriated for that purpose, provided however, that the Governor shall notify the Joint Budget Oversight Committee, or its successor, of his determination that balances in the fund are required to meet an emergency, describing the nature of the emergency and the intended use of the funds in meeting the emergency. Upon notice to the Governor that such expenditures have been approved by the committee, or its successor, the expenditure of such funds shall be lawful. As used in this section, "emergency" means any condition or occurrence which requires an immediate response in the protection of the life, safety or well-being of the citizens of this State, or any of them, or in the protection or restoration of property, public or private, endangered, damaged, or destroyed as a result, actual or potential, of such condition or occurrence.
##### **§ 52:9H-20** Revenue decline {#sec-52-9h-20 omnilex-key=us-nj-statutes--title-52--52:9H-20}
a. If in any fiscal year there is enacted an appropriation from the "Surplus Revenue Fund" pursuant to section 5 of this act, there shall not be enacted any imposition of new taxes or increases in existing tax rates or tax structure modifications having the effect of increasing revenues except as provided in subsection b. of this section.
b. If the amount of the decline in revenue collections in the General Fund is greater than the equivalent of 2% of the total available resources in the General Fund as certified by the Governor upon approval of the annual appropriation act for the fiscal year in which that revenue decline is anticipated, the restrictions of subsection a. of this section shall not apply and the balances in the "Surplus Revenue Fund" may be appropriated in any other manner as found to be in the best interests of the fiscal condition of the General Fund.
##### **§ 52:9H-21** Appropriation of excess {#sec-52-9h-21 omnilex-key=us-nj-statutes--title-52--52:9H-21}
Notwithstanding the restrictions on the appropriation of the balances in the "Surplus Revenue Fund" imposed by section 5 of this act, if balances in the fund exceed an amount equivalent to 5% of the amount certified by the Governor as total anticipated revenues in the General Fund and the Property Tax Relief Fund upon approval of the annual appropriation act, the State Treasurer shall send written notice of the amount of that excess to the Governor and to the Legislature through the Senate Revenue, Finance and Appropriations Committee and the Assembly Appropriations Committee, or their successor committees or committee. The excess amount as identified in the notice from the State Treasurer shall be available for appropriation by the Legislature in accordance with section 9 of this act.
##### **§ 52:9H-22** Purposes for appropriation {#sec-52-9h-22 omnilex-key=us-nj-statutes--title-52--52:9H-22}
Upon notice from the State Treasurer of the amount of excess in the "Surplus Revenue Fund" pursuant to section 8 of this act, there may be appropriated sums for any one or more of the following purposes:
a. To provide a reserve fund for retirement, purchase or discharge of outstanding general obligation bonds of the State of New Jersey;
b. To provide appropriations for capital projects;
c. To provide appropriations to reduce or offset real property taxes.
##### **§ 52:9H-23** Limitation {#sec-52-9h-23 omnilex-key=us-nj-statutes--title-52--52:9H-23}
The amount available for appropriation for the purposes specified in section 9 shall not be in excess of an amount equivalent to 2% of the amount certified by the Governor as total anticipated revenues in the General Fund and the Property Tax Relief Fund upon approval of the annual appropriation act. If the amount reported by the State Treasurer as required in section 8 is in excess of the amount available for appropriation pursuant to section 9 as limited in this section, that amount, if any, shall be included in the undesignated balance in the General Fund and available for appropriation as otherwise provided by law.
##### **§ 52:9H-24** Short title {#sec-52-9h-24 omnilex-key=us-nj-statutes--title-52--52:9H-24}
This act shall be known and may be cited as the "State Appropriations Limitation Act."
##### **§ 52:9H-25** Definitions {#sec-52-9h-25 omnilex-key=us-nj-statutes--title-52--52:9H-25}
As used in this act:
a. "Base year" means the fiscal year prior to the fiscal year for which an appropriation or expenditure is to be made; and
b. "Appropriations" means the aggregate amounts appropriated by the State in the general appropriation law and all other laws supplementing the general appropriation law appropriating money for any purpose in any fiscal year, exclusive of appropriations of the following: money appropriated for payment by the State as State aid to counties, municipalities, local school districts, or other instrumentalities, or on behalf of counties, municipalities, school districts, or other instrumentalities; money appropriated for payment by the State as grants to individuals, public agencies or private agencies for benefits to which the recipients are entitled by law or regulation, for the provision of services for which the State has a primary responsibility, and for subsidies and the provision of services for which the State has no responsibility, but which the State elects to provide; money received or reasonably anticipated to be received by the State from the federal government; money derived from, or expended in payment of any interest or principal on, any general obligation bond issues approved by the legally qualified voters of the State at any general election; money appropriated for payment to the State for projects of capital construction; money required to be appropriated within a fiscal year in accordance with a court order; and money required to be deposited in, and expended from, the "Property Tax Relief Fund" established by N.J.S.54A:9-25, the "Casino Control Fund" established by section 143 of P.L.1977, c.110 (C.5:12-143), the "Casino Revenue Fund" established by section 145 of P.L.1977, c.110 (C.5:12-145) and the "Gubernatorial Elections Fund" established by N.J.S.54A:9-25.1.
##### **§ 52:9H-26** Formula for determination of maximum appropriations {#sec-52-9h-26 omnilex-key=us-nj-statutes--title-52--52:9H-26}
In each fiscal year commencing after June 30, 1992, the appropriations of the State shall not exceed the maximum appropriations permitted pursuant to the following formula:
Maximum Appropriations = Base Year Appropriations x (1 + PCI), where:
a. "Base Year Appropriations" means the appropriations of the State in the base year; and
b. "PCI" means the average annual percentage increase, expressed as a decimal, in State per capita personal income over the four fiscal years ending on June 30 prior to the base year. The per capita personal income for each of the four years shall be the average of the per capita personal income for the four quarters in each fiscal year, utilizing the quarterly data for State personal income and the annual data for State population as published by the United States Department of Commerce.
##### **§ 52:9H-27** Transfer, assumption of functions or service; adjustment to formula {#sec-52-9h-27 omnilex-key=us-nj-statutes--title-52--52:9H-27}
For each of the following conditions, any transfer or assumption of functions or service that occurs shall be deemed to have occurred in the base year, and the "base year appropriations" component of the formula shall be adjusted to reflect the increase or decrease of State appropriations necessitated by the transfer or assumption:
a. If any function or service performed by the State is transferred to, or its costs of operation or performance are assumed by, any county or municipality, or if any function or service performed by any county or municipality is transferred to, or its costs of operation or performance are assumed by the State; and
b. If any function or service performed by the State is transferred to, or its costs of operation or performance are assumed by, any agency or instrumentality of the State or of any county or municipality, with the power to issue bonds to finance the undertaking of any function or the performance of any service, or if any function or service performed by any agency or instrumentality of the State or of any county or municipality is transferred to, or its costs of operation or performance are assumed by the State. The word "bonds" as used in this subsection means bonds which do not constitute a debt or liability of the State or of any of its counties or municipalities or a pledge of the faith and credit of the State or of any of its counties or municipalities.
##### **§ 52:9H-28** Exceeding maximum appropriations; permitted {#sec-52-9h-28 omnilex-key=us-nj-statutes--title-52--52:9H-28}
Any provisions of this act to the contrary notwithstanding, the State may exceed the maximum appropriations permitted pursuant to the formula prescribed in section 3 of this act in any fiscal year if a bill making an appropriation is agreed to by a two-thirds majority vote of all members of each legislative body.
##### **§ 52:9H-29** Maximum appropriations not required {#sec-52-9h-29 omnilex-key=us-nj-statutes--title-52--52:9H-29}
This act shall not be construed to require the State to appropriate in any fiscal year the maximum appropriations permitted pursuant to the formula prescribed in this act.
##### **§ 52:9H-30** Governor's budget message; request for appropriation {#sec-52-9h-30 omnilex-key=us-nj-statutes--title-52--52:9H-30}
In presenting the annual budget message the Governor shall not request or recommend for appropriation any amount in excess of the maximum appropriations permitted pursuant to this act for the fiscal year for which the budget message is presented.
L.1990,c.94,s.7.
52:9H 34 Findings, declarations.
1. The Legislature finds and declares that:
a. The economic well being of the citizens of the State of New Jersey is directly affected by the actions of government at all levels;
b. The quality of public policy and the benefits it provides to the citizens will be enhanced significantly through the availability of timely, objective analyses of the condition of the economy;
c. The formulation of public policy will benefit from a fuller understanding of the structure of the State's economy and its competitive position relative to other states and regions;
d. Fiscal policy is highly sensitive to economic conditions and will be enhanced through improved economic analyses and forecasts;
e. The functioning of the Legislative and the Executive branches of government will be enhanced by the existence of an independent advisory council composed of knowledgeable experts given the resources necessary to provide sophisticated, timely, and objective economic analyses;
f. An advisory council dealing with economic affairs will contribute to improving the quality of decision making in both the public and private sectors, with long term benefits for all of the State's citizens; and
g. A permanent advisory council composed of economic experts reporting directly and independently to the Legislature, the Executive Branch of government and the public, will best provide the objective and timely analyses needed to assure that public policy yields the optimum economic benefits for all of the State's citizens.
L.1993, c.149, s.1.
52:9H 35 New Jersey Council of Economic Advisors established.
2. a. There is established in, but not of, the Department of Commerce and Economic Development, a council to be known as the "New Jersey Council of Economic Advisors." The council shall consist of five members. One member shall be appointed by the Governor; one member shall be appointed by the President of the Senate; one member shall be appointed by the Minority Leader of the Senate; one member shall be appointed by the Speaker of the General Assembly; and one member shall be appointed by the Minority Leader of the General Assembly.
b. In appointing the council members, the appointing authorities shall select individuals who have knowledge, expertise, and practical experience in economic analyses.
c. Members of the council shall serve for a term of three years. Each member shall hold office for the term of his appointment and until his successor shall have been appointed. Any vacancy during a term shall be filled in the same manner as the original appointment but only for the balance of the unexpired term. A member's term shall be coterminous with that of the appointing authority, for a period not to exceed three years, except that members shall be eligible for reappointment to successive terms. Any member of the council may be removed for cause by the appointing authority. The members shall serve without compensation but shall be reimbursed for necessary expenses incurred in the performance of their duties, subject to the availability of funds therefor.
d. The council shall organize as soon as may be practicable following the appointment of its members. The member appointed by the Governor shall serve as chairperson of the council, except that in the absence of the Governor's appointee the member of the council with the most seniority shall serve as acting chairperson. The council may formulate and adopt rules of procedure and operation in furtherance of its responsibilities. The council may meet and hold hearings at such places and times as it shall designate.
e. The council shall select and fix the compensation of a secretary, who shall serve as the director. The secretary shall not be a member of the council. The secretary's term of appointment shall be for a period of three years, except that the council may, by a simple majority, terminate that appointment prior to the conclusion of the three year period. The council may also employ and fix the compensation of such other expert and clerical staff as it may deem appropriate, within the limits of funds appropriated or otherwise made available to it.
L.1993, c.149, s.2.
52:9H 36 Council's duties.
3. The council shall:
a. Submit to the Governor and the Legislature a comprehensive annual report analyzing current economic conditions and forecasting future economic trends, which report shall be submitted not later than January 31 of each year.
b. Submit to the Governor and the Legislature and any executive department or agency of State government such special and supplementary reports as it deems appropriate in accordance with the purposes of this act.
c. Assist the members of the Senate Budget and Appropriations Committee and the Assembly Appropriations Committee, or their successors, during their appropriations hearings and deliberations, by providing to these committees, by May 15 of each year, forecasts of economic conditions for the coming fiscal year.
d. Assist the Governor in the preparation of his annual budget message, by providing the Governor, by November 15 of each year, forecasts of economic conditions for the coming fiscal year.
e. Assist the State Revenue Forecasting Advisory Commission by providing it timely analyses of current and anticipated future economic conditions.
f. Advise the Governor and the Legislature and any executive department or agency of the State government on issues involving the use of economic data and explain the methodologies utilized to analyze this data.
g. Make available for public dissemination all official copies of reports, with supporting analyses and data, following their submission to the Governor, or the Legislature or its committees.
L.1993, c.149,s.3.
52:9H 37 Powers of council.
4. a. The council shall be entitled to call to its assistance and avail itself of the services of employees of any State, county or municipal department, board, bureau, commission or agency as it may require and as may be available to it for its purposes, and to employ counsel and stenographic and clerical assistants and incur traveling and other miscellaneous expenses as it may deem necessary, in order to perform its duties, and as may be within the limits of funds appropriated or otherwise made available to it for its purposes.
b. The council may make use of existing studies, surveys, data and other materials in the possession of any State agency, other than the records and files of the Director of the Division of Taxation that are confidential under R.S.54:50 8, and such material in the possession of any county, municipality or political subdivision of the State. Each State agency, county, municipality and political subdivision of the State shall make any information or materials available to the council as it may require to perform its responsibilities under this act.
c. The Attorney General shall provide legal assistance to the council.
##### **§ 52:9H-38** "Corporation Business Tax Excess Revenue Fund." {#sec-52-9h-38 omnilex-key=us-nj-statutes--title-52--52:9H-38}
32. a. There is hereby created within the General Fund a restricted reserve fund to be known as the "Corporation Business Tax Excess Revenue Fund." The State Treasurer shall credit to the "Corporation Business Tax Excess Revenue Fund," on or before December 31 annually in 2003, 2004 and 2005, the amounts, if any, by which the State revenues derived from the corporation business tax in the prior fiscal year exceeded the target amount for that fiscal year; provided however, that if the total General Fund revenue for State Fiscal Year 2003 is less than the amount certified for that year, then the amount credited to the fund shall be reduced by that difference. Moneys credited to the "Corporation Business Tax Excess Revenue Fund" may be invested in the same manner as assets of the General Fund and any investment earnings on the "Corporation Business Tax Excess Revenue Fund" shall accrue to the "Corporation Business Tax Excess Revenue Fund." For the purposes of section 3 of P.L.1990, c.44 (C.52:9H-16), amounts credited to the "Corporation Business Tax Excess Revenue Fund" shall not be included in the determination of funds deposited in the General Fund.
b. Balances in the "Corporation Business Tax Excess Revenue Fund" may be appropriated by the Legislature during State fiscal year 2004 or 2005 in the event that the revenue collections from the corporation business tax are less than the target amount for that fiscal year.
c. If balances remain in the Corporation Business Tax Excess Revenue Fund on December 30, 2005, the Director of the Division of Taxation shall adjust proportionately the tax rates in section 5 of P.L.1945, c.162 (C.54:10A-5) as it applies to privilege periods commencing during calendar year 2006 so as to reduce the expected revenue thereunder by an amount equal to the balance in the fund.
d. As used in this section, "target amount" means $1,823,000,000 for State fiscal year 2003, and for each State fiscal year thereafter means the target amount for the prior fiscal year multiplied by the weighted average rate of growth of the rate of growth of the State revenue collections pursuant to the "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq. and the State revenue collections pursuant to the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), which weighted average rate of growth shall be measured by the amount of anticipated revenue from those two sources certified by the Governor upon approval of the annual appropriation act for the current fiscal year over both the amount of revenue from the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.) actually deposited in the General Fund in the immediately-preceding fiscal year and the amount of revenue from the "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq., actually deposited in the Property Tax Relief Fund in the immediately-preceding fiscal year, as determined from the annual financial report of the State for the fiscal year immediately preceding.
##### **§ 52:9H-39** "New Jersey Tax and Fiscal Policy Study Commission"; membership. {#sec-52-9h-39 omnilex-key=us-nj-statutes--title-52--52:9H-39}
1. a. There is established a commission in but not of the Department of the Treasury to be known as the "New Jersey Tax and Fiscal Policy Study Commission." The commission shall consist of nine members, of whom five shall be appointed by the Governor, and one shall be appointed by each of the President of the Senate, the Senate Minority Leader, the Speaker of the General Assembly, and the Assembly Minority Leader.
b. In appointing the commission members, the appointing authorities shall select academic and business and other professionals who have knowledge and practical experience in tax policy, implementation, practice, administration and regulation and in governmental finance and fiscal management. No member shall be a nominee for, or hold, an elective office, other than on a local board of education, and no member shall be the head of a principal department of State government or hold cabinet-level rank.
c. Members of the commission shall serve for a term of four years, except that of the appointments first made to the commission by the Governor, two of the appointments shall serve for a term of two years, and except that the appointments first made by the Senate Minority Leader and the Assembly Minority Leader shall be for a term of two years. The term of each member shall be deemed to commence on July 1 of the calendar year of the appointment and shall expire on June 30 of the second or fourth calendar year thereafter, as the case may be for the first or subsequent appointments, but members shall continue to serve during a succeeding term until the appointment and qualification of a successor. Any vacancy during a term shall be filled in the same manner as the original appointment but only for the balance of the unexpired term. Members shall be eligible for reappointment to successive terms. Any member of the commission may be removed for cause by the Governor. The members shall serve without compensation but shall be reimbursed for necessary expenses incurred in the performance of their duties, subject to the availability of funds therefor.
d. The commission shall organize as soon as may be practicable following the appointment of its members, to elect a chairperson, and to select a secretary, who need not be a member of the commission. The commission may formulate and adopt rules of procedure and operation in furtherance of its responsibilities. The commission may divide itself into such subcommittees and task forces, which task forces may include persons other than members of the commission such as academics, government officers or professionals, and may enter into such cooperative arrangements with academic or research institutions, as it deems necessary to accomplish its purposes. Persons serving on task forces other than members of the commission shall serve at the appointment of the chairperson and shall be non-voting participants in the task forces. The commission may meet and hold hearings at such places and times as it shall designate.
##### **§ 52:9H-40** Duties of commission. {#sec-52-9h-40 omnilex-key=us-nj-statutes--title-52--52:9H-40}
2. The commission shall engage in a continuous study of the State and local tax structure and related fiscal issues with regard to the laws relating to the imposition, assessment and collection of State and local taxes, with attention given, but not limited to: the ways in which the tax laws may be revised to ensure greater efficiency and equity in the assessment and collection of taxes; the identification and quantification of provisions that represent revenue policy and provisions that reflect indirect expenditure policy; the relative incidence of tax burdens and the effects of redistributing tax burdens or tax bases; and the methods for providing funds for government services and infrastructure.
The commission shall report annually on or before January 1 to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature summarizing its activities in the prior year and its planned activities for the current year and shall submit interim reports setting forth the results of its studies and making such recommendations of legal, administrative and organizational changes as the committee determines are appropriate.
The commission shall also make any appropriate studies, subject to the limitations of the commission's resources, that are requested by the Governor, the President of the Senate, or the Speaker of the General Assembly, notifying each of those officers of any request made by another.
##### **§ 52:9H-41** Executive director, staff, availability of services. {#sec-52-9h-41 omnilex-key=us-nj-statutes--title-52--52:9H-41}
3. a. The commission shall be entitled to appoint an executive director and a staff and to call to its assistance and avail itself of the services of employees of any State, county or municipal department, board, bureau, commission or agency or authority as it may require and as may be available to it for its purposes, and to employ counsel and contract for professional and consulting services, and employ any stenographic and clerical assistants, and incur traveling and other miscellaneous expenses as it may deem necessary, in order to perform its duties, and as may be within the limits of funds appropriated or otherwise made available to it for its purposes.
b. The commission may make use of existing studies, surveys, data and other materials in the possession of any State agency or authority and such materials in the possession of any county, municipality or political subdivision of the State, other than the records and files of the Director of the Division of Taxation that are confidential under R.S.54:50-8, but may direct the Director of the Division of Taxation to prepare for publication statistics so classified as to prevent the identification of a particular report and the items thereof. Each State agency, authority, county, municipality and political subdivision of the State shall make any information or materials available to the commission as it may require to perform its responsibilities under this act.
##### **§ 52:9H-42** Report on tax levy caps to Governor, Legislature. {#sec-52-9h-42 omnilex-key=us-nj-statutes--title-52--52:9H-42}
15. On or before January 15, 2012, the New Jersey Tax and Fiscal Policy Study Commission created by P.L.2007, c.43 (C.52:9H-39 et seq.) shall report to the Governor and Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), evaluating the efficacy of the tax levy caps and making recommendations.
## **Chapter 9HH**
##### **§ 52:9HH-1** Pension and Health Benefits Review Commission {#sec-52-9hh-1 omnilex-key=us-nj-statutes--title-52--52:9HH-1}
1. There is hereby established a Pension and Health Benefits Review Commission. The commission shall consist of 10 members: the State Treasurer and three other members of the Executive Branch, who shall be designated by the Governor and who shall serve at the Governor's pleasure; two public members to be appointed by the President of the Senate, no more than one of whom shall be of the same political party; two public members to be appointed by the Speaker of the General Assembly, no more than one of whom shall be of the same political party; and two public members, no more than one of whom shall be of the same political party, to be appointed by the Governor with the advice and consent of the Senate.
Public members appointed by the Governor shall serve for a term of four years and until their respective successors are appointed and qualified, except that of the public members first appointed, one shall serve for a term of two years and one shall serve for a term of four years. Public members appointed by the President of the Senate or Speaker of the General Assembly shall serve during the two-year legislative term in which the appointment is made and until their respective successors are appointed and qualified. Any vacancy in the membership of the commission shall be filled for the balance of the unexpired term in the same manner as the original appointment was made.
A chairman of the commission shall be designated by the Governor from among its public members and shall serve at the pleasure of the Governor.
Members of the commission shall serve without compensation but shall be entitled to reimbursement for expenses actually incurred in the performance of their duties.
##### **§ 52:9HH-2** Commission's review and recommendation of legislation {#sec-52-9hh-2 omnilex-key=us-nj-statutes--title-52--52:9HH-2}
2. a. It shall be the duty of the commission to review any bill, joint resolution or concurrent resolution introduced in either House of the Legislature which establishes or modifies pension benefits or health benefits for public employees in this State. Such a review shall include, but not be limited to, an analysis of the bill's or resolution's fiscal impact on the retirement system and on the public employer, any comments upon or recommendations concerning the legislation, and any alternatives to the legislation which the commission may wish to suggest.
b. Not later than the 20th day after the date of introduction of any bill or resolution in either House of the Legislature, the Legislative Budget and Finance Officer shall review it in order to determine whether the bill or resolution constitutes pension or health benefits legislation. If, on the basis of that review, the Legislative Budget and Finance Officer determines that the bill or resolution constitutes such legislation, that officer shall promptly give written notice of that determination to the commission, the presiding officer of the House in which the bill or resolution was introduced and the chairman of the standing reference committee of that House to which the bill or resolution may have been referred. Not later than the 45th day after the date of introduction of any bill or resolution in either House of the Legislature which the Legislative Budget and Finance Officer has determined constitutes pension or health benefits legislation, the commission shall complete its review and provide its comments and recommendations in writing to the presiding officer of the House in which the bill or resolution was introduced and to the chairman of the standing reference committee of that House to which the bill or resolution may have been referred. If the commission requests an extension prior to the 45th day after the date of introduction of a bill or resolution, the presiding officer of the House in which the bill or resolution was introduced may grant an extension for the commission to complete its review of the bill or resolution. The House or committee shall not consider or vote upon the bill or resolution until either the commission completes its review and provides its comments and recommendations in writing to the presiding officer and the chairman, or the 45th day after the date of introduction of the bill or resolution, or the designated day in the case of an extension. If the presiding officer of the House in which the bill or resolution was introduced determines that the bill or resolution is an urgent matter, he shall so notify in writing the commission and the chairman of the standing reference committee to which the bill or resolution may have been referred, and the House or committee may consider and vote upon the bill or resolution as soon as practicable.
##### **§ 52:9HH-2.1** Review of pensions, health benefits legislation {#sec-52-9hh-2.1 omnilex-key=us-nj-statutes--title-52--52:9HH-2.1}
3. Pursuant to P.L.1991, c.382 (C.52:9HH-1 et seq.), the Pension and Health Benefits Review Commission shall review every bill, joint resolution, or concurrent resolution introduced in either House of the Legislature which constitutes pensions or health benefits legislation as defined by P.L.1991, c.382, and as determined by the Legislative Budget and Finance Officer pursuant to that act.
##### **§ 52:9HH-3** Assistance and services to the Commission {#sec-52-9hh-3 omnilex-key=us-nj-statutes--title-52--52:9HH-3}
3. a. The commission shall be entitled to the assistance and services of the employees of any State, county or municipal department, board, bureau, commission or agency as it may require and as may be available to it for these purposes, and to employ stenographic and clerical assistants and incur traveling and other miscellaneous expenses as necessary, to perform its duties, and within the limits of funds appropriated or otherwise made available to it for these purposes.
b. The Division of Pensions in the Department of the Treasury shall assist the commission in the performance of its duties. The commission may make use of existing studies, data or other materials in the possession of the division and may request the assistance and services of the division's employees.
c. The employees of any State agency or political subdivision of the State may serve at the request of the commission upon any advisory committee which the commission may create and these employees may serve upon these committees without forfeiture of office or employment and with no loss or diminution in the compensation, status, rights and privileges which they otherwise enjoy.
##### **§ 52:9HH-4** Hearings {#sec-52-9hh-4 omnilex-key=us-nj-statutes--title-52--52:9HH-4}
4. The commission may meet and hold hearings at the place or places it designates, at which it may request the appearance of officials of any State agency or political subdivision of the State and may solicit the testimony of interested groups and the general public.
##### **§ 52:9HH-5** Rules and regulations {#sec-52-9hh-5 omnilex-key=us-nj-statutes--title-52--52:9HH-5}
5. The commission may adopt, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), such rules and regulations as it shall deem necessary to carry out its functions.
##### **§ 52:9HH-6** Reports {#sec-52-9hh-6 omnilex-key=us-nj-statutes--title-52--52:9HH-6}
6. The commission shall report on its activities by December 31st of each year to the Legislature and may issue periodic reports concerning public employee pension and health benefits.
## **Chapter 9J**
##### **§ 52:9J-1** Creation of commission {#sec-52-9j-1 omnilex-key=us-nj-statutes--title-52--52:9J-1}
There is hereby created a permanent commission to investigate and study the subject of the protection and preservation of beaches and shore front of the State from erosion and other damage from the elements, to effectuate such protection and preservation of the said beaches and shore front, and other purposes incidental thereto.
##### **§ 52:9J-2** Name of commission; composition; terms; vacancies; no remuneration; expenses {#sec-52-9j-2 omnilex-key=us-nj-statutes--title-52--52:9J-2}
The name of the said commission shall be the State Beach Erosion Commission, and the said commission shall be composed of four members of the Senate to be appointed by the President of the Senate, four members of the General Assembly to be appointed by the Speaker thereof, and four members, at large, to be appointed by the Governor.
The terms of the members appointed by the President of the Senate and the Speaker of the General Assembly shall continue from the date of their respective appointments until the second Tuesday in January following. The term of each commissioner appointed by the Governor shall be four years. Vacancies occurring otherwise than by expiration of term shall be filled in the same manner as though occurring by expiration of term but for the unexpired terms only. The members of the commission shall serve without remuneration but shall be reimbursed for all expenses incurred in connection with the work of the commission.
##### **§ 52:9J-3** Duties {#sec-52-9j-3 omnilex-key=us-nj-statutes--title-52--52:9J-3}
In connection with the effectuation of its purposes, the commission shall consider and provide ways and means to protect and preserve the beaches and shore front of the State by the erection and construction of seawalls, bulkheads, jetties, basins and other devices, and shall take into consideration dredging and other methods suitable for said purposes. The said commission shall also take into consideration the advisability of repairing existing seawalls, bulkheads, jetties, basins and other similar devices.
##### **§ 52:9J-4** Chairman; by-laws; assistance to commission {#sec-52-9j-4 omnilex-key=us-nj-statutes--title-52--52:9J-4}
The members of the commission shall choose one of their number to be chairman and may adopt by-laws for the regulation of its meetings and to carry out its purposes. The several State departments and agencies shall render assistance to the commission in making its studies when called upon to do so by the commission.
##### **§ 52:9J-5** Meetings; annual reports {#sec-52-9j-5 omnilex-key=us-nj-statutes--title-52--52:9J-5}
The commission may hold meetings in any part of the State and shall annually report to the Legislature and to the Governor and any such report may embody the findings and recommendations, including planning and other proposals of the commission.
##### **§ 52:9J-6** Appropriation {#sec-52-9j-6 omnilex-key=us-nj-statutes--title-52--52:9J-6}
There is hereby appropriated to the commission from the general funds of the State the sum of thirty-five thousand dollars ($35,000.00), when included in any annual appropriation act, for payment of expenses incurred and services required in preparing a State program for coast protection based upon the regional planning concept.
##### **§ 52:9J-7** Commission previously created required to turn over material {#sec-52-9j-7 omnilex-key=us-nj-statutes--title-52--52:9J-7}
The commission created by Joint Resolution Number nine of the laws of one thousand nine hundred and forty-eight, shall turn over to the commission, created by this act, any and all material which it may have relating to its studies, hearings and report to the Governor and the Legislature.
## **Chapter 9M**
##### **§ 52:9M-1** State Commission of Investigation. {#sec-52-9m-1 omnilex-key=us-nj-statutes--title-52--52:9M-1}
1. There is hereby created a permanent State Commission of Investigation. The commission shall consist of four members, to be known as commissioners.
Two members of the commission shall be appointed by the Governor. One each shall be appointed by the President of the Senate and by the Speaker of the General Assembly. Each member shall serve for a term of four years and until the appointment and qualification of his successor. No person shall serve, in succession, more than two four-year terms and any portion of an unexpired term as a member of the commission. The Governor shall designate one of the members to serve as chairman of the commission.
The members of the commission appointed by the President of the Senate and the Speaker of the General Assembly and at least one of the members appointed by the Governor shall be attorneys admitted to the bar of this State. No member or employee of the commission shall hold any other public office or public employment. No member of the commission shall have held any elective office or have been a candidate for any elective office within the one year preceding his appointment to the commission. No member of the commisson shall hold any elective office or be a candidate for any elective office within the one year subsequent to his termination of service as a member of the commission.Not more than two of the members shall belong to the same political party.
Each member of the commission shall receive an annual salary of $35,000. Each member shall also be entitled to reimbursement for his expenses actually and necessarily incurred in the performance of his duties, including expenses of travel outside of the State.
Vacancies on the commission shall be filled for the unexpired terms in the same manner as original appointments. Vacancies on the commission shall be filled by the appropriate appointing authority within 120 days. If the appropriate appointing authority does not fill a vacancy within that time period, the vacancy shall be filled by the Chief Justice of the Supreme Court within 60 days. A vacancy on the commission shall not impair the right of the remaining members to exercise all the powers of the commission.
Any determination made by the commission shall be by majority vote. "Majority vote" means the affirmative vote of at least three members of the commission if there are no vacancies on the commission or the affirmative vote of at least two members of the commission if there is a vacancy.
##### **§ 52:9M-1.1** Terms of member appointed after December 1, 1978. {#sec-52-9m-1.1 omnilex-key=us-nj-statutes--title-52--52:9M-1.1}
2. Terms of members appointed after December 1, 1978. Notwithstanding the provisions of section 1 of this act (C.52:9M-1) and in order to effect the staggering of the terms of members of the commission notwithstanding the term for which they were originally appointed, the terms of the members appointed after December 1, 1978 shall be as follows: the first member appointed by the Governor, 36 months; the second member appointed by the Governor, 18 months; the member appointed by the President of the Senate, 30 months; the member appointed by the Speaker of the General Assembly, 24 months. Thereafter, the terms of the members shall be as provided in P.L.1968, c.266, s.1 (C.52:9M-1).
##### **§ 52:9M-1.2** Terms of members of the State Commission of Investigation serving on or appointed after the effective date of P.L.2005, c.58 (C.52:9M-1.2 et al) {#sec-52-9m-1.2 omnilex-key=us-nj-statutes--title-52--52:9M-1.2}
5. Terms of members of the State Commission of Investigation serving on or appointed after the effective date of P.L.2005, c.58 (C.52:9M-1.2 et al).
a. End of Terms. Notwithstanding the provisions of section 1 of P.L.1968, c.266 (C.52:9M-1) and the terms for which the members were originally appointed, the terms of the members in office on the effective date of P.L.2005, c.58 (C.52:9M-1.2 et al) shall end before 12 o'clock noon on the following dates: the term of the member appointed by the Governor on or after November 5, 2004 would end on December 31, 2008; the term of the member appointed by the Governor after December 31, 2001 but before November 2004 would end on December 31, 2007; the term of the member appointed by the President of the Senate before December 31, 2002 would end on December 31, 2006; and the term of the member appointed by the Speaker of the General Assembly after December 31, 2001 would end on December 31, 2005.
b. Beginning of Terms. After terms end pursuant to subsection a. of this section, the four-year terms of the members appointed shall be as provided in section 1 of P.L.1968, c. 266 (C. 52:9M-1) in order to effect the staggering of terms, with each term of the members next appointed beginning at 12 o'clock noon as follows: one appointment by the Governor for which the member's term shall begin on December 31, 2008; a second appointment by the Governor for which the member's term shall begin on December 31, 2007; an appointment by the Senate President for which the member's term shall begin on December 31, 2006; and an appointment by the Speaker of the General Assembly for which the member's term shall begin on December 31, 2005.
##### **§ 52:9M-1.3** Limitation on terms of certain members. {#sec-52-9m-1.3 omnilex-key=us-nj-statutes--title-52--52:9M-1.3}
6. Any member of the State Commission of Investigation who is currently serving the member's first or second three-year term or portion of an unexpired term on the effective date of P.L.2005, c.58 (C.52:9M-1.2 et al) shall be subject to the provisions of subsection a. of section 5 of P.L.2005, c.58 (C.52:9M-1.2) and shall be eligible to be reappointed to the commission for not more than one additional four-year term beginning as set forth in subsection b. of section 5 of P.L.2005, c.58 (C.52:9M-1.2).
##### **§ 52:9M-2** Duties and powers {#sec-52-9m-2 omnilex-key=us-nj-statutes--title-52--52:9M-2}
The commission shall have the duty and power to conduct investigations in connection with:
a. The faithful execution and effective enforcement of the laws of the State, with particular reference but not limited to organized crime and racketeering;
b. The conduct of public officers and public employees, and of officers and employees of public corporations and authorities;
c. Any matter concerning the public peace, public safety and public justice.
##### **§ 52:9M-3** Investigation of removal of public officers and recommendations on administration and enforcement of law {#sec-52-9m-3 omnilex-key=us-nj-statutes--title-52--52:9M-3}
At the direction of the Governor or by concurrent resolution of the Legislature the commission shall conduct investigations and otherwise assist in connection with:
a. The removal of public officers by the Governor;
b. The making of recommendations by the Governor to any other person or body, with respect to the removal of public officers;
c. The making of recommendations by the Governor to the Legislature with respect to changes in or additions to existing provisions of law required for the more effective enforcement of the law.
d. The Legislature's consideration of changes in or additions to existing provisions of law required for the more effective administration and enforcement of the law.
##### **§ 52:9M-4** Investigation of departments or agencies {#sec-52-9m-4 omnilex-key=us-nj-statutes--title-52--52:9M-4}
At the direction or request of the Legislature by concurrent resolution or of the Governor or of the head of any department, board, bureau, commission, authority or other agency created by the State, or to which the State is a party, the commission shall investigate the management or affairs of any such department, board, bureau, commission, authority or other agency; provided, however, that if the commission determines that the requests for investigations from the Legislature, the Governor or the head of any department, board, bureau, commission, authority or other agency created by the State or to which the State is a party, exceed the commission's capacity to perform such investigations, they may, by resolution, ask the Governor or the Attorney General or the Legislature in the case of a legislative request, to review those requests upon which it finds itself unable to proceed.
##### **§ 52:9M-4.1** Public hearing; notice to President of Senate and Speaker of General Assembly {#sec-52-9m-4.1 omnilex-key=us-nj-statutes--title-52--52:9M-4.1}
Within 5 days after the adoption of a resolution authorizing a public hearing and not less than 7 days prior to that public hearing, the commission shall advise the President of the Senate and the Speaker of the General Assembly that such public hearing has been scheduled. The President and the Speaker shall, after reviewing the subject matter of the hearing, refer such notice to the appropriate standing committee of each house.
##### **§ 52:9M-4.2** Advice to Governor and legislature of recommendations {#sec-52-9m-4.2 omnilex-key=us-nj-statutes--title-52--52:9M-4.2}
The commission shall, within 120 days of holding a public hearing, advise the Governor and the Legislature of any recommendations for administrative or legislative action which they have developed as a result of the public hearing.
##### **§ 52:9M-4.3** Recommendations concerning pending bill or resolution; advice to sponsor and chairman of standing legislative committee {#sec-52-9m-4.3 omnilex-key=us-nj-statutes--title-52--52:9M-4.3}
Prior to making any recommendations concerning a bill or resolution pending in either house of the Legislature, the commission shall advise the sponsor of such bill or resolution and the chairman of any standing legislative committee to which such bill or resolution has been referred of such recommendations.
##### **§ 52:9M-5** Cooperation with law enforcement officials {#sec-52-9m-5 omnilex-key=us-nj-statutes--title-52--52:9M-5}
Upon request of the Attorney General, a county prosecutor or any other law enforcement official, the commission shall co-operate with, advise and assist them in the performance of their official powers and duties.
##### **§ 52:9M-6** Investigations of federal law violations {#sec-52-9m-6 omnilex-key=us-nj-statutes--title-52--52:9M-6}
The commission shall co-operate with departments and officers of the United States Government in the investigation of violations of the Federal Laws within this State.
##### **§ 52:9M-7** Law enforcement problems extending into other states {#sec-52-9m-7 omnilex-key=us-nj-statutes--title-52--52:9M-7}
The commission shall examine into matters relating to law enforcement extending across the boundaries of the State into other States; and may consult and exchange information with officers and agencies of other States with respect to law enforcement problems of mutual concern to this and other States.
##### **§ 52:9M-8** Referral of certain information to Attorney General, exceptions {#sec-52-9m-8 omnilex-key=us-nj-statutes--title-52--52:9M-8}
8. a. Except as provided in subsection c. of this section, whenever the commission or any employee of the commission obtains any information or evidence of a reasonable possibility of criminal wrongdoing, the commission shall immediately refer such information or evidence to the Attorney General.
b. Except as provided in subsection c. of this section, whenever the commission or any employee of the commission obtains information or evidence of cause for the removal or discipline of a public official or public employee, the commission shall, as soon as practicable, refer such information or evidence to the Attorney General unless the commission shall, by majority vote, determine that special circumstances exist which require the delay in transmittal of the information or evidence.
c. Whenever the commission or any employee of the commission obtains any information or evidence of criminal wrongdoing or misconduct on the part of the Attorney General, the commission shall immediately refer such information or evidence to the Governor, the Senate President and the Speaker of the General Assembly for further direction to the commission pursuant to section 3 of P.L. 1968, c.266 (C.52:9M-3) or for any other action authorized by the laws of this State or of the United States.
d. Whenever the commission or any employee of the commission obtains any information or evidence indicating a reasonable possibility of an unauthorized disclosure of information or a violation of any provision of P.L. 1968, c.266 (C.52:9M-1 et seq.), the commission shall immediately refer such information to the Attorney General.
##### **§ 52:9M-8.1** Written notice to Attorney General of intention to issue report {#sec-52-9m-8.1 omnilex-key=us-nj-statutes--title-52--52:9M-8.1}
7. At least seven days prior to the issuance of a report disclosing any information or evidence of a reasonable possibility of criminal wrongdoing, the State Commission of Investigation shall give written notice to the Attorney General of the commission's intention to issue that report and afford the Attorney General an opportunity to be heard with respect to any objections the Attorney General has to the issuance of the report. At the request of the Attorney General, the commission may delay the issuance of a report containing evidence of a reasonable possibility of criminal wrongdoing for a period of up to 120 days.
##### **§ 52:9M-9** Commission employees; appointment removal, compensation, status {#sec-52-9m-9 omnilex-key=us-nj-statutes--title-52--52:9M-9}
9. The commission shall be authorized to appoint and employ and at pleasure remove an executive director, counsel, investigators, accountants, and such other persons as it may deem necessary, without regard to civil service; and to determine their duties and fix their salaries or compensation within the amounts appropriated therefor. All commission personnel shall be deemed confidential employees for purposes of the "New Jersey Employer-Employee Relations Act," P.L.1941, c.100 (C.34:13A-1 et seq.). Investigators and accountants appointed by the commission shall be and have all the powers of peace officers.
##### **§ 52:9M-10** Annual, interim reports to Governor, Legislature {#sec-52-9m-10 omnilex-key=us-nj-statutes--title-52--52:9M-10}
10. The commission shall make an annual report to the Governor and Legislature which shall include its recommendations. The commission shall, consistent with the provisions of sections 7 and 8 of P.L.1996, c.44 (C.52:9M-8.1 and C.52:9M-12.2), make such further interim reports to the Governor and Legislature, or either thereof, as it shall deem advisable, or as shall be required by the Governor or by concurrent resolution of the Legislature.
##### **§ 52:9M-11** Commission to keep public informed {#sec-52-9m-11 omnilex-key=us-nj-statutes--title-52--52:9M-11}
11. By such means and to such extent as it shall deem appropriate, the commission shall, consistent with the provisions of sections 7 and 8 of P.L.1996, c.44 (C.52:9M-8.1 and C.52:9M-12.2) keep the public informed as to the operations of organized crime, problems of criminal law enforcement in the State and other activities of the commission.
##### **§ 52:9M-12** Commission's powers; witnesses {#sec-52-9m-12 omnilex-key=us-nj-statutes--title-52--52:9M-12}
12. With respect to the performance of its functions, duties and powers and subject to the limitation contained in paragraph d. of this section, the commission shall be authorized as follows:
a. To conduct any investigation authorized by this act at any place within the State; and to maintain offices, hold meetings and function at any place within the State as it may deem necessary;
b. To conduct private and public hearings, and to designate a member of the commission to preside over any such hearing; no public hearing shall be held except after adoption of a resolution by majority vote, and no public hearing shall be held by the commission until after the Attorney General and the appropriate county prosecutor or prosecutors shall have been given at least seven days' written notice of the commission's intention to hold such a public hearing and afforded an opportunity to be heard in respect to any objections they or either of them may have to the commission's holding such a hearing;
c. To administer oaths or affirmations, subpena witnesses, compel their attendance, examine them under oath or affirmation, and require the production of any books, records, documents or other evidence it may deem relevant or material to an investigation; and the commission may designate any of its members or any member of its staff to exercise any such powers;
d. Unless otherwise instructed by a resolution adopted by a majority of the members of the commission, every witness attending before the commission shall be examined privately and the commission shall not make public the particulars of such examination. The commission shall not have the power to take testimony at a private hearing or at a public hearing unless at least two of its members are present at such hearing, except that the commission shall have the power to conduct private hearings, on an investigation previously undertaken by a majority of the members of the commission, with one commissioner present, when so designated by resolution;
e. Witnesses summoned to appear before the commission shall be entitled to receive the same fees and mileage as persons summoned to testify in the courts of the State.
If any person subpenaed pursuant to this section shall neglect or refuse to obey the command of the subpena, any judge of the Superior Court or any municipal court may, on proof by affidavit of service of the subpena, payment or tender of the fees required and of refusal or neglect by the person to obey the command of the subpena, issue a warrant for the arrest of said person to bring him before the judge, who is authorized to proceed against such person as for a contempt of court.
##### **§ 52:9M-12.1** Witnesses at hearing, rights, notice, statement {#sec-52-9m-12.1 omnilex-key=us-nj-statutes--title-52--52:9M-12.1}
9. a. No person may be required to appear at a hearing or to testify at a hearing unless there has been personally served upon him prior to the time when he is required to appear, a copy of P.L.1968, c.266 as amended and supplemented, and a general statement of the subject of the investigation. A copy of the resolution, statute, order or other provision of law authorizing the investigation shall be furnished by the commission upon request therefor by the person summoned.
b. A witness summoned to a hearing shall have the right to be accompanied by counsel, who shall be permitted to advise the witness of his rights, subject to reasonable limitations to prevent obstruction of or interference with the orderly conduct of the hearing. Counsel for any witness who testifies at a public or private hearing may submit proposed questions to be asked of the witness relevant to the matters upon which the witness has been questioned and the commission shall ask the witness such of the questions as it may deem appropriate to its inquiry.
c. A complete and accurate record shall be kept of each public hearing and a witness shall be entitled to receive a copy of his testimony at such hearing at his own expense. Where testimony which a witness has given at a private hearing becomes relevant in a criminal proceeding in which the witness is a defendant, or in any subsequent hearing in which the witness is summoned to testify, the witness shall be entitled to a copy of such testimony, at his own expense, provided the same is available, and provided further that the furnishing of such copy will not prejudice the public safety or security.
d. A witness who testifies at any hearing shall have the right at the conclusion of his examination to file a brief sworn statement relevant to his testimony for incorporation in the record.
e. The commission shall make a good faith effort to notify any person whose name the commission believes will be mentioned in a potentially adverse context at a public hearing. Any person whose name is mentioned or will be mentioned or who is specifically identified and who believes that testimony or other evidence given at a public hearing or comment made by any member of the commission or its counsel at such a hearing tends to defame him or otherwise adversely affect his reputation shall have the right, either in private or in public or both at a reasonably convenient time to be set by the commission, to appear personally before the commission, and testify in his own behalf as to matters relevant to the testimony or other evidence complained of, or in the alternative, to file a statement of facts under oath relating solely to matters relevant to the testimony or other evidence complained of, which statement shall be incorporated in the record.
f. Nothing in this section shall be construed to prevent the commission from granting to witnesses appearing before it, or to persons who claim to be adversely affected by testimony or other evidence adduced before it, such further rights and privileges as it may determine.
##### **§ 52:9M-12.2** Notification to person criticized; response. {#sec-52-9m-12.2 omnilex-key=us-nj-statutes--title-52--52:9M-12.2}
8. a. The commission shall make a good faith effort to notify any person whose conduct it intends to criticize in a proposed report.
b. The notice required under subsection a. of this section shall describe the general nature and the context of the criticism, but need not include any portion of the proposed report or any testimony or evidence upon which the report is based.
c. A person receiving notice under subsection a. of this section shall have 15 days to submit a response, signed by that person under oath or affirmation. Thereafter the commission shall consider the response and shall include the response in the report together with any relevant evidence submitted by that person; except that the commission may redact from the response any discussion or reference to a person who has not received a notice under subsection a. of this section.
d. Nothing in this section shall be construed to prevent the commission from granting such further rights and privileges, as it may determine, to any person whose conduct it intends to criticize in a proposed report.
e. Notwithstanding the provisions of R.S.1:1-2, nothing in this section shall be deemed to apply to any entity other than a natural person.
##### **§ 52:9M-13** Construction of sections 2 through 12 of act {#sec-52-9m-13 omnilex-key=us-nj-statutes--title-52--52:9M-13}
Nothing contained in sections 2 through 12 of this act shall be construed to supersede, repeal or limit any power, duty or function of the Governor or any department or agency of the State, or any political subdivision thereof, as prescribed or defined by law.
##### **§ 52:9M-14** Cooperation and assistance of state departments and agencies {#sec-52-9m-14 omnilex-key=us-nj-statutes--title-52--52:9M-14}
The commission may request and shall receive from every department, division, board, bureau, commission, authority or other agency created by the State, or to which the State is a party, or of any political subdivision thereof, co-operation and assistance in the performance of its duties.
##### **§ 52:9M-15** Disclosure of information, violation, penalties; privilege, certain; OPRA not applicable. {#sec-52-9m-15 omnilex-key=us-nj-statutes--title-52--52:9M-15}
15. a. Any person conducting or participating in any examination or investigation who shall disclose or any person who, coming into possession of or knowledge of the substance of any examination or investigation, shall disclose, or any person who shall cause, encourage or induce a person, including any witness or informant, to disclose, other than as authorized or required by law, to any person other than the commission or an officer having the power to appoint one or more of the commissioners the name of any witness examined, or any information obtained or given upon such examination or investigation, except as directed by the Governor or commission, or any person other than a member or employee of the commission or any person entitled to assert a legal privilege who, coming into possession of or knowledge of the substance of any pending examination or investigation who fails to advise the Attorney General and the commission of such possession or knowledge and to deliver to the Attorney General and the commission any documents or materials containing such information, shall be guilty of a misdemeanor until September 1, 1979 when such person shall be guilty of a crime of the third degree. Any member or employee of the commission who shall violate this section shall be dismissed from his office or discharged from his employment.
b. Any statement made by a member of the commission or an employee thereof relevant to any proceedings before or investigative activities of the commission shall be absolutely privileged and such privilege shall be a complete defense to any action for libel or slander; provided, however, that nothing in this subsection shall be deemed to grant immunity for conduct that was outside the scope of his employment or constituted a crime, actual fraud, actual malice or willful misconduct.
c. Nothing contained in this section shall in any way prevent the commission from furnishing information or making reports, as required by this act, or from furnishing information to the Legislature, or to a standing reference committee thereof, pursuant to a resolution duly adopted by a standing reference committee or pursuant to a duly authorized subpena or subpena duces tecum, provided, however, that nothing herein shall be deemed to preclude the commission from seeking from a court of competent jurisdiction a protective order to avoid compliance with such subpena or duces tecum.
d. Nothing in P.L.1963, c.73 (C.47:1A-1 et seq.), as amended and supplemented by P.L.2001, c.404, shall be construed to require the commission to disclose any information acquired or any records created, except as provided by this section.
##### **§ 52:9M-16** Exhibits; impounding by court {#sec-52-9m-16 omnilex-key=us-nj-statutes--title-52--52:9M-16}
Upon the application of the commission, or a duly authorized member of its staff, the Superior Court or a judge thereof may impound any exhibit marked in evidence in any public or private hearing held in connection with an investigation conducted by the commission, and may order such exhibit to be retained by, or delivered to and placed in the custody of, the commission. When so impounded such exhibit shall not be taken from the custody of the commission, except upon further order of the court made upon 5 days' notice to the commission or upon its application or with its consent.
##### **§ 52:9M-17** Grant of immunity to criminal prosecution or penalty; contempt; incarceration {#sec-52-9m-17 omnilex-key=us-nj-statutes--title-52--52:9M-17}
a. If, in the course of any investigation or hearing conducted by the commission pursuant to this act, a person refuses to answer a question or questions or produce evidence of any kind on the ground that he will be exposed to criminal prosecution or penalty or to a forfeiture of his estate thereby, the commission may order the person to answer the question or questions or produce the requested evidence and confer immunity as in this section provided. No order to answer or produce evidence with immunity shall be made except by majority vote and after the Attorney General, the United States Attorney for New Jersey and the appropriate county prosecutor shall have been given at least seven days written notice of the commission's intention to issue such order and afforded an opportunity to be heard in respect to any objections they or either of them may have to the granting of immunity.
b. If upon issuance of such an order, the person complies therewith, he shall be immune from having such responsive answer given by him or such responsive evidence produced by him, or evidence derived therefrom used to expose him to criminal prosecution or penalty or to a forfeiture of his estate, except that such person may nevertheless be prosecuted for any perjury committed in such answer or in producing such evidence, or be prosecuted for willful refusal to give an answer or produce evidence in accordance with an order of the commission pursuant to section 13, or held in contempt for failing to give an answer or produce evidence in accordance with the order of the commission pursuant to section 11; and any such answer given or evidence produced shall be admissible against him upon any criminal investigation, proceeding or trial against him for such perjury, or upon any investigation, proceeding or trial against him for such contempt or willful refusal to give an answer or produce evidence in accordance with an order of the commission.
c. If the commission proceeds against any witness for contempt of court for refusal to answer, subsequent to a grant of immunity, said witness may be incarcerated at the discretion of the Superior Court; provided, however, that (1) no incarceration for civil contempt shall exceed a period of five years of actual incarceration exclusive of releases for whatever reason; (2) the commission may seek the release of a witness for good cause on appropriate motion to the Superior Court; and (3) nothing contained herein shall be deemed to limit any of the vested constitutional rights of any witness before the commission.
##### **§ 52:9M-17.1** Failure to answer questions after order; penalty {#sec-52-9m-17.1 omnilex-key=us-nj-statutes--title-52--52:9M-17.1}
a. Any person who shall willfully refuse to answer a question or questions or produce evidence after being ordered to do so by the State Commission of Investigation in accordance with the act to which this act is a supplement P.L.1968, c. 266 (C. 52:9M-1 et seq.) is guilty of a high misdemeanor until September 1, 1979, when such person shall be guilty of a crime of the second degree. Notwithstanding any other provision of law, no person imprisoned pursuant to this section shall be eligible for parole or reconsideration of sentence except upon a showing that after imposition of the sentence he testified or furnished the required evidence at a time when the commission's needs were substantially met. Action against such person shall ensue upon a complaint signed by the chairman upon resolution of the commission. Such complaint shall be referred for prosecution to the Attorney General.
b. The trial of a defendant for an indictment made pursuant to this act shall be stayed pending the disposition of any review on appeal of the commission's order to testify and the indictment shall be dismissed if the order to testify is set aside on appeal or if, within 30 days after the order to testify is sustained on appeal, the defendant notifies the commission that he will comply with the order and does so promptly upon being afforded an opportunity to do so.
c. Any period of incarceration for contempt of an order of the commission shall be credited against any period of imprisonment to which a defendant is sentenced pursuant to subsection a. of this section.
##### **§ 52:9M-18** Partial invalidity {#sec-52-9m-18 omnilex-key=us-nj-statutes--title-52--52:9M-18}
If any section, clause or portion of this act shall be unconstitutional or be ineffective in whole or in part, to the extent that it is not unconstitutional or ineffective it shall be valid and effective and no other section, clause or provision shall on account thereof be deemed invalid or ineffective.
##### **§ 52:9M-20** Special committee established in June of 2000 {#sec-52-9m-20 omnilex-key=us-nj-statutes--title-52--52:9M-20}
9. In June of 2000, a special committee shall be established to review the activities of the State Commission of Investigation for the purpose of determining whether the statutory authorization for the commission's operation will be renewed. The special committee shall consist of seven members: three members to be appointed by the Governor, no more than two of whom shall be of the same political party; two members to be appointed by the President of the Senate, no more than one of whom shall be of the same political party and two members to be appointed by the Speaker of the General Assembly, no more than one of whom shall be of the same political party. This committee shall submit its report to the Governor and the Legislature no later than January 1, 2001.
## **Chapter 9P**
##### **§ 52:9P-15** Program for observance of 250th anniversary of U.S. independence, first Constitution of this State. {#sec-52-9p-15 omnilex-key=us-nj-statutes--title-52--52:9P-15}
1. a. The New Jersey Historical Commission shall formulate and implement a program for the observance of the historical aspects of the 250th anniversary of the independence of the United States and of the first Constitution of this State, including but not limited to: historical activities; the creation and publication of historical documents and studies; cooperation with agencies responsible for the preservation or restoration of historic sites, buildings, art, and artifacts; establishing Statewide wayfinding signage for Revolutionary Era sites and markers and establishment of a State American Revolution visitor center; the arrangement of appropriate public ceremonies; planning for commemorative events, supported by a comprehensive marketing and tourism campaign, from calendar year 2024 through calendar year 2033; and the dissemination of public information regarding New Jersey's involvement in the American Revolution.
b. As part of the implementation of a program in accordance with subsection a. of this section, P.L.2018, c.103 (C.52:9P-15), the commission may enter into a contract with a private entity, to be referred to as a public-private partnership agreement, to coordinate and plan the programs and observance of the State's semiquincentennial celebration of the founding of the United States, and to ensure that the State is appropriately recognized for its role in the American Revolution. A private entity will be eligible to enter into the public-private partnership with the commission if:
(1) it is a tax-exempt nonprofit organization as defined in this section; and
(2) it is responsible for the maintenance and administration of a national heritage area dedicated to the history of the American Revolution as it relates to New Jersey.
Any partnership agreement between the commission and a private entity shall establish an advisory council to support and guide the work of the partnership. In addition to funds appropriated to the commission or the private entity related to the commemoration of the semiquincentennial anniversary of the founding of the United States, the advisory council shall undertake fundraising efforts and seek out sources of revenue for the partnership's commemoration of the 250th anniversary of the founding of the United States. The advisory council shall also develop collaborative activities with the Division of Parks and Forestry and the Division of Travel and Tourism for the planning and promotion of semiquincentennial programs and activities.
c. Any partnership agreement entered into between the commission and a private entity pursuant to this section, P.L.2018, c.103 (C.52:9P-15) shall expire no later than December 31, 2033.
d. As used in this act:
"Public-private partnership agreement" means an agreement entered into by the New Jersey Historical Commission and a private entity pursuant to subsection b. of this section, P.L.2018, c.103 (C.52:9P-15).
"Tax-exempt nonprofit organization" means a nonprofit organization that is exempt from federal taxation pursuant to section 501(c)(3) of the federal Internal Code, 26 U.S.C. s.501(c)(3).
## **Chapter 9Q**
##### **§ 52:9Q-1** Creation {#sec-52-9q-1 omnilex-key=us-nj-statutes--title-52--52:9Q-1}
There is hereby created a commission to be known as the "Capital City Development Commission."
##### **§ 52:9Q-2** Members; appointment; term of office; compensation {#sec-52-9q-2 omnilex-key=us-nj-statutes--title-52--52:9Q-2}
The commission shall consist of nine members: one person appointed by the Governor, who shall be responsible to keep him advised of the work and recommendations of the commission; the Commissioner of the Department of Community Affairs; the Commissioner of the Department of Transportation; the State Treasurer; the Mayor of the city of Trenton; the Director of the Trenton Department of Planning and Development; the Business Administrator of the city of Trenton; the Director of the Mercer County Board of Chosen Freeholders, and the Director of the Mercer County Department of Planning and Development. The member appointed by the Governor shall serve at the pleasure of the Governor, and the other members shall serve during the term of the office by virtue of which they hold membership on the commission. The members shall serve without compensation in connection with the performance of their official duties as members of the commission.
##### **§ 52:9Q-3** Chairman and vice-chairman; organization {#sec-52-9q-3 omnilex-key=us-nj-statutes--title-52--52:9Q-3}
The member appointed by the Governor shall act as chairman of the commission, and the Mayor of the city of Trenton shall act as vice-chairman of the commission. The commission shall organize as soon as possible after the appointment of the member appointed by the Governor.
##### **§ 52:9Q-4** Secretary; duties {#sec-52-9q-4 omnilex-key=us-nj-statutes--title-52--52:9Q-4}
The Commissioner of the Department of Community Affairs shall act as the secretary of the commission. He shall be responsible for notifying all members of the time and place of each meeting and for properly recording and disseminating to all members the minutes of all meetings of the commission. In carrying out these duties, he may utilize the personnel and resources of the Department of Community Affairs.
##### **§ 52:9Q-5** Meetings {#sec-52-9q-5 omnilex-key=us-nj-statutes--title-52--52:9Q-5}
The commission shall meet at least three times each calendar year, at such times and places as the chairman shall designate. The chairman shall, however, call a special meeting of the commission if requested to do so in writing by three members of the commission.
##### **§ 52:9Q-6** Rules of procedure {#sec-52-9q-6 omnilex-key=us-nj-statutes--title-52--52:9Q-6}
The commission may formulate and adopt rules of procedure for the government of the commission in exercising its powers and fulfilling its duties.
##### **§ 52:9Q-7** Duties and powers {#sec-52-9q-7 omnilex-key=us-nj-statutes--title-52--52:9Q-7}
The commission shall coordinate State, county and city physical development policies relating to the city of Trenton and recommend courses of action in areas where the city of Trenton and the State of New Jersey have a common interest because of the presence of the State capital within the city; provided, however, that nothing herein shall be construed to vest in the commission any authority or power to interdict, prohibit or infringe on the sovereign right of the State to construct future buildings, or to enjoin any action on any proposed plan for construction by the State of New Jersey.
##### **§ 52:9Q-8** Employees {#sec-52-9q-8 omnilex-key=us-nj-statutes--title-52--52:9Q-8}
The commission may avail itself of the assistance and services of such employees of any authority, department, board, bureau, commission, or agency of the State, Mercer county or the city of Trenton as it may require for the performance of its duties. The commission is further authorized to designate staff personnel from the members' respective departments to meet, on a regular basis or as specially designated by the commission, for the purpose of reviewing problems being discussed by the commission, coordinating efforts for the solution of these problems, and exchanging information.
##### **§ 52:9Q-9** Short title {#sec-52-9q-9 omnilex-key=us-nj-statutes--title-52--52:9Q-9}
This act shall be known and may be cited as the "Capital City Redevelopment Corporation Act."
##### **§ 52:9Q-10** Findings, declarations. {#sec-52-9q-10 omnilex-key=us-nj-statutes--title-52--52:9Q-10}
2. The Legislature finds and declares that:
a. The city of Trenton is of unique significance to the State and the nation both as the State capital and center of State governmental operations, and as the site of the battle which in the nation's memory turned the tide toward American independence;
b. The historic and public importance of the city, once contemplated as the site of the nation's capital has too long been neglected in a State which lacks a demographic or commercial center of sufficient magnitude to serve as a focus for State identity and pride, and, as a result, the city is in great need of redevelopment and revitalization;
c. The actions and decisions of the State government are vitally connected to the redevelopment and revitalization of those portions of the city which serve as the commercial center of the community and in which public buildings and historic sites are located;
d. It is a public purpose of this State to establish a capital district within the city and to create a redevelopment corporation operating within the boundaries of the district, which will plan, coordinate and promote the public and private development of the district in a manner which enhances the vitality of the district as a place of commerce, recreation and culture and as an area in which to conduct public business and visit historic sites and thereby restores the prominence and prestige of the seat of State government for the benefit of all of the citizens of this State;
e. In the exercise of its powers toward this public purpose, the Capital City Redevelopment Corporation will plan, coordinate and encourage an appropriate balance of governmental and nongovernmental facilities and activities in the district, and assist in the provision of public, recreational and cultural facilities, in the preservation and restoration of historic structures and sites, and in the stimulation of private investment in the district in order to establish it as a source of State pride equal in standard to the best of State capitals in the country; and
f. To facilitate the redevelopment of the city of Trenton and provide for increased cooperation between the city and the State, it is necessary to provide the Capital City Redevelopment Corporation with additional powers, including the authority to act as a municipal redevelopment entity, create subsidiaries, enter into partnerships with private developers, hold its own funds and to issue bonds, notes and other obligations paid for from non-State sources to fund redevelopment projects, and to expand the composition of its board.
##### **§ 52:9Q-11** Definitions {#sec-52-9q-11 omnilex-key=us-nj-statutes--title-52--52:9Q-11}
As used in this act, except where otherwise indicated:
a. "Board of Directors" or "board" means the board of directors of the Capital City Redevelopment Corporation;
b. "City" means the city of Trenton;
c. "Corporation" means the Capital City Redevelopment Corporation established pursuant to section 4 of this act;
d. "Director" means a director of the corporation;
e. "District" means the Capital City District delineated in section 6 of this act;
f. "Fund" means the Capital City Redevelopment Loan and Grant Fund established pursuant to section 11 of this act;
g. "Person" means any natural person or persons or any firms, partnerships, associations, societies, trusts, corporations, or other legal entities;
h. "Plan" means the Capital City Renaissance Plan adopted pursuant to this act;
i. "Project" means (1) the acquisition, construction, reconstruction, redevelopment, historic restoration, repair, alteration, improvement or extension of any building, structure or facility, or public area or (2) the acquisition and improvement of real estate and the extension or provision of utilities, access roads and other appurtenant facilities in connection therewith, provided that the work undertaken is consistent with the Capital City Renaissance Plan adopted pursuant to section 9 of this act; a project may also include planning, designing, acquiring, constructing, reconstructing or otherwise improving a building, structure or facility and extension or provision of utilities, access roads and other appurtenant facilities in connection therewith, or any redevelopment undertaken by any person pursuant to section 12 of this act; and
j. "Redevelopment" means a program of renewal through planning, conservation, rehabilitation, clearance, development and redevelopment, and historic restoration; and the construction and rehabilitation of commercial, industrial, public or other structures; and the grant, dedication or rededication of land as may be appropriate or necessary in the interest of the general welfare for streets, parks, playgrounds or other public purposes including recreational and other facilities appurtenant thereto.
##### **§ 52:9Q-12** Capital City Redevelopment Corporation. {#sec-52-9q-12 omnilex-key=us-nj-statutes--title-52--52:9Q-12}
4. a. There is established in the Executive Branch of the State Government a public body corporate and politic, with corporate succession, to be known as the Capital City Redevelopment Corporation. For the purpose of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the corporation is allocated within the Department of the Treasury, but, notwithstanding that allocation the corporation shall be independent of any supervision or control by the department or by the State Treasurer or any officer or employee thereof. The corporation is constituted as an instrumentality of the State exercising public and essential governmental functions, and the exercise by the corporation of the powers conferred by this or any other act shall be deemed to be an essential governmental function of the State.
b. The board of directors of the corporation shall consist of the following: the Commissioner of Community Affairs, the Commissioner of Transportation, and the State Treasurer who shall all serve ex officio and may each designate, by written notification to the board, an alternate who shall act in their place with the authority to attend, vote and perform any duty or function assigned to them in their absence; the mayor of the city of Trenton, ex officio; and seven public members, four of whom shall be appointed by the mayor of the city of Trenton and three of whom shall be appointed by the Governor with the three gubernatorial appointed members being subject to the advice and consent of the Senate, one of whom shall be a business owner in the city of Trenton, and at least one of whom shall be a business owner in the county of Mercer. The three directors appointed by the Governor shall be residents of the State and shall have knowledge and expertise in the areas of economic development, urban planning, community affairs or finance.
c. Each public member shall serve for a term of four years and until the appointment and qualification of a successor. All vacancies shall be filled in the same manner as the original appointment but for the unexpired term only. The directors shall receive no compensation for their services, but may be reimbursed for their expenses in performing their official duties.
d. Each director, before entering upon the duties of office, shall take and subscribe an oath to perform the duties of the office faithfully, impartially and justly to the best of their ability. A record of these oaths shall be filed in the Office of the Secretary of State. Each director appointed by the Governor may be removed from office by the Governor, for cause, after a public hearing, and may be suspended by the Governor pending the completion of the hearing.
e. The Governor shall appoint a chairman from among the members of the board. The vice chairman shall be one of the seven public members and shall be elected by majority vote of all the directors. The directors shall elect a secretary and a treasurer from among their number, and the same person may be elected to serve both as secretary and treasurer. Six directors shall constitute a quorum at any meeting of the board. Action may be taken and motions and resolutions adopted by the board at any meeting thereof by the affirmative vote of at least six directors. No vacancy in a directorship shall impair the right of a quorum to exercise all the powers and perform all the duties of the board.
f. Each director shall execute a bond to be conditioned upon the faithful performance of their respective duties in such form and amount as may be prescribed by the Director of the Division of Budget and Accounting in the Department of the Treasury. The bonds shall be filed in the office of the Secretary of State. At all times thereafter the directors shall maintain these bonds in full force. All costs of the bonds shall be borne by the corporation.
g. The corporation may be dissolved by act of the Legislature if it has no debts or obligations outstanding or if adequate provision has been made for the payment or retirement of any outstanding debts or obligations. Upon dissolution of the corporation all property, funds and assets thereof shall be vested in the State, the city or the county, subject to the terms of the act of dissolution.
h. A true copy of the minutes of every meeting of the corporation shall be forthwith delivered by and under the certification of the secretary thereof to the Governor. No action taken at such meeting by the corporation shall have force or effect until 10 days, Saturdays, Sundays, and public holidays excepted, after a copy of the minutes shall have been so delivered unless during that 10-day period the Governor shall approve the same in which case such action shall become effective upon approval. If, within the 10-day period, the Governor returns the copy of the minutes with a veto of any action taken by the corporation or any member thereof at the meeting, that action shall be null and void and of no effect. The powers conferred in this subsection upon the Governor shall be exercised with due regard for the rights of the holders of bonds and notes of the corporation at any time outstanding, and nothing in or done pursuant to this subsection shall in any way limit, restrict or alter the obligation or powers of the corporation or any representative or officer of the corporation to carry out and perform in every detail each and every covenant, agreement or contract at any time made or entered into by or on behalf of the corporation with respect to its bonds or notes or for the benefit, protection or security of the holders thereof. The Governor may approve all or part of the action taken at such meeting prior to the expiration of the 10-day period.
i. No member, officer, employee or agent of the corporation shall be interested, either directly or indirectly, in any school facilities project, or in any contract, sale, purchase, lease, or transfer of real or personal property to which the corporation is a party.
##### **§ 52:9Q-13** General powers. {#sec-52-9q-13 omnilex-key=us-nj-statutes--title-52--52:9Q-13}
5. The corporation shall have the following general powers:
a. To sue and be sued;
b. To adopt an official seal and alter it;
c. To make and alter bylaws for its organization and internal management and to make rules and regulations with respect to its projects, operations, properties, and facilities;
d. To make and enter into all contracts, leases, as lessee or lessor, and agreements necessary or incidental to the performance of its duties and the exercise of its powers under P.L.1987, c.58 (C.52:9Q-9 et seq.), and consent to any modification, amendment, or revision of any contract, lease, or agreement to which it is a party;
e. To enter into agreements or other transactions with, and to accept grants, appropriations, or the cooperation of the United States or any agency thereof or the State or any agency thereof in furtherance of the purposes of P.L.1987, c.58 (C.52:9Q-9 et seq.);
f. To receive and accept aid or contributions from any public or private source of money, property, labor, or other thing of value, to be held, used, and applied to carry out the purposes of P.L.1987, c.58 (C.52:9Q-9 et seq.), subject to the conditions upon which that aid or contribution may be made, including, but not limited to, gifts or grants from the United States or any agency thereof or the State or any agency thereof for any purpose consistent with P.L.1987, c.58 (C.52:9Q-9 et seq.);
g. To invest any funds held in reserve or sinking funds, or any monies not required for immediate use and disbursement, at the discretion of the corporation, in investments in which other State funds may be invested;
h. To acquire or contract to acquire from any individual, partnership, trust, association, or corporation, or any public agency, by grant, purchase, or otherwise, real or personal property or any interest therein; to own, hold, clear, improve, and rehabilitate and to sell, assign, exchange, transfer, convey, lease, mortgage, or otherwise dispose of or encumber the same;
i. To sell, lease, assign, transfer, convey, exchange, mortgage, or otherwise dispose of or encumber any project, and in the case of the sale of any project, to accept a purchase money mortgage in connection therewith, and to lease, repurchase, or otherwise acquire and hold any project which the corporation has theretofore sold, leased, or otherwise conveyed, transferred, or disposed of;
j. To grant options to purchase any project or to renew any leases entered into by it in connection with any of its projects on terms and conditions as it may deem advisable;
k. To manage any project, whether then owned or leased by the corporation, and to enter into agreements with any individual, partnership, trust, association, or corporation, or with any public agency, for the purpose of causing any project to be managed;
l. To consent to the modification, with respect to rate of interest, time of payment, or any installment of principal or interest, security, or any other terms, of any loan, mortgage, commitment, contract, or agreement of any kind to which the corporation is a party;
m. In connection with any property on which it has made a mortgage loan, to foreclose on the property or commence any action to protect or enforce any right conferred upon it by any law, mortgage, contract, or other agreement and to bid for or purchase the property at any foreclosure or at any other sale or acquire or take possession of the property; and in that event the corporation may complete, administer, pay the principal of, and interest on, any obligations incurred in connection with the property, dispose of, and otherwise deal with the property, in a manner as may be necessary or desirable to protect the interests of the corporation therein;
n. To procure insurance against any loss in connection with its property and other assets and operations in any amounts and from any insurers it deems desirable;
o. To arrange or contract with any county or municipal government, or instrumentality thereof, with jurisdiction within the Capital City District, for the planning, opening, grading, or closing of streets, roads, or other places or for the construction or reconstruction of improvements or public works necessary or convenient to carry out its purposes;
p. To appoint an executive director and any other officers, employees, and agents as it may require for the performance of its duties. The executive director, and any employees appointed as personal staff to the executive director, shall be appointed by the corporation, which shall determine their qualifications, terms of office, duties, fix their compensation, and promote and discharge them, all without regard to the provisions of Title 11A of the New Jersey Statutes;
q. To engage the services of attorneys, accountants, architects, building contractors, engineers, urban planners, and any other advisors, consultants, and agents as may be necessary in its judgment for the performance of its duties and fix their compensation;
r. To provide advisory, consultative, training and educational services, technical assistance, and advice to any person, firm, association, partnership, or corporation, either public or private, in order to carry out the purposes of P.L.1987, c.58 (C.52:9Q-9 et seq.):
s. To do any and all things necessary or convenient to the exercise of the foregoing powers or reasonably implied therefrom;
t. To borrow money and to issue bonds and notes and other obligations of the corporation, for which neither the members of the corporation nor any person executing bonds issued pursuant to this subsection shall be liable personally by reason of the issuance thereof, and to provide for the rights of the holders thereof, and which obligations shall not have a pledge of an annual appropriation as the ways and means to pay the principal of, redemption premium, if any, and interest on bonds, notes, or other obligations;
u. To charge and collect from local units, the State, and any other person any fees and charges in connection with the corporation's actions undertaken with respect to projects, including, but not limited to, fees and charges for the corporation's administrative, organization, insurance, operating, and other expenses incident to projects;
v. To market any project undertaken within the district;
w. To enter into partnerships or joint ventures with private developers, the New Jersey Economic Development Authority, or any other public entity for the purpose of community redevelopment, and establish fees therefor;
x. To act as a municipal redevelopment entity or redeveloper, with all powers conferred pursuant to the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-l et al.); and
y. To directly issue loans and grants to projects within the district that are consistent with the provisions of P.L.1987, c.58 (C.52:90-9 et seq.).
##### **§ 52:9Q-13.1** Additional powers of corporation. {#sec-52-9q-13.1 omnilex-key=us-nj-statutes--title-52--52:9Q-13.1}
7. a. In addition to the powers set forth in section 5 of P.L.1987, c.58 (C.52:9Q-13), the corporation shall have the authority to form, purchase or assume control of one or more subsidiaries, in the manner and for the purposes set forth in this section.
b. The corporation may form a subsidiary by filing with the Secretary of State a certificate of incorporation, which may be amended from time to time and which shall set forth the name of the subsidiary, its duration, the location of its principal office, the joint owners thereof, and the purposes of the subsidiary.
c. The directors of the subsidiary shall be members or employees of the corporation, who shall constitute at least a majority, and such other persons representing any joint owner or owners as may be provided for in the agreement in connection with the incorporation of the subsidiary.
d. The subsidiary shall have all the powers vested in the corporation which the corporation may delegate to it by terms of the certificate of incorporation, except that it shall not have the power to contract indebtedness independently of the corporation. The subsidiary and any of its properties, functions and activities shall have all the privileges, immunities, tax exemptions, and other exemptions as the corporation and its property, functions and activities. The subsidiary shall also be subject to the restrictions and limitations to which the corporation is subject. The subsidiary shall be subject to suit as if it were the corporation itself.
e. Whenever the State or any municipality, commission, public authority, agency, officer, department, board, or division is authorized and empowered to cooperate and enter into agreements with the corporation, or to grant any consent to the corporation, or to grant, convey, lease or otherwise transfer any property to the corporation, or to execute any document, the State or such municipality, commission, public authority, agency, officer, department, board, or division shall have the same authorization and power for any of such purposes to cooperate and enter into agreements with the subsidiary, to grant consents to the subsidiary, to grant, convey, lease, or otherwise transfer property to the subsidiary, and to execute documents for the subsidiary.
f. Among the powers that shall be granted to a subsidiary corporation established by the corporation are:
(1) the power to participate as a co-owner or co-venturer in any activity financed by a loan from the corporation or the subsidiary corporation; and
(2) the power to issue non-voting stock and employ the proceeds of such sales for capital investment in, or other expenses in connection with, the projects of the subsidiary, upon authorization by the corporation.
##### **§ 52:9Q-13.2** Issuance of bonds by corporation. {#sec-52-9q-13.2 omnilex-key=us-nj-statutes--title-52--52:9Q-13.2}
8. For the purpose of providing funds to pay all or any part of the cost of any project or projects, to make loans in accordance with the provisions of P.L.1987, c.58 (C.52:9Q-9 et seq.), and for the funding or refunding of any bonds, the corporation shall have the power to authorize or provide for the issuance of bonds pursuant to P.L.2009, c.252 (C.52:9Q-13.1 et al.).
##### **§ 52:9Q-13.3** Powers of corporation relative to bonds. {#sec-52-9q-13.3 omnilex-key=us-nj-statutes--title-52--52:9Q-13.3}
9. By resolution, the corporation shall have power to incur indebtedness, borrow money and issue its bonds for the purposes stated in section 7 of P.L.2009, c.252 (C.52:9Q-13.1); provided, however, that the corporation shall not issue more than $100 million of bonds in any one year. Except as may otherwise be expressly provided by the corporation, every issue of its bonds shall be general obligations of the corporation payable from any revenues or moneys of the corporation or any other contracted with or agreed upon source, subject only to any agreements with the holders of particular bonds or notes pledging any particular revenues or moneys, provided, however, that notwithstanding anything to the contrary contained herein or in any other law or regulation, any bonds, notes or other obligations issued by the corporation shall not have a pledge of an annual appropriation as the ways and means to pay the principal of, redemption premium if any, and interest on such bonds, notes or other obligations. Bonds shall be authorized by resolution and may be issued in one or more series and shall bear that date or those dates, mature at that time or those times not exceeding 40 years from the date thereof, bear interest at a rate or rates, be in that denomination or those denominations, be in such form, either coupon or registered, carry such conversion or registration privileges, have such rank or priority, be executed in such manner, be payable from such sources in such medium of payment at such place or places within or without the State, and be subject to such terms of redemption (with or without premium) as the resolution may provide. Bonds of the corporation may be sold by the corporation at public or private sale at such price or prices as the corporation shall determine.
##### **§ 52:9Q-13.4** Bonds negotiable. {#sec-52-9q-13.4 omnilex-key=us-nj-statutes--title-52--52:9Q-13.4}
10. Any provision of any law to the contrary notwithstanding, any bond, note or other obligation issued pursuant to P.L.2009, c.252 (C.52:9Q-13.1 et al.) shall be fully negotiable within the meaning and for all purposes of Title 12A, Commercial Transactions, of the New Jersey Statutes, and each holder or owner of such a bond or other obligation, or of any coupon appurtenant thereto, by accepting such bond or coupon, shall be conclusively deemed to have agreed that such bond, obligation, or coupon is and shall be fully negotiable within the meaning and for all purposes of Title 12A of the New Jersey Statutes.
##### **§ 52:9Q-13.5** Covenants, agreements with bond holders. {#sec-52-9q-13.5 omnilex-key=us-nj-statutes--title-52--52:9Q-13.5}
11. In order to secure the payment of such bonds, notes and other obligations, and in addition to its other powers, the corporation shall have power by resolution to covenant and agree with the several holders of such bonds, as to:
a. The custody, security, use, expenditure or application of the proceeds of the bonds, notes or other obligations;
b. The use, regulation, operation, maintenance, insurance or disposition of all or any part of any project or projects;
c. Payment of the principal of, redemption premium if any or interest on the bonds, notes or any other obligations, and the sources and methods thereof, the rank or priority of any such bonds, notes or other obligations as to any lien or security, or the acceleration of the maturity of any such bonds, notes or other obligations;
d. The use and disposition of any moneys of the corporation, including all revenues or other moneys derived or to be derived from any project or projects;
e. Pledging, setting aside, depositing or trusteeing all or any part of the revenues or other moneys of the corporation to secure the payment of the principal of, redemption premium if any, or interest on the bonds, notes, or any other obligations and the powers and duties of any trustee with regard thereto;
f. The setting aside out of the revenues or other moneys of the corporation of reserves and sinking funds, and the source, custody, security, regulation, application, and disposition thereof;
g. The rents, fees or other charges for the use of any project or projects, including any parts thereof theretofore constructed or acquired and any parts, replacements or improvements thereof thereafter constructed or acquired, and the fixing, establishment, collection and enforcement of the same;
h. The limitation on the issuance of additional bonds, notes or any other obligations, or on the incurrence of indebtedness of the corporation;
i. The vesting in a trustee or trustees, fiscal or escrow agent or agents within or without the State such property, rights, powers and duties in trust as the corporation may determine and limiting the rights, duties and powers of such trustee or agent;
j. The payment of costs or expenses incident to the enforcement of the bonds, notes or other obligations or of the provisions of the resolution or of any covenant or contract with the holders of the bonds, notes, or other obligations;
k. The procedure, if any, by which the terms of any covenant or contract with, or duty to, the holders of bonds, notes or other obligations may be amended or abrogated, the amount of bonds, notes or other obligations the holders of which must consent thereto, and the manner in which such consent may be given or evidenced; or
l. Any other matter or course of conduct which, by recital in the resolution, is declared to further secure the payment of the principal of, redemption premium if any, or interest on the bonds, notes or other obligations.
All such provisions of the resolution and all such covenants and agreements shall constitute valid and legally binding contracts between the corporation and the several holders of the bonds, notes or other obligations regardless of the time of issuance of such bonds, notes, or other obligations and shall be enforceable by any such holder or holders by appropriate action, suit or proceeding in any court of competent jurisdiction, or by proceeding in lieu of prerogative writ.
##### **§ 52:9Q-13.6** Pledge of revenues, other moneys valid, binding. {#sec-52-9q-13.6 omnilex-key=us-nj-statutes--title-52--52:9Q-13.6}
12. Any pledge of revenues or other moneys made by the corporation shall be valid and binding from the time that the pledge is made. The revenues or other moneys so pledged and thereafter received by the corporation shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act, and the lien of any such pledge shall be valid and binding as against all parties having claims of any kind in tort, contract or otherwise against the corporation, irrespective of whether such parties have notice thereof. Neither the resolution nor any other instrument by which a pledge is created need be filed or recorded except in the records of the corporation.
##### **§ 52:9Q-13.7** No liability for bonds. {#sec-52-9q-13.7 omnilex-key=us-nj-statutes--title-52--52:9Q-13.7}
13. The members of the corporation or any person executing bonds, notes or other obligations issued pursuant to P.L.2009, c.252 (C.52:9Q-13.1 et al.) shall not be liable personally on the bonds by reason of the issuance thereof. Bonds, notes or other obligations issued by the corporation pursuant to P.L.2009, c.252 (C.52:9Q-13.1 et al.) shall not be in any way a debt or liability of the State or of any political subdivision thereof and shall not create or constitute any indebtedness, liability or obligation of the State or of any political subdivision, either legal, moral or otherwise, and nothing contained in P.L.2009, c.252 (C.52:9Q-13.1 et al.) shall be construed to authorize the corporation to incur any indebtedness on behalf of or in any way to obligate the State or any political subdivision, and all such bonds, notes or other obligations shall contain on the face thereof a statement to that effect.
##### **§ 52:9Q-14** Capital City District {#sec-52-9q-14 omnilex-key=us-nj-statutes--title-52--52:9Q-14}
a. The corporation is authorized to carry out the purposes of this act on behalf of and exercise its powers within the Capital City District, which shall consist of that portion of the city of Trenton, beginning at the Delaware river at the point at which the center line of the Amtrak railroad corridor line crosses the center line of the river boundary of the city of Trenton; thence running northeasterly along the center line of the railroad to the point at which it intersects with the center line of South Clinton avenue; thence on a line running northeasterly from the intersection of the center line of South Clinton avenue and the railroad to the center line of the Walnut avenue extension at the point at which it bends northeasterly; thence running northeasterly along the center line of the Walnut avenue extension to its intersection with the center line of Hollywood avenue; thence on a line running northeasterly from the intersection of the center lines of the Walnut avenue extension and Hollywood avenue to the center line of Chestnut avenue at the point at which it would be intersected by the center line of the Amtrak railroad; thence on a line running in a southwesterly direction from the intersection of the Amtrak railroad and Chestnut avenue to the intersection of the center lines of Yard avenue and Fairview avenue; thence running southwesterly along the center line of Fairview avenue following it along to its intersection with the center line of South Clinton avenue; thence running northerly along the center line of South Clinton avenue to its intersection with the center line of East State street; thence running westerly along the center line of East State street to its intersection with the center line of West Canal street; thence running northerly along the center line of West Canal street to its intersection with the center line of Merchant street; thence running westerly along the center line of Merchant street to its intersection with the center line of North Stockton street; thence running northerly along the center line of North Stockton street to its intersection with the center line of Hanover street; thence running westerly along the center line of Hanover street to its intersection with the center line of North Broad street; thence running northerly along the center line of North Broad street to its intersection with the center line of Brunswick avenue where it meets the center line of Pennington avenue; thence running along the center line of Pennington avenue around to its intersection with the center line of Warren street; thence running southwesterly along the center line of Warren street to its intersection with the center line of the feeder canal; thence following along the center line of the feeder canal in a westerly direction to the point at which it intersects with the center line of the waste weir which connects the feeder canal with the Delaware river; thence running southwesterly along the center line of the waste weir to the point reached by prolongating the center line of the waste weir to the center line of the Delaware river boundary of the city of Trenton; thence running along the center line of the Delaware river boundary of the city of Trenton downstream to the point at which the river boundary intersects with the center line of the Amtrak railroad.
b. The boundaries of the district may be expanded by mutual consent of the corporation and the city of Trenton. In order to expand the boundaries of the district, the city of Trenton shall, by ordinance duly adopted, or in the case of the corporation, by a parallel resolution, designate that area to be added to the district as (1) a blighted area pursuant to section 1 of P.L. 1949, c. 187 (C. 40:55-21.1) or an area in need of rehabilitation pursuant to section 3 of P.L. 1979, c. 233 (C. 54:4-3.123) and (2) an area in which the corporation may undertake a project or series of projects. No such ordinance or resolution may be adopted within the three years immediately following the effective date of this act. In addition to whatever information shall be required in the ordinance establishing a blighted area or area in need of rehabilitation pursuant to Titles 40 and 54 of the Revised Statutes, respectively, the ordinance and resolution provided herein shall include a description of the metes and bounds of the area and a statement setting forth the basis for the designation.
##### **§ 52:9Q-15** Duties of corporation {#sec-52-9q-15 omnilex-key=us-nj-statutes--title-52--52:9Q-15}
It shall be the duty of the corporation to:
a. Promote the revitalization of the Capital City District through the initiation of projects, encouragement of private redevelopment, restoration and improvement of historic areas, sites and structures, and formulation and implementation of programs and strategies which will enhance the vitality of the district as a place to live, visit, work, and conduct business, and thereby help restore the prominence and prestige of the capital area;
b. Facilitate the development of a transportation system within the district which is designed to assure the safe, convenient and efficient movement of people and goods within and through the district and which serves as the hub of a regional transportation system in which the various modes of travel are integrated and coordinated;
c. Facilitate coordination of its efforts with other governmental entities which currently have jurisdiction within, and in areas adjacent to, the district and in conjunction with the Capital District Oversight Committee, monitor the impact of the district on public safety in the city of Trenton, and on any other aspects of city life which the corporation determines may be affected by its existence.
##### **§ 52:9Q-16** Executive director {#sec-52-9q-16 omnilex-key=us-nj-statutes--title-52--52:9Q-16}
a. In order to oversee the performance of its duties, the board shall appoint an executive director, who shall be the chief executive officer of the corporation. The executive director shall perform the duties of office on a full-time basis, shall hold office at the pleasure of the board and shall receive such salary as the board shall provide.
b. The executive director shall, subject to the approval of the board, appoint such employees, officers or agents as the board shall deem necessary without reference to political party affiliation, solely on grounds of fitness to perform their duties. The employees of the corporation shall receive such compensation as shall from time to time be fixed by the corporation within the limits of available appropriations therefor.
##### **§ 52:9Q-17** Capital City Renaissance Plan {#sec-52-9q-17 omnilex-key=us-nj-statutes--title-52--52:9Q-17}
a. Within one year after the date of its first organizational meeting, the board shall adopt a 20-year Capital City Renaissance Plan. The plan may be revised from time to time as may be necessary. The plan shall guide the use of lands within the district in a manner which promotes the economic vitality of the district and enhances the quality of the public environment. The plan shall comprise a report or statement presenting the following elements:
(1) A statement of objectives, principles, assumptions and policies upon which the constituent proposals for the physical, economic and social development of the district are based;
(2) A design plan element which contains an inventory and evaluation of buildings within the district which are of unique historic or architectural merit; streets, parks and public spaces; and any other relevant aspect of the public environment. The commission shall make specific recommendations for conserving and improving the public landscape, including streets, recreational facilities, and other public spaces and amenities;
(3) A cultural plan element which contains an inventory of the district's museums, theaters, parks, sports facilities and recommendations for the maintenance and enhancement of these facilities for the benefit of residents of the city, region and State;
(4) A transportation plan element which contains an inventory of facilities for all modes of transportation within the district, establishes the importance of the district transportation system in the regional context, sets forth a statement of objectives and principles regarding the transport of people and goods to and within the district and develops recommendations designed to improve the accessibility of the district to the rest of the city and the surrounding region;
(5) A land use plan element which incorporates recommendations contained in the other three elements; recommends appropriate future governmental and private land uses in specific areas; contains proposals for conservation, rehabilitation and adaptive reuse of existing governmental and nongovernmental buildings; proposes strategies concerning conservation and improvement of the public environment, including streets, walkways, parks, and other public spaces; and sets forth proposals for the restoration and improvement of the historic areas, sites and structures; and
(6) A relocation plan element which includes an assessment of the displacement of households and businesses within the district that would result from the implementation of the plan, and a strategy for relocation of households to adequate and affordable housing units.
b. The plan shall be developed in consultation with the State Building Authority, the planning board of the city of Trenton, and the planning board of the county of Mercer. The corporation shall consider existing plans for areas included in the district in formulating its plan.
c. Prior to the adoption of the plan, the board shall provide a copy of the proposed plan to the planning boards of the city of Trenton and the county of Mercer and the State Building Authority and shall make copies available for public inspection and provide public notice of availability. Not less than 45 days after distribution of the plan to the planning boards and the State Building Authority, the board shall conduct public hearings on the plan and shall provide for a public comment period which shall extend at least 30 days after the final hearing.
d. Upon adoption of the plan, the planning board of the city of Trenton, the planning board of the county of Mercer, the State Building Authority, and any other governmental entities with plans affecting physical development within the district shall review and revise their plans to ensure that they are consistent with the Capital City Renaissance Plan. Any plan which affects the physical development of the district and is adopted by any governmental entity after the adoption of the Capital City Renaissance Plan shall be consistent with that plan.
##### **§ 52:9Q-18** Capital District Impact Statement {#sec-52-9q-18 omnilex-key=us-nj-statutes--title-52--52:9Q-18}
Any department, board, agency, division or commission of the State and any county or municipal government entity, or instrumentality thereof, which undertakes any construction, reconstruction or extension of any building, structure or facility or other improvement within the district shall, prior to undertaking such action, file with the corporation a Capital District Impact Statement which describes the ways in which the proposed construction, reconstruction or extension is consistent with the plan in its various elements. Whenever a governmental entity is granted final authority to review and approve plans for private development proposed for the district, the appropriate governmental entity with authority to grant final approval of an action shall file an impact statement for each development which is granted final approval explaining the ways in which the proposed development is consistent with the plan. The approving authority is empowered to require the preparation and submission of that impact statement by the developer as part of the application for development.
##### **§ 52:9Q-19** Capital City Redevelopment Loan and Grant Fund. {#sec-52-9q-19 omnilex-key=us-nj-statutes--title-52--52:9Q-19}
11. a. There is established in the corporation a nonlapsing, revolving fund to be known as the Capital City Redevelopment Loan and Grant Fund, and which shall be at the disposal of the corporation for carrying out the provisions of P.L.1987, c. 58 (C.52:9Q-9 et seq.), and for no other purpose.
b. The corporation may from time to time invest and reinvest those portions of the fund in investments in which other State funds may be invested. Net earnings received from the deposit of monies in the fund shall be used only for the purposes of the fund.
c. There shall be included in the fund: (1) all monies appropriated and made available by the Legislature for inclusion therein; (2) any monies repaid by persons pursuant to loan agreements funded from the fund, which payments shall be transmitted to the corporation for inclusion in the fund; and (3) any income, increment, or interest derived from investment or reinvestment of monies deposited in the fund.
##### **§ 52:9Q-20** Financing of projects {#sec-52-9q-20 omnilex-key=us-nj-statutes--title-52--52:9Q-20}
12. The fund created by P.L.1987, c.58 (C.52:9Q-9 et seq.) shall be used by the corporation to undertake projects in accordance with the goals, objectives, and priorities outlined in the plan and to make loans or grants for the purpose of financing projects which are consistent with the plan. Financing of projects pursuant to P.L.1987, c.58 (C.52:9Q-9 et seq.) shall be in a form, amount, and on terms as the corporation shall believe necessary in order to assure the economic feasibility of a project and to assure, to the greatest degree compatible with that purpose, the full recovery of costs incurred by the authority in the undertaking of the project. The interest rate shall be sufficiently below the prevailing rate of interest to attract private participation in the loan program.
##### **§ 52:9Q-21** Considerations {#sec-52-9q-21 omnilex-key=us-nj-statutes--title-52--52:9Q-21}
With respect to projects for which costs are to be financed by the corporation pursuant to this act, the corporation shall in approving the financing for those projects, and in the planning and undertaking of its own projects, consider the following:
a. The economic feasibility of the project;
b. The degree to which the project will advance the goals and objectives set forth in the plan; and
c. The likelihood that the project shall, after its completion, be able to repay to the fund all or part of any financing costs incurred.
##### **§ 52:9Q-22** Removal, relocation of public utility facilities {#sec-52-9q-22 omnilex-key=us-nj-statutes--title-52--52:9Q-22}
The corporation shall have the power to provide for the installation, construction, maintenance, repair, renewal, relocation and removal of tracks, pipes, mains, conduits, cables, wires, towers, poles and other equipment and appliances herein called "public utility facilities" of any public utility, as defined in R.S. 48:2-13, in, on, along, over or under any project.
Whenever the corporation shall determine that it is necessary that any public utility facilities which now are, or hereafter may be located in, on, along, over or under any project, should be relocated, or should be removed from that project, the public utility owning or operating those facilities shall relocate or remove them in accordance with the order of the corporation; provided, however, that the cost and expenses of that relocation or removal, including the cost of installing such facilities in a new location or new locations, and the cost of any lands, or any rights or interests in lands, and any other rights acquired to accomplish such relocation or removal, less the cost of any lands or any rights of the public utility paid to the public utility in connection with the relocation or removal of that property, shall be ascertained and paid by the corporation as part of the cost of that project. In case of any relocation or removal of facilities, the public utility owning or operating the same, its successors or assigns, may maintain and operate those facilities, with the necessary appurtenances, in the new location or new locations, for as long a period, and upon the same terms and conditions, as it had the right to maintain and operate those facilities in their former location or locations.
##### **§ 52:9Q-24** Acquisition of real property. {#sec-52-9q-24 omnilex-key=us-nj-statutes--title-52--52:9Q-24}
16. a. If, in order to implement any of the goals and objectives set forth in the plan, the corporation shall find it necessary or convenient to acquire any real property within its jurisdiction, or if for any of its authorized purposes the corporation shall find it necessary to acquire any real property beyond its jurisdiction, whether for immediate or future use, the corporation may find and determine that such property, whether a fee simple absolute or a lesser interest, is required for public use, and, upon such determination, the property shall be deemed to be required for a public use until otherwise determined by the corporation; and the determination shall not be affected by the fact that the property has heretofore been taken for, or is then devoted to, a public use of the State or any municipality, county, school district, or other local or regional district, authority or agency, but the public use in the hands or under the control of the corporation shall be deemed superior.
b. If the corporation is unable to agree with the owner or owners thereof upon terms for the acquisition of any real property, for any reason whatsoever, then the corporation may acquire that property, whether a fee simple absolute or a lesser interest, in the manner provided in the "Eminent Domain Act of 1971," P.L.1971, c.361 (C.20:3-1 et seq.).
c. Notwithstanding the provisions of subsections a. and b. of this section, the corporation shall not acquire or exercise control over any property in the custody of the State House Commission pursuant to R.S.52:20-1 et seq. without the written consent of that commission.
d. For the purposes of any State surplus property located within the district, the corporation is authorized to act as the redevelopment entity on behalf of the State as provided in section 4 of P.L.1992, c.79 (C.40A:12A-4) pursuant to a memorandum of understanding with the State Treasurer.
##### **§ 52:9Q-25** Annual budget; plan for expenditures. {#sec-52-9q-25 omnilex-key=us-nj-statutes--title-52--52:9Q-25}
17. a. On or before February 1 of each year, the board shall adopt a budget for the corporation. The board shall file a copy of the budget with the State Treasurer and the governing body of the city of Trenton within 30 days of its adoption. The board shall cause an audit of its books and accounts to be made at least once in each year by certified public accountants, and the cost thereof shall be considered an expense of the corporation and a copy thereof shall be filed with the State Treasurer, the Director of the Division of Budget and Accounting, and the State Auditor.
b. The executive director shall submit with the corporation's annual budget a plan for expenditures from the Capital City Redevelopment Loan and Grant Fund for the upcoming fiscal year. This plan shall include, but not be limited to: performance evaluation of the expenditures made from the fund to date; a description of the various projects to be funded for the upcoming fiscal year; relocation assistance for the upcoming fiscal year; a copy of procedures developed by the corporation governing the operation of the loan and grant fund; a complete financial statement on the status of the fund to date; and an estimate of expenditures from the fund for the upcoming fiscal year.
##### **§ 52:9Q-26** Annual report {#sec-52-9q-26 omnilex-key=us-nj-statutes--title-52--52:9Q-26}
On or before February 1 of each year, the board shall make an annual report of its activities for the preceding calendar year to the Governor, the Legislature, and the governing body of the city of Trenton. The report shall include, but not be limited to, a description of all projects either planned, underway or completed by the corporation or financed by the corporation and the financial arrangements developed therefor. The report shall set forth relocations of households and businesses occurring in the past year as a result of implementation of the plan, and a description of the relocation assistance provided those households and businesses. The report shall contain an evaluation of the impact of the implementation of the plan on the availability of adequate and affordable housing units in the city. The report shall also set forth the goals, strategies and priorities governing the selection of projects it anticipates financing, supporting or undertaking; and the board shall annually review and evaluate the projects actually undertaken in light of the goals, strategies and priorities established therefor by the Capital City Renaissance Plan. The report shall set forth a complete operating and financial statement covering the operations of the corporation during the year.
##### **§ 52:9Q-27** Assistance {#sec-52-9q-27 omnilex-key=us-nj-statutes--title-52--52:9Q-27}
All officers, departments, boards, agencies, divisions and commissions of the State are hereby authorized and empowered to render any services to the corporation as may be within the area of their respective governmental functions as fixed or established by law, and as may be requested by the corporation.
## **Chapter 9R**
##### **§ 52:9R-1** Joint Committee on the Public Schools; creation; membership; appointment; compensation; vacancies {#sec-52-9r-1 omnilex-key=us-nj-statutes--title-52--52:9R-1}
There is hereby created a committee to be known as the "Joint Committee on the Public Schools." The committee shall consist of seven members of the Senate, including two members of the Senate Education Committee, to be appointed by the President of the Senate and seven members of the Assembly, including two members of the Assembly Education Committee, to be appointed by the Speaker of the General Assembly. No more than four of the members from each House shall be of the same political party. All members shall serve without compensation and vacancies in the membership of the committee shall be filled in the same manner as the original appointments are made.
##### **§ 52:9R-2** Chairman; vice chairman; selection {#sec-52-9r-2 omnilex-key=us-nj-statutes--title-52--52:9R-2}
The committee shall select a chairman and vice chairman from among its members and a secretary who need not be a member of the committee.
##### **§ 52:9R-3** Duties {#sec-52-9r-3 omnilex-key=us-nj-statutes--title-52--52:9R-3}
The committee is authorized, empowered and directed to conduct a continuing study of the system of free public schools, its financing, administration, and operations, and to make recommendations for legislative action as it deems practicable and desirable for the maintenance and support of a thorough and efficient system of free public schools.
##### **§ 52:9R-4** Assistance from state employees; employment of assistants; powers {#sec-52-9r-4 omnilex-key=us-nj-statutes--title-52--52:9R-4}
The committee shall be entitled to call to its assistance and avail itself of the services of the employees of the Law Revision and Legislative Services Commission, as well as employees of any other State, county or municipal department, board, bureau, commission or agency as it may require and as may be available to it for said purpose, and to employ such professional, stenographic and clerical assistants and incur such traveling and other miscellaneous expenses as it may deem necessary, in order to perform its duties, and as may be within the limits of funds appropriated or otherwise made available to it for said purposes. The committee shall have all the powers of a joint committee of the Legislature under the provisions of chapter 13 of Title 52 of the Revised Statutes.
##### **§ 52:9R-5** Meetings; hearings; reports {#sec-52-9r-5 omnilex-key=us-nj-statutes--title-52--52:9R-5}
The committee may meet and hold hearings at such place or places as it shall designate during the sessions or recesses of the Legislature and shall make an annual report of its findings and recommendations to the Governor and the Legislature, and may make other reports or recommendations as it deems necessary or desirable.
## **Chapter 9RR**
##### **§ 52:9RR-1** Findings, declarations relative to housing affordability. {#sec-52-9rr-1 omnilex-key=us-nj-statutes--title-52--52:9RR-1}
1. The Legislature finds and declares:
a. It has been more than twenty years since the Legislature enacted the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) which provides a voluntary system for municipalities to follow in zoning for affordable housing. Since the time of the enactment of this law, there has not been a unified review by the Legislature of the administration of the "Fair Housing Act," or a review of the issue of housing availability and affordability in general.
b. Soaring housing prices, escalating property taxes, increasing municipal fees, rising energy costs, and the costs to implement various State rules and regulations have put housing out of the reach of many citizens, particularly senior citizens on fixed incomes.
c. Available land to develop is rapidly dwindling, causing many experts to predict that New Jersey will be "built-out" by the end of the next decade. New Jersey currently is the most densely populated State in the nation.
d. Conflicting public policies on land use and planning have resulted in a lack of a coordinated approach by the State in addressing the issues that relate to the availability of decent, affordable housing for both home buyers and renters.
e. There is a need for continued, integrated oversight by the Legislature to review and shape solutions to address the State's residents' housing needs, and to address the Legislature's responsibility for the "Fair Housing Act" as an alternative to the court's remedies granted under the Mount Laurel doctrine.
##### **§ 52:9RR-2** "Joint Committee on Housing Affordability." {#sec-52-9rr-2 omnilex-key=us-nj-statutes--title-52--52:9RR-2}
2. There is hereby created a committee to be known as the "Joint Committee on Housing Affordability." The committee shall consist of five members of the Senate, including two members of the Senate Community and Urban Affairs Committee, or its successor, to be appointed by the President of the Senate and five members of the General Assembly, including two members of the Assembly Housing and Local Government Committee, or its successor, to be appointed by the Speaker of the General Assembly. No more than three of the members from each House shall be of the same political party. All members shall serve without compensation and vacancies in the membership of the committee shall be filled in the same manner as the original appointments are made.
##### **§ 52:9RR-3** Chairman, vice chairman, secretary. {#sec-52-9rr-3 omnilex-key=us-nj-statutes--title-52--52:9RR-3}
3. The committee shall select a chairman and vice chairman from among its members and a secretary who need not be a member of the committee.
##### **§ 52:9RR-4** Powers, duties of committee. {#sec-52-9rr-4 omnilex-key=us-nj-statutes--title-52--52:9RR-4}
4. The committee is authorized, empowered and directed to conduct a continuing study of the availability and provision of housing affordable to all New Jersey households, the financing and administration of programs providing affordable housing, the rules, regulations or actions promulgated or enforced by various State government entities, including but not limited to, departments, boards, bureaus, commissions, or agencies, that may negatively impact the affordability of housing, and land use policies and other issues related to making housing affordable, for the purpose of making recommendations for legislative action, including amendments to the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) or to the "State Planning Act," P.L.1985, c.398 (C.52:18A-196 et al.), or to any other statute as it deems practicable and desirable for the provision of opportunities for the affordability and availability of housing for all residents throughout the State.
##### **§ 52:9RR-5** Review of introduced bills by committee; housing affordability impact notes. {#sec-52-9rr-5 omnilex-key=us-nj-statutes--title-52--52:9RR-5}
5. The staff of the Joint Committee shall review all bills introduced into both houses each Legislative session for identification of those bills which will clearly have a significant impact upon the cost, availability, or affordability of housing in New Jersey. A list of those bills so identified shall be prepared, and thereafter a statement to the sponsor and the chairman of the committee, if any, to which a bill on the list was referred, or to the presiding officer of the House in which the bill originated if no such reference was made, shall be sent by the Joint Committee Staff indicating that a housing affordability impact note is required. An impact note for each bill on the list shall thereafter be completed by the Joint Committee as soon as practicable, unless a request to expedite the preparation of an impact note is made by the bill's sponsor. If there is insufficient information to prepare a reliable estimate of the anticipated impact, a statement to that effect may be filed and shall meet the requirements of this section. The Legislative Budget and Finance Officer and the Office of Legislative Services shall provide such assistance as may be requested by the Joint Committee in the preparation of the housing affordability impact note.
##### **§ 52:9RR-6** Services available to the committee. {#sec-52-9rr-6 omnilex-key=us-nj-statutes--title-52--52:9RR-6}
6. The committee shall be entitled to call to its assistance and avail itself of the services of the employees of the Legislative Services Commission, as well as employees of any other State, county or municipal department, board, bureau, commission or agency as it may require and as may be available to it for its purposes, and to employ such professional, stenographic and clerical assistants and incur such traveling and other miscellaneous expenses as it may deem necessary, in order to perform its duties, and as may be within the limits of funds appropriated or otherwise made available to it for those purposes.
##### **§ 52:9RR-7** Meetings, hearings. {#sec-52-9rr-7 omnilex-key=us-nj-statutes--title-52--52:9RR-7}
7. The committee may meet and hold hearings at such place or places as it shall designate during the sessions or recesses of the Legislature and shall make an annual report of its findings and recommendations to the Governor and the Legislature, and may make other reports or recommendations as it deems necessary or desirable.
## **Chapter 9S**
##### **§ 52:9S-1** Definitions {#sec-52-9s-1 omnilex-key=us-nj-statutes--title-52--52:9S-1}
As used in this act, the following words and terms shall have the following meanings, unless the context shall indicate another or different meaning or intent:
a. "Capital project" means any undertaking which is to be financed or funded or is proposed to be financed or funded by the issuance of bonds, notes or other evidences of indebtedness of the State or any public authority thereof; or any undertaking which is to be financed or funded or is requested to be financed or funded by an appropriation in the annual budget, where the expenditure therefor is, by statute, or under standards as they may be prescribed from time to time by the Department of the Treasury, a capital expenditure.
b. "Commission" means the New Jersey Commission on Capital Budgeting and Planning created by section 2 of this act;
c. "Plan" means the State Capital Improvement Plan provided for by subsection a. of section 3. of this act.
d. "State agency" means an executive or administrative department, office, public authority or other instrumentality of State Government.
##### **§ 52:9S-2** New Jersey Commission on Capital Budgeting and Planning {#sec-52-9s-2 omnilex-key=us-nj-statutes--title-52--52:9S-2}
2. There is hereby created a New Jersey Commission on Capital Budgeting and Planning. The commission shall consist of 12 members selected as follows: the State Treasurer and any three other members of the Executive Branch designated by the Governor to so serve at his pleasure, two members of the General Assembly, two members of the Senate and four public members from the State at large.
The members from the General Assembly shall be appointed by the Speaker of the General Assembly. The members of the Senate shall be appointed by the President of the Senate. No more than one of the members appointed by the Speaker or President shall be from the same political party. Legislative members shall serve while members of their respective houses for the term for which they have been elected.
Of the four public members two shall be appointed by the Governor with advice and consent of the Senate, no more than one of whom shall be of the same political party, and two by the Legislature, one each by the President of the Senate and the Speaker of the General Assembly, for a term of six years and until their successors are qualified, provided that the members serving on the effective date of this 1995 amendatory act shall continue to serve until the expiration of their appointments. The President of the Senate shall make the first appointment of a public member upon the expiration of the term of the public member first occurring after the effective date of this 1995 amendatory act, and the Speaker of the General Assembly shall make the second appointment of a public member upon the expiration of the term of the public member next occurring after the effective date of this act. The public members shall be chosen based upon their experience and expertise in public finance and the capital improvement process. Any vacancy among the public members shall be filled in the same manner as the original appointment, but for the unexpired term only. A member shall be eligible for reappointment.
A chairman of the commission shall be selected annually by the membership of the commission from among the public members.
Members of the commission shall serve without compensation, but public members shall be entitled to reimbursement for expenses incurred in the performance of their duties.
##### **§ 52:9S-3** Preparation of State Capital Improvement Plan. {#sec-52-9s-3 omnilex-key=us-nj-statutes--title-52--52:9S-3}
3. a. The commission shall each year prepare a State Capital Improvement Plan containing its proposals for State spending for capital projects, which shall be consistent with the goals and provisions of the State Development and Redevelopment Plan adopted by the State Planning Commission and shall be prepared after consultation with the New Jersey Council of Economic Advisors, created pursuant to P.L.1993, c.149 (C.52:9H-34 et seq.). Copies of the plan shall be submitted to the Governor and the Legislature no later than December 1 of each year. The plan shall provide:
(1) A detailed list of all capital projects of the State which the commission recommends be undertaken or continued by any State agency in the next three fiscal years, together with information as to the effect of such capital projects on future operating expenses of the State, and with recommendations as to the priority of such capital projects and the means of funding them;
(2) The forecasts of the commission as to the requirements for capital projects of State agencies for the four fiscal years next following such three fiscal years and for such additional periods, if any, as may be necessary or desirable for adequate presentation of particular capital projects, and a schedule for the planning and implementation or construction of such capital projects;
(3) A schedule for the next fiscal year of recommended appropriations of bond funds from issues of bonds previously authorized;
(4) A review of capital projects which have recently been implemented or completed or are in process of implementation or completion;
(5) Recommendations as to the maintenance of physical properties and equipment of State agencies;
(6) Recommendations which the commission deems appropriate as to the use of properties reported in subsection c. of this section;
(7) A report on the State's overall debt. This report shall include information on the outstanding general obligation debt and debt service costs for the prior fiscal year, the current fiscal year, and the estimated amount for the subsequent five fiscal years. In addition, the report shall provide similar information on capital leases and installment obligations. In addition, the report shall provide similar information on the following long-term obligations: all items comprising long-term liabilities as recorded in a schedule of long-term debt changes (bonded and non-bonded) in the State's annual comprehensive financial report prepared pursuant to section 37 of article 3 of P.L.1944, c.112 (C.52:27B-46), the unfunded actuarial accrued liability for State administered retirement systems, and the unfunded actuarial accrued liabilities for post-retirement medical and other benefits;
(8) An assessment of the State's ability to increase its overall debt and a recommendation on the amount of any such increase. In developing this assessment and recommendation, the commission shall consider those criteria used by municipal securities rating services in rating governmental obligations;
(9) A summary or written notification regarding the repayment or issuance of motor vehicle surcharge revenue bonds required to be prepared or transmitted pursuant to section 2 of P.L.2019, c.301 (C.52:9S-3.1); and
(10) Such other information as the commission deems relevant to the foregoing matters.
b. Each State agency shall no later than August 15 of each year provide the commission with:
(1) A detailed list of capital projects which each State agency seeks to undertake or continue for its purposes in the next three fiscal years, together with information as to the effect of such capital projects on future operating expenses of the State, and with such relevant supporting data as the commission requests;
(2) Forecasts as to the requirements for capital projects of such agency for the four fiscal years next following such three fiscal years and for such additional periods, if any, as may be necessary or desirable for adequate presentation of particular capital projects, and a schedule for the planning and implementation or construction of such capital projects;
(3) A schedule for the next fiscal year of requested appropriations of bond funds from issues of bonds previously authorized;
(4) A report on capital projects which have recently been implemented or completed or are in process of implementation or completion;
(5) A report as to the maintenance of its physical properties and capital equipment;
(6) Such other information as the commission may request.
c. Each State agency shall, when requested, provide the commission with supplemental information in addition to that to be available to the commission under the computerized record keeping of the Department of the Treasury, Bureau of Real Property Management, concerning any real property owned or leased by the agency including its current or future availability for other State uses.
d. A copy of the plan shall also be forwarded to the Division of Budget and Accounting each year upon its completion, and the portion of the plan relating to the first fiscal year thereof shall, to the extent it treats of capital appropriations in the annual budget, constitute the recommendations of the commission with respect to such capital appropriations in the budget for the next fiscal year.
##### **§ 52:9S-3.1** Yearly review of entities with a pledge of revenues derived from motor vehicle surcharges. {#sec-52-9s-3.1 omnilex-key=us-nj-statutes--title-52--52:9S-3.1}
2. a. The New Jersey Commission on Capital Budgeting and Planning shall each year conduct a review of all outstanding debts, including bonds, refunding bonds, notes, and other obligations and the costs thereof, of the State and each State agency that have a pledge of revenues derived from a motor vehicle surcharge imposed by section 6 of P.L.1983, c.65 (C.17:29A-35) or by section 1 of P.L.2000, c.75 (C.39:4-97.2). The review shall, at a minimum, determine the date each outstanding debt was issued, the entity responsible for the issuance of the debt, the outstanding debt and debt service costs for the prior fiscal year, the current fiscal year, and the estimated amount for the subsequent five fiscal years, and the date the outstanding debt is expected to be repaid. The commission shall prepare a summary of the review conducted in accordance with this subsection for inclusion in the State Capital Improvement Plan.
b. Upon the repayment of all outstanding debts, including bonds, refunding bonds, notes, and other obligations and the costs thereof, of the State and each State agency that have a pledge of revenues derived from a motor vehicle surcharge imposed by section 6 of P.L.1983, c.65 (C.17:29A-35) or by section 1 of P.L.2000, c.75 (C.39:4-97.2), the executive director of the commission shall transmit a written notification to the State Treasurer and the Chief Administrator of the New Jersey Motor Vehicle Commission to certify that the debts have been repaid in full pursuant to the terms of those debt contracts and that no new motor vehicle surcharges shall be imposed on or after the date that all outstanding debts have been repaid. The written notification shall be transmitted not later than five days after the date that all outstanding debts have been repaid. A copy of the written notification shall be included in the State Capital Improvement Plan for the fiscal year in which all outstanding debts have been repaid.
c. Following enactment of P.L.2019, c.301 (C.52:9S-3.1 et al.) but prior to the repayment of all outstanding debts, including bonds, refunding bonds, notes, and other obligations and the costs thereof, of the State and each State agency that have a pledge of revenues derived from a motor vehicle surcharge imposed by section 6 of P.L.1983, c.65 (C.17:29A-35) or by section 1 of P.L.2000, c.75 (C.39:4-97.2), the executive director of the commission shall monitor the issuance of all new debts to determine if those debts have a pledge of revenues derived from a motor vehicle surcharge in violation of section 4 of P.L.2019, c.301 (C.17:29A-35.2) or of section 6 of P.L.2019, c.301 (C.39:4-97.2a). The executive director of the commission shall transmit a written notification to the State Treasurer and the presiding officer of each House of the Legislature if the executive director determines that the issuance of any new debts have a pledge of revenues derived from a motor vehicle surcharge. The written notification shall be transmitted not later than five days after the determination has been made. A copy of the written notification shall be included in the State Capital Improvement Plan for the fiscal year in which the determination has been made.
##### **§ 52:9S-4** Review of bills introduced in legislature {#sec-52-9s-4 omnilex-key=us-nj-statutes--title-52--52:9S-4}
The commission shall review any bill introduced in either House of the Legislature, except the annual appropriations bill, which makes provision for an appropriation for a capital project, or for the authorization of the issuance of bonds, notes or other evidences of indebtedness of the State, or of bonds, notes or other evidences of indebtedness of a State agency containing a moral pledge of the State. The commission shall study the necessity, desirability and relative priority of such appropriation or indebtedness by reference to the plan or otherwise. The commission shall promptly prepare and forward its recommendation on the bill to the House in which it was introduced.
##### **§ 52:9S-5** Public hearings {#sec-52-9s-5 omnilex-key=us-nj-statutes--title-52--52:9S-5}
The commission may conduct public hearings in furtherance of its general purposes at such place or places as it shall designate, at which it may request the appearance of officials of any State agency and solicit the testimony of interested groups and the general public.
##### **§ 52:9S-6** Rules and regulations {#sec-52-9s-6 omnilex-key=us-nj-statutes--title-52--52:9S-6}
The commission may adopt such rules and regulations as it shall deem necessary or desirable to carry out its purposes as provided by this act.
##### **§ 52:9S-7** Executive director; employment; compensation; division of bureau of capital planning; other employees {#sec-52-9s-7 omnilex-key=us-nj-statutes--title-52--52:9S-7}
The commission may employ and fix the compensation of an executive director who shall be its secretary and principal executive officer. The commission shall be staffed by the Division of Budget and Accounting of the Department of the Treasury. There is hereby created within said division a bureau of capital planning for this purpose. The commission may also employ such other stenographic, clerical and expert assistance, and incur such traveling and other miscellaneous expenses as it may deem necessary in order to perform its duties and as may be within the limits of funds appropriated or otherwise made available to it.
##### **§ 52:9S-8** Assistance for commission and division of budget and accounting; advisory committees {#sec-52-9s-8 omnilex-key=us-nj-statutes--title-52--52:9S-8}
a. The commission and the Division of Budget and Accounting shall be entitled to call to their assistance such personnel of any State agency, municipality or political subdivision as they may require in order to perform their duties hereunder.
b. The Office of Fiscal Affairs and other State agencies shall also assist the commission in the performance of its functions. The commission may make use of existing studies, surveys, plans, data and other materials in the possession of any State agency or any municipality or political subdivision of this State. Each such agency, municipality or subdivision is hereby authorized to make the same available to the commission so that the commission may have available to it current information with respect to the capital plans and programs of each such agency, municipality or subdivision.
c. The officers and personnel of any State agency, municipality or political subdivision, and any other person may serve at the request of the commission upon such advisory committees as the commission may create and such officers and personnel may serve upon such committees without forfeiture of office or employment and with no loss or diminution in the compensation, status, rights and privileges which they otherwise enjoy.
## **Chapter 9U**
##### **§ 52:9U-1** Short title {#sec-52-9u-1 omnilex-key=us-nj-statutes--title-52--52:9U-1}
This act shall be known and may be cited as the "Cancer Research Act."
##### **§ 52:9U-2** Legislative findings and declarations {#sec-52-9u-2 omnilex-key=us-nj-statutes--title-52--52:9U-2}
The Legislature finds and declares that, although this State has the highest cancer death rate in the nation for many of the most frequently fatal types of cancer, it has provided relatively little encouragement for cancer studies at any of its local institutions involved in basic biological research; and that this failure has made New Jersey unattractive for the recruitment of highly skilled cancer investigators, has reduced the State's capacity to compete for its fair share of federal and private research dollars, and has been responsible for delaying the development of services and facilities necessary to conduct productive research. New Jersey's failure to make a concerted and intense effort in the war against cancer has deprived its citizens of the benefits resulting from the latest advances in basic cancer research.
The Legislature further finds that the State can ill afford to continue its present policy in this regard. Corrective measures should be adopted promptly and funded adequately to make up for lost ground and to make the State competitive in the area of cancer research within the next 5 years.
##### **§ 52:9U-3** Definitions. {#sec-52-9u-3 omnilex-key=us-nj-statutes--title-52--52:9U-3}
3. As used in this act:
"Approved research project" means a scientific research project, which is approved by the commission and which focuses on the genetic, biochemical, viral, microbiological and environmental causes of cancer, and may include, but is not limited to, behavioral, socio-economic, demographic and psychosocial research or research into methods of clinical treatment; or which focuses on pain management and palliative care for persons diagnosed with cancer.
"Commission" means the New Jersey State Commission on Cancer Research established pursuant to this act.
"Institutional support services" means all services, facilities, equipment, personnel and expenditures associated with the creation and maintenance of approved research projects.
"Pediatric cancer research project" means a scientific research project approved pursuant to this act, which scientific research project focuses on the causes, prevention, education, screening, treatment, or cure of pediatric cancer, or the symptoms or effects experienced by patients following completion of a course of treatment for pediatric cancer, and may include, but shall not be limited to, basic, clinical, and epidemiologic research.
"Qualifying research institution" means the Coriell Institute for Medical Research in Camden, New Jersey, Rutgers--The State University, Rowan University, Princeton University and any other institution approved by the commission, which is conducting an approved research project. For the purposes of sections 2 through 5 of P.L.2021, c.210 (C.52:9U-6.4 et al.), "qualifying research institution" may include academic medical institutions, State or local government agencies, public or private organizations within New Jersey, and any other institution approved by the commission, which is conducting a pediatric cancer research project.
##### **§ 52:9U-4** Commission on Cancer Research {#sec-52-9u-4 omnilex-key=us-nj-statutes--title-52--52:9U-4}
a. There is established in the Executive Branch of the State government, the New Jersey State Commission on Cancer Research. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the commission is allocated within the Department of Health, but notwithstanding that allocation, the commission shall be independent of any supervision or control by the department or by any board or officer thereof.
b. The commission shall consist of 11 members, including the Commissioners of the Department of Health and the Department of Environmental Protection or their appointed designees, and nine citizens of New Jersey or persons otherwise associated with the State, who are known for their knowledge, competence, experience or interest in medical research, appointed by the Governor with the advice and consent of the Senate.
c. The term of office of each appointed member shall be three years, but of the members first appointed, three shall be appointed for terms of one year, three for terms of two years, and one for a term of three years. The terms of office of the two additional members appointed pursuant to this amendatory act shall expire upon the expiration of the term of office of the member first appointed for a term of three years. All vacancies shall be filled for the balances of the unexpired terms in the same manner as the original appointments. The members of the commission shall not receive any compensation for their services, but shall be reimbursed for the actual and necessary expenses incurred in the performance of their duties as members of the commission.
##### **§ 52:9U-5** Duties of commission. {#sec-52-9u-5 omnilex-key=us-nj-statutes--title-52--52:9U-5}
5. The commission shall:
a. Review and authorize approved research projects;
b. Apportion all available funds to qualifying research institutions to finance approved research projects and necessary institutional support services;
c. Ensure that funds appropriated to approved research projects are not diverted to any other use;
d. Take steps necessary to encourage the development within the State of research projects on:
(1) the causes of cancer; and
(2) pain management and palliative care for persons diagnosed with cancer;
e. Compile a directory of all cancer research projects being conducted in the State; and
f. Provide the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), the Legislature, with a report by January 30 of each year describing the status of the commission's activities and the results of its funded research efforts, which report shall include, with respect to the pediatric cancer research fund established pursuant to section 1 of P.L.2021, c.210 (C.54A:9-25.47), a summary of the use and impact of funds expended in the prior fiscal year and any recommendations for future initiatives or action regarding pediatric cancer research funding.
##### **§ 52:9U-6** Powers {#sec-52-9u-6 omnilex-key=us-nj-statutes--title-52--52:9U-6}
The commission is authorized to:
a. Adopt rules and regulations concerning the operation of the commission, the functions and responsibilities of its officers and employees and other matters as may be necessary to carry out the purposes of this act;
b. Maintain offices at such places within the State as it may designate;
c. Employ an executive director and other personnel as may be necessary, whose employment shall be in the unclassified service of the State, except that employees performing stenographic or clerical duties shall be appointed pursuant to Title 11 (Civil Service) of the Revised Statutes;
d. Design a fair and equitable system for the solicitation, evaluation and approval of proposals for cancer research projects;
e. Apply for and accept any grant of money from the federal government, which may be available for programs relating to research on the causes of cancer;
f. Enter into contracts with individuals, organizations and institutions necessary or incidental to the performance of its duties and the execution of its powers under this act; and
g. Accept gifts, grants and bequests of funds from individuals, foundations, corporations, governmental agencies and other organizations and institutions.
##### **§ 52:9U-6.1** Grants; qualified research institution defined {#sec-52-9u-6.1 omnilex-key=us-nj-statutes--title-52--52:9U-6.1}
3. The New Jersey State Commission on Cancer Research shall solicit, receive, evaluate and approve applications of qualified research institutions for grants from the "New Jersey Breast Cancer Research Fund," established pursuant to section 1 of P.L.1995, c.26 (C.54A:9-25.7), to conduct research relating to the causes, prevention, screening, treatment and cure of breast cancer. As used in this section, "qualified research institution" may include academic medical institutions, State or local government agencies, public or private organizations within New Jersey, and any other institution approved by the commission, which is conducting a breast cancer research project.
##### **§ 52:9U-6.2** Applications for grants. {#sec-52-9u-6.2 omnilex-key=us-nj-statutes--title-52--52:9U-6.2}
3. The New Jersey State Commission on Cancer Research shall solicit, receive, evaluate and approve applications of qualified research institutions for grants from the "New Jersey Prostate Cancer Research Fund," established pursuant to section 1 of P.L.2001, c.305 (C.54A:9-25.21), to conduct research relating to the causes, prevention, screening, treatment and cure of prostate cancer. As used in this section, "qualified research institution" may include academic medical institutions, State or local government agencies, public or private organizations within New Jersey, and any other institution approved by the commission, which is conducting a prostate cancer research project.
##### **§ 52:9U-6.3** Grants from "New Jersey Lung Cancer Research Fund." {#sec-52-9u-6.3 omnilex-key=us-nj-statutes--title-52--52:9U-6.3}
2. The New Jersey State Commission on Cancer Research shall solicit, receive, evaluate and approve applications of qualified research institutions for grants from the "New Jersey Lung Cancer Research Fund," established pursuant to section 1 of P.L.2009, c.172 (C.54A:9-25.27), to conduct research relating to the causes, prevention, education, screening, treatment and cure of lung cancer. As used in this section, "qualified research institution" may include academic medical institutions, State or local government agencies, public or private organizations within New Jersey, and any other institution approved by the commission, which is conducting a lung cancer research project.
##### **§ 52:9U-6.4** Applicants for grants. {#sec-52-9u-6.4 omnilex-key=us-nj-statutes--title-52--52:9U-6.4}
2. The New Jersey State Commission on Cancer Research , in consultation with the advisory group established pursuant to section 3 of P.L.2021, c.210 (C.52:9U-6.5), shall solicit, receive, evaluate and approve applications of qualifying research institutions for grants from the "New Jersey Pediatric Cancer Research Fund," established pursuant to section 1 of P.L.2021, c.210 (C.54A:9-25.47), to fund pediatric cancer research projects .
##### **§ 52:9U-6.5** Advisory group. {#sec-52-9u-6.5 omnilex-key=us-nj-statutes--title-52--52:9U-6.5}
3. a. The New Jersey State Commission on Cancer Research shall establish an advisory group within the commission which shall be responsible for advising the commission on how moneys from the fund established pursuant to section 1 of P.L.2021, c.210 (C.54A:9-25.47) to support pediatric cancer research projects will be distributed by the commission.
b. The size and composition of the advisory group shall be at the discretion of the commission and shall be limited to individuals who either treat patients with pediatric cancer, conduct research into pediatric cancer, advocate to advance pediatric cancer research or treatment, or have been affected by their own or a family member's diagnosis of pediatric cancer.
c. The advisory group shall meet at such times and frequencies as shall be required by the commission.
##### **§ 52:9U-7** Chairman and vice-chairman; election; duties; duties of executive director {#sec-52-9u-7 omnilex-key=us-nj-statutes--title-52--52:9U-7}
The members of the commission shall annually elect a chairman and a vice-chairman from among their number. The chairman shall be the chief executive officer of the commission, shall preside at all meetings of the commission and shall perform other duties that the commission may prescribe.
The executive director shall serve as secretary to the commission and shall carry out its policies under the direction of the chairman.
##### **§ 52:9U-8** Annual appropriation. {#sec-52-9u-8 omnilex-key=us-nj-statutes--title-52--52:9U-8}
8. $1,000,000.00 shall be appropriated annually from the Cancer Research Fund established by P.L.1982, c.40 (C.54:40A-8 et al.) to effectuate the purposes of this act, except that only $500,000.00 shall be appropriated from the fund in fiscal year 1982-1983. The full amount of the annual appropriation from the Cancer Research Fund mandated by this section to effectuate the purposes of this act shall be made notwithstanding any monies received by taxpayer voluntary contribution through gross income tax return to any cancer research fund designated for a specific type or category of cancer by State law.
##### **§ 52:9U-9** Research facilities; direct application for or receipt of funds from public or private agency {#sec-52-9u-9 omnilex-key=us-nj-statutes--title-52--52:9U-9}
Nothing in this act shall preclude a qualifying research institution or any other research facility in the State from directly applying for or receiving funds from any public or private agency to conduct cancer research.
## **Chapter 9W**
##### **§ 52:9W-1** Establishment; membership; terms; vacancies {#sec-52-9w-1 omnilex-key=us-nj-statutes--title-52--52:9W-1}
There is established an Advisory Commission on Hispanic Affairs to consist of 10 members, two to be appointed by the President of the Senate from the members thereof, no more than one of whom shall be from the same political party; two to be appointed by the Speaker of the General Assembly from the members thereof, no more than one of whom shall be from the same political party, the Commissioner of Community Affairs, or his designee, and five public members to be appointed by the Governor, with the advice and consent of the Senate, who are residents of the State and who represent various Hispanic communities within the State. Legislative members shall serve during their terms of office. Public members shall serve for a term of three years from the date of their appointment and until their successors are appointed and qualified; except that of the first appointments hereunder: one shall be for a term of one year, two for two years, and two for three years. Vacancies resulting from causes other than by expiration of term shall be filled for the unexpired term only and shall be filled in the same manner as the original appointments were made.
##### **§ 52:9W-2** Compensation; reimbursement for expenses {#sec-52-9w-2 omnilex-key=us-nj-statutes--title-52--52:9W-2}
All members of the commission shall serve without compensation, but they shall be entitled to be reimbursed for all necessary expenses incurred in the performance of their duties.
##### **§ 52:9W-3** Chairperson; secretary {#sec-52-9w-3 omnilex-key=us-nj-statutes--title-52--52:9W-3}
The commission shall select from among its members a chairperson and also shall select a secretary who need not be a member of the commission.
##### **§ 52:9W-4** Duties; establishment of subcommittee {#sec-52-9w-4 omnilex-key=us-nj-statutes--title-52--52:9W-4}
It shall be the duty of the commission to advise the Governor and the Legislature on the needs, concerns, accomplishments and contributions as well as the impact of legislation which affects the State's Hispanic community. The commission shall establish a subcommittee whose function is to elicit input from Hispanic communities by visiting community centers, meeting with community leaders, attending and sponsoring community meetings and taking any other actions it deems necessary to carry out its purposes. The subcommittee shall consist of five members, two legislative members, not more than one of whom shall be from the same political party, and three public members all of whom shall be appointed by the chairperson of the commission from the members thereof. The subcommittee shall report to the commission at the request of the chairperson, on its findings and recommendations.
##### **§ 52:9W-5** Employees; expenses {#sec-52-9w-5 omnilex-key=us-nj-statutes--title-52--52:9W-5}
The commission shall be entitled to call to its assistance and avail itself of the services of the employees of any State, county, or municipal department, board, bureau, commission or agency as it may require and as may be available to it to carry out its purposes, and to employ such stenographic, clerical, technical and expert assistance and incur travel and other miscellaneous expenses as it may deem necessary, in order to perform its duties and as may be within the limits of funds appropriated or otherwise made available to it to accomplish its objectives.
## **Chapter 9WW**
##### **§ 52:9WW-1** Asian American Study Foundation. {#sec-52-9ww-1 omnilex-key=us-nj-statutes--title-52--52:9WW-1}
1. The Secretary of State is authorized to establish a nonprofit organization to be known as the Asian American Study Foundation. The foundation shall be devoted to developing and coordinating Statewide programs recognizing the continuing contributions of Asian Americans in New Jersey. It shall draw upon its members' shared knowledge and expertise in creating programs and activities designed to better educate all citizens of New Jersey as to Asian American issues and culture and to promote the spirit of Mahatma Gandhi, Aung San Suu Kyi, and Dr. Martin Luther King, Jr., by celebrating the religious, ethnic and racial diversity within this State. The foundation shall develop policies to improve the community, economic, social well-being, health and educational needs important to Asian Americans in New Jersey and increase awareness among Asian Americans as to governmental affairs and community and social service resources that may benefit Asian American individuals and communities as a whole. It shall also make recommendations for local, county and Statewide actions to follow up the foundation's recommendations and consider such other matters relating to the institutions and legacies of Asian Americans in New Jersey as the members of the foundation may deem appropriate.
The foundation shall be incorporated as a New Jersey nonprofit corporation pursuant to P.L.1983, c.127 (C.15A:1-1 et seq.), and organized and operated in such manner as to be eligible under applicable federal law for tax-exempt status and for the receipt of tax-deductible contributions, and shall be authorized to sue and to be sued as a legal entity separate from the State of New Jersey.
##### **§ 52:9WW-2** Board of trustees. {#sec-52-9ww-2 omnilex-key=us-nj-statutes--title-52--52:9WW-2}
2. The Asian American Study Foundation shall be governed by a board of trustees consisting of the following 25 members, each chosen to ensure ethnic diversity and broad geographic representation within New Jersey. Foundation members shall include persons who are leaders in Asian American organizations or communities, or have training or a verifiable interest in Asian American history or culture.
a. Legislative membership shall be as follows: the President of the Senate shall appoint one member of the Senate, who shall be a member of the same political party as the Senate President. The Minority Leader of the Senate shall appoint one member of the Senate, who shall be a member of the same political party as the Senate Minority Leader. The Speaker of the General Assembly shall appoint one member of the General Assembly, who shall be a member of the same political party as the Speaker. The Minority Leader of the General Assembly shall appoint one member of the General Assembly, who shall be a member of the same political party as the Assembly Minority Leader. Legislative members shall serve during the two-year legislative term in which appointments are made.
b. Executive membership shall be appointed by the Governor as follows: the Secretary of State or a designee; one representative from the Governor's office; one representative from the New Jersey Asian American Chamber of Commerce; two representatives from the Department of Community Affairs; the Commissioner of Education and the Commissioner of Health and Senior Services, or their designees; the Secretary of the New Jersey Commerce and Economic Growth Commission or a designee; and a representative from the New Jersey Economic Development Authority. Each member appointed from the Executive Branch shall serve at the pleasure of the Governor during the term of office of the Governor appointing the member and until the member's successor is appointed and qualified.
c. Public membership shall be as follows and shall be persons recommended by or who represent various civic, social, business and artistic organizations committed to advancing the interest of the Asian American community in New Jersey, as well as those concerned with the issues of civil rights, human rights, social and economic justice and equality and other issues concerning the Asian American community. The Governor shall appoint 12 public members who shall be residents of the State of New Jersey and shall include: two persons having expertise or a background in policies affecting the Asian American community; two persons representing the clergy, religious organizations or communities; two persons of Asian origin or heritage, who support the work of the foundation; one person representing a post-secondary educational institution with an academic program in Asian American culture; one person representing a secondary educational institution with a large Asian American population; one person representing the legal community; one person representing the medical community; one person representing law enforcement; and one person representing the New Jersey Council on the Arts. Public members shall serve for a term of two years from the date of their appointment and until their successors are appointed and qualified; except that of the first appointments hereunder: six shall be for a term of one year and six for two years.
Vacancies resulting from causes other than by expiration of a term shall be filled for the unexpired term only and shall be filled in the same manner as the original appointments were made.
##### **§ 52:9WW-3** Employment of executive director, personnel; contract authority. {#sec-52-9ww-3 omnilex-key=us-nj-statutes--title-52--52:9WW-3}
3. The foundation's board of trustees shall be authorized, within the limits of its own funds, to employ an executive director and professional, technical and administrative personnel. Employees of the foundation shall not be construed to be employees of the State of New Jersey. The board shall also be authorized to contract for such professional and administrative services as it shall deem necessary. No member of the board of trustees shall engage in any business transaction or professional activity for profit with the Department of State.
##### **§ 52:9WW-4** Secretary of state incorporator, initial chair of board. {#sec-52-9ww-4 omnilex-key=us-nj-statutes--title-52--52:9WW-4}
4. The Secretary of State shall be an incorporator of the foundation. The Secretary of State shall serve as the initial chair of the board of trustees.
##### **§ 52:9WW-5** Adoption of bylaws. {#sec-52-9ww-5 omnilex-key=us-nj-statutes--title-52--52:9WW-5}
5. Upon the incorporation of the foundation and the establishment of the first board of trustees, the board shall adopt bylaws setting forth the structure, offices, powers and duties of the foundation, using the following guidelines. Members of the foundation shall serve without compensation, but shall be entitled to reimbursement for necessary expenses incurred in the performance of their duties. The chairperson may appoint such subcommittees as deemed necessary or desirable, and if a subcommittee is appointed, the members of the subcommittee shall elect one of the members to serve as chair and one of the members to serve as vice-chair. The foundation shall meet no less than quarterly and at the call of the chairperson. A meeting of the foundation may also be called upon the request of 13 of the foundation's members and 13 members of the foundation shall constitute a quorum at any meeting thereof. The foundation shall hold at least four public hearings in different parts of the State, at such times and places as the foundation shall determine. All issues raised by those testifying at the hearings shall be recorded and included, together with the foundation's responses, if any, in the foundation's report to the Governor as required by section 6 of this act.
##### **§ 52:9WW-6** Reports to Governor, Legislature, public. {#sec-52-9ww-6 omnilex-key=us-nj-statutes--title-52--52:9WW-6}
6. The foundation shall bi-annually report its progress and advise the Governor of the foundation's recommendations as they relate to the charge and duties set forth. The foundation shall annually report its findings and recommendations to the Governor, the Legislature and the public. The report shall address the responsibilities as set forth in section 1 of this act, along with all other issues which the foundation finds to be necessarily related.
##### **§ 52:9WW-7** Use of funds. {#sec-52-9ww-7 omnilex-key=us-nj-statutes--title-52--52:9WW-7}
7. All funds received by the foundation, other than those necessary to pay the expenses of the foundation, shall be used exclusively for the establishment, support and promotion of the Asian American Study Foundation.
##### **§ 52:9WW-8** Financial assistance, eligibility for grants. {#sec-52-9ww-8 omnilex-key=us-nj-statutes--title-52--52:9WW-8}
8. The Department of State is authorized to provide financial assistance and those services of employees of the State which may be required to form and incorporate the foundation within the limits of funds appropriated to the Department of State or made available to the Department of State by contribution, gift, donation or otherwise for these purposes. Once the foundation is incorporated, it may apply for grants in aid from any department or instrumentality of the State of New Jersey.
##### **§ 52:9WW-9** Expenses payable from foundation's funds. {#sec-52-9ww-9 omnilex-key=us-nj-statutes--title-52--52:9WW-9}
9. All expenses incurred by the foundation shall be payable from funds raised by the foundation, and no liability or obligation, in tort or contract, shall be incurred by the State for the operation of the foundation. The foundation shall obtain private counsel, and shall not be represented by the Attorney General or indemnified by the State of New Jersey.
##### **§ 52:9WW-10** Annual audit. {#sec-52-9ww-10 omnilex-key=us-nj-statutes--title-52--52:9WW-10}
10. A certified public accountant shall be selected by the foundation to annually audit the foundation's funds. The foundation shall contract for and receive such audit annually, and shall submit the audit to the Secretary of State and the Director of the Division of Budget and Accounting in the Department of the Treasury.
## **Chapter 9X**
##### **§ 52:9X-1** Findings, declarations, determinations. {#sec-52-9x-1 omnilex-key=us-nj-statutes--title-52--52:9X-1}
1. a. The Legislature finds and declares that:
(1) during its existence, the New Jersey Commission on Science and Technology encouraged the development of scientific and technological programs, stimulated academic-industrial cooperation, and coordinated activities of technological centers and business facilities;
(2) the primary mission of the commission was to accelerate economic development by applying science and technology applications to industry;
(3) the principal goals of the commission were the creation of new jobs and the revitalization of industry by encouraging new enterprises, particularly those that are oriented towards the adoption of the most advanced scientific and technological techniques; and
(4) due to the elimination of its funding in 2010, the commission became non-operational.
b. The Legislature therefore determines that it is necessary and desirable to:
(1) re-establish the commission as a qualified body to exercise oversight for the responsibility of implementing, evaluating, and formulating long-range plans and programs for science, innovation, and technology in New Jersey; and
(2) rename the commission as the New Jersey Commission on Science, Innovation and Technology to recognize the role and the importance of innovation developed at the State's institutions of higher education and businesses to the economy of this State.
##### **§ 52:9X-2** Definitions. {#sec-52-9x-2 omnilex-key=us-nj-statutes--title-52--52:9X-2}
2. For purposes of P.L.1985, c.102 (C.52:9X-1 et seq.):
"Advanced technology center" means outstanding programs or departments at New Jersey's public and private higher education institutions, which are provided substantial and concentrated financial support to promote their development into national-level bases for innovative technology research.
"Business incubation facilities" means the provision of space and technical assistance to a targeted network of developmental facilities, consisting of low-cost space, for short-term occupancy, to new companies employing selected technologies congruent with the strengths of the State's public and private institutions of higher education.
"Commission" means the New Jersey Commission on Science, Innovation and Technology established pursuant to section 3 of P.L.1985, c.102 (C.52:9X-3).
"Innovation partnership grants" means matching grants to academic researchers performing applied research in emerging technologies at the State's public and private institutions of higher education, which are of strategic importance to the New Jersey economy, under regulations adopted by the commission pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
"Technology extension services" means programs to accelerate the application and transfer of technological innovation by the State's public and private institutions of higher education to existing industry, specifically to work with the State's businesses to adapt these innovations to the requirements of individual business operations.
##### **§ 52:9X-3** Commission on Science, Innovation and Technology. {#sec-52-9x-3 omnilex-key=us-nj-statutes--title-52--52:9X-3}
3. The New Jersey Commission on Science, Innovation and Technology is created and established in the Executive Branch of the State Government. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the commission is allocated within the Department of the Treasury, but notwithstanding this allocation, the commission shall be independent of any supervision or control by the department or by any board or officer thereof.
##### **§ 52:9X-4** Membership. {#sec-52-9x-4 omnilex-key=us-nj-statutes--title-52--52:9X-4}
4. a. The commission shall consist of the following 17 members:
(1) four public members to be appointed by the Governor, with each public member having a background in a field of science or technology or in a business related to science and technology;
(2) two public members to be appointed by the Governor upon the recommendation of the President of the Senate and two public members to be appointed by the Governor upon the recommendation of the Speaker of the General Assembly, with each public member having a background in a field of science or technology, or in a business related to science and technology;
(3) two members of the Senate, who shall not be of the same political party, to be appointed by the President of the Senate and who shall serve as ex officio, non-voting members, and two members of the General Assembly, who shall not be of the same political party, to be appointed by the Speaker of the General Assembly and who shall serve as ex officio, non-voting members;
(4) the Secretary of Higher Education, ex officio, or the secretary's duly authorized representative;
(5) the Commissioner of Education, ex officio, or the commissioner's duly authorized representative;
(6) the Executive Director of the New Jersey Economic Development Authority, ex officio, or the executive director's duly authorized representative; and
(7) two presidents from the State's public and private institutions of higher education, who shall be appointed annually by the Governor and who shall serve as ex officio, non-voting members.
b. In the selection of public members, a strong effort shall be made to appoint women and minorities to the commission. The commission members who are not members of the Senate or the General Assembly and who are not presidents from the State's public and private institutions of higher education shall have a right to vote on the various matters considered by the commission.
c. The terms of office of any member of the commission that served prior to the effective date of P.L.2018, c.91 shall expire on June 30, 2018.
##### **§ 52:9X-5** Terms; removal, suspension. {#sec-52-9x-5 omnilex-key=us-nj-statutes--title-52--52:9X-5}
5. a. The terms of the public members of the commission appointed by the Governor shall be for five years or until their successors are appointed, except that of the appointments first made to the commission under P.L.2018, c.91, two shall serve for three years or until their successors are appointed, three shall serve for four years or until their successors are appointed, and three shall serve for five years or until their successors are appointed. Any vacancy shall be filled in the same manner as the original appointment but only for the balance of the unexpired term. The commission members shall serve without compensation but shall be reimbursed for necessary expenses incurred in the performance of their duties, within the limits of funds appropriated or otherwise made available to the commission for its purposes.
b. Each member appointed by the Governor may be removed from office by the Governor, for cause, after a public hearing, and may be suspended by the Governor pending the completion of the hearing. Each member, before entering upon the member's duties, shall take and subscribe an oath to perform the duties of the office faithfully, impartially, and justly to the best of the member's ability. A record of these oaths shall be filed in the office of the Secretary of State.
##### **§ 52:9X-6** Chair. {#sec-52-9x-6 omnilex-key=us-nj-statutes--title-52--52:9X-6}
6. The Governor shall designate the chair of the commission from among the public members appointed by the Governor.
##### **§ 52:9X-7** Executive director. {#sec-52-9x-7 omnilex-key=us-nj-statutes--title-52--52:9X-7}
7. The commission shall appoint an executive director, who shall serve at the pleasure of the commission and who shall receive compensation as provided by law.
##### **§ 52:9X-8** Staff. {#sec-52-9x-8 omnilex-key=us-nj-statutes--title-52--52:9X-8}
8. The executive director shall be responsible for the selection of properly qualified staff members of the commission. Staff members shall have strong backgrounds in science, innovation, and technology as well as in economic development.
##### **§ 52:9X-9** Duties of commission. {#sec-52-9x-9 omnilex-key=us-nj-statutes--title-52--52:9X-9}
9. The commission shall:
a. Be responsible for the development and oversight of policies and programs in science, innovation, and technology for New Jersey;
b. Ensure that the programs in science, innovation, and technology are adequately funded to achieve their stated goals;
c. Stimulate academic-industrial collaboration through such mechanisms as advanced technology centers, innovation partnership grants, business incubation facilities, and technology extension services;
d. Plan and assist in the establishment of new advanced technology centers, business incubation facilities, and technology extension services and adopt rules and regulations regarding the operation of these activities;
e. Coordinate activities of the advanced technology centers, business incubation facilities, and technology extension services in conjunction with designated public and private institutions of higher education;
f. Recommend funding levels, determine eligible fields, and supervise the process of making awards for innovation partnership grants;
g. Continue to identify and to support research opportunities at New Jersey academic institutions and other institutions that can advance economic development and employment;
h. Encourage and coordinate activities to help entrepreneurs and inventors;
i. Appoint an Innovation Council from the membership of the commission, as the commission deems appropriate, which shall determine how to stimulate technology transfer between public and private institutions of higher education in this State and industry, including the transfer of information available from various federal agencies, and report, pursuant to subsection b. of section 10 of P.L.1985, c.102 (C.52:9X-10), on how this State can better achieve this effort;
j. Appoint a peer review committee, where warranted, for each of the fields of technology, drawn from the academic, scientific, and industrial communities to review all situations involving either competitive applications for agency support or judgments on complex scientific, innovation, or technological matters with the stipulation that neither reviewers nor their affiliated institutions shall be eligible as applicants;
k. Monitor changes in national and international economic conditions which might justify a recommendation of a reorientation of the State's science, innovation, and technology programs;
l. Identify and support future fields of science, innovation, and technology in New Jersey that offer potential for application or commercialization, or both, in New Jersey and help to find funding sources;
m. Adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to effectuate the provisions of P.L.1985, c.102 (C.52:9X-1 et seq.), consistent with the rules and regulations of the Secretary of Higher Education;
n. Adopt, amend, and repeal bylaws for the regulation of its affairs and the conduct of its business;
o. Adopt and have a seal and alter the same at its pleasure;
p. Have the authority to sue and be sued;
q. Have the authority to conduct meetings and public hearings in connection with the purposes of P.L.1985, c.102 (C.52:9X-1 et seq.);
r. Have the authority to enter into contracts, public and private, with a person upon those terms and conditions as the commission determines to be reasonable and to effectuate the purposes of P.L.1985, c.102 (C.52:9X-1 et seq.);
s. Employ consultants and specialists in science, innovation, and technology and any other employees as may be required in the judgment of the commission to effectuate the purposes of P.L.1985, c.102 (C.52:9X-1 et seq.), and to fix and pay their compensation from funds available therefor, all without regard to the provisions of Title 11A of the New Jersey Statutes;
t. Receive and disburse funds from non-State sources including but not limited to federal funds;
u. Have the authority to receive a percentage of royalty payments from any intangible property, as that term is defined in section 5 of P.L.2002, c.40 (C.54:10A-4.4), awarded to any science, innovation, and technology company that received assistance from the commission and which assistance led to the awarding of the intangible property, as appropriate, except that three-fourths of the amount of any royalty payments received by the commission shall be remitted to the State Treasurer for deposit in the General Fund pursuant to an agreement with the State Treasurer;
v. Have the authority to do any and all things necessary or convenient to carry out its purposes and exercise the powers granted in P.L.1985, c.102 (C.52:9X-1 et seq.); and
w. Collaborate with technology transfer professionals at public and private institutions of higher education to assist in transferring technology and research knowledge developed at public and private institutions of higher education to the private sector, with an emphasis on start-ups, for the purpose of further development and commercialization, which may include, but not be limited to, organizing events to showcase early-stage technologies and research.
##### **§ 52:9X-9.1** Short title {#sec-52-9x-9.1 omnilex-key=us-nj-statutes--title-52--52:9X-9.1}
1. This act shall be known and may be cited as the "New Jersey High Technology and Biotechnology Industry Promotion Act."
##### **§ 52:9X-9.2** Findings, declarations relative to biotechnology, high technology industries {#sec-52-9x-9.2 omnilex-key=us-nj-statutes--title-52--52:9X-9.2}
2. The Legislature finds and declares it to be the policy of this State that:
a. The New Jersey, Philadelphia and New York region contains the second largest concentration of biotechnology companies in the country; and
b. Nationwide, the biotechnology industry has grown from 100 companies in 1970 to over 1200 companies today, employing approximately 140,000 people across the country. Biotechnology industry sales are expected to reach $50 billion by the year 2000; and
c. The continued growth of New Jersey's biotechnology and other high technology industries is integral to the creation of high-skill jobs and the growth of the State's economy in the 1990's and on into the 21st century; and
d. The promotion of New Jersey's high technology industry, including its biotechnology industry, and the attraction to the State of biotechnology and other high technology companies is vital and necessary to the people of this State.
Therefore, it is necessary and important to the economy of this State that a program be established to promote biotechnology and other high technology industries in New Jersey and to attract biotechnology and other high technology companies to the State.
##### **§ 52:9X-9.3** Program to promote biotechnology and other industries, established. {#sec-52-9x-9.3 omnilex-key=us-nj-statutes--title-52--52:9X-9.3}
3. The New Jersey Commission on Science and Technology, in consultation with the Department of Commerce and Economic Development, shall establish a program to promote biotechnology and other high technology industries in the State and to attract biotechnology and other high technology companies to the State.
The program shall: include research and information on commercial opportunities in biotechnology and high technology; provide technical and financial assistance to biotechnology and high technology companies considering locating in New Jersey; regularly represent or assist in representing the interests of New Jersey based firms in the national and international markets for biotechnology and high technology through conferences and seminars; provide New Jersey based firms with customized technical, financial and other assistance; authorize receiving a percentage of royalty payments from any intangible property, as that term is defined in section 5 of P.L.2002, c.40 (C.54:10A-4.4), awarded to those biotechnology and high technology companies that received assistance from the commission and which assistance led to the awarding of the intangible property, as appropriate, except that three-fourths of the amount of any royalty payments received by the commission shall be remitted to the State Treasurer for deposit in the General Fund pursuant to an agreement with the State Treasurer; and recruit capital investment in New Jersey to be applied to the high technology and biotechnology industries.
##### **§ 52:9X-9.4** Consultation for program establishment {#sec-52-9x-9.4 omnilex-key=us-nj-statutes--title-52--52:9X-9.4}
4. In establishing the program required by this act, the New Jersey Commission on Science and Technology shall consult with the Biotechnology Council of New Jersey and other representatives of the biotechnology and high technology industries in this State.
##### **§ 52:9X-9.5** Ongoing analysis {#sec-52-9x-9.5 omnilex-key=us-nj-statutes--title-52--52:9X-9.5}
5. In order to effectuate the purposes of this act, the New Jersey Commission on Science and Technology shall analyze on an ongoing basis the state of the biotechnology and high technology sectors in New Jersey, including, but not limited to, their strengths and weaknesses, their opportunities and risks, their emerging products, processes, and market niches, the commercialization of their technologies, their capital availability, their education and training needs and their infrastructure development.
##### **§ 52:9X-10** Annual reports, Innovation Council report. {#sec-52-9x-10 omnilex-key=us-nj-statutes--title-52--52:9X-10}
10. a. The commission shall report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature on or before one year after the effective date of P.L.2018, c.91 and annually thereafter. Each report shall set forth a complete operating and financial statement covering the operations of the commission and all advanced technology centers within its jurisdiction. The financial records of the commission shall be audited annually by the State Auditor.
b. Within one year of the enactment of P.L.2018, c.91, and every third year thereafter, the Innovation Council, appointed pursuant to subsection i. of section 9 of P.L.1985, c.102 (C.52:9X-9), shall report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, on its recommendations on how this State can better achieve technology transfer efforts between public and private institutions of higher education and industry, including the transfer of information available from various federal agencies.
##### **§ 52:9X-10.1** "Innovation District Designation Program." {#sec-52-9x-10.1 omnilex-key=us-nj-statutes--title-52--52:9X-10.1}
1. a. The "Innovation District Designation Program" is established within the New Jersey Commission on Science, Innovation and Technology. The purpose of the program is to encourage the development of innovation districts within New Jersey. The purpose of an innovation district is to promote the development or redevelopment of an area in a manner that facilitates collaboration between government, higher education institutions, and private enterprise.
b. The commission, in consultation with the Department of Labor and Workforce Development, the Department of Community Affairs, and the New Jersey Economic Development Authority, shall establish criteria for the designation of innovation districts. Criteria for innovation district designation shall include:
(1) the presence of a higher education institution;
(2) accessibility to mass transportation facilities and services; and
(3) zoning or a redevelopment plan that permits mixed-use development.
c. The commission shall establish an application form and procedure for municipalities to apply for designation of an area as an innovation district. An application shall:
(1) identify the boundaries of the proposed innovation district;
(2) identify one or more higher education institutions located, or committed to relocate, in whole or in part, within the proposed innovation district;
(3) identify existing and proposed mass transportation facilities and services located within or nearby the proposed innovation district;
(4) include an inventory of existing and proposed businesses, recreational facilities, public parks, and gathering spaces located within the proposed innovation district;
(5) include information concerning the walkability of the proposed innovation district;
(6) include a plan for the development or redevelopment of the proposed innovation district, which may include, but shall not be limited to, plans for:
(a) attracting businesses to locate within the district;
(b) the development of business incubation facilities or public meeting spaces;
(c) programming, events, and community building;
(d) marketing and outreach;
(e) improvements to public spaces;
(f) the development or redevelopment of housing; and
(g) the improvement of technology infrastructure, including, but not limited to, broadband improvements; and
(7) include any other information required by the commission.
d. The commission and the Department of Community Affairs shall publicize the Innovation District Designation Program, and provide links to the application form and procedure, on the Internet websites of the commission and the department.
e. A municipality may apply to the commission for designation of all or part of the municipality as an innovation district. Two or more municipalities may jointly apply for designation of an area as an innovation district. An application shall not be submitted unless authorized by adoption of a resolution of the governing body of the municipality, or, in the event of a joint application, the adoption of parallel resolutions by the governing bodies of the municipalities.
f. Within 60 calendar days of its receipt of a complete application for designation of an area as an innovation district, the commission shall approve, conditionally approve, or deny the application.
g. In consultation with the Department of Community Affairs and the New Jersey Economic Development Authority, the commission shall adopt guidance and standards for municipalities to promote innovation districts as places for businesses to locate. A municipality may advertise or otherwise use innovation district designation in accordance with the adopted guidance or standards.
##### **§ 52:9X-11** Short title. {#sec-52-9x-11 omnilex-key=us-nj-statutes--title-52--52:9X-11}
1. This act shall be known and may be cited as the "SMART Research and Development Compact Act."
##### **§ 52:9X-12** SMART Research and Development Compact ratified. {#sec-52-9x-12 omnilex-key=us-nj-statutes--title-52--52:9X-12}
2. The State of New Jersey hereby ratifies the SMART Research and Development Compact with any other state legally joining therein, which compact is substantially as follows:
ARTICLE I
a. The shared borders, similar economic, environmental, and socioeconomic traits as well as the common historical attributes between the residents of Delaware, Maryland, New Jersey, and Pennsylvania, bind the four states into a common Mid-Atlantic region.
b. This region presents a rich framework of approximately 618 colleges and universities, including approximately 38 leading engineering colleges with a variety of technical expertise and ingenious research and development programs within every field of science and technology.
c. This region contains a variety of federally owned and generated laboratories or organizations assigned with the task of performing needed research and development in most of our Nation's technical areas, highlighted by defense, transportation, health, energy, and communications.
d. This region possesses a great wealth of private manufacturers, laboratories, and nonprofit organizations in each of the scientific and technological pursuits, such as homeland security, defense, aerospace, manufacturing, information systems, materials, chemicals, medical applications, and pharmaceuticals.
e. Increased cooperation between the above-mentioned institutions and the four Mid-Atlantic State governments may effectively enhance the region's contribution to the United States in all fields of science and technology and promote academic, private and public research and development, technical enterprise, and intellectual vitality.
f. A multi-state organization assigned with the task of linking various institutions across different jurisdictions and promoting working partnerships may further assist the United States by providing a model for the rest of the nation for the effective use of limited national, State, and local funding resources.
ARTICLE II
There is created the SMART (Strengthening the Mid-Atlantic Region for Tomorrow) Research and Development Compact (hereinafter referred to as "the compact"). The purpose of the compact is to promote the contribution of the Mid-Atlantic region to the nation's research and development in science and technology, and to create a multi-state organization, the purpose of which is to oversee and help facilitate the acquisition of research and development funding, and to enhance the cooperation, formation of partnerships, and sharing of information among businesses, academic institutions, federal and state governmental agencies, laboratories, federally owned and operated laboratories, and nonprofit entities, within the Mid-Atlantic region comprised of the states of Delaware, Maryland, New Jersey, and Pennsylvania.
ARTICLE III
a. The states eligible to become parties to the compact shall be the four states of Delaware, Maryland, New Jersey and Pennsylvania.
b. Each state eligible to become a party state to the compact shall be declared a "party state" upon enactment of the compact into law by the state.
ARTICLE IV
a. The party states agree to establish a multi-state organization as a joint organization to be known as the SMART Organization (hereinafter referred to as "the organization").
b. The organization shall be headed by a Board of Directors that shall consist of a representative from each party state, appointed as provided by the law of that state, and representatives from the party states for each technology class described in ARTICLE V of the compact. The Board of Directors may also include representatives of any business, academic institution, nonprofit agency, federal or state governmental agency, laboratory, and federally owned and operated laboratory within the party states.
c. The Board of Directors shall oversee and direct the projects, administration, and policies of the organization and may create and utilize the services of technology-designated working groups to identify goals and sources of funding, establish research and development projects, detect new technology advances for the Mid-Atlantic region to pursue, and facilitate cooperation among regional entities. The Board of Directors and working groups in the organization shall serve without compensation and shall hold regular quarterly meetings and such special meetings as their business may require.
d. The organization shall adopt bylaws and any other such rules or procedures as may be needed. The organization may hold hearings and conduct studies and surveys to carry out its purpose. The organization may acquire by gift or otherwise and hold and dispose of such money and property as may be provided for the proper performance of its functions, may cooperate with other public or private groups, whether local, state, regional, or national, having an interest in economic or technology development, and may exercise such other powers as may be appropriate to accomplish its functions and duties in connection with the development of the organization and to carry out the purpose of the compact.
ARTICLE V
Not including state representatives, the Board of Directors of the organization and technology working groups may represent and originate from the following technology classes: information technology, sensors, rotorcraft technology, manufacturing technology, fire and emergency medical services, financial technology, alternative fuels, nanotechnology, electronics, environmental, telecommunications, chemical and biological, biomedical, opto-electric, materials and aerospace, and defense systems including directed energy, missile defense, future combat systems, and unmanned aerial vehicles. The organization may at any time, upon approval by the Board of Directors, designate and assign new technology classes and may at any time remove an existing technology class from this list and the organization's activities.
ARTICLE VI
The Board of Directors shall appoint a full-time paid executive director, who shall be a person familiar with the nature of the procedures and the significance of scientific funding, research and development, economic development, and the informational, educational, and publicity methods of stimulating general interest in such developments. The duties of the executive director are to carry out the goals and directives of the Board of Directors and administer the actions of each working group as chairman. The executive director may hire a staff and shall be the administrative head of the organization, whose term of office shall be at the pleasure of the Board of Directors.
ARTICLE VII
The State of New Jersey recognizes that the compact shall continue in force and remain binding upon each party state until such time as the party state takes action to withdraw therefrom. Such action shall not be effective until six months after notice thereof has been sent by a party state desiring to withdraw to all the other party states.
ARTICLE VIII
The State of New Jersey recognizes the express right of the Congress to alter, amend or repeal the federal act granting consent of the Congress to the SMART Research and Development Compact.
ARTICLE IX
The compact shall become operative in a party state upon enactment by that state. The compact shall become initially effective in the Mid-Atlantic region upon enactment of the compact into law by two or more party states and consent has been given to it by Congress.
##### **§ 52:9X-13** Transmission of authenticated copies of act. {#sec-52-9x-13 omnilex-key=us-nj-statutes--title-52--52:9X-13}
3. Duly authenticated copies of this act shall, upon its approval, be transmitted to the Governor of each of the states of Delaware, Maryland and Pennsylvania, to the President of the Senate of the United States, to the Speaker of the House of Representatives and to the Secretary of State of the United States.
## **Chapter 9YY**
##### **§ 52:9YY-1** Short title. {#sec-52-9yy-1 omnilex-key=us-nj-statutes--title-52--52:9YY-1}
1. This act shall be known and may be cited as the "Health Data Act."
##### **§ 52:9YY-2** Findings, declarations relative to availability of health data. {#sec-52-9yy-2 omnilex-key=us-nj-statutes--title-52--52:9YY-2}
2. The Legislature finds and declares that:
a. It is the intention of the Legislature to establish a single point of contact for members of the public to obtain health data;
b. The purpose of this initiative is to compile health care access, quality and cost data produced within the State from public and private entities and maximize the usefulness of the data for the public without duplicating existing data collection efforts by State agencies; and
c. It is anticipated that the expense to the State of compiling and disseminating the available and useful health data for the benefit of the public will be minimal and will be partially offset by subscriptions to routinely published documents of the Department of Health and Senior Services, the purchase of special reports of the Department of Health and Senior Services, and the receipt of grants to provide health data information to the public.
##### **§ 52:9YY-3** Definitions relative to availability of health data. {#sec-52-9yy-3 omnilex-key=us-nj-statutes--title-52--52:9YY-3}
3. As used in this act:
"Department" means the Department of Health and Senior Services.
"Disclosure" means the disclosure of health data to a person or entity outside the department.
"Health data" means any information, except vital statistics as defined in R.S.26:8-1, relating to the health status of people, the availability of health care resources and services, or the use and cost of these resources and services. Health data shall not include information that is created or received by members of the clergy or others who use spiritual means alone for healing.
"Identifiable health data" means any item, collection or grouping of health data which makes the person supplying it or described in it identifiable.
"Research and statistical purposes" means the performance of certain activities relating to health data, including, but not limited to: describing the group characteristics of persons or entities; analyzing the interrelationships among various characteristics of persons or entities; the conduct of statistical procedures or studies to improve the quality of health data; the design of sample surveys and the selection of samples of persons or entities; the preparation and publication of reports describing these activities; and other related functions; but excluding the use of health data for a person or entity to make a determination directly affecting the rights, benefits or entitlements of that person or entity.
##### **§ 52:9YY-5** Duties of the department. {#sec-52-9yy-5 omnilex-key=us-nj-statutes--title-52--52:9YY-5}
5. a. The department may:
(1) collect and maintain health data from State government agencies or other entities on:
(a) the extent, nature and impact of illness and disability on the population of the State;
(b) the determinants of health and health hazards;
(c) health resources, including the extent of available personnel and resources;
(d) utilization of health care;
(e) health care costs and financing; and
(f) other health-related matters;
(2) undertake and support research, demonstrations and evaluations concerning new or improved methods for obtaining current data with respect to any of the health data described in paragraph (1) of this subsection; and
(3) promote standards for health data that will facilitate the comparison of information and ease the burden of data preparation and reporting.
b. The department may collect health data on behalf of other entities.
c. The department shall collect health data only on a voluntary basis from persons and entities, except to the extent that specific statutory authority exists to compel the reporting of such data. When requesting health data from a person or entity, the agency shall notify the person or entity in writing as to the following:
(1) whether the person or entity is required to supply the health data and any sanctions which may be imposed for noncompliance;
(2) the purposes for which the health data is being collected; and
(3) if the department intends to disclose identifiable health data for other than research and statistical purposes, the information to be disclosed, to whom it is to be disclosed, and for what purposes.
d. No health data obtained by the department under this section may be used for any purpose other than the purpose for which they were supplied or for which the person or entity described in the data has otherwise consented.
e. The department shall:
(1) take such actions as may be necessary to assure that the health data which it obtains and maintains are accurate, timely and comprehensive, as well as specific, standardized and adequately analyzed and indexed; and
(2) publish, disseminate and otherwise make available these data on as wide a basis as practicable.
f. The department shall take such actions as are appropriate to effect the collection and compilation of health data produced within the State and to maximize the usefulness of the data collected.
g. The department shall:
(1) participate with federal, State and local government agencies in the design and implementation of a cooperative system of producing comparable and uniform health data at the federal, State and local levels;
(2) undertake and support research, development, demonstrations and evaluations concerning such a cooperative system; and
(3) assume its fair share of the data costs associated with implementing and maintaining such a system.
##### **§ 52:9YY-6** Disclosure of health data, conditions. {#sec-52-9yy-6 omnilex-key=us-nj-statutes--title-52--52:9YY-6}
6. a. The department shall make no disclosure of any health data which identifies a person's health status or utilization of health care unless the person described in the data has consented to the disclosure.
b. A person or entity to whom the department has disclosed health data shall make no disclosure of any health data which identifies a person's health status or utilization of health care unless the person described in the data has consented to the disclosure.
c. No identifiable health data obtained by the department shall be subject to subpoena or similar compulsory process in a civil or criminal, judicial, administrative or legislative proceeding, nor shall a person or entity with lawful access to identifiable health data pursuant to this act be compelled to testify with regard to that data; except that data pertaining to a party in litigation may be subject to subpoena or similar compulsory process in an action brought by or on behalf of that party to enforce a liability arising under this act.
##### **§ 52:9YY-7** Security of health data. {#sec-52-9yy-7 omnilex-key=us-nj-statutes--title-52--52:9YY-7}
7. The department shall take appropriate measures to protect the security of health data which it obtains, including:
a. limiting access to the data to authorized persons;
b. designating a person to be responsible for the physical security of the data;
c. developing and implementing a system for monitoring the security of the data;
d. periodically reviewing all health data to evaluate whether it is appropriate to remove identifying characteristics from the data; and
e. developing a program for the routine scheduled destruction of all forms, records or electronic files maintained by the department which contain identifiable health data.
##### **§ 52:9YY-8** Additional powers of department. {#sec-52-9yy-8 omnilex-key=us-nj-statutes--title-52--52:9YY-8}
8. To effectuate the purposes of P.L.2001, c.192 (C.52:9YY-1 et seq.), and in addition to any other powers authorized by law, the department shall have the authority, in accordance with State law, to:
a. make and enter into contracts to purchase services and supplies and to hire consultants;
b. develop and submit a proposed budget;
c. accept gifts and charitable contributions;
d. apply for, receive and expend grants;
e. adopt regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of this act;
f. establish charges for and collect payment from persons and entities for the provision of services, including the dissemination of health data;
g. receive and expend appropriations;
h. enter into a reimbursable work program with other State government agencies or private entities under which funds are transferred from the other agencies or entities to the department for the performance of activities pursuant to this act; and
i. provide such other services and perform such other functions as the department deems necessary to fulfill its responsibilities under this act.
##### **§ 52:9YY-9** Penalties for unauthorized disclosures; liability of department. {#sec-52-9yy-9 omnilex-key=us-nj-statutes--title-52--52:9YY-9}
9. a. A person or entity whom the department determines has violated the provisions of section 6 of P.L.2001, c.192 (C.52:9YY-6), regarding the disclosure of health data shall be subject, in addition to any other penalties that may be prescribed by law, to: a civil penalty of not more than $10,000 for each such violation, but not to exceed $50,000 in the aggregate for multiple violations; or a civil penalty of not more than $250,000, if the department finds that these violations have occurred with such frequency as to constitute a general business practice.
The penalty shall be sued for and collected in the name of the department in a summary proceeding in accordance with the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
b. The department or an entity acting on its behalf shall be liable to a person or entity injured by the intentional or negligent violation of the provisions of section 6 of P.L.2001, c.192 (C.52:9YY-6), in an amount equal to the damages sustained by the person or entity, together with the cost of the action and reasonable attorney's fees, as determined by the court.
## **Chapter 9Z**
##### **§ 52:9Z-1** Martin Luther King, Jr. Commission established {#sec-52-9z-1 omnilex-key=us-nj-statutes--title-52--52:9Z-1}
There is established in the Department of State the Martin Luther King, Jr. Commission. The commission shall consist of 45 members:
a. a representative of the Martin Luther King, Jr. Center for Nonviolent Social Change to be appointed by the Governor and to serve at the pleasure of the Governor;
b. a representative of the Governor's office to be appointed by the Governor and to serve at the pleasure of the Governor;
c. four members of the Senate to be appointed by the President thereof, no more than two of whom shall be from the same political party;
d. four members of the General Assembly to be appointed by the Speaker thereof, no more than two of whom shall be from the same political party; and
e. 35 public members to be appointed by the Governor. The public members shall be residents of the State and shall represent the various geographical areas of the State; shall represent various civic, social, religious, educational, business and artistic organizations; and shall be committed to resolving conflict and to upholding the humanitarian philosophy of Dr. King.
##### **§ 52:9Z-2** Appointment of co-chairpersons {#sec-52-9z-2 omnilex-key=us-nj-statutes--title-52--52:9Z-2}
The Governor shall select two public members to serve as co-chairpersons.
##### **§ 52:9Z-3** Members; terms, filling of vacancies, reimbursement {#sec-52-9z-3 omnilex-key=us-nj-statutes--title-52--52:9Z-3}
Legislative members shall serve during the two-year legislative term in which the appointment is made. Public members shall serve for a term of two years and until their respective successors are appointed and qualified. Vacancies in the membership shall be filled for the balance of the unexpired terms in the same manner as the original appointments were made. Members of the commission shall serve without compensation but shall be reimbursed for expenses actually incurred in the performance of their duties.
##### **§ 52:9Z-4** Duties of the commission {#sec-52-9z-4 omnilex-key=us-nj-statutes--title-52--52:9Z-4}
The commission shall:
a. develop, coordinate, and advise the Governor and Legislature of Statewide activities in honor of Martin Luther King, Jr.'s birthday;
b. establish programs designed to educate the citizens of New Jersey about Martin Luther King, Jr. and the civil rights movement;
c. meet with other groups and organizations in order to coordinate events and seek volunteers who are willing to donate their talents; and
d. receive donations, through fund-raising activities and contributions, from individuals and public and private organizations in order to carry out its responsibilities and to address the needs of Dr. King's living memorial, the Martin Luther King, Jr. Center for Nonviolent Social Change.
##### **§ 52:9Z-5** Rights of the commission {#sec-52-9z-5 omnilex-key=us-nj-statutes--title-52--52:9Z-5}
The commission is entitled to call to its assistance and avail itself of the services of the employees of any State, county or municipal department, board, bureau, commission or agency which it may require and which may be available to it for these purposes and to employ stenographic and clerical assistants and incur traveling and other miscellaneous expenses necessary to perform its duties, within the limits of funds appropriated or otherwise made available to it for these purposes.
## **Chapter 9ZZ**
##### **§ 52:9ZZ-1** New Jersey Commission on Higher Education and Business Partnerships. {#sec-52-9zz-1 omnilex-key=us-nj-statutes--title-52--52:9ZZ-1}
1. The New Jersey Commission on Higher Education and Business Partnerships is created and established in the Executive Branch of the State Government. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the commission is allocated within the Department of State, but notwithstanding this allocation, the commission shall be independent of any supervision or control by the department or by any board or officer thereof.
##### **§ 52:9ZZ-2** Membership of the commission. {#sec-52-9zz-2 omnilex-key=us-nj-statutes--title-52--52:9ZZ-2}
2. The commission shall consist of 19 members as follows:
a. the Commissioner of the Department of Labor and Workforce Development, or a designee, who shall serve ex officio;
b. the Secretary of Higher Education, or a designee, who shall serve ex officio;
c. the Chief Executive Officer of the New Jersey Economic Development Authority, or a designee, who shall serve ex officio;
d. twelve members appointed by the Governor who shall include: the president of a public research university, a representative of a public college or university located in the State and a representative of an independent college or university located in the State that are actively engaged in business partnerships, a representative of the New Jersey Chamber of Commerce, a representative of the New Jersey Business and Industry Association, a representative of the Commerce and Industry Association of New Jersey, a representative of the New Jersey Technology Council, a representative of BioNJ, a representative of the HealthCare Institute of New Jersey, a representative of the New Jersey Association of State Colleges and Universities, a representative of the New Jersey Council of County Colleges, and a representative of the New Jersey Association of Independent Colleges and Universities;
e. four members of the public with backgrounds in higher education, public-private partnerships, private sector innovation, or a combination of those experiences. The President of the Senate, Speaker of the General Assembly, Minority Leader of the Senate, and the Minority Leader of the General Assembly shall each appoint one of these members.
##### **§ 52:9ZZ-3** Terms; vacancies; designation of chairperson. {#sec-52-9zz-3 omnilex-key=us-nj-statutes--title-52--52:9ZZ-3}
3. a. The terms of the appointed members of the commission shall be for five years, except that of the appointments first made to the commission, six shall serve for terms of three years, five shall serve for terms of four years, and five shall serve for terms of five years. Each appointed member shall serve for the term of the appointment and until his successor is appointed. A member appointed to fill a vacancy occurring in the membership of the commission for any reason other than the expiration of the term shall have a term of appointment for the unexpired term only. Any vacancy shall be filled in the same manner as the original appointment. The commission members shall serve without compensation but shall be reimbursed for necessary expenses incurred in the performance of their duties.
b. The Governor shall designate the chairperson of the commission from among his appointed members.
##### **§ 52:9ZZ-4** Duties of the commission. {#sec-52-9zz-4 omnilex-key=us-nj-statutes--title-52--52:9ZZ-4}
4. The commission shall:
a. Explore how to best foster innovation in the State through public-private partnerships in higher education;
b. Stimulate academic-industrial collaboration through such mechanisms as business incubation facilities and clinical research and clinical trials;
c. Identify and support research opportunities at New Jersey academic institutions and other institutions that can advance economic development and employment;
d. Facilitate collaborations between businesses and institutions of higher education, with a greater emphasis on research and development in the pharmaceutical, biosciences, biotechnology, medical technology, information technology, and telecommunications industries;
e. Identify and support opportunities for partnerships between institutions of higher education and pharmaceutical, biosciences, and biotechnology companies that can accelerate the commercialization of new therapies, drugs, and technologies;
f. Identify strategies to significantly increase the number of clinical trials conducted by public and independent institutions of higher education in the State;
g. Identify the workforce and economic development needs of the State and strategies for meeting those needs;
h. Study the current roles of the four-year public and independent institutions of higher education, the county colleges, and the county vocational school districts in meeting and advancing the workforce and economic development needs of the State, and make recommendations on improving the role of each of these sectors in advancing these needs; and
i. Provide the Governor, and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), with a report by January 30 of each year describing the status of the commission's activities and the efforts of the ombudsman pursuant to section 6 of this act.
##### **§ 52:9ZZ-5** Authority of the commission. {#sec-52-9zz-5 omnilex-key=us-nj-statutes--title-52--52:9ZZ-5}
5. The commission is authorized to:
a. Adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), concerning the operation of the commission, the functions and responsibilities of its officers and employees, and other matters as may be necessary to carry out the purposes of this act;
b. Maintain offices at such places within the State as it may designate;
c. Employ, subject to the availability of funds, an executive director and other personnel as may be necessary, whose employment shall be in the unclassified service of the Civil Service, except that employees performing stenographic or clerical duties shall be in the career service and appointed pursuant to Title 11A of the New Jersey Statutes;
d. Conduct meetings and public hearings in connection with the purposes of this act;
e. Enter into contracts with individuals, organizations, and institutions necessary or incidental to the performance of its duties and the execution of its powers under this act; and
f. Take any and all necessary or convenient actions to carry out its purposes and exercise the powers granted in this act.
##### **§ 52:9ZZ-6** Higher Education-Business Partnership Ombudsman. {#sec-52-9zz-6 omnilex-key=us-nj-statutes--title-52--52:9ZZ-6}
6. In addition to any other duties and responsibilities that the commission may assign to the executive director, the executive director shall serve as the Higher Education-Business Partnership Ombudsman. A business that seeks to form a partnership with an institution of higher education may collaborate and work with the ombudsman in the establishment of that partnership. The ombudsman shall:
a. Assist business and industry in making the appropriate contacts at the institutions of higher education that may be necessary to foster a partnership;
b. Make available to business and industry information on research efforts, either planned or in progress, at institutions of higher education that may be applicable to the work of that business or industry and may foster its interest in establishing a collaboration or partnership with the institution;
c. Collaborate with institutions of higher education in the establishment of strategies that an institution might implement to inform business and industry of the expertise and achievements of the institution's faculty and research staff applicable to the business or industry's area of interest;
d. Conduct annual outreach efforts to pharmaceutical companies to assess the interest of those companies in establishing clinical trials at institutions of higher education in the State;
e. Determine the specific reasons for any lack of interest in conducting clinical trials at institutions of higher education and then work with the institutions to implement actions that address the concerns and issues raised; and
f. Annually assess the success of institutions of higher education in meeting the research and development needs of business and industry.
## **Chapter 10A**
##### **§ 52:10A-1** Salaries of legislators. {#sec-52-10a-1 omnilex-key=us-nj-statutes--title-52--52:10A-1}
1. a. Members of the Senate and General Assembly shall receive annually, during the term for which they shall have been elected and while they shall hold their office, compensation in the sum of $49,000 beginning with the 2002 legislative year and thereafter and $82,000 beginning with the 2026 legislative year and thereafter.
The President of the Senate and the Speaker of the General Assembly, each by virtue of his office, shall receive an additional allowance, equal to 1/3 of his compensation as a member. The compensation herein provided shall be paid to each member upon his qualifying into office as such member, and the additional allowance herein provided to the President of the Senate and the Speaker of the General Assembly shall be paid upon his qualifying into office as such officer.
b. Each member of the Senate and General Assembly shall be provided with an allowance of $150,000 during each annual legislative session for member staff services. There shall be appropriated annually to the Legislature, from the general revenues of the State, the amount necessary to provide such an allowance to each member.
##### **§ 52:10A-2** Person elected to fill vacancy {#sec-52-10a-2 omnilex-key=us-nj-statutes--title-52--52:10A-2}
Any person elected at the general election in any year to fill a vacancy in the membership of the Senate or General Assembly occurring for any cause other than expiration of term, shall, upon qualifying into office, receive for the remainder of the legislative year that proportion of the annual compensation payable to members of the Legislature as the number of days remaining in the legislative year following his qualification bears to the total number of days in the legislative year.
## **Chapter 11**
##### **§ 52:11-1** President of senate to exercise powers of vice president of council {#sec-52-11-1 omnilex-key=us-nj-statutes--title-52--52:11-1}
The powers, privileges, duties and remunerations granted to or imposed by law upon the vice president of the council at and immediately prior to the time of the taking effect of the present constitution, shall be exercised, enjoyed and performed by the president of the senate, in so far as they are not inconsistent with the present constitution.
##### **§ 52:11-2** Officers and employees of senate and their compensation {#sec-52-11-2 omnilex-key=us-nj-statutes--title-52--52:11-2}
The officers and employees of the senate, other than the presiding officer, shall be those named herein, and no others, who shall severally receive the annual compensation specified herein, which compensation shall be in full payment of all their services, subject to the deductions provided by section 52:11-4 of this title:
Secretary of the senate, twenty-five hundred dollars.
Assistant secretary of the senate, twelve hundred dollars.
President's secretary, one thousand dollars.
Chaplain, three hundred dollars.
Supervisor of bills, twelve hundred dollars.
Assistant supervisor of bills, six hundred dollars.
Second assistant supervisor of bills, five hundred dollars.
Journal clerk, one thousand dollars.
Assistant journal clerk, five hundred dollars.
Second assistant journal clerk, four hundred dollars.
Calendar clerk, five hundred dollars.
Bill clerk, five hundred dollars.
Assistant bill clerk, five hundred dollars.
Sergeant at arms, seven hundred dollars.
Assistant sergeant at arms, five hundred dollars.
Clerk to committee on printed bills, five hundred dollars.
Clerk to committee on appropriations, five hundred dollars.
Clerk to committee on stationery and incidentals, two hundred dollars.
Secretary to committee on appropriations, five hundred dollars.
Four clerks to committees, to be assigned to duty by the secretary of the senate, three hundred and fifty dollars each.
Four stenographers, five hundred dollars each.
Five doorkeepers, three hundred and fifty dollars each.
Three gallery keepers, three hundred and fifty dollars each.
Four file clerks, three hundred and fifty dollars each.
Six pages, two hundred dollars each.
##### **§ 52:11-2.1** Sergeant-at-arms; tenure {#sec-52-11-2.1 omnilex-key=us-nj-statutes--title-52--52:11-2.1}
Any person holding or who shall hold the office, position or employment of sergeant-at-arms of the Senate of this State and who has served or shall have served for 20 years or more either consecutively or in the aggregate, shall continue to hold such office, position or employment during good behavior and shall not be removed therefrom, except for good cause shown after a fair and impartial hearing.
##### **§ 52:11-2.2** Journal clerk; tenure {#sec-52-11-2.2 omnilex-key=us-nj-statutes--title-52--52:11-2.2}
Any person holding or who shall hold the office, position or employment of journal clerk to the Senate of this State and who has served or shall have served for 20 consecutive years or more, shall continue to hold such office, position or employment during good behavior and efficiency and shall not be removed therefrom, except for good cause shown after a fair and impartial hearing.
##### **§ 52:11-3** Officers and employees of house of assembly and their compensation {#sec-52-11-3 omnilex-key=us-nj-statutes--title-52--52:11-3}
The officers and employees of the house of assembly, except the presiding officer, shall be those named herein, and no others, who shall severally receive the annual compensation specified herein, which compensation shall be in full payment of all their services, subject to the deductions provided by section 52:11-4 of this title:
Clerk of the house, twenty-five hundred dollars.
Assistant clerk, twelve hundred dollars.
Calendar clerk, five hundred dollars.
Speaker's secretary, one thousand dollars.
Speaker's assistant secretary, five hundred dollars.
Journal clerk, one thousand dollars.
Two assistant journal clerks, five hundred dollars each.
Supervisor of bills, thirteen hundred dollars.
Three assistant supervisors of bills, six hundred dollars each.
Sergeant at arms, seven hundred dollars.
Two assistant sergeants at arms, five hundred dollars each.
Bill clerk and one assistant bill clerk, five hundred dollars each.
Clerk to committee on printed bills, five hundred dollars.
Twelve clerks to committees, to be assigned to duty by the clerk of the house, three hundred and fifty dollars each.
Three stenographers, five hundred dollars each.
Clerk to majority leader and clerk to minority leader, five hundred dollars each.
Twelve doorkeepers, three hundred and fifty dollars each.
Fifteen file clerks, three hundred dollars each.
Ten pages, two hundred dollars each.
##### **§ 52:11-4** Record of attendance; deduction from compensation for absences {#sec-52-11-4 omnilex-key=us-nj-statutes--title-52--52:11-4}
The sergeant at arms of each house of the legislature shall keep a record of the attendance at each session of either house of all of its officers and employees whose compensation is fixed by sections 52:11-2 and 52:11-3 of this title, except:
a. The secretary of the senate, the assistant secretary of the senate, the secretary to the president of the senate and the chaplain of the senate;
b. The clerk and the assistant clerk of the house, and the secretary and the assistant secretary to the speaker of the house;
c. The journal clerks, the supervisors of bills and the sergeants at arms of the senate and the house; and
d. The secretaries and clerks of the committees of the senate and the house.
Any officer or employee whose record of attendance is required to be kept as herein provided shall, for each day that he may be absent during any portion of a session, be marked absent on the record, unless his absence is excused by the presiding officer of the respective houses or such person as the presiding officers may designate for that purpose.
The total compensation of each officer or employee whose record of attendance is required to be kept as herein provided shall be reduced in the proportion that the number of days of unexcused absence, as shown by the record, bears to the number of days that the house of which he is an officer or employee has been in regular session.
##### **§ 52:11-5** One-half compensation payable in advance of session; balance at close of session {#sec-52-11-5 omnilex-key=us-nj-statutes--title-52--52:11-5}
The officers and employees of the senate and house of assembly, whose compensation is fixed by sections 52:11-2 and 52:11-3 of this title, may draw from the treasury, at the opening of the regular annual session of the legislature, a sum not to exceed one-half of their fixed compensation, and the balance thereof, less any deductions that may have been charged against them, shall be paid within ten days after the final adjournment of the regular session.
##### **§ 52:11-5a** Findings, declarations relative to plaques honoring Senator Hutchins F. Inge and Assemblyman Walter Gilbert Alexander. {#sec-52-11-5a omnilex-key=us-nj-statutes--title-52--52:11-5a}
1. The Legislature finds and declares that:
a. In 1966, Dr. Hutchins F. Inge of Newark became the first African-American to serve in the New Jersey State Senate and in 1921, Dr. Walter Gilbert Alexander of Orange became the first African-American to serve in the New Jersey General Assembly;
b. At the time Senator Inge took office, he had already established himself as a distinguished citizen of our State, having graduated from both the University of Minnesota College of Pharmacy and Howard University School of Medicine and serving on the staff of Presbyterian Hospital;
c. Senator Inge had also served his community with distinction, as a director of the Essex Urban League and the New Jersey Association for Retarded Children, and as a staff physician for the Newark Board of Health's Division of Child Hygiene;
d. During Senator Inge's tenure in the Senate, he served as the chairman of the Senate Federal and Interstate Relations Committee, and was a supporter of measures to aid education, transportation, and housing;
e. Walter Gilbert Alexander was born in Lynchburg, Virginia on December 3, 1880, and was the son of former slaves;
f. At the age of fourteen, he entered Lincoln University as the youngest student in his class and the youngest student that had ever matriculated at that university;
g. Walter Gilbert Alexander graduated from Lincoln University magna cum laude in 1899, having won the Bradley Medal in natural science and being honored as the Latin Salutatorian of his class;
h. After graduation, he entered the Boston College of Physicians and Surgeons, and graduated in June 1903 after winning first prize for his thesis;
i. A distinguished physician, he served as General Secretary and later President of the National Medical Association;
j. During Assemblyman Alexander's tenure in the Assembly, he served on committees concerning epileptics and public health, and sponsored legislation addressing civil rights and health care;
k. In March 1921, Assemblyman Alexander was honored by his fellow lawmakers who asked him to preside over the Assembly for thirty minutes, while a laudatory resolution commending him on his legislative service was read;
l. It is fitting and proper that this State honor Senator Hutchins F. Inge and Assemblyman Walter Gilbert Alexander by placing plaques in the State House to commemorate their tenure as members of the New Jersey Legislature.
##### **§ 52:11-5b** Display of plaques. {#sec-52-11-5b omnilex-key=us-nj-statutes--title-52--52:11-5b}
2. Plaques to honor Senator Hutchins F. Inge, New Jersey's first African-American State Senator, and Assemblyman Walter Gilbert Alexander, New Jersey's first African-American Assemblyman, shall be displayed in the State House at Trenton.
##### **§ 52:11-5.1** Legislator's district office, prohibition against employment of relatives. {#sec-52-11-5.1 omnilex-key=us-nj-statutes--title-52--52:11-5.1}
1. No member of the Legislature shall gainfully employ his or her relative in any position in the legislative office that the member maintains in his or her legislative district.
If members of the Legislature jointly maintain a legislative district office, no relative of the members who maintain that joint office shall be gainfully employed in any position in that office.
As used in this section, "relative" means the member's spouse or the member's or spouse's parent, child, brother, sister, aunt, uncle, niece, nephew, grandparent, grandchild, father-in-law, mother-in-law, son-in-law, daughter-in-law, stepparent, stepchild, stepbrother, stepsister, half brother or half sister, whether the individual is related to the member or the member's spouse by blood, marriage or adoption.
##### **§ 52:11-5.2** Legislators, enrollment in health care benefits, election, limitations. {#sec-52-11-5.2 omnilex-key=us-nj-statutes--title-52--52:11-5.2}
1. Notwithstanding the provisions of any other law to the contrary, a member of the Legislature who elects health benefits coverage based on service in the Legislature shall not enroll as the primary insured for health benefits for which the member is eligible through any other public entity, and shall not accept any amount of money in consideration for filing a waiver of coverage.
##### **§ 52:11-5.3** Annual salary for certain executive directors. {#sec-52-11-5.3 omnilex-key=us-nj-statutes--title-52--52:11-5.3}
3. a. The annual salary of the executive director of each full time legislative staff operating under the direction of the Senate President, the Speaker of the General Assembly, and the Minority Leaders of each House of the Legislature shall be fixed and established by the President of the Senate and by the Speaker of the General Assembly, as appropriate, for each director in any amount that the President or Speaker determines to be appropriate for that director, but shall not exceed $210,000 in calendar year 2024 and thereafter.
b. The annual salary of the executive director of the Office of Legislative Services operating under the direction of the Legislative Services Commission shall be fixed and established to be consistent with the annual salary of the executive directors of the full time legislative staff operating under the direction of the Senate President, the Speaker of the General Assembly, and the Minority Leaders of each House of the Legislature, but shall not exceed $210,000 in calendar year 2024 and thereafter.
##### **§ 52:11-20.4** Repeals {#sec-52-11-20.4 omnilex-key=us-nj-statutes--title-52--52:11-20.4}
13. The following acts or parts thereof are repealed:
(a) Chapter 171, P.L.1950;
(b) Chapter 11, P.L.1952;
(c) Chapter 305, P.L.1953; and
(d) Section 22 of chapter 254, P.L.1954.
##### **§ 52:11-42** Effective date {#sec-52-11-42 omnilex-key=us-nj-statutes--title-52--52:11-42}
This act shall take effect July 1, 1955.
##### **§ 52:11-54** Short title {#sec-52-11-54 omnilex-key=us-nj-statutes--title-52--52:11-54}
This act shall be known and may be cited as the "Legislative Services Law of 1978."
##### **§ 52:11-55** Legislative Services Commission, Office of Legislative Services {#sec-52-11-55 omnilex-key=us-nj-statutes--title-52--52:11-55}
There is established in the Legislative Branch of the State Government, to aid and assist the Legislature in performing its functions, an agency of the Legislature, to be known as the "Office of Legislative Services" to be governed by a commission to be known as the Legislative Services Commission, hereinafter referred to as "the commission," to consist of eight members of the Senate to be appointed by the President thereof and eight members of the General Assembly to be appointed by the Speaker thereof for terms coextensive with their respective terms as members of the House from which they shall be appointed. All members shall serve until the appointment and qualification of their respective successors. Vacancies in the membership of the commission shall be filled for the unexpired terms in the same manner as the original appointments were made. No more than four of each group of eight members shall be appointed from members of the same political party. The commission and the agency shall be deemed to be a continuous body and no action taken by the commission or the office shall be abrogated by reason of the termination of the terms of the members of the commission.
##### **§ 52:11-56** Organization and meetings of the commission {#sec-52-11-56 omnilex-key=us-nj-statutes--title-52--52:11-56}
Organization and meetings of the commission. a. The commission shall meet for the purpose of organization in the month of January of each even-numbered year and shall elect a chairman and vice-chairman from among its members, who shall hold office for the duration of that two-year Legislature and after the expiration of the second legislative year until their successors shall be elected and qualify. The members of the commission shall receive no compensation for their services but shall be reimbursed for expenses incurred in the performance of their duties.
b. Nine members of the commission shall constitute a quorum and no matter requiring action by the full commission shall be taken except by the affirmative vote of not less than nine members. The commission may create from among its membership and prescribe the jurisdiction of an executive committee and such other standing and special committees, which shall be composed of members equally divided between the two Houses and the two major political parties, and delegate to such committees, its chairman and vice-chairman and executive director specified authority to act for the commission.
c. In addition to its organization meetings, the commission shall meet at least once in each calendar quarter and at other times at the call of its chairman. Upon the written request of at least nine members the secretary shall notice a special meeting of the commission.
##### **§ 52:11-57** Duties of the commission {#sec-52-11-57 omnilex-key=us-nj-statutes--title-52--52:11-57}
Duties of the commission. a. It is the duty and responsibility of the commission:
(1) To carry on the work of continuous revision of the general and permanent statute law of the State, by causing to be conducted a continuous examination thereof and of the judicial decisions construing the same, and by causing to be prepared and to be submitted to the Legislature for its action thereon from time to time legislative bills designed to revise such portions of the general and permanent statute law as in the judgment of the commission may be necessary to remedy defects therein, to accomplish improvement thereof and to maintain the same in revised, consolidated and simplified form under the general plan and classification of the Revised Statutes;
(2) To provide accurate budgetary, fiscal and program performance, evaluation and analysis, legal assistance, information and advice and informatory and research services to the standing reference, joint and special legislative committees and commissions and to the officers and members of the Legislature;
(3) To study the methods, practices and procedures employed by the Legislature and from time to time make such recommendations for their improvement and modernization as the commission shall deem desirable;
(4) Through the Office of Legislative Services to plan, provide for and coordinate administrative, housekeeping and other general services on behalf of the Legislature in the areas of purchasing, data processing, facilities, public educational programs and legislative district offices in accordance with the joint rules governing the operation of the district offices.
b. The commission is hereby designated as the permanent law revision agency of the State and all proposed revision laws and proposals of like character which are developed as a result of any legislative commission or committee shall be submitted to the commission for examination and study and report, including its recommendations, to the Legislature, before being introduced in the Legislature.
c. The officers and employees of the Office of Legislative Services shall, except as otherwise fixed by law, receive such compensation as shall from time to time be fixed by the commission in accordance with a compensation plan to be established by it and as shall be within the limits of available appropriations therefor.
##### **§ 52:11-57.1** Preparation of racial and ethnic impact statement for certain proposed legislation. {#sec-52-11-57.1 omnilex-key=us-nj-statutes--title-52--52:11-57.1}
2. a. The Legislative Services Commission shall direct the Office of Legislative Services to prepare a racial and ethnic community criminal justice and public safety impact statement for each proposed criminal justice bill, resolution, or amendment that would affect pretrial detention, sentencing, probation, or parole policies concerning adults and juveniles in this State including, but not limited to, any bill, resolution, or amendment that establishes a new crime or offense; modifies a crime or offense or the penalties associated with a crime or offense established under current law; or modifies procedures under current law for sentencing, parole, or probation, prior to any vote being taken on the bill, resolution, or amendment in either House of the Legislature.
b. The racial and ethnic community criminal justice and public safety impact statement required in subsection a. of this section shall include, but not be limited to, an assessment of the potential impact of the proposed legislation on racial and ethnic minorities, including whether it is likely to have a disproportionate or unique impact on the racial and ethnic communities in the State and the rationale, if any, for the proposed legislation having an identifiable impact on racial and ethnic persons in this State, a statistical analysis of how the change in policy would affect racial and ethnic minorities, the impact of the change in policy on correctional facilities and services for racial and ethnic minorities, the estimated number of criminal and juvenile justice matters involving racial and ethnic minorities adjudicated each year, and the anticipated effect of the change in policy on public safety in racial and ethnic communities in the State and for victims and potential victims in those communities.
c. State agencies shall make data available to the Office of Legislative Services for the purposes of preparing racial and ethnic community criminal justice and public safety impact statements.
##### **§ 52:11-58** Organization of the Office of Legislative Services {#sec-52-11-58 omnilex-key=us-nj-statutes--title-52--52:11-58}
Organization of the Office of Legislative Services. a. The Office of Legislative Services shall be governed by the commission and shall consist of such subordinate units as the commission shall direct and such officers, employees and consultants as may, from time to time within the availability of funds, be appointed or employed by direction of the commission.
b. In addition to the duties imposed upon the Executive Director, the Legislative Counsel, the Legislative Budget and Finance Officer, the State Auditor and the Director of Public Information by law, it shall be the duty of the Office of Legislative Services to:
(1) Provide, upon request, legal, fiscal, research, information and administrative services and assistance for the Legislature, its officers, committees, commissions, members and staff.
(2) Assist in the preparation or review of drafts of bills, resolutions and amendments thereof proposed for introduction in the Legislature or other legislative documents for and upon the request of any member, committee, commission or staff of the Legislature.
(3) Provide nonpartisan staff for the standing reference committees and other committees and commissions of the Legislature, except those which by law, rule or resolution of either House or direction of the Legislative Services Commission are independent of the office.
(4) Collect, prepare and disseminate to the Legislature, its officers, committees, commissions, members and staff, such information, reports, publications and documents as shall be of concern or interest to or have an impact upon the Legislature or the legislative process.
(5) Provide such other services as the commission may direct.
##### **§ 52:11-59** Executive Director {#sec-52-11-59 omnilex-key=us-nj-statutes--title-52--52:11-59}
Executive Director. The commission shall appoint an Executive Director to serve as the secretary of the commission and as the chief executive officer of the commission and the Office of Legislative Services, who shall be qualified by training and experience in legislative and governmental processes. He shall serve at the pleasure of the commission and shall devote his entire time to the duties of his office. He shall organize the office with such subordinate units as shall be necessary for the duties and responsibilities of the office and shall be responsible for the general supervision and direction of the work of the office. Subject to commission approval the Executive Director shall employ professional and clerical personnel, including associate and assistant counsel, revisers of statutes, auditors, and research and fiscal analysts, and shall provide for the assignment of personnel to aid in the performance of any project or responsibility of the office. The Executive Director shall be the appointing authority and request officer for the office. The Executive Director shall inform the commission of the need for or usefulness of advisory panels to assist the commission and the office in its duties and to cooperate with all advisory panels appointed under the provisions of this act.
##### **§ 52:11-60** Legislative Counsel {#sec-52-11-60 omnilex-key=us-nj-statutes--title-52--52:11-60}
Legislative Counsel. The commission shall appoint a Legislative Counsel, who shall be an attorney-at-law of New Jersey experienced in legislative law, drafting legislation, revision of statutes and parliamentary law and procedure. He shall be the chief legal officer of the Legislature and counsel to the commission and Office of Legislative Services. He shall serve at the pleasure of the commission and under the supervision and direction of the Executive Director shall devote his entire time to the duties of his office. Wherever in any other law a duty is imposed upon or reference is made to the Chief Counsel of the Law Revision and Legislative Services Commission, such duty is transferred to and shall be exercised by, and reference thereto shall be to, the Legislative Counsel in the Office of Legislative Services.
##### **§ 52:11-61** Duties of Legislative Counsel. {#sec-52-11-61 omnilex-key=us-nj-statutes--title-52--52:11-61}
8. It shall be the duty of the Legislative Counsel:
a. To provide general standards for the office to draft, aid in drafting and redrafting bills, resolutions and amendments thereof, and reviewing the same when drafted elsewhere, proposed for introduction in the Legislature and other legislative documents for and upon the request of any legislative commission or of any member, committee or joint committee of the Legislature;
b. To provide general standards for the office to examine and edit legislative bills, proposed for introduction or introduced from time to time in the Senate and General Assembly so as to assure, whenever possible, their compliance with the form and general classification of the Revised Statutes, when so requested or directed by the Legislature or any committee thereof;
c. To furnish assistance and information to the Legislature or any member or committee thereof or to the departments, officers, institutions and agencies of the State and to the public in legal matters concerning the statutes, when so requested;
d. To receive drafts of legislative bills with suggestions and recommendations from the New Jersey Law Revision Commission for the improvement and modification of the general and permanent statute law of the State, and to examine and edit those bills in the same manner as it would other bills under this section;
e. To furnish to the presiding officer of each House of the Legislature or to the committees, joint committees and members of the Legislature, legal assistance, information and advice when and in relation to such matters as the commission shall from time to time determine, relating to
(1) The subject matter and legal effect of the statutes and of proposals made for statutory enactment, and
(2) Questions of parliamentary law and legislative procedure;
f. Upon the written request of either or both Houses of the Legislature, the presiding officer of either House, the majority or minority leader of either House, a legislative committee or commission, to furnish formal written opinions on legal matters;
g. On behalf of the commission to assign appropriate compilation numbers to newly-enacted laws, edit an annual cumulative table of contents to the laws, and initiate administrative corrections in the text of the laws as authorized and directed by R.S.1:3-1 and R.S.1:3-2;
h. To provide the prime sponsor or prime sponsors, as the case may be, of a legislative bill, joint resolution or concurrent resolution, or amendment thereto, as well as the prime sponsor or prime sponsors, as the case may be, of an identical legislative bill, joint resolution or concurrent resolution, or amendment thereto, at the same time as provided to the requester of a written opinion under this section, with advice of any legal defects, constitutional, procedural or otherwise, of which the Legislative Counsel is aware, notwithstanding the provisions of section 17 of this act (C.52:11-70); and
i. To perform such other duties and responsibilities as shall be directed by the commission or provided by law or House rule.
##### **§ 52:11-62** State Auditor {#sec-52-11-62 omnilex-key=us-nj-statutes--title-52--52:11-62}
State Auditor. The office of the State Auditor, as created by the Constitution, is assigned to the Office of Legislative Services. The State Auditor shall continue to be appointed, subject to the statutory qualifications prescribed by R.S. 52:24-2, and shall hold office and perform his constitutional duties, as heretofore. The State Auditor, in addition to his constitutional duties, shall organize the office of the State Auditor with such subordinate units as required and shall be responsible for administering and directing the further statutory duties imposed by this act, subject to the policy direction and control of the Legislative Services Commission and the supervision and direction of the Executive Director.
##### **§ 52:11-63** Studies, reports by State Auditor {#sec-52-11-63 omnilex-key=us-nj-statutes--title-52--52:11-63}
In addition to the duties imposed upon the State Auditor by the Constitution and R.S. 52:24-4 the State Auditor, when requested or directed by the Legislature or the Legislative Services Commission, shall make, or cause to be made by contract with independent firms or consultants, studies and reports with respect to the economy, internal management control, and compliance with laws and regulations of the operation of State or State-supported agencies and shall perform such other duties and functions as the commission shall, from time to time, direct or assign.
Audit reports shall provide full disclosure of the results of financial operations, adequate financial information needed in the management of State operations and effective control over income, expenditures, funds, property and other assets and whether the financial transactions have been consummated in accordance with laws, regulations or other legal requirements, and adequate internal financial control over operations is exercised.
##### **§ 52:11-64** Award of contracts by Office of Legislative Services {#sec-52-11-64 omnilex-key=us-nj-statutes--title-52--52:11-64}
a. Contracts for consultants' services. The provisions of any other law to the contrary notwithstanding, every contract or agreement for consultants' services to be paid from funds appropriated or otherwise made available to the Office of Legislative Services shall be made or awarded only by specific approval of the commission.
b. Contracts for goods and services. The provisions of any other law to the contrary notwithstanding, every contract for goods or services to be paid for from funds appropriated or otherwise made available to the Office of Legislative Services may be made, negotiated and awarded directly by the Office of Legislative Services. These contracts shall follow the procedures for public advertisement for bids, the exceptions thereto and the waiver procedures set forth in sections 3 through 7 of P.L. 1954, c. 48 (C. 52:34-8 through 52:34-12) and the provisions set forth in sections 10, 13 and 14 of P.L. 1954, c. 48 (C. 52:34-15, 52:34-18 and 52:34-19).
The Office of Legislative Services shall employ the administrative and technical assistance of the Division of Purchase and Property, or its successor, in the Department of the Treasury, to make and negotiate these contracts.
The Division of Purchase and Property, or its successor, in the Department of the Treasury shall provide the administrative and technical assistance to the Office of Legislative Services in making and negotiating these contracts, but shall do so in consultation with and with the approval of the office.
##### **§ 52:11-65** Director of Public Information {#sec-52-11-65 omnilex-key=us-nj-statutes--title-52--52:11-65}
The commission shall appoint a Director of Public Information, who shall by training and experience be well-versed in public information services and legislative and governmental processes. He shall serve at the pleasure of the commission and under the supervision and direction of the Executive Director and shall devote his entire time to the duties of his office. He shall organize the legislative public information services with subordinate units necessary for the work of his office.
The director shall be responsible for providing nonpartisan information and information services to the officers and members of the Legislature and to all standing reference, joint and special committees and commissions of the Legislature, except as otherwise provided by this act or by determination of the commission or the Legislature.
##### **§ 52:11-66** Duties of Director of Public Information {#sec-52-11-66 omnilex-key=us-nj-statutes--title-52--52:11-66}
13. It shall be the duty of the Director of Public Information to:
a. Provide, as requested, information and other related services for the Legislature, its officers, committees, commissions and individual members.
b. Operate a nonpartisan public information service on legislative affairs and a Bill Room for use by the Legislature, its staff, other State and public offices and, when practicable, for the general public.
c. Provide, when requested by the Legislature and directed by the commission, for the scheduling, recording and transcription of the proceedings of legislative committee and commission meetings and hearings.
d. Provide for the maintenance of a library and library services with special emphasis on legislative reference materials for the use of the Legislature and its staff.
e. Plan, develop and coordinate programs regarding the interaction of the Legislature with the public, including public communication, orientation and tours and educational programs.
f. Provide general standards for the Office of Legislative Services in providing information to the public.
g. Maintain a public commercial subscription service for bills, laws and other information.
h. Provide such other services as the commission or Executive Director may direct or as shall be provided by law or House rule.
##### **§ 52:11-67** Legislative Budget and Finance Officer {#sec-52-11-67 omnilex-key=us-nj-statutes--title-52--52:11-67}
Legislative Budget and Finance Officer. The commission shall appoint a Legislative Budget and Finance Officer, who by training and experience shall be well-versed in the fields of budget preparation and analysis, revenue projection, appropriation requirements, program analysis and fiscal management and control. The Legislative Budget and Finance Officer shall be the chief fiscal officer of the Legislature and the commission. He shall serve at the pleasure of the commission, shall devote his entire time to the duties of his office and shall be under the supervision and direction of the Executive Director. Whenever in any other law reference is made to the Legislative Budget and Finance Director, the Executive Director of the Office of Fiscal Affairs or the Legislative Budget Officer, such reference thereto shall be to the Legislative Budget and Finance Officer in the Office of Legislative Services.
##### **§ 52:11-68** Duties of Legislative Budget and Finance Officer {#sec-52-11-68 omnilex-key=us-nj-statutes--title-52--52:11-68}
It shall be the duty of the Legislative Budget and Finance Officer to:
a. At the request of the Legislature or any member thereof, collect and assemble factual information relating to the fiscal affairs of the State;
b. At the request of the Legislature or any member thereof, examine requests for appropriations and receive and investigate the truth, fairness and correctness of all claims against the State for payment of which appropriations are to be requested;
c. Report to the Legislature through the Joint Appropriations Committee, or in such other manner as shall be directed by the Legislature, upon the foregoing and as to any other matter which may be of assistance to said committee or the Legislature in forming an independent judgment in the determination of any fiscal matters before it and attend upon the Joint Appropriations Committee during its sittings and hearings and perform such services for it as it shall direct;
d. Provide the Legislature with expenditure information and, upon request, performance analyses of programs and transactions.
##### **§ 52:11-69** Officers and employees of the office; status {#sec-52-11-69 omnilex-key=us-nj-statutes--title-52--52:11-69}
a. The commission is authorized to designate those offices and positions in Office of Legislative Services which for the purposes of the Unemployment Compensation law are major nontenured policy making or advisory positions.
b. Officers and employees of the office shall be chosen subject to the approval of the commission without reference to political affiliation, solely on grounds of fitness to perform the duties of their office or employment and their employment and civil service status shall be governed by subsection d. of R.S. 11:4-4, except that:
(1) Any person holding office, position or employment in any department, board, commission or agency in the Executive Branch of the State Government, which is in the classified service of the civil service, who shall be appointed to any office, position or employment under the Legislative Services Commission shall, after the adoption of a resolution by the Legislative Services Commission to that effect, hold the office, position or employment to which he is so appointed with the same civil service rights, privileges and protections as he had and enjoyed in said office, position or employment in the Executive Branch of the State Government, notwithstanding that the office, position or employment to which he is so appointed shall itself be in the unclassified service of the civil service; and
(2) Employees performing stenographic or clerical duties may be appointed from the classified service of the civil service of the State in any case in which in the judgment of the commission more competent persons can be so employed and when so appointed such employees shall have civil service status as members of the classified service of the civil service, but no law or rule regulating assignment to duties, hours of work or payment for overtime shall be binding upon the agency as to persons employed by it whether or not they are employed from the classified service of the civil service.
Laws 1979, c. 8, s. 16.
##### **§ 52:11-70** Request for assistance, information or advice, confidential {#sec-52-11-70 omnilex-key=us-nj-statutes--title-52--52:11-70}
All requests for legal assistance, information or advice and all information received by the Office of Legislative Services in connection with any request for fiscal, budgetary or research service or for the drafting or redrafting of bills, resolutions or amendments thereof for introduction in the Legislature shall be regarded as confidential and no information in respect thereto shall be given to the public or to any person other than the person or persons making such request or any officer or person duly authorized to have such information, unless and until the person making such request consents thereto or the subject matter thereof shall have been made public in some manner.
Laws 1979, c. 8, s. 17.
##### **§ 52:11-71** Forbids lobbying {#sec-52-11-71 omnilex-key=us-nj-statutes--title-52--52:11-71}
No officer or employee of the office, other than a member of the commission, shall urge or oppose the adoption of any legislation or give any legal opinion to any private individual or corporation or to any public officer, department, instrumentality or agency of the State Government except as provided in this act and except such officers, members, committees and joint committees of the Legislature as the commission shall, from time to time, direct.
Laws 1979, c. 8, s. 18.
##### **§ 52:11-72** Reports {#sec-52-11-72 omnilex-key=us-nj-statutes--title-52--52:11-72}
The commission shall report to the Legislature once each year and at such other times as it may deem advisable and may accompany its report with proposed bills or changes in the Rules of the Senate and General Assembly designed to carry out any of its recommendations.
Laws 1979, c. 8, s. 19.
##### **§ 52:11-73** Personnel transferred; rules continued {#sec-52-11-73 omnilex-key=us-nj-statutes--title-52--52:11-73}
All of the officers and employees of the Legislative Services Agency and the Office of Fiscal Affairs together with all their functions, powers and duties are transferred to the Office of Legislative Services and the officers and employees shall be assigned to positions therein without diminution in compensation or seniority rights or impairment of tenure, civil service or retirement system rights.
All rules, regulations and operating procedures of the Legislative Services Agency and the Office of Fiscal Affairs in effect on the effective date of this act are continued in effect until amended or repealed pursuant to this act.
Laws 1979, c. 8, s. 20.
##### **§ 52:11-74** Property transferred {#sec-52-11-74 omnilex-key=us-nj-statutes--title-52--52:11-74}
All property and equipment, books, files and documents of, or in the custody of the Legislative Services Agency or the Office of Fiscal Affairs are transferred to the Office of Legislative Services.
Laws 1979, c. 8, s. 21.
##### **§ 52:11-75** Appropriations transferred {#sec-52-11-75 omnilex-key=us-nj-statutes--title-52--52:11-75}
All appropriations, grants and other moneys available and to become available to the Legislative Services Agency and the Office of Fiscal Affairs are transferred to the Office of Legislative Services.
Laws 1979, c. 8, s. 22.
##### **§ 52:11-76** Powers and duties of Legislative Budget Officer under Appropriations Act {#sec-52-11-76 omnilex-key=us-nj-statutes--title-52--52:11-76}
Except as otherwise in this act provided all powers and duties imposed upon the Executive Director, Office of Fiscal Affairs, by any other law are transferred to and shall be exercised by the Legislative Budget Officer in the Office of Legislative Services and all other references in any such act to the Executive Director, Office of Fiscal Affairs, shall mean and refer to the Legislative Budget Officer.
Laws 1979, c. 8, s. 23.
##### **§ 52:11-77** Initial members and officers of commission; terms of office {#sec-52-11-77 omnilex-key=us-nj-statutes--title-52--52:11-77}
The members of the Law Revision and Legislative Services Commission and its chairman and vice chairman in office on the effective date of this act shall constitute the first members and officers of the commission and shall so serve for the terms for which they were appointed to, or elected by, the former commission.
Laws 1979, c. 8, s. 31.
##### **§ 52:11-78** Legislative information available to public, maintained in electronic form. {#sec-52-11-78 omnilex-key=us-nj-statutes--title-52--52:11-78}
1. a. The Office of Legislative Services shall make available to the public and maintain in electronic form the following information:
(1) the most current available compilation of the official text of the statutes of New Jersey;
(2) the text of all bills introduced during the current two-year session of the Legislature, including amended versions, as well as sponsor statements, committee statements, and fiscal notes;
(3) all bills currently pending in the Legislature, listed by subject and sponsor;
(4) bill-tracking data on all bills pending in the Legislature, including the history of actions, current status, a complete voting record, including individual votes by members of the Legislature recorded during committee meetings, updated on a daily basis and made available and maintained for the two-year legislative term in progress and the immediately preceding term, and, where appropriate, by citation of the section of law to be amended by a bill;
(5) a current calendar of legislative events, including the schedule of legislative committee meetings, and a list of bills scheduled for legislative action;
(6) a current directory of the members of the Legislature, including complete committee membership information;
(7) the text of all chapter laws beginning with laws passed by the Legislature after 12:00 noon, January 9, 1996; and
(8) such other information as the Legislative Services Commission shall direct.
b. The information specified in subsection a. of this section shall be made available to the public through the largest nonproprietary cooperative public computer network.
c. The Office of Legislative Services shall not impose a fee or usage charge as a condition of accessing the information specified in subsection a. of this section through the network described in subsection b. of this section.
d. The Office of Legislative Services may offer a fee-based electronic legislative information service which may include, in addition to the information specified in subsection a. of this section, the following information and capabilities:
(1) the ability for users to automatically maintain updated private databases and receive notification of scheduled action on specific bills or subject matter;
(2) the ability for users to retrieve information by various means of searching full text; and
(3) archives of bill texts and related information from prior sessions of the Legislature.
e. Nothing contained in this section shall be construed as prohibiting a private individual or entity from using the information specified in subsection a. of this section to provide, either commercially or on a voluntary basis, services similar to those provided by the Office of Legislative Services pursuant to subsection d. of this section.
f. The Office of Legislative Services shall consult with the appropriate office within the executive branch of the State government responsible for computer security and guidelines in order to provide the information specified in subsection a. of this section on the largest nonproprietary cooperative public computer network, and both offices shall take all appropriate security measures, subject to the approval of the Legislative Services Commission or the designee thereof, to protect the computer systems that provide access to and store the information specified in subsection a. of this section.
g. No fee shall be charged to the Office of Legislative Services by the appropriate office within the executive branch of the State government responsible for computer security and guidelines for services rendered related to this act.
##### **§ 52:11-79** Findings, declarations relative to Henry J. Raimondo New Jersey Legislative Fellows Program. {#sec-52-11-79 omnilex-key=us-nj-statutes--title-52--52:11-79}
1. The Legislature finds and declares that:
a. graduate students in this State who have an interest in government, law, politics and public policy should have an opportunity to learn about and participate in State government and the legislative process;
b. the establishment of a Legislative Fellows Program to enable participation by these students will foster awareness and appreciation in younger citizens of this State of how laws are created, and encourage these students to be involved with State government throughout their careers;
c. a Legislative Fellows Program would serve the Legislature's need for staff assistance during the most demanding period of the legislative session; and
d. a Legislative Fellows Program would benefit legislative staff agencies' recruitment efforts for regular staff.
##### **§ 52:11-80** Henry J. Raimondo New Jersey Legislative Fellows Program. {#sec-52-11-80 omnilex-key=us-nj-statutes--title-52--52:11-80}
2. There is established the Henry J. Raimondo New Jersey Legislative Fellows Program at the Eagleton Institute of Politics of Rutgers, The State University. Students enrolled in graduate programs of Rutgers University shall be selected to participate in the program as fellows.
##### **§ 52:11-81** Selection, assignment of fellows; stipend. {#sec-52-11-81 omnilex-key=us-nj-statutes--title-52--52:11-81}
3. Eight fellows shall be selected each year pursuant to section 5 of this act, and shall be assigned to work with the New Jersey Legislature as follows: four Fellows shall be assigned to work in the Office of Legislative Services; one Fellow shall be assigned to work in the Senate Majority Office; one Fellow shall be assigned to work in the Senate Minority Office; one Fellow shall be assigned to work in the General Assembly Majority Office; and one Fellow shall be assigned to work in the General Assembly Minority Office. Each fellow shall receive a stipend during the period of internship with the Legislature.
##### **§ 52:11-82** Henry J. Raimondo New Jersey Legislative Fellows Program Advisory Committee. {#sec-52-11-82 omnilex-key=us-nj-statutes--title-52--52:11-82}
4. There is established a Henry J. Raimondo New Jersey Legislative Fellows Program Advisory Committee, consisting of the following members: the Executive Director of the Office of Legislative Services; the Executive Director of the Senate Majority Office; the Executive Director of the Senate Minority Office; the Executive Director of the General Assembly Majority Office; the Executive Director of the General Assembly Minority Office; and five members of the Rutgers University faculty, to be appointed by the Director of the Eagleton Institute of Politics of Rutgers University.
##### **§ 52:11-83** Appointment of director. {#sec-52-11-83 omnilex-key=us-nj-statutes--title-52--52:11-83}
5. The Director of the Eagleton Institute of Politics of Rutgers University shall appoint the director of the Henry J. Raimondo New Jersey Legislative Fellows Program, who shall administer the program and, with the aid of the advisory committee, recruit and select the fellows.
##### **§ 52:11-84** Tuition, fee support; matching appropriations. {#sec-52-11-84 omnilex-key=us-nj-statutes--title-52--52:11-84}
6. Rutgers University shall provide tuition and fee support for the fellows for the academic year. The State shall appropriate funds in each fiscal year to finance the stipends provided to fellows pursuant to section 3 of this act in an amount equal to the annual tuition and fee support provided by Rutgers University in that academic year.
##### **§ 52:11-85** Adoption, maintenance of policy by the Legislature regarding sexual harassment. {#sec-52-11-85 omnilex-key=us-nj-statutes--title-52--52:11-85}
1. a. Each House of the Legislature and the Office of Legislative Services shall adopt and maintain a policy that: prohibits sexual harassment by members, officers, and employees of the Legislature; requires compliance with the policy; requires that appropriate measures be taken to ensure that prohibited conduct does not occur; and provides procedures for the reporting, investigation, final determination, remediation, and discipline of prohibited conduct. The policy shall include provisions regarding confidentiality, retaliation, and false accusations.
The policy shall be adopted in any manner deemed appropriate by the presiding officer of each House and the executive director of the Office of Legislative Services, as appropriate.
The policy, whether a separate policy adopted independently by each House and the Office of Legislative Services, or as one policy adopted jointly thereby, shall apply to all members of the Legislature, and all officers and employees, including supervisors and managers, of the partisan staff offices, district offices, Office of Legislative Services, Office of Clerk of the General Assembly, and Office of the Secretary of the Senate, as appropriate. The policy adopted by the Office of Legislative Services shall apply to any agency, board, bureau, or commission within or created by the Legislative Branch.
b. The policy shall be distributed to all members, officers, and employees to whom it applies. Initially, the policy shall be distributed to current members, officers, and employees within 60 calendar days of the effective date of this section, unless a policy that conforms with subsection a. of this section was distributed within 180 days preceding enactment of this act, P.L.2019, c.475. Thereafter, the policy shall be distributed to a member, officer, or employee within five business days of taking office or commencing employment. Any member, officer, or employee to whom the policy is distributed shall acknowledge receipt thereof in writing to the presiding officer of each House or to the executive director of the Office of Legislative Services, as appropriate, or a designee thereof, within 10 business days of receipt.
c. The policy shall be reviewed at least once every two years. Modifications shall be adopted in the same manner as provided for the adoption of the policy. The policy as modified shall be distributed to all members, officers, and employees to whom it applies within 30 calendar days of modification. Members, officers, and employees shall acknowledge in writing to the presiding officer of each House or to the executive director of the Office of Legislative Services, as appropriate, or a designee thereof, the receipt of the modified policy within 10 business days of receipt.
d. The director of human resources of the Office of Legislative Services shall prepare and maintain an online training program on any policy adopted. Each member, officer, and employee to whom the policy applies shall complete the online or another approved training program, as determined by the presiding officer of each House and by the executive director of the Office of Legislative Services, as appropriate, no less than once every two years, and shall submit a certification denoting completion thereof. A member of the Legislature shall submit the certification of completion for the member and the member's district office staff to the executive director, or a designee thereof, in the partisan staff office of the member's House and political party. Officers and employees of a partisan staff office shall submit the certification of completion to the executive director of that office, or a designee thereof. Officers and employees of the Secretary of the Senate and of the Clerk of the General Assembly shall submit the certification of completion to the Secretary and Clerk, as appropriate. Officers and employees of the Office of Legislative Services shall submit the certification of completion to the director of human resources of that office. Members, officers, and employees of any agency, board, bureau, or commission within or created by the Legislative Branch for whom a person has not already been designated to receive the certification of completion pursuant to this subsection shall submit the certification to the director of human resources of the Office of Legislative Services.
All certifications of completion shall be public information.
e. The Office of Legislative Services shall publish any adopted policy on the official website of the Legislature, along with the contact information for its human resources office.
## **Chapter 12**
##### **§ 52:12-1** Official handbook of legislature; printing; binding {#sec-52-12-1 omnilex-key=us-nj-statutes--title-52--52:12-1}
The "Manual of the Legislature of New Jersey" shall be the official handbook and manual of the Legislature of this State. Each volume of the manual shall contain not less than 200 pages, shall be printed on good paper and bound in a substantial manner in cloth.
##### **§ 52:12-2** Contents {#sec-52-12-2 omnilex-key=us-nj-statutes--title-52--52:12-2}
The legislative manual shall include in the contents of each volume the following: a. The Constitution of the State of New Jersey;
b. The rules of the Senate, the rules of the General Assembly, and the joint rules and orders of the Senate and General Assembly;
c. A correct list of the members of the Legislature of the Session for which the volume is published, with their post-office addresses;
d. A correct list of the several State officers, with the names of their offices, their post-office addresses, the terms for which they are elected or appointed and the date of the expiration thereof;
e. A correct list of the names of the Chief Justice and Justices of the Supreme Court, and the judges of the Superior Court, their terms of office and the date of the expiration thereof;
f. A correct list of the officers of each county, including the sheriff, coroners, county clerk, surrogate, county treasurer, register of deeds and mortgages, and county prosecutors, with their post-office addresses, their terms of office and the date of the expiration thereof;
g. A list of the United States Courts in and for this State, with the names of the judges, clerks, the place where held and the time of holding their several terms;
h. The names of the President and Officers of the United States Government, and the names and post-office addresses of the United States judges and other officers of the United States Courts in this State;
i. The latest census of this State taken under the authority of the United States, as well as any census of the State when taken under the authority of the State;
j. The election returns of the general election next preceding the meeting of the Legislature for which the volume is published;
k. A careful synopsis of all the annual reports of the State departments and institutions required by law to be submitted to the Governor or Legislature; and
l. Such other matter as the Governor or Legislature may from time to time direct to be published in such volume, or which the compilers of the volume may see fit to print, pertaining to the affairs of the State.
## **Chapter 13**
##### **§ 52:13-1** Attendance of witnesses; production of books and papers; legal and clerical assistance {#sec-52-13-1 omnilex-key=us-nj-statutes--title-52--52:13-1}
Any joint committee of the legislature, any standing committee of either house, or any special committee directed by resolution to enter upon any investigation or inquiry, the pursuit of which shall necessitate the attendance of persons or the production of books or papers, shall have power to compel the attendance before it of such persons as witnesses and the production before it of such books and papers as it may deem necessary, proper and relevant to the matter under investigation. Any such committee shall also have the power to employ such legal and clerical assistance as it may deem necessary to the proper conduct of the investigation.
##### **§ 52:13-2** Summons for witnesses; execution {#sec-52-13-2 omnilex-key=us-nj-statutes--title-52--52:13-2}
If any person upon being summoned in writing by order of any committee mentioned in section 52:13-1 of this title to appear before such committee and testify, fails to obey such summons, the speaker of the house of assembly or the president of the senate may, upon application to him, by warrant under his hand order the sergeant at arms of the house over which he presides to arrest such person and bring him before the committee, and the sergeant at arms shall thereupon execute the warrant to him so directed.
##### **§ 52:13-3** Compensation of witnesses; swearing witnesses; perjury; immunity; refusal to answer or be sworn {#sec-52-13-3 omnilex-key=us-nj-statutes--title-52--52:13-3}
Witnesses summoned to appear before any committee authorized by this article or any other law to conduct an investigation or inquiry shall be entitled to receive the same fees and mileage as persons summoned to testify in the courts of the state. All such witnesses may be sworn by any member of the committee conducting the investigation or inquiry; and all witnesses sworn before any such committee shall answer truly all questions put to them which the committee shall decide to be proper and pertinent to the investigation or inquiry; and any witness so sworn who shall swear falsely shall be guilty of perjury. No such witness shall be excused from answering any such questions on the ground that to answer the same might or would incriminate him; but no answers made by any witness to any such questions shall be used or admitted in evidence in any proceeding against such witness, except in a criminal prosecution against the witness for perjury in respect to his answers to such questions.
Any witness who refuses to answer any questions decided by the committee to be proper and pertinent shall be guilty of a misdemeanor; and any witness who, having been summoned to appear before any such committee, fails to appear in obedience to the summons or, appearing, refuses to be sworn shall be guilty of a misdemeanor.
##### **§ 52:13-4** Expenses of investigations; payment {#sec-52-13-4 omnilex-key=us-nj-statutes--title-52--52:13-4}
The state treasurer shall, upon the warrant of the state comptroller, pay the fees and mileage of witnesses called, the compensation of legal and clerical assistance employed and the expenses of the sergeant at arms of either house in the execution of warrants pursuant to section 52:13-2 of this title, when the same shall be certified as correct and necessary by the chairman of the committee under whose authority and by whose order the same shall have been incurred, but only when the chairman's certificate has received the approval of the governor.
##### **§ 52:13-5** What constitutes contempt; report thereof to legislature {#sec-52-13-5 omnilex-key=us-nj-statutes--title-52--52:13-5}
Whenever, in any investigation or inquiry by any committee constituted by joint resolution of the legislature to enter upon or make such investigation or inquiry, any witness summoned or subpoenaed to appear before such committee to testify or to produce books, documents, papers or records, shall willfully neglect or refuse to appear in obedience to the summons or subpoena, or shall willfully neglect or refuse to produce any books, documents, papers or records commanded to be produced by the summons or subpoena, or shall refuse to be sworn or affirmed, or shall refuse to answer any question put to him which the committee shall decide to be proper and pertinent to such investigation or inquiry, or shall in any other way contemn the authority or privileges of the legislature, and the facts alleged to constitute any such contempt shall have been reported by any such committee to the legislature, the alleged contemner shall be tried, and the alleged contempt determined, as hereinafter provided.
##### **§ 52:13-6** Joint session to determine alleged contempt; order for arrest; service. {#sec-52-13-6 omnilex-key=us-nj-statutes--title-52--52:13-6}
The senate and general assembly may by concurrent resolution direct that the senate and general assembly meet in joint session at a time and place therein fixed for the purpose of hearing the evidence and arguments regarding the alleged contempt and may order that a warrant, directed to any sergeant at arms of either house or of the joint session or to any sheriff, police officer, member of the state police, or other peace officer, issue in such manner as shall be prescribed in and by the concurrent resolution for the arrest of the alleged contemner and the production of him at the bar of such joint session, there to be heard.
##### **§ 52:13-7** Hearing by joint session. {#sec-52-13-7 omnilex-key=us-nj-statutes--title-52--52:13-7}
At the time and place fixed as aforesaid, or at any adjournment, the joint session shall sit and summarily hear the evidence and the arguments relating to the alleged contempt. The joint session shall adjourn from time to time until the matter shall have been disposed of and the alleged contemner shall appear and attend at each and every such adjourned session.
##### **§ 52:13-8** Contemner's rights. {#sec-52-13-8 omnilex-key=us-nj-statutes--title-52--52:13-8}
Any alleged contemner shall have the right to be heard before the joint session, to be represented by counsel, to call witnesses in his behalf, and to examine and cross-examine witnesses.
##### **§ 52:13-9** Determination of contempt by each house separately; concurrent resolution. {#sec-52-13-9 omnilex-key=us-nj-statutes--title-52--52:13-9}
After the joint session shall have heard the evidence and such arguments as may be made, the senate and the general assembly shall separately convene and shall separately consider and determine the alleged contempt; and the determination shall be by a concurrent resolution, which may originate in either house.
##### **§ 52:13-10** Sentence; order of commitment. {#sec-52-13-10 omnilex-key=us-nj-statutes--title-52--52:13-10}
Any person found to be guilty of a contempt of the legislature by a concurrent resolution of the two houses thereof, as hereinbefore provided, may be sentenced to imprisonment in the state prison or in the common jail of any county for any period not exceeding six months as shall be directed in and by the concurrent resolution determining the contempt, for the execution of which such concurrent resolution may order that a commitment shall issue, directed to any sheriff, police officer, member of the state police, or other peace officer, and to the keeper of the state prison or the keeper of the common jail of any county, which commitment shall be signed by the president of the senate and the speaker of the house of assembly in office at the date of the issue thereof.
##### **§ 52:13-11** Continuing validity of commitment. {#sec-52-13-11 omnilex-key=us-nj-statutes--title-52--52:13-11}
Any commitment issued in accordance with section 52:13-10 of this title shall remain valid and effective until the imprisonment therein set forth shall have been served, notwithstanding the legislature which directed the issue of the commitment may meanwhile have adjourned or ended.
##### **§ 52:13-12** Bail of contemner. {#sec-52-13-12 omnilex-key=us-nj-statutes--title-52--52:13-12}
Any judge of the Superior Court may let to bail any person apprehended for hearing on a charge of contempt under a warrant issued by direction of a concurrent resolution as provided in section 52:13-6 of this Title, in such amount and with such surety as the judge shall determine to be reasonable, to appear before the Joint Session of the Legislature, at the time and place fixed by the warrant as well as at any and all adjournments thereof, and to stand to and abide such determination and sentence as may thereafter be found or imposed against the person so apprehended. Such recognizances shall run in favor of the State of New Jersey and shall be filed by the judge in the office of the Secretary of State.
##### **§ 52:13-13** Powers given additional to other powers {#sec-52-13-13 omnilex-key=us-nj-statutes--title-52--52:13-13}
The powers given by this article shall be in addition to the powers given by article 1 of this chapter (s. 52:13-1 et seq.).
## **Chapter 13A**
##### **§ 52:13A-1** Expenses of trial of impeachment to be paid by State Treasurer {#sec-52-13a-1 omnilex-key=us-nj-statutes--title-52--52:13A-1}
The expenses incurred by the Senate upon any trial of an impeachment, or incurred under the direction of the Senate by any officer thereof, or by the managers appointed by the General Assembly, to conduct the trial of such impeachment, the fees and expenses of witnesses for the State, the compensation of the official stenographer, and all other costs and expenses on behalf of the State, properly incurred or made in the preparation for, management or conduct of the trial, shall be paid by the State Treasurer, upon the warrant of the Director of the Division of Budget and Accounting in the Department of the Treasury, to the persons entitled thereto, upon the presentation of proper vouchers therefor approved by the President of the Senate.
##### **§ 52:13A-2** Manner of payment of expenses {#sec-52-13a-2 omnilex-key=us-nj-statutes--title-52--52:13A-2}
For the purpose of providing funds for the payment of expenses enumerated in section one of this act, the Director of the Division of Budget and Accounting in the Department of the Treasury shall, upon the order of the President of the Senate, draw his warrant upon the State Treasurer in favor of the sergeant at arms of the Senate or other officer designated by the Senate to serve process, or in favor of the chairman of the board of managers appointed by the General Assembly, for such sum, not exceeding three hundred dollars ($300.00) at one time, as will suffice to meet such expenses; and such officer shall, at the end of the trial, account to the said director for his disbursement from the funds so provided, forthwith pay into the State Treasury any unexpended balance thereof and file with the said director vouchers for the money disbursed by him or under his direction.
##### **§ 52:13A-3** Witness fees and mileage {#sec-52-13a-3 omnilex-key=us-nj-statutes--title-52--52:13A-3}
Every person summoned to attend the Senate as a witness shall receive, from the party in whose behalf he is summoned, one dollar ($1.00) for each day's attendance and mileage at the rate of six cents ($0.06) for each mile required to be traveled in going from and returning to his residence by the most usual route of travel between Trenton and the place of residence.
No witness shall be required to attend upon the Senate until one day's fee and mileage for one way is paid or tendered.
##### **§ 52:13A-4** Board and maintenance of indigent persons summoned as witnesses {#sec-52-13a-4 omnilex-key=us-nj-statutes--title-52--52:13A-4}
The Senate may order the board and maintenance of any indigent person summoned as a witness on any trial, while in attendance upon the Senate, to be paid by the sergeant at arms or other officer charged with the service of process, out of the money of the State in his hands, in the same manner as witnesses' fees are paid.
##### **§ 52:13A-5** Bills to be paid on certificate of correctness {#sec-52-13a-5 omnilex-key=us-nj-statutes--title-52--52:13A-5}
All bills for the board and maintenance of indigent witnesses, and all payments to witnesses of fees and mileage, except those required to be made in advance, shall be paid only on the certificate of the Secretary of the Senate that the same are correct.
##### **§ 52:13A-6** Effective date {#sec-52-13a-6 omnilex-key=us-nj-statutes--title-52--52:13A-6}
This act shall take effect January first, one thousand nine hundred and fifty-two.
## **Chapter 13B**
##### **§ 52:13B-6** Review of introduced bill, determination of need and request for fiscal note. {#sec-52-13b-6 omnilex-key=us-nj-statutes--title-52--52:13B-6}
1. Whenever any bill is introduced in either the Senate or General Assembly, and that bill receives first reading pursuant to the rules of the House in which it is introduced, the bill shall be immediately reviewed by the Legislative Budget and Finance Officer in the Office of Legislative Services. If, upon that review, the Legislative Budget and Finance Officer determines that the bill may increase or decrease expenditures or increase or decrease revenues of the State or any political subdivision thereof, the Officer shall immediately forward a request for a fiscal note to the Director of the Division of Budget and Accounting in the Department of the Treasury.
##### **§ 52:13B-7** Forwarding of request for fiscal note; preparation, return to Legislative Budget and Finance Officer. {#sec-52-13b-7 omnilex-key=us-nj-statutes--title-52--52:13B-7}
2. a. It shall be the duty of the director, upon receipt of a request for a fiscal note, to forward the request within 5 business days to the State department, commission or agency which would be authorized or required to carry out the purposes of the bill or, if the bill would affect the expenditures or revenues of any political subdivision of the State, to the State department, commission or agency having the most adequate information pertaining thereto.
b. Within 20 business days after receiving a request for a fiscal note from the director, the State department, commission or agency shall prepare and return to the director a fiscal note containing the most accurate estimate possible, in dollars, concerning the amount by which expenditures or revenues will be increased or decreased for the State or any of its political subdivisions. The fiscal note shall contain information relating to as many fiscal years as can reasonably be foreseen.
c. Within 5 business days after receiving a fiscal note from a State department, commission or agency, the director shall return the fiscal note to the Legislative Budget and Finance Officer. The director shall include with the fiscal note a statement (1) concurring with the fiscal note, (2) suggesting alternative dollar amounts, or (3) indicating any other information which the director deems relevant.
##### **§ 52:13B-8** Statement of Legislative Budget and Finance Officer appended to fiscal note. {#sec-52-13b-8 omnilex-key=us-nj-statutes--title-52--52:13B-8}
3. Upon receiving a fiscal note from the director, the Legislative Budget and Finance Officer shall, by a date consistent with legislative consideration, append thereto a statement (1) concurring with the fiscal note, (2) suggesting alternative dollar amounts, or (3) indicating any other information which the Officer deems relevant.
##### **§ 52:13B-9** Nonreceipt of fiscal note, production of legislative fiscal estimate. {#sec-52-13b-9 omnilex-key=us-nj-statutes--title-52--52:13B-9}
4. If the Legislative Budget and Finance Officer has not received a fiscal note from the director by a date consistent with legislative consideration, the Officer shall cause a legislative fiscal estimate to be produced by the Office of Legislative Services as soon as practicable. The legislative fiscal estimate shall contain the same information as would be included in a fiscal note. In addition, it shall contain the following statement: "This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note."
##### **§ 52:13B-10** Electronic copy of fiscal note, estimate to sponsor, notice of right to object. {#sec-52-13b-10 omnilex-key=us-nj-statutes--title-52--52:13B-10}
5. When the Legislative Budget and Finance Officer has a complete fiscal note or legislative fiscal estimate, the Officer shall transmit an electronic copy of the fiscal note or legislative fiscal estimate to the sponsor whose name first appears on the bill with a notice that the sponsor may object to the fiscal note or legislative fiscal estimate within three business days after the transmittal of the electronic copy.
##### **§ 52:13B-11** Approval, objection by sponsor, publishing of fiscal note, estimate. {#sec-52-13b-11 omnilex-key=us-nj-statutes--title-52--52:13B-11}
6. If, after the three-day review period provided in section 5 of P.L.1980, c.67 (C.52:13B-10), the Legislative Budget and Finance Officer has received no objections from the sponsor, the Officer shall cause the fiscal note or legislative fiscal estimate to be printed and promptly made available through the Office of Legislative Services to all members of the Legislature and to the general public. If, however, the sponsor objects to the fiscal note or legislative fiscal estimate, the Legislative Budget and Finance Officer shall promptly review it and make any changes therein which the Officer might deem as reasonable, in the interest of accuracy and objectivity. Any fiscal note or legislative fiscal estimate with which a sponsor does not concur after being reviewed by the Legislative Budget and Finance Officer shall contain the following statement: "The sponsor does not concur with the information presented herein."
##### **§ 52:13B-13** Emergency request for fiscal information. {#sec-52-13b-13 omnilex-key=us-nj-statutes--title-52--52:13B-13}
8. Whenever the Legislative Budget and Finance Officer has reason to believe that a fiscal note on any bill will be required more quickly than provided for in this act, the Officer shall submit to the director an emergency request for fiscal information, which the director shall cause to be completed as quickly as possible, but in no case later than 10 business days. This emergency request shall be in addition to a request for a fiscal note and shall represent the director's best judgment as to the fiscal implications of pending legislation.
##### **§ 52:13B-14** Sponsor, chair, presiding officer request for fiscal note, permissive. {#sec-52-13b-14 omnilex-key=us-nj-statutes--title-52--52:13B-14}
9. a. In any case in which the Legislative Budget and Finance Officer has not determined, pursuant to this act, that a bill contains fiscal implications, the sponsor of the bill, the chairman of the committee to which the bill was referred, or the presiding officer of the House, may direct the Legislative Budget and Finance Officer to request a fiscal note, if, in the opinion of any of them, one is warranted.
b. In any case in which a bill is amended and those amendments affect the fiscal implications of the bill, the Legislative Budget and Finance Officer shall request a fiscal note.
## **Chapter 13C**
##### **§ 52:13C-18** Declaration of intent. {#sec-52-13c-18 omnilex-key=us-nj-statutes--title-52--52:13C-18}
1. The Legislature affirms that the preservation of responsible government requires that the fullest opportunity be afforded to the people of the State to petition their government for the redress of grievances and to express freely to individual legislators, committees of the Legislature and the Governor their opinion on legislation and current issues, to Executive Branch officers and agencies their opinion on rules and regulations developed and promulgated by those officers and agencies in the exercise of powers delegated to them by law, and to the Governor and Executive Branch officers and agencies their opinion on matters involving the administration of various governmental processes by the Governor and those officers and agencies in the exercise of powers delegated to them by law.
The Legislature finds, however, that the preservation and maintenance of the integrity of the legislative process, the regulatory process and governmental process, including the development and promulgation of rules and regulations or administration of various governmental processes to effectuate the implementation of statutory law, requires the identification in certain instances of persons and groups who seek to influence the content, introduction, passage or defeat of legislation, the proposal, adoption, amendment, or repeal of rules and regulations or the administration of various governmental processes, and, where it is not otherwise apparent or readily ascertainable, the nature of the interest which those persons and groups seek to advance or protect through such activity.
It is in the public interest to closely monitor the activities of governmental affairs agents and lobbyists with respect to their involvement in influencing legislative, regulatory and governmental processes to ensure the integrity of government.
Therefore, it is the purpose of this act, as amended by P.L.2004, c.27, to require adequate disclosure in certain instances in order to make available to the Legislature, governmental officials and the public information relative to the activities of persons who seek to influence the content, introduction, passage or defeat of legislation, the proposal, adoption, amendment or repeal of rules and regulations or the administration of various governmental processes by such means.
##### **§ 52:13C-19** Short title. {#sec-52-13c-19 omnilex-key=us-nj-statutes--title-52--52:13C-19}
2. This act shall be known as the "Legislative and Governmental Process Activities Disclosure Act."
##### **§ 52:13C-20** Definitions. {#sec-52-13c-20 omnilex-key=us-nj-statutes--title-52--52:13C-20}
3. For the purposes of this act, as amended and supplemented, unless the context clearly requires a different meaning:
a. The term "person" includes an individual, partnership, committee, association, corporation, and any other organization or group of persons.
b. The term "legislation" includes all bills, resolutions, amendments, nominations and appointments pending or proposed in either House of the Legislature, and all bills and resolutions which, having passed both Houses, are pending approval by the Governor.
c. The term "Legislature" includes the Senate and General Assembly of the State of New Jersey and all committees and commissions established by the Legislature or by either House thereof.
d. The term "lobbyist" means any person, partnership, committee, association, corporation, labor union or any other organization that employs, engages or otherwise uses the services of any governmental affairs agent to influence legislation, regulation or governmental processes.
e. (1) The term "Governor" includes the Governor or the Acting Governor; and
(2) the term "Lieutenant Governor" means the person elected to that office, or appointed to fill a vacancy therein, pursuant to Article V, Section I of the New Jersey Constitution.
f. The term "communication with a member of the Legislature", "with legislative staff," "with the Governor," "with the Lieutenant Governor," "with the Governor's staff," or "with an officer or staff member of the Executive Branch" means any communication, oral or in writing or any other medium, addressed, delivered, distributed or disseminated, respectively, to a member of the Legislature, to legislative staff, to the Governor, to the Lieutenant Governor, to the Governor's staff, or to an officer or staff member of the Executive Branch, as distinguished from communication to the general public including but not limited to a member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or an officer or staff member of the Executive Branch. If any person shall obtain, reproduce or excerpt any communication or part thereof which in its original form was not a communication under this subsection and shall cause such excerpt or reproduction to be addressed, delivered, distributed or disseminated to a member of the Legislature, to legislative staff, to the Governor, to the Lieutenant Governor, to the Governor's staff, or to an officer or staff member of the Executive Branch, such communication, reproduction or excerpt shall be deemed a communication with the member of the Legislature, with legislative staff, with the Governor, with the Lieutenant Governor, with the Governor's staff, or with an officer or staff member of the Executive Branch by such person.
g. The term "governmental affairs agent" means any person who receives or agrees to receive, directly or indirectly, compensation, in money or anything of value including reimbursement of his expenses where such reimbursement exceeds $100.00 in any three-month period, to influence legislation, to influence regulation or to influence governmental processes, or all of the above, by direct or indirect communication with, or by making or authorizing, or causing to be made or authorized, any expenditures providing a benefit to, a member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or any officer or staff member of the Executive Branch, or who holds himself out as engaging in the business of influencing legislation, regulation or governmental processes, by such means, or who incident to his regular employment engages in influencing legislation, regulation or governmental processes, by such means; provided, however, that a person shall not be deemed a governmental affairs agent who, in relation to the duties or interests of his employment or at the request or suggestion of his employer, communicates with a member of the Legislature, with legislative staff, with the Governor, with the Lieutenant Governor, with the Governor's staff, or with an officer or staff member of the Executive Branch concerning any legislation, regulation or governmental process, if such communication is an isolated, exceptional or infrequent activity in relation to the usual duties of his employment.
h. The term "influence legislation" means to make any attempt, whether successful or not, to secure or prevent the initiation of any legislation, or to secure or prevent the passage, defeat, amendment or modification thereof by the Legislature, or the approval, amendment or disapproval thereof by the Governor in accordance with his constitutional authority.
i. The term "statement" includes a notice of representation or a report required by this act, as amended and supplemented.
j. (Deleted by amendment, P.L.1991, c.243).
k. The term "member of the Legislature" includes any member or member-elect of, or any person who shall have been selected to fill a vacancy in, the Senate or General Assembly, and any other person who is a member or member-designate of any committee or commission established by the Legislature or by either House thereof.
l. The term "legislative staff" includes all staff, assistants and employees of the Legislature or any of its members in the member's official capacity, whether or not they receive compensation from the State of New Jersey.
m. The term "Governor's staff" includes the members of the Governor's Cabinet, the Secretary to the Governor, the Counsel to the Governor and all professional employees in the office of the Counsel to the Governor, and all other employees of the Office of the Governor, including employees of that office who may be assigned by the Governor to assist the Lieutenant Governor.
n. The term "officer or staff member of the Executive Branch" means any assistant or deputy head of a principal department in the Executive Branch of State Government, including all assistant and deputy commissioners; the members and chief executive officer of any authority, board, commission or other agency or instrumentality in or of such a principal department; and any officer of the Executive Branch of State Government other than the Governor who is not included among the foregoing or among the Governor's staff, but including the Lieutenant Governor when the Lieutenant Governor has been appointed by the Governor to serve in any of the foregoing positions, but who is empowered by law to issue, promulgate or adopt administrative rules and regulations or to administer governmental processes, and any person employed in the office of such an officer who is involved with the development, issuance, promulgation or adoption of such rules and regulations or administration of governmental processes in the regular course of employment.
o. The term "regulation" includes any administrative rule or regulation affecting the rights, privileges, benefits, duties, obligations, or liabilities of any one or more persons subject by law to regulation as a class, but does not include an administrative action (1) to issue, renew or deny, or, in an adjudicative action, to suspend or revoke, a license, order, permit or waiver under any law or administrative rule or regulation, (2) to impose a penalty, or (3) to effectuate an administrative reorganization within a single principal department of the Executive Branch of State Government.
p. The term "influence regulation" means to make any attempt, whether successful or not, to secure or prevent the proposal of any regulation or to secure or prevent the consideration, amendment, issuance, promulgation, adoption or rejection thereof by an officer or any authority, board, commission or other agency or instrumentality in or of a principal department of the Executive Branch of State Government empowered by law to issue, promulgate or adopt administrative rules and regulations.
q. The term "expenditures providing a benefit" or "expenditures providing benefits" means any expenditures for entertainment, food and beverage, travel and lodging, honoraria, loans, gifts or any other thing of value, except for (1) any money or thing of value paid for past, present, or future services in regular employment, whether in the form of a fee, expense, allowance, forbearance, forgiveness, interest, dividend, royalty, rent, capital gain, or any other form of recompense, or any combination thereof, or (2) any dividends or other income paid on investments, trusts, and estates.
r. The term "commission" means the Election Law Enforcement Commission established pursuant to section 5 of P.L.1973, c.83 (C.19:44A-5).
s. The term "communication with the general public" means any communication:
(1) disseminated to the general public through direct mail or in the form of a paid advertisement in a newspaper, magazine, or other printed publication of general circulation or aired on radio, television, or other broadcast medium, and
(2) which explicitly supports or opposes a particular item or items of legislation or regulation, or the content of which can reasonably be understood, irrespective of whether the communication is addressed to the general public or to persons in public office or employment, as intended to influence legislation or to influence regulation.
t. The terms "influence governmental processes", "influencing governmental processes" or "influence governmental process" means to make any attempt, whether successful or not, to assist a represented entity or group to engage in communication with, or to secure information from, an officer or staff member of the Executive Branch, or any authority, board, commission or other agency or instrumentality in or of a principal department of the Executive Branch of State Government, empowered by law to administer a governmental process or perform other functions that relate to such processes.
u. The term "governmental process" means:
promulgation of executive orders;
rate setting;
development, negotiation, award, modification or cancellation of public contracts;
issuance, denial, modification, renewal, revocation or suspension of permits, licenses or waivers;
procedures for bidding;
imposition or modification of fines and penalties;
procedures for purchasing;
rendition of administrative determinations; and
award, denial, modification, renewal or termination of financial assistance, grants and loans.
v. The term "public contract" means a contract the cost or price of which is to be paid with or out of State funds or the funds of an independent authority created by the State or by the Legislature.
##### **§ 52:13C-21** Notice of representation; filing, contents, separate notices. {#sec-52-13c-21 omnilex-key=us-nj-statutes--title-52--52:13C-21}
4. a Any person who, on or after the effective date of P.L.1991, c.243 or on or after the effective date of P.L.2004, c.27 for the purpose of influencing governmental processes, is employed, retained or engages himself as a governmental affairs agent shall, prior to any communication with, or the making of any expenditures providing a benefit to, a member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or an officer or staff member of the Executive Branch, and in any event within 30 days of the appropriate effective date or of such employment, retainer or engagement, whichever occurs later, file a signed notice of representation with the Election Law Enforcement Commission in such detail as the commission may prescribe, identifying himself and persons by whom he is employed or retained, and the persons in whose interests he is working, and the general nature of his proposed services as a governmental affairs agent for such persons, which notice shall contain the following information:
(1) his name, business address and regular occupation;
(2) the name, business address and occupation or principal business of the person from whom he receives compensation for acting as a governmental affairs agent;
(3) (a) the name, business address and occupation or principal business of any person in whose interest he acts as a governmental affairs agent in consideration of the aforesaid compensation, if such person is other than the person from whom said compensation is received; and
(b) if a person, identified under paragraph (2) of this subsection as one from whom the governmental affairs agent receives compensation, is a membership organization or corporation whose name or occupation so identified does not, either explicitly or by virtue of the nature of the principal business in which the organization or its members, or the corporation or its shareholders, is commonly known to be engaged, clearly reveal the primary specific economic, social, political, or other interest which the organization or corporation may reasonably be understood to seek to advance or protect through its employment, retainer, or engagement of the governmental affairs agent, a description of that primary economic, social, political, or other interest and a list of the persons having organizational or financial control of the organization or corporation, including the names, mailing addresses and occupations, respectively, of those persons. The commission shall promulgate rules and regulations to govern the content of any information required to be disclosed under this subparagraph and shall take such steps as are reasonably necessary to ensure that all such information is, in accordance with those rules and regulations, both accurate and complete.
Any list of governmental affairs agents and their principals required to be published quarterly under subsection h. of section 6 of P.L.1971, c.183 (C.52:13C-23) shall include, for each such principal for whom it is not otherwise apparent, the primary specific interest which the principal may reasonably be understood to seek to advance or protect through its engagement of the governmental affairs agent and the category of persons required to file additional information, as that interest and such category shall have been determined under subparagraph (b) of this paragraph;
(4) whether the person from whom he receives said compensation employs him solely as a governmental affairs agent, or whether he is a regular employee performing services for his employer which include but are not limited to the influencing of legislation, regulation or governmental processes;
(5) the length of time for which he will be receiving compensation from the person aforesaid for acting as a governmental affairs agent, if said length of time can be ascertained at the time of filing;
(6) the type of legislation, regulation or governmental process or the particular legislation, regulation or governmental process in relation to which he is to act as governmental affairs agent in consideration of the aforesaid compensation, and any particular legislation, regulation or governmental process or type of legislation, regulation or governmental process which he is to promote or oppose;
(7) (Deleted by amendment, P.L.2004, c.38).
(8) When a governmental affairs agent is employed or retained by any State or local government agency, department, board, bureau, commission, authority, board of education, institution of higher education, or any other government entity in this State, the notice of representation shall also indicate the compensation amount received or to be received by the governmental affairs agent from the government entity. Each notice of representation indicating that the governmental affairs agent is employed or retained by a government entity shall be posted by the commission on the commission's Internet site within 30 days of filing, and shall be easily available for public inspection through that Internet site.
b. Any governmental affairs agent who receives compensation from more than one person for his services as a governmental affairs agent shall file a separate notice of representation with respect to each such person; except that a governmental affairs agent whose fee for acting as such in respect to the same legislation, regulation or governmental processor type of legislation, regulation or governmental process is paid or contributed to by more than one person may file a single statement, in which he shall detail the name, business address and occupation or principal business of each person so paying or contributing.
##### **§ 52:13C-21a** Nonresident governmental affairs agent, lobbyist, filing of consent to service of process. {#sec-52-13c-21a omnilex-key=us-nj-statutes--title-52--52:13C-21a}
4. Any governmental affairs agent or lobbyist not a resident of this State, or not a corporation of this State or authorized to do business in this State, shall file with the Election Law Enforcement Commission, before attempting to influence legislation, regulation or governmental process, or within 30 days of the effective date of P.L.2004, c.27, as appropriate, its consent to service of process at an address within this State, or by regular mail at an address outside this State.
##### **§ 52:13C-21b** Restriction on offer of gifts, etc. to certain State officers or employees. {#sec-52-13c-21b omnilex-key=us-nj-statutes--title-52--52:13C-21b}
3. Except as expressly authorized in section 13 of P.L.1971, c.182 (C.52:13D-24) or when the lobbyist or governmental affairs agent is a member of the immediate family of the officer or staff member of the Executive Branch or member of the Legislature or legislative staff, no lobbyist or governmental affairs agent shall offer or give or agree to offer or give, directly or indirectly, any compensation, reward, employment, gift, honorarium or other thing of value to an officer or staff member of the Executive Branch or member of the Legislature or legislative staff, totaling more than $250.00 in a calendar year. The $250.00 limit on any compensation, reward, gift, honorarium or other thing of value shall also apply to each member of the immediate family of a member of the Legislature, as defined in section 2 of P.L.1971, c.182 (C.52:13D-13) to be a spouse, child, parent, or sibling of the member residing in the same household as the member of the Legislature.
b. The prohibition in subsection a. of this section on offering or giving, or agreeing to offer or give, any compensation, reward, gift, honorarium or other thing of value shall not apply if it is in the course of employment, by an employer other than the State, of an individual covered in subsection a. of this section or a member of the immediate family. The prohibition in subsection a. of this section on offering or giving, or agreeing to offer or give, any compensation, reward, gift, honorarium or other thing of value shall not apply if receipt is from a member of the immediate family when the family member received such in the course of his or her employment.
c. Subsection a. of this section shall not apply if an officer or staff member of the Executive Branch or member of the Legislature or legislative staff who accepted any compensation, reward, gift, honorarium or other thing of value offered or given by a lobbyist or governmental affairs agent makes a full reimbursement, within 90 days of acceptance, to the lobbyist or governmental affairs agent in an amount equal to the money accepted or the fair market value of that which was accepted if other than money. As used in this subsection, "fair market value" means the actual cost of the compensation, reward, gift, honorarium or other thing of value accepted.
d. A violation of this section shall not constitute a crime or offense under the laws of this State.
##### **§ 52:13C-21.1** Employment of unregistered governmental affairs agent. {#sec-52-13c-21.1 omnilex-key=us-nj-statutes--title-52--52:13C-21.1}
1. Any person who knowingly employs another person to serve as a governmental affairs agent who is not registered as required by section 4 of the act of which this act is a supplement, except upon the condition that such person register as a governmental affairs agent as provided by law or who continues to employ any such person who has not registered within the time required by law, shall, upon conviction, be guilty of a crime of the fourth degree.
##### **§ 52:13C-21.2** Representation of adverse interest, fourth degree crime. {#sec-52-13c-21.2 omnilex-key=us-nj-statutes--title-52--52:13C-21.2}
1. Any governmental affairs agent who knowingly represents an interest adverse to any of his employer's without first obtaining such employer's written consent thereto, after full disclosure to such employer of such adverse interest, shall, upon conviction, be guilty of a crime of the fourth degree.
##### **§ 52:13C-21.3** Introduction of legislation for purposes of later employment, fourth degree crime. {#sec-52-13c-21.3 omnilex-key=us-nj-statutes--title-52--52:13C-21.3}
1. Any governmental affairs agent who knowingly causes, influences, or otherwise secures the introduction of any legislation or amendment thereto for the purpose of thereafter being employed to prevent the passage thereof, shall upon conviction be guilty of a crime of the fourth degree.
##### **§ 52:13C-21.4** Activities as governmental affairs agent for certain persons restricted; penalties. {#sec-52-13c-21.4 omnilex-key=us-nj-statutes--title-52--52:13C-21.4}
1. a. As used in this section, "person" means any member of the Legislature, the Governor, the Lieutenant Governor or the head of a principal department of the Executive Branch.
b. No person, within one year next subsequent to the termination of the office or employment of such person, shall register as a "governmental affairs agent" as defined in section 3 of P.L.1971, c.183 (C.52:13C-20).
c. Any person who knowingly and willfully violates the provisions of subsection b. of this section shall be subject to a penalty of not more than $10,000 and shall be barred from activities prohibited under subsection b. for up to an additional five years.
d. Upon receiving evidence of any violation of this section, the Election Law Enforcement Commission shall have the power to hold, or to cause to be held, hearings about the violation and, upon finding any person to have committed a violation, to assess such penalty, within the limits prescribed herein, as it deems proper under the circumstances, which penalty may be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
##### **§ 52:13C-21.5** Contingent fees, prohibited. {#sec-52-13c-21.5 omnilex-key=us-nj-statutes--title-52--52:13C-21.5}
2. A governmental affairs agent shall not enter into any agreement, arrangement, or understanding under which the governmental affairs agent's compensation, or any portion thereof, is made contingent upon the success of any attempt to influence legislation, regulation or governmental process.
##### **§ 52:13C-22** Quarterly reports; contents. {#sec-52-13c-22 omnilex-key=us-nj-statutes--title-52--52:13C-22}
5. a. Every governmental affairs agent shall file with the commission a signed quarterly report of his activity in attempting to influence legislation, regulation or governmental processes during each such quarter.
b. The quarterly reports required under this section shall be made in the form and manner prescribed by the commission and shall be filed between the first and tenth days of each calendar quarter for such activity during the preceding calendar quarter. The commission may, in its discretion, permit joint reports by persons subject to this act.
c. Each such quarterly report shall:
(1) describe the particular items of legislation, regulation, or governmental process, the particular items in the annual appropriation legislation or appropriation legislation that is supplemental to that legislation, and any general category or type of legislation, regulation or governmental process regarding which the governmental affairs agent acted as a governmental affairs agent during the quarter, and any particular items or general types of legislation, regulation, or governmental processes which he actively promoted or opposed during the quarter; and
(2) supply any information necessary to make the notice of representation filed by the governmental affairs agent pursuant to section 4 of P.L.1971, c.183 (C.52:13C-21), current and accurate as of the final day of the calendar quarter covered by the report.
##### **§ 52:13C-22.1** Annual reports. {#sec-52-13c-22.1 omnilex-key=us-nj-statutes--title-52--52:13C-22.1}
2. Each governmental affairs agent or lobbyist shall make and certify the correctness of a full annual report to the Election Law Enforcement Commission, of those moneys, loans, paid personal services or other things of value contributed to it and those expenditures made, incurred or authorized by it for the purpose of communication with or providing benefits to any member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or an officer or staff member of the Executive Branch, or a communication with the general public, during the previous year. The report shall include, but not be limited to, the following expenditures which relate to communication with, or providing benefits to, any member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or an officer or staff member of the Executive Branch, or communication with the general public: media, including advertising; entertainment; food and beverage; travel and lodging; honoraria; loans; gifts; and salary, fees, allowances or other compensation paid to an agent. The expenditures shall be reported whether made to the intended recipient of the communication or benefit, to a governmental affairs agent or a lobbyist, or in the case of a communication to the general public, to the publisher of that communication. The expenditures shall be reported in the aggregate by category, except that if the aggregate expenditures on behalf of a member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or an officer or staff member of the Executive Branch exceed $25.00 per day, they shall be detailed separately as to the name of the member of the Legislature, member of legislative staff, the Governor, the Lieutenant Governor, member of the Governor's staff, or officer or staff member of the Executive Branch, date and type of expenditure, amount of expenditure and to whom paid. Where the aggregate expenditures for the purpose of communication with or providing benefits to any one member of the Legislature, member of legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or officer or staff member of the Executive Branch exceed $200.00 per year, the expenditures, together with the name of the intended recipient of the communication or benefits, shall be stated in detail including the type of each expenditure, amount of expenditure and to whom paid. Where those expenditures in the aggregate, or where the aggregate expenditures for the purpose of communication with the general public, with respect to any specific occasion are in excess of $100.00, the report shall include the date and type of expenditure, amount of expenditure and to whom paid. The Election Law Enforcement Commission may, in its discretion, permit joint reports by governmental affairs agents. No governmental affairs agent shall be required to file a report unless all moneys, loans, paid personal services or other things of value contributed to it for the purpose of communication with or making expenditures providing a benefit to a member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or officer or staff member of the Executive Branch or for the purpose of communication with the general public exceed $2,500.00 in any year or unless all expenditures made, incurred or authorized by it for the purpose of communication with or providing benefits to a member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or officer or staff member of the Executive Branch or for the purpose of communication with the general public exceed $2,500.00 in any year.
Any lobbyist who receives contributions or makes expenditures to influence legislation or regulation shall be required to file and certify the correctness of a report of such contributions or expenditures if the contributions or expenditures made, incurred or authorized by it for the purpose of communication with or providing benefits to a member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or an officer or staff member of the Executive Branch exceed, in the aggregate, $2,500.00 in any year. Any lobbyist required to file a report pursuant to this section may designate a governmental affairs agent in its employ or otherwise engaged or used by it to file a report on its behalf; provided such designation is made in writing by the lobbyist, is acknowledged in writing by the designated governmental affairs agent and is filed with the Election Law Enforcement Commission on or before the date on which the report of the lobbyist is due for filing, and further provided that any violation of this act shall subject both the lobbyist and the designated governmental affairs agent to the penalties provided in this act.
Any person other than a governmental affairs agent or lobbyist who receives contributions or makes expenditures for the purpose of communication with the general public shall be required to file and certify the correctness of a report of such contributions or expenditures in the same manner as governmental affairs agents under the provisions of this section if the contributions or expenditures made, incurred or authorized by the person for the purpose of communication with the general public exceed in the aggregate $2,500 in any year.
This section shall not be construed to authorize any person to make or authorize, or to cause to be made or authorized, any expenditure providing a benefit, or to provide a benefit, the provision or receipt of which is prohibited under the "New Jersey Conflicts of Interest Law," P.L.1971, c.182 (C.52:13D-12 et seq.) or any code of ethics promulgated thereunder, or under any other law or any executive order, rule or regulation.
##### **§ 52:13C-22.1a** Governmental affairs agent, disclosure of certain service. {#sec-52-13c-22.1a omnilex-key=us-nj-statutes--title-52--52:13C-22.1a}
7. A person who is registered as a governmental affairs agent and who, on or after the effective date of P.L.1991, c.243 (C.52:13C-18 et al.) or on or after P.L.2004, c.27 for the purpose of influencing governmental processes, serves or shall serve as a member of any independent State authority, county improvement authority or municipal utilities authority, or as a member from New Jersey on an inter-state or bi-state authority, or as a member of any board or commission established by statute or resolution or by executive order of the Governor or by the Legislature or by any agency, department or other instrumentality of the State shall disclose such service, including the name of the authority, board or commission and the date upon which his term as a member thereof expires, in the annual report required to be made under section 2 of P.L.1981, c.150 (C.52:13C-22.1).
##### **§ 52:13C-22.4** Report of benefits to recipients. {#sec-52-13c-22.4 omnilex-key=us-nj-statutes--title-52--52:13C-22.4}
1. a. Each governmental affairs agent and lobbyist shall provide to each member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or an officer or staff member of the Executive Branch who receives a benefit that is required to be reported to the commission pursuant to section 2 of P.L.1981, c.150 (C.52:13C-22.1), a full written and certified report describing the benefit, including a description of the benefit, the amount of the benefit, the date it was provided and to whom it was paid.
b. The reports shall be transmitted to the member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or an officer or staff member of the Executive Branch by each governmental affairs agent or lobbyist no later than February 1 of each year and shall cover benefits provided in the immediately preceding calendar year. In the event that a governmental affairs agent or lobbyist provides more than one benefit to a member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or an officer or staff member of the Executive Branch during a calendar year, the reports describing those benefits required pursuant to subsection a. of this section may be combined into one report or filed as separate reports.
##### **§ 52:13C-23** Duties of the commission. {#sec-52-13c-23 omnilex-key=us-nj-statutes--title-52--52:13C-23}
6. The commission shall:
a. permit public inspection of all statements filed pursuant to this act, as amended and supplemented;
b. compile and summarize information contained in statements filed pursuant to this act, as amended and supplemented, and report the same to the Legislature and the Governor;
c. ascertain whether any persons have failed to file statements as required by this act, as amended and supplemented, or have filed incomplete or inaccurate statements, and give notice to such persons to file such statements as will conform to the requirements of this act, as amended and supplemented;
d. investigate violations of this act, as amended and supplemented, report to the Legislature and the Governor thereon, and notify the Attorney General of any possible criminal violations of this act, as amended and supplemented, that may warrant further investigation and action;
e. make such recommendations to the Legislature and the Governor as will tend to further the objectives of this act, as amended and supplemented, and take such other action as shall be necessary and proper to effectuate the purposes of this act, as amended and supplemented;
f. report to the Legislature and the Governor annually on the administration of this act, as amended and supplemented;
g. develop and prescribe methods and forms for statements required to be filed by this act, as amended and supplemented, and require the use of such forms by persons subject to this act, as amended and supplemented;
h. compile and publish quarterly a list of all governmental affairs agents then registered, together with the information contained in their notices of representation and last quarterly report, which compilation shall be distributed to all members of the Legislature and the Governor, and published in the New Jersey Register;
i. prepare and publish a summary and explanation of the registration and reporting requirements of this act, as amended and supplemented, for the use and guidance of those persons who may be required to file statements under this act, as amended and supplemented;
j. in accordance with a fee schedule adopted by the commission as a rule or regulation, establish and charge reasonable fees for the filing of notices of representation and quarterly and annual reports pursuant to this act, as amended and supplemented, provided that such fees shall not apply to the organizations which qualify under subsection (b) of section 9 of chapter 30 of the laws of 1966, as amended (C.54:32B-9), and provided further that the amount of such fees shall not exceed the cost to the commission of processing and maintaining those notices and reports and of compiling, summarizing and publishing the information contained therein as prescribed by this act, as amended and supplemented; and
k. during periods when the Legislature is in session, report monthly to the members of the Legislature and the Governor and his staff all new notices of representation, notices of termination and other notices filed pursuant to this act, as amended and supplemented, during the preceding month.
##### **§ 52:13C-23a** Fee imposed by ELEC on governmental affairs agent. {#sec-52-13c-23a omnilex-key=us-nj-statutes--title-52--52:13C-23a}
1. In addition to any fee collected pursuant to subsection j. of section 6 of P.L.1971, c.183 (C.52:13C-23), the commission shall establish and collect no later than January 31 of each year a $100 fee from each governmental affairs agent for deposit into the General Fund. Such moneys shall be allocated annually by the Legislature for use by the commission.
##### **§ 52:13C-23.1** Violations, penalties. {#sec-52-13c-23.1 omnilex-key=us-nj-statutes--title-52--52:13C-23.1}
11. Upon receiving evidence of any violation of P.L.1971, c.183 (C.52:13C-18 et seq.), as amended and supplemented, the commission shall have power to bring complaint proceedings, to issue subpoenas for the production of witnesses and documents, and to hold or to cause to be held by the Office of Administrative Law, hearings upon such complaint. In addition to any other penalty provided by law, any person who is found to have committed such a violation shall be liable for a civil penalty not in excess of $1,000, which penalty may be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
##### **§ 52:13C-23.2** Rules, regulations {#sec-52-13c-23.2 omnilex-key=us-nj-statutes--title-52--52:13C-23.2}
12. The commission shall adopt such rules and regulations as may be necessary to effectuate the purposes of P.L.1971, c.183 (C.52:13C-18 et seq.), as amended and supplemented.
##### **§ 52:13C-24** Records of governmental affairs agent; audits. {#sec-52-13c-24 omnilex-key=us-nj-statutes--title-52--52:13C-24}
7. Any person engaged in activity which makes him subject to filing a statement under this act shall keep and preserve all records of his receipts, disbursements and other financial transactions in the course of and as a part of his activities as a governmental affairs agent. Such records shall be preserved for a period of three calendar years next succeeding the calendar year in which they were made. The provisions of this section shall not apply to any governmental affairs agent with respect to any quarterly period within which the total of his compensation including reimbursement of expenses is less than $500.00.
The commission shall conduct random audits of records kept and preserved pursuant to this section.
##### **§ 52:13C-25** Governmental affairs agent's responsibilities. {#sec-52-13c-25 omnilex-key=us-nj-statutes--title-52--52:13C-25}
8. a. Every governmental affairs agent shall file a notice of termination report within 30 days after his activity shall cease, on such form as the commission shall prescribe, and any person who engages a governmental affairs agent may file a notice of termination after such agent ceases to represent such person.
b. A governmental affairs agent who receives or agrees to receive compensation for acting as such from any person not named in the notice of representation filed pursuant to section 4 of P.L.1971, c.183 (C.52:13C-21) shall, within 15 days of receiving or agreeing to receive such compensation, file an appropriate notification thereof in writing with the commission.
c. A governmental affairs agent shall notify the commission in writing of any material change in the information supplied by him in the notice of representation filed pursuant to section 4 of P.L.1971, c.183 (C.52:13C-21) within 15 days of the effective date of such change.
##### **§ 52:13C-26** Public records; inspection, preservation {#sec-52-13c-26 omnilex-key=us-nj-statutes--title-52--52:13C-26}
9. The statements required by this act, as amended and supplemented, to be filed with the commission (a) shall constitute part of the public records of the office of the commission and shall be available for public inspection; and (b) shall be preserved by the commission for a period of five years from the date of filing.
##### **§ 52:13C-27** Act not applicable to certain activities. {#sec-52-13c-27 omnilex-key=us-nj-statutes--title-52--52:13C-27}
10. This act shall not apply to the following activities:
a. the publication or dissemination, in the ordinary course of business, of news items, advertising which does not constitute communication with the general public, editorials or other comments by a newspaper, book publisher, regularly published periodical, or radio or television station, including an owner, editor or employee thereof;
b. acts of an officer or employee of the Government of this State or any of its political subdivisions, or of the Government of the United States or of any state or territory thereof or any of their political subdivisions, in carrying out the duties of their public office or employment, except as provided in section 10 of P.L.2009, c.308 (C.18A:3B-55);
c. acts of bona fide religious groups acting solely for the purpose of protecting the public right to practice the doctrines of such religious groups;
d. acts of a duly organized national, State or local committee of a political party;
e. acts of a person in testifying before a legislative committee or commission, at a public hearing duly called by the Governor on legislative proposals or on legislation passed and pending his approval, or before any officer or body empowered by law to issue, promulgate or adopt administrative rules and regulations in behalf of a nonprofit organization incorporated as such in this State who receives no compensation therefor beyond the reimbursement of necessary and actual expenses, and who makes no other communication with a member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or an officer or staff member of the Executive Branch in connection with the subject of his testimony;
f. acts of a person in communicating with or providing benefits to a member of the Legislature, legislative staff, the Governor, the Lieutenant Governor, the Governor's staff, or an officer or staff member of the Executive Branch if such communication or provision of benefits is undertaken by him as a personal expression and not incident to his employment, even if it is upon a matter relevant to the interests of a person by whom or which he is employed, and if he receives no additional compensation or reward, in money or otherwise, for or as a result of such communication or provision of benefits;
g. with regard to influencing governmental processes as defined in subsections t. and u. of section 3 of P.L.1971, c.183 (C.52:13C-20) any communications, matters or acts of an attorney falling within the attorney-client privilege while engaging in the practice of law to the extent that confidentiality is required in order for the attorney to exercise his ethical duties as a lawyer; and
h. with regard to influencing governmental processes as defined in subsections t. and u. of section 3 of P.L.1971, c.183 (C.52:13C-20) any communications, matters or acts involving collective negotiations, or the interpretation or violation of collective negotiation agreements, of a labor organization of any kind which exists or is constituted for the purpose, in whole or in part, of collective bargaining, or of dealing with employers concerning the grievances, terms or conditions of employment, or of other mutual aid or protection in connection with employment.
##### **§ 52:13C-28** Wearing of name tag. {#sec-52-13c-28 omnilex-key=us-nj-statutes--title-52--52:13C-28}
11. Every governmental affairs agent who, for the purpose of influencing legislation, is in the State House, the State House Annex, or any other State building or other location when and where an authorized meeting of a legislative committee is being held shall at all times wear a descriptive name tag of a type prescribed by the commission.
##### **§ 52:13C-29** Legislative employees as governmental affairs agents, fourth degree crime. {#sec-52-13c-29 omnilex-key=us-nj-statutes--title-52--52:13C-29}
12. All staff, assistants and employees of the Legislature who receive for their services a stated salary or similar compensation from the State of New Jersey are forbidden to act as governmental affairs agents or to seek, receive or agree to receive, directly or indirectly, compensation, in money or any thing of value, for influencing or purporting to influence legislation. Whoever violates this section is guilty of a crime of the fourth degree.
##### **§ 52:13C-30** Willful falsification; fourth degree crime. {#sec-52-13c-30 omnilex-key=us-nj-statutes--title-52--52:13C-30}
13. Any person who knowingly and willfully falsifies all or any part of any statement, notice or report under this act shall, upon conviction, be guilty of a crime of the fourth degree.
##### **§ 52:13C-31** False communication relative to legislation; fourth degree crime. {#sec-52-13c-31 omnilex-key=us-nj-statutes--title-52--52:13C-31}
14. Any person who shall transmit, utter or publish to the Legislature or the Governor or his staff any communication relating to any legislation or be a party to the preparation thereof, knowing such communication or any signature thereto is false, forged, counterfeit, or fictitious, shall upon conviction, be guilty of a crime of the fourth degree.
##### **§ 52:13C-32** Failure to comply with provisions of act; injunction {#sec-52-13c-32 omnilex-key=us-nj-statutes--title-52--52:13C-32}
15. Upon the failure to comply with any provisions of this act, as amended and supplemented, by any person subject thereto the commission may institute a civil action to enjoin such person from engaging in activity covered by this act until such time as he shall perform any duty imposed thereby and to require him to file any statement required by this act, as amended and supplemented, for the period he acted in violation thereof, and the court may proceed in a summary manner.
##### **§ 52:13C-33** Failure to file notice of representation, report; fourth degree crime. {#sec-52-13c-33 omnilex-key=us-nj-statutes--title-52--52:13C-33}
16. Any governmental affairs agent required to file a notice of representation or report or maintain any record under this act who fails to file such a notice or report or maintain such record shall, upon conviction, be guilty of a crime of the fourth degree.
##### **§ 52:13C-34** Obligation to file statement; duty of officer or person; duty after discontinuance of activity {#sec-52-13c-34 omnilex-key=us-nj-statutes--title-52--52:13C-34}
Every officer, or person performing the functions of an officer, of any person required by this act to file any statement shall be under obligation to cause such person to file such statement within the time prescribed by this act.
The obligation of any person to file any statement required by this act shall continue from day to day, and discontinuance of the activity out of which the obligation arises shall not relieve any person from the obligation to file any statement required for any period of time prior to such discontinuance.
##### **§ 52:13C-35** Voluntary statement; acceptance, filing and reporting {#sec-52-13c-35 omnilex-key=us-nj-statutes--title-52--52:13C-35}
18. The commission shall make provision to accept statements similar to statements required by this act, as amended and supplemented, from persons who are not required by law to file such statements but who choose to make reports upon their activities in influencing legislation. The commission shall have full discretion in prescribing the form and detail of such voluntary statements and may by general rules delimit classes of voluntary filings which it will or will not accept in order to further the purposes of this act, as amended and supplemented, and the efficient administration thereof. The information contained in such voluntary statements as are accepted by the commission shall be included in the periodic reports and summaries which it is required to make.
##### **§ 52:13C-36** Powers of the commission. {#sec-52-13c-36 omnilex-key=us-nj-statutes--title-52--52:13C-36}
19. a. When it shall appear to the commission that a person required to file any statement under this act, as amended and supplemented, has failed to file such required statement, or has filed a statement false, inaccurate or incomplete in any material matter, or has otherwise violated the provisions of this act, as amended and supplemented; or when the commission believes it to be in the public interest that an investigation should be made to ascertain whether a person has in fact violated any of the provisions of this act, as amended and supplemented, it may apply to the Superior Court for an order or orders directing:
(1) That any such person or persons make available to the commission's inspection, or to the inspection of any of its authorized deputies or agents, such records as are required to be kept by that person pursuant to section 7 of P.L.1971, c.183 (C.52:13C-24); or
(2) That any such person file a statement or report in writing under oath concerning the facts and circumstances upon which the commission's belief in the necessity of an investigation is based; or
(3) That any person submit to examination under oath by the commission in connection with said circumstances, and produce any and all records, books and other documents which may be specified by order of the court; or
(4) That the commission may impound any record, book or other documents specified by order of the court.
b. Such application by the commission shall set forth all the facts and circumstances upon which its belief in the necessity of an investigation is based. The court may proceed on such application in a summary manner; and if the court determines that from the evidence submitted it appears that a person required to file any statement under this act, as amended and supplemented, has failed to file such statement, or has filed a statement false, inaccurate or incomplete in any material respect, or has otherwise violated any of the provisions of this act, as amended and supplemented, or that it is in the public interest that an investigation be held to determine whether such violation has occurred, the court shall issue such order pursuant to subsection a. of this section as it may deem necessary and proper.
c. The commission shall hold as confidential all statements, books, records, testimony and other information or sources of information coming into its possession or knowledge as a result of an investigation pursuant to this section and shall not disclose or divulge any such materials or information to anyone except the court under whose order such material or information comes into its knowledge or possession, unless the court shall order its disclosure to a grand jury of this State or other appropriate authorities for the purposes of enforcing the provisions of this act, as amended and supplemented, or any other law.
d. If any person shall refuse to testify or produce any book, paper or other document in any proceeding under this section as ordered by the court on the grounds that the testimony or evidence, documentary or otherwise, which is required of him may tend to incriminate him, convict him of a crime, or subject him to a penalty or forfeiture, and shall, notwithstanding, be directed to testify or to produce such book, paper or document, he shall comply with such direction. A person who is entitled by law to assert such privilege, and does so assert, and thereafter complies with such direction, shall not thereafter be prosecuted or subjected to any penalty or forfeiture in any criminal proceeding which arises out of and relates to the subject matter of the proceeding. No person so testifying shall be exempt from prosecution or punishment for perjury on false swearing committed by him in giving such testimony.
e. In any action brought under this section, the court may award to the State all costs of investigation and trial, including a reasonable attorney's fee to be fixed by the court. If costs are awarded in such an action brought against a governmental affairs agent, the judgment may be awarded against the governmental affairs agent, and the governmental affairs agent's employer or employers joined as defendants, jointly, severally, or both. If the defendant prevails, he shall be awarded all costs of trial, and may be awarded a reasonable attorney's fee to be fixed by the court and paid by the State of New Jersey.
## **Chapter 13D**
##### **§ 52:13D-12** Legislative findings {#sec-52-13d-12 omnilex-key=us-nj-statutes--title-52--52:13D-12}
The Legislature finds and declares:
(a) In our representative form of government, it is essential that the conduct of public officials and employees shall hold the respect and confidence of the people. Public officials must, therefore, avoid conduct which is in violation of their public trust or which creates a justifiable impression among the public that such trust is being violated.
(b) To ensure propriety and preserve public confidence, persons serving in government should have the benefit of specific standards to guide their conduct and of some disciplinary mechanism to ensure the uniform maintenance of those standards amongst them. Some standards of this type may be enacted as general statutory prohibitions or requirements; others, because of complexity and variety of circumstances, are best left to the governance of codes of ethics formulated to meet the specific needs and conditions of the several agencies of government.
(c) It is also recognized that under a free government it is both necessary and desirable that all citizens, public officials included, should have certain specific interests in the decisions of government, and that the activities and conduct of public officials should not, therefore, be unduly circumscribed.
##### **§ 52:13D-13** Definitions. {#sec-52-13d-13 omnilex-key=us-nj-statutes--title-52--52:13D-13}
2. As used in this act, and unless a different meaning clearly appears from the context, the following terms shall have the following meanings:
a. "State agency" means any of the principal departments in the Executive Branch of the State Government, and any division, board, bureau, office, commission, or other instrumentality within or created by such department, the Legislature of the State, and any office, board, bureau, or commission within or created by the Legislative Branch, and, to the extent consistent with law, any interstate agency to which New Jersey is a party and any independent State authority, commission, instrumentality, or agency. A county or municipality shall not be deemed an agency or instrumentality of the State.
b. "State officer or employee" means any person, other than a special State officer or employee: (1) holding an office or employment in a State agency, excluding an interstate agency, other than a member of the Legislature; or (2) appointed as a New Jersey member to an interstate agency.
c. "Member of the Legislature" means any person elected to serve in the General Assembly or the Senate.
d. "Head of a State agency" means: (1) in the case of the Executive Branch of government, except with respect to interstate agencies, the department head or, if the agency is not assigned to a department, the Governor; and (2) in the case of the Legislative Branch, the chief presiding officer of each House of the Legislature.
e. "Special State officer or employee" means: (1) any person holding an office or employment in a State agency, excluding an interstate agency, for which office or employment no compensation is authorized or provided by law, or no compensation other than a sum in reimbursement of expenses, whether payable per diem or per annum, is authorized or provided by law; (2) any person, not a member of the Legislature, holding a part-time elective or appointive office or employment in a State agency, excluding an interstate agency; or (3) any person appointed as a New Jersey member to an interstate agency the duties of which membership are not full-time.
f. "Person" means any natural person, association or corporation.
g. "Interest" means: (1) the ownership or control of more than 10 percent of the profits or assets of a firm, association, or partnership, or more than 10 percent of the stock in a corporation for profit other than a professional service corporation organized under the "Professional Service Corporation Act," P.L.1969, c.232 (C.14A:17-1 et seq.); or (2) the ownership or control of more than one percent of the profits of a firm, association, or partnership, or more than one percent of the stock in any corporation, (a) which is the holder of, or an applicant for, a casino license or in any holding or intermediary company with respect thereto, as defined by the "Casino Control Act," P.L.1977, c.110 (C.5:12-1 et seq.), (b) which is the holder of, or an applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit issued pursuant to P.L.2009, c.307 (C.24:6I-1 et al.), or any holding or intermediary company with respect thereto, or (c) which is the holder of, or an applicant for, a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license issued pursuant to P.L.2021, c.16 (C.24:6I-31 et al.), or which is an entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service, or any holding or intermediary company with respect thereto. The provisions of this act governing the conduct of individuals are applicable to shareholders, associates or professional employees of a professional service corporation regardless of the extent or amount of their shareholder interest in such a corporation.
h. "Cause, proceeding, application or other matter" means a specific cause, proceeding or matter and does not mean or include determinations of general applicability or the preparation or review of legislation which is no longer pending before the Legislature or the Governor.
i. "Member of the immediate family" of any person means the person's spouse, domestic partner, civil union partner, child, parent, or sibling residing in the same household.
##### **§ 52:13D-14** State officer or employee or member of legislature; acceptance of thing of value to influence public duties {#sec-52-13d-14 omnilex-key=us-nj-statutes--title-52--52:13D-14}
No State officer or employee, special State officer or employee, or member of the Legislature shall accept from any person, whether directly or indirectly and whether by himself or through his spouse or any member of his family or through any partner or associate, any gift, favor, service, employment or offer of employment or any other thing of value which he knows or has reason to believe is offered to him with intent to influence him in the performance of his public duties and responsibilities. This section shall not apply to the acceptance of contributions to the campaign of an announced candidate for elective public office.
##### **§ 52:13D-15** Representation, appearance or negotiation, directly or indirectly, for acquisition or sale of property by state {#sec-52-13d-15 omnilex-key=us-nj-statutes--title-52--52:13D-15}
No member of the Legislature or State officer or employee shall represent, appear for, or negotiate on behalf of, or agree to represent, appear for, or negotiate on behalf of, whether by himself or by or through any partnership, firm or corporation in which he has an interest or by any partner, officer or employee of any such partnership, firm or corporation any person or party other than the State in any negotiations for the acquisition or sale by the State or a State agency of any interest in real or tangible or intangible personal property, or in any proceedings relative to such acquisition or sale before a condemnation commission or court; provided, however, nothing contained in this section shall be deemed to prohibit any person from representing himself in negotiations or proceedings concerning his own interest in real property.
##### **§ 52:13D-16** Certain representations, prohibited; exceptions {#sec-52-13d-16 omnilex-key=us-nj-statutes--title-52--52:13D-16}
5. a. No special State officer or employee, nor any partnership, firm or corporation in which he has an interest, nor any partner, officer or employee of any such partnership, firm or corporation, shall represent, appear for, or negotiate on behalf of, or agree to represent, appear for or negotiate on behalf of, any person or party other than the State in connection with any cause, proceeding, application or other matter pending before the particular office, bureau, board, council, commission, authority, agency, fund or system in which such special State officer or employee holds office or employment.
b. No State officer or employee or member of the Legislature, nor any partnership, firm or corporation in which he has an interest, nor any partner, officer or employee of any such partnership, firm or corporation, shall represent, appear for, or negotiate on behalf of, or agree to represent, appear for, or negotiate on behalf of, any person or party other than the State in connection with any cause, proceeding, application or other matter pending before any State agency. Nothing contained herein shall be deemed to prohibit any such partnership, firm or corporation from appearing on its own behalf. This subsection shall not be deemed to prohibit a member of the Legislature or an employee on the member's behalf from: (1) making an inquiry for information on behalf of a constituent, which may include ascertaining the status of a matter, identifying the statutes or regulations involved in a matter or inquiring how to expedite a matter; (2) assisting the constituent in bringing the merits of the constituent's position to the attention of a State agency; or (3) making a recommendation on a matter or indicating support for a constituent's position to a State agency if no fee, reward, employment, offer of employment, or other thing of value is promised to, given to or accepted by the member of the Legislature or an employee therefor, whether directly or indirectly, and the member or employee does not endeavor to use his official position to improperly influence any determination. As used in this subsection "constituent" shall mean any State resident or other person seeking legislative assistance. Nothing contained herein shall authorize contact with State agencies by members of the Legislature or their employees which is otherwise prohibited by the criminal law, this act or the Code of Ethics and nothing contained herein shall authorize contact with an administrative law judge or agency head during the hearing of a contested case.
c. Nothing contained in this section shall be deemed to prohibit any legislator, or any State officer or employee or special State officer or employee from representing, appearing for or negotiating on behalf of, or agreeing to represent, appear for, or negotiate on behalf of, any person or party other than the State in connection with any proceeding:
(1) Pending before any court of record of this State,
(2) In regard to a claim for compensation arising under chapter 15 of Title 34 of the Revised Statutes (Workers' Compensation),
(3) In connection with the determination or review of transfer inheritance or estate taxes,
(4) In connection with the filing of corporate or other documents in the office of the Secretary of State,
(5) Before the Division on Civil Rights or any successor thereof,
(6) Before the New Jersey State Board of Mediation or any successor thereof,
(7) Before the New Jersey Public Employment Relations Commission or any successor thereof,
(8) Before the Unsatisfied Claim and Judgment Fund Board or any successor thereof solely for the purpose of filing a notice of intention pursuant to P.L.1952, c.174, s.5 (C.39:6-65), or
(9) Before any State agency on behalf of a county, municipality or school district, or any authority, agency or commission of any thereof except where the State is an adverse party in the proceeding and provided he is not holding any office or employment in the State agency in which any such proceeding is pending.
##### **§ 52:13D-17** Post-employment restrictions. {#sec-52-13d-17 omnilex-key=us-nj-statutes--title-52--52:13D-17}
6. No State officer or employee or special State officer or employee, subsequent to the termination of his office or employment in any State agency, shall represent, appear for, negotiate on behalf of, or provide information not generally available to members of the public or services to, or agree to represent, appear for, negotiate on behalf of, or provide information not generally available to members of the public or services to, whether by himself or through any partnership, firm or corporation in which he has an interest or through any partner, officer or employee thereof, any person or party other than the State in connection with any cause, proceeding, application or other matter with respect to which such State officer or employee or special State officer or employee shall have made any investigation, rendered any ruling, given any opinion, or been otherwise substantially and directly involved at any time during the course of his office or employment.
Any person who willfully violates the provisions of this section is a disorderly person, and shall be subject to a fine not to exceed $1,000 or imprisonment not to exceed six months, or both.
In addition, for violations occurring after the effective date of P.L.2005, c.382, any former State officer or employee or former special State officer or employee of a State agency in the Executive Branch found by the State Ethics Commission to have violated any of the provisions of this section shall be assessed a civil penalty of not less than $500 nor more than $10,000, which penalty may be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
##### **§ 52:13D-17.2** Definitions; violations; penalties. {#sec-52-13d-17.2 omnilex-key=us-nj-statutes--title-52--52:13D-17.2}
4. a. As used in this section "person" means:
(1) (a) with respect to casino activity: the Governor; the President of the Senate; the Speaker of the General Assembly; any full-time member of the Judiciary; any full-time professional employee of the Office of the Governor; the head of a principal department; the assistant or deputy heads of a principal department, including all assistant and deputy commissioners; the head of any division of a principal department; any State officer or employee subject to financial disclosure by law or executive order and any other State officer or employee with responsibility for matters affecting casino activity; any special State officer or employee with responsibility for matters affecting casino activity; any member of the Legislature; any full-time professional employee of the Legislature; and members of the Casino Reinvestment Development Authority;
(b) (Deleted by amendment P.L.P.L.2025, c.325); or
(c) with respect to activity related to medical cannabis authorized pursuant to P.L.2009, c.307 (C.24:6I-1 et al.) and activity related to personal use cannabis authorized pursuant to P.L.2021, c.16 (C.24:6I-31 et al.): the Governor, the President of the Senate; the Speaker of the General Assembly; any full-time member of the Judiciary; any full-time professional employee of the Office of the Governor; the head of a principal department; the assistant or deputy heads of a principal department, including all assistant and deputy commissioners; the head of any division of a principal department; any other State officer or employee with responsibility for matters affecting medical cannabis activity or personal use cannabis activity; and any special State officer or employee with responsibility for matters affecting medical cannabis activity or personal use cannabis activity; or
(2) (a) any member of the governing body, or the municipal judge or the municipal attorney of a municipality wherein a casino is located; any member of or attorney for the planning board or zoning board of adjustment of a municipality wherein a casino is located; or any professional planner or consultant regularly employed or retained by such planning board or zoning board of adjustment; or
(b) any member of the governing body or the municipal judge of a municipality, any member of the planning board or zoning board of adjustment, or any professional planner or consultant regularly employed or retained by such planning board or zoning board of adjustment, of a municipality wherein a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant issued a permit pursuant to P.L.2009, c.307 (C.24:6I-1 et al.), or wherein a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service issued a license pursuant to P.L.2021, c.16 (C.24:6I-31 et al.), is located.
b. (1) No State officer or employee, nor any person, nor any member of the immediate family of any State officer or employee, or person, nor any partnership, firm, or corporation with which any such State officer or employee or person is associated or in which he has an interest, nor any partner, officer, director, or employee while he is associated with such partnership, firm, or corporation, shall hold, directly or indirectly, an interest in, or hold employment with, or represent, appear for, or negotiate on behalf of, any holder of, or applicant for, a casino license, or any holding or intermediary company with respect thereto, in connection with any cause, application, or matter, except as provided in section 3 of P.L.2009, c.26 (C.52:13D-17.3), and except that (a) a State officer or employee other than a State officer or employee included in the definition of person; and (b) a member of the immediate family of a State officer or employee, or of a person, may hold employment with the holder of, or applicant for, a casino license if, in the judgment of the State Ethics Commission, the Joint Legislative Committee on Ethical Standards, or the Supreme Court, as appropriate, such employment will not interfere with the responsibilities of the State officer or employee, or person, and will not create a conflict of interest, or reasonable risk of the public perception of a conflict of interest, on the part of the State officer or employee, or person.
No special State officer or employee without responsibility for matters affecting casino activity, excluding those serving in the Departments of Education, Health, and Human Services and the Office of the Secretary of Higher Education, shall hold, directly or indirectly, an interest in any holder of, or applicant for, a casino license, or any holding or intermediary company with respect thereto. However, a special State officer or employee without responsibility for matters affecting casino activity may hold employment directly with, or may represent, appear for, or negotiate on behalf of, any holder of or applicant for a casino license or any holding or intermediary company thereof and if so employed may hold, directly or indirectly, an interest in, or represent, appear for, or negotiate on behalf of, that employer, except as otherwise prohibited by law.
(2) No State officer or employee, nor any person, nor any member of the immediate family of any State officer or employee, or person, nor any partnership, firm, or corporation with which any such State officer or employee or person is associated or in which he has an interest, nor any partner, officer, director, or employee while he is associated with such partnership, firm, or corporation, shall hold, directly or indirectly, an interest in, or hold employment with, or represent, appear for, or negotiate on behalf of, or derive any remuneration, payment, benefit, or any other thing of value for any services, including, but not limited to, consulting or similar services, from any holder of, or applicant for, a license, permit, or other approval to conduct Internet gaming, or any holding or intermediary company with respect thereto, or any Internet gaming affiliate of any holder of, or applicant for, a casino license, or any holding or intermediary company with respect thereto, or any business, association, enterprise, or other entity that is organized, in whole or in part, for the purpose of promoting, advocating for, or advancing the interests of the Internet gaming industry generally or any Internet gaming-related business or businesses in connection with any cause, application, or matter, except as provided in section 3 of P.L.2009, c.26 (C.52:13D-17.3), and except that (a) a State officer or employee other than a State officer or employee included in the definition of person; and (b) a member of the immediate family of a State officer or employee, or of a person, may hold employment with the holder of, or applicant for, a license, permit, or other approval to conduct Internet gaming, or any holding or intermediary company with respect thereto, or any Internet gaming affiliate of any holder of, or applicant for, a casino license, or any holding or intermediary company with respect thereto if, in the judgment of the State Ethics Commission, the Joint Legislative Committee on Ethical Standards, or the Supreme Court, as appropriate, such employment will not interfere with the responsibilities of the State officer or employee, or person, and will not create a conflict of interest, or reasonable risk of the public perception of a conflict of interest, on the part of the State officer or employee, or person.
(3) No State officer or employee, nor any person, nor any member of the immediate family of any State officer or employee, or person, nor any partnership, firm, or corporation with which any such State officer or employee or person is associated or in which he has an interest, nor any partner, officer, director, or employee while he is associated with such partnership, firm, or corporation, shall hold, directly or indirectly, an interest in, or hold employment with, or represent, appear for, or negotiate on behalf of, any holder of, or applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit issued pursuant to P.L.2009, c.307 (C.24:6I-1 et al.) or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or any holding or intermediary company with respect thereto, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license issued pursuant to P.L.2021, c.16 (C.24:6I-31 et al.), or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service, or any holding or intermediary company with respect thereto, in connection with any cause, application, or matter, except as provided in section 3 of P.L.2009, c.26 (C.52:13D-17.3), and except that:
(a) a State officer or employee other than a State officer or employee included in the definition of person may hold employment with the holder of, or applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service, if, in the judgment of the State Ethics Commission, the Joint Legislative Committee on Ethical Standards, or the Supreme Court, as appropriate, such employment will not interfere with the responsibilities of the State officer or employee, or person, and will not create a conflict of interest, or reasonable risk of the public perception of a conflict of interest, on the part of the State officer or employee ;
(b) a member of the immediate family of a State officer or employee, or of a person, may hold employment with the holder of, or applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service, if, in the judgment of the State Ethics Commission, the Joint Legislative Committee on Ethical Standards, or the Supreme Court, as appropriate, such employment will not interfere with the responsibilities of the State officer or employee, or person, and will not create a conflict of interest, or reasonable risk of the public perception of a conflict of interest, on the part of the State officer or employee, or person; and
(c) A member of the immediate family of any State officer or employee, or of a person, may hold, directly or indirectly, an interest in, or represent, appear for, or negotiate on behalf of any holder of or applicant for a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit issued pursuant to P.L.2009, c.307 (C.24:6I-1 et al.) or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or any holding or intermediary company with respect thereto, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license issued pursuant to P.L.2021, c.16 (C.24:6I-31 et al.), or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service, or any holding or intermediary company with respect thereto, only if, in the judgment of the State Ethics Commission, the Joint Legislative Committee on Ethical Standards, or the Supreme Court, as appropriate, such employment or interest will not interfere with the responsibilities of the State officer or employee, or person, and will not create a conflict of interest, or reasonable risk of the public perception of a conflict of interest, on the part of the State officer or employee, or person.
A special State officer or employee without responsibility for matters affecting medical cannabis activity or personal use cannabis activity, including those serving in the Departments of Education, Health, and Human Services and the Office of the Secretary of Higher Education, may hold, directly or indirectly, an interest in any holder of, or applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or any holding or intermediary company with respect thereto, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service, or any holding or intermediary company with respect thereto. A special State officer or employee without responsibility for matters affecting medical cannabis activity or personal use cannabis activity may hold employment directly with, or may represent, appear for, or negotiate on behalf of, any holder of or applicant for a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit, or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or any holding or intermediary company thereof, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service, or any holding or intermediary company with respect thereto, and if so employed may hold, directly or indirectly, an interest in, or represent, appear for, or negotiate on behalf of, that employer, except as otherwise prohibited by law.
c. (1) No person or any member of his immediate family, nor any partnership, firm, or corporation with which such person is associated or in which he has an interest, nor any partner, officer, director, or employee while he is associated with such partnership, firm or corporation, shall, within two years next subsequent to the termination of the office or employment of such person, hold, directly or indirectly, an interest in, or hold employment with, or represent, appear for, or negotiate on behalf of, any holder of, or applicant for, a casino license in connection with any cause, application or matter, or any holding or intermediary company with respect to such holder of, or applicant for, a casino license in connection with any phase of casino development, permitting, licensure, or any other matter whatsoever related to casino activity, except as provided in section 3 of P.L.2009, c.26 (C.52:13D-17.3), and except that:
(a) a member of the immediate family of a person may hold employment with the holder of, or applicant for, a casino license if, in the judgment of the State Ethics Commission, the Joint Legislative Committee on Ethical Standards, or the Supreme Court, as appropriate, such employment will not interfere with the responsibilities of the person and will not create a conflict of interest, or reasonable risk of the public perception of a conflict of interest, on the part of the person;
(b) an employee who is terminated as a result of a reduction in the workforce at the agency where employed, other than an employee who held a policy-making management position at any time during the five years prior to termination of employment, may, at any time prior to the end of the two-year period, accept employment with the holder of, or applicant for, a casino license if, in the judgment of the State Ethics Commission, the Joint Legislative Committee on Ethical Standards, or the Supreme Court, as appropriate, such employment will not create a conflict of interest, or reasonable risk of the public perception of a conflict of interest, on the part of the employee. In no case shall the restrictions of this subsection apply to a secretarial or clerical employee.
Nothing herein contained shall alter or amend the post-employment restrictions applicable to members and employees of the Casino Control Commission and employees and agents of the Division of Gaming Enforcement pursuant to paragraph (2) of subsection e. of section 59 and section 60 of P.L.1977, c.110 (C.5:12-59 and C.5:12-60); and
(c) any partnership, firm, or corporation engaged in the practice of law or in providing any other professional services with which any person included in subparagraph (a) of paragraph (1) of subsection a. of this section, or a member of the immediate family of that person, is associated, and any partner, officer, director, or employee thereof, other than that person, or immediate family member, may represent, appear for, or negotiate on behalf of any holder of, or applicant for, a casino license in connection with any cause, application, or matter or any holding company or intermediary company with respect to such holder of, or applicant for, a casino license in connection with any phase of casino development, permitting, licensure, or any other matter whatsoever related to casino activity, and that person or immediate family member shall not be barred from association with such partnership, firm, or corporation if, for a period of two years next subsequent to the termination of the person's office or employment, the person or immediate family member (i) is screened from personal participation in any such representation, appearance, or negotiation; and (ii) is associated with the partnership, firm, or corporation in a position which does not entail any equity interest in the partnership, firm, or corporation. The exception provided in this subparagraph shall not apply to a former Governor, Lieutenant Governor, Attorney General, member of the Legislature, person included in subparagraph (a) of paragraph (2) of subsection a. of this section, or to the members of their immediate families.
(2) No person or any member of the person's immediate family, nor any partnership, firm, or corporation with which such person is associated or in which the person has an interest, nor any partner, officer, director, or employee while the person is associated with such partnership, firm, or corporation, shall, within two years next subsequent to the termination of the office or employment of such person, hold, directly or indirectly, an interest in, or hold employment with, or represent, appear for, or negotiate on behalf of, any holder of, or applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit issued pursuant to P.L.2009, c.307 (C.24:6I-1 et al.) or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license issued pursuant to P.L.2021, c.16 (C.24:6I-31 et al.) or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service in connection with any cause, application, or matter, or any holding or intermediary company with respect to such holder of, or applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service in connection with any phase of development, permitting, licensure, or any other matter whatsoever related to medical cannabis activity or personal use cannabis activity, except as provided in section 3 of P.L.2009, c.26 (C.52:13D-17.3), and except that:
(a) a member of the immediate family of a person may hold employment with the holder of, or applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit issued pursuant to P.L.2009, c.307 (C.24:6I-1 et al.) or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license issued pursuant to P.L.2021, c.16 (C.24:6I-31 et al.) or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service if, in the judgment of the State Ethics Commission, the Joint Legislative Committee on Ethical Standards, or the Supreme Court, as appropriate, such employment will not interfere with the responsibilities of the person and will not create a conflict of interest, or reasonable risk of the public perception of a conflict of interest, on the part of the person;
(b) an employee who is terminated as a result of a reduction in the workforce at the agency where employed, other than an employee who held a policy-making management position at any time during the five years prior to termination of employment, may, at any time prior to the end of the two-year period, accept employment with the holder of, or applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service if, in the judgment of the State Ethics Commission, the Joint Legislative Committee on Ethical Standards, or the Supreme Court, as appropriate, such employment will not create a conflict of interest, or reasonable risk of the public perception of a conflict of interest, on the part of the employee. In no case shall the restrictions of this subsection apply to a secretarial or clerical employee. Nothing herein contained shall alter or amend the post-service or post-employment restrictions applicable to members and employees of the Cannabis Regulatory Commission pursuant to paragraph (2) of subsection c. of section 34 and section 35 of P.L.2019, c.153 (C.24:6I-27 and C.24:6I-28);
(c) any partnership, firm, or corporation engaged in the practice of law or in providing any other professional services with which any person included in subparagraph (c) of paragraph (1) of subsection a. of this section, or a member of the immediate family of that person, is associated, and any partner, officer, director, or employee thereof, other than that person, or immediate family member, may represent, appear for, or negotiate on behalf of any holder of, or applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service in connection with any cause, application, or matter or any holding company or intermediary company with respect to such holder of, or applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service in connection with any phase of development, permitting, licensing, or any other matter whatsoever related to medical cannabis activity or personal use cannabis activity, and that person or immediate family member shall not be barred from association with such partnership, firm, or corporation if, for a period of two years next subsequent to the termination of the person's office or employment, the person or immediate family member is screened from personal participation in any such representation, appearance, or negotiation. The exception provided in this subparagraph shall not apply to a former Governor, Lieutenant Governor, Attorney General, the President of the Senate, or the Speaker of the General Assembly, to a person included in subparagraph (b) of paragraph (2) of subsection a. of this section, or to the members of their immediate families; and
(d) A member of the immediate family of any person may hold, directly or indirectly, an interest in, or represent, appear for, or negotiate on behalf of any holder of or applicant for a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit issued pursuant to P.L.2009, c.307 (C.24:6I-1 et al.) or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or any holding or intermediary company with respect thereto, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license issued pursuant to P.L.2021, c.16 (C.24:6I-31 et al.), or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service, or any holding or intermediary company with respect thereto, only if, in the judgment of the State Ethics Commission, the Joint Legislative Committee on Ethical Standards, or the Supreme Court, as appropriate, such employment or interest will not interfere with the responsibilities of the State officer or employee, or person, and will not create a conflict of interest, or reasonable risk of the public perception of a conflict of interest, on the part of the person .
d. This section shall not apply to the spouse of a State officer or employee, which State officer or employee is without responsibility for matters affecting casino, medical cannabis, or personal use cannabis activity, who becomes the spouse subsequent to the State officer's or employee's appointment or employment as a State officer or employee and who is not individually or directly employed by a holder of, or applicant for, a casino license, medical cannabis permit, personal use cannabis license, or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service, or any holding or intermediary company thereof.
e. The Joint Legislative Committee on Ethical Standards and the State Ethics Commission, as appropriate, shall forthwith determine and publish, and periodically update, a list of those positions in State government with responsibility for matters affecting casino, medical cannabis activity, or personal use cannabis activity.
f. (1) No person shall solicit or accept, directly or indirectly, any complimentary service or discount from any casino applicant or licensee which he knows or has reason to know is other than a service or discount that is offered to members of the general public in like circumstance.
(2) No person shall solicit or accept, directly or indirectly, any complimentary service or discount from any holder of, or applicant for, a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit issued pursuant to P.L.2009, c.307 (C.24:6I-1 et al.) or any entity that employs any certified medical cannabis handler to perform transfers or deliveries of medical cannabis, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license issued pursuant to P.L.2021, c.16 (C.24:6I-31 et al.) or any entity that employs or uses a certified personal use cannabis handler to perform work for or on behalf of a licensed cannabis establishment, distributor, or delivery service which the person knows or has reason to know is other than a service or discount that is offered to members of the general public in like circumstance.
g. (1) No person shall influence, or attempt to influence, by use of his official authority, the decision of the Casino Control Commission or the investigation of the Division of Gaming Enforcement in any application for casino licensure or in any proceeding to enforce the provisions of this act or the regulations of the commission. Any such attempt shall be promptly reported to the Attorney General, provided, however, that nothing in this section shall be deemed to proscribe a request for information by any person concerning the status of any application for licensure or any proceeding to enforce the provisions of this act or the regulations of the commission.
(2) No person shall influence, or attempt to influence, by use of the person's official authority, the decision of the Cannabis Regulatory Commission in any application for a medical cannabis cultivator, medical cannabis manufacturer, medical cannabis dispensary, or clinical registrant permit, or a cannabis cultivator, cannabis manufacturer, cannabis wholesaler, cannabis distributor, cannabis retailer, or cannabis delivery service license, or in any proceeding to enforce the provisions of P.L.1981, c.142 (C.52:13D-17.2 et al.), P.L.2009, c.307 (C.24:6I-1 et al.), P.L.2021, c.16 (C.24:6I-31 et al.), or the regulations of the Cannabis Regulatory Commission. Any such attempt shall be promptly reported to the Attorney General, provided, however, that nothing in this section shall be deemed to proscribe a request for information by any person concerning the status of any permit or license application, or any proceeding to enforce the provisions of P.L.1981, c.142 (C.52:13D-17.2 et al.), P.L.2009, c.307 (C.24:6I-1 et al.), P.L.2021, c.16 (C.24:6I-31 et al.), or the regulations of the Cannabis Regulatory Commission.
h. Any person who willfully violates the provisions of this section is a disorderly person and shall be subject to a fine not to exceed $1,000, or imprisonment not to exceed six months, or both.
In addition, for violations of subsection c. of this section occurring after the effective date of P.L.2005, c.382, a civil penalty of not less than $500 nor more than $10,000 shall be imposed upon a former State officer or employee or former special State officer or employee of a State agency in the Executive Branch upon a finding of a violation by the State Ethics Commission, which penalty may be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
##### **§ 52:13D-17.3** Employment with casino permitted for certain members of municipal governing body; guidance offered. {#sec-52-13d-17.3 omnilex-key=us-nj-statutes--title-52--52:13D-17.3}
3. Notwithstanding the provisions of section 4 of P.L.1981, c.142 (C.52:13D-17.2), a member of the governing body of a municipality wherein a casino is located, other than the mayor, and a member of the immediate family thereof, may hold employment with the holder of, or applicant for, a casino license, or any holding or intermediary company with respect thereto, while serving in that elective office and thereafter, if that member of the governing body, or member of the immediate family thereof, held that specific employment when that member of the governing body took office. Notwithstanding any provision of the "Local Government Ethics Law," P.L.1991, c.29 (C.40A:9-22.1 et seq.) to the contrary, such a member or member-elect of the governing body shall request the Local Finance Board in the Division of Local Government Services in the Department of Community Affairs to provide guidance in the form of a written advisory opinion, pursuant to the "Local Government Ethics Law," regarding any potential conflict of interest that may arise as a result of the employment described herein while serving on the governing body. Any advisory opinion issued under the "Local Government Ethics Law" for this purpose shall be a government record, as defined in section 1 of P.L.1995, c.23 (C.47:1A-1.1), that is accessible to the public and shall not be confidential. The Local Finance Board may adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), any rules and regulations necessary to implement the provisions of this section.
##### **§ 52:13D-18** Vote, other action by legislator or immediate family member with personal interest; prohibition. {#sec-52-13d-18 omnilex-key=us-nj-statutes--title-52--52:13D-18}
7. a. No member of the Legislature shall participate by voting or any other action, on the floor of the General Assembly or the Senate, or in committee or elsewhere, in the enactment or defeat of legislation in which he has a personal interest.
b. A member of the Legislature shall be deemed to have a personal interest in any legislation within the meaning of this section if, by reason of his participation in the enactment or defeat of any legislation, he has reason to believe that he, or a member of his immediate family, will derive a direct monetary gain or suffer a direct monetary loss. No member of the Legislature shall be deemed to have a personal interest in any legislation within the meaning of this section if, by reason of his participation in the enactment or defeat of any legislation, no benefit or detriment could reasonably be expected to accrue to him, or a member of his immediate family, as a member of a business, profession, occupation or group, to any greater extent than any such benefit or detriment could reasonably be expected to accrue to any other member of such business, profession, occupation or group.
##### **§ 52:13D-19** Contracts of State agencies. {#sec-52-13d-19 omnilex-key=us-nj-statutes--title-52--52:13D-19}
8. a. No member of the Legislature or State officer or employee shall knowingly himself, or by his partners or through any corporation which he controls or in which he owns or controls more than 1% of the stock, or by any other person for his use or benefit or on his account, undertake or execute, in whole or in part, any contract, agreement, sale or purchase of the value of $25.00 or more, made, entered into, awarded or granted by any State agency, except as provided in subsection b. of this section. No special State officer or employee having any duties or responsibilities in connection with the purchase or acquisition of property or services by the State agency where he is employed or an officer shall knowingly himself, by his partners or through any corporation which he controls or in which he owns or controls more than 1% of the stock, or by any other person for his use or benefit or on his account, undertake or execute, in whole or in part, any contract, agreement, sale or purchase of the value of $25.00 or more, made, entered into, awarded or granted by that State agency, except as provided in subsection b. of this section. The restriction contained in this subsection shall apply to the contracts of interstate agencies to the extent consistent with law only if the contract, agreement, sale or purchase is undertaken or executed by a New Jersey member to that agency or by his partners or a corporation in which he owns or controls more than 1% of the stock.
b. The provisions of subsection a. of this section shall not apply to (a) purchases, contracts, agreements or sales which (1) are made or let after public notice and competitive bidding or which (2), pursuant to section 5 of chapter 48 of the laws of 1944 (C. 52:34-10) or such other similar provisions contained in the public bidding laws or regulations applicable to other State agencies, may be made, negotiated or awarded without public advertising for bids, or (b) any contract of insurance entered into by the Director of the Division of Purchase and Property pursuant to section 10 of article 6 of chapter 112 of the laws of 1944 (C. 52:27B-62), if such purchases, contracts or agreements, including change orders and amendments thereto, shall receive prior approval of the Joint Legislative Committee on Ethical Standards if a member of the Legislature or State officer or employee or special State officer or employee in the Legislative Branch has an interest therein, or the State Ethics Commission if a State officer or employee or special State officer or employee in the Executive Branch has an interest therein.
##### **§ 52:13D-19.1** State officer, employee may enter into certain contracts with State agency {#sec-52-13d-19.1 omnilex-key=us-nj-statutes--title-52--52:13D-19.1}
1. Notwithstanding the provisions of P.L.1971, c.182 (C.52:13D-12 et seq.), a State officer or employee or a special State officer or employee or his partners or any corporation or firm in which he owns or controls more than 1% of the stock, assets or profits may enter into a contract or agreement with a State agency where the contract or agreement is for the development of scientific or technological discoveries or innovations in which the State agency has a property right, if the State agency has a procedure in its code of ethics for authorizing these contracts or agreements which minimizes actual conflicts of interest and the code of ethics was approved in accordance with section 12 of P.L.1971, c.182 (C.52:13D-23) and the contract or agreement complies with that code procedure.
##### **§ 52:13D-19.1a** New Jersey Commission on Science, Innovation and Technology, grants. {#sec-52-13d-19.1a omnilex-key=us-nj-statutes--title-52--52:13D-19.1a}
1. Notwithstanding the provisions of P.L.1971, c.182 (C.52:13D-12 et seq.) or any other law or regulation to the contrary, a State officer or employee or a special State officer or special State employee of a State public institution of higher education, or their partners or any corporation or firm in which they own or control stock, assets, or profits, may apply for, and the Commission on Science, Innovation and Technology may award, grants for the development of scientific or technological discoveries or innovations offered through or administered by the New Jersey Commission on Science, Innovation and Technology, established by P.L.1985, c.102 and re-established by P.L.2018, c.91 (C.52:9X-1 et seq.).
##### **§ 52:13D-19.2** State officer, employee may enter into certain rental agreements with State agency {#sec-52-13d-19.2 omnilex-key=us-nj-statutes--title-52--52:13D-19.2}
2. Notwithstanding the provisions of P.L.1971, c.182 (C.52:13D-12 et seq.), a State officer or employee or a special State officer or employee or his partners or any corporation or firm in which he owns or controls more than 1% of the stock, assets or profits may enter into a rental agreement with a State agency which operates a facility which rents space or provides services to assist small businesses which employ 50 people or less, pursuant to the same terms and conditions as those offered to members of the public generally.
##### **§ 52:13D-19.3** Other provisions not altered or affected {#sec-52-13d-19.3 omnilex-key=us-nj-statutes--title-52--52:13D-19.3}
3. Nothing in this act shall alter or affect any other applicable provisions regulating public contracts.
##### **§ 52:13D-20** Representation of state agency in transaction involving pecuniary interest for legislator or state officer or employee {#sec-52-13d-20 omnilex-key=us-nj-statutes--title-52--52:13D-20}
No member of the Legislature or State officer or employee or special State officer or employee shall act as officer or agent for a State agency for the transaction of any business with himself or with a corporation, company, association or firm in the pecuniary profits of which he has an interest (except that ownership or control of 10% or less of the stock of a corporation shall not be deemed an interest within the meaning of this section).
##### **§ 52:13D-21** State Ethics Commission; membership; powers; duties; penalties. {#sec-52-13d-21 omnilex-key=us-nj-statutes--title-52--52:13D-21}
10. (a) The Executive Commission on Ethical Standards created pursuant to P.L.1967, c.229, is continued and established in the Department of Law and Public Safety and shall constitute the first commission under P.L.1971, c.182 (C.52:13D-12 et al.).
Upon the effective date of P.L.2005, c.382, the Executive Commission on Ethical Standards shall be renamed, and thereafter referred to, as the State Ethics Commission. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the State Ethics Commission is allocated in, but not of, the Department of Law and Public Safety, but notwithstanding that allocation, the commission shall be independent of any supervision and control by the department or by any board or officer thereof.
(b) The commission shall be composed of seven members as follows: three members appointed by the Governor from among State officers and employees serving in the Executive Branch; and four public members appointed by the Governor, not more than two of whom shall be of the same political party.
Each member appointed from the Executive Branch shall serve at the pleasure of the Governor during the term of office of the Governor appointing the member and until the member's successor is appointed and qualified. The public members shall serve for terms of four years and until the appointment and qualification of their successors, but of the public members first appointed pursuant to P.L.2003, c.160, one shall serve for a term of two years and one shall serve for a term of four years, and of the two public members first appointed pursuant to P.L.2005, c.382, one shall serve for a term of one year and one shall serve for a term of three years. The Governor shall designate one public member to serve as chairman and one member to serve as vice-chairman of the commission.
The members of the State Ethics Commission who were appointed by the Governor from among the State officers and employees serving in the Executive Branch serving on January 17, 2006 are terminated as of that day. A member terminated pursuant to this paragraph shall be eligible for reappointment.
Vacancies in the membership of the commission shall be filled in the same manner as the original appointments but, in the case of public members, for the unexpired term only. None of the public members shall be State officers or employees or special State officers or employees, except by reason of their service on the commission. A public member may be reappointed for subsequent terms on the commission.
(c) Each member of the commission shall serve without compensation but shall be entitled to be reimbursed for all actual and necessary expenses incurred in the performance of the member's duties.
(d) The Attorney General shall act as legal adviser and counsel to the commission. The Attorney General shall upon request advise the commission in the rendering of advisory opinions by the commission, in the approval and review of codes of ethics adopted by State agencies in the Executive Branch and in the recommendation of revisions in codes of ethics or legislation relating to the conduct of State officers and employees in the Executive Branch.
(e) (1) The commission may, within the limits of funds appropriated or otherwise made available to it for the purpose, employ such other professional, technical, clerical or other assistants, excepting legal counsel, and incur such expenses as may be necessary for the performance of its duties.
(2) The commission shall employ a training officer who shall be in the unclassified service of the civil service of this State. The training officer shall devote full-time to the creation, maintenance and coordination of a training program on ethical standards. The program shall be established for the purpose specified in section 2 of P.L.2005, c.382 (C.52:13D-21.1). The program shall be provided by the training officer or assistants or deputies of such officer, or by such other persons as may be designated by the commission. The commission shall approve the form and content of the training program created by the training officer and shall determine when and at what intervals State officers and employees and special State officers and employees in a State agency in the Executive Branch shall be required to complete such a program. The training program may include content which in particular addresses the situations of certain identified groups of officers or employees such as those who are involved in contracting processes.
(3) The commission shall employ a compliance officer who shall be in the unclassified service of the civil service of this State. The compliance officer shall devote full-time to the creation, maintenance, monitoring and coordination of procedures to ensure that all State officers and employees and special State officers and employees in State agencies in the Executive Branch comply fully with all reporting and training requirements and that all materials, forms, codes, orders and notices are distributed to and acknowledged by appropriate individuals, as may be required. In addition, the compliance officer shall conduct, on such regular basis as determined by the commission, systematic audits of State agencies in the Executive Branch for compliance with the laws, regulations, codes, orders, procedures, advisory opinions and rulings concerning the ethical standards for State employees and officers and special State officers and employees.
(f) The commission, in order to perform its duties pursuant to the provisions of P.L.1971, c.182 (C.52:13D-12 et al.), shall have the power to conduct investigations, hold hearings, compel the attendance of witnesses and the production before it of such books and papers as it may deem necessary, proper and relevant to the matter under investigation. The members of the commission and the persons appointed by the commission for that purpose are hereby empowered to administer oaths and examine witnesses under oath.
(g) The commission is authorized to render advisory opinions as to whether a given set of facts and circumstances would, in its opinion, constitute a violation of the provisions of P.L.1971, c.182 (C.52:13D-12 et al.) or of a code of ethics promulgated pursuant to the provisions of P.L.1971, c.182 (C.52:13D-12 et al.).
(h) The commission shall have jurisdiction to initiate, receive, hear and review complaints regarding violations, by any current or former State officer or employee or current or former special State officer or employee, in the Executive Branch, of the provisions of P.L.1971, c.182 (C.52:13D-12 et al.) or of a code of ethics promulgated pursuant to the provisions of P.L.1971, c.182 (C.52:13D-12 et al.). Any complaint regarding a violation of a code of ethics may be referred by the commission for disposition in accordance with subsection (d) of section 12 of P.L.1971, c.182 (C.52:13D-23).
An investigation regarding a violation committed during service by a former State officer or employee or special State officer or employee shall be initiated by the commission not later than two years following the termination of service.
The commission shall have the authority to dismiss a complaint that it determines to be frivolous.
(i) Any current or former State officer or employee or current or former special State officer or employee found guilty by the commission of violating any provision of P.L.1971, c.182 (C.52:13D-12 et al.) or of a code of ethics promulgated pursuant to the provisions of P.L.1971, c.182 (C.52:13D-12 et al.) shall be fined not less than $500 nor more than $10,000, which penalty may be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.), and may be suspended from office or employment by order of the commission for a period of not in excess of one year. If the commission finds that the conduct of the officer or employee constitutes a willful and continuous disregard of the provisions of P.L.1971, c.182 (C.52:13D-12 et al.) or of a code of ethics promulgated pursuant to the provisions of P.L.1971, c.182 (C.52:13D-12 et al.), it may order that person removed from office or employment and may further bar the person from holding any public office or employment in this State in any capacity whatsoever for a period of not exceeding five years from the date on which the person was found guilty by the commission.
In addition, for violations occurring after the effective date of P.L.2005, c.382, the commission may order restitution, demotion, censure or reprimand, or for a failure to file an appropriate financial disclosure statement or form, shall impose a civil penalty of $50 for each day of the violation, which penalty may be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
(j) The remedies provided herein are in addition to all other criminal and civil remedies provided under the law.
(k) The commission shall promulgate, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), such rules and regulations as may be necessary to effectuate the purposes of P.L.1971, c.182 (C.52:13D-12 et al.).
(l) (1) The commission shall communicate periodically with the State Auditor, the State Inspector General, the State Commission of Investigation and the Office of Government Integrity, or its successor, in the Department of Law and Public Safety.
(2) The Executive Director of the commission shall meet with the head of each principal department of the Executive Branch of State Government, each board member if a board is considered the head of a principal department, and the Secretary of Agriculture, the Commissioner of Education, and the Secretary and Chief Executive Officer of the New Jersey Commerce and Economic Growth Commission, within 30 days after the head, member, secretary or commissioner takes office, and shall meet annually with these individuals as a group, to inform them of the laws, regulations, codes, orders, procedures, advisory opinions and rulings concerning applicable ethical standards.
(m) The commission shall create and maintain a toll-free telephone number to receive comments, complaints and questions concerning matters under the jurisdiction of the commission. Information or questions received by the commission by this means shall be confidential and not accessible to the public pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.).
(n) Financial disclosure statements required to be submitted to the commission by law, regulation or executive order shall be made available to the public, promptly after receipt, on the Internet site of the commission, commencing with submissions for 2005.
(o) The commission shall prepare and ensure the distribution to each State officer and employee and special State officer and employee in a State agency in the Executive Branch of a plain language ethics guide which provides a clear and concise summary of the laws, regulations, codes, orders, procedures, advisory opinions and rulings concerning ethical standards applicable to such officers and employees. The guide shall be prepared to promote ethical day-to-day decision making, to give general advice regarding conduct and situations, to provide easy reference to sources, and to explain the role, activities and jurisdiction of the State Ethics Commission. Each State officer and employee and special State officer and employee shall certify that he or she has received the guide, reviewed it and understands its provisions.
(p) The commission shall have jurisdiction to enforce the provisions of an Executive Order that specifically provides for enforcement by the commission.
##### **§ 52:13D-21.1** Certain State officers, employees, completion of training program on ethical standards required; annual briefing. {#sec-52-13d-21.1 omnilex-key=us-nj-statutes--title-52--52:13D-21.1}
2. A State officer or employee or a special State officer or employee in a State agency in the Executive Branch shall complete a training program on ethical standards provided by the State Ethics Commission at such times and intervals as the commission shall require pursuant to subsection (e) of section 10 of P.L.1971, c.182 (C.52:13D-21). At a minimum, an officer or employee shall complete annually, and acknowledge his or her completion of, a briefing on the ethics standards applicable to such employee or officer pursuant to the laws, regulations, codes, orders, procedures, advisory opinions or rulings of this State. The format and content of the program and briefing shall be determined by the training officer of the State Ethics Commission and approved by the commission as provided in subsection (e) of section 10 of P.L.1971, c.182 (C.52:13D-21).
##### **§ 52:13D-21.2** Restrictions on certain State employment for certain relatives of State employees, officers; definition. {#sec-52-13d-21.2 omnilex-key=us-nj-statutes--title-52--52:13D-21.2}
13. a. (1) A relative of the Governor shall not be employed in an office or position in the unclassified service of the civil service of the State in the Executive Branch of State Government.
(2) A relative of the commissioner or head of a principal department in the Executive Branch of State Government shall not be employed in an office or position in the unclassified service of the civil service of the State in the principal department over which the commissioner or head of the principal department exercises authority, supervision, or control.
(3) A relative of an assistant or deputy commissioner or head of a principal department in the Executive Branch of State Government who is employed in an office or position in the unclassified service of the civil service of the State may be employed in the principal department in which the assistant or deputy commissioner or head serves, but shall not be assigned to a position over which the assistant or deputy commissioner or head exercises authority, supervision, or control.
(4) A relative of a head or assistant head of a division of a principal department in the Executive Branch of State government who is employed in an office or position in the unclassified service of the civil service of the State may be employed in the principal department in which the head or assistant head of a division serves, but shall not be assigned to a position over which the head or assistant head exercises authority, supervision, or control.
b. (1) A relative of an appointed member of a governing or advisory body of an independent authority, board, commission, agency or instrumentality of the State shall not be employed in an office or position in that independent authority, board, commission, agency or instrumentality.
(2) A relative of an appointed New Jersey member of a governing body of a bi-state or multi-state agency shall not be employed in an office or position in that bi-state or multi-state agency, to the extent permitted by law.
c. A State officer or employee or a special State officer or employee of a State agency in the Executive Branch shall not supervise, or exercise authority with regard to personnel actions over, a relative of the officer or employee.
d. As used in this section, "relative" means an individual's spouse or the individual's or spouse's parent, child, brother, sister, aunt, uncle, niece, nephew, grandparent, grandchild, son-in-law, daughter-in-law, stepparent, stepchild, stepbrother, stepsister, half brother or half sister, whether the relative is related to the individual or the individual's spouse by blood, marriage or adoption.
##### **§ 52:13D-22** Joint Legislative Committee on Ethical Standards; membership; powers; terms; duties; penalties. {#sec-52-13d-22 omnilex-key=us-nj-statutes--title-52--52:13D-22}
11. (a) There is established a Joint Legislative Committee on Ethical Standards in the Legislative Branch of State Government.
(b) Commencing on the 30th day after the effective date of P.L.2008, c.16, the joint committee shall be composed of eight members of the public as follows: two appointed by the President of the Senate, two appointed by the Speaker of the General Assembly, two appointed by the Minority Leader of the Senate, and two appointed by the Minority Leader of the General Assembly. No member of the Senate or of the General Assembly shall be eligible to serve as a member of the joint committee. No more than two members of the joint committee may be former members of the Senate or of the General Assembly. The members shall be full-time residents of the State and available throughout the year to attend, in person, the meetings of the joint committee.
No member shall be a lobbyist or governmental affairs agent as defined by the "Legislative and Governmental Process Activities Disclosure Act," P.L.1971, c.183 (C.52:13C-18 et seq.), a full-time State employee or an officer or director of any entity which is required to file a statement with the Election Law Enforcement Commission, and no former lobbyist or governmental affairs agent shall be eligible to serve as a member for one year following the cessation of all activity by that person as a governmental affairs agent or lobbyist. Notwithstanding the above restrictions, among the members appointed pursuant to this section, one may be a full-time faculty member of a State public institution of higher education having a doctoral degree and expertise in the areas of ethics, philosophy and government with extensive experience in State legislative organization and procedures. No person who served as a member of the joint committee at any time prior to the 30th day after the effective date of P.L.2008, c.16 shall be eligible to serve as a member of the joint committee as constituted under this subsection. The members shall serve for terms of two years.
The terms of the members shall run from the second Tuesday in January of an even-numbered year to the second Tuesday in January of the next even-numbered year, regardless of the original date of appointment.
Vacancies in the membership of the joint committee shall be filled in the same manner as the original appointments, but for the unexpired term only. The members of the joint committee shall serve without compensation, but shall be entitled to be reimbursed for all actual and necessary expenses incurred in the performance of their duties.
(c) Commencing on the 30th day after the effective date of P.L.2008, c.16, the chairman of the joint committee shall be selected jointly by the President of the Senate and the Speaker of the General Assembly, when the President and Speaker are members of the same political party, from among the members of the joint committee. The first chairman to be selected jointly shall be a full-time faculty member of a State public institution of higher education having a doctoral degree and expertise in the areas of ethics, philosophy and government with extensive experience in State legislative organization and procedures. The vice chairman shall be selected jointly by the Minority Leader of the Senate and the Minority Leader of the General Assembly, when the Minority Leaders are members of the same political party, from among the members of the joint committee. When the President of the Senate and the Speaker of the General Assembly are not members of the same political party, the President and Speaker shall alternate in selecting the chairman of the joint committee with the President of the Senate selecting the chairman first, and then, at the next organization of the joint committee if the President and the Speaker are not members of the same political party, the Speaker of the General Assembly selecting the chairman. When the Minority Leader of the Senate and the Minority Leader of the General Assembly are not members of the same political party, the Minority Leaders shall alternate in selecting the vice chairman of the joint committee with the Minority Leader of the Senate selecting the vice chairman first, and then, at the next organization of the joint committee if the Minority Leaders are not members of the same political party, the Minority Leader of the General Assembly selecting the vice chairman. The alternating method of selection shall continue regardless of intervening periods when joint selections are made.
The chairman and the vice chairman shall not be members of the same political party.
(d) The Legislative Counsel in the Office of Legislative Services shall act as legal adviser to the joint committee. The Executive Director of the Office of Legislative Services shall appoint another attorney in the Office of Legislative Services to serve as Ethics Counsel to the individual members of the Legislature and officers and employees in the Legislative Branch. The Ethics Counsel shall provide informal ethics advice to individual members of the Legislature and officers and employees in the Legislative Branch upon request, when the request is one fully answered by the New Jersey Conflicts of Interest Law or the Legislative Code of Ethics or is on a subject previously determined by the Joint Committee. Informal ethics advice from the Ethics Counsel to a member of the Legislature or an officer or employee in the Legislative Branch shall be confidential and subject to the attorney-client privilege. The Ethics Counsel may also assist members of the Legislature and officers or employees in the Legislative Branch in requesting formal advisory opinions from the joint committee on novel subject matters. The Legislative Counsel shall, upon request, assist and advise the joint committee in the rendering of formal advisory opinions by the joint committee, in the approval and review of codes of ethics adopted by State agencies in the Legislative Branch, and in the recommendation of revisions in codes of ethics or legislation relating to the conduct of members of the Legislature or State officers and employees in the Legislative Branch.
(e) The joint committee may, within the limits of funds appropriated or otherwise available to it for the purpose, employ other professional, technical, clerical or other assistants, excepting legal counsel, and incur expenses as may be necessary to the performance of its duties.
(f) The joint committee shall have all the powers granted pursuant to chapter 13 of Title 52 of the Revised Statutes.
(g) The joint committee is authorized to render formal advisory opinions as to whether a given set of facts and circumstances would, in its opinion, constitute a violation of the provisions of this act, of a code of ethics promulgated pursuant to the provisions of this act or of any rule of either or both Houses which gives the joint committee jurisdiction and the authority to investigate a matter.
(h) (1) The joint committee shall have jurisdiction to initiate, receive, hear and review complaints regarding violations of the provisions of this act or of a code of ethics promulgated pursuant to the provisions of this act. It shall further have such jurisdiction as to enforcement of the rules of either or both Houses of the Legislature governing the conduct of the members or employees thereof as those rules may confer upon the joint committee. A complaint regarding a violation of a code of ethics promulgated pursuant to the provisions of this act may be referred by the joint committee for disposition in accordance with subsection 12(d) of this act.
(2) The joint committee shall not accept a complaint against a member of the Legislature submitted within 90 days of a primary or general election in which the member is a candidate. An attempt to file a complaint during this period shall toll any statute of limitations. This paragraph shall not bar the joint committee from initiating a complaint during this period.
A complaint that is filed within seven days following a primary or general election shall be considered by the joint committee in an expedited manner that results in a final determination by the end of the annual session of the Legislature.
(3) The joint committee, when reviewing a complaint, shall have the authority to require a member of the Legislature who is the subject of a complaint to submit detailed financial disclosures containing information that is in addition to the information required to be disclosed by a law, rule or code of ethics. Such additional information shall remain confidential, unless the joint committee, by a vote of at least three-fourths of the total membership, directs that the information be made public.
(4) The joint committee shall inform a complainant of the time, date, and location of any meeting at which the joint committee will discuss or make a determination on any aspect of the complaint.
(i) Any State officer or employee or special State officer or employee in the Legislative Branch found guilty by the joint committee of violating any provisions of this act, of a code of ethics promulgated pursuant to the provisions of this act or of any rule of either or both Houses which gives the joint committee jurisdiction and the authority to investigate a matter shall be fined not less than $500.00 nor more than $10,000, which penalty may be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.), and may be reprimanded and ordered to pay restitution where appropriate and may be suspended from office or employment by order of the joint committee for a period not in excess of one year. If the joint committee finds that the conduct of the officer or employee constitutes a willful and continuous disregard of the provisions of this act, of a code of ethics promulgated pursuant to the provisions of this act or of any rule of either or both Houses which gives the joint committee jurisdiction and the authority to investigate a matter, it may order that person removed from office or employment and may further bar the person from holding any public office or employment in this State in any capacity whatsoever for a period not exceeding five years from the date on which the person was found guilty by the joint committee.
(j) A member of the Legislature who shall be found guilty by the joint committee of violating the provisions of this act, of a code of ethics promulgated pursuant to the provisions of this act or of any rule of either or both Houses which gives the joint committee jurisdiction and the authority to investigate a matter shall be fined not less than $500.00 nor more than $10,000, which penalty may be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.), and shall be subject to such further action as may be determined by the House of which the person is a member. In such cases the joint committee shall report its findings to the appropriate House and shall recommend to the House such further action as the joint committee deems appropriate, but it shall be the sole responsibility of the House to determine what further action, if any, shall be taken against such member.
##### **§ 52:13D-22.1** Definition {#sec-52-13d-22.1 omnilex-key=us-nj-statutes--title-52--52:13D-22.1}
1. As used in this act, "document" means any statement, report, form, or accounting which is required to be filed with the Joint Legislative Committee on Ethical Standards within a prescribed period or on or before a prescribed date pursuant to law or the legislative code of ethics promulgated pursuant to the "New Jersey Conflicts of Interest Law," P.L.1971, c.182 (C.52:13D-12 et seq.). The term "within a prescribed period or on or before a prescribed date" includes any extension of time granted by the committee for filing a document.
##### **§ 52:13D-22.2** Timely postmark on mailed documents {#sec-52-13d-22.2 omnilex-key=us-nj-statutes--title-52--52:13D-22.2}
2. Any document which is mailed shall be deemed to be timely filed if the postmark stamped on the cover, envelope or wrapper in which the document was mailed bears a date on or before the date of the last day prescribed for filing the document.
##### **§ 52:13D-22.3** Weekend, holiday rule {#sec-52-13d-22.3 omnilex-key=us-nj-statutes--title-52--52:13D-22.3}
3. When the date or the last day prescribed for filing a document falls on a Saturday, Sunday or legal holiday, the next succeeding business day shall be regarded as the date of the last day prescribed for filing the document.
##### **§ 52:13D-23** Codes of ethics. {#sec-52-13d-23 omnilex-key=us-nj-statutes--title-52--52:13D-23}
12. (a) (1) The head of each State agency, or the principal officer in charge of a division, board, bureau, commission or other instrumentality within a department of State Government designated by the head of such department for the purposes hereinafter set forth, shall within six months from the date of enactment, promulgate a code of ethics to govern and guide the conduct of the members of the Legislature, the State officers and employees or the special State officers and employees in the agency to which said code is applicable. Such code shall conform to the general standards hereinafter set forth in this section, but it shall be formulated with respect to the particular needs and problems of the agency to which said code is to apply and, when applicable, shall be a supplement to the uniform ethics code promulgated pursuant to paragraph (2) of this subsection. Notwithstanding any other provisions of this section, the New Jersey members to any interstate agency to which New Jersey is a party and the officers and employees of any State agency which fails to promulgate a code of ethics shall be deemed to be subject to a code of ethics the provisions of which shall be paragraphs (1) through (6) of subsection (e) of this section.
(2) Within 180 days following the effective date of this act, P.L.2005, c.382, the State Ethics Commission shall promulgate a uniform ethics code to govern and guide the conduct of State officers and employees and special State officers and employees in State agencies in the Executive Branch. Such code shall conform to the general standards hereinafter set forth in this section, shall be the primary code of ethics for State agencies once it is adopted and a code promulgated pursuant to paragraph (1) of this subsection shall be a supplement to the primary code. The head of each State agency, or the principal officer in charge of a division, board, bureau, commission or other instrumentality within a department of State Government designated by the head of such department shall revise each code of ethics promulgated prior to the uniform code to recognize the uniform code as the primary code.
(b) A code of ethics formulated pursuant to subsection (a) of this section to govern and guide the conduct of the State officers and employees or the special State officers and employees in any State agency in the Executive Branch, or any portion of such a code, shall not be effective unless it has first been approved by the State Ethics Commission. When a proposed code is submitted to the said commission it shall be accompanied by an opinion of the Attorney General as to its compliance with the provisions of this act and any other applicable provision of law. Nothing contained herein shall prevent officers of State agencies in the Executive Branch from consulting with the Attorney General or with the State Ethics Commission at any time in connection with the preparation or revision of such codes of ethics.
(c) A code of ethics formulated pursuant to this section to govern and guide the conduct of the members of the Legislature, State officers and employees or special State officers and employees in any State agency in the Legislative Branch, or any portion of such code, shall not be effective unless it has first been approved by the Legislature by concurrent resolution. When a proposed code is submitted to the Legislature for approval it shall be accompanied by an opinion of the chief counsel as to its compliance with the provisions of this act and any other applicable provisions of law. Nothing contained herein shall prevent officers of State agencies in the Legislative Branch from consulting with the Chief Legislative Counsel or the Joint Legislative Committee on Ethical Standards at any time in connection with the preparation or revision of such codes of ethics.
(d) Violations of a code of ethics promulgated pursuant to this section shall be cause for removal, suspension, demotion or other disciplinary action by the State officer or agency having the power of removal or discipline. When a person who is in the classified civil service is charged with a violation of such a code of ethics, the procedure leading to such removal or discipline shall be governed by any applicable provisions of the Civil Service Act, N.J.S. 11A:1-1 et seq., and the Rules of the Civil Service Commission. No action for removal or discipline shall be taken under this subsection except upon the referral or with the approval of the State Ethics Commission or the Joint Legislative Committee on Ethical Standards, whichever is authorized to exercise jurisdiction with respect to the complaint upon which such action for removal or discipline is to be taken.
(e) A code of ethics for officers and employees of a State agency shall conform to the following general standards:
(1) No State officer or employee or special State officer or employee should have any interest, financial or otherwise, direct or indirect, or engage in any business or transaction or professional activity, which is in substantial conflict with the proper discharge of his duties in the public interest.
(2) No State officer or employee or special State officer or employee should engage in any particular business, profession, trade or occupation which is subject to licensing or regulation by a specific agency of State Government without promptly filing notice of such activity with the State Ethics Commission, if he is an officer or employee in the Executive Branch, or with the Joint Legislative Committee on Ethical Standards, if he is an officer or employee in the Legislative Branch.
(3) No State officer or employee or special State officer or employee should use or attempt to use his official position to secure unwarranted privileges or advantages for himself or others.
(4) No State officer or employee or special State officer or employee should act in his official capacity in any matter wherein he has a direct or indirect personal financial interest that might reasonably be expected to impair his objectivity or independence of judgment.
(5) No State officer or employee or special State officer or employee should undertake any employment or service, whether compensated or not, which might reasonably be expected to impair his objectivity and independence of judgment in the exercise of his official duties.
(6) No State officer or employee or special State officer or employee should accept any gift, favor, service or other thing of value under circumstances from which it might be reasonably inferred that such gift, service or other thing of value was given or offered for the purpose of influencing him in the discharge of his official duties.
(7) No State officer or employee or special State officer or employee should knowingly act in any way that might reasonably be expected to create an impression or suspicion among the public having knowledge of his acts that he may be engaged in conduct violative of his trust as a State officer or employee or special State officer or employee.
(8) Rules of conduct adopted pursuant to these principles should recognize that under our democratic form of government public officials and employees should be drawn from all of our society, that citizens who serve in government cannot and should not be expected to be without any personal interest in the decisions and policies of government; that citizens who are government officials and employees have a right to private interests of a personal, financial and economic nature; that standards of conduct should separate those conflicts of interest which are unavoidable in a free society from those conflicts of interest which are substantial and material, or which bring government into disrepute.
(f) The code of ethics for members of the Legislature shall conform to subsection (e) hereof as nearly as may be possible.
##### **§ 52:13D-24** Restriction of solicitation, receipt, etc. of certain things of value by certain State officers, employees. {#sec-52-13d-24 omnilex-key=us-nj-statutes--title-52--52:13D-24}
13. a. No State officer or employee, special State officer or employee, or member of the Legislature shall solicit, receive or agree to receive, whether directly or indirectly, any compensation, reward, employment, gift, honorarium, out-of-State travel or subsistence expense or other thing of value from any source other than the State of New Jersey, for any service, advice, assistance, appearance, speech or other matter related to the officer, employee, or member's official duties, except as authorized in this section.
b. A State officer or employee, special State officer or employee, or member of the Legislature may, in connection with any service, advice, assistance, appearance, speech or other matter related to the officer, employee, or member's official duties, solicit, receive or agree to receive, whether directly or indirectly, from sources other than the State, the following:
(1) reasonable fees for published books on matters within the officer, employee, or member's official duties;
(2) reimbursement or payment of actual and reasonable expenditures for travel or subsistence and allowable entertainment expenses associated with attending an event in New Jersey if expenditures for travel or subsistence and entertainment expenses are not paid for by the State of New Jersey;
(3) reimbursement or payment of actual and reasonable expenditures for travel or subsistence outside New Jersey, not to exceed $500.00 per trip, if expenditures for travel or subsistence and entertainment expenses are not paid for by the State of New Jersey. The $500 per trip limitation shall not apply if the reimbursement or payment is made by (a) a nonprofit organization of which the officer, employee, or member is, at the time of reimbursement or payment, an active member as a result of the payment of a fee or charge for membership to the organization by the State or the Legislature in the case of a member of the Legislature; (b) a nonprofit organization that does not contract with the State to provide goods, materials, equipment, or services; or (c) any agency of the federal government, any agency of another state or of two or more states, or any political subdivision of another state.
Members of the Legislature shall obtain the approval of the presiding officer of the member's House before accepting any reimbursement or payment of expenditures for travel or subsistence outside New Jersey.
As used in this subsection, "reasonable expenditures for travel or subsistence" means commercial travel rates directly to and from an event and food and lodging expenses which are moderate and neither elaborate nor excessive; and "allowable entertainment expenses" means the costs for a guest speaker, incidental music and other ancillary entertainment at any meal at an event, provided they are moderate and not elaborate or excessive, but does not include the costs of personal recreation, such as being a spectator at or engaging in a sporting or athletic activity which may occur as part of that event.
c. This section shall not apply to the solicitation or acceptance of contributions to the campaign of an announced candidate for elective public office, except that campaign contributions may not be accepted if they are known to be given in lieu of a payment prohibited pursuant to this section.
d. (1) Notwithstanding any other provision of law, a designated State officer as defined in paragraph (2) of this subsection shall not solicit, receive or agree to receive, whether directly or indirectly, any compensation, salary, honorarium, fee, or other form of income from any source, other than the compensation paid or reimbursed to him or her by the State for the performance of official duties, for any service, advice, assistance, appearance, speech or other matter, except for investment income from stocks, mutual funds, bonds, bank accounts, notes, a beneficial interest in a trust, financial compensation received as a result of prior employment or contractual relationships, and income from the disposition or rental of real property, or any other similar financial instrument and except for reimbursement for travel as authorized in paragraphs (2) and (3) of subsection b. of this section. To receive such income, a designated State officer shall first seek review and approval by the State Ethics Commission to ensure that the receipt of such income does not violate the "New Jersey Conflicts of Interest Law," P.L.1971, c.182 (C.52:13D-12 et seq.) or any applicable code of ethics, and does not undermine the full and diligent performance of the designated State officer's duties.
(2) For the purposes of this subsection, "designated State officer" shall include: the Governor, the Adjutant General, the Secretary of Agriculture, the Attorney General, the Commissioner of Banking and Insurance, the director of the Division of Business Assistance, Marketing, and International Trade, the Commissioner of Community Affairs, the Commissioner of Corrections, the Commissioner of Education, the Commissioner of Environmental Protection, the Commissioner of Health and Senior Services, the Commissioner of Human Services, the Commissioner of Children and Families, the Commissioner of Labor and Workforce Development, the President of the State Board of Public Utilities, the Secretary of State, the Superintendent of State Police, the Commissioner of Transportation, the State Treasurer, the head of any other department in the Executive Branch, and the following members of the staff of the Office of the Governor: Chief of Staff, Chief of Management and Operations, Chief of Policy and Communications, Chief Counsel to the Governor, Director of Communications, Policy Counselor to the Governor, and any deputy or principal administrative assistant to any of the aforementioned members of the staff of the Office of the Governor listed in this subsection.
e. A violation of this section shall not constitute a crime or offense under the laws of this State.
##### **§ 52:13D-24.1** Restriction on acceptance of gifts, etc. from lobbyist, governmental affairs agent by legislators, staff. {#sec-52-13d-24.1 omnilex-key=us-nj-statutes--title-52--52:13D-24.1}
2. a. Except as expressly authorized in section 13 of P.L.1971, c.182 (C.52:13D-24) or when the lobbyist or governmental affairs agent is a member of the immediate family of a member of the Legislature or legislative staff, no member of the Legislature or legislative staff may accept, directly or indirectly, any compensation, reward, employment, gift, honorarium or other thing of value from each lobbyist or governmental affairs agent, as defined in the "Legislative and Governmental Process Activities Disclosure Act," P.L.1971, c.183 (C.52:13C-18 et seq.), totaling more than $250.00 in a calendar year. The $250.00 limit on acceptance of compensation, reward, gift, honorarium or other thing of value shall also apply to each member of the immediate family of a member of the Legislature, as defined in section 2 of P.L.1971, c.182 (C.52:13D-13) to be a spouse, child, parent, or sibling of the member residing in the same household as the member of the Legislature.
b. The prohibition in subsection a. of this section on accepting any compensation, reward, gift, honorarium or other thing of value shall not apply if received in the course of employment, by an employer other than the State, of an individual covered in subsection a. of this section or a member of the immediate family. The prohibition in subsection a. of this section on accepting any compensation, reward, gift, honorarium or other thing of value shall not apply if acceptance is from a member of the immediate family when the family member received such in the course of his or her employment.
c. Subsection a. of this section shall not apply if a member of the Legislature or legislative staff who accepted any compensation, reward, gift, honorarium or other thing of value provided by a lobbyist or governmental affairs agent makes a full reimbursement, within 90 days of acceptance, to the lobbyist or governmental affairs agent in an amount equal to the money accepted or the fair market value of that which was accepted if other than money. As used in this subsection, "fair market value" means the actual cost of the compensation, reward, gift, honorarium or other thing of value accepted.
d. A violation of this section shall not constitute a crime or offense under the laws of this State.
##### **§ 52:13D-25** Disclosure or use for personal gain of information not available to public {#sec-52-13d-25 omnilex-key=us-nj-statutes--title-52--52:13D-25}
No State officer or employee, special State officer or employee, or member of the Legislature shall willfully disclose to any person, whether or not for pecuniary gain, any information not generally available to members of the public which he receives or acquires in the course of and by reason of his official duties. No State officer or employee, special State officer or employee, or member of the Legislature shall use for the purpose of pecuniary gain, whether directly or indirectly, any information not generally available to members of the public which he receives or acquires in the course of and by reason of his official duties.
##### **§ 52:13D-26** Inducing or attempting to induce legislative member or state officer or employee to violate act; penalty {#sec-52-13d-26 omnilex-key=us-nj-statutes--title-52--52:13D-26}
No person shall induce or attempt to induce any State officer or employee, special State officer or employee, or member of the Legislature to violate any provision of this act or any code of ethics promulgated thereunder. Any person who willfully violates any provision of this section is a disorderly person, and shall be subject to a fine not to exceed $500.00 or imprisonment not to exceed 6 months, or both.
##### **§ 52:13D-27** Short title {#sec-52-13d-27 omnilex-key=us-nj-statutes--title-52--52:13D-27}
This act shall be known as, and may be cited as, the "New Jersey Conflicts of Interest Law."
##### **§ 52:13D-28** Online tutorial on legislative ethics; certification; members of legislature, participation in annual ethics training, consultation with Ethics Counsel. {#sec-52-13d-28 omnilex-key=us-nj-statutes--title-52--52:13D-28}
4. The Legislature shall provide an online tutorial on legislative ethics for its members and State officers or employees and special State officers or employees in the Legislative Branch of government. Each member of the Legislature and officer or employee in the Legislative Branch shall take the tutorial no later than April 1 of every even-numbered year. Each Executive Director shall submit a certification to the Ethics Counsel for himself or herself and for his or her respective staff members that they have completed the online tutorial. Each member of the Legislature shall submit to the Ethics Counsel a certification that he or she and his or her district office staff members have completed the online tutorial. The certification shall be public information. Failure to take the tutorial and file the certification shall be reported by the Ethics Counsel to the joint committee.
In addition to the tutorial, all officers and employees in the Legislative Branch shall participate in annual ethics training as directed by their Executive Directors and all members of the Legislature shall participate in annual ethics training as directed by the President of the Senate for members of the Senate and by the Speaker of the General Assembly for members of the General Assembly. The Executive Directors, the President of the Senate, and the Speaker of the General Assembly shall also direct the process by which completion of the training is verified. Such verification shall be filed with the Ethics Counsel. The verification shall be public information. Failure to participate in the training and file the verification shall be reported by the Ethics Counsel to the joint committee.
Each member of the Legislature shall consult with the Ethics Counsel each year regarding the requirements of the New Jersey Conflicts of Interest Law and the Legislative Code of Ethics and any other applicable law, rule or standard of conduct relating to the area of ethics. The assistance of the Ethics Counsel to members of the Legislature is subject to the attorney-client privilege. This assistance is intended as a service to the members of the Legislature and may not be deemed to diminish a member's personal responsibility for adherence to applicable laws, code provisions, rules and other standards of conduct. No privileged information provided to the Ethics Counsel by members of the Legislature or officers or employees in the Legislative Branch shall be used or admitted into evidence in any proceeding against them; but this shall not prohibit proceedings against them from evidence independently derived.
## **Chapter 13E**
##### **§ 52:13E-1** Definitions {#sec-52-13e-1 omnilex-key=us-nj-statutes--title-52--52:13E-1}
As used in this act:
(a) "Agency" means any of the following while engaged in an investigation or inquiry: (1) the Governor or any person or persons appointed by him acting pursuant to P.L.1941, c. 16, s. 1 (C. 52:15-7), (2) any temporary State commission or duly authorized committee thereof having the power to require testimony or the production of evidence by subpoena, or (3) any legislative committee or commission having the powers set forth in Revised Statutes 52:13-1.
(b) "Hearing" means any hearing in the course of an investigatory proceeding (other than a preliminary conference or interview at which no testimony is taken under oath) conducted before an agency at which testimony or the production of other evidence may be compelled by subpoena or other compulsory process.
(c) "Public hearing" means any hearing open to the public, or any hearing, or such part thereof, as to which testimony or other evidence is made available or disseminated to the public by the agency.
(d) "Private hearing" means any hearing other than a public hearing.
##### **§ 52:13E-2** Personal service {#sec-52-13e-2 omnilex-key=us-nj-statutes--title-52--52:13E-2}
No person may be required to appear at a hearing or to testify at a hearing unless there has been personally served upon him prior to the time when he is required to appear, a copy of this act, and a general statement of the subject of the investigation. A copy of the resolution, statute, order or other provision of law authorizing the investigation shall be furnished by the agency upon request therefor by the person summoned.
##### **§ 52:13E-3** Right to counsel; submission of proposed questions {#sec-52-13e-3 omnilex-key=us-nj-statutes--title-52--52:13E-3}
A witness summoned to a hearing shall have the right to be accompanied by counsel, who shall be permitted to advise the witness of his rights, subject to reasonable limitations to prevent obstruction of or interference with the orderly conduct of the hearing. Counsel for any witness who testifies at a public hearing may submit proposed questions to be asked of the witness relevant to the matters upon which the witness has been questioned and the agency shall ask the witness such of the questions as it may deem appropriate to its inquiry.
##### **§ 52:13E-4** Records of public hearings; copies {#sec-52-13e-4 omnilex-key=us-nj-statutes--title-52--52:13E-4}
A complete and accurate record shall be kept of each public hearing and a witness shall be entitled to receive a copy of his testimony at such hearing at his own expense. Where testimony which a witness has given at a private hearing becomes relevant in a criminal proceeding in which the witness is a defendant, or in any subsequent hearing in which the witness is summoned to testify, the witness shall be entitled to a copy of such testimony, at his own expense, provided the same is available, and provided further that the furnishing of such copy will not prejudice the public safety or security.
##### **§ 52:13E-5** Sworn statement by witness; incorporation in the record {#sec-52-13e-5 omnilex-key=us-nj-statutes--title-52--52:13E-5}
A witness who testifies at any hearing shall have the right at the conclusion of his examination to file a brief sworn statement relevant to his testimony for incorporation in the record of the investigatory proceeding.
##### **§ 52:13E-6** Persons affected by proceedings; appearance or statement of facts {#sec-52-13e-6 omnilex-key=us-nj-statutes--title-52--52:13E-6}
Any person whose name is mentioned or who is specifically identified and who believes that testimony or other evidence given at a public hearing or comment made by any member of the agency or its counsel at such a hearing tends to defame him or otherwise adversely affect his reputation shall have the right, either to appear personally before the agency and testify in his own behalf as to matters relevant to the testimony or other evidence complained of, or in the alternative at the option of the agency, to file a statement of facts under oath relating solely to matters relevant to the testimony or other evidence complained of, which statement shall be incorporated in the record of the investigatory proceeding.
##### **§ 52:13E-7** Rights or privileges granted by agencies {#sec-52-13e-7 omnilex-key=us-nj-statutes--title-52--52:13E-7}
Nothing in this act shall be construed to prevent an agency from granting to witnesses appearing before it, or to persons who claim to be adversely affected by testimony or other evidence adduced before it, such further rights and privileges as it may determine.
##### **§ 52:13E-8** Dissemination of evidence adduced at private hearing {#sec-52-13e-8 omnilex-key=us-nj-statutes--title-52--52:13E-8}
Except in the course of subsequent hearing which is open to the public, no testimony or other evidence adduced at a private hearing or preliminary conference or interview conducted before a single-member agency in the course of its investigation shall be disseminated or made available to the public by said agency, its counsel or employees without the approval of the head of the agency. Except in the course of a subsequent hearing open to the public, no testimony or other evidence adduced at a private hearing or preliminary conference or interview before a committee or other multimember investigating agency shall be disseminated or made available to the public by any member of the agency, its counsel or employees, except with the approval of a majority of the members of such agency. Any person who violates the provisions of this subdivision shall be adjudged a disorderly person.
##### **§ 52:13E-9** Hearing conducted by temporary state commission {#sec-52-13e-9 omnilex-key=us-nj-statutes--title-52--52:13E-9}
No temporary State commission having more than two members shall have the power to take testimony at a public or private hearing unless at least two of its members are present at such hearing.
Nothing in this section, however, shall be deemed to prevent the State Commission of Investigation from conducting private hearings, on an investigation previously undertaken by a majority of the members of the commission, with one commissioner present, when so designated by resolution pursuant to the provisions of section 12 of P.L.1968, c. 266 (C. 52:9M-12).
##### **§ 52:13E-10** Right of members to file statement of minority views {#sec-52-13e-10 omnilex-key=us-nj-statutes--title-52--52:13E-10}
Nothing in this act shall be construed to affect, diminish or impair the right, under any other provision of law, rule or custom, of any member or group of members of a committee or other multimember investigating agency to file a statement or statements of minority views to accompany and be released with or subsequent to the report of the committee or agency.
## **Chapter 13F**
##### **§ 52:13F-1** Short title {#sec-52-13f-1 omnilex-key=us-nj-statutes--title-52--52:13F-1}
This act shall be known and may be cited as the "Economic and Environmental Impact Statement Act of 1976."
##### **§ 52:13F-2** Legislative recognition {#sec-52-13f-2 omnilex-key=us-nj-statutes--title-52--52:13F-2}
The Legislature hereby recognizes the need for a balance between New Jersey's economic and environmental needs.
The Legislature further recognizes that information on the environmental and economic impact of legislation under consideration is essential to maintaining a balance between New Jersey's economic and environmental needs.
##### **§ 52:13F-3** Economic impact statement; preparation, contents {#sec-52-13f-3 omnilex-key=us-nj-statutes--title-52--52:13F-3}
3. An economic impact statement on a specific legislative bill shall be prepared by the Commissioner of Commerce and Economic Development when so directed by a majority of the legislative committee considering that bill. The legislative committee shall set a time limit up to 120 days for completion of the economic impact statement. The legislative committee shall specify, but not limit, areas of impact to be covered by the statement, to include the short and long term economic impact of the bill.
The economic impact statement shall also include a jobs impact statement which may include:
a. An assessment of the number of jobs to be generated or lost by the bill if it should become law; a determination as to how many of these jobs are short-term and temporary in nature, how many are of a long-term and more permanent nature, and the skills which, if developed in the workforce, might further the purpose of the legislation and increase the permanency of these jobs;
b. An assessment of the bill's impact on entrepreneurial activity, interstate commerce, international trade and development of new markets; and
c. A cost benefit analysis of the initiative proposed by the legislation, which shall compare and examine the cost of the initiative and its impact on the State, the number of jobs to be generated or lost, the cost of maintaining those jobs and the impact of those jobs generated or lost on the economic climate of the State.
In preparing the economic impact statement, the Commissioner of Commerce and Economic Development is authorized to obtain essential information from other State agencies.
##### **§ 52:13F-4** Environmental impact statement on specific legislative bills {#sec-52-13f-4 omnilex-key=us-nj-statutes--title-52--52:13F-4}
An environmental impact statement on a specific legislative bill shall be prepared by the Commissioner of Environmental Protection when so directed by a majority of the legislative committee considering that bill. The legislative committee shall set a time limit up to 90 days for completion of the environmental impact statement. The legislative committee shall specify, but not limit areas of impact to be covered by the statement, including the short and long term environmental impact of such bill and any potential alternative thereto. In preparing the environmental impact statement, the Commissioner of Environmental Protection is authorized to obtain essential information from other State agencies.
##### **§ 52:13F-5** Inapplicability of act to specific statutory obligation of state agency to comply with criteria or standards {#sec-52-13f-5 omnilex-key=us-nj-statutes--title-52--52:13F-5}
Nothing in this act shall affect a specific statutory obligation of a State agency to comply with criteria or standards prescribed by other law. The policies set forth in this act are supplementary to those set forth in existing authorizations of State agencies.
## **Chapter 13G**
##### **§ 52:13G-1** Legislative findings and declarations {#sec-52-13g-1 omnilex-key=us-nj-statutes--title-52--52:13G-1}
The Legislature finds and declares that the youth of this State should receive an opportunity to better understand and appreciate the legislative process; that such an opportunity would encourage youth to actively participate in the day-to-day affairs of State government; that the establishment of a legislative internship program would enable State legislators to gain an understanding and appreciation of the views of the State's youth toward their State on contemporary issues; and that such a program would further the Legislature's historic role of promoting citizenship training in our high schools.
##### **§ 52:13G-2** Legislative interns; selection; assignment {#sec-52-13g-2 omnilex-key=us-nj-statutes--title-52--52:13G-2}
The Legislature, in cooperation with the New Jersey Association of High School Councils shall select public and private secondary school students to participate in a legislative internship program. Each State legislator participating in the legislative internship program shall be assigned a legislative intern.
##### **§ 52:13G-3** Nomination; application; committee; final selection {#sec-52-13g-3 omnilex-key=us-nj-statutes--title-52--52:13G-3}
Students shall be selected from legislative districts, nominated on a competitive basis by their student governments, but only one student may be nominated from each school. Each student shall submit an application indicating his interests and the scope of his school and community activities. The New Jersey Association of High School Councils shall appoint a committee in each legislative district, consisting of a secondary school principal, a student government advisor, a student and a State legislator. The committee shall make the final selection of students for the program based on the application, a recommendation by the student's school and a personal interview; except that participation of the student shall be subject to local board of education policy.
##### **§ 52:13G-4** Duties {#sec-52-13g-4 omnilex-key=us-nj-statutes--title-52--52:13G-4}
Legislative student interns shall perform such legislative services as may be directed by the legislator to whom they are assigned. Such services shall be designed to offer the interns a broad experience in legislative activities, and may, as the presiding officer of either House of the Legislature permits, include attendance on the floor of legislative sessions.
##### **§ 52:13G-5** Annual termination of program; model legislative session {#sec-52-13g-5 omnilex-key=us-nj-statutes--title-52--52:13G-5}
The legislative internship program shall terminate during the spring of each year with a model legislative session. This session shall include the introduction, debate and voting of legislative bills in both Houses, and shall follow, as closely as possible, the rules and procedure governing both Houses of the Legislature.
## **Chapter 13GG**
##### **§ 52:13GG-1** Short title. {#sec-52-13gg-1 omnilex-key=us-nj-statutes--title-52--52:13GG-1}
1. This act shall be known, and may be cited as, the New Jersey Legislative Youth Council Act.
##### **§ 52:13GG-2** Findings, declarations. {#sec-52-13gg-2 omnilex-key=us-nj-statutes--title-52--52:13GG-2}
2. The Legislature finds and declares that:
a. Engagement and participation by our youth in civic life are essential to maintaining the strength of our democracy, but the youth of the United States may not believe that they have a substantive voice in their government or the opportunities to share their perspectives and opinions at the highest levels of our government.
b. The unique perspectives and valuable insights of the youth of this country are essential to ensuring that investments made by the government for programs and services for those youth are effective and efficient.
c. Many state legislatures have created youth councils that have proven to be an effective means of understanding the perspectives and opinions of the youth of the state, leading to more effective and efficient policies, programs, and services for those youth.
d. The creation of a youth council in this State that can advise the New Jersey Legislature will be beneficial for the State and its resident youth.
##### **§ 52:13GG-3** New Jersey Legislative Youth Council established. {#sec-52-13gg-3 omnilex-key=us-nj-statutes--title-52--52:13GG-3}
3. There is established a New Jersey Legislative Youth Council for the purpose of providing a forum for the youth of this State to participate in the democratic process; to advise the Legislature and its committees, commissions, and task forces on the perspectives, opinions, needs, development, and welfare of the youth of the State; and to advise the Legislature and its committees, commissions and task forces on the most effective and efficient policies, programs, and services that the State could provide for the youth of this State. The council shall research, analyze, discuss, and make specific recommendations in the areas of civics education; drugs and substance use disorder; emotional and physical health; employment and economic opportunities; environmental protection; gun violence and school safety; homelessness and poverty; mental health; safe environment for youth; sexual harassment and violence; youth services; and youth bias and hate crimes.
In each two-year term of the New Jersey Legislature, the council shall submit, in writing, a series of policy recommendations to the President of the Senate, the Speaker of the General Assembly, the Minority Leader of the Senate, and the Minority Leader of the General Assembly. The series of policy recommendations shall be made available online to the public.
The council may express its position publicly on legislation pending before the New Jersey Legislature that is directly relevant to the youth of this State.
##### **§ 52:13GG-4** Council membership, demographics. {#sec-52-13gg-4 omnilex-key=us-nj-statutes--title-52--52:13GG-4}
4. a. The council shall be comprised of 44 members. Forty members shall be members of the public and four members shall be members of the New Jersey Legislature.
b. Each of the 40 public members shall have been a resident of New Jersey for at least 15 years and shall be between 15 and 23 years of age at the time of appointment.
Each public member shall represent one of the 40 districts of the New Jersey Legislature.
The 40 public members shall be inclusive and reflective of the racial, gender, geographic, urban, rural, and economic diversity of their district.
A public member who is less than 18 years of age shall be required to provide written permission from a parent or legal guardian to be a member of the council and participate in its activities. Any public member who is less than 18 years of age shall be accompanied by a parent or legal guardian, or an adult designated in writing by the parent or legal guardian, at all times when attending meetings and other activities of the council.
No public member shall be a family member, or an employee, of a person who is holding, or who held in the five years prior to the public member's appointment, any appointive or elective public office of this State.
Public members shall serve for a term of two years, and if eligible, may be reappointed to serve for one additional term.
c. The President of the Senate shall appoint one member of the Senate to serve on the council. The Speaker of the General Assembly shall appoint one member of the General Assembly to serve on the council. The Minority Leader of the Senate shall appoint one member of the Senate to serve on the council. The Minority Leader of the General Assembly shall appoint one member of the General Assembly to serve on the council.
The legislative members shall serve a term coterminous with their term of office, and at the pleasure of the President of the Senate or the Speaker of the General Assembly.
The legislative members shall be non-voting, advisory members appointed solely for the purpose of assisting the public members of the council in conducting the council's meetings and activities, and in fulfilling the council's purpose.
The legislative members shall advise the council on the legislative process, provide policy and fiscal briefings, assist with the drafting of proposed legislation, and provide such guidance and information as the council deems appropriate.
d. The public members of the council shall serve until their successors are appointed and qualified, and, for this purpose, a public member may serve after reaching the age of 23 years. The term of the successor of any incumbent public member shall be calculated from the expiration of the term of that incumbent public member. A vacancy occurring other than by expiration of term shall be filled in the same manner as the original appointment but for the unexpired term only.
e. For the purpose of the New Jersey Legislative Youth Council:
"Appointive or elective public office" means an appointment by the Governor that requires the advice and consent of the Senate, or an appointment by the Governor to serve at the pleasure of the Governor only during his or her term of office, an appointment by an elected public official or elected governing body of a political subdivision of the State, that requires the specific consent or approval of the elected governing body of the political subdivision, or any office filled at an election by the voters at a general election.
"Family member" means a child, sibling, niece, nephew, first cousin, or grandchild, whether the individual is related by blood, marriage, or adoption.
"Youth" means a person at least 15 years of age but under the age of 23 years.
##### **§ 52:13GG-5** Appointment of members, application. {#sec-52-13gg-5 omnilex-key=us-nj-statutes--title-52--52:13GG-5}
5. The legislative members shall be appointed within 60 days after the creation of the council by law. The legislative members initially appointed shall develop an application form and application process for the selection of the public members. The application form and application process may be revised by a majority vote of the public members appointed to the council.
The member of the Senate and the two members of the General Assembly who represent each district of the New Jersey Legislature shall appoint one person, based on the application submitted by that person, to serve as a public member of the council from among the persons residing in that legislative district who submit applications. The public members shall be appointed within 60 days of the completion of the application form and application process.
If no applications for public membership are received from persons in a legislative district or there are no qualified applicants, an additional 30 days to appoint a public member from that legislative district shall be provided for the receipt of applications from persons who reside in that legislative district.
##### **§ 52:13GG-6** Officers, terms. {#sec-52-13gg-6 omnilex-key=us-nj-statutes--title-52--52:13GG-6}
6. a. The legislative members of the council appointed by the President of the Senate and the Speaker of the General Assembly shall serve as co-chairs at the initial meeting of the council. At the same initial meeting, the public members shall elect five of the public members of the council to serve on the council's executive board.
b. The executive board shall be comprised of five public members and the four legislative members. The five public members of the executive board shall be elected by a majority vote of the public members of the council. Executive board members shall be elected to serve for two years and shall not be eligible to be elected to serve on the executive board for any additional term. The members of the executive board shall include a chair, vice chair, secretary, and any other officer the council deems necessary and appropriate.
##### **§ 52:13GG-7** Meeting schedule, quorum. {#sec-52-13gg-7 omnilex-key=us-nj-statutes--title-52--52:13GG-7}
7. a. The council shall meet at least four times a year to conduct business. The council shall meet at the State House Complex to conduct business.
b. A majority of the public members shall constitute a quorum for the transaction of business, and the acts of a majority of the public members present at a meeting at which there is a quorum shall constitute the acts of the council.
The council shall hold at least two public hearings each year, in different parts of the State, for the purpose of receiving testimony from members of the public, and in particular from the youth of this State.
The council may hold such other meetings throughout the year as the council may deem appropriate.
c. The council shall submit an annual report by January 15 of each year to the Legislature of its activities and recommendations. The report shall be made available online to the public.
d. The council shall be constituted upon the appointment of the majority of its public members and shall have no expiration date.
##### **§ 52:13GG-8** Reimbursement, donations. {#sec-52-13gg-8 omnilex-key=us-nj-statutes--title-52--52:13GG-8}
8. a. The public members of the council shall serve without compensation, but may be reimbursed for necessary expenses incurred in the performance of their duties as public members of the council, within the limits of funds made available to the council for its purpose.
b. The New Jersey Legislature may accept monetary donations, that shall be deposited into the New Jersey Legislative Youth Council Fund, from public and private sources to support the activities of the council. A monetary donation shall not be accepted from any person or entity with a pecuniary or other vested interest in the outcome of the work of the council or when the donation would in any way compromise the work of the council. A person or entity who desires to make a monetary donation shall certify to the council or its designee, in the manner prescribed by the council, that the person or entity has no pecuniary or other vested interest in the outcome of the work of the council. Donations by a person or entity shall not exceed $500 per calendar year in the aggregate. Each donation shall be subject to approval by the council.
##### **§ 52:13GG-9** New Jersey Legislative Youth Council Fund established. {#sec-52-13gg-9 omnilex-key=us-nj-statutes--title-52--52:13GG-9}
9. The Department of the Treasury shall establish and maintain a special revolving fund to be known as the New Jersey Legislative Youth Council Fund. The fund shall be maintained as a separate account and administered by the Department of the Treasury to support the New Jersey Legislative Youth Council.
The State Treasurer shall administer the fund, which shall be credited with donations received by the New Jersey Legislature for the council, moneys that the Legislature may appropriate, and other moneys made available including, but not limited to, funds provided by the federal government.
## **Chapter 13H**
##### **§ 52:13H-1** Findings, declarations relative to State-imposed mandates {#sec-52-13h-1 omnilex-key=us-nj-statutes--title-52--52:13H-1}
1. The Legislature finds and declares that:
a. at the November 1995 general election, the people of this State approved an amendment to the New Jersey Constitution providing that, in certain cases, new statutes and new administrative rules and regulations promulgated by State agencies shall not impose unfunded mandates on counties, municipalities or school districts;
b. the purpose of this constitutional provision is to prevent the State government from requiring units of local government to implement additional or expanded activities without providing funding for those activities;
c. the long-standing, prior practice of State-imposed, unfunded mandates has contributed to the rise in local property taxes which has increasingly burdened New Jersey's property owners;
d. the constitutional amendment also directs the Legislature to create a Council on Local Mandates to resolve disputes regarding whether a law or a rule or regulation, covered by the amendment, constitutes an unfunded State mandate; and
e. it is, therefore, the purpose of this act to effectuate the will of the people of this State and to fulfill the Legislature's responsibility to establish the Council on Local Mandates.
##### **§ 52:13H-2** Unfunded mandate; mandatory status ceased, expiration. {#sec-52-13h-2 omnilex-key=us-nj-statutes--title-52--52:13H-2}
2. Except as provided in section 3 of this act, any provision of a law enacted on or after January 17, 1996, or any part of a rule or regulation originally adopted after July 1, 1996 pursuant to a law regardless of when that law was enacted, which is determined in accordance with the provisions of this act to be an unfunded mandate upon boards of education, counties, municipalities, or fire districts designated by municipal ordinance, because it does not authorize resources to offset the additional direct expenditures required for the implementation of the law or the rule or regulation, shall cease to be mandatory in its effect and shall expire. A provision of a law or part of a rule or regulation determined to be an unfunded mandate shall resume its mandatory effect if, after enactment of the law or adoption of a rule or regulation, resources are authorized to offset the additional direct expenditures required for the implementation thereof.
A law or a rule or regulation which is determined to be an unfunded mandate shall not be considered to establish a standard of care for the purpose of civil liability.
##### **§ 52:13H-2.1** Reimbursement by State for cost incurred for certain military leave. {#sec-52-13h-2.1 omnilex-key=us-nj-statutes--title-52--52:13H-2.1}
4. In accordance with the provisions of Article VIII, Section II, paragraph 5 of the New Jersey Constitution, upon application for reimbursement by a county or municipal governing body or a board of education to the State Treasurer for reimbursement and approval of the application by the Director of the Division of Budget and Accounting, reimbursement shall be made by the State for any costs incurred as a result of the provisions of P.L.2001, c.351.
##### **§ 52:13H-3** Laws, rules, regulations, not unfunded mandates {#sec-52-13h-3 omnilex-key=us-nj-statutes--title-52--52:13H-3}
3. Notwithstanding the provisions of any other law to the contrary, the following categories of laws and rules or regulations shall not be unfunded mandates:
a. those which are required to comply with federal laws or rules or to meet eligibility standards for federal entitlements;
b. those which are imposed on both government and non-government entities in the same or substantially similar circumstances;
c. those which repeal, revise or ease an existing requirement or mandate or which reapportion the costs of activities between boards of education, counties, and municipalities;
d. those which stem from failure to comply with previously enacted laws or rules or regulations issued pursuant to a law;
e. those which implement the provisions of the New Jersey Constitution; and
f. laws which are enacted after a public hearing, held after public notice that unfunded mandates will be considered, for which a fiscal analysis is available at the time of the public hearing and which, in addition to complying with all other constitutional requirements with regard to the enactment of laws, are passed by 3/4 affirmative vote of the members of each House of the Legislature.
##### **§ 52:13H-4** Council on Local Mandates created {#sec-52-13h-4 omnilex-key=us-nj-statutes--title-52--52:13H-4}
4. Pursuant to Article VIII, Section II, paragraph 5(b) of the New Jersey Constitution, there is created a Council on Local Mandates. The council shall consist of nine public members. The Governor shall appoint four members, at least two of whom shall be appointed from a list of six willing nominees submitted by the chair of the State committee of the political party the gubernatorial candidate of which received the second largest number of votes cast in the most recent general election for Governor. The President of the Senate, the Minority Leader of the Senate, the Speaker of the General Assembly, the Minority Leader of the General Assembly and the Chief Justice of the New Jersey Supreme Court shall each appoint one member.
##### **§ 52:13H-5** Member qualifications {#sec-52-13h-5 omnilex-key=us-nj-statutes--title-52--52:13H-5}
5. A member of the council shall be a citizen of the United States and a resident of New Jersey at the time of appointment and while serving on the council. Each appointee shall demonstrate to the satisfaction of the official making the appointment that the appointee possesses knowledge of, and familiarity with, the legislative process, the regulatory functions of the Executive Branch, or the procedures and operations of counties, municipalities or school districts; except that in the case of a person appointed by the Governor from a list of six willing nominees submitted by the chair of the State committee of the political party the gubernatorial candidate of which received the second largest number of votes cast in the most recent general election for Governor the appointee shall demonstrate such knowledge and familiarity to the satisfaction of that chair.
##### **§ 52:13H-6** Members' selection; terms {#sec-52-13h-6 omnilex-key=us-nj-statutes--title-52--52:13H-6}
6. a. Within 30 days of the effective date of this act, the chair of the State committee of the political party the gubernatorial candidate of which received the second largest number of votes cast in the most recent general election for Governor shall submit to the Governor a list of names of six nominees willing to serve on the council. Within 45 days of the effective date, the Governor shall appoint four members of the council, two of whom shall be selected from that list. The terms of the members initially appointed by the Governor shall expire on February 1, 1999. Thereafter, members appointed by the Governor shall serve terms of four years beginning on the expiration date of the prior members' terms and ending on February 1st four years later. At least 45 days prior to the expiration of the term of the gubernatorial appointees, the chair of the State committee of the political party the gubernatorial candidate of which received the second largest number of votes cast in the most recent general election for Governor shall submit a list of names of six nominees willing to serve on the council. Two of the four members appointed by the Governor shall be selected from that list.
b. Within 45 days of the effective date of this act, the President of the Senate, the Minority Leader of the Senate, the Speaker of the General Assembly and the Minority Leader of the General Assembly shall each appoint one member of the council. The terms of the members initially appointed by these officials shall expire on February 1, 1998. Thereafter, such members shall serve terms of two years beginning on the expiration date of the preceding members' terms and ending on February 1st two years later.
c. Within 45 days of the effective date of this act, the Chief Justice of the New Jersey Supreme Court shall appoint one member of the council. The term of the member initially appointed by the Chief Justice shall expire on February 1, 2001. Thereafter, the member appointed by the Chief Justice shall serve a term of five years beginning on the expiration of the preceding member's term and ending on February 1st five years later.
d. A member of the council shall not continue to serve in a hold-over capacity upon the expiration of the member's term. The officials responsible for making appointments to the council pursuant to this section shall do so in a timely manner in order to ensure that vacancies do not occur when terms expire.
##### **§ 52:13H-7** Vacancies {#sec-52-13h-7 omnilex-key=us-nj-statutes--title-52--52:13H-7}
7. A vacancy in the membership of the council shall be filled in the same manner in which the original appointment was made, but for the unexpired term only. When a vacancy occurs among one of the gubernatorial appointees who is a member of the same political party as the Governor then in office, the Governor shall appoint a replacement of the Governor's choice. When a vacancy occurs among one of the gubernatorial appointees who is a member of a political party which is different from that of the Governor, the Governor shall appoint a replacement from a list of three nominees submitted by the chair of the State committee of that political party.
##### **§ 52:13H-8** Monetary compensation {#sec-52-13h-8 omnilex-key=us-nj-statutes--title-52--52:13H-8}
8. A member of the council shall receive compensation in the amount of $150 per day for each day that the member attends a meeting of the council and shall be reimbursed for necessary expenses incurred in the performance of the member's duties.
##### **§ 52:13H-9** Organization of council {#sec-52-13h-9 omnilex-key=us-nj-statutes--title-52--52:13H-9}
9. The council shall organize as soon as possible after the appointment of its members. The first chair of the council shall be appointed by the Governor from among the members thereof. At the first meeting of the council held after February 1st in each subsequent year, the members shall choose one of their number to serve as chair of the council. While any one of the council's nine members may be chosen by the Governor as the council's first chair, subsequent chairs shall be chosen by the members in a manner which ensures that the chair rotates annually among the legislative, gubernatorial and judicial appointees. At least five members of the council shall be present in order for the council to conduct its business. A ruling of the council shall require at least five votes.
##### **§ 52:13H-10** Council plan, rules, staffing. {#sec-52-13h-10 omnilex-key=us-nj-statutes--title-52--52:13H-10}
10. The council shall establish, and revise from time to time, a plan for its organization and may incur expenses within the limits of funds available to it. The council may adopt rules governing its procedures. The council shall employ such clerical and secretarial staff as it deems necessary. In addition, each member of the council may employ one professional employee who shall directly serve the member for a period not to exceed one year. Upon completion of one year of service a professional employee shall not again be employed in that capacity by any member of the council. Professional employees of the council shall be deemed confidential employees for purposes of the "New Jersey Employer-Employee Relations Act," P.L.1941, c.100 (C.34:13A-1 et seq.). Employees and members of the council shall be enrolled in the Public Employees' Retirement System, except that no person who has been granted a pension or retirement allowance for any cause other than vesting or deferred retirement under any pension fund or retirement system established under any law of this State prior to commencing service as an employee or member of the council shall be eligible on the basis of that service for enrollment or membership in the Public Employees' Retirement System. The council may employ legal counsel, on a temporary basis, to represent it in any proceeding to which it is a party. The council may contract for the services of other professional, technical and operational personnel and consultants as may be necessary for the performance of its responsibilities under this act. The council may employ operational and administrative personnel, including an administrator and coordinator, who shall serve at the pleasure of the council; provided, however, that no individual shall hold the position of administrator and coordinator for longer than two years without being reappointed by the council. Nothing contained in this section shall be construed as authorizing the council to employ an executive director, director, or any other employee, except as specifically provided by this section.
##### **§ 52:13H-11** Conflicts law, code of ethics; public employment restricted. {#sec-52-13h-11 omnilex-key=us-nj-statutes--title-52--52:13H-11}
11. The members and employees of the council shall be subject to the provisions of the "New Jersey Conflicts of Interest Law," P.L.1971, c.182 (C.52:13D-12 et seq.), except that in addition to the requirements of that act, a member of the council, while serving on the council, shall not hold any other State or local office or employment or hold any State or local elective public office and shall not, for a period of two years thereafter, hold any State or local elective public office or hold any office or employment with a county, municipality or school district which filed a complaint with the council, or with a State agency that promulgated a rule or regulation which was the subject of a complaint filed with the council, while the member served on the council. The council shall adopt a code of ethics to govern the conduct of its members and employees. The State Ethics Commission shall have jurisdiction to consider complaints regarding violations of P.L.1971, c.182 (C.52:13D-12 et seq.) or of the code of ethics or of this section by any member or employee of the council and for a violation of the restriction on holding office or employment after serving on the council occurring after the effective date of P.L.2005, c.382, the commission shall impose a civil penalty of not less than $500 nor more than $10,000, which penalty may be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
Nothing contained in this section shall be construed as prohibiting a member of the council from serving as a member of a study commission or similar advisory body for which service no compensation is authorized or provided by law other than reimbursement of expenses.
##### **§ 52:13H-12** Duties of council. {#sec-52-13h-12 omnilex-key=us-nj-statutes--title-52--52:13H-12}
12. a. It shall be the duty of the council to review, and issue rulings upon, complaints filed with the council by or on behalf of a county, municipality, fire district designated by ordinance of a municipality or more than one municipality, or school district that any provision of a statute enacted on or after January 17, 1996 and any part of a rule or regulation originally adopted after July 1, 1996 pursuant to a law regardless of when that law was enacted constitutes an unfunded mandate upon the county, municipality, fire district designated by ordinance of a municipality or more than one municipality, or school district because it does not authorize resources to offset the additional direct expenditures required for the implementation of the statute or the rule or regulation. A complaint filed with the council shall be in the form of or accompanied by a resolution passed by the governing body of a county or municipality or fire district designated by ordinance of a municipality or more than one municipality, or by a local board of education. A complaint filed with the council by the New Jersey Conference of Mayors, the New Jersey State League of Municipalities, the New Jersey School Boards Association, the New Jersey Association of Counties, the New Jersey Council of County Colleges, the New Jersey Association of Fire Districts, the New Jersey Career Fire Chiefs Association, the New Jersey State Association of Chiefs of Police, or the New Jersey First Aid Council shall be on behalf of at least two constituent members of the organization, which constituent members shall be identified in the complaint. A county executive or a mayor who has been directly elected by the voters of the municipality may also file a written complaint with the council, after the mayor or county executive has provided the governing body with written notice of intention to file a complaint with the council. A complaint may be accompanied by supportive evidence. The council shall review each complaint and, when necessary, interview witnesses and examine documents. The council, by majority vote of its membership, shall issue a written ruling, accompanied by any concurring or dissenting opinions, as to whether or not a statute or a rule or regulation constitutes an unfunded State mandate and an explanation of the reasons for its determination. If the council determines that any provision of a statute or any part of a rule or regulation constitutes an unfunded State mandate which is prohibited by Article VIII, Section II, paragraph 5 of the New Jersey Constitution and this act, that provision of the law or that part of the rule or regulation shall cease to be mandatory in its effect and shall expire. A ruling of the council shall be restricted to the specific provision of a law or the specific part of a rule or regulation which constitutes an unfunded mandate and shall, as far as possible, leave intact the remainder of a statute or a rule or regulation. The council shall not have the authority to determine whether the funding of any statute or any rule or regulation is adequate.
b. The council shall have the authority to consolidate complaints filed by or on behalf of more than one governing body, mayor, county executive, local board of education, county, municipality, or fire district designated by ordinance of a municipality or more than one municipality, in regard to the same provision of a statute or the same part of a rule or regulation.
c. Any group or individual may file a written request with the council to appear in the capacity of an amicus curiae in regard to a complaint. The request shall state the identity of the group or individual, the issue it wishes to address, the nature of the public interest therein and the nature of the requestor's interest, involvement or expertise with respect thereto. The council shall grant the request if it is determined by a majority vote of the council's members that the request is timely, that participation by the group or individual will assist in the resolution of the matter and that no interested party will be prejudiced thereby. In granting permission, the council shall specifically define the extent of the requestor's participation in the matter.
##### **§ 52:13H-13** Complaints considered {#sec-52-13h-13 omnilex-key=us-nj-statutes--title-52--52:13H-13}
13. The council shall not consider complaints concerning pending legislation or proposed rules or regulations and shall not issue advisory rulings or opinions on any matter. The fact that the council may have previously issued a ruling in regard to a particular statute or rule or regulation shall not prevent the council from reconsidering its ruling upon receipt of a valid complaint and in response to changed circumstances such as discontinuance of funding.
##### **§ 52:13H-14** Public meetings {#sec-52-13h-14 omnilex-key=us-nj-statutes--title-52--52:13H-14}
14. The council shall not be subject to the provisions of the "Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.). The council shall conduct proceedings at which it examines witnesses and receives evidence in public. However, the members of the council may meet on all other matters in closed session.
##### **§ 52:13H-15** Rules rendered, published {#sec-52-13h-15 omnilex-key=us-nj-statutes--title-52--52:13H-15}
15. A ruling issued by the council shall be in writing and shall set forth the reasons for the council's determination. The council shall cause its rulings, together with any concurring or dissenting opinions of council members, to be published in a suitable form and made available to members of the public. The rulings of the council, as well as any record of its proceedings conducted in public, shall be public records pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.).
##### **§ 52:13H-16** Preliminary rulings {#sec-52-13h-16 omnilex-key=us-nj-statutes--title-52--52:13H-16}
16. The council shall have the authority to issue a preliminary ruling enjoining enforcement of a statute or a rule or regulation pending the council's consideration of whether the statute or the rule or regulation constitutes an unfunded mandate whenever a complaint filed with the council by a county, municipality or school district demonstrates, to the satisfaction of the council, that significant financial hardship to the county, municipality or school district would result from compliance and there is a substantial likelihood that the statute or the rule or regulation is, in fact, an impermissible, unfunded State mandate.
##### **§ 52:13H-17** Request for assistance {#sec-52-13h-17 omnilex-key=us-nj-statutes--title-52--52:13H-17}
17. The council may request from any State agency or any county, municipality or school district cooperation and assistance in the performance of its duties.
##### **§ 52:13H-18** Rulings as political determinations {#sec-52-13h-18 omnilex-key=us-nj-statutes--title-52--52:13H-18}
18. Pursuant to Article VIII, Section II, paragraph 5(b) of the New Jersey Constitution, rulings of the council shall be political determinations and shall not be subject to judicial review.
##### **§ 52:13H-19** Annual report {#sec-52-13h-19 omnilex-key=us-nj-statutes--title-52--52:13H-19}
19. The council shall submit a report to the Governor and the Legislature prior to December 31 of each year setting forth the names and salaries of: the professional employees of council members, individuals employed by the council on a temporary or permanent basis, and personnel and consultants for whose service the council has contracted.
##### **§ 52:13H-20** Appropriations {#sec-52-13h-20 omnilex-key=us-nj-statutes--title-52--52:13H-20}
20. The Legislature shall annually appropriate to the council from the General Fund of the State such amounts as may be necessary for the council to effectively carry out its responsibilities under this act.
##### **§ 52:13H-21** Findings, declarations relative to unfunded mandates and local governments and school districts. {#sec-52-13h-21 omnilex-key=us-nj-statutes--title-52--52:13H-21}
1. The Legislature finds and declares:
Over the past four decades, prior to adoption of the constitutional amendment prohibiting unfunded State mandates on local government, the State routinely and systematically imposed greater and greater numbers of mandates, orders, directives and burdens on local government. This web of mandates and burdens came about as the result of the enactment and adoption of a plethora of unrelated laws and regulations addressing many and diverse issues. While these actions by State government occurred in order to address a variety of public concerns, they all shared a common philosophical underpinning: the mandatory implementation of State policy directives by local government officials.
While the overwhelming majority of these statutes and regulations was established by sincere-minded and well-intentioned public officials in order to address legitimate public concerns, the collective regulatory weight of these mandates on local officials continues to be a matter of deep concern and a subject that cries for legislative relief.
In response to this decades long pattern of seemingly inexorable increases in burdensome mandates from Trenton, local officials repeatedly petition the Legislature for relief. In response to entreaties of local officials, various committees of several Legislatures have determined to continue to address the problem of burdensome mandates on an expedited basis through the enactment of omnibus acts that repeal or modify many of those mandates, resolve administrative ambiguities and encourage more businesslike practices. This is the third such omnibus mandate relief act.
##### **§ 52:13H-22** Findings, declarations relative to certain mandate requirements, procedures for local governments. {#sec-52-13h-22 omnilex-key=us-nj-statutes--title-52--52:13H-22}
1. The Legislature finds and declares:
Over the past four decades, prior to adoption of the constitutional amendment prohibiting unfunded State mandates on local government, the State routinely and systematically imposed greater and greater numbers of mandates, orders, directives and burdens on local government. This web of mandates and burdens came about as the result of the enactment and adoption of a plethora of unrelated laws and regulations addressing many and diverse issues. While these actions by State government occurred in order to address a variety of public concerns, they all shared a common philosophical underpinning: the mandatory implementation of State policy directives by local government officials.
While the overwhelming majority of these statutes and regulations was established by sincere-minded and well-intentioned public officials in order to address legitimate public concerns, the collective regulatory weight of these mandates on local officials continues to be a matter of deep concern and a subject that cries for legislative relief.
In response to this decades long pattern of seemingly inexorable increases in burdensome mandates from Trenton, local officials repeatedly petition the Legislature for relief. In response to entreaties of local officials, various committees of several Legislatures have determined to continue to address the problem of burdensome mandates on an expedited basis through the enactment of omnibus acts that repeal or modify many of those mandates, resolve administrative ambiguities and encourage more businesslike practices. This is the fourth such omnibus mandate relief act.
## **Chapter 14**
##### **§ 52:14-1** "Department" and "head of department" defined {#sec-52-14-1 omnilex-key=us-nj-statutes--title-52--52:14-1}
As used in this article:
"Department" means and includes every state institution, commission, board, department, bureau or state agency, whether or not it receives legislative appropriations.
"Head of department" means and includes the chief executive officer of that department, by whatever name he may be designated.
##### **§ 52:14-2** Requests for services or apparatus; agreement between departments {#sec-52-14-2 omnilex-key=us-nj-statutes--title-52--52:14-2}
Whenever in carrying out the work of a department, the services of any expert or the use of any special apparatus shall be desired or any work needs to be done for which the department is not equipped, the head thereof may request the assistance of any other department which may have the needed experts or apparatus. The head of the department so called upon may co-operate in meeting said need in so far as it can be done without detriment to the work of his own department. The heads of the departments concerned shall agree as to a proper charge, if any, to be made for such services or material or use of apparatus.
##### **§ 52:14-3** Accountings for sums paid or received. {#sec-52-14-3 omnilex-key=us-nj-statutes--title-52--52:14-3}
When such an agreement has been made between two departments, the heads thereof shall, from time to time, certify to the Director of the Division of Budget and Accounting the sum or sums due from the one to the other on account of such work, and the director shall thereupon cause to be paid such sum or sums to the creditor department. Payment may be by check, as other State bills are paid, or by a system of debits and credits, as the director may determine. All sums so received by or credited to any department shall be added to the current appropriation made for the support of said department, to the end that its appropriation may not be depleted by reason of the work done for another department.
##### **§ 52:14-4** Division of expenses. {#sec-52-14-4 omnilex-key=us-nj-statutes--title-52--52:14-4}
Two or more departments may unite in co-operative work in lines germane to the duties of said departments, and the heads thereof may agree between themselves for the distribution of the expense to be incurred. The agreement may include the payment or transfer from one department to another of a lump sum, and the payment, by the department receiving the same, of all expenses incurred in such co-operative work. The Director of the Division of Budget and Accounting shall, upon due notification of the agreement, make the necessary payments, or credits and debits, from sums not otherwise under requisition by the co-operating departments.
##### **§ 52:14-5** Monthly meeting of certain departments for promoting efficiency in engineering work {#sec-52-14-5 omnilex-key=us-nj-statutes--title-52--52:14-5}
For the purpose of discussing methods of co-operation and co-ordination in the engineering work of the state, promoting efficiency and avoiding duplication, the following departments, bureaus, boards and commissions shall be represented, at a meeting to be held once each month upon a day stated unless otherwise ordered, by their executive head or chairman or person designated by him, and by such engineers or other officials as may have charge of the various matters to be under discussion:
State highway commission.
Board of public utility commissioners.
Commissioner of motor vehicles.
Director of conservation and development.
Chief engineer of commerce and navigation.
State tax commissioner.
Commissioner of institutions and agencies.
Any other department, bureau, board or commission may be directed by the governor to be represented at such meetings, or may participate from time to time in order to offer or obtain co-operation or assist in avoiding duplication of work.
##### **§ 52:14-6** Organization; conduct of meetings; recommendations {#sec-52-14-6 omnilex-key=us-nj-statutes--title-52--52:14-6}
The governor shall be ex officio a member and chairman of the meeting, and those attending shall select a secretary, who shall call meetings at such times as may be determined upon. All meetings shall be conducted informally and shall not be deemed to control or direct any participants therein. The meeting may recommend plans for co-operation between the various departments of the state and county or local governments, and appoint committees or designate a representative to confer and discuss plans with the officials of the localities affected, and any county or local officials may submit to the chairman for discussion at such meetings plans or suggestions for co-operation or co-ordination of engineering work which they have in hand with work undertaken by the state. The meeting shall annually submit to the legislature recommendations for any changes in the laws of the state that are deemed advisable or necessary in order to promote efficiency and prevent duplication of engineering work and unnecessary expense.
##### **§ 52:14-6.10** Short title {#sec-52-14-6.10 omnilex-key=us-nj-statutes--title-52--52:14-6.10}
This act shall be known as, and may be cited as, the "Government Employee Interchange Act of 1967."
##### **§ 52:14-6.11** Declaration of necessity; liberal construction {#sec-52-14-6.11 omnilex-key=us-nj-statutes--title-52--52:14-6.11}
This act being deemed and hereby declared necessary for the welfare of this State and its inhabitants in order to provide for that intergovernmental co-operation which is essential to the resolution of problems affecting this State, shall be liberally construed to effectuate the purposes and intent thereof.
##### **§ 52:14-6.12** Definitions {#sec-52-14-6.12 omnilex-key=us-nj-statutes--title-52--52:14-6.12}
The following terms whenever used or referred to in this act shall have the following respective meanings for the purposes of this act, except in those instances where the context clearly indicates otherwise:
(a) The term "act" shall mean this act, any amendments or supplements thereto, and any rules or regulations promulgated thereunder.
(b) The term "Federal Governmental unit" shall mean any department, division, office, agency, bureau or section of the United States, or any authority or instrumentality created or chartered thereby.
(c) The term "New Jersey Governmental unit" shall mean any department, division, office, agency, bureau or section of this State, or any political subdivision thereof, or any authority or instrumentality created or chartered thereby.
(d) The term "participating employee" shall mean any officer or employee of any Federal Governmental unit, New Jersey Governmental unit or State Governmental unit, other than the chief executive officer thereof, who participates in a program of government employee interchange authorized by this act.
(e) The term "receiving agency" shall mean any Federal Governmental unit, New Jersey Governmental unit, or State Governmental unit which receives any officer or employee of a sending agency pursuant to a program of government employee interchange authorized by this act.
(f) The term "sending agency" shall mean any Federal Governmental unit, New Jersey Governmental unit, or State Governmental unit which sends any officer or employee thereof to a receiving agency pursuant to a program of government employee interchange authorized by this act.
(g) The term "State Governmental unit" shall mean any department, division, office, agency, bureau or section of any State of the United States other than this State, or any political subdivision thereof, or any authority, or instrumentality created or chartered thereby.
##### **§ 52:14-6.13** Participation as sending or receiving agency; government employee interchange {#sec-52-14-6.13 omnilex-key=us-nj-statutes--title-52--52:14-6.13}
Notwithstanding the provisions of any other law, and as hereinafter provided, any New Jersey Governmental unit is hereby authorized to participate, as either a sending agency or a receiving agency, in a program of government employee interchange with any other New Jersey Governmental unit, any Federal Governmental unit, or any State Governmental unit.
##### **§ 52:14-6.14** Program of government employee interchange; terms, conditions and requirements {#sec-52-14-6.14 omnilex-key=us-nj-statutes--title-52--52:14-6.14}
Any program of government employee interchange pursuant to this act shall be subject to the following terms, conditions and requirements:
(a) No period of individual assignment or detail to any receiving agency shall exceed 12 months, nor shall any participating employee be assigned or detailed to a receiving agency for more than 12 months during any 36-month period.
(b) No person shall be assigned or detailed as a participating employee except upon the freely-given consent of such person, and without any form of coercion or duress whatsoever.
(c) Any participating employee shall remain in the employ of the sending agency for a period of not less than 1 year from the termination of his participation in a program of government employee interchange pursuant to this act.
(d) Any program of government employee interchange pursuant to this act may be terminated by the sending agency or the receiving agency, without reason therefor, upon 30 days' notice.
(e) Any participating employee received by a receiving agency shall be considered, for the duration of his participation in a program of government employee interchange pursuant to this act, to be assigned to the receiving agency on detail to the regular work assignments of the sending agency. No participating employee who is so assigned on detail shall, by virtue of such assignment on detail, be considered an employee of the said receiving agency, but shall be considered to be an employee of the sending agency for any purpose other than a question as to the supervision of said participating employee; provided, that the supervision of any participating employee may be governed by an agreement between the respective chief executive officers of the sending agency and the receiving agency; and provided further, that any question as to the employee status of an employee of a New Jersey Governmental unit who participates in a program of government employee interchange pursuant to this act shall be decided according to the law of this State.
(f) Any New Jersey Governmental unit may, without regard to the provisions of Title 11 of the Revised Statutes, Civil Service, receive and appoint a participating employee from a sending agency to the unclassified service of said New Jersey Governmental unit.
(g) No employee of a New Jersey Governmental unit who is assigned to a receiving agency shall lose, or suffer any diminution of, any right, power, privilege or benefit to which said participating employee would otherwise be entitled pursuant to the provisions of Title 11 of the Revised Statutes, Civil Service, or Title 43 of the Revised Statutes, Pensions and Retirement, or any other law, including but not limited to rights, powers, privileges, or benefits as to salary, seniority, promotion, re-employment, retirement or pension.
(h) Any employee of a New Jersey Governmental unit who participates in a program of government employee interchange pursuant to the provisions of this act who shall suffer injury, occupational disease, or death, arising out of and in the course of said program or sustained in the discharge of duties in connection therewith, shall be considered an "employee" as said term is defined in section 34:15-36 of the Revised Statutes, and shall not be deprived, by virtue of his participation in said program, of any right or expectancy that would otherwise accrue to said participating employee pursuant to chapters 15 and 16, both inclusive, of Title 34 of the Revised Statutes, Labor and Workmen's Compensation. No such participating employee of a New Jersey Governmental unit shall receive or accept any payment or benefit pursuant to a workmen's compensation program, if any, of any State Governmental unit or Federal Governmental unit with which the said New Jersey Governmental unit has implemented a program of government employee interchange pursuant to this act.
No employee of a Federal Governmental unit or State Governmental unit who is assigned to a New Jersey Governmental unit as a receiving agency and who suffers injury, occupational disease, or death, arising out of and in the course of a program of government employee interchange pursuant to this act or sustained in the discharge of duties in connection therewith, shall be considered an "employee" within the meaning of section 34:15-36 of the Revised Statutes, nor shall any right or expectancy accrue to said employee pursuant to chapters 15 and 16, both inclusive, of Title 34 of the Revised Statutes, Labor and Workmen's Compensation.
(i) Except as hereinafter provided, no participating employee shall receive or accept any compensation from the receiving agency to which the said participating employee is assigned on detail. Any receiving agency may, in accordance with any applicable regulations of said receiving agency, reimburse the per diem and mileage expenses of any participating employee assigned on detail thereto. Any sending agency may, in accordance with any applicable regulations of said sending agency, pay the expenses incurred by a participating employee thereof incurred in transporting the immediate family, household goods and personal effects of said participating employee to and from the location of the receiving agency; provided, that the period of assignment of said participating employee is greater than 8 months.
##### **§ 52:14-6.15** Prerequisites to employee participation {#sec-52-14-6.15 omnilex-key=us-nj-statutes--title-52--52:14-6.15}
No employee of a New Jersey Governmental unit shall participate, whether as a sending agency or receiving agency, in a program of government employee interchange pursuant to this act until (1) the chief executive officer of said New Jersey Governmental unit shall have certified to the President of the Civil Service Commission that the participation of said employee in such a program will assist the said New Jersey Governmental unit in resolving problems within the field of responsibility of said New Jersey Governmental unit, and (2) the chief executive officers of the sending agency and the receiving agency and the participating employee of a New Jersey Governmental unit shall have executed, and filed with the President of the Civil Service Commission, an agreement adopting the terms, conditions and requirements stated in section 5 of this act, and any other terms and conditions not inconsistent therewith.
##### **§ 52:14-6.16** Rules and regulations {#sec-52-14-6.16 omnilex-key=us-nj-statutes--title-52--52:14-6.16}
The Civil Service Commission is hereby directed to issue and promulgate such rules and regulations as are necessary and appropriate to carry out the provisions of this act, and to assist any New Jersey Governmental unit to participate in government employee interchange programs pursuant to this act. Any rules and regulations issued and promulgated hereunder may be revised, repealed or amended from time to time as the Civil Service Commission may deem necessary. Any rules and regulations issued and promulgated hereunder shall be filed with the Secretary of State.
##### **§ 52:14-6.17** Inconsistent acts {#sec-52-14-6.17 omnilex-key=us-nj-statutes--title-52--52:14-6.17}
All acts or parts of acts inconsistent herewith are hereby superseded.
##### **§ 52:14-6.18** Partial invalidity {#sec-52-14-6.18 omnilex-key=us-nj-statutes--title-52--52:14-6.18}
If any section, subsection, paragraph, sentence or other part of this act is adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder of this act, but shall be confined in its effect to the section, subsection, paragraph, sentence or other part of this act directly involved in the controversy in which said judgment shall have been rendered.
##### **§ 52:14-7** Residency requirements for State officers, employees; exceptions. {#sec-52-14-7 omnilex-key=us-nj-statutes--title-52--52:14-7}
a. Every person holding an office, employment, or position
(1) in the Executive, Legislative, or Judicial Branch of this State, or
(2) with an authority, board, body, agency, commission, or instrumentality of the State including any State college, university, or other higher educational institution, and, to the extent consistent with law, any interstate agency to which New Jersey is a party, or
(3) with a county, municipality, or other political subdivision of the State or an authority, board, body, agency, district, commission, or instrumentality of the county, municipality, or subdivision, or
(4) with a school district or an authority, board, body, agency, commission, or instrumentality of the district,
shall have his or her principal residence in this State and shall execute such office, employment, or position.
This residency requirement shall not apply to any person: (a) who is employed on a temporary or per-semester basis as a visiting professor, teacher, lecturer, or researcher by any State college, university, or other higher educational institution, or county or community college, or in a full or part-time position as a member of the faculty, the research staff, or the administrative staff by any State college, university, or other higher educational institution, or county or community college, that the college, university, or institution has included in the report required to be filed pursuant to this subsection; (b) who is employed full-time by the State who serves in an office, employment, or position that requires the person to spend the majority of the person's working hours in a location outside of this State; or (c) an officer of the waterfront commission of New York harbor, employed by the commission on the effective date of P.L.2017, c.324 (C.32:23-229 et al.), who seeks to be transferred to the Division of State Police in the Department of Law and Public Safety pursuant to section 4 of P.L.2017, c.324 (C.53:2-9).
This residency requirement shall not apply to any person who is hired by the New Jersey Transit Corporation as an engineer or mechanic, or any other position certified by the board of directors as a position of critical need.
For the purposes of this subsection, a person may have at most one principal residence, and the state of a person's principal residence means the state (1) where the person spends the majority of the person's nonworking time, and (2) which is most clearly the center of the person's domestic life, and (3) which is designated as the person's legal address and legal residence for voting. The fact that a person is domiciled in this State shall not by itself satisfy the requirement of principal residency hereunder.
A person, regardless of the office, employment, or position, who holds an office, employment, or position in this State on the effective date of P.L.2011, c.70 but does not have principal residence in this State on that effective date shall not be subject to the residency requirement of this subsection while the person continues to hold office, employment, or position without a break in public service of greater than seven days.
Any person may request an exemption from the provisions of this subsection on the basis of critical need or hardship from a five-member committee hereby established to consider applications for exemptions. The committee shall be composed of three persons appointed by the Governor, a person appointed by the Speaker of the General Assembly, and a person appointed by the President of the Senate, each of whom shall serve at the pleasure of the person making the appointment and shall have a term not to exceed five years. A vacancy on the committee shall be filled in the same manner as the original appointment was made. The Governor shall make provision to provide such clerical, secretarial, and administrative support to the committee as may be necessary for it to conduct its responsibilities pursuant to this subsection.
The decision on whether to approve an application from any person shall be made by a majority vote of the members of the committee, and those voting in the affirmative shall so sign the approved application. If the committee fails to act on an application within 30 days after the receipt thereof, no exemption shall be granted and the residency requirement of this subsection shall be operative. The head of a principal department of the Executive Branch of the State government, a Justice of the Supreme Court, judge of the Superior Court, and judge of any inferior court established under the laws of this State shall not be eligible to request from the committee an exemption from the provisions of this subsection.
The exemption provided in this subsection for certain persons employed by a State college, university, or other higher educational institution, or a county or community college, other than those employed on a temporary or per-semester basis as a visiting professor, teacher, lecturer, or researcher, shall apply only to those persons holding positions that the college, university, or institution has included in a report of those full or part-time positions as a member of the faculty, the research staff, or the administrative staff requiring special expertise or extraordinary qualifications in an academic, scientific, technical, professional, or medical field or in administration, that, if not exempt from the residency requirement, would seriously impede the ability of the college, university, or institution to compete successfully with similar colleges, universities, or institutions in other states. The report shall be compiled annually and shall also contain the reasons why the positions were selected for inclusion in the report. The report shall be compiled and filed within 60 days following the effective date of P.L.2011, c.70. The report shall be reviewed, revised as necessary, and filed by January 1 of each year thereafter. Each report shall be filed with the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), with the Legislature, and a report may be revised at any time by filing an amendment to the report with the Governor and Legislature.
As used in this section, "school district" means any local or regional school district established pursuant to chapter 8 or chapter 13 of Title 18A of the New Jersey Statutes and any jointure commission, county vocational school, county special services district, educational services commission, educational research and demonstration center, environmental education center, and educational information and resource center.
b. If any person holding any office, employment, or other position in this State shall attempt to let, farm out, or transfer office, employment, or position or any part thereof to any person, the person shall forfeit the sum of $1,500, to be recovered with costs by any person who shall sue for the same, one-half to the prosecutor and the other half to the State Treasurer for the use of the State.
c. No person shall be appointed to or hold any position in this State who has not the requisite qualifications for personally performing the duties of such position in cases where scientific engineering skill is necessary to the performance of the duties thereof.
d. Any person holding or attempting to hold an office, employment, or position in violation of this section shall be considered as illegally holding or attempting to hold the same; provided that a person holding an office, employment, or position in this State shall have one year from the time of taking the office, employment, or position to satisfy the requirement of principal residency, and if thereafter the person fails to satisfy the requirement of principal residency as defined herein with respect to any 365-day period, that person shall be deemed unqualified for holding the office, employment, or position. The Superior Court shall, in a civil action in lieu of prerogative writ, give judgment of ouster against the person, upon the complaint of any officer or citizen of the State, provided that any complaint shall be brought within one year of the alleged 365-day period of failure to have the person's principal residence in this State.
##### **§ 52:14-8** Appointment of certain officers by legislature in joint meeting {#sec-52-14-8 omnilex-key=us-nj-statutes--title-52--52:14-8}
All officers who, before and at the time when the present constitution of the state went into effect, were directed to be appointed by the council and general assembly in joint meeting, and whose appointment is not otherwise specifically provided for by the present constitution, may be appointed by the senate and general assembly in joint meeting.
##### **§ 52:14-9** Election to office by joint meeting void upon failure to qualify within two months {#sec-52-14-9 omnilex-key=us-nj-statutes--title-52--52:14-9}
If any person elected to any office by the Senate and General Assembly in joint meeting shall neglect or refuse to qualify into such office within two months after being informed of his election by any member of the Senate or General Assembly for the county in which said officer resides, or by the county clerk of such county, said election shall thenceforth be void.
##### **§ 52:14-10** Methods of resigning from office {#sec-52-14-10 omnilex-key=us-nj-statutes--title-52--52:14-10}
Whenever a state officer holding an office under the appointment of the joint meeting of the legislature shall be desirous of resigning, he shall present such resignation in writing under his hand, during the sitting of the legislature addressed to the joint meeting. All other state officers desirous of resigning shall send their resignations, in writing, to the governor. All such resignations shall be filed in the office of the secretary of state. No resignation made in any other way or pretended to be made, shall be valid.
##### **§ 52:14-11** Discrimination by reason of age prohibited; exception {#sec-52-14-11 omnilex-key=us-nj-statutes--title-52--52:14-11}
No person forty years of age or over, applying for employment in the service of the state, shall be discriminated against by reason of age; nor shall the state or any agency thereof make any rules or regulations designed to bar any such person from any position or employment in the service of the state. This section shall not apply to guards employed in the service of any penal institution of the state.
##### **§ 52:14-12** Notice of death of certain State officers {#sec-52-14-12 omnilex-key=us-nj-statutes--title-52--52:14-12}
Upon the death of a State officer holding an office which is to be filled by the Governor and Senate, or by the Legislature in joint meeting, or by the people at an annual election, the assignment judge of the Superior Court of the county in which the deceased officer resided at the time of his death shall forthwith give notice and information, in writing, to the Governor, or person administering the government of this State, of the death of such officer and the time thereof, according to the best of the knowledge and belief of the judge. The notice shall be filed by the Governor, or person administering the government, in the office of the Secretary of State.
The Governor, or person administering the government, shall communicate to the Legislature at the earliest opportunity, notice of the death of every officer whose office is to be filled by the Legislature in joint meeting, and of every case in which, by reason of death, either house of the Legislature is authorized to issue writs of election for supplying vacancies.
##### **§ 52:14-13** Mental incapacity of State officer to vacate office. {#sec-52-14-13 omnilex-key=us-nj-statutes--title-52--52:14-13}
When an officer of this State or a member of a State board or commission is unable to perform the duties of the commission or appointment because of mental incapacity, the commission or appointment of the officer or member shall become vacated and void, and a vacancy shall thereupon exist in the office, the same as though the officer or member had resigned or died.
##### **§ 52:14-14** When terms of members of boards and commissions created by joint resolution shall terminate {#sec-52-14-14 omnilex-key=us-nj-statutes--title-52--52:14-14}
a. Except as otherwise provided in subsection b. of this section, the terms of office of members of all commissions, committees, boards or bodies created by virtue or authority of any joint resolution of the Legislature, shall terminate upon the sine die adjournment of the session of the Legislature next following the session at which the joint resolution is passed, unless otherwise provided in the joint resolution, or unless the duties and terms of office of the commission, committee, board or body so created be extended by subsequent legislative enactment or appropriation.
b. Whenever a commission is established by a joint resolution, if the commission has a time fixed to complete its duties, the time period shall not begin to run until the appointment and qualification of a number of members sufficient to constitute a quorum, unless otherwise provided in the joint resolution.
##### **§ 52:14-14.1** Commission established by act, terms of members {#sec-52-14-14.1 omnilex-key=us-nj-statutes--title-52--52:14-14.1}
Whenever a commission is established by an act, if the commission has a time fixed to complete its duties, the time period shall not begin to run until the appointment and qualification of a number of members sufficient to constitute a quorum, unless otherwise provided in the act.
##### **§ 52:14-14.2** Badge which may be mistaken for law enforcement badge not to be issued to elected State official. {#sec-52-14-14.2 omnilex-key=us-nj-statutes--title-52--52:14-14.2}
5. Notwithstanding any provision of law to the contrary, a law enforcement badge or a badge that may be mistaken as a law enforcement badge shall not be issued to any State elected official.
##### **§ 52:14-15** Salaries payable biweekly {#sec-52-14-15 omnilex-key=us-nj-statutes--title-52--52:14-15}
Except as otherwise specifically provided by law, all officers and employees paid by the State shall be paid their salaries or compensation biweekly in a biweekly amount; provided, however, the State Treasurer and the Director of the Division of Budget and Accounting shall fix the time of payments in the biweekly amount so that payments will commence biweekly when there shall have been developed an interval of not more than 9 working days between the last day of the biweekly period for which the salary or compensation has been earned and the date of payment.
##### **§ 52:14-15a** Direct deposit; required, exemptions, information available to employees. {#sec-52-14-15a omnilex-key=us-nj-statutes--title-52--52:14-15a}
1. a. Whenever any person holding public office, position or employment, whose compensation is paid by this State or by any board, body, agency, authority or commission thereof, hereinafter referred to as "employee", shall indicate in writing to the proper disbursing officer his desire to have his net pay deposited in a specific banking institution in a designated checking account, savings account, or share account for such employee, the State Treasurer shall make the deposit in the respective banking institution on behalf of the employee.
With respect to compensation paid on and after July 1, 2014, all such persons shall have net pay directly deposited as described in this section. The State Treasurer is authorized to grant an exemption from the requirements of this section on such terms and conditions as the State Treasurer may deem necessary. The State Treasurer is authorized to grant an exemption for seasonal and temporary employees as the State Treasurer may deem necessary.
b. Commencing on the first day of the fourth month following the enactment of P.L.2013, c.28, the State Treasurer shall make available for employees who have net pay directly deposited as described in this section any information concerning net pay, any accompanying information approved for distribution with net pay, and W-2 forms in accordance with applicable federal law, only on the Internet with restricted access and policies and procedures to protect the integrity and confidentiality of the information.
c. The requirements of this section shall also be applicable to all State entities that do not utilize the State centralized payroll system, including public institutions of higher education.
##### **§ 52:14-15b** Total amount for all employees {#sec-52-14-15b omnilex-key=us-nj-statutes--title-52--52:14-15b}
If more than one employee designates the same banking institution as the depository for his or her net pay, the State Treasurer, in the case of State employees, and the proper disbursing officer in all other cases, may make the deposits by sending to the banking institution an electronic fund transfer, a computer tape or a check that is drawn in favor of the banking institution for the total amount designated by these employees and by specifying the amount to be credited to the account of each of those employees.
##### **§ 52:14-15c** Definitions {#sec-52-14-15c omnilex-key=us-nj-statutes--title-52--52:14-15c}
For purposes of this act:
"Net pay" means the net amount of wages or compensation owed to an employee in any pay period after withholding of various federal and State taxes and all other deductions authorized by law including deductions construed as voluntary payments;
"Banking institution" means a State or federally chartered bank, savings bank, savings and loan association, or credit union.
##### **§ 52:14-15d** Withdrawal of designation prohibited; exemptions. {#sec-52-14-15d omnilex-key=us-nj-statutes--title-52--52:14-15d}
4. Any written designation may be withdrawn by an employee at any time by filing the notice of withdrawal with his respective disbursing officer. The filing of notice of withdrawal shall be effective to halt deposits as of the thirtieth day next succeeding the date on which it is filed.
With respect to compensation paid on and after July 1, 2014, withdrawal of written designation shall be prohibited, unless the State Treasurer or appropriate officer grants an exemption to this prohibition as deemed necessary.
##### **§ 52:14-15e** Rules and regulations {#sec-52-14-15e omnilex-key=us-nj-statutes--title-52--52:14-15e}
Subject to the "Administrative Procedure Act" (P.L.1968, c. 410, C. 52:14B-1 et seq.), the State Treasurer shall adopt all rules and regulations necessary to effectuate this act.
##### **§ 52:14-15f** Deposit of net pay; information available to employees. {#sec-52-14-15f omnilex-key=us-nj-statutes--title-52--52:14-15f}
2. a. Upon the adoption of an ordinance or resolution, as appropriate, the governing body of a county or municipality may provide for the deposit of the net pay of any employee of the county or municipality, or of a board, commission, bureau, department, or other public agency thereof, in a specific banking institution in a designated checking account, savings account, or share account. When the employee shall indicate in writing to the proper disbursing officer his or her desire to have his or her net pay deposited, the disbursing officer shall make the deposit in the respective banking institution on behalf of the employee. As used in P.L.1981, c.385 (C.52:14-15a et seq.), "employee" shall also mean any person holding public office, position, or employment whose compensation is paid by a county or municipality or any board, commission, bureau, department, or other public agency thereof.
b. On or after July 1, 2014, the governing body of a county, municipality, or local authority or other entity subject to the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.), may determine by the adoption of an ordinance or resolution, as appropriate, to provide for the mandatory direct deposit of net pay for all employees of the county, municipality, or local authority or other entity subject to the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.), or of a board, commission, bureau, department , or other public agency thereof, in a specific banking institution based on information provided by the employee. If the governing body provides for such direct deposit, compliance by an employee shall be mandatory. No ordinance or resolution shall be adopted under subsection a. of this section on or after July 1, 2014. The governing body is authorized to grant an exemption from the requirements adopted pursuant to this subsection on such terms and conditions as the governing body may deem necessary. The governing body is authorized to grant an exemption for seasonal and temporary employees as the governing body may deem necessary.
c. The governing body may make available for such employees who have net pay directly deposited as described in subsection a. of this section, and shall make available for such employees who have net pay directly deposited as described in subsection b. of this section, any information concerning net pay, any accompanying information approved for distribution with net pay, and W-2 forms in accordance with applicable federal law, only on the Internet with restricted access and policies and procedures to protect the integrity and confidentiality of the information.
##### **§ 52:14-15g** Dissemination of organ and tissue donation information during April. {#sec-52-14-15g omnilex-key=us-nj-statutes--title-52--52:14-15g}
1. The Department of the Treasury shall, during the month of April, disseminate organ and tissue donation information in accordance with the provisions of the "Revised Uniform Anatomical Gift Act," P.L.2008, c.50 (C.26:6-77 et seq.) with each State employee paycheck. The information shall be prepared in collaboration with the organ procurement organizations designated pursuant to 42 U.S.C.s.1320b-8 to serve in this State.
##### **§ 52:14-15h** Direct deposit of net pay for board of education employees; exemptions; information available to employees. {#sec-52-14-15h omnilex-key=us-nj-statutes--title-52--52:14-15h}
4. On or after July 1, 2014, the board of education of every local school district may determine to have net pay for all employees directly deposited in a specific banking institution in a checking account, savings account, or share account designated in writing by the employee. If the board provides for such direct deposit, compliance by an employee shall be mandatory. The board is authorized to grant an exemption from the requirements adopted pursuant to this section on such terms and conditions as the board may deem necessary. The board is authorized to grant an exemption for seasonal and temporary employees as the board may deem necessary. The board shall make available for such employees who have net pay directly deposited as described in this section all information concerning net pay, any accompanying information approved for distribution with net pay, and W-2 forms in accordance with applicable federal law, only on the Internet with restricted access and policies and procedures to protect the integrity and confidentiality of the information. As used in this section, "local school district" shall have the meaning set forth in section 3 of P.L.1991, c.393 (C.18A:12-23).
##### **§ 52:14-15i** Direct deposit of net pay for county college employees; exemptions; information available to employees. {#sec-52-14-15i omnilex-key=us-nj-statutes--title-52--52:14-15i}
5. On or after July 1, 2014, the board of trustees of a county college may determine to have net pay for all employees directly deposited in a specific banking institution in a checking account, savings account, or share account designated in writing by the employee. If the board provides for such direct deposit, compliance by an employee shall be mandatory. The board is authorized to grant an exemption from the requirements adopted pursuant to this section on such terms and conditions as the board may deem necessary. The board is authorized to grant an exemption for seasonal and temporary employees as the board may deem necessary. The board shall make available for such employees who have net pay directly deposited as described in this section all information concerning net pay, any accompanying information approved for distribution with net pay, and W-2 forms in accordance with applicable federal law, only on the Internet with restricted access and policies and procedures to protect the integrity and confidentiality of the information. As used in this section, "county college" shall have the meaning set forth in N.J.S.18A:64A-1, and "board of trustees" shall mean such boards established under N.J.S.18A:64A-8.
##### **§ 52:14-15.1** Deductions from compensation of officials and employees under Federal or State statutes {#sec-52-14-15.1 omnilex-key=us-nj-statutes--title-52--52:14-15.1}
Whenever, pursuant to any Federal or State statute, this State or any county, municipality or school district thereof, or any board, body, agency or commission of this State, or of any county, municipality or school district thereof, is required to make any deduction from the compensation payable by it to any person holding office, position or employment under it, such deduction shall be made by the disbursing officer of this State or any county, municipality or school district thereof, or any board, body, agency or commission of this State, or of any county, municipality or school district thereof, as the case may be, under such rules and regulations as he shall promulgate for the most economical and expeditious handling thereof.
##### **§ 52:14-15.1a** Establishment of cafeteria plan; payroll deductions. {#sec-52-14-15.1a omnilex-key=us-nj-statutes--title-52--52:14-15.1a}
7. Notwithstanding the provisions of any other law to the contrary, the State Treasurer on behalf of the State, and the governing body of an independent State authority, board, commission, corporation, agency or organization may establish as an employer a cafeteria plan for its employees pursuant to section 125 of the federal Internal Revenue Code, 26 U.S.C. s.125, and shall establish such a plan for medical or dental expenses not covered by a health benefits plan. The plan shall provide for a reduction in an employee's salary, through payroll deductions or otherwise, in exchange for payment by the employer of medical or dental expenses not covered by a health benefits plan, and may provide for a reduction in an employee's salary, through payroll deductions or otherwise, in exchange for payment by the employer of dependent care expenses as provided in section 129 of the code, 26 U.S.C. s.129, and such other benefits as are consistent with section 125 which are included under the plan. The amount of any reduction in an employee's salary for the purpose of contributing to the plan shall continue to be treated as regular compensation for all other purposes, including the calculation of pension contributions and the amount of any retirement allowance, but, to the extent permitted by the federal Internal Revenue Code, shall not be included in the computation of federal taxes withheld from the employee's salary.
##### **§ 52:14-15.1b** Qualified transportation fringe benefits, payroll deductions. {#sec-52-14-15.1b omnilex-key=us-nj-statutes--title-52--52:14-15.1b}
1. Notwithstanding the provisions of any other law to the contrary, the State Treasurer, on behalf of the State, and the governing body of an independent State authority, board, commission, corporation, agency or organization may offer as an employer to an employee the option for a reduction in the employee's salary, through payroll deductions or otherwise, in exchange for the payment by the employer of a qualified transportation fringe benefit, as defined in, and otherwise consistent with the provisions and limits of, section 132 of the federal Internal Revenue Code of 1986, 26 U.S.C. s.132. The amount of any reduction in an employee's salary for the purpose of contributing to the payment of the qualified transportation fringe benefit shall continue to be treated as regular compensation for all other purposes, including the calculation of pension contributions and the amount of any retirement allowance, but, to the extent permitted by the federal Internal Revenue Code, shall not be included in the computation of federal taxes withheld from the employee's salary.
##### **§ 52:14-15.2** Payments on account of deductions under Federal or State statutes {#sec-52-14-15.2 omnilex-key=us-nj-statutes--title-52--52:14-15.2}
Said disbursing officer may make any payment on account of such deductions to the person entitled thereto, as is required by such Federal or State statute, without appropriation to the purpose for which it is drawn.
##### **§ 52:14-15.3** Statements as to deductions {#sec-52-14-15.3 omnilex-key=us-nj-statutes--title-52--52:14-15.3}
Such disbursing officer making any such deduction shall furnish to each person, from whose compensation deduction has been made, such statements as are required by the Federal or State statutes requiring or permitting such deduction.
##### **§ 52:14-15.4** Officials and employees deemed to consent to deductions from pay required by Federal or State statutes {#sec-52-14-15.4 omnilex-key=us-nj-statutes--title-52--52:14-15.4}
Every person holding office, position or employment under this State or any county, municipality or school district thereof, or any board, body, agency or commission of this State, or of any county, municipality or school district thereof shall, in the case of deductions required by any Federal or State statute, be deemed to consent and agree to such deductions from his compensation, notwithstanding any other law, rule or regulation affecting the salary, pay, compensation, other perquisites or tenure of such person, and notwithstanding that the minimum salary, pay, compensation or other perquisite provided by law for him shall be reduced thereby, payment, less such deductions, shall be a full and complete discharge and acquittance of all claims and demands for service rendered by him during the period covered by such payment.
##### **§ 52:14-15.5** Deductions for purchase of war bonds {#sec-52-14-15.5 omnilex-key=us-nj-statutes--title-52--52:14-15.5}
Whenever any person holding public office, position or employment, whose compensation is paid by this State or any county, municipality, school district or other political subdivision of this State, or by any board, body, agency or commission thereof, shall indicate in writing to the proper disbursing officer his desire to have any deduction made from his compensation for the purpose of purchasing war bonds of the United States government, such disbursing officer shall make such deduction from the compensation of such person and such disbursing officer shall deposit all such deductions in a separate trust account and accumulate them until such time as the amount of the deductions will permit the purchase, for said person, of a war bond of the United States government, at which time such disbursing officer shall draw on such trust account, make such purchase and deliver such bond to said person.
##### **§ 52:14-15.6** Termination of deductions for war bonds {#sec-52-14-15.6 omnilex-key=us-nj-statutes--title-52--52:14-15.6}
The said deductions from compensation shall continue while said person is so employed until the said person shall indicate in writing to such disbursing officer his desire to terminate said deductions. When the said deductions shall cease, such disbursing officer shall pay to said person any amount of said deductions from said person's compensation retained by such disbursing officer which is less than the minimum amount required to purchase a war bond for said person.
##### **§ 52:14-15.7** Statement showing deductions for war bonds {#sec-52-14-15.7 omnilex-key=us-nj-statutes--title-52--52:14-15.7}
The disbursing officer shall furnish to each such person on or before February fifteenth in each year, a written statement showing the deductions made during the preceding year and the amount held at the end of said preceding year to the credit of such person. If such deduction cease during any calendar year, the disbursing officer shall furnish to such person a written statement showing the deductions made since the first day of said calendar year and the amount held to the credit of such person at the time such deductions cease.
##### **§ 52:14-15.8** Form of application for deductions; rules and regulations {#sec-52-14-15.8 omnilex-key=us-nj-statutes--title-52--52:14-15.8}
Every disbursing officer shall have the power to prescribe the form of written application, to require the amount of each deduction to be in any fixed sum or multiple thereof and to adopt such rules and regulations as are necessary or proper to carry out the purpose of this act.
##### **§ 52:14-15.9** Deductions construed as voluntary payments {#sec-52-14-15.9 omnilex-key=us-nj-statutes--title-52--52:14-15.9}
The making of any such deductions shall be construed to be voluntary payments by said person, and any and all rights of said person existing under the laws of this State shall be and remain the same as if the foregoing deductions were not made, except as provided in this act.
##### **§ 52:14-15.9a** Deductions for group insurance premiums; authorization; withdrawal {#sec-52-14-15.9a omnilex-key=us-nj-statutes--title-52--52:14-15.9a}
Whenever any person holding public office, position or employment, whose compensation is paid by this State or any county, municipality, school district or other political subdivision of this State, or by any board, body, agency or commission thereof, shall indicate in writing to the proper disbursing officer his desire to have any deduction made from his compensation for the payment of insurance premiums written on the group plan of accident and sickness insurance, or property or liability insurance, or for any hospital service plan and medical-surgical plan, such disbursing officer shall, except in counties of the first class, make such deduction from the compensation of such person, and such disbursing officer shall transmit the sum so deducted to the company carrying such insurance. In counties of the first class, such disbursing officer shall make such deduction from the compensation of such person and shall transmit the sum so deducted to the company carrying such insurance only when directed so to do by the board of chosen freeholders.
Any such written authorization may be withdrawn by such person holding public office, position or employment at any time upon filing notice of such withdrawal with the above mentioned disbursing officer.
##### **§ 52:14-15.9a1** Deduction from compensation of certain local public employees for long term care insurance. {#sec-52-14-15.9a1 omnilex-key=us-nj-statutes--title-52--52:14-15.9a1}
2. Whenever any person holding public office, position or employment, whose compensation is paid by a local contracting unit subject to the provisions of the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.), the "Public School Contracts Law," N.J.S.18A:18A-1 et seq., or the "County College Contracts Law," P.L.1982, c.189 (C.18A:64A-25.1 et seq.), shall indicate in writing to the proper disbursing officer the person's choice to have a deduction made from his or her compensation for the payment of insurance premiums for a group plan of long term care insurance pursuant to this act, P.L.2005, c.198 (C.52:18-11.2 et al.), the disbursing officer shall make that deduction from the compensation of the person, and the disbursing officer shall transmit the sum so deducted as directed by the Division of Pensions and Benefits in the Department of the Treasury. Any such written authorization may be withdrawn by the person holding public office, position or employment at any time upon filing a written notice of withdrawal with the above mentioned disbursing officer.
##### **§ 52:14-15.9b** Deductions construed as voluntary {#sec-52-14-15.9b omnilex-key=us-nj-statutes--title-52--52:14-15.9b}
The making of any such deductions shall be construed to be voluntary payments by said person, and any and all rights of said person existing under the laws of this State shall be and remain the same as if the foregoing deductions were not made, except as provided in this act.
##### **§ 52:14-15.9c1** Short title {#sec-52-14-15.9c1 omnilex-key=us-nj-statutes--title-52--52:14-15.9c1}
This act shall be known and may be cited as the "Public Employee Charitable Fund-Raising Act."
##### **§ 52:14-15.9c2** Findings {#sec-52-14-15.9c2 omnilex-key=us-nj-statutes--title-52--52:14-15.9c2}
The Legislature finds that:
a. It is the policy of the State to lessen the burden of government at both the State and local levels, in meeting the needs of human health, welfare and human care services;
b. There is a need to provide a convenient channel through which public employees may support the efforts of charitable fund-raising organizations and charitable agencies while minimizing disruption to the workplace and cost to taxpayers that fund-raising may entail; and
c. It is necessary to establish a system for the planning and conduct of charitable fund-raising campaigns among public employees in order to ensure that the funds will be collected and distributed in a responsible manner.
##### **§ 52:14-15.9c3** Definitions {#sec-52-14-15.9c3 omnilex-key=us-nj-statutes--title-52--52:14-15.9c3}
As used in this act:
a. "Affiliated charitable agency" means a charitable agency which is affiliated with a charitable fund-raising organization for the purpose of directly sharing in funds raised by the organization.
b. "Campaign manager" means a charitable fund-raising organization which manages a charitable fund-raising campaign.
c. "Charitable agency" means a volunteer, not-for-profit organization that provides health, welfare or human care services to individuals.
d. "Charitable fund-raising campaign" means an annual payroll deduction campaign organized pursuant to this act to receive and distribute the voluntary charitable contributions of public employees.
e. "Charitable fund-raising organization" means a voluntary not-for-profit organization which receives and distributes voluntary charitable contributions.
f. "Local unit of government" means any county, municipality, board of education or instrumentality thereof.
g. "State" means the State or any instrumentality thereof.
h. "Unaffiliated charitable agency" means a charitable agency which provides health, welfare or human care services within New Jersey and which is not affiliated with a charitable fund-raising organization.
i. "Undesignated contributions" means funds contributed to a charitable fund-raising campaign with no designation by the contributor as to the recipient charitable fund-raising organization or charitable agency.
##### **§ 52:14-15.9c4** Steering committees {#sec-52-14-15.9c4 omnilex-key=us-nj-statutes--title-52--52:14-15.9c4}
a. There is established a State charitable fund-raising campaign steering committee to consist of one representative to be appointed by each charitable fund-raising organization which participates in the State campaign; one representative of a State public employee labor union to be selected jointly by the presidents of the various labor unions representing State employees; and one representative of the executive branch of State government to be appointed and serve at the pleasure of the Governor. The committee shall convene annually at the call of the State Treasurer to elect a chairman from among its members, and shall thereafter convene at the call of the chairman. A chairman shall serve for a term of one year and until the election of a successor and shall be eligible for reelection. Each member of the committee shall have one vote. No motion to take any official action shall be deemed approved if objected to by at least five members.
b. There is established in every local unit of government a local charitable fund-raising campaign steering committee to consist of one representative to be appointed by each charitable fund-raising organization which participates in the local campaign, and one representative of the local unit of government to be appointed by the chief executive officer of the unit. The committee may also include two representatives of the employees or the management of the unit as may be designated by the governing body of the unit. Each committee shall convene annually at the call of the chief executive officer of the unit to elect a chairman from among its members, and shall thereafter convene at the call of the chairman. A chairman shall serve for a term of one year and until the election of a successor and shall be eligible for reelection. Each member of a committee shall have one vote and a vote of the majority of the total membership shall be necessary to take official action.
##### **§ 52:14-15.9c5** Duties of committees {#sec-52-14-15.9c5 omnilex-key=us-nj-statutes--title-52--52:14-15.9c5}
It shall be the duty of each charitable campaign steering committee to:
a. advise the State Treasurer or local disbursing officer in establishing application and review procedures for the participation of charitable fund-raising organizations or charitable agencies in a campaign;
b. establish the policies and procedures for the operation of a charitable fund-raising campaign within the committee's unit of government;
c. designate one or more charitable fund-raising organizations as a campaign manager, taking into account the demonstrated capability of each organization to provide the level of administrative and other services necessary to conduct a campaign for the unit of government; and
d. assign functions to and enlist the cooperation of any charitable fund-raising organizations or charitable agencies as the committee deems necessary.
##### **§ 52:14-15.9c6** Duties of campaign manager {#sec-52-14-15.9c6 omnilex-key=us-nj-statutes--title-52--52:14-15.9c6}
It shall be the duty of a campaign manager to:
a. conduct and manage the charitable fund-raising campaign in a responsible and equitable manner in accordance with the policies and procedures established by the campaign steering committee;
b. produce and distribute campaign materials;
c. train and supervise campaign solicitors; and
d. maintain an accounting of all funds raised and distributed and provide for the distribution of funds in the manner established by the campaign steering committee.
##### **§ 52:14-15.9c7** Eligibility criteria {#sec-52-14-15.9c7 omnilex-key=us-nj-statutes--title-52--52:14-15.9c7}
A charitable fund-raising organization shall be eligible to participate in a charitable fund-raising campaign if it meets the following requirements:
a. the organization is exempt from federal income tax under section 501(c)(3) of the Internal Revenue Code;
b. the organization qualifies for tax deductible contributions under section 170(b)(1)(A)(vi) or (viii) of the Internal Revenue Code;
c. the organization is not a foundation;
d. the organization is incorporated under or subject to the provisions of Title 15 of the Revised Statutes or Title 15A of the New Jersey Statutes and the "Charitable Fund Raising Act of 1971," P.L. 1971, c. 469 (C. 45:17A-1 et seq.);
e. the organization demonstrates to the satisfaction of the State Treasurer or the appropriate disbursing officer, as the case may be, that a significant portion of funds raised in each of its two fiscal years preceding its application to participate in a campaign consists of individual contributions from citizens of the State;
f. the organization shall have raised at least $60,000.00 and distributed that sum among at least 15 charitable agencies in each of its two fiscal years preceding its application to participate in a State campaign; and
g. the organization shall have raised at least $25,000.00 and distributed that sum among at least five charitable agencies in each of its two fiscal years preceding its application to participate in a local governmental unit campaign.
##### **§ 52:14-15.9c8** Eligibility of charitable agency {#sec-52-14-15.9c8 omnilex-key=us-nj-statutes--title-52--52:14-15.9c8}
A charitable agency shall be eligible to participate in a charitable fund-raising campaign if a. it is an affiliated charitable agency or b. it meets the requirements of subsections a. through e., inclusive, of section 7 of this act.
##### **§ 52:14-15.9c9** Payroll deduction system {#sec-52-14-15.9c9 omnilex-key=us-nj-statutes--title-52--52:14-15.9c9}
The State Treasurer, in the case of the State, or the appropriate disbursing officer, in the case of a local unit of government, shall establish a payroll deduction system for the collection and distribution of voluntary charitable contributions by public employees of the State or unit pursuant to an annual charitable fund-raising campaign organized in accordance with this act.
##### **§ 52:14-15.9c10** Authorization for deductions {#sec-52-14-15.9c10 omnilex-key=us-nj-statutes--title-52--52:14-15.9c10}
The State Treasurer or appropriate disbursing officer shall make payroll deductions from an employee's compensation in such amounts and on behalf of such participating charitable fund-raising organizations or charitable agencies as the employee shall authorize in writing to the State Treasurer or disbursing officer. An employee may withdraw an authorization at any time upon written notice to the State Treasurer or appropriate disbursing officer.
##### **§ 52:14-15.9c11** Final distribution {#sec-52-14-15.9c11 omnilex-key=us-nj-statutes--title-52--52:14-15.9c11}
The State Treasurer and each disbursing officer shall promptly transmit the amounts deducted, and an accounting of the amounts designated to the various charitable fund-raising organizations or charitable agencies, to the respective campaign manager, who shall be responsible for final distribution of the amounts to the designated organizations or agencies.
##### **§ 52:14-15.9c12** Administrative costs; undesignated contributions {#sec-52-14-15.9c12 omnilex-key=us-nj-statutes--title-52--52:14-15.9c12}
a. The campaign manager shall be entitled to deduct and expend prior to final distribution not more than 10% of the total amount of contributions for the administrative costs of the charitable fund-raising campaign as approved by the campaign steering committee. The campaign manager shall maintain all funds in an interest bearing account until their distribution. Interest earned on the funds shall be distributed in such manner as the campaign steering committee shall determine.
b. Undesignated contributions received in a State campaign shall be distributed by the campaign manager to the charitable fund-raising organizations participating in the campaign in the same proportion as designated contributions to participating fund-raising organizations, including contributions to affiliated charitable agencies, are distributed to the organizations.
c. Undesignated contributions received in a local governmental unit campaign shall be distributed by the campaign manager to participating or non-participating charitable fund-raising organizations or charitable agencies in such amounts as the campaign steering committee shall determine.
##### **§ 52:14-15.9c13** Rules, regulations {#sec-52-14-15.9c13 omnilex-key=us-nj-statutes--title-52--52:14-15.9c13}
The State Treasurer shall, within 90 days after the effective date of this act and from time to time thereafter, adopt rules and regulations as shall be necessary to implement the provisions of this act, in accordance with the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.).
##### **§ 52:14-15.9d** Deductions for payment to credit union; authorization; withdrawal {#sec-52-14-15.9d omnilex-key=us-nj-statutes--title-52--52:14-15.9d}
Whenever any person holding public office, position or employment, whose compensation is paid by this State or by any board, body, agency, authority or commission thereof, shall indicate in writing to the proper disbursing officer his desire to have any deductions made from his compensation for payment to a credit union the membership of which is limited to public employees, organized under the laws of this State or of the United States, such deductions shall be made by the State Treasurer, if such compensation is payable by the State Treasurer, or by any other disbursing officer of the board, body, agency, authority or commission, if such compensation is payable by him, and shall be transmitted to the treasurer of the credit union. Any such written authorization may be withdrawn upon filing notice of such withdrawal with the State Treasurer or such disbursing officer, as the case may be.
##### **§ 52:14-15.9e** Deduction from compensation to pay dues to certain employee organizations. {#sec-52-14-15.9e omnilex-key=us-nj-statutes--title-52--52:14-15.9e}
1. Whenever any person holding employment, whose compensation is paid by this State or by any county, municipality, board of education or authority in this State, or by any board, body, agency or commission thereof shall indicate in writing, including by electronic communications, and which writing or communication may be evidenced by the electronic signature of the employee, as the term electronic signature is defined in section 2 of P.L.2001, c.116 (C.12A:12-2), to the proper disbursing officer his desire to have any deductions made from his compensation, for the purpose of paying the employee's dues to a bona fide employee organization, designated by the employee in such request, and of which said employee is a member, such disbursing officer shall make such deduction from the compensation of such person and such disbursing officer shall transmit the sum so deducted to the employee organization designated by the employee in such request.
Employees who have authorized the payroll deduction of fees to employee organizations prior to the effective date of the "Workplace Democracy Enhancement Act", P.L.2018, c.15 (C.34:13A-5.11 et seq.), may revoke such authorization in accordance with the law in effect at the time of their initial authorization of payroll deduction of fees or with the terms of that authorization as those terms are set forth on the record bearing the employee's signature, provided the terms were consistent with the law in effect at the time.
Employees who have authorized the payroll deduction of fees to employee organizations on or after the effective date of the "Workplace Democracy Enhancement Act", P.L, 2018, c.15 (C.34:13A-5.11 et seq.), may revoke such authorization by providing written notice to their public employer. An employee's notice of revocation of authorization for the payroll deduction of employee organization fees shall be effective on the 30th day after the anniversary date of employment.
Within five days of receipt of notice from an employee of revocation of authorization for the payroll deduction of fees, the public employer shall provide notice to the employee organization of an employee's revocation of such authorization.
Nothing herein shall preclude a public employer and a duly certified majority representative from entering into a collectively negotiated written agreement which provides that employees included in the negotiating unit may only request deduction for the payment of dues to the duly certified majority representative. Such collectively negotiated agreement may include a provision that existing written authorizations for payment of dues to an employee organization other than the duly certified majority representative be terminated. Such collectively negotiated agreement may also include a provision specifying the effective date of a termination in deductions as of the July 1 next succeeding the date on which notice of withdrawal is filed by an employee with the public employer's disbursing officer.
This authorization for negotiation of exclusive dues deduction provisions shall not apply to any negotiating unit which includes employees of any local school district or county college.
As used in this section, dues shall mean all moneys required to be paid by the employee as a condition of membership in an employee organization and any voluntary employee contribution to a committee or fund established by such organization, including, but not limited to, welfare funds, political action committees, charity funds, legal defense funds, educational funds, and funds for donations to schools, colleges, and universities.
##### **§ 52:14-15.27** Statutory maximum and minimum for salaries abolished; Civil Service Commission to establish salary ranges {#sec-52-14-15.27 omnilex-key=us-nj-statutes--title-52--52:14-15.27}
In every case in which the amount of the salary to be paid to the holder of any office, position or employment in the State service is limited by a specific statutory maximum or a specific statutory minimum or a specific statutory maximum and a specific statutory minimum, such maximum or minimum or such maximum and minimum hereby are abolished and abrogated; provided, that the Civil Service Commission shall establish salary ranges for such office, position or employment, and thereafter the amount of such salary shall be fixed according to the salary ranges so established from time to time, except in any case in which the salary of any present holder of any such office, position or employment would be reduced thereby.
##### **§ 52:14-15.28** Statutory increases in salaries abolished; Civil Service Commission to establish automatic salary increases {#sec-52-14-15.28 omnilex-key=us-nj-statutes--title-52--52:14-15.28}
In every case in which specific statutory increases in the amount of any salary of the holder of any office, position or employment are provided, such specific statutory increases hereby are abolished and abrogated; provided, the Civil Service Commission shall establish automatic increases in such salary, based upon length of service, within the salary ranges established from time to time therefor, and such salary shall thereafter automatically be increased accordingly, unless the head of the department and the Civil Service Commission shall agree that the service record of the holder of such office, position or employment does not warrant any such increase in salary.
##### **§ 52:14-15.29** Exceptions from Act {#sec-52-14-15.29 omnilex-key=us-nj-statutes--title-52--52:14-15.29}
This act shall not apply to the head of any department or the head of any division or bureau of any department nor to any case in which the salary of any holder of any such office, position or employment is specifically fixed by any act of the Legislature.
##### **§ 52:14-15.30** Minimum salary or compensation of persons holding office or employment in service of state {#sec-52-14-15.30 omnilex-key=us-nj-statutes--title-52--52:14-15.30}
The minimum annual salary or compensation for each person holding full-time office, position or employment in the service of the State shall not be less than at the rate of one thousand four hundred and forty dollars ($1,440.00) per annum and shall be increased to the rate of one thousand five hundred and sixty dollars ($1,560.00) per annum upon the first day of July, October, January or April, whichever shall next succeed the first six months of service.
##### **§ 52:14-15.31** Effective date {#sec-52-14-15.31 omnilex-key=us-nj-statutes--title-52--52:14-15.31}
This act shall take effect July first, one thousand nine hundred and forty-eight.
##### **§ 52:14-15.104c** Annual salary of Governor. {#sec-52-14-15.104c omnilex-key=us-nj-statutes--title-52--52:14-15.104c}
1. The annual salary of the Governor shall be fixed and established at $130,000. Beginning with the commencement of the term of office of the Governor inaugurated in January of 2002 and thereafter, the annual salary of the Governor shall be fixed and established at $175,000. Beginning with the commencement of the term of office of the Governor inaugurated in January of 2026 and thereafter, the annual salary of the Governor shall be fixed and established at $210,000.
##### **§ 52:14-15.107** Department officers; annual salaries. {#sec-52-14-15.107 omnilex-key=us-nj-statutes--title-52--52:14-15.107}
1. Notwithstanding the provisions of the annual appropriations act and section 7 of P.L.1974, c.55 (C.52:14-15.110), the annual salary for each of the following officers shall be $210,000 in calendar year 2024 and thereafter:
Title
Agriculture Department
Secretary of Agriculture
Children and Families Department
Commissioner of Children and Families
Community Affairs Department
Commissioner of Community Affairs
Corrections Department
Commissioner of Corrections
Education Department
Commissioner of Education
Environmental Protection Department
Commissioner of Environmental Protection
Health Department
Commissioner of Health
Human Services Department
Commissioner of Human Services
Banking and Insurance Department
Commissioner of Banking and Insurance
Labor and Workforce Development Department
Commissioner of Labor and Workforce Development
Chairperson of the Civil Service Commission
Law and Public Safety Department
Attorney General
Colonel and Superintendent, State Police
Director of the Office of Homeland Security and Preparedness
Military Affairs Department
Adjutant General
State Department
Secretary of State
Secretary of Higher Education
Transportation Department
Commissioner of Transportation
Chief Administrator, New Jersey Motor Vehicle Commission
Treasury Department
State Treasurer
State Comptroller
Chief Technology Officer
Veterans Affairs Department
Commissioner of Veterans Affairs
Members, Board of Public Utilities
##### **§ 52:14-15.107a** Lieutenant Governor, salary adjustment. {#sec-52-14-15.107a omnilex-key=us-nj-statutes--title-52--52:14-15.107a}
7. The Lieutenant Governor, serving as the head of a principal department otherwise eligible to a salary adjustment pursuant to section 1 of P.L.1974, c.55 (C.52:14-15.107) as amended by P.L.2023, c.349 (C.52:14-15.107a et al.) shall be ineligible for such salary adjustment until the commencement of the term of office of the Governor and Lieutenant Governor inaugurated in January of 2026.
##### **§ 52:14-15.107b** Amounts received, Emergency Management Performance Grant Program, Superintendent of the State Police, salary costs. {#sec-52-14-15.107b omnilex-key=us-nj-statutes--title-52--52:14-15.107b}
8. Notwithstanding the provisions of section 1 of P.L.1974, c.55 (C.52:14-15.107) or any other law to the contrary, amounts received by the State from the federal Emergency Management Performance Grant Program allowable for the salary costs of the Superintendent of the State Police shall be paid to the Superintendent of the State Police as supplemental compensation in addition to the annual salary provided for in section 1 of P.L.1974, c.55 (C.52:14-15.107).
##### **§ 52:14-15.108** Salary ranges for departmental officers, directors. {#sec-52-14-15.108 omnilex-key=us-nj-statutes--title-52--52:14-15.108}
2. The salary ranges for the following positions shall be as established by the Civil Service Commission with the approval of the Director, Division of Budget and Accounting. The salary rate for any such position shall be the salary step in such range next above the salary currently being paid; provided, however, that any sums appropriated for salaries may be made available for salary adjustments therein arising from various exigencies of the State service and for normal merit salary increments as the Civil Service Commission, the State Treasurer and the Director of the Division of Budget and Accounting shall determine; and provided, further, that nothing in this act shall reduce the salary rate for any such position below that which is being paid on the effective date of this act:
Community Affairs Department
Assistant Commissioner of Community Affairs
Director, Division of State and Regional Planning
Director, Division of Local Government Services
Director, Division of Housing and Urban Renewal
Director, Office of Aging Programs
Director, Office on Women
Environmental Protection Department
Director, Division of Water Resources
Director, Division of Parks and Forestry
Director of Fish, Game and Shell Fisheries
Director, Division of Marine Services
Director, Division of Environmental Quality
Health Department
Director, Division of Narcotic and Drug Abuse Control
Chief State Medical Examiner
Corrections Department
Chairman, State Parole Board
Associate Member, State Parole Board
Public Defender
Labor and Workforce Development Department
Director, Workplace Standards
Law and Public Safety Department
Director, Division of Alcoholic Beverage Control
State Superintendent of Weights and Measures
Public Utilities Department
Director, Office of Cable Television
Executive Director, Public Broadcasting
State Department
Transportation Department
Assistant Commissioner for Highways
Assistant Commissioner for Public Transportation
Treasury Department
Director, Division of Budget and Accounting
Director, Division of Taxation
Director, Division of Purchase and Property
Director, Division of Pensions and Benefits
Director, Division of State Lottery.
##### **§ 52:14-15.109** Rules and regulations {#sec-52-14-15.109 omnilex-key=us-nj-statutes--title-52--52:14-15.109}
The President of the Civil Service Commission, the State Treasurer and the Director of the Division of Budget and Accounting shall promulgate rules and regulations to implement this act.
##### **§ 52:14-15.110** Salaries of departmental officers; provision for in annual appropriations act {#sec-52-14-15.110 omnilex-key=us-nj-statutes--title-52--52:14-15.110}
For the fiscal year beginning July 1, 1975 and for each fiscal year thereafter, the salaries for the officers enumerated in section 1 of this act shall be as provided in the Annual Appropriations Act for each such year.
##### **§ 52:14-15.115** "Public Officers Salary Review Commission." {#sec-52-14-15.115 omnilex-key=us-nj-statutes--title-52--52:14-15.115}
13. a. There is hereby established a commission to be known as the "Public Officers Salary Review Commission." The commission shall consist of seven members: two members appointed by the Governor, no more than one of whom shall be of the same political party; one member appointed by the President of the Senate; one member appointed by the Senate minority leader; one member appointed by the Speaker of the General Assembly; one member appointed by the Assembly minority leader; and one member appointed by the Chief Justice of the New Jersey Supreme Court. In appointing members to the commission, the Governor, the President of the Senate, the Speaker of the General Assembly, the Senate and Assembly minority leaders, and the Chief Justice shall not appoint members who are in positions that would be affected by the commission's recommendations. The appointments shall be made no later than September 1 of each year in which the commission is to review salaries and submit a report with proposed recommendations. The appointments shall expire upon the submission of a report to the Governor and Legislature.
b. The commission shall review the salaries of the Governor, cabinet officers, members of the Board of Public Utilities, members of the Casino Control Commission, Workers' Compensation judges, members of the Legislature, members of the State Commission of Investigation, Justices of the Supreme Court, judges of the Superior Court, judges of the Tax Court, administrative law judges and county prosecutors and shall submit a report to the Governor and Legislature with proposed recommendations, if any, concerning changes in these salaries. In reviewing these salaries, the commission shall consider: the responsibilities of each office; the number of hours per week required to perform the responsibilities of each office; comparable positions in the public and private sectors within and outside of the State; the current state of the State and national economies; projections of future economic growth or decline; and past, and projections of future, cost of living increases or decreases. The commission shall submit its first report with proposed recommendations, if any, on or before December 1, 2003, and then on or before December 1 of every fourth calendar year thereafter.
c. The commission shall organize as soon as possible after the appointment of its members and shall select a chairperson and a vice chairperson from among its members. The chairperson shall appoint a secretary who need not be a member of the commission. Vacancies in the membership shall be filled in the same manner as the original appointments.
d. Commission members shall serve without compensation. The commission shall be entitled to call to its assistance and avail itself of the services of employees of any State, county, or municipal department, board, bureau, commission or agency as it may require and as may be made available to it for its purposes. The commission shall further be entitled to employ stenographic or other clerical assistance and incur traveling and other miscellaneous expenses as it may deem necessary in order to perform its duties, within the limits of funds appropriated or otherwise made available to it for its purposes.
##### **§ 52:14-16** De facto officers and employees; right to compensation {#sec-52-14-16 omnilex-key=us-nj-statutes--title-52--52:14-16}
Any person who has held or who may hereafter hold de facto any office or position in the public service of the state and who has performed or may hereafter perform the duties of such office or position, shall be entitled to the emoluments and compensation appropriate to the office or position for the time in fact so held, and may recover therefor in any court of competent jurisdiction, notwithstanding any refusal or failure of any other person or officer.
##### **§ 52:14-16.1** State officer or employee under civil service appointed to another office by Governor; salary and rights under civil service continued {#sec-52-14-16.1 omnilex-key=us-nj-statutes--title-52--52:14-16.1}
When any person holds office, position or employment under the government of this State and has tenure or is protected in such office, position or employment by virtue of any law or any order, rule or regulation of the Civil Service Commission, and such person shall be appointed to any office by the Governor, by and with the advice and consent of the Senate, such person shall continue to hold the said office, position or employment in which he has tenure or is protected and shall continue to receive the salary or compensation provided for such office, position or employment and shall retain all the rights, privileges and benefits incident to his continued holding of said office, position or employment and his rating and status in the State Civil Service, despite the fact that he accepts and qualifies for the office to which he has been so appointed by the Governor; provided, the Governor certifies his approval thereof in writing to the Civil Service Commission; and in such case such person shall receive, in addition, from the appropriation made for salary or compensation for the office to which he has been so appointed by the Governor such additional salary or compensation, not exceeding twenty-five hundred dollars ($2,500.00), as the Governor, in his discretion, may fix by his certificate, which certificate shall be filed with the Civil Service Commission.
##### **§ 52:14-16.2** State officer or employee under civil service appointed to another office by governor; leave of absence without pay {#sec-52-14-16.2 omnilex-key=us-nj-statutes--title-52--52:14-16.2}
When any person, who holds office, position or employment under the government of this State and has tenure, or is protected, in such office, position or employment, by virtue of any law or any order, rule or regulation of the Civil Service Commission, shall be appointed to any other office, position or employment by the Governor, such person shall be entitled to leave of absence, without pay, from the said office, position or employment, in which he has tenure or is so protected, for such length of time as he shall hold the office, position or employment to which he is so appointed by the Governor and he shall continue to hold the said office, position or employment in which he has tenure or is so protected and shall retain all of the rights, privileges and benefits, including his rating and status in the civil service, incident to his continued holding of said office, position or employment, except the right to receive pay by reason of his holding thereof, despite the fact that he accepts the office, position or employment to which he has been appointed by the Governor, provided the Governor certifies his approval, in writing, of the retention by such person of such office, position or employment to the Civil Service Commission and to such person's immediate superior in such office, position or employment.
##### **§ 52:14-17** Clerks receiving rewards for giving information; penalty {#sec-52-14-17 omnilex-key=us-nj-statutes--title-52--52:14-17}
Whenever in any department of this state a clerk or employee shall receive any check, reward, fee or compensation for disclosing to any person any information concerning matters or things in such department without the knowledge and consent of the head of such department, such clerk or employee shall forthwith hand over and pay to the treasurer of the state such check, reward, fee or compensation, and any failure so to do shall constitute a misdemeanor.
##### **§ 52:14-17.1** Mileage reimbursement allowance {#sec-52-14-17.1 omnilex-key=us-nj-statutes--title-52--52:14-17.1}
All mileage in lieu of actual expenses of transportation allowed an officer or employee of the State traveling by his own automobile on official business away from his designated post of duty or official station shall be at the rate of $0.18 per mile unless otherwise adjusted by law.
##### **§ 52:14-17.1a** Computation to determine adjustment of rate; formula {#sec-52-14-17.1a omnilex-key=us-nj-statutes--title-52--52:14-17.1a}
On the first business day of January and the first business day of July of each year a computation shall be made to determine whether the mileage reimbursement allowed in section 1 of P.L.1943, c. 188 (C. 52:14-17.1) is to be adjusted on that date according to the following formula:
C.P.-B.P.
Adjustment = ...........
18
where:
a. Adjustment means the result of the above calculation in the number of whole cents plus one-half cent where the remainder is five-ninths or greater;
b. C.P. means the price paid for regular gasoline by the State on the date of the computation; and
c. B.P. means the price paid for regular gasoline by the State on the effective date of this amendatory and supplementary act.
##### **§ 52:14-17.2** Appeal {#sec-52-14-17.2 omnilex-key=us-nj-statutes--title-52--52:14-17.2}
Any officer or employee of this State, who may be removed by the Governor, pursuant to Article V, Section IV, paragraph five, of the Constitution, may appeal from the order of removal to the Appellate Division of the Superior Court as in the case of an appeal from a final decision of a State administrative agency in lieu of prerogative writ.
##### **§ 52:14-17.3** Time for appeal {#sec-52-14-17.3 omnilex-key=us-nj-statutes--title-52--52:14-17.3}
Any such appeal shall be taken within twenty days from the date of the making of the removal order by filing a notice of appeal with the Appellate Division and the Secretary of State.
##### **§ 52:14-17.4** Governor as respondent; representation; record; depositions {#sec-52-14-17.4 omnilex-key=us-nj-statutes--title-52--52:14-17.4}
The Governor shall be the respondent and shall be designated by the name of his office only. He may designate the Attorney-General or other counsel to represent the respondent in the proceeding. The Attorney-General shall file with the Appellate Division the original or a certified copy of the record of the proceedings under review, except a transcript of the testimony which shall be filed by the appellant if the same was taken stenographically. By leave of court depositions may be taken for use upon the hearing of the appeal.
##### **§ 52:14-17.10** Disposition of case {#sec-52-14-17.10 omnilex-key=us-nj-statutes--title-52--52:14-17.10}
The court may affirm the order of removal, or it may reverse or nullify the same and order the reinstatement of the appellant to the office or position of employment from which he was removed, as of the date of removal, or as of such date as the court may determine, upon the determination of a matter of law or when it clearly appears that there was no evidence before the Governor reasonably to support the order of removal.
##### **§ 52:14-17.12** Fees {#sec-52-14-17.12 omnilex-key=us-nj-statutes--title-52--52:14-17.12}
No filing or other fees shall be demanded of the respondent, and no costs shall be awarded against him. For the filing of the notice of appeal with the Secretary of State, the Secretary of State shall be entitled to a fee of ten dollars ($10.00) to be paid by the appellant. The Clerk of the Superior Court shall be entitled to the same fees from an appellant as are due by an appellant upon other appeals to the Appellate Division.
##### **§ 52:14-17.13** Work-week for State service; compensation for overtime services {#sec-52-14-17.13 omnilex-key=us-nj-statutes--title-52--52:14-17.13}
The work week for basic annual salary for employees in the State service, insofar as practicable and except as provided in section 2 of this act, shall not be more than 40 hours; and, notwithstanding any inconsistent provisions of law, any employee in the State service who is authorized or required to work in any week more than the hours of work established as the regular and normal work week for that class or agency shall be eligible to receive, at the discretion of the department head with the approval of the State Treasurer, the President of the Civil Service Commission and the Director of the Division of Budget and Accounting in the Department of Treasury, either (1) compensation for the hours worked in excess of the established work week for that class or agency at a rate representing 1 1/2 times the individual's hourly rate calculated by a proration of the annual salary rate of the individual employee, or (2) compensatory time off at the rate of 1 1/2 hours for each hour worked in excess of the established work week for that class or agency.
##### **§ 52:14-17.13a** Employees on approved paid leave on day state offices officially closed; denial of compensatory time off {#sec-52-14-17.13a omnilex-key=us-nj-statutes--title-52--52:14-17.13a}
No employee of this State, or of any State agency or instrumentality, who is on approved vacation leave with pay on any day on which the department, division, agency or other office within which he is employed is officially closed due to inclement weather, hazardous transportation conditions, a declaration of public mourning, or for any other reason, shall be eligible to receive compensatory time off granted in connection with such official closing in the form of any type of leave of absence with pay.
##### **§ 52:14-17.14** Designation of positions to which act applies; rules and regulations {#sec-52-14-17.14 omnilex-key=us-nj-statutes--title-52--52:14-17.14}
The State Treasurer, the President of the Civil Service Commission and the Director of the Division of Budget and Accounting in the Department of the Treasury shall have authority to designate the classes of positions or individual positions to which the provisions of this act shall apply and may exclude from such designations any class of positions or individual positions where the conditions of employment and the nature of the duties performed or the difficulty of maintaining adequate time controls make it impracticable to establish a specific work week and to apply to such classes of positions or individual positions the provisions of this act; shall determine the eligibility of any employee or any class of employees in the State service to receive overtime compensation or compensatory time off in accordance with the provisions of this act; and shall promulgate such rules and regulations as, in their discretion, appear to be necessary in order to achieve an equitable application of the provisions of this act.
##### **§ 52:14-17.15** Effective date {#sec-52-14-17.15 omnilex-key=us-nj-statutes--title-52--52:14-17.15}
This act shall take effect July first, one thousand nine hundred and fifty-one.
##### **§ 52:14-17.16** Establishment of committee {#sec-52-14-17.16 omnilex-key=us-nj-statutes--title-52--52:14-17.16}
There is hereby established a committee on bonding of State officers and employees to consist of the Attorney-General, the State Treasurer and the Director of the Division of Budget and Accounting.
##### **§ 52:14-17.17** Setting of type and amount of bonds; giving of bonds by officers required to be bonded {#sec-52-14-17.17 omnilex-key=us-nj-statutes--title-52--52:14-17.17}
The committee shall, not later than October 1, 1959 and annually thereafter, set the type and amount of the bonds of all State officers, now or hereafter required to be bonded pursuant to any law of this State, having due regard for the duties and responsibilities of said officers, for terms concurrent with their respective terms of office. Said officers shall, before entering upon the performance of their duties, give their official bonds in the amount fixed by the committee.
##### **§ 52:14-17.18** Other officers and employees; type and amount of bonds {#sec-52-14-17.18 omnilex-key=us-nj-statutes--title-52--52:14-17.18}
All State officers and employees other than those specifically required to be bonded pursuant to any law of this State, who in the opinion of the committee should be bonded, shall be bonded with the type of bond and in such amount to be determined by the committee.
##### **§ 52:14-17.19** Purchase of bonds; cancellation or termination {#sec-52-14-17.19 omnilex-key=us-nj-statutes--title-52--52:14-17.19}
Bonds purchased pursuant to this act shall be purchased by the State Treasurer from a company or companies authorized to issue such bonds and authorized to do business in this State. The premium on bonds provided for herein shall be paid by the State. The State Treasurer may, at any time any such bond coverage is no longer required, cause any such bond to be cancelled or terminated and may collect any rebate of premium thereon.
##### **§ 52:14-17.20** Approval of bonds; filing; record {#sec-52-14-17.20 omnilex-key=us-nj-statutes--title-52--52:14-17.20}
All bonds required by this act shall be approved as to form by the Attorney-General and filed in the office of the Secretary of State. A record shall be kept in the office of the Secretary of State giving the name of the officer or employee for whom each bond is issued, the name of the agency in which such officer or employee is employed, the name of the company issuing the bond, and the amount, date and time of expiration thereof and of any certificate renewing such bond.
##### **§ 52:14-17.21** Repeal {#sec-52-14-17.21 omnilex-key=us-nj-statutes--title-52--52:14-17.21}
Any act or acts or portion of any act or acts inconsistent with the terms and provisions of this act, are hereby repealed.
##### **§ 52:14-17.25** Short title {#sec-52-14-17.25 omnilex-key=us-nj-statutes--title-52--52:14-17.25}
This act shall be known and may be cited as the "New Jersey State Health Benefits Program Act."
##### **§ 52:14-17.26** Definitions relative to health care benefits for public employees. {#sec-52-14-17.26 omnilex-key=us-nj-statutes--title-52--52:14-17.26}
2. As used in P.L.1961, c.49 (C.52:14-17.26 et seq.):
(a) The term "State" means the State of New Jersey.
(b) The term "commission" means the State Health Benefits Commission, created by section 3 of P.L.1961, c.49 (C.52:14-17.27).
(c) (1) The term "employee" means an appointive or elective officer, a full-time employee of the State of New Jersey, or a full-time employee of an employer other than the State who appears on a regular payroll and receives a salary or wages for an average of the number of hours per week as prescribed by the governing body of the participating employer which number of hours worked shall be considered full-time, determined by resolution, and not less than 20.
(2) After the effective date of P.L.2010, c.2, the term "employee" means: (i) a full-time appointive or elective officer whose hours of work are fixed at 35 or more per week, a full-time employee of the State, or a full-time employee of an employer other than the State who appears on a regular payroll and receives a salary or wages for an average of the number of hours per week as prescribed by the governing body of the participating employer which number of hours worked shall be considered full-time, determined by resolution, and not less than 25; (ii) an appointive or elective officer, an employee of the State, or an employee of an employer other than the State who has or is eligible for health benefits coverage provided under P.L.1961, c.49 (C.52:14-17.25 et seq.) or sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 et seq.) on that effective date and continuously thereafter, provided the officer or employee is covered by the definition in paragraph (1) of this subsection; or (iii) every commissioner appointed to the New Jersey Maritime Pilot and Docking Pilot Commission pursuant to R.S.12:8-1. Any hour or part thereof, during which an employee does not work due to the employee's participation in a voluntary or mandatory furlough program shall not be deducted in determining if a person's hours of work are fixed at fewer than 35 or 32 per week, as appropriate, for the purpose of eligibility for health benefits coverage provided under P.L.1961, c.49 (C.52:14-17.25 et seq.), provided the employee continues to pay contributions for coverage during the period of furlough. If the pay of a furloughed employee is insufficient to withhold the entirety of the employee's contribution, then the employee shall remit the portion of the contribution not withheld from the employee's pay to the Division of Pensions and Benefits in the Department of the Treasury in a manner determined by the division, except that no deduction for the payment of such contributions shall be made from the unemployment compensation benefits of the employee. For the purposes of this act, an employee of Rutgers, The State University of New Jersey, shall be deemed to be an employee of the State, and an employee of the New Jersey Institute of Technology shall be considered to be an employee of the State during such time as the Trustees of the Institute are party to a contractual agreement with the State Treasurer for the provision of educational services. The term "employee" shall further mean, for purposes of this act, a former employee of the South Jersey Port Corporation, who is employed by a subsidiary corporation or other corporation, which has been established by the Delaware River Port Authority pursuant to subdivision (m) of Article I of the compact creating the Delaware River Port Authority (R.S.32:3-2), as defined in section 3 of P.L.1997, c.150 (C.34:1B-146), and who is eligible for continued membership in the Public Employees' Retirement System pursuant to subsection j. of section 7 of P.L.1954, c.84 (C.43:15A-7).
For the purposes of this act the term "employee" shall not include persons employed on a short-term, seasonal, intermittent or emergency basis, persons compensated on a fee basis, persons having less than two months of continuous service or persons whose compensation from the State is limited to reimbursement of necessary expenses actually incurred in the discharge of their official duties, provided, however, that the term "employee" shall include persons employed on an intermittent basis to whom the State has agreed to provide coverage under P.L.1961, c.49 (C.52:14-17.25 et seq.) in accordance with a binding collective negotiations agreement. An employee paid on a 10-month basis, pursuant to an annual contract, will be deemed to have satisfied the two-month waiting period if the employee begins employment at the beginning of the contract year. The term "employee" shall also not include retired persons who are otherwise eligible for benefits under this act but who, although they meet the age or disability eligibility requirement of Medicare, are not covered by Medicare Hospital Insurance, also known as Medicare Part A, and Medicare Medical Insurance, also known as Medicare Part B. A determination by the commission that a person is an eligible employee within the meaning of this act shall be final and shall be binding on all parties.
(d) (1) The term "dependents" means an employee's spouse, partner in a civil union couple or an employee's domestic partner as defined in section 3 of P.L.2003, c.246 (C.26:8A-3), and the employee's unmarried children under the age of 23 years who live with the employee in a regular parent-child relationship. "Children" shall include stepchildren, legally adopted children and children placed by the Division of Child Protection and Permanency in the Department of Children and Families, provided they are reported for coverage and are wholly dependent upon the employee for support and maintenance. A spouse, partner in a civil union couple, domestic partner or child enlisting or inducted into military service shall not be considered a dependent during the military service. The term "dependents" shall not include spouses, partners in a civil union couple or domestic partners of retired persons who are otherwise eligible for the benefits under this act but who, although they meet the age or disability eligibility requirement of Medicare, are not covered by Medicare Hospital Insurance, also known as Medicare Part A, and Medicare Medical Insurance, also known as Medicare Part B.
(2) Notwithstanding the provisions of paragraph (1) of this subsection to the contrary and subject to the provisions of paragraph (3) of this subsection, for the purposes of an employer other than the State that is participating in the State Health Benefits Program pursuant to section 3 of P.L.1964, c.125 (C.52:14-17.34), the term "dependents" means an employee's spouse or partner in a civil union couple and the employee's unmarried children under the age of 23 years who live with the employee in a regular parent-child relationship. "Children" shall include stepchildren, legally adopted children and children placed by the Division of Child Protection and Permanency in the Department of Children and Families provided they are reported for coverage and are wholly dependent upon the employee for support and maintenance. A spouse, partner in a civil union couple or child enlisting or inducted into military service shall not be considered a dependent during the military service. The term "dependents" shall not include spouses or partners in a civil union couple of retired persons who are otherwise eligible for benefits under P.L.1961, c.49 (C.52:14-17.25 et seq.) but who, although they meet the age or disability eligibility requirement of Medicare, are not covered by Medicare Hospital Insurance, also known as Medicare Part A, and Medicare Medical Insurance, also known as Medicare Part B.
(3) An employer other than the State that is participating in the State Health Benefits Program pursuant to section 3 of P.L.1964, c.125 (C.52:14-17.34) may adopt a resolution providing that the term "dependents" as defined in paragraph (2) of this subsection shall include domestic partners as provided in paragraph (1) of this subsection.
(e) The term "carrier" means a voluntary association, corporation or other organization, including a health maintenance organization as defined in section 2 of the "Health Maintenance Organizations Act," P.L.1973, c.337 (C.26:2J-2), which is lawfully engaged in providing or paying for or reimbursing the cost of personal health services, including hospitalization, medical and surgical services, under insurance policies or contracts, membership or subscription contracts, or the like, in consideration of premiums or other periodic charges payable to the carrier.
(f) The term "hospital" means (1) an institution operated pursuant to law which is primarily engaged in providing on its own premises, for compensation from its patients, medical diagnostic and major surgical facilities for the care and treatment of sick and injured persons on an inpatient basis, and which provides such facilities under the supervision of a staff of physicians and with 24-hour-a-day nursing service by registered graduate nurses, or (2) an institution not meeting all of the requirements of (1) but which is accredited as a hospital by the Joint Commission on Accreditation of Hospitals. In no event shall the term "hospital" include a convalescent nursing home or any institution or part thereof which is used principally as a convalescent facility, residential center for the treatment and education of children with mental disorders, rest facility, nursing facility or facility for the aged or for the care of persons with substance use disorder.
(g) The term "State-managed care plan" means a health care plan under which comprehensive health care services and supplies are provided to eligible employees, retirees, and dependents: (1) through a group of doctors and other providers employed by the plan; or (2) through an individual practice association, preferred provider organization, or point of service plan under which services and supplies are furnished to plan participants through a network of doctors and other providers under contracts or agreements with the plan on a prepayment or reimbursement basis and which may provide for payment or reimbursement for services and supplies obtained outside the network. The plan may be provided on an insured basis through contracts with carriers or on a self-insured basis, and may be operated and administered by the State or by carriers under contracts with the State.
(h) The term "Medicare" means the program established by the "Health Insurance for the Aged Act," Title XVIII of the "Social Security Act," Pub.L.89-97 (42 U.S.C. s.1395 et seq.), as amended, or its successor plan or plans.
(i) The term "traditional plan" means a health care plan which provides basic benefits, extended basic benefits and major medical expense benefits as set forth in section 5 of P.L.1961, c.49 (C.52:14-17.29) by indemnifying eligible employees, retirees, and dependents for expenses for covered health care services and supplies through payments to providers or reimbursements to participants.
(j) The term "successor plan" means a State-managed care plan that shall replace the traditional plan and that shall provide benefits as set forth in subsection (B) of section 5 of P.L.1961, c.49 (C.52:14-17.29) with provisions regarding reimbursements and payments as set forth in paragraph (1) of subsection (C) of section 5 of P.L.1961, c.49 (C.52:14-17.29).
##### **§ 52:14-17.26a** Fraudulent obtaining, attempt to obtain benefits, fourth degree crime. {#sec-52-14-17.26a omnilex-key=us-nj-statutes--title-52--52:14-17.26a}
16. Any person who knowingly obtains, or attempts or conspires to obtain, coverage or benefits under the State Health Benefits Program for himself or another, knowing that the person for whom membership or benefits are sought is ineligible therefor, shall be guilty of a crime of the fourth degree. Nothing in this section shall preclude prosecution or conviction for any other offense.
##### **§ 52:14-17.27** State Health Benefits Commission, State Health Benefits Plan Design Committee. {#sec-52-14-17.27 omnilex-key=us-nj-statutes--title-52--52:14-17.27}
3. a. There is hereby created a State Health Benefits Commission, consisting of five members: the State Treasurer; the Commissioner of Banking and Insurance; the Chairperson of the Civil Service Commission; a State employees' representative chosen by the Public Employee Committee of the AFL-CIO; and the fifth member of the commission shall be a local employees' representative chosen by the Public Employee Committee of the AFL-CIO.
The treasurer shall be chairman of the commission and the health benefits program authorized by P.L.1961, c.49 shall be administered in the Treasury Department. The Director of the Division of Pensions and Benefits shall be the secretary of the commission. The commission and committee shall establish a health benefits program for the employees of the State, the cost of which shall be paid as specified in section 6 of P.L.1961, c.49 (C.52:14-17.30). The commission, in consultation with the committee, shall establish rules and regulations as may be deemed reasonable and necessary for the administration of P.L.1961, c.49.
The Attorney General shall be the legal advisor of the commission and committee.
The members of the commission and committee shall serve without compensation but shall be reimbursed for any necessary expenditures. The public employee members shall not suffer loss of salary or wages during service on the commission or committee.
The commission shall publish annually a report showing the fiscal transactions of the program for the preceding year and stating other facts pertaining to the plan. The commission shall submit the report to the Governor and furnish a copy to every employer for use of the participants and the public.
b. There is established a State Health Benefits Plan Design Committee, composed of 12 members as follows:
six members who shall be appointed by the Governor as representatives of public employers whose employees are enrolled in the program;
three members who shall be appointed by the Public Employee Committee of the AFL-CIO;
one member who shall be appointed by the head of the union, that is not affiliated with the AFL-CIO, that represents the greatest number of police officers in this State;
one member who shall be appointed by the head of the union, that is not affiliated with the AFL-CIO, that represents the greatest number of firefighters in this State; and
one member who shall be appointed by the head of the State Troopers Fraternal Association.
The members of the committee shall serve for a term of three years and until a successor is appointed and qualified. Of the initial appointments by the Governor, three members shall serve for two years and until a successor is appointed and qualified, and two shall serve for one year and until a successor is appointed and qualified. Of the initial appointment by the head of the union representing the greatest number of police officers in the State, the member shall serve for two years and until a successor is appointed and qualified. Of the initial appointment by the head of the union representing the greatest number of firefighters in the State, the member shall serve for one year and until a successor is appointed and qualified.
The members of the committee shall select a chairperson from among the members, who shall serve for a term of one year, with no member serving more than one term as chairperson until all the members of the committee have served a term in a manner alternating among the employer representatives and employee representatives, unless the committee determines otherwise with regard to this process.
The committee shall have the responsibility for and authority over the various plans and components of those plans, including for medical benefits, prescription benefits, dental, vision, and any other health care benefits, offered and administered by the program. The committee shall have the authority to create, modify, or terminate any plan or component, at its sole discretion. Any reference in law to the State Health Benefits Commission in the context of the creation, modification, or termination of a plan or plan component shall be deemed to apply to the committee.
The members of the committee shall have the same duty and responsibility to the program as do the members of the commission.
If any matter before the committee receives at least seven votes in the affirmative, the commission shall approve and implement the committee's decision.
If any matter before the committee receives six votes in the affirmative and six votes in the negative or the committee otherwise reaches an impasse on a decision, the provisions of section 55 of P.L.2011, c.78 (C.52:14-17.27b) shall be followed.
##### **§ 52:14-17.27a** Audit programs for SHBP. {#sec-52-14-17.27a omnilex-key=us-nj-statutes--title-52--52:14-17.27a}
17. a. The State Health Benefits Commission shall establish an audit program through which it shall conduct a continuous review of the various public employers participating in the State Health Benefits Program for the purpose of ensuring that only eligible employees and retirees, and their dependents, are receiving health care coverage under the program. Every public entity whose employees are covered by the program, as well as employees and retirees thereof, and their dependents, and any other public entity having relevant information, shall cooperate fully with the commission and shall provide all information, records and documents requested by the commission in connection with an audit.
b. The State Health Benefits Commission shall establish and contract for a Medicare Primary Assignment and Audit Program through which it shall conduct a continuous review of the State Health Benefits Program for the purposes of ensuring that all persons who are participants and their dependents of the State Health Benefits Program and who are eligible for Medicare under federal law are properly enrolled in Medicare with Medicare as the primary provider of their health care benefits coverage and with the State Health Benefits Program as their secondary provider of their health care benefits coverage.
##### **§ 52:14-17.27b** Utilization of super conciliator. {#sec-52-14-17.27b omnilex-key=us-nj-statutes--title-52--52:14-17.27b}
55. Whenever the State Health Benefits Plan Design Committee of the State Health Benefits Program or the School Employees' Health Benefits Plan Design Committee of the School Employees' Health Benefits Program fails to render a decision on a matter before the committee because it has not received a vote of the majority of the committee members after 60 days have passed following the initial consideration of the matter, the committee shall utilize a super conciliator, randomly selected from a list developed by the New Jersey Public Employment Relations Commission. The super conciliator shall assist the committee based upon procedures and subject to qualifications established by the commission pursuant to regulation.
The super conciliator shall promptly schedule investigatory proceedings. The purpose of the proceedings shall be to:
Investigate and acquire all relevant information regarding the committee's failure to render a decision;
Discuss with the members of the committee their differences, and utilize means and mechanisms, including but not limited to requiring 24-hour per day negotiations, until a voluntary settlement is reached, and provide recommendations to resolve the members' differences; and
Institute any other non-binding procedures deemed appropriate by the super conciliator.
If the actions taken by the super conciliator fail to resolve the dispute, the super conciliator shall issue a final report, which shall be provided to the committee promptly and made available to the public within 10 days thereafter.
The super conciliator, while functioning in a mediatory capacity, shall not be required to disclose any files, records, reports, documents, or other papers classified as confidential which are received or prepared by him or to testify with regard to mediation conducted by him under this section. Nothing contained herein shall exempt an individual from disclosing information relating to the commission of a crime.
##### **§ 52:14-17.28** Purchase of contracts; conditions. {#sec-52-14-17.28 omnilex-key=us-nj-statutes--title-52--52:14-17.28}
4. a. The commission shall negotiate with and arrange for the purchase, on such terms as it deems to be in the best interests of the State and its employees, from carriers licensed to operate in the State or in other jurisdictions, as appropriate, contracts providing hospital, surgical, obstetrical, and other covered health care services and benefits covering employees of the State and their dependents, and shall execute all documents pertaining thereto for and on behalf and in the name of the State.
b. Except for contracts entered into after June 30, 2007, the commission shall not enter into a contract under this act unless the benefits provided thereunder equal or exceed the minimum standards specified in section 5 of P.L.1961, c.49 (C.52:14-17.29) for the particular coverage which such contract provides, and unless coverage is available to all eligible employees and their dependents on the basis specified by section 7 of P.L.1961, c.49 (C.52:14-17.31), except that a State employee enrolled in the program on or after July 1, 2003 and all law enforcement officers employed by the State for whom there is a majority representative for collective negotiations purposes may not be eligible for coverage under the traditional plan as defined in section 2 of P.L.1961, c.49 (C.52:14-17.26) pursuant to a binding collective negotiations agreement or pursuant to the application by the commission, in its sole discretion, of the terms of any collective negotiations agreement binding on the State to State employees for whom there is no majority representative for collective negotiations purposes.
c. The commission shall not enter into a contract under P.L.1961, c.49 (C.52:14-17.25 et seq.) after June 30, 2007, unless the contract includes the successor plan, one or more health maintenance organization plans and a State managed care plan that shall be substantially equivalent to the NJ PLUS plan in effect on June 30, 2007, with adjustments to that plan pursuant to a binding collective negotiations agreement or pursuant to action by the commission, in its sole discretion, to apply such adjustments to State employees for whom there is no majority representative for collective negotiations purposes, and unless coverage is available to all eligible employees and their dependents on the basis specified by section 7 of P.L.1961, c.49 (C.52:14-17.31), except as provided in subsection d. of this section.
d. Eligibility for coverage under the successor plan may be limited pursuant to a binding collective negotiations agreement or pursuant to the application by the commission, in its sole discretion, of the terms of any collective negotiations agreement binding on the State to State employees for whom there is no majority representative for collective negotiations purposes. Coverage under the successor plan and under the State managed care plan required to be included in a contract entered into pursuant to subsection c. of this section shall be made available in retirement to all State employees who accrued 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems before July 1, 2007. Coverage under the State managed care plan required to be included in a contract entered into pursuant to subsection c. of this section shall be made available in retirement to all State employees who accrue 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems on or after July 1, 2007.
e. Actions taken by the commission before the effective date of P.L.2007, c.103 in anticipation of entering into any contract pursuant to subsection c. of this section are hereby deemed to have been within the authority of the commission pursuant to P.L.1961, c.49 (C.52:14-17.25 et seq.).
f. Any carrier with which the commission contracts for the provision of hospital, surgical, obstetrical, and other covered health care services and benefits pursuant to this section shall provide to the third-party medical claims reviewer, procured pursuant to section 2 of P.L.2019, c.143 (C.52:14-17.30b), information in that carrier's provider network contracts, such as claims information and contractual discounts provided thereunder, that are applicable to a health benefits plan offered under the State Health Benefits Program.
Documents, materials and other information in the possession or control of the State, or the third-party medical claims reviewer, that are obtained or created by, or disclosed to, the State or any other person pursuant to this subsection shall be recognized by this State as being proprietary and containing trade secrets. All such documents, materials or other information shall be confidential by law and privileged, and shall not be subject to P.L.1963, c.71 (C.47:1A-1 et seq.); except that the State is authorized to use the documents, materials or other information in the furtherance of any regulatory or legal action brought as a part of the commission's or third-party medical claims reviewer's official duties. The State and the third-party medical claims reviewer shall not disclose, sell, or transfer the documents, materials or other information without the prior written consent of the carrier. This subsection shall not be construed as pertaining to medical claims data.
g. A contract entered into with a carrier pursuant to this section shall include therein the State's existing right to withhold payment for administrative services or to pursue any other remedy deemed appropriate by the State Treasurer if the carrier is found by the State upon information provided by the third-party medical claims reviewer to have committed errors resulting in a loss to the State in a quantity or value, or both, beyond a certain threshold, as shall be provided in the contract or by rules promulgated by the State Treasurer. The contract shall permit the State to recover any loss resulting from errors identified by the third-party medical claims reviewer.
h. Information provided to or obtained by the third-party medical claims reviewer shall be delivered, received, maintained, and reviewed in a manner and shall contain only material consistent with the "Health Insurance Portability and Accountability Act of 1996," Pub.L.104-191. To the extent necessary in accordance therewith, a carrier shall ensure that information provided to the medical claims reviewer is attendant to only persons who are participants in the State Health Benefits Program.
##### **§ 52:14-17.28b** Determination of obligation of State agencies to pay premium; periodic charges; cost sharing. {#sec-52-14-17.28b omnilex-key=us-nj-statutes--title-52--52:14-17.28b}
6. a. Notwithstanding the provisions of any other law to the contrary, the obligations of the State or an independent State authority, board, commission, corporation, agency, or organization to pay the premium or periodic charges for health benefits coverage provided under P.L.1961, c.49 (C.52:14-17.25 et seq.) may be determined by means of a binding collective negotiations agreement, including any agreements in force at the time of the adoption of P.L.1996, c.8. With respect to State employees for whom there is no majority representative for collective negotiations purposes, the commission may, in its sole discretion, modify the respective payment obligations set forth in P.L.1961, c.49 for the State and such employees in a manner consistent with the terms of any collective negotiations agreement binding on the State. With respect to employees of an independent State authority, board, commission, corporation, agency, or organization for whom there is no majority representative for collective negotiations purposes, the employer may, in its sole discretion, modify the respective payment obligations set forth in P.L.1961, c.49 for such employer and such employees in a manner consistent with the terms of any collective negotiations agreement binding on such employer. The provisions of this subsection shall also apply to employees deemed or considered to be employees of the State pursuant to subsection (c) of section 2 of P.L.1961, c.49 (C.52:14-17.26).
b. (1) Notwithstanding the provisions of any other law to the contrary, for each State employee who accrues 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems before July 1, 1997, excepting the employee who elects deferred retirement, the State, upon the employee's retirement, shall pay the full cost of the premium or periodic charges for the health benefits provided to a retired State employee and dependents covered under the State Health Benefits Program, but not including survivors, and shall also reimburse the retired employee for premium charges under Part B of Medicare covering the retired employee and the employee's spouse.
(2) Notwithstanding the provisions of any other law to the contrary, and except as otherwise provided by section 8 of P.L.1961, c.49 (C.52:14-17.32) as amended by P.L.2005, c.341, and by subsection c. of this section, for each State employee who accrues 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems on or after July 1, 1997, excepting the employee who elects deferred retirement, the State, upon the employee's retirement, shall pay the premium or periodic charges for the health benefits provided to a retired State employee and dependents covered under the State Health Benefits Program, but not including survivors, and shall reimburse the retired employee for premium charges under Part B of Medicare covering the retired employee and the employee's spouse: (a) in accordance with the provisions, if any, concerning health benefits coverage in retirement which are in the collective negotiations agreement applicable to the employee at the time of the employee's accrual of 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems, or (b) if the employee has no majority representative for collective negotiations purposes, in a manner consistent with the terms, if any, concerning health benefits coverage in retirement which are in any collective negotiations agreement deemed applicable by the State Health Benefits Commission to that employee at the time of the employee's accrual of 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems. The terms for the payment of premiums or periodic charges established pursuant to this paragraph for the traditional plan shall apply to the successor plan, and the terms for the payment of premiums or periodic charges established pursuant to this paragraph for the NJ PLUS plan shall apply to the State managed care plan required to be included in a contract entered into pursuant to subsection c. of section 4 of P.L.1961, c.49 (C.52:14-17.28).
c. (1) Effective July 1, 2007, but, with respect to employees to whom this subsection applies who are paid through the State centralized payroll, effective with the first pay period beginning after July 1, 2007, the cost of benefits provided pursuant to P.L.1961, c.49 (C.52:14-17.25 et seq.) shall be shared by employees through the withholding of a contribution in an amount as determined in accordance with paragraph (2) of this subsection.
(2) The amount of the contribution required pursuant to paragraph (1) of this subsection as to State employees and employees of an independent State authority, board, commission, corporation, agency, or organization for whom there is a majority representative for collective negotiations purposes shall be determined by means of a binding collective negotiations agreement. Commencing on the effective date of P.L.2010, c.2 and upon the expiration of any applicable binding collective negotiations agreement in force on that effective date, the amount of the contribution required pursuant to paragraph (1) of this subsection by State employees and employees of an independent State authority, board, commission, corporation, agency, or organization for whom there is a majority representative for collective negotiations purposes shall be 1.5% of base salary, notwithstanding any other amount that may be required additionally pursuant to this paragraph by means of a binding collective negotiations agreement.
The amount of the contribution required pursuant to paragraph (1) of this subsection as to State employees for whom there is no majority representative for collective negotiations purposes shall be determined in a manner consistent with the terms, if any, concerning health benefits coverage which are in a collective negotiations agreement deemed applicable by the commission to the employee. The amount of the contribution required pursuant to paragraph (1) of this subsection as to employees of an independent State authority, board, commission, corporation, agency, or organization for whom there is no majority representative for collective negotiations purposes shall be determined in a manner consistent with the terms, if any, concerning health benefits coverage which are in a collective negotiations agreement deemed applicable by the employer to the employee. The amount of the contribution required pursuant to paragraph (1) of this subsection as to State employees or employees of an independent State authority, board, commission, corporation, agency, or organization for whom there is no majority representative for collective negotiations purposes shall be 1.5 percent of base salary, notwithstanding any other amount that may be required additionally pursuant to this paragraph by means of the application of the terms of a binding collective negotiations agreement.
(3) Except as provided in paragraph (5) of this subsection, the cost of benefits provided pursuant to P.L.1961, c.49 (C.52:14-17.25 et seq.) shall be shared by retirees to whom this subsection applies through the withholding of a contribution in an amount as determined in accordance with paragraph (4) of this subsection.
(4) The amount of the contribution required pursuant to paragraph (3) of this subsection as to State employees and employees of an independent State authority, board, commission, corporation, agency, or organization for whom there is a majority representative for collective negotiations purposes who accrue 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems on or after July 1, 2007, and who retire on or after July, 1, 2007, excepting employees who elect deferred retirement, but including those who retire on a disability pension after July 1, 2007, shall be determined by means of a binding collective negotiations agreement applicable at the time of the employee's accrual of 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems. The amount of the contribution required pursuant to paragraph (3) of this subsection as to State employees or employees of an independent State authority, board, commission, corporation, agency, or organization for whom there is no majority representative for collective negotiations purposes who accrue 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems on or after July 1, 2007, and who retire on or after July 1, 2007, excepting employees who elect deferred retirement, but including those who retire on a disability pension after July 1, 2007, shall be determined in a manner consistent with the terms, if any, concerning health benefits coverage in retirement which are in any collective negotiations agreement deemed applicable by the commission to that employee at the time of the employee's accrual of 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems, except that for employees who accrue 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems in the period beginning July 1, 2007, and ending June 30, 2011, the contribution shall be 1.5 percent of the monthly retirement allowance, including any future cost-of-living adjustments, or, with respect to retirees for whom there is no majority representative and who are members of the alternate benefit program, an amount determined pursuant to a formula developed by the commission that shall be designed to result in a contribution that is comparable to the contribution that applies to retirees who are not members of the alternate benefit program.
(5) The contribution required pursuant to paragraph (3) of this subsection shall not take effect until the New Jersey Retirees' Wellness Program is open for enrollment and thereafter the contribution shall be waived for a retiree who participates in the New Jersey Retirees' Wellness Program. The Division of Pensions and Benefits shall issue a report on the New Jersey Retirees' Wellness Program. The report shall include, but need not be limited to, the claims experience with regard to retirees in the program, and the costs and savings realized. The report shall be issued at the end of the third year after the program's implementation or by December 30, 2010, whichever is earlier. The report shall be submitted to the Governor, the Legislature, and the State Treasurer.
(6) Any employee or retiree from whom withholding of a contribution is required pursuant to this subsection shall not be required to pay any percentage of the premiums or periodic charges for health care benefits provided under P.L.1961, c.49 (C.52:14-17.25 et seq.), other than dental benefits.
(7) The contribution required pursuant to this subsection may be terminated only upon withdrawal from all health care benefits coverage as an employee or retiree, other than coverage for dental benefits, and the submission to the commission of written certification by the employee that the employee is covered by other health care benefits and that those benefits are in force. The commission shall not apply the written certification requirement to retirees or to employees to whom Article VI, Section VI, paragraph 6 of the New Jersey Constitution applies.
d. The amount of contribution required pursuant to paragraph (3) of subsection c. of this section in retirement as to a State employee and employee of an independent State authority, board, commission, corporation, agency, or organization who becomes a member of a State or locally-administered retirement system on or after the effective date of P.L.2010, c.2, for whom there is a majority representative for collective negotiations purposes and for whom there is no such representative, shall be 1.5 percent of the retiree's monthly retirement allowance, including any future cost-of-living adjustments, or with respect to members of the alternate benefit program, an amount determined pursuant to the formula specified in paragraph (4) of subsection c. of this section, notwithstanding any other amount that may be required additionally pursuant to paragraph (4) of subsection c. of this section by means of a binding collective negotiations agreement or by means of the application of the terms of such an agreement. The contribution required by this subsection or pursuant to paragraph (4) of subsection c. of this section for officers or employees specified in this subsection shall not be waived for a retiree who participates in the New Jersey Retirees' Wellness Program.
##### **§ 52:14-17.28c** Amount of contribution to be paid. {#sec-52-14-17.28c omnilex-key=us-nj-statutes--title-52--52:14-17.28c}
39. The amount of contribution to be paid pursuant to the provisions of sections 40, 41, and 42 of P.L.2011, c.78 (C.52:14-17.28d, C.18A:16-17.1, and C.40A:10-21.1) by public employees of the State or of employers other than the State for health care benefits coverage for the employee and any dependent shall be as follows:
for family coverage or its equivalent -
an employee who earns less than $25,000 shall pay 3 percent of the cost of coverage;
an employee who earns $25,000 or more but less than $30,000 shall pay 4 percent of the cost of coverage;
an employee who earns $30,000 or more but less than $35,000 shall pay 5 percent of the cost of coverage;
an employee who earns $35,000 or more but less than $40,000 shall pay 6 percent of the cost of coverage;
an employee who earns $40,000 or more but less than $45,000 shall pay 7 percent of the cost of coverage;
an employee who earns $45,000 or more but less than $50,000 shall pay 9 percent of the cost of coverage;
an employee who earns $50,000 or more but less than $55,000 shall pay 12 percent of the cost of coverage;
an employee who earns $55,000 or more but less than $60,000 shall pay 14 percent of the cost of coverage;
an employee who earns $60,000 or more but less than $65,000 shall pay 17 percent of the cost of coverage;
an employee who earns $65,000 or more but less than $70,000 shall pay 19 percent of the cost of coverage;
an employee who earns $70,000 or more but less than $75,000 shall pay 22 percent of the cost of coverage;
an employee who earns $75,000 or more but less than $80,000 shall pay 23 percent of the cost of coverage;
an employee who earns $80,000 or more but less than $85,000 shall pay 24 percent of the cost of coverage;
an employee who earns $85,000 or more but less than $90,000 shall pay 26 percent of the cost of coverage;
an employee who earns $90,000 or more but less than $95,000 shall pay 28 percent of the cost of coverage;
an employee who earns $95,000 or more but less than $100,000 shall pay 29 percent of the cost of coverage;
an employee who earns $100,000 or more but less than $110,000 shall pay 32 percent of the cost of coverage;
an employee who earns $110,000 or more shall pay 35 percent of the cost of coverage
for individual coverage or its equivalent -
an employee who earns less than $20,000 shall pay 4.5 percent of the cost of coverage;
an employee who earns $20,000 or more but less than $25,000 shall pay 5.5 percent of the cost of coverage;
an employee who earns $25,000 or more but less than $30,000 shall pay 7.5 percent of the cost of coverage;
an employee who earns $30,000 or more but less than $35,000 shall pay 10 percent of the cost of coverage;
an employee who earns $35,000 or more but less than $40,000 shall pay 11 percent of the cost of coverage;
an employee who earns $40,000 or more but less than $45,000 shall pay 12 percent of the cost of coverage;
an employee who earns $45,000 or more but less than $50,000 shall pay 14 percent of the cost of coverage;
an employee who earns $50,000 or more but less than $55,000 shall pay 20 percent of the cost of coverage;
an employee who earns $55,000 or more but less than $60,000 shall pay 23 percent of the cost of coverage;
an employee who earns $60,000 or more but less than $65,000 shall pay 27 percent of the cost of coverage;
an employee who earns $65,000 or more but less than $70,000 shall pay 29 percent of the cost of coverage;
an employee who earns $70,000 or more but less than $75,000 shall pay 32 percent of the cost of coverage;
an employee who earns $75,000 or more but less than $80,000 shall pay 33 percent of the cost of coverage;
an employee who earns $80,000 or more but less than $95,000 shall pay 34 percent of the cost of coverage;
an employee who earns $95,000 or more shall pay 35 percent of the cost of coverage;
for member with child or spouse coverage or its equivalent -
an employee who earns less than $25,000 shall pay 3.5 percent of the cost of coverage;
an employee who earns $25,000 or more but less than $30,000 shall pay 4.5 percent of the cost of coverage;
an employee who earns $30,000 or more but less than $35,000 shall pay 6 percent of the cost of coverage;
an employee who earns $35,000 or more but less than $40,000 shall pay 7 percent of the cost of coverage;
an employee who earns $40,000 or more but less than $45,000 shall pay 8 percent of the cost of coverage;
an employee who earns $45,000 or more but less than $50,000 shall pay 10 percent of the cost of coverage;
an employee who earns $50,000 or more but less than $55,000 shall pay 15 percent of the cost of coverage;
an employee who earns $55,000 or more but less than $60,000 shall pay 17 percent of the cost of coverage;
an employee who earns $60,000 or more but less than $65,000 shall pay 21 percent of the cost of coverage;
an employee who earns $65,000 or more but less than $70,000 shall pay 23 percent of the cost of coverage;
an employee who earns $70,000 or more but less than $75,000 shall pay 26 percent of the cost of coverage;
an employee who earns $75,000 or more but less than $80,000 shall pay 27 percent of the cost of coverage;
an employee who earns $80,000 or more but less than $85,000 shall pay 28 percent of the cost of coverage;
an employee who earns $85,000 or more but less than $100,000 shall pay 30 percent of the cost of coverage.
an employee who earns $100,000 or more shall pay 35 percent of the cost of coverage.
Base salary shall be used to determine what an employee earns for the purposes of this provision.
As used in this section, "cost of coverage" means the premium or periodic charges for medical and prescription drug plan coverage, but not for dental, vision, or other health care, provided under the State Health Benefits Program or the School Employees' Health Benefits Program; or the premium or periodic charges for health care, prescription drug, dental, and vision benefits, and for any other health care benefit, provided pursuant to P.L.1979, c.391 (C.18A:16-12 et seq.), N.J.S.40A:10-16 et seq., or any other law by a local board of education, local unit or agency thereof, and including a county college, an independent State authority as defined in section 43 of P.L.2011, c.78 (C.52:14-17.34a), and a local authority as defined in section 44 of P.L.2011, c.78 (C.40A:5A-11.1), when the employer is not a participant in the State Health Benefits Program or the School Employees' Health Benefits Program.
##### **§ 52:14-17.28d** Contribution toward cost of health care benefits. {#sec-52-14-17.28d omnilex-key=us-nj-statutes--title-52--52:14-17.28d}
40. a. Notwithstanding the provisions of any other law to the contrary, public employees of the State and employers other than the State shall contribute, through the withholding of the contribution from the pay, salary, or other compensation, toward the cost of health care benefits coverage for the employee and any dependent provided under the State Health Benefits Program or the School Employees' Health Benefits Program in an amount that shall be determined in accordance with section 39 of P.L.2011, c.78 (C.52:14-17.28c), except that, an employee employed on the date on which the contribution commences, as specified in subsection c. of this section, shall pay:
during the first year in which the contribution is effective, one-fourth of the amount of contribution;
during the second year in which the contribution is effective, one-half of the amount of contribution; and
during the third year in which the contribution is effective, three-fourths of the amount of contribution,
as that amount is calculated in accordance with section 39 of P.L.2011, c.78 (C.52:14-17.28c).
The amount payable by any employee under this subsection shall not under any circumstance be less than the 1.5 percent of base salary that is provided for in subsection c. of section 6 of P.L.1996, c.8 (C.52:14-17.28b), subsection a. of section 7 of P.L.1964, c.125 (C.52:14-17.38), or subsection b. of section 39 of P.L.2007, c.103 (C.52:14-17.46.9). An employee who pays the contribution required under this subsection shall not also be required to pay the contribution of 1.5 percent of base salary under those subsections listed above.
This section shall apply to employees for whom the employer has assumed a health care benefits payment obligation, to require that such employees pay at a minimum the amount of contribution specified in this section for health care benefits coverage.
b. (1) Notwithstanding the provisions of any other law to the contrary, public employees of the State and employers other than the State, as those employees are specified in paragraph (2) of this subsection, shall contribute, through the withholding of the contribution from the monthly retirement allowance, toward the cost of health care benefits coverage for the employee in retirement and any dependent provided under the State Health Benefits Program or the School Employees' Health Benefits Program in an amount that shall be determined in accordance with section 39 of P.L.2011, c.78 (C.52:14-17.28c) by using the percentage applicable to the range within which the annual retirement allowance, and any future cost of living adjustments thereto, falls. The retirement allowance, and any future cost of living adjustments thereto, shall be used to identify the percentage of the cost of coverage.
(2) The contribution specified in paragraph (1) of this subsection shall apply to:
(a) State employees and employees of an independent State authority, board, commission, corporation, agency, or organization for whom there is a majority representative for collective negotiations purposes who accrue 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems on or after the effective date of P.L.2011, c.78, or on or after the expiration of an applicable binding collective negotiations agreement in force on that effective date, and who retire on or after that effective date or expiration date, excepting employees who elect deferred retirement;
(b) State employees and employees of an independent State authority, board, commission, corporation, agency, or organization for whom there is no majority representative for collective negotiations purposes who accrue 25 years of nonconcurrent service credit in one or more State or locally-administered retirement systems on or after that effective date, or on or after the expiration of an applicable binding collective negotiations agreement in force on that effective date if the terms of that agreement concerning health care benefits coverage in retirement have been deemed applicable by the commission or the employer to those employees, and who retire on or after that effective date or expiration date, excepting employees who elect deferred retirement;
(c) employees covered by section 3 of P.L.1987, c.384 (C.52:14-17.32f), section 2 of P.L.1992, c.126 (C.52:14-17.32f1), or section 1 of P.L.1995, c.357 (C.52:14-17.32f2) who accrue 25 years of service credit on or after that effective date and retire on or after that effective date, including employees who elect deferred retirement;
(d) employees of an employer other than the State for whom there is a majority representative for collective negotiations purposes who accrue the number of years of service credit, and age if required, as specified in subsection b. of section 7 of P.L.1964, c.125 (C.52:14-17.38), on or after that effective date, or on or after the expiration of an applicable binding collective negotiations agreement in force on that effective date, and who retire on or after that effective date or expiration date, excepting employees who elect deferred retirement, when the employer has assumed payment obligations for health care benefits in retirement for such an employee; and
(e) employees of an employer other than the State for whom there is no majority representative for collective negotiations purposes who accrue the number of years of service credit, and age if required, as specified in subsection b. of section 7 of P.L.1964, c.125 (C.52:14-17.38), on or after that effective date, or on or after the expiration of an applicable binding collective negotiations agreement in force on that effective date if the terms of that agreement concerning health care benefits payment obligations in retirement have been deemed applicable by the employer to those employees, and who retire on or after that effective date or expiration date, excepting employees who elect deferred retirement, when the employer has assumed payment obligations for health care benefits in retirement for such an employee.
(3) Employees described in paragraph (2) of this subsection who have 20 or more years of creditable service in one or more State or locally-administered retirement systems on the effective date of P.L.2011, c.78 shall not be subject to the provisions of this subsection.
(4) The amount payable by a retiree under this subsection shall not under any circumstance be less than the 1.5 percent of the monthly retirement allowance, including any future cost of living adjustments thereto, that is provided for such a retiree, if applicable to that retiree, under subsection d. of section 6 of P.L.1996, c.8 (C.52:14-17.28b), subsection b. of section 7 of P.L.1964, c.125 (C.52:14-17.38), section 3 of P.L.1987, c.384 (C.52:14-17.32f), section 2 of P.L.1992, c.126 (C.52:14-17.32f1), or section 1 of P.L.1995, c.357 (C.52:14-17.32f2), or less than a comparable contribution with regard to the retirees who are members of the alternate benefit program. A retiree who pays the contribution required under this subsection shall not also be required to pay the contribution of 1.5 percent of the monthly retirement allowance under those sections or subsections listed above.
c. The contribution required under subsection a. of this section shall commence: (1) upon the effective date of P.L.2011, c.78 for employees who do not have a majority representative for collective negotiations purposes, notwithstanding that the terms of a collective negotiations agreement binding on the employer have been applied or have been deemed applicable to those employees by the commission or the employer, or have been used to modify the respective payment obligations of the employer and those employees in a manner consistent with those terms, as permitted by law, before that effective date; and (2) upon the expiration of any applicable binding collective negotiations agreement in force on that effective date for employees covered by that agreement with the contribution required for the first year under subsection a. of this section commencing in the first year after that expiration, or upon the effective date of P.L.2011, c.78 if such an agreement has expired before that effective date with the contribution required for the first year under subsection a. of this section commencing in the first year after that effective date.
Once those employees are subjected to the contribution requirements set forth in subsection a. of this section, the public employers and public employees shall be bound by this act, P.L.2011, c.78, to apply the contribution levels set forth in section 39 of this act until all affected employees are contributing the full amount of the contribution, as determined by the implementation schedule set forth in subsection a. of this section. Notwithstanding the expiration date set forth in section 83 of this act, P.L.2011, c.78, or the expiration date of any successor agreements, the parties shall be bound to apply the requirements of this paragraph until they have reached the full implementation of the schedule set forth in subsection a. of this section.
The provisions of law permitting the determination of an amount of contribution at the discretion of the employer or by means of a binding collective negotiations agreement, and by means of the application of the terms of such an agreement to employees who do not have a majority representative for collective negotiations purposes, or the modification of the respective payment obligations of the employer and those employees in a manner consistent with the terms of such an agreement, shall remain in effect with regard to contributions, whether as a share of the cost, or percentage of the premium or periodic charge, or otherwise, in addition to the contributions required under subsections a. and b. of this section.
Paragraphs (5) and (6) of subsection c. of section 6 of P.L.1996, c.8 (C.52:14-17.28b) shall not be deemed to apply with regard to contributions specified and made under this section. Paragraph (7) of subsection c. of P.L.1996, c.8 (C.52:14-17.28b) shall apply with regard to contributions specified and made under this section.
A qualified retiree under section 1 of P.L.1997, c.330 (C.52:14-17.32i) who meets the eligibility requirements on or after the effective date of P.L.2011, c.78 shall not pay less than the contribution required under subsection b. of this section, including as specified in paragraph (3) of subsection b. of this section. Part-time State employees and part-time faculty members participating under section 1 of P.L.2003, c.172 (C.52:14-17.33a) shall not pay less than the contribution specified in subsection a. of this section. Subsection b. of this section shall apply under subsection b. of section 7 of P.L.1964, c.125 (C.52:14-17.38) to a surviving spouse of a retired employee of an employer other than the State and the employee's dependents in the same manner as to the retiree at the time of death.
The minimum contribution based on the retirement allowance of members of the alternate benefit program in retirement shall be determined, as may be necessary, pursuant to the formula specified in paragraph (4) of subsection c. of section 6 of P.L.1996, c.8 (C.52:14-17.28b).
All other provisions of law shall remain applicable to the extent not inconsistent with this section.
d. Any extension, alteration, re-opening, amendment or other adjustment to a collective negotiations agreement in force on the effective date of P.L.2011, c.78, or to an agreement that is expired on that effective date, shall be considered a new collective negotiations agreement entered into after that effective date for the purposes of this section.
##### **§ 52:14-17.28e** Negotiations concerning contributions for health care benefits. {#sec-52-14-17.28e omnilex-key=us-nj-statutes--title-52--52:14-17.28e}
77. A public employer and employees who are in negotiations for the next collective negotiations agreement to be executed after the employees in that unit have reached full implementation of the premium share set forth in section 39 of P.L.2011, c.78 (C.52:14-17.28c) shall conduct negotiations concerning contributions for health care benefits as if the full premium share was included in the prior contract. The public employers and public employees shall remain bound by the provisions of sections 39, 40, and 43 of P.L.2011, c.78 (C.52:14-17.28c, C.52:14-17.28d, and C.52:14-17.34a), notwithstanding the expiration of those sections, until the full amount of the contribution required by section 39 has been implemented in accordance with the schedule set forth in section 40.
Employees subject to any collective negotiations agreement in effect on the effective date of P.L.2011, c.78, that has an expiration date on or after the expiration of sections 39 through 44, inclusive, of P.L.2011, c.78 (C.52:14-17.28c et al.), shall be subject, upon expiration of that collective negotiations agreement, to sections 39, 40, and 43 until the health care contribution schedule set forth in section 40 is fully implemented.
After full implementation, those contribution levels shall become part of the parties' collective negotiations and shall then be subject to collective negotiations in a manner similar to other negotiable items between the parties.
A public employee whose amount of contribution in retirement was determined in accordance with section 40 or 43 shall be required to contribute in retirement the amount so determined pursuant to section 40 or 43 notwithstanding that section 40 or 43 has expired, with the retirement allowance, and any future cost of living adjustment thereto, used to identify the percentage of the cost of coverage.
##### **§ 52:14-17.28f** Definitions. {#sec-52-14-17.28f omnilex-key=us-nj-statutes--title-52--52:14-17.28f}
2. The definitions set forth in section 2 of P.L.1961, c.49 (C.52:14-17.26) shall be applicable to sections 2 and 3 of this act, P.L.2023, c.195 (C.52:14-17.28f and 52:14-17.28g).
In addition, as used in this act:
"Competitive range" means the group of responsive proposals to a request for proposal that are among the most highly rated proposals as determined by the evaluation committee. The commission, or its designee, shall include an economic component to the established competitive range to ensure the group of responsive proposals deliver competitive pricing beneficial to the State Health Benefits Program and the School Employees' Health Benefits Program.
"Early retiree" means a retired employee of the State or participating employer who is retired, under 65 years of age, and not yet eligible to enroll in Medicare.
"Evaluation committee" means a group of individuals assigned, pursuant to section 3 of P.L.2005, c.336 (C.52:34-10.3), to review and evaluate quotes submitted in response to a request for proposal and recommend a contract award.
"Medicare retiree" means a retired employee of the State or participating employer who is 65 years of age or older, or otherwise qualified to enroll in Medicare due to health status, and is currently enrolled in Medicare. Eligible retirees include those who are enrolled in a self-insured Medicare Supplement plan.
"Plan type" means preferred provider organization (PPO), health maintenance organization (HMO), tiered network plan, high-deductible health plan, and Medicare supplemental PPO and HMO plans as those terms may be defined in law.
"Request for proposal" refers to all documents, whether attached or incorporated by reference, used for a publicly advertised procurement process that solicits proposals or offers to provide the goods or services specified therein.
"Responsive proposal" refers to a proposal that is deemed to have adequately addressed all material provisions of a request for proposal's terms and conditions, specifications, and other requirements.
"Third-party administrator" means a vendor that conducts claims administration, network management, claims processing, or other related services for an organization contracted by the State to provide health care services and benefits.
##### **§ 52:14-17.28g** State Health Benefits Commission, third-party administrators, responsive proposals, advantageous to the State. {#sec-52-14-17.28g omnilex-key=us-nj-statutes--title-52--52:14-17.28g}
3. a. For each plan type offered to eligible employees, early retirees, and certain Medicare retirees, and their dependents, the State Health Benefits Commission, or its designee, shall select at least two third-party administrators from among those vendors who submit responsive proposals that are most advantageous to the State, price and other factors considered, provided that, if fewer than two vendors submit responsive proposals within a competitive range established by the evaluation committee, the commission, or its designee, shall either: (1) select the one qualified vendor; or (2) reissue the solicitation for the plan type in its entirety in an effort to secure at least two third-party administrators.
b. Unless otherwise limited through the terms of a collective bargaining agreement, State or federal statute, or regulation, an eligible employee, early retiree, and Medicare retirees not eligible for or enrolled in Medicare Advantage plans shall have the opportunity, on an annual basis, during the open enrollment period or other applicable enrollment period, to choose a plan from among the plan types the commission has selected.
c. The commission, or its designee, shall award the contracts for each plan type under subsection a. of this section on the basis of the bid responses that are the most advantageous to the State, which shall consider price, network breadth, member experience, the ability to engage in innovative approaches designed to slow the growth of health care costs, and any other factors that the commission or its designee may deem relevant.
d. The commission, or its designee, is authorized to award a contract to the vendor with the bid that is most advantageous to the State, price and other factors considered, based upon the evaluation factors in subsection c. of this section, and to thereafter award another contract to one or more vendors with bids within the competitive range that can provide a comparable bid price and factors of the first awarded contract.
##### **§ 52:14-17.28h** Definitions. {#sec-52-14-17.28h omnilex-key=us-nj-statutes--title-52--52:14-17.28h}
7. As used in sections 7 through 10 of this act:
"Covered person" means a person on whose behalf the State Health Benefits Program or the School Employees' Health Benefits Program is obligated to pay benefits or provide services pursuant to the health benefits plan.
"Health benefits plan" means a plan providing health care benefits coverage for public employees and their dependents offered by the State Health Benefits Program or the School Employees' Health Benefits Program.
"Health care provider" means an individual or entity which, acting within the scope of its licensure or certification, provides a covered service defined by the health benefits plan. Health care provider includes, but is not limited to, a physician and other health care professionals licensed pursuant to Title 45 of the Revised Statutes and a hospital and other health care facilities licensed pursuant to Title 26 of the Revised Statutes.
"Medical necessity" or "medically necessary" means the same as those terms are defined in section 4 of P.L.2023, c.296 (C.17B:30-55.3).
"Step therapy exception" means the overriding of a step therapy protocol in favor of immediate coverage of the health care provider's selected prescription drug.
"Step therapy protocol" means a protocol, policy, or program that establishes the specific sequence in which prescription drugs for a specified medical condition, and medically appropriate for a particular patient, are required to be administered in order to be covered by a health benefits plan.
"Utilization review organization" means an entity that contracts with a vendor to conduct utilization review.
"Vendor" means a third-party administrator that conducts claims administration, network management, claims processing, or other related services for the State Health Benefits Commission or the School Employees' Health Benefits Commission.
##### **§ 52:14-17.28i** Clinical review criteria, guidelines, step therapy protocol, State Health Benefits Commission, School Employees' Health Benefits Commission. {#sec-52-14-17.28i omnilex-key=us-nj-statutes--title-52--52:14-17.28i}
8. a. A contract entered into by the State Health Benefits Commission or the School Employees' Health Benefits Commission with a vendor shall require that clinical review criteria used to establish a step therapy protocol are based on clinical practice guidelines developed by the vendor that:
(1) recommend that the prescription drugs be taken in the specific sequence required by the step therapy protocol;
(2) are developed and endorsed by a multidisciplinary panel of experts that:
(a) relies on objective data; and
(b) manages conflicts of interest among the members by requiring members to disclose any potential conflict of interests with entities, including vendors, carriers, and pharmaceutical manufacturers, and recuse themselves from voting if they have a conflict of interest;
(3) are based on high-quality studies, research, and medical practice;
(4) are created by an explicit and transparent process that:
(a) minimizes biases and conflicts of interest;
(b) explains the relationship between treatment options and outcomes;
(c) rates the quality of the evidence supporting recommendations; and
(d) considers relevant patient subgroups and preferences; and
(5) are reviewed annually or quarterly if there is a new indication or new clinical information available and updated when such review reveals new evidence necessitating modification.
b. In the absence of clinical guidelines that meet the requirements in subsection a. of this section, peer-reviewed publications may be substituted.
c. When establishing a step therapy protocol, a utilization review agent shall also consider the needs of atypical patient populations and diagnoses when establishing clinical review criteria.
d. A vendor shall:
(1) upon written request, provide written clinical review criteria relating to a particular condition or disease, including clinical review criteria relating to a step therapy protocol exception determination; and
(2) make available the clinical review criteria and other clinical information on its Internet website and to a health care professional on behalf of an insured person upon written request.
e. This section shall not be construed to require vendors or the State to establish a new entity to develop clinical review criteria used for step therapy protocols.
##### **§ 52:14-17.28j** Prescription drug coverage restriction, step therapy protocol, exception process, vendor, utilization review organization. {#sec-52-14-17.28j omnilex-key=us-nj-statutes--title-52--52:14-17.28j}
9. Notwithstanding the provisions of any law, rule, or regulation to the contrary:
a. When coverage of a prescription drug for the treatment of any medical condition is restricted for use by a vendor or utilization review organization pursuant to a step therapy protocol, the vendor or utilization review organization shall provide the covered person and prescribing practitioner a clear, readily accessible, and convenient process to request a step therapy exception. A vendor or utilization review organization may use its existing medical exceptions process to satisfy this requirement. An explanation of the process shall be made available on the vendor or utilization review organization's website. A vendor or utilization review organization shall disclose all rules and criteria related to the step therapy protocol upon request to all prescribing practitioners, including the specific information and documentation required to be submitted by a prescribing practitioner or patient for an exception request to be complete.
b. A step therapy exception shall be granted if the prescribing health care provider determines that:
(1) the required prescription drug is contraindicated or is likely to cause an adverse reaction or physical or mental harm to the patient;
(2) the required prescription drug is expected to be ineffective or less effective than an alternative based on the known clinical characteristics of the patient and the known characteristics of the prescription drug regimen; or
(3) all formulary drugs used to treat each disease state have been ineffective or less effective than an alternative in the treatment of the covered person's disease or condition or all such drugs have caused or are reasonably expected to cause adverse or harmful reactions in the covered person.
If requested by a vendor, the prescribing health care provider shall provide documentation to support the determinations made by the provider pursuant to paragraphs (1) through (3) of this subsection.
c. When a step therapy exception is granted, the vendor or utilization review organization shall authorize coverage for the prescription drug prescribed by the patient's treating health care provider at least 180 days or the duration of therapy if less than 180 days, provided that the prescription drug is covered by the patient's health benefits plan.
d. Any step therapy exception shall be eligible for appeal by a covered person. The vendor or utilization review organization shall grant or deny a step therapy exception request or an appeal of a step therapy exception request within a time frame appropriate to the medical exigencies of the case, but no later than 24 hours for urgent requests and 72 hours for non-urgent requests after obtaining all necessary information to make the approval or adverse determination.
e. Any step therapy exception pursuant to this section shall be eligible for appeal by a covered person.
f. This section shall not be construed to prevent:
(1) a vendor or utilization review organization from requiring a patient to try an AB-rated generic equivalent, biosimilar, or interchangeable biological product prior to providing coverage for the equivalent branded prescription drug;
(2) a vendor or utilization review organization from requiring a pharmacist to effect substitutions of prescription drugs consistent with the laws of this State; or
(3) a health care provider from prescribing a prescription drug that is determined to be medically appropriate.
##### **§ 52:14-17.28k** Statistics made available, step therapy exception request approvals, denials, vendor, utilization review organization. {#sec-52-14-17.28k omnilex-key=us-nj-statutes--title-52--52:14-17.28k}
10. A vendor or utilization review organization shall make statistics available regarding step therapy exception request approvals and denials on its Internet website in a readily accessible format, as determined by the State Treasurer, or the State Treasurer's designee. The State Treasurer shall determine by regulation the statistics and format of the statistics that are made available.
##### **§ 52:14-17.29** State health benefits program, coverages, options. {#sec-52-14-17.29 omnilex-key=us-nj-statutes--title-52--52:14-17.29}
5. (A) The contract or contracts purchased by the commission pursuant to subsection b. of section 4 of P.L.1961, c.49 (C.52:14-17.28) shall provide separate coverages or policies as follows:
(1) Basic benefits which shall include:
(a) Hospital benefits, including outpatient;
(b) Surgical benefits;
(c) Inpatient medical benefits;
(d) Obstetrical benefits; and
(e) Services rendered by an extended care facility or by a home health agency and for specified medical care visits by a physician during an eligible period of such services, without regard to whether the patient has been hospitalized, to the extent and subject to the conditions and limitations agreed to by the commission and the carrier or carriers.
Basic benefits shall be substantially equivalent to those available on a group remittance basis to employees of the State and their dependents under the subscription contracts of the New Jersey "Blue Cross" and "Blue Shield" Plans. Such basic benefits shall include benefits for:
(i) Additional days of inpatient medical service;
(ii) Surgery elsewhere than in a hospital;
(iii) X-ray, radioactive isotope therapy and pathology services;
(iv) Physical therapy services;
(v) Radium or radon therapy services;
and the extended basic benefits shall be subject to the same conditions and limitations, applicable to such benefits, as are set forth in "Extended Outpatient Hospital Benefits Rider," Form 1500, 71(9-66), and in "Extended Benefit Rider" (as amended), Form MS 7050J(9-66) issued by the New Jersey "Blue Cross" and "Blue Shield" Plans, respectively, and as the same may be amended or superseded, subject to filing by the Commissioner of Banking and Insurance; and
(2) Major medical expense benefits which shall provide benefit payments for reasonable and necessary eligible medical expenses for hospitalization, surgery, medical treatment and other related services and supplies to the extent they are not covered by basic benefits. The commission may, by regulation, determine what types of services and supplies shall be included as "eligible medical services" under the major medical expense benefits coverage as well as those which shall be excluded from or limited under such coverage. Benefit payments for major medical expense benefits shall be equal to a percentage of the reasonable charges for eligible medical services incurred by a covered employee or an employee's covered dependent, during a calendar year as exceed a deductible for such calendar year of $100.00 subject to the maximums hereinafter provided and to the other terms and conditions authorized by this act. The percentage shall be 80 percent of the first $2,000.00 of charges for eligible medical services incurred subsequent to satisfaction of the deductible and 100 percent thereafter. There shall be a separate deductible for each calendar year for (a) each enrolled employee and (b) all enrolled dependents of such employee. Not more than $1,000,000.00 shall be paid for major medical expense benefits with respect to any one person for the entire period of such person's coverage under the plan, whether continuous or interrupted except that this maximum may be reapplied to a covered person in amounts not to exceed $2,000.00 a year. Maximums of $10,000.00 per calendar year and $20,000.00 for the entire period of the person's coverage under the plan shall apply to eligible expenses incurred because of mental illness or functional nervous disorders, and such may be reapplied to a covered person, except as provided in P.L.1999, c.441 (C.52:14-17.29d et al.). The same provisions shall apply for retired employees and their dependents. Under the conditions agreed upon by the commission and the carriers as set forth in the contract, the deductible for a calendar year may be satisfied in whole or in part by eligible charges incurred during the last three months of the prior calendar year.
Any service determined by regulation of the commission to be an "eligible medical service" under the major medical expense benefits coverage which is performed by a duly licensed practicing psychologist within the lawful scope of psychologist practice shall be recognized for reimbursement under the same conditions as would apply were such service performed by a physician.
(B) The contract or contracts purchased by the commission pursuant to subsection c. of section 4 of P.L.1961, c.49 (C.52:14-17.28) shall include coverage for services and benefits that are at a level that is equal to or exceeds the level of services and benefits set forth in this subsection, provided that such services and benefits shall include only those that are eligible medical services and not those deemed experimental, investigative or otherwise not eligible medical services. The determination of whether services or benefits are eligible medical services shall be made by the commission consistent with the best interests of the State and participating employers, employees, and dependents. The following list of services is not intended to be exclusive or to require that any limits or exclusions be exceeded.
Covered services shall include:
(1) Physician services, including:
(a) Inpatient services, including:
(i) medical care including consultations;
(ii) surgical services and services related thereto; and
(iii) obstetrical services including normal delivery, cesarean section, and abortion.
(b) Outpatient/out-of-hospital services, including:
(i) office visits for covered services and care;
(ii) allergy testing and related diagnostic/therapy services;
(iii) dialysis center care;
(iv) maternity care;
(v) well child care;
(vi) child immunizations/lead screening;
(vii) routine adult physicals including pap, mammography, and prostate examinations; and
(viii) annual routine obstetrical/gynecological exam.
(2) Hospital services, both inpatient and outpatient, including:
(a) room and board;
(b) intensive care and other required levels of care;
(c) semi-private room;
(d) therapy and diagnostic services;
(e) surgical services or facilities and treatment related thereto;
(f) nursing care;
(g) necessary supplies, medicines, and equipment for care; and
(h) maternity care and related services.
(3) Other facility and services, including:
(a) approved treatment centers for medical emergency/accidental injury;
(b) approved surgical center;
(c) hospice;
(d) chemotherapy;
(e) diagnostic x-ray and lab tests;
(f) ambulance;
(g) durable medical equipment;
(h) prosthetic devices;
(i) foot orthotics;
(j) diabetic supplies and education; and
(k) oxygen and oxygen administration.
(4) All services for which coverage is required pursuant to P.L.1961, c.49 (C.52:14-17.25 et seq.), as amended and supplemented. Benefits under the contract or contracts purchased as authorized by the State Health Benefits Program shall include those for mental health services subject to limits and exclusions consistent with the provisions of the New Jersey State Health Benefits Program Act.
(C) The contract or contracts purchased by the commission pursuant to subsection c. of section 4 of P.L.1961, c.49 (C.52:14-17.28) shall include the following provisions regarding reimbursements and payments:
(1) In the successor plan, the co-payment for doctor's office visits shall be $10 per visit with a maximum out-of-pocket of $400 per individual and $1,000 per family for in-network services for each calendar year. The out-of-network deductible shall be $100 per individual and $250 per family for each calendar year, and the participant shall receive reimbursement for out-of-network charges at the rate of 80 percent of reasonable and customary charges, provided that the out-of-pocket maximum shall not exceed $2,000 per individual and $5,000 per family for each calendar year.
(2) In the State managed care plan that is required to be included in a contract entered into pursuant to subsection c. of section 4 of P.L.1961, c.49 (C.52:14-17.28), the co-payment for doctor's office visits shall be $15 per visit. The participant shall receive reimbursement for out-of-network charges at the rate of 70% of reasonable and customary charges. The in-network and out-of-network limits, exclusions, maximums, and deductibles shall be substantially equivalent to those in the NJ PLUS plan in effect on June 30, 2007, with adjustments to that plan pursuant to a binding collective negotiations agreement or pursuant to action by the commission, in its sole discretion, to apply such adjustments to State employees for whom there is no majority representative for collective negotiations purposes.
(3) "Reasonable and customary charges" means charges based upon the 90th percentile of the usual, customary, and reasonable (UCR) fee schedule determined by the Health Insurance Association of America or a similar nationally recognized database of prevailing health care charges.
(D) Benefits under the contract or contracts purchased as authorized by this act may be subject to such limitations, exclusions, or waiting periods as the commission finds to be necessary or desirable to avoid inequity, unnecessary utilization, duplication of services or benefits otherwise available, including coverage afforded under the laws of the United States, such as the federal Medicare program, or for other reasons.
Benefits under the contract or contracts purchased as authorized by this act shall include those for the treatment of alcohol use disorder where such treatment is prescribed by a physician and shall also include treatment while confined in or as an outpatient of a licensed hospital or residential treatment program which meets minimum standards of care equivalent to those prescribed by the Joint Commission on Hospital Accreditation. No benefits shall be provided beyond those stipulated in the contracts held by the State Health Benefits Commission.
(E) The rates charged for any contract purchased under the authority of this act shall reasonably and equitably reflect the cost of the benefits provided based on principles which in the judgment of the commission are actuarially sound. The rates charged shall be determined by the carrier on accepted group rating principles with due regard to the experience, both past and contemplated, under the contract. The commission shall have the right to particularize subgroups for experience purposes and rates. No increase in rates shall be retroactive.
(F) The initial term of any contract purchased by the commission under the authority of this act shall be for such period to which the commission and the carrier may agree, but permission may be made for automatic renewal in the absence of notice of termination by the commission. Subsequent terms for which any contract may be renewed as herein provided shall each be limited to a period not to exceed one year.
(G) A contract purchased by the commission pursuant to subsection b. of section 4 of P.L.1961, c.49 (C.52:14-17.28) shall contain a provision that if basic benefits or major medical expense benefits of an employee or of an eligible dependent under the contract, after having been in effect for at least one month in the case of basic benefits or at least three months in the case of major medical expense benefits, is terminated, other than by voluntary cancellation of enrollment, there shall be a 31-day period following the effective date of termination during which such employee or dependent may exercise the option to convert, without evidence of good health, to converted coverage issued by the carriers on a direct payment basis. Such converted coverage shall include benefits of the type classified as "basic benefits" or "major medical expense benefits" in subsection (A) hereof and shall be equivalent to the benefits which had been provided when the person was covered as an employee. The provision shall further stipulate that the employee or dependent exercising the option to convert shall pay the full periodic charges for the converted coverage which shall be subject to such terms and conditions as are normally prescribed by the carrier for this type of coverage.
(H) The commission may purchase a contract or contracts to provide drug prescription and other health care benefits or authorize the purchase of a contract or contracts to provide drug prescription and other health care benefits as may be required to implement a duly executed collective negotiations agreement or as may be required to implement a determination by a public employer to provide such benefit or benefits to employees not included in collective negotiations units.
(I) The commission shall take action as necessary, in cooperation with the School Employees' Health Benefits Commission established pursuant to section 33 of P.L.2007, c.103 (C.52:14-17.46.3), to effectuate the purposes of the School Employees' Health Benefits Program Act as provided in sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 through C.52:14-17.46.11) and to enable the School Employees' Health Benefits Commission to begin providing coverage to participants pursuant to the School Employees' Health Benefits Program Act as of July 1, 2008.
(J) Beginning January 1, 2012, the State Health Benefits Plan Design Committee shall provide to employees the option to select one of at least three levels of coverage each for family, individual, individual and spouse, and individual and dependent, or equivalent categories, for each plan offered by the program differentiated by out of pocket costs to employees including co-payments and deductibles. Notwithstanding any other provision of law to the contrary, the committee shall have the sole discretion to set the amounts for maximums, co-pays, deductibles, and other such participant costs for all plans in the program. The committee shall also provide for a high deductible health plan that conforms with Internal Revenue Code Section 223.
There shall be appropriated annually for each State fiscal year, through the annual appropriations act, such amounts as shall be necessary as funding by the State as an employer, or as otherwise required, with regard to employees or retirees who have enrolled in a high deductible health plan that conforms with Internal Revenue Code Section 223.
##### **§ 52:14-17.29a** Employee drug prescription program; extension to retirees under state police retirement system {#sec-52-14-17.29a omnilex-key=us-nj-statutes--title-52--52:14-17.29a}
The State Health Benefits Commission shall undertake by an amendatory or supplementary contract to extend the coverage of the employee drug prescription program, authorized pursuant to subsection (F) of section 5 of P.L.1961, c. 49 (C. 52:14-17.29), to State employees retiring or who have retired on or after January 1, 1980 under the State Police Retirement System after 25 or more years of service and who as of the time of their retirement are or shall be medically certified to be suffering from an illness characterized as terminal by two or more physicians licensed in the practice of medicine and surgery in this State.
##### **§ 52:14-17.29b** Provision of inpatient care following mastectomy {#sec-52-14-17.29b omnilex-key=us-nj-statutes--title-52--52:14-17.29b}
1. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits, shall provide coverage for a minimum of 72 hours of inpatient care following a modified radical mastectomy and a minimum of 48 hours of inpatient care following a simple mastectomy. The contract shall also provide that a carrier shall not require a health care provider to obtain authorization from the carrier for prescribing 72 or 48 hours, as appropriate, of inpatient care as provided for in this section.
The provisions of this section shall not be construed: to require a patient to receive inpatient care for 72 or 48 hours, as appropriate, if the patient in consultation with the patient's physician determines that a shorter length of stay is medically appropriate; or to relieve a patient or a patient's physician, if appropriate, of any notification requirements to the carrier under the contract.
##### **§ 52:14-17.29c** Coverage for treatment of inherited metabolic diseases by State Health Benefits Program. {#sec-52-14-17.29c omnilex-key=us-nj-statutes--title-52--52:14-17.29c}
9. The State Health Benefits Commission shall provide benefits to each person covered under the State Health Benefits Program for the therapeutic treatment of inherited metabolic diseases, including the purchase of medical foods and low protein modified food products, when diagnosed and determined to be medically necessary by the covered person's physician.
For the purposes of this section, "inherited metabolic disease" means a disease caused by an inherited abnormality of body chemistry for which testing is mandated pursuant to P.L.1977, c.321 (C.26:2-110 et seq.); "low protein modified food product" means a food product that is specially formulated to have less than one gram of protein per serving and is intended to be used under the direction of a physician for the dietary treatment of an inherited metabolic disease, but does not include a natural food that is naturally low in protein; and "medical food" means a food that is intended for the dietary treatment of a disease or condition for which nutritional requirements are established by medical evaluation and is formulated to be consumed or administered enterally under direction of a physician.
The health care services shall be provided to the same extent as for any other medical condition under the program.
##### **§ 52:14-17.29d** Definitions. {#sec-52-14-17.29d omnilex-key=us-nj-statutes--title-52--52:14-17.29d}
1. As used in this act:
"Carrier" means an insurance company, health service corporation, hospital service corporation, medical service corporation or health maintenance organization authorized to issue health benefits plans in this State.
"Mental health condition" means a condition defined to be consistent with generally recognized independent standards of current medical practice referenced in the current version of the Diagnostic and Statistical Manual of Mental Disorders.
"Psychiatric Collaborative Care Model" means the evidence-based, integrated behavioral health service delivery method wherein a primary care provider and a care manager collaborate with a psychiatric consultant to provide care to a patient. "Psychiatric Collaborative Care Model" shall include those benefits that are billed using the following list of Current Procedural Terminology (CPT) codes, which list shall be updated by the Commissioner of Banking and Insurance whenever the codes are altered or supplemented:
(a) 99492 - Initial psychiatric collaborative care management;
(b) 99493 - Subsequent psychiatric collaborative care management; and
(c) 99494 - Initial or subsequent psychiatric collaborative care management, additional time.
"Same terms and conditions" means that a carrier cannot apply more restrictive non-quantitative limitations, such as utilization review and other criteria or more quantitative limitations such as copayments, deductibles, aggregate or annual limits or benefit limits to mental health condition and substance use disorder benefits than those applied to substantially all other medical or surgical benefits.
"Substance use disorder" means a disorder defined to be consistent with generally recognized independent standards of current medical practice referenced in the most current version of the Diagnostic and Statistical Manual of Mental Disorders.
##### **§ 52:14-17.29e** SHBC to provide benefits for mental health conditions, substance use disorders; collaborative care model. {#sec-52-14-17.29e omnilex-key=us-nj-statutes--title-52--52:14-17.29e}
2. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage for mental health conditions and substance use disorders under the same terms and conditions as provided for any other sickness under the contract and shall meet the requirements of the federal Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008, 42 U.S.C. s.18031(j), and any amendments to, and federal guidance or regulations issued under that act, including 45 C.F.R. Parts 146 and 147 and 45 C.F.R. s.156.115(a)(3).
Coverage provided pursuant to this section shall include benefits delivered through the psychiatric Collaborative Care Model.
b. The commission shall provide notice to employees regarding the coverage required by this section in accordance with this subsection and regulations promulgated by the Commissioner of Health pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.). The notice shall be in writing and prominently positioned in any literature or correspondence and shall be transmitted at the earliest of: (1) the next mailing to the employee; (2) the yearly informational packet sent to the employee; or (3) July 1, 2000. The commission shall also ensure that the carrier under contract with the commission, upon receipt of information that a covered person is receiving treatment for a mental health condition or substance use disorder, shall promptly notify that person of the coverage required by this section.
c. Nothing in this section shall reduce the requirement for a carrier to provide benefits pursuant to section 9 of P.L.2017, c.28 (C.52:14-17.29u).
##### **§ 52:14-17.29f** Pap smear benefits in State health benefits contracts {#sec-52-14-17.29f omnilex-key=us-nj-statutes--title-52--52:14-17.29f}
6. The State Health Benefits Commission shall provide benefits to each person covered under the State Health Benefits Program for expenses incurred in conducting a Pap smear. The benefits shall be provided to the same extent as for any other medical condition under the contract.
As used in this section, and notwithstanding the provisions of this section to the contrary, "Pap smear" means an initial Pap smear and any confirmatory test when medically necessary and as ordered by the covered person's physician and includes all laboratory costs associated with the initial Pap smear and any such confirmatory test.
##### **§ 52:14-17.29g** Notice to enrollees in State Health Benefits Program managed care plans if primary care physician is terminated from plan. {#sec-52-14-17.29g omnilex-key=us-nj-statutes--title-52--52:14-17.29g}
1. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of P.L.2001, c.284 (C.52:14-17.29g) provides that if an enrollee's or member's primary care physician's contract as a participating physician in a health maintenance organization or State managed care plan will be terminated, the health maintenance organization or State managed care plan, as appropriate, shall provide the enrollee or member with 90-days' notice of the termination. If 90-days' notice cannot be provided because the termination will occur prior to the end of the 90-day period, the health maintenance organization or State managed care plan shall notify the enrollee or member as soon as the health maintenance organization or State managed care plan has knowledge of the termination.
b. Notwithstanding the provisions of any policy governing open enrollment to the contrary, an enrollee or member who has been notified by a health maintenance organization or State managed care plan pursuant to this section may change his coverage to another health benefits plan under the State Health Benefits Program upon receiving notice that his primary care physician will no longer be a participating physician with the health maintenance organization or State managed care plan, in which the person is currently enrolled.
##### **§ 52:14-17.29h** State Health Benefits Commission contracts to cover certain out-of-network services. {#sec-52-14-17.29h omnilex-key=us-nj-statutes--title-52--52:14-17.29h}
11. The State Health Benefits Commission shall ensure that every contract purchased or renewed by the commission on or after the effective date of P.L.2001, c.367 (C.26:2S-6.1 et al.), which provides hospital or medical expense benefits through a managed care plan as defined in section 2 of P.L.1997, c.192 (C.26:2S-2), shall meet the requirements of section 2 of P.L.2001, c.367 (C.26:2S-6.1).
##### **§ 52:14-17.29i** State Health Benefits Program, coverage for mammograms. {#sec-52-14-17.29i omnilex-key=us-nj-statutes--title-52--52:14-17.29i}
9. a. The State Health Benefits Commission shall provide benefits to each person covered under the State Health Benefits Program for expenses incurred in conducting:
(1) one baseline mammogram examination for women who are 40 years of age; a mammogram examination every year for women age 40 and over; and, in the case of a woman who is under 40 years of age and has a family history of breast cancer or other breast cancer risk factors, a mammogram examination at such age and intervals as deemed medically necessary by the woman's health care provider; and
(2) an ultrasound evaluation, a magnetic resonance imaging scan, a three-dimensional mammography, or other additional testing of an entire breast or breasts, after a baseline mammogram examination, if the mammogram demonstrates extremely dense breast tissue, if the mammogram is abnormal within any degree of breast density including not dense, moderately dense, heterogeneously dense, or extremely dense breast tissue, or if the patient has additional risk factors for breast cancer including but not limited to family history of breast cancer, prior personal history of breast cancer, positive genetic testing, extremely dense breast tissue based on the Breast Imaging Reporting and Data System established by the American College of Radiology, or other indications as determined by the patient's health care provider. The coverage required under this paragraph may be subject to utilization review, including periodic review, by the carrier of the medical necessity of the additional screening and diagnostic testing.
b. The benefits shall be provided to the same extent as for any other medical condition under the contract.
##### **§ 52:14-17.29j** SHBC, coverage for contraceptives. {#sec-52-14-17.29j omnilex-key=us-nj-statutes--title-52--52:14-17.29j}
10. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act shall provide benefits for expenses incurred in the purchase of prescription female contraceptives, and the following services, drugs, devices, products, and procedures on an in-network basis:
(1) Any contraceptive drug, device or product approved by the United States Food and Drug Administration, which coverage shall be subject to all of the following conditions:
(a) If there is a therapeutic equivalent of a contraceptive drug, device or product approved by the United States Food and Drug Administration, coverage shall be provided for either the requested contraceptive drug, device or product or for one or more therapeutic equivalents of the requested drug, device or product.
(b) Coverage shall be provided without a prescription for all contraceptive drugs available for over-the-counter sale that are approved by the United States Food and Drug Administration.
(c) Coverage shall be provided without any infringement upon a subscriber's choice of contraception and medical necessity shall be determined by the provider for covered contraceptive drugs, devices or other products approved by the United States Food and Drug Administration.
(2) Voluntary male and female sterilization.
(3) Patient education and counseling on contraception.
(4) Services related to the administration and monitoring of drugs, devices, products and services required under this section, including but not limited to:
(a) Management of side effects;
(b) Counseling for continued adherence to a prescribed regimen;
(c) Device insertion and removal;
(d) Provision of alternative contraceptive drugs, devices or products deemed medically appropriate in the judgment of the subscriber's health care provider; and
(e) Diagnosis and treatment services provided pursuant to, or as a follow-up to, a service required under this section.
b. The coverage provided shall include prescriptions for dispensing contraceptives for:
(1) (Deleted by amendment, P.L.2021, c.376)
(2) up to a 12-month period at one time.
c. (1) Except as provided in paragraph (2) of this subsection, the contract shall specify that no deductible, coinsurance, copayment, or any other cost-sharing requirement may be imposed on the coverage required pursuant to this section.
(2) In the case of a high-deductible health plan, benefits for male sterilization or male contraceptives shall be provided at the lowest deductible and other cost-sharing permitted for a high-deductible health plan under section 223(c)(2)(A) of the Internal Revenue Code (26 U.S.C. s.223).
d. Nothing in this section shall limit coverage of any additional preventive service for women, as identified or recommended by the United States Preventive Services Task Force or the Health Resources and Services Administration of the United States Department of Health and Human Services pursuant to the provisions of 42 U.S.C. 300gg-13.
##### **§ 52:14-17.29k** Coverage for certain dependents until age 31 by insurers covered by SHBP. {#sec-52-14-17.29k omnilex-key=us-nj-statutes--title-52--52:14-17.29k}
7. a. As used in this section, "dependent" means a covered person's child by blood or by law who:
(1) is 30 years of age or younger;
(2) is unmarried;
(3) has no dependent of his own;
(4) is a resident of this State or is enrolled as a full-time student at an accredited public or private institution of higher education; and
(5) (a) is not actually provided coverage as a named subscriber, insured, enrollee, or covered person under any other group or individual health benefits plan, group health plan, church plan or health benefits plan, or entitled to benefits under Title XVIII of the Social Security Act, Pub.L.74-271 (42 U.S.C. s.1395 et seq.) at the time dependent coverage pursuant to this section begins or will begin; and
(b) there is evidence of prior, creditable coverage or receipt of benefits under a benefits plan or by law as set forth in subparagraph (a) of this paragraph.
b. The State Health Benefits Commission shall ensure that every contract purchased or renewed by the commission on or after the effective date of P.L.2005, c.375 (C.17:48-6.19 et al.), prohibits the termination of coverage of a dependent before the dependent's 23rd birthday by reason of age, and complies with the provisions of this section of P.L.2008, c.38 concerning the coverage of a dependent by written election, as set forth in subsection d. of this section, until the dependent's 31st birthday.
c. Nothing within this section shall be construed to: (1) prevent any contract purchased or renewed by the commission from providing coverage for a dependent which terminates at a specific age after the dependent child's 23rd birthday; or (2) require coverage for services provided to a dependent before the effective date of this section of P.L.2008, c.38.
d. A dependent covered by a covered person's contract, which coverage under the contract terminates at a specific age on or before the dependent's 30th birthday, may make a written election for coverage as a dependent pursuant to this section, until the dependent's 30th birthday:
(a) within 30 days prior to the termination of coverage at the specific age provided in the contract;
(b) within 30 days after meeting the requirements for dependent status as set forth in subsection a. of this section, when coverage for the dependent under the contract previously terminated; or
(c) during an open enrollment period, as provided pursuant to the contract, if the dependent meets the requirements for dependent status as set forth in subsection a. of this section.
e. (1) Coverage for a dependent who makes a written election for coverage pursuant to subsection d. of this section shall consist of coverage which is identical to the coverage provided to that dependent prior to the termination of coverage at the specific age provided in the contract. If coverage is modified under the contract for any similarly situated dependents for coverage prior to the termination of coverage at the specific age provided in the contract, the coverage shall also be modified in the same manner for the dependent.
(2) Coverage for a dependent who makes a written election for coverage pursuant to subsection d. of this section shall not be conditioned upon, or discriminate on the basis of, lack of evidence of insurability.
f. (1) The covered person's contract may require payment of a premium by the covered person or dependent, as appropriate, for any period of coverage relating to a dependent's written election for coverage pursuant to subsection d. of this section. The premium shall not exceed 102% of the applicable portion of the premium previously paid for that dependent's coverage under the contract prior to the termination of coverage at the specific age provided in the contract.
(2) The applicable portion of the premium previously paid for the dependent's coverage under the contract shall be determined by the commission, based upon the difference between the contract's rating tiers for adult and dependent coverage or family coverage, as appropriate, and single coverage, or based upon any other formula or dependent rating tier deemed appropriate by the commission which provides a substantially similar result.
(3) Payments of the premium may, at the election of the payor, be made in monthly installments.
g. Coverage for a dependent provided pursuant to this section shall be provided until the earlier of the following:
(1) the date upon which the dependent is disqualified for dependent status as set forth in subsection a. of this section;
(2) the date upon which coverage ceases under the contract by reason of a failure to make a timely payment of any premium required under the contract by the covered person or dependent for coverage provided pursuant to this section. The payment of any premium shall be considered to be timely if made within 30 days after the due date or within a longer period as may be provided for by the contract; or
(3) the date upon which the contract, under which coverage is provided to a dependent, ceases to provide coverage to the covered person.
Nothing herein shall be construed to permit the commission to refuse a written election for coverage by a dependent pursuant to subsection d. of this section, based upon the dependent's prior disqualification pursuant to paragraph (1) of this subsection, other than a disqualification based on age or lack of evidence of prior, creditable coverage or receipt of benefits.
h. Notice regarding coverage for a dependent as provided pursuant to this section shall be provided to a covered person by the commission:
(1) in the certificate of coverage or other equivalent document prepared for covered persons and delivered on or about the date of commencement of the covered persons' coverage; and
(2) in a notice delivered to covered persons on a quarterly basis.
##### **§ 52:14-17.29l** Disease and chronic care management plan. {#sec-52-14-17.29l omnilex-key=us-nj-statutes--title-52--52:14-17.29l}
31. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of P.L.2007, c.92 (C.43:15C-1 et al.) to provide benefits under the State managed care plans includes a disease and chronic care management plan for specified conditions meeting nationally recognized accreditation standards and including specified outcome measures and objectives for disease and chronic care management.
##### **§ 52:14-17.29m** State health benefits plan to provide benefits for orthotic and prosthetic appliances. {#sec-52-14-17.29m omnilex-key=us-nj-statutes--title-52--52:14-17.29m}
9. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of P.L.2007, c.345 (C.17:48-6ff et al.) that provides hospital or medical expense benefits, shall provide benefits to any person covered thereunder for expenses incurred in obtaining:
(1) an orthotic or prosthetic appliance from any licensed orthotist or prosthetist, licensed podiatrist, or any certified pedorthist, as determined medically necessary by the covered person's physician; and
(2) an additional orthotic or prosthetic appliance from any licensed orthotist or prosthetist, licensed podiatrist, or any certified pedorthist, if the covered person's physician determines that the additional appliance is necessary to enable the covered person to engage in physical and recreational activities, including running, bicycling, swimming, climbing, skiing, snowboarding, and team and individual sports.
As used in this section, "orthotic appliance," "prosthetic appliance," "licensed orthotist" and "licensed prosthetist" have the meaning assigned to them in section 3 of P.L.1991, c.512 (C.45:12B-3), "licensed podiatrist" has the meaning assigned to it in R.S.45:5-1 et seq., and "certified pedorthist" has the meaning assigned to it in subsection j. of section 18 of P.L.1991, c.512 (C.45:12B-18).
b. On and after the effective date of P.L.2007, c.345 (C.17:48-6ff et al.), a contract purchased by the commission shall reimburse for orthotic and prosthetic appliances at the same rate as reimbursement for such appliances under the federal Medicare reimbursement schedule.
c. The benefits shall be provided to the same extent as for any other medical condition under the contract.
##### **§ 52:14-17.29n** State Health Benefits Commission to provide coverage for hearing aids, cochlear implant for covered persons. {#sec-52-14-17.29n omnilex-key=us-nj-statutes--title-52--52:14-17.29n}
10. a. The State Health Benefits Commission shall, on or after the effective date of this act, provide benefits for medically necessary expenses incurred in the purchase of a hearing aid or cochlear implant for a covered person 21 years of age or younger, as provided in this section.
b. The benefits shall include the purchase of a hearing aid for each ear, when medically necessary and as prescribed or recommended by a licensed physician or audiologist. The commission may limit the benefit provided in this section to $2,500 per hearing aid for each hearing-impaired ear every 60 months.
c. The benefits shall provide coverage of the cost of treatment related to cochlear implants, including procedures for the implantation of cochlear devices and costs for any parts, attachments, or accessories of the device, including replacement of obsolete external cochlear implant processors.
##### **§ 52:14-17.29o** SHBC to provide for installment payments to obstetrical provider for maternity services. {#sec-52-14-17.29o omnilex-key=us-nj-statutes--title-52--52:14-17.29o}
9. a. Within 30 days of the effective date of this act, the State Health Benefits Commission shall provide, in every health benefits plan that provides for maternity services, for reimbursement in installments to an obstetrical provider licensed in New Jersey for maternity services rendered during the term of a covered person's pregnancy.
b. For the purposes of this section, "obstetrical provider licensed in New Jersey" means:
(1) an obstetrician/gynecologist licensed by the State Board of Medical Examiners; or
(2) a midwife licensed by the State Board of Medical Examiners as a certified midwife or a certified nurse midwife.
##### **§ 52:14-17.29p** SHBP contracts to provide benefits for treatment of autism or other developmental disability. {#sec-52-14-17.29p omnilex-key=us-nj-statutes--title-52--52:14-17.29p}
9. Notwithstanding any other provision of law to the contrary, the State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage pursuant to the provisions of this section.
a. The contract shall provide coverage for expenses incurred in screening and diagnosing autism or another developmental disability.
b. When the covered person's primary diagnosis is autism or another developmental disability, the contract shall provide coverage for expenses incurred for medically necessary occupational therapy, physical therapy, and speech therapy, as prescribed through a treatment plan. Coverage of these therapies shall not be denied on the basis that the treatment is not restorative.
c. When the covered person is under 21 years of age and the covered person's primary diagnosis is autism, the contract shall provide coverage for expenses incurred for medically necessary behavioral interventions based on the principles of applied behavioral analysis and related structured behavioral programs, as prescribed through a treatment plan, subject to the provisions of this subsection.
(1) Except as provided in paragraph (3) of this subsection, the benefits provided pursuant to this subsection shall be provided to the same extent as for any other medical condition under the contract, but shall not be subject to limits on the number of visits that a covered person may make to a provider of behavioral interventions.
(2) The benefits provided pursuant to this subsection shall not be denied on the basis that the treatment is not restorative.
(3) (a) The maximum benefit amount for a covered person in any calendar year through 2011 shall be $36,000.
(b) Commencing on January 1, 2012, the maximum benefit amount shall be subject to an adjustment, to be promulgated by the Commissioner of Banking and Insurance and published in the New Jersey Register no later than February 1 of each calendar year, which shall be equal to the change in the consumer price index for all urban consumers for the nation, as prepared by the United States Department of Labor, for the calendar year preceding the calendar year in which the adjustment to the maximum benefit amount is promulgated.
(c) The adjusted maximum benefit amount shall apply to a contract that is delivered, issued, executed, or renewed, or approved for issuance or renewal, in the 12-month period following the date on which the adjustment is promulgated.
(d) Notwithstanding the provisions of this paragraph to the contrary, the commission shall not be precluded from providing a benefit amount for a covered person in any calendar year that exceeds the benefit amounts set forth in subparagraphs (a) and (b) of this paragraph.
d. The treatment plan required pursuant to subsections b. and c. of this section shall include all elements necessary for the carrier to appropriately provide benefits, including, but not limited to: a diagnosis; proposed treatment by type, frequency, and duration; the anticipated outcomes stated as goals; the frequency by which the treatment plan will be updated; and the treating physician's signature. The carrier may only request an updated treatment plan once every six months from the treating physician to review medical necessity, unless the carrier and the treating physician agree that a more frequent review is necessary due to emerging clinical circumstances.
e. The provisions of subsections b. and c. of this section shall not be construed as limiting benefits otherwise available to a covered person.
f. The provisions of subsections b. and c. of this section shall not be construed to require that benefits be provided to reimburse the cost of services provided under an individualized family service plan or an individualized education program, or affect any requirement to provide those services; except that the benefits provided pursuant to those subsections shall include coverage for expenses incurred by participants in an individualized family service plan through a family cost share.
g. The coverage required under this section may be subject to utilization review, including periodic review, by the carrier of the continued medical necessity of the specified therapies and interventions.
##### **§ 52:14-17.29r** SHBC to provide coverage for oral anticancer medications. {#sec-52-14-17.29r omnilex-key=us-nj-statutes--title-52--52:14-17.29r}
9. a. The State Health Benefits Commission shall ensure that every contract purchased on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage for expenses for prescribed, orally administered anticancer medications used to kill or slow the growth of cancerous cells on a basis no less favorable than the contract provides for intravenously administered or injected anticancer medications.
b. Pursuant to subsection a. of this section, coverage for expenses for prescribed, orally administered anticancer medications used to kill or slow the growth of cancerous cells shall not be subject to any prior authorization, dollar limit, copayment, deductible or coinsurance provision that does not apply to intravenously administered or injected anticancer medications.
c. A State Health Benefits Commission contract shall not achieve compliance with the provisions of this section by imposing an increase in patient cost sharing, including any copayment, deductible or coinsurance, for anticancer medications, whether intravenously administered or injected or orally administered, that are covered under the contract as of the effective date of this act.
##### **§ 52:14-17.29s** SHBC to provide coverage for prescription eye drops. {#sec-52-14-17.29s omnilex-key=us-nj-statutes--title-52--52:14-17.29s}
9. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits that include coverage for prescription eye drops, shall provide coverage for expenses incurred for refills of prescription eye drops in accordance with the Guidance for Early Refill Edits of Topical Ophthalmic Products provided to Medicare Part D plan sponsors by the Centers for Medicare & Medicaid Services of the U.S. Department of Health and Human Services, provided that:
(1) the prescribing health care practitioner indicates on the original prescription that additional quantities of the prescription eye drops are needed; and
(2) the refill requested by the covered person does not exceed the number of additional quantities indicated on the original prescription by the prescribing health care practitioner.
##### **§ 52:14-17.29t** State Health Benefits Program, coverage for synchronization of prescribed medications. {#sec-52-14-17.29t omnilex-key=us-nj-statutes--title-52--52:14-17.29t}
9. The State Health Benefits Commission shall ensure that every contract under the State Health Benefits Program purchased on or after the effective date of this act, which provides benefits for pharmacy services, prescription drugs, or for participation in a prescription drug plan, shall, on at least one occasion per year for each covered person:
(1) apply a prorated daily cost-sharing rate to prescriptions that are dispensed by a network pharmacy for less than a 30 days' supply if the prescriber or pharmacist indicates the fill or refill is in the best interest of the covered person or is for the purpose of synchronizing the covered person's chronic medications;
(2) provide coverage for a drug prescribed for the treatment of a chronic illness dispensed in accordance with a plan among the covered person, the prescriber and the pharmacist to synchronize the refilling of multiple prescriptions for the covered person; and
(3) determine dispensing fees based exclusively on the total number of prescriptions dispensed; dispensing fees shall not be prorated or based on the number of the days' supply of medication prescribed or dispensed.
This section shall not apply to prescriptions for opioid analgesics. "Opioid analgesic" means a drug in the opioid analgesic drug class prescribed to treat moderate to severe pain or other conditions, whether in immediate release or extended release form, and whether or not combined with other drug substances to form a single drug product or dosage form.
##### **§ 52:14-17.29u** SHBP to provide benefits for treatment of substance use disorder. {#sec-52-14-17.29u omnilex-key=us-nj-statutes--title-52--52:14-17.29u}
9. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act provides unlimited benefits for inpatient and outpatient treatment of substance use disorder at in-network facilities. The services for the treatment of substance use disorder shall be prescribed by a licensed physician, licensed psychologist, or licensed psychiatrist and provided by licensed health care professionals or licensed or certified substance use disorder providers in licensed or otherwise State-approved facilities, as required by the laws of the state in which the services are rendered.
b. The benefits for the first 180 days per plan year of inpatient and outpatient treatment of substance use disorder shall be provided when determined medically necessary by the covered person's physician, psychologist or psychiatrist without the imposition of any prior authorization or other prospective utilization management requirements. The facility shall notify the benefit payer of both the admission and the initial treatment plan within 48 hours of the admission or initiation of treatment. If there is no in-network facility immediately available for a covered person, the contract shall provide necessary exceptions to their network to ensure admission in a treatment facility within 24 hours.
c. Providers of treatment for substance use disorder to persons covered under a covered contract shall not require pre-payment of medical expenses during this 180 days in excess of applicable co-payment, deductible, or co-insurance under the policy.
d. The benefits for outpatient visits shall not be subject to concurrent or retrospective review of medical necessity or any other utilization management review.
e. (1) The benefits for the first 28 days of an inpatient stay during each plan year shall be provided without any retrospective review or concurrent review of medical necessity and medical necessity shall be as determined by the covered person's physician.
(2) The benefits for days 29 and thereafter of inpatient care shall be subject to concurrent review as defined in this section. A request for approval of inpatient care beyond the first 28 days shall be submitted for concurrent review before the expiration of the initial 28-day period. A request for approval of inpatient care beyond any period that is approved under concurrent review shall be submitted within the period that was previously approved. The contract shall not initiate concurrent review more frequently than at two-week intervals. If it is determined that continued inpatient care in a facility is no longer medically necessary, the contract shall provide that within 24 hours, written notice shall be provided to the covered person and the covered person's physician of its decision and the right to file an expedited internal appeal of the determination pursuant to an expedited process pursuant to sections 11 through 13 of P.L.1997, c.192 (C.26:2S-11 through 26:2S-13) and N.J.A.C.11:24A-3.5, as applicable. A determination shall be made with respect to the internal appeal within 24 hours and shall be communicated to the covered person and the covered person's physician. If the determination is to uphold the denial, the covered person and the covered person's physician have the right to file an expedited external appeal with the Independent Health Care Appeals Program in the Department of Banking and Insurance pursuant to sections 11 through 13 of P.L.1997, c.192 (C.26:2S-11 through 26:2S-13) and N.J.A.C.11:24A-3.6, as applicable. An independent utilization review organization shall make a determination within 24 hours. If the determination is upheld and it is determined continued inpatient care is not medically necessary, the contract shall state that benefits are provided for the inpatient care through the day following the date the determination is made and the covered person shall only be responsible for any applicable co-payment, deductible and co-insurance for the stay through that date as applicable under the contract. The covered person shall not be discharged or released from the inpatient facility until all internal appeals and independent utilization review organization appeals are exhausted. For any costs incurred after the day following the date of determination until the day of discharge, the covered person shall only be responsible for any applicable cost-sharing, and any additional charges shall be paid by the facility or provider.
f. (1) The benefits for the first 28 days of intensive outpatient or partial hospitalization services shall be provided without any retrospective review of medical necessity and medical necessity shall be as determined by the covered person's physician.
(2) The benefits for days 29 and thereafter of intensive outpatient or partial hospitalization services shall be subject to a retrospective review of the medical necessity of the services.
g. Benefits for inpatient and outpatient treatment of substance use disorder after the first 180 days per plan year shall be subject to medical necessity determination and may be subject to prior authorization or, retrospective review and other utilization management requirements.
h. Medical necessity review shall utilize an evidence-based and peer reviewed clinical review tool to be designated through rulemaking by the Commissioner of Human Services in consultation with the Department of Health.
i. The benefits for outpatient prescription drugs to treat substance use disorder shall be provided when determined medically necessary by the covered person's physician, psychologist or psychiatrist without the imposition of any prior authorization or other prospective utilization management requirements.
j. The first 180 days per plan year of benefits shall be computed based on inpatient days. One or more unused inpatient days may be exchanged for two outpatient visits. All extended outpatient services such as partial hospitalization and intensive outpatient, shall be deemed inpatient days for the purpose of the visit to day exchange provided in this subsection.
k. Except as stated above, the benefits and cost-sharing shall be provided to the same extent as for any other medical condition covered under the contract.
l. The benefits required by this section are to be provided to all covered persons with a diagnosis of substance use disorder. The presence of additional related or unrelated diagnoses shall not be a basis to reduce or deny the benefits required by this section.
m. As used in this section:
"Concurrent review" means inpatient care is reviewed as it is provided. Medically qualified reviewers monitor appropriateness of the care, the setting, and patient progress, and as appropriate, the discharge plans.
"Substance use disorder" is as defined by the American Psychiatric Association in the Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition and any subsequent editions and shall include substance use withdrawal.
##### **§ 52:14-17.29v** State Health Benefits Program to provide coverage for treatment of infertility. {#sec-52-14-17.29v omnilex-key=us-nj-statutes--title-52--52:14-17.29v}
6. The State Health Benefits Commission shall ensure that every contract under the State Health Benefits Program shall provide coverage for medically necessary expenses, as determined by a physician, incurred in the diagnosis and treatment of infertility as provided pursuant to this section. The State Health Benefits Program shall provide coverage for any services related to infertility in accordance with American Society for Reproductive Medicine guidelines and as determined by a physician, which includes, but is not limited to: diagnosis and diagnostic tests; medications; surgery; intrauterine insemination; in vitro fertilization, including in vitro fertilization using donor eggs and in vitro fertilization where the embryo is transferred to a gestational carrier or surrogate; genetic testing; artificial insemination; intracytoplasmic sperm injection; four completed egg retrievals; unlimited embryo transfers, in accordance with guidelines from the American Society for Reproductive Medicine, using single embryo transfer when recommended and deemed medically appropriate by a physician; and medical costs of egg or sperm donors, including office visits, medications, laboratory and radiological procedures, and retrieval, shall be covered until the donor is released from treatment by the reproductive endocrinologist. The State Health Benefits Commission may provide that coverage for in vitro fertilization shall be limited to a covered person who has used all reasonable, less expensive, and medically appropriate treatments, as determined by a licensed physician, and is still unable to become pregnant or carry a pregnancy to a live birth. Coverage for infertility services provided to partners of persons who have successfully reversed a voluntary sterilization shall not be excluded. A contract shall not impose any restriction concerning the coverage of infertility services based on age.
As used in this section:
"Infertility" means a disease, condition, or status characterized by any of the following:
(1) the inability to achieve a successful pregnancy based on a patient's medical, sexual, and reproductive history, age, physical findings, diagnostic testing, or any combination of those factors;
(2) the need for medical intervention, including, but not limited to, the use of donor gametes or donor embryos in order to achieve a successful pregnancy either as an individual or with a partner; or
(3) in patients having regular, unprotected intercourse and without any known etiology for either partner suggestive of impaired reproductive ability, evaluation should be initiated at 12 months when the female partner is under 35 years of age and at 6 months when the female partner is 35 years of age or older.
Nothing in this definition shall be used to deny or delay treatment to any individual, regardless of relationship status or sexual orientation.
"Treatment of infertility" means the recommended treatment plan or prescribed procedures, services, and medications directed by a licensed physician for infertility as defined in this section.
The benefits shall be provided to the same extent as for other medical conditions under the contract, except that the services provided for in this section shall be performed at facilities that conform to standards established by the American Society for Reproductive Medicine or the American College of Obstetricians and Gynecologists. The same copayments, deductibles and benefit limits shall apply to the diagnosis and treatment of infertility pursuant to this section as those applied to other medical or surgical benefits under the contract. Infertility resulting from a voluntary unreversed sterilization procedure may be excluded if the voluntary unreversed sterilization is the sole cause of infertility, provided, however, that coverage for infertility services shall not be excluded if the voluntary sterilization is successfully reversed. Nothing in this section shall preclude the carrier from performing utilization review, including periodic review of the medical necessity of a particular service, provided all utilization review decisions are consistent with American Society for Reproductive Medicine guidelines.
##### **§ 52:14-17.29w** State Health Benefits Commission to provide coverage, payment. {#sec-52-14-17.29w omnilex-key=us-nj-statutes--title-52--52:14-17.29w}
9. a. The State Health Benefits Commission shall ensure that every contract purchased thereby, which provides hospital and medical expense benefits, additionally provides coverage and payment for health care services delivered to a covered person through telemedicine or telehealth, on the same basis as, and at a provider reimbursement rate that does not exceed the provider reimbursement rate that is applicable, when the services are delivered through in-person contact and consultation in New Jersey, provided the services are otherwise covered under the contract when delivered through in-person contact and consultation in New Jersey. Reimbursement payments under this section may be provided either to the individual practitioner who delivered the reimbursable services, or to the agency, facility, or organization that employs the individual practitioner who delivered the reimbursable services, as appropriate.
b. A health benefits contract purchased by the State Health Benefits Commission may limit coverage to services that are delivered by health care providers in the health benefits plan's network, but may not charge any deductible, copayment, or coinsurance for a health care service, delivered through telemedicine or telehealth, in an amount that exceeds the deductible, copayment, or coinsurance amount that is applicable to an in-person consultation. In no case shall a health benefits contract purchased by the State Health Benefits Commission:
(1) impose any restrictions on the location or setting of the distant site used by a health care provider to provide services using telemedicine and telehealth or on the location or setting of the originating site where the patient is located when receiving services using telemedicine and telehealth, except to ensure that the services provided using telemedicine and telehealth meet the same standard of care as would be provided if the services were provided in person;
(2) restrict the ability of a provider to use any electronic or technological platform to provide services using telemedicine or telehealth, including, but not limited to, interactive, real-time, two-way audio, which may be used in combination with asynchronous store-and-forward technology without video capabilities, including audio-only telephone conversations, to provide services using telemedicine or telehealth, provided that the platform used:
(a) allows the provider to meet the same standard of care as would be provided if the services were provided in person; and
(b) is compliant with the requirements of the federal health privacy rule set forth at 45 CFR Parts 160 and 164;
(3) deny coverage for or refuse to provide reimbursement for routine patient monitoring performed using telemedicine and telehealth, including remote monitoring of a patient's vital signs and routine check-ins with the patient to monitor the patient's status and condition, if coverage and reimbursement would be provided if those services are provided in person, and the provider is able to meet the same standard of care as would be provided if the services were provided in person; or
(4) limit coverage only to services delivered by select third-party telemedicine or telehealth organizations.
c. Nothing in this section shall be construed to:
(1) prohibit a health benefits contract from providing coverage for only those services that are medically necessary, subject to the terms and conditions of the covered person's health benefits plan; or
(2) allow the State Health Benefits Commission, or a contract purchased thereby, to require a covered person to use telemedicine or telehealth in lieu of receiving an in-person service from an in-network provider.
d. The State Health Benefits Commission shall adopt rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to implement the provisions of this section.
e. As used in this section:
"Asynchronous store-and-forward" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
"Distant site" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
"Originating site" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
"Telehealth" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
"Telemedicine" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
"Telemedicine or telehealth organization" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
##### **§ 52:14-17.29x** State Health Benefits Commission contracts to provide coverage regardless of gender identity, expression. {#sec-52-14-17.29x omnilex-key=us-nj-statutes--title-52--52:14-17.29x}
9. a. Notwithstanding any other law or regulation to the contrary, the State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital and medical expense benefits shall not contain any provision that discriminates, and the commission shall ensure there is no discrimination, on the basis of a covered person's or prospective covered person's gender identity or expression or on the basis that the covered person or prospective covered person is a transgender person.
b. The discrimination prohibited by this section shall include:
(1) denying, cancelling, limiting or refusing to issue or renew a contract on the basis of a covered person's or prospective covered person's gender identity or expression, or for the reason that the covered person or prospective covered person is a transgender person;
(2) demanding or requiring a payment or premium that is based in whole or in part on a covered person's or prospective covered person's gender identity or expression, or for the reason that the covered person or prospective covered person is a transgender person;
(3) designating a covered person's or prospective covered person's gender identity or expression, or the fact that a covered person or prospective covered person is a transgender person, as a preexisting condition for which coverage will be denied or limited; or
(4) denying or limiting coverage, or denying a claim, for services including but not limited to the following, due to a covered person's gender identity or expression or for the reason that the covered person is a transgender person:
(a) health care services related to gender transition if coverage is available for those services under the contract when the services are not related to gender transition, including but not limited to hormone therapy, hysterectomy, mastectomy, and vocal training; or
(b) health care services that are ordinarily or exclusively available to individuals of one sex when the denial or limitation is due only to the fact that the covered person is enrolled as belonging to the other sex or has undergone, or is in the process of undergoing, gender transition.
c. For the purposes of this section:
"Gender expression" means a person's gender-related appearance and behavior, whether or not stereotypically associated with the person's assigned sex at birth.
"Gender identity" means a person's internal sense of their own gender, regardless of the sex the person was assigned at birth.
"Gender transition" means the process of changing a person's outward appearance, including physical sex characteristics, to accord with the person's actual gender identity.
"Transgender person" means a person who identifies as a gender different from the sex assigned to the person at birth.
d. Nothing in this section shall preclude the carrier from performing utilization review, including periodic review of the medical necessity of a particular service.
##### **§ 52:14-17.29y** SHBC to cover digital tomosynthesis of the breast. {#sec-52-14-17.29y omnilex-key=us-nj-statutes--title-52--52:14-17.29y}
9. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital and medical expense benefits shall provide coverage for expenses incurred in conducting digital tomosynthesis to detect or screen for breast cancer in women 40 years of age and over; and for diagnostic purposes in women of any age.
b. In the case of digital tomosynthesis conducted to detect or screen for breast cancer in women 40 years of age and over, no deductible, coinsurance or other cost sharing shall be applied; and in the case of digital tomosynthesis conducted for diagnostic purposes in women of any age, the same deductibles, coinsurance, and other cost sharing as apply to similar services under the contract shall be applied.
##### **§ 52:14-17.29z** SHBC to provide coverage for donated human breast milk. {#sec-52-14-17.29z omnilex-key=us-nj-statutes--title-52--52:14-17.29z}
9. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage for expenses incurred in the provision of pasteurized donated human breast milk, which may include human milk fortifiers if indicated by the prescribing licensed medical practitioner, provided that:
(1) the covered person is an infant under the age of six months;
(2) the milk is obtained from a human milk bank that meets quality guidelines established by the Department of Health ; and
(3) a licensed medical practitioner has issued an order for an infant who is medically or physically unable to receive maternal breast milk or participate in breast feeding or whose mother is medically or physically unable to produce maternal breast milk in sufficient quantities or participate in breast feeding despite optimal lactation support; or
(4) a licensed medical practitioner has issued an order for an infant who meets any of the following conditions:
(a) a body weight below healthy levels determined by the licensed medical practitioner;
(b) a congenital or acquired condition that places the infant at a high risk for development of necrotizing enterocolitis; or
(c) a congenital or acquired condition that may benefit from the use of donor breast milk as determined by the Department of Health.
b. Nothing in this section shall preclude the carrier from performing utilization review, including periodic review of the medical necessity of a particular service.
c. The benefits shall be provided to the same extent as for any other prescribed items under the contract.
d. If there is no supply of human breast milk that meets the requirements of paragraph (2) of subsection a. of this section, the carrier shall not be required to provide coverage of expenses pursuant to this section.
##### **§ 52:14-17.29aa** SHBC not to provide coverage for certain early elective deliveries. {#sec-52-14-17.29aa omnilex-key=us-nj-statutes--title-52--52:14-17.29aa}
4. a. Notwithstanding any other law or regulation to the contrary, the State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital and medical expense benefits shall not provide coverage for a non-medically indicated early elective delivery performed at a hospital on a pregnant woman earlier than the 39th week of gestation.
b. As used in this section, "non-medically indicated early elective delivery" means the artificial start of the birth process through medical interventions or other methods, also known as labor induction, or the surgical delivery of a baby via a cesarean section for purposes or reasons that are not fully consistent with established standards of clinical care as provided by the American College of Obstetricians and Gynecologists.
##### **§ 52:14-17.29bb** State Health Benefits Commission to provide coverage for standard fertility preservation services. {#sec-52-14-17.29bb omnilex-key=us-nj-statutes--title-52--52:14-17.29bb}
6. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage for standard fertility preservation services when a medically necessary treatment may directly or indirectly cause iatrogenic infertility.
For the purposes of this section:
"Iatrogenic infertility" means an impairment of fertility caused by surgery, radiation, chemotherapy, or other medical treatment affecting reproductive organs or processes.
"May directly or indirectly cause" means a medical treatment with a likely side effect of iatrogenic infertility as established by the American Society for Reproductive Medicine, the American Society of Clinical Oncology, or as defined by the New Jersey Department of Health.
"Standard fertility preservation services" means procedures consistent with established medical practices and professional guidelines published by the American Society for Reproductive Medicine, the American Society of Clinical Oncology, or as defined by the New Jersey Department of Health. "Standard fertility preservation services" shall not include the storage of sperm or oocytes.
The benefits shall be provided to the same extent as for any other medical condition under the contract. The same copayments, deductibles, and benefit limits shall apply to the provision of standard fertility preservation services pursuant to this section as those applied to other medical or surgical benefits under the contract.
b. The State Health Benefits Commission shall not purchase a contract that determines the provision of standard fertility preservation services based on a covered person's expected length of life, present or predicted disability, degree of medical dependency, perceived quality of life, or other health conditions, or based on personal characteristics, including age, sex, sexual orientation, marital status, or gender identity.
##### **§ 52:14-17.29cc** SHBC to provide coverage for breastfeeding support. {#sec-52-14-17.29cc omnilex-key=us-nj-statutes--title-52--52:14-17.29cc}
9. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage for comprehensive lactation support, counseling, and consultation, and the costs for renting or purchasing breastfeeding equipment, in conjunction with each birth, for the duration of breastfeeding for contract enrollees, with no cost-sharing.
b. Coverage of breastfeeding equipment shall include:
(1) Purchase of a single-user breast pump, subject to the following conditions:
(a) A contract shall cover the purchase of a double electric breast pump. If an enrollee requests a manual pump in lieu of the double electric breast pump, the contract shall cover the purchase of a manual pump.
(b) A double electric breast pump provided pursuant to this paragraph shall be of sufficient power and durability to establish and maintain milk supply for the duration of breastfeeding.
(c) A contract shall not require documentation of medical necessity, prior authorization, or a prescription for a breast pump provided pursuant to this paragraph.
(d) Coverage shall be available at any time during pregnancy and the postpartum period, and shall continue for the duration of breastfeeding as defined by the contract enrollee.
(e) Coverage for breast pumps shall include repair or replacement if necessary.
(2) Rental or purchase of a multi-user breast pump, on the recommendation of a licensed health care provider, subject to the following conditions:
(a) When recommended by a licensed health care provider, a contract shall provide coverage for a multi-user breast pump.
(b) A contract may provide for a determination as to whether a rental or purchase is covered.
(c) Coverage for a multi-user breast pump shall be covered without regard to coverage or acquisition of a single-user breast pump.
(d) A contract may provide for requirement of a letter of medical necessity from a lactation consultant or other health care provider for coverage of a multi-user pump. The letter shall not interfere with the timely acquisition of a multi-user pump.
(3) Coverage of breastfeeding equipment pursuant to this section shall include two breast pump kits per birth event, as well as appropriate size breast pump flanges, or other lactation accessories recommended by a health care provider.
(4) Breastfeeding equipment specified in paragraphs (1) and (3) of this subsection shall be furnished: within 48 hours of notification of need, if requested after the birth of the child; or by the later of two weeks before the enrollee's expected due date or 72 hours after notification, if requested prior to the birth of the child. If the enrollee does not receive breastfeeding equipment within 48 hours, the enrollee may purchase the equipment and the contract shall provide for reimbursement of all out-of-pocket expenses incurred by the enrollee, including any balance billing amounts.
(5) Breastfeeding equipment specified in paragraph (2) of this subsection shall be made available within 12 hours of notification of need. If equipment is not available within 12 hours of notification of need, the contract shall provide for reimbursement of all out-of-pocket rental expenses incurred by the enrollee, including any balance billing amounts, until the enrollee receives breastfeeding equipment.
c. Coverage of comprehensive lactation counseling and lactation consultation shall include:
(1) In-person, one-on-one lactation counseling and lactation consultation, subject to the following conditions:
(a) Coverage shall include visits that occur inside and outside a hospital or office setting. In-person lactation counseling and lactation consultation shall be covered regardless of location of service provision and shall include home visits.
(b) Lactation counseling and lactation consultation shall be made available within 24 hours of notification of need.
(2) Telephonic lactation assistance shall be covered in addition to, and not as a substitute for, in-person, one-on-one lactation counseling or lactation consultation, when an enrollee requests one-on-one, in-person lactation counseling or lactation consultation. The telephonic lactation assistance shall be provided within 12 hours of notification of need.
(3) Group lactation counseling shall be covered in addition to, and not as a substitute for, one-on-one, in-person lactation counseling or lactation consultation, if an enrollee requests one-on-one, in-person lactation counseling or lactation consultation. Group counseling shall include educational classes and support groups.
(4) A contract shall not require prior authorization, prescription or referral for any lactation counseling or lactation consultation, regardless of provider type or setting.
(5) A contract shall not impose medical management techniques not described in this section.
d. Except as otherwise authorized pursuant to this section, a contract shall not impose restrictions on the coverage provided pursuant to this section, including, but not limited to, limitations on reimbursement to allowable amounts or reasonable and customary charges, documentation requests, or delays on the coverage provided.
e. As used in this section:
"Cost-sharing" means deductible, co-insurance or co-payments, or similar charges.
"Breast pump kit" means a collection of tubing, valves, flanges, collection bottles, or other parts required to extract human milk using a breast pump.
"Lactation consultant" means an individual who is an International Board Certified Lactation Consultant.
"Lactation consultation" means the clinical application by a lactation consultant or other licensed health care provider of scientific principles and a multidisciplinary body of evidence for evaluation, problem identification, treatment, education, and consultation to child-bearing families utilizing lactation care and services.
Lactation care and services shall include, but not be limited to:
(1) lactation assessment through the systematic collection of subjective and objective data;
(2) analysis of data and creation of a plan of care;
(3) implementation of a lactation care plan with demonstration and instruction to parents and communication to the primary health care provider;
(4) evaluation of outcomes;
(5) provision of lactation education to parents and health care providers; and
(6) the recommendation and use of assistive devices.
"Lactation counseling" means breastfeeding education and support services provided by a lactation counselor, such as:
(1) educating women, families, health care professionals, and the community about the impact of breastfeeding and human lactation on health and what to expect in the normal course of breastfeeding;
(2) acting as an advocate for breastfeeding as the norm for feeding infants and young children;
(3) providing breastfeeding support, encouragement, and care from preconception to weaning in order to help women and their families meet their breastfeeding goals;
(4) using principles of adult education when teaching clients, health care providers, and others in the community; and
(5) identifying and referring high-risk mothers and
babies and those requiring clinical treatment appropriately.
"Lactation counselor" means an individual, other than an International Board Certified Lactation Consultant or a licensed health care provider, who is:
(1) licensed or certified to practice lactation counseling under any law, or who is an accredited member belonging to another profession or occupation, who provides breastfeeding education and support services for which that person is licensed, regulated, accredited, or certified; or
(2) a community-based lactation supporter who has received at least 40 hours of specialty education in breastfeeding and lactation, and who works within a lactation counselor's scope of practice.
"Telephonic lactation assistance" means lactation counseling or consultation with a lactation counselor or lactation consultant conducted remotely through live voice communication.
##### **§ 52:14-17.29dd** SHBC to cover preventive services. {#sec-52-14-17.29dd omnilex-key=us-nj-statutes--title-52--52:14-17.29dd}
9. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage, without requiring any cost sharing, for the following preventive services:
(1) evidence-based items or services that have in effect a rating of "A" or "B" in the current recommendations of the United States Preventive Services Task Force;
(2) immunizations that have in effect a recommendation from the Department of Health, which shall in making its recommendations consider the recommendations of the Advisory Committee on Immunization Practices of the Centers for Disease Control and Prevention in the federal Department of Health and Human Services and, as appropriate, the recommendations of the American Academy of Pediatrics, the American Academy of Family Physicians, the American College of Obstetricians and Gynecologists, and the American College of Physicians;
(3) with respect to infants, children, and adolescents, evidence-informed preventive care and screenings provided for in the comprehensive guidelines supported by the Health Resources and Services Administration; and
(4) with respect to women, any additional preventive care and screenings not described in paragraph (1) as provided for in the comprehensive guidelines supported by the Health Resources and Services Administration.
b. (1) Except as provided in paragraph (2) of this subsection, nothing in this section shall:
(a) require a contract which has a network of providers to provide benefits for items or services described in subsection a. of this section that are delivered by an out-of-network provider; or
(b) preclude a contract which has a network of providers from imposing cost-sharing requirements for items or services described in subsection a. of this section that are delivered by an out-of-network provider.
(2) If a contract does not have in its network a provider who can provide an item or service described in subsection a. of this section, the contract shall cover the item or service when performed by an out-of-network provider and shall not impose cost sharing with respect to that item or service.
c. (1) A contract shall provide coverage for an item or service described in subsection a. of this section for plan years that begin on or after the date that is one year after the date the recommendation or guideline is issued.
(2) (a) Except as provided in subparagraph (b) of this paragraph, a contract that is required to provide coverage for an item or service described in subsection a. of this section on the first day of a plan year shall provide coverage for that item or service through the last day of the plan year.
(b) The commissioner may remove a coverage requirement for an item or service during a plan year if the recommendation or guideline changes or is no longer described in subsection a. of this section.
d. With respect to an annual wellness visit for a covered member who is over three years of age, a contract is required to cover only one wellness visit per plan year or calendar year, as provided for under the contract, but may not impose a waiting period for the wellness visit.
##### **§ 52:14-17.29ee** State Health Benefit Commission to cover adolescent depression screenings. {#sec-52-14-17.29ee omnilex-key=us-nj-statutes--title-52--52:14-17.29ee}
9. The State Health Benefits Commission shall ensure that every contract purchased by the commission, on or after the effective date of this act, that provides hospital or medical expense benefits shall provide coverage for expenses incurred in screening adolescents between the ages of 12 and 18 for major depressive disorder, so long as screening for major depressive disorder in adolescents continues to receive a rating of "A" or "B" from the United States Preventative Services Task Force. Coverage shall not be denied solely on the basis that the screening is provided in conjunction with any other health care evaluation, treatment, or service.
The benefits shall be provided to the same extent as for any other condition under the contract, except that the contract shall not impose on covered persons receiving these services any form of cost sharing, including, but not limited to, copayments, deductibles, or coinsurance.
##### **§ 52:14-17.29ff** State Health Benefits Program, opioid antidote coverage. {#sec-52-14-17.29ff omnilex-key=us-nj-statutes--title-52--52:14-17.29ff}
3. a. Notwithstanding any law or regulation to the contrary, the State Health Benefits Commission and the School Employees' Health Benefits Commission shall ensure that every contract under the State Health Benefits Program shall provide coverage for an opioid antidote to eligible members of the State Health Benefits Program and the School Employees' Health Benefits Program. The coverage shall be provided without the imposition of any prior authorization or other utilization management requirements, provided that the treatment is:
(1) prescribed or administered to the eligible member by a licensed medical practitioner who is authorized to prescribe or administer that treatment pursuant to State and federal law; or
(2) dispensed to the eligible member by a licensed pharmacist under a standing order to dispense an opioid antidote pursuant to section 1 of P.L.2017, c.88 (C.45:14-67.2).
b. The provisions of this section shall not be construed to limit the coverage of an opioid antidote only when administered by a medical practitioner.
c. Each commission shall develop and issue guidelines to ensure the safety and efficacy of benefits provided pursuant to this section.
d. As used in this section:
"Opioid antidote" means naloxone hydrochloride, or any other similarly acting drug approved by the United States Food and Drug Administration for self-administration for the treatment of an opioid overdose.
##### **§ 52:14-17.29gg** SHBC to cover newborn home nurse visitation. {#sec-52-14-17.29gg omnilex-key=us-nj-statutes--title-52--52:14-17.29gg}
14. a. The State Health Benefits Commission shall provide benefits to each person covered under the State Health Benefits Program for expenses incurred for services provided under the newborn home nurse visitation program established pursuant to section 2 of P.L.2021, c.187 (C.26:2H-159). The benefits shall:
(1) provide coverage for the services provided by the newborn home nurse visitation program established pursuant to section 2 of P.L.2021, c.187 (C.26:2H-159);
(2) notify a covered person of the services provided by the newborn home nurse visitation program, upon application by the covered person for coverage of a newborn infant;
(3) ensure that the plan does not contain any provision that requires a covered person to receive the services provided by the newborn home nurse visitation program as a condition of coverage, or that denies or limits benefits to the covered person if that person declines the services provided under the program; and
(4) have the discretion to determine how best to reimburse for the expenses incurred for services provided under the newborn home nurse visitation program, including, but not limited to, utilizing:
(a) a value-based payment methodology;
(b) an invoice claim process;
(c) a capitated payment arrangement;
(d) a payment methodology that takes into account the need for an agency or organization providing services under the program to expand its capacity to provide services and address health disparities; or
(e) any other payment arrangement agreed to by the carrier and an agency or organization providing services under the program.
b. Any copayment, coinsurance, or deductible that may be required under the contract for such services shall be waived.
c. The State Health Benefits Commission shall submit to the Department of Children and Families, in a form and manner prescribed by the department, a report on the claims submitted for services provided under the newborn home nurse visitation program.
The information contained in the report shall be used by the department to assess the newborn home nurse visitation program pursuant to subsection a. of section 4 of P.L.2021, c.187 (C.26:2H-161).
d. (1) Except as provided in paragraphs (2) and (3) of this subsection, the contract shall specify that no deductible, coinsurance, copayment, or any other cost-sharing requirement may be imposed on the coverage required pursuant to this section.
(2) A contract provided by the State Health Benefits Commission that qualifies as a high deductible health plan shall provide benefits for expenses incurred for services provided under the newborn home nurse visitation program established pursuant to section 2 of P.L.2021, c.187 (C.26:2H-159) at the lowest deductible and other cost-sharing requirement permitted for a high deductible health plan under section 223(c)(2)(A) of the Internal Revenue Code (26 U.S.C. s.223).
(3) A contract provided by the State Health Benefits Commission that meets the requirements of a catastrophic plan, as defined in 45 C.F.R. s.156.155, shall provide benefits for expenses incurred for services provided under the newborn home nurse visitation program established pursuant to section 2 of P.L.2021, c.187 (C.26:2H-159) at the lowest deductible and other cost-sharing requirement to the extent permitted for a catastrophic plan under federal law.
e. The benefits shall be provided to the same extent as for any other medical condition under the contract.
##### **§ 52:14-17.29hh** SHBC, coverage for abortion, certain religious employers exemption. {#sec-52-14-17.29hh omnilex-key=us-nj-statutes--title-52--52:14-17.29hh}
4. A contract providing hospital or medical expense benefits purchased by the State Health Benefits Commission may provide coverage for abortion. A contract providing hospital or medical expense benefits purchased by the commission shall not exclude a provider from its network or otherwise restrict services from the provider solely on the basis that the provider is a religious employer, as defined in section 3 of P.L.2021, c.375 (C.26:2S-39), that refuses to provide abortion services.
##### **§ 52:14-17.29ii** Full-time firefighters to be screened for cancer. {#sec-52-14-17.29ii omnilex-key=us-nj-statutes--title-52--52:14-17.29ii}
1. a. A firefighter employed as a full-time paid employee of a fire department or unit of this State or a political subdivision of this State shall be provided a cancer screening examination conducted by a physician not less than three years after the start of the firefighter's employment as a firefighter and every three years thereafter during the course of the firefighter's employment. The examination shall include screening for, at a minimum and when applicable, the following cancers:
(1) colon;
(2) lung;
(3) bladder;
(4) oral;
(5) thyroid;
(6) skin;
(7) blood;
(8) breast;
(9) cervical
(10) testicular; and
(11) prostate.
b. Subsection a. of this section shall apply to a firefighter enrolled in the State Health Benefits Program as occupational coverage. For the purpose of this subsection, employment as a full-time paid employee of a fire department or unit of this State or a political subdivision of this State shall be a pre-existing condition.
c. (1) Notwithstanding the provisions of any other law, rule, or regulation to the contrary, beginning January 1, 2023 and for each plan year thereafter, a public employer that does not participate in the State Health Benefits Program shall provide health care benefits coverage for its employees that offers cancer screening examinations consistent with the requirement of subsection a. of this section. A public employer that does not participate in the State Health Benefits Program shall be eligible for payment from the State for the cost of providing benefits coverage for such examinations upon proof satisfactory to the Department of the Treasury that the examination has been performed by a physician; provided, however, at no time shall the cost being remitted to the public employer by the State for the full examination required under subsection a. of this section exceed $1,250 per three-year period for each firefighter.
(2) Notwithstanding the provisions of any other law, rule, or regulation to the contrary, beginning on the effective date of P.L.2024, c.15, a public employer that participates in the State Health Benefits Program shall provide coverage for cancer screening examinations consistent with the requirement of subsection a. of this section for an employee who is eligible for other health care coverage and waives coverage under the State Health Benefits Program to which the employee is entitled by virtue of employment with the employer. Such public employer shall be eligible for payment from the State for the cost of providing such examinations upon proof satisfactory to the Department of the Treasury that the examination has been performed by a physician; provided, however, at no time shall the cost being remitted to the public employer by the State for the full examination required under subsection a. of this section exceed $1,250 per three-year period for each firefighter.
No co-payment, deductible, coinsurance, or out-of-pocket expense shall be required for such examinations.
A public employer shall maintain adequate records to facilitate the reimbursement authorized pursuant to this subsection.
For the purpose of this subsection, employment as a full-time paid employee of a fire department or unit of this State or a political subdivision of this State shall be a pre-existing condition. There shall be an appropriation from the State General Fund in each annual appropriations act of such funds as necessary for the purposes of this section.
##### **§ 52:14-17.29jj** State Health Benefits Commission, contract, provide coverage for colorectal cancer screening. {#sec-52-14-17.29jj omnilex-key=us-nj-statutes--title-52--52:14-17.29jj}
9. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act, that provides hospital or medical expense benefits shall provide benefits to any person covered thereunder for expenses incurred in conducting a colorectal cancer screening in accordance with United States Preventive Services Task Force recommendations. The method and frequency of screening to be utilized shall be in accordance with the most recent published recommendations of the United States Preventive Services Task Force and as determined medically necessary by the covered person's physician, in consultation with the covered person.
b. No deductible, coinsurance, copayment, or any other cost-sharing requirement shall be imposed for a colonoscopy performed following a positive result on a non-colonoscopy, colorectal cancer screening test recommended by the United States Preventive Services Task Force.
c. The benefits shall be provided to the same extent as for any other medical condition under the contract.
##### **§ 52:14-17.29kk** State Health Benefits Commission, ensure, contract purchased, renewed, coverage, insulin for diabetes treatment. {#sec-52-14-17.29kk omnilex-key=us-nj-statutes--title-52--52:14-17.29kk}
25. The State Health Benefits Commission shall ensure that every contract purchased or renewed by the commission on or after the effective date of P.L.2023, c.105 (C.17:48-6xx et al.), shall provide coverage for health care services to a person covered thereunder for insulin for the treatment of diabetes, if recommended or prescribed by a participating physician or participating nurse practitioner/clinical nurse specialist. Coverage for the purchase of a short-acting, intermediate-acting, rapid-acting, long-acting, and pre-mixed insulin product shall not be subject to any deductible, and no copayment or coinsurance for the purchase of insulin shall exceed $35 per 30-day supply, except a contract provided by the State Health Benefits Commission that qualifies as a high-deductible health plan shall provide coverage for the purchase of insulin at the lowest deductible and other cost-sharing requirement permitted for a high-deductible health plan under section 223(c)(2)(A) of the federal Internal Revenue Code (26 U.S.C. s.223 (c)(2)(A)). The provisions of this section shall apply to a plan that meets the requirements of a catastrophic plan, as defined in 45 C.F.R. s.156.155, to the maximum extent permitted by federal law.
Nothing in this section shall prevent the State Health Benefits Commission from reducing an enrollee's cost-sharing requirement by an amount greater than the amount specified in this section or prevent the commission from utilizing formulary management, including a mandatory generic policy, to promote the use of lower-cost alternative generic drugs that are the therapeutic equivalent of the brand-name drug, which could result in the member's copay being higher than set forth in this section.
##### **§ 52:14-17.29ll** State Health Benefits Commission, ensure, contract purchased, renewed, coverage, epinephrine auto-injector device. {#sec-52-14-17.29ll omnilex-key=us-nj-statutes--title-52--52:14-17.29ll}
26. The State Health Benefits Commission shall ensure that every contract purchased or renewed by the commission on or after the effective date of P.L.2023, c.105 (C.17:48-6xx et al.), shall provide coverage for at least one epinephrine auto-injector device, if recommended or prescribed by a participating physician or participating nurse practitioner/clinical nurse specialist. Coverage for the purchase of an epinephrine auto-injector device shall not be subject to any deductible, and no copayment or coinsurance for the purchase of an epinephrine auto-injector device shall exceed $25 per 30-day supply, except a contract provided by the State Health Benefits Commission that qualifies as a high-deductible health plan shall provide coverage for the purchase of an epinephrine auto-injector device at the lowest deductible and other cost-sharing requirement permitted for a high-deductible health plan under section 223(c)(2)(A) of the federal Internal Revenue Code (26 U.S.C. s.223 (c)(2)(A)). The provisions of this section shall apply to a plan that meets the requirements of a catastrophic plan, as defined in 45 C.F.R. s.156.155, to the maximum extent permitted by federal law.
Nothing in this section shall prevent the State Health Benefits Commission from reducing a covered person's cost-sharing requirement by an amount greater than the amount specified in this section or prevent the commission from utilizing formulary management, including a mandatory generic policy, to promote the use of lower-cost alternative generic drugs that are the therapeutic equivalent of the brand-name drug, which could result in the member's copay being higher than set forth in this section.
##### **§ 52:14-17.29mm** State Health Benefits Commission, ensure, contract purchased, renewed, coverage, prescription asthma inhaler. {#sec-52-14-17.29mm omnilex-key=us-nj-statutes--title-52--52:14-17.29mm}
27. The State Health Benefits Commission shall ensure that every contract purchased or renewed by the commission on or after the effective date of P.L.2023, c.105 (C.17:48-6xx et al.), shall provide benefits to a person covered thereunder for expenses incurred for a prescription asthma inhaler, if recommended or prescribed by a participating physician or participating nurse practitioner/clinical nurse specialist. Coverage for the purchase of a covered prescription asthma inhaler shall not be subject to any deductible, and no copayment or coinsurance for the purchase of a covered prescription asthma inhaler shall exceed $50 per 30-day supply, except a contract provided by the State Health Benefits Commission that qualifies as a high-deductible health plan shall provide coverage for the purchase of a covered prescription asthma inhaler at the lowest deductible and other cost-sharing requirement permitted for a high-deductible health plan under section 223(c)(2)(A) of the Internal Revenue Code (26 U.S.C. s.223). The provisions of this section shall apply to a plan that meets the requirements of a catastrophic plan, as defined in 45 C.F.R. s.156.155, to the maximum extent permitted by federal law.
Nothing in this section shall prevent the State Health Benefits Commission from reducing a covered person's cost-sharing requirement by an amount greater than the amount specified in this section or prevent the commission from utilizing formulary management, including a mandatory generic policy, to promote the use of lower-cost alternative generic drugs that are the therapeutic equivalent of the brand-name drug, which could result in the member's copay being higher than set forth in this section.
##### **§ 52:14-17.29nn** Biomarker precision medical testing coverage, State Health Benefits Commission contracts. {#sec-52-14-17.29nn omnilex-key=us-nj-statutes--title-52--52:14-17.29nn}
9. a. The State Health Benefits Commission shall ensure that every contract providing hospital or medical expense benefits, which is purchased by the commission on or after the effective date of this act, provides coverage for biomarker precision medical testing, as defined by subsection e. of this section.
b. Biomarker precision medical testing shall be covered for the purposes of diagnosis, treatment, appropriate management, or ongoing monitoring of a disease or condition, excluding asymptomatic screening, to guide treatment decisions of a covered person when the efficacy and appropriateness of biomarker precision medical testing for the diagnosis, treatment, appropriate management, or guiding treatment decisions for a covered person's disease or condition is recognized by:
(1) labeled indications for an FDA-approved or -cleared test;
(2) indicated tests for an FDA-approved drug;
(3) actions to address warnings and precautions on FDA-approved drug labels;
(4) Centers for Medicare and Medicaid Services National Coverage Determinations or Medicare Administrative Contractor Local Coverage Determinations; or
(5) nationally recognized clinical practice guidelines.
c. Coverage, pursuant to subsection b. of this section, shall be provided in a manner that limits disruption, including multiple biopsies or biospecimen samples, in the care of a covered person.
d. (1) If utilization review is required, a decision shall be rendered pursuant to the guidelines and timeframes set forth in P.L.2023, c.296 (C.17B:30-55.1 et al.).
(2) The covered person and the treating health care provider or treating health care entity prescribing biomarker precision medical testing to the covered person shall have access to clear, readily accessible, and conspicuous information on the process to submit an appeal to an adverse determination.
e. As used in this section:
"Biomarker" means a characteristic that is objectively measured and evaluated as an indicator of normal biological processes, pathogenic processes, or pharmacologic responses to a specific therapeutic intervention, including known gene-drug interactions for medications being considered for use or already being administered. Biomarkers shall also include, but not be limited to, gene mutations, characteristics of genes, or protein expression.
"Biomarker precision medical testing" means the analysis of tissue, blood, or other biospecimen for the presence of a biomarker. Biomarker precision medical testing includes, but is not limited to, single-analyte tests, multiplex panel tests, protein expression, and whole exome, whole genome, and whole transcriptome sequencing.
"Nationally recognized clinical practice guidelines" means evidence-based clinical practice guidelines developed by independent organizations or medical professional societies utilizing a transparent methodology and reporting structure and with a conflict of interest policy. The guidelines establish standards of care informed by a systematic review of evidence and an assessment of the benefits and risks of alternative care options and include recommendations intended to optimize patient care.
##### **§ 52:14-17.29oo** State Health Benefits Commission, HIV preexposure prophylaxis, HIV postexposure prophylaxis. {#sec-52-14-17.29oo omnilex-key=us-nj-statutes--title-52--52:14-17.29oo}
12. a. (1) Except as provided in paragraph (2) of this subsection, the State Health Benefits Commission shall provide benefits to each person covered under the State Health Benefits Program for expenses incurred for HIV preexposure prophylaxis and HIV postexposure prophylaxis furnished without an individual prescription pursuant to the requirements of section 2 of P.L.2025, c.196 (C.45:14-67.13) without requiring prior authorization or step therapy.
(2) If the federal Food and Drug Administration has authorized or approved one or more therapeutic equivalents of a drug, device, or product for the prevention of HIV and AIDS, paragraph (1) of this subsection shall not be construed to require the contract to cover all therapeutically equivalent versions without prior authorization or step therapy, if at least one version is covered without prior authorization or step therapy.
b. The State Health Benefits Commission shall not:
(1) prohibit, or permit a delegated pharmacy benefits manager to prohibit, a pharmacist from dispensing HIV preexposure prophylaxis or HIV postexposure prophylaxis; and
(2) be required to cover HIV preexposure prophylaxis that has been furnished by a pharmacist without an individual prescription pursuant to pursuant to section 2 of P.L.2025, c.196 (C.45:14-67.13) in excess of a 90-day supply for a single patient within a given two year period.
c. Nothing in this section shall be construed to require the State Health Benefits Commission to provide coverage for HIV preexposure prophylaxis or HIV postexposure prophylaxis furnished by a pharmacist at an out-of-network pharmacy, unless the contract has an out-of-network pharmacy benefit.
d. The benefits shall be provided to the same extent as for any other medical condition under the contract.
e. As used in this section:
“HIV preexposure prophylaxis” means the same as that term is defined in section 1 of P.L.2025, c.196 (C.45:14-67.12).
“HIV postexposure prophylaxis” means the same as that term is defined in section 1 of P.L.2025, c.196 (C.45:14-67.12).
“Step therapy” means requiring that a lower-cost alternative to HIV preexposure prophylaxis or HIV postexposure prophylaxis be shown to have been ineffective as a condition of providing prescription benefits.
##### **§ 52:14-17.29pp** Benefits provided under contracts purchased by the State Health Benefits Commission. {#sec-52-14-17.29pp omnilex-key=us-nj-statutes--title-52--52:14-17.29pp}
9. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of P.L.2025, c.200 (C. 17:48-6bbb et al.), that provides hospital or medical expense benefits shall provide benefits to any person covered thereunder for expenses incurred in obtaining medically necessary treatment for women with a diagnosis of perimenopause, menopause, and symptoms associated with perimenopause and menopause, including, but not limited to:
(1) hormonal therapies such as hormone replacement therapy and bioidentical hormone treatments;
(2) non-hormonal treatments, including medications to manage menopausal symptoms;
(3) behavioral health care services;
(4) pelvic floor physical therapy;
(5) bone health treatments, including screenings and medications due to hormonal changes related to perimenopause and menopause;
(6) preventative services that have a rating of “A” or “B” in the current recommendations of the United States Preventive Services Task Force for early detection and treatment of health conditions related to perimenopause and menopause such as osteoporosis and cancer; and
(7) counseling and education regarding menopause management.
b. The State Health Benefits Commission shall ensure that each contract shall provide clear and accessible information to a covered person regarding covered perimenopause and menopause treatments.
c. The benefits shall be provided to the same extent as for any other medical condition under the contract.
d. As used in this section:
“Menopause” means the permanent end of a female’s menstrual cycle, diagnosed by a licensed medical provider after 12 consecutive months without a menstrual period.
“Perimenopause” means the transitional period leading to menopause, marked by fluctuating hormone levels and changes in menstrual cycles.
##### **§ 52:14-17.29qq** Contracts purchased by the State Health Benefits Commission, behavioral health, children. {#sec-52-14-17.29qq omnilex-key=us-nj-statutes--title-52--52:14-17.29qq}
2. a. The State Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital and medical expense benefits shall provide benefits to any covered person for medical expenses incurred in the screening, prevention, and treatment services of behavioral health issues in children. The contract shall allow for acceptance and reimbursement of claims for screening, prevention, and treatment using an at-risk diagnosis.
b. The benefits shall be provided to the same extent as for any other service, drug, device, product, or procedure under the contract.
c. As used in this section:
“At-risk diagnosis” means a diagnosis made after consideration of factors influencing behavioral health and child development, such as family circumstances or life challenges, that does not lead to a formal mental health diagnosis and, instead, promotes preventive care. Allowing providers to bill for an “at-risk diagnosis” authorizes providers to use an alternative code, including a Social Determinants of Health Z-code, to the codes of the American Psychiatric Association Diagnostic and Statistical Manual of Mental Disorders or the Diagnostic Classification of Mental Health and Developmental Disorders of Infancy and Early Childhood when billing for services, without a formal mental health diagnosis, for children who are 18 years of age or younger.
“Screening, prevention, and treatment” includes the prevention and early identification of mental health conditions without a behavioral health diagnosis. Services may include, but are not limited to, screenings and individual, group, and family psychotherapy to individuals with potential mental health disorders not yet diagnosed.
##### **§ 52:14-17.30** State payment of premium, periodic charges. {#sec-52-14-17.30 omnilex-key=us-nj-statutes--title-52--52:14-17.30}
6. a. For each active covered State employee and for the eligible dependents the employee may have enrolled at the employee's option, the State, from funds appropriated therefor, shall pay its share of the premium or periodic charges for the benefits provided under the contract purchased by the commission pursuant to subsection a. of section 4 of P.L.1961, c.49 (C.52:14-17.28).
An employee may, on an optional basis, enroll the employee's dependents for coverage under the contract subject to such regulations and conditions as the commission and the carrier may prescribe.
b. There is hereby created a health benefits fund. Said fund shall be used to pay the premiums or periodic charges for which the State is responsible under this act.
c. The fund shall contain a dedicated subaccount reserved for payment of claims and other health services fees for covered health services and prescription drug benefits provided to covered State employees and their enrolled eligible dependents. Except as permitted pursuant to section 2 of P.L.2024, c.86 (C.52:14-17.42a), no person shall use or authorize the use of the assets in the subaccount, or the investment earnings thereon, for any purpose other than for the provision of benefits in accordance with the terms of the State Health Benefits Program and for defraying the reasonable costs of administering the subaccount.
A third-party medical claims reviewer, procured pursuant to section 2 of P.L.2019, c.143 (C.52:14-17.30b), shall, in the performance of services for the program, act in the best interests of the State, participating employers, and covered State employees and their enrolled eligible dependents. Nothing in this subsection shall be construed as subjecting the program, its plans, the State, or any participating employer to the provisions of the "Employee Retirement Income Security Act of 1974" (29 U.S.C. s.1001 et seq.).
The third-party medical claims reviewer shall collect, store and maintain a secure archive of medical and prescription drug claims data and other health services payment information and provide such data and other reports in compliance with applicable State and federal laws, including the "Health Insurance Portability and Accountability Act of 1996," Pub.L.104-191, to document the cost and nature of claims incurred, demographic information on the covered population, emerging utilization and demographic trends, and such other information as may be available to assist in the governance of the program and in timely response to any requests from the Governor, the State Treasurer, the Division of Pensions and Benefits, the State Health Benefits Commission, the State Health Benefits Plan Design Committee, the President of the Senate, and the Speaker of the General Assembly. Such claims data shall include, but not be limited to, for each claim, the claim number, provider information, amount charged, amount paid, and the Current Procedural Terminology (CPT) code. The State Health Benefits Commission, the State Health Benefits Plan Design Committee, the State Treasurer, or the Division of Pensions and Benefits may direct the third-party medical claims reviewer to provide appropriate medical and prescription drug claims and other health services payment data to a health care services provider or other authorized entity, in compliance with applicable State and federal laws, including the "Health Insurance Portability and Accountability Act of 1996," Pub.L.104-191, for the specific purpose of improving the quality and value of health care services delivered to program participants.
The State Treasurer shall deposit into the subaccount the moneys necessary to accomplish the purposes of this subsection, including moneys paid by employers participating in the program, and contributed by employees and retirees of the State and employees and retirees of employers other than the State participating in the program. Deposits and contributions to the subaccount shall be applied to the distribution of payments for the costs of health care services and prescription drug benefits and to fund the reasonable costs of administering the subaccount. Assets in the subaccount shall be expended or withdrawn, and deposits and withdrawals shall be reconciled, in accordance with regulations and procedures adopted pursuant to this subsection.
Moneys in the subaccount shall be invested in permitted investments or shall be held in interest-bearing accounts in such depositories as the State Treasurer may select, and may be invested and reinvested in permitted investments or invested and reinvested in the same manner as other accounts in the custody of the State Treasurer as provided by law. All interest or other income or earnings derived from the investment or reinvestment of moneys in the subaccount shall be credited thereto and shall be determined on an aggregate basis for all participating employers.
The State Treasurer shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), such rules and regulations as may be necessary to implement the provisions of this act, P.L.2019, c.143 (C.52:14-17.30a et al.).
##### **§ 52:14-17.30a** Findings, declarations relative to health care costs. {#sec-52-14-17.30a omnilex-key=us-nj-statutes--title-52--52:14-17.30a}
1. The Legislature finds and declares that:
a. The cost of health care in this country has been increasing at a pace that will make our current system of health care delivery unsustainable on its present trajectory.
b. As health care costs continue to rise more quickly than the average annual income, those costs displace other priorities for individuals, such as saving for retirement or their children's education, and even discourage people from obtaining recommended health care. The litany of research in this area has demonstrated that all necessary action must be taken to reduce costs wherever possible.
c. One way to reduce costs is to increase the oversight that a self-insured employer, such as the State, exercises over health care programs, as occurs when hiring a third-party medical claims reviewer to examine claims processing.
d. Hiring a third-party medical claims reviewer to provide regular, frequent, and ongoing review and oversight of the claims process, which process includes, but is not limited to, the receipt, management, adjudication, and payment of claims, serves the best interests of the State, participating employers, and the thousands of employees and their dependents covered under the State Health Benefits Program and the School Employees' Health Benefits Program. A third-party medical claims reviewer would act in the best interests of the State, participating employers, and program participants, work toward identifying and eliminating systemic errors, recover overpayments, and ensure that only the required and appropriate amounts due and owing on claims are paid as a result of proper adjudication.
e. For the purpose of facilitating greater efficiency and transparency in the adjudication of health benefits claims to State employees, their eligible family members, and participating local government and education employees and their eligible family members, the State of New Jersey deems it fitting and crucial to procure a third-party medical claims reviewer expeditiously, with a goal for implementation in the plan year beginning in January of 2020.
##### **§ 52:14-17.30b** Contract for services of a third-party medical claims reviewer. {#sec-52-14-17.30b omnilex-key=us-nj-statutes--title-52--52:14-17.30b}
2. a. Notwithstanding the provisions of any other law to the contrary, a contract for the services of a third-party medical claims reviewer for the State Health Benefits Program and the School Employees' Health Benefits Program shall be procured in an expedited process and in the manner provided by this section.
b. The Division of Purchase and Property in the Department of the Treasury shall procure, without the need for formal advertisement, but through the solicitation of proposals from professional services vendors, a third-party medical claims reviewer, which shall be responsible for the strict oversight of the adjudication and processing of direct payments for health care services rendered to participants in the State Health Benefits Program and School Employees' Health Benefits Program. The third-party medical claims reviewer shall perform all duties in accordance with all applicable State and federal laws and with the rules and regulations issued by the State Treasurer and the State Health Benefits Commission and the School Employees' Health Benefits Commission, and shall act in the best interests of the State, participating employers, and covered persons under the programs. The third-party medical claims reviewer shall not be the carrier, or a subsidiary, related party, or affiliate thereof, with which the State has contracted pursuant to section 4 of P.L.1961, c.49 (C.52:14-17.28) or section 35 of P.L.2007, c.103 (C.52:14-17.46.5) for the provision of hospital, surgical, obstetrical, and other covered health care services and benefits or for the provider networks for those services. The third-party medical claims reviewer shall not exercise any authority over the provision of health care benefits for Medicare-eligible retirees. The contract awarded for the services of the third-party medical claims reviewer may include provisions permitting the compensation of the third-party medical claims reviewer based upon a percentage of the costs recovered by the State as a result of the information provided by the third-party medical claims reviewer in the performance of its duties.
c. Notwithstanding the provisions of any other law to the contrary, for the purpose of expediting the procurement of a third-party medical claims reviewer, the following provisions shall apply as modifications to law or regulation that may interfere with the expedited procurement:
(1) the timeframes for challenging the specifications shall be modified as determined by the division;
(2) in lieu of advertising in accordance with sections 2, 3, and 4 of P.L.1954, c.48 (C.52:34-7, C.52:34-8, and C.52:34-9), the division shall advertise the request for proposals for the above service and any addenda thereto on the division's website;
(3) the period of time that the State Comptroller has to review the request for proposals for the procurement of a third-party medical claims reviewer for compliance with applicable public contracting laws, rules, and regulations, pursuant to section 10 of P.L.2007, c.52 (C.52:15C-10), shall be 10 business days or less if practicable, as determined by the State Comptroller;
(4) the timeframes for submission under section 4 of P.L.2012, c.25 (C.52:32-58) and section 1 of P.L.1977, c.33 (C.52:25-24.2) shall be extended to prior to the issuance of a Notice of Intent to Award;
(5) the provisions of section 1 of P.L.2005, c.92 (C.52:34-13.2) shall not apply to technical and support services, under this section, provided by a vendor using a "24/7 follow-the-sun model" as long as the contractor is able to provide such services in the United States during the business day; and
(6) the term "bids" in subparagraph (f) of subsection a. of section 7 of P.L.1954, c.48 (C.52:34-12) shall not include pricing which will be revealed to all responsive bidders during the negotiation process.
d. The division may, to the extent necessary, waive or modify any requirement under any other law or regulation that may interfere with the expeditious procurement of this service.
e. Upon the expiration of the initial contract for a third-party medical claims reviewer procured pursuant to subsection b. of this section, the procurement of such service thereafter shall be required and in accordance with P.L.1954, c.48 (C.52:34-6 et seq.) and any other applicable law governing the awarding of public contracts by a State agency.
##### **§ 52:14-17.30c** Contract entered, State Health Benefits Commission, School Employees' Health Benefits Commission, vendor, compliance, time frames. {#sec-52-14-17.30c omnilex-key=us-nj-statutes--title-52--52:14-17.30c}
25. Following the effective date of P.L.2023, c.296 (C.17B:30-55.1 et al.), a contract entered into by the State Health Benefits Commission or the School Employees' Health Benefits Commission with a vendor for claims administration, network management, claims processing, or other related services shall require that the vendor comply with the time frames for providing information concerning utilization management and the processing and payment of claims pursuant to the provisions of section 5 of P.L.2023, c.296 (C.17B:30-55.4) and the time frames governing prior and concurrent authorization pursuant to sections 7, 8, 10, 11, 12, and 15 of P.L.2023, c.296 (C.17B:30-55.6 et al.); provided, however, nothing in P.L.2023, c.296 (C.17B:30-55.1 et al.) shall be construed to limit the authority of, or process followed by, the third-party medical claims reviewer of the commissions or the requirements imposed on carriers with which the commissions' contract pursuant to the provisions of P.L.2019, c.143 (C.52:14-17.30 et al.).
##### **§ 52:14-17.31** Effective date of coverage; rules, regulations; information provided to division. {#sec-52-14-17.31 omnilex-key=us-nj-statutes--title-52--52:14-17.31}
7. The coverage provided solely for employees shall, subject to the provisions below, automatically become effective for all eligible employees from the first day on or after the effective date of the program on which they satisfy the definition of "employee" contained in this act. The commission shall establish the rules and regulations governing the enrollment and effective dates of coverage of dependents of employees it deems necessary or desirable. The rules and regulations shall not defer coverage with respect to any qualified dependent an employee has on the date the employee's employer becomes a participating employer, provided the employee was, immediately prior to the date, insured with respect to the dependent under a group insurance plan of the employer which was in effect immediately prior to the date. Under the rules and regulations established by the commission, each employee shall be given the opportunity to enroll for coverage for dependents as of the earliest date the employee becomes eligible for enrollment. With respect to the traditional plan, an employee may elect to enroll dependents for both basic coverage and major medical expense coverage but may not enroll for either coverage alone.
In the event that the group health plan which covered an employee or dependents immediately prior to the date the employee's employer becomes a participating employer provides, after termination of coverage thereunder, any continuation of benefits, or would so provide in the absence of coverage pursuant to this act, no coverage shall be afforded pursuant to this act for any such expenses (i) which are covered, or which would be covered in the absence of coverage pursuant to this act, in whole or in part, by the prior insurance plan or (ii) which may be used in satisfaction of any deductible requirement under the prior insurance plan to establish entitlement to the continuation of benefits.
Each employee shall furnish the Division of Pensions and Benefits, in the prescribed form, the information necessary on account of the employee's own coverage and necessary to enroll dependents. Any employee not desiring coverage at the time the employee first becomes eligible, shall give the division written notice of that fact in the form prescribed by the division. The employee may not enroll thereafter except at the times and under the conditions prescribed by the commission.
Any person employed as a substitute teacher by a school district and who provides evidence of coverage under another health benefits program may waive coverage for the current school year on or after the date on which the person becomes an employee eligible for coverage.
Multiple coverage in the program as an employee, dependent, or retiree shall be prohibited and the prohibition shall be implemented in accordance with the rules and regulations promulgated by the commission. The provisions of this paragraph shall be applicable to the State Health Benefits Program and to the School Employees' Health Benefits Program to the extent not inconsistent with the provisions of sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 et seq.).
##### **§ 52:14-17.31a** Employee permitted to waive benefits coverage under SHBP. {#sec-52-14-17.31a omnilex-key=us-nj-statutes--title-52--52:14-17.31a}
36. a. Notwithstanding the provisions of any other law to the contrary, an employer other than the State which participates in the State Health Benefits Program, established pursuant to P.L.1961, c.49 (C.52:14-17.25 et seq.), may allow any employee who is eligible for other health care coverage to waive coverage under the State Health Benefits Program to which the employee is entitled by virtue of employment with the employer. The waiver shall be in such form as the Director of the Division of Pensions and Benefits shall prescribe and shall be filed with the division. After such waiver has been filed and for so long as that waiver remains in effect, no premium shall be required to be paid by the employer for the employee or the employee's dependents. Not later than the 180th day after the date on which the waiver is filed, the division shall refund to the employer the amount of any premium previously paid by the employer with respect to any period of coverage which followed the filing date.
b. Notwithstanding the provisions of any other law to the contrary, the State as an employer, or an employer that is an independent authority, commission, board, or instrumentality of the State which participates in the State Health Benefits Program, may allow any employee who is eligible for other health care coverage that is not under the State Health Benefits Program to waive the coverage under the State Health Benefits Program to which the employee is entitled by virtue of employment with the employer. The waiver shall be in such form as the Director of the Division of Pensions and Benefits shall prescribe and shall be filed with the division.
c. In consideration of filing a waiver as permitted in subsections a. and b. of this section, an employer may pay to the employee annually an amount, to be established in the sole discretion of the employer, which shall not exceed 50% of the amount saved by the employer because of the employee's waiver of coverage, and, for a waiver filed on or after the effective date of P.L.2010, c.2, which shall not exceed 25%, or $5,000, whichever is less, of the amount saved by the employer because of the employee's waiver of coverage. An employee who waives coverage shall be permitted to immediately resume coverage if the employee ceases to be eligible for other health care coverage for any reason, including, but not limited to, the retirement or death of the spouse or divorce. An employee who resumes coverage shall repay, on a pro rata basis, any amount received from the employer which represents an advance payment for a period of time during which coverage is resumed. An employee who wishes to resume coverage shall notify the employer in writing and file a declaration with the division, in such form as the director of the division shall prescribe, that the waiver is revoked. The decision of an employer to allow its employees to waive coverage and the amount of consideration to be paid therefor shall not be subject to the collective bargaining process.
##### **§ 52:14-17.31.1** Effective dates of coverage, State Health Benefits Program, Rutgers, The State University of New Jersey. {#sec-52-14-17.31.1 omnilex-key=us-nj-statutes--title-52--52:14-17.31.1}
1. Notwithstanding the provisions of any other law, rule, or regulation to the contrary, an eligible resident or fellow physician employed by Rutgers, The State University of New Jersey, including University Hospital, and that person's dependents, shall be eligible to enroll for health care coverage under the State Health Benefits Program on the first day of employment if that employment begins on or after the effective date of this act, P.L.2025, c.87 (C.52:14-17.31.1). An eligible resident or fellow physician who is employed by Rutgers, The State University of New Jersey, including University Hospital, on the effective date of this act, and that person's dependents, shall be eligible to enroll for health care coverage under the State Health Benefits Program immediately on that effective date.
##### **§ 52:14-17.32** Health care benefits for retirees. {#sec-52-14-17.32 omnilex-key=us-nj-statutes--title-52--52:14-17.32}
8. a. The health care benefits coverage of any employee, and the employee's dependents, if any, shall cease upon the discontinuance of the term of office or employment or upon cessation of active full-time employment subject to such regulations as may be prescribed by the commission for limited continuance of coverage during disability, part-time employment, leave of absence or layoff, and for continuance of coverage after retirement, any such continuance after retirement to be provided at such rates and under such conditions as shall be prescribed by the commission, subject, however, to the requirements hereinafter set forth in this section. Notwithstanding the provisions of any law to the contrary, for law enforcement officers employed by the State for whom there is a majority representative for collective negotiation purposes, and for nonaligned sworn members of the Division of State Police who retire after July 1, 2005, the coverage options available to such employees in retirement shall be limited to those options that were available to the employee on the employee's last day of employment. The commission may also establish regulations prescribing an extension of coverage when an employee or dependent is totally disabled at termination of coverage.
b. Rates payable by retired employees for themselves and their dependents, by active employees for dependents covered by Medicare benefits, and by the State or other employer for an active employee alone covered by Medicare benefits, shall be determined on the basis of utilization experience according to classifications determined by the commission, provided, however, that the total rate payable by such retired employee for the employee and the employee's dependents, or by such active employee for the employee's dependents and the State or other employer for such active employee alone, for coverage hereunder and for Part B of Medicare, shall not exceed by more than 25%, as determined by the commission, the total amount which would have been required to have been paid by the employee and by the State or other employer for the coverage maintained had the employee continued in office or active employment and the employee and the employee's dependents were not eligible for Medicare benefits. "Medicare" as used in this act means the coverage provided under Title XVIII of the Social Security Act as amended in 1965, or its successor plan or plans.
c. (1) From funds appropriated therefor, the State shall pay the premium or periodic charges for the benefits provided to a retired State employee and the employee's dependents covered under the program, but not including survivors, if such employee retired from one or more State or locally-administered retirement systems on a benefit or benefits based in the aggregate on 25 years or more of nonconcurrent service credited in the retirement systems, excluding service credited under the Defined Contribution Retirement Program established pursuant to P.L.2007, c.92 (C.43:15C-1 et al.), and excepting the employee who elected deferred retirement, but including the employee who retired on a disability pension based on fewer years of service credited in the retirement systems and shall also reimburse such retired employee for the premium charges under Part B of the federal Medicare program covering the retired employee and the employee's spouse. In the case of full-time employees of the Rutgers University Cooperative Extension Service, service credited in the federal Civil Service Retirement System (5 U.S.C.s.8331 et seq.) which was earned as a result of full-time employment at Rutgers University, may be considered alone or in combination with service credited in one or more State or locally-administered retirement systems for the purposes of establishing the minimum 25-year service requirement to qualify for the benefits provided in this section. Any full-time employee of the Rutgers University Cooperative Extension Service who meets the eligibility requirements set forth in this amendatory act shall be eligible for the benefits provided in this section, provided that at the time of retirement such employee was covered by the State Health Benefits Program and elected to continue such coverage into retirement.
(2) Notwithstanding the provisions of this section to the contrary, from funds appropriated therefor, the State shall pay the premium or periodic charges for the benefits provided to a retired State employee and the employee's dependents covered under the program, but not including survivors, if: (a) the employee retires on or after the effective date of this 1987 amendatory act; (b) the employee was employed by Rutgers University prior to January 2, 1955 and remained in continuous service with Rutgers University until retirement even though the employee (i) did not join a State-administered retirement system, or, (ii) became a member of a State-administered retirement system, but accumulated less than 25 years of credited service; and (c) the employee is covered by the program at the time of retirement.
(3) Notwithstanding the provisions of this section to the contrary, in the case of an employee of a State college, as described in chapter 64 of Title 18A of the New Jersey Statutes, or of a county college, as defined in N.J.S.18A:64A-1, service credited in a private defined contribution retirement plan which was earned as an employee of an auxiliary organization, as defined in section 2 of P.L.1982, c.16 (C.18A:64-27), at a State or county college shall be considered in combination with service credited in a State-administered retirement system for the purposes of establishing the minimum 25-year service requirement to qualify for the benefits provided in this section, provided that the employee is covered by the program at the time of retirement.
(4) Notwithstanding the provisions of this section to the contrary, from funds appropriated therefor, the State shall pay the premium or periodic charges for the benefits provided to a retired State employee and any dependents covered under the program, but not including survivors, if the employee: (a) retired prior to the effective date of P.L.1997, c.335 (C.52:14-17.32), under the State Police Retirement System, established pursuant to P.L.1965, c.89 (C.53:5A-1 et seq.), with more than 20 but less than 25 years of service credit in the retirement system; (b) was subsequently employed by the State in another position or positions not covered by the State Police Retirement System; (c) has, in the aggregate, at least 30 years of full-time employment with the State; and (d) is covered by the program at the time of terminating full-time employment with the State.
##### **§ 52:14-17.32a1** Funding of health care benefits for retired State employees under C.52:14-17.25 et seq. {#sec-52-14-17.32a1 omnilex-key=us-nj-statutes--title-52--52:14-17.32a1}
48. Effective July 1, 2007, health care benefits for retired State employees and their dependents for which the State is required to pay the premiums or periodic charges under the "New Jersey State Health Benefits Program Act," P.L.1961, c.49 (C.52:14-17.25 et seq.), shall be funded and paid by the State through a separate fund established in the Department of the Treasury. Beginning with the valuation period ending June 30, 2007, the Director of the Division of Pensions and Benefits shall annually compute a contribution to fund these health care benefits which shall be the amount necessary to pay the anticipated premiums or periodic charges for the benefits for the following valuation period and to provide that the balance in the fund as of the end of the following valuation period shall be increased by 3/5 of 1% of the salary of the active members for the valuation period. If the assets in the fund are insufficient to pay the premiums or periodic charges for the benefits, they shall be paid directly by the State. Nothing herein above shall alter health care benefits for qualified retirees and their dependents or relieve the State from its acknowledged obligation to fund the benefits.
##### **§ 52:14-17.32b** Cessation of active full-time employment; payment of premiums {#sec-52-14-17.32b omnilex-key=us-nj-statutes--title-52--52:14-17.32b}
The cessation of active full-time employment shall be deemed to occur on the last day of the coverage period for which premiums have been paid and such premiums will be required if the employee receives payment for any service rendered in the coverage period.
##### **§ 52:14-17.32c** Coverage for employee paid on 10-month basis pursuant to annual contract {#sec-52-14-17.32c omnilex-key=us-nj-statutes--title-52--52:14-17.32c}
For purposes of State and local employer coverage, an employee paid on a 10-month basis, pursuant to an annual contract, and who terminates his service with the employer at the end of the contract year, having served during all of the months of the year as prescribed by his contract, shall be entitled to coverage comparable to that of an employee paid on a 12-month basis. Coverage for these employees and their dependents will continue during the 2 months of the year in which they are not paid provided that proper payment is made for dependent coverage as may be required by the State or participating employer.
##### **§ 52:14-17.32d** Leave of absence for illness without pay; continuance of coverage; payment of premium {#sec-52-14-17.32d omnilex-key=us-nj-statutes--title-52--52:14-17.32d}
Notwithstanding any other regulation or statutory authority pertaining to the continuation of coverage for those on an approved leave of absence, the coverage of any eligible State employee and of his dependents, if any, during any period of authorized leave of absence for illness without pay, shall be continued for a period of as much as 3 months or the equivalent number of payroll periods for those not reported on a monthly basis; such period shall commence following the last payroll period or month for which the employee receives a salary payment. The premium for the coverage extended for such period of leave of absence shall be paid for by the State.
##### **§ 52:14-17.32e** Termination of coverage; continuance upon payment of premium by employee {#sec-52-14-17.32e omnilex-key=us-nj-statutes--title-52--52:14-17.32e}
The coverage of an eligible State employee and of his dependents, if any, during any period of authorized leave of absence without pay shall terminate on the last day of the coverage period for which premiums have been paid; provided, however, the coverage of the employee and the employee's dependents may be continued by such employee, if the employee shall pay in advance the total premium required for the employee's coverage and the coverage of the employee's dependents during such period of authorized leave of absence without pay; provided, further, that no period of such continued coverage shall exceed a total of 9 months, or the equivalent number of payroll periods for those not reported on a monthly basis, during which the employee receives no pay.
##### **§ 52:14-17.32f** Retired teachers' eligibility, limitation. {#sec-52-14-17.32f omnilex-key=us-nj-statutes--title-52--52:14-17.32f}
3. A qualified retiree from the Teachers' Pension and Annuity Fund (N.J.S.18A:66-1 et seq.) and dependents of a qualified retiree, but not including survivors, are eligible to participate in the State Health Benefits Program until June 30, 2008, and beginning July 1, 2008, in the School Employees' Health Benefits Program, regardless of whether the retiree's employer participated in the program.
A qualified retiree is a retiree who:
a. Retired on a benefit based on 25 or more years of service credit;
b. Retired on a disability pension based on fewer years of service credit; or
c. Elected deferred retirement based on 25 or more years of service credit and who receives a retirement allowance.
The program shall reimburse a qualified retiree who participates in the program for the premium charges under Part B of the federal Medicare program for the retiree and the retiree's spouse. A qualified retiree who retired under subsections a. and b. of this section prior to the effective date of this 1987 amendatory and supplementary act is eligible for the coverage if the retiree applies to the program for it within one year after the effective date, and a qualified retiree as defined under subsection c. of this section whose retirement allowance commenced prior to the effective date of this 1992 amendatory act is eligible for the coverage if the retiree applies to the program for it within one year after the effective date.
The premium or periodic charges for benefits provided to a qualified retiree and the dependents of the retiree, and the cost for reimbursement of Medicare premiums shall be paid by the State. An employee who becomes a member of the Teachers' Pension and Annuity Fund on or after the effective date of P.L.2010, c.2 shall pay as a qualified retiree 1.5 percent of the retiree's monthly retirement allowance, including any future cost-of-living adjustments, through the withholding of the contribution, for health benefits coverage provided under P.L.2007, c.103 (C.52:14-17.46.1 et seq.) and the State shall pay the remainder of the premium or periodic charges for benefits provided to a qualified retiree and the dependents of the retiree, and the cost for reimbursement of Medicare premiums.
##### **§ 52:14-17.32f1** Applicability of C.52:14-17.32f. {#sec-52-14-17.32f1 omnilex-key=us-nj-statutes--title-52--52:14-17.32f1}
2. The provisions of section 3 of P.L.1987, c.384 (C.52:14-17.32f) shall apply to:
a. any employee of a board of education who retires on a benefit or benefits based in the aggregate upon 25 or more years of nonconcurrent service credit in one or more State or locally-administered retirement systems, or retires on a disability pension based upon fewer years of service credit in that system or systems, or elected deferred retirement based in the aggregate upon 25 or more years of nonconcurrent service credit in one or more State or locally-administered retirement systems and receives a retirement allowance from that system or systems;
b. any employee of a county college who retires on a benefit or benefits based in the aggregate upon 25 or more years of nonconcurrent service credit in one or more State or locally-administered retirement systems, or retires on a disability pension based upon fewer years of service credit in that system or systems, or elected deferred retirement based in the aggregate upon 25 or more years of nonconcurrent service credit in one or more State or locally-administered retirement systems and receives a retirement allowance from that system or systems; or who receives a disability benefit pursuant to section 18 of P.L.1969, c.242 (C.18A:66-184); and
c. any employee of a county college who retires on a benefit based upon 10 or more years of service credit in the alternate benefit program P.L.1969, c.242 (C.18A:66-167 et seq.) and who has additional years of service credited in another defined contribution retirement program as an employee of a private institution of higher education which, under contract with a county government, provided services as a county college and subsequently merged with a county technical institute to become a county college, which additional years of service when added to the service credited in the alternate benefit program totals 25 or more years and any such employee who retired prior to the effective date of P.L.1999, c.382 if the employee applies to the program for coverage within one year after the effective date of P.L.1999, c.382.
The costs of the premium or periodic charges for the benefits and reimbursement of medicare premiums provided to a retiree and the dependents of the retiree under this section shall be paid by the State. An employee who becomes a member of a State or locally-administered retirement system on or after the effective date of P.L.2010, c.2 shall pay as a qualified retiree 1.5 percent of the retiree's monthly retirement allowance, including any future cost-of-living adjustments, through the withholding of the contribution, for health benefits coverage provided under P.L.2007, c.103 (C.52:14-17.46.1 et seq.) and the State shall pay the remainder of the premium or periodic charges for benefits provided to a qualified retiree and the dependents of the retiree, and the cost for reimbursement of Medicare premiums.
##### **§ 52:14-17.32f2** Applicability of C.52:14-17.32f; coverage. {#sec-52-14-17.32f2 omnilex-key=us-nj-statutes--title-52--52:14-17.32f2}
1. The provisions of section 3 of P.L.1987, c.384 (C.52:14-17.32f) shall apply to any employee of a board of education who is a member of a pension fund created prior to January 5, 1996 under the provisions of article 2 of chapter 66 of Title 18A of the New Jersey Statutes (N.J.S.18A:66-94 et seq.) and who retires on a benefit based upon 25 or more years of service credit in the pension fund, or retires on a disability pension based upon fewer years of service credit in that pension fund, or elected deferred retirement based upon 25 or more years of service credit and receives a retirement allowance from that pension fund, except that the costs of the premium or periodic charges for the benefits and reimbursement of medicare premiums provided to a retiree and the dependents of the retiree under this section shall be paid by the State. An employee who becomes a member of the pension fund on or after the effective date of P.L.2010, c.2 shall pay in retirement 1.5 percent of the retiree's monthly retirement allowance, including any future cost-of-living adjustments, through the withholding of the contribution, for health benefits coverage provided under P.L.2007, c.103 (C.52:14-17.46.1 et seq.) and the State shall pay the remainder of the premium or periodic charges for benefits provided to a qualified retiree and the dependents of the retiree, and the cost for reimbursement of Medicare premiums.
An employee who retired prior to the effective date of this act is eligible for the coverage if the employee applies to the program for it within one year after the effective date.
##### **§ 52:14-17.32g** Benefits program continued. {#sec-52-14-17.32g omnilex-key=us-nj-statutes--title-52--52:14-17.32g}
1. Notwithstanding any other provisions of P.L.1961, c.49 (C.52:14-17.25 et seq.) to the contrary, the health care benefits of any employee of an employer with at least three years of service under a permanent appointment with that employer and any dependent of the employee may be continued and the premiums for the coverage may be paid by the employer during any approved leave of absence of the employee with or without pay, for a period of up to two years.
For the purposes of this section "employer" means a local board of education, regional board of education, county college, educational services commission, jointure commission, county special services school district, county vocational-technical school district, or any board or commission under the authority of the Commissioner of Education, or State Board of Education, as the case may be.
##### **§ 52:14-17.32h** Enrollment in State Health Benefits Program by former employee of local board of education {#sec-52-14-17.32h omnilex-key=us-nj-statutes--title-52--52:14-17.32h}
4. On or after July 1, 1993, a former employee of a local board of education who:
a. retires from employment with the board,
b. is receiving a retirement benefit from a State- or locally-administered retirement system,
c. is eligible for the federal Medicare program, and
d. is participating in the health benefits plan of the board may enroll in the State Health Benefits Program upon enrollment in the federal Medicare program. The laws and regulations governing the program, except as provided in this section, are applicable to enrollments in the program under this section.
A former employee of a local board of education who shall have retired from employment with the board prior to July 1, 1993 and who meets the requirements for enrollment in the State Health Benefits Program prescribed in this section may enroll in the program on or after July 1, 1993 and on or before June 30, 1994.
##### **§ 52:14-17.32i** Health benefits, certain; law enforcement retirants, certain {#sec-52-14-17.32i omnilex-key=us-nj-statutes--title-52--52:14-17.32i}
1. a. A qualified retiree from the Police and Firemen's Retirement System of New Jersey (C.43:16A-1 et seq.), hereinafter referred to as PFRS, the Consolidated Police and Firemen's Pension Fund (C.43:16-1 et seq.), hereinafter referred to as CPFPF, or the Public Employees' Retirement System of New Jersey (C.43:15A-1 et seq.), hereinafter referred to as PERS, and dependents, as defined in section 2 of P.L.1961, c.49 (C.52:14-17.26), of a qualified retiree, are eligible to participate in the program, in accordance with the law and rules governing the program, except as otherwise provided by this act, regardless of whether the retiree's employer participated in the program.
A qualified retiree is a retiree who:
(1) retired on a benefit based on 25 or more years of service credit in PFRS or CPFPF, or in PERS as a law enforcement officer as defined in section 1 of P.L.1955, c.257 (C.43:15A-97) or in a position eligible for participation in PFRS as provided in section 9 of P.L.1989, c.204 (C.43:16A-1.2); or
(2) retired on a disability retirement under PFRS or CPFPF, or under PERS as a law enforcement officer or in a position eligible for participation in PFRS, based on fewer years of service credit; and
(3) was eligible to receive health benefits coverage at the expense of the employer of the person immediately preceding retirement.
b. The State shall pay the amount of the premium or periodic charges for the coverage for the qualified retiree and dependents, but not including survivors, equal to 80 percent of the premium or periodic charges for the category of coverage elected by the qualified retiree under the State managed care plan or a health maintenance organization participating in the program which provides services in the 21 counties in the State, whichever provides the lower premium or periodic charge. The qualified retiree shall pay the difference between the premium or periodic charge for the coverage and the amount paid by the State.
c. The State Health Benefits Commission shall annually certify to the State the cost for providing health benefits coverage to qualified retirees and their dependents under this section. The State shall annually remit to the commission the amount certified at a time specified by the State Treasurer.
d. The provisions of this section shall not apply to (1) a retired State employee whose premium or periodic charges for benefits under the program are paid by the State pursuant to section 8 of P.L.1961, c.49 (C.52:14-17.32) or section 6 of P.L.1996, c.8 (C.52:14-17.28b); and (2) a retiree of an employer other than the State which pays the premium or periodic charges for health care benefits for eligible retirees pursuant to section 7 of P.L.1964, c.125 (C.52:14-17.38) or N.J.S.40A:10-23 on the effective date of P.L.1997, c.330 (C.52:14-17.32i et al.).
##### **§ 52:14-17.32j** Eligibility for benefits {#sec-52-14-17.32j omnilex-key=us-nj-statutes--title-52--52:14-17.32j}
2. A qualified retiree shall be eligible for the benefits provided by P.L.1997, c.330 (C.52:14-17.32i et al.) at the time of retirement, or at the time the qualified retiree becomes eligible for Medicare. A qualified retiree receiving health benefits coverage from an employer after retirement shall be ineligible for the benefits under this act.
##### **§ 52:14-17.32k** Existing retiree health care benefits remain intact {#sec-52-14-17.32k omnilex-key=us-nj-statutes--title-52--52:14-17.32k}
3. No provision of this act shall be deemed to replace, supersede or modify retiree health care benefits provided by an employer by negotiated agreement, ordinance or resolution.
##### **§ 52:14-17.32l** Enrollment of certain retirees in SHBP. {#sec-52-14-17.32l omnilex-key=us-nj-statutes--title-52--52:14-17.32l}
15. After the effective date of P.L.2003, c.128, a former employee of a county, county college or municipality who:
a. retires from employment with the county, county college or municipality pursuant to the provisions of section 2 of P.L.2003, c.128 in accordance with the action taken pursuant to section 4 or 11 of P.L.2003, c.128,
b. is receiving a retirement benefit from a State- or locally-administered retirement system, may enroll in the State Health Benefits Program upon retirement, but not later than 60 days following retirement. The laws and regulations governing the program, except as provided in this section, are applicable to enrollments in the program under this section.
##### **§ 52:14-17.32m** Enrollment of certain PFRS retirees in SHBP. {#sec-52-14-17.32m omnilex-key=us-nj-statutes--title-52--52:14-17.32m}
13. After the effective date of P.L.2003, c.130, a former employee of an employer participating in the Police and Firemen's Retirement System, P.L.1944, c.255 (C.43:16A-1 et seq.) who retires from employment with the employer pursuant to the provisions of section 2 of P.L.2003, c.130 in accordance with the action taken pursuant to section 4 of P.L.2003, c.130 and the former employee's dependents, may enroll in the State Health Benefits Program upon retirement, but not later than 60 days following retirement. The laws and regulations governing the program, except as provided in this section, are applicable to enrollment in the program under this section.
##### **§ 52:14-17.32n** National Guard on State active duty, certain; SHBP coverage. {#sec-52-14-17.32n omnilex-key=us-nj-statutes--title-52--52:14-17.32n}
1. a. A qualified member of the organized militia, as defined in N.J.S.38A:1-1, and the member's dependents, as defined in section 2 of P.L.1961, c.49 (C.52:14-17.26), shall be eligible to participate in the State Health Benefits Program and be covered under the "State managed care plan", as defined in section 2 of P.L.1961, c.49 (C.52:14-17.26), in accordance with the law and rules governing the program and plan, except as otherwise provided by this act, P.L.2003, c.142 (C.52:14-17.32n).
A qualified member is a member who is called to State active duty by an order of the Governor issued pursuant to law, when the written order directly applicable to that member states that active duty shall be for a period of 30 days within a 35 consecutive day period, provided the member (1) is not a compensated, full-time appointed or elected public officer or employee of the State or any political subdivision thereof when called to active duty; (2) had employer-provided health care benefits coverage that was cancelled due to the member's military service or does not have employer-provided health care benefits coverage; and (3) is not covered for health care benefits under a program, plan or policy as a dependent of the member's spouse when called to active duty. For the limited purpose of this act, a qualified member shall be deemed a State employee, as defined in section 2 of P.L.1961, c.49 (C.52:14-17.26).
The member may waive coverage provided pursuant to this section by notifying the Division of Pensions and Benefits in writing.
b. The Department of Military and Veterans' Affairs shall notify the Division of Pensions and Benefits of the members who are eligible for health care benefits coverage pursuant to this section, and shall notify the members themselves of the coverage provided, by whatever means deemed efficient and expeditious.
c. The State Health Benefits Program shall not provide coverage for health care services and supplies provided to a member or the member's dependents prior to the first day of active duty. The department, or the member when so requested, shall provide to the division all information necessary on account of the member's coverage and to enroll the member's dependents pursuant to applicable law and regulations governing the program and plan. If information is not provided to the division in a timely manner, coverage shall commence only upon receipt by the division of all information deemed necessary by the division to provide the coverage. The division shall make such accommodation and provision for the addition of the member and the member's dependents to the program and plan as may be necessary under the circumstances.
d. The coverage provided pursuant to this section shall be extended for health care services and supplies commencing on the first day of active duty service until the last day of active duty service, provided the information requirements in subsection c. of this section are met in a timely manner.
e. The State shall be liable for the premium or periodic charges for the coverage for the qualified member and member's dependents, including the program's expenses for the administration of this section, in such amount as determined and fixed by the State Health Benefits Commission. The commission shall annually certify to the State the cost for providing health care benefits coverage to qualified members and their dependents under this section. The State shall annually remit to the commission the amount certified at a time specified by the State Treasurer.
f. If a member or the member's dependents, or both, have health care benefits coverage, other than through the member's spouse, immediately preceding the call to active duty and that coverage continues, or is eligible to continue, during active duty status, the coverage provided pursuant to this section shall only be secondary to that primary coverage and shall not cover expenses which are covered, or which would be covered in the absence of coverage pursuant to this section, in whole or in part, by that prior existing coverage. If that coverage is terminated through the action or inaction of the member, the member's spouse or the member's employer, other than pursuant to terms and conditions in effect immediately preceding the call to active duty, the coverage under this section shall also terminate.
This section shall not be deemed to replace, supersede or modify health care benefits coverage received by the member, the member's spouse or dependents immediately preceding the call to active duty.
g. Health care benefits coverage shall be provided pursuant to this section only if the provision of such coverage by the State Health Benefits Program does not violate applicable federal statutes in a manner that would change the nature, governance or status of the program.
h. The Treasurer, in consultation with the Adjutant General, shall adopt regulations to effectuate the purposes of this act pursuant to the "Administrative Procedure Act", P.L.1968, c.410 (C.52:14B-1 et seq.), except that the Treasurer may immediately adopt regulations the Division of Pensions and Benefits deems necessary to implement the provisions of this act, upon the filing of such regulations with the Office of Administrative Law.
##### **§ 52:14-17.32o** Payment of premium, periodic changes; deferral of certain benefits. {#sec-52-14-17.32o omnilex-key=us-nj-statutes--title-52--52:14-17.32o}
2. Notwithstanding the provisions of P.L.1961, c.49 (C.52:14-17.26 et seq.) to the contrary, from funds appropriated therefor, the State shall pay the premium or periodic charges for the benefits provided to a retired State employee and any dependents under the program, but not including survivors, if the employee: (a) submitted an application for retirement with the Judicial Retirement System pursuant to section 1 of P.L.2019, c.287 (C.43:6A-11.1); (b) subsequently served in the position of Administrative Director of the Courts; (c) was covered by the program at the time of terminating full-time employment as a judge with the State; and (d) was eligible for health care benefits coverage in retirement under the program paid in full or in part by the State at the time of terminating full-time employment as a judge with the State.
The health care benefits coverage in retirement under the program to which the former State employee is entitled shall be deferred. The former State employee shall notify the program of the date on which employment as the Administrative Director of the Courts is terminated and the deferred retirement is to commence pursuant to section 1 of P.L.2019, c.287 (C.43:6A-11.1). The former State employee and the employee's dependents shall be enrolled in the program as soon as feasible after that termination date and shall be entitled to such health care benefits coverage and payments for such coverage as the former State employee was eligible on the date terminating full-time employment as a judge with the State.
##### **§ 52:14-17.32p** Certain disabled members of the Public Employees’ Retirement System, coverage under New Jersey State Health Benefits Program Act. {#sec-52-14-17.32p omnilex-key=us-nj-statutes--title-52--52:14-17.32p}
2. a. Notwithstanding the provisions of section 11 of P.L.2010, c.3 (C.43:15A-42.1) or any other law, rule, or regulation to the contrary, an employee of the State who is disabled and receiving a benefit under section 11 of P.L.2010, c.3 (C.43:15A-42.1) before January 1, 2027, and who became a member of the Public Employees' Retirement System of New Jersey, P.L.1954, c.84 (C.43:15A-1 et seq.), on or after the effective date of P.L.2010, c.3 shall be eligible to enroll in health care benefits coverage under the "New Jersey State Health Benefits Program Act," P.L.1961, c.49 (C.52:14-17.25 et seq.), in the same manner as such coverage is provided by the State to retirees, except the benefit shall be free and there shall be no employee contribution requirement.
b. The program shall refund to a member eligible to enroll in health care benefits coverage under subsection a. of this section the amount the member actually paid for premiums for health benefits coverage under the "New Jersey State Health Benefits Program Act," P.L.1961, c.49 (C.52:14-17.25 et seq.), on or after January 1, 2024 but prior to the effective date of P.L.2025, c.370 (C.52:14-17.46.17 et al.) while the member was disabled and receiving a benefit under section 11 of P.L.2010, c.3 (C.43:15A-42.1).
c. Consistent with the provisions of subsection i. of section 11 of P.L.2010, c.3 (C.43:15A-42.1), a member of the Public Employees' Retirement System of New Jersey, P.L.1954, c.84 (C.43:15A-1 et seq.) who is disabled and receiving a benefit under section 11 of P.L.2010, c.3 (C.43:15A-42.1), and who is an employee of an employer other than the State shall remain eligible for employer-provided health care benefits coverage in the same manner as such coverage is provided by the employer to retirees of the retirement system. The premium contributions of members who are employees of an employer other than the State that participate in the State Health Benefits Program shall be determined by and subject to a resolution by the employer filed with the Division of Pensions and Benefits in the Department of the Treasury.
##### **§ 52:14-17.32q** Public Employees' Retirement System of New Jersey member, coverage under PPO plan, Tiered Network plan, parameters. {#sec-52-14-17.32q omnilex-key=us-nj-statutes--title-52--52:14-17.32q}
6. a. A member of the Public Employees' Retirement System of New Jersey, P.L.1954, c.84 (C.43:15A-1 et seq.), who is an employee of the State, who is disabled and begins receiving a benefit under section 11 of P.L.2010, c.3 (C.43:15A-42.1) on or after January 1, 2027, and who is not Medicare-eligible may enroll in health benefits coverage under a PPO plan or Tiered Network plan that is offered to State retirees under the program. An enrollee shall pay monthly contributions to the State for such health benefits coverage in accordance with the percentage of salary or the cost of coverage that is applicable to State retirees who retire with 25 years of service credit as of the date the enrollee begins receiving a benefit under section 11 of P.L.2010, c.3 (C.43:15A-42.1) and who enroll in such plans. For the purpose of determining the contributions required from a member receiving health benefits coverage pursuant to this subsection, the term “base salary” where used for the purpose of determining the contributions required from State retirees for health benefits coverage shall mean the disability benefit provided under a group policy or policies to the member pursuant to section 11 of P.L.2010, c.3 (C.43:15A-42.1).
b. A member of the Public Employees' Retirement System of New Jersey, P.L.1954, c.84 (C.43:15A-1 et seq.), who is an employee of the State, who is disabled and begins receiving a benefit under section 11 of P.L.2010, c.3 (C.43:15A-42.1) on or after January 1, 2027, and who is or becomes Medicare-eligible while receiving a benefit under section 11 of P.L.2010, c.3 (C.43:15A-42.1) shall enroll in the State Health Benefits Program in the same manner as a retiree upon enrollment in the federal Medicare program consistent with the laws and regulations governing the participation of Medicare-eligible retirees under the program. An enrollee shall pay monthly contributions to the State for such health benefits coverage in accordance with the percentage of salary or the cost of coverage that is applicable to State retirees who retire with 25 years of service credit as of the date the enrollee begins receiving a benefit under section 11 of P.L.2010, c.3 (C.43:15A-42.1) and who enroll in such plans. For the purpose of determining the contributions required from a member receiving health benefits coverage pursuant to this subsection, the term “base salary” where used for the purpose of determining the contributions required from State retirees for health benefits coverage shall mean the disability benefit provided under a group policy or policies to the member pursuant to section 11 of P.L.2010, c.3 (C.43:15A-42.1).
c. If a member fails to remit any contributions required to be remitted to the State for the member’s health benefits coverage pursuant to subsections a. and b. of this subsection, the Division of Pensions and Benefits shall notify the member that the right to continue coverage shall be suspended if payment in full is not remitted within 30 days of such notice. If no payment is made, the division shall generate a notice of termination to the member indicating the termination date and restating the amounts due to reinstate coverage. Termination shall be effective on the last day of the month for which premiums were paid by the member.
##### **§ 52:14-17.33** Annual appropriations; limitation upon obligation of state; remission of premiums {#sec-52-14-17.33 omnilex-key=us-nj-statutes--title-52--52:14-17.33}
The Legislature shall annually make appropriations to cover the expense of procuring the benefits contracts and for the other purposes of this act. No obligation of the State shall be incurred under this act except within the limits of available appropriations. Premiums or periodic charges for such contracts payable to carriers from appropriated funds and from the health benefits fund shall be remitted to said carriers at intervals not less frequent than monthly.
##### **§ 52:14-17.33a** Participation in SHBP for certain part-time faculty, adjuncts. {#sec-52-14-17.33a omnilex-key=us-nj-statutes--title-52--52:14-17.33a}
1. a. Notwithstanding any provision of P.L.1961, c.49 (C.52:14-17.25 et seq.) to the contrary, a part-time State employee, or a part-time faculty member, including part-time lecturers and adjunct faculty members, at a State public institution of higher education in this State if the public institution of higher education participates in the program, who is enrolled in a State-administered retirement system shall be eligible to participate in the State Health Benefits Program and may purchase health benefits coverage under the program in the State managed care plan as defined in section 2 of P.L.1961, c.49 (C.52:14-17.26) for the employee or faculty member and the dependents of the employee or faculty member. If such an employee or faculty member elects to enroll in the program, the employee or faculty member shall pay the full cost of the coverage selected and the employer shall not be responsible for any costs in connection with the purchase of the coverage, unless the employer shall be obligated to pay all or a portion of such costs in accordance with the provisions of a binding collective negotiations agreement.
b. The State Health Benefits Commission may establish rules and regulations concerning the enrollment and termination of coverage of employees and faculty members in the State Health Benefits Program, pursuant to this section, and the procedures for the remittance to the program of the cost of coverage.
The employee or faculty member shall also be required to pay a proportionate share of administrative expenses of the program in such amounts and at such times as shall be determined and fixed by the commission. Amounts payable by a participating employee or faculty member for administrative expenses shall be collected in the same manner as premiums or periodic charges are paid and remitted to the State treasury and shall be used for such purposes.
c. The laws and regulations governing the State Health Benefits Program, except as modified in this section, are applicable to enrollments in the program under this section and shall be construed to apply to part-time employees or faculty members and their dependents in the same manner as to full-time employees or faculty members and their dependents to the extent possible.
d. Participation in the State Health Benefits Program pursuant to this section shall not qualify the employee or faculty member for employer or State-paid health care benefits in retirement in the program. Upon retirement, such employees or faculty members shall be permitted to enroll in the State managed care plan they were enrolled in prior to retirement through the retired group at their own expense.
e. The State Health Benefits Commission shall advise eligible employees, and the State public institutions of higher education shall advise eligible faculty members, that they may enroll in the State Health Benefits Program pursuant to this section and shall further advise eligible employees and faculty members, as may be appropriate, of any benefits to which they are entitled upon the termination of their employment. The State Health Benefits Commission shall determine the manner and form of the advisory notice to the employees and faculty members.
##### **§ 52:14-17.34** Extension of New Jersey State Health Benefits Program, certain. {#sec-52-14-17.34 omnilex-key=us-nj-statutes--title-52--52:14-17.34}
3. In order that the New Jersey State Health Benefits Program Act may be extended to include other public employees, participation by counties, municipalities, public agencies or organizations as defined in section 71 of P.L.1954, c.84 (C.43:15A-71), including the New Jersey Turnpike Authority, the Interstate Environmental Commission, the Delaware River Basin Commission, New Jersey Housing and Mortgage Finance Agency, New Jersey Educational Facilities Authority, New Jersey Meadowlands Commission and the Compensation Rating and Inspection Bureau, hereinafter defined as employers, is hereby authorized, provided, however, that no such employer shall enroll for coverage under the State Health Benefits Program pursuant to P.L.1961, c.49 (C.52:14-17.25 et seq.) employees as defined in section 32 of P.L.2007, c.103 (C.52:14-17.46.2).
##### **§ 52:14-17.34a** "Independent state authority." {#sec-52-14-17.34a omnilex-key=us-nj-statutes--title-52--52:14-17.34a}
43. As used in this section, "independent State authority" means a public authority, board, commission, corporation, or other agency or instrumentality of the State allocated, in but not of, a principal department of State government pursuant to Article V, Section IV, paragraph 1 of the New Jersey Constitution, or which is not subject to supervision or control by the department in which it is allocated, and a regional authority, but shall not include a college or university.
Notwithstanding the provisions of any other law to the contrary, public employees of an independent State authority who are not subject to the provisions of section 40 of P.L.2011, c.78 (C.52:14-17.28d) shall contribute, through the withholding of the contribution from the pay, salary, or other compensation or from the monthly retirement allowance, toward the cost of health care benefits coverage for the employee and any dependent provided by the authority during active service and in retirement in an amount that shall be determined as closely as possible in accordance with sections 39 and 40 of P.L.2011, c.78 (C.52:14-17.28c and C.52:14-17.28d).
Once those employees are subjected to the contribution requirements set forth in this section, the public employers and public employees shall be bound by this act, P.L.2011, c.78, to apply the contribution levels set forth in section 39 of this act until all affected employees are contributing the full amount of the contribution, as determined by the implementation schedule set forth in subsection a. of section 40 of this act. Notwithstanding the expiration date set forth in section 83 of this act, P.L.2011, c.78, or the expiration date of any successor agreements, the parties shall be bound to apply the requirements of this paragraph until they have reached the full implementation of the schedule set forth in subsection a. of section 40 of this act.
##### **§ 52:14-17.35** Definitions. {#sec-52-14-17.35 omnilex-key=us-nj-statutes--title-52--52:14-17.35}
4. As used in this act and in the act to which this act is a supplement:
(a) The term "employer" means a county, municipality, public agency or organization as defined in section 71 of P.L.1954, c.84 (C.43:15A-71), including the New Jersey Turnpike Authority, the Interstate Environmental Commission, the Delaware River Basin Commission, New Jersey Housing and Mortgage Finance Agency, New Jersey Educational Facilities Authority, New Jersey Meadowlands Commission and the Compensation Rating and Inspection Bureau. The term "employer" shall include a subsidiary corporation or other corporation established by the Delaware River Port Authority pursuant to subdivision (m) of Article I of the compact creating the authority (R.S.32:3-2), as defined in section 3 of P.L.1997, c.150 (C.34:1B-146), except that only persons who are employees of the South Jersey Port Corporation on the effective date of P.L.1997, c.150 (C.34:1B-144 et al.) and are re-employed by the subsidiary or other corporation within 365 days of the effective date are eligible to participate in the program.
(b) The term "State Treasury" means the State agency responsible for the administration of the New Jersey State Health Benefits Program Act which is to be located in the Division of Pensions and Benefits in the Department of the Treasury.
##### **§ 52:14-17.36** Participation in health benefits program; rules, regulations. {#sec-52-14-17.36 omnilex-key=us-nj-statutes--title-52--52:14-17.36}
5. a. The commission established by section 3 of chapter 49 of the laws of 1961, is hereby authorized to prescribe rules and regulations satisfactory to the carrier or carriers under which employers may participate in the health benefits program provided by that act. All provisions of that act will, except as expressly stated herein, be construed as to participating employers and to their employees and to dependents of such employees the same as for the State, employees of the State and dependents of such employees.
b. All changes in the provision of health care benefits through the program that are included in collective negotiations agreements between the State and its employees entered into on or after the effective date of P.L.2010, c.2 shall be made applicable by the commission to participating employers and their employees at the same time and in the same manner as to State employees. This subsection shall be applicable to the State Health Benefits Program and to the School Employees' Health Benefits Program to the extent not inconsistent with the provisions of sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 et seq.).
##### **§ 52:14-17.36a** Certain majority representative of State employees, participation in SHBP permitted. {#sec-52-14-17.36a omnilex-key=us-nj-statutes--title-52--52:14-17.36a}
1. a. Notwithstanding any provision of P.L.1961, c.49 (C.52:14-17.25 et seq.) or any other law to the contrary, an affiliate of a majority representative of State employees for collective negotiation purposes, as recognized by the Public Employment Relations Commission established pursuant to P.L.1941, c.100 (C.34:13A-1 et seq.), which affiliate represents State employees, may participate in the State Health Benefits Program pursuant to P.L.1961, c.49 (C.52:14-17.25 et seq.). All provisions of P.L.1961, c.49 (C.52:14-17.25 et seq.) shall be construed as to such participating employers and their elected officers and full-time employees, and their dependents, in the same manner as for participating local government employers, their employees and the dependents of such employees.
As used in this section, the phrase "an affiliate of a majority representative of State employees" means a local union affiliate that has some employees who are engaged in the day-to-day representation of State employees, and shall not mean a local union affiliate's parent or international union.
b. The Division of Pensions and Benefits shall certify to each such affiliate of a majority representative electing participation under the program the premium rates and periodic charges as determined for local government employees applicable to the coverage provided to the affiliate's elected officers and full-time employees and their dependents. The participating affiliate shall remit to the division the premiums and periodic charges in advance of their due dates, subject to the rules and regulations of the State Health Benefits Commission.
c. The State Health Benefits Commission shall adopt rules and regulations within 90 days of the effective date of this act, P.L.2005, c.135 (C.52:14-17.36a et seq.), to implement this section and such rules and regulations shall permit an affiliate of a majority representative electing participation under the program to begin participation on or after the 120th day following the effective date of this act.
##### **§ 52:14-17.36b** Limitation on participation of private sector employees. {#sec-52-14-17.36b omnilex-key=us-nj-statutes--title-52--52:14-17.36b}
2. Notwithstanding the provisions of subsection a. of section 1 of this act, P.L.2005, c.135 (C.52:14-17.36a), the total number of private sector employees who participate under the provisions of that section shall not be permitted to exceed a de minimis percentage of the total number of employees participating in the State Health Benefits Program. For purposes of this act, any employee who is on a leave of absence from employment with the State and who is an employee of an affiliate of a majority representative of State employees for collective negotiation purposes, which affiliate represents State employees, shall not be considered a private sector employee.
##### **§ 52:14-17.36c** Determination letter confirming status of SHBP. {#sec-52-14-17.36c omnilex-key=us-nj-statutes--title-52--52:14-17.36c}
3. a. On the effective date of this act,P.L.2005, c.135 (C.52:14-17.36a et seq.), the Division of Pensions and Benefits in the Department of the Treasury shall seek a determination letter from the United States Department of Labor confirming the status of the State Health Benefits Program, P.L.1961, c.49 (C.52:14-17.25 et seq.), as amended by this act, as a qualified and exempt governmental plan under Title I of the federal Employee Retirement Income Security Act of 1974 (ERISA).
b. In the event the division receives a determination letter from the United States Department of Labor stating that P.L.2005, c.135 (C.52:14-17.36a et seq.) changes the status of the State Health Benefits Program so that it is no longer a qualified and exempt governmental plan under Title I of the federal Employee Retirement Income Security Act of 1974,P.L.2005, c.135 (C.52:14-17.36a et seq.) shall be void and expire immediately and no employees of an affiliate of a majority representative of State employees for collective negotiation purposes shall be permitted to enroll or continue to participate in the State Health Benefits Program.
##### **§ 52:14-17.37** Election to participate, plan availability. {#sec-52-14-17.37 omnilex-key=us-nj-statutes--title-52--52:14-17.37}
6. a. Any employer eligible for participation in the program may elect such participation by the adoption of a resolution by its governing body, which would include the name and title of a certifying agent, and a certified copy of the resolution shall be filed with the commission. Any employer making such election shall become a participating employer under the program, subject to and in accordance with the rules and regulations of the commission relating thereto.
b. Notwithstanding the provisions of any other law to the contrary, the availability of plans within the program may be limited for employees of a participating employer other than the State pursuant to a binding collective negotiations agreement between the employer and its employees or pursuant to the application by the employer, in its sole discretion, of the terms of any collective negotiations agreement binding on the employer to employees for whom there is no majority representative for collective negotiations purpose. The commission shall implement the terms of such an agreement, and the application of such terms, with regard to plan availability for employees of the employer. The commission may impose such restrictions on the terms as the commission may deem necessary to ensure the effective and efficient operation of the program. This subsection shall apply to the State Health Benefits Program and the School Employees' Health Benefits Program.
##### **§ 52:14-17.37a** Claims experience information provided by SHBP. {#sec-52-14-17.37a omnilex-key=us-nj-statutes--title-52--52:14-17.37a}
1. The State Health Benefits Program shall provide at no cost to the requestor, and not more than once in a 24-month period, complete claims experience data to a public employer other than the State that participates in the State Health Benefits Program and makes a written request for its claims experience information, including loss reports and large claims data. The State Health Benefits Program shall provide the information in an electronic and manual format to the participating public employer who has made a written request for its information, within 60 days of the receipt of the written request made by the public employer. Notwithstanding the above, the State Health Benefits Program shall issue claims experience data only in a manner that complies with the privacy requirements of the federal Health Insurance Portability and Accountability Act of 1996, Pub. L.104-191, and related regulations.
##### **§ 52:14-17.37b** Department of the Treasury, standard report, use of benefits, State Health Benefits Program, School Employees Health Benefits Program. {#sec-52-14-17.37b omnilex-key=us-nj-statutes--title-52--52:14-17.37b}
6. a. (1) As soon as is practicable, but not later than 180 days from the effective date of P.L.2023, c.195 (C.52:14-17.28f et al.), the Department of the Treasury shall provide, upon request, but not more frequently than once in a 24-month period, to a participating employer in the State Health Benefits Program or the School Employees Health Benefits Program, a standard report which contains the requesting employer's de-identified aggregate data relating to the use of benefits by their employees and early retirees, and their dependents, covered under each plan in the program. The report shall include premiums paid by month for each month covered in the report. If the participating employer has more than 300 employees in the plan, then the report shall include paid claims by month for the following categories of services: (a) inpatient hospital; (b) outpatient hospital; (c) in network medical; (d) out of network medical; (e) prescription drugs; (f) emergency room services; and (g) behavioral health, each reported separately. The report shall cover both health and prescription benefits.
The report shall also provide for a listing of de-identified claims within each plan of both the State Health Benefits Program and the School Employees Health Benefits Program, without reference to a specific employer participating in the programs, in excess of $50,000 that were paid in any of the months covered by the report. The report shall cover both health and prescription benefits.
(2) The Department of the Treasury shall provide the reports to a requesting participating employer within 60 days of receipt of such request.
b. As soon as practicable, the Department of the Treasury shall collect and analyze claims data within the State Health Benefits Program and the School Employees Health Benefits Program to develop, and make publicly available, a claims trend report for each program in the following categories: (1) inpatient hospital; (2) outpatient hospital; (3) in network medical; (4) out of network medical; (5) prescription drugs; (6) medical drugs; (7) emergency room services; and (8) behavioral health. The claims trend report shall provide the information in segments including active, early retiree, and Medicare retiree for each plan in the State Health Benefits Program, and in the School Employees Health Benefits Program, and in the aggregate for each plan in both programs. The report shall be made publicly available on the Department of the Treasury's website in a prominent and accessible location.
The claims trend report shall be submitted to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), each member of the State Health Benefits Plan Design Committee and of the School Employees' Health Benefits Plan Design Committee, each member of the State Health Benefits Commission and of the School Employees' Health Benefits Commission, and the Governor's Office of Employee Relations.
c. No later than 12 months from the effective date of P.L.2023, c.195 (C.52:14-17.28f et al.), the Department of the Treasury shall provide the State Health Benefits Plan Design Committee and the School Employees Health Benefits Plan Design Committee with a feasibility study of strategies to lower the cost of health care service for the participants of the programs. There shall be a review of short-term savings achievable within three to 12 months, medium-term savings achievable within 12 to 24 months, and long-term savings achievable after 24 months.
##### **§ 52:14-17.38** Certification of premium rates, charges; Medicare premiums; employer obligations. {#sec-52-14-17.38 omnilex-key=us-nj-statutes--title-52--52:14-17.38}
7. a. The Division of Pensions and Benefits shall certify to the certifying agent of each employer electing participation under the program the premium rates and periodic charges applicable to the coverage provided for employees and dependents. The participating employer shall remit to the division all contributions to premiums and periodic charges in advance of their due dates, subject to the rules and regulations of the commission.
Notwithstanding the provisions of any other law to the contrary, the obligations of a participating employer other than the State to pay the premium or periodic charges for health benefits coverage provided under P.L.1961, c.49 (C.52:14-17.25 et seq.) may be determined by means of a binding collective negotiations agreement. With respect to employees for whom there is no majority representative for collective negotiations purposes, the employer may, in its sole discretion, modify the respective payment obligations set forth in law for the employer and such employees in a manner consistent with the terms of any collective negotiations agreement binding on the employer. Commencing on the effective date of P.L.2010, c.2 and upon the expiration of any applicable binding collective negotiations agreement in force on that effective date, employees of an employer other than the State shall pay 1.5 percent of base salary, through the withholding of the contribution, for health benefits coverage provided under P.L.1961, c.49 (C.52:14-17.25 et seq.), notwithstanding any other amount that may be required additionally pursuant to this paragraph by means of a binding collective negotiations agreement or the modification of payment obligations.
b. (1) From funds allocated therefor, the employer other than the State, upon the adoption and submission to the division of an appropriate resolution prescribed by the commission, may pay the premium or periodic charges for the benefits provided to a retired employee and the employee's dependents covered under the program, if the employee retired from a State or locally-administered retirement system, excepting the employee who elected deferred retirement, and may also reimburse the retired employee for the employee's premium charges under Part B of Medicare covering the retired employee and the employee's spouse if the employee:
(a) retired on a disability pension; or
(b) retired after 25 or more years of nonconcurrent service credit in one or more State or locally-administered retirement systems, excluding service credited under the Defined Contribution Retirement Program established pursuant to P.L.2007, c.92 (C.43:15C-1 et al.), and a period of service of up to 25 years with the employer at the time of retirement, such period of service to be determined by the employer and set forth in an ordinance or resolution as appropriate; or
(c) retired and reached the age of 65 years or older with 25 years or more of nonconcurrent service credit in one or more State or locally-administered retirement systems, excluding service credited under the Defined Contribution Retirement Program, and a period of service of up to 25 years with the employer at the time of retirement, such period of service to be determined by the employer and set forth in an ordinance or resolution as appropriate; or
(d) retired and reached the age of 62 years or older with at least 15 years of service with the employer, excluding service credited under the Defined Contribution Retirement Program.
"Retired employee and the employee's dependents" may, upon adoption of an appropriate resolution therefor by the participating employer, also include otherwise eligible employees, and their dependents, who retired from one or more State or locally-administered retirement systems prior to the date that the employer became a participating employer in the New Jersey State Health Benefits Program or who did not elect to continue coverage in the program during such time after the employer became a participating employer that the employer did not pay premium or periodic charges for benefits to retired employees and their dependents pursuant to this section. Eligibility and enrollment of such employees and dependents shall be in accordance with such rules and regulations as may be adopted by the State Health Benefits Commission.
The employer other than the State may, by resolution, pay the premium or periodic charges for the benefits provided to the surviving spouse of a retired employee and the employee's dependents covered under the program as provided in this section.
(2) Notwithstanding the provisions of any other law to the contrary, the obligations of an employer other than the State, except an independent State authority, board, commission, corporation, agency, or organization deemed to be covered by section 6 of P.L.1996, c.8 (C.52:14-17.28b) and except school boards whose employees are covered by section 3 of P.L.1987, c.384 (C.52:14-17.32f), section 2 of P.L.1992, c.126 (C.52:14-17.32f1) and section 1 of P.L.1995, c.357 (C.52:14-17.32f2), to pay the premium or periodic charges for health benefits coverage under the provisions of paragraph (1) may be determined by means of a binding collective negotiations agreement, including any agreement in force at the time of the adoption of this act, P.L.1999, c.48. With respect to employees for whom there is no majority representative for collective negotiations purposes, the employer may, in its sole discretion, determine the payment obligations for the employer and the employees, except that if there are collective negotiations agreements binding upon the employer for employees who are within the same community of interest as employees in a collective negotiations unit but are excluded from participation in the unit by the "New Jersey Employer-Employee Relations Act," P.L.1941, c.100 (C.34:13A-1 et seq.), the payment obligations shall be determined in a manner consistent with the terms of any collective negotiations agreement applicable to the collective negotiations unit. An employee who becomes a member of a State or locally-administered retirement system on or after the effective date of P.L.2010, c.2 shall pay in retirement 1.5 percent of the retiree's monthly retirement allowance, including any future cost-of-living adjustments, through the withholding of the contribution, for health benefits coverage provided under P.L.1961, c.49 (C.52:14-17.25 et seq.), notwithstanding any other amount that may be required additionally pursuant to this paragraph by means of a binding collective negotiations agreement or the determination of payment obligations.
c. Notwithstanding the provisions of any other law to the contrary, the payment obligations of an employee of an employer other than the State, except an independent State authority, board, commission, corporation, agency, or organization, for health benefits coverage under subsection b. shall be the payment obligations applicable to the employee on the date the employee retires on a disability pension or the date the employee meets the service credit and service requirements for the employer payment for the coverage, as the case may be.
##### **§ 52:14-17.38a** Continuation of coverage {#sec-52-14-17.38a omnilex-key=us-nj-statutes--title-52--52:14-17.38a}
Notwithstanding any other law to the contrary, the employer of a member of the Police and Firemen's Retirement System of New Jersey who retires under the provisions of special disability retirement pursuant to section 1 of P.L.1989, c.103 (C.43:16A-6.1) shall pay the premium or periodic charges for a continuation of all coverages provided to the member and any dependent of the member under section 5 of P.L.1961, c.49 (C.52:14-17.29) which are in effect at the time of retirement.
##### **§ 52:14-17.38b** Participation in State Health Benefits Program by local board of education, limitation. {#sec-52-14-17.38b omnilex-key=us-nj-statutes--title-52--52:14-17.38b}
5. Notwithstanding the provisions of any other law, rule, or regulation to the contrary, any local board of education may elect to participate in the State Health Benefits Program upon the termination of any contract in effect on the effective date of this amendatory and supplementary act, P.L.1993, c.8 (C.52:14-17.38b et al.), between the board of education and an insurance company writing insurance pursuant to Title 17B of the New Jersey Statutes, hospital service corporation, medical service corporation, health service corporation, or health maintenance organization to provide hospital and medical expense benefits. Such election shall be in accordance with the laws and regulations otherwise applicable to participation by employers other than the State in the program. If the board does not elect to participate in the State Health Benefits Program at that time, its eligibility to elect such participation thereafter shall be subject to the time period specified by the State Health Benefits Commission for participating again in the State Health Benefits Program after a participant's withdrawal from the program. No such election shall be permitted after June 30, 2008.
##### **§ 52:14-17.38c** Company surcharge payable to State Health Benefits Program. {#sec-52-14-17.38c omnilex-key=us-nj-statutes--title-52--52:14-17.38c}
3. With respect to any policy or contract between a local board of education and an insurance company writing insurance pursuant to Title 17B of the New Jersey Statutes, hospital service corporation, medical service corporation, health service corporation, or health maintenance organization which provides hospital or medical expense benefits:
a. upon the commencement of any policy or contract entered into after the effective date of this amendatory and supplementary act, P.L.1993, c.8 (C.52:14-17.38b et al.); or
b. in the case of any policy or contract in effect as of the effective date of this act, no earlier than the second anniversary date after the effective date of this act of any such policy or contract, the insurance company, hospital service corporation, medical service corporation, health service corporation, or health maintenance organization shall annually pay to the State Health Benefits Program a surcharge in the form of a percentage of the claims paid by the insurance company, hospital service corporation, medical service corporation, health service corporation, or health maintenance organization which are attributable to the coverage of the employees of the board and their dependents for the time period from July 1 through the following June 30, except that if the commencement or the second anniversary date of the policy or contract occurs after July 1, the initial surcharge shall be prorated for the remainder of that year from July 1 through the following June 30. The surcharge shall be paid on or before December 31 of the time period for which it is payable in the manner prescribed hereinafter, except that if the commencement or second anniversary date of the policy or contract occurs on or after November 1, an estimated initial surcharge shall be paid no later than the end of the sixth month following the commencement or anniversary date of the policy or contract or July 1 following the commencement or anniversary date of the policy or contract, whichever is earlier, and the actual surcharge payable for the initial time period shall be determined and adjustments, if any, shall be made to the surcharge payable for the succeeding time period in the manner prescribed hereinafter.
The initial surcharge percentage for the time period July 1, 1993 through June 30, 1994 shall be 3.25%. The State Treasurer shall thereafter annually redetermine the surcharge percentage, which shall be the percentage of total claims paid for active employees and for retired employees receiving health care coverage under the State Health Benefits Program pursuant to section 3 of P.L.1987, c.384 (C.52:14-17.32f) or subsection a. of section 2 of P.L.1992, c.126 (C.52:14-17.32f1) who are not eligible for Medicare which is reasonably attributable to the excess claim cost for these retired employees. The State Treasurer shall annually provide an estimated surcharge percentage based upon the claims paid for the 12 months immediately preceding the time period for which the surcharge is payable. Except as otherwise provided herein in the case of the initial surcharge, each organization shall pay to the State Health Benefits Program an estimated surcharge on or before December 31 of the time period for which the surcharge is payable, which shall be the amount determined by multiplying the total claims paid by the organization for the coverage for the 12 months immediately preceding the time period for which the surcharge is payable by the estimated surcharge percentage. Within three months after the time period for which the surcharge is payable, the State Treasurer shall determine the actual surcharge percentage for the time period based upon the actual claims experience for the period. The surcharge for the succeeding time period shall be increased or decreased, as appropriate, by the difference between the estimated surcharge paid and the surcharge due based upon the actual claims experience.
This section shall apply to any policy or contract in which the insurer has reserved the right to change the premium.
Beginning July 1, 2008, a reference to the State Health Benefits Program in this section shall mean the School Employees' Health Benefits Program, established pursuant to sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 through C.52:14-17.46.11).
##### **§ 52:14-17.39** Establishment of rates {#sec-52-14-17.39 omnilex-key=us-nj-statutes--title-52--52:14-17.39}
The rates charged for any contract purchased under the authority of the New Jersey State Health Benefits Program Act shall be established in accordance with the provisions of subsection (C) of section 5 of P.L.1961, c. 49; provided, however, that the commission may, in its discretion, prescribe that the rates for employee coverage and for dependents coverage be determined separately for State employees and employees of participating employers.
##### **§ 52:14-17.40** Coverage, withholding of employee contribution, payment of remainder. {#sec-52-14-17.40 omnilex-key=us-nj-statutes--title-52--52:14-17.40}
9. An employee enrolling for coverage shall, at the time of enrollment, authorize the participating employer to withhold, on an advance basis, from his wages or salary the contribution required by such employer for such coverage, which shall not exceed the premium or periodic charge therefor. The remainder of the premiums and periodic charges for employee and dependents coverage shall be paid by the participating employer out of its own funds.
##### **§ 52:14-17.41** Dependents premium fund; establishment; use {#sec-52-14-17.41 omnilex-key=us-nj-statutes--title-52--52:14-17.41}
There is hereby established a dependents premium fund consisting of all remittances received by the State treasury from participating employers in connection with dependents coverage and said fund shall be used to pay the portion of the premium and periodic charges under the program attributable to the dependents coverage provided for employees of participating employers.
##### **§ 52:14-17.42** Employer health benefits fund; establishment; use {#sec-52-14-17.42 omnilex-key=us-nj-statutes--title-52--52:14-17.42}
There is hereby established an employer health benefits fund consisting of all contributions to premiums and periodic charges remitted to the State treasury by participating employers for employee coverage. All such contributions shall be deposited in the employer health benefits fund and said fund shall be used to pay the portion of the premium and periodic charges under the program attributable to employee coverage for employees of participating employers.
##### **§ 52:14-17.42a** Temporary transfer of available funds, health benefit funds, conditions. {#sec-52-14-17.42a omnilex-key=us-nj-statutes--title-52--52:14-17.42a}
2. a. If the available funds in the health benefits funds established pursuant to sections 10 and 11 of P.L.1964, c.125 (C.52:14-17.41 and 52:14-17.42) fall to a level that is insufficient to cover 10 days of anticipated payments from the fund, including, but not limited to, any portion of premiums, claims, and other periodic charges, provided that claims for medical, prescription, and dental expenses are based on an average over the past six months, then the Director of the Division of Pensions and Benefits may initiate a temporary transfer of available funds from the health benefits fund established pursuant to section 6 of P.L.1961, c.49 (C.52:14-17.30) to the health benefits funds established pursuant to sections 10 and 11 of P.L.1964, c.125 (C.52:14-17.41 and 52:14-17.42). The Director of the Division of Pensions and Benefits shall notify the commission within 30 days of the transfer. The amount transferred pursuant to this subsection shall not exceed the amount necessary to cover 30 days of anticipated payments from the fund, including, but not limited to, any portion of premiums, claims, and other periodic charges, provided that claims for medical, prescription, and dental expenses are based on an average over the past six months and any other anticipated payment or charge in the next 30 days. The amount transferred pursuant to this subsection shall be reimbursed from the health benefits fund established pursuant to section 11 of P.L.1964, c.125 (C.52:14-17.42) on or before the 120th day next following the date of the transfer unless the Director of the Division of Pensions and Benefits determines that an extension of the reimbursement date is necessary to ensure that sufficient funding is available to pay claims incurred by employees of employers other than the State and their dependents, provided, however, in no case shall the reimbursement date be extended for more than an additional 365 days.
b. The Director of the Division of Pensions and Benefits shall provide to the State Treasurer a monthly accounting of any transfers initiated in the prior 30 days pursuant to subsection a. of this section, the outstanding balances of all transfers initiated pursuant to subsection a. of this section, any repayments for past transfers received, and the current balance of the health benefits fund established pursuant to section 11 of P.L.1964, c.125 (C.52:14-17.42).
##### **§ 52:14-17.43** Duties of certifying agent of participating employer {#sec-52-14-17.43 omnilex-key=us-nj-statutes--title-52--52:14-17.43}
The certifying agent of each participating employer shall submit to the Division of Pensions such information and shall cause to be performed in respect to each of the employees of such employer such duties as would be performed by the State in connection with the program. The division shall have the power and authority to make such verification of the employment and other records of any participating employer as the division may deem necessary in connection with the program.
##### **§ 52:14-17.44** Payment of administrative expenses {#sec-52-14-17.44 omnilex-key=us-nj-statutes--title-52--52:14-17.44}
Each participating employer and the State shall be required to pay its proportionate share of the expenses of administration of the program in such amounts and at such times as determined and fixed by the commission. All amounts payable by the participating employers for such expenses of administration shall be forwarded to the State treasury and shall be applied for such purposes, in order to reimburse the State for the cost of administration of the program.
##### **§ 52:14-17.45** Apportionment of dividend or retrospective rate credit {#sec-52-14-17.45 omnilex-key=us-nj-statutes--title-52--52:14-17.45}
In addition to the requirements of subsection (B) of section 6 of chapter 49 of the laws of 1961, for apportionment of any dividend or retrospective rate credit declared or allowed by a carrier under a contract, the commission shall determine, in an equitable manner, (1) the amount of any such dividend or credit attributable to employee coverage provided under the program for employees of participating employers and shall credit the employer health benefits fund with such amount, and (2) the amount of any such dividend or credit attributable to dependents coverage provided under the program for employees of participating employers and shall credit such amount to the dependents premium fund.
##### **§ 52:14-17.46a** Funding of health care benefits for retirees from certain educational employment. {#sec-52-14-17.46a omnilex-key=us-nj-statutes--title-52--52:14-17.46a}
49. Effective July 1, 2007, health care benefits for qualified retirees and their dependents as provided by section 3 of P.L.1987, c.384 (C.52:14-17.32f), section 2 of P.L.1992, c.126 (C.52:14-17.32f1) and section 1 of P.L.1995, c.357 (C.52:14-17.32f2) shall be funded and paid by the State through a separate fund established in the Department of the Treasury. Beginning with the valuation period ending June 30, 2007, the Director of the Division of Pensions and Benefits shall annually compute a contribution to fund these health care benefits which shall be the amount necessary to pay the anticipated premiums or periodic charges for the benefits for the following valuation period and to provide that the balance in the fund as of the end of the following valuation period shall be increased by 3/5 of 1% of the salary of the active members for the valuation period. If the assets in the fund are insufficient to pay the premiums or periodic charges for the benefits, such premiums or periodic charges shall be paid directly by the State. Nothing hereinabove shall alter health care benefits for qualified retirees and their dependents or relieve the State from its acknowledged obligation to fund the benefits.
##### **§ 52:14-17.46.1** Short title. {#sec-52-14-17.46.1 omnilex-key=us-nj-statutes--title-52--52:14-17.46.1}
31. Sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 through C.52:14-17.46.11) shall be known and may be cited as the "School Employees' Health Benefits Program Act."
##### **§ 52:14-17.46.2** Definitions relative to school employees' health benefits program. {#sec-52-14-17.46.2 omnilex-key=us-nj-statutes--title-52--52:14-17.46.2}
32. As used in the School Employees' Health Benefits Program Act, sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 through C.52:14-17.46.11):
a. The term "State" means the State of New Jersey.
b. The term "commission" means the School Employees' Health Benefits Commission, created by section 33 of P.L.2007, c.103 (C.52:14-17.46.3).
c. The term "employer" means local school district, regional school district, county vocational school district, county special services school district, jointure commission, educational services commission, State-operated school district, charter school, county college, any officer, board, or commission under the authority of the Commissioner of Education or of the State Board of Education, and any other public entity which is established pursuant to authority provided by Title 18A of the New Jersey Statutes, but excluding the State public institutions of higher education and excluding those public entities where the employer is the State of New Jersey.
d. (1) The term "employee" means a person employed in any full time capacity by an employer, and shall include persons defined as a school employee by the regulations of the State Health Benefits Commission in effect on the effective date of the School Employees' Health Benefits Program Act. "Full-time" shall have the same meaning as in the regulation of the State Health Benefits Commission regarding local coverage in effect on the effective date of the School Employees' Health Benefits Program Act.
(2) After the effective date of P.L.2010, c.2, the term "employee" means (a) a person employed in any full-time capacity by an employer who appears on a regular payroll and receives a salary or wages for an average of the number of hours per week as prescribed by the governing body of the participating employer which number of hours worked shall be considered full-time, determined by resolution, and not less than 25, and shall include persons defined as a school employee by the regulations of the State Health Benefits Commission in effect on the effective date of the School Employees' Health Benefits Program Act, or (b) a person employed in any full-time capacity by an employer who has or is eligible for health benefits coverage provided under P.L.1961, c.49 (C.52:14-17.25 et seq.) or sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 et seq.) on that effective date and continuously thereafter provided the person is covered by the definition in paragraph (1) of this subsection. The term "employee" shall not include persons employed on a short-term, seasonal, intermittent, or emergency basis, persons compensated on a fee basis, persons having less than two months of continuous service or persons whose compensation is limited to reimbursement of necessary expenses actually incurred in the discharge of their official duties. An employee paid on a 10-month basis, pursuant to an annual contract, shall be deemed to have satisfied the two-month waiting period if the employee begins employment at the beginning of the contract year. The term "employee" shall also not include retired persons who are otherwise eligible for benefits under the School Employees' Health Benefits Program but who, although they meet the age or disability eligibility requirement of Medicare, are not covered by Medicare Hospital Insurance, also known as Medicare Part A, and Medicare Medical Insurance, also known as Medicare Part B. A determination by the commission that a person is an eligible employee for the purposes of the School Employees' Health Benefits Program shall be final and binding on all parties.
e. The term "dependents" means an employee's spouse, domestic partner, or partner in a civil union couple, and unmarried children under the age of 23 years who live in a regular parent/child relationship. "Children" shall include stepchildren, legally adopted children and children placed by the Division of Child Protection and Permanency in the Department of Children and Families, provided they are reported for coverage and are wholly dependent upon the employee for support and maintenance. A spouse, domestic partner, partner in a civil union couple, or child enlisting or inducted into military service shall not be considered a dependent during the military service. The term "dependents" shall not include spouses, domestic partners, or partners in a civil union couple, of retired persons who are otherwise eligible for the benefits under the School Employees' Health Benefits Program but who, although they meet the age or disability eligibility requirement of Medicare, are not covered by Medicare Hospital Insurance, also known as Medicare Part A, and Medicare Medical Insurance, also known as Medicare Part B.
f. The term "carrier" means a voluntary association, corporation or other organization, including but not limited to a health maintenance organization as defined in section 2 of the "Health Maintenance Organizations Act," P.L.1973, c.337 (C.26:2J-2), which is lawfully engaged in providing or paying for or reimbursing the cost of, personal health services, including hospitalization, medical and surgical services under insurance policies or contracts, membership or subscription contracts, or the like, in consideration of premiums or other periodic charges payable to the carrier.
g. The term "hospital" means:
(1) an institution operated pursuant to law which is primarily engaged in providing on its own premises, for compensation from its patients, medical diagnostic and major surgical facilities for the care and treatment of sick and injured persons on an inpatient basis, and which provides such facilities under the supervision of a staff of physicians and with 24 hour a day nursing service by registered graduate nurses, or
(2) an institution not meeting all of the requirements of paragraph (1) but which is accredited as a hospital by the Joint Commission on Accreditation of Hospitals. In no event shall the term "hospital" include a convalescent nursing home or any institution or part thereof which is used principally as a convalescent facility, residential center for the treatment and education of children with mental disorders, rest facility, nursing facility or facility for the aged or for the care of persons with substance use disorder.
h. The term "Medicare" means the program established by the "Health Insurance for the Aged Act," Title XVIII of the "Social Security Act," Pub.L.89-97 (42 U.S.C. s.1395 et seq.), as amended, or its successor plan or plans.
i. The term "managed care plan" means a health care plan under which comprehensive health care services and supplies are provided to eligible employees, retirees, and dependents: (1) through a group of doctors and other providers employed by the plan; or (2) through an individual practice association, preferred provider organization, or point of service plan under which services and supplies are furnished to plan participants through a network of doctors and other providers under contracts or agreements with the plan on a prepayment or reimbursement basis and which may provide for payment or reimbursement for services and supplies obtained outside the network. The plan may be provided on an insured basis through contracts with carriers or on a self-insured basis, and may be operated and administered by the State or by carriers under contracts with the State.
j. The term "successor plan" means a managed care plan that shall replace the "traditional plan," as defined in section 2 of P.L.1961, c.49 (C.52:14-17.26), and that shall provide benefits as set forth in section 36 of P.L.2007, c.103 (C.52:14-17.46.6), and provide out-of-network benefits to participants with a payment by the plan of 80 percent of reasonable and customary charges as set forth in section 37 of P.L.2007, c.103 (C.52:14-17.46.7) and as may be adjusted in accordance with section 40 of P.L.2007, c.103 (C.52:14-17.46.10).
##### **§ 52:14-17.46.3** School Employees' Health Benefits Commission, School Employees' Health Benefits Plan Design Committee. {#sec-52-14-17.46.3 omnilex-key=us-nj-statutes--title-52--52:14-17.46.3}
33. a. There is hereby created a School Employees' Health Benefits Commission, consisting of nine members:
(1) the State Treasurer and the Commissioner of the Department of Banking and Insurance serving ex officio;
(2) a member appointed by the Governor who is a New Jersey resident and is qualified by experience, education, or training in the review, administration, or design of health insurance plans for self-insured employers;
(3) a member appointed by the Governor from among three persons nominated by the New Jersey School Boards' Association, which member shall be qualified by experience, education, or training in the review, administration, or design of health insurance plans for self-insured employers;
(4) three members appointed by the Governor from among five persons nominated by the New Jersey Education Association, of whom two shall be qualified by experience, education, or training in the review, administration, or design of health insurance plans for self-insured employers;
(5) a member appointed by the Governor from among three persons nominated by the education section of the New Jersey State AFL-CIO, which member shall be qualified by experience, education, or training in the review, administration, or design of health insurance plans for self-insured employers; and
(6) a member appointed pursuant to subsection b. of this section who shall be the chairperson.
b. The Governor shall appoint the chairperson from among three persons nominated jointly by at least six of the eight members appointed pursuant to subsection a. of this section.
c. If the Governor declines to make an appointment from among the persons nominated for membership, the Governor shall request that a new list of nominees be provided in compliance with subsection a. of this section. If the Governor declines to make an appointment from the new list, the process set forth in this subsection shall be repeated until the Governor makes an appointment from a list of nominees. Except with respect to the appointment of the chairperson, if a new list of nominees is not submitted within 45 days of the Governor's request, the Governor shall make the appointment without the need to select from any list of nominees.
d. The initial terms of the members of the commission shall be as follows:
(1) the member appointed pursuant to paragraph (3) of subsection a. of this section and the two members appointed pursuant to paragraph (4) of subsection a. of this section who are required to be qualified by experience, education, or training shall serve for a term of three years;
(2) the member appointed pursuant to paragraph (2) of subsection a. of this section, the member appointed pursuant to paragraph (4) of subsection a. of this section who is not required to be qualified by experience, education, or training, and the member appointed pursuant to paragraph (5) of subsection a. of this section shall serve for a term of two years; and
(3) the chairperson shall serve for a term of six years.
All subsequent terms shall be for three years, except that the term of the chairperson shall be five years. A member of the commission may be reappointed to succeeding terms without limit in the same manner as the original appointment. A vacancy occurring on the commission shall be filled in the same manner as the original appointment and only for the unexpired term.
e. There is established a School Employees' Health Benefits Plan Design Committee, composed of six members as follows:
three members who shall be appointed by the Governor as representatives of public employers whose employees are enrolled in the program;
two members who shall be appointed by the New Jersey Education Association; and
one member who shall be appointed by the education section of the New Jersey State AFL-CIO.
The members of the committee shall serve for a term of three years and until a successor is appointed and qualified. Of the initial appointments by the Governor, two members shall serve for two years and until a successor is appointed and qualified, and one shall serve for one year and until a successor is appointed and qualified. Of the initial appointments by the New Jersey Education Association, one member shall serve for one year and until a successor is appointed and qualified.
The members of the committee shall select a chairperson from among the members, who shall serve for a term of one year, with no member serving more than one term as chairperson until all the members of the committee have served a term in a manner alternating among the employer representatives and employee representatives, unless the committee determines otherwise with regard to this process.
The committee shall have the responsibility for and authority over the various plans and components of those plans, including for medical benefits, prescription benefits, dental, vision, and any other health care benefits, offered and administered by the program. The committee shall have the authority to create, modify, or terminate any plan or component, at its sole discretion. Any reference in law to the School Employees' Health Benefits Commission in the context of the creation, modification, or termination of a plan or plan component shall be deemed to apply to the committee.
The members of the committee shall have the same duty and responsibility to the program as do the members of the commission.
If any matter before the committee receives at least four votes in the affirmative, the commission shall approve and implement the committee's decision.
If any matter before the committee receives three votes in the affirmative and three votes in the negative or the committee otherwise reaches an impasse on a decision, the provisions of section 55 of P.L.2011, c.78 (C.52:14-17.27b) shall be followed.
##### **§ 52:14-17.46.4** Administration of School Employees' Health Benefits Program. {#sec-52-14-17.46.4 omnilex-key=us-nj-statutes--title-52--52:14-17.46.4}
34. The School Employees' Health Benefits Program, authorized by sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 through C.52:14-17.46.11), shall be administered in the Department of the Treasury. Administrative services required by the commission shall be provided through the Division of Pensions and Benefits, and the Director of the Division of Pensions and Benefits shall be the secretary of the commission. The commission and the committee shall establish a health benefits program for the school employees of the State, the cost of which shall be paid as specified in this act. The commission shall, by a majority vote of its full authorized membership, establish and change rules and regulations as may be deemed reasonable and necessary for the administration of this act by the commission and committee. Until such rules and regulations are established, the rules and regulations of the State Health Benefits Commission shall be deemed to apply to the School Employees' Health Benefits Program.
The Attorney General shall be the legal advisor of the commission and committee.
The members of the commission and committee shall serve without compensation but shall be reimbursed for any necessary expenditure.
The commission shall ensure that audits and reviews are performed as required by section 40 of P.L.2007, c.103 (C.52:14-17.46.10). Actions of the commission related to such audits and reviews shall require a majority vote of the full authorized membership of the commission to be approved.
Except as otherwise specified in this act, actions of the commission shall require the affirmative vote of a majority of the members present at a meeting at which a majority of the full authorized membership is present.
##### **§ 52:14-17.46.5** Purchase of contracts providing benefits. {#sec-52-14-17.46.5 omnilex-key=us-nj-statutes--title-52--52:14-17.46.5}
35. a. The commission shall negotiate with and arrange for the purchase, on such terms as it deems in the best interests of the State, participating employers and those persons covered hereunder from carriers licensed to operate in the State or in other jurisdictions, as appropriate, contracts providing benefits required by the School Employees' Health Benefits Program Act, as specified in section 36 of P.L.2007, c.103 (C.52:14-17.46.6), or such benefits as the commission may determine to provide, so long as such modification of benefits is in the best interests of the State, participating employers and those persons covered hereunder, and is consistent with the provisions of section 40 of that act (C.52:14-17.46.10). The commission shall have authority to execute all documents pertaining thereto for and on behalf of the State. The commission shall not enter into a contract under the School Employees' Health Benefits Program Act, unless the benefits provided thereunder are equal to or exceed the standards specified in section 36 of that act, or as such standards are modified pursuant to section 40 of that act.
b. The rates charged for any contract purchased under the authority of the School Employees' Health Benefits Program Act shall reasonably and equitably reflect the cost of the benefits provided based on principles which in the judgment of the commission are actuarially sound. The rates charged shall be determined based upon accepted group rating principles with due regard to the experience, both past and contemplated, under the contract. The commission shall have the right to particularize subgroups for experience purposes and rates. No increase in rates shall be retroactive.
c. The commission shall be authorized to accept an assignment of contract rights from or enter into an agreement, contract, memorandum of understanding or other terms with the State Health Benefits Commission to ensure that coverage for eligible employees, retirees and dependents under the School Employees' Health Benefits Program whose benefits had been provided through the State Health Benefits Program is continued without interruption. The transition provided for in this subsection shall occur within one year of the effective date of the School Employees' Health Benefits Program Act, sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 through C.52:14-17.46.11).
d. Benefits under the contract or contracts purchased as authorized by the School Employees' Health Benefits Program Act may be subject to such limitations, exclusions, or waiting periods as the commission finds to be necessary or desirable to avoid inequity, unnecessary utilization, duplication of services or benefits otherwise available, including coverage afforded under the laws of the United States, such as the federal Medicare program, or for other reasons.
e. The initial term of any contract purchased by the commission under the authority of the School Employees' Health Benefits Program Act shall be for such period to which the commission and the carrier may agree, but permission may be made for automatic renewal in the absence of notice of termination by the commission. Subsequent terms for which any contract may be renewed as herein provided shall each be limited to a period not to exceed one year.
f. Any carrier with which the commission contracts for the provision of hospital, surgical, obstetrical, and other covered health care services and benefits pursuant to this section shall provide to the third-party medical claims reviewer, procured pursuant to section 2 of P.L.2019, c.143 (C.52:14-17.30b), information in that carrier's provider network contracts, such as claims information and contractual discounts provided thereunder, that are applicable to a health benefits plan offered under the School Employees' Health Benefits Program.
Documents, materials and other information in the possession or control of the State, or the third-party medical claims reviewer, that are obtained or created by, or disclosed to, the State or any other person pursuant to this subsection shall be recognized by this State as being proprietary and containing trade secrets. All such documents, materials or other information shall be confidential by law and privileged, and shall not be subject to P.L.1963, c.71 (C.47:1A-1 et seq.); except that the State is authorized to use the documents, materials or other information in the furtherance of any regulatory or legal action brought as a part of the commission's or third-party medical claims reviewer's official duties. The State and the third-party medical claims reviewer shall not disclose, sell, or transfer the documents, materials or other information without the prior written consent of the carrier. This subsection shall not be construed as pertaining to medical claims data.
g. A contract entered into with a carrier pursuant to this section shall include therein the State's existing right to withhold payment for administrative services or to pursue any other remedy deemed appropriate by the State Treasurer if the carrier is found by the State upon information provided by the third-party medical claims reviewer to have committed errors resulting in a loss to the State in a quantity or value, or both, beyond a certain threshold, as shall be provided in the contract or by rules promulgated by the State Treasurer. The contract shall permit the State to recover any loss resulting from errors identified by the third-party medical claims reviewer.
h. Information provided to or obtained by the third-party medical claims reviewer shall be delivered, received, maintained, and reviewed in a manner and shall contain only material consistent with the "Health Insurance Portability and Accountability Act of 1996," Pub.L.104-191. To the extent necessary in accordance therewith, a carrier shall ensure that information provided to the medical claims reviewer is attendant to only persons who are participants in the School Employees' Health Benefits Program.
##### **§ 52:14-17.46.5a** Definitions. {#sec-52-14-17.46.5a omnilex-key=us-nj-statutes--title-52--52:14-17.46.5a}
4. The definitions set forth in section 32 of P.L.2007, c.103 (C.52:14-17.46.2) shall be applicable to sections 4 and 5 of this act, P.L.2023, c.195 (C.52:14-17.46.5a and 52:14-17.46.5b).
In addition, as used in this act:
"Competitive range" means the group of responsive proposals to a request for proposal that are among the most highly rated proposals as determined by the evaluation committee. The commission, or its designee, shall include an economic component to the established competitive range to ensure the group of responsive proposals deliver competitive pricing beneficial to the State Health Benefits Program and the School Employees' Health Benefits Program.
"Early retiree" means a retired employee of the State or participating employer who is retired, under 65 years of age, and not yet eligible to enroll in Medicare.
"Evaluation committee" means a group of individuals assigned, pursuant to section 3 of P.L.2005, c.336 (C.52:34-10.3), to review and evaluate quotes submitted in response to a request for proposal and recommend a contract award.
"Medicare retiree" means a retired employee of the State or participating employer who is 65 years of age or older, or otherwise qualified to enroll in Medicare due to health status, and is currently enrolled in Medicare. Eligible retirees include those who are enrolled in a self-insured Medicare Supplement plan.
"Plan type" means preferred provider organization (PPO), health maintenance organization (HMO), tiered network plan, high-deductible health plan, and Medicare supplemental PPO and HMO plans as those terms may be defined in law.
"Request for proposal" refers to all documents, whether attached or incorporated by reference, used for a publicly advertised procurement process that solicits proposals or offers to provide the goods or services specified therein.
"Responsive proposal" refers to a proposal that is deemed to have adequately addressed all material provisions of a request for proposal's terms and conditions, specifications, and other requirements.
"Third-party administrator" means a vendor that conducts claims administration, network management, claims processing, or other related services for an organization contracted by the State to provide health care services and benefits.
##### **§ 52:14-17.46.5b** School Employees' Health Benefits Commission, third-party administrators, responsive proposals, advantageous to the State. {#sec-52-14-17.46.5b omnilex-key=us-nj-statutes--title-52--52:14-17.46.5b}
5. a. For each plan type offered to eligible employees, early retirees, and certain Medicare retirees, and their dependents, the School Employees' Health Benefits Commission, or its designee, shall select at least two third-party administrators from among those vendors who submit responsive proposals that are most advantageous to the State, price and other factors considered, provided that, if fewer than two vendors submit responsive proposals within a competitive range established by the evaluation committee, the commission, or its designee, shall either: (1) select the one qualified vendor; or (2) reissue the solicitation for the plan type in its entirety in an effort to secure at least two third-party administrators.
b. Unless otherwise limited through the terms of a collective bargaining agreement, State or federal statute, or regulation, an eligible employee, early retiree, and Medicare retirees not eligible for or enrolled in Medicare Advantage plans shall have the opportunity, on an annual basis, during the open enrollment period or other applicable enrollment period, to choose a plan from among the plan types the commission has selected.
c. The commission, or its designee, shall award the contracts for each plan type under subsection a. of this section on the basis of the bid responses that are the most advantageous to the State, which shall consider price, network breadth, member experience, the ability to engage in innovative approaches designed to slow the growth of health care costs, and any other factors that the commission or its designee may deem relevant.
d. The commission, or its designee, is authorized to award a contract to the vendor with the bid that is most advantageous to the State, price and other factors considered, based upon the evaluation factors in subsection c. of this section, and to thereafter award another contract to one or more vendors with bids within the competitive range that can provide a comparable bid price and factors of the first awarded contract.
##### **§ 52:14-17.46.6** Benefits required for coverage under contract; terms defined. {#sec-52-14-17.46.6 omnilex-key=us-nj-statutes--title-52--52:14-17.46.6}
36. a. Notwithstanding the provisions of any other law to the contrary, the commission shall not enter into a contract under the School Employees' Health Benefits Program Act, sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 through C.52:14-17.46.11), for the benefits provided pursuant to the act, unless the level of benefits provided under the contract entered into is equal to or exceeds the level of benefits provided in this section, or as modified pursuant to section 40 of that act (C.52:14-17.46.10). Only benefits for medically necessary services that are not deemed experimental, investigative or otherwise not eligible medical services shall be provided. The determination that services are not "eligible medical services" shall be made by the commission consistent with the best interests of the State, participating employers and those persons covered hereunder. Benefits for services provided pursuant to the School Employees' Health Benefits Act shall be subject to limits or exclusions consistent with those that apply to benefits provided pursuant to the New Jersey State Health Benefits Program Act. The services provided pursuant to this section shall include all services, subject to applicable limits and exclusions, provided through the State Health Benefits Program as of July 1, 2007. The list of services in subsection b. of this section is not intended to be exclusive or to require that any limits or exclusions be exceeded.
b. The services covered hereunder by the School Employees' Health Benefits Program shall include:
(1) Physician services, including:
(a) Inpatient services, including:
(i) medical care including consultations;
(ii) surgical services and services related thereto; and
(iii) obstetrical services including normal delivery, cesarean section, and abortion.
(b) Outpatient/out-of-hospital services, including:
(i) office visits for covered services and care;
(ii) allergy testing and related diagnostic/therapy services;
(iii) dialysis center care;
(iv) maternity care;
(v) well child care;
(vi) child immunizations/lead screening;
(vii) routine adult physicals including pap, mammography, and prostate examinations; and
(viii) annual routine obstetrical/gynecological exam.
(2) Hospital services, both inpatient and outpatient, including:
(a) room and board;
(b) intensive care and other required levels of care;
(c) semi-private room;
(d) therapy and diagnostic services;
(e) surgical services or facilities and treatment related thereto;
(f) nursing care;
(g) necessary supplies, medicines, and equipment for care; and
(h) maternity care and related services.
(3) Other facility and services, including:
(a) approved treatment centers for medical emergency/accidental injury;
(b) approved surgical center;
(c) hospice;
(d) chemotherapy;
(e) diagnostic x-ray and lab tests;
(f) ambulance;
(g) durable medical equipment;
(h) prosthetic devices;
(i) foot orthotics;
(j) diabetic supplies and education; and
(k) oxygen and oxygen administration.
c. Benefits under the contract or contracts purchased as authorized by the School Employees' Health Benefits Program Act shall include those for the treatment of alcohol use disorder where such treatment is prescribed by a physician and shall also include treatment while confined in or as an outpatient of a licensed hospital or residential treatment program which meets minimum standards of care equivalent to those prescribed by the Joint Commission on Hospital Accreditation. No benefits shall be provided beyond those stipulated in the contracts held by the School Employees' Health Benefits Commission.
d. Benefits under the contract or contracts purchased as authorized by the School Employees' Health Benefits Program Act shall include those for mental health services subject to limits and exclusions consistent with those that apply to benefits for such services pursuant to the New Jersey State Health Benefits Program Act. Coverage for biologically-based mental illness, as defined in section 1 of P.L.1999, c.441 (C.52:14-17.29d), shall be provided in accordance with section 2 of P.L.1999, c.441 (C.52:14-17.29e).
e. Coverage provided under the School Employees' Health Benefits Program Act shall include coverage for all services for which coverage is mandated in the State Health Benefits Program pursuant to P.L.1961, c.49 (C.52:14-17.25 et seq.).
f. (1) As used in this subsection:
(a) "brand name" means the proprietary or trade name assigned to a drug product by the manufacturer or distributor of the drug product.
(b) "carrier" means an insurance company, hospital, medical, or health service corporation, preferred provider organization, or health maintenance organization under agreement or contract with the commission to administer the School Employee Prescription Drug Plan.
(c) "School Employee Prescription Drug Plan" means the plan for providing payment for eligible prescription drug expenses of members of the School Employees' Health Benefits Program and their eligible dependents.
(d) "generic drug products" means prescription drug products and insulin approved and designated by the United States Food and Drug Administration as therapeutic equivalents for reference listed drug products. The term includes drug products listed in the New Jersey Generic Formulary by the Drug Utilization Review Council pursuant to P.L.1977, c.240 (C.24:6E-1 et al.).
(e) "mail-order pharmacy" means the mail order program available through the carrier.
(f) "preferred brands" means brand name prescription drug products and insulin determined by the carrier to be a more cost effective alternative for prescription drug products and insulin with comparable therapeutic efficacy within a therapeutic class, as defined or recognized in the United States Pharmacopeia or the American Hospital Formulary Service Drug Information, or by the American Society of Health Systems Pharmacists. A drug product for which there is no other therapeutically equivalent drug product shall be a preferred brand. Determinations of preferred brands by the carrier shall be subject to review and modification by the commission.
(g) "retail pharmacy" means a pharmacy, drug store or other retail establishment in this State at which prescription drugs are dispensed by a registered pharmacist under the laws of this State, or a pharmacy, drug store or other retail establishment in another state at which prescription drug products are dispensed by a registered pharmacist under the laws of that state if expenses for prescription drug products dispensed at the pharmacy, drug store, or other retail establishment are eligible for payment under the School Employee Prescription Drug Plan.
(h) "other brands" means prescription drug products which are not preferred brands or generic drug products. A new drug product approved by the United States Food and Drug Administration which is not a generic drug product shall be included in this category until the carrier makes a determination concerning inclusion of the drug product in the list of preferred brands.
(2) (a) Employers that participate in the School Employees' Health Benefits Program may offer to their employees and eligible dependents:
(i) enrollment in the School Employee Prescription Drug Plan, or
(ii) enrollment in another free-standing prescription drug plan, or
(iii) election of prescription drug coverage under their health care coverage through the School Employees' Health Benefits Program plan or as otherwise determined by the commission.
(b) A co-payment shall be required for each prescription drug expense if the employer chooses to participate in the School Employee Prescription Drug Plan. The initial amounts of the co-payments shall be the same as those in effect on July 1, 2007 for the employee prescription drug plan offered through the State Health Benefits Program.
(c) If the employer elects to offer a free-standing prescription drug plan, the employee's share of the cost for this prescription drug plan may be determined by means of a binding collective negotiations agreement, including any agreements in force at the time the employer commences participation in the School Employees' Health Benefits Program.
(d) If an employee declines the employer's offering of a free-standing prescription drug plan, no reimbursement for prescription drugs shall be provided under the health care coverage through the School Employees' Health Benefits Program plan in which the employee is enrolled.
(e) Prescription drug classifications that are not eligible for coverage under the employer's prescription drug plan shall also not be eligible for coverage under the health care coverage through the School Employees' Health Benefits Program plan except as federally or State mandated.
(f) If the employer elects to not offer a free-standing prescription drug plan, then the employer shall offer prescription drug coverage under the health care coverage through the School Employees' Health Benefits Program plan or as determined by the commission. Any plan that has in-network and out-of-network coverage shall cover prescription drugs at 90 percent in-network and at the out-of-network rate applicable to health care coverage in the plan. The out-of-pocket amounts paid towards prescription drugs shall be combined with out-of-pocket medical payments to reach all out-of-pocket maximums.
(g) Health care coverages through the School Employees' Health Benefits Program that only have in-network benefits shall include a prescription card with co-payment amounts the same as those in effect on July 1, 2007 for such coverages offered through the State Health Benefits Program.
(h) In the fifth year following the initial appointment of all of its members, the commission shall, as part of the fifth year audit and review undertaken pursuant to section 40 of that act (C.52:14-17.46.10), review the prescription drug program established in this subsection and may make changes in the program pursuant to the terms of section 40 by majority vote of the full authorized membership of the commission.
g. Beginning January 1, 2012, the School Employees' Health Benefits Plan Design Committee shall provide to employees the option to select one of at least three levels of coverage each for
family, individual, individual and spouse, and individual and dependent, or equivalent categories, for each plan offered by the program differentiated by out of pocket costs to employees including co-payments and deductibles. Notwithstanding any other provision of law to the contrary, the committee shall have the sole discretion to set the amounts for maximums, co-pays, deductibles, and other such participant costs for all plans in the program. The committee shall also provide for a high deductible health plan that conforms with Internal Revenue Code Section 223.
There shall be appropriated annually for each State fiscal year, through the annual appropriations act, such amounts as shall be necessary as funding by the State with regard to retirees who have enrolled in a high deductible health plan that conforms with Internal Revenue Code Section 223.
##### **§ 52:14-17.46.6a** School Employees' Health Benefits Commission to provide for installment payments to obstetrical provider for maternity services. {#sec-52-14-17.46.6a omnilex-key=us-nj-statutes--title-52--52:14-17.46.6a}
10. Within 30 days of the effective date of this act, the School Employees' Health Benefits Commission shall provide, in every health benefits plan that provides for maternity services, for reimbursement in installments to an obstetrical provider licensed in New Jersey for maternity services rendered during the term of a covered person's pregnancy.
b. For the purposes of this section, "obstetrical provider licensed in New Jersey" means:
(1) an obstetrician/gynecologist licensed by the State Board of Medical Examiners; or
(2) a midwife licensed by the State Board of Medical Examiners as a certified midwife or a certified nurse midwife.
##### **§ 52:14-17.46.6b** School Employees' Health Benefits program to provide benefits for treatment of autism or other developmental disability. {#sec-52-14-17.46.6b omnilex-key=us-nj-statutes--title-52--52:14-17.46.6b}
10. Notwithstanding any other provision of law to the contrary, the School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage pursuant to the provisions of this section.
a. The contract shall provide coverage for expenses incurred in screening and diagnosing autism or another developmental disability.
b. When the covered person's primary diagnosis is autism or another developmental disability, the contract shall provide coverage for expenses incurred for medically necessary occupational therapy, physical therapy, and speech therapy, as prescribed through a treatment plan. Coverage of these therapies shall not be denied on the basis that the treatment is not restorative.
c. When the covered person is under 21 years of age and the covered person's primary diagnosis is autism, the contract shall provide coverage for expenses incurred for medically necessary behavioral interventions based on the principles of applied behavioral analysis and related structured behavioral programs, as prescribed through a treatment plan, subject to the provisions of this subsection.
(1) Except as provided in paragraph (3) of this subsection, the benefits provided pursuant to this subsection shall be provided to the same extent as for any other medical condition under the contract, but shall not be subject to limits on the number of visits that a covered person may make to a provider of behavioral interventions.
(2) The benefits provided pursuant to this subsection shall not be denied on the basis that the treatment is not restorative.
(3) (a) The maximum benefit amount for a covered person in any calendar year through 2011 shall be $36,000.
(b) Commencing on January 1, 2012, the maximum benefit amount shall be subject to an adjustment, to be promulgated by the Commissioner of Banking and Insurance and published in the New Jersey Register no later than February 1 of each calendar year, which shall be equal to the change in the consumer price index for all urban consumers for the nation, as prepared by the United States Department of Labor, for the calendar year preceding the calendar year in which the adjustment to the maximum benefit amount is promulgated.
(c) The adjusted maximum benefit amount shall apply to a contract that is delivered, issued, executed, or renewed, or approved for issuance or renewal, in the 12-month period following the date on which the adjustment is promulgated.
(d) Notwithstanding the provisions of this paragraph to the contrary, the commission shall not be precluded from providing a benefit amount for a covered person in any calendar year that exceeds the benefit amounts set forth in subparagraphs (a) and (b) of this paragraph.
d. The treatment plan required pursuant to subsections b. and c. of this section shall include all elements necessary for the carrier to appropriately provide benefits, including, but not limited to: a diagnosis; proposed treatment by type, frequency, and duration; the anticipated outcomes stated as goals; the frequency by which the treatment plan will be updated; and the treating physician's signature. The carrier may only request an updated treatment plan once every six months from the treating physician to review medical necessity, unless the carrier and the treating physician agree that a more frequent review is necessary due to emerging clinical circumstances.
e. The provisions of subsections b. and c. of this section shall not be construed as limiting benefits otherwise available to a covered person.
f. The provisions of subsections b. and c. of this section shall not be construed to require that benefits be provided to reimburse the cost of services provided under an individualized family service plan or an individualized education program, or affect any requirement to provide those services; except that the benefits provided pursuant to those subsections shall include coverage for expenses incurred by participants in an individualized family service plan through a family cost share.
g. The coverage required under this section may be subject to utilization review, including periodic review, by the carrier of the continued medical necessity of the specified therapies and interventions.
##### **§ 52:14-17.46.6c** School Employees' Health Benefits Commission to provide coverage for oral anticancer medications. {#sec-52-14-17.46.6c omnilex-key=us-nj-statutes--title-52--52:14-17.46.6c}
10. a. The School Employees' Health Benefits Commission shall ensure that every contract purchased on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage for expenses for prescribed, orally administered anticancer medications used to kill or slow the growth of cancerous cells on a basis no less favorable than the contract provides for intravenously administered or injected anticancer medications.
b. Pursuant to subsection a. of this section, coverage for expenses for prescribed, orally administered anticancer medications used to kill or slow the growth of cancerous cells shall not be subject to any prior authorization, dollar limit, copayment, deductible or coinsurance provision that does not apply to intravenously administered or injected anticancer medications.
c. A School Employees' Health Benefits Commission contract shall not achieve compliance with the provisions of this section by imposing an increase in patient cost sharing, including any copayment, deductible or coinsurance, for anticancer medications, whether intravenously administered or injected or orally administered, that are covered under the contract as of the effective date of this act.
##### **§ 52:14-17.46.6d** School Employees' Health Benefits Commission to provide coverage for prescription eye drops. {#sec-52-14-17.46.6d omnilex-key=us-nj-statutes--title-52--52:14-17.46.6d}
10. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits that include coverage for prescription eye drops, shall provide coverage for expenses incurred for refills of prescription eye drops in accordance with the Guidance for Early Refill Edits of Topical Ophthalmic Products provided to Medicare Part D plan sponsors by the Centers for Medicare & Medicaid Services of the U.S. Department of Health and Human Services, provided that:
(1) the prescribing health care practitioner indicates on the original prescription that additional quantities of the prescription eye drops are needed; and
(2) the refill requested by the covered person does not exceed the number of additional quantities indicated on the original prescription by the prescribing health care practitioner.
##### **§ 52:14-17.46.6e** School Employees' Health Benefits Commission, coverage for synchronization of prescribed medications. {#sec-52-14-17.46.6e omnilex-key=us-nj-statutes--title-52--52:14-17.46.6e}
10. The School Employees' Health Benefits Commission shall ensure that every contract under the School Employees' Health Benefits Program purchased on or after the effective date of this act, which provides benefits for pharmacy services, prescription drugs, or for participation in a prescription drug plan, shall, on at least one occasion per year for each covered person:
(1) apply a prorated daily cost-sharing rate to prescriptions that are dispensed by a network pharmacy for less than a 30 days' supply if the prescriber or pharmacist indicates the fill or refill is in the best interest of the covered person or is for the purpose of synchronizing the covered person's chronic medications;
(2) provide coverage for a drug prescribed for the treatment of a chronic illness dispensed in accordance with a plan among the covered person, the prescriber and the pharmacist to synchronize the refilling of multiple prescriptions for the covered person; and
(3) determine dispensing fees based exclusively on the total number of prescriptions dispensed; dispensing fees shall not be prorated or based on the number of the days' supply of medication prescribed or dispensed.
This section shall not apply to prescriptions for opioid analgesics. "Opioid analgesic" means a drug in the opioid analgesic drug class prescribed to treat moderate to severe pain or other conditions, whether in immediate release or extended release form, and whether or not combined with other drug substances to form a single drug product or dosage form.
##### **§ 52:14-17.46.6f** School Employees' Health Benefit Commission to provide benefits for treatment of substance use disorder. {#sec-52-14-17.46.6f omnilex-key=us-nj-statutes--title-52--52:14-17.46.6f}
10. a. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act provides unlimited benefits for inpatient and outpatient treatment of substance use disorder at in-network facilities. The services for the treatment of substance use disorder shall be prescribed by a licensed physician, licensed psychologist, or licensed psychiatrist and provided by licensed health care professionals or licensed or certified substance use disorder providers in licensed or otherwise State-approved facilities, as required by the laws of the state in which the services are rendered.
b. The benefits for the first 180 days per plan year of inpatient and outpatient treatment of substance use disorder shall be provided when determined medically necessary by the covered person's physician, psychologist or psychiatrist without the imposition of any prior authorization or other prospective utilization management requirements. The facility shall notify the benefit payer of both the admission and the initial treatment plan within 48 hours of the admission or initiation of treatment. If there is no in-network facility immediately available for a covered person, the contract shall provide necessary exceptions to their network to ensure admission in a treatment facility within 24 hours.
c. Providers of treatment for substance use disorder to persons covered under a covered contract shall not require pre-payment of medical expenses during this 180 days in excess of applicable co-payment, deductible, or co-insurance under the policy.
d. The benefits for outpatient visits shall not be subject to concurrent or retrospective review of medical necessity or any other utilization management review.
e. (1) The benefits for the first 28 days of an inpatient stay during each plan year shall be provided without any retrospective review or concurrent review of medical necessity and medical necessity shall be as determined by the covered person's physician.
(2) The benefits for days 29 and thereafter of inpatient care shall be subject to concurrent review as defined in this section. A request for approval of inpatient care beyond the first 28 days shall be submitted for concurrent review before the expiration of the initial 28-day period. A request for approval of inpatient care beyond any period that is approved under concurrent review shall be submitted within the period that was previously approved. The contract shall not initiate concurrent review more frequently than at two-week intervals. If it is determined that continued inpatient care in a facility is no longer medically necessary, the contract shall provide that within 24 hours, written notice shall be provided to the covered person and the covered person's physician of its decision and the right to file an expedited internal appeal of the determination pursuant to an expedited process pursuant to sections 11 through 13 of P.L.1997, c.192 (C.26:2S-11 through 26:2S-13) and N.J.A.C.11:24A-3.5, as applicable. A determination shall be made with respect to the internal appeal within 24 hours and shall be communicated to the covered person and the covered person's physician. If the determination is to uphold the denial, the covered person and the covered person's physician have the right to file an expedited external appeal with the Independent Health Care Appeals Program in the Department of Banking and Insurance pursuant to sections 11 through 13 of P.L.1997, c.192 (C.26:2S-11 through 26:2S-13) and N.J.A.C.11:24A-3.6, as applicable. An independent utilization review organization shall make a determination within 24 hours. If the determination is upheld and it is determined continued inpatient care is not medically necessary, the contract shall state that benefits are provided for the inpatient care through the day following the date the determination is made and the covered person shall only be responsible for any applicable co-payment, deductible and co-insurance for the stay through that date as applicable under the contract. The covered person shall not be discharged or released from the inpatient facility until all internal appeals and independent utilization review organization appeals are exhausted. For any costs incurred after the day following the date of determination until the day of discharge, the covered person shall only be responsible for any applicable cost-sharing, and any additional charges shall be paid by the facility or provider.
f. (1) The benefits for the first 28 days of intensive outpatient or partial hospitalization services shall be provided without any retrospective review of medical necessity and medical necessity shall be as determined by the covered person's physician.
(2) The benefits for days 29 and thereafter of intensive outpatient or partial hospitalization services shall be subject to a retrospective review of the medical necessity of the services.
g. Benefits for inpatient and outpatient treatment of substance use disorder after the first 180 days per plan year shall be subject to medical necessity determination and may be subject to prior authorization or, retrospective review and other utilization management requirements.
h. Medical necessity review shall utilize an evidence-based and peer reviewed clinical review tool to be designated through rulemaking by the Commissioner of Human Services in consultation with the Department of Health.
i. The benefits for outpatient prescription drugs to treat substance use disorder shall be provided when determined medically necessary by the covered person's physician, psychologist or psychiatrist without the imposition of any prior authorization or other prospective utilization management requirements.
j. The first 180 days per plan year of benefits shall be computed based on inpatient days. One or more unused inpatient days may be exchanged for two outpatient visits. All extended outpatient services such as partial hospitalization and intensive outpatient, shall be deemed inpatient days for the purpose of the visit to day exchange provided in this subsection.
k. Except as stated above, the benefits and cost-sharing shall be provided to the same extent as for any other medical condition covered under the contract.
l. The benefits required by this section are to be provided to all covered persons with a diagnosis of substance use disorder. The presence of additional related or unrelated diagnoses shall not be a basis to reduce or deny the benefits required by this section.
m. As used in this section:
"Concurrent review" means inpatient care is reviewed as it is provided. Medically qualified reviewers monitor appropriateness of the care, the setting, and patient progress, and as appropriate, the discharge plans.
"Substance use disorder" is as defined by the American Psychiatric Association in the Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition and any subsequent editions and shall include substance use withdrawal.
##### **§ 52:14-17.46.6g** School Employees Health Benefits Program to provide coverage for treatment of infertility. {#sec-52-14-17.46.6g omnilex-key=us-nj-statutes--title-52--52:14-17.46.6g}
7. The School Employees Health Benefits Commission shall ensure that every contract under the School Employees Health Benefits Program shall provide coverage for medically necessary expenses, as determined by a physician, incurred in the diagnosis and treatment of infertility as provided pursuant to this section. The School Employees Health Benefits Program contract shall provide coverage for any services related to infertility in accordance with American Society for Reproductive Medicine guidelines and as determined by a physician, which includes, but is not limited to: diagnosis and diagnostic tests; medications; surgery; intrauterine insemination; in vitro fertilization, including in vitro fertilization using donor eggs and in vitro fertilization where the embryo is transferred to a gestational carrier or surrogate; genetic testing; artificial insemination; intracytoplasmic sperm injection; four completed egg retrievals; unlimited embryo transfers, in accordance with guidelines from the American Society for Reproductive Medicine, using single embryo transfer when recommended and deemed medically appropriate by a physician; and medical costs of egg or sperm donors, including office visits, medications, laboratory and radiological procedures, and retrieval, shall be covered until the donor is released from treatment by the reproductive endocrinologist. The School Employees Health Benefits Commission may provide that coverage for in vitro fertilization shall be limited to a covered person who has used all reasonable, less expensive, and medically appropriate treatments, as determined by a licensed physician, and is still unable to become pregnant or carry a pregnancy to a live birth. Coverage for infertility services provided to partners of persons who have successfully reversed a voluntary sterilization shall not be excluded. A contract shall not impose any restriction concerning the coverage of infertility services based on age.
As used in this section:
"Infertility" means a disease, condition, or status characterized by any of the following:
(1) the inability to achieve a successful pregnancy based on a patient's medical, sexual, and reproductive history, age, physical findings, diagnostic testing, or any combination of those factors;
(2) the need for medical intervention, including, but not limited to, the use of donor gametes or donor embryos in order to achieve a successful pregnancy either as an individual or with a partner; or
(3) in patients having regular, unprotected intercourse and without any known etiology for either partner suggestive of impaired reproductive ability, evaluation should be initiated at 12 months when the female partner is under 35 years of age and at 6 months when the female partner is 35 years of age or older.
Nothing in this definition shall be used to deny or delay treatment to any individual, regardless of relationship status or sexual orientation.
"Treatment of infertility" means the recommended treatment plan or prescribed procedures, services, and medications directed by a licensed physician for infertility as defined in this section.
The benefits shall be provided to the same extent as for other medical conditions under the contract, except that the services provided for in this section shall be performed at facilities that conform to standards established by the American Society for Reproductive Medicine or the American College of Obstetricians and Gynecologists. The same copayments, deductibles and benefit limits shall apply to the diagnosis and treatment of infertility pursuant to this section as those applied to other medical or surgical benefits under the contract. Infertility resulting from a voluntary unreversed sterilization procedure may be excluded under the contract if the voluntary unreversed sterilization is the sole cause of infertility, provided, however, that coverage for infertility services shall not be excluded if the voluntary sterilization is successfully reversed. Nothing in this section shall preclude the carrier from performing utilization review, including periodic review of the medical necessity of a particular service, provided all utilization review decisions are consistent with American Society for Reproductive Medicine guidelines.
##### **§ 52:14-17.46.6h** School Employees Health Benefits Commission to provide coverage, payment. {#sec-52-14-17.46.6h omnilex-key=us-nj-statutes--title-52--52:14-17.46.6h}
10. a. The School Employees' Health Benefits Commission shall ensure that every contract purchased thereby, which provides hospital and medical expense benefits, additionally provides coverage and payment for health care services delivered to a covered person through telemedicine or telehealth, on the same basis as, and at a provider reimbursement rate that does not exceed the provider reimbursement rate that is applicable, when the services are delivered through in-person contact and consultation in New Jersey, provided the services are otherwise covered under the contract when delivered through in-person contact and consultation in New Jersey. Reimbursement payments under this section may be provided either to the individual practitioner who delivered the reimbursable services, or to the agency, facility, or organization that employs the individual practitioner who delivered the reimbursable services, as appropriate.
b. A health benefits contract purchased by the School Employees' Health Benefits Commission may limit coverage to services that are delivered by health care providers in the health benefits plan's network, but may not charge any deductible, copayment, or coinsurance for a health care service, delivered through telemedicine or telehealth, in an amount that exceeds the deductible, copayment, or coinsurance amount that is applicable to an in-person consultation. In no case shall a health benefits contract purchased by the School Employees' Health Benefits Commission:
(1) impose any restrictions on the location or setting of the distant site used by a health care provider to provide services using telemedicine and telehealth or on the location or setting of the originating site where the patient is located when receiving services using telemedicine and telehealth, except to ensure that the services provided using telemedicine and telehealth meet the same standard of care as would be provided if the services were provided in person;
(2) restrict the ability of a provider to use any electronic or technological platform to provide services using telemedicine or telehealth, including, but not limited to, interactive, real-time, two-way audio, which may be used in combination with asynchronous store-and-forward technology without video capabilities, including audio-only telephone conversations, to provide services using telemedicine or telehealth, provided that the platform used:
(a) allows the provider to meet the same standard of care as would be provided if the services were provided in person; and
(b) is compliant with the requirements of the federal health privacy rule set forth at 45 CFR Parts 160 and 164;
(3) deny coverage for or refuse to provide reimbursement for routine patient monitoring performed using telemedicine and telehealth, including remote monitoring of a patient's vital signs and routine check-ins with the patient to monitor the patient's status and condition, if coverage and reimbursement would be provided if those services are provided in person, and the provider is able to meet the same standard of care as would be provided if the services were provided in person; or
(4) limit coverage only to services delivered by select third-party telemedicine or telehealth organizations.
c. Nothing in this section shall be construed to:
(1) prohibit a health benefits contract from providing coverage for only those services that are medically necessary, subject to the terms and conditions of the covered person's health benefits plan; or
(2) allow the School Employees' Health Benefits Commission, or a contract purchased thereby, to require a covered person to use telemedicine or telehealth in lieu of receiving an in-person service from an in-network provider.
d. The School Employees' Health Benefits Commission shall adopt rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to implement the provisions of this section.
e. As used in this section:
"Asynchronous store-and-forward" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
"Distant site" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
"Originating site" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
"Telehealth" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
"Telemedicine" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
"Telemedicine or telehealth organization" means the same as that term is defined by section 1 of P.L.2017, c.117 (C.45:1-61).
##### **§ 52:14-17.46.6i** School Employees' Health Benefits Commission to provide coverage regardless of gender identity, expression. {#sec-52-14-17.46.6i omnilex-key=us-nj-statutes--title-52--52:14-17.46.6i}
10. a. Notwithstanding any other law or regulation to the contrary, the School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital and medical expense benefits shall not contain any provision that discriminates, and the commission shall ensure there is no discrimination, on the basis of a covered person's or prospective covered person's gender identity or expression or on the basis that the covered person or prospective covered person is a transgender person.
b. The discrimination prohibited by this section shall include:
(1) denying, cancelling, limiting or refusing to issue or renew a contract on the basis of a covered person's or prospective covered person's gender identity or expression, or for the reason that the covered person or prospective covered person is a transgender person;
(2) demanding or requiring a payment or premium that is based in whole or in part on a covered person's or prospective covered person's gender identity or expression, or for the reason that the covered person or prospective covered person is a transgender person;
(3) designating a covered person's or prospective covered person's gender identity or expression, or the fact that a covered person or prospective covered person is a transgender person, as a preexisting condition for which coverage will be denied or limited; or
(4) denying or limiting coverage, or denying a claim, for services including but not limited to the following, due to a covered person's gender identity or expression or for the reason that the covered person is a transgender person:
(a) health care services related to gender transition if coverage is available for those services under the contract when the services are not related to gender transition, including but not limited to hormone therapy, hysterectomy, mastectomy, and vocal training; or
(b) health care services that are ordinarily or exclusively available to individuals of one sex when the denial or limitation is due only to the fact that the covered person is enrolled as belonging to the other sex or has undergone, or is in the process of undergoing, gender transition.
c. For the purposes of this section:
"Gender expression" means a person's gender-related appearance and behavior, whether or not stereotypically associated with the person's assigned sex at birth.
"Gender identity" means a person's internal sense of their own gender, regardless of the sex the person was assigned at birth.
"Gender transition" means the process of changing a person's outward appearance, including physical sex characteristics, to accord with the person's actual gender identity.
"Transgender person" means a person who identifies as a gender different from the sex assigned to the person at birth.
d. Nothing in this section shall preclude the carrier from performing utilization review, including periodic review of the medical necessity of a particular service.
##### **§ 52:14-17.46.6j** School Employees' Health Benefits Commission to cover digital tomosynthesis of the breast. {#sec-52-14-17.46.6j omnilex-key=us-nj-statutes--title-52--52:14-17.46.6j}
10. a. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital and medical expense benefits shall provide coverage for expenses incurred in conducting digital tomosynthesis to detect or screen for breast cancer in women 40 years of age and over; and for diagnostic purposes in women of any age.
b. In the case of digital tomosynthesis conducted to detect or screen for breast cancer in women 40 years of age and over, no deductible, coinsurance or other cost sharing shall be applied; and in the case of digital tomosynthesis conducted for diagnostic purposes in women of any age, the same deductibles, coinsurance, and other cost sharing as apply to similar services under the contract shall be applied.
##### **§ 52:14-17.46.6k** School Employees' Health Benefits Commission to provide coverage for donated human breast milk. {#sec-52-14-17.46.6k omnilex-key=us-nj-statutes--title-52--52:14-17.46.6k}
10. a. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage for expenses incurred in the provision of pasteurized donated human breast milk, which may include human milk fortifiers if indicated by the prescribing licensed medical practitioner, provided that:
(1) the covered person is an infant under the age of six months;
(2) the milk is obtained from a human milk bank that meets quality guidelines established by the Department of Health ; and
(3) a licensed medical practitioner has issued an order for an infant who is medically or physically unable to receive maternal breast milk or participate in breast feeding or whose mother is medically or physically unable to produce maternal breast milk in sufficient quantities or participate in breast feeding despite optimal lactation support; or
(4) a licensed medical practitioner has issued an order for an infant who meets any of the following conditions:
(a) a body weight below healthy levels determined by the licensed medical practitioner;
(b) a congenital or acquired condition that places the infant at a high risk for development of necrotizing enterocolitis; or
(c) a congenital or acquired condition that may benefit from the use of donor breast milk as determined by the Department of Health.
b. Nothing in this section shall preclude the carrier from performing utilization review, including periodic review of the medical necessity of a particular service.
c. The benefits shall be provided to the same extent as for any other prescribed items under the contract.
d. If there is no supply of human breast milk that meets the requirements of paragraph (2) of subsection a. of this section, the carrier shall not be required to provide coverage of expenses pursuant to this section.
##### **§ 52:14-17.46.6l** School Employees' Health Benefits Commission not to provide coverage for certain early elective deliveries. {#sec-52-14-17.46.6l omnilex-key=us-nj-statutes--title-52--52:14-17.46.6l}
5. a. Notwithstanding any other law or regulation to the contrary, the School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital and medical expense benefits shall not provide coverage for a non-medically indicated early elective delivery performed at a hospital on a pregnant woman earlier than the 39th week of gestation.
b. As used in this section, "non-medically indicated early elective delivery" means the artificial start of the birth process through medical interventions or other methods, also known as labor induction, or the surgical delivery of a baby via a cesarean section for purposes or reasons that are not fully consistent with established standards of clinical care as provided by the American College of Obstetricians and Gynecologists.
##### **§ 52:14-17.46.6m** School Employees' Health Benefits Commission to provide coverage for standard fertility preservation services. {#sec-52-14-17.46.6m omnilex-key=us-nj-statutes--title-52--52:14-17.46.6m}
7. a. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage for standard fertility preservation services when a medically necessary treatment may directly or indirectly cause iatrogenic infertility.
For the purposes of this section:
"Iatrogenic infertility" means an impairment of fertility caused by surgery, radiation, chemotherapy, or other medical treatment affecting reproductive organs or processes.
"May directly or indirectly cause" means a medical treatment with a likely side effect of iatrogenic infertility as established by the American Society for Reproductive Medicine, the American Society of Clinical Oncology, or as defined by the New Jersey Department of Health.
"Standard fertility preservation services" means procedures consistent with established medical practices and professional guidelines published by the American Society for Reproductive Medicine, the American Society of Clinical Oncology, or as defined by the New Jersey Department of Health. "Standard fertility preservation services" shall not include the storage of sperm or oocytes.
The benefits shall be provided to the same extent as for any other medical condition under the contract. The same copayments, deductibles, and benefit limits shall apply to the provision of standard fertility preservation services pursuant to this section as those applied to other medical or surgical benefits under the contract.
b. The School Employees' Health Benefits Program shall not purchase a contract that determines the provision of standard fertility preservation services based on a covered person's expected length of life, present or predicted disability, degree of medical dependency, perceived quality of life, or other health conditions, or based on personal characteristics, including age, sex, sexual orientation, marital status, or gender identity.
##### **§ 52:14-17.46.6n** School Employees' Health Benefits Commission to provide coverage for breastfeeding support. {#sec-52-14-17.46.6n omnilex-key=us-nj-statutes--title-52--52:14-17.46.6n}
10. a. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage for comprehensive lactation support, counseling, and consultation, and the costs for renting or purchasing breastfeeding equipment, in conjunction with each birth, for the duration of breastfeeding for contract enrollees, with no cost-sharing.
b. Coverage of breastfeeding equipment shall include:
(1) Purchase of a single-user breast pump, subject to the following conditions:
(a) A contract shall cover the purchase of a double electric breast pump. If an enrollee requests a manual pump in lieu of the double electric breast pump, the contract shall cover the purchase of a manual pump.
(b) A double electric breast pump provided pursuant to this paragraph shall be of sufficient power and durability to establish and maintain milk supply for the duration of breastfeeding.
(c) A contract shall not require documentation of medical necessity, prior authorization, or a prescription for a breast pump provided pursuant to this paragraph.
(d) Coverage shall be available at any time during pregnancy and the postpartum period, and shall continue for the duration of breastfeeding as defined by the contract enrollee.
(e) Coverage for breast pumps shall include repair or replacement if necessary.
(2) Rental or purchase of a multi-user breast pump, on the recommendation of a licensed health care provider, subject to the following conditions:
(a) When recommended by a licensed health care provider, a contract shall provide coverage for a multi-user breast pump.
(b) A contract may provide for a determination as to whether a rental or purchase is covered.
(c) Coverage for a multi-user breast pump shall be covered without regard to coverage or acquisition of a single-user breast pump.
(d) A contract may provide for requirement of a letter of medical necessity from a lactation consultant or other health care provider for coverage of a multi-user pump. The letter shall not interfere with the timely acquisition of a multi-user pump.
(3) Coverage of breastfeeding equipment pursuant to this section shall include two breast pump kits per birth event, as well as appropriate size breast pump flanges, or other lactation accessories recommended by a health care provider.
(4) Breastfeeding equipment specified in paragraphs (1) and (3) of this subsection shall be furnished: within 48 hours of notification of need, if requested after the birth of the child; or by the later of two weeks before the enrollee's expected due date or 72 hours after notification, if requested prior to the birth of the child. If the enrollee does not receive breastfeeding equipment within 48 hours, the enrollee may purchase the equipment and the contract shall provide for reimbursement of all out-of-pocket expenses incurred by the enrollee, including any balance billing amounts.
(5) Breastfeeding equipment specified in paragraph (2) of this subsection shall be made available within 12 hours of notification of need. If equipment is not available within 12 hours of notification of need, the contract shall provide for reimbursement of all out-of-pocket rental expenses incurred by the enrollee, including any balance billing amounts, until the enrollee receives breastfeeding equipment.
c. Coverage of comprehensive lactation counseling and lactation consultation shall include:
(1) In-person, one-on-one lactation counseling and lactation consultation, subject to the following conditions:
(a) Coverage shall include visits that occur inside and outside a hospital or office setting. In-person lactation counseling and lactation consultation shall be covered regardless of location of service provision and shall include home visits.
(b) Lactation counseling and lactation consultation shall be made available within 24 hours of notification of need.
(2) Telephonic lactation assistance shall be covered in addition to, and not as a substitute for, in-person, one-on-one lactation counseling or lactation consultation, when an enrollee requests one-on-one, in-person lactation counseling or lactation consultation. The telephonic lactation assistance shall be provided within 12 hours of notification of need.
(3) Group lactation counseling shall be covered in addition to, and not as a substitute for, one-on-one, in-person lactation counseling or lactation consultation, if an enrollee requests one-on-one, in-person lactation counseling or lactation consultation. Group counseling shall include educational classes and support groups.
(4) A contract shall not require prior authorization, prescription or referral for any lactation counseling or lactation consultation, regardless of provider type or setting.
(5) A contract shall not impose medical management techniques not described in this section.
d. Except as otherwise authorized pursuant to this section, a contract shall not impose restrictions on the coverage provided pursuant to this section, including, but not limited to, limitations on reimbursement to allowable amounts or reasonable and customary charges, documentation requests, or delays on the coverage provided.
e. As used in this section:
"Cost-sharing" means deductible, co-insurance or co-payments, or similar charges.
"Breast pump kit" means a collection of tubing, valves, flanges, collection bottles, or other parts required to extract human milk using a breast pump.
"Lactation consultant" means an individual who is an International Board Certified Lactation Consultant.
"Lactation consultation" means the clinical application by a lactation consultant or other licensed health care provider of scientific principles and a multidisciplinary body of evidence for evaluation, problem identification, treatment, education, and consultation to child-bearing families utilizing lactation care and services.
Lactation care and services shall include, but not be limited to:
(1) lactation assessment through the systematic collection of subjective and objective data;
(2) analysis of data and creation of a plan of care;
(3) implementation of a lactation care plan with demonstration and instruction to parents and communication to the primary health care provider;
(4) evaluation of outcomes;
(5) provision of lactation education to parents and health care providers; and
(6) the recommendation and use of assistive devices.
"Lactation counseling" means breastfeeding education and support services provided by a lactation counselor, such as:
(1) educating women, families, health care professionals, and the community about the impact of breastfeeding and human lactation on health and what to expect in the normal course of breastfeeding;
(2) acting as an advocate for breastfeeding as the norm for feeding infants and young children;
(3) providing breastfeeding support, encouragement, and care from preconception to weaning in order to help women and their families meet their breastfeeding goals;
(4) using principles of adult education when teaching clients, health care providers, and others in the community; and
(5) identifying and referring high-risk mothers and babies and those requiring clinical treatment appropriately.
"Lactation counselor" means an individual, other than an International Board Certified Lactation Consultant or a licensed health care provider, who is:
(1) licensed or certified to practice lactation counseling under any law, or who is an accredited member belonging to another profession or occupation, who provides breastfeeding education and support services for which that person is licensed, regulated, accredited, or certified; or
(2) a community-based lactation supporter who has received at least 40 hours of specialty education in breastfeeding and lactation, and who works within a lactation counselor's scope of practice.
"Telephonic lactation assistance" means lactation counseling or consultation with a lactation counselor or lactation consultant conducted remotely through live voice communication.
##### **§ 52:14-17.46.6o** School Employee's Health Benefits Commission to cover preventive services. {#sec-52-14-17.46.6o omnilex-key=us-nj-statutes--title-52--52:14-17.46.6o}
10. a. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide coverage, without requiring any cost sharing, for the following preventive services:
(1) evidence-based items or services that have in effect a rating of "A" or "B" in the current recommendations of the United States Preventive Services Task Force;
(2) immunizations that have in effect a recommendation from the Department of Health, which shall in making its recommendations consider the recommendations of the Advisory Committee on Immunization Practices of the Centers for Disease Control and Prevention in the federal Department of Health and Human Services and, as appropriate, the recommendations of the American Academy of Pediatrics, the American Academy of Family Physicians, the American College of Obstetricians and Gynecologists, and the American College of Physicians;
(3) with respect to infants, children, and adolescents, evidence-informed preventive care and screenings provided for in the comprehensive guidelines supported by the Health Resources and Services Administration; and
(4) with respect to women, any additional preventive care and screenings not described in paragraph (1) as provided for in the comprehensive guidelines supported by the Health Resources and Services Administration.
b. (1) Except as provided in paragraph (2) of this subsection, nothing in this section shall:
(a) require a contract which has a network of providers to provide benefits for items or services described in subsection a. of this section that are delivered by an out-of-network provider; or
(b) preclude a contract which has a network of providers from imposing cost-sharing requirements for items or services described in subsection a. of this section that are delivered by an out-of-network provider.
(2) If a contract does not have in its network a provider who can provide an item or service described in subsection a. of this section, the contract shall cover the item or service when performed by an out-of-network provider and shall not impose cost sharing with respect to that item or service.
c. (1) A contract shall provide coverage for an item or service described in subsection a. of this section for plan years that begin on or after the date that is one year after the date the recommendation or guideline is issued.
(2) (a) Except as provided in subparagraph (b) of this paragraph, a contract that is required to provide coverage for an item or service described in subsection a. of this section on the first day of a plan year shall provide coverage for that item or service through the last day of the plan year.
(b) The commissioner may remove a coverage requirement for an item or service during a plan year if the recommendation or guideline changes or is no longer described in subsection a. of this section.
d. With respect to an annual wellness visit for a covered member who is over three years of age, a contract is required to cover only one wellness visit per plan year or calendar year, as provided for under the contract, but may not impose a waiting period for the wellness visit.
##### **§ 52:14-17.46.6p** School Employees' Health Benefits Commission to cover adolescent depression screenings. {#sec-52-14-17.46.6p omnilex-key=us-nj-statutes--title-52--52:14-17.46.6p}
10. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission, on or after the effective date of this act, that provides hospital or medical expense benefits shall provide coverage for expenses incurred in screening adolescents between the ages of 12 and 18 for major depressive disorder, so long as screening for major depressive disorder in adolescents continues to receive a rating of "A" or "B" from the United States Preventative Services Task Force. Coverage shall not be denied solely on the basis that the screening is provided in conjunction with any other health care evaluation, treatment, or service.
The benefits shall be provided to the same extent as for any other condition under the contract, except that the contract shall not impose on covered persons receiving these services any form of cost sharing, including, but not limited to, copayments, deductibles, or coinsurance.
##### **§ 52:14-17.46.6q** School Employees' Health Benefits Commission, coverage for abortion, certain religious employers exemption. {#sec-52-14-17.46.6q omnilex-key=us-nj-statutes--title-52--52:14-17.46.6q}
5. A contract providing hospital or medical expense benefits purchased by the School Employees' Health Benefits Commission may provide coverage for abortion. A contract providing hospital or medical expense benefits purchased by the commission shall not exclude a provider from its network or otherwise restrict services from the provider solely on the basis that the provider is a religious employer, as defined in section 3 of P.L.2021, c.375 (C.26:2S-39), that refuses to provide abortion services.
##### **§ 52:14-17.46.6r** The School Employees' Health Benefits Commission, contract, provide coverage for colorectal cancer screening. {#sec-52-14-17.46.6r omnilex-key=us-nj-statutes--title-52--52:14-17.46.6r}
10. a. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital or medical expense benefits shall provide benefits to any person covered thereunder for expenses incurred in conducting a colorectal cancer screening in accordance with United States Preventive Services Task Force recommendations. The method and frequency of screening to be utilized shall be in accordance with the most recent published recommendations of the United States Preventive Services Task Force and as determined medically necessary by the covered person's physician, in consultation with the covered person.
b. No deductible, coinsurance, copayment, or any other cost-sharing requirement shall be imposed for a colonoscopy performed following a positive result on a non-colonoscopy, colorectal cancer screening test recommended by the United States Preventive Services Task Force.
c. The benefits shall be provided to the same extent as for any other medical condition under the contract.
##### **§ 52:14-17.46.6s** School Employees' Health Benefits Commission, ensure, contract purchased, health care services, insulin for diabetes treatment. {#sec-52-14-17.46.6s omnilex-key=us-nj-statutes--title-52--52:14-17.46.6s}
28. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of P.L.2023, c.105 (C.17:48-6xx et al.) that provides hospital and medical expense benefits shall provide health care services to a person covered thereunder for insulin for the treatment of diabetes, if recommended or prescribed by a participating physician or participating nurse practitioner/clinical nurse specialist. Coverage for the purchase of a short-acting, intermediate-acting, rapid-acting, long-acting, and pre-mixed insulin product shall not be subject to any deductible, and no copayment or coinsurance for the purchase of insulin shall exceed $35 per 30-day supply, except a contract provided by the School Employees' Health Benefits Commission that qualifies as a high-deductible health plan shall provide coverage for the purchase of insulin at the lowest deductible and other cost-sharing requirement permitted for a high-deductible health plan under section 223(c)(2)(A) of the Internal Revenue Code (26 U.S.C. s.223 (c)(2)(A)). The provisions of this section shall apply to a plan that meets the requirements of a catastrophic plan, as defined in 45 C.F.R. s.156.155, to the maximum extent permitted by federal law.
Nothing in this section shall prevent the School Employees' Health Benefits Commission from reducing an enrollee's cost-sharing requirement by an amount greater than the amount specified in this section or prevent the commission from utilizing formulary management, including a mandatory generic policy, to promote the use of lower-cost alternative generic drugs that are the therapeutic equivalent of the brand-name drug, which could result in the member's copay being higher than set forth in this section.
##### **§ 52:14-17.46.6t** School Employees' Health Benefits Commission, ensure, contract purchased, renewed, coverage, epinephrine auto-injector device. {#sec-52-14-17.46.6t omnilex-key=us-nj-statutes--title-52--52:14-17.46.6t}
29. The School Employees' Health Benefits Commission shall ensure that every contract purchased or renewed by the commission on or after the effective date of P.L.2023, c.105 (C.17:48-6xx et al.), shall provide coverage for at least one epinephrine auto-injector device, if recommended or prescribed by a participating physician or participating nurse practitioner/clinical nurse specialist. Coverage for the purchase of an epinephrine auto-injector device shall not be subject to any deductible, and no copayment or coinsurance for the purchase of an epinephrine auto-injector device shall exceed $25 per 30-day supply, except a contract provided by the School Employees' Health Benefits Commission that qualifies as a high-deductible health plan shall provide coverage for the purchase of an epinephrine auto-injector device at the lowest deductible and other cost-sharing requirement permitted for a high-deductible health plan under section 223(c)(2)(A) of the Internal Revenue Code (26 U.S.C. s.223 (c)(2)(A)). The provisions of this section shall apply to a plan that meets the requirements of a catastrophic plan, as defined in 45 C.F.R. s.156.155, to the maximum extent permitted by federal law.
Nothing in this section shall prevent the School Employees' Health Benefits Commission from reducing an enrollee's cost-sharing requirement by an amount greater than the amount specified in this section or prevent the commission from utilizing formulary management, including a mandatory generic policy, to promote the use of lower-cost alternative generic drugs that are the therapeutic equivalent of the brand-name drug, which could result in the member's copay being higher than set forth in this section.
##### **§ 52:14-17.46.6u** School Employees' Health Benefits Commission, ensure, contract purchased, renewed, benefits, covered, expenses, prescription asthma inhaler. {#sec-52-14-17.46.6u omnilex-key=us-nj-statutes--title-52--52:14-17.46.6u}
30. The School Employees' Health Benefits Commission shall ensure that every contract purchased or renewed by the commission on or after the effective date of P.L.2023, c.105 (C.17:48-6xx et al.), shall provide benefits to a person covered thereunder for expenses incurred for a prescription asthma inhaler, if recommended or prescribed by a participating physician or participating nurse practitioner/clinical nurse specialist. Coverage for the purchase of a covered prescription asthma inhaler shall not be subject to any deductible, and no copayment or coinsurance for the purchase of a covered prescription asthma inhaler shall exceed $50 per 30-day supply, except a contract provided by the School Employees' Health Benefits Commission that qualifies as a high-deductible health plan shall provide coverage for the purchase of a covered prescription asthma inhaler at the lowest deductible and other cost-sharing requirement permitted for a high-deductible health plan under section 223(c)(2)(A) of the Internal Revenue Code (26 U.S.C. s.223 (c)(2)(A)). The provisions of this section shall apply to a plan that meets the requirements of a catastrophic plan, as defined in 45 C.F.R. s.156.155, to the maximum extent permitted by federal law.
Nothing in this section shall prevent the School Employees' Health Benefits Commission from reducing a covered person's cost-sharing requirement by an amount greater than the amount specified in this section or prevent the commission from utilizing formulary management, including a mandatory generic policy, to promote the use of lower-cost alternative generic drugs that are the therapeutic equivalent of the brand-name drug, which could result in the member's copay being higher than set forth in this section.
##### **§ 52:14-17.46.6v** School Employees' Health Benefits Commission, coverage, hearing aid, cochlear implant purchase, covered persons. {#sec-52-14-17.46.6v omnilex-key=us-nj-statutes--title-52--52:14-17.46.6v}
11. a. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act provides benefits for medically necessary expenses incurred in the purchase of a hearing aid or cochlear implant for a covered person as provided in this section.
b. The benefits shall include the purchase of a hearing aid for each ear, when medically necessary and as prescribed or recommended by a licensed physician or audiologist. The commission may limit the benefit provided in this section to $2,500 per hearing aid for each hearing-impaired ear every 60 months.
c. The benefits shall provide coverage of the cost of treatment related to cochlear implants, including procedures for the implantation of cochlear devices and costs for any parts, attachments, or accessories of the device, including replacement of obsolete external cochlear implant processors.
##### **§ 52:14-17.46.6w** Biomarker precision medical testing coverage, School Employees' Health Benefits Commission contracts. {#sec-52-14-17.46.6w omnilex-key=us-nj-statutes--title-52--52:14-17.46.6w}
10. a. The School Employees' Health Benefits Commission shall ensure that every contract providing hospital or medical expense benefits, which is purchased by the commission on or after the effective date of this act, provides coverage for biomarker precision medical testing, as defined by subsection e. of this section.
b. Biomarker precision medical testing shall be covered for the purposes of diagnosis, treatment, appropriate management, or ongoing monitoring of a disease or condition, excluding asymptomatic screening, to guide treatment decisions of a covered person when the efficacy and appropriateness of biomarker precision medical testing for the diagnosis, treatment, appropriate management, or guiding treatment decisions for a covered person's disease or condition is recognized by:
(1) labeled indications for an FDA-approved or -cleared test;
(2) indicated tests for an FDA-approved drug;
(3) actions to address warnings and precautions on FDA-approved drug labels;
(4) Centers for Medicare and Medicaid Services National Coverage Determinations or Medicare Administrative Contractor Local Coverage Determinations; or
(5) nationally recognized clinical practice guidelines.
c. Coverage, pursuant to subsection b. of this section, shall be provided in a manner that limits disruption, including multiple biopsies or biospecimen samples, in the care of a covered person.
d. (1) If utilization review is required, a decision shall be rendered pursuant to the guidelines and timeframes set forth in P.L.2023, c.296 (C.17B:30-55.1 et al.).
(2) The covered person and the treating health care provider or treating health care entity prescribing biomarker precision medical testing for the covered person shall have access to clear, readily accessible, and conspicuous information on the process to submit an appeal to an adverse determination.
e. As used in this section:
"Biomarker" means a characteristic that is objectively measured and evaluated as an indicator of normal biological processes, pathogenic processes, or pharmacologic responses to a specific therapeutic intervention, including known gene-drug interactions for medications being considered for use or already being administered. Biomarkers shall also include, but not be limited to, gene mutations, characteristics of genes, or protein expression.
"Biomarker precision medical testing" means the analysis of tissue, blood, or other biospecimen for the presence of a biomarker. Biomarker precision medical testing includes, but is not limited to, single-analyte tests, multiplex panel tests, protein expression, and whole exome, whole genome, and whole transcriptome sequencing.
"Nationally recognized clinical practice guidelines" means evidence-based clinical practice guidelines developed by independent organizations or medical professional societies utilizing a transparent methodology and reporting structure and with a conflict of interest policy. The guidelines establish standards of care informed by a systematic review of evidence and an assessment of the benefits and risks of alternative care options and include recommendations intended to optimize patient care.
##### **§ 52:14-17.46.6x** Benefits provided under contracts purchased by the School Employee’s Health Benefits Commission. {#sec-52-14-17.46.6x omnilex-key=us-nj-statutes--title-52--52:14-17.46.6x}
10. a. The School Employees’ Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of P.L.2025, c.200 (C. 17:48-6bbb et al.), that provides hospital or medical expense benefits shall provide benefits to any person covered thereunder for expenses incurred in obtaining medically necessary treatment for women with a diagnosis of perimenopause, menopause, and symptoms associated with perimenopause and menopause, including, but not limited to:
(1) hormonal therapies such as hormone replacement therapy and bioidentical hormone treatments;
(2) non-hormonal treatments, including medications to manage menopausal symptoms;
(3) behavioral health care services;
(4) pelvic floor physical therapy;
(5) bone health treatments, including screenings and medications due to hormonal changes related to perimenopause and menopause;
(6) preventative services that have a rating of “A” or “B” in the current recommendations of the United States Preventive Services Task Force for early detection and treatment of health conditions related to perimenopause and menopause such as osteoporosis and cancer; and
(7) counseling and education regarding menopause management.
b. The School Employees Health Benefits Commission shall ensure that each contract shall provide clear and accessible information to a covered person regarding covered perimenopause and menopause treatments.
c. The benefits shall be provided to the same extent as for any other medical condition under the contract.
d. As used in this section:
“Menopause” means the permanent end of a female’s menstrual cycle, diagnosed by a licensed medical provider after 12 consecutive months without a menstrual period.
“Perimenopause” means the transitional period leading to menopause, marked by fluctuating hormone levels and changes in menstrual cycles.
##### **§ 52:14-17.46.6y** Contracts purchased by the School Employees' Health Benefits Commission, behavioral health, children. {#sec-52-14-17.46.6y omnilex-key=us-nj-statutes--title-52--52:14-17.46.6y}
3. a. The School Employees' Health Benefits Commission shall ensure that every contract purchased by the commission on or after the effective date of this act that provides hospital and medical expense benefits shall provide benefits to any covered person for medical expenses incurred in the screening, prevention, and treatment services of behavioral health issues in children. The contract shall allow for acceptance and reimbursement of claims for screening, prevention, and treatment using an at-risk diagnosis.
b. The benefits shall be provided to the same extent as for any other service, drug, device, product, or procedure under the contract.
c. As used in this section:
“At-risk diagnosis” means a diagnosis made after consideration of factors influencing behavioral health and child development, such as family circumstances or life challenges, that does not lead to a formal mental health diagnosis and, instead, promotes preventive care. Allowing providers to bill for an “at-risk diagnosis” authorizes providers to use an alternative code, including a Social Determinants of Health Z-code, to the codes of the American Psychiatric Association Diagnostic and Statistical Manual of Mental Disorders or the Diagnostic Classification of Mental Health and Developmental Disorders of Infancy and Early Childhood when billing for services, without a formal mental health diagnosis, for children who are 18 years of age or younger.
“Screening, prevention, and treatment” includes the prevention and early identification of mental health conditions without a behavioral health diagnosis. Services may include, but are not limited to, screenings and individual, group, and family psychotherapy to individuals with potential mental health disorders not yet diagnosed.
##### **§ 52:14-17.46.7** Offer of managed care plan, terms. {#sec-52-14-17.46.7 omnilex-key=us-nj-statutes--title-52--52:14-17.46.7}
37. Beginning with the initial year of the School Employees' Health Benefits Program, the commission shall offer to participating employers and to qualified employees, retirees and dependents a managed care plan in which the office co-payment amount shall be $10 per visit with a maximum out-of-pocket of $400 per individual and $1,000 per family for in-network services for each calendar year. The out-of-network deductible shall be $100 per individual and $250 per family for each calendar year with the plan paying for 80% of reasonable and customary charges as defined herein up to an out-of-pocket maximum that shall not exceed $2,000 per individual and $5,000 per family for each calendar year.
In the successor plan, the in-network out-of-pocket payments shall count toward the out-of-network out-of-pocket maximums. Any lifetime maximum for out-of-network services shall not be less than any maximums in effect under the State Health Benefits Program as of July 1, 2007. There shall be no lifetime maximum for in-network services.
The carrier that administers the successor plan shall make available to the plan participants through in-network and out-of-network providers access to physicians and hospitals sufficient in geographic scope and number to provide access to health care services that is substantially equivalent to the access to health care services available through the State Health Benefits Program as of July 1, 2007.
Beginning with the initial year of the School Employees' Health Benefits Program, the commission shall be authorized to offer to participating employers and qualified employees, retirees and dependents managed care plans in which the in-network per visit charge shall not exceed $15 per visit and the out of network reimbursement shall be 70% of reasonable and customary charges as defined herein, provided the in-network and out-of-network maximums and deductibles do not exceed the limits set forth above.
The amounts of maximums, co-pays, deductibles, and other participant costs shall be reviewed, as part of the fifth year audit undertaken pursuant to section 40 of P.L.2007, c.103 (C.52:14-17.46.10). The commission shall make changes in such amounts pursuant to section 40 by majority vote of the full authorized membership of the commission.
Beginning January 1, 2012, the School Employees' Health Benefits Plan Design Committee shall have the sole discretion to set the amounts for maximums, co-pays, deductibles, and other such participant costs for all plans offered in the program, notwithstanding any other provision of law to the contrary.
"Reasonable and customary charges" means, for any out-of-network payment made by a carrier, charges based upon the 90th percentile of the usual, customary, and reasonable (UCR) fee schedule determined by the Health Insurance Association of America or a similar nationally recognized database of prevailing health care charges.
Beginning with the initial year of the School Employees' Health Benefits Program, the commission shall offer to participating employers and qualified employees, retirees and dependents one or more health maintenance organization plans.
##### **§ 52:14-17.46.8** Participation in School Retiree Prescription Drug Plan, terms. {#sec-52-14-17.46.8 omnilex-key=us-nj-statutes--title-52--52:14-17.46.8}
38. a. Retirees and eligible dependents who participate in the School Employees' Health Benefits Program shall be eligible to participate in the School Retiree Prescription Drug Plan. The definitions in subsection f. of section 36 of P.L.2007, c.103 (C.52:14-17.46.6) shall apply to the School Retiree Prescription Drug Plan.
b. There shall be no annual deductible amount that retirees or their eligible dependents shall be required to satisfy before eligibility for payment of prescription drug expenses under the School Retiree Prescription Drug Plan.
c. Eligibility of prescription drug expenses for coverage under the School Retiree Prescription Drug Plan shall be determined on the same basis as reasonable and necessary medical expenses under the School Employees' Health Benefits Program.
d. A co-payment shall be required for each prescription drug expense until a retiree or eligible dependent satisfies the maximum annual out-of-pocket expense for a calendar year prescribed in subsection f. of this section. The amounts of the co-payments shall be the same as those in effect as of July 1, 2007 for retiree prescription drug coverage under the State Health Benefits Program. The commission shall promulgate rules that shall establish a formula for a reasonable annual escalator to the amount of co-payment.
e. The supply of a drug product eligible for coverage under the School Retiree Prescription Drug Plan for each prescription drug expense shall be limited to 30 days if the prescription is filled at a retail pharmacy, and 90 days if the prescription is filled through the mail-order pharmacy.
f. The amount of out-of-pocket expense that a retiree or eligible dependent shall pay in a calendar year for eligible prescription drug expenses under the School Retiree Prescription Drug Plan shall be limited in the first year of the plan to the amount in effect on July 1, 2007 for retiree prescription drug coverage under the State Health Benefits Program. The commission shall promulgate rules that shall establish a formula for a reasonable annual escalator to the amount of out-of-pocket expense.
g. In the fifth year following the initial appointment of all of its members, the commission shall, as part of the fifth year audit and review undertaken pursuant to section 40 of P.L.2007, c.103 (C.52:14-17.46.10), review the amounts established in this section and make any changes that it deems appropriate pursuant to section 40 of P.L.2007, c.103 (C.52:14-17.46.10) by majority vote of the full authorized membership of the commission.
##### **§ 52:14-17.46.9** Obligations of employer for charges for benefits; funds; subaccount. {#sec-52-14-17.46.9 omnilex-key=us-nj-statutes--title-52--52:14-17.46.9}
39. a. For each active covered employee and for the eligible dependents the employee may have enrolled at the employee's option, from funds appropriated therefor, the employer shall pay to the commission the premium or periodic charges for the benefits provided under the contract in amounts equal to the premium or periodic charges for the benefits provided under such a contract covering the employee and the employee's enrolled dependents.
b. The obligations of any employer to pay the premium or periodic charges for health benefits coverage provided under the School Employees' Health Benefits Program Act, sections 31 through 41 of P.L.2007, c.103 (C.52:14-17.46.1 through C.52:14-17.46.11), may be determined by means of a binding collective negotiations agreement, including any agreement in force at the time the employer commences participation in the School Employees' Health Benefits Program. With respect to employees for whom there is no majority representative for collective negotiations purposes, the employer may, in its sole discretion, modify the respective payment obligations set forth in law for the employer and such employees in a manner consistent with the terms of any collective negotiations agreement binding on the employer.
Commencing on the effective date of P.L.2010, c.2 and upon the expiration of any applicable binding collective negotiations agreement in force on that effective date, employees shall pay 1.5 percent of base salary, through the withholding of the contribution, for health benefits coverage provided under P.L.2007, c.103 (C.52:14-17.46.1 et seq.), notwithstanding any other amount that may be required additionally pursuant to this subsection by means of a binding collective negotiations agreement or the modification of payment obligations.
c. There is hereby established a School Employee Health Benefits Program fund consisting of all contributions to premiums and periodic charges remitted to the State treasury by participating employers for employee coverage. All such contributions shall be deposited in the fund and the fund shall be used to pay the portion of the premium and periodic charges attributable to employee and dependent coverage.
d. The fund shall contain a dedicated subaccount reserved for payment of claims and other health services fees for covered health services and prescription drug benefits provided to covered employees and their enrolled eligible dependents. No person shall use or authorize the use of the assets in the subaccount, or the investment earnings thereon, for any purpose other than for the provision of benefits in accordance with the terms of the School Employees' Health Benefits Program and for defraying the reasonable costs of administering the subaccount.
A third-party medical claims reviewer, procured pursuant to section 2 of P.L.2019, c.143 (C.52:14-17.30b), shall, in the performance of services for the program, act in the best interests of the State, participating employers, and covered employees and their enrolled eligible dependents. Nothing in this subsection shall be construed as subjecting the program, its plans, the State, or any participating employer to the provisions of the "Employee Retirement Income Security Act of 1974" (29 U.S.C. s.1001 et seq.).
The third-party medical claims reviewer shall collect, store and maintain a secure archive of medical and prescription drug claims data and other health services payment information and provide such data and other reports in compliance with applicable State and federal laws, including the "Health Insurance Portability and Accountability Act of 1996," Pub.L.104-191, to document the cost and nature of claims incurred, demographic information on the covered population, emerging utilization and demographic trends, and such other information as may be available to assist in the governance of the program and in timely response to any requests from the Governor, the State Treasurer, the Division of Pensions and Benefits, the School Employees' Health Benefits Commission, the School Employees' Health Benefits Plan Design Committee, the President of the Senate, and the Speaker of the General Assembly. Such claims data shall include, but not be limited to, for each claim, the claim number, provider information, amount charged, amount paid, and the Current Procedural Terminology (CPT) code. The School Employees' Health Benefits Commission, the School Employees' Health Benefits Plan Design Committee, the State Treasurer, or the Division of Pensions and Benefits may direct the third-party medical claims reviewer to provide appropriate medical and prescription drug claims and other health services payment data to a health care services provider or other authorized entity, in compliance with applicable State and federal laws, including the "Health Insurance Portability and Accountability Act of 1996," Pub.L.104-191, for the specific purpose of improving the quality and value of health care services delivered to program participants.
The State Treasurer shall deposit into the subaccount the moneys necessary to accomplish the purposes of this subsection, including moneys paid by employers participating in the program, and contributed by covered employees and retirees. Deposits and contributions to the subaccount shall be applied to the distribution of payments for the costs of health care services and prescription drug benefits and to fund the reasonable costs of administering the subaccount. Assets in the subaccount shall be expended or withdrawn, and deposits and withdrawals shall be reconciled, in accordance with regulations and procedures adopted pursuant to this subsection.
Moneys in the subaccount shall be invested in permitted investments or shall be held in interest-bearing accounts in such depositories as the State Treasurer may select, and may be invested and reinvested in permitted investments or invested and reinvested in the same manner as other accounts in the custody of the State Treasurer as provided by law. All interest or other income or earnings derived from the investment or reinvestment of moneys in the subaccount shall be credited thereto and shall be determined on an aggregate basis for all participating employers.
The State Treasurer shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), such rules and regulations as may be necessary to implement the provisions of this act, P.L.2019, c.143 (C.52:14-17.30a et al.).
e. Notwithstanding any law to the contrary and except as provided by amendment by P.L.2010, c.2, and by P.L.2011, c.78, the payment in full of premium or periodic charges for eligible retirees and their dependents pursuant to section 3 of P.L.1987, c.384 (C.52:14-17.32f), section 2 of P.L.1992, c.126 (C.52:14-17.32f1), or section 1 of P.L.1995, c.357 (C.52:14-17.32f2) shall be continued without alteration or interruption and there shall be no premium sharing or periodic charges for certain school employees in retirement once they have met the criteria for vesting for pension benefits, which criteria for purposes of this subsection only shall mean the criteria for vesting in the Teachers' Pension and Annuity Fund. For purposes of this subsection, "premium sharing or periodic charges" shall mean payments by eligible retirees based upon a proportion of the premiums for health care benefits.
##### **§ 52:14-17.46.10** Annual report, audit to Governor, Legislature. {#sec-52-14-17.46.10 omnilex-key=us-nj-statutes--title-52--52:14-17.46.10}
40. a. The School Employees' Health Benefits Commission shall publish annually, at least 30 days prior to the commencement of the open enrollment period for that year, a report showing the fiscal transactions of the program for the preceding calendar year and stating other facts pertinent to the program and all participating employers.
b. At the same time as the annual report is published, the commission shall publish an audit report of the program's costs and the aggregate usage of plan participants during the preceding calendar year, which audit shall be prepared by a qualified independent auditor selected by the commission in accordance with applicable laws regarding selection of auditing services. The independent auditor shall include in its report specific recommendations that are projected to result in cost savings to the State and to participating employers.
The specific recommendations to be submitted in the annual audit report shall include, but not be limited to, savings achievable through disease management, prescription benefit management, and elimination of administrative and program inefficiencies. In addition, the annual audit may recommend changes to the benefits provided under the School Employees' Health Benefits Program that improve the overall ability to retain and attract eligible employees.
c. The commission shall submit the annual report and annual audit report to the Governor and the Legislature, and shall make these reports available to every participating employer.
d. At the start of the fifth year following the initial appointment of all of its members, and at the start of every fifth year thereafter, the commission shall contract with an independent, qualified auditor, separate from the person performing the annual audit described in subsection b. of this section, for a comprehensive review and audit of all elements of the program, as well as the plan design and structure for each plan offered by the commission. The auditor shall be qualified by experience, training, resources, and education to perform intensive audits of public health insurance plans that are of a similar size and scope and shall be familiar with benefit designs of employers that are eligible but do not participate in the commission. The auditor shall be selected in accordance with applicable law.
e. Each fifth year review and audit shall be the annual audit for that year and the review shall include all of the elements contained in the annual audit plus the additional reviews set forth in this subsection. In addition to performing the tasks of the annual audit, the auditor selected for a fifth year review shall review the program costs, plan design, and plan structure and may issue recommendations for cost sharing measures, including modifications of co-payments, deductibles, out-of-pocket maximums, limits, exclusions, and other measures to be considered for implementation by the commission. The commission is authorized to implement such recommendations pursuant to majority vote of the full authorized membership of the commission.
The commission shall submit the five-year review and audit report to the Governor and the Legislature and shall make the report available to every participating employer.
##### **§ 52:14-17.46.11** Applicability of State Health Benefits Program Act. {#sec-52-14-17.46.11 omnilex-key=us-nj-statutes--title-52--52:14-17.46.11}
41. All provisions of P.L.1961, c.49 (C.52:14-17.25 et seq.) applicable to the State Health Benefits Program shall, except as expressly stated in the School Employees' Health Benefits Program Act, be construed as applicable to participating employers and to their employees and to dependents of such employees, and to retirees and to dependents of such retirees, in the School Employees' Health Benefits Program.
##### **§ 52:14-17.46.12** School Employees' Health Benefits Commission to establish audit program. {#sec-52-14-17.46.12 omnilex-key=us-nj-statutes--title-52--52:14-17.46.12}
2. The School Employees' Health Benefits Commission shall establish and contract for a Medicare Primary Assignment and Audit Program through which it shall conduct a continuous review of the School Employees' Health Benefits Program for the purposes of ensuring that all persons who are participants and their dependents of the School Employees' Health Benefits Program and who are eligible for Medicare under federal law are properly enrolled in Medicare with Medicare as the primary provider of their health care benefits coverage and with the School Employees' Health Benefits Program as their secondary provider of their health care benefits coverage.
##### **§ 52:14-17.46.13** Health care benefit plans offered. {#sec-52-14-17.46.13 omnilex-key=us-nj-statutes--title-52--52:14-17.46.13}
1. This section shall apply to the School Employees' Health Benefits Program (SEHBP) and to those employers defined pursuant to section 32 of P.L.2007, c.103 (C.52:14-17.46.2) that participate in the program.
a. (1) Notwithstanding the provisions of any other law, rule, or regulation to the contrary, beginning with the plan year that commences January 1, 2021 and for each plan year thereafter, the School Employees' Health Benefits Program shall offer only three plans that provide medical and prescription drug benefits for employees, and retirees who are not Medicare-eligible, and their dependents if any. All other plans offered prior to January 1, 2021 for employees, and retirees who are not Medicare-eligible, and their dependents if any, shall be terminated.
The three plans shall be the New Jersey Educators Health Plan as developed by the School Employees' Health Benefits Plan Design Committee in accordance with subsection f. of this section which sets forth the plan design of the New Jersey Educators Health Plan; the SEHBP NJ Direct 10 plan as adopted and implemented by the School Employees' Health Benefits Commission for the plan year that began January 1, 2020; and the SEHBP NJ Direct 15 plan as adopted and implemented by the School Employees' Health Benefits Commission for the plan year that began January 1, 2020.
Employers that participate in the School Employees' Health Benefits Program shall retain the ability to enter the program for medical only plans and may separately purchase pharmacy and dental benefits outside of the program without limitation or restriction.
(2) Only the plans set forth in this section shall be offered by the program regardless of any collective negotiations agreement between a participating employer and its employees in effect on the effective date of this act, P.L.2020, c.44, that provides for enrollment in other plans that were offered by the program prior to January 1, 2021.
b. Prior to January 1, 2021, the program, through the Division of Pensions and Benefits in the Department of the Treasury, shall provide for an enrollment period during which all employees who commenced employment prior to the effective date of this act shall be required to select affirmatively one of the three plans specified in subsection a. of this section. If an employee fails to select affirmatively a plan during this enrollment period, the program shall enroll the employee, and the employee's dependents if any, in the New Jersey Educators Health Plan for the plan year beginning January 1, 2021 and ending December 31, 2021.
During the enrollment period, any person who is enrolled in a plan offered by the program and who is paying the full cost of health care benefits coverage shall also be required to select affirmatively one of the three plans specified in subsection a. of this section. If a person fails to select affirmatively a plan during this enrollment period, the program shall enroll the person, and the person's dependents if any, in the New Jersey Educators Health Plan for the plan year beginning January 1, 2021 and ending December 31, 2021. Any such person shall continue to pay the full cost of coverage and shall not be subject to the contribution schedule or any mandatory enrollment period as set forth in this section.
c. (1) Beginning on January 1, 2021, an employee commencing employment on or after the effective date of this act but before January 1, 2028 who does not waive coverage shall be enrolled by the program, with the employee's dependents if any, in the New Jersey Educators Health Plan, or the Garden State Health Plan if selected by the employee. The employee shall remain enrolled in either the New Jersey Educators Health Plan or the Garden State Health Plan selected by the employee at the annual open enrollment for each plan year through the plan year that ends December 31, 2027, provided that the employee during this period may waive coverage as an employee and select and change the type of coverage received under the plan following a qualifying life event, in accordance with the program regulations.
The enrollment required by this paragraph shall not include an employee who commenced employment prior to the effective date of P.L.2020, c.44 and who did not enroll, who waived enrollment, or who was not eligible to enroll prior to that effective date for health care coverage provided by the employer, including, but not limited to, an employee who commenced employment as a part-time employee prior to the effective date of P.L.2020, c.44. If such an employee was required to enroll prior to the effective date of P.L.2021, c.163 in accordance with this paragraph, the employee shall be notified promptly in writing that enrollment is not mandatory and shall be provided promptly with an opportunity to select enrollment in another health care benefits plan.For the plan year beginning January 1, 2028, the employee may select, during any open enrollment period or at such other times or under such conditions as the program may provide, any plan offered by the program.
(2) For the plan year beginning January 1, 2021, the program shall enroll a retiree who is not Medicare-eligible, and the retiree's dependents if any, in the New Jersey Educators Health Plan for health care benefits coverage as a retiree, if the retiree does not waive coverage. The retiree shall remain enrolled in that plan for each plan year through the plan year that ends December 31, 2027 or until the retiree becomes eligible for Medicare, whichever comes first. The retiree who becomes eligible for Medicare shall no longer be eligible for enrollment in the New Jersey Educators Health Plan, except that any dependent of the retiree who is not eligible for Medicare may remain eligible for coverage under the New Jersey Educators Health Plan. For the plan year beginning January 1, 2028, that retiree who is not Medicare-eligible may select, during any open enrollment period or at such other times or under such conditions as the program may provide, any plan offered by the program.
(3) Except as otherwise provided in this subsection or subsection b. of this section, selection of a plan shall be at the sole discretion of the employee or retiree who is not Medicare-eligible.
d. Beginning January 1, 2022 and for each plan year thereafter, the program shall offer a fourth plan to be called the Garden State Health Plan. The plan shall be developed by the School Employees' Health Benefits Plan Design Committee. If the committee does not adopt a design for the Garden State Health Plan by December 31, 2020, the Division of Pensions and Benefits in the Department of the Treasury may develop the Garden State Health Plan. The program shall provide an enrollment period prior to January 1, 2022.
The Garden State Health Plan shall provide medical and prescription drug benefits that are equivalent to the level of medical and prescription drug benefits provided by the New Jersey Educators Health Plan, except that the benefits under the Garden State Health Plan shall be available only from providers located in the State of New Jersey.
Access to a service provider that is located outside of the State shall be available only under such terms, conditions, restrictions, and limitations as the plan design committee or the division, as appropriate, shall provide in the plan governing documents.
Employers that participate in the School Employees' Health Benefits Program shall retain the ability to enter the program for medical only plans and may separately purchase pharmacy and dental benefits outside of the program without limitation or restriction.
e. The plan design of the New Jersey Educators Health Plan, the Garden State Health Plan, the NJ Direct 10 plan, and the NJ Direct 15 plan as those plan designs are specified in subsections a., d., and f. of this section shall remain unchanged until December 31, 2027. No change in the plan design of those plans shall be made before that date unless such a change in plan design is required by federal or State law to governmental health care benefits plans or to both governmental and non-governmental health care benefits plans.
For the plan year that commences January 1, 2028 and for each plan year thereafter, the plan design of the New Jersey Educators Health Plan, the Garden State Health Plan, the NJ Direct 10 plan, and the NJ Direct 15 plan as those plan designs are specified in subsections a., d., and f. of this section may be modified by the School Employees' Health Benefits Plan Design Committee.
Modifications to plan design of the plans set forth in this section made by the School Employees' Health Benefits Plan Design Committee or the State Treasurer pursuant to section 7 of this act shall be implemented by the program for the purposes of this section commencing January 1, 2024.
f. The plan design of the New Jersey Educators Health Plan shall be the following:
In Network Benefits
Coverage
Member Coinsurance:10%, Applies Only to Emergency Transportation Care and Durable Medical Equipment
Deductible:N/A
Out-of-Pocket Maximum:$500 Single/ $1,000 Family (covers all in network copayments, coinsurance, and deductible)
Emergency Room Copayment:$125 (To be Waived if Admitted)
PCP Office Visit Copayment:$10
Specialist Office Visit Copayment$15Out-of-Network Benefits
Coverage
Member Coinsurance:30% of the Out-of-Network Fee Schedule
Deductible:$350 / $700
Out-of-Pocket Maximum:$2,000 Single / $5,000 Family Routine Lab:Paid at Out-of-Network Benefit Level
Out-of-Network Fee Schedule:200% of CMS - MedicarePharmacy
Out-of-Pocket Maximum:$1,600 Single / $3,200 Family (Indexed Annually Pursuant to Federal Law)Generic Copayment:$5 Retail 30 Day Supply / $10 Mail 90 Day SupplyBrand Copayment:$10 Retail 30 Day Supply/ $20 Mail 90 Day SupplyMandatory Generic:Member Pays Difference in Cost Between Generic and Brand, Plus Brand CopaymentFormulary: Closed Formulary as contracted with the Pharmacy Benefit Manager and the School Employees' Health Benefits CommissionOther
Chiropractic, Physical Therapy, and Acupuncture:
Subject to the same Out-of-Network Limits as for the State Health Benefits Program as were in effect on June 1, 2020 to take effect as of July 1, 2020, or as soon thereafter as reasonably practicable.
Under a patient centered medical home model, there shall be no office visit copay for primary care for participants who select and commit to a patient centered medical home for primary care in accordance with plan rules and regulations.
g. Any plan offered by the School Employees' Health Benefits Program shall require that chiropractic, physical therapy, and acupuncture benefits shall be subject to the same out-of-network limits as for the State Health Benefits Program that were in effect on June 1, 2020 to take effect as of July 1, 2020 or as soon thereafter as reasonably practicable.
h. Notwithstanding any provision of law, rule, or regulation to the contrary, for any period of time during which the employer does not have to pay a premium or periodic charge for any health care benefits plan or program provided to its employees through the School Employees' Health Benefits Program, an employee enrolled in such plan or program shall not be required to make the employee's contribution toward that premium or periodic charge during that period of time. In the event that a collective negotiations agreement specifically addresses a premium holiday the collective negotiations agreement shall be controlling.
##### **§ 52:14-17.46.14** Annual contribution from employee, retiree. {#sec-52-14-17.46.14 omnilex-key=us-nj-statutes--title-52--52:14-17.46.14}
2. a. Each employee, and retiree who is not Medicare-eligible and who is required by another provision of law to contribute in retirement toward the cost of health care benefits coverage under the program, shall contribute annually toward the cost of health care benefits coverage for the employee and retiree, and dependents if any, under the New Jersey Educators Health Plan offered by the School Employees' Health Benefits Program an amount equal to a percentage of the employee's annual base salary or retiree's annual retirement allowance, including any cost of living adjustments to that allowance. The contribution shall be withheld by the employer from the salary of the employee or by the retirement system from the retirement allowance, including any cost of living adjustments to that allowance, of the retiree who is not Medicare-eligible. The percent to be contributed shall be as follows with the retirement allowance including any cost of living adjustments to that allowance:
For Base Salary or Retirement Allowance of $40,000 or Less: 1.7% for Single Coverage; 2.2% for Parent and Child(ren) Coverage; 2.8% for Employee and Spouse Coverage; and 3.3% for Family Coverage
For Base Salary or Retirement Allowance of more than $40,000 to $50,000: 1.9% for Single Coverage; 2.5% for Parent and Child(ren) Coverage; 3.3% for Employee and Spouse Coverage; and 3.9% for Family Coverage
For Base Salary or Retirement Allowance of more than $50,000 to $60,000: 2.2% for Single Coverage; 2.8% for Parent and Child(ren) Coverage; 3.9% for Employee and Spouse Coverage; and 4.4% for Family Coverage
For Base Salary or Retirement Allowance of more than $60,000 to $70,000: 2.5% for Single Coverage; 3% for Parent and Child(ren) Coverage; 4.4% for Employee and Spouse Coverage; and 5% for Family Coverage
For Base Salary or Retirement Allowance of more than $70,000 to $80,000: 2.8% for Single Coverage; 3.3% for Parent and Child(ren) Coverage; 5% for Employee and Spouse Coverage; and 5.5% for Family Coverage
For Base Salary or Retirement Allowance of more than $80,000 to $90,000: 3% for Single Coverage; 3.6% for Parent and Child(ren) Coverage; 5.5% for Employee and Spouse Coverage; and 6% for Family Coverage
For Base Salary or Retirement Allowance of more than $90,000 to $100,000: 3.3% for Single Coverage; 3.9% for Parent and Child(ren) Coverage; 6% for Employee and Spouse Coverage; and 6.6% for Family Coverage
For Base Salary or Retirement Allowance of more than $100,000 to $125,000: 3.6% for Single Coverage; 4.4% for Parent and Child(ren) Coverage; 6.6% for Employee and Spouse Coverage; and 7.2% for Family Coverage
When the base salary or retirement allowance is more than $125,000, the amount to be contributed shall be the same as for a base salary or retirement allowance of $125,000.
b. Each employee, and retiree who is not Medicare-eligible and who is required by another provision of law to contribute in retirement toward the cost of health care benefits coverage under the program, shall contribute annually toward the cost of health care benefits coverage for the employee and retiree, and dependents if any, under the Garden State Health Plan offered by the School Employees' Health Benefits Program an amount equal to a percentage of the employee's annual salary or retiree's annual retirement allowance, including any cost of living adjustments to that allowance. The contribution shall be withheld by the employer from the salary of the employee or by the retirement system from the retirement allowance, including any cost of living adjustments to that allowance, of the retiree who is not Medicare-eligible. The percent to be contributed shall be one-half of the percentage set forth in subsection a. of this section for the salary or retirement allowance range and type of coverage, except that the contribution specified in this subsection shall not be less than the minimum annual contribution for health care benefits coverage of 1.5% of salary or retirement allowance, including any cost of living adjustments to that allowance, as required by law.
c. (1) An employee enrolled in the New Jersey Educators Health Plan or the Garden State Health Plan shall be required to pay only the contribution specified in subsection a. or b. of this section, notwithstanding any other provision of law, rule, or regulation to the contrary requiring contributions by employees toward the cost of health care benefits coverage under the program, except as provided in subsection b. of this section. No other contribution may be required by collective negotiations agreement, except as set forth in subsection h. of this section.
(2) Only those retirees who are not Medicare-eligible and who are required by another provision of law to contribute in retirement toward the cost of health care coverage under the program shall be required to pay the contribution specified in subsection a. or b. of this section for coverage under the New Jersey Educators Health Plan or the Garden State Health Plan.
A retiree who is not Medicare-eligible, who is enrolled in the New Jersey Educators Health Plan or the Garden State Health Plan, and who is required by another provision of law to contribute in retirement toward the cost of health care coverage under the program shall be required to pay only the contribution specified in subsection a. or b. of this section, notwithstanding the provisions of section 77 of P.L.2011, c.78 (C.52:14-17.28e), section 3 of P.L.1987, c.384 (C.52:14-17.32f), section 2 of P.L.1992, c.126 (C.52:14-17.32f1), or section 1 of P.L.1995, c.357 (C.52:14-17.32f2) to the contrary requiring contributions by retirees toward the cost of health care benefits coverage under the program, except as provided in subsection b. of this section.
d. Employees who are not enrolled in the New Jersey Educators Health Plan or the Garden State Health Plan shall continue, after the effective date of this act, P.L.2020, c.44, to contribute to health care benefits coverage and those contributions shall be determined in accordance with what is permitted or required by provisions of law.
An employee who is enrolled in a plan other than the New Jersey Educators Health Plan or the Garden State Health Plan shall be required to contribute toward the cost of health care benefits coverage under the program (a) in accordance with a collective negotiations agreement applicable to that employee as negotiated prior to or after the effective date of this act, P.L.2020, c.44, pursuant to the requirements that were set forth in law on the day next preceding that effective date; (b) as may be required at the discretion of the employer; or (c) as required by a provision of law, whichever is applicable to that employee.
With regard to contributions by an employee who is enrolled in a plan other than the New Jersey Educators Health Plan or the Garden State Health Plan, no provision in this section shall be deemed to modify, alter, impair, or terminate the requirement in sections 77 and 78 of P.L.2011, c.78 (C.18A:16-17.2 and C.52:14-17.28e), as applicable, that a public employer and employees who were in negotiations for the collective negotiations agreement to be executed after the employees in that unit had reached full implementation of the premium share set forth in section 39 of P.L.2011, c.78 (C.52:14-17.28c) shall conduct negotiations concerning contributions for health care benefits as if the full premium share was included in the prior contract. Nothing in this act shall be deemed to modify, alter, impair, or terminate the continued compliance after the effective date of this act with that requirement for negotiations for any collective negotiations agreement for employee contributions for plans other than the New Jersey Educators Health Plan or the Garden State Health Plan.
e. For an employee, the annual base salary paid by the employer for the position held by the employee shall be used to identify the percentage to be used to calculate the annual contribution required under subsections a. and b. of section 2 of this act. For a retiree who is not Medicare-eligible, the annual retirement allowance, including any cost of living adjustments to that allowance, received by the retiree shall be used to identify the percentage to be used to calculate the annual contribution required under subsections a. and b. of section 2 of this act.
f. The annual contribution by an employee or a retiree who is not Medicare-eligible as calculated in accordance with subsection a. or b. of this section shall not exceed the amount as calculated in accordance with section 4 of this act, P.L.2020, c.44 (C.52:14-17.46.16).
g. The contributions required by this section shall apply to employees for whom the employer has assumed a health care benefits payment obligation, to require that such employees pay the amount of contribution specified in this section for health care benefits coverage. The contributions required by this section shall apply to retirees for whom the State has assumed a health care benefits payment obligation but who are required by law to contribute toward the cost of health care benefits coverage under the program, to require that such retirees pay the amount of contribution specified in this section for health care benefits coverage.
h. For the plan year that commences on January 1, 2028 and for each plan year thereafter, the contributions required pursuant to subsections a. and b. of this section for employees enrolled in the New Jersey Educators Health Plan or the Garden State Health Plan may be modified through collective negotiations agreements entered into between the employers who participate in the School Employees' Health Benefits Program and their employees. The contributions required pursuant to subsections a. and b. of this section shall become part of the parties' collective negotiations and shall then be subject to collective negotiations in a manner similar to other negotiable items between the parties. Negotiations concerning contributions for health care benefits shall be conducted as if the contributions required pursuant to subsections a. and b. of this section were included in the prior contract. The contribution scheme of percentage of base salary set forth in those subsections may be modified or a new contribution scheme or method other than a percentage of salary may be provided for in accordance with a collective negotiations agreement.
i. Modifications to the contribution rates set forth in this section made by the School Employees' Health Benefits Plan Design Committee or the State Treasurer pursuant to section 7 of this act shall be implemented by the program for the purposes of this section commencing January 1, 2024.
##### **§ 52:14-17.46.15** Guidance tool. {#sec-52-14-17.46.15 omnilex-key=us-nj-statutes--title-52--52:14-17.46.15}
3. a. The School Employees' Health Benefits Commission shall prepare, in coordination with the Division of Pensions and Benefits in the Department of the Treasury, a guidance tool to provide employees and retirees who are not Medicare-eligible with confidential consultations online with regard to the employee's or retiree's decision to select a plan during a period of open enrollment or at other times. The guidance tool shall operate using information supplied by the employee or retiree as answers to questions concerning the health care needs of the employee or retiree, and the employee's or retiree's dependents if any.
b. A comprehensive health and wellness plan intended to provide biometric screening services, chronic condition coaching services, and smoking cessation services shall be available to all members of the School Employees' Health Benefits Program, including all members of the New Jersey Educators Health Plan and the Garden State Health Plan.
The School Employees' Health Benefits Commission shall provide, through a contract, for the services of wellness related providers for employees and retirees, and their dependents if any, enrolled in the program. The contract awarded by the commission shall be offered to employers, as defined in section 32 of P.L.2007, c.103 (C.52:14-17.46.2), who do not participate in the program so that their employees may have access to the same services and under same terms, conditions, and costs as the employees of employers who do participate.
The School Employees' Health Benefits Program shall promote, on an on-going basis, the expansion of the use of patient centered medical homes.
The School Employees' Health Benefits Plan Design Committee shall seek also to adopt, on an on-going basis, efforts and measures to support expanded population health arrangements that manage costs and prevent inappropriate utilization.
c. All provisions of law regarding the School Employees' Health Benefits Program shall remain applicable to the extent not inconsistent with, and shall not be interpreted in a manner that creates a direct impediment to the implementation of, this section and sections 1, 2, and 4 of this act, P.L.2020, c.44 (C.52:14-17.46.13, C.52:14-17.46.14, and C.52:14-17.46.16).
##### **§ 52:14-17.46.16** Calculation of contribution. {#sec-52-14-17.46.16 omnilex-key=us-nj-statutes--title-52--52:14-17.46.16}
4. For employees and retirees who are not Medicare-eligible who are required to make a contribution pursuant to subsection a. or b. of section 2, or subsection d. of section 5, of this act, P.L.2020, c.44 (C.18A:16-13.2), due to enrollment in the New Jersey Educators Health Plan or the Garden State Health Plan, or the equivalent plan, as appropriate, a calculation shall be made in accordance with this section. The employee or retiree shall be required to contribute the lesser of: the amount calculated for that employee or retiree in accordance with subsection a. or b. of section 2, or in accordance with subsection d. of section 5, of this act, as appropriate; or the amount calculated for that employee or retiree in accordance with this section.
for family coverage or its equivalent -
an employee or retiree who earns less than $25,000 shall pay 3 percent of the cost of coverage;
an employee or retiree who earns $25,000 or more but less than $30,000 shall pay 4 percent of the cost of coverage;
an employee or retiree who earns $30,000 or more but less than $35,000 shall pay 5 percent of the cost of coverage;
an employee or retiree who earns $35,000 or more but less than $40,000 shall pay 6 percent of the cost of coverage;
an employee or retiree who earns $40,000 or more but less than $45,000 shall pay 7 percent of the cost of coverage;
an employee or retiree who earns $45,000 or more but less than $50,000 shall pay 9 percent of the cost of coverage;
an employee or retiree who earns $50,000 or more but less than $55,000 shall pay 12 percent of the cost of coverage;
an employee or retiree who earns $55,000 or more but less than $60,000 shall pay 14 percent of the cost of coverage;
an employee or retiree who earns $60,000 or more but less than $65,000 shall pay 17 percent of the cost of coverage;
an employee or retiree who earns $65,000 or more but less than $70,000 shall pay 19 percent of the cost of coverage;
an employee or retiree who earns $70,000 or more but less than $75,000 shall pay 22 percent of the cost of coverage;
an employee or retiree who earns $75,000 or more but less than $80,000 shall pay 23 percent of the cost of coverage;
an employee or retiree who earns $80,000 or more but less than $85,000 shall pay 24 percent of the cost of coverage;
an employee or retiree who earns $85,000 or more but less than $90,000 shall pay 26 percent of the cost of coverage;
an employee or retiree who earns $90,000 or more but less than $95,000 shall pay 28 percent of the cost of coverage;
an employee or retiree who earns $95,000 or more but less than $100,000 shall pay 29 percent of the cost of coverage;
an employee or retiree who earns $100,000 or more but less than $110,000 shall pay 32 percent of the cost of coverage;
an employee or retiree who earns $110,000 or more shall pay 35 percent of the cost of coverage
for individual coverage or its equivalent -
an employee or retiree who earns less than $20,000 shall pay 4.5 percent of the cost of coverage;
an employee or retiree who earns $20,000 or more but less than $25,000 shall pay 5.5 percent of the cost of coverage;
an employee or retiree who earns $25,000 or more but less than $30,000 shall pay 7.5 percent of the cost of coverage;
an employee or retiree who earns $30,000 or more but less than $35,000 shall pay 10 percent of the cost of coverage;
an employee or retiree who earns $35,000 or more but less than $40,000 shall pay 11 percent of the cost of coverage;
an employee or retiree who earns $40,000 or more but less than $45,000 shall pay 12 percent of the cost of coverage;
an employee or retiree who earns $45,000 or more but less than $50,000 shall pay 14 percent of the cost of coverage;
an employee or retiree who earns $50,000 or more but less than $55,000 shall pay 20 percent of the cost of coverage;
an employee or retiree who earns $55,000 or more but less than $60,000 shall pay 23 percent of the cost of coverage;
an employee or retiree who earns $60,000 or more but less than $65,000 shall pay 27 percent of the cost of coverage;
an employee or retiree who earns $65,000 or more but less than $70,000 shall pay 29 percent of the cost of coverage;
an employee or retiree who earns $70,000 or more but less than $75,000 shall pay 32 percent of the cost of coverage;
an employee or retiree who earns $75,000 or more but less than $80,000 shall pay 33 percent of the cost of coverage;
an employee or retiree who earns $80,000 or more but less than $95,000 shall pay 34 percent of the cost of coverage;
an employee or retiree who earns $95,000 or more shall pay 35 percent of the cost of coverage;
for member with child or spouse coverage or its equivalent -
an employee or retiree who earns less than $25,000 shall pay 3.5 percent of the cost of coverage;
an employee or retiree who earns $25,000 or more but less than $30,000 shall pay 4.5 percent of the cost of coverage;
an employee or retiree who earns $30,000 or more but less than $35,000 shall pay 6 percent of the cost of coverage;
an employee or retiree who earns $35,000 or more but less than $40,000 shall pay 7 percent of the cost of coverage;
an employee or retiree who earns $40,000 or more but less than $45,000 shall pay 8 percent of the cost of coverage;
an employee or retiree who earns $45,000 or more but less than $50,000 shall pay 10 percent of the cost of coverage;
an employee or retiree who earns $50,000 or more but less than $55,000 shall pay 15 percent of the cost of coverage;
an employee or retiree who earns $55,000 or more but less than $60,000 shall pay 17 percent of the cost of coverage;
an employee or retiree who earns $60,000 or more but less than $65,000 shall pay 21 percent of the cost of coverage;
an employee or retiree who earns $65,000 or more but less than $70,000 shall pay 23 percent of the cost of coverage;
an employee or retiree who earns $70,000 or more but less than $75,000 shall pay 26 percent of the cost of coverage;
an employee or retiree who earns $75,000 or more but less than $80,000 shall pay 27 percent of the cost of coverage;
an employee or retiree who earns $80,000 or more but less than $85,000 shall pay 28 percent of the cost of coverage;
an employee or retiree who earns $85,000 or more but less than $100,000 shall pay 30 percent of the cost of coverage.
an employee or retiree who earns $100,000 or more shall pay 35 percent of the cost of coverage.
The annual base salary of an employee shall be used to determine what the employee earns for the purpose of determining the percent of the cost of coverage. The annual retirement allowance, including any cost of living adjustments to that allowance, of a retiree who is not Medicare-eligible shall be used to determine what the retiree earns for the purpose of determining the percent of the cost of coverage.
As used in this section, "cost of coverage" means the premium or periodic charges for medical and prescription drug plan coverage, but not for dental, vision, or other health care, provided: (1) under the New Jersey Educators Health Plan or the Garden State Health Plan offered by the School Employees' Health Benefits Program pursuant to section 1 of P.L.2020, c.44 (C.52:14-17.46.13); or (2) under the equivalent New Jersey Educators Health Plan or the equivalent Garden State Health Plan offered by an employer pursuant to section 5 of P.L.2020, c.44 (C.18A:16-13.2) when that employer is not a participant in the School Employees' Health Benefits Program.
##### **§ 52:14-17.46.17** Certain disabled members of the Teachers’ Pension and Annuity Fund, Public Employees’ Retirement System, coverage under School Employees’ Health Benefits Program Act. {#sec-52-14-17.46.17 omnilex-key=us-nj-statutes--title-52--52:14-17.46.17}
1. a. Notwithstanding the provisions of sections 10 and 11 of P.L.2010, c.3 (C.18A:66-39.1 and C.43:15A-42.1) or any other law, rule, or regulation to the contrary, a person who is disabled and receiving a benefit under section 10 or 11 of P.L.2010, c.3 (C.18A:66-39.1 and C.43:15A-42.1) before January 1, 2027, and who became a member of the Teachers' Pension and Annuity Fund, N.J.S.18A:66-1 et seq., on or after the effective date of P.L.2010, c.3 or became a member of the Public Employees' Retirement System of New Jersey, P.L.1954, c.84 (C.43:15A-1 et seq.), on or after the effective date of P.L.2010, c.3 and is an employee of a board of education or county college shall be eligible to enroll in health care benefits coverage under the “School Employees’ Health Benefits Program Act,” P.L.2007, c.103 (C.52:14-17.46.1 et seq.), in the same manner as such coverage is provided by the State to retirees, except the benefit shall be free and there shall be no employee contribution requirement.
b. The program shall refund to a member eligible to enroll in health care benefits coverage under subsection a. of this section the amount actually paid by the member for premiums for health benefits coverage under the “School Employees’ Health Benefits Program Act.” P.L.2007, c.103 (C.52:14-17.46.1 et seq.), on or after January 1, 2024 but prior to the effective date of P.L.2025, c.370 (C.52:14-17.46.17 et al.) while the member was disabled and receiving a benefit under section 10 or 11 of P.L.2010, c.3 (C.18A:66-39.1 and C.43:15A-42.1).
##### **§ 52:14-17.46.18** Disabled member of Teachers' Pension and Annuity Fund, coverage under New Jersey Educators Health Plan, Garden State Health Plan, parameters. {#sec-52-14-17.46.18 omnilex-key=us-nj-statutes--title-52--52:14-17.46.18}
5. a. A member of the Teachers' Pension and Annuity Fund, N.J.S.18A:66-1 et seq., who is disabled and begins receiving a benefit under section 10 of P.L.2010, c.3 (C.18A:66-39.1) on or after January 1, 2027, and who is not Medicare-eligible may enroll in health benefits coverage under the New Jersey Educators Health Plan or the Garden State Health Plan as offered to retirees. An enrollee shall pay monthly contributions to the State for such health benefits coverage in accordance with the provisions of subsections a. or b. of section 2 of P.L.2020, c.44 (C.52:14-17.46.14), as applicable. For the purpose of determining the contributions required from a member receiving health benefits coverage pursuant to this subsection, the term “base salary” as used in section 2 of P.L.2020, c.44 (C.52:14-17.46.14) shall mean the disability benefit provided under a group policy or policies to the member pursuant to section 10 of P.L.2010, c.3 (C.18A:66-39.1).
b. A member of the Public Employees' Retirement System of New Jersey, P.L.1954, c.84 (C.43:15A-1 et seq.), who is an employee of a board of education or county college, who is disabled and begins receiving a benefit under section 11 of P.L.2010, c.3 (C.43:15A-42.1) on or after January 1, 2027, and who is not Medicare-eligible may enroll in health benefits coverage under the New Jersey Educators Health Plan or the Garden State Health Plan as offered to retirees. An enrollee shall pay monthly contributions to the State for such health benefits coverage in accordance with the provisions of subsections a. or b. of section 2 of P.L.2020, c.44 (C.52:14-17.46.14), as applicable. For the purpose of determining the contributions required from a member receiving health benefits coverage pursuant to this subsection, the term “base salary” as used in section 2 of P.L.2020, c.44 (C.52:14-17.46.14) shall mean the disability benefit provided under a group policy or policies to the member pursuant to section 11 of P.L.2010, c.3 (C.43:15A-42.1).
c. A member of the Teachers' Pension and Annuity Fund, N.J.S.18A:66-1 et seq., who is disabled and begins receiving a benefit under section 10 of P.L.2010, c.3 (C.18A:66-39.1) on or after January 1, 2027, and who is or becomes Medicare-eligible while receiving a benefit under section 10 of P.L.2010, c.3 (C.18A:66-39.1) shall no longer be eligible for enrollment in the New Jersey Educators Health Plan or the Garden State Health Plan as offered to retirees, except that any dependent of the member who is not eligible for Medicare may remain eligible for health benefits coverage under the New Jersey Educators Health Plan or the Garden State Health Plan. Such member may enroll in the School Employees’ Health Benefits Program upon enrollment in the federal Medicare program consistent with the laws and regulations governing the participation of Medicare-eligible retirees under the program. A Medicare-eligible enrollee shall pay monthly contributions to the State for such health benefits coverage in accordance with the percentage of salary that is applicable to retirees enrolled in the New Jersey Educators Health Plan pursuant to subsection a. of section 2 of P.L.2020, c.44 (C.52:14-17.46.14). For the purpose of determining the contributions required from a member receiving health benefits coverage pursuant to this subsection, the term “base salary” as used in section 2 of P.L.2020, c.44 (C.52:14-17.46.14) shall mean the disability benefit provided under a group policy or policies to the member pursuant to section 10 of P.L.2010, c.3 (C.18A:66-39.1).
d. A member of the Public Employees' Retirement System of New Jersey, P.L.1954, c.84 (C.43:15A-1 et seq.), who is an employee of a board of education or county college, who is disabled and begins receiving a benefit under section 11 of P.L.2010, c.3 (C.43:15A-42.1) on or after January 1, 2027, and who is or becomes Medicare-eligible while receiving a benefit under section 11 of P.L.2010, c.3 (C.43:15A-42.1) shall no longer be eligible for enrollment in the New Jersey Educators Health Plan or the Garden State Health Plan as offered to retirees, except that any dependent of the member who is not eligible for Medicare may remain eligible for health benefits coverage under the New Jersey Educators Health Plan or the Garden State Health Plan. Such member may enroll in the School Employees’ Health Benefits Program upon enrollment in the federal Medicare program consistent with the laws and regulations governing the participation of Medicare-eligible retirees under the program. A Medicare-eligible enrollee shall pay monthly contributions to the State for such health benefits coverage in accordance with the percentage of salary that is applicable to retirees enrolled in the New Jersey Educators Health Plan pursuant to subsection a. of section 2 of P.L.2020, c.44 (C.52:14-17.46.14). For the purpose of determining the contributions required from a member receiving health benefits coverage pursuant to this subsection, the term “base salary” as used in section 2 of P.L.2020, c.44 (C.52:14-17.46.14) shall mean the disability benefit provided under a group policy or policies to the member pursuant to section 11 of P.L.2010, c.3 (C.43:15A-42.1).
e. If a member fails to remit any contributions required to be remitted to the State for the member’s health benefits coverage pursuant to subsections a. through d. of this section, the Division of Pensions and Benefits shall notify the member that the right to continue coverage shall be suspended if payment in full is not remitted within 30 days of such notice. If no payment is made, the division shall generate a notice of termination to the member indicating the termination date and restating the amounts due to reinstate coverage. Termination shall be effective on the last day of the month for which premiums were paid by the member.
##### **§ 52:14-17.50** Management, consulting contracts; purpose {#sec-52-14-17.50 omnilex-key=us-nj-statutes--title-52--52:14-17.50}
The Director of the Division of Budget and Accounting in the Department of the Treasury with the approval of the President of the Senate and Speaker of the General Assembly is authorized to enter into annual contracts on behalf of the State with a recognized management consulting firm of its selection to prepare, and from time to time revise, a thorough study of wages, salaries, benefits, work productivity and working conditions of State employees and comparison thereof with comparable private employment, with the ends in view of providing the Governor and the Legislature with standards and guidelines for use in the preparation of annual budgets and appropriation acts for the support of the State Government that will permit fair treatment of State employees and permit the State to gain and maintain a competitive position in its recruitment and retention of employees.
##### **§ 52:14-18** Annual reports of State departments, boards and officers; time for making; penalty. {#sec-52-14-18 omnilex-key=us-nj-statutes--title-52--52:14-18}
Except as otherwise expressly provided by law, all boards, commissions, institutions, departments, state officers and other persons required by law to present an annual report to the Governor or to the Legislature, shall make report as of the thirtieth day of June annually, and shall complete the report and provide notice that it is available to the governor on or before the thirtieth day of November.
Any officer, commissioner or other person who shall fail to deliver his report on or before the thirtieth day of November shall, as a penalty, forfeit one-half his salary or compensation from the thirtieth day of November until the time when such report shall be so presented, and such forfeited compensation shall be withheld by the comptroller and treasurer.
##### **§ 52:14-18.1** Time for making annual reports {#sec-52-14-18.1 omnilex-key=us-nj-statutes--title-52--52:14-18.1}
Any department, board, commission and agency of the State Government required to make an annual report to the Governor or the Governor and the Legislature as to its operations for a calendar year shall make such report on or before the following March 1.
##### **§ 52:14-19** Reports other than annual reports; time for making. {#sec-52-14-19 omnilex-key=us-nj-statutes--title-52--52:14-19}
All boards, commissions and officers of the State required by law, joint resolution, or otherwise to report to the Governor or Legislature upon any matter whatever, shall, unless otherwise specially directed, complete the report at least 10 days previous to the first day of January next following the date of their appointment, and notice of the availability of the report shall be delivered to the Legislature on the first day of the session.
This section shall not apply to the annual reports of State boards, commissions, institutions, departments or officers.
##### **§ 52:14-19.1** Submission of reports to the Legislature. {#sec-52-14-19.1 omnilex-key=us-nj-statutes--title-52--52:14-19.1}
2. Notwithstanding any other law to the contrary, all boards, commissions, institutions, departments, agencies, State officers and employees and other persons required by law to make available, submit, forward, or otherwise transmit to the Legislature or to the members of the Legislature a report, study, survey, publication or other document shall, in lieu of distributing a copy thereof to each member, meet this requirement of law by: a. preparing the document for examination and approval in the manner provided by law; and, b. submitting notice of availability of the approved document to the President of the Senate, Speaker of the General Assembly and the Director of Public Information in the Office of Legislative Services. The Director of Public Information shall submit to the Secretary of the Senate, the Clerk of the General Assembly and the members of the Legislature a notice containing the title of the document and the name of the agency issuing the document, that notice to be distributed to the members in the same manner as provided for the distribution of transcripts of public hearings. A copy of any such document shall be made available to any member of the Legislature upon request, or pursuant to such procedures as may be provided by the respective Houses of the Legislature.
This section shall not apply to any reporting requirements or procedures specified in the State Constitution, nor to any information required by law to be submitted to the Legislative Counsel, State Auditor, Legislative Budget and Finance Officer, the Joint Budget Oversight Committee, or the Joint Legislative Committee on Ethical Standards.
##### **§ 52:14-20** Editing and printing of official reports; duties of state librarian; approval of governor {#sec-52-14-20 omnilex-key=us-nj-statutes--title-52--52:14-20}
The state librarian, subject to the approval of the governor, shall critically examine, edit and prepare appropriate indexes of all official reports presented by any official, institution, board, commission or department of the state, and determine what parts, if any, and the number of copies of such reports which shall be printed. No official report shall be printed unless so examined and edited by the state librarian and approved by the governor.
This section shall not apply to any report of any legislative committee or commission.
##### **§ 52:14-20.1** Reports, publications made available, notice. {#sec-52-14-20.1 omnilex-key=us-nj-statutes--title-52--52:14-20.1}
1. All reports and publications produced by the State, or any agency of the State, that are to be submitted to the Governor or the Legislature, or made available to the public, shall be posted on the Internet in lieu of printing. A notice of availability of the report or publication shall be distributed to the Governor or the Legislature, as the case may be. In the case of a report or publication to be made available to the public, an electronic copy and a print copy shall be submitted to the State Librarian. If such reports or publications are printed, six copies shall be submitted to the State Librarian in addition to the one electronic copy.
Upon receiving notice of availability of a report or publication, an individual who is unable to access the document on the Internet may request a printed copy.
The provisions of this section shall not apply to publications produced pursuant to section 7 of P.L.1968, c.410 (C.52:14B-7).
##### **§ 52:14-23** Filing of reports {#sec-52-14-23 omnilex-key=us-nj-statutes--title-52--52:14-23}
All official reports required to be filed and not specified to be filed elsewhere shall be filed with the secretary of state.
##### **§ 52:14-24** Distribution of official reports. {#sec-52-14-24 omnilex-key=us-nj-statutes--title-52--52:14-24}
The custodian of the State House shall, under the direction and control of the State House Commission, cause to be made available on the Internet the various official reports and legislative documents as the State House Commission shall direct. If such reports and documents are printed, six copies shall be submitted to the State Librarian in addition to an electronic copy for the Internet.
##### **§ 52:14-25.1** Annual or special reports, publications; copies filed in State Library. {#sec-52-14-25.1 omnilex-key=us-nj-statutes--title-52--52:14-25.1}
All State officers, departments, commissions, committees, or agencies issuing annual reports or special reports required by law to be submitted to the Governor or to the Legislature of this State, and other State publications of a general informational character, where such reports are printed and electronically produced, shall file with the New Jersey State Library for purposes of permanent public access and distribution one electronic copy and six printed copies. In cases where such reports are made in electronic form only, one electronic copy and one printed copy shall be submitted to the State Library for preservation and permanent reference use. State officers, departments, commissions. committees and agencies shall designate an individual to act as a liaison to the State Library.
##### **§ 52:14-25.3** Court decisions, pamphlet laws, etc., excepted {#sec-52-14-25.3 omnilex-key=us-nj-statutes--title-52--52:14-25.3}
The requirements of sections 52:14-25.1 and 52:14-25.2 of this title are not intended to apply to the decisions of the courts, to the pamphlet laws of the state or to the proceedings of the legislature or to other publications, the distribution of which in printed form is otherwise provided for by law. Nor are the requirements of said sections intended to apply to official opinions of the attorney general or to reports made as a part of the routine proceedings or official actions of any state officer, department, board or commission.
##### **§ 52:14-26** Establishing fund {#sec-52-14-26 omnilex-key=us-nj-statutes--title-52--52:14-26}
Any board or institution of the state, receiving from the state for its maintenance an annual appropriation of state funds, may, for the purpose of paying such current expenses of maintenance requiring a prompt cash outlay, establish a petty cash expense fund.
##### **§ 52:14-27** Amount of fund {#sec-52-14-27 omnilex-key=us-nj-statutes--title-52--52:14-27}
The state treasurer, upon the warrant of the state comptroller, may, for the purpose aforesaid, pay to the treasurer of such board or institution or to the person or official acting as such, from the annual appropriation of state funds for its maintenance, an amount necessary therefor not exceeding two thousand dollars in any fiscal year, upon the application in writing by the management of such board or institution.
##### **§ 52:14-28** Monthly account of disbursement of fund {#sec-52-14-28 omnilex-key=us-nj-statutes--title-52--52:14-28}
The treasurer of the board or institution, or the official acting as such, shall include in the monthly schedule of expenses as provided by section 52:19-18 of this title, a detailed monthly account of the disbursement of the fund accompanied by appropriate vouchers therefor approved by the management of the board or institution, and shall devote the sum thereof when received from the state treasurer to the reimbursement of the fund.
##### **§ 52:14-29** Annual repayment of fund {#sec-52-14-29 omnilex-key=us-nj-statutes--title-52--52:14-29}
On the twentieth of June of each year the treasurer of such board or institution shall pay to the state treasurer the full amount received by him from the state during the current fiscal year for the creation or establishment of the fund.
##### **§ 52:14-30** Comptroller to decide question respecting fund {#sec-52-14-30 omnilex-key=us-nj-statutes--title-52--52:14-30}
Any question arising with reference to the amount to be allowed each institution or board, the expenditure thereof, the accounting therefor, and the repayment thereof to the state treasurer, shall be finally determined by the ruling of the state comptroller.
##### **§ 52:14-31** Federal and state bonds; bonds or notes secured by property within State; limitations {#sec-52-14-31 omnilex-key=us-nj-statutes--title-52--52:14-31}
All boards, commissions and heads of departments of the State Government may invest moneys or funds in their possession in the following securities:
a. Bonds of the United States of America.
b. Bonds of the State of New Jersey, or of any municipality thereof, including school districts.
c. Mortgage bonds or notes secured by property within the State of New Jersey and insured by the Federal housing administrator.
No investment of such funds shall be made where the total debt of any such municipality, including the school debt, shall exceed thirty per centum (30%) of the assessed valuation of all the real and personal property therein; but in ascertaining the total indebtedness, credit shall be allowed only for such moneys or property as shall be in the sinking fund.
##### **§ 52:14-32** Notes and bonds of certain municipalities; "local government board" defined; powers conferred as additional {#sec-52-14-32 omnilex-key=us-nj-statutes--title-52--52:14-32}
All boards, commissions, officers of the State and heads of departments of the State Government authorized to invest moneys or funds may invest moneys or funds in their possession in the notes, bonds or other obligations of any municipality of the State which have heretofore been or shall hereafter be issued pursuant to a resolution or ordinance adopted by the proper officers of such municipality in a form certified, approved, indorsed or consented to by the local government board or issued with approval or consent in writing on behalf of such local government board.
The words "local government board" shall mean the Local Government Board of the Division of Local Government in the State Department of Taxation and Finance, or the commission referred to in section six hundred fifty-seven of the act entitled "An act to authorize and regulate the issuance of bonds and other obligations and the incurring of indebtedness by county, city, borough, town, township, village or any other municipality, other than a school district (Revision of 1935)," approved March twentieth, one thousand nine hundred and thirty-five (P.L.1935, c. 77) or in section 40:1-67 of the Revised Statutes, or the commission referred to in section 52:27-1 of this Title and having and exercising with respect to such municipality the powers and duties prescribed by chapter twenty-seven of this Title (s. 52:27-1 et seq.), or any board, commission, officer or other agency of the State Government which may succeed to and exercise the powers and duties of such Local Government Board or either such commission.
The powers conferred by this section shall be in addition to the powers conferred by every other law, and notes, bonds and other obligations may be purchased hereunder notwithstanding the restrictions contained in any other laws.
##### **§ 52:14-33** Acceptance of preferred bank stock to extent of money on deposit; exercise of rights incidental to ownership {#sec-52-14-33 omnilex-key=us-nj-statutes--title-52--52:14-33}
Any officer, commission or board of this State, having money of the State or of such board or commission on deposit in any national bank transacting business in this State, or any bank or trust company organized under the laws of this State, may subscribe to and accept preferred stock in any such national bank, or bank or trust company of this State, in whole or in part to the extent of such deposit, where the Comptroller of the Currency of the United States, or the Commissioner of Banking and Insurance of this State, as the case may be, shall certify in writing to any such officer, commission or board of this State, that the same is advisable in the public interest. Such officer, board, or commission of this State and his or their successors, shall have and may, in his or their discretion, exercise all the rights incidental to the ownership of such stock, and may sell, transfer, or exchange such stock upon such terms and conditions, and for such consideration as such officer, board, or commission of this State shall deem advisable or advantageous. Such officer, board, or commission of this State shall have power to participate in and to consent to any amendment or amendments to the certificate of incorporation of such national bank or of such bank or trust company of this State, now or hereafter authorized by law, and may do all acts and things required or necessary to make such amendment or amendments effective according to their terms.
##### **§ 52:14-34** Filing and preservation of records, accounts and papers of departments {#sec-52-14-34 omnilex-key=us-nj-statutes--title-52--52:14-34}
All state departments, institutions, boards, commissions and officials shall file all vouchers, bills, checks, minutes and all other papers and books relating to the conduct and accounts of their respective offices in their respective offices, at least once each month, where the same shall be preserved in a safe and secure manner.
##### **§ 52:14-34.1** Participation in grants of federal funds; notice {#sec-52-14-34.1 omnilex-key=us-nj-statutes--title-52--52:14-34.1}
Whenever a State agency makes application, enters into a contract or agreement or submits State plans for participation in and for grants of Federal funds under any Federal law which are not appropriated by the Legislature, the agency making such application shall at the time of such action, notify the Director of the Division of Budget and Accounting, the Director of Legislative Budget and Finance, the chairman of the Senate Appropriations Committee and the chairman of the Assembly Appropriations Committee on forms and in a manner prescribed by the Director of the Division of Budget and Accounting.
##### **§ 52:14-34.2** Notice of amendment of application, contract, agreement or state plan {#sec-52-14-34.2 omnilex-key=us-nj-statutes--title-52--52:14-34.2}
Whenever any such application, contract, agreement or State plan is amended, such agency shall notify each such officer of such action in a manner prescribed by the Director of the Division of Budget and Accounting.
##### **§ 52:14-34.3** Progress report; final report {#sec-52-14-34.3 omnilex-key=us-nj-statutes--title-52--52:14-34.3}
Such agency shall furnish to each such officer a progress report in relation to each such application, contract, agreement or State plan at least once in each 6 months period following the date of the filing of the application, contract, agreement or State plan and shall also file with each such officer a final report as to the final disposition of each such application, contract, agreement or State plan.
##### **§ 52:14-34.4** Notice of fund availability {#sec-52-14-34.4 omnilex-key=us-nj-statutes--title-52--52:14-34.4}
In addition to all other notification requirements imposed by law, each State department, agency and commission which awards federal or State grant funds shall publish notice regarding the availability of those funds in the New Jersey Register or an appropriate publication of the department, agency or commission. The published notice shall include:
a. the names of the grant programs that have funds available;
b. the purpose for which the grant program funds shall be used;
c. the amount of money in the grant program;
d. the groups or entities (citizens, counties, municipalities of a certain class, etc.) which may apply for funding under the grant program;
e. the qualifications an applicant needs to be considered for the grant program;
f. the procedure for eligible entities to apply for grant funds;
g. the address of the division, office or official receiving the application;
h. the deadline by which applications must be submitted to that division, office or official; and
i. the date by which applicants shall be notified whether they will receive funds under the grant program.
##### **§ 52:14-34.5** Publication of notice {#sec-52-14-34.5 omnilex-key=us-nj-statutes--title-52--52:14-34.5}
A State department, agency or commission using a publication other than the New Jersey Register for the purposes of this act shall publish in the New Jersey Register, at least semi-annually, the name of the publication; the volume and issue, catalogue number, series and number, or other identification of the specific publication; and the address of the division, office or official distributing the publication. This section shall not apply to new grant programs which are not contained in the department, agency or commission publication.
##### **§ 52:14-34.6** Rules, regulations {#sec-52-14-34.6 omnilex-key=us-nj-statutes--title-52--52:14-34.6}
The Director of the Office of Administrative Law may promulgate rules and regulations pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.) for purposes of implementing the provisions of this act.
##### **§ 52:14-34.7** State license, permit establishments, administrators, duties {#sec-52-14-34.7 omnilex-key=us-nj-statutes--title-52--52:14-34.7}
40. The manager or other chief administrative officer of any office or commercial establishment where State licenses or permits, other than licenses or permits issued by a professional or occupational board established under the laws of this State, are available to individual members of the public shall:
a. cause copies of the voter registration forms and instructions furnished under subsection f. of section 16 of P.L.1974, c.30 (C.19:31-6.4) to be displayed at the office or commercial establishment and to be made available to each person who, when appearing in person at such location to obtain a State license or permit, may wish, on a voluntary basis, to register to vote;
b. provide for the continuous supply of the forms and instructions specified in subsection a. of this section to each such office or establishment; and
c. provide the forms and instructions specified in subsection a. of this section in both the English and Spanish languages to each office or establishment which provides services under any program administered thereby which is located in any county in which bilingual sample ballots must be provided pursuant to R.S.19:14-21, R.S.19:49-4 or section 2 of P.L.1965, c.29 (C.19:23-22.4).
##### **§ 52:14-35** Sale of certain Port of New York Authority bonds authorized; proceeds for emergency relief purposes {#sec-52-14-35 omnilex-key=us-nj-statutes--title-52--52:14-35}
The governor, treasurer and comptroller constituting the sinking fund commission are hereby authorized to make private sale at not less than par and accrued interest of the bonds to be delivered to the state in liquidation of its claim against the Port of New York Authority for moneys advanced in the construction of the George Washington bridge.
The moneys received by the state from the sale of the aforesaid bonds shall be credited by the treasurer to the emergency relief account, and used solely for emergency relief purposes.
##### **§ 52:14-35.1** Resolutions of State House Commission and political subdivisions' governing bodies in connection with rationing authorized {#sec-52-14-35.1 omnilex-key=us-nj-statutes--title-52--52:14-35.1}
Whenever any Federal or State law or any rule or regulation made thereunder requires or permits the operation of a ration bank account or any administrative action in connection with any rationing program by this State, or any county, municipality, school district or other political subdivision of this State, or by any board, body, agency or commission of this State, or of any county, municipality or school district thereof, the State House Commission, in the case of the State, and the governing body in the case of such county, municipality, school district or other political subdivision, may by resolution provide for any action necessary or expedient in connection with the operation of such ration bank account or in connection with such administrative action.
##### **§ 52:14-36** Account authorized {#sec-52-14-36 omnilex-key=us-nj-statutes--title-52--52:14-36}
The Comptroller of the Treasury is hereby authorized and directed to set up an account in the General State Fund entitled "post-war reserve account."
##### **§ 52:14-37** Transfers to account {#sec-52-14-37 omnilex-key=us-nj-statutes--title-52--52:14-37}
At the end of each fiscal year the Comptroller of the Treasury shall advise the Governor as to which sums might be transferred to this account from surpluses in either the General State Fund or the State Highway System Fund and, upon certification by the Governor, such sums shall be transferred and credited to the post-war reserve account; provided, however, that no moneys which have been or shall be appropriated or allotted as State aid to counties, municipalities or school districts shall be subject to the provisions of this act.
##### **§ 52:14-38** Investments {#sec-52-14-38 omnilex-key=us-nj-statutes--title-52--52:14-38}
The Governor, Comptroller of the Treasury and State Treasurer are hereby authorized and empowered to invest and to liquidate the sums credited to the post-war reserve account in the United States Government bonds.
##### **§ 52:14-39** Interest {#sec-52-14-39 omnilex-key=us-nj-statutes--title-52--52:14-39}
All interest earned on said investments shall be credited to and become a part of the post-war reserve fund.
##### **§ 52:14-40** Findings, declarations. {#sec-52-14-40 omnilex-key=us-nj-statutes--title-52--52:14-40}
1. The Legislature finds and declares:
a. Census figures show that one in four New Jersey households speak a language other than English at home.
b. Nearly a third of New Jerseyans age five and older speak a language other than English, according to the 2020 U.S. Census American Community Survey, and of those 2.6 million people, more than 38 percent speak English "less than very well."
c. Hawaii, California, and New York all require state documents to be translated into the states' 10 most frequently spoken languages. Under federal law, if an individual is seeking services from a government agency or an organization funded by the U.S. government, they must be provided with assistance in their language. While agencies impacted by the federal requirement are not required to submit language access plans, the U.S. Department of Justice strongly suggests doing so.
d. The State's FY 2024 budget includes $500,000 in language access funding for State agencies to implement this bill.
##### **§ 52:14-41** Executive Branch, State government entity, direct services to the public, translate vital documents, information; definitions. {#sec-52-14-41 omnilex-key=us-nj-statutes--title-52--52:14-41}
2. a. Notwithstanding the provisions of any other law, rule, or regulation to the contrary, each State government entity in the Executive Branch that provides direct services to the public shall translate vital documents and information, including public documents such as forms and instructions provided to or completed by program beneficiaries or participants, pursuant to the provisions of this act, P.L.2023, c.263 (C.52:14-40 et seq.). The translations of vital documents and information shall be in at least the seven most common non-English languages spoken by individuals with limited-English proficiency in this State, based on United States Census Bureau American Community Survey data, and shall be relevant to services offered by each State government entity. The translations required under this section shall be implemented on a rolling basis and shall be completed no later than 12 months after the effective date of this act for the five most common languages, and not later than 23 months after the effective date of this act for the additional two most common languages and any other languages deemed necessary by the State government entity based on the populations served by the entity, except that any documents related to a public health emergency or state of emergency declared by the Governor after the effective date of this act shall be translated immediately.
b. As used in this act:
"Cultural competence" means and includes the understanding that different populations and communities are impacted differently by historical bias, racism, and other forms of discrimination and stigmatization. Cultural competence also includes self-awareness of how one's own needs, values, practices, and verbal and nonverbal communication styles may impact others.
"Interpretation" means the oral translation of information from one language into another.
"Limited English proficiency" means that a person speaks, reads, writes, or understands the English language less than "very well," in accordance with Census Bureau data, and as self-reported by that person to the State government entity.
"State government entity" means any State department or agency in the Executive Branch and any commission, board, bureau, division, office, or instrumentality thereof providing direct services to the public.
"Translation" means the conversion of written words from one language to another in a manner that conveys the intent and essential meaning of the original text and communication. "Translation" does not mean the use of automatic electronic translation services. "Translation" may include professional translation software, provided the State government entity conducts a quality control to ensure that the software has correctly translated the documents.
"Vital documents" means documents that affect or provide legal information about access to, retention of, termination of, or exclusion from program services or benefits; which are required by law; or which explain legal rights. "Vital documents" include, but are not limited to: applications; consent forms; complaint forms; intake forms; letters or notices pertaining to eligibility for services or benefits; and letters or notices pertaining to rights or to the reduction, denial, or termination of services or benefits or that require a response from the person who has limited English proficiency. "Vital documents" shall not include vital records or certified copies thereof, such as birth certificates, death certificates, or marriage licenses, or government-issued forms of identification, such as driver's licenses or non-driver identification cards; or newsletters, data reports, and releases when such newsletters, data reports, and releases are unrelated to program services or benefits.
##### **§ 52:14-42** Executive Branch, interpretation services, individual's primary language; language access plan. {#sec-52-14-42 omnilex-key=us-nj-statutes--title-52--52:14-42}
3. Each State government entity in the Executive Branch that provides direct services to the public shall, within 12 months of the effective date of P.L.2023, c.263 (C.52:14-40 et seq.), provide interpretation services between the entity and an individual in that person's primary language with respect to the provision of services or benefits as provided in its language access plan adopted pursuant to section 4 of P.L.2023, c.263 (C.52:14-43). Each State government entity shall have the option to provide interpretation services in the manner specified in the entity's language access plan, which may include in person by a qualified interpreter, interpretation by phone, or video interpretation services.
Each State government entity shall prepare an informational poster for use and display at each service location in an area that is highly visible to the public seeking services or benefits. The poster shall describe the language interpretation and translation services available and a person's right to receive those services under this act, P.L.2023, c.263 (C.52:14-40 et seq.). The poster shall include the same information in, at a minimum, the seven most common non-English languages spoken by individuals with limited-English proficiency in this State.
##### **§ 52:14-43** State government entity, Executive Branch, direct services to public, develop, publish language access plan, compliance, documentation of progress. {#sec-52-14-43 omnilex-key=us-nj-statutes--title-52--52:14-43}
4. a. Each State government entity in the Executive Branch that provides direct services to the public, in consultation with the Department of Human Services, Department of Law and Public Safety, and Office of Information Technology, shall develop and publish a language access plan that shall reflect how the entity will comply with the provisions of this act, P.L.2023, c.263 (C.52:14-40 et seq.), and document all progress since it last submitted a language access plan. The State government entity shall issue the language access plan required by this section within one year of the effective date of this act, and shall update and publish the plan every three years thereafter. The State government entity shall also post the language access plan on the entity's website. The State government entity shall consult with community or stakeholder entities representing limited-English proficient populations in drafting and updating the plan.
b. Each language access plan shall set forth, at a minimum:
(1) when and by what means the government entity will provide or is already providing language assistance services;
(2) how the government entity intends to keep track of the limited-English proficient population requesting interpretation and translation services, and how the government entity determines the need for language assistance services for the limited-English proficient population;
(3) a report on the frequency of requests for language assistance services, how the requests were met, whether language assistance services were requested in languages other than the required seven, and how the government entity intends to notify the limited-English proficient populations of the available language assistance services;
(4) how the government entity documents the actual provision of language assistance services to individuals with limited-English proficiency;
(5) a training plan for government entity employees who will be involved in the implementation of this act which includes, at minimum, annual training on the language access policies of the government entity, how to provide language assistance services, and follow any applicable State and federal confidentially protocols;
(6) a plan for how the agency will ensure the provision of language assistance services of the highest quality and in a culturally competent manner;
(7) the manner and means by which the public may contact the entity's language access coordinator regarding language access issues;
(8) the titles of all available translated documents and the languages into which they have been translated;
(9) a website and document content describing the translation services, processes, and documents required by this act; and
(10) a plan for annual internal monitoring of the government entity's compliance with this act.
c. As part of the development of the initial language access plan required by this section, each State government entity shall assess the interpretation needs of members of the public with limited English proficiency that the entity serves, estimate the cost associated with providing interpretation services to those individuals, and incorporate the provision of interpretation services into the entity's language access plan.
d. Notwithstanding any provision of this section to the contrary, if a State government entity already has a language access plan on the effective date of this act, the State government entity may continue to use that language access plan and may adjust that plan in accordance with the provisions of this section. A State government entity shall be permitted to retain any additional languages already included in an existing language access plan.
e. Each State government entity that provides direct services to the public shall designate a senior-level employee to serve as a language access coordinator to oversee the development and implementation of the entity's language access plan and compliance with the provisions of this act.
##### **§ 52:14-44** Commissioner of Human Services, Attorney General, Chief Technology Officer, guidance, heads of State government entities, language access coordinators; report, Governor, Legislature. {#sec-52-14-44 omnilex-key=us-nj-statutes--title-52--52:14-44}
5. The Commissioner of Human Services, Attorney General, and Chief Technology Officer shall provide guidance to the heads of State government entities and their respective language access coordinators in their implementation of this act, P.L.2023, c.263 (C.52:14-40 et seq.). The guidelines for implementing the provisions of this section shall include, but may not be limited to:
a. production and distribution of "I Speak" cards available to the public on a designated website in a downloadable and printable format for those who speak limited or no English to obtain the appropriate card for their language and carry it with them to request language services at State government entities;
b. solicitation of feedback and comments from each State government entity, the immigrant and refugee communities, and translation and interpretation contractors annually on the effectiveness of this act;
c. development and transmission of an annual report to the Governor, and to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), with recommendations for how each State government entity is performing and implementing the provisions of this act, including a list of agencies that required a corrective plan, with the first report to be issued on January 10, 2026;
d. a periodic review of the provisions of this act to develop recommendations for adjustments, as appropriate, based on changing demographics and other factors, which shall be included in the annual report required under subsection c. of this section;
e. development of language access plan written guidance based on the provisions of this act, for distribution to all State government entities for their use in developing, implementing, and reporting on their language access plans, and ensuring that each State government entity submits a language access plan when due that contains the required content; and
f. development of the list of seven languages that all State government entities shall use in their implementation of this act, which shall be based on American Community Survey data and updated every year or every five years upon the release of that data.
##### **§ 52:14-45** State government entity, community-based organizations, other agencies, partnering, translation, interpretation services. {#sec-52-14-45 omnilex-key=us-nj-statutes--title-52--52:14-45}
6. a. A State government entity may partner with community-based organizations or other agencies for the provision of translation and interpretation services in specific instances. To the extent that these partnerships meet the requirements for accuracy and cultural competency, State government entities shall not be prohibited from entering into partnerships.
b. Nothing in this act, P.L.2023, c.263 (C.52:14-40 et seq.), shall be interpreted to prohibit a State government entity in the Executive Branch that provides direct services to the public from utilizing an existing or future contract to effectuate the provisions of this act.
##### **§ 52:14-46** State government entity, in-person translation services, requirements unaffected; construction of act. {#sec-52-14-46 omnilex-key=us-nj-statutes--title-52--52:14-46}
7. Nothing in this act, P.L.2023, c.263 (C.52:14-40 et seq.), shall be interpreted to remove any requirements by any State government entity to provide for direct in-person translation services to a member of the public, or for the translation of any materials in the Spanish language or any additional languages, as may be required by law. Nothing in this act shall prevent a State government entity from providing interpretation and translation services to any limited-English proficient individuals who speak any language, even if that language is not among the seven most common non-English languages spoken in this State. Failure to comply with this act shall not give rise to a right of action against a State government entity, but nothing in this act shall be interpreted to impair or affect any right under the New Jersey Law Against Discrimination, P.L.1945, c.169 (C.10:5-1 et seq.), or any other obligation of a State government entity in the Executive Branch under State or federal law.
##### **§ 52:14-47** State government entity, benefits, services applicant, information strictly necessary, eligibility determination. {#sec-52-14-47 omnilex-key=us-nj-statutes--title-52--52:14-47}
8. A State government entity may require that an applicant for its benefits or services or any person assisting such applicant in seeking benefits or services provide only the information strictly necessary to determine eligibility for or to administer such benefits or services. Nothing in this act, P.L.2023, c.263 (C.52:14-40 et seq.), shall require that a State government entity accept responses to an application, form, or other document submitted to that entity in a language other than English unless otherwise required by law.
## **Chapter 14A**
##### **§ 52:14A-1** Short title {#sec-52-14a-1 omnilex-key=us-nj-statutes--title-52--52:14A-1}
This act shall be known and may be cited as the "Emergency Interim Executive Succession Act."
##### **§ 52:14A-2** Declaration of policy {#sec-52-14a-2 omnilex-key=us-nj-statutes--title-52--52:14A-2}
Because of the existing possibility of attack upon the United States of unprecedented size and destructiveness, and in order, in the event of such an attack to assure continuity of government through legally constituted leadership, authority and responsibility in offices of the Government of the State; to provide for the effective operation of governments during an emergency; and to facilitate the early resumption of functions temporarily suspended, it is found and declared to be necessary to provide for additional officers who can exercise the powers and discharge the duties of Governor and for emergency interim succession to governmental offices of this State in the event the incumbents thereof (and their deputies, assistants or other subordinate officers authorized, pursuant to law, to exercise all of the powers and discharge the duties of such offices) are unavailable to perform the duties and functions of such offices.
##### **§ 52:14A-3** Definitions {#sec-52-14a-3 omnilex-key=us-nj-statutes--title-52--52:14A-3}
Unless otherwise clearly required by the context, as used in this act:
(a) "Attack" means any attack or series of actions by an enemy of the United States causing, or which may cause, substantial damage or injury to property or persons in the United States in any manner by sabotage, bombs, missiles, shellfire, atomic, radiological, chemical, bacteriological, biological means or other weapons or methods.
(b) "Emergency interim successor" means a person designated pursuant to this act, in the event the officer is unavailable, to exercise the powers and discharge the duties of an office until a successor is appointed or elected and qualified as may be provided by the Constitution and Statutes, or until the lawful incumbent is able to resume the exercise of the powers and discharge the duties of the office.
(c) "Office" includes all State offices, the power and duties of which are defined by the Constitution and Statutes, except the office of Governor, and except those in the Legislature and the Judiciary.
(d) "Unavailable" means either that a vacancy in office exists and there is no deputy authorized to exercise all of the power and discharge the duties of the office, or that the lawful incumbent of the office (including any deputy exercising the powers and discharging the duties of an office because of a vacancy) and his duly authorized deputy are absent or unable, for physical, mental, legal or other reasons, to exercise the powers and discharge the duties of the office.
##### **§ 52:14A-4** Additional successors to office of Governor {#sec-52-14a-4 omnilex-key=us-nj-statutes--title-52--52:14A-4}
In the event that the Governor, for any reason, is not able to exercise and discharge the functions, powers and duties of his office, or is unavailable, the functions, powers and duties of such office shall devolve in the manner provided in Article V, Section 1 of the Constitution of the State of New Jersey. In the event that the persons upon whom such functions, powers and duties devolve, under such provisions of the Constitution, are not able to exercise the same or are unavailable, then such functions, powers and duties shall devolve upon the Attorney General, for the time being; and in the event that he is unable to exercise the powers and duties of such office or is unavailable, then upon the State Highway Commissioner, for the time being; and in the event that he is unable to exercise the powers and duties of such office or is unavailable, then upon such person as the Legislature by majority vote of the total number of available legislators and emergency interim successors, exercising the powers and discharging the duties of legislators not available, in both Houses may designate. Any such official or other person upon whom the powers and duties of the Governor have developed shall exercise the same until a new Governor is elected and qualified. No deputy or emergency interim successor to the aforementioned offices, including such successor to any Senator or Assemblyman may serve as Governor.
##### **§ 52:14A-5** Emergency interim successors for State officers {#sec-52-14a-5 omnilex-key=us-nj-statutes--title-52--52:14A-5}
All State officers, subject to such regulations as the Governor may issue, shall in addition to any deputy authorized pursuant to law to exercise all of the powers and discharge the duties of the office, designate by title emergency interim successors, specify their order of succession and file such designations with the Secretary of State. All such data shall be opened to public inspection. The officer shall review and revise, as necessary, such designations to insure their current status. The Secretary of State shall inform the Governor and the State officer affected of the failure of any such officer to file such designations. The officer will designate a sufficient number of such emergency interim successors so that there will be not less than 3, nor more than 7, such deputies or emergency interim successors or any combination thereof, at any time. In the event that any State officer is unavailable following an attack, and in the event his deputy, if any, is also unavailable, the said powers of his office shall be exercised and the said duties of his office shall be discharged by his designated emergency interim successors in the order specified. Such emergency interim successors shall exercise said powers and discharge said duties only until such time as the Governor under the Constitution or authority other than this act (or other official authorized under the Constitution or this act to exercise the powers and discharge the duties of the office of Governor) may, where a vacancy exists, appoint a successor to fill the vacancy or until a successor is otherwise appointed, or elected and qualified as provided by law; or an officer (or his deputy or a preceding named emergency interim successor) becomes available to exercise, or resume the exercise of, the powers and discharge the duties of his office.
##### **§ 52:14A-6** Formalities of taking office {#sec-52-14a-6 omnilex-key=us-nj-statutes--title-52--52:14A-6}
At the time of their designation, emergency interim successors shall take such oath as may be required for them to exercise the powers and discharge the duties of the office to which they may succeed. Notwithstanding any other provision of law, no person, as a prerequisite to the exercise of the powers or discharge of the duties of an office to which he succeeds, shall be required to comply with any other provision of law relative to taking office.
##### **§ 52:14A-7** Period in which authority may be exercised {#sec-52-14a-7 omnilex-key=us-nj-statutes--title-52--52:14A-7}
Officials and other persons authorized to act as Governor pursuant to this act and emergency interim successors are empowered to exercise the powers and discharge the duties of an office as herein authorized only after an attack has occurred and until a successor is appointed or elected and qualified according to law, or until the lawful incumbent is able to resume the exercise of the powers and discharge the duties of the office. The Legislature, by concurrent resolution, may at any time terminate the authority of any emergency interim successors to exercise the powers and discharge the duties of any office.
##### **§ 52:14A-8** Removal of designees {#sec-52-14a-8 omnilex-key=us-nj-statutes--title-52--52:14A-8}
Until such time as the persons designated as emergency interim successors are authorized to exercise the powers and discharge the duties of an office in accordance with this act, including section 7 hereof, said persons shall serve in their designated capacities at the pleasure of the designating authority and may be removed or replaced by said designating authority at any time, with or without cause.
##### **§ 52:14A-9** Disputes {#sec-52-14a-9 omnilex-key=us-nj-statutes--title-52--52:14A-9}
Any dispute, after an attack, arising under this act with respect to an office in the Executive Branch of the State Government (except a dispute of fact relative to the office of Governor) shall be adjudicated by the Governor (or other official exercising the powers and discharging the duties of the office of Governor) and his decision shall be final.
##### **§ 52:14A-10** Separability clause {#sec-52-14a-10 omnilex-key=us-nj-statutes--title-52--52:14A-10}
If a part of this act is invalid, all valid parts that are separable from the invalid part remain in effect. If a part of this act is invalid in one or more of its applications, the part remains in effect in all valid applications that are separable from the invalid applications.
## **Chapter 14B**
##### **§ 52:14B-1** Short title {#sec-52-14b-1 omnilex-key=us-nj-statutes--title-52--52:14B-1}
This act shall be known and may be cited as the "Administrative Procedure Act."
##### **§ 52:14B-2** Definitions. {#sec-52-14b-2 omnilex-key=us-nj-statutes--title-52--52:14B-2}
2. As used in this act:
"Administrative adjudication" or "adjudication" includes any and every final determination, decision, or order made or rendered in any contested case.
"Administrative rule" or "rule," when not otherwise modified, means each agency statement of general applicability and continuing effect that implements or interprets law or policy, or describes the organization, procedure or practice requirements of any agency. The term includes the amendment or repeal of any rule, but does not include: (1) statements concerning the internal management or discipline of any agency; (2) intra-agency and inter-agency statements; and (3) agency decisions and findings in contested cases.
"Contested case" means a proceeding, including any licensing proceeding, in which the legal rights, duties, obligations, privileges, benefits or other legal relations of specific parties are required by constitutional right or by statute to be determined by an agency by decisions, determinations, or orders, addressed to them or disposing of their interests, after opportunity for an agency hearing, but shall not include any proceeding in the Division of Taxation, Department of the Treasury, which is reviewable de novo by the Tax Court.
"Director" means the Director and Chief Administrative Law Judge of the Office of Administrative Law, unless otherwise indicated by context.
"Electronic mailing list " means a computer program that allows agency website visitors, at their discretion, to subscribe to, or unsubscribe from, an e-mail discussion group or e-mail mailing list controlled by the agency, and which program enables the agency to automatically send e-mail messages to multiple e-mail addresses on the user-generated subscriber list.
"Head of the agency" means and includes the individual or group of individuals constituting the highest authority within any agency authorized or required by law to render an adjudication in a contested case.
"License" includes the whole or part of any agency license, permit, certificate, approval, chapter, registration or other form of permission required by law.
"Secretary" means the Secretary of State.
"State agency" or "agency" shall include each of the principal departments in the executive branch of the State Government, and all boards, divisions, commissions, agencies, departments, councils, authorities, offices or officers within any such departments now existing or hereafter established and authorized by statute to make, adopt or promulgate rules or adjudicate contested cases, except the office of the Governor.
"URL address" means a Uniform Resource Locator address, which is used for the purposes of Internet navigation and is commonly referred to as a website link, and which uses a protocol, such as "http", and a domain name to identify, and provide website visitors with direct access to, a particular Internet file or website page.
##### **§ 52:14B-3** Additional requirements for rule-making. {#sec-52-14b-3 omnilex-key=us-nj-statutes--title-52--52:14B-3}
3. In addition to other rule-making requirements imposed by law, each agency shall:
(1) adopt as a rule a description of its organization, stating the general course and method of its operations and the methods whereby the public may obtain information or make submissions or requests;
(2) adopt rules of practice setting forth the nature and requirements of all formal and informal procedures available, including a description of all forms and instructions used by the agency, and if not otherwise set forth in an agency's rules, a table of all permits and their fees, violations and penalties, deadlines, processing times and appeals procedures. A complete list of the agency's permits, fees, violations, penalties, deadlines, processing times, and appeals procedures shall also be made available for public viewing through publication on the agency's Internet website;
(3) make available for public viewing, through publication on the agency's Internet website, and through any other means, all final agency orders, decisions, and opinions, in accordance with the provisions of chapter 73 of the laws of 1963 as amended and supplemented (C.47:1A-1 et seq.);
(4) make available for public viewing, through publication on the agency's Internet website, all of the agency's rule-making and public hearing notices, publicity documents, press releases, final and non-confidential agency reports, and rule-making petitions received by the agency pursuant to subsection (f) of section 4 of P.L.1968, c.410 (C.52:14B-4); and
(5) publish in the New Jersey Register a quarterly calendar setting forth a schedule of the agency's anticipated rule-making activities for the next six months. The calendar shall include the name of the agency and agency head, a citation to the legal authority authorizing the rule-making action and a synopsis of the subject matter and the objective or purpose of the agency's proposed rules.
In a manner prescribed by the Director of the Office of Administrative Law, each agency shall appropriately publicize that copies of its calendar are available to interested persons for a reasonable fee. The amount of the fee shall be set by the director.
An agency shall notify the Director of the Office of Administrative Law when it wishes to amend its calendar of rule-making activities. Any amendment which involves the addition of any rule-making activity to an agency's calendar shall provide that the agency shall take no action on that matter until at least 45 days following the first publication of the amended calendar in which the announcement of that proposed rule-making activity first appears.
The provisions of this paragraph shall not apply to rule-making:
(a) required or authorized by federal law when failure to adopt rules in a timely manner will prejudice the State;
(b) subject to a specific statutory authorization requiring promulgation in a lesser time period;
(c) involving an imminent peril subject to provisions of subsection (c) of section 4 of P.L.1968, c.410 (C.52:14B-4);
(d) for which the agency has published a notice of pre-proposal of a rule in accordance with rules adopted by the Director of the Office of Administrative Law; or
(e) for which a comment period of at least 60 days is provided.
A proposed rule falling within any of the exceptions to the provisions of this subsection shall so indicate in the notice of proposal.
##### **§ 52:14B-3a** Regulations relative to State agency rule-making; "regulatory guidance document" defined. {#sec-52-14b-3a omnilex-key=us-nj-statutes--title-52--52:14B-3a}
1. a. A State agency shall follow the administrative rule-making requirements set forth in the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), and shall only implement rules that have been adopted in accordance with those rule-making requirements.
b. No State agency shall utilize regulatory guidance documents that have not been adopted as rules in accordance with P.L.1968, c.410 unless the agency makes such documents readily available to the regulated community through appropriate means, including but not limited to posting in a prominent place on the website for the agency.
c. A regulatory guidance document that has not been adopted as a rule pursuant to P.L.1968, c.410, shall not:
(1) impose any new or additional requirements that are not included in the State or federal law or rule that the regulatory guidance document is intended to clarify or explain; or
(2) be used by the State agency as a substitute for the State or federal law or rule for enforcement purposes.
d. As used in this section, "regulatory guidance document" means any policy memorandum or other similar document used by a State agency to provide technical or regulatory assistance or direction to the regulated community to facilitate compliance with a State or federal law or a rule adopted pursuant to P.L.1968, c.410, but shall not include technical manuals adopted by the Department of Environmental Protection pursuant to section 1 of P.L.1991, c.422 (C.13:1D-111).
e. Nothing in this section shall be construed to require the disclosure of any information or record that is protected from disclosure by law, court order or rule of court, or to abrogate or erode any privilege or grant of confidentiality heretofore established or recognized by the Constitution of this State, statute, court rule or judicial case law.
##### **§ 52:14B-3.1** Findings, declarations {#sec-52-14b-3.1 omnilex-key=us-nj-statutes--title-52--52:14B-3.1}
1. The Legislature finds and declares that:
a. Under the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) all interested persons are afforded reasonable opportunity to submit data, views or arguments, orally or in writing, during any proceedings involving a permit decision;
b. Persons who have particularized property interests or who are directly affected by a permitting decision have constitutional and statutory rights and remedies;
c. To allow State agencies without specific statutory authorization to promulgate rules and regulations which afford third parties, who have no particularized property interests or who are not directly affected by a permitting decision, to appeal that decision would give rise to a chaotic unpredictability and instability that would be most disconcerting to New Jersey's business climate and would cripple economic development in our State; and
d. It is, therefore, altogether fitting and proper, and within the public interest, to prohibit State agencies from promulgating rules and regulations which would allow third party appeals of permit decisions unless specifically authorized to do so by federal law or State statute.
##### **§ 52:14B-3.2** Definitions {#sec-52-14b-3.2 omnilex-key=us-nj-statutes--title-52--52:14B-3.2}
2. As used in this act:
"Permit decision" means a decision by a State agency to grant, deny, modify, suspend or revoke any agency license, permit, certificate, approval, chapter, registration or other form of permission required by law, other than a license or certificate issued to an individual for the practice of a profession or occupation.
"State agency" or "agency" means and includes each of the principal departments in the executive branch of the State government, and all boards, divisions, commissions, agencies, councils, authorities, offices or officers within any such departments which are authorized to grant, deny, modify, suspend, or revoke a license, permit, certificate, approval, chapter, registration or other form of permission required by law, other than a license or certificate issued to an individual for the practice of a profession or occupation.
"Third party" means any person other than:
a. An applicant for any agency license, permit, certificate, approval, chapter, registration or other form of permission required by law;
b. A State agency; or
c. A person who has particularized property interest sufficient to require a hearing on constitutional or statutory grounds.
##### **§ 52:14B-3.3** Appeal of permit decision by third party {#sec-52-14b-3.3 omnilex-key=us-nj-statutes--title-52--52:14B-3.3}
3. a. Except as otherwise required by federal law or by a statute that specifically allows a third party to appeal a permit decision, a State agency shall not promulgate any rule or regulation that would allow a third party to appeal a permit decision.
b. Nothing herein shall be construed as abrogating or otherwise limiting any person's constitutional and statutory rights to appeal a permit decision.
##### **§ 52:14B-4** Adoption, amendment, repeal of rules. {#sec-52-14b-4 omnilex-key=us-nj-statutes--title-52--52:14B-4}
4. (a) Prior to the adoption, amendment, or repeal of any rule, except as may be otherwise provided, the agency shall:
(1) Give at least 30 days' notice of its intended action. The notice shall include a statement of either the terms or substance of the intended action or a description of the subjects and issues involved, and the time when, the place where, and the manner in which interested persons may present their views thereon. The notice shall be mailed to all persons who have made timely requests of the agency for advance notice of its rule-making proceedings and, in addition to any other public notice required by law, shall be published in the New Jersey Register. Notice shall also be distributed to the news media maintaining a press office to cover the State House Complex, and made available for public viewing through publication on the agency's Internet website. Each agency shall additionally publicize the intended action and shall adopt rules to prescribe the manner in which it will do so. In order to inform those persons most likely to be affected by or interested in the intended action, each agency shall distribute notice of its intended action to interested persons, and shall publicize the same, through the use of an electronic mailing list or similar type of subscription-based e-mail service. Additional publicity methods that may be employed include publication of the notice in newspapers of general circulation or in trade, industry, governmental or professional publications, distribution of press releases to the news media and posting of notices in appropriate locations, including the agency's Internet website. The rules shall prescribe the circumstances under which each additional method shall be employed;
(2) Prepare for public distribution at the time the notice appears in the Register, and make available for public viewing through publication on the agency's Internet website, a statement setting forth a summary of the proposed rule, as well as a clear and concise explanation of the purpose and effect of the rule, the specific legal authority under which its adoption is authorized, a description of the expected socio-economic impact of the rule, a regulatory flexibility analysis, or the statement of finding that a regulatory flexibility analysis is not required, as provided in section 4 of P.L.1986, c.169 (C.52:14B-19), a jobs impact statement which shall include an assessment of the number of jobs to be generated or lost if the proposed rule takes effect, an agriculture industry impact statement as provided in section 7 of P.L.1998, c.48 (C.4:1C-10.3), a housing affordability impact statement, a smart growth development impact statement, as provided in section 31 of P.L.2008, c.46 (C.52:14B-4.1b), and a racial and ethnic community criminal justice and public safety impact statement as required in section 3 of P.L.2017, c.286 (C.2C:48B-2);
(3) Afford all interested persons a reasonable opportunity to submit data, views, comments, or arguments, orally or in writing. The agency shall consider fully all written and oral submissions respecting the proposed rule, including any written submissions that are received by the agency through its e-mail systems or electronic mailing lists. If within 30 days of the publication of the proposed rule sufficient public interest is demonstrated in an extension of the time for submissions, the agency shall provide an additional 30-day period for the receipt of submissions by interested parties. The agency shall not adopt the proposed rule until after the end of that 30-day extension.
The agency shall conduct a public hearing on the proposed rule at the request of a committee of the Legislature, or a governmental agency or subdivision, or if sufficient public interest is shown, provided such request is made to the agency within 30 days following publication of the proposed rule in the Register. The agency shall provide at least 15 days' notice of such hearing, shall publish such hearing notice on its Internet website, and shall conduct the hearing in accordance with the provisions of subsection (g) of this section.
The head of each agency shall adopt as part of its rules of practice adopted pursuant to section 3 of P.L.1968, c.410 (C.52:14B-3) definite standards of what constitutes sufficient public interest for conducting a public hearing and for granting an extension pursuant to this paragraph; and
(4) Prepare for public distribution, and make available for public viewing through publication on the agency's Internet website, a report listing all parties offering written or oral submissions concerning the rule, summarizing the content of the submissions and providing the agency's response to the data, views, comments, and arguments contained in the submissions.
(b) A rule prescribing the organization of an agency may be adopted at any time without prior notice or hearing. Such rules shall be effective upon filing in accordance with section 5 of P.L.1968, c.410 (C.52:14B-5) or upon any later date specified by the agency.
(c) If an agency finds that an imminent peril to the public health, safety, or welfare requires adoption of a rule upon fewer than 30 days' notice and states in writing its reasons for that finding, and the Governor concurs in writing that an imminent peril exists, the agency may proceed to adopt the rule without prior notice or hearing, or upon any abbreviated notice and hearing that it finds practicable. The agency shall publish, on its Internet website, a summary of any rule adopted pursuant to this subsection, and the statement of reasons for the agency's finding that an imminent peril exists. Any rule adopted pursuant to this subsection shall be effective for a period of not more than 60 days, unless each house of the Legislature passes a resolution concurring in its extension for a period of not more than 60 additional days. The rule shall not be effective for more than 120 days unless repromulgated in accordance with normal rule-making procedures.
(d) No rule hereafter adopted is valid unless adopted in substantial compliance with P.L.1968, c.410 (C.52:14B-1 et seq.). A proceeding to contest any rule on the ground of noncompliance with the procedural requirements of P.L.1968, c.410 (C.52:14B-1 et seq.) shall be commenced within one year from the effective date of the rule.
(e) An agency may file a notice of intent with respect to a proposed rule-making proceeding with the Office of Administrative Law, for publication in the New Jersey Register at any time prior to the formal notice of action required in subsection (a) of this section. The notice shall be for the purpose of eliciting the views of interested parties on an action prior to the filing of a formal rule proposal. Such notice shall be distributed to interested persons through the use of an electronic mailing list or similar type of subscription-based e-mail service, and made available for public viewing through publication on the agency's Internet website. The agency shall afford all interested persons a reasonable opportunity to submit data, views, comments, or arguments, orally or in writing, on the proposed action, and shall fully consider all written and oral submissions, including any written submissions received by the agency through its e-mail systems or electronic mailing lists. An agency may use informal conferences and consultations as means of obtaining the viewpoints and advice of interested persons with respect to contemplated rule-making. An agency may also appoint committees of experts or interested persons or representatives of the general public to advise it with respect to any contemplated rule-making.
(f) An interested person may petition an agency to adopt a new rule, or amend or repeal any existing rule. Such petition may be submitted to the agency through mail, e-mail, electronic mailing list, or through any other means. Each agency shall prescribe by rule the form for the petition and the procedure for the consideration and disposition of the petition. The petition shall state clearly and concisely:
(1) The substance or nature of the rule-making which is requested;
(2) The reasons for the request and the petitioner's interest in the request;
(3) References to the authority of the agency to take the requested action.
The petitioner may provide the text of the proposed new rule, amended rule or repealed rule.
Within 60 days following receipt by an agency of any such petition, the agency shall either: (i) deny the petition, giving a written statement of its reasons; (ii) grant the petition and initiate a rule-making proceeding within 90 days of granting the petition; or (iii) refer the matter for further deliberations which shall be concluded within 90 days of referring the matter for further deliberations. Upon conclusion of such further deliberations, the agency shall either deny the petition and provide a written statement of its reasons or grant the petition and initiate a rule-making proceeding within 90 days. Upon the receipt of the petition, the agency shall file a notice stating the name of the petitioner and the nature of the request with the Office of Administrative Law for publication in the New Jersey Register. Notice of formal agency action on such petition shall also be filed with the Office of Administrative Law for publication in the Register, and shall be made available for public viewing through publication on the agency's Internet website.
If an agency fails to act in accordance with the time frame set forth in the preceding paragraph, upon written request by the petitioner, the Director of the Office of Administrative Law shall order a public hearing on the rule-making petition and shall provide the agency with a notice of the director's intent to hold the public hearing if the agency does not. If the agency does not provide notice of a hearing within 15 days of the director's notice, the director shall schedule, and provide the public with a notice of, that hearing at least 15 days prior thereto. Hearing notice shall also be made available for public viewing through publication on the agency's Internet website. If the public hearing is held by the Office of Administrative Law, it shall be conducted by an administrative law judge, a person on assignment from another agency, a person from the Office of Administrative Law assigned pursuant to subsection o. of section 5 of P.L.1978, c.67 (C.52:14F-5), or an independent contractor assigned by the director. The petitioner and the agency shall participate in the public hearing and shall present a summary of their positions on the petition, a summary of the factual information on which their positions on the petition are based and shall respond to questions posed by any interested party. The hearing procedure shall otherwise be consistent with the requirements for the conduct of a public hearing as prescribed in subsection (g) of section 4 of P.L.1968, c.410 (C.52:14B-4), except that the person assigned to conduct the hearing shall make a report summarizing the factual record presented and the arguments for and against proceeding with a rule proposal based upon the petition. This report shall be filed with the agency and delivered or mailed to the petitioner. A copy of the report shall be filed with the Legislature along with the petition for rule-making.
(g) All public hearings shall be conducted by a hearing officer, who may be an official of the agency, a member of its staff, a person on assignment from another agency, a person from the Office of Administrative Law assigned pursuant to subsection o. of section 5 of P.L.1978, c.67 (C.52:14F-5) or an independent contractor. The hearing officer shall have the responsibility to make recommendations to the agency regarding the adoption, amendment or repeal of a rule. These recommendations shall be made public. At the beginning of each hearing, or series of hearings, the agency, if it has made a proposal, shall present a summary of the factual information on which its proposal is based, and shall respond to questions posed by any interested party. Hearings shall be conducted at such times and in locations which shall afford interested parties the opportunity to attend. A verbatim record of each hearing shall be maintained, and copies of the record shall be available to the public at no more than the actual cost, which shall be that of the agency where the petition for rule-making originated.
##### **§ 52:14B-4.1** Rules, submission to Legislature; referral to committee {#sec-52-14b-4.1 omnilex-key=us-nj-statutes--title-52--52:14B-4.1}
1. Every rule hereafter proposed by a State agency shall be submitted by the Office of Administrative Law to the Senate and General Assembly within two business days of its receipt by the office, and the President of the Senate and the Speaker of the General Assembly shall immediately refer the proposed rule to the appropriate committee in each House.
##### **§ 52:14B-4.1a** Compliance with interagency rules required; OAL review for clarity {#sec-52-14b-4.1a omnilex-key=us-nj-statutes--title-52--52:14B-4.1a}
9. a. The director is authorized to refuse to accept from an agency a notice of proposal or notice of adoption which adopts, readopts or amends a rule or regulation, if the director determines that the rule or regulation and its accompanying materials do not comply satisfactorily with the interagency rules of the director. The State agency shall not be authorized to adopt, readopt or amend a rule or regulation where notice of proposal or notice of adoption is refused by the director in accordance with this provision , except by proposing the adoption, readoption or amendment in compliance with agency rules.
b. The Office of Administrative Law, upon its review and determination, shall not accept for publication any notice of intention to adopt, readopt or amend a rule or regulation, a proposed rule, summary of the proposed rule, regulatory impact analysis, or other accompanying materials which lacks a standard of clarity.
As used in this section, "standard of clarity" means the document is written in a reasonably simple and understandable manner which is easily readable. The document is drafted to provide adequate notice to affected persons and interested persons with some subject matter expertise. The document conforms to commonly accepted principles of grammar. The document contains sentences that are as short as practical, and is organized in a sensible manner. The document does not contain double negatives, confusing cross references, convoluted phrasing or unreasonably complex language. Terms of art and words with multiple meanings that may be misinterpreted are defined. The document is sufficiently complete and informative as to permit the public to understand accurately and plainly the legal authority, purposes and expected consequences of the adoption, readoption or amendment of the rule or regulation.
c. The provisions of subsection b. of this section shall not apply to any administrative rule that a State agency adopts to conform to a model code, federal rule, interstate agreement or other similar regulatory measure not written by the State agency but incorporated into an administrative rule. The State agency shall append to the proposed rule for publication a written statement describing the rule which complies with subsection b. of this section.
d. The Governor may, upon written request of a State agency, waive the requirements of this section with respect to the repromulgation, without amendment, of any rule or provision of a rule.
##### **§ 52:14B-4.1b** Housing affordability impact analysis. {#sec-52-14b-4.1b omnilex-key=us-nj-statutes--title-52--52:14B-4.1b}
31. a. In proposing a rule for adoption, the agency involved shall issue a housing affordability impact analysis regarding the rule, which shall be included in the notice of a proposed rule as required by subsection (a) of section 4 of P.L.1968, c.410 (C.52:14B-4). Each housing affordability impact analysis shall contain:
(1) A description of the types and an estimate of the number of housing units to which the proposed rule will apply; and
(2) A description of the estimated increase or decrease in the average cost of housing which will be affected by the regulation.
This subsection shall not apply to any proposed rule which the agency finds would impose an insignificant impact, either because the scope of the regulation is minimal, or there is an extreme unlikelihood that the regulation would evoke a change in the average costs associated with housing. The agency's finding and an indication of the basis for its finding shall be included in the notice of a proposed rule as required by subsection (a) of section 4 of P.L.1968, c.410 (C.52:14B-4).
b. In proposing a rule for adoption, the agency involved shall issue a smart growth development impact analysis regarding the rule, which shall be included in the notice of a proposed rule as required by subsection (a) of section 4 of P.L.1968, c.410 (C.52:14B-4). Each smart growth development impact analysis shall contain:
(1) A description of the types and an estimate of the number of housing units to which the proposed rule will apply;
(2) A description of the estimated increase or decrease in the availability of affordable housing which will be affected by the regulation; and
(3) A description as to whether the proposed rule will affect in any manner new construction within Planning Area 1 or 2, or within designated centers, under the State Development and Redevelopment Plan.
This subsection shall not apply to any proposed rule which the agency finds would impose an insignificant impact, either because the scope of the regulation is minimal, or there is an extreme unlikelihood that the regulation would evoke a change in the housing production within Planning Area 1 or 2, or within designated centers, under the State Development and Redevelopment Plan. The agency's finding and an indication of the basis for its finding shall be included in the notice of a proposed rule as required by subsection (a) of section 4 of P.L.1968, c.410 (C.52:14B-4).
For the purposes of complying with this subsection, and in order to avoid duplicative action, an agency may consider a series of closely related rules as one rule.
c. For the purposes of this section, "types" means housing groups distinguished by the following categories: housing reserved for occupancy by very low, low and moderate and middle income households, respectively; single family, two-family, and multi-family housing; rental housing and for-sale housing.
##### **§ 52:14B-4.3** Concurrent resolution of Legislature to invalidate rules in whole or in part {#sec-52-14b-4.3 omnilex-key=us-nj-statutes--title-52--52:14B-4.3}
3. If, pursuant to Article V, section 4, paragraph 6 of the New Jersey Constitution, the Senate and General Assembly adopt a concurrent resolution invalidating a rule or regulation, in whole or in part, or prohibiting a proposed rule or regulation, in whole or in part, from taking effect, the presiding officer of the House of final adoption shall cause the concurrent resolution to be transmitted to the Office of Administrative Law for publication in the New Jersey Register and the New Jersey Administrative Code as an annotation to the rule or regulation.
##### **§ 52:14B-4.8** Votes on concurrent resolutions; recordation {#sec-52-14b-4.8 omnilex-key=us-nj-statutes--title-52--52:14B-4.8}
A vote by the Senate or General Assembly on a concurrent resolution on any action authorized by this act shall be a recorded vote.
##### **§ 52:14B-4.9** Proposed rule which revises, rescinds or replaces proposed, existing or suspended rule as new rule {#sec-52-14b-4.9 omnilex-key=us-nj-statutes--title-52--52:14B-4.9}
Any rule proposed by a State agency which revises, rescinds or replaces either (1) any proposed or existing rule or (2) any rule which has been suspended shall be considered as a new rule and shall be subject to the provisions of this act and the act to which it is a supplement.
##### **§ 52:14B-4.10** Changes to agency rule, certain, upon adoption. {#sec-52-14b-4.10 omnilex-key=us-nj-statutes--title-52--52:14B-4.10}
1. a. Notwithstanding any other provision of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), or rule adopted pursuant thereto, to the contrary, where, following a notice of proposal and upon conclusion of the public comment period, an agency determines that it would be appropriate to make substantial changes to the proposed rule upon adoption, the agency may follow the procedure set forth in this section instead of filing a new notice of proposal.
As used in this section, "substantial changes" means any changes to a proposed rule that would significantly: enlarge or curtail who and what will be affected by the proposed rule; change what is being prescribed, proscribed or otherwise mandated by the rule; or enlarge or curtail the scope of the proposed rule and its burden on those affected by it.
b. Upon making a determination that it would be appropriate to make substantial changes to a proposed rule upon adoption, an agency may submit a public notice to the Office of Administrative Law setting forth the proposed changes. The public notice shall include: (1) a description of the changes between the rule as originally proposed and the new proposed changes; (2) the specific reasons for proposing the additional changes; (3) a discussion of how the new proposed changes would alter the impact statements and analyses included in the notice of proposal; (4) a report listing all parties submitting comments on the originally proposed rule provisions subject to the proposed additional changes, summarizing the content of the submissions on those provisions, and providing the agency's response to the data, views and arguments contained in the submissions; and (5) the manner in which interested persons may present their views on the new proposed changes.
c. (1) Upon receipt of a public notice pursuant to subsection b. of this section, the Office of Administrative Law shall publish the notice in the New Jersey Register.
(2) The agency submitting the public notice containing substantial changes to a notice of proposal shall comply with the notice requirements set forth in paragraphs (1) and (3) of subsection (a) of section 4 of P.L.1968, c.410 (C.52:14B-4), and provide a comment period of 60 days from the date the public notice is published in the New Jersey Register in which interested parties may present their views on the new proposed changes.
d. Upon the conclusion of the 60 day public comment period, the agency may proceed with a notice of adoption in accordance with the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.). As part of the notice of adoption, the agency shall prepare for public distribution a report listing all parties submitting comments concerning the provisions of the proposed rule changes contained in the public notice, summarizing the content of the submissions that are related to the proposed rule changes contained in the public notice, and providing the agency's response to the data, views and arguments contained in the relevant submissions.
e. A notice of proposal that includes a public notice pursuant to this section shall expire 18 months after the date of publication of the notice of proposal in the New Jersey Register.
##### **§ 52:14B-5** Filing of rules; concurrent resolution of the Legislature; effect of publication {#sec-52-14b-5 omnilex-key=us-nj-statutes--title-52--52:14B-5}
5. (a) Each agency shall file with the Director and Chief Administrative Law Judge of the Office of Administrative Law a certified copy of each rule adopted by it.
(b) Deleted by amendment, P.L.2001, c.5.
(c) The director shall: (1) accept for filing or publication any rule duly adopted and submitted by any agency pursuant to this act and which meets all of the requirements and standards of P.L.2001, c.5 (C.52:14B-4.1a et al.); (2) endorse upon the certified copy of each rule accepted for filing pursuant to this act the date and time upon which such rule was filed; (3) maintain the certified copy of each rule so filed in a permanent register open to public inspection; and (4) accept for publication a duly adopted concurrent resolution of the Legislature invalidating any rule or regulation, in whole or in part, or prohibiting the proposed rule or regulation, in whole or in part, from taking effect.
(d) The filing of a certified copy of any rule shall be deemed to establish the rebuttable presumptions that: (1) it was duly adopted; (2) it was duly submitted for prepublication and made available for public inspection at the hour and date endorsed upon it; (3) all requirements of this act and of interagency rules of the director relative to such rule have been complied with; (4) its text is the text of the rule as adopted. Judicial notice shall be taken of the text of each rule, duly filed.
(e) The publication of a rule in the New Jersey Administrative Code or the New Jersey Register shall be deemed to establish the rebuttable presumption that the rule was duly filed and that the text of the rule as so published is the text of the rule adopted. Judicial notice shall be taken of the text of each rule published in the New Jersey Administrative Code or the New Jersey Register.
##### **§ 52:14B-5.1** Expiration of rules; continuation. {#sec-52-14b-5.1 omnilex-key=us-nj-statutes--title-52--52:14B-5.1}
10. a. (Deleted by amendment, P.L.2011, c.45)
b. Every rule adopted on or after the effective date of P.L.2001, c.5 (C.52:14B-4.1a et al.) shall expire seven years following the effective date of the rule unless a sooner expiration date has been established for the rule. The expiration date shall be included in the adoption notice of the rule in the New Jersey Register and noted in the New Jersey Administrative Code.
c. (1) Notwithstanding any other provision of P.L.1968, c.410 (C.52:14B-1 et seq.), or rule adopted pursuant thereto, to the contrary, in the case of a proposed readoption without changes to the existing rule, or a proposed readoption with technical changes as approved by the Office of Administrative Law, an agency may continue in effect an expiring rule for a seven-year period by filing a public notice with the Office of Administrative Law for publication in the New Jersey Register at least 30 days prior to the expiration date of the rule. The notice pursuant to this paragraph shall include the citation for the rule, a general description of the rule, the specific legal authority under which the rule is authorized, and the new expiration date of the rule. The notice pursuant to this paragraph shall be effective upon filing with the Office of Administrative Law.
Upon the receipt of a public notice pursuant to this paragraph, the Office of Administrative Law shall publish the notice in the New Jersey Register. The new expiration date of the rule shall be noted in the New Jersey Administrative Code.
As used in this paragraph, "technical changes" means changes to: correct spelling, grammar and punctuation; correct codification; update contact information; or correct cross-references.
(2) In the case of a proposed readoption of an expiring rule with substantive changes, an agency may continue the expiring rule for a seven-year period by duly proposing the readoption with substantive changes and readopting the rule prior to its expiration. Upon the filing of a notice of proposed readoption with substantive changes, the expiration date of the rule shall be extended for 180 days, if such notice is filed prior to the expiration of the rule.
As used in this paragraph, "substantive changes" means any changes that are not technical changes as defined in paragraph (1) of this subsection.
d. (1) The Governor may, upon the request of an agency head, and prior to the expiration date of the rule, continue in effect an expiring rule for a period to be specified by the Governor.
(2) The Governor may, upon the request of an agency head within five days after the expiration of a rule, restore the effectiveness of an expired rule as of its expiration date, for a period to be specified by the Governor, in order to effect the readoption of the rule in accordance with subsection c. of this section.
e. This section shall not apply to any rule repealing a rule or any rule prescribed by federal law or whose expiration would violate any other federal or State law, in which case the federal or State law shall be cited in the publication of the rule.
##### **§ 52:14B-7** New Jersey Administrative Code; New Jersey Register; publication {#sec-52-14b-7 omnilex-key=us-nj-statutes--title-52--52:14B-7}
7. (a) The director shall compile, index, and publish a publication to be known as the "New Jersey Administrative Code," containing all effective rules adopted by each agency. The code shall be periodically supplemented or revised, and shall remain under the control and direction of the Office of Administrative Law regardless of the method or medium chosen to store, maintain or distribute it.
(b) The director shall publish a bulletin, at least monthly, to be known as the "New Jersey Register" setting forth: (1) the text of all rules filed during the preceding month, and (2) such notices as shall have been submitted pursuant to this act.
(c) The director shall issue annually a schedule for the filing of documents for publication in the New Jersey Register. The director may omit from the New Jersey Register or compilation any rule the publication of which would be unduly cumbersome, expensive, or otherwise inexpedient, if the rule in printed or processed form is made available by the adopting agency on application thereto, and if the register or code contains a notice stating the general subject matter of the omitted rule and stating the manner in which a copy thereof may be obtained. The director may include within the New Jersey Register and the New Jersey Administrative Code any document, material or information which the director may deem appropriate and convenient.
(d) At least one copy of the New Jersey Administrative Code and copies of the New Jersey Register and compilations shall be made available upon request to the Governor, the head of each principal department, the Office of Legislative Services, the State Library and to such other State agencies and public officials as the director may designate free of charge. The director shall provide for the publication, sale and distribution of the Code and Register to the public by whatever means, including entering into contractual or licensing arrangements, most likely to ensure the widest dissemination possible.
(e) (Deleted by amendment, P.L.1993, c.343).
(f) The director may determine the order in which such rules or any parts thereof are to be presented in the New Jersey Register and the New Jersey Administrative Code; the director may number or renumber the parts, paragraphs and sections into which such rules may be divided; the director may further divide or combine existing parts, paragraphs and sections and may provide for appropriate digests, indices and other related material. The director shall not, however, change the language of any existing rule excepting a title or explanatory caption; but shall recommend any such changes as the director may deem advisable to the administrative agency authorized to adopt such rule. The director may periodically review the New Jersey Administrative Code for expired rules and shall remove such rules upon notice to the appropriate agency head.
(g) The director is hereby authorized and empowered to promulgate and enforce interagency rules for the implementation and administration of this act.
##### **§ 52:14B-7.1** OAL to establish, maintain Internet publication of a State rule-making database. {#sec-52-14b-7.1 omnilex-key=us-nj-statutes--title-52--52:14B-7.1}
1. a. The Office of Administrative Law shall establish and maintain, at a publicly accessible location on its Internet website, a searchable database that identifies the number, nature, and current status of all pending or proposed rule-making actions in the State. The database shall include written descriptions and listings of all such pending or proposed State rule-making actions, and shall additionally incorporate the use of charts, tables, graphs, and other graphics or visual aids, as necessary or appropriate, to provide members of the public with a full, complete, and easily comprehensible overview of pending or proposed rule-making actions in the State.
b. (1) The database established and maintained pursuant to subsection a. of this section shall include, with respect to each proposed rule-making action, a summary description that indicates:
(a) the title or subject matter of the rule-making action;
(b) the State agency responsible for the rule-making action;
(c) the identification number, if any, that is associated with the rule-making action;
(d) the types or groups of persons who are the subject of, or who will, or are likely to be, affected by, the rule-making action;
(e) the legal authority for the rule-making action;
(f) the date on which the rule-making action was initiated by the State agency;
(g) the legal deadline, if any, that is associated with the rule-making action;
(h) a concise abstract or synopsis describing the basis for, and pertinent factors necessitating, the rule-making action; and
(i) a timetable showing the history of the rule-making action.
(2) The summary description required by this subsection shall additionally include a brief statement that identifies the potential impacts of the rule-making action on the State and its residents, and the anticipated significance of those impacts. At a minimum, this statement shall indicate:
(a) the type and potential significance of any expected socio-economic impacts associated with the rule-making action, as determined in accordance with the provisions of paragraph (2) of subsection (a) of section 4 of P.L.1968, c.410 (C.52:14B-4);
(b) the number of jobs that will, or are likely to, be generated or lost as a result of the rule-making action, as determined in accordance with the provisions of paragraph (2) of subsection (a) of section 4 of P.L.1968, c.410 (C.52:14B-4);
(c) the type and significance of any expected agricultural industry impacts associated with the rule-making action, as determined in accordance with the provisions of section 7 of P.L.1998, c.48 (C.4:1C-10.3) and paragraph (2) of subsection (a) of section 4 of P.L.1968, c.410 (C.52:14B-4);
(d) whether the State agency has prepared, or will prepare, a regulatory flexibility analysis in connection with the rule-making action, in accordance with the provisions of P.L.1986, c.169 (C.52:14B-16 et seq.) and paragraph (2) of subsection (a) of section 4 of P.L.1968, c.410 (C.52:14B-4); and
(e) if a regulatory flexibility analysis has been prepared in connection with the rule-making action, the estimated number of small businesses that will, or are likely to, be affected by the rule-making action.
c. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the Office of Administrative Law may require each State agency to provide the information to be included in the database summary description under subsection b. of this section in association with any notice of proposed rule-making that is submitted by the agency prior to, on, or after, the effective date of this act. The form and manner in which the information will be provided shall be determined by the Office of Administrative Law.
d. The database established and maintained pursuant to subsection a. of this section shall also include distinct listings or graphics that identify the total number of pending rule-making actions by: (1) State agency; (2) rule-making type and stage; and (3) current length, in 30-day intervals, of the State agency review associated therewith, as determined by looking to the date of each rule-making action's initiation by the State agency.
e. The Office of Administrative Law shall make regular and timely updates to the database established pursuant to subsection a. of this section to ensure that it reflects the most current information pertaining to rule-making actions undertaken by each State agency. The Office of Administrative Law shall indicate, on its Internet website, the date on which the most recent database update was performed pursuant to this subsection.
##### **§ 52:14B-8** Declaratory rulings {#sec-52-14b-8 omnilex-key=us-nj-statutes--title-52--52:14B-8}
Subject to the provisions of section 4(b) and 4(e) of chapter 20, laws of 1944, as amended and supplemented (C. 52:17A-4b and 4e), an agency upon the request of any interested person may in its discretion make a declaratory ruling with respect to the applicability to any person, property or state of facts of any statute or rule enforced or administered by that agency. A declaratory ruling shall bind the agency and all parties to the proceedings on the state of facts alleged. Full opportunity for hearing shall be afforded to the interested parties. Such ruling shall be deemed a final decision or action subject to review in the Appellate Division of the Superior Court. Nothing herein shall affect the right or practice of every agency in its sole discretion to render advisory opinions.
##### **§ 52:14B-9** Notice and hearing in contested cases. {#sec-52-14b-9 omnilex-key=us-nj-statutes--title-52--52:14B-9}
9. (a) In a contested case, all parties shall be afforded an opportunity for hearing after reasonable notice.
(b) The notice shall include in addition to such other information as may be deemed appropriate:
(1) A statement of the time, place, and nature of the hearing;
(2) A statement of the legal authority and jurisdiction under which the hearing is to be held;
(3) A reference to the particular sections of the statutes and rules involved;
(4) A short and plain statement of the matters asserted. If the agency or other party is unable to state the matters in detail at the time the notice is served, the initial notice may be limited to a statement of the issues involved. Thereafter upon application a more definite and detailed statement shall be furnished.
(c) Opportunity shall be afforded all parties to respond, appear and present evidence and argument on all issues involved.
Pre-hearing conferences may be conducted, as prescribed by the director.
Witnesses may be permitted to testify, and motions may be considered, by means of a telephone or video conference call, as prescribed by the director and when the judge finds there is good cause for permitting the witness to testify by telephone or video conference.
(d) Unless precluded by law, informal disposition may be made of any contested case by stipulation, agreed settlement, or consent order.
(e) Oral proceedings or any part thereof shall be transcribed on request of any party at the expense of such party.
(f) Findings of fact shall be based exclusively on the evidence and on matters officially noticed.
(g) Unless otherwise provided by any law, agencies may place on any party the responsibility of requesting a hearing if the agency notifies him in writing of his right to a hearing and of his responsibility to request the hearing.
##### **§ 52:14B-9.1** Process for consideration and settlement of contested case. {#sec-52-14b-9.1 omnilex-key=us-nj-statutes--title-52--52:14B-9.1}
4. Each State agency shall develop and implement a process for the consideration and settlement of a contested case. The process shall be set forth in writing and filed with the Director of the Office of Administrative Law. The director shall assist each State agency in the development of the process to ensure uniformity to the extent practicable. The head of an agency is hereby authorized to compromise and settle, at the discretion of the agency head, any penalty pursuant to such a settlement process as may appear appropriate and equitable under all of the circumstances, unless the compromise is specifically prohibited by State or federal law.
##### **§ 52:14B-10** Evidence; judicial notice; recommended report and decision; final decision; effective date. {#sec-52-14b-10 omnilex-key=us-nj-statutes--title-52--52:14B-10}
10. In a contested case:
(a) (1) The parties shall not be bound by rules of evidence whether statutory, common law, or adopted formally by the Rules of Court. All relevant evidence is admissible, except as otherwise provided herein. The administrative law judge may, in his discretion , exclude any evidence if he finds that its probative value is substantially outweighed by the risk that its admission will either necessitate undue consumption of time or create substantial danger of undue prejudice or confusion. The administrative law judge shall give effect to the rules of privilege recognized by law. Any party in a contested case may present his case or defense by oral and documentary evidence, submit rebuttal evidence and conduct such cross-examination as may be required, in the discretion of the administrative law judge, for a full and true disclosure of the facts.
(2) Where the case involves a permitting or licensing decision of the Department of Environmental Protection, the department shall be required to produce and certify a permitting record within 30 days after the filing of the contested case. This deadline may be extended by an administrative law judge upon the unanimous agreement of the parties. The production and certification of the department's permitting record, in accordance with this paragraph, shall not limit the ability of the parties to further supplement the record.
(b) Notice may be taken of judicially noticeable facts. In addition, notice may be taken of generally recognized technical or scientific facts within the specialized knowledge of the agency or administrative law judge. Parties shall be notified either before or during the hearing, or by reference in preliminary reports or otherwise, of the material noticed, including any staff memoranda or data, and they shall be afforded an opportunity to contest the material so noticed. The experience, technical competence, and specialized knowledge of the agency or administrative law judge may be utilized in the evaluation of the evidence, provided this is disclosed of record.
(c) All hearings of a State agency required to be conducted as a contested case under this act or any other law shall be conducted by an administrative law judge assigned by the Director and Chief Administrative Law Judge of the Office of Administrative Law, except as provided by this amendatory and supplementary act. A recommended report and decision which contains recommended findings of fact and conclusions of law and which shall be based upon sufficient, competent, and credible evidence shall be filed, not later than 45 days after the hearing is concluded, with the agency in such form that it may be adopted as the decision in the case and delivered or mailed, to the parties of record with an indication of the date of receipt by the agency head; and an opportunity shall be afforded each party of record to file exceptions, objections, and replies thereto, and to present argument to the head of the agency or a majority thereof, either orally or in writing, as the agency may direct.
Unless the head of the agency or a party requests that the recommended report and decision be filed in writing, the recommended report and decision of the administrative law judge may be filed orally in such appropriate cases as prescribed by the director and if a transcript has been requested pursuant to subsection (e) of section 9 of P.L.1968, c.410 (C.52:14B-9).
An administrative law judge may file a recommended report and decision in the form of a checklist in such appropriate cases and formats as prescribed by the director after consultation with each State agency.
The head of the agency, upon a review of the record submitted by the administrative law judge, shall adopt, reject or modify the recommended report and decision no later than 45 days after receipt of such recommendations. In reviewing the decision of an administrative law judge, the agency head may reject or modify findings of fact, conclusions of law or interpretations of agency policy in the decision, but shall state clearly the reasons for doing so. The agency head may not reject or modify any findings of fact as to issues of credibility of lay witness testimony unless it is first determined from a review of the record that the findings are arbitrary, capricious or unreasonable or are not supported by sufficient, competent, and credible evidence in the record. In rejecting or modifying any findings of fact, the agency head shall state with particularity the reasons for rejecting the findings and shall make new or modified findings supported by sufficient, competent, and credible evidence in the record. Unless the head of the agency modifies or rejects the report within such period, the decision of the administrative law judge shall be deemed adopted as the final decision of the head of the agency. The recommended report and decision shall be a part of the record in the case. For good cause shown, upon certification by the director and the agency head, the time limits established herein may be subject to a single extension of not more than 45 days. Any additional extension of time shall be subject to, and contingent upon, the unanimous agreement of the parties.
(d) A final decision or order adverse to a party in a contested case shall be in writing or stated in the record. A final decision shall include findings of fact and conclusions of law, separately stated and shall be based only upon the evidence of record at the hearing, as such evidence may be established by rules of evidence and procedure promulgated by the director.
Findings of fact, if set forth in statutory language, shall be accompanied by a concise and explicit statement of the underlying facts supporting the findings. The final decision may incorporate by reference any or all of the recommendations of the administrative law judge. Parties shall be notified either personally or by mail of any decision or order. Upon request a copy of the decision or order shall be delivered or mailed forthwith by registered or certified mail to each party and to his attorney of record.
(e) Except where otherwise provided by law, the administrative adjudication of the agency shall be effective on the date of delivery or on the date of mailing, of the final decision to the parties of record whichever shall occur first, or shall be effective on any date after the date of delivery or mailing, as the agency may provide by general rule or by order in the case. The date of delivery or mailing shall be stamped on the face of the decision.
(f) The head of an agency may order that, in certain appropriate cases, the recommended report and decision of the administrative law judge shall be deemed adopted, immediately on filing thereof with the agency, as the final decision of the head of the agency. The appropriate cases shall be described in a written order issued by the head of the agency, filed with the director, and made available to the public as a government record. The order shall not include any contested case for which the head of the agency is specifically required by State or federal law to review the recommended report and decision and adopt the final decision. The head of the agency may revise or revoke an order, issued pursuant to this subsection, whenever it is deemed appropriate. The order shall apply to all appropriate contested cases commenced with the agency after the order's issuance and until the order is rescinded or modified. In such appropriate contested cases, the head of the agency shall not have the opportunity to reject or modify the administrative law judge's recommended report and decision pursuant to subsection (c) of this section and the final decision by the administrative law judge shall comply with the requirements of and shall be given the same effect as a final decision of the head of the agency pursuant to subsection (d) of this section.
(g) Whenever the parties in a contested case stipulate to the factual record, and agree that there are no genuine issues of material fact to be adjudicated, the head of the agency may, in his discretion, render a final agency decision on the matter without obtaining the prior input of, or a recommended report and decision from, an administrative law judge.
##### **§ 52:14B-10.2** Monetary fine, civil penalty, cure period; conditions; report publicly; rules, regulations. {#sec-52-14b-10.2 omnilex-key=us-nj-statutes--title-52--52:14B-10.2}
1. a. A State agency, department, or authority, in its sole discretion, may suspend enforcement of any monetary fine or civil penalty, for a period of 60 calendar days, that would otherwise be imposed on a business for a first-time violation that does not or would not result in a significant adverse impact to the public safety or welfare, result in loss of income or benefits to an employee, or present the risk of environmental harm. This section shall not apply to any violation where the violation is:
(1) of a criminal nature or where failure to impose a fine or penalty would impede or interfere with the detection of criminal activity;
(2) an intentional or knowing act;
(3) grounds for the revocation or suspension of the license, certification, good standing, or other authorization to operate the business;
(4) grounds for the business to be debarred by the Department of Labor and Workforce Development from engaging in or bidding on public works contracts in New Jersey;
(5) any State employment or labor-related law;
(6) grounds for issuance of a stop-work order; or
(7) related to a program that has been delegated to the State from the federal government, the violation is a failure to comply with a federal requirement, and federal regulations mandate the imposition of a fine or civil penalty.
A business shall address and resolve the violation during the 60-calendar day cure period or shall be assessed all fines and penalties available under the law upon the expiration of that term.
b. Following notification from a State agency, department, or authority that the agency, department, or authority has decided, in its sole discretion, to suspend enforcement pursuant to subsection a. of this section, the 60-calendar day cure period provided by subsection a. of this act shall run from the date on which the business receives notification of the violation in writing from the State agency.
c. Starting on January 1 of the year next following the effective date of P.L.2023, c.28 (C.52:14B-10.2), a State agency, department, or authority shall report, on an annual basis, any infractions it has waived over the prior calendar year in accordance with P.L.2023, c.28 (C.52:14B-10.2), in a prominent manner that is accessible to the public on its Internet website.
d. A State agency, department, or authority shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), as may be needed to effectuate this act.
e. As used in this section:
"Business" means a business entity that employs not more than 50 full-time employees or the equivalent thereof.
"State employment or labor-related law" includes, but is not limited to:
(1) P.L.1965, c.173 (C.34:11-4.1 et seq.);
(2) The "New Jersey Prevailing Wage Act," P.L.1963, c.150 (C.34:11-56.25 et seq.);
(3) The "New Jersey State Wage and Hour Law," P.L.1966, c.113 (C.34:11-56a et seq.);
(4) The workers' compensation law, R.S.34:15-1 et seq.;
(5) The "unemployment compensation law," R.S.43:21-1 et seq.;
(6) The "Temporary Disability Benefits Law," P.L.1948, c.110 (C.43:21-25 et al.);
(7) P.L.2008, c.17 (C.43:21-39.1 et al.);
(8) The "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq.; or
(9) P.L.2018, c.10 (C.34:11D-1 et seq.).
##### **§ 52:14B-11** Revocation, refusal to renew license, hearing required; exceptions {#sec-52-14b-11 omnilex-key=us-nj-statutes--title-52--52:14B-11}
11. No agency shall revoke or refuse to renew any license unless it has first afforded the licensee an opportunity for hearing in conformity with the provisions of this act applicable to contested cases. If a licensee has, in accordance with law and agency rules, made timely and sufficient application for a renewal, his license shall not expire until his application has been finally determined by the agency. Any agency that has authority to suspend a license without first holding a hearing shall promptly upon exercising such authority afford the licensee an opportunity for hearing in conformity with the provisions of this act.
This section shall not apply (1) where a statute provides that an agency is not required to grant a hearing in regard to revocation, suspension or refusal to renew a license, as the case may be; or (2) where the agency is required by any law to revoke, suspend or refuse to renew a license, as the case may be, without exercising any discretion in the matter, on the basis of a judgment of a court of competent jurisdiction; or (3) where the suspension or refusal to renew is based solely upon failure of the licensee to maintain insurance coverage as required by any law or regulation; or (4) where the suspension or refusal to renew a motor vehicle registration is based upon the failure of the vehicle to be presented for inspection or to satisfy the inspection requirements of chapter 8 of Title 39 of the Revised Statutes.
##### **§ 52:14B-12** Administrative review {#sec-52-14b-12 omnilex-key=us-nj-statutes--title-52--52:14B-12}
Whenever under statute or agency rule there is a mode of administrative review within an agency, such review shall remain unimpaired and any judicial review shall be from the final action of the agency. The administrative review within the agency need not comply with the requirements for the conduct of contested cases.
##### **§ 52:14B-13** Effect of act on prior proceedings {#sec-52-14b-13 omnilex-key=us-nj-statutes--title-52--52:14B-13}
Nothing in this act shall be deemed to affect any agency proceeding initiated prior to the effective date hereof.
##### **§ 52:14B-14** Severability {#sec-52-14b-14 omnilex-key=us-nj-statutes--title-52--52:14B-14}
If any provision of this act or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the act which can be given effect without the invalid provision or application and to this end the provisions of this act are declared to be severable.
##### **§ 52:14B-15** General repealer {#sec-52-14b-15 omnilex-key=us-nj-statutes--title-52--52:14B-15}
All acts and parts of acts which are inconsistent with the provisions of this act are, to the extent of such inconsistency, hereby repealed; but such repeal shall not affect pending proceedings.
##### **§ 52:14B-16** Short title {#sec-52-14b-16 omnilex-key=us-nj-statutes--title-52--52:14B-16}
This act shall be known and may be cited as the "New Jersey Regulatory Flexibility Act."
##### **§ 52:14B-17** "Small business" defined {#sec-52-14b-17 omnilex-key=us-nj-statutes--title-52--52:14B-17}
As used in this act, "small business" means any business which is resident in this State, independently owned and operated and not dominant in its field, and which employs fewer than 100 full-time employees.
##### **§ 52:14B-18** Approaches {#sec-52-14b-18 omnilex-key=us-nj-statutes--title-52--52:14B-18}
In developing and proposing a rule for adoption, the agency involved shall utilize approaches which will accomplish the objectives of applicable statutes while minimizing any adverse economic impact of the proposed rule on small businesses of different types and of differing sizes. Consistent with the objectives of applicable statutes, the agency shall utilize such approaches as:
a. The establishment of differing compliance or reporting requirements or timetables that take into account the resources available to small businesses;
b. The use of performance rather than design standards; and
c. An exemption from coverage by the rule, or by any part thereof, for small businesses so long as the public health, safety, or general welfare is not endangered.
##### **§ 52:14B-19** Regulatory flexibility analysis {#sec-52-14b-19 omnilex-key=us-nj-statutes--title-52--52:14B-19}
In proposing a rule for adoption, the agency involved shall issue a regulatory flexibility analysis regarding the rule, which shall be included in the notice of a proposed rule as required by subsection (a) of section 4 of P.L. 1968, c. 410 (C. 52:14B-4). Each regulatory flexibility analysis shall contain:
a. A description of the types and an estimate of the number of small businesses to which the proposed rule will apply;
b. A description of the reporting, record-keeping and other compliance requirements being proposed for adoption, and the kinds of professional services that a small business is likely to need in order to comply with the requirements;
c. An estimate of the initial capital costs and an estimate of the annual cost of complying with the rule, with an indication of any likely variation in the costs for small businesses of different types and of differing sizes; and
d. An indication of how the rule, as proposed for adoption, is designed to minimize any adverse economic impact of the proposed rule on small businesses.
This section shall not apply to any proposed rule which the agency finds would not impose reporting, record-keeping, or other compliance requirements on small businesses. The agency's finding and an indication of the basis for its finding shall be included in the notice of a proposed rule as required by subsection (a) of section 4 of P.L. 1968, c. 410 (C. 52:14B-4).
##### **§ 52:14B-20** Considered one rule {#sec-52-14b-20 omnilex-key=us-nj-statutes--title-52--52:14B-20}
In order to avoid duplicative action, an agency may consider a series of closely related rules as one rule for the purposes of complying with section 4 of this act.
##### **§ 52:14B-21** Description of effects of rule {#sec-52-14b-21 omnilex-key=us-nj-statutes--title-52--52:14B-21}
In complying with the provisions of section 4 of this act, an agency may provide either a quantifiable or numerical description of the effects of a proposed rule or more general descriptive statements, if quantification is not practicable or reliable.
##### **§ 52:14B-21.1** Definitions relative to creation of uniform application form. {#sec-52-14b-21.1 omnilex-key=us-nj-statutes--title-52--52:14B-21.1}
1. As used in this act:
"Department" means the Department of State.
"Financial assistance program" or "program" means any program offered by a State agency to a small business that allows a small business to be deemed eligible to receive a grant or loan of monies pursuant to State law.
"Small business" or "business" means a business entity that employs not more than 50 full-time employees or the equivalent thereof and qualifies as a small business concern within the meaning of the federal "Small Business Act," Pub.L.85-536 (15 U.S.C. s.631 et seq.).
"State agency" means any of the principal departments in the Executive Branch of State Government, and any division, board, bureau, office, commission, or other instrumentality within or created by such principal department, and any independent State authority, commission, instrumentality, or agency.
##### **§ 52:14B-21.2** Establishment, maintenance of program. {#sec-52-14b-21.2 omnilex-key=us-nj-statutes--title-52--52:14B-21.2}
2. The department shall, in consultation with the New Jersey Economic Development Authority, establish and maintain a program to assist small businesses in identifying financial assistance programs, offered by any State agency, for which the business may be eligible. The department shall create, modify, and update, as necessary, a uniform application form for the purpose of gathering basic operational and financial information, and any additional information as deemed necessary by the department, from small businesses seeking assistance under this program. The application form shall be created, modified, and updated, as necessary, in a manner that requires a small business to provide the business's basic operational and financial information on the form.
##### **§ 52:14B-21.3** Rules, regulations. {#sec-52-14b-21.3 omnilex-key=us-nj-statutes--title-52--52:14B-21.3}
3. The department may adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations to effectuate the purposes of this act.
##### **§ 52:14B-22** State policy to reduce confusion, costs in complying with State regulations {#sec-52-14b-22 omnilex-key=us-nj-statutes--title-52--52:14B-22}
1. It is the declared policy of the State to reduce, wherever practicable, confusion and costs involved in complying with State regulations. Confusion and costs are increased when there are multiple regulations of various governmental entities imposing unwarranted differing standards in the same area of regulated activity. It is in the public interest that State agencies consider applicable federal standards when adopting, readopting or amending regulations with analogous federal counterparts and determine whether these federal standards sufficiently protect the health, safety and welfare of New Jersey citizens.
##### **§ 52:14B-23** Administrative agency standards, statement relative to federal requirements {#sec-52-14b-23 omnilex-key=us-nj-statutes--title-52--52:14B-23}
2. On or after the effective date of this act, each administrative agency that adopts, readopts or amends any rule or regulation described in section 3 of this act shall, in addition to all the requirements imposed by existing law and regulation, include as part of the initial publication and all subsequent publications of such rule or regulation, a statement as to whether the rule or regulation in question contains any standards or requirements which exceed the standards or requirements imposed by federal law. Such statement shall include a discussion of the policy reasons and a cost-benefit analysis that supports the agency's decision to impose the standards or requirements and also supports the fact that the State standard or requirement to be imposed is achievable under current technology, notwithstanding the federal government's determination that lesser standards or requirements are appropriate.
##### **§ 52:14B-24** Applicability of act relative to federal requirements {#sec-52-14b-24 omnilex-key=us-nj-statutes--title-52--52:14B-24}
3. This act shall apply to any rule or regulation that is adopted, readopted or amended under the authority of or in order to implement, comply with or participate in any program established under federal law or under a State statute that incorporates or refers to federal law, federal standards or federal requirements.
##### **§ 52:14B-25** Definitions relative to certain mandate requirements, procedures for small municipalities. {#sec-52-14b-25 omnilex-key=us-nj-statutes--title-52--52:14B-25}
13. a. For the purposes of this section:
"State mandate" means a program, service or activity that is to be performed or implemented by a local unit for or on behalf of its residents, which results in an added net cost to the local unit, and which is mandated in any statute enacted by the Legislature either prior to or after the effective date of this act. A "state mandated program" shall not include the following: any activity pertaining to a statute carrying criminal penalties; any mandate required by or arising from a court order or judgment; any program or service which is provided at local option under permissive State laws, rules, regulations or orders; any program which is required by private, special or local laws pursuant to Article IV, Section VII, paragraphs 8 and 10 of the State Constitution; any program required by or arising from an executive order of the Governor in exercising emergency powers granted by law; or any program mandated by federal law, rule, regulation or order.
"Small municipality" shall mean a municipality that has a limited population or geographic area according to criteria promulgated by the Director of the Division of Local Government Services in the Department of Community Affairs.
b. In developing and proposing a rule for adoption, the agency involved shall utilize approaches which will accomplish the objectives of applicable statutes while minimizing any adverse economic impact of the proposed rule on small municipalities. Consistent with the objectives of applicable statutes, the agency shall utilize such approaches as:
(1) The establishment of differing compliance or reporting requirements or timetables that take into account the resources available to small municipalities;
(2) The use of performance rather than design standards; and
(3) An exemption from coverage by the rule, or by any part thereof, for small municipalities so long as the public health, safety, or general welfare is not endangered, or if an exemption is not a possibility, the use of alternative methods of implementing the requirements of the rule.
c. In proposing a rule for adoption, the agency involved shall issue a State mandate flexibility analysis regarding the rule, which shall be included in the notice of a proposed rule as required by subsection (a) of section 4 of P.L.1968, c.410 (C.52:14B-4). Each State mandate flexibility analysis shall contain:
(1) An estimate of the number of small municipalities to which the proposed rule will apply;
(2) A description of the reporting, record-keeping and other compliance requirements being proposed for adoption, and the kinds of professional services that a small municipality is likely to need in order to comply with the requirements;
(3) An estimate of the annual cost to a small municipality of complying with the rule; and
(4) An indication of how the rule, as proposed for adoption, is designed to minimize any adverse economic impact of the proposed rule on small municipalities.
d. This section shall not apply to any proposed rule which the agency finds would not impose reporting, record-keeping, or other compliance requirements on small municipalities. The agency's finding and an indication of the basis for its finding shall be included in the notice of a proposed rule as required by subsection (a) of section 4 of P.L.1968, c.410 (C.52:14B-4).
e. In order to avoid duplicative action, an agency may consider a series of closely related rules as one rule for the purposes of complying with the requirements of this section.
f. In complying with the provisions of this section, an agency may provide either a quantifiable or numerical description of the effects of a proposed rule or more general descriptive statements, if quantification is not practicable or reliable.
##### **§ 52:14B-26** Definitions relative to State and local agency business permits. {#sec-52-14b-26 omnilex-key=us-nj-statutes--title-52--52:14B-26}
1. As used in this act:
"Local agency" means any department of a political subdivision of this State, or any division, office, agency, or bureau thereof that issues a permit to a business.
"Permit" means a permit, license, certificate, registration, compliance schedule, or any other form of permission or approval required by law to be issued by a State agency in order to engage in a business activity, or any other authorization related thereto, whether that authorization is in the form of a permit, approval, license, certification, waiver, letter of interpretation, agreement, or any other executive or administrative decision which allows a business to engage in an activity.
"State agency" means any New Jersey principal department or any division, office, agency, or bureau thereof that issues a permit to a business.
##### **§ 52:14B-27** Periodic review of permits. {#sec-52-14b-27 omnilex-key=us-nj-statutes--title-52--52:14B-27}
2. a. Consistent with the requirements of applicable statutes, the head of each State agency shall periodically conduct a comprehensive written review of all permits issued by the State agency, in order to identify:
(1) those permits that can be administered through an expedited process;
(2) those permits that are obsolete, are no longer necessary, or cost more to administer than the benefits they provide, and thus should be eliminated so long as the public health, safety, or general welfare is not endangered;
(3) those permits that can have their period of validity extended beyond the scheduled termination date without significant disruption to the efficiency or work of the State agency, so long as the public health, safety, or general welfare is not endangered; and
(4) those permitting procedures that can be better facilitated through the increased incorporation of computer-based technology, such as the Internet, or that can be completed online.
b. The head of each State agency shall include, as part of the comprehensive written review required by subsection a. of this section:
(1) a description of those permits identified pursuant to subsection a. of this section;
(2) a description of the recent actions taken by the State agency to:
(a) eliminate obsolete permits;
(b) extend the period of validity associated with non-obsolete permits;
(c) expedite the State agency's permitting procedures;
(d) facilitate the enhanced use of computer-based and Internet technology in such procedures; and
(e) reduce the number of permits that are backlogged;
(3) recommendations and explanations as to which of the State agency's remaining permitting procedures should be revised or simplified in order to further expedite the issuance of permits by the State agency and increase the use of computer-based technology, such as the Internet, in the State agency's permitting procedures; and
(4) the identification of those rules, regulations, and statutes administered by the State agency that would need to be revised or eliminated in order to effectuate the changes recommended pursuant to paragraph (3) of this subsection.
c. Upon completion of the comprehensive written review pursuant to subsection a. of this section, the head of each State agency shall submit the review to the Secretary of State or other State officer or employee designated by the Governor pursuant to section 3 of P.L.2011, c.34 (C.52:14B-28).
##### **§ 52:14B-28** System of review of business permits issued. {#sec-52-14b-28 omnilex-key=us-nj-statutes--title-52--52:14B-28}
3. The Secretary of State or other State officer or employee as the Governor may designate to manage this program within the Department of State shall develop a system of consolidated and contemporaneous review of State and local agency-issued business permits for the purpose of accelerating the process of issuing business permits, eliminating redundancy among different levels of State and local government, and ensuring more consistency in permit issuance. This system shall be adopted by rule pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).Under such system, any county or municipality issuing a business permit shall be encouraged and incentivized to voluntarily join in a collaborative effort to manage the permitting process for a business project with any State agency, as applicable to each project, and jointly agree on a process and schedule for a cooperative and contemporaneous handling of business permits and approvals. Any municipality issuing a business permit or approval pursuant to the "Municipal Land Use Law," P.L.1975, c.291 (C.40:55D-1 et seq.) shall not be subject to the provisions of this act. A permit or approval related to a federally-funded program or project or a permit or approval that is specified or determined by or pursuant to federal law or regulation shall not be subject to the provisions of this act.
##### **§ 52:14B-29** Designation of contact person. {#sec-52-14b-29 omnilex-key=us-nj-statutes--title-52--52:14B-29}
4. Concerning any large, complex project having a significant potential employment or investment impact, the Secretary of State or other State officer or employee designated by the Governor pursuant to section 3 of P.L.2011, c.34 (C.52:14B-28) shall designate an employee of the Department of State from among those positions otherwise filled to act as a contact person to be responsible for assisting each business undertaking such project on an individual basis and to continue as the point of contact between that business and all appropriate government entities throughout the permit and approval application process. Concerning projects which require permits from multiple State and local agencies, the Secretary of State or the Governor's designee shall designate an employee of the Department of State from among those positions otherwise filled to guide such projects throughout the process of applying for and receiving any business permit or approval. The duties of the designated contact person shall include:
a. Developing, from the outset, a checklist of permits to which the applicable agencies agree;
b. Establishing a detailed course of actions and milestones for the permitting or approval process that shall be agreed to by the applicable agencies;
c. Reporting any impediments to, or conflicts regarding, milestones to the Secretary of State or the Governor's Designee, and promptly evaluating any disputes, delays, or other issues requiring centralized review; and
d. Coordinating as needed with the New Jersey Economic Development Authority to ensure that businesses considering investing in this State receive integrated project management of all State and local agency required permits and approvals.
##### **§ 52:14B-30** Report to Governor, Legislature. {#sec-52-14b-30 omnilex-key=us-nj-statutes--title-52--52:14B-30}
5. a. The Secretary of State, or other State officer or employee designated by the Governor pursuant to section 3 of P.L.2011, c.34 (C.52:14B-28), shall submit, no less than biennially, a report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, summarizing the information contained in the comprehensive written reviews that have been submitted by the various State agencies pursuant to section 2 of P.L.2011, c.34 (C.52:14B-27). In particular, each report shall include:
(1) a summary of the actions taken by each State agency during the preceding period to:
(a) eliminate obsolete permits;
(b) extend the period of validity associated with non-obsolete permits;
(c) expedite the State agency's permitting procedures;
(d) facilitate the enhanced use of computer-based and Internet technology in such procedures; and
(e) reduce the number of permits that are backlogged;
(2) a description of the remaining permits that each State agency has identified as being obsolete and conducive to elimination;
(3) a description of the remaining permits that each State agency has indicated could have their period of validity extended beyond the scheduled termination date;
(4) a description of the remaining permitting procedures that each State agency has identified as being conducive to revision, simplification, or the greater incorporation of computer-based technology, such as the Internet;
(5) the identification, by name, of the counties and municipalities that are participating in cooperative and contemporaneous handling of business permits and approvals pursuant to section 3 of P.L.2011, c.34 (C.52:14B-28);
(6) the identification, by name and project, of the specific employees assigned as designated contact persons to specific projects pursuant to section 4 of P.L.2011, c.34 (C.52:14B-29), as well as a summary of actions taken on behalf of each project, and a description of the outcome of each project that was completed during the preceding period; and
(7) any information pertaining to other matters as the Secretary of State or the Governor's designee may find material.
b. The report required by subsection a. of this section shall be posted on the Department of State web site.
c. After due consideration of the report submitted in accordance with subsection a. of this section, the Governor may:
(1) direct the head of each State agency to make such changes to the State agency's permitting systems as may be appropriate, pursuant to current rules, regulations, and statutes, in order to effectuate those parts of the report the Governor deems necessary; and
(2) seek from the Legislature changes in the statutory law, including the amendment, repeal, or supplementation of various statutes as the Governor believes appropriate, in order to effectuate those parts of the report the Governor deems necessary.
d. The head of each State agency shall adopt such rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), and perform such duties, as the head of the State agency may deem necessary, in order to effectuate the regulatory changes identified in section 2 of P.L.2011, c.34 (C.52:14B-27) and this section.
##### **§ 52:14B-31** Information required to be posted on State agency website. {#sec-52-14b-31 omnilex-key=us-nj-statutes--title-52--52:14B-31}
2. a. Notwithstanding any law, rule, or regulation to the contrary, each State agency shall post, in a visible and publicly-accessible location on the agency's Internet website:
(1) the complete and current text of each State law under which the agency is granted its authority, and the complete and current text of each rule or regulation that has been adopted by the agency, or that is proposed for, or is pending, agency adoption; or
(2) one or more URL addresses, which provide visitors to the agency's website with a direct link to the complete and current text of the documents listed in paragraph (1) of this subsection.
b. (1) An agency shall make regular and timely updates to the full text documents and URL addresses posted on its Internet website pursuant to subsection a. of this section, and shall take any other reasonable action necessary to ensure that the posted documents and URL addresses accurately reflect, or are directly linked to, as the case may be, the most recent version of the associated law, rule, or regulation, including any amendments or supplements thereto, or repeals thereof. The agency shall indicate on its Internet website, the frequency with which updates are made pursuant to this paragraph.
(2) An agency that posts one or more URL addresses on its Internet website pursuant to subsection a. of this section shall additionally: (a) verify, on a regular basis, the functionality of each URL address; and (b) provide a means by which website visitors can notify the agency, through e-mail communication, and through any other reasonable means, of any nonfunctional URL address.
## **Chapter 14C**
##### **§ 52:14C-1** Short title {#sec-52-14c-1 omnilex-key=us-nj-statutes--title-52--52:14C-1}
This act shall be known as the "Executive Reorganization Act of 1969."
##### **§ 52:14C-2** Determinations by governor; legislative declaration {#sec-52-14c-2 omnilex-key=us-nj-statutes--title-52--52:14C-2}
(a) The Governor shall from time to time examine the organization of all agencies and shall determine what changes therein are necessary to accomplish the following purposes:
(1) To promote the better execution of the laws, the more effective management of the Executive branch and of its agencies and functions, and the expeditious administration of the public business;
(2) To reduce expenditures and promote economy to the fullest extent consistent with the efficient operation of the Executive;
(3) To increase the efficiency of the operations of the Executive to the fullest extent practicable;
(4) To group, co-ordinate, and consolidate agencies and functions of the Executive, as nearly as may be, according to major purposes;
(5) To reduce the number of agencies by consolidating those having similar functions under a single head, and to abolish such agencies or functions thereof as may not be necessary for the efficient conduct of the Executive; and
(6) To eliminate overlapping and duplication of effort.
(b) The Legislature declares that the public interest demands the carrying out of the purposes of subsection (a) of this section and that the purposes may be accomplished in great measure by proceeding under this act, and can be accomplished more speedily thereby than by the enactment of specific legislation.
##### **§ 52:14C-3** Definitions {#sec-52-14c-3 omnilex-key=us-nj-statutes--title-52--52:14C-3}
For the purpose of this act:
(a) "Agency" means--
(1) Any division, bureau, board, commission, agency, office, authority or institution of the executive branch created by law, whether or not it receives legislative appropriations, or parts thereof;
(2) Any office or officer in any agency, but does not include the State Auditor;
(b) "Reorganization" means a transfer, consolidation, merger, co-ordination, authorization, or abolition, referred to in section 4 of this chapter; and
(c) "Officer" is not limited to persons receiving compensation for their services.
##### **§ 52:14C-4** Findings by governor; preparation of reorganization plan; delivery to legislature; filing with secretary of state {#sec-52-14c-4 omnilex-key=us-nj-statutes--title-52--52:14C-4}
(a) When the Governor, after investigation, finds that--
(1) The transfer of the whole or a part of an agency, or of the whole or a part of the functions thereof, to the jurisdiction and control of another agency; or
(2) The abolition of all or a part of the functions of an agency; or
(3) The consolidation, merger, or co-ordination of the whole or a part of an agency, or of the whole or a part of the functions thereof, with the whole or a part of another agency or the functions thereof; or
(4) The consolidation, merger, or co-ordination of a part of an agency or the functions thereof with another part of the same agency or the functions thereof; or
(5) The authorization of an officer to delegate any of his functions; or
(6) The abolition of the whole or a part of an agency which agency or part does not have, or on the taking effect of the reorganization plan will not have, any functions;
is necessary to accomplish one or more of the purposes of section 2 of this act, he shall prepare a reorganization plan for the execution of the reorganization as to which he has made findings and which he includes in the plan, and transmit the plan (bearing an identification number) to the Legislature, together with a declaration that, with respect to each reorganization included in the plan, he has found that the reorganization is necessary to accomplish one or more of the purposes of section 2 of this act.
(b) The Governor shall deliver to the Senate and General Assembly on the same session day a reorganization plan. In his message transmitting a reorganization plan, the Governor shall specify with respect to each abolition of a function included in the plan the statutory authority for the exercise of the function and the reduction of expenditures (itemized so far as practicable) or increase in effectiveness and efficiency that it is probable will be brought about by the taking effect of the reorganization included in the plan.
(c) A copy of the reorganization plan shall be transmitted to and filed with the Secretary of State for publication in issue of the New Jersey Register next following said filing.
##### **§ 52:14C-5** Reorganization plan provisions {#sec-52-14c-5 omnilex-key=us-nj-statutes--title-52--52:14C-5}
A reorganization plan transmitted by the Governor under section 4 of this act--
(a) May change, in such cases as the Governor considers necessary, the name of an agency affected by a reorganization and the title of its heads and shall designate the name of an agency resulting from a reorganization and the title of its head;
(b) May provide for the appointment and compensation of the head and one or more officers of an agency (including an agency resulting from a consolidation or other type of reorganization) if the Governor finds, and in his message transmitting the plan declares, that by reason of a reorganization made by the plan the provisions are necessary. The head so provided may be an individual or may be a commission or board with more than one member. In case of such an appointment, the term of office may not be fixed for a period in excess of the term remaining to be served by the then Governor, the pay may not be at a rate in excess of that found by the Governor to be applicable to comparable officers in the Executive branch, and, if the appointment is not to a position in the competitive service, it shall be made by the commissioner or other chief executive officer, board or commission of the executive department affected.
(c) Shall provide for the transfer or other disposition of the records, property, and personnel affected by a reorganization;
(d) Shall provide for the transfer of such unexpended balances of appropriations, and of other funds, available for use in connection with a function or agency affected by a reorganization, as the Governor considers necessary by reason of the reorganization for use in connection with the functions affected by the reorganization, or for the use of the agency which shall have the functions after the reorganization plan is effective. However, the unexpended balances so transferred may be used only for the purposes for which the appropriation was originally made; and
(e) Shall provide for terminating the affairs of an agency abolished.
##### **§ 52:14C-6** Reorganization plan provisions prohibited {#sec-52-14c-6 omnilex-key=us-nj-statutes--title-52--52:14C-6}
(a) A reorganization plan may not provide for, and a reorganization under this act may not have the effect of--
(1) Creating a new principal department in the Executive branch, abolishing or transferring a principal department or all the functions thereof, or consolidating 2 or more principal departments or all the functions thereof;
(2) Continuing an agency beyond the period authorized by law for its existence or beyond the time when it would have terminated if the reorganization had not been made;
(3) Authorizing an agency to exercise a function which is not expressly authorized by law at the time the plan is transmitted to the Legislature;
(4) Increasing the term of an office beyond that provided by law for the office.
(b) A reorganization plan may take effect as provided in section 7.
##### **§ 52:14C-7** Effective date of reorganization plan {#sec-52-14c-7 omnilex-key=us-nj-statutes--title-52--52:14C-7}
(a) Except as otherwise provided by subsections (b) and (c) of this section, a reorganization plan shall take effect at the end of a period of 60 calendar days after the date on which the plan is transmitted to the Senate and General Assembly on a day on which both thereof shall be meeting in the course of a regular or special session unless, between the date of transmittal and the end of the 60-day period, the Legislature passes a concurrent resolution stating in substance that the Legislature does not favor the reorganization plan.
(b) Under provisions contained in a reorganization plan, a provision of the plan may be effective at a time later than the date on which the plan otherwise is effective.
(c) A reorganization plan which is not disapproved in the manner provided by subparagraph (a) of this section shall have the force and effect of law and the Secretary of State shall cause the same to be printed and published in the annual edition of the public laws under a heading of "Reorganization Plans."
##### **§ 52:14C-8** Effect of act on rights acquired under civil service, pension law or retirement system {#sec-52-14c-8 omnilex-key=us-nj-statutes--title-52--52:14C-8}
Nothing in this act shall be construed to deprive any person of any tenure rights or of any right or protection provided him by Title 11 of the Revised Statutes, Civil Service, or any pension law or retirement system.
##### **§ 52:14C-9** Effect of act on prior orders, rules and regulations {#sec-52-14c-9 omnilex-key=us-nj-statutes--title-52--52:14C-9}
This act shall not affect any order, rule or regulation made or promulgated prior to the effective date of a reorganization plan by any department, commission, council, board, authority, officer or other agency, the functions, powers and duties of which have been assigned or transferred to any other officer, authority or agency pursuant to a reorganization plan; but such orders, rules and regulations shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:14C-10** Effect of act on actions or proceedings {#sec-52-14c-10 omnilex-key=us-nj-statutes--title-52--52:14C-10}
This act shall not affect actions or proceedings, civil or criminal, brought by or against any department, commission, council, board, authority, officer or other agency, the functions, powers and duties of which have been transferred or abolished pursuant to this act; nor shall any reorganization affect any order or recommendation made by, or other matters or proceedings before, any department, commission, council, board, officer, authority or agency, the functions, powers and duties of which have been transferred or abolished pursuant to a reorganization plan under this act.
##### **§ 52:14C-11** Inconsistent acts {#sec-52-14c-11 omnilex-key=us-nj-statutes--title-52--52:14C-11}
All acts and parts of acts inconsistent with any of the provisions of this act and with a reorganization plan adopted hereunder, are, to the extent of such inconsistency, hereby repealed.
## **Chapter 14D**
##### **§ 52:14D-1** Short title {#sec-52-14d-1 omnilex-key=us-nj-statutes--title-52--52:14D-1}
This act shall be known as the "State Agency Transfer Act."
##### **§ 52:14D-2** Definitions {#sec-52-14d-2 omnilex-key=us-nj-statutes--title-52--52:14D-2}
As used in this act:
"Agency" means and includes any department, division, bureau, board, commission, agency, office, authority or institution of the executive branch of the State Government, whether or not it receives legislative appropriations, or parts thereof.
"Transfer" means and includes the assignment, reassignment, consolidation or merger of all or part of the functions, powers and duties of one or more agencies.
##### **§ 52:14D-3** Application of act to transfers of agencies {#sec-52-14d-3 omnilex-key=us-nj-statutes--title-52--52:14D-3}
Whenever by law an agency of the State Government is transferred, the provisions of this act shall apply unless otherwise provided by the act effecting such transfer.
##### **§ 52:14D-4** Transfer of appropriations, grants and other moneys {#sec-52-14d-4 omnilex-key=us-nj-statutes--title-52--52:14D-4}
All appropriations, grants and other moneys available and to become available to the agency, are transferred to the agency to which the functions, powers and duties are transferred and shall be available for the objects and purposes for which appropriated, subject to any terms, restrictions, limitations or other requirements imposed by State or Federal law.
##### **§ 52:14D-5** Transfer of employees {#sec-52-14d-5 omnilex-key=us-nj-statutes--title-52--52:14D-5}
The employees of the agency are transferred to the agency to which such functions, powers and duties are transferred. The transfer of employees shall not deprive any person of any tenure rights or of any right or protection provided him by Title 11 of the Revised Statutes, Civil Service, or any pension law or retirement system.
##### **§ 52:14D-6** Effect of transfer on orders, rules or regulations {#sec-52-14d-6 omnilex-key=us-nj-statutes--title-52--52:14D-6}
The transfer shall not affect any order, rule or regulation made or promulgated by the agency prior to the effective date of the transfer; but such orders, rules and regulations shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:14D-7** Effect on actions or proceedings by or against agency; effect on order, recommendation or proceeding of agency {#sec-52-14d-7 omnilex-key=us-nj-statutes--title-52--52:14D-7}
The transfer shall not affect actions or proceedings, civil or criminal, brought by or against the agency; nor shall the transfer affect any order or recommendation made by, or other matters or proceedings before the agency.
##### **§ 52:14D-8** Files, books, etc.; transfer to new agency {#sec-52-14d-8 omnilex-key=us-nj-statutes--title-52--52:14D-8}
All files, books, papers, records, equipment and other property of the agency are transferred to the agency to which such transfer is made.
## **Chapter 14E**
##### **§ 52:14E-1** Short title {#sec-52-14e-1 omnilex-key=us-nj-statutes--title-52--52:14E-1}
This act shall be known and may be cited as the "Emergency Services Act of 1972."
##### **§ 52:14E-2** Legislative findings {#sec-52-14e-2 omnilex-key=us-nj-statutes--title-52--52:14E-2}
Whereas , The existing and increasing possibility of the occurrence of emergencies or disasters resulting from flood, fire, hurricane, civil disorder or other catastrophe requires that we insure that preparations of this State will be adequate to deal with such emergencies or disasters; and
Whereas , Recent experience has demonstrated the necessity to respond expeditiously to natural and other major catastrophes, the Legislature hereby finds that it would be in the best interests of the citizens of New Jersey to establish a procedure for responsible and effective utilization of our emergency resources.
##### **§ 52:14E-3** Definitions {#sec-52-14e-3 omnilex-key=us-nj-statutes--title-52--52:14E-3}
The following terms whenever used or referred to in this act shall have the following respective meanings for the purposes of this act, except in those instances where the context clearly indicates otherwise:
a. "Act" means this act and any amendments and supplements thereto and any rules and regulations promulgated thereunder.
b. "Council" means the Governor's Advisory Council for Emergency Services.
c. "Emergency" means any flood, hurricane, storm, tornado, high water, wind-driven water, tidal wave, drought, fire, explosion, civil disorder or other catastrophe which is or threatens to be of sufficient severity and magnitude to substantially endanger the health, safety and property of the citizens of this State.
d. "Fund" means the Emergency Services Fund created by this act.
##### **§ 52:14E-4** Governor's Advisory Council for Emergency Services. {#sec-52-14e-4 omnilex-key=us-nj-statutes--title-52--52:14E-4}
4. There is hereby created a Governor's Advisory Council for Emergency Services, which shall consist of the Attorney General, who shall be the presiding officer; the Adjutant General of Military and Veterans' Affairs, the Commissioner of Community Affairs, the Commissioner of Environmental Protection, the Commissioner of Transportation, and the President of the Board of Public Utilities or their designees. The members of the council shall serve without pay in connection with all such duties as are prescribed in P.L.1972, c.133 (C.52:14E-1 et seq.).
##### **§ 52:14E-5** Emergency services fund; creation {#sec-52-14e-5 omnilex-key=us-nj-statutes--title-52--52:14E-5}
There is hereby created a fund to be known as the Emergency Services Fund which shall consist of such sums as the Legislature may, from time to time, appropriate and such additional sums as may be granted or donated to the fund from any public or private source, together with income to the fund from investments authorized for the purposes set forth in section 6 of this act.
##### **§ 52:14E-6** Administration; deposit of funds; investment {#sec-52-14e-6 omnilex-key=us-nj-statutes--title-52--52:14E-6}
The fund shall be administered by the State Treasurer. All moneys appropriated for, earned by or otherwise made available to the fund shall be deposited to the credit of the fund in such depositories as he may select and shall be held unless otherwise provided by law for the purposes of this act. Such portions of the fund as are not required for immediate disbursement to carry out the provisions of this act may be invested and reinvested in the manner provided for by law in the trust funds in the State Treasury.
##### **§ 52:14E-7** Council; meetings; vote necessary for validity of acts {#sec-52-14e-7 omnilex-key=us-nj-statutes--title-52--52:14E-7}
The council shall meet at such times as may be necessary to fulfill the requirements set forth in this act, except that the Governor may at any time by issuing a declaration of an emergency convene the council. The concurrence of four members of the council shall be necessary to the validity of all acts of the council.
##### **§ 52:14E-8** Council's powers, duties. {#sec-52-14e-8 omnilex-key=us-nj-statutes--title-52--52:14E-8}
8. The council shall be authorized to perform the following functions and exercise the following powers:
a. Review, evaluate and recommend to the Legislature any necessary changes in any existing compact between this State and the federal government or between this State and any other state created for the purposes set forth in this act or develop such compacts where they do not exist.
b. Review, evaluate and periodically recommend changes in existing emergency master plans.
c. Encourage and coordinate comprehensive services available through private organizations and intercommunity cooperation.
d. Authorize expenditures from the fund upon approval of the Governor to provide emergency relief deemed appropriate by the council or to reimburse municipalities or counties for damages or excessive costs sustained as a result of an emergency.
e. Utilize the manpower, facilities and materials of the various State departments for the purposes of P.L.1972, c.133 (C.52:14E-1 et seq.).
##### **§ 52:14E-9** Payments from fund {#sec-52-14e-9 omnilex-key=us-nj-statutes--title-52--52:14E-9}
Payments out of the fund shall be made by the State Treasurer, upon certification by the council and warrant of the Director of the Division of Budget and Accounting.
##### **§ 52:14E-10** Additional and supplemental provisions {#sec-52-14e-10 omnilex-key=us-nj-statutes--title-52--52:14E-10}
The provisions of this act shall be deemed to be additional and supplemental to any existing authority to provide emergency relief and shall not be deemed to be in derogation of any such existing authority.
##### **§ 52:14E-11** Short title. {#sec-52-14e-11 omnilex-key=us-nj-statutes--title-52--52:14E-11}
1. This act shall be known and may be cited as the "Fire Service Resource Emergency Deployment Act."
##### **§ 52:14E-12** Findings, declarations relative to coordination of fire service resources in emergencies. {#sec-52-14e-12 omnilex-key=us-nj-statutes--title-52--52:14E-12}
2. The Legislature finds and declares that, in the interest of public safety, it is appropriate to establish a mechanism for the coordination of fire service resources throughout the State to facilitate a quick and efficient response to any emergency incident or situation that requires the immediate deployment of those resources in order to protect life and property from the danger or destruction of fire, explosion or other disaster. This act is remedial in nature and shall be liberally construed to effectuate these purposes.
##### **§ 52:14E-13** Definitions relative to coordination of fire service resources in emergencies. {#sec-52-14e-13 omnilex-key=us-nj-statutes--title-52--52:14E-13}
3. As used in this act:
"County fire coordinator" means the individual appointed by the State fire coordinator pursuant to subsection a. of section 5 of this act.
"County fire mutual aid plan" means a plan, prepared and adopted by a county in accordance with subsection c. of section 5 of this act, which sets forth the measures that are to be implemented in those instances where the fire service resources of an individual municipality within the county are unable to respond adequately to an emergency incident or a local fire emergency disaster and, therefore, it is necessary for the county to coordinate the delivery of fire service resources and assistance to that municipality from other municipalities in the county.
"Deputy county fire coordinator" means an individual appointed by the county fire coordinator pursuant to subsection a. of section 5 of this act to assist the county fire coordinator with the duties and responsibilities of his position and to serve as the county fire coordinator in his absence.
"Deputy State fire coordinator" means an individual appointed by the State fire coordinator from the employees of the Division of Fire Safety to assist the State fire coordinator with the duties and responsibilities of his position and to serve as the State fire coordinator in his absence.
"Division" means the Division of Fire Safety in the Department of Community Affairs.
"Emergency incident" means any situation to which a unit of the fire service responds to deliver emergency services including, but not limited to, rescue, fire suppression, special operations and other forms of hazard control and mitigation.
"Fire service resources" means fire fighters and other personnel utilized by a unit of the fire service to provide rescue, fire suppression and related activities whether those fire fighters and personnel are volunteer or career; trucks, rescue vehicles and other vehicles used for fire fighting and emergency purposes; and fire fighting and rescue equipment used for fire or emergency purposes, including communications and protective equipment. Fire service resources shall not include emergency medical service providers and personnel, except that any unit or personnel that provides both fire and emergency medical services shall be subject to this act while performing fire suppression and related activities.
"Forest fire service" means the agency within the Department of Environmental Protection that is responsible for the protection of life, property and natural resources from wildfire.
"Incident commander" means the individual in overall command or control of the fire service personnel, and associated emergency equipment and emergency vehicles, at the site of an emergency incident.
"Local fire emergency disaster" means an emergency incident which, in the judgment of the incident commander, is of such severe degree and nature that it presents a significant threat to the health, safety and welfare of a municipality and its residents and, therefore, may warrant the implementation of the municipality's municipal emergency operations plan.
"Local fire mutual aid plan" means a plan, prepared and adopted by a municipality or fire district in accordance with section 4 of this act, which sets forth the measures that are to be implemented in those instances when the fire service resources of the municipality or fire district cannot adequately respond to an emergency incident or a local fire emergency disaster and, as a consequence, it is necessary for the municipality or fire district to request assistance and fire service resources from contiguous municipalities.
"Order of deployment" means an order issued by the State fire coordinator pursuant to this act to a unit of the fire service requiring the immediate response, recall or standby of that unit's fire service personnel, emergency equipment or emergency vehicles, or any part thereof.
"State fire coordinator" means the Director of the Division of Fire Safety in the Department of Community Affairs, or his designee.
"State firewarden" means the chief of the forest fire service in the Department of Environmental Protection or his designee.
"Unit of the fire service" means a department or force, be it paid, part-paid or volunteer, established and maintained by the State or any of its instrumentalities, any local governmental unit or any of its instrumentalities, any State or local authority, fire district or non-profit corporation, association or organization for the purposes of fire suppression, rescue and related activities.
##### **§ 52:14E-14** Preparation, adoption of local fire mutual aid plans. {#sec-52-14e-14 omnilex-key=us-nj-statutes--title-52--52:14E-14}
4. Each municipality or fire district, as the case may be, in this State shall prepare and adopt a local fire mutual aid plan. The plan shall set forth policies and procedures to coordinate the effective utilization of fire service resources in those instances where the implementation of the local fire mutual aid plan is determined to be necessary or appropriate. Each local fire mutual aid plan shall be based upon the planning criteria, objectives, requirements, responsibilities and concepts of operation essential for the implementation of all necessary and appropriate protective or remedial measures to be taken in response to emergency incidents. Each local fire mutual aid plan shall be adopted no later than one year after the effective date of this act. Following adoption, each municipality or fire district shall file a copy of its local fire mutual aid plan with the county fire coordinator. In any instance where a local fire mutual aid plan provides for the provision of assistance and fire service resources by or to a political subdivision of another state, the municipality or fire district also shall file a copy of that plan with the State fire coordinator. Each local fire mutual aid plan shall be reviewed and updated every two years.
##### **§ 52:14E-15** Appointment, duties of county fire coordinator, deputies; county fire mutual aid plans. {#sec-52-14e-15 omnilex-key=us-nj-statutes--title-52--52:14E-15}
5. a. The State fire coordinator shall appoint a county fire coordinator in each county, pursuant to the provisions of this section, and the county fire coordinator shall appoint at least one deputy county fire coordinator in each county, in accordance with the provisions of this section. More than one deputy county fire coordinator may be appointed in each county.
(1) The State fire coordinator shall determine the duties and responsibilities as deemed necessary for the positions of county fire coordinator and deputy county fire coordinator. The duties and responsibilities shall include, but not be limited to:
(a) fire service resources management and coordination;
(b) preparation of the county Emergency Operations Plan Fire Annex in conjunction with the county emergency management coordinator and in accordance with the standards established by the State Office of Emergency Management;
(c) county fire mutual aid planning, as set forth in subsection c. of this section; and
(d) continuing training and education requirements.
(2) The county emergency management coordinator in each county shall, in consultation with the fire chiefs of the units of the fire service within each county, submit the name of at least one candidate to the State fire coordinator for consideration as the county fire coordinator. Each candidate shall possess a minimum of seven years of documented fire service experience to be eligible for appointment as the county fire coordinator. The State fire coordinator shall appoint the county fire coordinator from the list of eligible candidates submitted by the county emergency management coordinator. Each county fire coordinator shall serve for a two-year term and until his or her successor is appointed. Vacancies shall be filed in the same manner as the original appointment.
(3) The county fire coordinator in each county shall, in consultation with the fire chiefs of the units of the fire service within each county, appoint the deputy county fire coordinator or coordinators. Each candidate shall possess a minimum of four years of documented fire service experience to be eligible for appointment as a deputy county fire coordinator. Each deputy county fire coordinator shall serve for a two-year term, which shall be served concurrently with the term of the county fire coordinator appointed in that county. Vacancies shall be filed for the unexpired term only and in the same manner as the original appointment.
b. The county fire coordinator shall implement the county's fire mutual aid plan, coordinate the utilization of fire service resources with the county in response to emergency incidents which require implementation of the county's fire mutual aid plan and perform such other duties as may be necessary and appropriate to effectuate the purposes of this act.
c. Each county in this State shall prepare and adopt a county fire mutual aid plan. The plan shall set forth policies and procedures to coordinate the effective utilization of fire service resources in those instances where the implementation of the county fire mutual aid plan is determined to be necessary or appropriate. Each county fire mutual aid plan shall be based upon the planning criteria, objectives, requirements, responsibilities and concepts of operation essential for the implementation of all necessary and appropriate protective or remedial measures to be taken in response to emergency incidents. Each county fire mutual aid plan shall be adopted no later than one year after the effective date of this act. Following adoption, each county shall file a copy of its county fire mutual aid plan with the State fire coordinator. Each county fire mutual aid plan shall be reviewed and updated every two years.
d. Each unit of the fire service in the county shall participate in the county fire mutual aid plan and shall submit every two years to its county fire coordinator the following information:
(1) A complete inventory of personnel and equipment;
(2) A local fire mutual aid plan prepared and updated pursuant to section 4 of this act; and
(3) A listing of fire companies and departments involved in the local fire mutual aid plan.
##### **§ 52:14E-16** Procedure during emergency incident, local, county. {#sec-52-14e-16 omnilex-key=us-nj-statutes--title-52--52:14E-16}
6. a. In the event of an emergency incident, the incident commander shall determine whether additional fire service resources are required and, if so, shall first call upon the members of his local fire mutual aid plan.
b. Should the incident commander determine, after calling for assistance from members of his local fire mutual aid plan, that further fire service resources are required to respond to the emergency incident, he shall request that the county fire coordinator place the county fire mutual aid plan into effect. Upon making such a request, the incident commander also shall notify the municipal emergency management coordinator appointed pursuant to section 8 of P.L.1953, c.438 (C.App.A:9-40.1) of the emergency incident so that the municipal emergency management coordinator may alert and utilize his staff should additional emergency resources be required.
c. Upon the activation of a county fire mutual aid plan, the county fire coordinator shall notify the regional fire coordinator assigned to that county and the State fire coordinator with regard to the emergency incident and shall further provide periodic updates to both until termination of the emergency incident. The State fire coordinator shall ensure that the county and State Offices of Emergency Management are notified and provide them with periodic updates until termination of the emergency incident.
d. In the event that the municipal emergency management coordinator determines to mobilize local resources in response to an emergency incident, he shall so notify the county emergency management coordinator appointed pursuant to section 12 of P.L.1953, c.438 (C.App.A:9-42.1) in order that the county emergency management coordinator shall be prepared to respond in the event that local resources are insufficient to effectively deal with the emergency incident.
e. In the event of an emergency incident, the incident commander also may declare a local fire emergency disaster. In making any such determination, the incident commander shall utilize the best information then available.
f. Whenever a local fire emergency disaster is declared pursuant to subsection e. of this section, the municipal emergency management coordinator shall activate the municipal emergency operations plan adopted pursuant to section 19 of P.L.1989, c.222 (C.App. A:9-43.2).
g. (Deleted by amendment, P.L. 2006, c.8).
h. The county fire coordinator shall maintain a liaison with the supervisory representative of the forest fire service in deploying fire service resources and coordinating protection activities during wildfire emergency incidents pursuant to R.S.13:9-1 et seq.
i. The county fire coordinator shall request additional resources, beyond those from within his county, through the regional or State fire coordinator. The regional or State fire coordinator shall utilize the Office of Emergency Management system to request these resources.
##### **§ 52:14E-17** Powers of State fire coordinator. {#sec-52-14e-17 omnilex-key=us-nj-statutes--title-52--52:14E-17}
7. The State fire coordinator shall have all powers necessary or convenient to effectuate the purposes of this act including, without limitation, power:
a. To enforce and administer the provisions of this act; to seek mandatory injunctive relief in State courts; to issue subpoenas for the production of persons, things, and documents that are necessary to achieve compliance with the provisions of this act; and to prosecute or cause to be prosecuted violators of the provisions of this act in administrative hearings and in civil proceedings in State and local courts;
b. To assess penalties and to compromise and settle a claim for a penalty for a violation of the provisions of this act in an amount as may appear appropriate and equitable; and
c. To hold and exercise all the rights and remedies available to a judgment creditor.
##### **§ 52:14E-18** Procedure for coordinating fire service resources. {#sec-52-14e-18 omnilex-key=us-nj-statutes--title-52--52:14E-18}
8. a. Whenever a county fire coordinator determines that fire service resources are needed from other counties due to an emergency incident or a local fire emergency disaster, the county fire coordinator shall notify the regional fire coordinator with responsibility for that county. Upon receipt of a request for out of county fire service resources from the county fire coordinator, the regional fire coordinator shall notify the State fire coordinator as well as the county fire coordinators from the counties adjacent to the county from which the emergency incident or local fire emergency disaster originates.
b. Whenever the State fire coordinator:
(1) makes the determination that fire service resources should be deployed to assist in fire suppression and related activities in another state during a fire emergency in that state; or
(2) makes the determination, in consultation with the regional fire coordinator and county fire coordinator for the county from which an emergency incident or a local fire emergency disaster originates, that the emergency incident or local fire emergency disaster requires the deployment of additional fire service resources,
the State fire coordinator shall be empowered and authorized to issue immediately an order of deployment and require any unit of the fire service to respond, be recalled, standby or deploy any or all of its fire service resources to any location and for any period of the emergency incident or local fire emergency disaster. During any such emergency incident or local fire emergency disaster, the assigned fire service resources shall be under the operational command of the incident commander at the site. In issuing an order of deployment, the State fire coordinator also shall be empowered and authorized to direct that any unit of fire service not respond to an emergency incident or a local fire emergency disaster, but remain on standby.
c. If the State fire coordinator determines that the residents of a municipality or any portion thereof may not have sufficient fire service resources as a result of an order of deployment issued pursuant to this section to the unit of the fire service responsible for the fire protection of that municipality or that portion thereof, the State fire coordinator may issue an order of deployment to an adjacent or nearby unit of the fire service to provide necessary fire protection services, including the provision of fire service resources in the affected municipality or portion thereof. An order of deployment issued pursuant to this section shall be terminated by the State fire coordinator when he determines that the deployed unit of the fire service is once again able to provide adequate fire protection to the residents within its area of responsibility without the provision of fire services resources from other units of the fire service.
d. An order of deployment shall remain in effect during the period of the emergency incident or local fire emergency disaster or until otherwise rescinded by the State fire coordinator, superseded by order of the Governor pursuant to P.L.1942, c.251 (C.App.A:9-33 et seq.), or superseded by the determination that mutual aid should be provided in accordance with the "Emergency Management Assistance Compact," P.L.2001, c.249 (C.38A:20-4 et seq.), or the Interstate Civil Defense and Disaster Compact, N.J.S.38A:20-3. Upon the issuance of an order of the Governor pursuant to P.L.1942, c.251 (C.App.A:9-33 et seq.), the State fire coordinator shall coordinate all fire resources in accordance with the State Emergency Operations Plan. If deemed necessary, and if the emergency incident or local fire emergency disaster continues to exist, the State fire coordinator may reinstate any previously issued order of deployment or any portion of any such order of deployment. The State fire coordinator may modify the terms of an order of deployment issued to a unit of the fire service in order to respond immediately to a current or developing emergency incident or local fire emergency disaster or to provide adequate fire protection to a municipality or any portion thereof impacted by the order of deployment, including, but not limited to, reducing or increasing the number of deployed fire service personnel, emergency equipment or emergency vehicles.
e. The State fire coordinator shall maintain a liaison with the supervisory representative of the forest fire service in deploying fire service resources and coordinating protection activities during wildfire emergency incidents pursuant to R.S.13:9-1 et. seq.
##### **§ 52:14E-19** Provision of information. {#sec-52-14e-19 omnilex-key=us-nj-statutes--title-52--52:14E-19}
9. The State fire coordinator may require any unit of the fire service periodically to provide information on the status, condition and readiness of any of the unit's fire service resources or any other information deemed necessary by the State fire coordinator. The State fire coordinator may prescribe the form and the manner in which such information is to be provided.
##### **§ 52:14E-20** Rules, regulations. {#sec-52-14e-20 omnilex-key=us-nj-statutes--title-52--52:14E-20}
10. The Director of the Division of Fire Safety may adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to effectuate the purposes of this act; except that, notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the Commissioner of Community Affairs may adopt, immediately upon filing with the Office of Administrative Law, such regulations as the State fire coordinator deems necessary to implement the provisions of this act, and which shall be effective for a period not to exceed six months and may thereafter be amended, adopted or readopted by the State fire coordinator in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:14E-21** Enforcement of order of deployment. {#sec-52-14e-21 omnilex-key=us-nj-statutes--title-52--52:14E-21}
11. Any State or local law enforcement agency or officer may enforce an order of deployment issued by the State fire coordinator pursuant to this act. If the State fire coordinator shall determine that such enforcement is essential in order to facilitate the immediate response to an emergency incident or local fire emergency disaster, he shall so notify any State or local law enforcement agency or officer and that agency or officer shall forthwith enforce that order of deployment.
##### **§ 52:14E-22** Violations, penalties. {#sec-52-14e-22 omnilex-key=us-nj-statutes--title-52--52:14E-22}
12. Any person who knowingly and willfully violates, causes to violate, hinders, or otherwise interferes with an order of the State fire coordinator issued pursuant to this act shall be liable to a penalty of not more than $10,000 for each violation. Any person aggrieved by an order imposing such penalty shall be entitled to an administrative hearing. The application for the hearing shall be filed with the division by the 15th day after receipt by the person of the penalty notice. The application for an administrative hearing shall not stay or otherwise delay the implementation of an order of deployment issued by the State fire coordinator pursuant to this act. If the administrative penalty order has not been satisfied by the 30th day after its issuance and an application for an administrative hearing has not been made, the penalty may be recovered in the name of the Commissioner of Community Affairs pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
## **Chapter 14F**
##### **§ 52:14F-1** Establishment; allocation within department of state; office defined {#sec-52-14f-1 omnilex-key=us-nj-statutes--title-52--52:14F-1}
There is hereby established in the Executive Branch of the State Government the Office of Administrative Law. For the purpose of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the Office of Administrative Law is hereby allocated within the Department of State, but notwithstanding said allocation, the office shall be independent of any supervision or control by the department or by any personnel thereof. As used in this act, "office" shall mean the Office of Administrative Law.
##### **§ 52:14F-2** Transfer of functions, powers and duties of division of administrative procedure to office of administrative law {#sec-52-14f-2 omnilex-key=us-nj-statutes--title-52--52:14F-2}
All the functions, powers and duties heretofore exercised by the Division of Administrative Procedure in the Department of State pursuant to the Administrative Procedure Act, P.L.1968, c. 410 (C. 52:14B-1 et seq.) are transferred to and vested in the Office of Administrative Law created by this amendatory and supplementary act.
##### **§ 52:14F-3** Director. {#sec-52-14f-3 omnilex-key=us-nj-statutes--title-52--52:14F-3}
3. The head of the office shall be the director who shall be an attorney-at-law of this State for a minimum of five years. The director shall be appointed by the Governor with the advice and consent of the Senate.
The director shall serve for a term of six years. As used in this act, "director" shall mean the Director of the Office of Administrative Law and Chief Administrative Law Judge.
The director shall devote full time to the duties of the office and shall receive an annual salary equal to 89% of the annual salary of a Judge of the Superior Court. Any vacancy occurring in the office of the director shall be filled in the same manner as the original appointment, but for the unexpired term only.
##### **§ 52:14F-4** Administrative law judges; appointment, terms; compensation; recall. {#sec-52-14f-4 omnilex-key=us-nj-statutes--title-52--52:14F-4}
4. Permanent administrative law judges shall be appointed by the Governor with the advice and consent of the Senate to initial terms of one year. During this initial term, each judge shall be subject to a program of evaluation as delineated in section 5 of P.L.1978, c.67 (C.52:14F-5). First reappointment of a judge after this initial term shall be by the Governor for a term of four years and until the appointment and qualification of the judge's successor.
Administrative law judges nominated by the Governor before July 1, 1981 shall, upon their confirmation by the Senate, serve for terms of five years and until the appointment and qualification of their successors.
Subsequent reappointments of a judge shall be by the Governor with the advice and consent of the Senate to terms of five years and until the appointment and qualification of the judge's successor. The advice and consent of the Senate, as provided in this section, shall be exercised within 45 days after a nomination for appointment has been submitted to the Senate, and if no action has been taken within the 45-day period, the nomination shall be deemed confirmed. This 45-day period shall not apply to any person nominated by the Governor for the position of administrative law judge prior to July 1, 1981.
The annual salary for an administrative law judge during the initial term of one year shall be equal to 75% of the annual salary of a Judge of the Superior Court. The annual salary for a judge during the first year of the first reappointment shall be increased to 78 2/3 % of the annual salary of a Judge of the Superior Court. Upon receipt of satisfactory annual evaluations, the annual salary for a judge shall be increased to 81 2/3 % of the annual salary of a Judge of the Superior Court for the second year of the first reappointment and to 85% of the annual salary of a Judge of the Superior Court for the third year of the first reappointment. The annual salary shall be 85% of the annual salary of a Judge of the Superior Court for the fourth year of the first reappointment and for each year of subsequent reappointments thereafter.
In addition to salary, an administrative law judge regularly assigned as an assignment judge shall receive $2,500 annually as additional compensation, and a judge regularly assigned other administrative or supervisory duties shall receive $1,500 annually as additional compensation.
All administrative law judges, including the Chief Administrative Law Judge, shall be retired upon attaining the age of 70 years, except that any administrative law judge who has retired on pension or retirement allowance may, with the judge's consent, be recalled by the Director/Chief Administrative Law Judge of the Office of Administrative Law for service as a recalled judge in the Office of Administrative Law. No recalled judge shall serve beyond his 80th birthday.
Upon such recall the retired judge shall have all the powers of an administrative law judge and shall be paid a per diem allowance fixed by the Director/ Chief Administrative Law Judge. In addition the recalled judge shall be reimbursed for reasonable expenses actually incurred by him in connection with his assignment and shall be provided with such facilities as may be required in the performance of his duties. Such per diem compensation and expenses shall be paid by the State. Payment for services and expenses shall be made in the same manner as payment is made to the judges of the Office of Administrative Law from which he retired.
##### **§ 52:14F-4.1** Inapplicability of mandatory retirement for administrative law judges, certain. {#sec-52-14f-4.1 omnilex-key=us-nj-statutes--title-52--52:14F-4.1}
17. The mandatory retirement provisions implemented pursuant to this act, P.L.1999, c.380 (C.52:14-15.115 et al.), shall be inapplicable for three years after the effective date of this act to any judge of the Office of Administrative Law who is in service on the effective date of this act.
##### **§ 52:14F-4.2** Certain administrative law judges permitted to work beyond age 70. {#sec-52-14f-4.2 omnilex-key=us-nj-statutes--title-52--52:14F-4.2}
19. Notwithstanding the provisions of this act, P.L.1999, c.380 (C.52:14-15.115 et al.), to the contrary, any judge of the Office of Administrative Law who is 60 years of age or older on the effective date of this act shall be permitted to continue service as a judge until attaining 10 years of service under the "Public Employees' Retirement System Act," P.L.1954, c.84 (C.43:15A-1 et seq.).
##### **§ 52:14F-5** Powers, duties of Director and Chief Administrative Law Judge. {#sec-52-14f-5 omnilex-key=us-nj-statutes--title-52--52:14F-5}
5. The Director and Chief Administrative Law Judge of the Office of Administrative Law shall:
a. Administer and cause the work of the office to be performed in such manner and pursuant to such program as may be required or appropriate;
b. Organize and reorganize the office, and establish such bureaus as may be required or appropriate;
c. Except as otherwise provided in subsections l. and t., below, appoint, pursuant to the provisions of Title 11A of the New Jersey Statutes, such clerical assistants and other personnel as may be required for the conduct of the office;
d. Assign and reassign personnel to employment within the office;
e. Develop uniform standards, rules of evidence, and procedures, including but not limited to standards for determining whether a summary or plenary hearing should be held to regulate the conduct of contested cases and the rendering of administrative adjudications;
f. Promulgate and enforce such rules for the prompt implementation and coordinated administration of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as may be required or appropriate;
g. Administer and supervise the procedures relating to the conduct of contested cases and the making of administrative adjudications, as defined by section 2 of P.L.1968, c.410 (C.52:14B-2), and develop and implement an electronic filing system for the conduct of contested cases in such a manner and within such a time period as deemed practicable within available resources;
h. Advise agencies concerning their obligations under the Administrative Procedure Act, subject to the provisions of subsections b. and e. of section 4 of P.L.1944, c.20 (C.52:17A-4);
i. Assist agencies in the preparation, consideration, publication and interpretation of administrative rules required or appropriate pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.);
j. Employ the services of the several agencies and of the employees thereof in such manner and to such extent as may be agreed upon by the director and the chief executive officer of such agency;
k. Have access to information concerning the several agencies to assure that they properly promulgate all rules required by law;
l. Assign permanent administrative law judges at supervisory and other levels who are qualified in the field of administrative law or in subject matter relating to the hearing functions of a State agency.
Administrative law judges shall receive such salaries as provided by section 4 of P.L.1978, c.67 (C.52:14F-4), as amended by P.L.1999, c.380, shall not engage in the practice of law and shall devote full time to their judicial duties.
Administrative law judges appointed after the effective date of this amendatory act shall have been attorneys-at-law of this State for a minimum of five years. An administrative law judge appointed prior to the effective date of this amendatory act shall not be required to be an attorney or, if an attorney, shall not be required to have been an attorney-at-law for five years in order to be reappointed;
m. Appoint additional administrative law judges, qualified in the field of administrative law or in a subject matter relating to the hearing functions of a State agency, on a temporary or case basis as may be necessary during emergency or unusual situations for the proper performance of the duties of the office, pursuant to a reasonable fee schedule established in advance by the director. Administrative law judges appointed pursuant to this procedure shall have the same qualifications for appointment as permanent administrative law judges;
n. Assign administrative law judges to conduct contested cases as required by sections 9 and 10 of P.L.1968, c.410 (C.52:14B-9 and 52:14B-10). Proceedings shall be scheduled for suitable locations, either at the offices of the Office of Administrative Law or elsewhere in the State, taking into consideration the convenience of the witnesses and parties, as well as the nature of the cases and proceedings;
o. Assign an administrative law judge or other personnel, if so requested by the head of an agency and if the director deems appropriate, to any agency to conduct or assist in administrative duties and proceedings other than those related to contested cases or administrative adjudications, including but not limited to rule-making and investigative hearings;
p. Assign an administrative law judge not engaged in the conduct of contested cases to perform other duties vested in or required of the office;
q. Secure, compile and maintain all reports of administrative law judges issued pursuant to this act, and such reference materials and supporting information as may be appropriate;
r. Develop and maintain a program for the continuing training and education of administrative law judges and agencies in regard to their responsibilities under this act;
s. Develop and implement a program of judicial evaluation to aid himself in the performance of his duties, and to assist in the making of reappointments under section 4 of P.L.1978, c.67 (C.52:14F-4). This program of evaluation shall focus on three areas of judicial performance: competence, productivity, and demeanor. It shall include consideration of: industry and promptness in adhering to schedules, making rulings and rendering decisions; tolerance, courtesy, patience, attentiveness, and self-control in dealing with litigants, witnesses and counsel, and in presiding over contested cases; legal skills and knowledge of the law and new legal developments; analytical talents and writing abilities; settlement skills; quantity, nature and quality of caseload disposition; impartiality and conscientiousness. The director shall develop standards and procedures for this program, which shall include taking comments from selected litigants and lawyers who have appeared before a judge. The methods used by the judge but not the result arrived at by the judge in any case may be used in evaluating a judge. Before implementing any action based on the findings of the evaluation program, the director shall discuss the findings and the proposed action with the affected judge. The evaluation by the director and supporting data shall be submitted to the Governor at least 90 days before the expiration of any term. These documents shall remain confidential and shall be exempted from the requirements of P.L.1963, c.73 (C.47:1A-1 et seq.);
t. Promulgate and enforce rules for reasonable sanctions, including assessments of costs and attorneys' fees which may be imposed on a party, and attorney or other representative of a party who, without just excuse, fails to comply with any procedural order or with any standard or rule applying to a contested case and including the imposition of a fine not to exceed $1,000.00 for misconduct which obstructs or tends to obstruct the conduct of contested cases;
u. Have power in connection with contested case hearings (1) to administer oaths to any and all persons, (2) to compel by subpoena the attendance of witnesses and the production of books, records, accounts, papers, and documents of any person or persons, (3) to entertain objections to subpoenas, and (4) to rule upon objections to subpoenas except, that any orders of administrative law judges regarding these objections may be reviewed by the agency head before the completion of the contested case in accordance with procedural rules, adopted by the Director and Chief Administrative Law Judge of the Office of Administrative Law. Misconduct by any party, attorney or representative of a party or witness which obstructs or tends to obstruct the conduct of a contested case or the failure of any witness, when duly subpoenaed to attend, give testimony or produce any record, or the failure to pay any sanction assessed pursuant to subsection t. of this section, shall be punishable by the Superior Court in the same manner as such failure is punishable by such court in a case pending therein;
v. Assign any judge recalled pursuant to section 4 of P.L.1978, c.67 (C.52:14F-4) and fix the per diem allowance;
w. Assign an administrative law judge or other personnel to conduct arbitration, mediation, and other forms of alternative dispute resolution with regard to any contested case or any proceeding other than that related to a contested case or administrative adjudication; and
x. Schedule hearings in an expeditious and efficient manner taking into account the significance of the issues, the needs of the parties, available resources, costs to the parties, and other relevant factors. The director may, on a temporary basis when required by exigent circumstances, schedule hearings notwithstanding deadlines otherwise set forth in statute.
##### **§ 52:14F-6** Administrative law judges, assignment; special appointment {#sec-52-14f-6 omnilex-key=us-nj-statutes--title-52--52:14F-6}
6. a. Administrative law judges shall be assigned by the director from the office to an agency to preside over contested cases in accordance with the special expertise of the administrative law judge.
b. A person who is not an employee of the office may be specially appointed and assigned by the director to preside over a specific contested case, if the director certifies in writing the reasons why the character of the case requires utilization of a different procedure for assigning administrative law judges than is established by this amendatory and supplementary act.
c. Each administrative law judge shall have and exercise the powers conferred upon the director to the extent that the director shall delegate them by rule.
##### **§ 52:14F-7** Construction of act {#sec-52-14f-7 omnilex-key=us-nj-statutes--title-52--52:14F-7}
9. a. Nothing in this amendatory and supplementary act shall be construed to deprive the head of any agency of the authority pursuant to section 10 of P.L.1968, c.410 (C.52:14B-10) to determine whether a case is contested or to adopt, reject or modify the findings of fact and conclusions of law of any administrative law judge consistent with the standards for the scope of review to be applied by the head of the agency as set forth in that section and applicable case law.
b. Nothing in this amendatory and supplementary act shall be construed to affect the conduct of any contested case initiated prior to the effective date of this act, or the making of any administrative adjudication in such contested case.
##### **§ 52:14F-8** Administrative Law jurisdictional exclusions *Text of section operative until Dec. 31, 1987 {#sec-52-14f-8 omnilex-key=us-nj-statutes--title-52--52:14F-8}
Unless a specific request is made by the agency, no administrative law judge shall be assigned by the director to hear contested cases with respect to:
a. The State Board of Parole; the Public Employment Relations Commission; the Division of Workers' Compensation; the Division of Tax Appeals; or the management or operation by any agency of a State custodial, penal or correctional institution or program, insofar as the acts of the agency relate to the internal affairs of the institution or program unless the sanctions arising from a single incident involve the loss of 365 days or more of time credits awarded pursuant to R.S. 30:4-140.
b. Any matter where the head of the agency, a commissioner or several commissioners are required to conduct or determine to conduct the hearing directly and individually.
L. 1978, c. 67, s. 10. Amended by L. 1985, c. 94, s. 1.
For text of section operative Dec. 31, 1987, see s. 52:14F-8, post
##### **§ 52:14F-9** Applicability of State Agency Transfer Act {#sec-52-14f-9 omnilex-key=us-nj-statutes--title-52--52:14F-9}
This act shall be subject to the provisions of the State Agency Transfer Act, P.L.1971, c. 375 (C. 52:14D-1 et seq.).
##### **§ 52:14F-10** Repeal of inconsistent acts and parts of act {#sec-52-14f-10 omnilex-key=us-nj-statutes--title-52--52:14F-10}
All acts and parts of acts inconsistent with any of the provisions of this amendatory and supplementary act are, to the extent of such inconsistency, superseded and repealed.
##### **§ 52:14F-11** Severability {#sec-52-14f-11 omnilex-key=us-nj-statutes--title-52--52:14F-11}
If any provision of this act or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the act which can be given effect without the invalid provision or application and to this end the provisions of this act are declared to be severable.
##### **§ 52:14F-12** Environmental unit {#sec-52-14f-12 omnilex-key=us-nj-statutes--title-52--52:14F-12}
1. a. The Director of the Office of Administrative Law shall, within 12 months after the effective date of this act, establish within the Office of Administrative Law an environmental unit consisting of administrative law judges having special expertise in environmental law. The number of administrative law judges in the environmental unit shall be proportional to the number and complexity of environmental cases referred to the office.
b. Upon the establishment of the environmental unit, all contested cases, as defined in section 2 of P.L.1968, c.410 (C.52:14B-2), concerning environmental law referred to the Office of Administrative Law shall be assigned to and adjudicated by the administrative law judges in the environmental unit.
##### **§ 52:14F-13** Environmental workload reports {#sec-52-14f-13 omnilex-key=us-nj-statutes--title-52--52:14F-13}
2. The director shall, within 12 months after enactment, and annually thereafter, notify the Assembly Energy and Environment Committee and the Senate Environmental Quality Committee or their successors, of the number of cases pending in the Office of Administrative Law, the total number of Administrative Law Judges serving in the office, the number of Administrative Law Judges serving in the environmental unit and the number of environmental cases assigned to the environmental unit.
##### **§ 52:14F-14** Definitions relative to expedited appeals in OAL. {#sec-52-14f-14 omnilex-key=us-nj-statutes--title-52--52:14F-14}
11. As used in sections 12 through 18 of P.L.2004, c.89 (C.52:14F-15 through C.52:14F-21):
"Applicant" means any person applying for a permit pursuant to section 3, 5, 7, 9 or 10 of P.L.2004, c.89 (C.52:27D-10.4, C.13:1D-145, C.27:1E-2, C.52:27D-10.6 or C.13:1D-146);
"Ombudsman" or "Smart Growth Ombudsman" means the Smart Growth Ombudsman appointed by the Governor pursuant to section 2 of P.L.2004, c.89 (C.52:27D-10.3);
"Permit" means any permit or approval issued by the Department of Environmental Protection, pursuant to any law, or any rule or regulation adopted pursuant thereto, provided that "permit" shall not include any approval of a grant, or a permit issued pursuant to the "Coastal Area Facility Review Act," P.L.1973, c.185 (C.13:19-1 et seq.), the "Air Pollution Control Act (1954)," P.L.1954, c.212 (C.26:2C-1 et seq.), the "Solid Waste Management Act," P.L.1970, c.39 (C.13:1E-1 et seq.), or the "Radiation Protection Act," P.L.1958, c.116 (C.26:2D-1 et seq.), any permit or approval issued by the Department of Transportation pursuant to any law, or any rule or regulation adopted pursuant thereto, or any permit or approval required as a condition of development or redevelopment issued by the Department of Community Affairs pursuant to any law or any rule or regulation adopted pursuant thereto;
"Person" means any individual, corporation, company, partnership, firm, association, owner or operator of a treatment works, political subdivision of this State, or State or interstate agency; and
"Smart growth area" means an area designated pursuant to P.L.1985, c.398 (C.52:18A-196 et seq.) as Planning Area 1 (Metropolitan), Planning Area 2 (Suburban), a designated center, or a designated growth center in an endorsed plan; a smart growth area and planning area designated in a master plan adopted by the New Jersey Meadowlands Commission pursuant to subsection (i) of section 6 of P.L.1968, c.404 (C.13:17-6); a growth area designated in the comprehensive management plan prepared and adopted by the Pinelands Commission pursuant to section 7 of the "Pinelands Protection Act," P.L.1979, c.111 (C.13:18A-8); an urban enterprise zone designated pursuant to P.L.1983, c.303 (C.52:27H-60 et seq.) or P.L.2001, c.347 (C.52:27H-66.2 et al.); an area determined to be in need of redevelopment pursuant to sections 5 and 6 of P.L.1992, c.79 (C.40A:12A-5 and 40A:12A-6) and as approved by the Department of Community Affairs; or similar areas designated by the Department of Environmental Protection.
##### **§ 52:14F-15** Expedited appeal of contested permit action. {#sec-52-14f-15 omnilex-key=us-nj-statutes--title-52--52:14F-15}
12. Upon the request of the applicant and in accordance with sections 14, 15, and 16 of P.L. 2004, c.89 (C.52:14F-17, C.52:14F-18 and C.52:14F-19), the Office of Administrative Law shall provide for the expedited appeal of any contested permit action for a proposed project in a smart growth area. An applicant who does not exercise this option retains the right to an administrative hearing and decision on the permit application pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:14F-16** Smart Growth Unit established in OAL. {#sec-52-14f-16 omnilex-key=us-nj-statutes--title-52--52:14F-16}
13. a. There is hereby established within the Office of Administrative Law a Smart Growth Unit consisting of administrative law judges having expertise in the matters heard pursuant to this section. All cases transmitted to the Office of Administrative Law pursuant to this section shall be assigned to and adjudicated by the administrative law judges in the Smart Growth Unit.
b. The Governor with the advice and consent of the Senate shall appoint administrative law judges to the Smart Growth Unit. Administrative law judges appointed to the Smart Growth Unit shall have expertise in the relevant subject areas pertaining to P.L.2004, c.89 (C.52:27D-10.2 et al.) and shall be subject to the terms of appointment and employment set forth in sections 4 and 5 of P.L.1978, c.67 (C.52:14F-4 and C.52:14F-5). The Director of the Office of Administrative Law and Chief Administrative Law Judge shall assign an administrative law judge as the assignment judge for the unit.
##### **§ 52:14F-17** Transmittal of administrative record. {#sec-52-14f-17 omnilex-key=us-nj-statutes--title-52--52:14F-17}
14. a. Within 15 days after the receipt by the Division of Smart Growth of notice of an applicant's request for an expedited review pursuant to subparagraph (d) of paragraph (1) of subsection c. of section 5, subparagraph (d) of paragraph (1) of subsection c. of section 7, or subparagraph (d) of paragraph (1) of subsection c. of section 9 of P.L.2004, c.89 (C.13:1D-145, C.27:1E-2 or C.52:27D-10.6), as appropriate, the Division of Smart Growth shall transmit to the clerk of the Office of Administrative Law the administrative record which shall consist of:
(1) the request for an expedited review of the application;
(2) the application;
(3) documents the applicant filed in support of the application;
(4) the qualified and registered professional's certification that the application is complete and meets all statutory and regulatory requirements for approval;
(5) the Division of Smart Growth's notices of deficiency, if any, that the application is incomplete;
(6) the Division of Smart Growth's documentation, if any, in support of its determination that the application is incomplete; and
(7) the applicant's request for an expedited hearing.
b. The case shall be assigned to an administrative law judge who shall be a member of the Smart Growth Unit. Within 15 days after the filing of the case with the clerk of the Office of Administrative Law, the parties shall file briefs with the administrative law judge. There shall be no presumptions in favor of either party. No other evidence shall be admitted or relied upon, except by consent of the parties and with approval of the administrative law judge. Discovery shall not be available, except by consent of the parties. The standard of review shall be by the preponderance of the evidence.
c. Within 30 days after the date of submission of the briefs, the administrative law judge shall issue a written decision as to whether the application is complete. The time limits established herein shall not be extended except by consent of the parties.
d. If the administrative law judge decides that the application is complete, the Director of the Division of Smart Growth shall take action to approve, approve with conditions or deny the permit application within 45 days after the receipt of the decision.
e. The decision of the administrative law judge on the issue of completeness of the application shall be the final decision binding on the parties and shall not be subject to further review or appeal by either the Division of Smart Growth established pursuant to section 5, 7 or 9 of P.L.2004, c.89 (C.13:1D-145, C.27:1E-2 or C.52:27D-10.6), as appropriate, or the applicant.
f. An applicant who does not request an expedited review pursuant to subparagraph (d) of paragraph (1) of subsection c. of section 5, subparagraph (d) of paragraph (1) of subsection c. of section 7 or subparagraph (d) of paragraph (1) of subsection c. of section 9 of P.L.2004, c.89 (C.13:1D-145, C.27:1E-2 or C.52:27D-10.6), as appropriate, retains the right to an administrative hearing and decision on the permit application pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:14F-18** Denial of expedited permit, expedited hearing. {#sec-52-14f-18 omnilex-key=us-nj-statutes--title-52--52:14F-18}
15. a. If an application for a permit for a proposed project in a smart growth area is denied, the Office of Administrative Law shall provide an expedited hearing to review the denial of the permit upon the request of the applicant. An applicant who does not request a hearing pursuant to this section retains the right to an administrative hearing and decision on the permit application pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
b. Within 15 days after receipt by the Division of Smart Growth of notice of an applicant's request for an expedited hearing, the division shall transmit to the clerk of the Office of Administrative Law the administrative record which shall consist of:
(1) the application;
(2) documents the applicant filed in support of the application;
(3) the qualified and registered professional's certification that the application is complete and meets all statutory and regulatory requirements for approval;
(4) the Division of Smart Growth's notices of deficiency, if any, that the application is incomplete;
(5) the Division of Smart Growth's documentation, if any, in support of its determination to deny the application; and
(6) the applicant's request for an expedited hearing and decision.
c. The case shall be assigned to an administrative law judge who shall be a member of the Smart Growth Unit. The administrative law judge shall establish an expedited briefing and hearing schedule. Any hearings shall be concluded within 45 days after receipt of the case by the administrative law judge.
d. Nothing herein shall diminish the applicant's obligation to prove in the application process that it satisfies standards for approval of an application. There shall be no presumptions in favor of either party as to the underlying permit decision. The standard of review shall be by the preponderance of the evidence.
e. Within 45 days after the closing of the record, the administrative law judge shall issue a written decision as to whether the applicant has satisfied the standards required for the permit. The time limits established herein shall not be extended except by consent of the parties and the administrative law judge.
f. If the administrative law judge decides that the application should be approved, the Director of the Division of Smart Growth shall take action to approve or approve with conditions the permit within 10 days after receipt of the decision.
g. The decision of the administrative law judge shall be the final decision binding on the parties and shall not be subject to further review or appeal by either the Division of Smart Growth established pursuant to section 5, 7 or 9 of P.L.2004, c.89 (C.13:1D-145, C.27:1E-2 or C.52:27D-10.6), as appropriate, or the applicant.
##### **§ 52:14F-19** Expedited hearing on terms or conditions on permits in smart growth areas. {#sec-52-14f-19 omnilex-key=us-nj-statutes--title-52--52:14F-19}
16. a. If an application for a permit for a proposed project in a smart growth area is approved by the Division of Smart Growth with terms or conditions, the Office of Administrative Law shall provide an expedited hearing and decision on any terms or conditions of such permit upon the request of the applicant. An applicant who does not request an expedited hearing pursuant to this section retains the right to an administrative hearing and decision on the permit application pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
b. Within 15 days after receipt by the agency of notice of an applicant's request for an expedited hearing and decision, the Division of Smart Growth shall transmit to the clerk of the Office of Administrative Law the case record which shall consist of:
(1) the application;
(2) documents the applicant filed in support of the application;
(3) the qualified and registered professional's certification that the application is complete and meets all statutory and regulatory requirements for approval;
(4) the Division of Smart Growth's notices of deficiency, if any, that the application is incomplete;
(5) the Division of Smart Growth's documentation, if any, in support of its determination to include the terms or conditions that are being contested; and
(6) the applicant's request for an expedited hearing and decision.
c. The case shall be assigned to an administrative law judge who shall be a member of the Smart Growth Unit. The administrative law judge shall establish an expedited briefing and hearing schedule. Any hearings shall be concluded within 45 days after receipt of the case by the administrative law judge.
d. Nothing herein shall diminish the applicant's obligation to prove in the application process that it satisfies standards for approval of an application. There shall be no presumptions in favor of either party as to the underlying permit decision. The standard of review shall be by the preponderance of the evidence.
e. Within 45 days after the closing of the record, the administrative law judge shall issue a written decision as to whether the applicant has satisfied the standards required for the permit. The time limits established herein shall not be extended except by consent of the parties and the Administrative Law Judge.
f. If the administrative law judge decides that a permit term or condition should be deleted or amended, the Director of the Division of Smart Growth shall take action to revise the terms or conditions of the permit within 10 days after receipt of the decision.
g. The decision of the administrative law judge shall be the final decision binding on the parties and shall not be subject to further review or appeal by either the Division of Smart Growth established pursuant to section 5, 7 or 9 of P.L.2004, c.89 (C.13:1D-145, C.27:1E-2 or C.52:27D-10.6), as appropriate, or the applicant.
##### **§ 52:14F-20** Filing fees in Smart Growth Unit. {#sec-52-14f-20 omnilex-key=us-nj-statutes--title-52--52:14F-20}
17. The Office of Administrative Law shall have authority to establish filing fees, payable by the applicant, necessary to administer the Smart Growth Unit, including the direct and indirect costs for personnel, operating expenses, equipment and activities of the Smart Growth Unit. These filing fees shall be published in the New Jersey Register and shall be effective upon publication therein.
##### **§ 52:14F-21** OAL rules, regulations. {#sec-52-14f-21 omnilex-key=us-nj-statutes--title-52--52:14F-21}
18. The Office of Administrative Law may adopt those rules and regulations that it deems necessary to carry out the requirements of P.L.2004, c.89 (C.52:27D-10.2 et al.), which shall be effective upon filing.
##### **§ 52:14F-21.1** Special education law unit, Office of Administrative Law, establishment. {#sec-52-14f-21.1 omnilex-key=us-nj-statutes--title-52--52:14F-21.1}
1. a. The director and Chief Administrative Law Judge of the Office of Administrative Law shall establish within the Office of Administrative Law a special education unit consisting of administrative law judges having expertise in special education law. The director and Chief Administrative Law Judge shall ensure that the administrative law judges in the special education unit include individuals with a wide range of special education law expertise, including expertise as school board attorneys and as parent and student advocates. The number of administrative law judges in the special education unit shall be proportional to the number and complexity of special education cases referred to the office and shall be of a sufficient number to render decisions within the time periods mandated under federal and State law. The director and Chief Administrative Law Judge may appoint administrative law judges to the special education unit on a temporary or case basis as need arises.
b. Upon the establishment of the special education unit, all contested cases, as defined in section 2 of P.L.1968, c.410 (C.52:14B-2), concerning special education law referred to the Office of Administrative Law shall be assigned to and adjudicated by the administrative law judges in the special education unit.
##### **§ 52:14F-21.2** Annual report to the Governor, Legislature. {#sec-52-14f-21.2 omnilex-key=us-nj-statutes--title-52--52:14F-21.2}
2. The director and Chief Administrative Law Judge shall prepare an annual report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, regarding the special education unit established under section 1 of P.L.2021, c.390 (C.52:14F-21.1). The report shall include:
a. the number of special education cases that were decided via a final settlement within 45 days after the case was transmitted to the Office of Administrative Law, and of the remaining petitions transmitted to the Office of Administrative Law, the number of cases that were heard and decided in a written decision within 45 days after the case was transmitted to the Office of Administrative Law;
b. a list setting forth each special education case that was not decided within the 45 days, including the total number of days it took the administrative law judge to hear the case and issue the decision and the reason why the case was not decided within the 45 days;
c. the number of administrative law judges currently assigned to the special education unit;
d. recommendations as to whether the number of administrative law judges in the special education unit is sufficient to render decisions within the time periods mandated under federal and State law and, if not, recommendations concerning the number of additional administrative law judges that would be needed to enable the special education unit to render decisions within federal and State mandated time periods; and
e. other relevant information and recommendations at the discretion of the director and Chief Administrative Law Judge.
##### **§ 52:14F-21.3** Track system development, petition status. {#sec-52-14f-21.3 omnilex-key=us-nj-statutes--title-52--52:14F-21.3}
3. The director and Chief Administrative Law Judge of the Office of Administrative Law, in consultation with the Department of Education, shall develop a system to track a due process petition once it is assigned to an administrative law judge and to allow petitioners to track the status of their petition.
##### **§ 52:14F-22** Appeals referred to Office of Administrative Law. {#sec-52-14f-22 omnilex-key=us-nj-statutes--title-52--52:14F-22}
5. a. Appeals filed with the Treasurer pursuant to section 4 of P.L.2005, c.124 (C.52:18-38) shall be referred to the Office of Administrative Law for hearing, and shall be given priority by that office.
b. The Office of Administrative Law shall establish a system for expedited hearings of contested determinations of debt in accordance with the provisions of section 4 of P.L.2005, c.124 (C.52:18-38).
c. The Office of Administrative Law shall establish a system for expedited hearings of the State's applications for wage executions in accordance with the provisions of subsection b. of N.J.S. 2A:17-50.
d. Nothing herein shall preclude the Office of Administrative Law from joining the hearings of contested determinations of debt and the State's applications for wage executions in appropriate cases.
e. The provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) shall apply to hearings and appeals pursuant to P.L.2005, c.124 (C.2A:16-11.1 et al.).
##### **§ 52:14F-23** Administrative Law Judge, power to hear application for a wage execution. {#sec-52-14f-23 omnilex-key=us-nj-statutes--title-52--52:14F-23}
8. a. An Administrative Law Judge shall have the power to hear the State's application for a wage execution pursuant to subsection b. of N.J.S. 2A:17-50 and to issue an order directing that an execution issue against wages, earnings, salary, income from trust funds or profits of the person who owes the debt.
b. The State shall serve the person who owes the debt with a copy of the application for wage execution. Such notice shall be mailed to the person's last known address and shall advise the person that, if the person wishes to contest the application, he may request a hearing within 30 days by filing such request with the Office of Administrative Law and the State Treasurer.
c. Such applications shall be heard and decided by the Office of Administrative Law within 45 days of the date of the filing of the application by the State.
d. The provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) shall apply to hearings and appeals pursuant to this section.
e. An order of an Administrative Law Judge pursuant to this section shall be considered final agency action for the purposes of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) and shall be subject only to judicial review as provided in the Rules of Court.
## **Chapter 15**
##### **§ 52:15-1** Salary of governor {#sec-52-15-1 omnilex-key=us-nj-statutes--title-52--52:15-1}
The Governor shall receive such salary as shall be provided by law.
##### **§ 52:15-2** Oath of governor {#sec-52-15-2 omnilex-key=us-nj-statutes--title-52--52:15-2}
Every person who is elected governor shall, before entering upon the execution of his office, take and subscribe the following oath, to wit: "I, , elected governor of the state of New Jersey, do solemnly promise and swear that I will diligently, faithfully and to the best of my knowledge, execute the said office in conformity with the powers delegated to me; and that I will to the utmost of my skill and ability, promote the peace and prosperity and maintain the lawful rights of the said state. So help me God."
##### **§ 52:15-3** Secretary to the governor {#sec-52-15-3 omnilex-key=us-nj-statutes--title-52--52:15-3}
The Governor may appoint and commission a person to be known as the secretary to the Governor who shall hold his office during the pleasure of the Governor and shall keep a correct record of all executive proceedings and decisions and do all other acts appertaining to his office which shall be required of him by the Governor.
The secretary to the Governor shall receive such salary as shall be provided by law. He shall pursue no other occupation during his incumbency that will interfere with the daily discharge of the duties of his office.
##### **§ 52:15-4** Oath of acting governor {#sec-52-15-4 omnilex-key=us-nj-statutes--title-52--52:15-4}
Whenever the functions, powers, and duties and emoluments of the office of Governor shall devolve upon the President of the Senate, the Speaker of the House of Assembly or any other person, in accordance with Article V, Section I, or Article IV, Section VI, paragraph 4 of the Constitution of this State, or laws adopted pursuant thereto, he shall, before assuming the duties of such office, take and subscribe the following oath to wit: "I, , President of the Senate (or Speaker of the House of Assembly, or as the case may be), upon whom has devolved the functions, powers, duties and emoluments of the office of Governor of the State of New Jersey, do solemnly promise and swear, that I will diligently, faithfully and to the best of my knowledge, administer the Government of the State in conformity with the powers delegated to me; and that I will, to the utmost of my skill and ability, promote the peace and prosperity and maintain the lawful rights of the State. So help me God."
##### **§ 52:15-5** Title and signature of acting governor; continuous service of at least 180 days confers title of Governor. {#sec-52-15-5 omnilex-key=us-nj-statutes--title-52--52:15-5}
Whenever the functions, powers, duties and emoluments of the office of Governor shall have devolved upon the President of the Senate, the Speaker of the House of Assembly, for the time being, or any other person, other than the Lieutenant Governor, in accordance with the Constitution of this State, or laws adopted pursuant thereto, the official title of the person administering the Government of the State, for the time being, shall be "President of the Senate (or Speaker of the House of Assembly, or as the case may be), Acting Governor of the State of New Jersey." Said title shall be used in all legislative, executive and judicial proceedings or documents in which it is necessary to describe by his title the person administering the Government for the time being. The signature of the person administering the Government for the time being shall be in the following form: "A. B., President of the Senate (or Speaker of the House of Assembly, or as the case may be), Acting Governor," and the attestation to said signature shall be in the following form: "By A. B., President of the Senate (or Speaker of the House of Assembly, or as the case may be), Acting Governor."
However, the official title of a person who serves as Acting Governor for a continuous period of at least 180 days shall thereafter be, for all of the purposes of this section, as well as for all historical purposes, "Governor of the State of New Jersey." A temporary discontinuance of service as Acting Governor, due to travel outside of the State or inability to discharge the duties of office because of illness, shall not render a period of service noncontinuous.
##### **§ 52:15-6** Governor may delegate to executive officer duty to approve plans, contracts, etc.; revocation {#sec-52-15-6 omnilex-key=us-nj-statutes--title-52--52:15-6}
Wherever the approval of the governor is required by any law of this state for any plans or specifications for any building or other structure to be erected, repaired or altered, or for any work to be done by or on behalf of any officer, board or department of this state, or of any contract made by or on behalf of any state officer, board or department, for the construction or alteration of any building or other structure, the purchase of any land, or any real property of any kind or character, the purchase of supplies, or any personal property of any kind or character, or the performance of any work, the governor may, in his discretion, by executive order, duly signed and filed in the office of the secretary of state, authorize any executive officer of this state to exercise the power and perform the duty imposed upon the governor by any such law. When acting pursuant to such order, the act of any such executive officer shall have the same effect as the act of the governor. Any such order may be revoked at any time by the governor by filing in the office of the secretary of state an order of revocation, duly signed.
##### **§ 52:15-7** Examination and investigation of officer, department, board, bureau or commission; witnesses; expenses; divulging information; cross-examination {#sec-52-15-7 omnilex-key=us-nj-statutes--title-52--52:15-7}
The Governor is authorized at any time, either in person or by one or more persons appointed by him for the purpose, to examine and investigate the management by any State officer of the affairs of any department, board, bureau or commission of the State and to examine and investigate the management and affairs of any department, board, bureau or commission of the State. The Governor and the persons so appointed by him are empowered to subpoena and enforce the attendance of witnesses, to administer oaths and examine witnesses under oath and to require the production of any books or papers deemed relevant or material. Whenever any person so appointed shall not be regularly in the service of the State his compensation for such services shall be fixed by the Governor, and said compensation and all necessary expenses of such examinations and investigations shall be paid from the treasury out of any appropriations made for the purpose upon the order of the Governor. Investigations and examinations may be made privately or publicly, but it shall be unlawful for any person to divulge the results of any investigation or examination to any person or persons other than the Governor, unless a public hearing shall have first been held. Whenever any person shall be examined by the Governor or by his duly authorized representative or representatives under the powers contained in this act at a public hearing, the officer, department, board, bureau, commission or individual under investigation or scrutiny may through his or its authorized representative or representatives cross-examine any such person on any phase of the matter concerning which he has been examined or questioned, and such officer, department, board, bureau, commission or individual may introduce other witnesses and other evidence to explain, enlarge upon, or clarify the matter, situation or condition under investigation or scrutiny to the end that the full details of any such matter, situation or condition may be developed and presented at one and the same time.
##### **§ 52:15-8** Counsel and associate counsels to governor; appointment; duties {#sec-52-15-8 omnilex-key=us-nj-statutes--title-52--52:15-8}
Notwithstanding the provisions of any other law to the contrary:
A. The Governor may appoint and commission a person to be known as counsel to the Governor and one or more persons to be known as associate counsels to the Governor. The Governor may also appoint such legal assistants as he may deem necessary.
Each of the persons thus appointed shall serve at the pleasure of the Governor and shall receive such compensation as shall be fixed by the Governor within the limits of available appropriations therefor.
B. The counsel to the Governor shall:
(1) Give to the Governor legal advice on such matters as the Governor may from time to time require.
(2) Advise the Governor in regard to the constitutionality, consistency and legal effect of bills presented to the Governor for his approval.
(3) Examine and decide all legal matters submitted to him by the Governor.
(4) When directed by the Governor, act for him or any officer, agency or instrumentality in or of the Executive Branch of the State Government, in any matter in which the Governor may be interested.
(5) When so authorized by the Governor, assist the Governor in any examination or investigation undertaken or directed by the Governor pursuant to authority vested in him by law.
(6) When directed by the Governor, act for him in any matter in which he may be interested.
(7) Act as the sole legal adviser, attorney or counsel for the Governor and represent him in all suits, proceedings or actions of any kind which may be brought for or against him in any court of this State; interpret all statutes and legal documents for the Governor; and inspect and approve contracts and titles with which the Governor is concerned.
(8) Attend generally to all legal matters in which the Governor is a party or in which his rights or interests are involved.
(9) Perform such other duties as the Governor may from time to time prescribe.
C. Each associate counsel to the Governor shall:
(1) Assist the counsel to the Governor in the exercise of his powers and the performance of his functions and duties under this act.
(2) Perform such other duties as the Governor shall prescribe.
D. Legal assistants appointed by the Governor pursuant to the provisions of this act shall perform such duties as the Governor shall prescribe.
E. All acts and parts of acts inconsistent with any of the provisions of this act are, to the extent of such inconsistency, hereby repealed.
## **Chapter 15A**
##### **§ 52:15A-1** Short title {#sec-52-15a-1 omnilex-key=us-nj-statutes--title-52--52:15A-1}
This act may be cited as "The Gubernatorial Transition Act."
##### **§ 52:15A-2** Legislative declaration; purpose of act {#sec-52-15a-2 omnilex-key=us-nj-statutes--title-52--52:15A-2}
The Legislature declares it to be the purpose of this act to promote the orderly transfer of the executive power in connection with the expiration of the term of office of a Governor and the inauguration of a new Governor. The interest of the State of New Jersey requires that such transitions in the office of Governor be accomplished so as to assure continuity in the conduct of the affairs of the State Government. Any disruption occasioned by the transfer of the executive power could produce results detrimental to the safety and well-being of the State of New Jersey and its people. Accordingly, it is the intent of the Legislature that appropriate actions be authorized and taken to avoid or minimize any disruption. In addition to the specific provisions contained in this act directed toward that purpose, it is the intent of the Legislature that all officers of the State Government so conduct the affairs of the State Government for which they exercise responsibility and authority as (1) to be mindful of problems occasioned by transitions in the office of Governor, (2) to take appropriate lawful steps to avoid or minimize disruptions that might be occasioned by the transfer of the executive power, and (3) otherwise to promote orderly transitions in the office of Governor.
##### **§ 52:15A-3** Services and facilities provided to Governor-elect upon request. {#sec-52-15a-3 omnilex-key=us-nj-statutes--title-52--52:15A-3}
3. (a) The Director of the Division of Purchase and Property referred to in P.L.1969, c.213 (C.52:15A-1 et seq.) as "the director," is authorized to provide, upon request, to each Governor-elect, for use in connection with the Governor-elect's preparations for the assumption of official duties as Governor necessary services and facilities, including:
(1) Suitable office space appropriately equipped with furniture, furnishings, office machines and equipment, and office supplies as determined by the director, after consultation with the Governor-elect, or a designee provided for in subsection (e) of this section, at any place or places within the State of New Jersey as the Governor-elect shall designate;
(2) Payment of the compensation of members of office staffs designated by the Governor-elect at rates determined by the Governor-elect. Provided, that any employee of any agency of any branch of the State Government may be detailed to these staffs on a reimbursable or nonreimbursable basis with the consent of the head of the agency; and while so detailed the employee shall be responsible only to the Governor-elect for the performance of the employee's duties. Provided further, that any employee so detailed shall continue to receive the compensation provided pursuant to law for the employee's regular employment, and shall retain the rights and privileges of this employment without interruption. Notwithstanding any other law, persons receiving compensation as members of office staffs under this subsection, other than those detailed from agencies, shall not be held or considered to be employees of the State Government, except for purposes of the Public Employees' Retirement System, P.L.1954, c.84 (C.43:15A-1 et seq.) and the "New Jersey Conflicts of Interest Law," P.L.1971, c.182 (C.52:13D-12 et seq.);
(3) Payment of expenses for the procurement of services of experts or consultants or organizations thereof for the Governor-elect may be authorized at rates not to exceed $100 per diem for individuals;
(4) Payment of travel expenses and subsistence allowances, including rental by the State Government of hired motor vehicles, found necessary by the Governor-elect, as authorized for persons employed intermittently or for persons serving without compensation, as may be appropriate;
(5) Communications services found necessary by the Governor-elect;
(6) Payment of expenses for necessary printing and binding;
(7) Payment of expenses related to confidential character, financial, and criminal background investigations of applicants for positions of a lower rank than cabinet-level when deemed necessary by the Governor-elect or the Governor-elect's assistant designated pursuant to subsection e. of this section.
(b) The director shall not expend funds for the provision of services and facilities under P.L.1969, c.213 (C.52:15A-1 et seq.) in connection with any obligations incurred by the Governor-elect before the day following the date of the general elections.
(c) The term "Governor-elect" as used in P.L.1969, c.213 (C.52:15A-1 et seq.) shall mean such person as is the apparent successful candidate for the office of Governor, respectively, as ascertained by the Secretary of State following the general election.
(d) Each Governor-elect shall be entitled to conveyance of all mail matter, including airmail, sent by the Governor-elect in connection with preparations for the assumption of official duties as Governor.
(e) Each Governor-elect may designate to the director an assistant authorized to make on the Governor-elect's behalf such designations or findings of necessity as may be required in connection with the services and facilities to be provided under P.L.1969, c.213 (C.52:15A-1 et seq.).
(f) In the case where the Governor-elect is the incumbent Governor there shall be no expenditures of funds for the provision of services and facilities to the incumbent under P.L.1969, c.213 (C.52:15A-1 et seq.), and any funds appropriated for these purposes shall be returned to the general funds of the treasury.
(g) The salary of each person receiving compensation as a member of the office staff under paragraph (2) subsection (a) of this section, other than one detailed from an agency, shall be reported to the State Ethics Commission and made available by the commission to the public. Each person shall complete the training program required pursuant to section 2 of P.L.2005, c.382 (C.52:13D-21.1) promptly after employment, and shall be provided by the commission, and shall acknowledge receipt thereof, with all ethics materials, forms, codes, guides, orders and notices required to be distributed to State employees. The Governor-elect shall designate which of these persons shall (1) file with the commission the financial disclosure statement required of State officers and employees by law, regulation, or executive order and (2) certify that the person is not in violation of ethical standards or conflicts of interest restrictions or requirements.
##### **§ 52:15A-4** Services and facilities provided to former governor upon request; rights of employees {#sec-52-15a-4 omnilex-key=us-nj-statutes--title-52--52:15A-4}
The director is authorized to provide, upon request, to each former Governor, for a period not to exceed 6 months from the date of the expiration of his term of office as Governor, for use in connection with winding up the affairs of his office, necessary services and facilities of the same general character as authorized by this act to be provided to Governors-elect. Any person who was serving on the staff of the Governor immediately prior to the expiration of his term of office and is appointed to serve the former Governor pursuant to this section shall, during such employment, continue to be an employee of the State Government with all the same rights, privileges and benefits, other than with respect to the amount of his salary, as he theretofore enjoyed; any other person appointed or detailed to serve a former Governor under authority of this section shall be appointed or detailed in accordance with and shall be subject to all of the provisions of section 3 of this act applicable to persons appointed or detailed under authority of that section.
##### **§ 52:15A-5** Appropriation of funds {#sec-52-15a-5 omnilex-key=us-nj-statutes--title-52--52:15A-5}
There are hereby authorized to be appropriated to the director such funds as may be necessary for carrying out the purposes of this act to remain available during the fiscal year in which the transition occurs and the next succeeding fiscal year. The Governor shall include in the budget transmitted to the Legislature, for each fiscal year in which his regular term of office will expire, a proposed appropriation for carrying out the purposes of this act.
##### **§ 52:15A-6** Appointment of Equal Employment Opportunity and Affirmative Action officer for gubernatorial transitions. {#sec-52-15a-6 omnilex-key=us-nj-statutes--title-52--52:15A-6}
1. The chairperson of the Civil Service Commission shall designate an individual who shall be an employee in the human resources office of the Civil Service Commission to serve as Equal Employment Opportunity and Affirmative Action officer for gubernatorial transitions.
The Equal Employment Opportunity and Affirmative Action officer shall be made available to every individual, whether or not receiving compensation, rendering service to the transition. All members of the transition office staffs shall be notified as to the identity and contact information of the officer upon joining the gubernatorial transition. The officer shall notify each individual making a complaint of discrimination as to the authority and jurisdiction, if any, of the officer and the State to take formal action with respect to such complaint.
The Equal Employment Opportunity and Affirmative Action officer shall continue to receive the compensation provided pursuant to law for the officer's regular employment, and shall retain the rights and privileges of such employment without interruption.
## **Chapter 15B**
##### **§ 52:15B-1** Findings, declarations relative to an Office of the Inspector General. {#sec-52-15b-1 omnilex-key=us-nj-statutes--title-52--52:15B-1}
1. The Legislature finds and declares that:
the State of New Jersey expends more than $28 billion in taxpayer funds each year, and agencies at other levels of government expend billions more;
it is fundamental that all government officials be publicly accountable for such expenditures;
promoting integrity in the administration and operations of government and improving public accountability are the cornerstones of government;
one of the remedial actions that can be taken to improve such accountability is to identify areas where State spending is wasteful or inefficient;
the Governor has the responsibility to ensure a balanced budget, manage the operations of State government effectively and efficiently, and maintain necessary government programs and assistance to the public;
it is the duty of the Governor to guard against extravagance, waste, or fiscal mismanagement in the administration of any State appropriation;
it is critically important that public officers and employees, at all levels of government, discharge their duties and responsibilities in a lawful and ethical manner, while conserving the fiscal resources that have been entrusted to the government's care by the taxpayers;
there is a compelling need to centralize the responsibility for investigating allegations of the improper discharge of these duties and responsibilities concerning the expenditure of State funds by, and the procurement process of, all State departments and agencies, independent authorities, county and municipal governments, and boards of education; and
there is a need, therefore, to create the Office of the Inspector General, which will report directly to the Governor, to ensure that these responsibilities are met.
##### **§ 52:15B-5** Establishment of internal organizational structure of the office. {#sec-52-15b-5 omnilex-key=us-nj-statutes--title-52--52:15B-5}
5. a. The Inspector General shall establish the internal organizational structure of the office in a manner appropriate to carrying out the duties and functions, and fulfilling the responsibilities, of the office. The Inspector General shall have the power to appoint, employ, promote, and remove such assistants, employees, and personnel as the Inspector General deems necessary for the efficient and effective administration of the office. All such assistants, employees and personnel shall be deemed confidential employees for purposes of the "New Jersey Employer-Employee Relations Act," P.L.1941, c. 100 (C.34:13A-1 et seq.).
b. Within the limits of funds appropriated for such purposes, the Inspector General may obtain the services of certified public accountants, qualified management consultants, and other professionals necessary to independently perform the duties and functions of the office.
##### **§ 52:15B-6** Cooperation with Inspector General by State agencies. {#sec-52-15b-6 omnilex-key=us-nj-statutes--title-52--52:15B-6}
6. The Inspector General is authorized to call upon any department, office, division or agency of State government to provide such information, resources, or other assistance deemed necessary to discharge the duties and functions and to fulfill the responsibilities of the Inspector General under this act. Each department, office, division and agency of this State shall cooperate with the Inspector General and furnish the office with the assistance necessary to accomplish the purposes of this act.
##### **§ 52:15B-7** Authority of the Inspector General. {#sec-52-15b-7 omnilex-key=us-nj-statutes--title-52--52:15B-7}
7. The Inspector General is authorized to establish a full-time program of investigation, to receive and investigate complaints concerning alleged fraud, waste, abuse, or mismanagement of State funds, designed to provide increased accountability, integrity, and oversight of:
all recipients of State funds, including, but not limited to, State departments and agencies, independent authorities, county and municipal governments, and boards of education;
the awarding and the execution of contracts awarded by the State, or any of its independent authorities, commissions, boards, agencies, or instrumentalities, which contracts involve a significant expenditure of public funds or are comprised of complex or unique components, or both, as determined by the Inspector General; and
the performance of governmental officers, employees, appointees, functions, and programs in order to promote efficiency, to identify cost savings, and to detect and prevent misconduct within the programs and operations of any governmental agency funded by, or disbursing, State funds.
##### **§ 52:15B-8** Powers of the Inspector General. {#sec-52-15b-8 omnilex-key=us-nj-statutes--title-52--52:15B-8}
8. a. The Inspector General shall have all the powers necessary to carry out the duties and functions and to fulfill the responsibilities described in this act, including the power to conduct investigations, and in pursuit thereof, evaluations, inspections, and other reviews.
b. The Inspector General and the office shall conduct investigations in accordance with prevailing national and professional standards, rules, and practices relating to such investigations in government environments, and the Inspector General shall ensure that the office remains in compliance with such standards, rules, and practices.
c. In furtherance of an investigation, the Inspector General may compel at a specific time and place, by subpoena, the appearance and sworn testimony of any person whom the Inspector General reasonably believes may be able to give information relating to a matter under investigation. For this purpose, the Inspector General is empowered to administer oaths and examine witnesses under oath, and compel any person to produce at a specific time and place, by subpoena, any documents, books, records, papers, objects, or other evidence that the Inspector General reasonably believes may relate to a matter under investigation.
If any person to whom such subpoena is issued fails to appear or, having appeared, refuses to give testimony, or fails to produce the books, papers or other documents required, the Inspector General may apply to the Superior Court and the court may order the person to appear and give testimony or produce the books, papers or other documents, as applicable. Any person failing to obey the court's order may be punished by the court as for contempt.
d. A person compelled to appear by the Inspector General and provide sworn testimony shall have the right to be accompanied by counsel, who shall be permitted to advise the witness of his or her rights. A witness compelled to appear and testify shall be accorded all due process rights.
##### **§ 52:15B-9** Cooperation, joint investigations. {#sec-52-15b-9 omnilex-key=us-nj-statutes--title-52--52:15B-9}
9. The Inspector General is authorized to cooperate and conduct joint investigations with other oversight or law enforcement authorities. The Inspector General is authorized and shall be permitted to participate in investigations conducted by other oversight or law enforcement authorities in this State.
##### **§ 52:15B-10** Declining to investigate complaint. {#sec-52-15b-10 omnilex-key=us-nj-statutes--title-52--52:15B-10}
10. The Inspector General may decline to investigate a complaint received when it is determined that: the complaint is trivial, frivolous, vexatious or not made in good faith; the complaint has been too long delayed to justify a present investigation; the resources available, considering established priorities, are insufficient for an adequate investigation; or the matter complained of is not within the Inspector General's investigatory authority.
##### **§ 52:15B-11** Authority to refer complaints. {#sec-52-15b-11 omnilex-key=us-nj-statutes--title-52--52:15B-11}
11. The Inspector General is authorized to refer complaints received that allege criminal conduct to the Attorney General or other appropriate prosecutorial authority. In the course of conducting audits, investigations, and performance reviews, the Inspector General generally may refer matters for further civil, criminal, and administrative action to the appropriate authorities.
##### **§ 52:15B-12** Notification of refusal to investigate referred complaints of criminal, other conduct. {#sec-52-15b-12 omnilex-key=us-nj-statutes--title-52--52:15B-12}
12. a. When the Inspector General refers complaints alleging criminal conduct to the Attorney General or other appropriate prosecutorial authority and the Attorney General or prosecutorial authority decides not to investigate or prosecute the matter, the Attorney General or the prosecutorial authority shall promptly notify the Inspector General. The Attorney General or the prosecutorial authority shall inform the Inspector General as to whether an investigation is ongoing with regard to any matter so referred. The Inspector General shall preserve the confidentiality of the existence of any ongoing criminal investigation.
If the Attorney General or the prosecutorial authority decides not to investigate or act upon the matter referred, the Inspector General is authorized to continue an investigation after the receipt of such a notice.
Upon completion of an investigation or, in a case where the investigation leads to prosecution, upon completion of the prosecution, the Attorney General or the prosecutorial authority shall report promptly the findings and results to the Inspector General. In the course of informing the Inspector General, the Attorney General or prosecutorial authority shall give full consideration to the authority, duties, functions, and responsibilities of the Inspector General, the public interest in disclosure, and the need for protecting the confidentiality of complainants and informants.
b. With respect to referrals other than those described in subsection a. of this section, the appropriate authority to which a matter has been referred by the Inspector General shall report to the Inspector General promptly when a final determination is made to not investigate or act upon the matter referred, or promptly upon completion of the investigation or action taken. The appropriate authority shall inform the Inspector General as to whether an investigation is ongoing with regard to any matter so referred.
In the course of informing the Inspector General, the appropriate authority shall give full consideration to the authority, duties, functions, and responsibilities of the Inspector General, the public interest in disclosure, and the need for protecting the confidentiality of complainants and informants.
If the governmental entity decides not to investigate or act upon the matter referred, the Inspector General is authorized to continue an investigation after the receipt of such a notice.
c. The Inspector General shall maintain a record of all matters referred and the responses received and shall be authorized to disclose information received as appropriate and as may be necessary to resolve the matter referred, to the extent consistent with the public interest in disclosure and the need for protecting the confidentiality of complainants and informants and preserving the confidentiality of ongoing criminal investigations.
##### **§ 52:15B-13** Compliance with request for access to government record, procedure. {#sec-52-15b-13 omnilex-key=us-nj-statutes--title-52--52:15B-13}
13. Whenever a person requests access to a government record that the Inspector General, during the course of an investigation, obtained from another public agency, which record was open for public inspection, examination or copying before the investigation commenced, the public agency from which the Inspector General obtained the record shall comply with the request if made pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.), provided that the request does not in any way identify the record sought by means of a reference to the Inspector General's investigation or to an investigation by any other public agency, including, but not limited to, a reference to a subpoena issued pursuant to such investigation.
##### **§ 52:15B-14** Meetings with public officers, employees. {#sec-52-15b-14 omnilex-key=us-nj-statutes--title-52--52:15B-14}
14. The Inspector General shall meet at periodic intervals, but at least twice annually, with the Attorney General, the State Treasurer, the State Auditor, and any other public officers or employees deemed necessary who perform audits, investigations, and performance reviews similar or identical to those authorized to be performed by the Inspector General for the purpose of consulting, coordinating, and cooperating with those officers and employees in the conduct of audits, investigations and reviews. The Attorney General, the State Treasurer, the State Auditor, and such other public officers or employees shall attend such meetings for the purpose of consultation, coordination, and cooperation with the Inspector General.
The focus of all parties during such meetings shall be to: facilitate communication and exchange information on completed, current, and future audits, investigations, and reviews; avoid duplication and fragmentation of efforts; optimize the use of resources; avoid divisiveness and organizational uncertainty; promote effective working relationships; and avoid the unnecessary expenditure of public funds.
##### **§ 52:15B-15** Report of findings, recommendations. {#sec-52-15b-15 omnilex-key=us-nj-statutes--title-52--52:15B-15}
15. The Inspector General shall report the findings of investigations performed by the office, and issue recommendations for corrective or remedial action, to the Governor, the President of the Senate and the Speaker of the General Assembly and to the entity at issue. The Inspector General shall monitor the implementation of those recommendations.
##### **§ 52:15B-16** Periodic annual reports. {#sec-52-15b-16 omnilex-key=us-nj-statutes--title-52--52:15B-16}
16. The Inspector General shall provide periodic reports to the Governor, and shall issue an annual report to the Governor and the Legislature, which shall be available to the public.
## **Chapter 15C**
##### **§ 52:15C-1** Findings, declarations relative to the office of the State Comptroller. {#sec-52-15c-1 omnilex-key=us-nj-statutes--title-52--52:15C-1}
1. The Legislature finds and declares that:
As the size of State and local government agencies and authorities has grown over the last several decades to meet growing demands for governmental assistance and programs to meet new and growing societal needs, the State's ability to manage the various governmental systems of public financial control and accountability has not matched the State Government's responsibility to subject governmental financial activities to uniform, meaningful, and systematic public scrutiny;
Meeting the responsibility for overseeing and promoting the professional conduct of internal audits, providing assurance on the adequacy of internal financial controls within agencies of government, including assessing the adequacy of controls over financial management, contracting, financial reporting and the delivery of government programs and activities with due regard to efficiency, effectiveness and economy is a fundamental duty of governmental officials to the taxpayers and public whom they serve;
The Governor has the responsibility to manage the operations of the Executive branch of State government, including oversight of all entities exercising executive branch authority, public institutions of higher education, units of local government and boards of education, efficiently and effectively supported by audit and oversight functions that strengthen public accountability with the goal of increasing public trust and confidence that every tax dollar collected by government is spent wisely and well;
There is a compelling need for State government to put into practice the presumption that there will be independence and integrity in the financial oversight of the discharge of its duties and responsibilities carried out in a manner and under a structure that safeguards the fiscal resources with which it has been entrusted; and
There is a need, therefore, to establish an independent Office of the State Comptroller which will report directly to the Governor, to ensure that these responsibilities are met.
##### **§ 52:15C-2** Establishment of Office of the State Comptroller. {#sec-52-15c-2 omnilex-key=us-nj-statutes--title-52--52:15C-2}
2. a. There is established an Office of the State Comptroller. The office shall be established in the Executive Branch of the State government and for the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the office shall be allocated in, but not of, the Department of the Treasury. Notwithstanding this allocation, the office shall be independent of any supervision or control by the State Treasurer, or the department or by any division, board, office, or other officer thereof.
b. The State Comptroller shall report directly to the Governor.
c. The State Comptroller shall submit requests for the budget of the office directly to the Governor who shall review the requests and forward them to the Division of Budget and Accounting in the Department of the Treasury.
##### **§ 52:15C-3** Appointment, qualifications of State Comptroller; term; compensation. {#sec-52-15c-3 omnilex-key=us-nj-statutes--title-52--52:15C-3}
3. a. The Office of the State Comptroller shall be administered by the State Comptroller. The State Comptroller shall be appointed by the Governor with the advice and consent of the Senate. The State Comptroller shall be a person qualified by education, training, and prior work experience to direct the work of the office and to perform the duties and functions and fulfill the responsibilities of the position.
b. The State Comptroller shall serve for a term of six years and until a successor is appointed and has qualified. No person who has served as State Comptroller for two successive terms, including an unexpired term, shall again be eligible to serve in the Office of the State Comptroller or in that position until the expiration of six years following the second successive term served by that person.
c. The State Comptroller shall devote full time to the duties and responsibilities of the office and shall receive a salary as shall be provided pursuant to law.
d. During the term of office, the State Comptroller may be removed by the Governor only for cause upon notice and opportunity to be heard.
e. A vacancy in the position of State Comptroller due to a cause other than the expiration of the term shall be filled for the unexpired term only in the same manner as the original appointment.
##### **§ 52:15C-4** State Comptroller, employees of the Office, restrictions on candidacy, political activity. {#sec-52-15c-4 omnilex-key=us-nj-statutes--title-52--52:15C-4}
4. a. A person who holds the position of State Comptroller shall not be a candidate for, or hold, elective public office for a period of two years immediately following the termination of that person's service as State Comptroller.
b. No person who holds the position of State Comptroller, or any position of employment as professional staff in the Office of State Comptroller, while holding any such office or position, shall: (1) be a candidate for election to, or hold, any elective public office or any office or position with any political party or club, or (2) in connection with another individual's candidacy for public office, sign or authorize the use of that person's name in connection with political or campaign literature or material, or print, publish or distribute such political or campaign literature or material.
##### **§ 52:15C-5** Responsibilities of the Office of the State Comptroller. {#sec-52-15c-5 omnilex-key=us-nj-statutes--title-52--52:15C-5}
5. a. The Office of the State Comptroller shall be responsible for conducting, in accordance with section 8 of this act, routine, periodic and random audits of the Executive branch of State government, including all entities exercising executive branch authority, public institutions of higher education, independent State authorities, units of local government and boards of education and for conducting assessments of the performance and management of programs of the Executive branch of State government, including all entities exercising executive branch authority, public institutions of higher education, independent State authorities, units of local government and boards of education and the extent to which they are achieving their goals and objectives. The Office of the State Comptroller shall also serve as the office in which the Office of the State Inspector General, which shall be responsible for all the duties assigned pursuant to P.L.2005, c.119 (C.52:15B-1 et seq.), is allocated within the Department of the Treasury.
b. (1) The State Comptroller shall establish the internal organizational structure of the office and the bureaus therein in a manner appropriate to carrying out the duties and functions, and fulfilling the responsibilities, of the office. The State Comptroller shall have the power to appoint, employ, promote, and remove such assistants, employees, and personnel as the State Comptroller deems necessary for the efficient and effective administration of the office. All such assistants, employees and personnel shall be deemed confidential employees for purposes of the "New Jersey Employer-Employee Relations Act," P.L.1941, c.100 (C.34:13A-1 et seq.) and shall serve in the unclassified service of the Civil Service.
(2) The Office of the State Inspector General shall be allocated within the Office of the State Comptroller, and the individual first appointed State Inspector General under P.L.2005, c.119, shall continue as State Inspector General for the first full term to which that individual was appointed pursuant to P.L.2005, c.119, and shall be eligible to serve in that position thereafter.
c. Within the limits of funds appropriated for such purposes, the State Comptroller may obtain the services of certified public accountants, qualified management consultants, and other professionals necessary to independently perform the duties and functions of the office.
##### **§ 52:15C-6** Authority of the State Comptroller. {#sec-52-15c-6 omnilex-key=us-nj-statutes--title-52--52:15C-6}
6. The State Comptroller is authorized to call upon any department, office, division, agency or independent authority of State government to provide such information, resources, or other assistance deemed necessary to discharge the duties and functions and to fulfill the responsibilities of the State Comptroller under this act. Each department, office, division, agency or independent authority of this State shall cooperate with the State Comptroller and furnish the office with the assistance necessary to accomplish the purposes of this act.
##### **§ 52:15C-7** Consolidation of audit functions, performance review. {#sec-52-15c-7 omnilex-key=us-nj-statutes--title-52--52:15C-7}
7. The State Comptroller shall consolidate within the Office of the State Comptroller the coordination of the internal and external audit functions, including but not limited to economy and efficiency audits in the Executive branch of State government, including all entities exercising executive branch authority, public institutions of higher education, independent State authorities, units of local government and boards of education. The State Comptroller is authorized to:
a. establish a full-time program of audit and performance review, in accordance with section 8 of this act, designed to provide increased accountability, integrity, and oversight of the Executive branch of State government, including all entities exercising executive branch authority, public institutions of higher education, independent State authorities, units of local government and boards of education; and
b. audit and monitor the process of soliciting proposals for, and the process of awarding, contracts made by the Executive branch of State government, including all entities exercising executive branch authority, public institutions of higher education, independent State authorities, units of local government and boards of education that involve a significant consideration or expenditure of funds or are comprised of complex or unique components, or both, as determined by the State Comptroller; provided however, for the purposes of the duties of the Office of the State Comptroller, "contract" or "contracts" shall not include public employer-employee labor collective bargaining agreements.
##### **§ 52:15C-8** Powers of the State Comptroller. {#sec-52-15c-8 omnilex-key=us-nj-statutes--title-52--52:15C-8}
8. a. The State Comptroller shall have all the powers necessary to carry out the duties and functions and to fulfill the responsibilities described in this act, including the power to conduct audits and reviews and propose and enforce remediation plans for the Executive branch of State government, including all entities exercising executive branch authority, public institutions of higher education, independent State authorities, units of local government and boards of education that are found by the State Comptroller to have deficient practices or procedures. The State Comptroller shall, pursuant to the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt rules and regulations necessary to effectuate the purposes of this act.
b. The State Comptroller and the Office of the State Comptroller shall conduct audits and reviews in accordance with prevailing national and professional standards, rules, and practices relating to such audits and reviews in government environments, including the standards for performance reviews utilized by the United States Government Accountability Office or its successor, and the State Comptroller shall ensure that the office remains in compliance with such standards, rules, and practices.
c. (1) As to entities that are not required by law to undergo periodic certified financial audits, the State Comptroller shall determine the frequency with which financial audits shall be conducted of such entities by the State Comptroller by establishing objective criteria, which criteria shall weigh relevant risk factors, including, but not limited to, the size of the entity's budget and the entity's past performance.
(2) As to entities that are required by law to undergo periodic certified financial audits, the State Comptroller shall undertake analysis and review of the certified financial audits of such entities and of the procedures used to conduct those audits. When the State Comptroller's analysis and review identifies weaknesses, inadequacies or failures in the entity's financial controls or concerns about the quality or independence of the audits, the State Comptroller shall be authorized to undertake a financial audit or such other steps as the State Comptroller deems appropriate. In determining when to proceed with a financial audit, the State Comptroller may also take into account information obtained pursuant to section 10 of this act; referrals or recommendations from Executive branch departments or agencies; or assessments or evaluations of the entity's management, performance or financial condition from federal or State government agencies, such as those undertaken as part of the New Jersey Quality Single Accountability Continuum for school districts.
(3) The State Comptroller shall establish objective criteria for undertaking performance and other reviews authorized by this act, which criteria shall weigh relevant risk factors, including, but not limited to: (a) the size of the entity's budget, (b) the entity's past performance, (c) the frequency, scope, and quality of any audits or reviews that have been performed regarding the entity's financial condition or performance, (d) assessments or evaluations of the entity's management, performance or financial condition such as those undertaken as part of the New Jersey Quality Single Accountability Continuum for school districts, and (e) other credible information which suggests the necessity of a review.
(4) For purposes of this subsection, "entity" means any unit in the Executive branch of State government, including all entities exercising executive branch authority, public institutions of higher education, independent State authorities, units of local government and boards of education or their vendors. For purposes of this subsection, "certified financial audits" does not include audits conducted by the State Auditor.
d. The State Comptroller shall provide guidance to units in the Executive branch of State government, independent State authorities, units of local government and boards of education units that are required to engage outside auditors regarding procurement of their services, the rotation of the providers of such services, and the avoidance of possible conflicts of interest in the hiring of outside auditors.
e. In carrying out the duties, functions and responsibilities of the Office of the State Comptroller under this act, the State Comptroller shall not charge any costs incurred by the office against a unit of local government or board of education.
##### **§ 52:15C-9** Coordination of audits, investigations, performance reviews. {#sec-52-15c-9 omnilex-key=us-nj-statutes--title-52--52:15C-9}
9. a. The State Comptroller shall establish a system that shall ensure that any officers and employees of the Office of the Inspector General, the Department of Law and Public Safety, the Department of Education, the Department of the Treasury, the Department of Transportation, the Division of Local Government Services in the Department of Community Affairs, the Local Finance Board, and the Office of the State Auditor who perform audits, investigations, and performance reviews similar or identical to those authorized to be performed by the State Comptroller shall conduct their audits, investigations and reviews with the consultation of, and in coordination and cooperation with, the State Comptroller.
b. For the purpose of establishing and maintaining this system, the State Comptroller shall meet at periodic intervals, but at least four times annually, with the Attorney General, the State Treasurer, the State Inspector General, the Commissioner of Education, the Commissioner of Transportation, the Director of the Division of Local Government Services in the Department of Community Affairs, staff of the Local Finance Board, the State Auditor, and any other public officers or employees deemed necessary who perform audits, investigations, and performance reviews. The responsibility of all parties during these meetings shall be to: facilitate communication and exchange information on completed, current, and future audits, investigations, and reviews; avoid duplication and fragmentation of efforts; optimize the use of resources; avoid divisiveness and organizational uncertainty; promote effective working relationships; and avoid the unnecessary expenditure of public funds.
c. To further ensure the consultation of, and coordination and cooperation with, the State Comptroller, the Commissioner of Education, the Director of the Division of Local Government Services in the Department of Community Affairs, and the staff of the Local Finance Board shall promptly notify the State Comptroller of any local audits that have been submitted to them that reveal any significant deficiencies.
##### **§ 52:15C-10** Notice to State Comptroller of award of certain contracts; definitions. {#sec-52-15c-10 omnilex-key=us-nj-statutes--title-52--52:15C-10}
10. a. In furtherance of the duty of the State Comptroller to audit and monitor the process of soliciting proposals for, and the process of awarding, contracts by contracting units which contracts involve a significant consideration or expenditure of funds, a contracting unit shall provide notice to the State Comptroller no later than 20 business days after the award of a contract involving consideration or an expenditure of more than $2,000,000 but less than $10,000,000.
As used in this section, "contracting unit" means the principal departments in the Executive branch of the State Government, and any division, board, bureau, office, commission or other instrumentality within or created by such department, any independent State authority, commission, instrumentality and agency, and any State college or university, any county college, and any unit of local government including a county, municipality, board of education and any board, commission, committee, authority or agency, thereof which has administrative jurisdiction over any project or facility, included or operating in whole or in part, within the territorial boundaries of any county, municipality or board of education which exercises functions which are appropriate for the exercise by one or more units of local government, and which has statutory power to make purchases and enter into contracts for the provision or performance of goods or services.
As used in this section, "contract" shall not include developers agreements entered into in conjunction with an approval granted under the "Municipal Land Use Law," P.L.1975, c. 291 (C.40:55D-1 et seq.), redevelopment agreements entered into under the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et al.), financial agreements entered into under the "Long Term Tax Exemption Law," P.L.1991, c.431 (C.40A:20-1 et seq.), agreements entered into under the "Five-Year Exemption and Abatement Law," P.L.1991, c.441 (C.40A:21-1 et seq.), agreements entered into under section 7 of P.L.1989, c.207 (C.54:4-3.145), agreements entered into under sections 34 through 39 of P.L.1997, c.278 (C.58:10B-26 through 58:10B-31), and agreements entered into under the "Municipal Landfill Site Closure, Remediation and Redevelopment Act," P.L.1996, c.124 (C.13:1E-116.1 et al.).
b. (1) A contracting unit shall inform the State Comptroller in writing, in a form to be determined by the State Comptroller, of the commencement of any procurement process involving consideration or an expenditure of $10,000,000 or more at the earliest time practicable as the contracting unit commences the procurement process, but no later than the time the contracting unit commences preparation of: any bid specification or request for proposal; concession offering; proposal to purchase, sell, or lease real estate; or other related activities and contracts.
(2) Unless waived by the State Comptroller upon request of the contracting unit, at least 30 days shall elapse from the time the contracting unit informs the State Comptroller pursuant to paragraph (1) of this subsection and the time the contracting unit may issue any public advertising, notice of availability of a request for proposals or any other public or private solicitation of a contract for a procurement that is subject to this subsection in order that the State Comptroller may complete a review that may be undertaken pursuant to paragraph (4) of this subsection.
(3) At any time during that 30 days, or on a date thereafter, but no later than 15 business days before the date of a planned issuance of any public advertising, notice of availability of a request for proposals or any other public or private solicitation of a contract involving consideration or an expenditure of $10,000,000 or more, the contracting unit shall provide notice to the State Comptroller, in a form to be determined by the State Comptroller and to include such documents and information as determined by the State Comptroller, of the planned action.
(4) Upon receipt of the notice and any accompanying documents and information required pursuant to paragraph (3) of this subsection, the State Comptroller may review such submission and provide a written determination to the contracting unit regarding whether the procurement process complies with applicable public contracting laws, rules, and regulations. The State Comptroller's review is not for the purpose of reviewing the contracting unit's decision to undertake the procurement or to otherwise supplant the contracting unit's authority to create or implement public policy. If the State Comptroller determines that the procurement process does not comply with applicable public contracting laws, rules, and regulations, the State Comptroller shall direct the contracting unit not to proceed with the procurement. In such an instance, the State Comptroller shall state the reasons for such determination and may include in its determination guidance to the contracting unit regarding an appropriate procurement process. A contracting unit may proceed with a planned procurement that is subject to this subsection after the expiration of the 30-day period or the granting of a waiver as provided in paragraph (2), unless it receives a written determination not to proceed from the State Comptroller within 15 business days of the date the contracting unit provided written notice to the State Comptroller pursuant to paragraph (3) of this subsection.
(5) Information communicated by or between a contracting unit and the State Comptroller pursuant to this subsection shall be considered advisory, consultative, or deliberative material for purposes of P.L.1963, c.73 (C.47:1A-1 et seq.), as amended and supplemented, except for written determinations designated by the State Comptroller as public records.
c. Provided however, that the notice and review provided for in subsection b. of this section shall not apply to the award of any contract issued pursuant to section 6 of P.L.1971, c.198 (C.40A:11-6) or N.J.S.18A:18A-7, or under a public exigency requiring the immediate delivery of articles or performance of service under a contract issued pursuant to section 5 of P.L.1954, c.48 (C.52:34-10), or issued pursuant to any similar provisions of law and regulations thereunder applicable for a respective contracting unit. Notice of the award of any such contract shall be provided to the State Comptroller no later than 30 business days after the award.
d. The State Comptroller, in consultation with the Department of the Treasury, shall, no later than March 1, 2010, and March 1 of every fifth year thereafter, adjust the threshold amounts set forth in subsections a. and b. of this section, or the threshold amounts resulting from any adjustment under this subsection, in direct proportion to the rise or fall of the index rate as that term is defined in section 2 of P.L.1971, c.198 (C.40A:11-2), and shall round the adjustment to the nearest $100,000. The State Comptroller shall, no later than June 1, 2010, and June 1 of every fifth year thereafter, notify contracting units of the adjustment. The adjustment shall become effective on July 1 of the year in which it is made.
##### **§ 52:15C-11** Reports from the State Comptroller relative to findings of audits and reviews. {#sec-52-15c-11 omnilex-key=us-nj-statutes--title-52--52:15C-11}
11. a. The State Comptroller shall report the findings of audits and reviews performed by the office, and issue recommendations for corrective or remedial action, to the Governor, the President of the Senate and the Speaker of the General Assembly and to the unit in the Executive branch of State government, including any entity exercising executive branch authority, independent State authority, public institution of higher education, or unit of local government or board of education at issue. The unit in the Executive branch of State government, independent State authority, public institution of higher education, or unit of local government or board of education shall fully cooperate with the State Comptroller to develop recommendations for a corrective or remedial action plan. The State Comptroller shall monitor the implementation of those recommendations and shall conduct a subsequent review to determine whether there has been full implementation and continued compliance with those recommendations. The State Comptroller shall report the findings of the subsequent review to the Governor, the President of the Senate and the Speaker of the General Assembly within three years of the initial audit. Such report shall include the corrective or remedial action taken and the effect of the corrective or remedial action.
b. The State Comptroller shall report promptly to the Governor, the President of the Senate and the Speaker of the General Assembly if a unit in the Executive branch of State government, independent State authority, public institution of higher education, or unit of local government or board of education refuses to cooperate in development of a corrective or remediation plan or to comply with a plan.
c. The State Comptroller shall recommend that the Governor initiate disciplinary proceedings against any official or employee of a unit in the Executive branch of State government, including any entity exercising executive branch authority, or independent State authority who impedes an audit, or who fails or refuses to cooperate in the development of a corrective or remedial action plan or to comply with a plan. The Governor may cause an investigation to be made of the conduct of any such official or employee and may require such official to submit to the Governor a written statement or statements, under oath, of such information as the Governor may call for relating to the official's or the employee's conduct alleged by the State Comptroller. After notice, the service of charges and an opportunity to be heard at public hearing, the Governor may remove any such official or employee for cause. Such official or employee shall have the right of judicial review, on both the law and the facts, in such manner as may be provided by law.
d. If the State Comptroller is advised by the Commissioner of Education, the Director of the Division of Local Government Services in the Department of Community Affairs, staff of the Local Finance Board, or the State Auditor that a unit of local government or board of education or any official or employee thereof has impeded an audit, or has failed or refused to cooperate in the development of a corrective or remedial action plan or to comply with a plan recommended by such State official or employee thereof, the State Comptroller is authorized to recommend that the Governor (1) withhold the expenditure of State funds that may be due to be paid to that unit of local government or board of education, and (2) request the Commissioner of Education, the Director of the Division of Local Government Services in the Department of Community Affairs, or staff of the Local Finance Board, as may be appropriate for that unit of local government or board of education, to impose a corrective or remedial action plan that may include the prior approval by the State Comptroller of that local unit's or board's contracts and expenditures.
e. The State Comptroller shall provide periodic reports to the Governor, and shall issue an annual report to the Governor and submit that report to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), which shall be available to the public. The reports shall include but shall not be limited to the reporting of any programmatic deficiencies and weaknesses that the State Comptroller's audits, investigations, and reviews have found, and detailing the efforts by, or the failure of, any unit in the Executive branch of State government, including any entity exercising executive branch authority, independent State authority or unit of local government or board of education to implement a recommended plan for corrective or remedial action.
##### **§ 52:15C-12** Referral of certain findings to the Attorney General, other authority. {#sec-52-15c-12 omnilex-key=us-nj-statutes--title-52--52:15C-12}
12. The State Comptroller is authorized to refer findings that may constitute alleged criminal conduct to the Attorney General or other appropriate prosecutorial authority. In the course of conducting audits and performance reviews, the State Comptroller may refer matters for investigation to the State Inspector General or to the Attorney General or other appropriate authorities for further civil or administrative action, with recommendations to initiate actions to recover monies, to terminate contracts, or temporarily or permanently debar any person from contracting with or receiving funds from any unit in the Executive branch of State government, including any entity exercising executive branch authority, independent State authority or unit of local government or board of education.
##### **§ 52:15C-13** Notification from Attorney General relative to investigations, prosecutions. {#sec-52-15c-13 omnilex-key=us-nj-statutes--title-52--52:15C-13}
13. a. When the State Comptroller or the State Inspector General refers a complaint alleging criminal conduct to the Attorney General or other appropriate prosecutorial authority and the Attorney General or prosecutorial authority decides not to investigate or prosecute the matter, the Attorney General or the prosecutorial authority shall promptly notify the State Comptroller and the State Inspector General. The Attorney General or the prosecutorial authority shall inform the State Comptroller and the State Inspector General as to whether an investigation is ongoing with regard to any matter so referred. The State Comptroller and the State Inspector General shall preserve the confidentiality of the existence of any ongoing criminal investigation.
If the Attorney General or the prosecutorial authority decides not to investigate or act upon the matter referred by the State Comptroller or the State Inspector General, the State Comptroller shall refer the matter to the State Inspector General after the receipt of such a notice.
Upon completion of an investigation or, in a case where the investigation leads to prosecution, upon completion of the prosecution, the Attorney General or the prosecutorial authority shall report promptly the findings and results to the State Comptroller and the State Inspector General. In the course of informing the State Comptroller and the State Inspector General, the Attorney General or prosecutorial authority shall give full consideration to the authority, duties, functions, and responsibilities of the State Comptroller and the State Inspector General, the public interest in disclosure, and the need for protecting the confidentiality of complainants and informants.
b. With respect to referrals to the State Inspector General, the State Inspector General shall report to the State Comptroller promptly when a final determination is made to not investigate or act upon the matter referred, or promptly upon completion of the investigation or action taken. The State Inspector General shall inform the State Comptroller as to whether an investigation is ongoing with regard to any matter so referred.
In the course of informing the State Comptroller, the State Inspector General shall give full consideration to the authority, duties, functions, and responsibilities of the State Comptroller, the public interest in disclosure, and the need for protecting the confidentiality of complainants and informants.
If the State Inspector General decides not to investigate or act upon the matter referred, the State Comptroller is authorized to continue an investigation after the receipt of such a notice.
c. The State Comptroller shall maintain a record of all matters referred and the responses received and shall be authorized to disclose information received as appropriate and as may be necessary to resolve the matter referred, to the extent consistent with the public interest in disclosure and the need for protecting the confidentiality of complainants and informants and preserving the confidentiality of ongoing criminal investigations.
##### **§ 52:15C-14** Full assistance, cooperation with State Comptroller, access to government records. {#sec-52-15c-14 omnilex-key=us-nj-statutes--title-52--52:15C-14}
14. a. All units in the Executive branch of State government, including entities exercising executive branch authority, independent State authorities, public institutions of higher education, units of local government and boards of education and their employees shall provide full assistance and cooperation with any audit, performance review or contract review by the State Comptroller.
b. The State Comptroller shall have complete access to all "government records" of "public agencies," as those terms are defined pursuant to section 1 of P.L.1995, c.23 (C.47:1A-1.1), including all information listed as confidential and specifically excluded as a "government record," in section 1 of P.L.1995, c.23 (C.47:1A-1.1). Provided however, that any information listed as confidential and specifically excluded as a "government record," in that section, to which the State Comptroller shall have access, shall directly relate to a program or expenditure that is the subject of an audit, performance review or contract review by the State Comptroller, and provided further that if a public agency provides the State Comptroller with access to information that is subject to a confidentiality agreement, the public agency shall promptly notify the parties to the agreement that the information is being provided to the State Comptroller.
c. Whenever a person requests access to a government record that the State Comptroller or the State Inspector General, during the course of an audit, investigation, performance review or contract review obtained from another public agency, which record was open for public inspection, examination or copying before the audit, investigation or review commenced, the public agency from which the State Comptroller or the State Inspector General obtained the record shall comply with the request if made pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.), provided that the request does not in any way identify the record sought by means of a reference to the State Comptroller's audit or review or to an investigation by the State Inspector General or any other public agency, including, but not limited to, a reference to a subpoena issued pursuant to such investigation.
d. Private vendors or other persons contracting with or receiving funds from a unit in the Executive branch of State government, including an entity exercising executive branch authority, independent State authority, public institution of higher education, or unit of local government or board of education shall upon request by the State Comptroller provide the State Comptroller with prompt access to all relevant documents and information as a condition of the contract and receipt of public monies. The State Comptroller shall not disclose any document or information to which access is provided that is confidential or proprietary. If the State Comptroller finds that any person receiving funds from a unit in the Executive branch of State government, including an entity exercising executive branch authority, independent State authority, public institution of higher education, or unit of local government or board of education refuses to provide information upon the request of the State Comptroller, or otherwise impedes or fails to cooperate with any audit or performance review, the State Comptroller may recommend to the contracting unit that the person be subject to termination of their contract, or temporarily or permanently debarred from contracting with the contracting unit.
##### **§ 52:15C-15** Provision of technical assistance, training by the State Comptroller. {#sec-52-15c-15 omnilex-key=us-nj-statutes--title-52--52:15C-15}
15. The State Comptroller shall provide technical assistance and training to units in the Executive branch of State government, including entities exercising executive branch authority, independent State authorities, public institutions of higher education, and units of local government and boards of education regarding best practices in developing and implementing financial management systems that will strengthen internal control procedures and prevent the misuse of public funds.
##### **§ 52:15C-16** Terms deemed reference to Director of the Division of Budget and Accounting. {#sec-52-15c-16 omnilex-key=us-nj-statutes--title-52--52:15C-16}
33. Whenever the term "State Comptroller" or "Comptroller of the Treasury" occurs or any reference is made thereto, in any law enacted, or in any contract or document executed, before the effective date of P.L.2007, c.52 (C.52:15C-1 et al.), the same shall be deemed to mean or refer to the Director of the Division of Budget and Accounting in the Department of the Treasury.
##### **§ 52:15C-17** Additional powers, responsibilities of State Comptroller. {#sec-52-15c-17 omnilex-key=us-nj-statutes--title-52--52:15C-17}
5. In addition to the powers and responsibilities of the State Comptroller, prescribed in P.L.2007, c.52 (C.52:15C-1 et seq.), upon the designation, with respect to the undertaking by any business of a project, of a lead public agency pursuant to section 4 of this act, the State Comptroller is authorized to audit: a. the uses of all financial assistance that shall have been or shall thereafter be received in connection with the project by a business from a public entity pursuant to any contract to which the provisions of section 2 of this act apply; and b. the expenditure by the business, in connection with the project, of funds from sources other than a public entity, as required under the provisions of subsection a. of that section. The audit shall include, but not be limited to, the amount of financial assistance funds that were provided by the public entity to the business and how such funds were spent by the business.
##### **§ 52:15C-18** Financial assistance to be used in accordance with terms of contract. {#sec-52-15c-18 omnilex-key=us-nj-statutes--title-52--52:15C-18}
6. Upon the designation, with respect to the undertaking of a project by any business, of a lead public agency pursuant to section 4 of this act, the State Comptroller shall require that any financial assistance received by the business from a public entity in connection with the project pursuant to any contract to which the provisions of section 2 of this act apply shall be spent in accordance with the terms of the contract.
##### **§ 52:15C-19** Rules, regulations. {#sec-52-15c-19 omnilex-key=us-nj-statutes--title-52--52:15C-19}
11. The State Comptroller shall, pursuant to the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt such rules and regulations as shall be necessary to implement the provisions of this act in accordance with the purposes thereof, including, but not limited to, the establishment of guidelines for determining the scope of a project.
##### **§ 52:15C-20** Findings, declarations relative to consolidation of offices of Inspector General and Medicaid Inspector General. {#sec-52-15c-20 omnilex-key=us-nj-statutes--title-52--52:15C-20}
1. The Legislature finds and declares:
a. Currently, there are numerous agencies within State government that are responsible for monitoring and auditing government programs and agencies, reviewing the performance of government functions and programs, and investigating misconduct by public employees, all aimed at providing accountability and transparency, promoting the efficiency and integrity of government operations, and identifying cost savings.
b. While the ongoing review of government operations helps guard against the waste, fraud, and abuse of public resources, the overlapping of the missions of the Office of the Inspector General, Office of the Medicaid Inspector General, and the Office of the State Comptroller has the potential to lead to inefficiencies in the performance of these critical functions.
c. The consolidation of the powers and duties of these existing State offices within the Office of the State Comptroller will allow for the systematic, efficient, and coordinated review and oversight of the State and its subdivisions.
##### **§ 52:15C-21** Office of Inspector General abolished, functions, powers, duties transferred. {#sec-52-15c-21 omnilex-key=us-nj-statutes--title-52--52:15C-21}
2. a. The Office of the Inspector General established pursuant to P.L.2005, c.119 (C.52:15B-1 et seq.) and allocated, in but not of, the Department of the Treasury is abolished and all of its functions, powers, and duties, except as otherwise provided by this act, P.L.2010, c.33 (C.52:15C-20 et seq.), are continued and transferred to the Office of the State Comptroller.
b. Except as otherwise provided in this act, P.L.2010, c.33 (C.52:15C-20 et seq.), whenever, in any law, rule, regulation, order, reorganization plan, contract, document, judicial or administrative proceeding, or otherwise, reference is made to the Office of the Inspector General the same shall mean and refer to the Office of the State Comptroller.
c. The functions, powers, and duties conferred upon, or required to be exercised by, the Inspector General are continued but such functions, powers, and duties are hereby transferred to and shall be exercised and performed by the State Comptroller.
##### **§ 52:15C-22** Transfer of employees from Office of Inspector General. {#sec-52-15c-22 omnilex-key=us-nj-statutes--title-52--52:15C-22}
3. a. Notwithstanding the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.), the office and the term of the Inspector General established pursuant to section 3 of P.L.2005, c.119 (C.52:15B-3) shall terminate on the effective date of this act, P.L.2010, c.33 (C.52:15C-20 et seq.).
b. Employees of the Office of the Inspector General who are employed by the office on the effective date of this act, P.L.2010, c.33 (C.52:15C-20 et seq.), and determined by the State Comptroller to be necessary to carry out the duties of the Office of the State Comptroller pursuant to this act are continued and transferred to the Office of the State Comptroller. Such transfers shall be consistent with the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.). Employees transferred pursuant to this act, P.L.2010, c.33 (C.52:15C-20 et seq.), shall be deemed confidential employees for the purposes of the "New Jersey Employer-Employee Relations Act," P.L.1941, c. 100 (C.34:13A-1 et seq.).
c. Except as otherwise provided by this section and section 2 of this act, P.L.2010, c.33 (C.52:15C-21), the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.), shall apply to the transfer of the Office of the Inspector General.
##### **§ 52:15C-23** Office of Medicaid Inspector General abolished, functions, powers, duties transferred. {#sec-52-15c-23 omnilex-key=us-nj-statutes--title-52--52:15C-23}
4. a. The Office of the Medicaid Inspector General established pursuant to P.L.2007, c.58 (C.30:4D-53 et seq.) in the Office of the Inspector General is abolished and all of its functions, powers and duties, except as otherwise provided by this act, P.L.2010, c.33 (C.52:15C-20 et seq.), are continued and transferred to the Office of the State Comptroller.
b. Except as otherwise provided in this act, P.L.2010, c.33 (C.52:15C-20 et seq.), whenever, in any law, rule, regulation, order, reorganization plan, contract, document, judicial or administrative proceeding, or otherwise, reference is made to the Office of the Medicaid Inspector General the same shall mean and refer to the Office of the State Comptroller.
c. The functions, powers, and duties conferred upon, or required to be exercised by, the Medicaid Inspector General are continued but such functions, powers, and duties are hereby transferred to and shall be exercised and performed by the State Comptroller.
##### **§ 52:15C-24** Transfer of employees from Office of Medicaid Inspector General. {#sec-52-15c-24 omnilex-key=us-nj-statutes--title-52--52:15C-24}
5. a. Notwithstanding the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.), the office and the term of the Medicaid Inspector General established pursuant to section 4 of P.L.2007, c.58 (C.30:4D-56) shall terminate on the effective date of this act, P.L.2010, c.33 (C.52:15C-20 et seq.).
b. Employees of the Office of the Medicaid Inspector General, including the Medicaid Inspector General, who are employed by the office on the effective date of this act, P.L.2010, c.33 (C.52:15C-20 et seq.), and determined by the State Comptroller to be necessary to carry out the duties of the Office of State Comptroller pursuant to this act are continued and transferred to the Office of the State Comptroller. Such transfers shall be consistent with the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.). Employees transferred pursuant to this act, P.L.2010, c.33 (C.52:15C-20 et seq.), shall be deemed confidential employees for the purposes of the "New Jersey Employer-Employee Relations Act," P.L.1941, c.100 (C.34:13A-1 et seq.).
c. Except as otherwise provided by this section and section 4 of this act, P.L.2010, c.33 (C.52:15C-23), the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.) shall apply to the transfer of the Office of the Medicaid Inspector General.
d. An employee in the classified service transferred to the Office of the State Comptroller pursuant to this section, may remain in the classified service, provided, however, that when the transferred employee no longer serves in that classified position, the classified position shall be abolished. Nothing in this section shall be construed as limiting the authority of the State Comptroller to reclassify positions within the office as provided by law.
## **Chapter 15D**
##### **§ 52:15D-1** Findings, declarations relative to deployment of oversight monitors in implementation of certain recovery and rebuilding projects. {#sec-52-15d-1 omnilex-key=us-nj-statutes--title-52--52:15D-1}
1. The Legislature finds and declares that:
a. Hurricane Sandy has inflicted approximately $30,000,000,000 worth of damage upon the State and exposed the need for more than $7,000,000,000 in mitigation efforts to buttress the State's defenses from future storms, according to the Governor's initial estimates of November of 2012;
b. The State of New Jersey, with the assistance of the federal government, shall endeavor to repair, rebuild, and revitalize the portions of the State devastated by Hurricane Sandy;
c. The State of New Jersey is duty bound to its residents and all taxpayers in the United States to ensure that all resources dedicated to the recovery from Hurricane Sandy be applied in an efficient manner and that the State should take all necessary precautions to prevent, detect, and remediate waste, fraud, and abuse;
d. Given the severity of the damage caused by Hurricane Sandy and the magnitude of the resources necessary to begin the recovery process there is a need to ensure that the State has sufficient capacity for efficient oversight; and
e. The use of integrity monitors as independent oversight providers may be an effective measure to supplement the State's existing compliance control mechanisms to prevent the inefficient expenditure of Hurricane Sandy recovery resources.
##### **§ 52:15D-2** Conditions required in certain contracts using integrity oversight monitor; waivers. {#sec-52-15d-2 omnilex-key=us-nj-statutes--title-52--52:15D-2}
2. a. (1) Subject to the availability of federal funding, for each State contract involving consideration of $5,000,000 or more for a recovery and rebuilding project, the State Treasurer shall require to be included in the contract such conditions as the State Treasurer deems necessary to facilitate the use of integrity oversight monitors.
The State Treasurer shall select integrity oversight monitors for the implementation of a contract, unless this condition is waived by the State Treasurer upon a determination that sufficient integrity oversight is already present in the contract or a funding recipient's existing compliance controls.
The State Treasurer shall have the authority to require that the services of an integrity oversight monitor be retained from the qualified integrity oversight monitor pool established pursuant to subsection b. of this section for any duration of the contract upon a determination by the State Treasurer that an integrity oversight monitor is necessary to alleviate potential or ongoing inefficiency or that the size or nature of the contract makes the procurement of an integrity oversight monitor prudent.
(2) Subject to the availability of federal funding, for recovery and rebuilding projects not involving a State contract, the governmental entity that is a party to such contract shall provide the State Treasurer, in such form as the State Treasurer may prescribe, notice of such contract, a description of the recovery and rebuilding project, the parties thereto, and the funding source for the project costs, including integrity oversight monitoring services. Upon receipt of such notice, and subject to the availability of federal funding, the State Treasurer shall procure the services of an integrity oversight monitor from the qualified integrity oversight monitor pool established pursuant to subsection b. of this section during the initial implementation of the recovery and rebuilding project involving a contract that includes consideration of $5,000,000 or more, unless this condition is waived by the State Treasurer upon a determination of sufficient funding recipient compliance controls.
For recovery and rebuilding projects not involving a State contract, the State Treasurer shall have the authority to procure the services of an integrity oversight monitor from the qualified integrity oversight monitor pool established pursuant to subsection b. of this section for any duration of a recovery and rebuilding project involving a contract that includes consideration of $5,000,000 or more upon a determination by the State Treasurer that an integrity oversight monitor is necessary to alleviate potential or ongoing inefficiency or that the size or nature of the recovery and rebuilding project makes the procurement of an integrity oversight monitor prudent.
(3) If the State Treasurer issues a waiver of the requirement for an integrity oversight monitor pursuant to this subsection, the State Treasurer shall provide the Governor, the Senate President, and the Speaker of the General Assembly a report in accordance with section 2 of P.L.1991, c.164 (C.52:14-19.1), which report shall detail the reasoning associated with the waiver and the contract or funding recipient's existing compliance controls. The report shall be due within ten business days of the issuance of the waiver.
(4) Subject to the availability of federal funding, for a State or non-State contract involving consideration of less than $5,000,000 for a recovery and rebuilding project, the State Treasurer's authorization to impose conditions concerning integrity oversight monitors pursuant to paragraphs (1) and (2) of this subsection shall apply if the State Treasurer determines that integrity oversight monitor conditions are necessary to alleviate potential or ongoing inefficiency or that the size or nature of a recovery and rebuilding project makes the procurement of an integrity oversight monitor prudent.
b. The State Treasurer shall establish a pool of qualified integrity oversight monitors. The State Treasurer shall qualify integrity oversight monitors for inclusion in the pool through a public procurement process in accordance with existing public contracting laws and regulations. Provided, however, to expedite the implementation of integrity oversight monitor oversight for recovery and rebuilding projects, the State Treasurer is authorized to administer the public procurement process for integrity oversight monitors in as expeditious a manner as is feasible under existing public contracting laws and regulations and to take such anticipatory action as is necessary to begin the selection process and creation of a qualified integrity oversight monitor pool in advance of the State's receipt of applicable federal resources dedicated to the recovery from Hurricane Sandy or other storms.
Upon inclusion on the qualified integrity oversight monitor pool, a qualified integrity oversight monitor is eligible for assignment pursuant to subsection a. of this section. The pool of qualified integrity oversight monitors shall be made available through a public website. This section shall not be construed to authorize the waiver of any applicable provision of law or regulation governing conflicts of interest.
c. An integrity oversight monitor shall periodically report to the governmental entity that is a party to the contract as the State Treasurer deems necessary and shall be subject to the malfeasance and inefficiency reporting protocol developed by the State Treasurer in consultation with the State Comptroller. The State Treasurer's reporting protocol shall require an integrity oversight monitor upon a finding of a likely criminal violation or lesser degree of waste, fraud, or abuse, to make a report immediately to the Attorney General and State Comptroller.
d. For purposes of executing the oversight functions of an integrity oversight monitor an integrity oversight monitor shall be afforded access to all records and information necessary to execute the integrity oversight monitor's oversight functions. Provided however, if an integrity oversight monitor's access to records and information may compromise sensitive information, the chief executive officer of the entity in possession of the records may limit the integrity oversight monitor's access accordingly. If a chief executive officer denies sensitive information to an integrity oversight monitor pursuant to this subsection, the chief executive officer shall provide the integrity oversight monitor with its reasoning for the denial in a written notice.
e. On the first business day of each calendar quarter, each integrity oversight monitor shall provide to the State Treasurer for distribution to the Legislature, in accordance with section 2 of P.L.1991, c.164 (C.52:14-19.1), and the Governor a report detailing the integrity oversight monitor's provision of services during the three-month period second preceding the due date of the report and any previously unreported provision of services, which shall include, but not be limited to, detailed findings concerning the integrity oversight monitor's provision of services and recommendations for corrective or remedial action relative to findings of malfeasance and inefficiency. The report shall include a privilege log which shall detail each denial of sensitive information that the integrity oversight monitor exercises in preparing the report for transmission to the Legislature and the Governor pursuant to this subsection. The report shall not include any information which may compromise a potential criminal investigation or prosecution or any proprietary information. The State Treasurer shall have the authority to specify reporting requirements for an integrity oversight monitor pursuant to this subsection relative to the specific services provided by an integrity oversight monitor.
No report shall become due for an integrity oversight monitor until at least three months after commencing duties as an integrity oversight monitor. The State Treasurer shall provide the integrity oversight monitor reports received pursuant to this subsection to the Legislature and the Governor within ten business days of receipt.
f. As used in this section:
"Recovery and rebuilding project" means (1) the use of funds provided pursuant to federal legislation enacted by the 113 Congress of the United States of America which contains, but is not limited to, disaster assistance for impacts associated with Hurricane Sandy, or other major storms, in New Jersey; (2) the use of funds disbursed through the State treasury for undertakings to address the damage associated with the State of Emergency identified in the Governor's Executive Order 104, dated October 27, 2012, concerning Hurricane Sandy, which undertakings shall include emergency operations, loss reimbursement, repairs, rebuilding, restorations, reconstruction, removal of debris, temporary housing, household assistance, relief, hazard mitigation improvements, construction, and other recovery and rebuilding activities deemed to be a recovery and rebuilding project by the State Treasurer; and (3) the use of funds provided pursuant to federal legislation or disbursed through the State Treasury for undertakings to address the damage associated with any other major storm or natural disaster.
"Integrity oversight monitor" means a private entity that contracts to provide specialized services to ensure legal compliance, detect misconduct, and promote best practices in the administration of recovery and rebuilding projects, which services may include, but shall not be limited to, legal, investigative, accounting, forensic accounting, engineering, other professional specialties, risk assessment, developing compliance system constructs, loss prevention, monitoring, contract managers and independent private inspectors general.
"Sensitive information" means information which if disclosed to an integrity oversight monitor would jeopardize compliance with State or federal law, threaten public health, welfare, or safety, or harm the competitive economic position of a party including, but not limited to, information deemed confidential or proprietary or related to copyright or trade secrets.
##### **§ 52:15D-3** Findings, declarations relative to Superstorm Sandy aid money. {#sec-52-15d-3 omnilex-key=us-nj-statutes--title-52--52:15D-3}
1. The Legislature finds and declares that:
In the autumn of 2012, Superstorm Sandy ravaged New Jersey's shoreline, as well as many other communities in the State. The storm destroyed or damaged more than 72,000 of the State's homes and businesses, has driven more than a quarter-million State residents to seek governmental assistance, and has resulted in more than $36 billion in damage and recovery needs. In addition, due to the time it has taken to distribute recovery aid following Superstorm Sandy, many of those affected by the storm now face the reality of foreclosure on their home mortgages. While New Jersey communities have taken certain important steps toward recovery, the work to rebuild is not yet complete.
Recognizing that there are numerous challenges associated with the efficient and expedient distribution of federal recovery resources following a disaster of the scale of Superstorm Sandy, the processes for individuals and communities to obtain governmental assistance has not been as fast as the Governor and the Legislature would like, and can be improved. Although the reasons for delays in obtaining assistance vary, the State has an obligation to those affected by the storm to make the process of obtaining benefits as user friendly and transparent as possible. For these reasons and others, it is necessary for the Governor and the Legislature to codify and expand upon standards and safeguards for the treatment of individuals and communities seeking financial assistance in recovering from Superstorm Sandy.
##### **§ 52:15D-4** Definitions relative to Superstorm Sandy aid money. {#sec-52-15d-4 omnilex-key=us-nj-statutes--title-52--52:15D-4}
2. As used in P.L.2015, c.102 (C.52:15D-3 et seq.), as amended and supplemented:
"Agency" means the New Jersey Housing and Mortgage Finance Agency established pursuant to section 4 of P.L.1983, c.530 (C.55:14K-4).
"Applicant" means an individual or business that has applied for, is waiting for, or is receiving benefits under a recovery and rebuilding program, and shall include individuals who are awaiting the completion of a construction project using benefits received under a recovery and rebuilding program.
"Commissioner" means the Commissioner of Community Affairs.
"Department" means the Department of Community Affairs.
"Forbearance" means a period of time during which obligations for mortgage and interest payments are suspended.
"FRM" means the Fund for Restoration of Multifamily Housing.
"Qualified contractor pool" means a listing of contractors approved by the Department of Community Affairs participating in the RREM program.
"LMI" means Low-to-Moderate Income and the program for which policies and procedures have been adopted by the Department of Community Affairs.
"Mortgage" means a mortgage, trust deed, or other security in the nature of a residential mortgage.
"Recovery and rebuilding program" means the use of funding provided by the federal government for the RREM and LMI programs, which are intended to help individuals rebuild and recover from Superstorm Sandy, the TBRA program, which is intended to assist renters in returning to and residing in areas impacted by Superstorm Sandy, and the FRM program, which is intended to assist developers in repairing or replacing rental housing units damaged or destroyed by Superstorm Sandy.
"RREM" means Reconstruction, Rehabilitation, Elevation and Mitigation.
"Sandy-impacted homeowner" means a homeowner for whom one or both of the following are true:
(1) the homeowner received rental assistance from the Federal Emergency Management Agency as a result of damage to his or her primary residence due to Superstorm Sandy; or
(2) the homeowner has been approved for assistance through the RREM or LMI program.
"Superstorm Sandy" means the major storm that made landfall in New Jersey on October 29, 2012.
"TBRA" means Tenant-Based Rental Assistance.
##### **§ 52:15D-5** Responsibilities of the department. {#sec-52-15d-5 omnilex-key=us-nj-statutes--title-52--52:15D-5}
3. Within 60 days of the effective date of P.L.2017, c.15, the department shall:
a. Provide each applicant to the RREM and LMI program with a personal timeline setting forth a general estimation of the time in which an applicant can expect to receive assistance through the RREM program and LMI program and a reasonable estimate of when the applicant can expect completion of the project for which they have requested assistance, based upon the department's past experience administering funds through the RREM program and LMI program. The timeline shall track the process of applying for assistance from the RREM and LMI programs from the time an applicant files his or her application with the department through the completion of the project for which the applicant requested assistance, and shall include:
(1) When the applicant should expect to receive 50 percent of the RREM grant money that the department has awarded the applicant; and
(2) When the applicant should expect to receive 100 percent of the RREM and LMI grant money that the department has awarded the applicant.
b. Provide each applicant to the RREM program and LMI program with information about the status of his or her individual application, including:
(1) the date on which the department received the application;
(2) a list of all required documents or other verifications submitted by the applicant related to the application and the date on which the department received each document; and
(3) a list of all documents or other verifications which still need to be submitted by the applicant in order to complete the RREM application and LMI application and the date on which each item must be received.
c. Upon request from an applicant to the RREM program and LMI program appealing a decision to deny the applicant benefits under the program, provide to the applicant information about the status of his or her appeal, including:
(1) the date on which the applicant filed the appeal;
(2) all pending reviews of the appeal and the date of any upcoming hearings related to the appeal;
(3) the department's final determination, if one is made as of the date the request for information is fulfilled, or otherwise the date on which the applicant can expect that the department will make a final determination concerning the appeal;
(4) a list of all documents related to the appeal and the date on which each document was filed; and
(5) an explanation of any decision to deny an application for aid, and an explanation of how to remedy the application, when possible, and continue the appeal process.
d. In the event the department denies an appeal by a RREM or LMI applicant, the department shall refer the applicant to a housing counselor who is certified by the federal Department of Housing and Urban Development or is part of a program established by the department to provide housing counseling to people impacted by Superstorm Sandy.
e. Extend the one-year deadline for completing a project following a RREM or LMI grant award date for any applicant who demonstrates that the delay is the result of:
(1) the non-performance or non-availability of the contractor, or
(2) delays by the department in approving the contractor associated with the project.
f. Maintain an appeals process for at least six months following the effective date of P.L.2017, c.15, open to any applicant to the RREM program who submitted an initial application by the deadline of August 1, 2013, regardless of the reason the applicant had previously withdrawn, or been denied or removed from the application process.
##### **§ 52:15D-6** Targets for distribution of assistance; quarterly goals. {#sec-52-15d-6 omnilex-key=us-nj-statutes--title-52--52:15D-6}
4. Within 60 days of the effective date of P.L.2015, c.102 (C.52:15D-3 et seq.), the department shall develop targets for the distribution of assistance to homeowner and renter applicants through recovery and rebuilding programs. The department shall establish quarterly goals detailing the amount of assistance that the department intends to disburse through recovery and rebuilding programs. These goals shall be based upon the department's past experience administering funds through recovery and rebuilding programs and the experience of other states that have distributed federal funds for disaster recovery.
At a minimum, the targets shall provide for the majority of eligible RREM applicants to receive 50 percent or more of RREM program funding that the department has awarded them by December 31, 2015 and for all eligible RREM applicants to receive 100 percent of RREM program funding by September 30, 2017, provided that all funding distributions comply with applicable State and federal laws and regulations.
##### **§ 52:15D-7** Development, maintenance of website relative to recovery, rebuilding programs; reports by department. {#sec-52-15d-7 omnilex-key=us-nj-statutes--title-52--52:15D-7}
5. a. Within 180 days of the effective date of P.L.2015, c.102 (C.52:15D-3 et seq.), the department shall develop and maintain an Internet website or webpage providing information concerning recovery and rebuilding programs. At a minimum, the website shall:
(1) Allow an applicant to a recovery and rebuilding program to submit securely through the website a request for specific information on the current status of his or her application for assistance from a recovery and rebuilding program, to which the department shall respond by phone or by email within two business days.
(2) Provide a plain language explanation of every recovery and rebuilding program, all requirements to apply for and receive benefits, how to file appeals, and a description of the process necessary to correct any deficiency with an application.
(3) Provide contact information for each builder in the qualified contractor pool, including each builder's telephone number and Internet website address, and identify any builders that have been removed from the qualified contractor pool.
(4) Provide and update information regarding the expenditure of recovery and rebuilding program funds and related contracts on the Internet website on a monthly basis. A full and current explanation of the criteria and process by which recovery and rebuilding program applications are prioritized shall also appear on the website. Changes to program policy, information on new contractor awards, and the status of work performed pursuant to the contractor awards shall be posted on the Internet website.
(5) Provide information on how all recovery and rebuilding program funding has been and will be allocated on the Internet website, including information about the allocation process for all rounds of funding distribution; and:
(a) the total number of applications submitted for recovery and rebuilding program funding;
(b) the number of applicants that have received 50 percent or more of the recovery and rebuilding program grant money that the department has awarded them;
(c) the number of applicants that have received 100 percent of the recovery and rebuilding program grant money that the department has awarded them;
(d) the number of applicants that have completed recovery and rebuilding program-funded construction or elevation projects in compliance with local, State, and federal building codes and regulations; and
(e) the number of applicants that have received a final certificate of occupancy and grant closeout.
b. The department shall develop and publish on the Internet website a description of how it developed the timelines for the disbursement of recovery and rebuilding program assistance developed pursuant to sections 3, 7, and 8 of P.L.2015, c.102 (C.52:15D-5, C.52:15D-9, and C.52:15D-10). The department shall allow an applicant to request his or her individualized timeline for the disbursement of program funding, developed pursuant to sections 3, 7, and 8 of P.L.2015, c.102 (C.52:15D-5, C.52:15D-9, and C.52:15D-10), through the website, to which the department shall respond by phone or by email within two business days.
c. The department shall publish on the Internet website its quarterly goals for the disbursement of recovery and rebuilding program assistance developed pursuant to section 4 of P.L.2015, c.102 (C.52:15D-6).
d. The department shall publish on the Internet website the commissioner's report on the use of Community Development Block Grant Disaster Recovery funds and other funds that may be available for similar purposes for interim assistance submitted to the Governor and Legislature pursuant to section 6 of P.L.2015, c.102 (C.52:15D-8).
e. In addition to publishing the information as required in this section, the department may distribute the information by any other method it deems appropriate.
f. (1) By the first day of the sixth month next following enactment of P.L.2017, c.15, the department shall publicly report:
(a) The reason for each application denial and wait-list placement from the RREM, TBRA, and LMI programs since the beginning of the recovery effort;
(b) After conducting a reasonable effort to contact withdrawn applicants, the reason for each withdrawal by an applicant from the RREM, TBRA, and LMI programs since the beginning of the recovery effort; and
(c) Concerning application denials, wait-list placements, and withdrawals from the RREM, TBRA, and LMI programs since the beginning of the recovery effort, information on where the associated funding has been allocated.
(2) On a quarterly basis, beginning with the enactment of P.L.2017, c.15, and continuing through the end of 2018, the department shall publicly report:
(a) The reason for each new application denial and wait-list placement from the RREM, TBRA, and LMI programs;
(b) After conducting a reasonable effort to contact withdrawn applicants, the reason for each new withdrawal by an applicant from the RREM, TBRA, and LMI programs; and
(c) Concerning new application denials, wait-list placements, and withdrawals from the RREM, TBRA, and LMI programs, information on where the associated funding is instead being allocated.
##### **§ 52:15D-7.1** Reconstruction, Rehabilitation, Elevation and Mitigation program resumed. {#sec-52-15d-7.1 omnilex-key=us-nj-statutes--title-52--52:15D-7.1}
1. To the extent that there remains sufficient, uncommitted appropriations for grant issuance, the Department of Community Affairs shall resume the Reconstruction, Rehabilitation, Elevation and Mitigation program and accept grant applications to provide funding which was intended to fund the unmet needs of Superstorm Sandy-impacted homeowners, as defined pursuant to section 2 of P.L.2015, c.102 (C.52:15D-4), who are still in need of recovery and rebuilding financial assistance.
##### **§ 52:15D-8** Report to Governor, Legislature. {#sec-52-15d-8 omnilex-key=us-nj-statutes--title-52--52:15D-8}
6. a. Within 60 days of the effective date of P.L.2015, c.102 (C.52:15D-3 et seq.), the commissioner shall report to the Governor and the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), regarding the allocation of Community Development Block Grant Disaster Recovery funds and other funds that may be available for relief efforts associated with Superstorm Sandy. The commissioner shall evaluate and determine the extent to which the department may provide unused Community Development Block Grant Disaster Recovery funds and other funds that may be available for similar purposes to persons, who have submitted an application for assistance from a recovery and rebuilding program that is still pending before the department, as interim assistance for the applicants' mortgage payments and rent. If the commissioner determines that utilizing unused Community Development Block Grant Disaster Recovery funds, other funds that may be available for similar purposes, or both, for interim assistance is inappropriate, then the commissioner shall issue a report to the Governor and the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), detailing why the use of these funds for interim assistance is inappropriate. If the commissioner determines that utilizing unused Community Development Block Grant Disaster Recovery funds, other funds that may be available for similar purposes, or both, for interim assistance is appropriate, then the commissioner shall issue a report to the Governor and the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), establishing a strategy for the rapid disbursement of unused Community Development Block Grant Disaster Recovery funds, other funds that may be available for similar purposes, or both, for interim assistance.
b. The report required by this section shall include:
(1) an estimate of the total need for interim assistance among persons who have submitted an application for assistance from a recovery and rebuilding program that is still pending before the department;
(2) the portion of the total need for interim assistance that the department intends to meet through the rapid disbursement of unused Community Development Block Grant Disaster Recovery funds and other funds that may be available for similar purposes;
(3) the portion of the total need for interim assistance that the department intends not to meet through the rapid disbursement of unused Community Development Block Grant Disaster Recovery funds and other funds that may be available for similar purposes; and
(4) the means by which the department will decide which applicants will receive interim assistance if the department determines that it cannot satisfy the full need for interim assistance among persons who have submitted an application for assistance from a recovery and rebuilding program that is still pending before the department.
##### **§ 52:15D-9** Provision of timeline to TBRA applicant. {#sec-52-15d-9 omnilex-key=us-nj-statutes--title-52--52:15D-9}
7. Within 60 days of the effective date of P.L.2015, c.102 (C.52:15D-3 et seq.), the department shall:
a. Provide each applicant to the TBRA program with a timeline setting forth a general estimation of the time in which an applicant can expect to receive assistance through the TBRA program, based upon the department's past experience administering funds through the TBRA program. The timeline shall track the process of applying for assistance from the TBRA program from the time an applicant files his or her application.
b. Provide each applicant to the TBRA program with information about the status of his or her individual application, including;
(1) the date on which the department received the application;
(2) a list of all required documents or other verifications submitted by the applicant related to the application and the date on which the department received each document; and
(3) a list of all documents or other verifications which still need to be submitted by the applicant in order to complete the TBRA application and the date on which each item must be received.
c. Upon request from an applicant to the TBRA program appealing a decision to deny the applicant benefits under the program, provide to the applicant information about the status of his or her appeal, including:
(1) the date on which the applicant filed the appeal;
(2) all pending reviews of the appeal and the date of any upcoming hearings related to the appeal;
(3) the department's final determination, if one is made as of the date the request for information is fulfilled, or otherwise the date on which the applicant can expect that the department will make a final determination concerning the appeal;
(4) a list of all documents related to the appeal and the date on which each document was filed; and
(5) an explanation for any decision to deny an application for aid, and, if eventual approval is still possible, an explanation for ways to remedy the application.
d. In the event the department denies an appeal by a TBRA applicant, the department shall refer the applicant to a housing counselor who is certified by the federal Department of Housing and Urban Development or is part of a program established by the department to provide housing counseling to people impacted by Superstorm Sandy.
##### **§ 52:15D-10** Provision of timeline to FRM applicant. {#sec-52-15d-10 omnilex-key=us-nj-statutes--title-52--52:15D-10}
8. Within 60 days of the effective date of P.L.2015, c.102 (C.52:15D-3 et seq.), the agency shall, at the request of the applicant:
a. Provide each applicant to the FRM program with a timeline setting forth a general estimation of the time in which an applicant can expect to receive assistance through the FRM program, based upon the agency's past experience administering funds through the FRM program. The timeline shall track the process of applying for assistance from the FRM program from the time an applicant files his or her application.
b. Provide each applicant to the FRM program with information about the status of his or her individual application, including;
(1) the date on which the application was received;
(2) a list of all required documents or other verification submitted by the applicant related to the application and the date on which the agency received each document; and
(3) a list of all documents or other verifications which still need to be submitted by the applicant in order to complete the FRM application and the date on which each item must be received.
c. Provide to each applicant to the FRM program appealing a decision to deny the applicant benefits under the program information about the status of his or her appeal, including:
(1) the date on which the applicant filed the appeal;
(2) all pending reviews of the appeal and the date of any upcoming hearings related to the appeal;
(3) the agency's final determination, if one is made as of the date the request for information is fulfilled, or otherwise the date on which the applicant can expect that the agency will make a final determination concerning the appeal; and
(4) a list of all documents related to the appeal and the date on which each document was filed.
d. In the event the agency denies an appeal by a FRM applicant, the agency shall refer the applicant to a housing professional at the State housing recovery center serving the area in which the applicant resides.
##### **§ 52:15D-11** Telephone hotline. {#sec-52-15d-11 omnilex-key=us-nj-statutes--title-52--52:15D-11}
9. Within 60 days of the effective date of P.L.2015, c.102 (C.52:15D-3 et seq.), the department shall establish a telephone hotline available, at a minimum, weekdays between 9:00 a.m. and 9:00 p.m. through which applicants may request the general or individualized information that the department and agency must provide pursuant to P.L.2015, c.102 (C.52:15D-3 et seq.).
##### **§ 52:15D-12** Actions relative to National Flood Insurance claim payments. {#sec-52-15d-12 omnilex-key=us-nj-statutes--title-52--52:15D-12}
10. The department shall not, to the full extent permitted by federal law or regulation, deem any National Flood Insurance Program claim payments to any National Flood Insurance Program policy holder made on or after May 18, 2015 to be a duplication of benefits of any federal grant award, or to require any other reduction of a previously determined grant or benefit to an applicant based on such payments. The department shall take available steps, including the submission of a waiver request to the United States Department of Housing and Urban Development or the Federal Emergency Management Agency, if either agency legally can grant such a waiver, in order to ensure that National Flood Insurance Program claim payments made on or after May 18, 2015 do not operate as a duplication of benefits with any existing federal grant award, or otherwise reduce the amount of an applicant's award.
##### **§ 52:15D-13** Eligibility for forbearance. {#sec-52-15d-13 omnilex-key=us-nj-statutes--title-52--52:15D-13}
5. a. A Sandy-impacted homeowner shall be eligible for a forbearance regardless of whether the homeowner's primary residence is already the subject of a foreclosure proceeding. The Sandy-impacted homeowner shall apply to the commissioner, on forms to be provided by the department, for a certification of eligibility for the forbearance under this subsection before the first day of the third month next following the date when the commissioner makes the application available pursuant to subparagraph (b) of paragraph (1) of subsection e. of this section. The commissioner shall approve or deny an application within 30 days of its delivery to the commissioner. If the application is not approved or denied within 30 days of its delivery, the application shall be deemed approved.
b. The forbearance period shall conclude upon the earlier of:
(1) the conclusion of one year following issuance of a certificate of occupancy for recovery and rebuilding program work;
(2) July 1, 2022; or
(3) regarding a property in foreclosure proceedings, upon the expiration of 10 days following sheriff's sale.
c. Notwithstanding the provisions of any law, rule, or regulation to the contrary, the repayment period of any mortgage subject to the forbearance established in subsection a. of this section shall be extended by the number of months the forbearance is in effect. During the time of the forbearance and during the period constituting an extension of the mortgage, all terms and conditions of the original mortgage, except with regard to default and delinquency during forbearance, shall continue without modification, and there shall be no fees assessed for the forbearance, or penalty for early repayment.
d. A Sandy-impacted homeowner who was the subject of a foreclosure proceeding as of August 10, 2015, the effective date of P.L.2015, c.102 (C.52:15D-3 et seq.) shall, upon good cause shown, be awarded, by the court and upon application by the property owner, a stay in the foreclosure proceedings. An application to the court by a property owner under this subsection shall be made before the first day of the fifth month next following the effective date of P.L.2017, c.15, unless the courts in their discretion permit application submission for a longer period. The receipt of rental assistance from the Federal Emergency Management Agency as a result of damage to the homeowner's primary residence due to Superstorm Sandy, or approval for assistance through the RREM or LMI program, shall constitute good cause for the award of a stay under this subsection for a period concluding upon the earlier of:
(1) the conclusion of one year following issuance of a certificate of occupancy for recovery and rebuilding program work; or
(2) July 1, 2022.
e. (1) Prior to the first day of the second month next following the effective date of P.L.2017, c.15, the commissioner shall:
(a) notify as many Sandy-impacted homeowners as is reasonably possible of eligibility for a forbearance or stay of foreclosure proceedings;
(b) post information on eligibility and the application process for the forbearance and stay of foreclosure proceedings, and make forbearance applications available, on the department's Internet website;
(c) notify the courts of what individuals and associated properties are eligible for a forbearance or stay of foreclosure proceedings; and
(d) to the greatest extent reasonably possible, notify the State's active mortgage lenders of what individuals and associated properties are eligible for a forbearance or stay of foreclosure proceedings.
(2) Upon knowledge of a homeowner's eligibility for a forbearance or stay of foreclosure proceedings, the mortgage lender shall notify the homeowner and the courts.
(3) Upon approval of a forbearance application pursuant to subsection a. of this section, the commissioner shall notify the applicant, the mortgage lender, and the courts.
f. Sandy-impacted homeowners awarded a stay of foreclosure proceedings or forbearance, or both, under this section shall be responsible for the maintenance of the property during the stay or period of forbearance, or both. After service of notice of any proceedings conducted to terminate forbearance, made on the mortgagor at an address determined pursuant to due diligence of the movant mortgagee or creditor to be the actual current residence of the mortgagor, providing opportunity for the mortgagor to respond and contest the proceedings, a stay of foreclosure proceedings or forbearance, or both, awarded under this section shall cease immediately upon a court's determination that the subject residential property has been abandoned by the Sandy-impacted homeowner.
g. Nothing in this section shall be construed as limiting the ability of a mortgagee and residential property owner to participate in a mediation sponsored by the Administrative Office of the Courts in accordance with the requirements of the mediation program. Nothing in this section shall be construed to impact property tax and insurance obligations of a property owner related to any real property in the State.
##### **§ 52:15D-14** Distribution of fraud-response funding. {#sec-52-15d-14 omnilex-key=us-nj-statutes--title-52--52:15D-14}
1. a. The commissioner shall permit the distribution of fraud-response funding to an applicant if a government agency notifies the department, in writing, that there is reasonable cause to believe that a RREM or LMI program contractor has engaged in conduct in violation of the New Jersey consumer fraud act, P.L.1960, c.39 (C.56:8-1 et seq.), or regulations promulgated thereto, in connection with a RREM or LMI program contract to complete work on the applicant's house. The department shall distribute fraud-response funding regardless of whether an applicant presents a charging document, so long as the government agency has provided written notification pursuant to this subsection.
b. The commissioner shall consult the Division of Consumer Affairs in the Department of Law and Public Safety to develop an appropriate process for a government agency to submit written notification pursuant to subsection a. of this section.
c. An applicant shall not be entitled to a fraud-response funding award if any portion of the award would amount to a duplicative benefit or would otherwise violate the "Robert T. Stafford Disaster Relief and Emergency Assistance Act," (42 U.S.C. s.5155), or another provision of federal law.
d. As used in this section:
"Applicant" means a RREM or LMI program beneficiary who applies for fraud-response funding.
"Charging document" means a document alleging that the applicant's contractor has been charged with fraud or theft by deception in connection with a RREM or LMI program contract to complete work on the applicant's house, which shall include, but not be limited to, an arrest warrant, a criminal complaint, an accusation signed by a prosecuting attorney, or an indictment.
"Commissioner" means the Commissioner of Community Affairs.
"Department" means the Department of Community Affairs.
"Fraud-response funding" means funding allocated by the federal government, which may be allocated to reimburse an applicant, who has been defrauded by a RREM or LMI program contractor.
"Government agency" means the Division of Consumer Affairs in the Department of Law and Public Safety, the Office of the Attorney General, a county prosecutor's office, a State, county, or municipal law enforcement agency, a federal law enforcement agency, or any other government law enforcement authority.
"RREM or LMI program" means the Reconstruction, Rehabilitation, Elevation, and Mitigation Program or the Low-to-Moderate Income Homeowners Rebuilding Program, established by the department for the purpose of distributing federal funding allocated towards recovery from Superstorm Sandy.
##### **§ 52:15D-15** Definitions. {#sec-52-15d-15 omnilex-key=us-nj-statutes--title-52--52:15D-15}
1. As used in P.L.2024, c.85 (C.52:15D-15 et seq.):
"Blue Acres" means the Blue Acres Community Development Block Grant Disaster Recovery Program administered by the State of New Jersey.
"Certification of Eligibility for Forbearance" means a final determination by the department that an applicant has satisfied all eligibility criteria set forth in subsection b. of section 2 of P.L.2024, c.85 (C.52:15D-16) and is thus entitled to mortgage forbearance in accordance with P.L.2024, c.85 (C.52:15D-15 et seq.).
"Complete application" means an application properly filed with the department, which contains all information and documentation required by subsection c. of section 2 of P.L.2024, c.85 (C.52:15D-16) to determine whether the applicant meets the eligibility criteria to receive a Certification of Eligibility for Forbearance.
"Commissioner" means Commissioner of Community Affairs.
"Department" means the Department of Community Affairs.
"HARP" means the Homeowner Assistance and Recovery Program administered by the State of New Jersey.
"Hurricane Ida" means the major storm that made landfall in New Jersey on September 1, 2021, for which a Presidential declaration that a major disaster existed in New Jersey was issued on September 5, 2021.
"MAP" means the Mitigation Assistance Program administered by the State of New Jersey.
"Mortgage" means a mortgage, trust deed, or other security in the nature of a residential mortgage.
"Mortgage forbearance" or "forbearance" means a period during which the obligations for mortgage principal and interest payments of a storm-impacted homeowner who receives a Certification of Eligibility for Forbearance are suspended. A storm-impacted homeowner who receives a forbearance pursuant to P.L.2024, c.85 (C.52:15D-15 et seq.) remains responsible for tax and insurance payments during the period of forbearance, as well as maintenance of the property that is the subject of the forbearance.
"Mortgage servicer" means the same as that term is defined in section 2 of P.L.2019, c.65 (C.17:16F-28).
"Primary residence" means a homestead located in the State of New Jersey that is occupied by a storm-impacted homeowner as their permanent residence or that would be so occupied but for damage due to Hurricane Ida that has rendered the homestead uninhabitable, as distinguished from a vacation home, property owned and rented or offered for rent by the homeowner, and other secondary real property holdings.
"Storm-impacted homeowner" means a person who holds a mortgage to a primary residence and, as a result of the damage to that primary residence due to Hurricane Ida is participating in HARP, applied to but was denied participation in HARP solely based on HARP criteria excluding homes located in government-designated flood-hazard areas or floodways, has applied to and is pending an award from MAP, or has been invited to participate or is participating in Blue Acres.
##### **§ 52:15D-16** Certification of Eligibility for Forbearance, online application, eligibility. {#sec-52-15d-16 omnilex-key=us-nj-statutes--title-52--52:15D-16}
2. a. A person who meets the eligibility criteria set forth in subsection b. of this section may file an application with the Department of Community Affairs, requesting a Certification of Eligibility for Forbearance, online through a system established by the department. The department shall publish instructions for filing an application requesting a Certification of Eligibility for Forbearance on its Internet website by no later than 60 days after the enactment of P.L.2024, c.85 (C.52:15D-15 et seq.). The department shall make the online application system publicly available by no later than 90 days after the enactment of P.L.2024, c.85 (C.52:15D-15 et seq.). All applications must be submitted to the department by no later than 30 days following the date on which the department makes the online application system publicly available pursuant to this section.
b. To qualify for a Certification of Eligibility for Forbearance, an applicant must satisfy the following eligibility criteria:
(1) meet the definition of "storm-impacted homeowner" pursuant to section 1 of P.L.2024, c.85 (C.52:15D-15);
(2) have a current mortgage obligation on their primary residence; and
(3) submit a complete application to the department that satisfies the requirements set forth in P.L.2024, c.85 (C.52:15D-15 et seq.).
A storm-impacted homeowner shall be eligible for a forbearance regardless of whether the storm-impacted homeowner's primary residence is already the subject of a foreclosure proceeding.
c. To be deemed complete, an application for a Certification of Eligibility for Forbearance must comply with the instructions for filing published by the department and include copies of the following materials:
(1) documentation demonstrating that the applicant meets the definition of storm-impacted homeowner pursuant to section 1 of P.L.2024, c.85 (C.52:15D-15);
(2) proof that the applicant has a current mortgage obligation on their primary residence;
(3) a written attestation by the applicant under penalty of law that:
(a) the information submitted to the department in support of the application for a Certification of Eligibility for Forbearance is true and accurate to the best of the applicant's knowledge; and
(b) the applicant understands and accepts that the department may, as part of its review process, take necessary steps to verify the information submitted by the applicant, and agrees to cooperate with the department in any such verification process; and
(4) any additional documentation requested by the department.
d. (1) Within 90 days from the conclusion of the application submission period set forth in subsection a. of this section, the department shall determine whether the application:
(a) is complete, and, if not, the department shall provide written notice to the applicant explaining why the application is incomplete. An applicant who receives notice from the department that their application is incomplete shall have 15 days after they receive such notice to resubmit their application. Upon the applicant's resubmission, the 90-day review period shall begin from the original date of submission; and
(b) meets the eligibility criteria set forth in subsection b. of this section and, if so, issue a Certification of Eligibility for Forbearance to the storm-impacted homeowner.
(2) If the department determines that an application does not meet the eligibility criteria, the department shall provide written notice to the applicant explaining why the application does not meet the eligibility criteria and providing information on the applicant's ability to appeal the department's decision.
(3) If the department fails to act on an application that it has deemed to be complete before the expiration of the 90-day review period pursuant to this subsection, the applicant shall be deemed to have satisfied the eligibility criteria, and the department shall issue a Certification of Eligibility for Forbearance to the storm-impacted homeowner.
(4) Upon their receipt of a Certification of Eligibility for Forbearance, the storm-impacted homeowner shall notify and provide a copy of the Certification of Eligibility for Forbearance to the mortgage servicer identified in their application.
e. The forbearance period shall conclude one year after the date on which the department issues a Certification of Eligibility for Forbearance to a storm-impacted homeowner unless the storm-impacted homeowner discontinues the mortgage forbearance pursuant to subparagraph (a) of paragraph (3) of subsection f. of this section or the mortgage forbearance is terminated by the commissioner pursuant to subparagraph (b) of paragraph (3) of subsection f. of this section.
f. (1) Notwithstanding the provisions of any law, rule, or regulation to the contrary, the repayment period of any mortgage subject to the forbearance pursuant to the issuance of a Certification of Eligibility for Forbearance shall be extended by the number of months the forbearance is in effect. The payments not made during the forbearance shall be due on a monthly basis during the period constituting an extension of the mortgage unless the storm-impacted homeowner granted a Certification of Eligibility for Forbearance has chosen to make these payments earlier.
(2) During the time of the forbearance, and during the period constituting an extension of the mortgage, all terms and conditions of the original mortgage, except with regard to default and delinquency during forbearance, shall continue without modification and there shall be no fees assessed, including attorney's fees, related to the forbearance or late payment or penalty for early repayment. A mortgage forbearance pursuant to this section shall not be construed to impact a homeowner's property tax or insurance obligations related to the property that is the subject of the forbearance. A homeowner who receives a Certification of Eligibility for Forbearance shall be responsible for maintenance of the property that is the subject of the forbearance during the period of forbearance.
(3) (a) A storm-impacted homeowner who receives a Certification of Eligibility for Forbearance shall have the option to discontinue the mortgage forbearance at any time at the election of the storm-impacted homeowner upon written notice to the mortgage servicer and to the department stating that they knowingly waive any rights they would otherwise be afforded hereunder.
(b) The commissioner may terminate a Certification of Eligibility for Forbearance and the mortgage-forbearance period if the commissioner determines that the storm-impacted homeowner made a false or misleading statement, misrepresentation, or omission of a material fact in any application or submission of information to the department pursuant to P.L.2024, c.85 (C.52:15D-15 et seq.). Upon the termination of a Certification of Eligibility for Forbearance or mortgage-forbearance period pursuant to this subparagraph, the commissioner shall provide notice to the storm-impacted homeowner of their right to a hearing to contest the termination in accordance with the requirements of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
(4) During any period of mortgage forbearance granted pursuant to this section, a mortgage servicer shall not, for the purposes of foreclosure of a residential property that is the subject of a Certification of Eligibility for Forbearance issued pursuant to this section that is not vacant, abandoned or otherwise subject to P.L.2003, c.210 (C.55:19-78 et al.):
(a) send a storm-impacted homeowner a notice of intention to foreclose pursuant to section 4 of P.L.1995, c.244 (C.2A:50-56); or
(b) otherwise initiate the foreclosure process.
A deadline or time period for action by a party to the foreclosure process for a residential property that is subject to a Certification of Eligibility for Forbearance issued pursuant to this section and filed prior to the effective date of P.L.2024, c.85 (C.52:15D-15 et seq.) shall be tolled until the end of the period of the mortgage forbearance.
g. A storm-impacted homeowner who has received a Certification of Eligibility for Forbearance and is denied a forbearance by a mortgage servicer licensed by the Department of Banking and Insurance may file a complaint with the Department of Banking and Insurance. The Department of Banking and Insurance shall investigate the complaint and, if appropriate, shall order the mortgage servicer to grant a forbearance to the storm-impacted homeowner pursuant to this section.
h. (1) To the extent required by the Administrative Director of the Courts, the mortgage servicer shall provide the docket numbers, party names, and property addresses as to any pending court actions involving any property granted a forbearance to the Superior Court Clerk's Office.
(2) The mortgage servicer shall submit information on all forbearances that the mortgage servicer has provided within the State to the Department of Banking and Insurance on a monthly basis, or on any alternative schedule directed by the Department of Banking and Insurance, after removing all personally identifiable information. This information shall be submitted in accordance with any specifications required by the Department of Banking and Insurance, and, to the extent required by the Department of Banking and Insurance, shall be deemed to be government records and subject to the provisions of P.L.1963, c.73 (C.47:1A-1 et seq.), commonly known as the Open Public Records Act.
i. This section shall not apply to any mortgage loans made, insured, or securitized by the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation, the Federal Housing Administration of the United States Department of Housing and Urban Development, the Department of Veterans Affairs, or the Rural Housing Service nor shall this section apply to any mortgage loans serviced pursuant to the policies of these entities but not made, insured, or securitized by the entities unless the mortgage loan has been granted a forbearance pursuant to this section prior to being serviced by these entities.
j. It shall be an unlawful discrimination in violation of the "New Jersey Law Against Discrimination," P.L.1945, c.169 (C.10:5-1 et seq.) for a mortgage servicer to discriminate in application of the provisions of this section on any basis protected by subsection g. of section 11 of P.L.1945, c.169 (C.10:5-12).
##### **§ 52:15D-17** Storm-impacted homeowner, stay, foreclosure proceeding. {#sec-52-15d-17 omnilex-key=us-nj-statutes--title-52--52:15D-17}
3. A storm-impacted homeowner who is the subject of a foreclosure proceeding shall be awarded, by the court and upon application by the property owner for good cause shown, a stay in the foreclosure proceedings. An application to the court by a storm-impacted homeowner pursuant to this section shall be made prior to the first day of the sixth month next following the effective date of P.L.2024, c.85 (C.52:15D-15 et seq.), unless the courts in their discretion permit application submission for a longer period. The receipt of a Certification of Eligibility for Forbearance, issued to the storm-impacted homeowner pursuant to section 2 of P.L.2024, c.85 (C.52:15D-16), shall constitute good cause for the award of a stay pursuant to this subsection. The award of a stay pursuant to this section shall conclude upon the earlier of:
a. the conclusion of one year following the initial award of a stay of foreclosure proceedings; or
b. January 1, 2026.
## **Chapter 16**
##### **§ 52:16-1** Bond; conditions; surety; filing {#sec-52-16-1 omnilex-key=us-nj-statutes--title-52--52:16-1}
The Secretary of State, before entering upon the performance of his duties, shall enter into bond to the State of New Jersey, with sufficient surety to be approved by a judge of the Superior Court, in the sum of five thousand dollars ($5,000.00), conditioned that he will well and truly execute the office of Secretary of State, and faithfully and impartially perform and execute all things pertaining to said office, both as regards the State and all persons concerned, and at the expiration of his said office, deliver all the books, records and papers remaining in or appertaining to said office, to his successor. If individual and not corporate surety is given, the sureties shall be at least two in number and shall be freeholders of the State.
Said bond, when so executed, shall be recorded in the office of the Clerk of the Superior Court and thereafter delivered by such clerk to the State Treasurer who shall keep it among the public papers of his office.
##### **§ 52:16-2** Oath; form; filing {#sec-52-16-2 omnilex-key=us-nj-statutes--title-52--52:16-2}
The Secretary of State, after having given bond as required by section 52:16-1 of this Title, shall take and subscribe the following oath before the Chief Justice or any associate justice of the Supreme Court or any judge of the Superior Court:
"I, A. B., do solemnly swear that I will well and truly, faithfully, impartially and justly execute the office of Secretary of State of New Jersey, of the same, agreeably to law, according to the best of my skill and understanding."
Said oath, so subscribed, shall be delivered by the justice or judge administering the same to the State Treasurer who shall keep it among the public papers of his office.
##### **§ 52:16-4** Office in Trenton {#sec-52-16-4 omnilex-key=us-nj-statutes--title-52--52:16-4}
The Secretary of State shall keep his office within the city of Trenton.
##### **§ 52:16-5** Assistant secretary of state {#sec-52-16-5 omnilex-key=us-nj-statutes--title-52--52:16-5}
The Secretary of State may appoint an assistant in his office who shall be commissioned by the Governor to be Assistant Secretary of State and who shall hold his office during the pleasure of the Secretary of State making the appointment, but in no case to extend beyond the term for which said Secretary of State is commissioned.
Said assistant shall take and subscribe an oath of like form and character as is required of the Secretary of State and shall give bond to the State in the sum of $2,500.00 with like conditions and to be approved in like manner as is required by section 52:16-1 of this Title.
The Assistant Secretary of State shall, during the absence or inability through sickness or other cause of the Secretary of State, have the same powers and perform all the duties which are imposed by law upon the Secretary of State.
##### **§ 52:16-6** Clerical assistants {#sec-52-16-6 omnilex-key=us-nj-statutes--title-52--52:16-6}
The secretary of state shall at all times employ and keep in his office a sufficient number of competent clerical assistants for the efficient and prompt performance of all business and duties relating to his office or required of him in any official capacity.
##### **§ 52:16-7** Seal of secretary of state; validity of sealed instruments {#sec-52-16-7 omnilex-key=us-nj-statutes--title-52--52:16-7}
The seal of the secretary of state now in use shall be continued to be used until otherwise provided, and shall remain in the custody of the secretary of state.
All commissions, writs, process and other proceedings and instruments of writings, certificates and exemplifications, required to be sealed by the secretary of state, shall be valid and effectual when sealed with the seal of said secretary.
##### **§ 52:16-8** Recording and filing papers {#sec-52-16-8 omnilex-key=us-nj-statutes--title-52--52:16-8}
The Secretary of State shall, with all convenient speed, record all papers which shall come to his hands and which it is his duty to record, and also file such papers in his office, agreeably to law.
##### **§ 52:16-8.1** Filings with, certification from State's commercial recording program; applicability {#sec-52-16-8.1 omnilex-key=us-nj-statutes--title-52--52:16-8.1}
1. a. Notwithstanding the statutory provisions to the contrary, for any of the areas listed in subsection b. of this section, whenever a law of this State directs a filing to be made with, or a certification to be obtained from, the Office of the Secretary of State, that law shall be construed to mean a filing with, or a certification from, the State's commercial recording program, no matter where the program is assigned as part of any government reorganization plan.
b. The provisions set forth in subsection a. of this section shall apply to filings and certifications for corporations and all other legal business entities, Uniform Commercial Code financing statements, notaries public and foreign commissioners of deeds, apostilles and other certifications used in international and domestic document exchange, trade names, trade and service marks, collection agency bonds, and legal name changes.
##### **§ 52:16-9** Monthly abstract of corporate certificates, etc., certified to state tax commissioner {#sec-52-16-9 omnilex-key=us-nj-statutes--title-52--52:16-9}
The secretary of state shall prepare and certify to the state tax commissioner, within thirty days after the end of each calendar month, abstracts of all corporate certificates, documents and other writings now or hereafter required to be filed in the office of the secretary, and so filed during said calendar month, pursuant to Title 14, Corporations, General.
The abstracts shall show in a summary form, which form may be prescribed by the state tax commissioner, all pertinent information necessary to enable the commissioner effectively to discharge his duties in computing and determining the annual license fee or franchise tax with respect to all corporations subject thereto pursuant to Title 14, Corporations, General, and pursuant to article 1 of chapter 13 of the title Taxation (s. 54:13-1 et seq.).
##### **§ 52:16-10** Fees to State Treasurer {#sec-52-16-10 omnilex-key=us-nj-statutes--title-52--52:16-10}
The Secretary of State shall not be entitled to, or take, receive or retain, except for the use of the State, any compensation, pay, fee or emolument whatsoever, other than his annual salary, for any act or service performed or thing done or furnished by the Secretary of State in any official capacity, or under any law of this State. The gross amount of all moneys received by the secretary in any capacity for the use of the State shall be paid to the State Treasurer, except as is otherwise provided in this 1987 amendatory and supplementary act.
##### **§ 52:16-10.1** Secretary of State Fund {#sec-52-16-10.1 omnilex-key=us-nj-statutes--title-52--52:16-10.1}
17. There is created a revolving fund in the General Treasury, to be administered by the Secretary of State, to be the depository of all fees received by the Department of State pursuant to N.J.S.12A:9-525; N.J.S.14A:15-2 and N.J.S.14A:15-3; N.J.S.15A:15-1 and N.J.S.15A:15-2; section 11 of P.L.1987, c.435 (C.22A:4-1a); section 65 of P.L.1983, c.489 (C.42:2A-68); R.S.48:3-38; section 2 of P.L.1979, c.460 (C.52:7-11); R.S.52:16-10; sections 3 through 6 of P.L.1966, c.263 (C.56:3-13.3 through C.56:3-13.6); and section 5 of P.L.1971, c.171 (C.56:3-13.7a). The fund is to be known as the "Secretary of State Fund." The moneys deposited in the fund are dedicated and pledged solely for the purposes contained in this 1987 amendatory and supplementary act and shall be in addition to any moneys appropriated by the Legislature to the department for the purposes specified in section 19 of this act. When the Administrator of the Office of Telecommunications and Information Systems certifies to the Governor and State Treasurer that the design, construction, purchase and implementation of an automated information system within the Division of Commercial Recording in the Department of State is completed, the Secretary of State Fund shall be terminated and all fees received by the Department of State shall be deposited in the General Fund.
##### **§ 52:16-10.2** Annual appropriation {#sec-52-16-10.2 omnilex-key=us-nj-statutes--title-52--52:16-10.2}
Commencing with fiscal year 1988 and in each year thereafter, there shall be appropriated from the Secretary of State Fund to the General Fund an amount equivalent to the lesser of:
a. $11,000,000.00; or
b. the total amount of fees deposited in the Secretary of State Fund during the fiscal year.
##### **§ 52:16-10.3** Additional appropriations {#sec-52-16-10.3 omnilex-key=us-nj-statutes--title-52--52:16-10.3}
There shall be appropriated from the Secretary of State Fund to the Department of State in fiscal year 1988 and in each year thereafter, amounts in excess of the amount required to be appropriated pursuant to section 18 of this act, for the following purposes:
a. designing, constructing, purchasing, maintaining and implementing an automated information system within the Division of Commercial Recording in the Department of State; and
b. establishing a centralized filing office for farm product liens as provided in the Federal Food Security Act and any federal regulations adopted pursuant to that act.
##### **§ 52:16-10.4** Joint committee {#sec-52-16-10.4 omnilex-key=us-nj-statutes--title-52--52:16-10.4}
The Judiciary committees of the Senate and General Assembly, or their respective successors, are constituted a joint committee for the purposes of monitoring and evaluating whether the implementation of purposes set forth in section 19 of this act are being conducted in a timely fashion and pursuant to the parameters and schedules set forth in the modernization schedule developed for the Division of Commercial Recording. The joint committee shall also review the expenditures made from the fund established pursuant to section 17 of this act to verify that expenditures made from moneys appropriated from the fund are consistent with the purposes set forth in section 19 of this act.
The joint committee shall report its findings annually to the Legislature.
##### **§ 52:16-11** Penalty for refusal to issue commissions or for taking illegal fees {#sec-52-16-11 omnilex-key=us-nj-statutes--title-52--52:16-11}
Whenever the secretary of state shall:
a. Neglect or refuse to issue a commission to any person elected or appointed to an office within the state; or
b. Take fees for any commission where by law he is not entitled to fees; or
c. Where he is entitled to fees, take more than by law he is entitled to take--
He shall for every such offense forfeit the sum of one hundred and fifty dollars, to be recovered, with costs, by any person suing for the same; one-half to go to the prosecutor and the other half to the state treasurer for the use of the state.
## **Chapter 16A**
##### **§ 52:16A-1** Department established {#sec-52-16a-1 omnilex-key=us-nj-statutes--title-52--52:16A-1}
There is hereby established in the executive branch of the State Government a principal department which shall be known as the Department of State.
##### **§ 52:16A-2** Secretary of State; appointment; salary; term; vacancy {#sec-52-16a-2 omnilex-key=us-nj-statutes--title-52--52:16A-2}
The head of the Department of State shall be the Secretary of State who shall be appointed by the Governor, with the advice and consent of the Senate, and who shall serve during the term of office of the Governor. He shall receive such salary as shall be provided by law. Any vacancy occurring in the office of Secretary of State shall be filled in the same manner as the original appointment, but for the unexpired term only.
The person in office as Secretary of State on the thirty-first day of December, one thousand nine hundred and forty-eight, shall hold the office of Secretary of State in the Department of State established hereunder for the unexpired period of the term for which he was appointed, and until his successor is appointed and qualifies.
##### **§ 52:16A-3** Powers, duties and property of existing Secretary of State transferred to Department of State {#sec-52-16a-3 omnilex-key=us-nj-statutes--title-52--52:16A-3}
The functions, powers, duties, records and property of the existing office of Secretary of State, and of the Secretary of State, are hereby transferred to and vested in the Department of State established hereunder, and shall be exercised and used by the Secretary of State pursuant to the provisions of this act and as otherwise provided by law.
##### **§ 52:16A-10** Board of State Canvassers {#sec-52-16a-10 omnilex-key=us-nj-statutes--title-52--52:16A-10}
There shall be in the Department of State the Board of State Canvassers, to be constituted as provided by law.
The Board of State Canvassers shall have and exercise all of the functions, powers and duties conferred and imposed upon it by law.
##### **§ 52:16A-11** Powers and duties of Secretary of State {#sec-52-16a-11 omnilex-key=us-nj-statutes--title-52--52:16A-11}
In addition to other powers and duties specifically conferred and imposed upon him by this act or by any other law, the Secretary of State shall:
(a) Supervise the work of the employees engaged in the Department of State.
(b) Adopt uniform procedures for all secretarial, recording and clerical duties for each office within the Department of State.
(c) Maintain a public register of all persons licensed by the State Athletic Commissioner.
(d) Integrate, so far as practicable, all staff services of the Department of State and of each of the offices therein.
##### **§ 52:16A-11.1** Payment of fees in advance of performance by Department of State {#sec-52-16a-11.1 omnilex-key=us-nj-statutes--title-52--52:16A-11.1}
The Department of State may require, for the performance of any service for which any fee is payable, payment in advance of the performance of the service. For convenience the department may receive reasonable deposits in advance from persons desiring services for which fees are payable and the department shall account at least annually to the persons making or maintaining such deposits.
##### **§ 52:16A-12** Request officer, Secretary of State as {#sec-52-16a-12 omnilex-key=us-nj-statutes--title-52--52:16A-12}
The Secretary of State shall be the request officer of the Department of State within the meaning of such term as defined in chapter one hundred twelve of the laws of one thousand nine hundred and forty-four.
##### **§ 52:16A-13** Employees of existing office of Secretary of State transferred {#sec-52-16a-13 omnilex-key=us-nj-statutes--title-52--52:16A-13}
Such employees of the existing office of Secretary of State, as the Secretary of State may determine are needed for the proper performance of the functions and duties imposed upon him, are hereby transferred to the Department of State established hereunder. Persons thus transferred shall be assigned to such duties as the Secretary of State shall determine.
##### **§ 52:16A-14** Appropriations transferred {#sec-52-16a-14 omnilex-key=us-nj-statutes--title-52--52:16A-14}
All appropriations available and to become available to the Secretary of State, and all appropriations available and to become available to the State Athletic Commissioner are hereby transferred to the Department of State established hereunder, and shall be available for the objects and purposes for which appropriated.
##### **§ 52:16A-15** Civil Service, pension or retirement rights not affected {#sec-52-16a-15 omnilex-key=us-nj-statutes--title-52--52:16A-15}
Nothing in this act shall be construed to deprive any person of any right or protection provided him by Title 11 of the Revised Statutes, Civil Service, or under any pension law or retirement system.
##### **§ 52:16A-16** Orders, rules and regulations of Secretary of State continued {#sec-52-16a-16 omnilex-key=us-nj-statutes--title-52--52:16A-16}
This act shall not affect the orders, rules and regulations heretofore made or promulgated by the Secretary of State but such orders, rules and regulations shall continue with full force and effect until amended or repealed by the Secretary of State.
##### **§ 52:16A-17** Orders, rules and regulations of Athletic Commissioner continued {#sec-52-16a-17 omnilex-key=us-nj-statutes--title-52--52:16A-17}
This act shall not affect the orders, rules and regulations heretofore made or promulgated by the State Athletic Commissioner, but such orders, rules and regulations shall continue with full force and effect until amended or repealed by the State Athletic Commissioner.
##### **§ 52:16A-20** Pending actions or proceedings by or against officers whose powers and duties are transferred {#sec-52-16a-20 omnilex-key=us-nj-statutes--title-52--52:16A-20}
This act shall not affect actions or proceedings, civil or criminal, brought by or against any officer, the functions, powers and duties of whom have been herein assigned or transferred to the Department of State or to any officer or agency continued or constituted hereunder, and pending on the effective date of this act, and such actions or proceedings may be prosecuted or defended in the same manner and to the same effect by the department, officer or agency to which such assignment or transfer has been made hereunder, as if the foregoing provisions had not taken effect; nor shall any of the foregoing provisions affect any order or recommendation made by, or other matters or proceedings before, any officer, the functions, powers and duties of whom have been herein assigned or transferred to the Department of State or to any officer or agency continued or constituted hereunder, and all such matters or proceedings pending before such officer on the effective date of this act shall be continued by the department, officer or agency to which such assignment or transfer has been made hereunder, as if the foregoing provisions had not taken effect.
##### **§ 52:16A-21** Professional or occupational licenses not affected {#sec-52-16a-21 omnilex-key=us-nj-statutes--title-52--52:16A-21}
Nothing in this act shall affect the validity of any license, certificate of registration, or other authorization, heretofore issued to any person under any prior law, to practice any profession or to engage in any occupation governed or regulated by the provisions of this act or by any officer, the functions, powers and duties of whom have been herein transferred or assigned to an officer within the Department of State established hereunder; but all persons holding such licenses, certificates of registration, or other authorization shall in all other respects be subject to the provisions of this act and to the respective provisions of law governing or regulating such profession or occupation.
##### **§ 52:16A-22** Repeal {#sec-52-16a-22 omnilex-key=us-nj-statutes--title-52--52:16A-22}
All acts and parts of acts inconsistent with any of the provisions of this act are, to the extent of such inconsistency, hereby repealed.
##### **§ 52:16A-23** Short title {#sec-52-16a-23 omnilex-key=us-nj-statutes--title-52--52:16A-23}
This act shall be known as, and may be cited as, the "Department of State Act of 1948."
##### **§ 52:16A-24** Effective date {#sec-52-16a-24 omnilex-key=us-nj-statutes--title-52--52:16A-24}
This act shall take effect on the first day of January, one thousand nine hundred and forty-nine, except that any appointment, and any confirmation of any appointment, permitted by this act may be made prior to such date.
##### **§ 52:16A-25** State council on the arts; members; appointment; term; vacancies; compensation {#sec-52-16a-25 omnilex-key=us-nj-statutes--title-52--52:16A-25}
There is hereby established in the Department of State the New Jersey State Council on the Arts, to be referred to hereinafter as the council.
a. The council shall consist of 17 public members, to be appointed by the Governor with the advice and consent of the Senate from among citizens of New Jersey or persons otherwise associated with the State, who are known for their competence and experience in connection with the performing, visual and creative arts.
b. There shall be three nonvoting, ex officio members of the New Jersey State Council on the Arts, in addition to the 17 public members.
(1) The Secretary of State or his designee shall serve as a nonvoting, ex officio member for a term coextensive with the secretary's term of office or until such time as the Secretary of State appoints another designee, whichever occurs first.
(2) One member of the Senate, appointed by the President of the Senate, and one member of the General Assembly, appointed by the Speaker of the General Assembly, shall be appointed as nonvoting, ex officio members of the New Jersey State Council on the Arts, not both of the same political party. Both Senate and General Assembly nonvoting, ex officio members shall be designated members to the National Conference of State Legislatures' Committee on the Arts. The legislative members shall serve for terms coextensive with the legislative terms for which they were elected, subject to reappointment after the expiration of the legislative year.
c. The term of office of each member shall be three years, except that the present 15 members of the council shall continue in office for the terms to which they were appointed; provided that the two additional public members first appointed under this amendatory and supplementary act shall be appointed for initial terms ending on December 12, 1984. All vacancies shall be filled for the balance of the unexpired term only, in the same manner as original appointments. The members of the council shall not receive any compensation for their services, but shall be reimbursed for their actual and necessary expenses incurred in the performance of their duties as members of the council. The non-voting, ex officio members shall not receive any compensation for services or reimbursement for expenses.
##### **§ 52:16A-25.1** Transfer of council on the arts to department of state {#sec-52-16a-25.1 omnilex-key=us-nj-statutes--title-52--52:16A-25.1}
The New Jersey State Council on the Arts in the Department of Education, together with its functions, powers and duties, is transferred to the Department of State.
##### **§ 52:16A-25.2** Transfer in accordance with State Agency Transfer Act {#sec-52-16a-25.2 omnilex-key=us-nj-statutes--title-52--52:16A-25.2}
The transfer directed by this act shall be made in accordance with the "State Agency Transfer Act," P.L.1971, c. 375 (C.52:14D-1 et seq.).
##### **§ 52:16A-26** Duties of council {#sec-52-16a-26 omnilex-key=us-nj-statutes--title-52--52:16A-26}
The duties of the council shall be:
(a) To take such steps as may be deemed necessary and appropriate to stimulate and encourage the study and presentation of the performing and creative arts, and to foster public interest in and support of the arts in our State.
(b) To make such surveys as may be deemed advisable to public and private institutions within the State engaged in the performing and creative arts, and to make recommendations for appropriate action to enlarge the State's resources in the performing and creative arts.
(c) To encourage and assist freedom of expression in the performing and creative arts.
(d) To assist in complementing the design of public buildings in this State in accordance with the provisions of the "Public Buildings Arts Inclusion Act."
For the purposes of this act, the term "performing and creative arts" shall include, but not be limited to, music, theater, dance, literature, painting, sculpture, architecture, photography, film art, handicrafts, graphic arts and design.
##### **§ 52:16A-26.1** Short title {#sec-52-16a-26.1 omnilex-key=us-nj-statutes--title-52--52:16A-26.1}
This act shall be known and may be cited as the "State and Regional Centers of Artistic Excellence Act."
##### **§ 52:16A-26.2** Definitions {#sec-52-16a-26.2 omnilex-key=us-nj-statutes--title-52--52:16A-26.2}
As used in this act:
a. "Council" means the New Jersey State Council on the Arts in the Department of State;
b. "Cultural activities" means performances, displays, and educational programs of music, dance, opera, theatre, painting, sculpture, architecture, photography, film art, handicrafts, graphic arts, design, literature, and other similar or related activities;
c. "Network" means more than one facility, structure or space which are managed and operated in conjunction and cooperation with one another for the primary purpose of presenting or producing cultural activities;
d. "Qualifying governmental body" means a municipality, contiguous municipalities or a county in which government arts or cultural boards or commissions, nonprofit arts or cultural corporations, and arts, cultural, educational, or philanthropic organizations provide, in conjunction with one another, a wide range of cultural activities on a year-round basis through the management, operation, and maintenance of the necessary facilities;
e. "Regional center" means a cultural facility or network of facilities to be designated by the council pursuant to this act, which is located within a municipality or within two or more contiguous municipalities, which possesses the appropriate and requisite space, technical capabilities and professional management to present or produce on a year-round basis cultural programs and activities of high artistic quality representing a balanced variety of major disciplines and forms, and which serves a broad and diverse regional audience;
f. "State center" means a cultural facility or network of facilities to be designated by the council pursuant to this act, which is located within a municipality or within two or more contiguous municipalities, which possesses the appropriate and requisite space, technical capabilities and professional management to present or produce on a year-round basis cultural programs and activities of the highest artistic quality by major State, national or international artists and arts groups representing all major disciplines and forms, and which serves a diverse Statewide audience.
##### **§ 52:16A-26.3** Powers, responsibilities {#sec-52-16a-26.3 omnilex-key=us-nj-statutes--title-52--52:16A-26.3}
In addition to the powers and responsibilities provided under any other law, the council shall have the following powers and responsibilities:
a. To provide municipalities, counties and prospective centers with information related to qualification, application and reapplication under the provisions of this act;
b. To designate centers in qualifying municipalities and counties pursuant to this act;
c. To monitor continuously the operation of centers so designated;
d. To remove designation of or to redesignate from State to regional a center if, within the municipality, municipalities or county, the boards, commissions, and organizations responsible for management, operation, and maintenance of the facilities fail to continue to meet the criteria established for the respective designations of State and regional centers; and
e. To promulgate the rules and regulations pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.), necessary to effectuate the purposes of this act.
##### **§ 52:16A-26.4** Application for center designation {#sec-52-16a-26.4 omnilex-key=us-nj-statutes--title-52--52:16A-26.4}
A qualifying governmental body may develop and adopt by ordinance or resolution a State cultural center plan or a regional cultural center plan to be submitted to the council as an application for designation as a center. The plan shall include:
a. A description of the facilities available for cultural activities;
b. A statement of the boards, commissions, and organizations responsible for management, operation, and maintenance of the facilities involved and activities provided, and any plans or commitments made by these groups for the continuation of services and provision of activities;
c. A description of the types of cultural activities that are provided, or are to be provided, at and by the center; and
d. A statement of commitments made by private individuals, businesses, and organizations for developing, financing, and maintaining the center and its activities.
##### **§ 52:16A-26.5** State cultural center {#sec-52-16a-26.5 omnilex-key=us-nj-statutes--title-52--52:16A-26.5}
Upon application by a municipality, two or more contiguous municipalities or a county, the council shall designate a facility or network of facilities within the applicant's jurisdiction as a State cultural center under the provisions of this act, if it determines that the plan submitted demonstrates that:
a. The variety of cultural activities includes programs of all major arts disciplines of interest to all segments of the population and are presented on a year-round basis;
b. The facilities of the proposed center are capable, in terms of seating capacity, staging, appurtenant production preparation space, auxiliary facilities, sound, lighting and other technical aspects, management, marketing, maintenance support, parking and convenience, of meeting the needs of major State, national and international artists and arts groups and serving New Jersey citizens residing outside the municipal and county boundaries;
c. The cultural activities provided are of high quality and merit; and
d. Private individuals, businesses, and organizations are participating in the functioning of the center in an effort to promote and develop cooperation between public and private entities in the support of cultural activities.
The council shall review, and approve or disapprove, an application within 120 days of receipt. If the council disapproves the application, it shall set forth its reasons in writing to the applicant within 30 days of its determination. The applicant may amend its ordinance or resolution and resubmit an application to the council, subject to the review and approval provisions of this section.
##### **§ 52:16A-26.6** Regional cultural center {#sec-52-16a-26.6 omnilex-key=us-nj-statutes--title-52--52:16A-26.6}
Upon application by a municipality, two or more contiguous municipalities, or a county, the council shall designate a facility or network of facilities within the applicant's jurisdiction as a regional cultural center under the provisions of this act, if it determines that the plan submitted demonstrates that:
a. The variety of cultural activities offered represents a mixture of major arts disciplines through programs of interest to all segments of the population;
b. The facilities of the proposed center are capable, in terms of seating capacity, staging, appurtenant production preparation space, auxiliary facilities, sound, lighting and other technical aspects, management, marketing and maintenance support, parking and convenience, of presenting a wide range of artists and arts groups and of serving New Jersey citizens residing outside the municipal boundaries;
c. The cultural activities are of high quality and merit; and
d. Private individuals, businesses, and organizations are participating in the functioning of the center in an effort to promote and develop cooperation between public and private entities in the support of cultural activities.
The council shall review, and approve or disapprove, an application within 120 days of receipt. If the council disapproves the application, it shall set forth its reasons in writing to the applicant within 30 days of its determination. The applicant may amend its ordinance or resolution and resubmit an application to the council, subject to the review and approval provisions of this section.
##### **§ 52:16A-26.7** Continued grant eligibility {#sec-52-16a-26.7 omnilex-key=us-nj-statutes--title-52--52:16A-26.7}
7. Participation in the cultural activities of a designated State or regional center shall not preclude an organization or individual from being eligible for a grant of fellowships awarded by the council pursuant to P.L. 1966, c.214 (C.52:16A-25 et seq.) nor shall it mandate or influence the awarding of additional grants of fellowships by the council.
##### **§ 52:16A-26.8** Eligibility for certain Council on the Arts funding. {#sec-52-16a-26.8 omnilex-key=us-nj-statutes--title-52--52:16A-26.8}
1. Notwithstanding any law, rule or regulation to the contrary, the New Jersey State Council on the Arts, created pursuant to P.L.1966, c.214 (C.52:16A-25 et seq.), shall not exclude four-year colleges and universities, fraternal organizations, public and private elementary or secondary schools, or religious organizations from being eligible for funding with monies made available for cultural center development projects from the "New Jersey Green Acres, Cultural Centers and Historic Preservation Bond Act of 1987," P.L.1987, c.265
##### **§ 52:16A-26.10** New Jersey State Council on the Arts, best practice guidelines distribution, arts program for at-risk youth, delinquency. {#sec-52-16a-26.10 omnilex-key=us-nj-statutes--title-52--52:16A-26.10}
1. a. The New Jersey State Council on the Arts shall publish on its website and disseminate to any organization in this State that expresses to the council an intent to develop or expand an arts program for youth at risk of juvenile delinquency a guide containing best practices for such programs. Under the best practices guidelines, programs should:
(1) recognize that art is a vehicle that can be used to engage youth in activities that will increase their self-esteem;
(2) provide for collaborative effort among the artist, social service provider, teacher, agency staff, youth, and family, as appropriate, in delivery of the program;
(3) recognize and involve the families of the youth and the communities in which the youth live;
(4) include age-appropriate curriculum;
(5) emphasize dynamic teaching tactics, such as hands-on learning, apprentice relationships, and the use of technology;
(6) to the extent possible, culminate in a public performance or exhibition with a focus on building participants' self-esteem through public recognition;
(7) during the planning stage, address program goals, site selection, population, the development of relationships among team members, the methods for youth involvement in planning, curriculum design, transportation, safety, incentives, behavioral requirements, program growth, the balance between arts program and other program objectives, the balance between process and product, student recognition of achievements, and the involvement of families, communities, and volunteers;
(8) incorporate an evaluation system early into the program;
(9) train teams, collaboratively, that work with youth in team building, communication skills, and organizational skills;
(10) train teams in effective methods for working with youth from special populations, including in behavior management, adolescent psychology, and familiarization with the juvenile justice system;
(11) train teams in designing a curriculum or involving a trained curriculum specialist;
(12) adopt training that is practical, addresses issues identified by team members, incorporates advice from a variety of trainers with expertise in relevant issue areas, provides opportunities for team members to share in successes and failures and engage in peer training, and integrates specialized training into ongoing training sessions whenever possible;
(13) require program staff to clearly define program goals and intended outcomes in evaluating an arts program, and to monitor and document program implementation and the service-delivery process;
(14) utilize "process evaluations," which examine program implementation and service delivery, to describe and refine a program, measuring the impact on youth and identifying ways to improve a program;
(15) employ journals, portfolios, surveys, and artist observations as evaluation measures to determine the effects of arts programs on at-risk youth, incorporating those measures into program activities when possible;
(16) document program-specific factors, such as staff ratios, hours of contact, and duration of contact, in process evaluations;
(17) account for the impact of individual, family, and community factors on program effectiveness; and
(18) incorporate activities that recognize individual efforts and provide opportunities for youth to learn new skills, which activities are designed to reduce the influence of risk factors associated with adolescent problem behaviors, such as low neighborhood attachment, lack of commitment to school, alienation and rebelliousness, and friends who engage in problem behavior.
The council shall make periodic revisions to the guide as necessary.
b. The council shall provide technical and consultative assistance to any State agency or local government unit requesting such assistance to implement a program adopting the elements listed in subsection a. of this section. The council shall, upon completion or revision, deliver, by electronic or other means, the guide to the Youth Justice Commission and the Division of Child Protection and Permanency in the Department of Children and Families.
As used in this subsection, "State agency" means any agency in the Executive branch of State government, including, but not limited to, any department, board, bureau, commission, division, office, council, or instrumentality thereof, or independent agency, public authority or public benefit corporation, and any State college or public institution of higher education. "Local government unit" means a county, municipality, board of education, or county college as defined in section 2 of P.L.1982, c.189 (C.18A:64A-25.2).
##### **§ 52:16A-26.11** "Artist District." {#sec-52-16a-26.11 omnilex-key=us-nj-statutes--title-52--52:16A-26.11}
1. a. In addition to the powers and responsibilities provided under any other law, the New Jersey State Council on the Arts shall establish an "Artist District" designation for a municipality or an area within a municipality.
b. The council shall establish criteria required for a municipality or area within a municipality to be designated by the council as an Artist District, including the minimum number of art related services and venues, such as businesses, galleries, museums, organizations, performance halls, studios, theaters, or other facilities, that must be located in the municipality or the area of the municipality. An Artist District may also constitute a concentration of certain types of art, such as dance, film, literature or writing, music, or performing or visual arts, or types of services and venues.
c. A municipality may apply to the council for designation as an Artist District or for designation of an area within the municipality as an Artist District. A municipality shall apply to the council for the designation on a standard form created by the council and made available on the council's Internet site.
d. After receipt of an application for designation as an Artist District, the council shall, within 60 calendar days, review and approve, approve with conditions, or reject the application.
e. The council shall, in consultation with the Division of Travel and Tourism, adopt guidance or standards for an Artist District to advertise, market, or promote itself as a destination for artists and visitors. An Artist District may advertise or otherwise use its designation in accordance with the guidance or standards.
##### **§ 52:16A-27** Executive director and other personnel; election of chairman and vice chairman; rules and regulations; hearings; annual report {#sec-52-16a-27 omnilex-key=us-nj-statutes--title-52--52:16A-27}
(a) The council shall employ an executive director and such other personnel as may be deemed necessary to accomplish its objectives within the limit of funds available therefor.
(b) The members of the council shall elect annually a chairman and a vice chairman from their number. The executive director shall serve as secretary of the council. The chairman shall be the chief executive officer of the council. The chairman shall preside at all meetings of the council and shall perform such other duties as shall be prescribed by the council. The executive director shall carry out the policies of the council under the direction of the chairman.
(c) The council shall adopt rules and regulations concerning the operation of the council, the functions and responsibilities of its officers and employees and such other matters as may be necessary to carry out the purpose of this act.
(d) The council shall be authorized and empowered to hold public and private hearings, and, within the limit of funds available therefor, to enter into contracts with individuals, organizations, and institutions for services or endeavors furthering the objectives of the council's programs; to accept gifts, grants and bequests of funds from individuals, foundations, corporations, governmental agencies, and other organizations or institutions; to make and sign any agreements and to do and perform any acts that may be necessary to carry out the purposes of this act. The council may request and shall receive from any department or agency of the State Government such assistance, information, and advice as will enable it to carry out its powers and duties hereunder.
(e) The council shall make an annual report to the Governor and the Legislature concerning the status of the arts in New Jersey and such other matters as the council deems desirable.
##### **§ 52:16A-28** Council as official agency of state {#sec-52-16a-28 omnilex-key=us-nj-statutes--title-52--52:16A-28}
The council shall be the official agency of this State to receive and disburse all funds made available to the State Government by the National Endowment for the Arts or by any successor agency.
##### **§ 52:16A-29** Short title {#sec-52-16a-29 omnilex-key=us-nj-statutes--title-52--52:16A-29}
This act shall be known and may be cited as the "Public Buildings Arts Inclusion Act."
##### **§ 52:16A-30** Definitions {#sec-52-16a-30 omnilex-key=us-nj-statutes--title-52--52:16A-30}
For the purposes of this act, except as the context may otherwise clearly require:
a. "Public building" means any permanent structure, wholly or partially enclosed, which is intended to provide offices, courtrooms, hearing rooms, auditoriums, meeting rooms, classrooms and other educational facilities, eating or sleeping facilities, medical or dental facilities, transportation terminals, libraries, museums and the like, which are intended for the use or accommodation of the general public or for any category or classification thereof in connection with the furtherance of public law or policy necessarily or incidentally requiring the provision of such accommodations or facilities, together with all its grounds and appurtenant structures and facilities.
b. "Fine arts" means sculpture, murals, mosaics, bas reliefs, frescoes, tapestries, monuments, fountains and other ornamentations or displays which are intended to complement the artistic quality and esthetic effect of any buildings or structures in which they are contained or to which they are applied or with which they are connected, even if spacially separated, by their integration into a total architectural design. The term does not include the incidental ornamental detail of functional structural elements or of hardware and other functional accessories unless such ornamental detail is not generally available from the manufacturers or purveyors of such materials and must be specially designed and produced for use in a particular building or related group of buildings.
c. "State" means the Government of the State of New Jersey and all departments, bureaus, boards, commissions, agencies and instrumentalities thereof, except political subdivisions (as the same are defined in the "Local Government Supervision Act (1947)" (P.L.1947, c. 151; C. 52:27BB-1 et seq.) and their agencies and instrumentalities.
d. "Contracting officer" means the public officer or body responsible for securing the preparation of plans and specifications of a public building for the purpose of negotiating or advertising for bids for the construction of such building.
e. "Principal user" means that public officer or employee who will have principal administrative responsibility for the actual utilization of a proposed public building; or, if such officer or employee has not been duly designated, then the public officer, employee, board, commission or other agency or instrumentality which is authorized to make such designation, or a representative thereof authorized or designated thereby to perform the duties and functions provided in this act to be performed by the principal user.
f. "Architect" means any architect, engineer or other person licensed or otherwise authorized by or pursuant to law to prepare plans and specifications for a public building.
g. "Council" means the New Jersey State Council on the Arts established pursuant to P.L.1966, c. 214 (C. 52:16A-25 et seq.), or any committee or officer thereof as may be from time to time authorized and delegated by the council to perform for it and in its name any of the functions provided for in this act.
##### **§ 52:16A-31** Fine arts element; inclusion in new public buildings; approval and limitation of expenditures {#sec-52-16a-31 omnilex-key=us-nj-statutes--title-52--52:16A-31}
a. Whenever a new public building is to be constructed at the expense and for the use of the State, the contracting officer shall, together with the architect whom he has engaged, consult with the council regarding the elements of fine arts to be included or incorporated in the design of such building or buildings.
b. As a result of such consultations the architect may incorporate the recommendations of the council in the design of such building or buildings. Expenditures for recommendations concerning the inclusion of artistic designs in State buildings shall be approved by the State House Commission.
c. The total estimated cost of the fine arts elements included in such plans and specifications for a public building or group of public buildings for the purpose of implementing the design thereof in accordance with the purposes of this act shall not exceed 1 1/2 % of the total estimated cost of the construction of such building or group of buildings.
##### **§ 52:16A-32** Contracts; criteria for selection of artists; register of competent artists {#sec-52-16a-32 omnilex-key=us-nj-statutes--title-52--52:16A-32}
a. The execution of the fine arts elements determined upon pursuant to section 3 of this act shall be let as a separate contract or contracts. Except as provided in section 5 of this act, the artist or artists who are to execute such fine arts elements shall be selected jointly by the architect and the contracting officer, after consultation with the council and the principal user.
b. For the purpose of assisting in the selection of artists the council shall develop criteria which may be employed in the selection process. The council shall also endeavor to establish and maintain a register of competent artists who are citizens and residents of this State, from among whom artists who in the various branches of the fine arts, particularly with reference to artists may be particularly suited for the various types of work likely to be required may be readily identified and selected.
c. Contracts for such work shall be negotiated within the limits of the estimated cost as determined pursuant to section 3 of this act. Public competitive bidding shall not be required for any such contract.
##### **§ 52:16A-33** Selection by public competition {#sec-52-16a-33 omnilex-key=us-nj-statutes--title-52--52:16A-33}
a. Upon the council's review of the elements of fine arts to be incorporated in such structure or group of structures, the council may determine that such selection or selections shall be made by means of public competition. The contract to be let by such competition shall be in fixed amount made public prior to the competition; but no such competition shall be held for the award of a contract of less than $2,500.00.
b. The council shall set the terms of the competition, and shall provide that the artist submitting the design most in accord with the architect's intentions and most in keeping with the style and design of the building, and who, from his designs or other materials submitted pursuant to the rules of the competition, appears most able to execute the work in a satisfactory manner, shall be awarded the contract for which the competition is held.
c. In any such competition, the council may provide, within the limit of funds appropriated or otherwise made available to it for the purpose, for the award of prizes to competitors other than those awarded contracts as a result of the competition, on the basis of the artistic qualities of their designs. Such prizes may be awarded when, in the judgment of the council, it is necessary or desirable in order to encourage a sufficient number of artists to enter the competition so as to provide an ample field of choice in selecting an artist to be awarded a contract.
d. In connection with any competition authorized under this section, the council shall take such steps as are within its power to assure that notice of such competition will be effectively publicized so as to attract competitors; and to that end it is authorized to expend such funds as may be appropriated or otherwise made available to it for that purpose.
e. No expenditure authorized under subsection c. or d. of this section shall be made from or charged to the 1 1/2 % allowance provided for in section 3 of this act.
##### **§ 52:16A-34** Consultation by council with relevant arts institutions and organizations {#sec-52-16a-34 omnilex-key=us-nj-statutes--title-52--52:16A-34}
The council, in making recommendations or suggestions to a public body or officer pursuant to the duties imposed upon it under sections 3 and 4 of this act, or in arranging, conducting or judging a competition pursuant to section 5 of this act, shall before doing so consult thereon with officers or other appropriate representatives of relevant arts institutions and organizations in New Jersey, such as museums, societies and associations of artists and architects, schools of art and architecture, and such other organizations, associations or institutions as may be appropriate to the matter under consideration, including the major nonprofit public or private museums in the State whose collections encompass the fine arts.
##### **§ 52:16A-35** Commercial recording division; establishment {#sec-52-16a-35 omnilex-key=us-nj-statutes--title-52--52:16A-35}
There is established in the Department of State a division which shall be known as the Division of Commercial Recording.
##### **§ 52:16A-36** Director; personnel; transfer of powers and functions of bureau of commercial recording {#sec-52-16a-36 omnilex-key=us-nj-statutes--title-52--52:16A-36}
a. The Division of Commercial Recording shall be under the immediate supervision of a director who shall administer the work of the division under the direction of the Secretary of State.
b. There shall be such deputy directors and assistant directors as are necessary to administer the Division of Commercial Recording as the Secretary of State may prescribe.
c. All functions, powers and duties of the Bureau of Commercial Recording in the Department of State are transferred to the Division of Commercial Recording in the Department of State and, except as otherwise provided in this act, the provisions of the "State Agency Transfer Act," P.L.1971, c. 375 (C. 52:14D-1 et seq.) shall apply to the transfer.
d. Such employees of the Bureau of Commercial Recording, as the Secretary of State may determine are needed for the proper performance of the functions and duties imposed upon the Division of Commercial Recording, are hereby transferred to the Division of Commercial Recording. Persons thus transferred shall be assigned to such duties as the Secretary of State determines.
##### **§ 52:16A-37** Telephone service {#sec-52-16a-37 omnilex-key=us-nj-statutes--title-52--52:16A-37}
In addition to continuing to perform all the functions, duties and responsibilities performed by the Division of Commercial Recording, the Division of Commercial Recording shall provide information by telephone to any person who makes a telephone request for the following information:
a. The availability of a corporate name under N.J.S. 14A:2-2;
b. Whether or not a corporation's certificate of incorporation or authority has been voided or revoked;
c. The name and address of the registered agent of a corporation;
d. The date of incorporation of a domestic corporation or the date of qualification of a foreign corporation;
e. The name and address of a corporation which has filed an alternate name certificate pursuant to N.J.S. 14A:2-2.1; and
f. Any other information contained in documents filed with the Secretary of State, which, in the discretion of the Secretary, is readily available.
The Secretary of State shall confirm in writing any of the information provided by telephone if the person so requests.
##### **§ 52:16A-38** Expedited over the counter corporate service. {#sec-52-16a-38 omnilex-key=us-nj-statutes--title-52--52:16A-38}
4. a. The Division of Commercial Recording shall provide for and establish an expedited over the counter corporate service. The processing of requests and information and documents shall be a priority same day service, with options for one hour service and two hour service effected in a fast and efficient manner.
b. The Division of Commercial Recording shall provide expedited over the counter corporate service for the following requests:
(1) Any information contained in the annual report of a corporation;
(2) A certificate of standing;
(3) A certified or uncertified copy of any document filed with the Division of Commercial Recording;
(4) A certificate as to the existence or nonexistence of any facts on record with the Division of Commercial Recording;
(5) The availability of a corporate name under N.J.S.14A:2-2;
(6) Filing a certificate of incorporation;
(7) Whether or not a corporation's certificate of incorporation or authority has been voided or revoked;
(8) The name and address of the registered agent of a corporation;
(9) The date of incorporation of a domestic corporation or the date of qualification of a foreign corporation;
(10) The name and address of a corporation which has filed an alternate name certificate pursuant to N.J.S.14A:2-2.1;
(11) A financing statement filing (UCC-1) pursuant to N.J.S. 12A:9- 501 et seq.;
(12) A change of record filing (UCC-3) pursuant to N.J.S.12A:9-501 et seq.;
(13) A request for information or copies of filed financing statements (UCC-11) pursuant to N.J.S.12A:9-501 et seq.;
(14) Any other information contained in the documents filed with the Division of Commercial Recording, which in the discretion of the Secretary of State is readily available;
(15) Filing a certificate of merger;
(16) Filing a certificate of amendment; and
(17) Any other filing which the Secretary of State agrees to accept.
c. The processing of expedited over the counter corporate service requests shall include one hour and two hour service options and shall include a fee schedule, established by regulation by the State Treasurer, commensurate with the various services available pursuant to subsection b. of this section and the various time frames provided by regulation.
##### **§ 52:16A-39** Payment for services; prepaid deposit account {#sec-52-16a-39 omnilex-key=us-nj-statutes--title-52--52:16A-39}
The Secretary of State shall provide for the establishment and administration of a method of payment by any person for telephone and expedited over the counter corporate services. Such method may include prepaid deposit accounts.
##### **§ 52:16A-40** Additional fees. {#sec-52-16a-40 omnilex-key=us-nj-statutes--title-52--52:16A-40}
6. The State Treasurer shall charge a fee for use of telephone and expedited over the counter corporate services, which shall be in addition to the fee for the service provided by law. The statutory fee and the additional fee shall be paid by the person requesting the information and documents by the method of payment as established by the State Treasurer.
##### **§ 52:16A-41** Rules, regulations; data processing service fees. {#sec-52-16a-41 omnilex-key=us-nj-statutes--title-52--52:16A-41}
7. The State Treasurer may promulgate rules and regulations necessary to establish guidelines for the use of telephone and expedited over the counter corporate services, including one hour and two hour service options, and the use of electronic data processing for direct access to the information provided under this act by persons so authorized and for the method of payment for the use of telephone and expedited over the counter corporate services. The State Treasurer shall establish fees for electronic data processing services which cover the cost of those services.
##### **§ 52:16A-42** Additional fees dedicated and pledged {#sec-52-16a-42 omnilex-key=us-nj-statutes--title-52--52:16A-42}
8. a. There is created a fund held by the State Treasurer, but not to exist in the State Treasury, to be the repository for additional fees for electronic data processing, telephone and expedited over the counter corporate services charged to persons pursuant to this act.
b. In each fiscal year the additional fees shall be held in the fund and disbursed in such amounts as may be requested by the Secretary of State, to meet the costs of: (1) the timely and efficient filing of all documents filed with the division; (2) the maintenance in an accurate and available form of information contained in all documents filed with the division; and (3) the operation of the services provided by the division. c. The additional fees are dedicated and pledged to those uses and purposes.
##### **§ 52:16A-53** New Jersey Commission on American Indian Affairs; members. {#sec-52-16a-53 omnilex-key=us-nj-statutes--title-52--52:16A-53}
1. There is established in the Department of State the New Jersey Commission on American Indian Affairs. The commission shall consist of nine members: the Secretary of State, serving ex officio, and eight public members, not more than four of whom shall be from the same political party. Two of the public members shall be members of the Nanticoke Lenni Lenape Indians, to be appointed by the Governor on the recommendation of the Confederation of the Nanticoke Lenni Lenape Tribes and with the advice and consent of the Senate. Two of the public members shall be members of the Ramapough Mountain Indians, to be appointed by the Governor on the recommendation of the Ramapough Mountain Indians and with the advice and consent of the Senate. Two of the public members shall be members of the Powhatan Renape Nation, to be appointed by the Governor on the recommendation of the Powhatan Renape Nation and with the advice and consent of the Senate. Two of the public members shall be members of the Intertribal People, to be appointed by the Governor on the recommendation of the Intertribal People and with the advice and consent of the Senate. "Intertribal People" means American Indians who reside in New Jersey and are not members of the Nanticoke Lenni Lenape Indians, the Ramapough Mountain Indians, or the Powhatan Renape Nation, but are enrolled members of another tribe recognized by another state or the federal government.
##### **§ 52:16A-54** Terms; vacancies {#sec-52-16a-54 omnilex-key=us-nj-statutes--title-52--52:16A-54}
2. Each public member shall serve for a term of two years, except that of the members first appointed, four shall serve for a term of one year and four shall serve for a term of two years. Public members shall be eligible for reappointment and shall serve until their successors are appointed and qualified. A vacancy occurring other than by expiration of term shall be filled in the same manner as the original appointment was made but for the unexpired term only. Commission members shall serve without compensation but shall be entitled to reimbursement for all necessary expenses incurred in the performance of their duties.
##### **§ 52:16A-55** Election of chairperson. {#sec-52-16a-55 omnilex-key=us-nj-statutes--title-52--52:16A-55}
3. The commission shall organize as soon as may be practicable after the appointment of its members and shall elect a chairperson from among its public members, who may serve as the chairperson for the duration of his or her term on the commission, and may appoint a secretary who need not be a member of the commission. The commission shall meet at least once every three months and upon the call of the chairperson or of a majority of its members. The presence of a majority of the membership of the commission shall be required for the conduct of official business.
##### **§ 52:16A-56** Commission duties. {#sec-52-16a-56 omnilex-key=us-nj-statutes--title-52--52:16A-56}
4. The commission shall:
a. develop programs and projects relating to the cultural, educational and social development of New Jersey's American Indian communities;
b. develop programs and projects which further understanding of New Jersey's American Indian history and culture;
c. promote increased cooperation among all American Indian communities in the State;
d. serve as a Statewide reference and resource center to increase public knowledge of New Jersey's American Indian heritage;
e. act as a liaison among American Indian communities, the State and federal governments, and educational, social and cultural institutions;
f. be authorized to raise funds, through direct solicitation or other fund raising events, alone or with other groups, and accept gifts, grants and bequests from individuals, corporations, foundations, governmental agencies, public and private organizations and institutions, to defray the commission's administrative expenses and carry out the purposes of P.L.1995, c.295 (C.52:16A-53 et seq.), as amended and supplemented; and
g. when requested by the Governor, assist the Legislature and Governor to investigate the authenticity of any organization, tribe, nation or other group seeking official recognition by the State as an American Indian tribe and submit a report of its findings to the Legislature and Governor within 180 days of the completion of an investigation. Nothing in this subsection shall be construed as authorizing the commission to recognize the authenticity of any organization, tribe, nation or other group as an American Indian tribe, which recognition shall require specific statutory authorization, nor shall this subsection be construed as in any way limiting the scope of information that may be considered in determining whether to grant such statutory recognition.
##### **§ 52:16A-57** Expenses incurred. {#sec-52-16a-57 omnilex-key=us-nj-statutes--title-52--52:16A-57}
5. The commission may incur such traveling and other miscellaneous expenses, including expenses to maintain an office on State property, as it deems necessary in order to perform its duties and as may be within the limits of funds appropriated or otherwise made available to it for those purposes.
##### **§ 52:16A-58** Authority of commission. {#sec-52-16a-58 omnilex-key=us-nj-statutes--title-52--52:16A-58}
6. The commission shall be authorized to:
a. call to its assistance and avail itself of the services and assistance of such officials and employees of the State and its political subdivisions and their departments, boards, bureaus, commissions, authorities and agencies, as it may require and as may be available to it for its purposes;
b. utilize existing staff from the Department of State until such time as it may be necessary to employ professional staff, including an executive director and stenographic and clerical assistants; and
c. expend any funds that may be appropriated or otherwise made available to it for its purposes.
Professional staff, including stenographic and clerical assistants, may be permitted to serve the commission on a volunteer basis. To the extent possible, the commission shall be permitted to use property owned by the State, without charge or at a minimal fee, for its offices.
The commission shall submit a spending plan to the Secretary of State for review and approval no later than October 1 of each year that lists the sources of all funds raised and actual expenses during the previous State fiscal year and the commission's projected revenues and expenditures during the State fiscal year in which the plan is submitted.
##### **§ 52:16A-59** Annual report {#sec-52-16a-59 omnilex-key=us-nj-statutes--title-52--52:16A-59}
7. The commission shall submit an annual report on its activities to the Governor and the Legislature.
##### **§ 52:16A-72** Short title {#sec-52-16a-72 omnilex-key=us-nj-statutes--title-52--52:16A-72}
1. This act shall be known and may be cited as the "New Jersey Cultural Trust Act."
##### **§ 52:16A-73** Findings, declarations relative to the New Jersey Cultural Trust {#sec-52-16a-73 omnilex-key=us-nj-statutes--title-52--52:16A-73}
2. The Legislature finds and declares that:
a. Arts, history, and humanities contribute immeasurably to the quality of life in New Jersey, to the tourism industry and the economy, to the health and vitality of our cities, towns, and neighborhoods, to sound education, to the teaching of tolerance and understanding, and to the celebration of our rich cultural diversity and identity.
b. Hundreds of nonprofit cultural organizations in this State play an invaluable role in ensuring that the benefits of the arts, history, and humanities are extended to the people and communities of New Jersey.
c. These nonprofit cultural organizations work diligently and responsibly to carry out their vital missions. However, as a whole, they are undercapitalized, which makes them vulnerable to economic downturns.
Therefore, in order to ensure a stable and healthy cultural climate in this State that is sustainable for years to come and under fluctuating economic conditions, the Legislature hereby creates the New Jersey Cultural Trust and directs the establishment of a permanent, interest-generating fund to be an additional source of revenue to nonprofit arts, history, and humanities organizations, specifically for the building of endowments, the improvement of institutional and financial stability, and the capital improvement of cultural facilities.
##### **§ 52:16A-74** Definitions relative to the New Jersey Cultural Trust {#sec-52-16a-74 omnilex-key=us-nj-statutes--title-52--52:16A-74}
3. The following words or terms as used in this act shall have the following meaning, unless a different meaning clearly appears from the context:
"Account" means the New Jersey Cultural Trust Account in the General Fund established by section 8 of this act.
"Board" means the Board of Trustees established by section 5 of this act.
"Capital facilities projects" means those projects in New Jersey of a qualified organization that construct, expand, renovate, plan for, repair, rehabilitate, restore, adaptively re-use, purchase, effectuate long-term leaseholds on, replace, relocate, or otherwise improve cultural or historical property and facilities, including any work relating to providing access thereto for persons with disabilities. The term includes the acquisition of an interest in real property and includes the repair and replacement of fixtures.
"Commission" means the New Jersey Historical Commission established pursuant to N.J.S.18A:73-21 et seq.
"Council" means the New Jersey State Council on the Arts established pursuant to P.L.1966, c. 214 (C.52:16A-25 et seq.).
"Cultural Trust" means the New Jersey Cultural Trust established by section 4 of this act.
"Endowment" means a permanent fund, the principal of which is to remain intact in perpetuity and which is invested and held by or for the exclusive use of a qualified organization, and the income of which may be expended by the qualified organization for purposes consistent with its mission.
"Financial stabilization" means those enhancements to a qualified organization that build assets, reduce liabilities, aid cash flow, establish working capital and capital reserves, expand income, improve public access, build institutional capability and efficiency, or otherwise effect long-term improvement of a qualified organization's financial ability to sustain itself and carry out its mission.
"Fiscal plan" means a document or documents detailing the policies, functions, workings, and strategies of the Cultural Trust for its operation in carrying out the purposes of this act, including all those applicable to the solicitation and receipt of public funds and private donations, the investment of the Trust Fund, and the distribution of funds.
"Historic Trust" means the New Jersey Historic Trust established pursuant to P.L.1967, c.124 (C.13:1B-15.111 et seq.).
"Performing, visual and creative arts" means performing and creative arts as defined in section 2 of P.L.1966, c.214 (C.52:16A-26).
"Preservation" means the stabilization, planning, repair, rehabilitation, renovation, restoration, improvement, or protection of any historic property, structure, facility, or site of a qualified organization, and includes any work related to providing access thereto for persons with disabilities.
"Project list" means a compilation of projects, their purposes, and amounts recommended for receipt of Cultural Trust moneys by the Council, Historic Trust, or Commission.
"Qualified organization" means a tax-exempt, nonprofit organization whose primary mission is to promote the performing, visual and creative arts in New Jersey or to promote or preserve history and humanities in New Jersey. The term shall not include private, State, county, or municipal colleges, and universities. The term shall not include State, county, or local governmental units, authorities or corporations created by such units, and shall not include a "qualifying governmental body" as defined in section 2 of P.L.1985, c.410 (C.52:16A-26.2).
"Trust Fund" means the permanent investment fund established by the Board of Trustees of the Cultural Trust as provided in section 8 of this act.
##### **§ 52:16A-75** "New Jersey Cultural Trust" {#sec-52-16a-75 omnilex-key=us-nj-statutes--title-52--52:16A-75}
4. There is hereby established in but not of the Department of State a public body corporate and politic with corporate succession, to be known as the "New Jersey Cultural Trust." For the purpose of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the Cultural Trust is hereby allocated within the Department of State, but notwithstanding that allocation, the Cultural Trust shall be independent of any supervision or control by that department or by any board or officer thereof, except as provided in this act.
The Cultural Trust is hereby constituted as an instrumentality of the State exercising public and essential governmental functions, no part of whose revenues shall accrue to the benefit of any individual, and the exercise by the Cultural Trust of the powers conferred by this act shall be deemed and held to be an essential governmental function of the State. The statutory goals of the Cultural Trust shall include the support of the arts, history, and humanities by assisting in the funding of capital facilities projects and endowment development, and contributing to the institutional and financial stability of qualified organizations in New Jersey. Board members and staff of the Cultural Trust may also engage in fundraising activities to effectuate the purposes of this act.
##### **§ 52:16A-76** Board of Trustees {#sec-52-16a-76 omnilex-key=us-nj-statutes--title-52--52:16A-76}
5. a. The general responsibility for the proper oversight of the Cultural Trust shall be vested in a Board of Trustees, which shall possess the powers and duties specified in this act. The board shall consist of 15 voting members.
b. The Secretary of State, or a designee, the State Treasurer, or a designee, the chair of the New Jersey State Council on the Arts, or a designee, the chair of the New Jersey Historic Trust, or a designee, and the chair of the New Jersey Historical Commission, or a designee, shall serve as ex-officio members of the board.
c. Two public members, who are not of the same political party, shall be appointed by the Governor upon the recommendation of the President of the Senate, and two public members, who are not of the same political party, shall be appointed by the Governor upon the recommendation of the Speaker of the General Assembly. These public members shall serve for terms coextensive with the legislative term in which they are appointed, subject to reappointment after the expiration of the legislative term.
d. Six public members shall be appointed by the Governor with the advice and consent of the Senate. The term of office of each public member appointed pursuant to this subsection shall be five years, except for the initial appointments, which shall be made as follows: two members shall be appointed for a three-year term, two members shall be appointed for a four-year term, and two members shall be appointed for a five-year term.
e. No public member of the board appointed under subsections c. and d. of this section shall serve concurrently on the New Jersey Historical Commission, New Jersey State Council on the Arts, or the board of the New Jersey Historic Trust.
f. The Governor, for cause, upon notice and opportunity to be heard, may remove a public member of the board. A vacancy occurring among any of the public members, other than by expiration of term, shall be filled for the balance of the unexpired term only and in the same manner as the original appointment. A member may serve until a successor is appointed and has qualified. No person appointed pursuant to subsection d. of this section shall serve for more than two successive terms, provided, however, that any person appointed to fill a vacancy shall be eligible for two successive terms excluding the unexpired term.
g. The public members of the board shall serve without compensation, but shall be entitled to reimbursement for all actual and necessary expenses incurred in the performance of their duties.
h. Annually, at the first meeting of the board held in each State fiscal year, the members of the board shall elect one of the public members to serve as chair of the board. Under regulations adopted by the board, the board may establish an executive committee composed of no fewer than three board members, which committee may exercise powers vested in and perform duties imposed upon the board to the extent designated and permitted by the board. The board may establish such advisory boards and committees as it may deem advisable.
i. Members and employees of the board shall be subject to the provisions of the "New Jersey Conflicts of Interest Law," P.L.1971, c.182 (C.52:13D-12 et seq.).
j. A majority of the authorized membership of the board shall constitute a quorum for all purposes provided, however, that at least one member of the quorum is a member pursuant to subsection b. of this section or a designee of that member. No vacancy in the membership of the board shall impair the right of a quorum to exercise all the powers and perform the duties of the board.
k. A true copy of the minutes of every meeting of the board or the executive committee shall be delivered promptly, after the certification of the chair thereof, to the Governor. No action taken at a meeting by the board or the executive committee shall have effect until approved by the Governor or until 10 days after the copy of the minutes shall have been delivered. If, within the 10-day period, the Governor returns the copy of the minutes with a veto of any action taken by the board or the executive committee or any member thereof at a meeting, such action shall be null and void and of no effect. The Governor may approve all or part of the action taken at a meeting prior to the expiration of the 10-day period.
l. Any dissolution of the Cultural Trust shall be on the condition that the Cultural Trust has no debts, contractual duties or obligations outstanding, or that provision has been made for the payment, discharge, or retirement of any debts, contractual duties or obligations. Upon any dissolution of the Cultural Trust, all property, rights, funds, and assets thereof shall pass to and become vested in the State, and all moneys shall be used expressly for carrying out the purposes of this act.
m. The board shall receive from the Attorney General of the State all legal counsel and services necessary to carry out the purposes of the Cultural Trust.
##### **§ 52:16A-77** Authority, powers of board {#sec-52-16a-77 omnilex-key=us-nj-statutes--title-52--52:16A-77}
6. The board is hereby authorized and empowered:
a. Notwithstanding any provision of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, to adopt, immediately upon filing with the Office of Administrative Law, such regulations as the board deems necessary to implement the provisions of this act, which regulations shall be effective for a period not to exceed 180 days from the date of the filing. Such regulations may thereafter be amended, adopted or readopted by the board as necessary in accordance with the requirements of P.L.1968, c.410. However, the board shall not have the power to design or specify the project lists of the Council, the Historic Trust, and the Commission provided for in sections 10, 11, and 12 of this act. These rights shall be held exclusively by the Council, the Historic Trust and the Commission, respectively;
b. To solicit, receive, and accept appropriations, gifts, donations, legacies, bequests, and endowments from public or private sources for any purpose which falls within the purposes of the Cultural Trust. The Cultural Trust may not acquire, hold, receive, or accept any moneys or other property, real or personal, tangible or intangible, which will result in the incurrence of any financial obligations on the part of the State that cannot be supported entirely from funds available in the Trust Fund without the express approval of the State Treasurer in consultation with the Secretary of State;
c. To apply all moneys, assets, property, or other things of value it may receive as an incident to its operation to the general purpose of the Cultural Trust;
d. To cooperate with and assist and receive assistance from, insofar as practicable, any agency of the State or any of its political subdivisions, and any private agency or person in the furtherance of the purposes of this act or of the Cultural Trust;
e. To evaluate and certify any and all donations made to the Cultural Trust or a qualified organization for purposes of the transfer of moneys from the Account to the Trust Fund pursuant to section 9 of this act;
f. To accept or reject any recommendation on a project list submitted solely by the Council, the Historic Trust, or the Commission that will support the financing of capital facilities projects or endowments, or contribute to the institutional and financial stability of qualified organizations. The board as a whole or any of its members may not recommend any project for funding that has not either received a restricted donation as set forth in section 9 of this act or been recommended for funding by the Council, the Historic Trust, or the Commission on a project list submitted pursuant to section 10, 11 or 12 of this act;
g. To consult with the Director of the Division of Investments in the Department of the Treasury and the State Treasurer regarding the investment strategies for the moneys in the Trust Fund established by the board pursuant to section 8 of this act;
h. To make and enter into any and all contracts and agreements for goods and services and to enter into any and all contracts and agreements or to execute any instrument with individuals, organizations, institutions, or public agencies for services or endeavors furthering the Cultural Trust;
i. To determine the portion of the interest generated by moneys in the Trust Fund that will be made available for distribution to qualified organizations, and to distribute these moneys as necessary and appropriate pursuant to sections 10, 11 and 12 of this act;
j. To prepare and implement a fiscal plan for the Cultural Trust;
k. To prepare and submit an annual funding request for an appropriation from the General Fund for the operational and administrative costs of the board and the Cultural Trust to the Governor through the Department of State and the Division of Budget and Accounting in the Department of the Treasury, and to expend or authorize the expenditure of moneys derived from such sources and funds as are appropriated by the Legislature to implement the provisions of this act;
l. To hire and employ such employees, in consultation with the Secretary of State, as may be necessary or desirable in its judgment to carry out the purposes of this act, to fix their compensation, and to promote and discharge said employees, without regard to the provisions of Title 11A of the Revised Statutes;
m. To sue and be sued in its own name, but the board members shall be held harmless for acts performed in good faith;
n. To adopt a seal and alter the same at its pleasure;
o. To maintain an office or offices at such a place or places within the State as the Secretary of State may designate;
p. To sell, convert, assign, develop, or otherwise dispose of any and all necessary assets or property donated to the Cultural Trust, as needed, for the purposes of this act. Any moneys gained by the sale of these assets or property shall be deposited into the Trust Fund;
q. To develop in its regulations a process for appealing a decision by the board; and
r. To do all acts and things necessary, incidental, convenient, or desirable to carry out the powers granted in this act.
##### **§ 52:16A-78** Annual report on activities of the Cultural Trust {#sec-52-16a-78 omnilex-key=us-nj-statutes--title-52--52:16A-78}
7. On or before the first day of October in each year, commencing with the calendar year after the date of enactment of this act, the board shall submit an annual report of the activities of the Cultural Trust for the preceding State fiscal year to the Governor and to the Legislature. The annual report shall set forth a complete operating and financial statement covering the operations of the Cultural Trust during the year, a long-range fiscal plan for the next five years, and a more specific short-range fiscal plan for the fiscal year in which the annual report is delivered with respect to providing the funding necessary to achieve the goals and objectives of this act, and a summary of the progress made to date on achieving those goals and objectives. The board shall cause an audit of its records and accounts to be made at least once in each year by independent certified public accountants, and the cost thereof shall be considered an expense of the Cultural Trust and a copy thereof shall be filed with the Director of the Division of Budget and Accounting.
##### **§ 52:16A-79** "New Jersey Cultural Trust Account;" "New Jersey Cultural Trust Fund" {#sec-52-16a-79 omnilex-key=us-nj-statutes--title-52--52:16A-79}
8. a. There is established in the General Fund a special, dedicated, non-lapsing account to be known as the "New Jersey Cultural Trust Account." The State Treasurer shall credit to the Account in each State fiscal year beginning in State fiscal year 2001 through and including State fiscal year 2010 an amount not less than $10,000,000. The amount credited to the Account shall be subject to annual State appropriation and shall be appropriated only for the purposes set forth in this act.
b. (1) The board shall establish a permanent, interest-bearing investment trust fund to be known as the "New Jersey Cultural Trust Fund," into which public funds and private donations and transfers from the Account shall be deposited and from which matching funds for large gift donations may be disbursed for endowments and from which interest income may be distributed, as provided in this act.
(2) Moneys deposited in the Trust Fund shall be held in investment accounts in public depositories as defined pursuant to section 1 of P.L.1970, c.236 (C.17:9-41), and shall be invested or reinvested in a manner approved by the Director of the Division of Investment and the State Treasurer in consultation with the board. Interest or other income earned on moneys deposited in the Trust Fund, and any moneys which may otherwise become available for the purposes of the Cultural Trust, shall be for the use of the Cultural Trust, as set forth in this act. c. (1) For State fiscal year 2001 through and including State fiscal year 2010, the State Treasurer shall transfer money from the Account to the Trust Fund based upon donations to the Cultural Trust and to qualified organizations, as determined in section 9 of this act. The State Treasurer shall transfer to the Trust Fund an amount equal to the amount of the donations, subject to the availability of moneys in the Account.
(2) None of the interest derived from the moneys held in the Trust Fund shall be disbursed to qualified organizations by the board until the Trust Fund has received donations and transfers totaling not less than $20,000,000, or one year from the effective date of this act, whichever occurs later. However, nothing in this paragraph shall prohibit the board from disbursing moneys from the Trust Fund pursuant to section 9 of this act prior to the Trust Fund reaching $20,000,000.
(3) The disbursement from the Trust Fund to a qualified organization receiving a large gift donation as provided in paragraph (2) of subsection b. of section 9 of this act shall be made by resolution adopted by a majority of the authorized membership of the board specifying the particular endowment or endowments to be funded by those moneys. However, the aggregate of such disbursements shall not exceed 20 percent of the amount in the Trust Fund in any one fiscal year.
(4) The portion of interest moneys generated from the Trust Fund, and determined available for disbursement by the board, shall be allocated as follows: 50 percent to the Council's recommendations; 25 percent to the Historic Trust's recommendations; and 25 percent to the Commission's recommendations. Of the portion of interest moneys generated from the Trust Fund and determined available for disbursement by the board, at least 25 percent shall be allocated to projects of qualified organizations that directly benefit the residents of Southern New Jersey.
(5) An affirmative vote by 10 or more members of the board may alter the allocation to the Council, Historic Trust, and Commission, but not the allocation to projects of qualified organizations that directly benefit the residents of Southern New Jersey, of the portion of interest moneys generated, as identified in paragraph (4) of this subsection, for a period of one State fiscal year. Upon the completion of that fiscal year, the allocation shall revert back to the percentages enumerated in paragraph (4) of this subsection.
(6) All property of the Cultural Trust is declared to be public property devoted to an essential public and governmental function and purpose, and the Cultural Trust shall be exempt from all taxes and special assessments of the State or any political subdivision thereof.
(7) For the purposes of efficiency and convenience, nothing in this act shall prohibit the board from combining the project lists, in whole or in part, of the Council, the Historic Trust, or the Commission into one proposed resolution to be considered by the board.
(8) To the extent moneys are or may become available as a result of project withdrawals, cancellations, lack of funding, or other such financial matters, the unexpended balances of the amounts disbursed shall revert to the Trust Fund.
d. In the event that any donation or donations exceed the amount credited to the Account in any given State fiscal year, the credit for the donation or donations may be carried forward and used to transfer moneys into the Trust Fund, subject to annual State appropriation to the Account.
e. If the Cultural Trust does not receive annual donations equaling the amount annually credited to the Account, the State Treasurer shall carry forward in the Account all remaining appropriations, for each State fiscal year. The State Treasurer shall transfer any carried forward funds in the Account to the Trust Fund should sufficient donations be made to warrant the transfer of these funds pursuant to section 9 of this act.
##### **§ 52:16A-80** Donations to Cultural Trust, matching State appropriation {#sec-52-16a-80 omnilex-key=us-nj-statutes--title-52--52:16A-80}
9. Donations to the Cultural Trust shall initiate the transfer of a dollar-for-dollar match of State appropriated moneys from the Account into the Trust Fund. For the purposes of this act, a donation shall be:
a. an unrestricted donation which is money, property or other object of value given directly to the Cultural Trust but not dedicated for use by a specific qualified organization. Once an unrestricted donation has been certified by the board to the Trust Fund, the State Treasurer shall transfer from the Account to the Trust Fund an amount equal to the unrestricted donation.
b. (1) a restricted donation which is money, property, or other object with monetary value given directly to a qualified organization that is expressly dedicated for endowment. The State Treasurer shall transfer from the Account to the Trust Fund an amount equal to the restricted donation once (a) the board approves a letter of donation or intent to donate, designating the amount of the donation and the name of the financial institution from which the moneys were allocated, with the account number, or a certified appraisal, deed, or other appropriate documentation in the case of property, (b) the board is provided with the name of the qualified organization to which the donation was made and a certification from that qualified organization that the donation was in fact received by the qualified organization, and (c) the board determines and certifies to the State Treasurer that the donation is consistent with the purposes of this act. A restricted donation given directly to a qualified organization on or after January 1, 2000 but before the effective date of this act may be considered a restricted donation for the purposes of this act and shall result in a transfer from the Account to the Trust Fund at such time as may be appropriate provided the requirements of this act are met.
(2) When a restricted donation is equal to or greater than $100,000, the donation shall be considered a large gift donation and the board shall disburse to the qualified organization receiving the donation from the matched funds transferred from the Account to the Trust Fund an amount equal to 20 percent of the donation pursuant to the procedure set forth in paragraph (3) of subsection c. of section 8 of this act.
##### **§ 52:16A-81** Council's recommendations for funding {#sec-52-16a-81 omnilex-key=us-nj-statutes--title-52--52:16A-81}
10. At least once each State fiscal year after the board has determined that sufficient interest has accrued to provide grants to qualified organizations, the Council shall submit to the board a list of capital facilities, endowment, and financial stabilization projects which the Council recommends to receive funding from the Trust Fund, based upon a priority system, ranking criteria, and funding policies established by the Council pursuant to this act and P.L.1966, c.214 (C.52:16A-25 et seq.) and any rules or regulations adopted pursuant thereto. The board shall review the list and may make such deletions, but not additions, of projects therefrom as it deems appropriate and in accordance with the procedures established by the board for such deletions pursuant to this act, whereupon the board shall approve the list. This approved project list shall receive moneys from the Cultural Trust for the purposes of effectuating this act.
##### **§ 52:16A-82** Historic Trust's recommendations for funding {#sec-52-16a-82 omnilex-key=us-nj-statutes--title-52--52:16A-82}
11. At least once each State fiscal year after the board has determined that sufficient interest has accrued to provide grants to qualified organizations, the Historic Trust shall submit to the board a list of capital facilities projects that the Historic Trust recommends to receive funding from the Trust Fund, based upon a priority system, ranking criteria, and funding policies established by the Historic Trust pursuant to this act and P.L.1967, c.124 (C.13:1B-15.111 et seq.), and any rules or regulations adopted pursuant thereto. The board shall review the list and may make such deletions, but not additions, of projects therefrom as it deems appropriate and in accordance with the procedures established by the board for such deletions pursuant to this act, whereupon the board shall approve the list. This approved project list shall receive moneys from the Cultural Trust for the purposes of effectuating this act.
##### **§ 52:16A-83** Commission's recommendations for funding {#sec-52-16a-83 omnilex-key=us-nj-statutes--title-52--52:16A-83}
12. At least once each State fiscal year after the board has determined that sufficient interest has accrued to provide grants to qualified organizations, the Commission shall submit to the board a list of endowment and financial stabilization projects that the Commission recommends to receive funding from the Trust Fund, based upon a priority system, ranking criteria, and funding policies established by the Commission pursuant to this act and N.J.S.18A:73-21 et seq. any rules or regulations adopted pursuant thereto. The board shall review the list and may make such deletions, but not additions, of projects therefrom as it deems appropriate and in accordance with the procedures established by the board for such deletions pursuant to this act, whereupon the board shall approve the list. This approved project list shall receive moneys from the Cultural Trust for the purposes of effectuating this act.
##### **§ 52:16A-84** Obligations of recipients {#sec-52-16a-84 omnilex-key=us-nj-statutes--title-52--52:16A-84}
13. a. All qualified organizations receiving moneys from the Cultural Trust pursuant to this act shall enter into an agreement with the board, which shall provide for monitoring the allocation and use of moneys to ensure that such moneys are held and used consistent with the purposes of this act.
b. As determined by the board, the qualified organizations in receipt of moneys from the Trust Fund shall report to the board on its activities, financial status, and use of the moneys disbursed to it by the board.
##### **§ 52:16A-85** Regulations, annual funding request {#sec-52-16a-85 omnilex-key=us-nj-statutes--title-52--52:16A-85}
14. a. Notwithstanding any provision of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, the Council, the Historic Trust, and the Commission may adopt, immediately upon filing with the Office of Administrative Law, such regulations as the Council, the Historic Trust, and the Commission deem necessary to implement the provisions of this act which regulations shall be effective for a period not to exceed 180 days from the date of the filing. Such regulations may thereafter be amended, adopted or readopted by the Council, the Historic Trust, and the Commission as necessary in accordance with the requirements of P.L.1968, c.410.
b. The Council, the Historic Trust, and the Commission shall prepare and submit an annual funding request to the Governor through the Department of State and the Division of Budget and Accounting in the Department of the Treasury to carry out the purposes of this act.
##### **§ 52:16A-86** Findings, declarations relative to Amistad Commission. {#sec-52-16a-86 omnilex-key=us-nj-statutes--title-52--52:16A-86}
1. The Legislature finds and declares that:
a. During the period beginning late in the 15th century through the 19th century, millions of persons of African origin were enslaved and brought to the Western Hemisphere, including the United States of America; anywhere from between 20 to 50 percent of enslaved Africans died during their journey to the Western Hemisphere; the enslavement of Africans and their descendants was part of a concerted effort of physical and psychological terrorism that deprived groups of people of African descent the opportunity to preserve many of their social, religious, political and other customs; the vestiges of slavery in this country continued with the legalization of second class citizenship status for African-Americans through Jim Crow laws, segregation and other similar practices; the legacy of slavery has pervaded the fabric of our society; and in spite of these events there are endless examples of the triumphs of African-Americans and their significant contributions to the development of this country;
b. All people should know of and remember the human carnage and dehumanizing atrocities committed during the period of the African slave trade and slavery in America and of the vestiges of slavery in this country; and it is in fact vital to educate our citizens on these events, the legacy of slavery, the sad history of racism in this country, and on the principles of human rights and dignity in a civilized society;
c. It is the policy of the State of New Jersey that the history of the African slave trade, slavery in America, the depth of their impact in our society, and the triumphs of African-Americans and their significant contributions to the development of this country is the proper concern of all people, particularly students enrolled in the schools of the State of New Jersey; and
d. It is therefore desirable to create a State-level commission, which as an organized body, on a continuous basis, will survey, design, encourage, and promote the implementation of education and awareness programs in New Jersey concerned with the African slave trade, slavery in America, the vestiges of slavery in this country, and the contributions of African-Americans in building our country; to develop workshops, institutes, seminars, and other teacher training activities designed to educate teachers on this subject matter; and which will be responsible for the coordination of events on a regular basis, throughout the State, that provide appropriate memorialization of the events concerning the enslavement of Africans and their descendants in America as well as their struggle for freedom and liberty.
##### **§ 52:16A-86.1** Definition of "African American". {#sec-52-16a-86.1 omnilex-key=us-nj-statutes--title-52--52:16A-86.1}
2. As used in P.L.2002, c.75 (C.52:16A-86 et seq.) and P.L.2020, c.151 (C.52:16A-86.1 et al.), "African American" means all people of African descent in the United States.
##### **§ 52:16A-87** Amistad Commission established. {#sec-52-16a-87 omnilex-key=us-nj-statutes--title-52--52:16A-87}
2. a. The Amistad Commission, so named in honor of the group of enslaved Africans led by Joseph Cinque who, while being transported in 1839 on a vessel named the Amistad, gained their freedom after overthrowing the crew and eventually having their case successfully argued before the United States Supreme Court, is created and established in the Executive Branch of the State Government. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the commission is allocated in but not of the Department of Education, but notwithstanding this allocation, the commission shall be independent of any supervision or control by the department or any board or officer thereof.
The executive director of the Amistad Commission shall submit requests for the budget of the Amistad Commission directly to the Governor who shall review the requests and forward them to the Division of Budget and Accounting in the Department of the Treasury. State support for the operations of the Amistad Commission shall be appropriated by the Legislature to the commission through a separate line item in the annual appropriations act.
The commission shall consist of 22 members, including the Commissioner of Education or a designee , who shall serve as a voting member, and the chair of the executive board of the Presidents' Council or a designee, serving ex officio, two members of the Senate or their designees, no more than one of whom shall be of the same political party, appointed by the President of the Senate to serve as voting members for the two-year legislative term during which they are appointed, two members of the General Assembly or their designees, no more than one of whom shall be of the same political party, appointed by the Speaker of the General Assembly to serve as voting members for the two-year legislative term during which they are appointed, and 16 public members.
Public members , all of whom shall serve as voting members, shall be appointed as follows: four public members, no more than two of whom shall be of the same political party, shall be appointed by the President of the Senate; four public members, no more than two of whom shall be of the same political party, shall be appointed by the Speaker of the General Assembly; and eight public members, no more than four of whom shall be of the same political party, shall be appointed by the Governor. The public members shall be residents of this State, chosen with due regard to broad geographic representation and racial and ethnic diversity, who have an interest in the history of the African slave trade and slavery in America and the accomplishments, experiences, and contributions of African-Americans to our society.
b. Each public member of the commission shall serve for a term of three years, except that of the initial members so appointed: one member appointed by the President of the Senate, one member appointed by the Speaker of the General Assembly, and two members appointed by the Governor shall serve for terms of one year; one member appointed by the President of the Senate, one member appointed by the Speaker of the General Assembly, and three members appointed by the Governor shall serve for terms of two years; and two members appointed by the President of the Senate, two members appointed by the Speaker of the General Assembly, and three members appointed by the Governor shall serve for terms of three years. Public members shall be eligible for reappointment. They shall serve until their successors are appointed and qualified, and the term of the successor of any incumbent shall be calculated from the expiration of the term of that incumbent. A vacancy occurring other than by expiration of term shall be filled in the same manner as the original appointment but for the unexpired term only.
c. The members of the commission shall serve without compensation but shall be entitled to reimbursement for all necessary expenses incurred in the performance of their duties.
d. The commission shall annually elect a chairperson and a vice-chairperson from among its members. The commission shall meet upon the call of the chairperson or of a majority of the commission members. The presence of a majority of the authorized voting membership of the commission shall be required for the conduct of official business.
e. The commission shall interview and appoint an executive director, who shall serve at its pleasure and shall be a person qualified by training and experience to perform the duties of the office. The commission shall approve all Amistad personnel job descriptions and all persons recommended for employment by its executive director.
f. The Amistad Commission shall:
(1) market and distribute to educators, administrators and school districts in the State educational information and other materials on the African slave trade, slavery in America, the vestiges of slavery in this country and the contributions of African-Americans to our society;
(2) conduct teacher workshops annually on the African slave trade, slavery in America, the vestiges of slavery in this country and the accomplishments, experiences, and contributions of African-Americans to our society, covering information which often has been omitted from traditional curricula;
(3) monitor and assess the inclusion of such materials and curricula in the State's educational system; and
(4) survey, catalog, and recommend to the State Board of Education the expansion of, content about slave trade , American slavery education , and African-American history presently being incorporated into the New Jersey Student Learning Standards and taught in the State's educational system , the purpose of which is to ensure that all New Jersey students acquire a broad and deep knowledge of all people who contributed to the founding and development of New Jersey and the United States and to promote the self-esteem, confidence, and identity of students who previously may not have learned about past and living examples of people of their own cultural identity who have had positive impacts upon the American story.
##### **§ 52:16A-88** Responsibilities, duties of Amistad Commission. {#sec-52-16a-88 omnilex-key=us-nj-statutes--title-52--52:16A-88}
3. The Amistad Commission shall have the following responsibilities and duties:
a. to provide, based upon the collective interest of the members and the knowledge and experience of its staff and consultants, assistance and advice to public and nonpublic schools within the State with respect to the implementation of education, awareness programs, textbooks, and educational materials concerned with the African slave trade, slavery in America, the vestiges of slavery in this country and the contributions of African-Americans to our society;
b. to survey and catalog the extent and breadth of education concerning the African slave trade, slavery in America, the vestiges of slavery in this country and the contributions of African-Americans to our society presently being incorporated into the curricula and textbooks and taught in the school systems of the State; to inventory those African slave trade, American slavery, or relevant African-American history memorials, exhibits and resources which should be incorporated into courses of study at educational institutions and schools throughout the State; and to assist the Department of State, the Department of Education and other State and educational agencies in the development and implementation of African slave trade, American slavery and African-American history education programs;
c. to act as a liaison with textbook publishers, public and nonpublic schools, public and private nonprofit resource organizations, and members of the United States Senate and House of Representatives and the New Jersey Senate and General Assembly in order to facilitate the inclusion of the history of African slavery and of African-Americans in this country in the curricula of public and nonpublic schools;
d. to compile a roster of individual volunteers who are willing to share their knowledge and experience in classrooms, seminars and workshops with students and teachers on the subject of the African slave trade, American slavery and the impact of slavery on our society today, and the contributions of African-Americans to our country;
e. to coordinate events memorializing the African slave trade, American slavery and the history of African-Americans in this country that reflect the contributions of African-Americans in overcoming the burdens of slavery and its vestiges, and to seek volunteers who are willing and able to participate in commemorative events that will enhance student awareness of the significance of the African slave trade, American slavery, its historical impact, and the struggle for freedom;
f. to prepare reports for the Governor and the Legislature regarding its findings and recommendations on facilitating the inclusion of the African slave trade, American slavery studies, African-American history and special programs in the educational system of the State;
g. to develop, in consultation with the Department of Education, curriculum guidelines for the teaching of information on the African slave trade, slavery in America, the vestiges of slavery in this country, and the contributions of African-Americans to our country. Every board of education shall incorporate the information in an appropriate place in the curriculum of elementary and secondary school students; and
h. to solicit, receive, and accept appropriations, gifts and donations.
##### **§ 52:16A-88.1** "Amistad Commission Exemplary Award Program." {#sec-52-16a-88.1 omnilex-key=us-nj-statutes--title-52--52:16A-88.1}
1. a. The Amistad Commission shall establish the "Amistad Commission Exemplary Award Program." The purpose of the program is to identify outstanding educators, and the school district in which the educator is employed, for special recognition who have shown a commitment to furthering student knowledge on the African slave trade, slavery in America, the vestiges of slavery in this country, and the contributions of African-Americans to our society.
b. The commission shall invite school districts, charter schools, and renaissance school projects to submit nominations, on an application to be developed by the commission, by February 1 of each year of an exemplary teacher who deserves recognition for efforts to:
(1) ensure that all New Jersey students acquire a broad and deep knowledge of all people who contributed to the founding and development of New Jersey and the United States;
(2) promote the self-esteem, confidence, and identity of students who previously may not have learned about past and living examples of people of their own cultural identity who have had positive impacts upon the American story; and
(3) provide exemplary lessons, units of study, or courses of study that demonstrate effective instruction of students in alignment with the Amistad curriculum and which lessons, units, or courses of study may be replicated by other educators.
c. Recipients of the Amistad Commission Exemplary Award shall be named annually by the Amistad Commission Exemplary Award Committee. The committee shall be an ad hoc committee, the members of which, except for the executive director of the Amistad Commission, shall be appointed annually. The committee shall be comprised of the following members:
(1) one member appointed by the Governor;
(2) one member of the Senate appointed by the President of the Senate;
(3) one member of the General Assembly appointed by the Speaker of the General Assembly;
(4) one member appointed by the New Jersey Education Association;
(5) one member appointed by the New Jersey Principals and Supervisors Association ; and
(6) the executive director of the Amistad Commission, or a designee, who shall serve as the chair of the Amistad Commission Exemplary Award Committee.
d. The award committee shall annually select two teachers to receive the Amistad Commission Exemplary Award: one teacher from a school that provides instruction in any of the grades kindergarten through eight; and one teacher from a school that provides instruction in any of the grades nine through 12. Recipients of this award shall each receive $2,500 in recognition of their extraordinary contributions.
e. Each school district in which the award recipient selected pursuant to the provisions of subsection d. of this section is employed shall also receive the Amistad Commission Exemplary Award. Each school district that receives an award under the provisions of this subsection shall receive $2,500, which shall be used to assist other teachers in the school district implement the curriculum and teaching techniques of the teacher award recipient.
##### **§ 52:16A-89** Assistance to Amistad Commission. {#sec-52-16a-89 omnilex-key=us-nj-statutes--title-52--52:16A-89}
4. a. The commission is authorized to call upon any department, office, division or agency of the State, or of any county, municipality or school district of the State, to supply such data, program reports and other information, personnel and assistance as it deems necessary to discharge its responsibilities under this act.
b. These departments, offices, divisions and agencies shall, to the extent possible and not inconsistent with any other law of this State, cooperate with the commission and shall furnish it with such information, personnel and assistance as may be necessary or helpful to accomplish the purposes of this act.
##### **§ 52:16A-90** New Jersey Black Cultural and Heritage Initiative Foundation. {#sec-52-16a-90 omnilex-key=us-nj-statutes--title-52--52:16A-90}
1. The Secretary of State is authorized to establish a nonprofit, educational and charitable organization to be known as the New Jersey Black Cultural and Heritage Initiative Foundation. The foundation shall be devoted to the sponsoring of activities and the raising of funds for the establishment, support and promotion of the New Jersey Black Cultural and Heritage Initiative pursuant to section 5 of P.L.2005, c.47 (C.52:16A-94). The foundation shall be incorporated as a New Jersey nonprofit corporation pursuant to P.L.1983, c.127 (C.15A:1-1 et seq.), and organized and operated in such manner as to be eligible under applicable federal law for tax-exempt status and for the receipt of tax-deductible contributions, and shall be authorized to sue and to be sued as a legal entity separate from the State of New Jersey.
##### **§ 52:16A-91** Board of Trustees; terms, vacancies. {#sec-52-16a-91 omnilex-key=us-nj-statutes--title-52--52:16A-91}
2. The New Jersey Black Cultural and Heritage Initiative Foundation shall be governed by a board of trustees consisting of the following 25 members:
a. the Secretary of State or designee;
b. five State employees or special State officers, who shall be selected from, and appointed by the Secretary of State to represent any or all, of the following State partner organizations:
(1) New Jersey State Council on the Arts;
(2) New Jersey Historical Commission;
(3) New Jersey Council of the Humanities;
(4) New Jersey Public Broadcasting Commission;
(5) Martin Luther King Commemorative Commission;
(6) Amistad Commission;
(7) Department of Education;
(8) Division of Travel and Tourism, Department of State;
(9) Department of Community Affairs;
(10) Department of Transportation;
(11) Department of State, Office of Faith-based Initiatives; and
(12) any other State agency or instrumentality partnering, assisting or supporting the purposes of the foundation.
The State partner members of the board of trustees appointed pursuant to this subsection shall serve at the pleasure of the Secretary of State.
c. Nineteen public members shall be selected from a broad cross-section of the views and interests of the community and the member organizations of the foundation, including educators, clergy, civic and business leaders; philanthropists; visual, creative and performing artists; representatives of Black arts, history and cultural organizations; and persons having knowledge of, expertise in, or commitment to preserving New Jersey's Black cultural heritage.
Five of the public members shall be appointed by the Secretary of State upon formation and incorporation of the foundation. Thereafter, at least four more public members shall be elected by the nonprofit cultural organizations which become members of the foundation, and the remaining public members shall be nominated by a nominating committee of the board of trustees and appointed by the board of trustees.
The term of office of each public member shall be three years, with each member continuing to serve upon expiration of the term until replaced. Three of the initial public members appointed by the Secretary of State and two of the public members initially elected by member organizations shall serve initial terms of two years.
Vacancies shall be filled and replacements made as provided in the bylaws of the foundation.
##### **§ 52:16A-92** Executive Director, employees. {#sec-52-16a-92 omnilex-key=us-nj-statutes--title-52--52:16A-92}
3. The foundation's board of trustees shall be authorized, within the limits of its own funds, to employ an executive director and professional, technical and administrative personnel. Employees of the foundation shall not be construed to be employees of the State of New Jersey. The board shall also be authorized to contract for such professional and administrative services as it shall deem necessary. No member of the board of trustees shall engage in any business transaction or professional activity for profit with the Department of State.
##### **§ 52:16A-93** Secretary of State, incorporator of foundation. {#sec-52-16a-93 omnilex-key=us-nj-statutes--title-52--52:16A-93}
4. The Secretary of State shall be an incorporator of the foundation. Upon the incorporation of the foundation and the establishment of the first board of trustees, the board shall adopt bylaws setting forth the structure, offices, powers and duties of the foundation. The Secretary of State shall serve as the initial co-chair of the board of trustees.
##### **§ 52:16A-94** Use of funds received by foundation for the initiative. {#sec-52-16a-94 omnilex-key=us-nj-statutes--title-52--52:16A-94}
5. All funds received by the foundation, other than those necessary to pay the expenses of the foundation, shall be used exclusively for the establishment, support and promotion of the New Jersey Black Cultural and Heritage Initiative. The New Jersey Black Cultural and Heritage Initiative shall be an alliance of organizations and institutions that comprise the Black arts, history and culture communities in this State for the purpose of broadening, deepening and diversifying Statewide participation in and appreciation for Black arts, history and culture. The duties and goals of the initiative shall be to:
a. promote understanding and appreciation of the history and artistic and cultural contributions of people of African descent;
b. provide guidance, support and resources for new and emerging Black arts and historical groups and increase the level of organizational capacity and program administration of established groups;
c. increase funding and audiences for local Black culture and heritage tourism and enrich Black culture and heritage tourism programming;
d. increase and attract corporate sponsorship and participation in Black culture and heritage programming and tourism;
e. increase opportunities for young people to learn about and experience Black arts, history and culture in schools and youth organizations;
f. invest in future generations of Black artists and historians by providing leadership development activities, apprenticeships, mentorships, scholarships and cultural programs;
g. enhance computer and Internet access and usage within the Black community;
h. ensure the financial viability of the initiative through a network of community partners, advocates and supporters, including, but not limited to, celebrities, philanthropists, legislators, State and local leaders and corporations;
i. provide recommendations to the New Jersey Historical Commission in the Department of State on Black heritage sites for inclusion in the New Jersey Black Heritage Trail established pursuant to section 1 of P.L.2022, c.102 (C.18A:73-25.9). Funds received by the foundation may be used to purchase, erect, and maintain historical markers as approved by the commission, indicating thereon the persons, places, or events commemorated and having such other suitable inscription as the commission may deem necessary; and
j. any other duties and goals deemed appropriate.
##### **§ 52:16A-95** Provision of financial, service support by Department of State. {#sec-52-16a-95 omnilex-key=us-nj-statutes--title-52--52:16A-95}
6. The Department of State is authorized to provide financial assistance and those services of employees of the State which may be required to form and incorporate the foundation within the limits of funds appropriated to the Department of State or made available to the Department of State by contribution, gift, donation or otherwise for these purposes. Once the foundation is incorporated, it may apply for grants in aid from any department or instrumentality of the State of New Jersey.
##### **§ 52:16A-96** Payment of expenses by foundation; private counsel. {#sec-52-16a-96 omnilex-key=us-nj-statutes--title-52--52:16A-96}
7. All expenses incurred by the foundation shall be payable from funds raised by the foundation, and no liability or obligation, in tort or contract, shall be incurred by the State for the operation of the foundation. The foundation shall obtain private counsel, and shall not be represented by the Attorney General or indemnified by the State of New Jersey.
##### **§ 52:16A-97** Annual audit. {#sec-52-16a-97 omnilex-key=us-nj-statutes--title-52--52:16A-97}
8. A certified public accountant shall be selected by the foundation to annually audit the foundation's funds. The foundation shall contract for and receive such audit annually, and shall submit the audit to the Secretary of State and to the Director of the Division of Budget and Accounting in the Department of the Treasury.
##### **§ 52:16A-98** Division of Elections transferred to Department of State. {#sec-52-16a-98 omnilex-key=us-nj-statutes--title-52--52:16A-98}
1. a. The Division of Elections in the Department of Law and Public Safety, transferred to the Department of Law and Public Safety pursuant to Governor Whitman's Reorganization Plan No. 004-1998 effective May 29, 1998, together with all of the division's functions, powers and duties, is transferred to and constituted as the Division of Elections in the Department of State.
b. Effective with the enactment of P.L.2007, c.254 (C.52:16A-98 et al.), the Secretary of State shall be the chief election official of this State and any references to the Attorney General relative to any elections matter appearing in the statutory law shall be a reference to the Secretary of State, unless the context or language of the statute provides otherwise.
c. All responsibility for the budget, fiscal and personnel matters of the Division of Elections is transferred to the Department of State.
d. Whenever in any rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the Division of Elections in the Department of Law and Public Safety, the same shall mean the Division of Elections in the Department of State.
e. All transfers directed by this act shall be made in accordance with the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
##### **§ 52:16A-99** Findings, declarations relative to Ellis Island. {#sec-52-16a-99 omnilex-key=us-nj-statutes--title-52--52:16A-99}
1. The Legislature finds and declares that:
a. Ellis Island occupies a significant and unique place in America's heritage; it was the primary United States immigration station from 1892 to 1954 when more than 12 million people passed through the station complex - the greatest surge of migration in America's history; and today, 40% of Americans can trace their family history from Ellis Island, which was added to the national park system in 1965 and placed under the operational supervision of the National Park Service as a part of the Statue of Liberty National Monument in recognition of its importance in American history, architecture, and culture.
b. The closure of Ellis Island in 1954 resulted in its abandonment and decay; in 1990, following extensive rehabilitation, the Main Building reopened as an immigration museum and several buildings have been rehabilitated as administrative offices; and the National Park Service is working with Save Ellis Island, Inc. as the non-profit partner for implementation of the Ellis Island Institute and conference center, which is the preferred re-use for the remaining unused buildings on Ellis Island.
c. The Ellis Island Institute would be the primary use and would include cultural, interpretive and educational programs and activities with a policy research center and administrative and study space; and the associated conference center would host meetings, retreats and workshops that primarily focus on immigration, world migration, public health, cultural and ethnic diversity, and family history.
d. On May 26, 1998 the Supreme Court of the United States recognized and acknowledged New Jersey's sovereignty and governmental control over a substantial portion of Ellis Island, as defined in the Court's opinion; in December 1999 the Governor's Advisory Committee on the Preservation and Use of Ellis Island issued its final report and recommendations; and in 2000 Save Ellis Island, Inc. was created in response to the Governor's advisory committee.
e. It is desirable to create a State-level commission, which as an organized body, on a continuous basis, will: promote the interests of the State of New Jersey and provide assistance and advice to Save Ellis Island, Inc., its successors and other interested parties concerning the proposed Ellis Island Institute and its associated conference center; promote the proposed Ellis Island Institute and its associated conference center regionally and nationally as an important cultural and private-public initiative and destination venue; provide recognition for the accomplishments of the State of New Jersey in the rehabilitation, reuse and protection of cultural and historic resources on Ellis Island; and prepare reports to the Governor and the Legislature regarding its findings and recommendations.
##### **§ 52:16A-100** Ellis Island Advisory Commission. {#sec-52-16a-100 omnilex-key=us-nj-statutes--title-52--52:16A-100}
2. a. The Ellis Island Advisory Commission is hereby created and established in the Executive Branch of the State Government. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1, of the New Jersey Constitution, the commission is allocated within the Department of State.
The commission shall consist of 19 voting members, as follows:
(1) a representative of the Governor's office, the Secretary of State or a designee, the State Treasurer or a designee, the Attorney General or a designee, the Commissioner of Environmental Protection or a designee, the Commissioner of Education or a designee, the Executive Director of the New Jersey Commerce Commission or a designee, the Commissioner of Health and Senior Services or a designee, the Commissioner of Transportation or a designee, the New Jersey State representative of the National Trust for Historic Preservation or a designee, and the President of Save Ellis Island, Inc. or a designee, each serving ex officio;
(2) four members of the Legislature, of whom one shall be appointed by the Senate President, one by the Senate Minority Leader, one by the Speaker of the General Assembly and one by the Minority Leader of the General Assembly. Legislators appointed to the commission shall serve as members thereof for terms co-extensive with their respective terms as members of the Houses of the Legislature from which they were appointed; and
(3) four members shall be appointed by the Governor, with the advice and consent of the Senate, of whom one shall be a representative of Rutgers, the State University of New Jersey, chosen with expertise in immigration issues, and three shall be members of the public, chosen with due regard for their knowledge of the role of Ellis Island in American history, including one member with expertise in the hospitality industry and one member with expertise in the development industry. No public members shall hold elective office.
b. Each public member of the commission shall serve for a term of three years, except that of the initial members so appointed: one member shall serve for one year, two members shall serve for two years, and two members shall serve for three years. Public members shall be eligible for reappointment. They shall serve until their successors are appointed and qualified, and the term of any successor of any incumbent shall be calculated from the expiration of the term of that incumbent. A vacancy occurring other than by expiration of the term shall be filled in the same manner as the original appointment but for the unexpired term only. Public members may be removed by the Governor for cause.
c. The members of the commission shall serve without compensation but shall be reimbursed for necessary expenses incurred in the performance of their duties subject to the availability of funds.
d. The Secretary of State, or a designee, shall serve as chair, and the members of the commission shall elect annually one of the public members to serve as vice-chair. The chair may appoint a secretary, who need not be a member of the commission. The presence of a majority of the full membership of the commission shall be required for the conduct of official business.
e. The commission shall meet at the call of the chair. The commission shall hold at least two meetings annually which shall be held at the State capitol and at such other times and places as the commission may deem expedient, including on Ellis Island.
##### **§ 52:16A-101** Responsibilities, duties of Ellis Island Advisory Commission. {#sec-52-16a-101 omnilex-key=us-nj-statutes--title-52--52:16A-101}
3. The Ellis Island Advisory Commission shall have the following responsibilities and duties:
a. to recommend that the proposed Ellis Island Institute and its associated conference center are aligned fully with New Jersey interests, industries and existing institutions;
b. to promote the Ellis Island Institute and its associated conference center regionally and nationally as an important cultural and private-public initiative and a destination venue;
c. to recognize the accomplishments of the State of New Jersey in the rehabilitation, reuse and protection of cultural and historic resources on Ellis Island;
d. to provide, based upon the collective interest of the members and the knowledge and experience of its staff, assistance and advice to Save Ellis Island, Inc., its successors and other interested parties;
e. to cooperate with the State of New York and the City of New York, when appropriate, with respect to the rehabilitation, reuse, and protection of the Ellis Island buildings and resources;
f. to prepare reports for the Governor and the Legislature regarding its findings and recommendations; and
g. to receive and accept appropriations, as well as foster development of gifts and donations to minimize any fiscal impact upon the State.
##### **§ 52:16A-102** Report to Governor, Legislature. {#sec-52-16a-102 omnilex-key=us-nj-statutes--title-52--52:16A-102}
4. The commission shall report its findings and recommendations to the Governor and to the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), within one year of its initial organizational meeting and by the fifteenth of February of each succeeding year for the activities of the preceding calendar year.
##### **§ 52:16A-103** Authority of commission to request information, assistance. {#sec-52-16a-103 omnilex-key=us-nj-statutes--title-52--52:16A-103}
5. The commission is authorized to call upon any department, office, division or agency of the State, or of a political subdivision of the State, to supply such information and assistance as it deems necessary to discharge its responsibilities under this act.
##### **§ 52:16A-104** Findings, declarations relative to establishing the "New Jersey-Israel Commission" as permanent. {#sec-52-16a-104 omnilex-key=us-nj-statutes--title-52--52:16A-104}
1. The Legislature finds and declares:
a. On April 25, 1988, in commemoration of the 40th anniversary of the founding of the State of Israel, the State of New Jersey entered into a Sister State Agreement with Israel as a symbol of the potential for cooperation that exists between our two states; and
b. The agreement calls for the development of trade and cultural and educational exchanges, in addition to encouraging the development of capital investment and joint business ventures; and
c. On May 31, 1989, the State of New Jersey established the New Jersey-Israel Commission as a temporary commission by Executive Order No. 208 of Governor Thomas H. Kean to enhance New Jersey's ability to implement the stated goals of the agreement; and
d. The commission was continued by Executive Orders Nos. 35 and 90 of Governor James J. Florio through and including May 31, 1995; and
e. The commission was continued by Executive Orders Nos. 37 and 70 of Governor Christine T. Whitman through and including January 1, 2002; and
f. The commission was continued by Executive Order No. 12 of Governor James E. McGreevey through and including January 1, 2007; and
g. The commission was continued by Executive Order No. 49 of Governor Jon S. Corzine through and including January 1, 2012; and
h. The commission has effectively fostered a spirit of cooperation between the citizens of the State of Israel and the citizens of the State of New Jersey that should continue, on a permanent basis, in order to further the goals of the agreement.
##### **§ 52:16A-105** New Jersey-Israel Commission deemed permanent; membership, vacancies, compensation, meetings. {#sec-52-16a-105 omnilex-key=us-nj-statutes--title-52--52:16A-105}
2. a. The New Jersey-Israel Commission continued pursuant to Executive Order No. 49 of 2007, together with its functions, powers, duties, and subcommittees is hereby continued and established as a permanent commission in the Department of State, in accordance with the provisions of this act, P.L.2008, c.125 (C.52:16A-104 et seq.).
b. Upon the effective date of this act and through December 31, 2011, the commission shall consist of a minimum of 15 members and a maximum of 100 members, to be appointed by the Governor. Eight members of the commission shall be members of the Legislature. Four of the legislative members shall be members of the General Assembly, no more than two of whom shall be of the same political party, and four shall be members of the Senate, no more than two of whom shall be of the same political party. The eight legislative members shall be appointed by the Governor upon the recommendation of the Speaker of the General Assembly and the President of the Senate, respectively. All members of the commission shall serve at the pleasure of the Governor, and vacancies in the membership of the commission shall be filled in the same manner as the original appointments were made. The members of the commission appointed pursuant to Executive Order No. 49 of 2007 and serving on the effective date of this act shall continue as members of the commission until December 31, 2011 on which date the appointments of all the members shall expire.
c. On January 1, 2012 and thereafter, the membership of the commission shall consist of 85 members to be appointed by the Governor, as follows:
(1) Eight members of the commission shall be members of the Legislature. Four of the legislative members shall be members of the General Assembly, no more than two of whom shall be of the same political party, and four shall be members of the Senate, no more than two of whom shall be of the same political party. The eight legislative members shall be appointed by the Governor upon the recommendation of the Speaker of the General Assembly and the President of the Senate, respectively. The legislative members shall serve during the two-year legislative term in which the appointment is made.
(2) Seventy-seven members of the commission shall be members of the public, to be appointed by the Governor to serve for a term of three years, except that of those 77 members first appointed, 25 shall be appointed to serve an initial term of two years, 25 shall be appointed to serve an initial term of three years, and 27 shall be appointed to serve an initial term of four years.
(3) A vacancy in the membership of the commission shall be filled in the same manner as the original appointment is made.
d. Members of the commission shall serve without compensation, but may be reimbursed for expenses actually incurred in the performance of their duties, within the limit of funds appropriated to the commission or otherwise made available to it for its purposes.
e. The commission may meet and hold hearings at the places it designates throughout the State.
##### **§ 52:16A-106** Designation of chairpersons, subcommittee chairpersons; quorum. {#sec-52-16a-106 omnilex-key=us-nj-statutes--title-52--52:16A-106}
3. The Governor shall designate a chairperson or co-chairpersons from among the members of the commission, who shall serve in that capacity at the pleasure of the Governor. The chairperson or co-chairpersons, as applicable, shall appoint from among the commission members the subcommittee chairpersons who shall each chair one subcommittee. The chairperson or co-chairpersons, as applicable, shall organize the commission's executive committee, to be composed of the chairperson or co-chairpersons, as applicable, the subcommittee chairpersons, and additional at-large members to be appointed by the chairperson or co-chairpersons, as applicable, from among the members of the commission.
A majority of the members of the executive committee shall constitute a quorum for the transaction of the business of the commission. Action may be taken and motions adopted at any meeting of the commission only if a majority of the executive committee of the commission is present and voting.
##### **§ 52:16A-107** Purpose of New Jersey-Israel Commission. {#sec-52-16a-107 omnilex-key=us-nj-statutes--title-52--52:16A-107}
4. a. The purpose of the New Jersey-Israel Commission shall be to implement the stated goals of the Sister State Agreement between New Jersey and Israel. In furtherance of its purpose, the commission shall establish subcommittees to examine the following issues:
(1) Economic Development and International Trade;
(2) Research, Science and Technology;
(3) Education;
(4) Culture and Tourism; and
(5) other issues as determined by the commission pursuant to its purposes.
b. The commission shall report its findings, recommendations and plans directly to the Governor.
##### **§ 52:16A-108** Authority of New Jersey-Israel Commission. {#sec-52-16a-108 omnilex-key=us-nj-statutes--title-52--52:16A-108}
5. The New Jersey-Israel Commission shall be authorized to raise funds, through direct solicitation or other fundraising events, alone or with other groups, and accept gifts, grants and bequests from individuals, corporations, foundations, governmental agencies, public and private organizations and institutions, to defray the commission's administrative expenses and carry out its purposes as set forth in this act, P.L.2008, c.125 (C. 52:16A-104 et seq.). The funds, gifts, grants, or bequests received pursuant to this section shall be deposited in a State Treasury account and allocated and annually appropriated to the Department of State to defray the commission's administrative expenses and carry out its purposes.
##### **§ 52:16A-109** Consistent provisions of Executive Orders remain in force, effect. {#sec-52-16a-109 omnilex-key=us-nj-statutes--title-52--52:16A-109}
6. All other provisions of Executive Order No. 208 of 1989, Executive Order No. 35 of 1991, Executive Order No. 90 of 1993, Executive Order No. 37 of 1995, Executive Order No. 70 of 1997, Executive Order No. 12 of 2002, and Executive Order No. 49 of 2007 that are not inconsistent with this act, P.L.2008, c.125 (C. 52:16A-104 et seq.), shall remain in full force and effect.
##### **§ 52:16A-110** Information for nonprofit organizations provided on the Internet. {#sec-52-16a-110 omnilex-key=us-nj-statutes--title-52--52:16A-110}
1. a. The Department of State shall maintain in a single accessible location on its designated home website information for nonprofit organizations regarding various resources available to assist them in their daily operations. The information featured shall be updated at least monthly and include, but not be limited to, information regarding: (1) available funding sources offered by the Department of State; (2) relevant eligibility criteria applicable to such funding; (3) incorporation and, to the extent applicable, board development; (4) volunteer opportunities available with or through the Department of State; (5) links to the website pages of the various departments and State agencies that contain the information that such entities must maintain in accordance with this section; and (6) any other information the Secretary of State deems necessary. The website shall be accessible from the Department of State's designated home webpage.
b. Each State department or agency that provides resources to nonprofit organizations shall maintain in a single accessible location on its designated home website information regarding various resources available from or through that department or agency to assist those nonprofit organizations in their daily operations. The information featured shall be updated at least monthly and include, but not be limited to, information regarding: (1) available funding sources offered by the department or agency; (2) relevant eligibility criteria applicable to such funding; (3) volunteer opportunities available with or through the department or agency; and (4) any other information the Secretary of State deems necessary. The website shall be accessible from the designated home website of each such department or agency.
##### **§ 52:16A-111** Establishment of formats, icons. {#sec-52-16a-111 omnilex-key=us-nj-statutes--title-52--52:16A-111}
2. The Secretary of State, in consultation with the Chief Technology Officer, shall establish a standard format and icon for each department and agency to use to display the required information for nonprofit organizations.
##### **§ 52:16A-112** Cooperation by State departments, agencies. {#sec-52-16a-112 omnilex-key=us-nj-statutes--title-52--52:16A-112}
3. All Executive Branch departments and State agencies are directed to cooperate fully with the Office of the Secretary of State to implement the provisions of this act.
##### **§ 52:16A-113** Division of the State Museum. {#sec-52-16a-113 omnilex-key=us-nj-statutes--title-52--52:16A-113}
2. There is hereby established in the Department of State the Division of the State Museum. The purpose of the division shall be to collect, preserve, and interpret the cultural and natural history of New Jersey in a national and world context to visitors of all ages and diverse backgrounds and to preserve and interpret the landmark property called Morven located in Princeton. The division shall accomplish this purpose through the presentation of exhibits, education programs, publications, and other services. Specific collection areas shall include, but not be limited to, archaeology and ethnology, decorative arts, fine arts, and natural history.
##### **§ 52:16A-114** Powers, functions, duties continued; board of trustees abolished. {#sec-52-16a-114 omnilex-key=us-nj-statutes--title-52--52:16A-114}
3. The New Jersey State Museum established in the Department of State under section 1 of P.L.1999, c.437 (C.52:16A-60) is continued in the Division of the State Museum in the Department of State, and all of its powers, functions, and duties are continued in the division. The position and employment of the curators and all other employees of the New Jersey State Museum are continued in the division. All appropriations and other moneys available and to become available to the New Jersey State Museum are hereby continued in the division and shall be available for the objects and purposes for which such moneys are appropriated subject to any terms, restrictions, limitations, or other requirements imposed by State or federal law. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding, or otherwise, reference is made to the New Jersey State Museum, the same shall mean and refer to the Division of the State Museum in the Department of State.
The board of trustees of the New Jersey State Museum established under section 3 of P.L.1999, c.437 (C.52:16A-62) is hereby abolished, and all of its powers, functions, and duties are continued in the division.
##### **§ 52:16A-115** Authority, powers of division. {#sec-52-16a-115 omnilex-key=us-nj-statutes--title-52--52:16A-115}
4. The Division of the State Museum in the Department of State is hereby authorized and empowered to:
a. employ an executive director of the New Jersey State Museum;
b. prescribe rules and regulations consistent with the laws and rules of the State of New Jersey for the operation of the museum, including those relating to operations, capital projects, collections, exhibits, and services;
c. on behalf of the State and in furtherance of the purposes of the museum, solicit, receive and administer gifts, bequests, and devises of property of any kind whatsoever, and grants from agencies of the United States government;
d. make purchases for the collections and dispose of items in the collections by sale or auction;
e. enter into contracts with individuals, organizations, and institutions for services or endeavors furthering the objectives of the museum's programs;
f. prepare and implement a fiscal plan for the museum which shall include support from the State of New Jersey and the private sector;
g. submit an annual operational and capital funding request to the Governor through the Department of State and the Division of Budget and Accounting in the Department of the Treasury and to expend or authorize the expenditure of funds derived from such sources and funds as are appropriated annually to the museum;
h. manage and control the museum, together with its contents, furnishings, and other properties;
i. care for and preserve property belonging to the museum;
j. provide auxiliary services such as for the sale of books, periodicals, and art supplies and to provide facilities for the operation of food and beverage services at the museum;
k. impose an admission charge to the museum, if deemed appropriate, except the division shall not impose an admission charge to a veteran, active member of the Armed Forces of the United States or National Guard, or a person holding a driver's license or identification card with a Gold Star Family designation issued pursuant to section 1 of P.L.2013, c.165 (C.39:3-10f6) or section 2 of P.L.1980, c.47 (C.39:3-29.3), respectively;
l. adopt bylaws for the museum's governance;
m. operate branch museums and to give technical advice to other museums;
n. collect, preserve, and exhibit, in cooperation with the Department of Military and Veterans' Affairs, Medals of Honor and related memorabilia; and
o. provide, within the limits of funds appropriated therefor, for a program of maintenance and support for services by the Newark Museum Association for the educational and recreational use and benefit of the public.
##### **§ 52:16A-116** Executive director. {#sec-52-16a-116 omnilex-key=us-nj-statutes--title-52--52:16A-116}
5. The Division of the State Museum shall employ an executive director who shall have a minimum of five years of experience in the management of a museum accredited by the American Association of Museums, or its successors, or shall have been engaged for an equal amount of time in the management of a similar and comparable institution. The executive director shall serve at the pleasure of the Secretary of State and shall be in the unclassified service under Title 11A (Civil Service) of the New Jersey Statutes. The executive director shall carry out the policies of the division under the direction of the secretary.
##### **§ 52:16A-117** Appointment of employees. {#sec-52-16a-117 omnilex-key=us-nj-statutes--title-52--52:16A-117}
6. The executive director may appoint such employees as may be necessary, whose employment shall be in the career service under Title 11A (Civil Service) of the New Jersey Statutes.
##### **§ 52:16A-118** Annual reports. {#sec-52-16a-118 omnilex-key=us-nj-statutes--title-52--52:16A-118}
7. The Division of the State Museum shall submit an annual report of its activities through the Department of State to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature on or before November 1 of each year. Such report shall contain at a minimum the annual financial statements of the museum for the fiscal year ending the preceding June 30.
##### **§ 52:16A-119** Examination of accounts, books, records. {#sec-52-16a-119 omnilex-key=us-nj-statutes--title-52--52:16A-119}
8. The Director of the Division of Budget and Accounting, in the Department of the Treasury, the director's legally authorized representatives, and the State Auditor are hereby authorized and empowered from time to time to examine the accounts, books, and records of the Division of the State Museum, and any of its related entities, including its receipts, disbursements, contracts, investments and any other matters relating thereto and to its financial standing.
##### **§ 52:16A-120** Duties of military and defense economic ombudsman. {#sec-52-16a-120 omnilex-key=us-nj-statutes--title-52--52:16A-120}
11. a. The Military and Defense Economic Ombudsman shall develop and maintain relationships with commanders of military installations located within the State and with the Office of Economic Adjustment in the Department of Defense for the purpose of reducing potential land use conflicts between military installations, the State, and regional, county and local planning units.
b. The Military and Defense Economic Ombudsman shall encourage military installation commanders and representatives of counties, municipalities, and of State and regional entities to maintain open lines of communication, engage in long-term, strategic planning, including but not limited to Joint Land Use Studies, and facilitate joint planning efforts.
##### **§ 52:16A-121** "New Jersey-Made," "NJ-Made" logo. {#sec-52-16a-121 omnilex-key=us-nj-statutes--title-52--52:16A-121}
State logo regarding manufacturing.
1. a. The Department of State, in coordination with the New Jersey Manufacturing Extension Program, Inc., shall develop and designate as an official State logo a "Made in New Jersey," "Made in NJ," or "MINJ" logo to allow manufacturers and producers of New Jersey-made products to denote that their products are made or produced in New Jersey. The Department of State shall develop guidelines for the use of the logo in any branding efforts by manufacturers and producers, and shall make the logo available to manufacturers and producers through an Internet website.
b. Any State agency, quasi-public agency, or public or private entity may promote the Internet website and logo developed pursuant to this section.
c. The Department of State shall promulgate and adopt rules and regulations to effectuate the purposes of this act. The rules and regulations shall be effective immediately upon filing with the Office of Administrative Law for a period not to exceed 18 months, and may, thereafter, be amended, adopted or readopted by the department in accordance with the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:16A-122** Designation of Major Event Coordinator. {#sec-52-16a-122 omnilex-key=us-nj-statutes--title-52--52:16A-122}
1. a. The Secretary of State shall designate an individual, to be known as the Major Event Coordinator, as the contact person for major events held in the State of New Jersey. The Major Event Coordinator shall provide a consolidated one-stop centralized location of information and assistance to persons planning to host major events that will increase tourism to the State. The Major Event Coordinator shall provide, among other things, assistance with permits, licensing, and compliance with State laws, rules, and regulations.
The name and contact information for the Major Event Coordinator shall be prominently displayed on a public webpage.
b. As used in this section, "major event" means and includes events that increase tourism to the State of New Jersey and generate significant, immediate or long-term economic, social and cultural benefits to the State, attract significant numbers of participants and spectators, or have a national profile outside of the region in which it is being run, and generate significant media coverage in markets of interest for tourism.
##### **§ 52:16A-123** Findings, declaration relative to the New Jersey Puerto Rico Commission. {#sec-52-16a-123 omnilex-key=us-nj-statutes--title-52--52:16A-123}
1. The Legislature finds and declares that:
a. Approximately 5.1 million Hispanics of Puerto Rican origin resided in the 50 states of the United States and in the District of Columbia prior to the devastation of Hurricane Maria; and
b. The number is significantly greater than Puerto Rico's population of 3.6 million, which was in decline due to out-migration before Hurricane Maria; and
c. The storm made landfall on September 20, 2017, and caused a degree of destruction and disorganization rarely experienced in American history, so that months after the storm abated, many of the island's residents still lack access to electricity and clean water; and
d. Hurricane Maria was a worst-case scenario from a meteorological standpoint, as the center of the huge Category 5 hurricane passed directly over Puerto Rico with wind and rain lasting over 30 hours; and
e. Hurricane Maria exhibited many of the elements of a catastrophic event, not just a disaster, as catastrophic events are rarer than disasters because they result in the destruction of critical infrastructure over a large swath of land, which is exactly what happened in Puerto Rico; and
f. Though the true extent of Hurricane Maria's damage to Puerto Rico is still being assessed, there are some indications of what the long term effects of it will be, including: predictions that the island's economy will shrink by about eight percent in 2018, thus making Puerto Rico among the slowest growing economies in the world; thousands of businesses have been unable to open due to continuing electrical blackouts months after the storm; and over 200,000 people have left the island; and
g. Approximately 500,000 persons of Puerto Rican descent live in New Jersey, which is the third-largest Puerto Rican population of any state, and it is estimated that approximately 30,000 displaced Puerto Ricans have come to New Jersey in the wake of Hurricane Maria; and
h. New Jersey recognizes its moral obligation to provide relief to all Americans in distress who come to our State; and
i. This State is committed to contributing to the stabilization of Puerto Rico, so that those who wish to return to their homes on the island will have an opportunity to do so and to find a safe, stable, and sustainable environment in which they can raise a family, educate their children, find gainful employment, and enjoy a level of services similar in quality to those with which New Jersey is blessed.
##### **§ 52:16A-124** New Jersey Puerto Rico Commission established. {#sec-52-16a-124 omnilex-key=us-nj-statutes--title-52--52:16A-124}
2. a. There is established in, but not of, the Department of State the New Jersey Puerto Rico Commission. The commission shall consist of 35 members, to be appointed as follows.
Two members of the Legislature shall be appointed by the President of the Senate, neither of whom shall be members of the same political party; and two members of the Legislature shall be appointed by the Speaker of the General Assembly, neither of whom shall be members of the same political party. The legislative members of the commission shall serve during the two-year legislative term in which the appointments are made.
Thirty one members of the commission shall be appointed by the Governor. Sixteen members shall serve for a term of three years and 15 shall serve for a term of four years. The 31 members thus appointed shall include at least one representative from: a State institution of higher education; an electric or gas public utility; the HealthCare Institute of New Jersey, or its successor organization; the New Jersey Chamber of Commerce, or its successor organization; and at least two representatives recommended by the Governor of the Commonwealth of Puerto Rico neither of whom shall be members of the same political party.
b. All appointments shall be made no later than 90 days following the day of enactment of P.L.2019, c.284 (C.52:16A-123 et seq.).
A vacancy in the membership of the commission shall be filled in the same manner as the original appointment was made.
c. Members of the commission shall serve without compensation but may be reimbursed for expenses actually incurred in the performance of their duties, within the limit of funds appropriated to the commission or otherwise made available to it for its purposes.
d. The commission shall meet and hold hearings at the places it designates throughout the State.
##### **§ 52:16A-125** Designation of chairpersons, appointment of members. {#sec-52-16a-125 omnilex-key=us-nj-statutes--title-52--52:16A-125}
3. The Governor shall designate a chairperson or co-chairpersons from among the members of the commission, who shall serve in that capacity at the pleasure of the Governor. The chairperson or co-chairpersons, as appropriate, shall appoint from among the commission members the subcommittee chairpersons, who shall each chair only one subcommittee. The chairperson or co-chairpersons, as appropriate, shall serve on the commission's Executive Committee, which shall also include the subcommittee chairpersons and any additional at-large members to be appointed by the chairperson or co-chairperson, as appropriate, from among the members of the commission. The executive committee shall schedule all meetings of the commission and prepare an agenda therefor. A majority of the members of the commission shall constitute a quorum for the transaction of the business of the commission.
##### **§ 52:16A-126** Purpose of the New Jersey Puerto Rico Commission. {#sec-52-16a-126 omnilex-key=us-nj-statutes--title-52--52:16A-126}
4. a. The purpose of the New Jersey Puerto Rico Commission shall be to: advance bilateral trade and investment; initiate joint action on policy issues of mutual interest to New Jersey and Puerto Rico; promote business and academic exchanges between New Jersey and Puerto Rico; support Puerto Rico in its efforts to stabilize its economy; encourage New Jersey companies to invest in Puerto Rico's infrastructure; and address such other issues as determined by the commission. In order to carry out its purposes, the commission shall establish subcommittees to examine the following issues.
Economic development, investment and trade.
Research, science, and technology. A priority of this subcommittee shall be to consider the desirability of re-establishing the bi-state commission created in the 1990s under the auspices of the HealthCare Institute of New Jersey to: (1) organize states that are dependent on life sciences industry clusters to protect and preserve a strong pharmaceutical industry in the United States; (2) coordinate joint applications for federal research and manufacturing innovation grants; and (3) create opportunities for university-based research and instructional collaborations.
Public policy advocacy. This subcommittee shall mobilize New Jersey institutions to join with other states in advocating for an infusion of resources into Puerto Rico to stop its economic downward spiral by: (1) making certain that Medicare/Medicaid services are funded at adequate levels and on an equal basis with other states in this country; (2) press for emergency education funding to prevent the deterioration of the island's primary and secondary education systems; (3) support the PROMESA Fiscal Oversight Board in its determination to re-structure Puerto Rico's debt; (4) support a restoration of the benefits provided by Section 936 of the federal tax code; and (5) promote federal funding to reconstruct all of the damaged infrastructure on the island.
Education.
Infrastructure.
Such other issues as deemed appropriate by the commission.
b. The commission shall report its findings and recommendations to the Governor, and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), within one year of its initial organizational meeting and by February 1st of each succeeding year for the activities of the preceding calendar year. The report shall be in writing and include such recommendations as deemed appropriate by the commission to effectuate its purpose, as provided by this section.
##### **§ 52:16A-127** Authority to raise funds. {#sec-52-16a-127 omnilex-key=us-nj-statutes--title-52--52:16A-127}
5. The New Jersey Puerto Rico Commission shall be authorized to raise funds, through direct solicitation or other fundraising events, alone, or with other groups, and accept gifts, grants, and bequests from individuals, corporations, foundations, governmental agencies, and public and private organizations and institutions, to defray the commission's administrative expenses and to carry out its purposes as set forth in P.L.2019, c.284 (C.52:16A-123 et seq.). The funds, gifts, grants, or bequests received pursuant to this section shall be deposited in an account in the Department of the Treasury and allocated and annually appropriated to the Department of State to defray the commission's administrative expenses and carry out its purposes.
##### **§ 52:16A-128** New Jersey Asian American Pacific Islander Commission; creation, establishment. {#sec-52-16a-128 omnilex-key=us-nj-statutes--title-52--52:16A-128}
1. The New Jersey Asian American Pacific Islander Commission is created and established in the Executive Branch of the State Government. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the commission is allocated within the Department of State but notwithstanding this allocation, the commission shall be independent of any supervision or control by the department or any board or officer thereof.
##### **§ 52:16A-129** Commission membership. {#sec-52-16a-129 omnilex-key=us-nj-statutes--title-52--52:16A-129}
2. The commission shall consist of 30 public members representing Asian American Pacific Islander (AAPI) communities.
The public members shall be appointed as follows:
One public member shall be appointed by the Secretary of State;
One public member shall be appointed by Governor from among recommendations made by the President of the Senate; and
One public member shall be appointed by the Governor from among recommendations made by the Speaker of the General Assembly.
The Governor shall appoint the remaining 27 public members, and shall appoint the chair of the commission.
The public members shall have experience advocating on behalf of their community.
##### **§ 52:16A-130** Terms of membership. {#sec-52-16a-130 omnilex-key=us-nj-statutes--title-52--52:16A-130}
3. Each public member of the commission shall serve a term of three years, except that in making the first appointments to the commission, 10 public members shall appointed to serve for one year, 10 for two years, and 10 for three years. The length of the respective term for each public member of the first commission shall be determined by lot at the organization of the commission. The public members shall be eligible for reappointment and shall serve until their successors are appointed and qualified, and the term of the successor of any incumbent shall be calculated from the expiration of the term of that incumbent. A vacancy occurring other than by expiration of term shall be filled in the same manner as the original appointment, but for the unexpired term only.
##### **§ 52:16A-131** Conducting official business; annual report. {#sec-52-16a-131 omnilex-key=us-nj-statutes--title-52--52:16A-131}
4. The majority of authorized members of the commission shall be required to conduct official business. The commission shall submit an annual report on its activities to the Governor and the Legislature, pursuant to P.L.1991, c.164 (C.52:14-19.1).
L.2021, c.304, s.4.
C.52:16A-132 Reimbursement of members.
5. The members of the commission shall serve without compensation, but they shall be entitled to reimbursement for all necessary expenses incurred in the performance of their duties.
##### **§ 52:16A-133** Assistance from state governmental entities. {#sec-52-16a-133 omnilex-key=us-nj-statutes--title-52--52:16A-133}
6. The commission is authorized to call upon any department, office, division or agency of the State, or of any county, municipality or school district of the State, to supply such data, program reports and other information, personnel and assistance as it deems necessary to discharge its responsibilities under this act. These departments, offices, divisions and agencies shall, to the extent possible, and not inconsistent with any other law of this State, cooperate with the commission and shall furnish it with such information, personnel, and assistance as may be necessary or helpful to accomplish the purposes of the commission.
##### **§ 52:16A-134** Responsibilities and duties. {#sec-52-16a-134 omnilex-key=us-nj-statutes--title-52--52:16A-134}
7. The commission shall have the following responsibilities and duties:
a. To develop policies to improve the community, economic, social well-being, health and educational needs important to AAPI communities in New Jersey;
b. To develop and coordinate Statewide programs, recognizing the continuing contributions of AAPI individuals in New Jersey;
c. To draw upon the membership's knowledge and expertise in creating activities designed to better educate all citizens of New Jersey on AAPI issues and culture;
d. To increase the awareness among AAPI individuals of governmental affairs and community and social service resources that may benefit AAPI individuals and communities as a whole.
##### **§ 52:16A-135** Business Action Center, Department of State, customer assistance metrics program; report to Governor, Legislature. {#sec-52-16a-135 omnilex-key=us-nj-statutes--title-52--52:16A-135}
1. a. No later than six months after the effective date of this act, the Business Action Center within the Department of State shall establish and maintain a customer assistance metrics program that tracks and analyzes customer satisfaction, outcomes of business inquiries, and the quality of service that the Business Action Center provides. The program shall consist of a post-call survey for customers, a live chat survey function, and a follow-up assessment via email or mail, depending on the customer's preference. The post-call survey, live chat survey function, and follow-up assessment shall include, at a minimum, questions concerning the customer's experience in utilizing the Business Action Center, any difficulties the customer encountered during the inquiry process, and how well the customer's questions and concerns were addressed by the staff at the Business Action Center.
b. The purpose of the surveys and assessments shall be to:
(1) identify the strengths and weaknesses of the Business Action Center in responding to customer inquiries;
(2) formulate trainings or strategies to improve the response of the Business Action Center; and
(3) assess whether recommended improvements require additional resources and staff support.
c. The Business Action Center shall analyze the data collected by the post-call surveys, live chat survey function, and follow-up assessments. No later than one year following the establishment of the customer assistance metrics program, and on an annual basis thereafter, the Business Action Center shall submit a report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), the Legislature, with respect to its findings and conclusions. The Department of State shall post a copy of the report in a prominent location on the homepage of its Internet website and annually update the website with the most recent report.
##### **§ 52:16A-136** New Jersey Business Action Center, small business manual, established, maintained. {#sec-52-16a-136 omnilex-key=us-nj-statutes--title-52--52:16A-136}
1. a. The executive director of the New Jersey Business Action Center in the Department of State shall establish and maintain, in collaboration with the New Jersey Economic Development Authority, the New Jersey Business and Industry Association, the New Jersey Chamber of Commerce, and regional chambers of commerce across the State, a publicly available small business manual that provides information and guidance on establishing, maintaining, and expanding a small business.
b. The manual shall be succinct, with a focus on brevity, and shall contain, after discussion with all collaborators in subsection a. of this section, the most important priorities when establishing, maintaining, and expanding a small business. The contents of the manual shall also include, but not be limited to, information concerning:
(1) State and local permits and inspections;
(2) financial assistance programs;
(3) lease contracts;
(4) commercial real estate transactions, including methods on how to acquire commercial real estate; and
(5) any other information that the executive director deems necessary.
c. The executive director shall additionally solicit information from the Department of Community Affairs, the Department of Environmental Protection, the Economic Development Authority, and other relevant departments and agencies on frequently asked questions that a small business owner may have when establishing, maintaining, or expanding a small business. Responses collected by the executive director shall be included in the manual.
d. The manual shall be made available to the public one year next following the effective date of P.L.2023, c.27 (C.52:16A-136). The executive director shall update the information contained in the manual periodically.
e. As used in this section, "publicly available" means to post in a conspicuous manner on the Internet website of the New Jersey Business Action Center and in a hard copy made available for a nominal fee.
##### **§ 52:16A-136a** New Jersey Business Action Center, publicly available information, guidance, small businesses, Internet presence, establish, maintain. {#sec-52-16a-136a omnilex-key=us-nj-statutes--title-52--52:16A-136a}
1. a. The New Jersey Business Action Center established in the Department of State pursuant to Reorganization Plan No. 003-2011, shall, in consultation with the New Jersey Economic Development Authority and the New Jersey Small Business Development Centers, establish and maintain publicly available information and guidance to help small businesses learn about available programs that help businesses develop an Internet presence.
b. The guidance shall provide information on available programs that:
(1) provide assistance with launching websites and social media web pages;
(2) assist businesses with setting up technological tools for an Internet presence;
(3) provide continuing assistance with the technological tools until the business has an understanding of how to use those technological tools to enhance the business's Internet presence;
(4) expand online sales;
(5) implement digital payroll, sales, inventory, and other processes; and
(6) connect with other business owners.
##### **§ 52:16A-136b** New Jersey Business Action Center, outreach, assistance. {#sec-52-16a-136b omnilex-key=us-nj-statutes--title-52--52:16A-136b}
2. The New Jersey Business Action Center, in creating guidance pursuant to section 1 of P.L.2023, c.185 (C.52:16A-136a), shall conduct outreach to institutions of higher education, county colleges, the technology sector, local community centers, libraries, and other similar entities to assist the center in compiling and promoting information about the available programs.
##### **§ 52:16A-136.1** Mentorship program, Business Action Center. {#sec-52-16a-136.1 omnilex-key=us-nj-statutes--title-52--52:16A-136.1}
1. a. The Business Action Center established in the Department of State pursuant to Reorganization Plan No. 003-2011 shall establish a mentorship program to match mentor entities with experience in particular areas with newly established entities seeking to learn from those mentor entities. The center shall, as practicable, incorporate the mentorship program into the center's ongoing outreach and assistance efforts.
b. The goal of the program shall be to facilitate the sharing of knowledge to confront common challenges in an evolving economy. The Business Action Center shall encourage participating mentor entities to share with mentee entities, when relevant, the following: those mentor entities' experiences transitioning to a new form of commerce, such as transitioning from brick-and-mortar to online or transitioning to the sale of a product or service that the mentor entity did not previously have experience selling; and suggestions to avoid common pitfalls when transitioning to a new form of commerce.
c. The Business Action Center shall seek the assistance of chambers of commerce and other local organizations to solicit the participation of businesses in the program and to compile a list of mentor and mentee businesses to be matched by the center.
d. The Business Action Center shall establish the terms and conditions by which entities may participate in the program, including requirements for minimum quarterly and in-person meetings between mentor and mentee entities.
##### **§ 52:16A-136.2** Business Action Center liaison, State, manufacturing businesses; duties, responsibilities. {#sec-52-16a-136.2 omnilex-key=us-nj-statutes--title-52--52:16A-136.2}
3. The Secretary of State, in consultation with the Commissioner of Labor and Workforce Development, shall designate an existing or newly hired employee of the Business Action Center in the Department of State to act as a liaison between the State and manufacturing businesses located in this State. The duties of the liaison shall be to assist manufacturing businesses by:
a. advertising manufacturing businesses' products or services nationally and internationally through the Business Action Center in the Department of State;
b. establishing a business referral service where manufacturing businesses may be referred to other State, federal, or private business resource organizations, such as the New Jersey Manufacturing Extension Program, the State's Small Business Development Centers, and other business organizations that provide specialized business development assistance, technology information, consulting management, and customized one-to-one counseling concerning business plans and technical assistance with significant business topics and issues; and
c. identifying and promoting opportunities throughout the State for postsecondary pathway programs to actively reskill and upskill the current workforce to better meet the needs of manufacturing fields.
##### **§ 52:16A-136.3** Secretary of State, resources, incentives, provide technological, financial, workforce development, manufacturing businesses. {#sec-52-16a-136.3 omnilex-key=us-nj-statutes--title-52--52:16A-136.3}
4. a. The Secretary of State, in consultation with the Commissioner of Labor and Workforce Development, the New Jersey Economic Development Authority, and other State departments, agencies, boards, commissions, and authorities, shall direct resources, create incentives, and provide technological, financial, and workforce development opportunities for manufacturing businesses.
b. The Secretary of State may call upon any department, authority, commission, board, office, division, or agency of the State to provide any information, resources, or other assistance deemed necessary to carry out the provisions of P.L.2023, c.268 (C.18A:64A-89 et al.). This may include, but not be limited to: the New Jersey Economic Development Authority for assistance with manufacturing business funding assistance programs; the Department of Labor and Workforce Development for assistance with developing workforce development strategies for manufacturing businesses; the Department of Transportation and the New Jersey Transit Corporation for assistance with enhancing public transportation operations for employees of manufacturing businesses; the Business Action Center in the Department of State for assistance with manufacturing business attraction, retention, and expansion efforts and advising on smart growth development strategies; and the Department of Community Affairs for assistance to manufacturing businesses participating in the urban enterprise zone program established by P.L.1983, c.303 (C.52:27H-60 et al.).
##### **§ 52:16A-137** "New Jersey Ireland Trade Commission" established; membership requirements. {#sec-52-16a-137 omnilex-key=us-nj-statutes--title-52--52:16A-137}
1. a. There is established in, but not of, the Department of State the New Jersey Ireland Trade Commission. The commission shall consist of 23 members, to be appointed as follows:
(1) (a) Four members of the Legislature shall be appointed by the President of the Senate, two of whom shall have current or past involvement in organizations that promote Irish affairs or shall have interest in the well-being of trade relations between New Jersey and Ireland; and two members of the Legislature shall be appointed by the Minority Leader of the Senate, both of whom shall have current or past involvement in organizations that promote Irish affairs or shall have interest in the well-being of trade relations between New Jersey and Ireland.
(b) Four members of the Legislature shall be appointed by the Speaker of the General Assembly, two of whom shall have current or past involvement in organizations that promote Irish affairs or shall have interest in the well-being of trade relations between New Jersey and Ireland; and two members of the Legislature shall be appointed by the Minority Leader of the General Assembly, both of whom shall have current or past involvement in organizations that promote Irish affairs or shall have interest in the well-being of trade relations between New Jersey and Ireland.
(c) The legislative members of the commission shall serve during the two-year legislative term in which the appointments are made.
(2) Eleven members of the commission shall be appointed by the Governor. Six members shall serve for a term of three years and five shall serve for a term of four years. The 11 members thus appointed shall include at least one representative from: a public institution of higher education; the New Jersey Chamber of Commerce, or its successor organization; and at least two public members representing Irish American communities neither of whom shall be members of the same political party.
b. All appointments shall be made no later than 90 days following the day of enactment of P.L.2023, c.64 (C.52:16A-137 et seq.). A vacancy in the membership of the commission shall be filled in the same manner as the original appointment was made.
c. Members of the commission shall serve without compensation but may be reimbursed for expenses actually incurred in the performance of their duties, within the limit of funds appropriated to the commission or otherwise made available to it for its purposes.
d. The commission shall meet and hold hearings at the places it designates throughout the State.
##### **§ 52:16A-138** Commission chairs, quorum. {#sec-52-16a-138 omnilex-key=us-nj-statutes--title-52--52:16A-138}
2. The President of the Senate shall designate two co-chairpersons from among the President's appointments, one each from the majority and minority party; and the Speaker of the General Assembly shall designate two co-chairpersons from among the Speaker's appointments, one each from the majority and minority party. A majority of the members of the commission shall constitute a quorum for the transaction of the business of the commission.
##### **§ 52:16A-139** Commission purpose, duties; report, Governor, Legislature. {#sec-52-16a-139 omnilex-key=us-nj-statutes--title-52--52:16A-139}
3. a. The purpose of the New Jersey Ireland Trade Commission shall be to:
(1) advance bilateral trade and investment between New Jersey and Ireland;
(2) initiate joint action on policy issues of mutual interest to New Jersey and Ireland;
(3) promote business and academic exchanges between New Jersey and Ireland;
(4) encourage mutual economic support between New Jersey and Ireland;
(5) encourage mutual investment in the infrastructure of New Jersey and Ireland; and
(6) address such other issues as determined by the commission.
b. The commission shall report its findings, results, and recommendations to the Governor, and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), within one year of its initial organizational meeting and by February 1st of each succeeding year for the activities of the preceding calendar year. The report shall be in writing and include recommendations as deemed appropriate by the commission to effectuate its purpose, as provided by this section.
##### **§ 52:16A-140** Commission, funds, gifts, grants, bequests; Department of the Treasury. {#sec-52-16a-140 omnilex-key=us-nj-statutes--title-52--52:16A-140}
4. The New Jersey Ireland Trade Commission shall be authorized to raise funds, through direct solicitation or other fundraising events, alone, or with other groups, and accept gifts, grants, and bequests from individuals, corporations, foundations, governmental agencies, and public and private organizations and institutions, to defray the commission's administrative expenses and to carry out its purposes as set forth in P.L.2023, c.64 (C.52:16A-137 et seq.). The funds, gifts, grants, or bequests received pursuant to this section shall be deposited in an account in the Department of the Treasury and allocated and annually appropriated to the Department of State to defray the commission's administrative expenses and carry out its purposes.
##### **§ 52:16A-141** Findings, declarations. {#sec-52-16a-141 omnilex-key=us-nj-statutes--title-52--52:16A-141}
1. The Legislature finds and declares that:
The State of New Jersey recognizes its historical ties with Haiti and economic concerns shared by its Haitian-American residents regarding the Republic of Haiti;
Haiti has faced significant challenges, including natural disasters, political instability, and socio-economic hardships;
It is imperative for New Jersey to recognize that it has the fourth largest Haitian population in the United States; and
The State should take concrete steps to address the economic challenges within its Haitian-American community and should work diligently to foster a mutual and beneficial relationship with Haiti.
##### **§ 52:16A-142** The New Jersey-Haiti Commission established. {#sec-52-16a-142 omnilex-key=us-nj-statutes--title-52--52:16A-142}
2. a. The New Jersey-Haiti Commission is hereby created and established in the Department of State. The commission shall advise the Governor and Legislature on ways to improve economic and cultural links between the State and Haiti and on steps that may be taken to address the economic challenges within the State's Haitian-American community.
b. The commission shall consist of 13 members, including the Secretary of State, or a designee, who shall serve as chairperson, and 12 public members who shall represent a variety of different professional sectors across the State, including non-profit organizations serving the Haitian community. The public members shall be appointed as follows: six public members shall be appointed by the Governor, two public members shall be appointed by the Governor upon the recommendation of the President of the Senate, one public member shall be appointed by the Governor upon the recommendation of the Minority Leader of the Senate, two public members shall be appointed by the Governor upon the recommendation of the Speaker of the General Assembly, and one public member shall be appointed by the Governor upon the recommendation of the Minority Leader of the General Assembly.
c. Each public member of the commission shall serve for a term of three years, except that of the members first appointed, four shall be appointed to a term of one year, four shall be appointed to a term of two years, and four shall be appointed to a term of three years, as determined by the Governor. Public members shall be eligible for reappointment. The public members shall serve until their successors are appointed and qualified, and the term of the successor of any incumbent shall be calculated from the expiration of the term of that incumbent. A vacancy occurring other than the expiration of the term shall be filled in the same manner as the original appointment but for the unexpired term only.
d. The members of the commission shall serve without compensation, but shall be entitled to reimbursement for all necessary expenses incurred in the performance of their duties within the limits of funds appropriated for that purpose.
e. The commission shall hold at least one public hearing on a quarterly basis and shall consult with stakeholders, experts, and members of the public to gather information related to the current economic challenges of the Haitian-American community in New Jersey and on the economic and cultural links between the State and Haiti.
##### **§ 52:16A-143** New Jersey-Haiti Commission, duties, objectives; report to Governor, Legislature. {#sec-52-16a-143 omnilex-key=us-nj-statutes--title-52--52:16A-143}
3. a. The commission shall:
conduct a comprehensive review of historical ties between New Jersey and Haiti, including existing cultural exchanges, economic interactions, and the number of Haitians settling in New Jersey, as well as their patterns of migration to the State;
collect and analyze quantitative data, including census numbers, demographic trends, and economic indicators, to assess the current state of affairs in the Haitian-American community as related to civic engagement and their political and economic impacts in New Jersey and how the State can assist the Haitian-American community within the State;
analyze ways for New Jersey to establish a strong partnership and bilateral cooperation with Haiti, including, but not limited to, providing logistical and technical assistance related to access to healthcare and education and access to a fair and impartial judicial system;
identify areas for economic collaboration and partnership between New Jersey and Haiti, including, but not limited to, trade promotions, investment opportunities, and cultural exchanges; and
recommend policy initiatives, legislation, and programs to support economic development efforts in the Haitian-American community in this State and to support economic and cultural links in Haiti.
b. The commission may authorize studies, reports, and research projects to further its objectives and consult with State agencies, the Haitian government, and international and local organizations working on political, economic, and cultural issues related to Haiti.
c. The commission shall report its findings and recommendations to the Governor and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1) no later than one year after the date the commission first meets and annually thereafter.
d. The commission, through the Department of State, may solicit and receive grants and other funds that are made available for the commission's purposes by any governmental, public, private, not-for-profit, or for-profit entity, including funds that are made available under any federal or State law, regulation, or program.
## **Chapter 17A**
##### **§ 52:17A-1** Purpose of act {#sec-52-17a-1 omnilex-key=us-nj-statutes--title-52--52:17A-1}
The purpose of this act is to accomplish economy and efficiency by centralizing, in one department, the facilities afforded by the State for the rendering of legal services to the Governor and to all officers, departments, boards, bodies, commissions and instrumentalities of the State Government and to provide for the enforcement of the criminal law of the State by such department where the ends of justice so require.
##### **§ 52:17A-2** Department established; appointment and term of Attorney-General {#sec-52-17a-2 omnilex-key=us-nj-statutes--title-52--52:17A-2}
There is hereby established a Department of Law in the State Government. The Attorney-General shall be the head of said department and the Attorney-General shall be nominated by the Governor and appointed by him with the advice and consent of the Senate and shall hold his office for the term of five years.
##### **§ 52:17A-3** Administration of department; Attorney-General to devote entire time to duties; salary {#sec-52-17a-3 omnilex-key=us-nj-statutes--title-52--52:17A-3}
The Division of Law in the Department of Law and Public Safety shall be administered by the Attorney-General and his assistant Attorneys-General, deputy Attorneys-General and assistant deputy Attorneys-General as herein provided.
The Attorney-General in office on January twentieth, one thousand nine hundred and fifty-four, and every Attorney-General thereafter appointed shall devote his entire time to his duties as Attorney-General and shall not, while in office, engage in the private practice of law. He shall receive such salary as shall be provided by law.
##### **§ 52:17A-3.1** Acting Attorney-General; designation; revocation {#sec-52-17a-3.1 omnilex-key=us-nj-statutes--title-52--52:17A-3.1}
The Attorney-General shall, within six months after the effective date of this act or after he shall take office, as the case may be, designate one of the Deputy Attorneys-General or Assistant Deputy Attorneys-General of the Department of Law to be Acting Attorney-General by written designation filed with the Secretary of State, which designation may be revoked and a new designation made in writing similarly filed.
##### **§ 52:17A-3.2** Vacancy in Attorney-General's office; continuance in office of person designated {#sec-52-17a-3.2 omnilex-key=us-nj-statutes--title-52--52:17A-3.2}
The Deputy Attorney-General or Assistant Deputy Attorney-General, so designated, who shall be in office as Acting Attorney-General, whenever a vacancy shall occur in the office of Attorney-General, shall continue in such office until the successor of the Attorney-General who designated him shall be appointed and shall qualify and shall designate an Acting Attorney-General.
##### **§ 52:17A-3.3** Powers and duties of Acting Attorney-General {#sec-52-17a-3.3 omnilex-key=us-nj-statutes--title-52--52:17A-3.3}
The Acting Attorney-General shall, during the absence or inability to act, through sickness or other cause, of the Attorney-General, or in case of a vacancy in the office of the Attorney-General, have the same powers and perform all the duties which are conferred and imposed by law upon the Attorney-General until the Attorney-General shall return to duty or a new Attorney-General is appointed and shall qualify.
##### **§ 52:17A-4** Powers and duties of Division of Law {#sec-52-17a-4 omnilex-key=us-nj-statutes--title-52--52:17A-4}
The powers and duties of the Division of Law shall be the powers and duties now or hereafter conferred upon or required of the Attorney General, either by the Constitution or by the common and statutory law of the State, and as specifically but not exclusively as detailed herein, to wit:
a. Be present at the seat of the government during the sessions of the Legislature;
b. Give to the Governor, to the members of the Senate and the General Assembly, and to all other officers, departments, boards, bodies, commissions and instrumentalities of the State Government, legal advice on such matters as they may from time to time require;
c. Examine and decide all legal matters submitted to him by the Governor or the Legislature and act for them in any matter in which they may be interested, and shall exclusively attend to and control all litigation and controversies to which the State is a party or in which its rights and interests are involved;
d. Carry out and enforce the provisions of the New Jersey Securities Law; also the Civil Rights Law;
e. Act as the sole legal adviser, attorney or counsel, notwithstanding the provisions of any other law, for all officers, departments, boards, bodies, commissions and instrumentalities of the State Government in all matters other than those requiring the performance of administrative functions entailing the enforcement, prosecution and hearing of issues as imposed by law upon them; and represent them in all proceedings or actions of any kind which may be brought for or against them in any court of this State; and shall likewise interpret all statutes and legal documents, inspect and approve contracts and titles and otherwise control their legal activities;
f. (Deleted by amendment.) ;
g. Attend generally to all legal matters in which the State or any officer, department, board, body, commission or instrumentality of the State Government is a party or in which its rights or interests are involved;
h. Enforce the provisions of the Constitution and all other laws of the State, as well as perform all of the duties conferred and imposed by law upon the Attorney General.
##### **§ 52:17A-6** Appointment of assistants and deputies; employees {#sec-52-17a-6 omnilex-key=us-nj-statutes--title-52--52:17A-6}
The Attorney-General may appoint as his legal assistants in the Division of Law in the Department of Law and Public Safety assistant Attorneys-General, deputy Attorneys-General and assistant deputy Attorneys-General who shall perform such duties as the Attorney-General shall from time to time designate. The Attorney-General may also appoint necessary clerks and employees and fix their compensation.
##### **§ 52:17A-7** Assistant Attorneys-General; at-will, confidential employees. {#sec-52-17a-7 omnilex-key=us-nj-statutes--title-52--52:17A-7}
7. Assistant Attorneys-General in the Department of Law and Public Safety shall hold their offices at the pleasure of the Attorney-General and shall receive such salaries as the Attorney-General shall from time to time designate. They shall be deemed confidential employees for purposes of the "New Jersey Employer-Employee Relations Act," P.L.1941, c.100 (C.34:13A-1 et seq.).
##### **§ 52:17A-9** Members of department not to act as attorneys in state cases except in official capacity {#sec-52-17a-9 omnilex-key=us-nj-statutes--title-52--52:17A-9}
No member of the Department of Law shall act as attorney or counsel in any controversy in which the State has an interest, except in his official capacity.
##### **§ 52:17A-10** Additional compensation to members of department {#sec-52-17a-10 omnilex-key=us-nj-statutes--title-52--52:17A-10}
No member of the Department of Law shall receive any compensation, fees or costs in addition to his regular salary for or by reason of any service performed by him for the State or for any political subdivision thereof except by allowance or appropriation by the Legislature, and any additional compensation, fees or costs so payable to or received by any member of the Department of Law, not so allowed or appropriated, shall be paid to the State Treasurer for the use of the State; but the provisions of this section shall not be construed to prevent the payment of compensation of any additional deputy attorney-general, who may be employed or designated by the Attorney-General solely to act in any county under section five of this act, by the county in which he is designated to act by the Attorney-General.
##### **§ 52:17A-11** Employment of attorneys by State officers, departments, etc. {#sec-52-17a-11 omnilex-key=us-nj-statutes--title-52--52:17A-11}
No officer, department, board, body, commission or instrumentality of the State Government shall employ any person to act as attorney, counsel, solicitor, legal assistant or other legal adviser to such officer, department, board, body, commission or instrumentality. Nor shall such officer, department, board, body, commission or instrumentality of the State Government employ any person in any legal capacity for the purpose of giving legal advice or rendering legal services, but such officer, department, board, body, commission or instrumentality may employ an attorney-at-law under full-time employment solely in the performance of administrative functions entailing the hearing of issues and determining facts in order that the said officer, department, board, body, commission or instrumentality may perform his or its functions as required by law; provided, however, that no such attorney shall act in a legal capacity in the prosecution of any charge or complaint before any such officer, department, board, body, commission or instrumentality.
##### **§ 52:17A-12** Assignment of deputies or assistants to State officers, departments, etc. {#sec-52-17a-12 omnilex-key=us-nj-statutes--title-52--52:17A-12}
The Attorney-General may assign an assistant Attorney-General, a deputy Attorney-General or an assistant deputy Attorney-General to serve in any legal capacity in or for any officer, department, board, body, commission or instrumentality of the State Government on a part-time or full-time basis whenever, in the judgment of the Attorney-General, such assignment will contribute to the efficiency of the operation of such office, department, board, body, commission or instrumentality, but such member of the Division of Law shall remain under the supervision and control of the Attorney-General while so serving and his compensation shall be payable solely from appropriations made to the Department of Law and Public Safety.
##### **§ 52:17A-13** Special counsel for State officers or departments, etc. {#sec-52-17a-13 omnilex-key=us-nj-statutes--title-52--52:17A-13}
No special counsel shall be employed for the State or for or by any officer, department, board, body, commission or instrumentality of the State Government except by authority of the Attorney-General, and then only with the approval of the Governor, and provided that appropriations have been made therefor, unless the matter be of such an emergency and shall be so declared by the Governor.
##### **§ 52:17A-14** Reports to Governor and Legislature {#sec-52-17a-14 omnilex-key=us-nj-statutes--title-52--52:17A-14}
The Attorney-General shall make an annual detailed report to the Governor and the Legislature of the performance of his duties and the operations of the Department of Law and shall make such other reports to the Governor and the Legislature as the Governor or the Legislature may require from time to time.
##### **§ 52:17A-16** Department of Attorney-General abolished; transfer of employees {#sec-52-17a-16 omnilex-key=us-nj-statutes--title-52--52:17A-16}
The Department of the Attorney-General heretofore existing and the offices and positions of assistant attorneys-general, legal assistants to the Attorney-General, special counsel or legal counsel to or by appointment of or under the Attorney-General hereby are abolished, and all other employees of the Department of the Attorney-General hereby are transferred to the Department of Law and shall serve in appropriate similar positions in said department and shall retain all of their rights and privileges under Title 11, Civil Service, of the Revised Statutes.
##### **§ 52:17A-17** Office of counsel to State officers, departments, etc., abolished; exceptions {#sec-52-17a-17 omnilex-key=us-nj-statutes--title-52--52:17A-17}
All offices and positions of attorneys, counsel, solicitors, or other legal advisers to any officer, department, board, body, commission or instrumentality of the State Government hereby are abolished, except such offices or positions in which the incumbents are employed, under full-time employment, solely in the performance of administrative functions entailing the enforcement, prosecution and hearing of issues as imposed by law upon such officer, department, board, body, commission or instrumentality; provided, however, that all boards, bodies, commissions, agencies or public corporate instrumentalities of this State created by compact or agreement with a commonwealth or another State are excluded from the provisions and the effect of this act.
##### **§ 52:17A-18** Transfer of offices, property, etc. of Department of Attorney-General {#sec-52-17a-18 omnilex-key=us-nj-statutes--title-52--52:17A-18}
The offices and quarters heretofore occupied by the Department of the Attorney-General and all books, papers, documents and other property of the Department of the Attorney-General hereby are transferred to the Department of Law as of the date upon which this act becomes effective.
##### **§ 52:17A-19** Transfer of moneys; appropriation for salaries {#sec-52-17a-19 omnilex-key=us-nj-statutes--title-52--52:17A-19}
All moneys appropriated at the time this act becomes effective to the Attorney-General or to any officer, department, board, body, commission or instrumentality of the State Government for the compensation and expenses of attorneys, counsel, solicitors or other legal advisers to such officer, department, board, body, commission or instrumentality, whose offices or positions are abolished by this act, shall be transferred and made available to the Department of Law as of said date or as and when such appropriation shall become available. Until appropriations may become available for the next fiscal year, there is hereby appropriated the additional sum of fourteen thousand dollars ($14,000.00) for the payment of the salaries of the Attorney-General as fixed herein and his deputies and assistants as fixed by him, and also the expenses of the Attorney-General, his deputies and assistants.
##### **§ 52:17A-20** Acts repealed {#sec-52-17a-20 omnilex-key=us-nj-statutes--title-52--52:17A-20}
Chapter seventeen of Title 52 of the Revised Statutes and "An act concerning the State Highway Department," approved May twenty-fourth, one thousand nine hundred and thirty-nine (P.L.1939, c. 75); "An act concerning the legal assistants to the Attorney-General," approved June twenty-seventh, one thousand nine hundred and thirty-nine (P.L.1939, c. 101); "A supplement to an act entitled "An act to define the duties and fix the salary of the Attorney-General,' approved February twenty-fourth, one thousand eight hundred and fifty-four," approved March twenty-fifth, one thousand nine hundred and thirteen (P.L.1913, c. 139); "An act to amend an act entitled "A supplement to an act entitled "An act to define the duties and fix the salary of the Attorney-General," approved February twenty-fourth, one thousand eight hundred and fifty-four,' which said supplement was approved March twenty-fifth, one thousand nine hundred and thirteen," approved March fourth, one thousand nine hundred and eighteen (P.L.1918, c. 234), are repealed.
## **Chapter 17B**
##### **§ 52:17B-1** Establishment of department; "the department" defined {#sec-52-17b-1 omnilex-key=us-nj-statutes--title-52--52:17B-1}
There is hereby established in the executive branch of the State Government a principal department which shall be known as the Department of Law and Public Safety.
As used in this act, unless the context clearly indicates otherwise, the words "the department" mean the Department of Law and Public Safety herein established.
##### **§ 52:17B-2** Attorney general; head of Department; appointment; salary; vacancies {#sec-52-17b-2 omnilex-key=us-nj-statutes--title-52--52:17B-2}
The head of the Department of Law and Public Safety shall be the Attorney General who shall be appointed by the Governor, with the advice and consent of the Senate, and who shall serve during the term of office of the Governor. He shall receive such salary as shall be provided by law. Any vacancy occurring in the office of Attorney General shall be filled in the same manner as the original appointment, but for the unexpired term only.
The person in office as Attorney-General on the thirty-first day of December, one thousand nine hundred and forty-eight, shall hold the office of Attorney General in the Department of Law and Public Safety established hereunder for the unexpired period of the term for which he was appointed, and until his successor is appointed and qualifies.
##### **§ 52:17B-3** Divisions established in Department {#sec-52-17b-3 omnilex-key=us-nj-statutes--title-52--52:17B-3}
There is hereby established in the Department of Law and Public Safety a Division of Law, a Division of State Police, a Division of Alcoholic Beverage Control, a Division of Motor Vehicles, a Division of Weights and Measures and a Division of Professional Boards.
The Attorney General shall have the authority to organize and maintain in his offices an Administrative Division and to assign to employment therein such secretarial, clerical and other assistants in the department as his office and the internal operations of the department shall require.
##### **§ 52:17B-3.1** Appointment of certain assistant deputy Attorneys General to permanent positions in classified service without competitive examination {#sec-52-17b-3.1 omnilex-key=us-nj-statutes--title-52--52:17B-3.1}
Assistant deputy Attorneys General in the Division of Law in the Department of Law and Public Safety not exceeding 6 in number at any one time may be appointed by the Attorney General to permanent positions in the classified service without competitive examination from among those assistant Attorneys General and deputy Attorneys General who have served at least 5 years in the aggregate in such capacities. Assistant deputy Attorneys General shall devote their entire time to the performance of their duties in the Division of Law and shall not be removed from such positions except in the manner provided under the provisions of Title 11 of the Revised Statutes relating to permanent employees in the classified service.
##### **§ 52:17B-3.2** Construction of act {#sec-52-17b-3.2 omnilex-key=us-nj-statutes--title-52--52:17B-3.2}
Nothing in this act shall be construed to deprive any person of any tenure rights or of any other right or protection provided him under any other law.
##### **§ 52:17B-3.3** Repealer {#sec-52-17b-3.3 omnilex-key=us-nj-statutes--title-52--52:17B-3.3}
Section 8 of "An act to establish a Department of Law in the State Government," approved March 7, 1944, is repealed.
##### **§ 52:17B-4** Powers and duties of Attorney General {#sec-52-17b-4 omnilex-key=us-nj-statutes--title-52--52:17B-4}
The Attorney General, in addition to the functions, powers and duties specifically conferred and imposed upon him, shall:
a. Maintain suitable headquarters for the department and such other quarters within the State as he may deem necessary to the department's proper functioning;
b. Have general responsibility for the department's operations under this act;
c. Supervise the organization of the department and changes in the organization thereof, except that the divisions, bureaus, boards, and offices herein specifically provided shall be maintained;
d. Formulate and adopt rules and regulations for the efficient conduct of the work and general administration of the department, its officers and employees;
e. Adopt uniform procedures for all secretarial, recording and clerical duties of each of the divisions, bureaus and other agencies within the department;
f. Perform such other functions and duties as the Governor may prescribe;
g. Be the request officer of the department within the meaning of such term as defined in chapter one hundred twelve of the laws of one thousand nine hundred and forty-four; and
h. Make an annual report to the Governor and to the Legislature of the department's operations, and render such other reports as the Governor or the Legislature shall from time to time request.
##### **§ 52:17B-4a** "SNAP" reports to be made on quarterly basis. {#sec-52-17b-4a omnilex-key=us-nj-statutes--title-52--52:17B-4a}
40. Notwithstanding any rules, regulations or guidelines promulgated by the Attorney General, State narcotics action plan reports, commonly referred to as "SNAP" reports, shall be made on a quarterly basis. The Department of Law and Public Safety shall develop and supply to all participating police departments a standard computer software program, which shall include all of the necessary parameters for reporting, so that the SNAP reports may be generated by computer.
##### **§ 52:17B-4b** Additional powers, duties of Attorney General concerning certain declarations of death. {#sec-52-17b-4b omnilex-key=us-nj-statutes--title-52--52:17B-4b}
3. In addition to the powers and duties conferred upon the Attorney General by the Constitution, the common and statutory law of this State, the Attorney General may initiate or intervene in any proceedings or action brought pursuant to N.J.S.3B:27-6, including a class action law suit, on behalf of citizens of this State to seek a declaration of death of an absentee under subsection b. of N.J.S.3B:27-1. The Attorney General may take all steps necessary or useful in carrying out the powers provided in this act.
##### **§ 52:17B-4.1** Governmental immunity study; recommendations; technical and clerical assistance {#sec-52-17b-4.1 omnilex-key=us-nj-statutes--title-52--52:17B-4.1}
The Attorney General is authorized, during the fiscal years commencing July 1, 1966, to study the present general provisions of the statutes and case law relating to governmental immunity of the State, of counties and municipalities to respond in damages for the negligence of their agents or servants; and to report to the Legislature the results of such study, together with recommendations for amendments and additions to existing statutes intended to modernize procedures relating thereto. For this purpose the Attorney General may employ such technical and clerical assistance as he may find necessary.
##### **§ 52:17B-4.2** Advisory committee; members; expenses {#sec-52-17b-4.2 omnilex-key=us-nj-statutes--title-52--52:17B-4.2}
The Attorney General is further authorized to appoint an advisory committee of not more than 9 persons representing the State, municipalities, counties, the General Assembly and Senate Chairmen of the Judiciary Committees of the Legislature, the New Jersey Bar Association, the American Trial Lawyers Association and the Defense Attorneys Association, to consult with him and advise during the progress of such study; the members of such committee to be paid necessary expenses actually incurred in attending such meetings as shall be called by the Attorney General.
##### **§ 52:17B-4.3** Bulletproof vests; donations; acceptance {#sec-52-17b-4.3 omnilex-key=us-nj-statutes--title-52--52:17B-4.3}
Any monetary donation by a private individual made available to the State, which specifies the purchase of bulletproof vests, or any donation of bulletproof vests, which vests meet the requirements of those used as standard equipment by the Division of State Police, shall be accepted by the Attorney General on behalf of the State and distributed or appropriated for law enforcement purposes. Any such monetary donation shall be included in the annual appropriation bill and distributed in the same manner as other appropriations.
##### **§ 52:17B-4.4** "Body Armor Replacement" fund; program. {#sec-52-17b-4.4 omnilex-key=us-nj-statutes--title-52--52:17B-4.4}
1. There is created in the Department of Law and Public Safety a nonlapsing revolving fund to be known as the "Body Armor Replacement" fund. This fund shall be the repository for moneys provided pursuant to subsection d. of R.S.39:5-41 and shall be administered by the Attorney General. Moneys deposited in the fund, and any interest earned thereon, shall be used exclusively for the purpose of making grants to local law enforcement agencies, the Division of State Police, the Division of Criminal Justice, the Administrative Office of the Courts and the Department of Corrections for the purchase of body vests for the law enforcement officers, investigators, probation officers and corrections officers of those agencies. Of the moneys deposited into the fund, an amount not to exceed $75,000 shall be allocated annually to the Department of Law and Public Safety exclusively for the administration of the grant program.
The grant program shall be designed to effectuate a five-year vest replacement cycle, to the extent practicable, for local law enforcement officers, the officers and troopers of the State Police, investigators in the Division of Criminal Justice and State corrections and probation officers. The Attorney General shall provide for the distribution of the initial grants in a manner which is conducive to establishing a balance among the number of local law enforcement officers who are eligible for vest replacement grants in each year of the five-year cycle. In the same manner and to the greatest extent practicable, the Attorney General shall establish a grant distribution schedule for the officers and troopers of the State Police and investigators in the Division of Criminal Justice that provides for a balance among the number of officers, troopers and investigators receiving vest replacements in each year of the five-year cycle. In establishing a distribution schedule for State corrections and probation officers, the Attorney General shall give first priority to those State corrections officers assigned inmate supervision and control responsibilities in the State's maximum security correctional facilities and second priority to those officers assigned inmate supervision and control responsibilities in the State's medium security correctional facilities. The distribution schedule for State corrections and probation officers shall be based on a five-year cycle, but need not provide for a balance among the number of officers receiving vests in each year of the five-year cycle. The number of probation officers, the replacement of whose vests shall be funded from grants under this section, shall not exceed 200.
The Attorney General shall promulgate rules and regulations to implement this grant program. Those rules and regulations shall include, but not be limited to application procedures for local law enforcement agencies seeking vest replacement grants; criteria, such as crime rates and the age and condition of the body vests currently utilized by a local law enforcement agency's officers, to prioritize the awarding of grants; and guidelines identifying those body vests, by manufacturer or brand name, which may be purchased with grant moneys.
As used in this section:
"Body vest" means bullet resistant body armor which is intended to provide ballistic and trauma protection; and
"Probation officer" means a probation officer whose daily duties expose the officer to a substantial risk of assault by deadly weapon.
##### **§ 52:17B-4.4a** "Microstamp Fund" established. {#sec-52-17b-4.4a omnilex-key=us-nj-statutes--title-52--52:17B-4.4a}
4. a. There is created in the Department of the Treasury a nonlapsing fund entitled the "Microstamp Fund." The fund shall be the depository for any State appropriations or other monies provided for the purchase of microstamping-enabled firearms by law enforcement agencies. The fund shall be administered by the State Treasurer.
b. Funds within the Microstamp Fund may be used to purchase firearms on the microstamp roster for the New Jersey State Police or any municipal police department or force.
c. Any municipality which has a police department or force may apply to the Attorney General or a designee for a grant to purchase firearms on the microstamp roster. Application shall be made in a manner prescribed by the Attorney General and shall include information on the intended use and estimated cost of the firearms request. The Attorney General or a designee shall select grant recipients. Any funds awarded shall be used within one year of receipt or the funds shall be returned.
##### **§ 52:17B-4.5** Training program for law enforcement officers on substances used to facilitate sexual assaults {#sec-52-17b-4.5 omnilex-key=us-nj-statutes--title-52--52:17B-4.5}
7. a. The Department of Law and Public Safety shall establish and maintain a suitable training program for law enforcement officers regarding the use of narcotics, anesthetics, intoxicants, and other substances which could be used to facilitate sexual assault.
b. The Department shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) rules and regulations necessary to implement this act.
##### **§ 52:17B-4.6** Notice to law enforcement explaining provisions of act on unlawful evictions. {#sec-52-17b-4.6 omnilex-key=us-nj-statutes--title-52--52:17B-4.6}
4. Within 30 days of the effective date of P.L.2005, c.319 (C.2C:33-11.1 et al.), the Attorney General shall prepare a notice explaining the provisions of P.L.2005, c.319 (C.2C:33-11.1 et al.), with particular emphasis on the responsibilities of law enforcement officers and other public officials, and transmit the notice to the chief or director of every municipal police department, every municipal prosecutor, every county prosecutor, and the Superintendent of the New Jersey State Police. The notice shall be disseminated to every law enforcement officer and shall be reenforced at roll calls and academy service training and continuing education programs so to ensure that all officers and prosecutors are educated of their responsibilities under P.L.2005, c.319 (C.2C:33-11.1 et al.).
##### **§ 52:17B-4.7** Gang education seminars for school administrators. {#sec-52-17b-4.7 omnilex-key=us-nj-statutes--title-52--52:17B-4.7}
1. a. The Attorney General shall develop and maintain, in coordination with the Commissioner of Education, a gang education seminar program to educate public and nonpublic school administrators on how to recognize signs of gang involvement or activity. A seminar shall be offered annually in each county and shall be held in the office of the county superintendent of schools or such other facility as the Attorney General or Commissioner of Education shall designate.
b. A superintendent, assistant superintendent, principal or other administrator employed by a public school district shall attend a gang education seminar offered pursuant to this section within the first year of initial employment as an administrator with a public school district. An administrator employed by a school district prior to the effective date of this act shall attend the first seminar offered in the county subsequent to its enactment. A superintendent, assistant superintendent, principal or other administrator shall be exempt from the requirements of this section if that person has successfully completed a gang education seminar conducted by a public school district which is substantially equivalent to the seminar required pursuant to this section.
c. A gang education seminar offered pursuant to this section shall be open to all public and nonpublic school administrators.
##### **§ 52:17B-4.8** Appointment of certain State law enforcement department officers. {#sec-52-17b-4.8 omnilex-key=us-nj-statutes--title-52--52:17B-4.8}
3. a. Notwithstanding the provisions of any other law to the contrary, the appointing authority of a State law enforcement department or agency, other than the Division of State Police but including the appointing authority of a State college or university established pursuant to chapter 64 of Title 18A of the New Jersey Statutes or of a public research university, which requires appointees to successfully complete, prior to their appointment, a training course approved by the Police Training Commission may appoint as a member or officer of the agency any person who:
(1) was serving as a law enforcement officer in good standing in any State, county or municipal law enforcement department or agency, or county sheriff's office; and
(2) satisfactorily completed a working test period in a State law enforcement title or in a law enforcement title in a county or municipality which has adopted Title 11A, Civil Service, of the New Jersey Statutes or satisfactorily completed a comparable, documented probationary period in a law enforcement title in a county or municipality which has not adopted Title 11A, Civil Service; and
(3) was, for reasons of economy, terminated as a law enforcement officer within 60 months prior to the appointment.
b. A department or agency may employ such a person notwithstanding that:
(1) the appointment is subject to the provisions of Title 11A, Civil Service, of the New Jersey Statutes;
(2) the department or agency has available to it an eligible or regular reemployment list of law enforcement officers eligible for such appointments; and
(3) the appointed person is not on any eligible list. The department or agency may not employ such a person if a special reemployment list is in existence for the law enforcement title to be filled.
c. The seniority, seniority-related privileges and rank a law enforcement officer possessed with the employer who terminated the officer's employment for reasons of economy shall not be transferable to a new position when the officer is appointed to a law enforcement position pursuant to the provisions of this section.
##### **§ 52:17B-4.9** Definitions. {#sec-52-17b-4.9 omnilex-key=us-nj-statutes--title-52--52:17B-4.9}
1. For the purposes of this act:
"Law enforcement agency" means a department, division, bureau, commission, board or other authority of the State or of any political subdivision thereof which has by statute or ordinance the responsibility of detecting and enforcing the general criminal laws of this State.
"Law enforcement officer" means any person who is employed as a permanent full-time member of an enforcement agency, who is statutorily empowered to act for the detection, investigation, arrest, and conviction of persons violating the criminal laws of this State and statutorily required to successfully complete a training course approved, or certified as being substantially equivalent to an approved course, by the Police Training Commission pursuant to P.L.1961, c.56 (C.52:17B-66 et seq.).
##### **§ 52:17B-4.10** Establishment of minority recruitment and selection program. {#sec-52-17b-4.10 omnilex-key=us-nj-statutes--title-52--52:17B-4.10}
2. a. Each law enforcement agency in this State shall establish a minority recruitment and selection program in accordance with guidelines established by the Attorney General pursuant to section 4 of this act. The program shall seek to remedy past discrimination in furtherance of the goal of the agency being comprised of law enforcement officers who reflect the diversity of the population of the community the agency is charged with protecting. In implementing the program, the law enforcement agency shall make a good faith effort to meet specific goals for recruiting and hiring minorities and females within established time frames. The program shall include methods of evaluating whether these goals are met and provide for additional contingent measures to be taken if the program fails to meet its specific goals.
b. The minority recruitment and selection program established pursuant to subsection a. of this section shall be posted on the official Internet website of each law enforcement agency.
c. The county prosecutor shall monitor the results of the minority recruitment and selection programs established by county and municipal law enforcement agencies within the jurisdiction of the prosecutor as required in subsection a. of this section. The county prosecutor shall annually report this information to the Attorney General.
d. The Attorney General shall monitor the results of the minority recruitment and selection program established by the Division of State Police and, in consultation with the respective commissioner of any other State department that maintains a law enforcement agency, the programs established by other State law enforcement agencies as required in subsection a. of this section.
e. The Attorney General shall annually report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the President of the Senate and the Speaker of the General Assembly a summary of the results obtained pursuant to subsection d. of this section and the results reported by the county prosecutors pursuant to subsection c. of this section. The Attorney General also shall post this summary on the official Internet website of the Department of Law and Public Safety.
##### **§ 52:17B-4.11** Annual reports. {#sec-52-17b-4.11 omnilex-key=us-nj-statutes--title-52--52:17B-4.11}
3. a. Each State law enforcement agency, including the Division of State Police, shall annually report to the Attorney General and each municipal and county law enforcement agency in this State shall annually report to the county prosecutor with jurisdiction over the agency a report containing:
(1) the age, gender, race, and ethnicity of the law enforcement officers currently appointed to the law enforcement agency;
(2) the age, gender, race, and ethnicity of applicants for a law enforcement officer position in the preceding calendar year;
(3) the age, gender, race, and ethnicity of applicants appointed to the agency in the preceding calendar year;
(4) the reasons for denying applicants an appointment to the law enforcement agency; and
(5) the age, gender, race, and ethnicity of each law enforcement officer promoted within the agency in the preceding calendar year, including the position to which the officer was promoted.
b. Each municipal law enforcement agency shall publish in the agency's annual report the information required by subsection a. of this section.
c. Each county prosecutor shall publish in the county prosecutor's annual report the information required by subsection a. of this section for each county law enforcement agency within the jurisdiction of the county prosecutor.
d. Each State law enforcement agency shall publish in the agency's annual report the information required by subsection a. of this section.
e. The county prosecutor shall forward the information required in subsection a. of this section to the Attorney General. The Attorney General shall collect, gather, assemble, and collate the information required in subsection a. of this section into an annual report to be issued to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C:52:14-19.1), to the President of the Senate and the Speaker of the General Assembly.
f. The Attorney General shall post on the official Internet web site of the Department of Law and Public Safety each annual report required by subsection e. of this section.
##### **§ 52:17B-4.12** Guidelines, directives. {#sec-52-17b-4.12 omnilex-key=us-nj-statutes--title-52--52:17B-4.12}
4. The Attorney General shall develop for dissemination to law enforcement agencies and county prosecutors throughout this State those guidelines or directives deemed necessary or appropriate to ensure the uniform application of this act.
##### **§ 52:17B-4.13** Attorney General, steps to combat organized retail theft. {#sec-52-17b-4.13 omnilex-key=us-nj-statutes--title-52--52:17B-4.13}
6. a. The Attorney General shall undertake such steps as the Attorney General deems appropriate to promote the effective investigation, prosecution, and deterrence of organized retail theft in this State, which may include establishing a retail theft unit, task force, or other appropriate office or initiative in the Department of Law and Public Safety to combat organized retail theft or the implementation of a Statewide policy to direct and coordinate State and local law enforcement efforts to investigate and prosecute organized retail theft.
b. (1) In a manner prescribed by the Attorney General, a county prosecutor, law enforcement officer, special officer, or retail merchant may notify the Division of Criminal Justice, or other entity within the Department of Law and Public Safety designated by the Attorney General to receive notice, of allegations that a crime of retail theft was committed.
(2) In a manner prescribed by the Attorney General, a county prosecutor shall notify the Division of Criminal Justice, or other entity within the Department of Law and Public Safety designated by the Attorney General to receive notice, that a crime of retail theft was allegedly committed by a defendant if:
(a) there is probable cause that the defendant has committed two or more acts of retail theft in the State;
(b) there is probable cause that the defendant has committed one or more acts of retail theft in this State and one or more acts of retail theft in another state; or
(c) the defendant has previously been convicted of retail theft in this State or another state.
c. In addition to any other authority provided under the law, the Division of Criminal Justice shall have the authority to:
(1) investigate and, if warranted, prosecute cases concerning acts of retail theft; and
(2) assist county prosecutors in the investigation and prosecution of acts of retail theft.
d. As used in this section, "retail theft" shall include the crimes of shoplifting pursuant to N.J.S.2C:20-11; leader of organized retail theft enterprise pursuant to section 2 of P.L.2006, c.56 (C.2C:20-11.2); or theft as defined in chapter 20 of Title 2C of the New Jersey Statutes that involves the stealing of merchandise.
##### **§ 52:17B-4.14** Use of force policy core principles, revisions, public hearings. {#sec-52-17b-4.14 omnilex-key=us-nj-statutes--title-52--52:17B-4.14}
1. a. The Attorney General shall review the Statewide use of force policy applicable to law enforcement officers every even numbered year, or in such shorter time frame as the Attorney General may deem appropriate, and revise it as need may require.
Any revision of the Statewide use of force policy shall be in furtherance of at least the following core principles:
(1) respecting the sanctity of human life and serving the community;
(2) prioritizing other reasonable measures, including de-escalation, that must be attempted before resorting to the use of force;
(3) promoting the use of only objectively reasonable, necessary, and proportional force, including the use of deadly force only as a last resort; and
(4) articulating other duties attendant to the use of force, such as a law enforcement officer’s duty to intervene, to render medical assistance, and to report and review uses of force.
b. The Attorney General shall transmit any revisions of the Statewide use of force policy to the chief or director of every county and municipal law enforcement department, every municipal and county prosecutor, and the Superintendent of State Police.
c. The Attorney General, in reviewing the Statewide use of force policy pursuant to subsection a. of this section, shall hold three public hearings, one hearing in each of the northern, central, and southern regions of the State, at such times as the Attorney General shall determine, in order to receive feedback from the community related to such policy. Such public hearings shall include local law enforcement and community members and organizations.
##### **§ 52:17B-4.15** Incident reports, public access. {#sec-52-17b-4.15 omnilex-key=us-nj-statutes--title-52--52:17B-4.15}
2. a. The Attorney General shall establish and maintain a procedure by which all incidents involving the use of force by a law enforcement officer are reported to the Department of Law and Public Safety, and shall compile such information for presentation on the Department’s internet website, which shall be accessible to the public and shall be regularly updated in accordance with procedures established by the Attorney General.
b. The information compiled pursuant to subsection a. of this section shall made available for public inspection pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.), commonly known as the Open Public Records Act.
##### **§ 52:17B-4.16** Guidelines for law enforcement, barricaded individual. {#sec-52-17b-4.16 omnilex-key=us-nj-statutes--title-52--52:17B-4.16}
3. a. The Attorney General shall issue and revise as needed guidelines and procedures applicable to law enforcement encounters involving a barricaded individual. Any revision to such guidelines and procedures shall be in furtherance of the components and principles enumerated in subsection b. of this section.
b. These guidelines and procedures shall address, at a minimum, the following components and principles:
(1) Proper identification of situations involving a barricaded individual, including differentiating between situations involving a barricaded individual experiencing a mental health crisis that poses a health, safety, or welfare risk to the individual or others, and those situations involving a barricaded individual or hostage situation under circumstances that do not involve a mental health crisis. Appropriate protocols shall be established for dealing with those situations based on their differing nature. Protocols shall include proper circumstances for the use of conflict resolution through negotiating, communication through a mental health professional, or the engagement with a barricaded individual pursuant to the Attorney General Use of Force Policy;
(2) Initial responding law enforcement officers’ roles and responsibilities shall include ensuring that responding officers consider the barricaded individual’s primary language and, if communication is difficult, take reasonable steps to establish communication via the person’s primary language;
(3) Law enforcement de-escalation responses to barricaded individual and hostage situations, and interaction with individuals in behavioral and mental health crises, including crisis intervention, crisis negotiation, resolution techniques, and resolution tactics;
(4) Roles and responsibilities of supervisors, including establishing that it is the responsibility of the incident commander, absent exigent circumstances, to make the decision to employ resolution tactics or to enter a structure or area occupied by a barricaded individual, which decision shall be made after giving due consideration to all available alternative strategies and information, including that provided by the tactical commander, crisis negotiation team leader, and available mental health professionals;
(5) Proper coordination of activities between incident command systems and tactical teams, and providing that, when feasible, a law enforcement officer trained in crisis intervention shall respond to incidents involving barricaded individuals and assist in de-escalating the situation and recommending appropriate resources; and
(6) Appropriate role and use of mental health professionals, when available.
##### **§ 52:17B-4.17** Crowd management training, law enforcement. {#sec-52-17b-4.17 omnilex-key=us-nj-statutes--title-52--52:17B-4.17}
1. a. For purposes of this section:
“Flash mob” means a gathering or pop-up party of 50 or more persons, typically organized through social media or other electronic communication, that occurs without advance notice to the municipality or other local governmental unit and that impacts public safety.
“Large-scale gathering” means any public or private gathering with greater than 500 attendees.
b. The Attorney General, in consultation with the Superintendent of State Police, the New Jersey Office of Emergency Management, and the New Jersey State Association of Chiefs of Police, shall establish a training program to enhance the ability of a local police department or force to manage an incident involving a large-scale gathering or a flash mob. The training program shall include, but not be limited to:
(1) general crowd management and crowd control techniques;
(2) crowd management and crowd control techniques applicable to juveniles;
(3) strategies for responding to social media activity related to large-scale gatherings or flash mobs;
(4) best practices for coordination and resource sharing with county and neighboring municipal law enforcement agencies; and
(5) best practices for ensuring the safety of attendees, the public, and law enforcement during a large-scale gathering or flash mob.
c. The Attorney General shall establish and maintain protocols through which the following resources may be requested by and made available to any municipal police department or force that requires assistance beyond its own personnel and resources in managing an incident involving a large-scale gathering or flash mob:
(1) access to social media monitoring tools and intelligence resources provided through the Division of State Police;
(2) mobile command units that may be deployed during a large-scale gathering or, if practicable, during a flash mob; and
(3) personnel from county and neighboring municipal law enforcement agencies and from the Division of State Police to provide support, as needed, in accordance with principles established under the protocols or any applicable memoranda of understanding or mutual aid plan.
d. The protocols required by this section shall include a process by which a municipal police force or department may, for exigent need, request immediate support during a flash mob.
e. Pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the Attorney General may promulgate rules and regulations necessary to effectuate the purposes of this section.
##### **§ 52:17B-4.18** Guidelines on bias incident investigation standards. {#sec-52-17b-4.18 omnilex-key=us-nj-statutes--title-52--52:17B-4.18}
1. a. As used in this section, “bias incident” means any suspected or confirmed violation of paragraph (1) or (2) of subsection a. of section 1 of P.L.2001, c.443 (C.2C:16-1).
b. The Attorney General shall maintain and periodically review the guidelines on bias incident investigation standards, and revise the guidelines as need may require.
c. The guidelines on bias incident investigation standards shall, at a minimum:
(1) require county and municipal law enforcement agencies to report all confirmed or suspected bias incidents through the Electronic Uniform Crime Reporting system as soon as practicable, but not more than 24 hours after the initial law enforcement response;
(2) require county and municipal law enforcement agencies to immediately notify the Attorney General and the county prosecutor when the suspected or confirmed bias incident involves circumstances to be determined by the Attorney General, which may include, but not be limited to: homicide, aggravated sexual assault, sexual assault, aggravated assault, or arson; an organized hate group as the perpetrator; or a potential to generate large-scale public unrest;
(3) require county prosecutors to promptly notify the Attorney General when they intend to file an accusation or seek an indictment alleging bias intimidation;
(4) set forth procedures for the initial and follow-up investigations of a reported bias incident, including the responsibilities of an investigator or a supervisor upon arrival at the scene;
(5) establish criteria for law enforcement officers to apply in confirming a bias incident;
(6) establish requirements for providing instant notification, through means that the Attorney General deems appropriate, to the Office of Homeland Security and Preparedness, the Division of State Police, the Division of Criminal Justice, and the bias crime officers of each county prosecutor’s office;
(7) ensure that a victim of a bias incident receives appropriate information and referral to the Division on Civil Rights when the incident involves a suspected or confirmed violation of the “Law Against Discrimination,” P.L.1945, c.169 (C.10:5-1 et seq.); and
(8) include provisions for appropriate training and continuing education for law enforcement officers on detecting and reporting bias incidents and investigating and prosecuting bias crimes.
d. The Attorney General shall ensure that the chief or director of every county and municipal law enforcement agency, every municipal and county prosecutor, and the Superintendent of State Police are provided with prompt notice of any revisions to the guidelines on bias incident investigation standards.
##### **§ 52:17B-4.19** Reporting of data concerning firearms crimes that did not result in bodily injury. {#sec-52-17b-4.19 omnilex-key=us-nj-statutes--title-52--52:17B-4.19}
1. a. The prosecutor of each county shall collect, record, and report data to the Attorney General concerning a crime or, in the case of a juvenile, an act which if committed by an adult would constitute a crime involving the use of a firearm, as defined in subsection f. of N.J.S.2C:39-1, in which the firearm was discharged but such discharge did not result in bodily injury.
b. The prosecutor of each county shall provide information to the Attorney General regarding criminal complaints pursuant to subsection a. of this section, which shall include:
(1) the complaint number;
(2) the date and time of the incident;
(3) the location of the incident, including the county, municipality, and address;
(4) the statutory citation and degree of all offenses charged; and
(5) whether the defendant lawfully or unlawfully used the firearm subject to the charge.
The prosecutor of each county shall provide the information required in this subsection for criminal complaints, regardless of whether the case is prosecuted, dismissed, or downgraded.
##### **§ 52:17B-4.20** Short title. {#sec-52-17b-4.20 omnilex-key=us-nj-statutes--title-52--52:17B-4.20}
1. This act shall be known and may be cited as the “Safe Communities Act.”
##### **§ 52:17B-4.21** Findings and declarations. {#sec-52-17b-4.21 omnilex-key=us-nj-statutes--title-52--52:17B-4.21}
2. The Legislature finds and declares that:
a. One of the founding principles of this nation is the freedom to worship in peace. Our religious institutions should be places where community members feel safe to convene. Individuals should not be deterred from attending their places of worship out of a general fear that their personal freedom to assemble for worship may be encumbered.
b. Schools, hospitals, shelters, courthouses, and other essential government services should be safe and accessible to all eligible community members who are seeking services. Individuals should not be deterred from seeking services for which they are eligible because of a generalized fear of engaging with institutions.
c. New Jersey is a healthier, safer, and more prosperous State when all residents access the services for which they are eligible. A coordinated effort by all relevant municipal, county, and State agencies is required to create conditions that empower residents to seek the help they need from public services, including education, health, and public safety services.
d. The residents of this State should not hesitate to participate in worship services, attend school, appear in court, or seek necessary medical care, services, or shelter out of fear.
e. Therefore, it is fitting and proper to direct State, county, and municipal entities to attend to local priorities rather than carrying out federal civil law enforcement initiatives for which they lack the requisite experience and that contravene the priorities of freedom and safety for New Jersey residents.
##### **§ 52:17B-4.22** Definitions. {#sec-52-17b-4.22 omnilex-key=us-nj-statutes--title-52--52:17B-4.22}
3. As used in this act:
“Federal civil law enforcement” means any effort to investigate, enforce, or assist in the investigation or enforcement of any federal civil immigration law, and includes any effort to investigate, enforce, or assist in the investigation or enforcement of any violations of Title 8 of the United States Code.
“Health care facility” means the same as that term is defined by subsection a. of section 2 of P.L.1971, c.136 (C.26:2H-2).
“Office of social services” means an office or program operated or funded by, or under the auspices or authority of, the Department of Children and Families, Department of Community Affairs, Department of Health, or Department of Human Services.
“Place of worship” means an edifice used primarily as a place of public or private worship by a recognized and established religious sect or denomination registered as a not-for-profit organization pursuant to section 501(c)(3) of the federal Internal Revenue Code (26 U.S.C. s.501(c)(3)).
##### **§ 52:17B-4.23** Model policies developed to ensure personal freedom in sensitive locations. {#sec-52-17b-4.23 omnilex-key=us-nj-statutes--title-52--52:17B-4.23}
4. a. The Attorney General, in consultation with appropriate government entities and stakeholders, shall develop model policies to ensure personal freedom in sensitive locations. These locations shall include health care facilities, public schools, domestic violence shelters, emergency shelters, family shelters, youth shelters, food pantries, funeral homes, harm reduction sites, disaster and emergency response sites, offices of social services, correctional facilities, and courthouses to ensure these institutions remain safe and accessible to all State residents. To the fullest extent possible and consistent with State and federal law, these institutions shall adhere to the model policies developed by the Attorney General or policies that provide greater protections.
b. The Attorney General shall publish these model policies on the Internet website of the Department of Law and Public Safety no later than 180 days next following the enactment of this act.
c. The Commissioner of Children and Families, Commissioner of Community Affairs, Commissioner of Health, Commissioner of Human Services, Commissioner of Education, Commissioner of Corrections, and Administrative Director of the Courts shall adopt the model policies established pursuant to subsection b. of this section, or policies that provide greater protections, no later than 180 days after the model policies are issued.
(1) The Commissioner of Education shall require public schools, and shall request private schools, to adhere to model policies adopted pursuant to this section, or policies that provide greater protections. The commissioner also shall publish the adopted policies on the Internet website of the Department of Education.
(2) The Commissioner of Health shall require health care facilities to implement policies that provide protections similar to the model policies established pursuant to this section. The commissioner also shall publish the model policies established pursuant to this section on the Internet website of the Department of Health.
(3) The Commissioners of Community Affairs, Children and Families, and Human Services shall require offices of social services to adhere to model policies adopted pursuant to this section, or policies that provide greater protections. The commissioners also shall publish the adopted policies on the Internet websites of the Departments of Community Affairs, Children and Families, and Human Services.
(4) The Commissioner of Corrections shall require correctional facilities to adhere to model policies adopted pursuant to this section, or policies that provide greater protections. The commissioner also shall publish the adopted policies on the Internet website of the Department of Corrections.
(5) The Administrative Director of the Courts shall require courthouses to adhere to model policies adopted pursuant to this section, or policies that provide greater protections. The administrative director also shall publish the adopted policies on the Internet website of the Administrative Office of the Courts.
##### **§ 52:17B-4.24** Model policies developed for places of worship. {#sec-52-17b-4.24 omnilex-key=us-nj-statutes--title-52--52:17B-4.24}
5. a. The Attorney General, in consultation with religious leaders within the State, shall develop a model policy that may be adopted, in whole or in part, by a place of worship to ensure that individuals are not deterred from entering the premises.
b. The model policy developed pursuant to subsection a. of this section shall be posted on the Internet website of the Department of Law and Public Safety no later than 180 days next following the enactment of this act.
##### **§ 52:17B-5** Division of Law headed by Attorney General; transfer of powers and duties to Division {#sec-52-17b-5 omnilex-key=us-nj-statutes--title-52--52:17B-5}
The Division of Law shall be headed by the Attorney General and shall be administered by him and his deputy attorneys-general and deputy assistant attorneys-general as provided herein and as may be provided by other law.
The Department of Law, together with all of its functions, powers and duties, is continued, but such department is hereby transferred to and constituted the Division of Law in the Department of Law and Public Safety established hereunder.
The functions, powers and duties conferred upon, or required to be exercised or performed by the Attorney-General are continued but such functions, powers and duties are hereby transferred to and vested in the Division of Law established hereunder, and shall be exercised and performed by the Attorney General as the head of such division.
##### **§ 52:17B-5.1** Uniform crime reporting system; establishment {#sec-52-17b-5.1 omnilex-key=us-nj-statutes--title-52--52:17B-5.1}
A uniform crime reporting system shall be established under the direction, control and supervision of the Attorney General in the Department of Law and Public Safety. The Attorney General shall have the power and duty, by such rules and regulations as he may deem necessary, to collect and gather such information from such local and county police authorities as may be and is hereinafter prescribed in this act.
##### **§ 52:17B-5.2** Collection of information by Division of State Police {#sec-52-17b-5.2 omnilex-key=us-nj-statutes--title-52--52:17B-5.2}
The Attorney General may designate the Division of State Police in the Department of Law and Public Safety to be the agency which shall collect, gather, assemble and collate such information as is prescribed by this act.
##### **§ 52:17B-5.3** Submission of reports relative to certain offenses, information. {#sec-52-17b-5.3 omnilex-key=us-nj-statutes--title-52--52:17B-5.3}
3. a. All local and county police authorities shall submit a quarterly report to the Attorney General, on forms prescribed by the Attorney General, which report shall contain the number and nature of offenses committed within their respective jurisdictions, the disposition of such matters, information relating to criminal street gang activities within their respective jurisdictions, information relating to any offense directed against a person or group, or their property, by reason of their race, color, religion, gender, disability, sexual orientation, gender identity or expression, national origin, or ethnicity and such other information as the Attorney General may require, respecting information relating to the cause and prevention of crime, recidivism, the rehabilitation of criminals and the proper administration of criminal justice.
b. A law enforcement officer who responds to an offense involving criminal street gang activity shall complete a gang related incident offense report on a form prescribed by the Superintendent of State Police. All information contained in the gang related incident offense report shall be forwarded to the Superintendent of State Police for inclusion in the Uniform Crime Report.
c. A law enforcement officer who seizes or recovers a firearm that was unlawfully possessed, used for an unlawful purpose, recovered from a crime scene or is reasonably believed to have been used in or associated with the commission of a crime, or is otherwise acquired as an abandoned or discarded firearm shall complete, within 24 hours of the entering of the required information relating to that firearm into the New Jersey Trace System and such other State and federal database systems as prescribed by the superintendent, a seized or recovered firearms incident report on a form prescribed by the superintendent. The incident report shall be filed with the State Police in a manner and time prescribed by the superintendent.
##### **§ 52:17B-5.4** Compilation, analysis, classification of crime statistics. {#sec-52-17b-5.4 omnilex-key=us-nj-statutes--title-52--52:17B-5.4}
4. a. Upon receipt of such information the Attorney General shall have such data collated and formulated and shall compile such statistics as he may deem necessary in order to present a proper classification and analysis of the volume and nature of crime and the administration of criminal justice within this State.
b. The classification and analysis presented in accordance with subsection a. shall include a section on the per capita crime statistics for a resort municipality as defined in section 3 of P.L.1998, c.50 (C.34:1-5.2). That section shall contain data based on both the population of the resort municipality and the annual mean population of that municipality as estimated by the Department of Labor pursuant to section 2 of P.L.1998, c.50 (C.34:1-5.1).
##### **§ 52:17B-5.4a** Collection, analysis of information, central repository. {#sec-52-17b-5.4a omnilex-key=us-nj-statutes--title-52--52:17B-5.4a}
5. The Attorney General shall maintain a central repository for the collection and analysis of information collected pursuant to section 3 of P.L.1966, c.37 (C.52:17B-5.3). Information in the repository shall be made available to the public. The Attorney General may designate the Division of State Police in the Department of Law and Public Safety to be the agency to maintain the repository and provide information from the repository to the public.
##### **§ 52:17B-5.5** Annual report by Attorney General {#sec-52-17b-5.5 omnilex-key=us-nj-statutes--title-52--52:17B-5.5}
The Attorney General shall render an annual report of the results of the information gathered and collated to the Governor and the Legislature.
##### **§ 52:17B-5.6** Office of Consumer Protection; establishment {#sec-52-17b-5.6 omnilex-key=us-nj-statutes--title-52--52:17B-5.6}
There is hereby established in the Division of Law of the Department of Law and Public Safety a bureau which shall be known as the Office of Consumer Protection.
##### **§ 52:17B-5.7** Functions, powers and duties of the Attorney General {#sec-52-17b-5.7 omnilex-key=us-nj-statutes--title-52--52:17B-5.7}
All of the functions, powers and duties of the Attorney General deriving from chapter 39 of the laws of 1960 as supplemented shall be exercised by him through the Office of Consumer Protection established hereunder.
##### **§ 52:17B-5.8** Executive-director; appointment; compensation; assistance {#sec-52-17b-5.8 omnilex-key=us-nj-statutes--title-52--52:17B-5.8}
The office shall be administered by an executive-director who shall be appointed by and serve at the pleasure of the Attorney General. The Attorney General shall fix the compensation of the executive-director within the limits of available appropriations and shall assign to the office such employees in the Department of Law and Public Safety as may be necessary to assist the executive-director in the performance of his duties and for the efficient operation of the work of the office.
##### **§ 52:17B-5.9** Powers and duties {#sec-52-17b-5.9 omnilex-key=us-nj-statutes--title-52--52:17B-5.9}
The office shall, in addition to other powers and duties, vested in it by this act, or any other law:
(a) Receive and forward to appropriate agencies of the State for final processing and determination complaints from any citizen relating to consumer affairs. It shall be the further responsibility of this office to maintain records indicating the final disposition of any matter so referred;
(b) Advise the Governor and the Attorney General as to all matters affecting the interests of the public as consumers;
(c) Review State policies and programs of primary importance to consumers or the unmet consumer needs which can appropriately be met through State action;
(d) Consider the aspects of State policies, programs and operations wherein the view of consumers should be made available to State officials and the manner in which such views can be communicated to appropriate departments and agencies;
(e) Recommend the enactment of such legislation as it deems necessary to protect and promote the interests of the public as consumers;
(f) Appear before governmental departments, agencies and commissions to represent and be heard on behalf of consumer interests;
(g) Cooperate with and establish necessary liaison with consumer organizations;
(h) Assist in the coordination of Federal, State and municipal activities relating to consumer affairs; and
(i) Do such other acts as may be incidental to the exercise of the powers and functions conferred by this act.
##### **§ 52:17B-5.10** Cooperation of other departments and agencies {#sec-52-17b-5.10 omnilex-key=us-nj-statutes--title-52--52:17B-5.10}
All departments, agencies, officers and employees of the State shall cooperate with the office in carrying out its functions under this act.
##### **§ 52:17B-5.13** Action for recovery of moneys; officers of public entities convicted of diversion of public moneys {#sec-52-17b-5.13 omnilex-key=us-nj-statutes--title-52--52:17B-5.13}
Whenever it appears that any person holding public office, position or employment in municipal, county or State Government, or any board, body, agency, authority or commission thereof, including elected and appointed persons has taken public moneys and converted them to his own use, or has used his office, position or employment to obtain moneys for himself which should have been used for the benefit of the taxpayers and citizens of this State, and has been convicted of a crime in connection therewith, the Attorney General may start proceedings, in the State or Federal court that he deems proper, for recovery of the moneys.
##### **§ 52:17B-5.14** Return to public entity of money recovered in action {#sec-52-17b-5.14 omnilex-key=us-nj-statutes--title-52--52:17B-5.14}
Any moneys recovered by the Attorney General pursuant to section 1 of this act shall be returned to the municipality, county or State Government from which it was taken or diverted, less the actual costs of recovery.
##### **§ 52:17B-6** Department of State Police transferred {#sec-52-17b-6 omnilex-key=us-nj-statutes--title-52--52:17B-6}
The Department of State Police, together with all of its functions, powers and duties is continued, but such department is hereby transferred to and constituted the Division of State Police in the Department of Law and Public Safety established hereunder.
##### **§ 52:17B-7** Division of State Police headed by Superintendent of State Police; appointment; term; salary; removal {#sec-52-17b-7 omnilex-key=us-nj-statutes--title-52--52:17B-7}
The executive and administrative head of the Division of State Police shall be the Superintendent of State Police, who shall be a person qualified by training and experience to direct the work of such division. The Superintendent of State Police shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve during the term of office of the Governor appointing him and until the superintendent's successor is appointed and has qualified; provided, however, that the person in office as Superintendent of State Police on the thirty-first day of December, one thousand nine hundred and forty-eight, shall hold the office of Superintendent of State Police in the Division of State Police established hereunder for the unexpired period of the term for which he was appointed, and until his successor is appointed and qualifies. The Superintendent of State Police shall receive such salary as shall be provided by law and shall devote his entire time and attention to the duties of his office. He may be removed from office by the Governor, for cause, upon notice and opportunity to be heard.
##### **§ 52:17B-8** Transfer of powers and duties of Superintendent {#sec-52-17b-8 omnilex-key=us-nj-statutes--title-52--52:17B-8}
The functions, powers and duties of the Superintendent of State Police in the existing Department of State Police are continued, but such functions, powers and duties are hereby transferred to and vested in the Superintendent of State Police designated as the executive and administrative head of the Division of State Police established hereunder, and shall be exercised and performed by him through such division.
##### **§ 52:17B-9** Department of State Police continued as Division of State Police {#sec-52-17b-9 omnilex-key=us-nj-statutes--title-52--52:17B-9}
Except as otherwise provided herein or as may be changed pursuant to authorization contained herein or in any other law, the organization of the existing Department of State Police is continued as the organization of the Division of State Police established hereunder.
##### **§ 52:17B-9.1** State capitol police force; reconstitution in department of law and public safety; members; powers; oath {#sec-52-17b-9.1 omnilex-key=us-nj-statutes--title-52--52:17B-9.1}
The State Capitol Police Force created pursuant to R.S. 52:20-25 is hereby reconstituted in the Department of Law and Public Safety under the direction and supervision of the Superintendent of State Police.
The State Capitol Police Force, as reconstituted, shall consist of the present members of said force with such officers of rank and grade as the Superintendent, with the approval of the Attorney General, shall designate. The officers of the force shall possess all police powers as other police officers, subject to the rules of the Division of State Police.
Each member of the State Capitol Police Force shall take an oath that he will well and truly serve the State of New Jersey as an officer of the State Capitol Police Force, which oath shall be filed with the Secretary of State.
##### **§ 52:17B-9.2** Jurisdiction; duties and responsibilities {#sec-52-17b-9.2 omnilex-key=us-nj-statutes--title-52--52:17B-9.2}
a. The jurisdiction of the State Capitol Police Force shall cover all State Capitol grounds, adjoining parks, court rooms, jury rooms and assembly areas, and may be extended by the Governor to such other buildings and grounds owned, leased or used by the State and the adjacent and surrounding grounds and areas to and between such grounds as he may deem necessary to perform the duties set forth herein. Nothing herein shall be construed to prohibit the assignment, from time to time, of other personnel to perform specific police duties as the Governor may deem necessary to maintain law, order and decorum on said State buildings and grounds.
b. The duties and responsibilities of the State Capitol Police Force shall include:
(1) Maintenance of law, order and decorum on all State grounds as enumerated above;
(2) The protection and policing of all areas used by the members of the Legislature, Executive and Judiciary, and the rendering and performing of services necessary to the proper, convenient and efficient performance of said members' duties at, around, and between State grounds as set forth herein, and the offices used by members of the Legislature, Executive and Judiciary; and
(3) Attaining such standards of training and competence as may be set by the Superintendent of State Police with the approval of the Attorney General.
##### **§ 52:17B-9.3** Equipment {#sec-52-17b-9.3 omnilex-key=us-nj-statutes--title-52--52:17B-9.3}
Such equipment as is assigned to the members of the State Capitol Police Force as of the date of enactment of this act shall remain with the force. The Division of State Police shall supply such equipment as is deemed necessary by the Superintendent.
##### **§ 52:17B-9.4** Rules and regulations {#sec-52-17b-9.4 omnilex-key=us-nj-statutes--title-52--52:17B-9.4}
The Superintendent of State Police shall be responsible for the establishment and promulgation of rules and regulations of the State Capitol Police Force, subject to the approval of the Attorney General.
##### **§ 52:17B-9.5** State marine police force; transfer from department of environmental protection to division of state police {#sec-52-17b-9.5 omnilex-key=us-nj-statutes--title-52--52:17B-9.5}
The supervisory force of marine patrolmen, created pursuant to section 17 of the "New Jersey Boat Act of 1962," P.L.1962, c. 73 (C. 12:7-34.52), hereafter to be known as the State Marine Police Force, with all its powers and duties, is transferred from the Department of Environmental Protection to the Division of State Police in the Department of Law and Public Safety.
The transfer directed by this section shall be made in accordance with the "State Agency Transfer Act," P.L.1971, c. 375 (C. 52:14D-1 et seq.).
##### **§ 52:17B-9.6** Legislative findings {#sec-52-17b-9.6 omnilex-key=us-nj-statutes--title-52--52:17B-9.6}
The Legislature finds that more than 10,000 "missing persons" reports are filed in New Jersey each year and that hundreds of individual reports are turned into local police departments each week, and that the local police departments have neither the resources nor the experience to carry out a thorough missing persons investigation. The Legislature further finds that, without the expertise developed by experienced missing persons investigators, authorities may inadvertently pass over a report in which the missing person has actually been kidnapped or has met foul play. Federal and State law enforcement officials have recommended that missing persons cases in New Jersey could be better handled by a Statewide effort specializing in this matter.
##### **§ 52:17B-9.7** Missing Persons Unit; establishment; supervisor and other personnel; appointment; compensation {#sec-52-17b-9.7 omnilex-key=us-nj-statutes--title-52--52:17B-9.7}
There is established within the Department of Law and Public Safety in the Division of State Police a Missing Persons Unit. The Superintendent of State Police shall appoint a supervisor of the unit with the rank and pay of at least a lieutenant in the New Jersey State Police, any other personnel, with the equivalent rank and pay of their positions in the New Jersey State Police, and any civilian personnel, including local law enforcement personnel, which he deems necessary to carry out the provisions of this act. All persons assigned to the Missing Persons Unit shall devote their full-time duties to carrying out the provisions of this act.
##### **§ 52:17B-9.8** Powers, duties of unit. {#sec-52-17b-9.8 omnilex-key=us-nj-statutes--title-52--52:17B-9.8}
3. In addition to any other powers and duties vested in it by law or by the Attorney General, the unit shall:
a. Coordinate, file and investigate all missing persons cases in this State, and cooperate with local law enforcement officials and federal law enforcement officials in the creation of a centralized office on missing persons in this State;
b. (Deleted by amendment, P.L.2007, c.39).
c. Collect and maintain data on missing persons and unidentified bodies in this State and throughout the United States;
d. Coordinate efforts with other states and with the federal government in the investigation of cases involving missing persons or unidentified bodies;
e. Provide specialized training to law enforcement officers and medical examiners in this State, in conjunction with the Police Training Commission, which would enable them to more efficiently handle the tracing of missing persons and unidentified bodies on the local level;
f. Employ the services of local law enforcement agencies or other social or governmental agencies;
g. Be authorized to issue administrative subpoenas concerning any case involving a missing person or unidentified body to obtain information necessary to conduct an investigation; and
h. Be authorized to seek or obtain from an appropriate court legal process, including but not limited to, subpoenas, warrants, and court orders, concerning any case involving a high-risk missing person designated pursuant to subsection a. of section 5 of P.L.2007, c.279 (C.52:17B-216).
##### **§ 52:17B-9.8a** "Missing child" defined {#sec-52-17b-9.8a omnilex-key=us-nj-statutes--title-52--52:17B-9.8a}
1. As used in sections 1 through 3 of this act:
"Missing child" means a person under 18 years of age reported to a law enforcement agency as being abducted, enticed away, taken, missing or a runaway.
##### **§ 52:17B-9.8b** Notification of school district; records {#sec-52-17b-9.8b omnilex-key=us-nj-statutes--title-52--52:17B-9.8b}
2. a. Upon the receipt of a report of a missing child, the Missing Persons Unit established pursuant to section 2 of P.L.1983, c.467 (C.52:17B-9.7) shall notify the superintendent of the school district where the missing child is currently or was most recently enrolled of the disappearance and provide the superintendent with information concerning the identity of the missing child. The unit shall also promptly notify the superintendent if the child is located.
b. When the superintendent of the school district is notified of the report, he shall mark the child's school record. The record shall be marked in such a way that whenever a copy of or information regarding the record is requested, the school district will be aware that the record is that of a missing child. Once the superintendent has been notified by the Missing Persons Unit that the child has been located, the superintendent or his designee shall remove the mark from the record.
c. If a copy of a marked school record is requested, the superintendent shall supply the record to the requestor without alerting him to the fact that the record has been marked, in accordance with the provisions governing access to pupil records pursuant to N.J.S.18A:36-19. After supplying a copy of or information regarding the marked record to the requestor, the superintendent shall immediately report the inquiry or any knowledge as to the whereabouts of the missing child to the unit.
d. Upon notification of a request for a marked school record or other information concerning a missing child, the unit shall commence an investigation of the circumstances surrounding the request, including a search for any record that may exist showing who has legal custody of the child and for any record that may disclose an allegation of child abuse perpetrated against the child or an allegation of domestic violence perpetrated against a member of the child's family.
e. If a search, pursuant to subsection d. of this section, reveals that a child reported missing is in the custody of his legal guardian or if substantiated allegations of child abuse against the child or any order protecting a family member from domestic violence exists, the unit shall continue the investigation without disclosing the whereabouts of the child or his guardian to the person who reported the child missing.
##### **§ 52:17B-9.8c** Notification of State registrar of vital statistics; records {#sec-52-17b-9.8c omnilex-key=us-nj-statutes--title-52--52:17B-9.8c}
3. a. Upon receipt of a report of a missing child, the Missing Persons Unit shall notify the State registrar of vital statistics in the Department of Health of the disappearance and provide him with information concerning the identity of the missing child. The unit shall also promptly notify the State registrar if the child has been located.
b. Upon receiving notification from the unit, the State registrar shall mark the child's birth certificate. The birth certificate shall be marked in such a manner that whenever a copy of or information regarding the birth certificate is requested, the State registrar shall be aware that the certificate is that of a missing child. Once the State registrar has been notified by the Missing Persons Unit that the child has been located, the State or local registrar shall remove the mark from the record.
c. If a copy of the child's birth certificate is requested, the State registrar shall supply the birth certificate to the requestor without alerting him to the fact that the birth certificate has been marked. After supplying a copy of or information regarding the marked birth certificate to the requestor, the State registrar shall immediately report the inquiry or any knowledge as to the whereabouts of the missing child to the unit.
d. Upon notification of a report of a missing child, the State registrar shall request that the local registrar of the district where the child was born mark the child's birth certificate. When a copy of the marked birth certificate is requested, the local registrar shall supply the copy to the requestor without alerting him to the fact that the record has been marked and immediately notify the State registrar of the request.
e. Upon notification of a request for a marked birth certificate or other information concerning a missing child, the Missing Persons Unit shall commence an investigation of the circumstances surrounding the request, including a search for any record that may exist showing who has legal custody of the missing child and for any record that may disclose an allegation of child abuse perpetrated against the child or an allegation of domestic violence perpetrated against a member of the child's family.
f. If a search as described pursuant to subsection e. of this section reveals that a child reported missing is in the custody of his legal guardian or if substantiated allegations of child abuse against the child or any order protecting a family member from domestic violence exists, the unit shall continue the investigation without disclosing the whereabouts of the child or his guardian to the person who reported the child missing.
##### **§ 52:17B-9.8d** Establishment of guidelines for missing persons cases involving Alzheimer's Disease or juveniles. {#sec-52-17b-9.8d omnilex-key=us-nj-statutes--title-52--52:17B-9.8d}
1. a. Within 180 days of the effective date of P.L.2007, c.146 (C.52:17B-9.8d), the Missing Persons and Child Exploitation Unit established in the Division of State Police within the Department of Law and Public Safety pursuant to section 2 of P.L.1983, c.467 (C.52:17B-9.7) shall establish minimum uniform guidelines concerning the handling of missing persons cases involving:
(1) persons known to have Alzheimer's disease, and
(2) juveniles, as defined in section 3 of P.L.1982, c.77 (C.2A:4A-22).
b. The Missing Persons and Child Exploitation Unit shall consult with Alzheimer's support and child welfare groups in developing these guidelines.
c. All State or local law enforcement entities shall adhere to the guidelines established pursuant to this section.
##### **§ 52:17B-9.16** Acceptance of monetary donations or items or materials. {#sec-52-17b-9.16 omnilex-key=us-nj-statutes--title-52--52:17B-9.16}
11. A monetary donation made available to the State through the Missing Persons Unit which specifies the purchase of items or materials to be used for the purposes of this act or any donation of items or materials which meet the requirements of the Division of State Police, shall be accepted by the Attorney General on behalf of the State and distributed or appropriated for law enforcement and specifically used for the purposes of this act. A monetary donation shall be included in the annual appropriation bill and distributed in the same manner as other appropriations.
##### **§ 52:17B-9.17** Crime prevention resource center; establishment; duties {#sec-52-17b-9.17 omnilex-key=us-nj-statutes--title-52--52:17B-9.17}
There is established in the Division of State Police in the Department of Law and Public Safety a crime prevention resource center. The resource center shall:
a. Provide materials, information and technical assistance throughout the State in the area of crime prevention;
b. Recommend standards for Statewide crime prevention programs and crime prevention programs in municipal police departments; and
c. Instruct municipal police departments in ways of obtaining and utilizing federal, State and local financial support and grants for crime prevention programs in the municipality.
##### **§ 52:17B-9.18** Findings, declarations relative to information relating to certain firearms. {#sec-52-17b-9.18 omnilex-key=us-nj-statutes--title-52--52:17B-9.18}
1. The Legislature finds and declares that to further provide for the public safety and the well being of the citizens of this State, and to respond to growing dangers and threats of gun violence, it is altogether fitting and proper for the law enforcement departments and agencies of this State to fully participate, through the utilization of electronic technology, in interjurisdictional information and analysis sharing programs and systems to deter and solve gun crimes.
To effectuate this objective, it shall be the policy of this State for its various law enforcement agencies to utilize fully the federal Criminal Justice Information System to transmit and receive information relating to the seizure and recovery of firearms by law enforcement, in particular the National Crime Information Center System to determine whether a firearm has been reported stolen; the Alcohol, Tobacco, Firearms, and Explosives E-Trace System to establish the identity of a firearm's first purchaser, where that firearm was purchased and when it was purchased; and the National Integrated Ballistics Identification Network to ascertain whether a particular firearm is related to any other criminal event or person.
##### **§ 52:17B-9.19** Report on certain seized, recovered firearms, shell casings. {#sec-52-17b-9.19 omnilex-key=us-nj-statutes--title-52--52:17B-9.19}
3. Whenever a law enforcement agency seizes or recovers a firearm that was unlawfully possessed, used for any unlawful purpose, recovered from the scene of a crime, is reasonably believed to have been used or associated with the commission of a crime, or is acquired by the agency as an abandoned or discarded firearm, the agency shall arrange for every such firearm that, in accordance with protocols promulgated by the Attorney General and superintendent, is determined to merit and be suitable for National Integrated Ballistics Identification Network data entry and examination to be test-fired as soon as may be practicable and the results of that test-firing be forthwith submitted to the National Integrated Ballistics Identification Network to determine whether the firearm is associated or related to a crime, criminal event, or any individual associated or related to a crime or criminal event or reasonably believed to be associated or related to a crime or criminal event.
Whenever a law enforcement agency recovers any spent shell casing at a crime scene or has reason to believe that the recovered spent shell casing is related to or associated with the commission of a crime or the unlawful discharge of a firearm, the agency shall, as soon as may be practicable, submit the ballistics information to the National Integrated Ballistics Identification Network.
##### **§ 52:17B-9.20** Appointment of sexual violence liaison officer by state police. {#sec-52-17b-9.20 omnilex-key=us-nj-statutes--title-52--52:17B-9.20}
1. a. The Superintendent of State Police shall designate the Station Intervention Officer as the sexual violence liaison officer for each State Police station.
b. The sexual violence liaison officer shall:
(1) serve as the station's in-house expert on how to respond to sexual violence cases;
(2) act as the primary point-of-contact for each local sexual violence program and county Sexual Assault Response Team established pursuant to section 6 of P.L.2001, c.81 (C.52:4B-54) to coordinate an effective community response;
(3) when appropriately trained, provide in-house training on sexual violence and support training implementation by the Victim Services Unit;
(4) monitor the station's compliance with sexual violence best practices as set forth in the statutory law and Attorney General policies; and
(5) serve in any other capacity deemed appropriate by the superintendent.
c. A sexual violence liaison officer shall complete specialized sexual violence training as specified by the superintendent.
d. A regional investigator of the Victim Services Unit of the Division of State Police shall:
(1) be a member of the Victim Services Unit, or its successor;
(2) complete specialized sexual violence training as specified by the superintendent; and
(3) represent the station at county meetings of the Sexual Assault Response Team.
e. A member of the Division of State Police shall be disqualified from serving as a sexual violence liaison officer or regional investigator of the Victim Services Unit if:
(1) the member is the subject of an investigation for a complaint charging a violation of the internal rules and regulations established for the conduct of the division regarding sexual violence, sexual misconduct, domestic violence, stalking, or sexual harassment or there are pending criminal charges against the member for any of these offenses; or
(2) a court has issued a protective or restraining order against the member.
f. Nothing in this section shall prohibit the sexual violence liaison officer from simultaneously serving as a domestic violence liaison officer or Megan's Law resource officer.
##### **§ 52:17B-9.21** State Office of Emergency Management, designated State Agency for Surplus Property. {#sec-52-17b-9.21 omnilex-key=us-nj-statutes--title-52--52:17B-9.21}
1. a. The State Office of Emergency Management in the Division of State Police shall serve as the designated State Agency for Surplus Property within the meaning of 40 U.S.C. s.549. The State Office of Emergency Management shall continue to be responsible for administering in the State the Federal Surplus Personal Property Donation Program established under the "Federal Property and Administrative Services Act of 1949," as amended, 40 U.S.C. s.549, and applicable federal regulations pertaining to the donation of personal property through State agencies under the authority of the United States General Services Administration.
b. As the designated State Agency for Surplus Property, the State Office of Emergency Management shall perform the following duties:
(1) maintain a plan that meets the requirements of the Federal Surplus Personal Property Donation Program as set forth in applicable federal regulations;
(2) operate the Federal Surplus Personal Property Donation Program within the State using a direct donation model that authorizes an eligible entity, within the meaning of 40 U.S.C. s.549 and applicable federal regulations, to acquire property directly from the federal government's holding facility following the allocation of the property to the State by the General Services Administration;
(3) issue guidance required to manage and facilitate the Federal Surplus Personal Property Donation Program within the State in conformance with federal law; and
(4) perform all necessary administrative services, including but not limited to eligibility determinations and application review; facilitating the acquisition process; conducting outreach; tracking requests, fulfillment, and property utilization; compliance enforcement; and performing monitoring and auditing as may be required to give effect to the program within the State.
c. Any costs and fees in connection with the Federal Surplus Personal Property Donation Program shall be governed by the following:
(1) the State Office of Emergency Management shall not charge any fees for performing these administrative services in its role as the State Agency for Surplus Property;
(2) any costs incurred in the acquisition, transportation, or delivery of the federal surplus property shall be the sole responsibility of the eligible requesting entity; and
(3) any costs incurred for the confirmed instances of non-compliance relative to property acquisition or the use of property acquired pursuant to the program shall be the sole responsibility of the eligible acquiring entity. This includes, but is not limited to, returning property to the federal government that the State Office of Emergency Management as the designated State Agency for Surplus Property, the General Services Administration, or both deem to have been acquired or used contrary to applicable program regulations.
##### **§ 52:17B-10** Conference and training of fish and game wardens {#sec-52-17b-10 omnilex-key=us-nj-statutes--title-52--52:17B-10}
The Superintendent of State Police shall, at least once in every year, and at such other times as he may deem the same necessary, call together the fish and game wardens and deputy fish and game wardens of the Division of Fish and Game in the Department of Conservation and Economic Development for a course of training in efficient law enforcement and a general conference on the ways and means of accomplishing the greatest possible efficiency in the enforcement of the fish and game laws and regulations. The schedule for conducting any such course of training and conference shall be determined by the Superintendent of State Police after consultation with the Director of said Division of Fish and Game. Fish and game wardens and deputy fish and game wardens shall attend such courses and conferences as scheduled. The Director of the Division of Fish and Game in the Department of Conservation and Economic Development shall, either in person or through a representative designated by him, assist the Superintendent of State Police in the conduct of such courses of training and conferences.
##### **§ 52:17B-11** Minimum requirements for fish and game wardens {#sec-52-17b-11 omnilex-key=us-nj-statutes--title-52--52:17B-11}
The Superintendent of State Police shall, after consultation with the Director of the Division of Fish and Game in the Department of Conservation and Economic Development, prescribe minimum qualifications to be met by all persons who may hereafter be appointed as fish and game wardens and deputy fish and game wardens. No person shall hereafter be appointed a fish and game warden or a deputy fish and game warden unless he shall meet the qualifications so prescribed, as well as such qualifications as may be prescribed pursuant to Title 11 of the Revised Statutes, Civil Service.
##### **§ 52:17B-12** Bureau of Tenement House Supervision established {#sec-52-17b-12 omnilex-key=us-nj-statutes--title-52--52:17B-12}
There is hereby established in the Division of State Police, a Bureau of Tenement House Supervision.
##### **§ 52:17B-13** Board of Tenement House Supervision constituted the Bureau of Tenement House Supervision {#sec-52-17b-13 omnilex-key=us-nj-statutes--title-52--52:17B-13}
The Board of Tenement House Supervision of the State of New Jersey, together with all of its functions, powers and duties, is continued but such board is hereby transferred to and constituted the Bureau of Tenement House Supervision in the Division of State Police established hereunder.
Except as otherwise provided herein the Board of Tenement House Supervision of the State of New Jersey shall continue to have all of the powers and shall exercise all of the functions and duties vested in, or imposed upon, it by law. This act shall not affect the terms of office of the present members of such board. Such board shall continue to be constituted as provided by existing law.
##### **§ 52:17B-14** Power of Board of Tenement House Supervision to appoint and remove officers or employees transferred to Superintendent of State Police {#sec-52-17b-14 omnilex-key=us-nj-statutes--title-52--52:17B-14}
The authority vested pursuant to existing law in the Board of Tenement House Supervision of the State of New Jersey to appoint, employ or remove officers or employees is hereby transferred to and vested in the Superintendent of State Police designated as the head of the Division of State Police established hereunder. The Superintendent of State Police shall fix the compensation of all persons appointed or employed by him pursuant to such authority. Persons thus appointed or employed shall be assigned to such duties as the Superintendent of State Police shall prescribe.
##### **§ 52:17B-15** Department of Alcoholic Beverage Control constituted Division of Alcoholic Beverage Control {#sec-52-17b-15 omnilex-key=us-nj-statutes--title-52--52:17B-15}
The Department of Alcoholic Beverage Control, together with all of its functions, powers and duties, is continued, but such department is hereby transferred to and constituted the Division of Alcoholic Beverage Control in the Department of Law and Public Safety established hereunder.
##### **§ 52:17B-16** Director of Division of Alcoholic Beverage Control {#sec-52-17b-16 omnilex-key=us-nj-statutes--title-52--52:17B-16}
The Division of Alcoholic Beverage Control shall be headed by a director, who shall be a person qualified by training and experience to direct the work of such division. The director of such division shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve during the term of office of the Governor appointing him and until the director's successor is appointed and has qualified; provided, however, that the person in office as State Commissioner of Alcoholic Beverage Control on December 31, 1948, shall hold the office of Director of the Division of Alcoholic Beverage Control established hereunder for the unexpired period of the term for which he was appointed as State Commissioner of Alcoholic Beverage Control, and until his successor is appointed and qualifies. The Director of the Division of Alcoholic Beverage Control shall receive such salary as shall be provided by law and shall devote his entire time and attention to the duties of his office and shall not while in office engage in any other gainful pursuit. He may be removed from office by the Governor, for cause, upon notice and opportunity to be heard.
##### **§ 52:17B-17** State Commissioner of Alcoholic Beverage Control; powers and duties transferred to director of Division of Alcoholic Beverage Control {#sec-52-17b-17 omnilex-key=us-nj-statutes--title-52--52:17B-17}
The functions, powers and duties of the State Commissioner of Alcoholic Beverage Control, are continued, but such functions, powers and duties are hereby transferred to and vested in the director of the Division of Alcoholic Beverage Control established hereunder, and shall be exercised and performed by him through such division.
##### **§ 52:17B-18** Divisions in Department of Alcoholic Beverage Control constituted bureaus in Division of Alcoholic Beverage Control {#sec-52-17b-18 omnilex-key=us-nj-statutes--title-52--52:17B-18}
Except as otherwise provided herein or as may be changed pursuant to authorization contained herein or in any other law, the organization of the existing Department of Alcoholic Beverage Control is continued as the organization of the Division of Alcoholic Beverage Control established hereunder; provided, however, that divisions in the Department of Alcoholic Beverage Control shall hereafter be constituted bureaus in the Division of Alcoholic Beverage Control established hereunder, and any person in charge of any such bureau shall hereafter be known and designated as deputy director in the Division of Alcoholic Beverage Control established hereunder.
##### **§ 52:17B-19** Department of Motor Vehicles constituted the Division of Motor Vehicles {#sec-52-17b-19 omnilex-key=us-nj-statutes--title-52--52:17B-19}
The Department of Motor Vehicles, together with all of its functions, powers and duties, is continued, but such department is hereby transferred to and constituted the Division of Motor Vehicles in the Department of Law and Public Safety established hereunder.
##### **§ 52:17B-20** Director of Division of Motor Vehicles {#sec-52-17b-20 omnilex-key=us-nj-statutes--title-52--52:17B-20}
The Division of Motor Vehicles shall be headed by a director, who shall be a person qualified by training and experience to direct the work of such division. The director of such division shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve during the term of office of the Governor appointing him and until the director's successor is appointed and has qualified; provided, however, that the person in office as Commissioner of Motor Vehicles on the thirty-first day of December, one thousand nine hundred and forty-eight, shall hold the office of director of the Division of Motor Vehicles established hereunder for the unexpired period of the term for which he was appointed as Commissioner of Motor Vehicles, and until his successor is appointed and qualifies. The director of the Division of Motor Vehicles shall receive such salary as shall be provided by law and shall devote his entire time and attention to the duties of his office. He may be removed from office by the Governor, for cause, upon notice and opportunity to be heard.
##### **§ 52:17B-21** Powers and duties of Commissioner of Motor Vehicles transferred to Division of Motor Vehicles {#sec-52-17b-21 omnilex-key=us-nj-statutes--title-52--52:17B-21}
The functions, powers and duties of the Commissioner of Motor Vehicles are continued, but such functions, powers and duties are hereby transferred to and vested in the director of the Division of Motor Vehicles established hereunder, and shall be exercised and performed by him through such division.
##### **§ 52:17B-22** Organization of existing Department of Motor Vehicles continued {#sec-52-17b-22 omnilex-key=us-nj-statutes--title-52--52:17B-22}
Except as otherwise provided herein or as may be changed pursuant to authorization contained herein or in any other law, the organization of the existing Department of Motor Vehicles is continued as the organization of the Division of Motor Vehicles established hereunder; provided, however , that any person appointed, pursuant to law, as a deputy in such division shall hereafter be known and designated as deputy director of motor vehicles.
##### **§ 52:17B-23** Department of weights and measures constituted Division of Weights and Measures {#sec-52-17b-23 omnilex-key=us-nj-statutes--title-52--52:17B-23}
The department of weights and measures, together with all of its functions, powers and duties, is continued, but such department is hereby transferred to and constituted the Division of Weights and Measures in the Department of Law and Public Safety established hereunder.
##### **§ 52:17B-24** Superintendent of Division of Weights and Measures {#sec-52-17b-24 omnilex-key=us-nj-statutes--title-52--52:17B-24}
The Division of Weights and Measures shall be headed by a superintendent, who shall be a person qualified by training and experience to direct the work of such division. The superintendent of such division shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve during the term of office of the Governor appointing him and until the superintendent's successor is appointed and has qualified; provided, however, that the person in office as State Superintendent of Weights and Measures on the thirty-first day of December, one thousand nine hundred and forty-eight, shall hold the office of Superintendent of the Division of Weights and Measures established hereunder for the unexpired period of the term for which he was appointed as State Superintendent of Weights and Measures, and until his successor is appointed and qualifies. The Superintendent of the Division of Weights and Measures shall receive such salary as shall be provided by law and shall devote his entire time and attention to the duties of his office. He may be removed from office by the Governor, for cause, upon notice and opportunity to be heard.
##### **§ 52:17B-25** Powers and duties of State Superintendent of Weights and Measures transferred to Superintendent of Division of Weights and Measures {#sec-52-17b-25 omnilex-key=us-nj-statutes--title-52--52:17B-25}
The functions, powers and duties of the State Superintendent of Weights and Measures are continued, but such functions, powers and duties are hereby transferred to and vested in the Superintendent of the Division of Weights and Measures established hereunder and shall be exercised and performed by him through such division.
##### **§ 52:17B-26** Organization of existing department of weights and measures continued {#sec-52-17b-26 omnilex-key=us-nj-statutes--title-52--52:17B-26}
Except as otherwise provided herein, or as may be changed pursuant to authorization contained herein or in any other law, the organization of the existing department of weights and measures is continued as the organization of the Division of Weights and Measures established hereunder.
##### **§ 52:17B-27** Attorney General; efficiency of departmental operations; coordination; integration {#sec-52-17b-27 omnilex-key=us-nj-statutes--title-52--52:17B-27}
The Attorney General shall, after consultation with the heads of the several divisions in the department, develop, and from time to time revise, a program designed to accomplish the greatest possible efficiency of departmental operations. He shall, subject to the approval of the Governor:
a. Co-ordinate the inspectional and law enforcement activities of the department, and the several divisions and other agencies therein, in a manner designed to eliminate overlapping and duplicating functions; and
b. Integrate within the department, so far as practicable, all staff services of the department and of the several divisions and other agencies therein.
##### **§ 52:17B-28** Powers of Attorney General in matters of adjudications and licenses {#sec-52-17b-28 omnilex-key=us-nj-statutes--title-52--52:17B-28}
Any power, except (1) that of adjudication after a hearing required by statute, (2) that of granting or denying any application for a license, permit, transportation insignia, or removal of a disqualification, and (3) that of extending, transferring, suspending, revoking or reinstating any license or permit, which may be vested in the head of the Division of State Police, the head of the Division of Alcoholic Beverage Control, the head of the Division of Motor Vehicles, or the head of the Division of Weights and Measures, may, subject to the approval of the Governor, be exercised by the Attorney General, and to the extent that such power is exercised by the Attorney General the power of the head of the division shall be superseded.
##### **§ 52:17B-29** Division of Professional Boards, powers, duties and property transferred to {#sec-52-17b-29 omnilex-key=us-nj-statutes--title-52--52:17B-29}
The New Jersey State Board of Public Accountants, the New Jersey State Board of Architects, the State Board of Registration and Examination in Dentistry, the Board of Embalmers and Funeral Directors of the State of New Jersey, the State Board of Professional Engineers and Land Surveyors, the State Board of Medical Examiners, the New Jersey State Board of Nursing, the New Jersey State Board of Optometrists, the Board of Pharmacy of the State of New Jersey, the State Board of Veterinary Medical Examiners, the State Board of Shorthand Reporting, and the Board of Beauty Culture Control, and all of their respective functions, powers, duties, records and property are hereby transferred to the Division of Professional Boards established hereunder in the Department of Law and Public Safety.
##### **§ 52:17B-30** Boards within Division of Professional Boards; powers and duties {#sec-52-17b-30 omnilex-key=us-nj-statutes--title-52--52:17B-30}
Subject to the provisions hereinafter set forth, each of the respective boards within the Division of Professional Boards established hereunder shall continue to have all of the powers and shall exercise all of the functions and duties vested in, or imposed upon, it by law.
##### **§ 52:17B-31** Terms of office of members of boards transferred not affected {#sec-52-17b-31 omnilex-key=us-nj-statutes--title-52--52:17B-31}
This act shall not affect the terms of office of the present members of the respective boards enumerated in section twenty-nine hereof. Such boards shall continue to be constituted as provided by existing law.
##### **§ 52:17B-32** Removal of board members; vacancies {#sec-52-17b-32 omnilex-key=us-nj-statutes--title-52--52:17B-32}
Any member of any of the boards enumerated in section twenty-nine hereof may be removed from office by the Governor, for cause, upon notice and opportunity to be heard.
Any vacancy occurring in the membership of any of such boards shall be filled in the same manner as the original appointment, but for the unexpired term only.
##### **§ 52:17B-32.1** Compensation and expenses of members of Board of Pharmacy {#sec-52-17b-32.1 omnilex-key=us-nj-statutes--title-52--52:17B-32.1}
Subject to the limitations and restrictions contained in the act to which this act is a supplement:
Each member of the Board of Pharmacy of the State of New Jersey, other than the secretary, shall continue to receive such traveling and other necessary expenses incurred in the performance of his duties as prescribed by law. In addition thereto, and in lieu of any other compensation prescribed by law, each member of such board, other than the secretary, shall receive the sum of twenty-five dollars ($25.00) for each and every day during which he is engaged upon the duties of the board.
##### **§ 52:17B-32.2** Effective date {#sec-52-17b-32.2 omnilex-key=us-nj-statutes--title-52--52:17B-32.2}
This act shall take effect July first, one thousand nine hundred and fifty-two.
##### **§ 52:17B-33** Appointment, employment or removal of officers and employees; compensation {#sec-52-17b-33 omnilex-key=us-nj-statutes--title-52--52:17B-33}
The authority, vested pursuant to existing law in any of the respective boards enumerated in section twenty-nine hereof, or in any member or officer thereof, to appoint, employ or remove any officer or employee shall continue to be exercised by such board; provided, however, that the appointment, employment or removal of any such officer or employee shall be subject to the approval of the Attorney General. Persons thus appointed or employed shall be assigned to such duties as such board shall prescribe, and shall receive such compensation as shall be fixed by such board within the limits of available appropriations therefor.
##### **§ 52:17B-34** Transfer of officers and employees of boards to Division of Professional Boards {#sec-52-17b-34 omnilex-key=us-nj-statutes--title-52--52:17B-34}
Such officers and employees of each of the respective boards enumerated in section twenty-nine hereof, as such board may determine are needed for the proper performance of the work of such board, are hereby transferred to the Division of Professional Boards established hereunder. Persons so transferred shall be assigned to such duties as such board shall determine.
##### **§ 52:17B-35** Attorney General; powers and duties in respect to Division of Professional Boards {#sec-52-17b-35 omnilex-key=us-nj-statutes--title-52--52:17B-35}
In addition to other powers and duties specifically conferred and imposed upon him by this act or by any other law, the Attorney General shall:
a. Exercise general supervision over the work of the employees engaged in the Division of Professional Boards or any of the boards therein.
b. Adopt, so far as practicable, after consultation with the boards within the Division of Professional Boards, uniform procedures for all secretarial, recording and clerical duties of each of such boards.
c. Provide for the maintenance, by each of the respective boards within the Division of Professional Boards, of a public register of persons licensed by such board.
##### **§ 52:17B-36** Funds of board, transfer to State treasury {#sec-52-17b-36 omnilex-key=us-nj-statutes--title-52--52:17B-36}
The treasurer or custodian of the funds of each of the respective boards enumerated in section twenty-nine hereof shall, on the effective date hereof, through the Attorney General, transfer to the State treasury all funds and investments belonging to such board.
##### **§ 52:17B-37** License fees, fines and penalties; disposition {#sec-52-17b-37 omnilex-key=us-nj-statutes--title-52--52:17B-37}
Notwithstanding the provisions of any other law to the contrary:
a. All license, certificate, permit, registration and renewal fees prescribed by law for any of the professions or occupations with which any of the boards enumerated in section twenty-nine hereof is concerned, or payable to any such board or to any member or officer thereof, pursuant to law, shall henceforth be paid into the State treasury through the Attorney General; and
b. All fines, penalties and other moneys derived from the operation of, or payable pursuant to law to, any of the boards or agencies enumerated in section twenty-nine hereof, or to any member or officer thereof, shall henceforth be paid into the State treasury through the Attorney General.
Such fees, fines, penalties and other moneys so paid into the State treasury shall be placed to the credit of the respective board concerned therewith, and no part thereof may be disbursed or expended by such board for any purpose except in accordance with appropriations made by law, and then only upon warrant of the director of the Division of Budget and Accounting in the Department of the Treasury on vouchers certified or approved by the chairman, president, or other presiding officer of the board concerned therewith.
##### **§ 52:17B-39** Budget requests {#sec-52-17b-39 omnilex-key=us-nj-statutes--title-52--52:17B-39}
On or before the tenth day of January, one thousand nine hundred and forty-nine, each of the boards within the Division of Professional Boards established hereunder shall prepare and submit to the Attorney General a budget request for appropriations for such board for the fiscal year ending June thirtieth, one thousand nine hundred and fifty; and on or before the fifteenth day of September in each year commencing with the year one thousand nine hundred and forty-nine, each of such boards shall prepare and submit to the Attorney General a budget request for appropriations for such board for the ensuing fiscal year. The respective budget requests so prepared shall, upon approval of the Attorney General, be submitted to the State Treasurer.
##### **§ 52:17B-40** Surplus; disposition {#sec-52-17b-40 omnilex-key=us-nj-statutes--title-52--52:17B-40}
Any surplus remaining in any year to the credit of any of the boards or agencies within the Division of Professional Boards established hereunder, after annual appropriations made as provided herein, shall be paid into and become part of the General Fund of the State.
##### **§ 52:17B-41** Orders, rules and regulations {#sec-52-17b-41 omnilex-key=us-nj-statutes--title-52--52:17B-41}
This act shall not affect the orders, rules and regulations heretofore made or promulgated by any of the respective boards enumerated in section twenty-nine of this act, but such orders, rules and regulations shall continue with full force and effect until amended or repealed by such board.
##### **§ 52:17B-41.1** Purpose of act; "ophthalmic appliances and lenses" defined; exemptions; prohibited acts {#sec-52-17b-41.1 omnilex-key=us-nj-statutes--title-52--52:17B-41.1}
This act is enacted in the exercise of the police powers of the State and its purposes generally are to protect the public health, welfare and safety by providing for the regulation of the sale, dispensing and supplying of all ophthalmic appliances, eyeglasses, or ophthalmic lenses to the ultimate wearer or consumer in this State.
For the purposes of this act, ophthalmic appliances and lenses are defined as those employed for the aid or protection of human vision or for the correction of defects of human vision.
Physicians and optometrists, duly licensed to practice medicine and optometry in this State, are specifically exempt from the provisions of this act.
A person registered under the provisions of this act is specifically prohibited from engaging in the practice of ocular refraction, orthoptics, visual training, or fitting contact lenses; or the prescribing of subnormal vision aids or telescopic spectacles, in his own behalf or as an employee or student of another, whether under the personal supervision of his employer or preceptor or not.
No person not licensed to practice medicine or optometry in this State shall directly or indirectly, for himself or others, do or engage in any act or practices specifically prohibited to duly registered ophthalmic dispensers and ophthalmic technicians by the provisions of this act.
##### **§ 52:17B-41.2** State Board of Examiners of Ophthalmic Dispensers and Ophthalmic Technicians; compensation; expenses; report {#sec-52-17b-41.2 omnilex-key=us-nj-statutes--title-52--52:17B-41.2}
There is hereby created the State Board of Examiners of Ophthalmic Dispensers and Ophthalmic Technicians in the Division of Professional Boards of the Department of Law and Public Safety, hereinafter designated as the "board," which shall be composed of five members who shall be appointed by the Governor, four of whom shall be ophthalmic dispensers and the other member shall be an optometrist duly licensed by the State Board of Optometrists. The four ophthalmic dispensers shall be engaged in the practice of ophthalmic dispensing in the State of New Jersey for not less than five years, each of whom shall be residents of the State of New Jersey, and also shall be persons of recognized ability and honor, and who may be appointed by the Governor from a list to be furnished within thirty days after any vacancy occurs in the membership of said board by the Society of Dispensing Opticians of New Jersey, Incorporated, of whom the persons nominated are members; and for every membership filled in said board, at least three names shall be submitted to the Governor, and from the names thus submitted, the Governor may select one person to be a member of said board; and the optometrist may be appointed by the Governor from a list to be furnished within thirty days after any vacancy occurs in the membership of said board by the New Jersey Optometric Association, of whom the person nominated is a member; and for every membership filled in said board, at least three names shall be submitted to the Governor, and from the names thus submitted, the Governor may select one person to be a member of said board.
One ophthalmic dispenser member shall be appointed for a term of one year; another ophthalmic dispenser member shall be appointed for a term of two years; another ophthalmic dispenser member shall be appointed for a term of three years; another ophthalmic dispenser member shall be appointed for a term of four years; and the optometrist member shall be appointed for a term of five years; and upon the expiration of the term of said optometrist member, his successor shall be an ophthalmic dispenser member of said board, so that at the expiration of the optometrist member's term on the board, the board shall thereafter be composed of five ophthalmic dispenser members.
Upon the expiration of the terms of members herein named, the Governor shall annually fill each vacancy resulting from the expiration of a term of office of a member for a term of five years by an appointment of an ophthalmic dispenser in the same manner as an original appointment is to be made.
Each appointee, within thirty days after receipt of his commission, shall take, subscribe and file in the office of the Secretary of State the oath or affirmation prescribed by law.
A vacancy resulting from any cause other than the expiration of a term shall be filled for the unexpired term by an appointment of an ophthalmic dispenser by the Governor in the same manner as an original appointment is to be made.
Each member of the board shall receive the sum of two hundred fifty dollars ($250.00) for each regular examination conducted by the board, and each member of the board shall also be compensated for actual expenses incurred in the discharge of his official duties, all to the extent that funds are available from the license fees prescribed herein.
The Governor may remove any member for cause, upon notice and opportunity to be heard.
On June thirtieth of each year, the board shall submit to the Attorney General a written report. Such report shall include the names of all ophthalmic dispensers and ophthalmic technicians to whom licenses have been granted as provided in section six of this act, any cases heard and decisions rendered by the board, and the recommendation of the board as to future policies. Each member of the board shall review and sign such report before its submission to the Attorney General. The principal office of the board shall be in Trenton, New Jersey, but it may meet or conduct any of its business at any place in this State. The board shall empower any member to conduct any proceeding, hearing or investigation necessary to its purposes. Three members of the board shall be a quorum.
##### **§ 52:17B-41.3** Meetings, organization, powers, agent {#sec-52-17b-41.3 omnilex-key=us-nj-statutes--title-52--52:17B-41.3}
3. The board shall hold at least two meetings each year and may hold such other meetings as it may deem advisable. The time and place of all such meetings shall be determined by the board.
The board shall elect a president, a secretary and a treasurer from its membership and shall have a common seal, of which all courts of this State shall take judicial notice. Its president, or secretary, may issue subpoenas to compel attendance of witnesses to testify before the board and administer oaths in taking testimony in any matter pertaining to its duties, which subpoenas shall issue under the seal of the board and shall be served in the same manner as subpoenas issued out of the Superior Court of this State, and every person who refuses or neglects to obey the command of such subpoena, or who, after appearing, refuses to be sworn and testify, shall, in either event, be liable to a penalty of fifty dollars ($50.00) to be sued for in the name of the board in any court of competent jurisdiction, which penalty when collected shall be paid to the treasurer of said board.
The board may appoint an agent, subject to the approval of the Attorney General, whose title shall be "inspector of the State Board of Examiners of Ophthalmic Dispensers and Ophthalmic Technicians," who shall hold office during the pleasure of the board and who may be removed by the board subject to the approval of the Attorney General, and shall, during his continuance in office, be authorized to serve and execute any process issued by any court of record under the provisions of this act. Such agent shall not be subject to the provisions of the Civil Service law.
##### **§ 52:17B-41.4** Compensation of secretary and inspector {#sec-52-17b-41.4 omnilex-key=us-nj-statutes--title-52--52:17B-41.4}
The secretary and the inspector of the State Board of Examiners of Ophthalmic Dispensers and Ophthalmic Technicians shall receive such compensation as shall be fixed by the board, subject to the approval of the Attorney General, within the limits of available appropriations therefor.
##### **§ 52:17B-41.5** Practice of ophthalmic dispensing; prescription required; "ophthalmic technicians" defined; temporary permits to persons from out of the State; apprentices {#sec-52-17b-41.5 omnilex-key=us-nj-statutes--title-52--52:17B-41.5}
A person practices ophthalmic dispensing within the meaning of the provisions of this act relating to ophthalmic dispensing who prepares and dispenses lenses, spectacles, eyeglasses or appurtenances thereto to the intended wearers thereof on written prescriptions from physicians or optometrists duly licensed to practice their profession, and in accordance with such prescriptions, interprets, measures, adapts, fits and adjusts such lenses, spectacles, eyeglasses or appurtenances thereto to the human face for the aid or correction of visual or ocular anomalies of the human eyes. The services and appliances relating to ophthalmic dispensing shall be dispensed, furnished or supplied to the intended wearer or user thereof only upon prescription issued by a physician or optometrist; but duplications, replacements, reproductions or repetitions may be done without prescription, and such act shall likewise be construed to constitute the practice of ophthalmic dispensing the same as if performed on the basis of an original written prescription. No person shall sell, dispense, supply or offer ophthalmic lenses, spectacles or eyeglasses to intended wearers or users thereof without prescriptions, properly authorized, by physicians or optometrists duly licensed to practice their professions in the State of New Jersey; provided, however, nothing in this act shall be construed to apply to the sale of toy glasses or goggles consisting of plano-white, plano-colored lenses, magnifiers, loupes, binoculars or ordinary colored glasses or the sale of ready-made glasses or spectacles, with simple magnification only, when sold as merchandise at established places of business.
An ophthalmic technician, for the purposes of this act, shall be defined as follows:
One having a knowledge of optics and skilled in the technique of producing and reproducing ophthalmic lenses and kindred products, and mounting same to supporting materials.
Any person from out of the State of New Jersey with appropriate ophthalmic dispensing qualifications or ophthalmic technician qualifications who can prove such qualifications may apply to the board for a temporary permit to secure employment in the State of New Jersey as an ophthalmic dispenser or ophthalmic technician, and said permit shall automatically expire after the publication of the grades of the next succeeding examination; and the board shall be limited to the issuance of only two temporary permits to each applicant, and a fee of five dollars ($5.00) shall accompany such application.
Any person entering into employment in an ophthalmic dispensing establishment for the purpose of obtaining practical experience and skill as a licensed ophthalmic dispenser or ophthalmic technician shall register as an apprentice with the board and the computation of any period of apprenticeship under the provisions of this act shall commence at the date of such registration. Such application for registration shall be certified under oath, by the employer and by such applicant; and a fee of five dollars ($5.00) shall accompany such application, and the board may issue to such applicant an apprentice's certificate. Any person who may have served part of his apprenticeship in any other State or country, not requiring such registration, shall be obliged to give proof of such service satisfactory to the board.
Nothing in the provisions of this act relating to ophthalmic dispensing shall be construed to limit or restrict, in any respect, the practice of medicine by physicians duly licensed to practice in this State, or the practice of optometry by optometrists duly licensed to practice optometry in this State.
##### **§ 52:17B-41.6** Examinations; certificate of registration; annual renewal {#sec-52-17b-41.6 omnilex-key=us-nj-statutes--title-52--52:17B-41.6}
The board shall examine for competence in matters pertaining to ophthalmic dispensing and allied and practical subjects.
To every applicant who shall pass such examination, the board shall issue a certificate of registration which shall constitute a license hereunder, and shall be issued for a period of one year and may be renewed annually as herein provided. Any license issued hereunder shall be subject to all of the provisions of this act and the rules and regulations promulgated hereunder.
##### **§ 52:17B-41.6a** Continuing education to qualify for license renewal {#sec-52-17b-41.6a omnilex-key=us-nj-statutes--title-52--52:17B-41.6a}
The board may require all ophthalmic dispensers now or hereafter licensed in this State to take board-approved courses of study relating to the practice of the profession of opticianry or to maintain proficiency in some other alternative manner to be prescribed and established by the board in order to qualify for license renewal.
##### **§ 52:17B-41.7** Certificate holder may practice as ophthalmic dispenser or technician {#sec-52-17b-41.7 omnilex-key=us-nj-statutes--title-52--52:17B-41.7}
Any person who has received a certificate of registration as a qualified ophthalmic dispenser or qualified ophthalmic technician as provided for herein shall be permitted and authorized to practice as an ophthalmic dispenser or ophthalmic technician, as defined in section five of this act.
##### **§ 52:17B-41.8** Display of certificate {#sec-52-17b-41.8 omnilex-key=us-nj-statutes--title-52--52:17B-41.8}
Every holder of a certificate of registration shall conspicuously display the same in his establishment.
##### **§ 52:17B-41.9** Meetings of board; examinations; qualifications as candidates {#sec-52-17b-41.9 omnilex-key=us-nj-statutes--title-52--52:17B-41.9}
The board shall meet at least twice annually, at which time candidates applying for certification shall be examined and their qualifications determined; and the board may meet at such other times and places as the board may prescribe. A candidate shall qualify for examination and licensure as an ophthalmic dispenser upon providing the board with proof that he:
a. Holds a high school diploma or equivalent; and
b. Has fulfilled either of the following requirements;
(1) Holds an associate degree in ophthalmic science or its equivalent from an accredited institution and has worked full-time as an apprentice ophthalmic dispenser under the supervision of a licensed ophthalmic dispenser for not less than 4 months nor more than 1 year prior to taking the examination; or
(2) Has served not less than 36 calendar months as an apprentice dispenser during which time he has satisfactorily completed not less than the requisite number of school hours of board-approved courses in ophthalmic science, said number of hours to be determined by the board.
##### **§ 52:17B-41.9a** Apprentice dispenser; registration; requirements for qualification {#sec-52-17b-41.9a omnilex-key=us-nj-statutes--title-52--52:17B-41.9a}
No one may apprentice pursuant to section 5 of P.L.1952, c. 336 (C. 52:17B-41.5) unless he is registered with the board. Subsequent to registration, an apprentice dispenser who does not hold an associate degree in ophthalmic science or its equivalent from an accredited institution shall serve a minimum of 36 months of apprenticeship during which time he shall accumulate not less than the requisite number of school hours in board-approved courses in ophthalmic science, which service and education shall be completed in the following manner:
a. During the first 12 months of the apprenticeship, an apprentice dispenser shall serve not less than one-half of his time in technical optical procedures and satisfactorily complete not less than the requisite number of school hours of board-approved courses.
b. Upon completion of the first 12 months as an apprentice dispenser and the requisite educational requirements, an apprentice shall be required to take and pass a qualifying technical examination established and administered by the board. In the event the apprentice dispenser fails such examination, he shall not thereafter directly serve the public in the dispensing of ophthalmic products until he passes the qualifying technical examination. Such apprentice dispenser who fails examination may take two subsequent examinations for a total limit of three. An apprentice dispenser shall be required to take the first available qualifying technical examination for which he is eligible.
c. Upon successful completion of the qualifying technical examination, an apprentice shall satisfactorily complete the remainder of the school hours of board-approved courses while continuing to work full-time as an apprentice under the supervision of a licensed dispenser for such additional period as necessary for the apprentice dispenser to have accumulated the remainder of the required 36 months of work. Upon accumulation of not less than the requisite number of school hours and the required supervised employment, the apprentice shall be eligible to take the examination for licensure. Employment as an apprentice dispenser shall require supervision by a licensed ophthalmic dispenser who may supervise the number of apprentices that the board permits by regulation.
##### **§ 52:17B-41.9b** Ophthalmic technician; qualifications {#sec-52-17b-41.9b omnilex-key=us-nj-statutes--title-52--52:17B-41.9b}
A candidate shall qualify for examination and licensure as an ophthalmic technician upon providing the board with proof that he has served not less than 12 calendar months as an apprentice technician.
No one may apprentice pursuant to section 5 of P.L.1952, c. 336 (C. 52:17B-41.5) unless he is registered with the board. Employment as an apprentice technician shall require supervision by a licensed ophthalmic dispenser or licensed ophthalmic technician who may supervise the number of apprentices that the board permits by regulation. Any person who holds or obtains an ophthalmic technician license shall be eligible to register with the board as an apprentice dispenser, notwithstanding the failure of such applicant to possess a high school diploma or its equivalent. Subsequent to such registration, such person shall be deemed eligible to take the examination for licensure as an ophthalmic dispenser upon completion of 36 calendar months as an apprentice dispenser during which time he has satisfactorily completed not less than the requisite number of school hours of board-approved courses in ophthalmic science.
##### **§ 52:17B-41.9c** Examinations; retention; inspection {#sec-52-17b-41.9c omnilex-key=us-nj-statutes--title-52--52:17B-41.9c}
The board shall maintain all examinations of candidates for licensure as ophthalmic dispensers and of candidates for licensure as ophthalmic technicians on file for at least one year. Upon written request to the board by a candidate, the board shall make his examination available for inspection by the candidate.
##### **§ 52:17B-41.11** Persons who have practiced two years before enactment; license {#sec-52-17b-41.11 omnilex-key=us-nj-statutes--title-52--52:17B-41.11}
All applicants who have been principally engaged in ophthalmic dispensing and in the preparation and processing of ophthalmic lenses and frames to prescriptions in the State of New Jersey for a period of two years prior to the effective day of this enactment, and whose applications, accompanied by a fee of twenty-five dollars ($25.00), have been properly filed prior to such day or within six months after said day, shall be issued a license.
All applicants who have been principally engaged as an ophthalmic technician in the preparation and processing of ophthalmic lenses and frames in the State of New Jersey for a period of two years prior to the effective day of this enactment, and whose applications, accompanied by a fee of ten dollars ($10.00), have been properly filed prior to such day or within six months after said day, shall be issued a license.
##### **§ 52:17B-41.12** License to be evidenced by certificate; fees; persons not holding license within 5 years of application must pass examination {#sec-52-17b-41.12 omnilex-key=us-nj-statutes--title-52--52:17B-41.12}
A license issued under the provisions of this act shall be evidenced by a certificate issued by the board. A fee shall be paid to the board, at the date of application for license, as follows: For licensed ophthalmic dispensers, twenty-five dollars ($25.00), and fifteen dollars ($15.00) for annual renewal of any such license. For licensed ophthalmic technicians, fifteen dollars ($15.00), and ten dollars ($10.00) for annual renewal of any such license. Any person licensed by said board who shall fail to renew his license within six months after the date of its expiration and shall, thereafter, desire to renew such license, shall pay to the board fifteen dollars ($15.00) for such renewal; provided, before granting a license to any applicant who has not held a license issued by said board within five years of the date of application, said board shall require such applicant to pass a standard examination satisfactory to said board and to pay to the board the fee required of original applicants.
##### **§ 52:17B-41.13** Forms for application and examination; rules and regulations {#sec-52-17b-41.13 omnilex-key=us-nj-statutes--title-52--52:17B-41.13}
The board shall prescribe and prepare the necessary forms for application and examination of candidates for certification hereunder and shall by its formally adopted rules and regulations establish the method and manner in which such application shall be filed and the examination held.
The board shall be authorized and empowered to promulgate such reasonable rules and regulations which shall be necessary to give full force and effect to the provisions of this act and to regulate the practice of ophthalmic dispensers and ophthalmic technicians in this State within the meaning hereof; provided, however, such rules and regulations are not inconsistent with the provisions of this act.
##### **§ 52:17B-41.14** Disposition of fees, fines, penalties and other moneys {#sec-52-17b-41.14 omnilex-key=us-nj-statutes--title-52--52:17B-41.14}
(a) All license, certificate, permit, registration and renewal fees prescribed by this act shall be paid into the State treasury through the Attorney General; and
(b) All fines, penalties and other moneys derived from the operation of, or payable pursuant to law to, the board shall be paid into the State treasury through the Attorney General.
Such fees, fines, penalties and other moneys so paid into the State treasury shall be placed to the credit of the board, and no part thereof may be disbursed or expended by the board for any purpose except in accordance with appropriations made by law, and then only upon warrant of the Director of the Division of Budget and Accounting in the Department of the Treasury on vouchers certified or approved by the president of the board.
##### **§ 52:17B-41.15** Budget request for appropriations {#sec-52-17b-41.15 omnilex-key=us-nj-statutes--title-52--52:17B-41.15}
On or before the fifteenth day of September in each year, the board shall prepare and submit to the Attorney General a budget request for appropriations for the board for the ensuing fiscal year. The budget request so prepared shall, upon approval of the Attorney General, be submitted to the State Treasurer.
##### **§ 52:17B-41.16** Surplus; disposition {#sec-52-17b-41.16 omnilex-key=us-nj-statutes--title-52--52:17B-41.16}
Any surplus remaining in any year to the credit of the board, after annual appropriations made as provided herein, shall be paid into and become part of the General Fund of the State.
##### **§ 52:17B-41.17** Advertisements by ophthalmic dispenser or ophthalmic technician; rebates or commissions {#sec-52-17b-41.17 omnilex-key=us-nj-statutes--title-52--52:17B-41.17}
It shall be lawful for an ophthalmic dispenser or ophthalmic technician to advertise; provided, that no mention shall be made, either directly or indirectly by any means whatsoever, of a discount, any definite or indefinite price or credit terms on corrective ophthalmic lenses, frames, complete prescription or corrective glasses; and provided, that such ophthalmic dispenser or ophthalmic technician does not advertise in any manner that would tend to mislead or deceive the public or that would in any manner discredit others in the eye care field. An ophthalmic dispenser or ophthalmic technician shall have the right with each individual patient to recommend an ophthalmologist or optometrist.
It shall be unlawful to advertise or employ displays in such a manner as to suggest, infer or indicate that persons licensed under this act are qualified to give professional advice concerning eye care.
It shall be unlawful for any ophthalmic dispenser or ophthalmic technician to use the word "licensed" or any of its synonyms.
It shall be unlawful for any ophthalmic dispenser or ophthalmic technician or employee or agent thereof or any other person on their behalf to offer to pay a rebate or commission in any form whatsoever to any ophthalmologist, refractionist, or optometrist in return for referring patients to anyone licensed under this act.
##### **§ 52:17B-41.18** Penalty {#sec-52-17b-41.18 omnilex-key=us-nj-statutes--title-52--52:17B-41.18}
18. Any person who, after this act becomes operative, shall practice as a licensed ophthalmic dispenser or ophthalmic technician as defined in section five of this act, or hold himself out to be a qualified or licensed ophthalmic dispenser or ophthalmic technician, or designate himself by any other term or title which implies that he is an ophthalmic dispenser or ophthalmic technician without having been licensed as a qualified ophthalmic dispenser or ophthalmic technician, by the board, shall be liable to a penalty of two hundred dollars ($200.00), which penalty shall be recovered in a summary manner in the Superior Court in the manner prescribed by the rules of procedure for those courts.
##### **§ 52:17B-41.23** Partial invalidity {#sec-52-17b-41.23 omnilex-key=us-nj-statutes--title-52--52:17B-41.23}
If any clause, sentence, paragraph or part of this act be adjudged by a court of competent jurisdiction to be invalid, such judgment shall not affect, impair or invalidate the remainder of this act, and it is hereby declared to be the legislative intent that this act would have been adopted had such invalid provision not been included herein.
##### **§ 52:17B-41.24** Effective date {#sec-52-17b-41.24 omnilex-key=us-nj-statutes--title-52--52:17B-41.24}
This act shall become operative ninety days after its enactment.
##### **§ 52:17B-41.25** Short title {#sec-52-17b-41.25 omnilex-key=us-nj-statutes--title-52--52:17B-41.25}
1. This act shall be known and may be cited as the "Contact Lens Dispenser Act."
##### **§ 52:17B-41.26** Definitions. {#sec-52-17b-41.26 omnilex-key=us-nj-statutes--title-52--52:17B-41.26}
2. As used in this act:
a. "Practice of contact lens dispensing" means the sale or delivery of contact lenses to the patient based upon the prescription of powers for vision and specifications for contact lenses for the patient as provided by a licensed physician or optometrist. The practice includes, but is not limited to, the analysis and interpretation of prescriptions and specifications for contact lenses; the preparation of orders and the grinding for fabrication of contact lenses; the instruction of the patient as to the proper insertion, removal, care and the use of the contact lenses; and the duplication, reproduction and replacement of previously prepared contact lenses. For the purposes of this act, "contact lenses" shall include contact lenses without power, sometimes referred to as "plano" lenses.
b. "Prescription" means written instructions or orders from a licensed physician or optometrist stating the powers of vision of a person.
c. "Duplication" means the replacement or reproduction of contact lenses based upon a prescription or specifications of record.
##### **§ 52:17B-41.27** Ophthalmic dispensers authorized {#sec-52-17b-41.27 omnilex-key=us-nj-statutes--title-52--52:17B-41.27}
3. Any ophthalmic dispenser licensed in New Jersey may engage in the practice of contact lens dispensing.
##### **§ 52:17B-41.28** Prescription required {#sec-52-17b-41.28 omnilex-key=us-nj-statutes--title-52--52:17B-41.28}
4. A contact lens dispenser shall only dispense contact lenses upon a written prescription provided by a licensed physician or optometrist containing the powers of vision and specifications for contact lenses for the patient.
##### **§ 52:17B-41.29** Replacement lenses on prescription or record {#sec-52-17b-41.29 omnilex-key=us-nj-statutes--title-52--52:17B-41.29}
5. Previously dispensed contact lenses shall only be replaced, reproduced, or duplicated upon the prescription or specifications of record, a copy of which shall be provided by the original contact lens prescriber or dispenser upon the patient's request; provided that the prescription or specifications of record are not more than two years old.
##### **§ 52:17B-41.30** Release of patient's prescription {#sec-52-17b-41.30 omnilex-key=us-nj-statutes--title-52--52:17B-41.30}
6. A licensed physician or optometrist shall release a copy of the patient's prescription containing a spectacle lens specification with contact lens specifications to any person qualified to dispense contact lenses upon the patient's request, except that nothing in this act shall require an optometrist or physician to write a prescription for contact lenses when, in the judgment of the optometrist or physician, it is contraindicated.
##### **§ 52:17B-41.31** Release of patient's contact lens specifications {#sec-52-17b-41.31 omnilex-key=us-nj-statutes--title-52--52:17B-41.31}
7. Notwithstanding any rule or regulation to the contrary, the complete record of contact lens specifications shall be released by an optometrist or ophthalmologist to the patient or to another ophthalmologist, optometrist or ophthalmic dispenser licensed in the State of New Jersey upon either the oral or written request of the patient or professional acting on the patient's behalf.
##### **§ 52:17B-42** Pending actions and proceedings not affected {#sec-52-17b-42 omnilex-key=us-nj-statutes--title-52--52:17B-42}
This act shall not affect actions or proceedings, civil or criminal, brought by or against any of the respective boards, enumerated in section twenty-nine of this act and pending on the effective date hereof, and such actions or proceedings may be prosecuted or defended in the same manner and to the same effect by such board as if the foregoing provisions had not taken effect; nor shall any of the foregoing provisions affect any order or recommendation made by, or other matters or proceedings before, any of such respective boards, and all such matters and proceedings pending before any such board on the effective date of this act shall be continued before such board.
##### **§ 52:17B-43** Licenses and certificates of registration not affected {#sec-52-17b-43 omnilex-key=us-nj-statutes--title-52--52:17B-43}
Nothing in this act shall affect the validity of any license, certificate of registration, or other authorization, heretofore issued to any person under any prior law, to practice any profession or to engage in any occupation governed or regulated by the provisions of this act or by any board enumerated in section twenty-nine of this act; but all persons holding such licenses, certificates of registration, or other authorization, shall in all other respects be subject to the provisions of this act and to the respective provisions of law governing or regulating such profession or occupation.
##### **§ 52:17B-44** Transfer of files, records and property {#sec-52-17b-44 omnilex-key=us-nj-statutes--title-52--52:17B-44}
All files, books, papers, records, equipment and other property of any department, officer or agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Law and Public Safety or to any officer or agency designated, continued or constituted hereunder, shall, upon the effective date of this act be transferred to the officer or agency to which such assignment or transfer has been made hereunder.
##### **§ 52:17B-45** Orders, rules and regulations not affected {#sec-52-17b-45 omnilex-key=us-nj-statutes--title-52--52:17B-45}
This act shall not affect the orders, rules and regulations heretofore made or promulgated by any department, officer or agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Law and Public Safety or to any officer or agency designated, continued or constituted hereunder; but such orders, rules and regulations shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:17B-46** Pending actions or proceedings against department, officer or agency not affected {#sec-52-17b-46 omnilex-key=us-nj-statutes--title-52--52:17B-46}
This act shall not affect actions or proceedings, civil or criminal, brought by or against any department, officer or agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Law and Public Safety or to any officer or agency designated, continued or constituted hereunder, and pending on the effective date of this act, but such actions or proceedings may be prosecuted or defended in the same manner and to the same effect by the department, officer or agency to which such assignment or transfer has been made hereunder, as if the foregoing provisions had not taken effect; nor shall any of the foregoing provisions affect any order or recommendation made by, or other matters or proceedings before, any department, officer or agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Law and Public Safety or to any officer or agency designated, continued or constituted hereunder, and all such matters or proceedings pending before such department, officer or agency on the effective date of this act shall be continued by the department, officer or agency to which such assignment or transfer has been made hereunder, as if the foregoing provisions had not taken effect.
##### **§ 52:17B-47** Appropriations transferred to Department of Law and Public Safety {#sec-52-17b-47 omnilex-key=us-nj-statutes--title-52--52:17B-47}
Except as provided in section thirty-eight hereof, all appropriations available and to become available to any department, commission, board, office or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Law and Public Safety or to any office or agency designated, continued or constituted therein, are hereby transferred to the Department of Law and Public Safety established hereunder, and shall be available for the objects and purposes for which appropriated.
##### **§ 52:17B-48** Vacancies {#sec-52-17b-48 omnilex-key=us-nj-statutes--title-52--52:17B-48}
Any vacancy occurring in the office of Superintendent of State Police, director of the Division of Alcoholic Beverage Control, director of the Division of Motor Vehicles or Superintendent of the Division of Weights and Measures shall be filled in the same manner as the original appointment.
##### **§ 52:17B-49** Employees transferred {#sec-52-17b-49 omnilex-key=us-nj-statutes--title-52--52:17B-49}
Such employees of any department, office or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Law and Public Safety or to any office or agency designated, continued or constituted therein, as the head of the department, office or agency to which such functions, powers and duties have been herein assigned or transferred, may determine are needed for the proper performance of the functions and duties imposed upon such department, office or agency, are hereby transferred to the department, office or agency to which such functions, powers and duties have been herein assigned or transferred.
##### **§ 52:17B-50** Tenure, civil service, pension or retirement rights not affected {#sec-52-17b-50 omnilex-key=us-nj-statutes--title-52--52:17B-50}
Nothing in this act shall be construed to deprive any person of any tenure rights or of any right or protection provided him by Title 11 of the Revised Statutes, Civil Service, or under any pension law or retirement system.
##### **§ 52:17B-51** Definitions {#sec-52-17b-51 omnilex-key=us-nj-statutes--title-52--52:17B-51}
Whenever the term "Attorney-General" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Attorney General designated herein as the head of the Department of Law and Public Safety established hereunder.
Whenever the term "Department of Law" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Division of Law established hereunder.
Whenever the term "deputy Attorney-General" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to a deputy Attorney-General employed in the Division of Law established hereunder.
Whenever the term "assistant deputy Attorney-General" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to an assistant deputy Attorney-General employed in the Division of Law established hereunder.
Whenever the term "member of the Department of Law" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to a member of the Division of Law established hereunder.
Whenever the term "Department of Alcoholic Beverage Control" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Division of Alcoholic Beverage Control established hereunder.
Whenever the term "State Commissioner of Alcoholic Beverage Control" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Director of the Division of Alcoholic Beverage Control established hereunder.
Whenever the term "Department of Motor Vehicles" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Division of Motor Vehicles established hereunder.
Whenever the term "Commissioner of Motor Vehicles" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Director of the Division of Motor Vehicles established hereunder.
Whenever the term "Department of State Police" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Division of State Police established hereunder.
Whenever the term "Superintendent of State Police" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Superintendent of State Police designated as the head of the Division of State Police established hereunder.
Whenever the term "Department of Weights and Measures" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Division of Weights and Measures established hereunder.
Whenever the term "State Superintendent of Weights and Measures" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Superintendent of the Division of Weights and Measures designated as the head of the Division of Weights and Measures established hereunder.
Whenever the term "Board of Tenement House Supervision of the State of New Jersey" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Board of Tenement House Supervision of the State of New Jersey constituted the Bureau of Tenement House Supervision in the Division of State Police established hereunder.
##### **§ 52:17B-51.1** Deputy Attorney-General to include assistant Attorney-General {#sec-52-17b-51.1 omnilex-key=us-nj-statutes--title-52--52:17B-51.1}
Whenever the term "deputy Attorney-General" occurs or any reference is made thereto in any other law heretofore enacted the same shall be deemed to include an "assistant Attorney-General" as well as a "deputy Attorney-General."
##### **§ 52:17B-52** Repeal {#sec-52-17b-52 omnilex-key=us-nj-statutes--title-52--52:17B-52}
All acts and parts of acts inconsistent with any of the provisions of this act are, to the extent of such inconsistency, hereby repealed.
##### **§ 52:17B-53** Short title {#sec-52-17b-53 omnilex-key=us-nj-statutes--title-52--52:17B-53}
This act shall be known as, and may be cited as, the "Department of Law and Public Safety Act of 1948."
##### **§ 52:17B-54** Effective date {#sec-52-17b-54 omnilex-key=us-nj-statutes--title-52--52:17B-54}
This act shall take effect on the first day of January, one thousand nine hundred and forty-nine, except that any appointment, and any confirmation or approval of any appointment permitted by this act may be made prior to such date.
##### **§ 52:17B-66** Findings, declarations. {#sec-52-17b-66 omnilex-key=us-nj-statutes--title-52--52:17B-66}
1. The Legislature of New Jersey hereby finds and declares that a serious need for improvement in the administration of local and county law enforcement exists in order to better protect the health, safety and welfare of its citizens; that police work, a basic adjunct of law enforcement administration, is professional in nature, and requires proper educational and clinical training in a State whose population is increasing in relation to its physical area, and in a society where greater reliance on better law enforcement through higher standards of efficiency is of paramount need; that the present need for improvement can be substantially met by the creation of a compulsory educational and training program for persons who seek to become permanent law enforcement officers wherein such persons will be required, while serving in a probationary capacity prior to permanent appointment, to receive efficient training in this profession provided at facilities selected, approved and inspected by a commission created for such purpose; and that by qualifying and becoming proficient in the field of law enforcement such persons shall individually and collectively better insure the health, safety and welfare of the citizens of this State in their respective communities.
The Legislature further finds and declares that, in addition to providing proper educational and clinical training to law enforcement officers in this State, it is also important, in order to help protect the health, safety, and welfare of its citizens, that appropriately situated State authorities are accorded the ability and responsibility to monitor and take appropriate action against any law enforcement officer who acts outside the bounds of professionalism or engages in illegal or improper conduct. Professional licensure provides the means to help ensure that those individuals who serve as law enforcement officers in this State uphold the public trust by meeting and maintaining appropriately high standards of training and professionalism, in qualifying for the positions, and in performing the duties. Therefore, it is necessary and appropriate to establish a Statewide licensure system, through which the Police Training Commission will promulgate and apply uniform standards of professional conduct by law enforcement officers, establish minimum standards for licensure, review and take action on initial and renewal applications of applicants and law enforcement officers and applicants who meet those standards, and deny, revoke, or suspend licenses due to failure to meet or maintain those standards.
Nothing in this act is intended to limit in any manner the powers and authority granted to the Attorney General as the chief law enforcement officer of the State pursuant to the Criminal Justice Act of 1970, P.L.1970, c.74 (C.52:17B-97 et seq.).
##### **§ 52:17B-67** Definitions. {#sec-52-17b-67 omnilex-key=us-nj-statutes--title-52--52:17B-67}
2. As used in this act:
"Applicant" means an individual who applies to the Police Training Commission to become licensed as a law enforcement officer in accordance with P.L.2022, c.65 (C.52:17B-71a et al.).
"Approved school" shall mean a school approved and authorized by the Police Training Commission to give police training courses or a training course for State and county correctional police officers and juvenile detention officers as prescribed in this act.
"Commission" shall mean the Police Training Commission or officers or employees thereof acting on its behalf.
"County" shall mean any county which within its jurisdiction has or shall have a law enforcement unit as defined in this act.
"Discipline subject to appeal" means a removal, disciplinary demotion, suspension, or fine of more than five days, or fewer where the aggregate number of days the employee was suspended or fined in any one calendar year is 15 or more days, or where the employee received more than three suspensions or fines of five days or fewer in one calendar year.
"Law enforcement officer" means any person who is employed as a sworn member of any State, county, or municipal law enforcement agency, department, division, or instrumentality of those governments who is statutorily empowered to act for the detection, investigation, arrest, conviction, detention, or rehabilitation of persons violating the criminal laws of the State. This term shall include, but is not limited to, sworn members of the New Jersey State Police, the Division of Criminal Justice, and the Youth Justice Commission; State correctional police officers pursuant to section 1 of P.L.1968, c.427 (C.2A:154-4); county correctional police officers pursuant to N.J.S.2A:154-3; State Parole officers pursuant to section 1 of P.L.1968, c.427 (C.2A:154-4); special law enforcement officers of all classes pursuant to P.L.1985, c.439 (C.40A:14-146.8 et seq.); humane law enforcement officers appointed pursuant to section 25 of P.L.2017, c.331 (C.4:22-14.1) or section 28 of P.L.2017, c.331 (C.4:22-14.4); transit police officers appointed by New Jersey Transit pursuant to section 2 of P.L.1989 c.291 (C.27:25-15.1); and campus police officers appointed pursuant to P.L.1970, c.211 (C.18A:6-4.2 et seq.).
"Law enforcement unit" shall mean any State, county or municipal law enforcement agency, department, division, or instrumentality of such government that is statutorily empowered to act for the detection, investigation, arrest, conviction, detention, or rehabilitation of persons violating the criminal laws of the State, and shall include all agencies that employ law enforcement officers as defined in this section.
"Licensing committee" means the committee established by the Police Training Commission to perform duties with respect to law enforcement officer licensing as set forth in subsection c. of section 9 of P.L.2022, c.65 (C.52:17B-71a).
"Municipality" shall mean a city of any class, township, borough, village, or any other type of municipality in this State which, within its jurisdiction, has or shall have a law enforcement unit as defined in this act.
"National Decertification Index" shall mean the national registry of law enforcement officer decertification or license revocations maintained by the International Association of Directors of Law Enforcement Standards and Training, or a successor database.
"Permanent appointment" shall mean an appointment having permanent status as a law enforcement officer in a law enforcement unit as prescribed by Title 11A of the New Jersey Statutes, Civil Service Commission Rules and Regulations, or of any other law of this State, municipal ordinance, or rules and regulations adopted thereunder.
"Police training course" means a training course approved by the Police Training Commission and conducted at an approved school.
"Probationary law enforcement license" means a license issued by the Police Training Commission to a person appointed by a law enforcement unit on a probationary or temporary basis which authorizes the person to perform the functions of a permanent law enforcement officer during the person's probationary or temporary appointment term.
"Sustained finding" shall mean a determination by an employing law enforcement unit that a law enforcement officer violated a law; regulation; directive, guideline, policy, or procedure issued by the Attorney General or County Prosecutor; agency protocol; standing operating procedure; rule; or training.
##### **§ 52:17B-67.1** Valid, active license required for law enforcement officer employment. {#sec-52-17b-67.1 omnilex-key=us-nj-statutes--title-52--52:17B-67.1}
10. A person shall not be employed as a law enforcement officer, as defined in section 2 of P.L.1961, c.56 (C.52:17B-67), in this State unless the person holds a valid, active license as a law enforcement officer issued in accordance with P.L.2022, c.65 (C.52:17B-71a et al.). A person shall not act as a law enforcement officer, as defined in section 2 of P.L.1961, c.56 (C.52:17B-67), in this State beyond the scope of the authorization provided pursuant to any designations to the license approved by the Police Training Commission, except that a permanent law enforcement officer licensed in a manner prescribed by the commission pursuant to P.L.2022, c.65 (C.52:17B-71a et al.) who holds an active certification in the basic training course for police officers or State Police shall be permitted to perform the functions or duties of a permanently appointed State or county investigator for a period not to exceed 120 days from the date of appointment while being trained and certified as a basic investigator.
##### **§ 52:17B-68** Authority to require training of policemen prior to permanent appointment; exception. {#sec-52-17b-68 omnilex-key=us-nj-statutes--title-52--52:17B-68}
3. a. Every State, county, and municipal agency, with the exception of the New Jersey State Police, that employs law enforcement officers as defined in section 2 of P.L.1961, c.56 (C.52:17B-67), as applicable, shall authorize attendance at an approved school by persons holding a probationary appointment as a law enforcement officer, and every agency shall require that no person shall hereafter be given or accept a permanent appointment as a law enforcement officer unless such person has successfully completed a police training course at an approved school; provided, however, that the commission may, in its discretion, except from the requirements of this section any person who demonstrates to the commission's satisfaction that the person has successfully completed a police training course conducted by any Federal, State or other public or private agency, the requirements of which are substantially equivalent to the requirements of this act.
b. A law enforcement officer who is terminated from an agency for reasons of economy or efficiency shall be granted an exemption or waiver from retaking the basic training course if, within three years from the date of termination, the law enforcement officer is appointed to a similar law enforcement position in another agency or is reemployed by the agency from which the officer was terminated.
##### **§ 52:17B-68.2** Development of modified basic training program for county corrections officers. {#sec-52-17b-68.2 omnilex-key=us-nj-statutes--title-52--52:17B-68.2}
1. a. The Police Training Commission in the Division of Criminal Justice in the Department of Law and Public Safety shall develop a supplemental course to be known as the modified basic training program for county corrections officers. The program shall provide the additional training necessary to allow an eligible county corrections officer to be certified as a county sheriff's officer. The Police Training Commission shall develop the program within 180 days of the effective date of this act.
b. A county corrections officer is eligible for the modified basic training program if the officer has:
(1) previously completed a basic training course administered by the Police Training Commission pursuant to P.L.1961, c.56 (C.52:17B-66 et seq.);
(2) been designated by the county sheriff as eligible to transition into the position of sheriff's officer based on the officer's law enforcement examination test score and seniority;
(3) served in the county correction's officer title for a minimum of 36 months in the facility under the jurisdiction of the county sheriff; and
(4) a criminal history record background check of the officer has been conducted by the appointing authority and the officer has not been deemed ineligible to transition to the position of sheriff's officer on the basis of any conviction disclosed by the background check.
c. The modified basic training program shall, at a minimum, provide comprehensive and consistent training in law enforcement practices and concepts. Each course instructor shall be proficient and experienced in law enforcement practices and concepts.
d. The modified basic training program shall be offered at an academy approved by the Police Training Commission to provide police training courses pursuant to the provisions of P.L.1961, c.56 (C.52:17B-66 et seq.).
e. The waiver rule set forth in N.J.A.C.13:1-8.4 authorizing the Police Training Commission to waive all or part of a basic training course shall apply to an eligible county corrections officer taking the modified basic training program developed pursuant to subsection a. of this section.
f. A county corrections officer who successfully completes the modified basic training program shall be eligible for a lateral transfer to the position of sheriff's officer in the county in which the officer serves. An officer eligible for a lateral transfer shall not be denied a transfer to an available position without cause.
g. The Civil Service Commission shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to implement the provisions of this section.
##### **§ 52:17B-68.3** Basic training program for county correctional police officers, revised. {#sec-52-17b-68.3 omnilex-key=us-nj-statutes--title-52--52:17B-68.3}
1. a. The Police Training Commission shall revise the modified basic training program for county correctional police officers established in section 1 of P.L.2019, c.247 (C.52:17B-68.2) to provide the additional training necessary for an eligible county correctional police officer to be certified as detective or investigator in the county prosecutor's office or a county or municipal police officer.
b. The commission shall complete the revisions to the modified basic training program no later than 60 days following the effective date of P.L.2021, c.107.
c. A county correctional police officer is eligible for the revised modified basic training program established in subsection a. of this section if:
(1) the officer served in a county correctional facility that closed in calendar year 2021;
(2) the officer served in the county correctional police officer title for a minimum of 12 months in the facility under the jurisdiction of the county sheriff or the chief executive officer of the county, whichever is applicable;
(3) the officer previously completed a basic training course administered by the Police Training Commission pursuant to P.L.1961, c.56 (C.52:17B-66 et seq.);
(4) the officer has been designated by the county sheriff as eligible to transition into the position of sheriff's officer or by the chief executive officer of the county or municipality, as appropriate, as eligible to transition into the position of detective or investigator in the county prosecutor's office or county or municipal police officer; and
(5) a criminal history record background check of the officer has been conducted by the appointing authority and the officer has not been deemed ineligible to transition to the position of detective or investigator in the county prosecutor's office or county or municipal police officer on the basis of any conviction disclosed by the background check.
d. The waiver rule set forth in N.J.A.C.13:1-8.4 authorizing the Police Training Commission to waive all or part of a basic training course shall apply to an eligible county correctional police officer taking the revised modified basic training pursuant to subsection a. of this section.
e. An eligible county correctional police officer who successfully completes the modified basic training established pursuant to section 1 of P.L.2019, c.247 (C.52:17B-68.2) shall be eligible for a transfer to a position as sheriff's officer in any county in the State and an eligible officer who successfully completes the revised modified basic training established pursuant to subsection a. of this section shall be eligible for a transfer or lateral title change, as appropriate, to the position of detective or investigator in the county prosecutor's office or county or municipal police officer in any county or municipality, as applicable, in the State. An officer eligible for a transfer or lateral title change pursuant to the provisions of this section shall not be denied a transfer or title change to an available position without good cause.
f. The Civil Service Commission may adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to implement the provisions of this section.
##### **§ 52:17B-69** Probationary, temporary appointment as police officer. {#sec-52-17b-69 omnilex-key=us-nj-statutes--title-52--52:17B-69}
4. a. A probationary or temporary appointment as a law enforcement officer may be made for a total period not exceeding one year for the purpose of enabling a person seeking permanent appointment to take a police training course as prescribed in this act, provided, however, that the time period may exceed one year for those persons enrolled prior to the one-year limit in a police training course scheduled to end subsequent to the one-year limit, and for those persons who, prior to the one-year limit, have been scheduled to attend a police training course which commences subsequent to the one-year limit. In no case shall any extension granted for the reasons herein listed exceed six months. Every person holding such a probationary or temporary appointment shall enroll in a police training course, and such appointee shall be entitled to a leave of absence with pay during the period of the police training course.
b. A person holding a probationary or temporary appointment on the effective date of P.L.2022, c.65 (C.52:17B-71a et al.) shall not be permitted to continue in the probationary or temporary appointment beyond one year after the effective date of P.L.2022, c.65 (C.52:17B-71a et al.) unless the person enrolls in or completes a basic training course approved by the commission.
c. A person appointed on a probationary or temporary basis on or after the effective date of P.L.2022, c.65 (C.52:17B-71a et al.) shall not perform the functions or duties of a permanently appointed law enforcement officer unless the person completes a basic training course approved by the commission. Upon successful completion of the basic training course, a person appointed on a probationary or temporary basis on or after the effective date of P.L.2022, c.65 (C.52:17B-71a et al.) shall receive from the commission a one-year probationary law enforcement license, as defined in section 2 of P.L.1961, c.56 (C.52:17B-67), and the person shall be permitted to perform full police functions or duties during the person's probationary or temporary appointment.
d. Upon successful completion of a probationary or temporary appointment, a person may apply for licensure as a permanent law enforcement officer in a manner prescribed by the commission pursuant to P.L.2022, c.65 (C.52:17B-71a et al.). The probationary license shall remain in force and effect until the commission acts upon the application for licensure as a permanent law enforcement officer.
e. A permanent law enforcement officer licensed in a manner prescribed by the commission pursuant to P.L.2022, c.65 (C.52:17B-71a et al.) who holds an active certification in the basic training course for police officers or State Police may receive a probationary or temporary appointment as a State or county investigator for a total period not exceeding 120 days from the date of appointment for the purpose of enabling the officer to be trained and certified as a basic investigator. A law enforcement officer holding a probationary or temporary appointment shall be permitted to perform the functions or duties of a permanently appointed investigator during the officer’s probationary or temporary appointment. Upon successful completion of a probationary or temporary appointment, the law enforcement officer may apply for licensure as a permanent investigator in a manner prescribed by the commission pursuant to P.L.2022, c.65 (C.52:17B-71a et al.). The probationary or temporary appointment shall remain in force and effect until the commission acts upon the application for licensure as a permanent investigator.
##### **§ 52:17B-69.1** Enrollment in police training course for persons seeking probationary, temporary appointment. {#sec-52-17b-69.1 omnilex-key=us-nj-statutes--title-52--52:17B-69.1}
2. a. A person who does not hold a probationary or temporary appointment as a law enforcement officer, but who is seeking such an appointment may enroll in a police training course provided that person:
(1) meets the general qualifications for a police officer set forth in N.J.S.40A:14-122 and such other qualifications as the commission may deem appropriate; and
(2) applies to and is accepted by a commission approved school for admission to a police training course.
The person may be charged a fee by the commission or approved school, as the case may be, not exceeding that which the commission approved school charges a governmental employer for the training of an employee holding a probationary or temporary appointment.
An appointing authority may, at its discretion, reimburse a person who has completed a police training course pursuant to this section for all or part of the costs of training.
b. The commission, in accordance with the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall promulgate rules and regulations to effectuate the purposes of this section.
##### **§ 52:17B-69.2** Eligibility for appointment. {#sec-52-17b-69.2 omnilex-key=us-nj-statutes--title-52--52:17B-69.2}
3. A person who completes a police training course pursuant to section 2 of P.L.1998, c.146 (C.52:17B-69.1) shall only be eligible for appointment as a permanent full-time member of a law enforcement unit or as a Class Two Special Law Enforcement Officer pursuant to section 4 of P.L.1985, c.439 (C.40A:14-146.11).
##### **§ 52:17B-70** Police training commission established; members; terms. {#sec-52-17b-70 omnilex-key=us-nj-statutes--title-52--52:17B-70}
5. There is hereby established in the Division of Criminal Justice in the Department of Law and Public Safety a Police Training Commission whose membership shall consist of the following persons:
a. Four citizens of this State who shall be appointed by the Governor with the advice and consent of the Senate for terms of three years.
b. The president or other representative designated in accordance with the bylaws of each of the following organizations: the New Jersey State Association of Chiefs of Police; the New Jersey State Policemen's Benevolent Association, Inc.; the New Jersey State League of Municipalities; the New Jersey State Lodge, Fraternal Order of Police; the State Troopers Fraternal Association of New Jersey; the County Prosecutors' Association of New Jersey; the Sheriffs' Association of New Jersey; the Police Academy Directors Association; the New Jersey County Jail Wardens Association; the New Jersey Juvenile Detention Association; and the National Organization of Black Law Enforcement Executives.
c. The Attorney General, the Superintendent of State Police, the Commissioner of Education, the Commissioner of Corrections, and the Chairman of the State Parole Board, ex officio, or their designees.
d. The Special Agent in Charge of the State of New Jersey for the Federal Bureau of Investigation or a designated representative.
e. The Police Training Commission shall ensure that all commission members, during their tenure as commissioners, annually complete confidentiality, ethics, and other training as required by the Attorney General's Office. The commission shall also ensure that all newly appointed public members of the commission complete a course designed to familiarize the members with relevant law enforcement training concepts, including but not limited to the use of force policy and internal affairs policy and procedures to help the members carry out their duties under P.L.2022, c.65 (C.52:17B-71a et al.).
##### **§ 52:17B-71** Powers, responsibilities, duties of commission. {#sec-52-17b-71 omnilex-key=us-nj-statutes--title-52--52:17B-71}
6. The commission shall establish requisite standards for the training of law enforcement officers and oversee the implementation of those standards.
The commission shall have the authority:
a. To prescribe standards for the approval and continuation of approval of schools at which police training courses authorized by this act and in-service police training courses shall be conducted, including but not limited to currently existing regional, county, municipal, and police chief association police training schools or at which basic training courses and in-service training courses shall be conducted for State and county juvenile and adult correctional police officers and juvenile detention officers;
b. To approve and issue certificates of approval to these schools, to inspect the schools from time to time, and to revoke any approval or certificate issued to the schools;
c. To prescribe the curriculum, the minimum courses of study, attendance requirements, equipment and facilities, and standards of operation for these schools and prescribe psychological and psychiatric examinations for police recruits;
d. To prescribe minimum qualifications for instructors at these schools and to certify, as qualified, instructors for approved police training schools and to issue appropriate certificates to the instructors;
e. To certify law enforcement officers who have satisfactorily completed training programs and to issue appropriate certificates to the officers;
f. To advise and consent in the appointment of an administrator of police services by the Attorney General pursuant to section 8 of P.L.1961, c.56 (C.52:17B-73);
g. (Deleted by amendment, P.L.1985, c.491)
h. To make rules and regulations as may be reasonably necessary or appropriate to accomplish the purposes and objectives of this act;
i. To make a continuous study of police training methods and training methods for law enforcement officers and to consult and accept the cooperation of any recognized federal or State law enforcement agency or educational institution;
j. To consult and cooperate with universities, colleges, and institutes in the State for the development of specialized courses of study for law enforcement officers in police science and police administration;
k. To consult and cooperate with other departments and agencies of the State concerned with police training or the training of law enforcement officers;
l. To participate in unified programs and projects relating to police training and the training of law enforcement officers sponsored by any federal, State, or other public or private agency;
m. To perform other acts as may be necessary or appropriate to carry out its functions and duties as set forth in this act;
n. To extend the time limit for satisfactory completion of police training programs or programs for the training of law enforcement officers upon a finding that health, extraordinary workload, or other factors have, singly or in combination, effected a delay in the satisfactory completion of the training program;
o. (1) To furnish approved schools, for inclusion in their regular police training courses and curriculum, with information concerning the advisability of high-speed chases, the risk caused by them, and the benefits resulting from them, and to include any other relevant police training courses that will assist the commission in providing efficient training;
(2) To consult the New Jersey State Police with respect to its administration of police training courses or programs for the training of law enforcement officers to be certified as a Drug Recognition Expert for detecting, identifying, and apprehending drug-impaired motor vehicle operators, and to consult with the Cannabis Regulatory Commission established by 31 of P.L.2019, c.153 (C.24:6I-24) with respect to any aspects of the course curricula that focus on impairment from the use of cannabis items as defined by section 3 of P.L.2021, c.16 (C.24:6I-33) or marijuana.
p. (Deleted by amendment, P.L.2022, c.65)
q. To administer and distribute the monies in the Law Enforcement Officers Training and Equipment Fund established by section 9 of P.L.1996, c.115 (C.2C:43-3.3) and make rules and regulations for the administration and distribution of the monies as may be necessary or appropriate to accomplish the purpose for which the fund was established.
##### **§ 52:17B-71a** Licensing process established; powers, responsibilities, duties. {#sec-52-17b-71a omnilex-key=us-nj-statutes--title-52--52:17B-71a}
9. The commission shall establish the process by which law enforcement officers shall be licensed and the implementation of that process. The commission is vested with the power, responsibility, and duty:
a. to prescribe minimum standards and requirements for the licensure for law enforcement officers and to maintain the status as a licensed law enforcement officer for the purpose of promoting and assuring integrity, competence, professionalism, and fitness for duty. The minimum standards shall include, but not be limited to:
(1) minimum pre-employment qualifications for law enforcement officer applicants, including but not limited to, age requirements, residency requirements, background investigations, psychological examinations, and educational requirements;
(2) minimum post-academy training and educational requirements, including but not limited to required field training hours for recent academy graduates and required continuing educational courses for law enforcement officers; and
(3) minimum standards of professional conduct;
b. to establish a licensure process and applicable criteria for license issuance, renewal, suspension, revocation, or denial; and
c. to perform or cause to be performed through the licensing committee the following activities related to law enforcement officer licensing:
(1) review applications for and, if warranted, issue initial law enforcement officer licenses to qualified applicants;
(2) review and act upon matters related to law enforcement officer license renewal, suspension, revocation, or denial;
(3) conduct license renewal, suspension, revocation, or denial hearings; and
(4) suspend, revoke, place conditions upon, or deny a license in the event an individual does not meet any standard or requirement prescribed by the commission.
d. The commission shall establish a licensing committee to assist it in exercising the authority provided under this act, including duties with respect to law enforcement officer licensing as set forth in subsection c. of this section and section 19 of P.L.2022, c.65 (C.52:17B-71f), and including but not limited to, making recommendations for licensure to be considered by the full commission.
The composition, membership, terms of membership, and procedures applicable to the function and operations of the licensing committee shall be determined by the commission, provided that the membership of the licensing committee shall include the Attorney General's designee and no less than one public member.
##### **§ 52:17B-71b** License requirements. {#sec-52-17b-71b omnilex-key=us-nj-statutes--title-52--52:17B-71b}
14. a. The applicant for an initial law enforcement license or a probationary license shall have the burden of demonstrating to the satisfaction of the commission that the applicant meets all requirements for the issuance of a law enforcement license. The requirements for an initial license and a probationary license shall include, but not be limited to, that an applicant:
(1) be at least 18 years of age;
(2) be a citizen of the United States, if required for the position for which licensure is sought;
(3) be at least a high school graduate or have earned a General Educational Development (GED) diploma;
(4) be fingerprinted in accordance with the standards established by the commission;
(5) have passed a medical examination by a licensed physician, physician assistant, or licensed advanced practice registered nurse, based on specifications established by the commission;
(6) have passed a psychological examination by a licensed psychologist or psychiatrist based on specifications established by the commission;
(7) be of good moral character as determined by a background investigation conducted under the procedures established by the commission and successfully pass a criminal background records check in accordance with the Prison Rape Elimination Act (PREA), 28 C.F.R. 115.317, if applicable;
(8) successfully meet and complete all required basic physical and educational training courses as required by the commission;
(9) successfully pass a drug screening test as prescribed by the commission;
(10) possess a valid driver's license;
(11) not have received a dishonorable discharge from military service;
(12) successfully complete any probationary period prescribed by the commission;
(13) not have been convicted of any of the following:
(a) a crime in this State or any other state, territory, country, or of the United States, including a conviction of an offense which if committed in this State would be deemed a crime under either State or federal law without regard to its designation elsewhere;
(b) an act of domestic violence pursuant to P.L.1991, c.261 (C.2C:25-17 et seq.);
(c) an offense that would preclude an applicant from carrying a firearm as defined by N.J.S.2C:39-1;
(d) a disorderly persons offense or petty disorderly persons offense involving dishonesty, fraud, or a lack of good moral character, unless the commission determines the offense to be de minimis in nature or inconsequential to the applicant's ability to meet the standards expected of a law enforcement officer;
(e) two or more motor vehicle offenses for operating a motor vehicle while under the influence of drugs or alcohol pursuant to R.S.39:4-50 or two or more motor vehicle offenses for reckless driving pursuant to R.S.39:4-96; or
(f) any offense listed in (b) through (e) of this paragraph committed in violation of the laws of another state, territory, country, or the United States;
(14) not be the subject of or had a domestic violence restraining order pursuant to P.L.1991, c.261 (C.2C:25-17 et seq.), an extreme risk protective order, or a temporary extreme risk protective order pursuant to P.L.2018, c.35 (C.2C:58-20 et seq.) issued against the applicant;
(15) not be an active member of a group or organization that advocates for, espouses, or promotes the overthrow of a local, state, or federal government or discrimination or violence against or hatred or bias toward individuals or groups based on race, creed, color, national origin, ancestry, age, sex, marital status, sexual orientation, gender identity or expression, or any other protected characteristic under the "Law Against Discrimination," P.L.1945, c.169 (C.10:5-1 et seq.), or knowingly engage in any activity, conduct, or behavior relating to such group or organization with the intent to support, endorse or advocate for, or which the applicant knows or should know will have the effect of supporting, furthering, or advocating for, the goals of such group or organization, where active membership or knowing engagement would undermine public confidence in the ability of the individual law enforcement officer or the employing law enforcement agency to carry out the public safety mission, or where active membership or knowing engagement would cause substantial disruption to proper law enforcement functioning;
(16) not have engaged in conduct or behavior in the applicant's personal or professional life, including, but not limited to, making statements, posting, sharing, or commenting in support of any posting, on social media or otherwise, that demonstrates, espouses, advocates, or supports discrimination or violence against, or hatred or bias toward, individuals or groups based on race, creed, color, national origin, ancestry, age, sex, marital status, sexual orientation, gender identity or expression, or any other protected characteristic under the "Law Against Discrimination," P.L.1945, c.169 (C.10:5-1 et seq.), where the conduct or behavior would undermine public confidence in the ability of the individual law enforcement officer or the employing law enforcement agency to carry out the public safety mission, or where the conduct or behavior would cause substantial disruption to proper law enforcement functioning;
(17) provide to the commission and the applicant's employing law enforcement unit a complete list of all social media accounts maintained by the applicant and grant to the commission and the applicant's employing law enforcement unit access to all outwardly facing activity and publicly accessible components of the accounts;
(18) not currently be listed on the National Decertification Index as being decertified as a law enforcement officer or having the license or certification as a law enforcement officer revoked or denied;
(19) pay or cause to be paid any fees, if applicable, established by the commission; and
(20) any other requirements established by the commission.
b. The commission may waive the requirements of subparagraphs (d) and (e) of paragraph (13) of subsection a. of this section if the applicant demonstrates to the licensing committee's satisfaction that:
(1) the applicant's conviction or convictions occurred five or more years prior to submission of an application for licensure as a law enforcement officer;
(2) the applicant has taken rehabilitative steps since the applicant's conviction or convictions to become a law-abiding citizen through actions, including but not limited to continuing education, maintaining gainful employment, and having no further convictions; and
(3) the applicant is currently of good moral character and submits at least three letters of recommendation from members of the applicant's community detailing the applicant's good moral character.
c. An applicant for licensure shall provide to the commission or the applicant's employing law enforcement unit documented proof, in a form and manner as required by the commission, that the applicant is in compliance with paragraphs (1) through (20) of subsection a. of this section. The commission shall promulgate in its rules and regulations the form, manner, and substance of documents required by the commission to provide sufficient proof of the qualifications required by this section. An application for initial licensure or license renewal of a person employed as full-time sworn member of any State, county, or municipal law enforcement agency or department, division or instrumentality of those governments on the effective date of P.L.2022, c.65 (C.52:17B-71a et al.) shall not be denied based solely on consideration of disciplinary actions based on conduct occurring prior to the date of enactment of P.L.2022, c.65 (C.52:17B-71a et al.).
d. The commission shall have the authority to issue a license for employment as a law enforcement officer if an applicant satisfies all licensing requirements. A license issued pursuant to this section shall expire three years after its date of issuance, before which time the law enforcement officer shall be required to apply for a license renewal pursuant to section 17 of P.L.2022, c.65 (C.52:17B-71d).
e. Law enforcement officers from jurisdictions outside of New Jersey and federal law enforcement officers applying for licensure in this State shall be required to meet all of the requirements set forth in this section and also shall be required to complete a waiver form that allows the commission and any hiring law enforcement unit to review the officer's internal affairs records from any and all prior law enforcement positions.
f. A person appointed as a permanent law enforcement officer prior to the effective date of P.L.2022, c.65 (C.52:17B-71a et al.) shall apply for a law enforcement license in accordance with section 17 of P.L.2022, c.65 (C.52:17B-71d). The commission shall devise a process and schedule for submission of a law enforcement license application for the officers.
g. At the discretion of the commission, licenses issued pursuant to this section may serve as authorization for a licensee to serve in one of the following positions, provided the licensee meets the requisite qualifications for that status: a full-time permanent law enforcement officer; a Class One, Class Two, or Class Three special law enforcement officer; or a probationary law enforcement officer.
h. In all situations where a law enforcement officer has been convicted of an offense set forth in subparagraph (a), (b), or (c) of paragraph (13) of subsection a. of this section, the commission shall deny the issuance of a license to an applicant.
i. Any decision to deny a license shall be accompanied by a written statement in a form to be prescribed by the commission.
##### **§ 52:17B-71c** Employing law enforcement unit responsible for collection, verification, maintenance of qualification documents. {#sec-52-17b-71c omnilex-key=us-nj-statutes--title-52--52:17B-71c}
15. a. An employing law enforcement unit shall be responsible for the collection, verification, and maintenance of documentation establishing that an applicant meets the minimum qualifications for employment as a law enforcement officer.
b. When all of the documentation concerning an applicant is obtained, the employing law enforcement unit shall submit the documentation to the commission for verification and review in a manner prescribed by the commission.
c. The commission shall adopt rules and regulations establishing the procedure to submit licensing application documents.
d. The commission shall review an applicant's documentation submitted for licensure to determine eligibility for the issuance of a law enforcement license.
##### **§ 52:17B-71d** Law enforcement license renewal, process. {#sec-52-17b-71d omnilex-key=us-nj-statutes--title-52--52:17B-71d}
17. a. A law enforcement officer required to renew the officer's license or a person appointed as a permanent law enforcement officer prior to the effective date of P.L.2022, c.65 (C.52:17B-71a et al.) shall submit an application for law enforcement license renewal through the officer's employing law enforcement unit to the commission. The application for law enforcement license renewal shall be on a form adopted by the commission and shall require the law enforcement officer and the chief law enforcement officer of the officer's employing law enforcement unit to certify that the officer:
(1) is of good moral character as determined by a background investigation conducted under the procedures established by the commission;
(2) successfully meets and has completed all commission required physical and educational training courses;
(3) has not been convicted of:
(a) a crime in this State or any other state, territory, country, or of the United States, including a conviction of an offense which if committed in this State would be deemed a crime under either state or federal law without regard to its designation elsewhere;
(b) an act of domestic violence pursuant to P.L.1991, c.261 (C.2C:25-17 et seq.);
(c) an offense that would preclude an applicant from carrying a firearm as defined by N.J.S.2C:39-1;
(d) a disorderly persons offense or petty disorderly persons offense involving dishonesty, fraud, or a lack of good moral character, unless the commission determines the offense to be de minimis in nature or inconsequential to the applicant's ability to meet the standards expected of a law enforcement officer;
(e) two or more motor vehicle offenses for operating a motor vehicle while under the influence of drugs or alcohol pursuant to R.S.39:4-50 or two of more motor vehicle offenses for reckless driving pursuant to R.S.39:4-96; or
(f) any offense listed in subparagraph (b) through (e) of this paragraph committed in violation of the laws of another state, territory, country, or the United States.
(4) is not an active member of a group or organization that advocates for, espouses or promotes the overthrow of a local, state or federal government or discrimination or violence against or hatred or bias toward individuals or groups based on race, creed, color, national origin, ancestry, sex, marital status, sexual orientation, gender identity or expression, or any other protected characteristic under the "Law Against Discrimination," P.L.1945, c.169 (C.10:5-1 et seq.), and has not knowingly engaged in any activity, conduct, or behavior relating to the group or organization with the intent to support, endorse or advocate for, or which the officer knows or should know will have the effect of supporting, furthering, or advocating for, the goals of the group or organization, where active membership or knowing engagement undermines or tends to undermine public confidence in the ability of the individual law enforcement officer or the employing law enforcement agency to carry out the public safety mission, or where active membership or knowing engagement causes or threatens to cause substantial disruption to proper law enforcement functioning; and
(5) has not engaged in conduct or behavior in the officer's personal or professional life, including but not limited to, making statements, posting, sharing, or commenting in support of any posting on social media or otherwise that demonstrates, espouses, advocates or supports discrimination or violence against, or hatred or bias toward individuals or groups based on race, creed, color, national origin, ancestry, sex, marital status, sexual orientation, gender identity or expression, or any other protected characteristic under the "Law Against Discrimination," P.L.1945, c.169 (C.10:5-1 et seq.), where the conduct or behavior would undermine public confidence in the ability of the individual law enforcement officer or the employing law enforcement agency to carry out the public safety mission, or where the conduct or behavior would cause substantial disruption to proper law enforcement functioning.
b. A law enforcement officer who is unable to certify to any item enumerated in subsection a. of this section shall disclose to the commission the reason the officer cannot make the certification. The commission shall consider this information in determining whether the officer's license shall be renewed.
c. In addition to the information contained in the law enforcement license renewal application form, the commission may request any additional information it deems relevant to determine whether a law enforcement officer's license should be renewed. The information may include a summary of a law enforcement officer's internal affairs file, or the entire file as the commission deems necessary. An employing law enforcement unit or the law enforcement officer shall provide all additional information requested by the commission.
d. A license issued pursuant to section 14 of P.L.2022, c.65 (C.52:17B-71b) may be renewed administratively, under terms and conditions established by the commission, without requiring review by the licensing committee pursuant to subsection d. of section 9 of P.L.2022, c.65 (C.52:17B-71a) or conducting a hearing pursuant to section 19 of P.L.2022, c.65 (C.52:17B-71f), if the licensee and the licensee's employing law enforcement unit submit the certifications required pursuant to subsection a. of this section and if a notice of an employment action concerning the licensee has not been submitted to or is not required to be submitted to the commission in accordance with subsection b. of section 16 of P.L.2022, c.65 (C.52:17B-77.16a).
e. The license of a law enforcement officer who is active and in good standing and who has timely submitted a completed renewal application which the commission fails to act upon prior to the license expiration date shall be deemed in force and effect until the time as the commission acts upon the renewal application, provided that nothing in this subsection shall be construed to preclude the commission from exercising the authority provided under section 18 of P.L.2022, c.65 (C.52:17B-71e) during that interval or thereafter.
f. Any decision to deny a license renewal shall be accompanied by a written statement in a form to be prescribed by the commission.
##### **§ 52:17B-71e** Adverse license action, repercussions. {#sec-52-17b-71e omnilex-key=us-nj-statutes--title-52--52:17B-71e}
18. a. The commission shall have authority to impose an adverse license action as set forth in subsection b. of this section if the applicant or officer has:
(1) failed to demonstrate or adhere to the minimum qualifications under section 14 of P.L.2022, c.65 (C.52:17B-71b), or in the rules and regulations of the commission when applying for a license or license renewal;
(2) knowingly made misleading, deceptive, untrue, or fraudulent representations in the practice of being a law enforcement officer or in any document connected therewith or practiced fraud or deceit or intentionally made any false statement in obtaining a license to be an officer;
(3) been convicted of a crime in this State or any other state, territory, country, or of the United States. As used in this paragraph, the term "convicted of a crime" shall include a conviction of an offense which if committed in this State would be deemed a crime under either state or federal law without regard to its designation elsewhere;
(4) committed a crime involving moral turpitude, without regard to conviction. The conviction of a crime involving moral turpitude shall be conclusive of the commission of the crime;
(5) been convicted of an act of domestic violence as defined by section 1 of P.L.1991, c.261 (C.2C:25-17 et seq.);
(6) had the officer's law enforcement license revoked, suspended, or annulled by any lawful certifying or licensing authority, had other disciplinary action taken against the officer by any lawful certifying or licensing authority, or was denied a license by any lawful certifying or licensing authority;
(7) engaged in any unprofessional, unethical, deceptive, or deleterious conduct or practice harmful to the public; the conduct or practice need not have resulted in actual injury to any person. As used in this paragraph, the term "unprofessional conduct" shall include any departure from, or failure to conform to, the minimal standards of acceptable and prevailing practice of an officer as prescribed by the commission. As used in this paragraph the term "deceptive conduct" shall include but not be limited to:
(a) a sustained finding that a law enforcement officer filed a false report or submitted a false certification in any criminal, administrative, employment, financial, or insurance matter in the professional or personal life of the officer;
(b) a sustained finding that the law enforcement officer was untruthful or demonstrated a lack of candor;
(c) a sustained finding that the law enforcement officer mishandled or destroyed evidence; or
(d) a sustained finding that a law enforcement officer has engaged in conduct demonstrating discrimination, hatred or bias against individuals or groups based on race, creed, color, national origin, ancestry, sex, marital status, sexual orientation, gender identity or expression, or any other protected characteristic under the "Law Against Discrimination," P.L.1945, c.169 (C.10:5-1 et seq.);
(8) been adjudged mentally incompetent by a court of competent jurisdiction, within or outside this State;
(9) become unable to perform as an officer with reasonable skill and safety to citizens by reason of illness or use of alcohol, drugs, narcotics, chemicals, or any other type of material or as a result of any mental or physical condition;
(10) been the subject of or had a domestic violence restraining order pursuant to P.L.1991, c.261 (C.2C:25-17 et seq.), an extreme risk protective order or a temporary extreme risk protective order pursuant to P.L.2018, c.35 (C.2C:58-20 et seq.) issued against the applicant or officer; or
(11) been suspended or discharged by the officer's employing law enforcement unit for disciplinary reasons.
b. If the commission finds, based on its own review or a recommendation of the licensing committee, that any person has engaged in the conduct described in subsection a. of this section, the commission may take any of the following actions:
(1) suspend any license for a definite period;
(2) place limitations or restrictions on a license;
(3) revoke a license;
(4) condition a penalty, or withhold formal disposition, upon the officer's completing care, counseling, or treatment, as directed by the commission; or
(5) place the officer's license on inactive status.
c. In addition to and in conjunction with the foregoing actions, the commission may make a finding adverse to the applicant or law enforcement officer, but withhold imposition of judgment or it may impose the judgment but suspend enforcement thereof and place the officer on probation, which may be vacated upon noncompliance with reasonable terms as the commission may impose.
d. In its discretion, the commission may restore and reissue a license issued under this act and, as a condition thereof, may impose any corrective measure prescribed by the commission.
e. In all situations where a law enforcement officer has been convicted of an offense set forth in subparagraph (a), (b), or (c) of paragraph (13) of subsection a. of section 14 of P.L.2022, c.65 (C.52:17B-71b), the commission shall revoke a law enforcement officer's license.
f. Any decision to revoke or suspend a license shall be accompanied by a written statement in a form to be prescribed by the commission.
g. Decisions of the commission authorized under this section shall be final agency decisions subject to appeal to the Superior Court.
h. The commission shall report all final decisions to revoke or deny licensure issued under this act to the National Decertification Index.
##### **§ 52:17B-71f** Hearing over denial of initial, renewal license. {#sec-52-17b-71f omnilex-key=us-nj-statutes--title-52--52:17B-71f}
19. a. Except under circumstances set forth in subsection h. of section 14 of P.L.2022, c.65 (C.52:17B-71b) or subsection e. of section 18 of P.L.2022, c.65 (C.52:17B-71e), in all situations involving the imposition of an adverse license action by the commission as set forth in subsection b. of section 18 of P.L.2022, c.65 (C.52:17B-71e) or the denial of an initial or renewal license, the law enforcement officer shall, if requested by the officer, be entitled to a hearing in a manner prescribed in this subsection and in regulations as may be promulgated by the commission:
(1) The licensing committee may hear the matter or refer the matter to a hearing officer for fact finding and a recommended disposition;
(2) If the matter is referred to a hearing officer, the officer shall conduct a hearing and provide a written report to the licensing committee detailing the facts revealed and providing a recommended disposition; and
(3) The licensing committee shall review the hearing officer's report, vote on the proposed disposition, and make a recommendation to the full commission, which shall render a decision in writing to the law enforcement officer, or any other party participating in the hearing.
b. Any ruling of the commission adverse to the law enforcement officer or any party participating in the hearing may be appealed to the Superior Court within 45 days of receipt of the commission's decision on appeal. Absent an appeal to the Superior Court, all findings of the commission shall become final upon the expiration of the appeal deadline. Upon review on appeal to the Superior Court, the commission's decisions shall be upheld unless the court finds the commission's decision was arbitrary, capricious, or unreasonable, or the record was unsupported by substantial credible evidence.
c. The commission shall promulgate rules and regulations detailing the manner of the hearing and appeal process. The processes shall include, but not be limited to, the manner in which a hearing and appeal are initiated and the manner in which the hearing shall be conducted.
##### **§ 52:17B-71g** Continuing officer education training requirement. {#sec-52-17b-71g omnilex-key=us-nj-statutes--title-52--52:17B-71g}
20. a. The commission shall, by regulation, require all law enforcement officers, as a condition of continued employment or appointment as an officer, to receive periodic commission-approved continuing officer education training. The training or education shall be mandated and prescribed by the commission. Every law enforcement unit shall provide a reasonable opportunity for its officers to complete training.
b. The law enforcement officer shall submit proof of all required training to the chief law enforcement officer of the officer's employing law enforcement unit, who shall in turn, submit the documentation to the commission in a manner to be proscribed by the commission's regulations.
##### **§ 52:17B-71h** Fees for training, other services provided by commission. {#sec-52-17b-71h omnilex-key=us-nj-statutes--title-52--52:17B-71h}
21. a. The commission shall, by rule or regulation, establish, prescribe, or modify fees for training or other services provided by the commission pursuant to the provisions of this act. The fees may include, but are not limited to, fees for academy recruits and fees for each academy. Any fees established pursuant to this subsection shall be dedicated to the costs of providing the training or other services provided by the commission, as the case may be.
b. The commission may, by rule or regulation, establish, prescribe, or modify fees for application for and issuance of an initial license pursuant to the provisions of this act for applicants or law enforcement officers not employed as full-time sworn members of any State, county, or municipal law enforcement agency or department or division of those governments on the effective date of this act, provided that a fee may not be charged for application for and issuance of initial licenses for law enforcement officers employed as full-time sworn members of any State, county, or municipal law enforcement agency, department, or division of those governments on the effective date of this act, or for application for and issuance of law enforcement license renewals for law enforcement officers employed as full-time sworn members of any State, county, or municipal law enforcement agency, department, or division of those governments on or after the effective date of this act.
c. The commission shall be authorized to accept payment of fees established pursuant to this section from an applicant or licensee or on behalf of an applicant or licensee from a law enforcement unit employing or proposing to employ the applicant or officer, from any other governmental entity, or from funds made available by the State for this purpose.
##### **§ 52:17B-71.8** Training course for safe schools resource officers, liaisons to law enforcement. {#sec-52-17b-71.8 omnilex-key=us-nj-statutes--title-52--52:17B-71.8}
2. a. The Police Training Commission in the Division of Criminal Justice in the Department of Law and Public Safety, in consultation with the Attorney General, shall develop a training course for safe schools resource officers and public school employees assigned by a board of education to serve as a school liaison to law enforcement. The Attorney General, in conjunction with the Police Training Commission, shall ensure that the training course is developed within 180 days of the effective date of this act. The course shall at a minimum provide comprehensive and consistent training in current school resource officer practices and concepts. The course shall include training in the protection of students from harassment, intimidation, and bullying, including incidents which occur through electronic communication. The course shall be made available to:
(1) any law enforcement officer or public school employee referred by the board of education of the public school to which assignment as a safe schools resource officer or school liaison to law enforcement is sought; and
(2) any safe schools resource officer or school liaison to law enforcement assigned to a public school prior to the effective date of P.L.2005, c.276 (C.52:17B-71.8 et al.).
b. The training course developed by the commission pursuant to subsection a. of this section shall be offered at each school approved by the commission to provide police training courses pursuant to the provisions of P.L.1961, c.56 (C.52:17B-66 et seq.). The commission shall ensure that an individual assigned to instruct the course is proficient and experienced in current school resource officer practices and concepts.
c. The commission shall award a certificate to each individual who successfully completes the course.
d. The Police Training Commission, in consultation with the Commissioner of Education, shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to implement the provisions of this section.
##### **§ 52:17B-71.9** Adoption of training course by Police Training Commission. {#sec-52-17b-71.9 omnilex-key=us-nj-statutes--title-52--52:17B-71.9}
4. a. The Police Training Commission in the Department of Law and Public Safety shall adopt a training course regarding the risks associated with autism or an intellectual or other developmental disability and appropriate recognition and response techniques concerning these disabilities based on the curriculum developed by the Departments of Health and Senior Services and Human Services pursuant to subsection a. of section 2 of P.L.2008, c.80 (C.26:2-190). The training course shall be administered by the employing agency as part of the in-service training provided to each local police officer in each law enforcement unit operating in this State.
b. Prior to being appointed to permanent status as a local law enforcement officer in a law enforcement unit, an individual shall be required to complete the training course adopted under subsection a. of this section. Every local law enforcement officer appointed prior to the effective date of P.L.2022, c.65 (C.52:17B-71a et al.) shall, within 36 months of the effective date of P.L.2022, c.65 (C.52:17B-71a et al.), satisfactorily complete a training course in recognition and response techniques concerning these disabilities.
c. The Police Training Commission shall adopt rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of this act.
##### **§ 52:17B-71.10** Definitions relative to police training. {#sec-52-17b-71.10 omnilex-key=us-nj-statutes--title-52--52:17B-71.10}
1. a. As used in this act:
"Approved school" means a school approved and authorized by the Police Training Commission to give police training courses.
"Basic course" means an entry-level police training course designed for trainees.
"Commission" means the Police Training Commission established pursuant to section 5 of P.L.1961, c.56 (C.52:17B-70).
b. Notwithstanding the provisions of any statute, rule or regulation to the contrary, an approved school located in a city of the first class or a city of the second class having a population of not less than 85,000 or more than 150,000 according to the 2000 federal decennial census may continue operations so long as that school conducts a minimum of one basic course annually.
##### **§ 52:17B-71.11** Pilot program established; increase access to training courses applying the Crisis Intervention model. {#sec-52-17b-71.11 omnilex-key=us-nj-statutes--title-52--52:17B-71.11}
1. a. The Attorney General, in consultation with the Commissioner of Human Services, shall develop a pilot program to promote and encourage law enforcement officers Statewide to complete training that applies the Crisis Intervention Team model, which program may include support for and coordination between the Police Training Commission in the Division of Criminal Justice in the Department of Law and Public Safety and the Division of Mental Health and Addiction Services in the Department of Human Services to increase the frequency of, number of locations, and geographic accessibility to training courses offered that apply the Crisis Intervention Team model.
b. The Police Training Commission shall develop and implement or incorporate into an existing training course, in consultation with a crisis intervention training center, a curriculum that applies the Crisis Intervention Team model to persons experiencing an economic crisis or struggling with a substance use disorder who come into contact with law enforcement first responders.
c. As used in this section:
"Crisis Intervention Team model" means the best practice jail diversion model originally developed by the Memphis Tennessee Police Department and implemented in New Jersey as a county based collaboration of professionals committed to improving the law enforcement and mental health systems' response to persons experiencing a psychiatric crisis who come into contact with law enforcement first responders.
"Crisis intervention training center" means a program or entity that has operated as a crisis intervention support center in the State for a period of at least five years and that has experience in assisting political subdivisions in New Jersey in developing and implementing the Crisis Intervention Team model.
##### **§ 52:17B-72** Effect of act upon powers and duties of municipalities and counties and civil service {#sec-52-17b-72 omnilex-key=us-nj-statutes--title-52--52:17B-72}
7. a. Except as expressly provided in P.L.1961, c.56 (C.52:17B-66 et seq.), nothing herein contained shall be deemed to limit the powers, rights, duties or responsibilities of municipal or county governments, nor to affect provisions of Title 11 of the Revised Statutes, provided that a determination by the Civil Service Commission that an individual is eligible for appointment as a law enforcement officer shall not be construed to affect or limit the commission's ability to take any action authorized under P.L.2022, c.65 (C.52:17B-71a et al.) with respect to an applicant or licensee.
b. Notwithstanding the provisions of any statute, rule, regulation or collective bargaining agreement to the contrary, the commission shall have the sole authority to establish training standards and certification for approved schools, and the licensure requirements for a law enforcement officer as defined in section 2 of P.L.1961, c.56 (C.52:17B-67).
##### **§ 52:17B-73** Organization of commission; quorum {#sec-52-17b-73 omnilex-key=us-nj-statutes--title-52--52:17B-73}
Organization of commission; quorum. The Attorney General shall be the chairman of the commission. The Attorney General is empowered to appoint an administrator of police services to the commission after obtaining the advice and consent of the commission and may employ other persons as may be necessary to carry out the provisions of this act, and to fix their compensation and the compensation of the administrator of police services within the limits of available appropriations. The commission, at its initial organization meeting to be held promptly after the appointment and qualification of its members, and thereafter at each annual organization meeting to be held on the first Monday in February, shall select a vice-chairman from among its members, and shall meet at such other times within the State of New Jersey as it may determine. A majority of the commission shall constitute a quorum for the transaction of any business, the performance of any duty, or for the exercise of any of its powers.
##### **§ 52:17B-74** Minutes and other records {#sec-52-17b-74 omnilex-key=us-nj-statutes--title-52--52:17B-74}
The commission shall maintain minutes of its meetings and such other records as it deems necessary.
##### **§ 52:17B-75** Reimbursement for expenses {#sec-52-17b-75 omnilex-key=us-nj-statutes--title-52--52:17B-75}
10. The members of the commission shall receive no salary but all members except those designated in subsection c. of section 5 of this act shall be reimbursed for their reasonable expenses lawfully incurred in the performance of their official functions. The members of the commission who are employed by the State, a county, a municipality or any State, county, or local governmental entity shall not be subject to loss of pay or accrued time due to attending commission meetings or otherwise performing the official commission functions.
##### **§ 52:17B-76** Annual report {#sec-52-17b-76 omnilex-key=us-nj-statutes--title-52--52:17B-76}
The commission shall report at least annually to the Governor and the Legislature as to its activities.
##### **§ 52:17B-77** Appropriation {#sec-52-17b-77 omnilex-key=us-nj-statutes--title-52--52:17B-77}
There is hereby appropriated the sum of $25,000.00 to establish and maintain the commission.
##### **§ 52:17B-77.3** Recommendation of standards. {#sec-52-17b-77.3 omnilex-key=us-nj-statutes--title-52--52:17B-77.3}
4. The committee shall recommend standards for training programs in crime prevention to be offered to law enforcement officers at schools approved and authorized by the Police Training Commission.
1985, c.1, s.4.
##### **§ 52:17B-77.4** Senior citizens crime prevention program {#sec-52-17b-77.4 omnilex-key=us-nj-statutes--title-52--52:17B-77.4}
1. The Attorney General, in consultation with the Crime Prevention Advisory Committee established under the provisions of P.L.1985, c.1 (C.52:17B-77.1 et seq.), the county prosecutors of this State, and the American Association of Retired Persons, shall develop and establish a senior citizens crime prevention program. The program shall include, but not be limited to:
a. Informational services and educational awareness programs specifically designed to address the needs of senior citizens in the areas of personal safety, home security, and those types of non-violent property crimes to which senior citizens are especially susceptible, such as scams and swindles;
b. Information and training programs relating to the organization and operation of specialized neighborhood watch and crime prevention programs; and
c. Informational services and educational awareness programs for county and municipal law enforcement departments to assist them in meeting the specialized needs of the senior citizens in their communities and which may include an outline of suggested programs and services a county and municipal law enforcement department may initiate to address those special needs, such as the establishment of a senior citizens bureau within the department to provide and coordinate the community's senior citizens crime prevention programs and activities.
##### **§ 52:17B-77.5** Conduct of senior citizens crime prevention program at county level {#sec-52-17b-77.5 omnilex-key=us-nj-statutes--title-52--52:17B-77.5}
2. The Attorney General shall transmit a copy of the senior citizens crime prevention program developed pursuant to section 1 of this act to each county and municipal law enforcement department situated within the State. Each county prosecutor may conduct such informational and training seminars for county and municipal law enforcement officers as shall be deemed appropriate and necessary to effectively implement the senior citizens crime prevention program in the county.
##### **§ 52:17B-77.6** Liability to State law enforcement agency for training; terms defined. {#sec-52-17b-77.6 omnilex-key=us-nj-statutes--title-52--52:17B-77.6}
4. a. If a person who was appointed to a State law enforcement agency resigns and is subsequently appointed to a county or municipal law enforcement agency, a police department of an educational institution pursuant to P.L.1970, c.211 (C.18A:6-4.2 et seq.), another State law enforcement agency or the New Jersey Transit Police Department pursuant to section 2 of P.L.1989, c.291 (C.27:25-15.1) within 120 days of resignation, and if that person held a probationary appointment at the time of resignation or held a permanent appointment for 30 days or less prior to resignation, the appointing county or municipal law enforcement agency, educational institution, State law enforcement agency or the New Jersey Transit Corporation shall be liable to the State law enforcement agency for the total certified costs incurred by the corporation in the examination, hiring, and training of the person.
b. If a person who was appointed to a State law enforcement agency resigns and is subsequently appointed to a county or municipal law enforcement agency, a police department of an educational institution pursuant to P.L.1970, c.211 (C.18A:6-4.2 et seq.), another State law enforcement agency or the New Jersey Transit Police Department pursuant to section 2 of P.L.1989, c.291 (C.27:25-15.1) within 120 days of resignation, and if that person held a permanent appointment for more than 30 days but less than two years at the time of resignation, the appointing county or municipal law enforcement agency, educational institution or State law enforcement agency, or the New Jersey Transit Corporation, shall be liable to the State law enforcement agency for one-half of the total certified costs incurred by the agency in the examination, hiring, and training of the person.
c. The appointing county or municipal law enforcement agency, educational institution, State law enforcement agency or the New Jersey Transit Corporation shall notify the former employer immediately upon the appointment of an employee formerly employed by the State law enforcement agency and shall reimburse the agency within 120 days of the receipt of the certified costs.
d. As used in this section:
"County or municipal law enforcement agency" means and includes, but is not limited to, a county or municipal police department or force, a county corrections department and a county sheriff's office.
"Examination costs" means and includes, but is not limited to, the costs of all qualifying examinations and public advertisements for these examinations.
"State law enforcement agency" means and includes, but is not limited to, the police department of a State agency and the State Department of Corrections, but does not include the State Police
"Training costs" means the police training course fees and the base salary received while attending the police training course as required by section 2 of P.L.1989, c.291 (C.27:25-15.1).
##### **§ 52:17B-77.7** Findings, declarations relative to Alzheimer's disease. {#sec-52-17b-77.7 omnilex-key=us-nj-statutes--title-52--52:17B-77.7}
1. The Legislature finds and declares that:
a. Alzheimer's disease is a progressive neurodegenerative disorder causing dementia and resulting in such conditions as anxiety, poor judgement, confusion, mood swings and loss of intellectual functioning;
b. Of the four million Americans currently diagnosed with Alzheimer's disease, 60% of them will become disoriented and wander off at some point during the disease;
c. If a person with Alzheimer's disease wanders off and is not found within the first 24 hours, there is a nearly 50% chance the person will be at risk for serious injury or death;
d. Safe Return is a national identification, support and registration program working in conjunction with local law enforcement agencies to safely return individuals with Alzheimer's disease and related disorders, who become lost, to their families and caregivers; and
e. It is in the interest of protecting the health and welfare of our State residents diagnosed with Alzheimer's disease and related disorders to establish a requirement that all State Police and local law enforcement personnel receive instruction on the utilization of the Safe Return program to facilitate the safe recovery of those who wander off and become lost.
##### **§ 52:17B-77.8** Training protocols for law enforcement for Safe Return Program. {#sec-52-17b-77.8 omnilex-key=us-nj-statutes--title-52--52:17B-77.8}
2. a. The Department of Law and Public Safety shall establish training protocols for the State Police and local law enforcement personnel in the utilization of the Safe Return program to facilitate the safe recovery of individuals with Alzheimer's disease and related disorders who wander off and become lost.
b. These training protocols shall include, but need not be limited to, the following:
(1) guidelines for identifying persons with Alzheimer's disease and related disorders;
(2) guidelines on communicating with persons with Alzheimer's disease and related disorders;
(3) guidelines for caring for persons with Alzheimer's disease and related disorders who become lost and disoriented; and
(4) guidelines for instruction on the procedures the Safe Return program uses in locating lost individuals with Alzheimer's disease and related disorders.
##### **§ 52:17B-77.9** In-service training. {#sec-52-17b-77.9 omnilex-key=us-nj-statutes--title-52--52:17B-77.9}
3. The State Police or a local law enforcement agency may provide in-service training of its personnel according to the training protocols established by the Department of Law and Public Safety pursuant to section 2 of P.L.2005, c.72 (C.52:17B-77.8) on the specialized needs of persons with Alzheimer's disease and related disorders who become lost.
##### **§ 52:17B-77.10** Rules, regulations. {#sec-52-17b-77.10 omnilex-key=us-nj-statutes--title-52--52:17B-77.10}
4. The Attorney General may, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt rules and regulations to effectuate the purposes of this act.
##### **§ 52:17B-77.11** Training programs. {#sec-52-17b-77.11 omnilex-key=us-nj-statutes--title-52--52:17B-77.11}
6. The appropriate agency head shall approve appropriate training programs for law enforcement officers, parole officers and any other persons charged with the enforcement of P.L.2007, c.219 (C.2C:43-6.6 et al.). Appropriate programs shall include, at a minimum, instruction in conducting investigations in which computers, telecommunications devices and other high technology instruments are utilized in the commission of sex offenses. The programs also may include instruction in techniques of forensic recovery, evidence preservation and analysis of data in computer systems seized because of criminal or unlawful activity.
##### **§ 52:17B-77.12** Required training concerning bias intimidation crimes for police officers. {#sec-52-17b-77.12 omnilex-key=us-nj-statutes--title-52--52:17B-77.12}
6. The Police Training Commission shall require all new police officers to complete two hours of training, which may include interactive training, in identifying, responding to, and reporting bias intimidation crimes. The Police Training Commission shall develop or revise the training course in consultation with the New Jersey Human Relations Council established pursuant to section 1 of P.L.1997, c.257 (C.52:9DD-8). The training course shall include the following topics:
a. features that identify or could identify a bias intimidation crime;
b. laws dealing with bias intimidation crimes;
c. law enforcement procedures, reporting, and documentation of bias intimidation crimes; and
d. techniques and methods to handle incidents of bias intimidation crimes, including training on how to deal sensitively with victims and referring victims of bias intimidation crimes to organizations that provide assistance and compensation to victims.
##### **§ 52:17B-77.13** Development, identification of uniform cultural diversity and implicit bias training course materials. {#sec-52-17b-77.13 omnilex-key=us-nj-statutes--title-52--52:17B-77.13}
1. a. The Department of Law and Public Safety shall develop or identify uniform cultural diversity and implicit bias training course materials and an online tutorial that shall include instruction designed to promote positive interaction with, and community outreach to, all residents within a community, including residents of all racial, ethnic, and religious backgrounds and lesbian, gay, bisexual, and transgender individuals residing within the community. Components of the training course materials and online tutorial shall include, but not be limited to, instruction on:
(1) the various cultural communities and the effects of diversity on community relations within a community;
(2) appropriate methods by which an officer may interact with people of various cultures and religions in the community, with an emphasis on officer safety skills and conflict resolution techniques;
(3) best practices in law enforcement techniques when analyzing and solving local neighborhood problems, meeting with community groups, and working with citizens on crime prevention programs;
(4) the impact that police diversity skills have on overall law enforcement effectiveness; and
(5) understanding implicit bias and employing strategies to eliminate unconscious biases that shape behavior and produce disparate treatment of individuals based on their race, ethnicity, religious belief, gender, gender identity, sexual orientation, socioeconomic status, or other characteristics.
b. The Department of Law and Public Safety shall cause the training course materials and online tutorial developed or identified pursuant to subsection a. of this section to be made available to every State, county, and municipal law enforcement department in the State and to each campus police department at an institution of higher education in the State that appoints police officers pursuant to P.L.1970, c.211 (C.18A:6-4.2 et seq.) for use in providing officer training and information promoting community outreach efforts within the law enforcement department's community.
c. The Department of Law and Public Safety shall periodically assess the training course materials and online tutorial developed or identified pursuant to subsection a. of this section and update them where the department finds appropriate.
##### **§ 52:17B-77.14** Provision of in-service training. {#sec-52-17b-77.14 omnilex-key=us-nj-statutes--title-52--52:17B-77.14}
2. Every State, county, and municipal law enforcement department in the State and every campus police department at an institution of higher education in the State that appoints police officers pursuant to P.L.1970, c.211 (C.18A:6-4.2 et seq.) shall provide once every five years in-service training of its personnel utilizing the training course materials or online tutorial developed or identified by the Department of Law and Public Safety pursuant to section 1 of P.L.2016, c.23 (C.52:17B-77.13).
##### **§ 52:17B-77.15** Training curriculum to prevent suicide committed by law enforcement officers. {#sec-52-17b-77.15 omnilex-key=us-nj-statutes--title-52--52:17B-77.15}
1. a. The Department of Law and Public Safety, in consultation with the Department of Human Services, shall establish a training curriculum designed to prevent suicide committed by law enforcement officers. The issues addressed in the training curriculum shall include, but not be limited to, the causes, behaviors, warning signs, and risk factors associated with officer suicide. In addition, the training curriculum shall:
1) identify appropriate intervention strategies to be used by law enforcement departments to effectively prevent officer suicide; and
2) provide information concerning programs that offer crisis intervention and counseling services to law enforcement officers.
b. The training curriculum established pursuant to subsection a. of this section shall be made available to each State, county, and municipal law enforcement department and each campus police department at an institution of higher education that appoints law enforcement officers pursuant to P.L.1970, c.211 (C.18A:6-4.2 et seq.) to be used as part of in-service training provided to each law enforcement officer in this State. The in-service training shall be administered to each law enforcement officer once every five years following the officer's date of initial appointment.
##### **§ 52:17B-77.16** Report of incident of completed suicide by a law enforcement officer. {#sec-52-17b-77.16 omnilex-key=us-nj-statutes--title-52--52:17B-77.16}
2. a. The chief law enforcement officer or the chief law enforcement officer's designee of each State, county, and municipal law enforcement agency and campus police department at an institution of higher education that appoints law enforcement officers pursuant to P.L.1970, c.211 (C.18A:6-4.2 et seq.) shall report within a reasonable time to the Office of the Attorney General, in a manner prescribed by the Attorney General, any incident of a completed suicide by a law enforcement officer employed by their respective agency or department. The report shall include:
(1) the month and year during which the law enforcement officer's death occurred;
(2) the law enforcement officer's age, salary, and length of service with the law enforcement agency at the time of the officer's death;
(3) the race and gender of the law enforcement officer;
(4) any known facts pertaining to the cause or method of suicide; and
(5) the veteran status and level of education of the law enforcement officer;
b. The report required pursuant to subsection a. of this section shall not identify the law enforcement officer by name or date of birth.
c. The Attorney General shall aggregate the data provided pursuant to subsection a. of this section, which aggregated data shall be made publicly available for use in suicide prevention and intervention studies.
d. The reporting of a suicide pursuant to this section shall not replace or alter any other requirement of law, professional standard, or obligation that requires the law enforcemnt agency to evaluate a death or report a suicide.
##### **§ 52:17B-77.16a** Notification of appointment, employment, separation, suspension, certain sustained findings. {#sec-52-17b-77.16a omnilex-key=us-nj-statutes--title-52--52:17B-77.16a}
16. a. The chief law enforcement officer of an employing law enforcement unit shall notify the commission in writing, on a form prescribed by the commission, of a law enforcement officer's appointment to or employment with the law enforcement unit, which shall include the commencement date of such appointment or employment.
b. The chief law enforcement officer of an employing law enforcement unit shall notify the commission, in writing, on a form prescribed by the commission, of the following employment actions concerning a law enforcement officer:
(1) the separation from appointment or employment with the law enforcement unit, which includes any firing, termination, resignation, retirement, or voluntary or involuntary extended leave of absence, which notice shall include the date of separation;
(2) the imposition of any discipline subject to appeal;
(3) any suspension of more than five days or 40 hours duration, imposed pending investigation or disciplinary action;
(4) any sustained finding that a law enforcement officer used excessive force;
(5) any pending criminal charge or conviction of any crime, disorderly persons, petty disorderly persons, or driving while intoxicated offense;
(6) any sustained finding that a law enforcement officer is unfit for duty;
(7) any sustained finding that the law enforcement officer filed a false report or submitted a false certification in any criminal, administrative, employment, financial, or insurance matter in the officer's professional or personal life;
(8) any sustained finding that the law enforcement officer mishandled or destroyed evidence;
(9) any sustained finding that the law enforcement officer was untruthful or demonstrated a lack of candor; and
(10) any sustained finding that the law enforcement officer is biased against a particular class of people based on race, creed, color, national origin, ancestry, sex, marital status, sexual orientation, gender identity or expression, or any other protected characteristic under the "Law Against Discrimination," P.L.1945, c.169 (C.10:5-1 et seq.).
In addition to the completed form, the employing law enforcement unit shall provide additional supporting information and documentation as may be required by the commission. The employing law enforcement unit shall maintain the original form and submit, or electronically transmit, the information required under this subsection to the commission within two business days of the employment action. Notwithstanding any other provision of law, the completed forms and information submitted to the commission pursuant to this section shall not, by virtue of having been required pursuant to this section, constitute a public record under P.L.1963, c.73 (C.47:1A-1 et seq.) or a government record subject to access pursuant to P.L.2001, c.404 (C.47:1A-5 et seq.), but shall be accessible when otherwise required to be disclosed by law.
c. In a case of separation from employment, the employing law enforcement unit shall execute and maintain a form adopted by the commission, setting forth in detail the facts and reasons for the separation. The information contained in the form shall be submitted, or electronically transmitted, to the commission within two business days. If the officer is separated for the officer's failure to comply with the provisions of P.L.2022, c.65 (C.52:17B-71a et al.), the notice shall specify this. Any law enforcement officer who has separated from employment for cause shall be permitted to respond to the separation, in writing, to the commission, setting forth the facts and reasons for the separation as the officer understands them. The response shall be submitted to the commission within two business days of the separation.
d. Before employing a licensed law enforcement officer, a subsequent employing law enforcement unit shall contact the commission to inquire as to the facts and reasons an officer was separated from any previous employing unit. The commission shall, upon request and without prejudice, provide to the subsequent employing law enforcement unit all information that is required under subsections a., b., and c. of this section that is in its possession. Notwithstanding this provision, a law enforcement unit seeking to hire a law enforcement officer shall comply with the provisions of section 1 of P.L.2020, c.52 (C.52:17B-247) and request that officer's internal affairs and personnel files from the officer's previous employing law enforcement units.
e. Whenever a law enforcement officer voluntarily separates from employment with a law enforcement unit to commence employment at another unit, the chief law enforcement officer of the former law enforcement unit shall notify the commission in writing in advance, if possible, but no later than two business days after the officer's departure. Upon separation from employment, the law enforcement officer's license shall be placed on inactive status, unless the commission has previously acted to approve the officer's active status at the new employing law enforcement unit. The chief law enforcement officer of that unit shall make application to the commission, in a manner prescribed by the commission, through its regulations, prior to or within two business days of the officer's appointment date to restore the officer's license to active status. The commission shall consider the application and render a decision concerning the reactivation of the officer's license.
f. It shall be unlawful for any State, county, or municipal agency, law enforcement unit, or licensed law enforcement officer to enter into any non-disclosure agreement which seeks to conceal or prevent public review of the circumstances under which the officer separated from or was terminated or fired from employment by the law enforcement unit or State, county, or municipal agency.
##### **§ 52:17B-77.17** Adoption of course by Police Training Commission. {#sec-52-17b-77.17 omnilex-key=us-nj-statutes--title-52--52:17B-77.17}
17. a. (1) The Police Training Commission in the Department of Law and Public Safety shall adopt a training course regarding law enforcement interactions with persons under the lawful age to purchase alcoholic beverages or cannabis items based upon the legalization of a personal use cannabis marketplace pursuant to the "New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act," P.L.2021, c.16 (C.24:6I-31 et al.), the decriminalization of marijuana and hashish pursuant to P.L.2021, c.16 (C.24:6I-31), and the enforcement of violations of applicable statutes associated with the underage possession or consumption of alcoholic beverages, marijuana, hashish, or cannabis items pursuant to those enactments and the companion enactment, P.L.2021, c.25 (C.2C:30-6.1 et al.), and which includes the recognition of and methods to address and avoid racial disparities and implicit bias, and means for interacting with vulnerable juvenile populations. The training course shall be administered by the employing agency as part of the in-service training provided to each local police officer in each law enforcement unit operating in this State.
(2) Prior to being appointed to permanent status as a local police officer in a law enforcement unit, an individual shall be required to complete the training course adopted under paragraph (1) of this subsection. Every local police officer appointed prior to the effective date of this section shall, within 18 months of that effective date, satisfactorily complete a training course on law enforcement interactions as described in paragraph (1) of this subsection.
(3) The Police Training Commission shall adopt rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of this subsection.
b. Within 45 days of the effective date of P.L.2021, c.25 (C.2C:30-6.1 et al.), the Attorney General shall prepare a notice explaining the provisions of the enactments set forth in paragraph (1) of subsection a. of this section pertaining to persons under the lawful age to purchase alcoholic beverages or cannabis items and the violations of applicable statutes associated with the underage possession or consumption of alcoholic beverages, marijuana, hashish, or cannabis items, and transmit the notice to the chief or director of every municipal police department, every municipal prosecutor, every county prosecutor, and the Superintendent of the New Jersey State Police. The notice shall be disseminated to every law enforcement officer and shall be re-enforced at roll calls and academy service training and continuing education programs so as to ensure that all officers and prosecutors are educated of their responsibilities under the relevant enactments.
##### **§ 52:17B-77.18** "Low-income community" defined; Civil Service Commission program creation for preparatory courses, funding, law enforcement examinations. {#sec-52-17b-77.18 omnilex-key=us-nj-statutes--title-52--52:17B-77.18}
2. a. For the purposes of this section, "low-income community" means any population census tract in which:
(1) the poverty rate for such tract is at least 20 percent, or
(2) (a) in the case of a tract not located within a metropolitan area, the median family income for such tract does not exceed 80 percent of statewide median family income, or
(b) in the case of a tract located within a metropolitan area, the median family income for such tract does not exceed 80 percent of the greater of statewide median family income or the metropolitan area median family income.
b. The Civil Service Commission shall create a program with a goal of achieving at least one of the following two objectives:
(1) sponsoring free or low-cost preparatory courses for the entry level law enforcement examination for residents of any low-income community or of any municipality in this State with at least one "qualified opportunity zone" as determined under 26 U.S.C. 1400Z-1; or
(2) providing, securing, or identifying scholarships for alternate route programs or preparatory courses for the entry level law enforcement examination for residents of any low-income community or of any municipality in this State with at least one "qualified opportunity zone" as determined under 26 U.S.C. 1400Z-1.
The commission, or a designee thereof, is authorized to receive gifts, grants, or other financial assistance from private sources for the purpose of sponsoring the courses or funding the scholarships offered pursuant to this section, and entering into agreements related thereto with private sources, including but not limited to non-governmental, non-profit, educational, or charitable entities or institutions.
c. The commission may promulgate regulations to effectuate the provisions of this section which shall be effective immediately upon filing with the Office of Administrative Law for a period not to exceed 18 months, and may, thereafter, be amended, adopted or readopted in accordance with the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:17B-77.19** State correctional police officer training, infusion of concept of inmate dignity, fairness, respect. {#sec-52-17b-77.19 omnilex-key=us-nj-statutes--title-52--52:17B-77.19}
1. a. The Police Training Commission shall, pursuant to its statutory authority to certify correctional police officers as set forth in subsection e. of section 6 of P.L.1961, c.56 (C.52:17B-70), establish and incorporate throughout the required basic training course for State correctional police officers the concept that the core mission of these officers is to treat every inmate with dignity, fairness, and respect.
b. To implement the core mission established in subsection a. of this section, the commission shall ensure that the basic training course for State correctional police officers includes, at a minimum, comprehensive training and education on the following topics:
(1) de-escalation, including training in interacting with combative or threatening inmates and inmates experiencing mental health crises;
(2) minimization of use of force against inmates;
(3) cultural diversity and implicit bias;
(4) appropriate methods of engaging with inmates of diverse cultures and religions and inmates who are members of the lesbian, gay, bisexual, transgender, and questioning (LGBTQ) community and gender nonconforming inmates;
(5) the rights of inmates;
(6) lifestyle stressors, self-awareness, and self-regulation;
(7) maintaining officer and inmate safety;
(8) communication skills; and
(9) any other topic deemed necessary by the commission to advance the core mission of treating inmates with dignity, fairness, and respect.
##### **§ 52:17B-77.20** Training for law enforcement. {#sec-52-17b-77.20 omnilex-key=us-nj-statutes--title-52--52:17B-77.20}
4. The Police Training Commission shall develop and include barricaded individual training for law enforcement officers in all of its basic training courses. This mandatory training shall include proper identification of barricaded individuals, responses to barricaded individual and hostage situations, and interacting with individuals in behavioral and mental health crises.
##### **§ 52:17B-88a** Facility where patient died, provision of information relative to next-of-kin to medical examiner. {#sec-52-17b-88a omnilex-key=us-nj-statutes--title-52--52:17B-88a}
1. In the case of the death of a resident of a long-term care facility licensed by the Department of Health and Senior Services pursuant to P.L.1971, c.136 (C.26:2H-1 et seq.), a State psychiatric hospital operated by the Department of Human Services and listed in R.S.30:1-7, a county psychiatric hospital, a facility for persons with developmental disabilities as defined in section 3 of P.L.1977, c.82 (C.30:6D-3), or a facility for persons with traumatic brain injury as defined in 42 U.S.C. s.280b-1c that is operated by or under contract with the Department of Human Services, the psychiatric hospital or facility, as the case may be, shall, in addition to notifying the next-of-kin of the resident's death, so notify the county medical examiner and provide the county medical examiner with contact information for the resident's next-of-kin. The county medical examiner, or a deputy or assistant county medical examiner or investigator on his behalf, shall make every practicable effort to contact the resident's next-of-kin to offer that person the opportunity to provide the medical examiner with information that the person deems relevant to: the circumstances of the resident's death; and whether there is a need to perform a dissection or autopsy of the decedent.
##### **§ 52:17B-95** Racing Commission transferred {#sec-52-17b-95 omnilex-key=us-nj-statutes--title-52--52:17B-95}
The New Jersey Racing Commission, transferred to and constituted as the Division of the New Jersey Racing Commission in the Department of the Treasury by P.L.1948, chapter 92, section 29 (C. 52:18A-29), together with all its functions, powers and duties, is continued and transferred and constituted the Division of the New Jersey Racing Commission in the Department of Law and Public Safety. This act shall not affect the terms of office of the present members of the commission. The commission shall continue to be constituted and the members thereof shall continue to be appointed as provided by existing law.
##### **§ 52:17B-96** Repeal of inconsistent acts {#sec-52-17b-96 omnilex-key=us-nj-statutes--title-52--52:17B-96}
Section 29 of the "Department of the Treasury Act of 1948" (P.L.1948, c. 92) is repealed and the remaining parts of said act, or of any other act, inconsistent with this act are superseded.
##### **§ 52:17B-97** Short title {#sec-52-17b-97 omnilex-key=us-nj-statutes--title-52--52:17B-97}
This act shall be known and may be cited as the "Criminal Justice Act of 1970."
##### **§ 52:17B-98** Declarations of policy {#sec-52-17b-98 omnilex-key=us-nj-statutes--title-52--52:17B-98}
The Legislature recognizes that the existence of organized crime presents a serious threat to our political, social and economic institutions and helps bring about a loss of popular confidence in the agencies of government. Accordingly, it is hereby declared to be the public policy of this State to encourage cooperation among law enforcement officers and to provide for the general supervision of criminal justice by the Attorney General as chief law enforcement officer of the State, in order to secure the benefits of a uniform and efficient enforcement of the criminal law and the administration of criminal justice throughout the State. All the provisions of this act shall be liberally construed to achieve these ends and administered and enforced with a view to carrying out the above declaration of policy.
##### **§ 52:17B-99** Division of criminal justice {#sec-52-17b-99 omnilex-key=us-nj-statutes--title-52--52:17B-99}
There is hereby established in the State Department of Law and Public Safety the Division of Criminal Justice. The division shall be under the immediate supervision of a director who shall be appointed by and serve at the pleasure of the Attorney General and who shall administer the work of the division under the direction and supervision of the Attorney General. The Attorney General shall fix the compensation of the director within the limits of available appropriations.
##### **§ 52:17B-100** Organization of division; classification of employees. {#sec-52-17b-100 omnilex-key=us-nj-statutes--title-52--52:17B-100}
4. a. The Attorney General shall organize the work of the division in such bureaus and other organizational units as he may determine to be necessary for efficient and effective operation and shall assign to the division such employees in the Department of Law and Public Safety as may be necessary to assist the director in the performance of his duties.
b. All employees of the division, except for secretarial and clerical personnel, shall be in the unclassified service of the civil service of the State. All unclassified employees of the division , except for State investigators appointed pursuant to section 1 of P.L.1977, c.275 (C.52:17B-100.1), shall be deemed confidential employees for the purposes of the "New Jersey Employer-Employee Relations Act", P.L.1941, c.100 (C.34:13A-1 et seq.).
##### **§ 52:17B-100.1** State investigators; appointment; term of office; duties, powers and rights {#sec-52-17b-100.1 omnilex-key=us-nj-statutes--title-52--52:17B-100.1}
1. There is hereby created in the Division of Criminal Justice the office or position of State Investigator which shall be in the career service of the civil service. The Attorney General may appoint such number of suitable persons to serve as State investigators as are necessary to assist in the detection, apprehension, arrest, and conviction of offenders against the law. Persons so appointed shall possess all the powers and rights and be subject to all the obligations of police officers, constables, and special deputy sheriffs in criminal matters. The Division of Criminal Justice and the Civil Service Commission shall convert the titles of all employees in the position of State Investigator on the effective date of P.L.2025, c.351 from the unclassified to the career service.
##### **§ 52:17B-101** Functions, powers and duties of attorney general; enforcement of criminal business {#sec-52-17b-101 omnilex-key=us-nj-statutes--title-52--52:17B-101}
All the functions, powers and duties of the Attorney General relating or pertaining to the enforcement and prosecution of the criminal business of the State and of any county of the State shall be exercised by the Attorney General through the Division of Criminal Justice established hereunder.
##### **§ 52:17B-102** Remaining powers and duties of attorney general {#sec-52-17b-102 omnilex-key=us-nj-statutes--title-52--52:17B-102}
The powers and duties of the Attorney General with respect to the enforcement of the criminal laws of the State shall be the powers and duties now or hereafter conferred upon or required of the Attorney General, either by the Constitution or by the common or statutory law of the State, and as specifically but not exclusively detailed in this act.
##### **§ 52:17B-103** Consultation with and supervision over county prosecutors; uniform enforcement of criminal laws {#sec-52-17b-103 omnilex-key=us-nj-statutes--title-52--52:17B-103}
The Attorney General shall consult with and advise the several county prosecutors in matters relating to the duties of their office and shall maintain a general supervision over said county prosecutors with a view to obtaining effective and uniform enforcement of the criminal laws throughout the State. He may conduct periodic evaluations of each county prosecutor's office including audits of funds received and disbursed in the office of each county prosecutor.
##### **§ 52:17B-104** County without county prosecutor; duties of attorney general {#sec-52-17b-104 omnilex-key=us-nj-statutes--title-52--52:17B-104}
The Attorney General shall prosecute the criminal business of the State in any county having no county prosecutor.
##### **§ 52:17B-105** Assistance of attorney general; request; action {#sec-52-17b-105 omnilex-key=us-nj-statutes--title-52--52:17B-105}
Any county prosecutor may request in writing the assistance of the Attorney General in the conduct of any criminal investigation or proceeding. The Attorney General may thereafter take whatever action he deems necessary to assist the county prosecutor in the discharge of his duties. Whenever the Attorney General shall take any such action, he shall be authorized to exercise all the powers and perform all the duties which by law are conferred upon or required of the county prosecutor making such request.
##### **§ 52:17B-106** Supersedure of county prosecutor {#sec-52-17b-106 omnilex-key=us-nj-statutes--title-52--52:17B-106}
Whenever requested in writing by the Governor, the Attorney General shall, and whenever requested in writing by a grand jury or the board of chosen freeholders of a county or the assignment judge of the superior court for the county, the Attorney General may supersede the county prosecutor for the purpose of prosecuting all of the criminal business of the State in said county, intervene in any investigation, criminal action, or proceeding instituted by the county prosecutor, and appear for the State in any court or tribunal for the purpose of conducting such investigations, criminal actions or proceedings as shall be necessary for the protection of the rights and interests of the State.
Whenever the Attorney General shall have superseded a county prosecutor as aforesaid, the county prosecutor, the assistant county prosecutors and other members of the staff of the county prosecutor shall exercise only such powers and perform such duties as are required of them by the Attorney General.
##### **§ 52:17B-107** Appearance of attorney general for state in investigations, criminal actions or proceedings {#sec-52-17b-107 omnilex-key=us-nj-statutes--title-52--52:17B-107}
11. a. (1) Whenever in the opinion of the Attorney General the interests of the State will be furthered by so doing, the Attorney General may (a) supersede a county prosecutor in any investigation, criminal action or proceeding, (b) participate in any investigation, criminal action or proceeding, or (c) initiate any investigation, criminal action or proceeding.
(2) Whenever a person's death occurs during an encounter with a police officer or other law enforcement officer acting in the officer's official capacity or while the decedent was in custody, the Attorney General shall supersede the county prosecutor of the county in which the incident occurred for the purpose of conducting, personally or by a designated deputy or assistant attorney general, any investigation, criminal action or proceeding concerning the incident. The Attorney General or designee shall present evidence concerning the incident to a county grand jury impaneled pursuant to N.J.S.2B:21-1 et seq., or a State grand jury, either one regularly impaneled or one requested to be impaneled by the Attorney General or the Director of the Division of Criminal Justice pursuant to N.J.S.2B:22-1 for this specific purpose, in order to determine if the evidence supports the return of an indictment against the officer. Any further investigation, criminal action or proceeding, following an indictment, shall be conducted under the law as any other investigation, criminal action or proceeding resulting from a grand jury indictment; provided that, pursuant to either N.J.S.2B:21-7 or N.J.S.2B:22-7, as applicable, the venue for any action or proceeding shall be a court or tribunal located in a county other than the county in which the incident, resulting in the officer's indictment, occurred.
In such instances of supersession, except as provided in paragraph (2) of this subsection, the Attorney General or designated deputy or assistant attorney general may appear for the State in any court or tribunal for the purpose of conducting such investigations, criminal actions or proceedings as shall be necessary to promote and safeguard the public interests of the State and secure the enforcement of the laws of the State.
b. The Attorney General may in his discretion act for any county prosecutor in representing the interests of the State in any and all appeals and applications for post-conviction remedies.
##### **§ 52:17B-107.1** Law enforcement identity subject to public disclosure {#sec-52-17b-107.1 omnilex-key=us-nj-statutes--title-52--52:17B-107.1}
2. Whenever a person's death occurs during an encounter with a police officer or other law enforcement officer acting in the officer's official capacity or while the decedent was in custody, requiring the Attorney General to supersede the county prosecutor of the county in which the incident occurred for the purpose of conducting any investigation, criminal action or proceeding concerning the incident in accordance with paragraph (2) of subsection a. of section 11 of P.L.1970, c.74 (C.52:17B-107), the identity of each investigating and arresting officer shall remain subject to public disclosure pursuant to the provisions of P.L.1963, c.73 (C.47:1A-1 et seq.).
##### **§ 52:17B-108** Attorney General to have power and authority of prosecutor; appointment of assistants; payment for services {#sec-52-17b-108 omnilex-key=us-nj-statutes--title-52--52:17B-108}
12. Whenever the Attorney General, personally or by his deputies or assistants, shall attend in any county for the prosecution of all or any part of the criminal business of the State in said county, he shall have all the power and authority of the county prosecutor, including the investigation of alleged crimes, the attendance before the criminal courts and grand juries of the county, the preparation and trial of indictments for crimes, the representation of the State in all proceedings in criminal cases on appeal or otherwise in the courts of this State, and in addition, shall have the power to appoint such temporary assistants, aides, investigators or other personnel and incur such expenses as he shall deem necessary.
Whenever the criminal business or any part of the criminal business of any county is prosecuted by the Attorney General, personally or by his deputies or assistants, there shall be paid by the treasurer of the county such sum for that service, including the compensation of any deputy or assistant Attorney General, as the assignment judge of the Superior Court of the county shall certify and fix on the application of the Attorney General; provided that the compensation allowed shall not exceed that provided by law for the payment by said county for the same or similar services.
##### **§ 52:17B-109** Powers and duties of county prosecutor {#sec-52-17b-109 omnilex-key=us-nj-statutes--title-52--52:17B-109}
Except as provided in this act, the powers and duties conferred upon or required of the Attorney General by this act shall not be construed to deprive the county prosecutors of any of their authority in respect to criminal prosecutions, or relieve them from any of their duties to enforce the criminal laws of the State.
##### **§ 52:17B-110** Removal of county prosecutor from office {#sec-52-17b-110 omnilex-key=us-nj-statutes--title-52--52:17B-110}
In addition to any and all methods now provided by law for the removal from office of a county prosecutor, a county prosecutor may be removed from office by the Governor for cause after a public hearing and upon due notice and an opportunity to be heard in his defense.
##### **§ 52:17B-111** Reports {#sec-52-17b-111 omnilex-key=us-nj-statutes--title-52--52:17B-111}
a. The Attorney General shall annually submit to the Governor and to the Legislature a report setting forth the activities of the Division of Criminal Justice during the preceding calendar year, together with suggestions and recommendations for the adequate and uniform enforcement of the criminal laws of the State. The Attorney General shall include in his report an abstract of the annual reports of the several county prosecutors.
b. Each county prosecutor shall annually submit to the Attorney General a written report for the last preceding calendar year, covering such items of information and such dispositions of complaints, investigations, criminal actions and proceedings as the Attorney General shall prescribe. The Attorney General may also require the several county prosecutors to submit, from time to time, reports as to any matters pertaining to the duties of their office.
##### **§ 52:17B-111.1** Attorney General to establish a program to collect, record, analyze data regarding certain defendants. {#sec-52-17b-111.1 omnilex-key=us-nj-statutes--title-52--52:17B-111.1}
1. a. The Attorney General, in consultation with the Division of State Police, county prosecutors offices, Administrative Office of the Courts, and Department of Corrections, shall establish a program to collect, record, and analyze data regarding defendants in this State who are age 18 or older at the time of the commission of an alleged indictable offense or disorderly persons offense. In furtherance of this program, the Attorney General shall compile data collected from the time a defendant enters the State's criminal justice system, by arrest, charge, or other action, through the final disposition of the defendant's case. The data shall include information concerning the race, ethnicity, gender, and age of the defendant and be compiled in accordance with the standards of the classification of federal data on race and ethnicity established by the federal Office of Management and Budget. The data shall include, but not be limited to, data concerning:
(1) warrants, arrests, charges, filing of criminal complaints, and indictments;
(2) dismissed or downgraded charges;
(3) cases which proceed to trial, and the disposition of cases, including convictions and guilty pleas;
(4) admission to diversionary programs, including data on program applications, and any prosecutorial or court consent or denial for a defendant's entry into diversionary programs;
(5) cases involving victims, including the race, ethnicity, gender, and age of the defendant and victims in those cases;
(6) plea agreement negotiations, including data concerning plea offers extended and accepted or rejected by the defendant, plea agreements entered or rejected by the court, and whether the plea agreements involved probation or incarceration;
(7) court fees and fines; and
(8) restitution amounts ordered, including any amount collected by the court and paid to a victim.
b. The Division of State Police, county prosecutor's offices, Administrative Office of the Courts, Department of Corrections, Office of the Public Defender, and county and municipal police departments shall cooperate with the Attorney General in the implementation of this program, and shall assist in the collection, recording, compilation and provision of data in furtherance of the program to the extent and in the manner required by the Attorney General.
c. Nothing in this section shall be construed to authorize the disclosure of any confidential or personal identifying information. For the purposes of this section, "personal identifying information" shall include, but not be limited to, name and any aliases, address, social security number, telephone number, fax number, driver's license number, email address, or social media address of any defendant or victim.
d. The Attorney General shall prepare and publish on its Internet website annual reports summarizing the data collected, recorded, and analyzed pursuant to this section.
e. The Attorney General shall, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), annually prepare and transmit to the Governor and the Legislature the reports required in this section.
f. The Attorney General may utilize the services of any public or private entity or entities for the performance of activities in furtherance of the program established under this section, and may enter into agreements for those purposes as the Attorney General deems advisable.
##### **§ 52:17B-112** Cooperation with attorney general by law enforcement officers {#sec-52-17b-112 omnilex-key=us-nj-statutes--title-52--52:17B-112}
a. It shall be the duty of the several county prosecutors to cooperate with and aid the Attorney General in the performance of his duties.
b. It shall be the duty of the police officers of the several counties and municipalities of this State and all other law enforcement officers to cooperate with and aid the Attorney General and the several county prosecutors in the performance of their respective duties.
c. The Attorney General may, from time to time, and as often as may be required, call into conference the county prosecutors, the chiefs of police of the several counties and municipalities and any other law enforcement officers of this State or such of them as he may deem advisable, for the purpose of discussing the duties of their respective offices with a view to the adequate and uniform enforcement of the criminal laws of this State.
##### **§ 52:17B-113** Studies and surveys {#sec-52-17b-113 omnilex-key=us-nj-statutes--title-52--52:17B-113}
The Attorney General is authorized and empowered to make studies and surveys of the organization, procedures and methods of operation and administration of all law enforcement agencies within the State, including any bi-State agency, with a view toward preventing crime, improving the administration of criminal justice, and securing the improved enforcement of the criminal law.
##### **§ 52:17B-114** Construction of act {#sec-52-17b-114 omnilex-key=us-nj-statutes--title-52--52:17B-114}
This act is declared to be supplementary to all existing acts, excepting those specifically repealed by section 22, and shall be interpreted as conferring independent authority, unconditioned by any existing act.
##### **§ 52:17B-115** Employee rights {#sec-52-17b-115 omnilex-key=us-nj-statutes--title-52--52:17B-115}
Nothing in this act shall be construed to deprive any person of any tenure rights or of any right or protection provided him by Title 11 of the Revised Statutes, Civil Service, or under any pension law or retirement system.
##### **§ 52:17B-116** Repealer {#sec-52-17b-116 omnilex-key=us-nj-statutes--title-52--52:17B-116}
N.J.S. 2A:158-14, sections 5 and 15 of P.L.1944, chapter 20 (C. 52:17A-5, C. 52:17A-15) and all acts and parts of acts inconsistent with any of the provisions of this act are, to the extent of such inconsistency, superseded and repealed.
##### **§ 52:17B-117** Partial invalidity {#sec-52-17b-117 omnilex-key=us-nj-statutes--title-52--52:17B-117}
If any clause, sentence, paragraph or part of this act be adjudged by a court of competent jurisdiction to be invalid, such judgment shall not affect, impair or invalidate the remainder of this act, and it is hereby declared to be the legislative intent that this act would have been adopted had such invalid provision not been included herein.
##### **§ 52:17B-118** Short title {#sec-52-17b-118 omnilex-key=us-nj-statutes--title-52--52:17B-118}
This act shall be known and may be cited as the "Consumer Affairs Act of 1971."
##### **§ 52:17B-119** Declaration of policy {#sec-52-17b-119 omnilex-key=us-nj-statutes--title-52--52:17B-119}
The Legislature recognizes that closer coordination among the various State agencies dealing with consumer affairs will substantially enhance the effectiveness of the State's efforts to adequately protect the interests of New Jersey consumers. Accordingly it is hereby declared to be the public policy of this State to secure the benefits of a uniform and efficient enforcement of the State's public protection laws and administration of consumer affairs throughout the State. All the provisions of this act shall be liberally construed to achieve these ends and administered and enforced with a view to carrying out the above declaration of policy.
##### **§ 52:17B-120** Division of consumer affairs; director; appointment; salary {#sec-52-17b-120 omnilex-key=us-nj-statutes--title-52--52:17B-120}
There is hereby established in the State Department of Law and Public Safety the Division of Consumer Affairs. The division shall be under the immediate supervision of a director who shall administer the work of the division under the direction and supervision of the Attorney General. He shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve at the pleasure of the Governor. The Director of the Division of Consumer Affairs shall receive such salary as shall be determined by the Attorney General within the limits of available appropriations, and he shall devote his entire time and attention to the duties of his office.
##### **§ 52:17B-121** Organization; employees {#sec-52-17b-121 omnilex-key=us-nj-statutes--title-52--52:17B-121}
The Attorney General shall organize the work of the division in such bureaus and other organizational units as he may determine to be necessary for efficient and effective operation and shall assign to the division such employees in the Department of Law and Public Safety as may be necessary to assist the director in the performance of his duties.
##### **§ 52:17B-122** Powers of attorney general; investigations; rules and regulations; hearing examiners {#sec-52-17b-122 omnilex-key=us-nj-statutes--title-52--52:17B-122}
To effectuate the purposes of this act and in addition to any other powers and duties provided in or by this act, the Attorney General:
a. May, personally or through his designee, issue subpoenas to any person, administer an oath or affirmation to any person, conduct hearings in aid of any investigation or inquiry, and promulgate such rules and regulations as may be necessary, all of which shall have the force of law;
b. Shall appoint such qualified hearing examiners as may be necessary to exercise the functions, duties, and powers of the Division of Consumer Affairs. Each hearing examiner shall serve at the pleasure of the Attorney General. The director of the division may designate in his place any hearing examiner to conduct any hearing and recommend findings of fact and conclusions of law. The hearing examiner shall receive such compensation as may be determined by the Attorney General, subject to available appropriations.
##### **§ 52:17B-123** Division of weights and measures; transfer of powers, functions and duties {#sec-52-17b-123 omnilex-key=us-nj-statutes--title-52--52:17B-123}
All the functions, powers, and duties of the Division of Weights and Measures, in the Department of Law and Public Safety (C. 52:17B-23 et seq.), are transferred to the Division of Consumer Affairs established hereunder.
##### **§ 52:17B-124** Office of consumer protection; transfer of functions, powers and duties {#sec-52-17b-124 omnilex-key=us-nj-statutes--title-52--52:17B-124}
All the functions, powers, and duties, including the functions, powers, and duties of the Attorney General derived from chapter 39 of the laws of 1960 (C. 56:8-1 et seq.) as amended or supplemented, of the Office of Consumer Protection in the Department of Law and Public Safety (C. 52:17B-5.6 et seq.) are transferred to the Division of Consumer Affairs established hereunder.
##### **§ 52:17B-124.1** Physician required to report toy related death or injury {#sec-52-17b-124.1 omnilex-key=us-nj-statutes--title-52--52:17B-124.1}
1. Whenever any physician has before him a person whose injury or death he determines to be, or reasonably suspects may be, toy related he shall, in accordance with the rules and regulations promulgated pursuant to section 2 of this act, report his findings to the Director of the Division of Consumer Affairs in the Department of Law and Public Safety.
The director of any hospital, health-care facility, health maintenance organization, public health center, medical center, or emergency medical treatment facility wherein any physician has made such a determination, or has such a reasonable suspicion, as to whether an injury or death is toy related, shall, in accordance with the rules and regulations promulgated pursuant to section 2 of this act, report that physician's findings to the director.
The director shall review, organize and keep a record of the information set forth in the reports of toy related injuries and deaths submitted by physicians pursuant to this section.
The director, on a regular basis, shall make the information recorded pursuant to this section available to the United States Consumer Product Safety Commission for inclusion in its Injury or Potential Injury Incident Data Base. The information so recorded shall also be made available to the public for a fee determined to be reasonable by the director.
If, on the basis of his review, the director shall determine that a specific toy or item poses an immediate danger or potential threat to the safety of the citizens of this State, he shall immediately issue a public notice, warning the public of his findings concerning that toy or item.
##### **§ 52:17B-125** Bureau of securities; transfer of functions, powers and duties {#sec-52-17b-125 omnilex-key=us-nj-statutes--title-52--52:17B-125}
All the functions, powers, and duties of the Bureau of Securities in the Department of Law and Public Safety (C. 49:3-66 et seq.) are transferred to the Division of Consumer Affairs established hereunder.
##### **§ 52:17B-126** Division of professional boards; transfer of functions, powers and duties to division of consumer affairs {#sec-52-17b-126 omnilex-key=us-nj-statutes--title-52--52:17B-126}
All the functions, powers, and duties of the Division of Professional Boards, in the Department of Law and Public Safety (C. 52:17B-29 et seq.) including those of the boards and agencies contained therein, are transferred to the Division of Consumer Affairs established hereunder.
##### **§ 52:17B-127** Continuance of boards within division of professional boards {#sec-52-17b-127 omnilex-key=us-nj-statutes--title-52--52:17B-127}
Each of the several boards within the Division of Professional Boards shall continue to have all of the powers and shall exercise all of the functions and duties vested in, or imposed upon, it by law. In addition nothing in this act shall be construed to affect the compensation of respective officers, members or employees of such boards as provided by law.
##### **§ 52:17B-128** Terms of office of members of boards within former division of professional boards {#sec-52-17b-128 omnilex-key=us-nj-statutes--title-52--52:17B-128}
This act shall not affect the terms of office of the present members of the respective boards in the former Division of Professional Boards. Such boards shall continue to be constituted as provided by existing law.
##### **§ 52:17B-130** Transfer of employees of division, board, etc. transferred to division of consumer affairs {#sec-52-17b-130 omnilex-key=us-nj-statutes--title-52--52:17B-130}
All employees of any division, office, board or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Consumer Affairs, shall upon the effective date of this act be transferred to the Division of Consumer Affairs.
##### **§ 52:17B-131** Application of act to civil service, pension laws or retirement system {#sec-52-17b-131 omnilex-key=us-nj-statutes--title-52--52:17B-131}
Nothing in this act shall be construed to deprive any person of any tenure rights or of any right or protection provided him by Title 11 of the Revised Statutes, Civil Service, or under any pension law or retirement system.
##### **§ 52:17B-132** Transfer of appropriations and other moneys of division, board, etc. transferred to division of consumer affairs {#sec-52-17b-132 omnilex-key=us-nj-statutes--title-52--52:17B-132}
Except as provided in section 16 of this act, all appropriations and other moneys available and to become available to any division, office or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Consumer Affairs, are hereby transferred to the Division of Consumer Affairs established hereunder, and shall be available for the objectives and purposes for which appropriated, subject to any terms, restrictions, limitations or other requirements imposed by State or Federal law.
##### **§ 52:17B-133** Appropriations for boards within former division of professional boards {#sec-52-17b-133 omnilex-key=us-nj-statutes--title-52--52:17B-133}
This act shall not affect the manner in which the appropriations of the several boards of the former Division of Professional Boards are obtained and disposed of; in addition all fees, fines, penalties and other moneys payable to the boards within the former Division of Professional Boards shall continue to be paid into the State Treasury and credited to the respective boards as provided by law.
##### **§ 52:17B-134** Transfer of books, records, property, etc. of transferred division, board, etc. {#sec-52-17b-134 omnilex-key=us-nj-statutes--title-52--52:17B-134}
All files, books, papers, records, equipment and other property of any division, office, board or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Consumer Affairs, shall upon the effective date of this act be transferred to the Division of Consumer Affairs.
##### **§ 52:17B-135** Effect on orders, rules and regulations of transferred division, board, etc. {#sec-52-17b-135 omnilex-key=us-nj-statutes--title-52--52:17B-135}
This act shall not affect orders, rules and regulations heretofore made or promulgated by any division, office, board or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Consumer Affairs; but such orders, rules and regulations shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:17B-136** Effect of transfers on pending actions or proceedings, orders or recommendations {#sec-52-17b-136 omnilex-key=us-nj-statutes--title-52--52:17B-136}
This act shall not affect any actions or proceedings, civil or criminal, brought by or against any division, office, board or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Consumer Affairs, and pending on the effective date of this act, but such actions or proceedings may be prosecuted or defended in the same manner and to the same effect by the Division of Consumer Affairs as if the foregoing provisions had not taken effect; nor shall any of the foregoing provisions affect any order or recommendation made by, or other matters or proceedings before, any division, office, board or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Consumer Affairs, and all such matters or proceedings pending before such division, office or other agency on the effective date of this act shall be continued by the Division of Consumer Affairs, as if the foregoing provisions had not taken effect.
##### **§ 52:17B-137** Powers of attorney general over transferred division, board, etc. {#sec-52-17b-137 omnilex-key=us-nj-statutes--title-52--52:17B-137}
Nothing in this act shall be construed to limit the powers of the Attorney General with respect to any division, office, board or other agency herein assigned or transferred to the Division of Consumer Affairs established hereunder.
##### **§ 52:17B-138** Transfer of state board of barber examiners to division of consumer affairs {#sec-52-17b-138 omnilex-key=us-nj-statutes--title-52--52:17B-138}
The State Board of Barber Examiners together with its functions, powers and duties is hereby transferred to the Division of Consumer Affairs in the Department of Law and Public Safety.
##### **§ 52:17B-139** Method of transfer {#sec-52-17b-139 omnilex-key=us-nj-statutes--title-52--52:17B-139}
The transfer directed by this act shall be made in accordance with the "State Agency Transfer Act," P.L.1971, c. 375 (C. 52:14D-1 et seq.).
##### **§ 52:17B-139.1** Transfer of powers and duties of commissioner of labor and industry and private employee agency section in department of labor and industry concerning employment agencies to Attorney General and division of consumer affairs {#sec-52-17b-139.1 omnilex-key=us-nj-statutes--title-52--52:17B-139.1}
All the functions, powers and duties of the Commissioner of Labor and Industry and the Private Employee Agency Section in the Department of Labor and Industry with respect to the regulation and licensing of employment agencies pursuant to the provisions of P.L.1951, c. 337 (C. 34:8-24 et seq.) are hereby transferred to the Attorney General and the Division of Consumer Affairs in the Department of Law and Public Safety.
##### **§ 52:17B-139.2** Reference to commissioner of labor and industry as reference to Attorney General {#sec-52-17b-139.2 omnilex-key=us-nj-statutes--title-52--52:17B-139.2}
Whenever the term "Commissioner of Labor and Industry" or "commissioner" occurs in P.L.1951, c. 337 (C. 34:8-24 et seq.), the same shall be deemed to mean or refer to the Attorney General or his duly authorized representative.
##### **§ 52:17B-139.3** Method of transfer {#sec-52-17b-139.3 omnilex-key=us-nj-statutes--title-52--52:17B-139.3}
The transfer directed by this act shall be made in accordance with the "State Agency Transfer Act," P.L.1971, c. 375 (C. 52:14D-1 et seq.).
##### **§ 52:17B-139.4** Bureau of Employment and Personnel Services {#sec-52-17b-139.4 omnilex-key=us-nj-statutes--title-52--52:17B-139.4}
There is established a Bureau of Employment and Personnel Services in the Division of Consumer Affairs in the Department of Law and Public Safety. The Director of the Division of Consumer Affairs shall have authority to administer the provisions of this act with the oversight of the Attorney General. The director shall appoint the chief of the bureau, who shall serve under the direction and supervision of the director and who shall receive a salary as provided by law.
##### **§ 52:17B-139.5** Functions, powers, duties transferred to Bureau of Employment and Personnel Services {#sec-52-17b-139.5 omnilex-key=us-nj-statutes--title-52--52:17B-139.5}
All the functions, powers and duties of the Private Employment Agency Section in the Division of Consumer Affairs in the Department of Law and Public Safety are hereby transferred to the Bureau of Employment and Personnel Services in the Division of Consumer Affairs. That transfer shall be made in accordance with the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
##### **§ 52:17B-139.6** Validity of previous licenses unaffected {#sec-52-17b-139.6 omnilex-key=us-nj-statutes--title-52--52:17B-139.6}
Nothing in this act shall affect the validity of any license previously issued to any person by the Private Employment Agency Section in the Division of Consumer Affairs and Office of the Attorney General in the Department of Law and Public Safety, but each person holding a previously issued license shall, in all other respects, be subject to the provisions of this act.
##### **§ 52:17B-139.7** Notification to fire department by provider of medical oxygen, oxygen delivery system of patient's name, residence, age. {#sec-52-17b-139.7 omnilex-key=us-nj-statutes--title-52--52:17B-139.7}
1. A licensed pharmacist or other provider of oxygen or an oxygen delivery system who has supplied oxygen or an oxygen delivery system to a patient on an order from a licensed health care provider shall notify the appropriate fire department or company serving the municipality in which the patient resides of the name, address, and age of the patient and the existence of the oxygen or oxygen delivery system at the patient's residence, in accordance with the provisions of P.L.2002, c.118 (C.52:17B-139.7 et seq.).
a. Prior to notification, a pharmacist or other provider of oxygen or an oxygen delivery system shall inform the patient of the notification requirements of this act and obtain written informed consent from the patient for the notification.
If the patient is legally incapacitated, the pharmacist or other provider of oxygen or an oxygen delivery system shall inform an authorized representative of the patient of the notification requirements of P.L.2002, c.118 and obtain the written informed consent from the authorized representative.
b. Written informed consent shall consist of a statement, on a form or in a manner to be determined by the Director of the Division of Consumer Affairs in the Department of Law and Public Safety, signed by the patient or by an authorized representative of the patient, which acknowledges that the pharmacist or other provider of oxygen or an oxygen delivery system has provided the patient with information regarding the notification requirements of P.L.2002, c.118, and that the patient or authorized representative of the patient consents to the notification.
c. If the patient or the patient's authorized representative declines to give informed consent for the notification, the pharmacist or other provider of oxygen or an oxygen delivery system is required to inform the patient or the patient's authorized representative that the patient or representative is obligated to notify the appropriate fire department or company of the patient's name, address, age, and of the existence of oxygen or an oxygen delivery system at the patient's residence. The pharmacist or other provider also shall inform the patient or his authorized representative that the patient or representative is obligated to notify the appropriate fire department or company whenever the supplying of oxygen or the providing of an oxygen delivery system to the patient is terminated and the oxygen or oxygen delivery system is removed from the patient's residence.
d. If the patient or the patient's authorized representative declines to give informed consent, the pharmacist or other provider of oxygen or an oxygen delivery system is exempt from the requirement to make the notification and is permitted to supply the oxygen or oxygen delivery system as directed by the licensed health care provider's order.
e. A copy of the written informed consent shall be attached to the order for the oxygen or oxygen delivery system or otherwise included in the patient's record or, if written consent is not given, the pharmacist or other provider of oxygen or an oxygen delivery system shall note on the order or in the patient's record that informed consent was not given.
f. A pharmacist or other provider of oxygen or an oxygen delivery system who complies with the provisions of this act shall be immune from civil liability if the patient fails to notify the appropriate fire department or company of the patient's name, address, age, and the existence of oxygen or an oxygen delivery system at the patient's residence.
g. Whenever the supplying of oxygen or the providing of an oxygen delivery system to a patient is terminated and the oxygen or oxygen delivery system is removed from the patient's residence, the pharmacist or other provider of that oxygen or oxygen delivery system shall so notify the appropriate fire department or company. Notice shall be given in a manner, form, and within a time frame prescribed by the Director of the Division of Consumer Affairs. If the patient or his authorized representative notified the fire department or company of the existence of oxygen or an oxygen delivery system at his residence pursuant to subsection c. of this section, the patient or his authorized representative shall notify the fire department or company that the supplying of oxygen or the providing of an oxygen delivery system is terminated and that the oxygen or oxygen delivery system has been removed from the patient's residence. Notification shall be provided within 10 days of removal.
##### **§ 52:17B-139.8** Notification by patient {#sec-52-17b-139.8 omnilex-key=us-nj-statutes--title-52--52:17B-139.8}
2. A patient who declines to give his written informed consent for the notification requirements of this act shall, promptly upon being provided with the oxygen or oxygen delivery system, notify the appropriate fire department or company of his name and address and of the existence of the oxygen or oxygen delivery system at his residence.
##### **§ 52:17B-139.9** Duties of director {#sec-52-17b-139.9 omnilex-key=us-nj-statutes--title-52--52:17B-139.9}
3. The Director of the Division of Consumer Affairs in the Department of Law and Public Safety shall:
a. Notify all licensed pharmacists in the State of the requirements of this act and provide public notice to other providers of oxygen or oxygen delivery systems of the requirements of this act in newspapers throughout the State;
b. Prepare a patient information brochure regarding the safe handling, use and storage of oxygen or oxygen delivery systems and make copies available to pharmacists and other providers of oxygen or oxygen delivery systems; and
c. Report to the Governor and the Legislature within one year of the effective date of this act on the effectiveness of the notification program.
##### **§ 52:17B-139.10** Noncompliance; disorderly person {#sec-52-17b-139.10 omnilex-key=us-nj-statutes--title-52--52:17B-139.10}
4. A pharmacist, other provider of oxygen or an oxygen delivery system or patient who knowingly fails to comply with the provisions of this act is a disorderly person.
##### **§ 52:17B-139.11** Rules, regulations by Division of Consumer Affairs {#sec-52-17b-139.11 omnilex-key=us-nj-statutes--title-52--52:17B-139.11}
5. The Director of the Division of Consumer Affairs in the Department of Law and Public Safety shall, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt rules and regulations to effectuate the purpose of this act concerning the requirements imposed by this act upon pharmacists and other providers of oxygen or oxygen delivery systems. The rules shall establish the procedures pharmacists and other providers of oxygen or oxygen delivery systems shall follow to obtain written informed consent and to notify the appropriate fire department or company serving the municipality in which the patient resides of the patient's name and address and of the existence of oxygen or an oxygen delivery system at the patient's residence.
##### **§ 52:17B-139.12** Regulations by Division of Fire Safety {#sec-52-17b-139.12 omnilex-key=us-nj-statutes--title-52--52:17B-139.12}
6. Pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the Director of the Division of Fire Safety in the Department of Community Affairs shall promulgate regulations concerning the placement of warning signs on residences containing oxygen or an oxygen delivery system.
##### **§ 52:17B-139.13** Rules, regulations. {#sec-52-17b-139.13 omnilex-key=us-nj-statutes--title-52--52:17B-139.13}
21. The Director of the Division of Consumer Affairs in the Department of Law and Public Safety, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt such rules and regulations as are necessary to implement the provisions of sections 1 through 20 of P.L.2019, c.59 (C.26:16-1 et seq.), including the required reporting of information to the division by health care professionals pursuant to section 13 of P.L.2019, c.59 (C.26:16-13).
##### **§ 52:17B-139.14** Definitions. {#sec-52-17b-139.14 omnilex-key=us-nj-statutes--title-52--52:17B-139.14}
1. As used in this act, P.L.2025, c.128 (C.52:17B-139.14 et al.):
“Game” means, but is not limited to, casino-style games such as slot machines; video poker; table games such as roulette, blackjack, craps, and poker; lottery games such as draw games, raffle, bingo, and keno; sports wagering; and any game that mimics or simulates such casino-style games or sports wagering.
“Prize or prize equivalent” means: (1) cash, a cash equivalent, or merchandise; (2) a token, object, or article, or a virtual facsimile thereof, that can be exchanged, sold, or redeemed, either directly or indirectly through means such as a third-party marketplace, external service, or cash-out function, for cash, a cash equivalent, or merchandise; or (3) any form of credit or promise directly or indirectly contemplating the transfer of cash, a cash equivalent, or merchandise, or of any interest therein.
“Something of value” means the same as that term is defined by subsection d. of N.J.S.2C:37-1.
“Sweepstakes” means a promotional, advertising, or marketing event, contest, or game, whether played online or in person, in which something of value, such as a prize or prize equivalent, is awarded, either directly or indirectly through means such as a dual currency system of payment that allows a participant to exchange the currency for a prize or prize equivalent.
##### **§ 52:17B-139.15** Pay to play sweepstakes, unlawful gambling. {#sec-52-17b-139.15 omnilex-key=us-nj-statutes--title-52--52:17B-139.15}
2. Except as otherwise provided in section 3 of P.L.2025, c.128 (C.52:17B-139.16) or authorized under any other law of this State, offering or conducting a sweepstakes in which a person present in New Jersey may participate by paying or proffering something of value, including, but not limited to, an entry fee for the opportunity to win or receive a prize or prize equivalent, shall constitute unlawful gambling in violation of Article IV, Section VII, paragraph 2 of the New Jersey Constitution, shall subject the operator or sponsor, or any officer, employee, or agent of the operator or sponsor, to civil liability under section 5 of P.L.2025, c.128 (C.52:17B-139.18) and under any other applicable law of this State that prohibits gambling, and, to the extent applicable, may subject such persons to criminal liability under N.J.S.2C:37-2, N.J.S.2C:37-4, N.J.S.2C:37-7, and under any other criminal law of this State that prohibits gambling.
##### **§ 52:17B-139.16** Sweepstakes, lawful parameters. {#sec-52-17b-139.16 omnilex-key=us-nj-statutes--title-52--52:17B-139.16}
3. a. Notwithstanding the provisions of section 2 of P.L.2025, c.128 (C.52:17B-139.15) or any other law or regulation to the contrary, offering, conducting, or participating in a sweepstakes that meets the requirements of subsection b. of this section shall not constitute unlawful gambling in violation of Article IV, Section VII, paragraph 2 of the New Jersey Constitution, and shall not subject the participant or the operator or sponsor of the sweepstakes or any officer, employee, or agent of the operator or sponsor, to any civil or criminal liability under the laws of this State that prohibit gambling.
b. A sweepstakes in which a person present in New Jersey may participate by paying or proffering something of value for the opportunity to win or receive a prize or prize equivalent shall not be deemed to violate section 2 of P.L.2025, c.128 (C.52:17B-139.15) if:
(1) there exists a method of entry to participate in the sweepstakes at no cost to the participant;
(2) any method of entry that is not free to the participant is ancillary to the purchase of food, non-alcoholic beverages, or other merchandise, such as mugs, trinkets, or mementos, not exceeding $20 in value or such other amount to be determined by the Director of the Division of Consumer Affairs in the Department of Law and Public Safety, provided, however, that such other items of merchandise shall not include coins, tokens, or online credits that have no value other than permitting sweepstakes entry or that are able to be exchanged for money or merchandise from the sweepstakes operator or an affiliated company;
(3) determination of the winner or winners of the sweepstakes is not in any way based on the results of any sports event or contest, the performance or any facet thereof of any individual or team, or the performance of a combination of any individuals or teams in any sports event or contest, unless the sole and exclusive method of entry to participate in the sweepstakes is at no cost to all participants;
(4) the sweepstakes entry form or the website or application used to enter an online or telephone sweepstakes clearly discloses to participants the rules of the sweepstakes, the odds of a winning any and all prizes, unless the sweepstakes permits an unlimited number of entries, in which case the sponsor or operator shall disclose that the sweepstakes permits unlimited entry, and the nature and number of any prizes that may be awarded;
(5) the value of any cash or merchandise prize shall be income for purposes of New Jersey income tax;
(6) no person under the age of 18 shall be permitted to claim a sweepstakes prize exceeding $1,000 in value without the consent of the person’s parent or guardian; and
(7) the odds of winning any particular prize shall be identical regardless of whether the contest was entered by purchasing an entry or by entering at no cost to the participant.
c. The Division of Consumer Affairs may adopt rules and regulations pursuant to the “Administrative Procedure Act,” P.L.1968, c.410 (C.52:14B-1 et seq.) to carry out the purposes of sections 1 through 13 of P.L.2025, c.128 (C.52:17B-139.14 through 52:17B-139.26).
##### **§ 52:17B-139.17** Violation of sweepstakes prohibition, summary proceeding, injunction. {#sec-52-17b-139.17 omnilex-key=us-nj-statutes--title-52--52:17B-139.17}
4. Whenever it shall appear to the director of the Division of Consumer Affairs that a violation of section 2 of P.L.2025, c.128 (C.52:17B-139.15) has occurred, is occurring, or will occur, the division may, in addition to any other proceeding authorized by law, seek and obtain in a summary proceeding in Superior Court an injunction prohibiting such violation. In any such proceeding, the court may assess a civil penalty in accordance with the provisions of section 5 of P.L.2025, c.128 (C.52:17B-139.18); order restoration to any person in interest of any monies or property, real or personal, acquired by means of such violation in accordance with the provisions of section 11 of P.L.2025, c.128 (C.52:17B-139.24); and enter such orders as may be necessary to prevent the recurrence of such violation in the future and to remedy any past violation.
##### **§ 52:17B-139.18** Liability, civil penalty related to sweepstakes prohibition violation. {#sec-52-17b-139.18 omnilex-key=us-nj-statutes--title-52--52:17B-139.18}
5. Any person found in violation section 2 of P.L.2025, c.128 (C.52:17B-139.15) shall, in addition to any other sanctions authorized by law or regulation, be liable to a civil penalty of not more than $100,000 for the first offense and not more than $250,000 for the second and each subsequent offense. Each day that such violation continues shall be deemed a separate offense.
##### **§ 52:17B-139.19** Investigation into prohibited sweepstakes wagering, involved parties. {#sec-52-17b-139.19 omnilex-key=us-nj-statutes--title-52--52:17B-139.19}
6. When it shall appear to the director of the Division of Consumer Affairs that a person has engaged in, is engaging in, or is about to engage in any practice that violates section 2 of P.L.2025, c.128 (C.52:17B-139.15), or when the director believes it to be in the public interest that an investigation should be made to ascertain whether a person in fact has engaged in, is engaging in, or is about to engage in, any such practice, the director may:
require such person to file on such forms as may be prescribed a statement or report in writing, under oath or otherwise, as to all the facts and circumstances concerning the sale or advertisement of merchandise by such person and such other data and information as the director may deem necessary;
examine, under oath, any person in connection with the sale or advertisement of any merchandise;
examine any merchandise or sample thereof, record, book, document, account, or paper as the director may deem necessary; and
pursuant to an order of the Superior Court, impound any record, book, document, account, paper, or sample of merchandise that is produced in accordance with this act and retain the same in the director’s possession until the completion of all proceedings in connection with which the same are produced.
##### **§ 52:17B-139.20** Evidence received, penalty assessment, prohibited sweepstakes wagering. {#sec-52-17b-139.20 omnilex-key=us-nj-statutes--title-52--52:17B-139.20}
7. Upon receiving evidence of any violation of section 2 of P.L.2025, c.128 (C.52:17B-139.15), the director of the Division of Consumer Affairs, or the director’s designee, shall be empowered to hold hearings upon said violation and, upon finding the violation to have been committed, to assess a penalty against the person alleged to have committed such violation in an amount authorized by section 5 of P.L.2025, c.128 (C.52:17B-139.18) as the director deems proper under the circumstances. Any such amounts collected by the director in excess of the costs and expenses incurred by the division in exercising the authority granted by P.L.2025, c.128 (C.52:17B-139.14 et al.), shall be paid forthwith into the General Fund for appropriation by the Legislature to the Department of Human Services for prevention, education, and treatment programs for compulsive gambling that meet the criteria developed pursuant to section 2 of P.L.1993, c.229 (C.26:2-169), such as those provided by the Council on Compulsive Gambling of New Jersey.
##### **§ 52:17B-139.21** Enforcement, prohibited sweepstakes wagering. {#sec-52-17b-139.21 omnilex-key=us-nj-statutes--title-52--52:17B-139.21}
8. To enforce section 2 of P.L.2025, c.128 (C.52:17B-139.15), the director of the Division of Consumer Affairs, in addition to other powers conferred upon the director by this act, may issue subpoenas to any person, administer an oath or affirmation to any person, conduct hearings in aid of any investigation or inquiry, promulgate such rules and regulations, and prescribe such forms as may be necessary, which shall have the force of law.
##### **§ 52:17B-139.22** Notice requiring filing a statement, report, subpoena to be made in this State, substitutions, prohibited sweepstakes wagering. {#sec-52-17b-139.22 omnilex-key=us-nj-statutes--title-52--52:17B-139.22}
9. Service by the director of the Division of Consumer Affairs of any notice requiring a person to file a statement or report, or of a subpoena upon any person, in connection with section 2 of P.L.2025, c.128 (C.52:17B-139.15) shall be made personally within this State, but if such cannot be obtained, substituted service therefor may be made in the following manner:
personal service thereof without this State; or
the mailing thereof by registered mail to the last known place of business, residence, or abode, within or without this State of such person for whom the same is intended; or
as to any person other than a natural person, in accordance with the Rules Governing the Courts of the State of New Jersey pertaining to service of process, provided, however, that service shall be made by the Attorney General; or
such service as the Superior Court may direct in lieu of personal service within this State.
##### **§ 52:17B-139.23** Violation of filing statement, report, obey subpoena, penalties, prohibited sweepstakes wagering. {#sec-52-17b-139.23 omnilex-key=us-nj-statutes--title-52--52:17B-139.23}
10. If any person shall fail or refuse to file any statement or report, or obey any subpoena issued by the director of the Division of Consumer Affairs in connection with section 2 of P.L.2025, c.128 (C.52:17B-139.15), the director may apply to the Superior Court and obtain an order:
adjudging such person in contempt of court;
granting injunctive relief without notice restraining the sale or advertisement of any merchandise by such persons;
vacating, annulling, or suspending the corporate charter of a corporation created by or under the laws of this State or revoking or suspending the certificate of authority to do business in this State of a foreign corporation or revoking or suspending any other licenses, permits, or certificates issued pursuant to law to such person which are used to further the allegedly unlawful practice; and
granting such other relief as may be required until the person files the statement or report, or obeys the subpoena.
##### **§ 52:17B-139.24** Money, property restored to person in interest, seniors, prohibited sweepstakes wagering. {#sec-52-17b-139.24 omnilex-key=us-nj-statutes--title-52--52:17B-139.24}
11. In addition to the assessment of civil penalties, the director of the Division of Consumer Affairs or the director’s designee may, after a hearing and upon a finding of a violation of section 2 of P.L.2025, c.128 (C.52:17B-139.15), order that any moneys or property, real or personal, which have been acquired by means of such violation be restored to any person in interest, except that if any moneys or property, real or personal, have been acquired by means of a violation perpetrated against a senior citizen, the amount of moneys or property, real or personal, ordered restored shall be twice the amount acquired.
As used in this section, “senior citizen” means a person age 62 years or older.
##### **§ 52:17B-139.25** Violator ordered to cease and desist, penalties, prohibited sweepstakes wagering. {#sec-52-17b-139.25 omnilex-key=us-nj-statutes--title-52--52:17B-139.25}
12. Where, after a hearing, the director of the Division of Consumer Affairs, or the director’s designee, finds that a violation of section 2 of P.L.2025, c.128 (C.52:17B-139.15) has been or may be committed, the director may order the person committing such violation to cease and desist or refrain from committing said violation in the future. When it shall appear to the director that a person against whom a cease and desist order has been entered has violated said order, the director may initiate a summary proceeding in the Superior Court for the violation thereof. Any person found to have violated a cease and desist order shall pay to the State of New Jersey civil penalties in the amount of not more than $25,000 for each violation of said order. In the event that any person fails to pay a civil penalty assessed by the court for violation of a cease and desist order, the court assessing the unpaid penalty is authorized, upon application of the director, to grant any relief which may be obtained under any statute or court rule governing the collection and enforcement of civil penalties.
##### **§ 52:17B-139.26** Collection of amount delinquent, prohibited sweepstakes wagering. {#sec-52-17b-139.26 omnilex-key=us-nj-statutes--title-52--52:17B-139.26}
13. At any time within five years after any amount required to be collected pursuant to the provisions of sections 2 through 12 of P.L.2025, c.128 (C.52:17B-139.15 through 52:17B-139.25) shall become due and payable, the Division of Consumer Affairs may bring a civil action in the courts of this State, any other state, or of the United States, in the name of the State of New Jersey, to collect the amount delinquent, together with penalties and interest. If such action is brought in this State, a writ of attachment may be issued and no bond or affidavit prior to the issuance thereof shall be required. In all actions in this State, the records of the division shall be prima facie evidence of the determination of the amount of the delinquency.
Each debt that is due and payable and required to be collected, and any monetary penalty imposed for a violation of section 2 through section 12 of P.L.2025, c.128 (C.52:17B-139.15 through 52:17B-139.25), shall constitute a lien on the real property in this State owned or hereafter acquired by the person owing such a debt or on whom such an obligation has been imposed. Except as otherwise provided in R.S.54:5-9, such a lien shall be a first lien paramount to all prior or subsequent liens, claims, or encumbrances on that property.
##### **§ 52:17B-142** Legislative findings and determinations {#sec-52-17b-142 omnilex-key=us-nj-statutes--title-52--52:17B-142}
The Legislature finds and determines that crime and delinquency are essentially State and local problems; that crime and delinquency are complex social phenomena requiring the attention and efforts of the criminal justice system, State, county and local governments and the citizens of this State; and that the establishment of appropriate goals, objectives and standards for the reduction of crime and delinquency and for the administration of justice must be a priority concern.
The Legislature further finds and determines that, to meet the challenges enumerated above, the functions of the criminal justice system must be coordinated more efficiently and effectively; that the full and effective use of resources affecting State, county and local criminal justice systems requires the complete cooperation of government agencies on all levels; and that training, research, evaluation, technical assistance and public education activities must be encouraged and focused on the improvement of the criminal justice system and the generation of new methods for the prevention of crime and delinquency.
##### **§ 52:17B-143** State law enforcement planning agency; in DLPS but responsible to Governor. {#sec-52-17b-143 omnilex-key=us-nj-statutes--title-52--52:17B-143}
2. The State Law Enforcement Planning Agency created pursuant to Executive Order No. 45, dated August 13, 1968, is continued and constituted as the State Law Enforcement Planning Agency (hereinafter "agency"). For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the agency is allocated to the Department of Law and Public Safety, but, notwithstanding said allocation, the agency shall be independent of any supervision or control by the department or by any board or officer thereof. The agency shall be responsible to the Governor.
##### **§ 52:17B-145** Executive director; appointment; qualifications; salary; powers and duties {#sec-52-17b-145 omnilex-key=us-nj-statutes--title-52--52:17B-145}
The Governor shall appoint an executive director as the administrative head of the agency. He shall be a person qualified by training and experience to perform the duties of the position. He shall devote his entire time to the duties of his office, and shall receive a salary which shall be within a salary range as established by the Department of Civil Service with the approval of the Director of the Division of Budget and Accounting.
The executive director shall organize the work of the agency and establish therein such administrative subdivisions as he may deem necessary, proper and expedient. He may formulate and adopt rules and regulations and prescribe duties for the efficient conduct of the business, work and general administration of the agency. He may delegate to subordinate officers or employees in the agency such of his powers as he may deem desirable to be exercised under his supervision and control.
##### **§ 52:17B-147** Powers and duties of agency. {#sec-52-17b-147 omnilex-key=us-nj-statutes--title-52--52:17B-147}
6. The agency shall:
a. Serve as the State planning agency pursuant to the Federal Omnibus Crime Control and Safe Streets Act of 1968 and the Juvenile Justice and Delinquency Prevention Act of 1974, as amended, and other related federal or State acts;
b. (Deleted by amendment, P.L.2007, c.39);
c. Advise and assist the Governor in developing policies, plans, programs and budgets for improving the coordination, administration and effectiveness of the criminal justice system in the State;
d. Prepare a State comprehensive criminal justice plan on behalf of the Governor, which plan, and any substantial modifications thereto, shall be submitted to the Legislature for an advisory review of goals, priorities and policies contained therein, and shall be periodically updated and based on an analysis of the State's criminal justice needs and problems;
e. Establish goals, priorities and standards for the reduction of crime and the improvement of the administration of justice in the State;
f. Recommend legislation concerning criminal justice matters to the Governor and Legislature;
g. Encourage local and regional comprehensive criminal justice planning efforts;
h. Monitor and evaluate programs and projects, funded in whole or in part by or through the State Government, aimed at reducing crime and delinquency and improving the administration of justice;
i. Cooperate with and render technical assistance to State agencies, units of county and local government and public or private agencies relating to the criminal justice system;
j. Apply for, contract for, receive and expend for its purposes any appropriations or grants from the State, its political subdivisions, the federal government or any other source, public or private;
k. Have the authority to collect from any State, county or local governmental entity information, data, reports, statistics or such other material which is necessary to carry out the agency's functions; and
l. Perform such other duties as may be necessary to carry out the purposes of this act.
##### **§ 52:17B-148** Annual report of agency {#sec-52-17b-148 omnilex-key=us-nj-statutes--title-52--52:17B-148}
The agency shall report annually to the Governor, the Legislature, the courts and the chief executives of county and local government on the implementation of each of the programs supported by funds it administers, including its evaluation of the effectiveness of each such program.
##### **§ 52:17B-149** Annual appropriations in state budget {#sec-52-17b-149 omnilex-key=us-nj-statutes--title-52--52:17B-149}
Funds shall be appropriated in the annual State budget to provide the required matching funds mandated under the relevant Federal acts each fiscal year and for such other purposes as are necessary to carry out the purposes of this act.
##### **§ 52:17B-150** Application of State Agency Transfer Act {#sec-52-17b-150 omnilex-key=us-nj-statutes--title-52--52:17B-150}
This act shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c. 375 (C. 52:14D-1 et seq.); provided, however, that the employees of the agency may continue to be employed in accordance with the unclassified service of the Civil Service.
##### **§ 52:17B-159** Short title {#sec-52-17b-159 omnilex-key=us-nj-statutes--title-52--52:17B-159}
1. This act shall be known and may be cited as the "Safe and Secure Communities Act."
##### **§ 52:17B-160** Findings, declarations {#sec-52-17b-160 omnilex-key=us-nj-statutes--title-52--52:17B-160}
2. The Legislature finds and declares:
Crime and the fear of crime continue to grip far too many New Jersey residents. The volume of crimes committed in this State has risen by almost 10 percent over the past 10 years, according to the State Police, with violent crime comprising an ever-greater proportion of the total. A recent Statewide survey revealed that one of every seven New Jersey residents had been a crime victim within the past six months.
While crime has mushroomed, its face and scope have changed dramatically. Rural and suburban communities, formerly considered safe havens, are now plagued by crimes once thought confined to urban areas. In fact, offenses such as carjackings are as likely to occur in suburban shopping malls as in big cities.
As criminals have widened their base of operations, local efforts to cope with crime have been stretched dangerously thin by economic adversity. Cash-strapped communities across the State have laid off or restrained the hiring of police officers--the first line of defense against criminals. These communities also have been required to curtail expenditures for the equipment--cars, radios and body armor--necessary for effective police operations.
It is clearly time for action to deal with this epidemic of crime in a forceful, yet enlightened, manner. The Safe and Secure Communities Program, established by this act, will enable the police and the community to create a partnership designed to identify and develop strategies to impact crime and improve the quality of life by (1) combining State, federal and local resources to rapidly place 2,000 additional police officers in communities throughout the State, (2) providing hard-pressed municipalities with funding to purchase the equipment vital to effective police operations, (3) imposing an additional penalty on lawbreakers to establish a continuing source of funding to pay for these officers and equipment, (4) deploying the additional officers and equipment in a focused, community-oriented manner that will assure their maximum impact in combatting crime, and (5) initiating such other programs as will meet the particular needs of municipalities.
##### **§ 52:17B-161** Definitions {#sec-52-17b-161 omnilex-key=us-nj-statutes--title-52--52:17B-161}
3. As used in this act:
"Eligible municipality" means a municipality, which has a police department or force, in which the number of violent and nonviolent crimes per police officer exceeds 70% of the Statewide average of municipalities with a municipal police department or force, as reported in the 1991 Uniform Crime Report published by the Division of State Police.
"Fringe benefits" means payments made by the employer for an employee's retirement, social security, health and dental insurance, workers compensation, and unemployment, disability and survivor's insurance.
"Fund" means the Safe Neighborhoods Services Fund established by section 5 of this act.
"Law enforcement equipment" or "equipment" means that equipment required for the provision of law enforcement services including, but not limited to, police cars, computers and peripheral equipment, police radios and other communications gear, weapons and body armor for which a grant is awarded pursuant to section 9 of this act.
"Law enforcement project" or "project" means a project employing police officers for which a grant is awarded pursuant to section 9 of this act.
"Other law enforcement personnel" means non-police employees who enhance a project's law enforcement capacity by performing paperwork and related support services, thereby allowing police officers to devote more time to direct community policing duties.
"Program" means the "Safe and Secure Communities Program" established by this act.
##### **§ 52:17B-162** Objectives provided for by act {#sec-52-17b-162 omnilex-key=us-nj-statutes--title-52--52:17B-162}
4. It is the purpose of this act to provide assistance to municipalities for law enforcement projects which accomplish the following objectives as warranted by the needs of the community:
a. Policing in a community-oriented manner through an emphasis on the use of foot patrols, personal interaction between police officers and residents, and participation in community crime prevention programs;
b. Targeting law enforcement activities toward the specific needs of persons who live or work in a particular neighborhood, such as children, senior citizens or merchants;
c. Encouraging resident involvement in activities that contribute to crime prevention, including citizen patrols, safe houses, neighborhood watch groups, and crime prevention educational programs;
d. Reducing the incidence of criminal behavior, such as drug trafficking or youth gang activity, that disrupts the normal functioning of a community;
e. Implementing the Violent Offenders Removal Program to identify and expeditiously apprehend violent criminals who operate within a targeted area; and
f. Developing other innovative strategies which hold promise for preventing or reducing crime within a defined neighborhood or with respect to a particular demographic group within the municipality.
##### **§ 52:17B-163** "Safe Neighborhoods Services Fund," created {#sec-52-17b-163 omnilex-key=us-nj-statutes--title-52--52:17B-163}
5. a. There is created in the Department of the Treasury a nonlapsing fund entitled the "Safe Neighborhoods Services Fund." The fund shall be the depository for the assessments collected pursuant to section 11 of this act, for any State appropriations, federal grants received pursuant to subsection c. of this section, or other moneys provided to carry out the purposes of this act and for the interest earned on these deposits. The fund shall be administered by the State Treasurer.
b. Of the moneys deposited in the fund, 75% shall be available for approved law enforcement projects and 25% shall be available for the purchase of law enforcement equipment.
c. Notwithstanding the provisions of any law to the contrary, any federal funding received by the State, or for which the State is currently eligible or becomes eligible, for purposes within the purview of this act shall be deposited into the fund.
d. In no event shall moneys deposited in the fund be used to defray the cost of administering this act, except as provided in subsection e. of section 10 of this act.
##### **§ 52:17B-164** Grant provisions, applications {#sec-52-17b-164 omnilex-key=us-nj-statutes--title-52--52:17B-164}
6. a. An eligible municipality may apply to the Attorney General for a grant from the fund to pay the initial salaries of police officers and other law enforcement personnel deployed in a law enforcement project which is designed to meet the objectives of this act. A municipality which receives a grant for a project shall be responsible for paying the fringe benefits of all police officers or other law enforcement personnel hired, which shall be deemed the local cash match. A municipality shall further agree, as a condition of a grant awarded pursuant to this act, not to reduce its regular complement of police officers and other law enforcement personnel during the grant period.
b. Applications for project grants shall be made in a manner prescribed by the Attorney General. The grant application shall describe the municipality's need for grant funding, the purpose and duration of the proposed project, how the funding will be used to further the objectives stated in section 4 of this act, and the indicators by which progress in achieving these objectives and the project's purpose will be measured.
##### **§ 52:17B-165** Police equipment grant application {#sec-52-17b-165 omnilex-key=us-nj-statutes--title-52--52:17B-165}
7. Any municipality which has a police department or force may apply to the Attorney General for a grant to purchase law enforcement equipment. Application shall be made in a manner prescribed by the Attorney General and shall include information on the type, amount, intended use, estimated cost and need for the equipment requested. A municipality which receives an equipment grant shall contribute a cash match of no less than 25% of the grant amount.
##### **§ 52:17B-166** Grant application evaluation, ranking {#sec-52-17b-166 omnilex-key=us-nj-statutes--title-52--52:17B-166}
8. The Attorney General shall evaluate and rank project grant applications submitted by eligible municipalities with reference to the municipality's realistic opportunity to achieve the objectives specified in section 4 of this act. In evaluating the applications, the Attorney General shall give additional weight to applications which:
a. Propose cooperative policing agreements between two or more municipalities pursuant to P.L.1973, c.208 (C.40:8A-1 et al.) or P.L.1952, c.72 (C.40:48B-1 et seq.);
b. Provide evidence of a project planning process which has involved residents of the proposed project areas and institutions and groups active in these areas;
c. Provide for the re-employment of police officers who have been laid off by the municipality for budgetary reasons prior to March 1, 1993;
d. Clearly delineate project outcome goals that are both time-lined and measurable;
e. Maximize the use of funding and resources other than those provided by the program;
f. Provide for the mobilization of residents as volunteer participants;
g. Where practicable, provide for the employment of related law enforcement personnel to perform paperwork and related support services in order to free up police officers for community policing duties; and
h. Provide for maximum program accountability according to procedures promulgated by the Attorney General pursuant to section 10 of this act.
##### **§ 52:17B-167** Selection of grant recipients. {#sec-52-17b-167 omnilex-key=us-nj-statutes--title-52--52:17B-167}
9. a. The Attorney General shall select grant recipients.
b. No more than 50% of the total dollar amount of grants awarded from the fund shall be allocated to municipalities eligible to receive State aid pursuant to subsections a., b. and c. of section 1 of P.L.1985, c.170 (C.52:27D-118.11).
c. No municipality shall receive a grant exceeding $200,000 for a project or $50,000 for equipment. However, if funding remains after all approved projects and law enforcement equipment grants have been funded in any program year, funding in excess of the amount specified in this subsection may be awarded to grantees by the Attorney General.
d. A municipality which receives a grant for a project under this act may receive funding in subsequent years to continue that project. Approval of a continuation grant shall be contingent upon certification by the Attorney General that the project is effectively meeting the objectives of this act. A municipality that is eligible to receive an initial grant under this act shall be eligible to receive continuation funding.
##### **§ 52:17B-168** Guidelines; program grant schedule, procedure {#sec-52-17b-168 omnilex-key=us-nj-statutes--title-52--52:17B-168}
10. a. Pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the Attorney General shall promulgate guidelines for the receipt of program funds, procedures to ensure grantee accountability, and any other rules and regulations necessary to carry out the purposes of this act.
b. Program grants shall be awarded in two annual cycles. Grants to municipalities with a fiscal year starting January 1 shall be announced no later than October 30 and shall be awarded on January 1. Grants to municipalities with a fiscal year starting July 1 shall be announced no later than April 30 and shall be awarded on July 1.
c. The Attorney General shall promptly notify eligible municipalities regarding the program established by this act and make available to them grant applications and guidelines within 30 days of this act's effective date.
d. Notwithstanding any law or regulation to the contrary, a municipality may expend grant moneys in the local budget year in which they are received.
e. Of the moneys deposited into the fund, not more than $375,000 shall be allocated to the Attorney General to enable the Division of Criminal Justice to provide technical and operational assistance to grantees, which shall include (1) assistance in implementing an effective community policing program, including training and the development of operational plans, schedules and strategies, and (2) coordination of and assistance with violent offender removal programs.
##### **§ 52:17B-169** Findings, declarations relative to juvenile justice. {#sec-52-17b-169 omnilex-key=us-nj-statutes--title-52--52:17B-169}
1. The Legislature finds and declares:
a. The public safety requires reform of the juvenile justice system;
b. Juvenile arrests for murder, robbery, aggravated sexual assault, sexual assault and aggravated assault have increased 38 percent between 1988 and 1993 and New Jersey ranks near the top nationally in the number of juvenile arrests for serious violent crimes;
c. Juvenile crime has become a leading cause of injury and death among young people;
d. Currently, preventive, deterrent and rehabilitative services and sanctions for juveniles are the responsibility of no less than three State departments: The Department of Law and Public Safety deals with county prosecutors and local police and implements prevention programs; the Department of Corrections operates the New Jersey Training School for Boys and the Juvenile Medium Security Facility, and its Bureau of Parole supervises juvenile parolees; and the Department of Human Services operates residential and day programs in facilities for juveniles adjudicated delinquent;
e. The division of responsibility for the juvenile justice population and the limitations on resources available to meet ever-increasing demands for services provided by the Departments of Human Services and Corrections have prevented the departments from maximizing efforts to meet the special needs of the juvenile justice population;
f. The juvenile justice system lacks services and sanctions short of incarceration, particularly in urban areas and for that reason, many juveniles are not held accountable until they have committed a series of increasingly serious criminal acts;
g. The special needs of juveniles can be addressed through services and sanctions provided at the county and local level;
h. The need to protect the public from criminal acts by juvenile offenders requires a comprehensive program and concerted action of governmental agencies and private organizations at the State, county and local level that permit effective response and avoid waste of scarce resources;
i. (1) The comprehensive program should provide a range of services and sanctions for juveniles sufficient to protect the public through prevention; early intervention; and a range of meaningful sanctions that ensure accountability, provide training, education, treatment and, when necessary, confinement followed by community supervision that is adequate to protect the public and promote successful reintegration into the community;
(2) Consistent with the need to protect the public, services and sanctions for juveniles shall provide balanced attention to the protection of the community, the imposition of accountability for offenses committed, fostering interaction and dialogue between the offender, victim and community and the development of competencies to enable juvenile offenders to become responsible and productive members of the community.
j. The most efficient and effective use of available resources requires fixing responsibility for the comprehensive program in a single State agency and providing incentives to encourage the development and provision of appropriate services and sanctions at the county and local level; and
k. It is, therefore, necessary to establish a Youth Justice Commission responsible for operating State services and sanctions for juveniles involved in the juvenile justice system and responsible for developing a Statewide plan for effective provision of juvenile justice services and sanctions at the State, county and local level; to establish a State/Community Partnership Grant Program through which the State will provide incentives to county and local governments to encourage the provision of services and sanctions for juveniles adjudicated or charged as delinquent and programs for the prevention of juvenile delinquency, and to establish county youth services commissions responsible for planning and implementing the Partnership at the local level.
##### **§ 52:17B-170** Youth Justice Commission established. {#sec-52-17b-170 omnilex-key=us-nj-statutes--title-52--52:17B-170}
2. a. A Youth Justice Commission is established in, but not of, the Department of Law and Public Safety. The commission is allocated to the Department of Law and Public Safety for the purpose of complying with Article V, Section IV, paragraph 1 of the New Jersey Constitution. The Attorney General shall be the request officer for the commission within the meaning of section 6 of article 3 of P.L.1944, c.112 (C.52:27B-15) and shall exercise that authority and other administrative functions, powers and duties consistent with the provisions of this act.
b. The commission shall consist of an executive director, an executive board, an advisory council and such facilities, officers, employees and organizational units as provided herein or as otherwise necessary to performance of the commission's duties and responsibilities.
c. The executive director shall be appointed by the Governor with the advice and consent of the Senate and shall serve at the pleasure of the Governor during the Governor's term of office and until a successor is appointed and qualified.
d. The executive board shall consist of the following members: The Attorney General, who shall serve as chair of the executive board; the Commissioner of Corrections and the Commissioner of Children and Families, who shall serve as vice-chairs of the executive board; the Commissioner of Education; the chair of the Youth Justice Commission advisory council, established pursuant to section 4 of P.L.1995, c.284 (C.52:17B-172); and two members who serve as chairs of a county youth services commission, established pursuant to P.L.1995, c.282 (C.52:17B-180), to be appointed by the Governor to serve at the Governor's pleasure. The Administrative Director of the Administrative Office of the Courts is invited to participate on the executive board, subject to the approval of the Supreme Court. A member of the executive board may name a designee who shall have the authority to act for the member. Members of the executive board shall serve without compensation for their services to the commission. The executive board shall meet at least quarterly and at such other times as designated by the chair. Except with respect to matters concerning distribution of funds to counties, four members of the executive board shall constitute a quorum to transact business of the executive board and action of the executive board shall require an affirmative vote of four members. A member of the executive board who is also a member of a county youth services commission shall not participate in matters concerning distribution of funds to counties; in these matters, three members of the executive board shall constitute a quorum to transact business and an action of the executive board shall require an affirmative vote of three members.
e. The commission shall have the following powers, duties and responsibilities:
(1) To specify qualifications for and to employ, within the limits of available appropriations and subject to the provisions of P.L.1995, c.284 (C.52:17B-169 et seq.) and Title 11A of the New Jersey Statutes, such staff as are necessary to accomplish the work of the commission or as are needed for the proper performance of the functions and duties of the commission, including but not limited to:
(a) The number of deputy directors, assistant directors, superintendents, assistant superintendents and other assistants who shall be in the unclassified service and shall be deemed confidential employees for the purposes of the "New Jersey Employer-Employee Relations Act," P.L.1941, c.100 (C.34:13A-1 et seq.); and
(b) Juvenile corrections officers;
(2) To utilize such staff of the Department of Law and Public Safety as the Attorney General, within the limits of available appropriations, may make available to the commission;
(3) To organize the work of the commission in appropriate bureaus and other organization units;
(4) To enter into contracts and agreements with State, county and municipal governmental agencies and with private entities for the purpose of providing services and sanctions for juveniles adjudicated or charged as delinquent and programs for prevention of juvenile delinquency;
(5) To contract for the services of professional and technical personnel and consultants as necessary to fulfill the statutory responsibilities of the commission;
(6) To establish minimum standards for the care, treatment, government and discipline of juveniles confined pending, or as a result of, an adjudication of delinquency;
(7) To assume the custody and care of all juveniles committed by court order, law, classification, regulation or contract to the custody of the commission or transferred to the custody of the commission pursuant to section 8 of P.L.1995, c.284 (C.52:17B-176);
(8) To manage and operate all State secure juvenile facilities which shall include the New Jersey Training School for Boys created pursuant to R.S.30:1-7 and transferred to the Commissioner of Corrections pursuant to section 8 of P.L.1976, c.98 (C.30:1B-8) and the Juvenile Medium Security Facility created pursuant to R.S.30:1-7 and both transferred to the commission pursuant to section 8 of P.L.1995, c.284 (C.52:17B-176) and shall include any other secure juvenile facility established by the commission in the future;
(9) To manage and operate all State juvenile facilities or juvenile programs for juveniles adjudicated delinquent which shall include facilities and programs transferred to the commission pursuant to section 8 of P.L.1995, c.284 (C.52:17B-176) or established or contracted for in the future by the commission;
(10) To prepare a State Youth Justice Master Plan every third year which identifies facilities, sanctions and services available for juveniles adjudicated or charged as delinquent and juvenile delinquency prevention programs and which identifies additional needs based upon the extent and nature of juvenile delinquency and the adequacy and effectiveness of available facilities, services, sanctions and programs;
(11) To approve plans for each county submitted by the county youth services commission pursuant to P.L.1995, c.282 (C.52:17B-180);
(12) To administer the State/Community Partnership Grant Program established pursuant to P.L.1995, c.283 (C.52:17B-179);
(13) To accept from any governmental department or agency, public or private body or any other source, grants or contributions to be used in exercising its power, and in meeting its duties and responsibilities;
(14) To formulate and adopt standards and rules for the efficient conduct of the work of the commission, the facilities, services, sanctions and programs within its jurisdiction, and its officers and employees;
(15) To provide for the development of the facilities, services, sanctions and programs within its jurisdiction and to promote the integration of State, county and local facilities, sanctions, services and programs, including probation and parole;
(16) To institute, or cause to be instituted, such legal proceedings or processes as may be necessary to enforce properly and give effect to any of its powers or duties including the authority to compel by subpoena, subject to the sanction for contempt of subpoena issued by a court, attendance and production of records;
(17) To provide for the timely and efficient collection and analysis of data regarding the juvenile justice system to insure the continuing review and evaluation of services, policies and procedures;
(18) To receive and classify juveniles committed to the custody of the commission;
(19) To determine whether an incarcerated juvenile is eligible for parole and to supervise compliance with conditions of parole;
(20) To establish appropriate dispositions of juveniles for whom parole has been revoked;
(21) To perform such other functions as may be prescribed by law; and
(22) To promulgate, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations necessary to implement and effectuate the purposes of this act.
f. Whenever the term "Juvenile Justice Commission" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the "Youth Justice Commission" established and designated therein.
##### **§ 52:17B-171** Allocation of functions, powers, duties, authority of commission {#sec-52-17b-171 omnilex-key=us-nj-statutes--title-52--52:17B-171}
3. The functions, powers, duties and authority of the commission are allocated as follows:
a. The following shall be vested in the executive board and may not be delegated:
(1) Formulation of the policy and direction of the work of the commission to meet the purposes of this act;
(2) Approval of the organization of the work of the commission including establishment of appropriate subdivisions;
(3) Approval of the State Juvenile Justice Master Plan;
(4) Approval of the commission's budget for submission by the Attorney General as request officer;
(5) Promulgation of all rules and regulations;
(6) Designation of an acting executive director to serve in the absence of the executive director, or, in the event of a vacancy in that office;
(7) Establishment of education and training requirements for juvenile corrections officers and other specialists that may be required for supervision of programs for juveniles under the custody or care of the commission following adjudication of delinquency or release from incarceration; and
(8) Establishing with the Supreme Court a mechanism for coordinating juvenile justice matters.
b. The executive director shall be responsible for the following:
(1) The supervision and management of each secure juvenile facility, juvenile facility and program operated by the commission and, except as provided in paragraph (3) of this subsection with respect to appointment of superintendents, the designation of the chief executive officer for each facility or program who shall be responsible to the executive director for the efficient, economical and proper operation of the facility and who shall exercise the authority to consent to treatment pursuant to sections 2 and 4 of P.L.1969, c.181 (C.30:4-7.2 and 30:4-7.4);
(2) The immediate supervision of the work of the commission and the day to day exercise and performance of the commission's functions, powers, duties and authority;
(3) With the approval of the executive board, the appointment of all deputy directors and superintendents.
c. All functions, powers, duties and authority of the commission set forth in subsection e. of section 2 of P.L.1995, c.284 (C.52:17B-170) not specifically allocated to the executive board or to the executive director shall reside in the executive board but may be delegated to the executive director at the discretion of the executive board.
##### **§ 52:17B-171.1** Standards for suicide, mental health screening in county juvenile detention facilities. {#sec-52-17b-171.1 omnilex-key=us-nj-statutes--title-52--52:17B-171.1}
1. The Youth Justice Commission shall establish standards for suicide and mental health screening in county juvenile detention facilities in accordance with the provisions of this act. The standards shall require that each county detention facility develop written policies concerning mental health screening, suicide screening, suicide prevention protocols and other mental and emotional health-related issues and that each county juvenile detention facility make psychological or psychiatric services available to juveniles as needed.
##### **§ 52:17B-171.2** Suicide risk screening for juveniles admitted to county juvenile detention facility. {#sec-52-17b-171.2 omnilex-key=us-nj-statutes--title-52--52:17B-171.2}
2. a. Upon admission to a county juvenile detention facility, a juvenile shall be screened for risk of suicide in accordance with the facility's suicide prevention protocols and written policies required by section 1 of this act. The suicide risk screening shall include, but not be limited to, the use of a standardized suicide risk questionnaire designated and made available by the Youth Justice Commission. The findings shall be recorded and brought to the attention of the appropriate medical or mental health staff as soon as possible.
b. If a juvenile shows evidence of suicide risk, the facility's suicide prevention protocols shall be immediately implemented. The policies shall include an increased level of supervision of a juvenile showing evidence of suicide risk until appropriate mental health services can be obtained. The facility administrator, or the administrator's designee, shall be immediately notified if a juvenile:
(1) is suspected of being at risk of attempting suicide or in emotional distress;
(2) has made a suicidal gesture or attempt; or
(3) scores in a suicide caution or warning range in a screening.
c. Every suicide gesture or attempt shall be reported to the Youth Justice Commission.
##### **§ 52:17B-171.3** Mental health screening for juveniles admitted to county juvenile detention facility. {#sec-52-17b-171.3 omnilex-key=us-nj-statutes--title-52--52:17B-171.3}
3. Between 24 and 48 hours following admission to a county juvenile detention facility, a juvenile shall undergo mental health screening using a mental health screening tool designated by the Youth Justice Commission and in accordance with the facility's written policies required by section 1 of this act. If the screening tool indicates that a referral for additional screening or mental health services is appropriate, that referral shall occur as soon as possible. If the screening indicates a warning or caution, the juvenile shall be placed on, and remain under, increased supervision until it is determined by a mental health clinician that a heightened level of supervision is no longer needed to ensure the safety of the juvenile.
##### **§ 52:17B-171.4** Screening before placement in isolation. {#sec-52-17b-171.4 omnilex-key=us-nj-statutes--title-52--52:17B-171.4}
5. No juvenile shall be placed in isolation before undergoing screening for risk of suicide and mental health screening required by sections 2 and 3 of this act.
##### **§ 52:17B-171.5** Certification for person conducting screening. {#sec-52-17b-171.5 omnilex-key=us-nj-statutes--title-52--52:17B-171.5}
6. No person shall perform a suicide risk screening pursuant to section 2 of this act or a mental health screening pursuant to section 3 of this act unless that person has been certified by the Youth Justice Commission as qualified to perform such screening.
##### **§ 52:17B-171.6** Establishment, maintenance of Statewide database of screenings. {#sec-52-17b-171.6 omnilex-key=us-nj-statutes--title-52--52:17B-171.6}
7. The Youth Justice Commission, in conjunction with the Department of Children and Families, shall establish and maintain a confidential Statewide database of the suicide risk screenings required by section 2 of this act and the mental health screenings required by section 3 of this act to be used exclusively by persons performing suicide risk and mental health screenings.
##### **§ 52:17B-171.7** Monitoring of suicides occurring at county juvenile detention facilities. {#sec-52-17b-171.7 omnilex-key=us-nj-statutes--title-52--52:17B-171.7}
8. a. The Youth Justice Commission shall monitor the number of suicides that occur at each county juvenile detention facility.
b. Upon an initial suicide at a facility, the commission shall conduct an evaluation of the facility's compliance with the provisions of this act, an accountability assessment and an action report.
c. If a second suicide occurs within seven years of the initial suicide, the Youth Justice Commission shall, within 30 days, and with the approval of the Attorney General, evaluate the facility for compliance with the provisions of this act. A facility shall not admit additional juveniles until the Attorney General has certified that the facility is in compliance with the provisions of this act.
d. If a third or subsequent suicide occurs within seven years of an initial suicide, the facility shall be immediately closed and shall not reopen until the Governor determines that it shall reopen. A task force comprised of the following seven members shall assist the Governor in making this determination: the Executive Director of the Youth Justice Commission, or a designee; the Attorney General, or a designee; the Child Advocate, or a designee; the Commissioner of Children and Families, or a designee; one public member; a director of a county juvenile detention facility, but not of the county facility being evaluated; and a member of the board of chosen freeholders of the county within which the facility being evaluated is located.
##### **§ 52:17B-171.8** Information on Youth Justice Commission website. {#sec-52-17b-171.8 omnilex-key=us-nj-statutes--title-52--52:17B-171.8}
9. The Youth Justice Commission shall include the following information on the commission's website:
a. All reports monitoring the operations of county juvenile detention centers, including, but not limited to, any corrective actions taken against or penalties imposed on a center, if applicable; and
b. The rated census capacity and the average monthly population for each county juvenile detention center.
##### **§ 52:17B-171.9** Training curriculum for juvenile detention officers on mental health needs of juvenile detention population. {#sec-52-17b-171.9 omnilex-key=us-nj-statutes--title-52--52:17B-171.9}
10. The Youth Justice Commission shall, in conjunction with the Police Training Commission and mental health experts, develop a training curriculum for juvenile detention officers and youth workers focusing on the mental health needs of the juvenile detention population.
##### **§ 52:17B-171.10** Annual report to Governor, Legislature. {#sec-52-17b-171.10 omnilex-key=us-nj-statutes--title-52--52:17B-171.10}
11. The Youth Justice Commission, in conjunction with the Department of Children and Families, shall annually submit to the Governor and the Legislature, for seven years following the effective date of this act, a report detailing:
a. the number of suicides and suicide attempts at each county juvenile detention facility;
b. the number of suicide and mental health screenings that have been conducted at each facility and the number of juveniles whose screenings have indicated a warning or caution;
c. the number of juveniles who have been referred for additional screening or evaluation; and
d. a summary of the diagnoses for juveniles who have received treatment.
##### **§ 52:17B-171.11** Rules, regulations; penalties, fines. {#sec-52-17b-171.11 omnilex-key=us-nj-statutes--title-52--52:17B-171.11}
12. The Youth Justice Commission, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) shall adopt rules and regulations necessary to implement the provisions of this act, which may include:
a. penalties for continued violations of the manual of standards applicable to county detention centers; and
b. a graduated system of intermediate fines and penalties for violations of the provisions of the act.
##### **§ 52:17B-171.12** Reinstatement of juvenile in Medicaid program upon release. {#sec-52-17b-171.12 omnilex-key=us-nj-statutes--title-52--52:17B-171.12}
8. The Youth Justice Commission shall ensure that prior to the scheduled date of release of a juvenile from a detention facility or a facility in which the juvenile was incarcerated, the appropriate staff at the facility notify the applicable county welfare agency to process the reinstatement of the juvenile in the Medicaid program if the juvenile was enrolled in Medicaid prior to detention or incarceration and continues to meet eligibility requirements for the program.
As used in this act, "Medicaid" means the Medicaid program established pursuant to P.L.1968, c.413 (C.30:4D-1 et seq.).
##### **§ 52:17B-171.13** Regulations relative to room restriction for juveniles. {#sec-52-17b-171.13 omnilex-key=us-nj-statutes--title-52--52:17B-171.13}
5. a. A juvenile detained in, or sentenced to, a State juvenile correctional facility or county juvenile detention center shall not be subject to room restriction unless the juvenile poses an immediate and substantial risk of harm to others or to the security of the facility, and all other less-restrictive options have been exhausted.
b. A juvenile may be subject to room restriction only for the minimum time required to address the safety risk and for a period that does not compromise the mental and physical health of the juvenile, but in no case shall a juvenile be held in room restriction for more than eight consecutive waking hours without being released for at least two hours for recreation and exercise.
c. A juvenile who is 15 years of age or younger shall not be subject to room restriction for more than two consecutive days. A juvenile who is 16 years of age or older but younger than 18 years of age shall not be subject to room restriction for more than three consecutive days. A juvenile who is 18 years of age or older shall not be subject to room restriction for more than five consecutive days. A juvenile shall not be subject to room restriction for more than 10 total days in a calendar month.
d. Juveniles subject to room restriction shall continue to receive health, mental health, and educational services.
e. Each State correctional facility or county juvenile detention facility shall document, in aggregate, the use of room restriction, including the dates and duration of each occurrence, the reason for placement in room restriction, and the race, age, and gender of the juvenile placed in room restriction. If any health or mental health clinical evaluations were performed, it shall be affirmatively certified that the results of those evaluations were considered in any decision to place the juvenile in room restriction or to continue room restriction.
The aggregate data compiled pursuant to this subsection shall be:
(1) made available for public inspection pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.), commonly known as the open public records act; and
(2) published on the official Internet website of the Youth Justice Commission.
f. This section shall not prohibit the use of single-person rooms or cells for the housing of juveniles in State correctional or county juvenile detention centers.
g. This section does not apply to juveniles in court holding facilities or adult facilities.
h. Nothing in this section shall be construed to conflict with any law providing greater or additional protections to juveniles.
i. For the purposes of this section, "room restriction" shall mean the placement of a juvenile in a State juvenile correctional facility or county juvenile detention center in a locked room or cell, alone or with one other person, for 22 to 24 hours per day. Room restriction shall not include confinement of a juvenile in a single-person room or cell for brief periods of locked-room confinement necessary for institutional operations, including, but not limited to, shift changes, showering, and unit movements.
##### **§ 52:17B-171.14** Collection, use of data relative to incarceration of juveniles. {#sec-52-17b-171.14 omnilex-key=us-nj-statutes--title-52--52:17B-171.14}
18. a. The Youth Justice Commission shall establish a program to collect, record, and analyze data regarding juveniles who were sentenced to a term of incarceration. In furtherance of this program, the commission shall collect the following data:
(1) the offense for which the juvenile was incarcerated; the term of incarceration imposed on the juvenile, including a term of incarceration imposed for a violation of parole; the age, gender, race, and ethnicity of the juvenile; the county where the juvenile was adjudicated delinquent; the classification of the juvenile; and whether the juvenile was sentenced to an extended term of incarceration;
(2) aggregate data of incidents of violence, suicide, suicide attempts, hospitalizations, and any form of segregation or isolation of a juvenile for all facilities where juveniles are placed; and
(3) the amount of time remaining on each sentence of incarceration imposed on a juvenile whose parole was revoked; whether the violation that was the basis for the revocation was technical or based upon a new offense; the age, gender, race, and ethnicity of the juvenile; and the county where the juvenile's parole was revoked by the court.
b. The commission shall prepare and publish on its Internet website biennial reports summarizing the aggregated data collected, recorded, and analyzed pursuant to subsection a. of this section.
c. The commission shall publish on its Internet website the criteria that are used to determine whether a juvenile is granted parole. The commission also shall provide this information to every juvenile who is sentenced to a term of incarceration.
##### **§ 52:17B-171.15** Statutory or court-ordered fines, fees, costs, or other monetary penalties. {#sec-52-17b-171.15 omnilex-key=us-nj-statutes--title-52--52:17B-171.15}
7. On or after the effective date of P.L.2021, c.342:
a. any unpaid outstanding balance of any statutory or court-ordered fines, fees, costs, or other monetary penalties previously assessed or imposed upon a juvenile or the juvenile's parent or guardian in relation to a juvenile delinquency complaint shall be unenforceable and uncollectable and the portion of any judgment that imposed those fines, fees, costs, or monetary penalties shall be vacated;
b. all unsatisfied civil judgments based on statutory or court-ordered fines, fees, costs, or other monetary penalties previously assessed or imposed upon a juvenile or the juvenile's parent or guardian in relation to a juvenile delinquency complaint are deemed to be null and void and, for all legal purposes, shall be vacated and discharged; and
c. all warrants issued solely based on the alleged failure of a juvenile or a juvenile's parent or guardian to pay or to appear on a court date set for the sole purpose of payment of statutory or court-ordered fines, fees, costs, or other monetary penalties previously assessed or imposed in relation to a juvenile delinquency complaint shall be reviewed and vacated consistent with the provisions of P.L.2021, c.342.
The provisions of this section shall apply to any fines, fees, costs, or other monetary penalties which were imposed prior to, and which are imposed subsequent to, the effective date of this act.
##### **§ 52:17B-172** Advisory council to Youth Justice Commission. {#sec-52-17b-172 omnilex-key=us-nj-statutes--title-52--52:17B-172}
4. a. The advisory council to the Youth Justice Commission shall consist of the following members:
(1) The Commissioner of the Department of Labor and Workforce Development, the Commissioner of the Department of Health, the Commissioner of the Department of Community Affairs, the Chairperson of the Civil Service Commission, the Public Defender and a county prosecutor selected by and serving at the pleasure of the Governor or a person designated by one of the forenamed officers to serve in that officer's place;
(2) Nine members who shall be selected for their knowledge, competence, experience or interest in the juvenile justice system. Appointments shall be made as follows: three by the President of the Senate, no more than two of whom shall be of the same political party; three by the Speaker of the General Assembly, no more than two of whom shall be of the same political party and three by the Governor, no more than two of whom shall be of the same political party.
b. The term of office of each public member of the advisory council shall be three years; except that of the first members appointed, one appointed by the Governor, one by the President of the Senate and one by the Speaker of the General Assembly shall be appointed for a term of one year, one appointed by the Governor, one by the President of the Senate and one by the Speaker of the General Assembly shall be appointed for a term of two years and the remaining three members shall be appointed for a term of three years. Each member shall serve until a successor has been appointed and qualified, and vacancies shall be filled in the same manner as the original appointments for the remainder of the unexpired term. A member is eligible for reappointment to the council.
c. The Governor shall appoint the chair of the advisory council from among the members of the council. The chair shall serve at the pleasure of the Governor during the Governor's term of office and until the appointment and qualification of the chair's successor. The members of the council shall elect a vice-chair from among the members of the council.
d. The members of the council shall receive no compensation for their services.
##### **§ 52:17B-173** Functions, powers, duties, authority of advisory council. {#sec-52-17b-173 omnilex-key=us-nj-statutes--title-52--52:17B-173}
5. The advisory council shall have the following functions, powers, duties and authority:
a. To meet at least quarterly and at such other times as designated by the executive director or the chair of the advisory council;
b. To establish any committees to carry out its responsibilities;
c. To advise the executive director regarding the implementation of the recommendations included in the final report submitted pursuant to Executive Order 10 of 1994; the master plan submitted pursuant to section 2 of P.L.1995, c.284 (C.52:17B-170); the integration, coordination and collaboration of programs, services and sanctions for juveniles; and the actions to be taken to increase public awareness of the juvenile justice system and its needs; and
d. To ensure the programs, services and sanctions for juvenile offenders are striving to provide balanced attention to the protection of the community, imposing accountability for offenses committed, fostering interaction and dialogue between the offender, victim and community and developing competencies in the juveniles to enable them to become responsible and productive members of the community.
##### **§ 52:17B-174** Juvenile corrections officers. {#sec-52-17b-174 omnilex-key=us-nj-statutes--title-52--52:17B-174}
6. a. The Youth Justice Commission shall employ, within the limits of available funds, juvenile corrections officers to staff each State secure juvenile facility and to provide security for other State juvenile facilities and programs including parole programs as deemed appropriate and to perform all other duties related to enforcement of confinement and conditions of release including execution of warrants and legal process. Juvenile corrections officers shall be in the competitive division of the career service established pursuant to N.J.S.11A:3-2, "policemen" within the meaning of section 1 of P.L.1944, c.255 (C.43:16A-1) and members of the Police and Firemen's Retirement System of New Jersey established pursuant to section 2 of P.L.1944, c.255 (C.43:16A-2), and shall be "employees" within the meaning of section 3 of P.L.1941, c.100 (C.34:13A-3).
b. Except as provided in subsection c. of this section, no person shall be appointed as a juvenile corrections officer unless that person:
(1) Is a citizen of the United States;
(2) Is able to read, write and speak the English language well and intelligently;
(3) Has a high school diploma or its equivalent;
(4) Is sound in body and of good health;
(5) Is of good moral character;
(6) Has not been convicted of any offense which would make the person unfit to perform the duties of a juvenile corrections officer;
(7) Has successfully completed the training course approved by the Police Training Commission and required by section 5 of P.L.1988, c.176 (C.52:17B-68.1) or is exempt pursuant to the provisions of that section; and
(8) Meets such other qualifications, including education and training, as may be specified by the commission in consultation with the Civil Service Commission.
c. (1) Pending appointment of a full complement of juvenile corrections officers who meet the requirements of subsection b. of this section, the commission and the Commissioner of Corrections shall arrange through agreement for the assignment of corrections officers necessary to fill the positions transferred pursuant to section 8 of P.L.1995, c.284 (C.52:17B-176). Corrections officers assigned to the commission pursuant to such an agreement shall be under the supervision of the commission during the period of assignment as provided by the agreement between the commission and the Commissioner of Corrections. The primary concerns of all agreements governing assignment and supervision shall be public safety and safety within the facilities and programs. No officer assigned pursuant to such an agreement shall, by virtue of such assignment, be considered an employee of the commission or lose or suffer any diminution of any right, power, privilege or benefit to which the employee would otherwise be entitled pursuant to the provisions of Title 11A of the New Jersey Statutes, Title 34 of the Revised Statutes, or Title 43 of the Revised Statutes, including any rights, powers, privileges or benefits as to salary, seniority, promotion, re-employment, retirement, pension or representation for purposes of collective bargaining;
(2) Notwithstanding the provisions of subsection b. of this section, a corrections officer assigned to the commission pursuant to this section shall not be considered ineligible for the position of juvenile corrections officer solely because the officer does not meet any educational or training requirement the commission may establish and may be appointed as a juvenile corrections officer if the officer applies for such position within 18 months of the effective date of this act. A juvenile corrections officer appointed pursuant to this subsection shall not be deprived of any right or protection provided by Title 11A of the New Jersey Statutes or any pension or retirement system and, notwithstanding any law or regulation to the contrary, shall be eligible to compete for vacant positions within the Department of Corrections with full credit for experience, service and rank earned as an employee of the Department of Corrections and such credit for experience, service and rank earned as an employee of the commission as the Commissioner of Corrections, after consultation with the Civil Service Commission, deems appropriate.
d. Each juvenile corrections officer shall by virtue of such employment and in addition to any other power or authority, be empowered to act as an officer for the detection, apprehension, arrest and adjudication of offenders against the law and, subject to regulations promulgated by the commission and conditions set forth in N.J.S.2C:39-6, shall have the authority to possess and carry a firearm.
##### **§ 52:17B-175** Responsibilities of other departments. {#sec-52-17b-175 omnilex-key=us-nj-statutes--title-52--52:17B-175}
7. a. Notwithstanding the Juvenile Justice Commission's responsibility for State secure juvenile facilities and State juvenile facilities and programs, the Department of Corrections, through agreement with the commission, shall provide central transportation, communication and other services required by the commission in connection with the operation of these facilities and the custody and care of juveniles confined in the facilities.
b. Notwithstanding the commission's responsibility for State secure juvenile facilities and State juvenile facilities, the Department of Children and Families shall provide care and custody for juveniles placed under the care and custody or committed to the department pursuant to paragraphs (5), (6) and (7) of subsection b. of section 24 of P.L.1982, c.77 (C.2A:4A-43).
c. The commission and the Commissioner of Children and Families shall formulate a plan to provide adequate and appropriate mental health services to juveniles in secure juvenile facilities and juvenile facilities operated by the commission. The commission and the Commissioner of Children and Families shall jointly adopt regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), establishing the procedures included in the plan. The plan shall include the following:
(1) Procedures for identifying juveniles in need of such services upon admission to and while in a facility, including procedures for evaluation;
(2) Procedures for providing appropriate and adequate treatment and for terminating treatment when it is no longer needed;
(3) Procedures for ensuring cooperation between employees of the commission and the Department of Children and Families; and
(4) Procedures for review and revision of the plan.
d. The commission, through agreement with the Attorney General, the Commissioner of Corrections or the Commissioner of Children and Families as appropriate, shall arrange to provide such other services as may be required by the commission and may enter into other agreements as authorized pursuant to R.S.52:14-1 et seq. or any other law of this State.
e. The commission and the Commissioner of Corrections shall, consistent with applicable State and federal standards, formulate a plan setting forth procedures for transferring custody of any juvenile incarcerated in a juvenile facility who has reached the age of 18 during confinement and whose continued presence in the juvenile facility threatens the public safety, the safety of juvenile offenders, or the ability of the commission to operate the program in the manner intended. The commission and the Commissioner of Corrections shall jointly adopt regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), establishing the procedures included in the plan. At a minimum, the plan shall require that:
(1) the juvenile be notified, in writing, of the proposed transfer and the factual basis supporting the transfer;
(2) the juvenile be provided with the opportunity to be heard and to present opposition;
(3) the juvenile be represented by the Office of the Public Defender, unless the juvenile chooses to be represented by nonprofit counsel or engage private counsel at the juvenile's expense;
(4) the decision to proceed with the transfer be made by an impartial person; and
(5) written findings of the facts supporting the decision to proceed with the transfer accompany the decision.
##### **§ 52:17B-176** Facilities, inmates, equipment, personnel, etc. transferred to Youth Justice Commission. {#sec-52-17b-176 omnilex-key=us-nj-statutes--title-52--52:17B-176}
8. a. The following are transferred to the Youth Justice Commission:
(1) The custody and care of any juvenile adjudicated delinquent and committed or classified to the custody of the Department of Corrections or committed or classified to the custody or care of the Division of Juvenile Services of the Department of Human Services, pursuant to section 24 of P.L.1982, c.77 (C.2A:4A-43) as modified by Reorganization Plan No. 001-1993, P.L.1993, c.283, and Executive Order No. 93 of 1993, or serving a term of incarceration in a county detention facility pursuant to section 1 of P.L.1992, c.211 (C.2A:4A-44.1);
(2) The New Jersey Training School for Boys created pursuant to R.S.30:1-7 and transferred to the Commissioner of Corrections pursuant to section 8 of P.L.1976, c.98 (C.30:1B-8) and the Juvenile Medium Security Facility created pursuant to R.S.30:1-7;
(3) All residential and day care facilities and programs established pursuant to the powers delegated to the Division of Juvenile Services, Department of Corrections, by the Commissioner of the Department of Corrections pursuant to his powers contained in P.L.1976, c.98 (C.30:1B-1 et seq.), along with all those youth committed to participate therein by court order, law, classification, regulation or contract which were subsequently transferred to the Division of Juvenile Services, Department of Human Services by Reorganization Plan No. 001-1993;
(4) All furnishings and equipment presently located in the institutions and programs of the Division of Juvenile Services and in the institutions and programs of the Department of Corrections transferred to the commission pursuant to subsections b. and c. of this section, and, except as provided in section 6 of P.L.1995, c.284 (C.52:17B-174), all staff assigned to those institutions and programs, including administrative and support staff;
(5) All operating and capital funding demarcated for the institutions and programs set forth in this section, including funding from bonds and funding for administrative costs associated with the institutions and programs;
(6) All functions, powers, duties and authority of the Commissioner of Corrections, including any transferred to the Commissioner of Human Services pursuant to Reorganization Plan No. 001-1993, with respect to all juvenile detention facilities throughout the State pursuant to section 18 of P.L.1982, c.77 (C.2A:4A-37);
(7) The powers, duties and responsibilities of the Commissioner of Corrections for establishing standards and monitoring of juvenile detention facilities pursuant to section 18 of P.L.1982, c.77 (C.2A:4A-37), transferred to the Commissioner of Human Services by Reorganization Plan No. 001-1993;
(8) All existing written agreements made between county governments and the Department of Corrections or the Department of Human Services concerning juvenile detention centers are hereby modified to transfer the responsibilities, duties and obligations specified in these agreements between the county governments and the commission;
(9) The Juvenile Detention Monitoring Unit, Department of Corrections, established pursuant to the powers of the Commissioner of Corrections pursuant to P.L.1976, c.98 (C.30:1B-1 et seq.), to fulfill the obligations of the Department of Corrections in monitoring juvenile detention centers throughout the State pursuant to the Federal "Juvenile Justice and Delinquency Prevention Act of 1974," as amended, and pursuant to section 18 of P.L.1982, c.77 (C.2A:4A-37), which was transferred to the Department of Human Services by Reorganization Plan No. 001-1993, along with its staff, powers, duties and responsibilities;
(10) The legal custody and supervision of each juvenile parolee; the functions, powers, duties and authority of the State Parole Board established pursuant to P.L.1979, c.441 (C.30:4-123.45 et seq.), regarding juvenile offenders are continued, but the State Parole Board shall file all of its reports and recommendations regarding juveniles with the commission;
(11) All funding, programs and positions created or dedicated to provide juvenile parole services by the Bureau of Parole within the Department of Corrections in accordance with an agreement between the Executive Director of the commission and the Commissioner of Corrections in consultation with the State Parole Board when an orderly transfer of the function has been completed including appropriate changes in the reporting requirements, funding, positions, and administrative housing and support;
(12) The powers, duties, and responsibilities of the Office of Education created and established in the Departments of Corrections and Human Services pursuant to the "State Facilities Education Act of 1979," sections 12 and 13 of P.L.1979, c.207 (C.18A:7B-8 and 18A:7B-9) for the education of those juvenile offenders whose custody is transferred to the commission pursuant to this act is transferred to the Office of Education established in the commission pursuant to section 10 of P.L.1995, c.284 (C.52:17B-178) along with staff, existing and future moneys and other educational resources demarcated for juveniles whose custody is transferred pursuant to this act, including funds collected pursuant to the authority granted in the "State Facilities Education Act of 1979," P.L.1979, c.207 (C.18A:7B-1 et seq.), federal and State educational grants and contract funds received for the benefit of juvenile offenders whose custody is transferred pursuant to this act;
(13) The powers, duties, and responsibilities of the Bureau of Juvenile Justice, including the Juvenile Justice and Delinquency Prevention Unit, in the Division of Criminal Justice, Department of Law and Public Safety established pursuant to section 4 of P.L.1948, c.439 (C.52:17B-4), along with its staff, powers, duties and responsibilities; and
(14) All funding appropriated to the Department of Human Services and demarcated for distribution by the department for youth services commission funding.
b. Whenever in any law, rule, regulation, order, contract, lease, document, judicial or administrative proceeding or otherwise, reference is made to the Commissioner of the Department of Corrections regarding a juvenile or juvenile offender as defined in P.L.1982, c.77 (C.2A:4A-20 et seq.), or is made to the Division of Juvenile Services transferred from the Department of Corrections to the Department of Human Services by Reorganization Plan No.001-1993 the same shall mean and refer to the commission.
##### **§ 52:17B-177** Transfer of functions, powers, duties, authority {#sec-52-17b-177 omnilex-key=us-nj-statutes--title-52--52:17B-177}
9. a. Except as otherwise provided in subsection b. of this section and section 6 of P.L.1995, c.284 (C.52:17B-174), all transfers directed by this plan shall be made in accordance with the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.), pursuant to agreements between the commission and the Commissioner of Corrections, the Commissioner of Human Services or the Attorney General, as may be appropriate, that provide for an orderly transfer of functions, powers, duties and authority including appropriate changes in the reporting requirements, funding, positions, and administrative housing. Such agreements shall be made within 90 days of the effective date of this act.
b. (1) Teachers transferred shall retain all tenure or, if non-tenured, all time served toward tenure.
(2) No parole officers or Human Services police officers shall be transferred pursuant to section 8 of P.L.1995, c.284 (C.52:17B-176), but the commission and the Commissioner of Corrections and the Commissioner of Human Services, as appropriate, shall arrange through agreement for the assignment of officers necessary to fill the officer positions transferred pursuant to section 8 of P.L.1995, c.284 (C.52:17B-176). Parole officers and Human Services Police Officers assigned to the commission pursuant to such an agreement shall be under the supervision of the commission during the period of assignment as provided by the agreement between the commission and the appropriate commissioner but no officer assigned shall, by virtue of such assignment, be considered an employee of the commission or lose or suffer any diminution of any right, power, privilege or benefit to which the employee would otherwise be entitled pursuant to the provisions of Title 11A of the New Jersey Statutes, Title 34 of the Revised Statutes, or Title 43 of the Revised Statutes including any rights, powers, privileges or benefits as to salary, seniority, promotion, re-employment, retirement, pension or representation for purposes of collective bargaining.
(3) All rules and regulations promulgated by the Commissioner of Corrections or the Commissioner of Human Services pertaining to functions, powers, duties and authority transferred to the commission pursuant to section 8 of P.L.1995, c.284 (C.52:17B-176) shall be considered rules or regulations of the commission and, as such, shall remain in full force and effect until expiration or modification by the commission in accordance with law.
##### **§ 52:17B-178** Office of Education established. {#sec-52-17b-178 omnilex-key=us-nj-statutes--title-52--52:17B-178}
10. There is hereby created and established in the Youth Justice Commission an Office of Education to be headed by a Director of Educational Services who shall supervise the educational programs in all juvenile facilities operated by the Youth Justice Commission and shall approve, except as provided in section 9 of P.L.1995, c.284 (C.52:17B-177) all personnel to be hired for such programs.
The director shall hold the appropriate certificate issued by the State Board of Examiners and shall be qualified by training and experience for his position and shall be appointed by the executive director with the approval of the executive board. The director shall serve at the pleasure of the executive board.
The director shall establish primary, secondary, and vocational programs which meet the educational needs of school age persons for whom the commission is responsible. Appropriate credit and certification shall be given for the successful completion of such programs.
##### **§ 52:17B-179** State/Community Partnership Grant Program established {#sec-52-17b-179 omnilex-key=us-nj-statutes--title-52--52:17B-179}
1. a. A State/Community Partnership Grant Program is established within the Youth Justice Commission established pursuant to section 2 of P.L.1995, c.284 (C.52:17B-170) to support, through grants allocated to county youth services commissions established pursuant to P.L.1995, c.282 (C.52:17B-180), facilities, sanctions and services for juveniles adjudicated or charged as delinquent and programs for prevention of juvenile delinquency. This program is established in order to:
(1) Encourage development of sanctions and services for juveniles adjudicated and charged as delinquent and programs for prevention of juvenile delinquency that protect the public, ensure accountability and foster rehabilitation;
(2) Increase the range of sanctions for juveniles adjudicated delinquent;
(3) Reduce overcrowding in State juvenile institutions and other facilities to ensure adequate bed space for serious, violent and repetitive offenders;
(4) Reduce overcrowding in county detention facilities;
(5) Provide greater access to community-based sanctions and services for minority and female offenders;
(6) Expand programs designed to prevent juvenile delinquency; and
(7) Promote public safety by reducing recidivism.
b. The Youth Justice Commission shall administer the State/Community Partnership Grant Program and shall:
(1) Establish criteria and procedures for grant applications and disbursement by regulation;
(2) Determine how best to allocate Partnership funds;
(3) Set standards and procedures for eligibility, operation, supervision and evaluation;
(4) Advise and assist county youth services commissions in preparation of county plans and grant applications;
(5) Award grants;
(6) Set standards for and determine eligibility for continued Partnership funding;
(7) Collect and provide information about community-based services and sanctions; and
(8) Monitor and evaluate implementation of county plans and the provision of services, sanctions and programs provided pursuant to this act.
##### **§ 52:17B-180** Qualification for State/Community Partnership Grant Funds. {#sec-52-17b-180 omnilex-key=us-nj-statutes--title-52--52:17B-180}
1. a. In order to qualify for award of State/Community Partnership Grant funds established pursuant to P.L.1995, c.283 (C.52:17B-179) a county shall:
(1) Establish a county youth services commission in accordance with regulations promulgated by the Youth Justice Commission established pursuant to section 2 of P.L.1995, c.284 (C.52:17B-170);
(2) Submit and obtain Youth Justice Commission approval of a triennial comprehensive plan for services and sanctions for juveniles adjudicated or charged as delinquent and programs for the prevention of juvenile delinquency which:
(a) are designed to promote the goals of P.L.1995, c.283 (C.52:17B-179);
(b) provide recommendations for funding of programs, sanctions and services that enhance and expand the range of sanctions and services for juveniles adjudicated or charged as delinquent and programs designed to prevent delinquency;
(c) make services available in geographical locations within the county where juveniles in need reside; and
(d) provide for distribution of State/Community Partnership Grant funds by the county in accordance with contracts or agreements executed by the appropriate county officials in accordance with applicable law.
b. The Youth Justice Commission shall establish by regulation:
(1) Specific guidelines as to membership of a county youth services commission;
(2) Specific requirements for the administration of the State/Community Partnership Grant funds awarded by the county.
c. Notwithstanding the provisions of subsection a. of this section, the county governing body may elect, upon annual written request approved by the executive director, to designate a commission, council or agency to assume the responsibilities of a county youth services commission in that county. Approval of such a request shall be contingent upon the governing body demonstrating that the membership of the designated entity is sufficiently representative of persons and agencies interested in the juvenile justice system to permit the entity to perform the duties and responsibilities of a county youth services commission, that the members of the designated entity are otherwise qualified to perform the duties and responsibilities of members of a county youth services commission, and that the designated entity has the authority and responsibility to carry out the duties and responsibilities of a county youth services commission.
d. A county youth services commission shall:
(1) Recommend to the governing body of the county the approval or disapproval of contracts with local government or private agencies that desire participation in the State/Community Partnership Grant Program;
(2) Monitor the operations of programs receiving State/Community Partnership Grant funds with reference to compliance with standards, policies and rules established by the Youth Justice Commission;
(3) Monitor and evaluate the impact of the programs receiving State/Community Partnership Grant funds, including the nature of the offender or at risk populations served by the funded programs, and prepare a written report with relevant documentation, on an annual basis, to be submitted to the Youth Justice Commission as part of the commission's triennial plan and annual update; and
(4) Perform such other duties as may be established by the Youth Justice Commission to achieve the purposes of P.L.1995, c.284 (C.52:17B-169 et seq.) which creates the Youth Justice Commission and P.L.1995, c.283 (C.52:17B-179) which creates the State/Community Partnership Grant Program.
e. No county may use funds received pursuant to this section to supplant or replace existing funds or other resources from federal, State or county government for existing juvenile justice-related programs or for purposes of capital construction or renovation.
f. If a county elects not to participate in the State/Community Partnership Grant Program, the commission is authorized to allocate and expend that county's share of Partnership funding in a manner consistent with the commission's Juvenile Justice Master Plan.
##### **§ 52:17B-181** Short title {#sec-52-17b-181 omnilex-key=us-nj-statutes--title-52--52:17B-181}
1. This act shall be known and may be cited as the "Stabilization and Reintegration Act."
##### **§ 52:17B-182** Findings, declarations relative to a correctional, rehabilitative program for juvenile, youthful offenders {#sec-52-17b-182 omnilex-key=us-nj-statutes--title-52--52:17B-182}
2. The Legislature finds and declares that there is a present need to provide for certain juvenile and young adult offenders a special program of incarceration stressing a highly structured routine of discipline, regimentation, exercise and work therapy, together with substance use disorder and self-improvement counseling, education and an intensive program of aftercare supervision.
The Legislature further finds and declares that such a program would:
a. Develop positive attitude and behavior traits which will foster the work ethic and contribute to the maturity of the participants by utilizing proven techniques of regimentation and structured discipline;
b. Foster self-control, self-respect, teamwork and improved work habits for such offenders so as to enable these offenders to return to society as law-abiding citizens;
c. Provide young adult and juvenile offenders with a rehabilitative experience which will positively influence their behavior and help thwart future criminal activity;
d. Allow for a more creative use of correctional resources than the simple custody of prisoners;
e. Reduce corrections costs by shortening stays of incarceration;
f. Increase an offender's potential for rehabilitation and decrease recidivism by providing a structured, integrated and comprehensive treatment program which includes both an institutional regimen and an intensively supervised aftercare component in the community;
g. Provide meaningful and productive work opportunities and vocational training to enhance and expand offenders' marketable skills; and
h. Help to alleviate overcrowding in prisons and juvenile facilities.
##### **§ 52:17B-183** Definitions {#sec-52-17b-183 omnilex-key=us-nj-statutes--title-52--52:17B-183}
3. As used in this act:
a. "Commission" means the Youth Justice Commission in, but not of, the Department of Law and Public Safety established pursuant to P.L.1995, c.284 (C.52:17B-169 et seq.).
b. "Commissioner" means the Commissioner of the Department of Corrections.
c. "Juvenile offender" means a person at least 14 years old at the time of disposition who has been adjudicated delinquent for an act which, if committed by an adult, would constitute a crime, excluding an adjudication for any act which would constitute a crime of the first degree or a crime under chapter 14 of Title 2C of the New Jersey Statutes.
d. "Youthful offender" means a person between 18 and 30 years of age who has been convicted of a crime, excluding any person convicted of:
(1) a crime of the first degree;
(2) a crime under chapter 14 of Title 2C of the New Jersey Statutes;
(3) a crime which requires the imposition of a mandatory term of imprisonment without eligibility for parole, unless the person has less than one year of the mandatory portion of the sentence remaining; or
(4) a crime of the second degree under any of the following: N.J.S.2C:11-4, N.J.S.2C:12-1, N.J.S.2C:13-1, N.J.S.2C:15-1, N.J.S.2C:18-2 or N.J.S.2C:39-4 for possession of a weapon with the purpose of using it unlawfully against the person of another.
##### **§ 52:17B-184** "Stabilization and Reintegration Program." {#sec-52-17b-184 omnilex-key=us-nj-statutes--title-52--52:17B-184}
4. a. If funds are expressly appropriated for such purpose, and to the extent of such appropriation, the commissioner shall establish and operate a program, entitled "Stabilization and Reintegration Program" and to be known by the acronym of "SRP," for youthful offenders.
b. The commission shall establish and operate a program, entitled "Stabilization and Reintegration Program" and to be known by the acronym of "SRP," for juvenile offenders.
c. The commissioner and the commission may enter into a contract with a private corporation to establish and operate the programs set forth in this act if the commissioner and the commission determine that this option is in the best interests of the citizens of this State. Notwithstanding any other provision of law to the contrary, the private corporation selected as the contractor for the purpose of implementing this act may be a for-profit corporation.
##### **§ 52:17B-185** SRP component {#sec-52-17b-185 omnilex-key=us-nj-statutes--title-52--52:17B-185}
5. The SRP shall include the following components:
a. Stage I: A comprehensive, residential program consisting of appropriate:
(1) Highly structured routines of discipline;
(2) Physical exercise;
(3) Work;
(4) Substance use disorder counseling;
(5) Education and vocational training;
(6) Psychological counseling; and
(7) Self-improvement and personal growth counseling stressing moral values and cognitive reasoning.
b. Stage II: An intensive after-care program which includes work opportunities and vocational training. Offenders shall remain on parole during this period and shall be subject to reincarceration for parole violations.
##### **§ 52:17B-186** Offender's admittance into SRP; removal {#sec-52-17b-186 omnilex-key=us-nj-statutes--title-52--52:17B-186}
6. a. Any juvenile offender or youthful offender who is serving a term of incarceration may be assigned to the program by the commissioner or commission based upon passing the screening and assessment procedures for admission.
b. If an offender fails to comply with the requirements of the SRP, the offender may be removed from the program to serve the remainder of the sentence originally imposed and shall be eligible for parole pursuant to the provisions of P.L.1979, c.411 (C.30:4-123.51). The offender shall not subsequently be eligible for re-admission to the program.
##### **§ 52:17B-187** Reports {#sec-52-17b-187 omnilex-key=us-nj-statutes--title-52--52:17B-187}
7. No later than 24 months following the implementation of an SRP, the commissioner and the commission shall submit written reports to the Legislature and the Governor describing the implementation and operation of the juvenile and youthful offender SRP and assessing their performance. The reports shall include any recommendations for changes to the SRP deemed necessary for the more effective operation of the programs.
##### **§ 52:17B-188** Monitoring procedures {#sec-52-17b-188 omnilex-key=us-nj-statutes--title-52--52:17B-188}
8. The commissioner and the commission shall establish procedures to monitor the effectiveness of the programs.
##### **§ 52:17B-189** County boot camps preserved {#sec-52-17b-189 omnilex-key=us-nj-statutes--title-52--52:17B-189}
9. Nothing in this act shall be construed to prohibit a county from establishing a boot camp program.
##### **§ 52:17B-190** Other fines, penalties, etc. preserved {#sec-52-17b-190 omnilex-key=us-nj-statutes--title-52--52:17B-190}
11. Nothing in this act shall be construed to exempt any person who is admitted to the SRP program from the payment of any fine, penalty, restitution or other financial obligation imposed by law or the court as a result of any adjudication or conviction.
##### **§ 52:17B-191** Short title. {#sec-52-17b-191 omnilex-key=us-nj-statutes--title-52--52:17B-191}
1. This act may be known and shall be cited as the "High Technology Crimes and Interactive Computer Services Protection Act."
##### **§ 52:17B-192** Definitions relative to high technology crimes. {#sec-52-17b-192 omnilex-key=us-nj-statutes--title-52--52:17B-192}
2. As used in this act:
"Department" means the Department of Law and Public Safety. "Interactive computer service" means any information service, system, or access software provider that provides or enables computer access by multiple users to a computer server, including specifically a service or system that provides access to the internet and such systems operated or services offered by libraries or educational institutions.
"Internet" means the international computer network of both federal and non-federal interoperable packet switched data networks.
##### **§ 52:17B-193** Establishment, maintenance of information available through the Internet, continuing educational program; hotline telephone service {#sec-52-17b-193 omnilex-key=us-nj-statutes--title-52--52:17B-193}
3. a. The department shall establish and maintain information available through the Internet. The information shall include, but not be limited to, guidelines and recommendations on computer ethics, proper methods for reporting high technology crimes, safe computing practices for children and their families, and methods to filter, screen, or block the receipt of objectionable material on interactive computer services.
b. The department shall design a continuing educational program to inform law enforcement, educational, civic, and business groups on the emerging issues of high technology crimes, including those perpetrated through the use of interactive computer services. This continuing educational program shall be made available by the department through the Internet.
c. The department, in conjunction with the Statewide Computer Crime Task Force, shall establish and maintain a 24-hour toll-free hotline telephone service. The department shall take appropriate steps to publicize the hotline. The hotline shall receive and respond to inquiries or complaints from members of the public reporting computer crime, including, but not limited to, online distribution or possession of child sexual abuse or exploitation material, cyber-stalking, threats of violence in schools or other institutions, Internet fraud, and unauthorized intrusions into computer systems.
##### **§ 52:17B-193.1** Duties of provider relevant to knowledge of child endangerment. {#sec-52-17b-193.1 omnilex-key=us-nj-statutes--title-52--52:17B-193.1}
1. A provider of an electronic communication service, as that term is defined in section 2 of P.L.1968, c.409 (C.2A:156A-2), who, after obtaining actual knowledge of any facts or circumstances concerning endangerment of a child in violation of N.J.S.2C:24-4, and after reporting that information to the hotline established pursuant to section 3 of P.L.1998, c.134 (C.52:17B-193), or any successor hotline, shall retain that information for at least 180 days from the submission of the report.
##### **§ 52:17B-193.2** Definitions. {#sec-52-17b-193.2 omnilex-key=us-nj-statutes--title-52--52:17B-193.2}
1. As used in this act, P.L.2023, c.19 (C.52:17B-193.2 et seq.):
"Cybersecurity incident" means a malicious or suspicious event occurring on or conducted through a computer network that jeopardizes the integrity, confidentiality, or availability of an information system or the information the system processes, stores, or transmits.
"Cyber threat indicator" means information that is necessary to describe or identify:
(1) malicious reconnaissance, including, but not limited to, anomalous patterns of communication that appear to be transmitted for the purpose of gathering technical information related to a cybersecurity threat or vulnerability;
(2) a method of defeating a security control or exploitation of a security vulnerability;
(3) a security vulnerability, including, but not limited to, anomalous activity that appears to indicate the existence of a security vulnerability;
(4) a method of causing a user with legitimate access to an information system or information that is stored on, processed by, or transiting an information system to unwittingly enable the defeat of a security control or exploitation of a security vulnerability;
(5) malicious cyber command and control;
(6) the actual or potential harm caused by an incident, including but not limited to, a description of the data exfiltrated as a result of a particular cyber threat; and
(7) any other attribute of a cyber threat, if disclosure of such attribute is not otherwise prohibited by law.
"Defensive measure" means an action, device, procedure, signature, technique, or other measure applied to an information system or information that is stored on, processed by, or transiting an information system that detects, prevents, or mitigates a known or suspected cyber threat or security vulnerability, but does not include a measure that destroys, renders unusable, provides unauthorized access to, or substantially harms an information system or information stored on, processed by, or transiting such information system not owned by the entity operating the measure, or another entity that is authorized to provide consent and has provided consent to that private entity for operation of such measure.
"Government contractor" means an individual or entity that performs work for or on behalf of a public agency on a contract basis with access to or hosting of the public agency's network, systems, applications, or information.
"Information resource" means information and related resources, such as personnel, equipment, funds, and information technology.
"Information system" means a discrete set of information resources organized for the collection, processing, maintenance, use, sharing, dissemination, or disposition of information.
"Information technology" means any equipment or interconnected system or subsystem of equipment that is used in automatic acquisition, storage, manipulation, management, movement, control, display, switching, interchange, transmission, or reception of data or information used by a public agency or a government contractor under contract with a public agency which requires the use of such equipment or requires the use, to a significant extent, of such equipment in the performance of a service or the furnishing of a product.
The term information technology includes, but is not limited to, computers, ancillary equipment, software, firmware, and similar procedures, services, including support services, and related resources.
"Private entity" means any individual, corporation, company, partnership, firm, association, or other entity, but does not include a public agency as defined in this act, or a foreign government, or any component thereof.
"Public agency" means any public agency of the State or any political subdivision thereof.
##### **§ 52:17B-193.3** Report, cybersecurity incidents, New Jersey Office of Homeland Security and Preparedness. {#sec-52-17b-193.3 omnilex-key=us-nj-statutes--title-52--52:17B-193.3}
2. a. Every public agency and government contractor shall report cybersecurity incidents to the New Jersey Office of Homeland Security and Preparedness. The report shall be made within 72 hours of when the public agency or government contractor reasonably believes that a cybersecurity incident has occurred.
b. The New Jersey Office of Homeland Security and Preparedness shall receive and maintain cybersecurity incident notifications from public agencies, government contractors, and private entities in accordance with this act.
c. No later than 90 days after the effective date of this act, the Director of the New Jersey Office of Homeland Security and Preparedness shall establish cyber incident reporting capabilities to facilitate submission of timely, secure, and confidential cybersecurity incident notifications from public agencies, government contractors, and private entities to the office.
d. No later than 90 days after the effective date of this act, the New Jersey Office of Homeland Security and Preparedness shall prominently post instructions for submitting cybersecurity incident notifications on its website. The instructions shall include, at a minimum, the types of cybersecurity incidents to be reported and any other information to be included in the notifications made through the established cyber incident reporting system.
e. The cyber incident reporting system shall permit the New Jersey Office of Homeland Security and Preparedness to:
(1) securely accept a cybersecurity incident notification from any individual or private entity, regardless of whether the entity is a public agency or government contractor;
(2) track and identify trends in cybersecurity incidents reported through the cyber incident reporting system; and
(3) produce reports on the types of incidents, indicators, defensive measures, and entities reported through the cyber incident reporting system.
f. Any cybersecurity incident notification submitted to the New Jersey Office of Homeland Security and Preparedness pursuant to P.L.2023, c.19 (C.52:17B-193.2 et seq.) shall be deemed confidential, non-public, and not subject to the provisions of P.L.1963, c.73 (C.47:1A-1 et seq.), commonly known as the open public records act, as amended and supplemented, may not be discoverable in any civil or criminal action, and may not be subject to subpoena, unless the subpoena is issued by the New Jersey State Legislature and is deemed necessary for the purposes of legislative oversight.
g. Notwithstanding the provisions of subsection f. of this section, the New Jersey Office of Homeland Security and Preparedness may anonymize and share cyber threat indicators and relevant defensive measures to help prevent additional or future attacks and share cybersecurity incident notifications with relevant law enforcement authorities.
h. Information submitted to the New Jersey Office of Homeland Security and Preparedness through the cyber incident reporting system shall be subject to privacy and protection procedures developed and implemented by the office, which shall be based on the comparable privacy protection procedures developed for information received and shared pursuant to the federal Cyber Security Information Sharing Act of 2015 (6 U.S.C. s.1501 et seq.).
##### **§ 52:17B-193.4** Annual report, Governor, Legislature. {#sec-52-17b-193.4 omnilex-key=us-nj-statutes--title-52--52:17B-193.4}
3. Not later than one year after the date on which the cyber incident reporting system is established and at least once each year thereafter, the Director of the New Jersey Office of Homeland Security and Preparedness shall submit an annual report on its activities to the Governor, and to the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1). The report shall include, at a minimum:
a. information on the number of notifications received and a description of the cybersecurity incident types and associated mitigating measures taken during the one-year period preceding the publication of the report;
b. the categories of public agencies and government contractors that submitted cybersecurity notifications; and
c. any other information required in the submission of a cybersecurity incident notification, noting any changes from the report published in the previous year.
##### **§ 52:17B-194** Findings, determinations relative to child abduction. {#sec-52-17b-194 omnilex-key=us-nj-statutes--title-52--52:17B-194}
1. a. The Legislature finds and determines that:
Child abduction is an unconscionable and horrendous crime;
Parents, and all concerned adults, must be ever alert and vigilant to protect children, who by nature are unsuspecting and trusting, from those who would prey on them;
Despite all the attention and care, reports of child abductions and missing children seem to be on the rise;
Experts and law enforcement officials agree that the most critical moments in the search for an abducted child are the hours immediately after the disappearance, so critical, in fact, that one FBI official has asserted that if an abducted child is not found within two to four hours the chance of recovering that child alive is not good;
The ability to instantly create high quality photos and posters of a missing child and to disseminate them quickly throughout the community, the region, the State and even the nation is one of the most effective tools available to law enforcement agencies engaged in child recovery operations; and
Technology is now available which enables law enforcement agencies to mount fast, effective and coordinated responses to reports of missing or abducted children.
b. The Legislature declares that:
One of society's greatest responsibilities is to protect children;
With an estimated 2,300 child abductions occurring every day in the United States, this crime constitutes one of the primary threats to child safety and to the sense of security and well-being every family deserves and should rightfully expect; and
It is, therefore, altogether fitting and proper, and within the public interest, to establish a State aid program to assist law enforcement agencies in New Jersey in acquiring the technological tools necessary to combat child abductions and to mount fast, effective and coordinated responses to reports of missing or abducted children.
##### **§ 52:17B-194.1** Short title. {#sec-52-17b-194.1 omnilex-key=us-nj-statutes--title-52--52:17B-194.1}
1. This act shall be known and may be cited as "Amber's Plan."
##### **§ 52:17B-194.2** Findings, determinations relative to "Amber's Plan." {#sec-52-17b-194.2 omnilex-key=us-nj-statutes--title-52--52:17B-194.2}
2. a. The Legislature finds and determines that:
Public alerts can be one of the most effective tools in combating child abductions;
Law enforcement officers and other professionals specializing in the field of abducted and missing children agree that the most critical moments in the search for an abducted child are the first few hours immediately following the abduction, asserting that if a child is not found within two to four hours, it is unlikely that child will be found alive;
The rapid dissemination of information, including a description of the missing child, details of the abduction, abductor and vehicle involved, to the citizens of the affected community and region is, therefore, critical;
Alerted to an abduction, the citizenry become an extensive network of eyes and ears serving to assist law enforcement in quickly locating and safely recovering the child; and
The most effective method of immediately notifying the public of a child abduction is through the broadcast media.
b. The Legislature declares that:
Given the successes other states and regions have experienced in using broadcast media alerts to quickly locate and safely recover abducted children, it is altogether fitting and proper, and within the public interest, to establish such a program for New Jersey.
##### **§ 52:17B-194.3** Establishment of "Amber's Plan"; activation of Amber Alert, criteria. {#sec-52-17b-194.3 omnilex-key=us-nj-statutes--title-52--52:17B-194.3}
3. a. The Attorney General shall establish "Amber's Plan," a program authorizing the broadcast media, upon notice from the State Police, to transmit an emergency alert to inform the public of a child abduction. The program shall be a voluntary, cooperative effort between State and local law enforcement agencies and the broadcast media.
b. The Attorney General shall notify the broadcast media serving the State of New Jersey of the establishment of "Amber's Plan" and invite their voluntary participation.
c. The following criteria shall be met before the State Police activate the Amber Alert:
(1) The child is believed to be abducted;
(2) The child is 17 years of age or younger;
(3) The child may be in danger of death or serious bodily injury; and
(4) There is sufficient information available to indicate that an "Amber Alert" would assist in locating the child.
d. The participating media shall voluntarily agree, upon notice from the State Police, to transmit emergency alerts to inform the public of a child abduction that has occurred within their broadcast service regions. The notice shall be provided through the State Police operational dispatch unit.
The alerts shall be read after a distinctive sound tone and the statement: "This is an Amber Abducted Child Alert." The alerts shall be broadcast as often as possible, pursuant to the guidelines established by the New Jersey Broadcasters' Association, for the first three hours. After the initial three hours, the alert shall be rebroadcast at such intervals as the investigating authority, the State Police, and the participating media deem appropriate.
The alerts shall include a description of the child, such details of the abduction and abductor as may be known, and such other information as the State Police may deem pertinent and appropriate. The State Police shall in a timely manner update the broadcast media with new information when appropriate concerning the abduction.
The alerts also shall provide information concerning how those members of the public who have information relating to the abduction may contact the State Police or other appropriate law enforcement agency.
Concurrent with the notice provided to the broadcast media, the State Police operational dispatch unit shall also notify the Department of Transportation, the New Jersey Turnpike Authority, and the South Jersey Transportation Authority of the "Amber Alert." Through the use of their variable message signs, the department and the affected authorities shall inform the motoring public that an "Amber Alert" is in progress and provide information relating to the abduction and how motorists may report any information they have to the State Police or other appropriate law enforcement agency.
e. The alerts shall terminate upon notice from the State Police.
f. (1) The Attorney General, with the assistance of the participating broadcast media, shall develop and undertake a public education campaign to inform the public about "Amber's Plan" and the emergency alert program established under P.L.2002, c.129 (C.52:17B-194.1 et seq.).
(2) The Attorney General, in consultation with the State Police, shall develop and establish a plan to disseminate "Amber Alert" information through social media accounts maintained by the State Police. The emergency alert information required to be disseminated shall include, but not be limited to, a description of the missing child, any known details of the abduction and abductor, and a recognizable photograph of the missing child. The Office of the Governor, the Department of Children and Families, the Department of Health, and the Department of Human Services shall, and any other appropriate State, county, or municipal entity may, disseminate "Amber Alert" information made available by the State Police on their respective social media accounts.
g. The Attorney General may adopt guidelines to effectuate the purposes of P.L.2002, c.129 (C.52:17B-194.1 et seq.).
##### **§ 52:17B-194.3a** Definitions relative to wireless telephones, electronic communication devices issued by public entities. {#sec-52-17b-194.3a omnilex-key=us-nj-statutes--title-52--52:17B-194.3a}
1. As used in this act:
"National Wireless Amber Alerts Initiative" means the voluntary partnership between the wireless industry, the United States Department of Justice, and the National Center for Missing and Exploited Children to distribute Amber Alert text messages to wireless subscribers who register to receive the messages and are able to receive text messages on their wireless telephones or electronic communication devices.
"Public entity" means the State and any county, municipality, district, or political subdivision and any authority, agency, board, or body thereof that, on the effective date of P.L.2011, c.2 (C.52:17B-194.3a et seq.), is under contract with a wireless telephone company providing commercial mobile service as defined in 47 U.S.C. s.332 (d) that participates in the national Wireless Amber Alerts Initiative.
##### **§ 52:17B-194.3b** Receipt of wireless Amber Alert text messages by officer, employee of public entity. {#sec-52-17b-194.3b omnilex-key=us-nj-statutes--title-52--52:17B-194.3b}
2. Every officer or employee of a public entity who possesses a wireless telephone or electronic communication device which is issued by a public entity, is capable of receiving text messages, and is enrolled in or subscribed to a service or plan that enables the telephone or device to receive text messages shall subscribe with the national Wireless Amber Alerts Initiative to receive wireless Amber Alert text messages. The officer or employee shall, at a minimum, enroll the wireless telephone or electronic communication device in the initiative to receive wireless Amber Alert text messages for a zip code that corresponds to the city of his permanent residence and of his primary place of business. In the event that the officer or employee is not authorized to manage the account for the wireless telephone or electronic communication device issued by a public entity, such officer or employee shall request the administrator of the account to enroll the wireless telephone or electronic communication device to receive Amber Alert text messages in accordance with the provisions of this act.
##### **§ 52:17B-194.4** "Silver Alert System" established. {#sec-52-17b-194.4 omnilex-key=us-nj-statutes--title-52--52:17B-194.4}
1. a. The Attorney General shall establish a "Silver Alert System" which shall provide a Statewide system for the rapid dissemination of information regarding a missing person who is believed to have dementia or other cognitive impairment. The program shall be a voluntary, cooperative effort between State and local law enforcement agencies and the media, including but not limited to print, radio, and television media outlets.
b. (1) The Attorney General shall notify the media serving the State of New Jersey of the establishment of the Silver Alert System, and invite their voluntary participation.
(2) The Attorney General, in consultation with the Division of State Police, shall develop and establish a plan to disseminate Silver Alert information through social media accounts maintained by the Division of State Police. The Silver Alert information required to be disseminated shall include, but not be limited to, a description of the missing person, any known details of the disappearance, and a recognizable photograph of the missing person. The Office of the Governor, the Department of Children and Families, the Department of Health, and the Department of Human Services shall, and any other appropriate State, county, or municipal entity may, disseminate Silver Alert information made available by the Division of State Police on their respective social media accounts.
c. The Missing Persons Investigative Best Practices Protocol Unidentified Deceased Persons Investigative Guidelines, promulgated by the Missing Persons and Child Exploitation Unit in the Division of State Police, shall be revised to incorporate procedures for issuing an alert regarding missing persons believed to have dementia or other cognitive impairment. The guidelines and procedures shall ensure that specific health information about the missing person is not made public through the alert or otherwise.
##### **§ 52:17B-194.5** Activation of Silver Alert; requirements. {#sec-52-17b-194.5 omnilex-key=us-nj-statutes--title-52--52:17B-194.5}
2. A Silver Alert authorized under this section may be activated in accordance with the following requirements, which shall be incorporated into the guidelines required by subsection c. of section 1 of P.L.2009, c.167 (C.52:17B-194.4).
a. The law enforcement agency receiving the missing persons report shall be the lead law enforcement agency.
b. The Missing Persons and Child Exploitation Unit in the Division of State Police, upon request, shall assist the lead law enforcement agency in the investigation of a Silver Alert.
c. Each of the following criteria shall be met before a Silver Alert may be issued:
(1) the person believed to be missing is believed to have dementia or another cognitive impairment regardless of age;
(2) a missing person's report has been submitted to the local law enforcement agency where the person went missing;
(3) the person believed to be missing may be in danger of death or serious bodily injury;
(4) there is sufficient information available to indicate that a Silver Alert would assist in locating the missing person; and
(5) sufficient information is available to disseminate to the public that could assist in locating the person.
##### **§ 52:17B-194.6** Use of overhead permanent changeable message signs and emergency mass notification system to provide information on certain missing persons. {#sec-52-17b-194.6 omnilex-key=us-nj-statutes--title-52--52:17B-194.6}
3. a. The Missing Persons Unit in the Division of State Police, in consultation with the Department of Transportation, shall develop a procedure for the use of overhead permanent changeable message signs to provide information on a missing person meeting the criteria set forth in section 2 of P.L.2009, c.167 (C.52:17B-194.5) when information is available that would enable motorists to assist in the recovery of the missing person.
b. The Missing Persons Unit and the Department of Transportation shall develop guidelines for the content, length, and frequency of any message to be placed on the overhead permanent changeable message sign.
c. The procedure and guidelines required in subsections a. and b. of this section shall provide at a minimum that:
(1) overhead permanent changeable message signs may be activated only if accurate motor vehicle information is available and it is confirmed that the person was driving the motor vehicle at the time of the disappearance; and
(2) the lead law enforcement agency, upon determining that a Silver Alert is warranted, shall contact the New Jersey State Police Regional Operations Intelligence Center, which shall contact the Department of Transportation for activation of highway signs.
d. The Missing Persons Unit shall develop a procedure for the use of an emergency mass notification system with incident communications that facilitates rapid dissemination of urgent alerts to the public that contain information on a missing person by text message, voice call, electronic mail, mobile app notifications, social media platform, and any other user-friendly interface, as determined by the lead law enforcement agency, to provide information on a missing person meeting the criteria set forth in section 2 of P.L.2009, c.167 (C.52:17B-194.5), when information is available that would enable members of the public to assist in the recovery of the missing person.
e. The participating media may voluntarily agree, upon notice of the issuance of a Silver Alert, to inform the public of a person believed to be missing within their service regions. The notice shall be provided through the lead law enforcement agency. In addition, “Missing Person Silver Alerts” and any other relevant or appropriate notification information shall be communicated to the public through an emergency mass notification system with incident communications, in accordance with procedures established by the Missing Persons Unit pursuant to subsection d. of this section.
f. The alerts shall terminate upon notice from the lead law enforcement agency.
g. The alerts shall include a description of the missing person and any other information as the lead law enforcement agency may deem pertinent and appropriate. The lead law enforcement agency shall, in a timely manner, update the media with new information regarding the missing person when appropriate.
h. The alerts also shall provide information concerning how those members of the public who have information relating to the missing person may contact the lead law enforcement agency or the Missing Persons Unit in the Division of State Police.
i. For purposes of this section, “emergency mass notification system with incident communications” means a communications platform capable of immediate mass notifications through mobile or other electronic devices on a Statewide or local level.
##### **§ 52:17B-194.7** Public education campaign relative to Silver Alert System. {#sec-52-17b-194.7 omnilex-key=us-nj-statutes--title-52--52:17B-194.7}
4. The Attorney General, with the assistance of the participating media, shall develop and undertake a public education campaign to inform the public about the Silver Alert System.
##### **§ 52:17B-194.8** Guidelines. {#sec-52-17b-194.8 omnilex-key=us-nj-statutes--title-52--52:17B-194.8}
5. The Attorney General may adopt guidelines to effectuate the purposes of this act.
##### **§ 52:17B-194.9** "MVP Emergency Alert System." {#sec-52-17b-194.9 omnilex-key=us-nj-statutes--title-52--52:17B-194.9}
1. a. The Attorney General shall establish an "MVP Emergency Alert System" which shall provide practices and protocols for a Statewide system for the rapid dissemination of information regarding a missing person who is believed to be a vulnerable person as defined in subsection f. of this section. The program shall be a voluntary, cooperative effort between State and local law enforcement agencies and the media, including but not limited to print, radio, and television media outlets.
b. The Attorney General shall notify the media serving the State of New Jersey of the establishment of the MVP Emergency Alert System, and invite their voluntary participation.
c. The Missing Persons Investigative Best Practices Protocol Unidentified Deceased Persons Investigative Guidelines, promulgated by the Missing Persons and Child Exploitation Unit in the Division of State Police, shall be revised to incorporate procedures for issuing an alert regarding a missing vulnerable person, as defined in subsection f. of this section. The guidelines and procedures shall ensure that specific health information about the missing vulnerable person is not made public through the alert or otherwise. In situations in which a missing vulnerable person is 17 years of age or younger and meets the criteria set forth in subsection c. of section 3 of P.L.2002, c.129 (C.52:17B-194.3), the provisions of P.L.2002, c.129 (C.52:17B-194.1 et seq.) and the guidelines and applicable procedures for Amber Alerts shall be followed. In situations that meet the criteria for activation of a Silver Alert pursuant to P.L.2009, c.167 (C.52:17B-194.4) and also meet the criteria for activation of an MVP Emergency Alert pursuant to P.L.2015, c.184 (C.52:17B-194.9 et seq.), the lead law enforcement agency, in consultation with the Missing Persons and Child Exploitation Unit in the Division of State Police, shall determine, based on the totality of the circumstances, which system would more effectively assist in locating the missing vulnerable person, and the guidelines and applicable procedures for that system shall be followed.
d. The Attorney General, with the assistance of the participating media, shall develop and undertake a public education campaign to inform the public about the MVP Emergency Alert System.
e. The Attorney General may adopt guidelines to effectuate the purposes of this act.
f. For purposes of P.L.2015, c.184 (C.52:17B-194.9 et seq.), a "Missing Vulnerable Person" or "MVP" means a person who is believed to have a mental, intellectual, or developmental disability or defect who goes missing under circumstances that indicate that the person may be in danger of death or serious bodily injury.
##### **§ 52:17B-194.10** Requirements for activation of MVP Emergency Alert. {#sec-52-17b-194.10 omnilex-key=us-nj-statutes--title-52--52:17B-194.10}
2. An MVP Emergency Alert authorized under this section may be activated in accordance with the following requirements, which shall be incorporated into the guidelines required by subsection c. of section 1 of P.L.2015, c.184 (C.52:17B-194.9):
a. The law enforcement agency receiving the missing person report shall be the lead law enforcement agency.
b. The Missing Persons and Child Exploitation Unit in the Division of State Police, upon request, shall assist the lead law enforcement agency in the investigation of an MVP Emergency Alert.
c. Each of the following criteria shall be met before an MVP Emergency Alert may be issued:
(1) the person believed to be missing is believed to have a mental, intellectual, or developmental disability or defect, regardless of age;
(2) a missing person report has been submitted to the local law enforcement agency where the person went missing;
(3) the person believed to be missing may be in danger of death or serious bodily injury;
(4) there is sufficient information available to indicate that an MVP Emergency Alert would assist in locating the missing vulnerable person, including but not limited to information indicating that at the time the person went missing the person was the operator of, a passenger in, or otherwise conveyed by a motor vehicle; and
(5) sufficient information is available to disseminate to the public that could assist in locating the person, including but not limited to accurate information concerning any motor vehicle the person may have been operating or in which the person may have been a passenger or otherwise conveyed.
##### **§ 52:17B-194.11** Transmission of alert by participating media. {#sec-52-17b-194.11 omnilex-key=us-nj-statutes--title-52--52:17B-194.11}
3. a. When an MVP Emergency Alert is activated pursuant to section 2 of P.L.2015, c.184 (C.52:17B-194.10), the participating media shall voluntarily agree, upon notice from the State Police, to transmit emergency alerts to inform the public of a missing vulnerable person who resides within their broadcast service regions. The notice shall be provided through the State Police operational dispatch unit.
b. The alerts shall be broadcast as often as possible, pursuant to the guidelines established by the New Jersey Broadcasters' Association, for the first three hours. After the initial three hours, the alert shall be rebroadcast at such intervals as the investigating authority, the State Police, and the participating media deem appropriate.
c. The alerts shall include a description of the missing vulnerable person, including notice that the missing vulnerable person may appear agitated or upset, instructions as to whether the missing vulnerable person should be approached and, if appropriate, instructions on how to approach the missing vulnerable person, and such other information as the State Police may deem pertinent and appropriate. The alerts also shall provide information concerning how those members of the public who have information relating to the missing vulnerable person may contact the State Police or other appropriate law enforcement agency.
d. When a determination is made by the lead agency, and the State Police concur, that sufficient information indicating that at the time the person went missing the person was the operator of, a passenger in, or otherwise conveyed by a motor vehicle, concurrent with the notice provided to the broadcast media, the State Police operational dispatch unit shall also notify the Department of Transportation, the New Jersey Highway Authority, the New Jersey Turnpike Authority, and the South Jersey Transportation Authority of the MVP Emergency Alert. Through the use of their variable message signs, the department and the affected authorities shall inform the motoring public that an MVP Emergency Alert is in progress and provide information relating to the missing vulnerable person and how motorists may report any information they have to the State Police or other appropriate law enforcement agency. The State Police operational dispatch unit shall also ensure that employees of the New Jersey Transit Corporation who are on duty at any time when the MVP Emergency Alert is in effect receive notice of the MVP Emergency Alert, along with all pertinent information.
e. The State Police shall in a timely manner update the broadcast media and any other entity receiving notice of the MVP Emergency Alert with new information, when appropriate, concerning the missing vulnerable person.
f. The alerts shall terminate upon notice from the State Police.
##### **§ 52:17B-194.12** "Blue Alert System." {#sec-52-17b-194.12 omnilex-key=us-nj-statutes--title-52--52:17B-194.12}
1. a. The Attorney General shall establish a "Blue Alert System" which shall provide a Statewide system for the rapid dissemination of information in order to facilitate the apprehension of persons suspected of killing or seriously injuring law enforcement officers and to aid in the location of missing law enforcement officers. The program shall be a voluntary, cooperative effort between State and local law enforcement agencies and the media, including but not limited to print, radio, and television media outlets.
b. The Attorney General shall notify the media serving the State of New Jersey of the establishment of the Blue Alert System, and invite their voluntary participation.
##### **§ 52:17B-194.13** Criteria for activation of blue alert. {#sec-52-17b-194.13 omnilex-key=us-nj-statutes--title-52--52:17B-194.13}
2. a. For the purposes of this act, "lead law enforcement agency" means a law enforcement agency that is conducting an investigation to apprehend a person suspected of seriously injuring or killing a law enforcement officer, or is investigating the disappearance of a law enforcement officer who went missing while on duty under circumstances that warrant concern for the officer's safety.
b. A Blue Alert authorized pursuant to this act may be activated if all of the following criteria are met:
(1) the lead law enforcement agency confirms that a law enforcement officer has been seriously injured or killed, and that a suspect has not been apprehended, or that a law enforcement officer is missing while on duty under circumstances warranting concern for the law enforcement officer's safety;
(2) there is sufficient descriptive information about the person suspected of seriously injuring or killing a law enforcement officer or the circumstances surrounding a law enforcement officer's serious injury, death, or disappearance indicate that the activation of a Blue Alert may assist in locating a suspect or missing law enforcement officer; and
(3) the lead law enforcement agency requests that a Blue Alert be initiated.
c. Nothing in this section shall require that a Blue Alert be initiated if the criteria under paragraphs (1) and (2) of subsection b. of this section are met but it is determined by the lead law enforcement agency that the activation of a Blue Alert would cause public harm or would compromise an ongoing investigation.
##### **§ 52:17B-194.14** Participation of media outlets. {#sec-52-17b-194.14 omnilex-key=us-nj-statutes--title-52--52:17B-194.14}
3. a. Any media outlet that participates in the Blue Alert System established pursuant to section 1 of P.L.2019, c.369 (C.52:17B-194.12) may voluntarily agree, upon notice of the issuance of a Blue Alert, to inform the public of a missing law enforcement officer, a person suspected of killing or seriously injuring a law enforcement officer, or any other circumstances surrounding the death, serious injury, or disappearance of a law enforcement officer within the service regions of that media outlet. The notice shall be provided through the lead law enforcement agency.
b. The alerts shall terminate upon notice from the lead law enforcement agency.
c. The alerts shall include a description of the missing officer or person suspected of killing or seriously injuring a law enforcement officer and other information the lead law enforcement agency may deem appropriate. The lead law enforcement agency shall, in a timely manner, update the media with new information regarding the missing officer or suspect when appropriate.
d. The alerts also shall provide information concerning the method by which members of the public who have information relating to the missing officer, potential suspect, or circumstances relating to the death, serious injury, or disappearance of a law enforcement officer may contact the lead law enforcement agency.
##### **§ 52:17B-194.15** Public education campaign. {#sec-52-17b-194.15 omnilex-key=us-nj-statutes--title-52--52:17B-194.15}
4. The Attorney General, with the assistance of the participating media, shall develop and undertake a public education campaign to inform the public about the Blue Alert System.
##### **§ 52:17B-194.16** Guidelines. {#sec-52-17b-194.16 omnilex-key=us-nj-statutes--title-52--52:17B-194.16}
5. The Attorney General may adopt guidelines to effectuate the purposes of this act.
##### **§ 52:17B-194.17** Definitions relative to a Statewide Hit and Run Advisory Program. {#sec-52-17b-194.17 omnilex-key=us-nj-statutes--title-52--52:17B-194.17}
1. As used in this act:
"Lead law enforcement agency" means a law enforcement agency that is conducting an investigation to apprehend a person involved in a motor vehicle accident resulting in serious bodily injury to or the death of another person and who is suspected of violating the provisions of R.S.39:4-129.
"Public entity" means the State and any county, municipality, district, or political subdivision and any authority, agency, board, or body thereof that, on the effective date of P.L.2019, c.465 (C.52:17B-194.17 et seq.), is under contract with a wireless telephone company providing commercial mobile service as defined in subsection (d) of 47 U.S.C. s.332 that participates in the Statewide Hit and Run Advisory Program.
"Statewide Hit and Run Advisory Program " means the voluntary partnership between the wireless industry and State and local law enforcement agencies to distribute Hit and Run Advisory text messages to wireless subscribers who register to receive the messages and are able to receive text messages on their wireless telephones or electronic communication devices.
##### **§ 52:17B-194.18** Establishment of a Statewide Hit and Run Advisory Program. {#sec-52-17b-194.18 omnilex-key=us-nj-statutes--title-52--52:17B-194.18}
2. a. The Attorney General shall establish a Statewide Hit and Run Advisory Program pursuant to the provisions of P.L.2019, c.465 (C.52:17B-194.17 et seq.) to facilitate the apprehension of persons involved in a motor vehicle accident resulting in serious bodily injury to or the death of another person and who are suspected of knowingly leaving the scene of that accident, under circumstances that violate the provisions of R.S.39:4-129. The program shall be a cooperative effort between State and local law enforcement agencies, port, tunnel, highway, and bridge authorities, and may include voluntary participation by the media including, but not limited to, print, radio, social media, and television media outlets.
b. The Attorney General shall notify the media serving the State of New Jersey of the establishment of the Statewide Hit and Run Advisory Program and invite their voluntary participation.
c. The Attorney General shall adopt guidelines to effectuate the purposes of this act.
##### **§ 52:17B-194.19** Issuance of advisory. {#sec-52-17b-194.19 omnilex-key=us-nj-statutes--title-52--52:17B-194.19}
3. a. A Hit and Run Advisory authorized pursuant to this act may be issued in accordance with the following criteria, which shall be incorporated into the guidelines required by subsection c. of section 2 of P.L.2019, c.465 (C.52:17B-194.18):
(1) the lead law enforcement agency confirms that a person has been seriously injured or killed as a result of a motor vehicle accident and the driver of a vehicle involved in the accident appears to have left the scene of that accident under circumstances that may constitute a violation of the provisions of R.S.39:4-129, and a suspect has not been apprehended;
(2) there is sufficient information available to indicate that a Hit and Run Advisory would assist in locating the vehicle involved in the accident or the driver of the vehicle including, but not limited to, the license plate number, make and model of the vehicle involved, the nature of damage to the vehicle involved, or a description or other identifying information about the driver or passenger of the vehicle involved; and
(3) the lead law enforcement agency requests that a Hit and Run Advisory be issued.
b. Nothing in this section shall require that a Hit and Run Advisory be issued if the criteria under paragraphs (1), (2), and (3) of subsection a. of this section are met, but it is determined by the lead law enforcement agency that the activation of a Hit and Run Advisory would cause public harm or would compromise an ongoing investigation.
c. When the State Police concur within the determination of the lead law enforcement agency to issue a Hit and Run Advisory, the State Police Operational Dispatch Unit shall immediately notify the Department of Transportation, the New Jersey Turnpike Authority, and the South Jersey Transportation Authority as deemed appropriate by the unit. The State Police Operational Dispatch Unit shall ensure that employees of the New Jersey Transit Corporation who are on duty at any time the Hit and Run Advisory is in effect receive notice of the Hit and Run Advisory along with all pertinent information.
d. The Hit and Run Advisory may be issued in a manner designed to reach those members of the public in locations that are relatively likely to observe the vehicle involved in the accident or the suspect, based on the time and place of the accident. The range of the advisory may be expanded over time when the vehicle involved is not located or the suspect is not apprehended.
e. The State Police shall, in a timely manner, update the broadcast media and any other entity receiving notice of a Hit and Run Advisory with new information concerning the accident, when appropriate.
f. The Hit and Run Advisory shall terminate upon notice from the State Police.
##### **§ 52:17B-194.20** Media participation in advisory. {#sec-52-17b-194.20 omnilex-key=us-nj-statutes--title-52--52:17B-194.20}
4. a. Any media outlet that participates in the Statewide Hit and Run Advisory Program established pursuant to section 2 of P.L.2019, c.465 (C.52:17B-194.18) may voluntarily agree, upon notice of the issuance of a Hit and Run Advisory, to transmit emergency advisories to provide the public within the service regions of that media outlet with information designed to enable members of the public to assist the lead law enforcement agency in locating a vehicle or driver involved in a motor vehicle accident resulting in serious bodily injury to or the death of another person that left the scene of the accident under circumstances that may violate the provisions of R.S.39:4-129. The notice shall be provided through the lead law enforcement agency.
b. The emergency advisories shall be read after a distinctive sound tone and the statement: "This is a Hit and Run Advisory." The emergency advisories shall be broadcast as often as possible, pursuant to the guidelines established by the New Jersey Broadcasters' Association, for the first three hours. After the initial three hours, the emergency advisory shall be rebroadcast at intervals as the lead law enforcement agency and the participating media deem appropriate.
c. The emergency advisories shall include a description of the suspect or suspect's vehicle and any other information the lead law enforcement agency deems appropriate. The lead law enforcement agency shall, in a timely manner, update the media with new information regarding the suspect, when appropriate.
d. The emergency advisories also shall provide information concerning the method by which members of the public who have information relating to the suspect or the vehicle may contact the lead law enforcement agency.
e. The emergency advisories shall terminate upon notice from the lead law enforcement agency.
##### **§ 52:17B-194.20** Officer, employee of public entity to receive text message advisories. {#sec-52-17b-194.20 omnilex-key=us-nj-statutes--title-52--52:17B-194.20}
5. Every officer or employee of a public entity who possesses a wireless telephone or electronic communication device which is issued by a public entity, is capable of receiving text messages, and is enrolled in or subscribed to a service or plan that enables the telephone or device to receive text messages shall subscribe to the Statewide Hit and Run Advisory Program to receive wireless Hit and Run Advisory text messages. The officer or employee shall, at a minimum, enroll the wireless telephone or electronic communication device in the program to receive wireless Hit and Run Advisory text messages for a zip code that corresponds to the city of the officer's or employee's permanent residence and primary place of business. In the event that the officer or employee is not authorized to manage the account for the wireless telephone or electronic communication device issued by a public entity, the officer or employee shall request the administrator of the account to enroll the wireless telephone or electronic communication device in the Statewide Hit and Run Advisory Program to receive Hit and Run Advisory text messages in accordance with the provisions of this act.
##### **§ 52:17B-194.22** Public education campaign. {#sec-52-17b-194.22 omnilex-key=us-nj-statutes--title-52--52:17B-194.22}
6. The Attorney General, with the assistance of the participating media, shall develop and undertake a public education campaign to inform the public about the Statewide Hit and Run Advisory Program.
##### **§ 52:17B-195** Organization, establishment of technology center. {#sec-52-17b-195 omnilex-key=us-nj-statutes--title-52--52:17B-195}
2. a. The Division of State Police in the Department of Law and Public Safety shall organize and establish a technology center to coordinate and assist law enforcement agencies in their responses to reports of missing children and in their efforts to recover abducted children.
The technology utilized in the center shall be of a type endorsed by the National Center for Missing and Exploited Children and shall embody, but not be limited to:
(1) a system to send and receive highly recognizable color and black and white photographic images of missing and abducted children;
(2) a forced delivery system that provides for the spontaneous, automatic reception of photographic images of missing and abducted children by all participating law enforcement agencies and forces;
(3) demonstrably user-friendly components which law enforcement officers can quickly and easily become proficient in using; and
(4) ready compatibility with existing systems.
b. The governing body of any municipality which has a law enforcement agency or force and wishes to secure access to the State Police technology center in order to participate in that centralized program to coordinate and assist law enforcement agencies in their responses to reports of missing children and in their efforts to recover abducted children may apply to the Attorney General for State aid to purchase the appropriate computer technology, both hardware and software, to access the State Police technology center and participate in the program. Application shall be made in a manner and form prescribed by the Attorney General.
c. The Attorney General shall adopt guidelines to effectuate the purposes of this act.
##### **§ 52:17B-196** Findings, declarations relative to joint negotiations by physicians and dentists with carriers. {#sec-52-17b-196 omnilex-key=us-nj-statutes--title-52--52:17B-196}
1. The Legislature finds and declares that:
a. Active, robust and fully competitive markets for health care and dental services provide the best opportunity for the residents of this State to receive high-quality health care and dental services at an appropriate cost;
b. A substantial amount of health care and dental services in this State is purchased for the benefit of patients by health and dental insurance carriers engaged in the financing of health care and dental services or is otherwise delivered subject to the terms of agreements between carriers and physicians and dentists;
c. Carriers are able to control the flow of patients to physicians and dentists through compelling financial incentives for patients in their health and dental benefits plans to utilize only the services of physicians and dentists with whom the carriers have contracted;
d. Carriers also control the health care and dental services rendered to patients through utilization management and other managed care tools and associated coverage and payment policies;
e. Carriers are often able to virtually dictate the terms of the contracts that they offer physicians and dentists and commonly offer these contracts on a take-it-or-leave-it basis;
f. The power of carriers to unilaterally impose provider contract terms jeopardizes the ability of physicians and dentists to deliver the superior quality health care and dental services traditionally available in this State;
g. Physicians and dentists do not have sufficient market power to reject unfair provider contract terms offered by carriers that impede their ability to deliver medically appropriate care without undue delay or difficulties;
h. Inadequate reimbursement and other unfair payment terms offered by carriers adversely affect the quality of patient care and access to care by reducing the resources that physicians and dentists can devote to patient care and decreasing the time that physicians and dentists are able to spend with their patients;
i. Inequitable reimbursement and other unfair payment terms also endanger the health care infrastructure and medical progress by diverting capital needed for reinvestment in the health care delivery system, curtailing the purchase of state-of-the-art technology, the pursuit of medical research, and expansion of medical services, all to the detriment of the residents of this State;
j. The inevitable collateral reduction and migration of the health care work force will also have negative consequences for the economy of this State;
k. Empowering independent physicians and dentists to jointly negotiate with carriers as provided in this act will help restore the competitive balance and improve competition in the markets for health care and dental services in this State, thereby providing benefits for consumers, physicians and dentists and less dominant carriers;
l. This act is necessary and proper, and constitutes an appropriate exercise of the authority of this State to regulate the business of insurance and the delivery of health care and dental services;
m. The pro-competitive and other benefits of the joint negotiations and related joint activity authorized by this act, including, but not limited to, restoring the competitive balance in the market for health care services, protecting access to quality patient care, promoting the health care infrastructure and medical progress, and improving communications, outweigh any potential anti-competitive effects of this act; and
n. It is the intention of the Legislature to authorize independent physicians and dentists to jointly negotiate with carriers and to qualify such joint negotiations and related joint activities for the State-action exemption to the federal antitrust laws through the articulated State policy and active supervision provided under this act.
##### **§ 52:17B-197** Definitions relative to joint negotiations by physicians and dentists with carriers. {#sec-52-17b-197 omnilex-key=us-nj-statutes--title-52--52:17B-197}
2. As used in this act:
"Carrier" means an insurance company, health service corporation, hospital service corporation, medical service corporation or health maintenance organization which is authorized to issue health benefits plans in this State and a dental service corporation or dental plan organization authorized to issue dental plans in this State.
"Covered person" means a person on whose behalf a carrier which offers a health benefits or dental plan is obligated to pay benefits or provide services pursuant to the plan.
"Covered service" means a health care or dental service provided to a covered person under a health benefits or dental plan for which the carrier is obligated to pay benefits or provide services.
"Dental plan" means a benefits plan which pays or provides dental expense benefits for covered services and is delivered or issued for delivery in this State by or through a dental carrier.
"Dentist" means a person who is licensed to practice dentistry by the New Jersey State Board of Dentistry in accordance with the provisions of Title 45 of the Revised Statutes.
"Health benefits plan" means a plan which pays or provides hospital and medical expense benefits for covered services, and is delivered or issued for delivery in this State by or through a carrier. For the purposes of this act, health benefits plan shall not include the following plans, policies or contracts: Medicare supplement coverage and risk contracts, accident only, specified disease or other limited benefit, credit, disability, long-term care, CHAMPUS supplement coverage, coverage arising out of a workers' compensation or similar law, automobile medical payment insurance, personal injury protection insurance issued pursuant to P.L.1972, c.70 (C.39:6A-1 et seq.), dental or vision care coverage only, or hospital expense or confinement indemnity coverage only.
"Joint negotiation representative" means a representative selected by two or more independent physicians or dentists to engage in joint negotiations with a carrier on their behalf.
"Physician" means a person who is licensed to practice medicine and surgery by the State Board of Medical Examiners in accordance with the provisions of Title 45 of the Revised Statutes.
"Utilization management" means a system for reviewing the appropriate and efficient allocation of health care or dental services under a health benefits or dental plan in accordance with specific guidelines, for the purpose of determining whether, or to what extent, a health care or dental service that has been provided or is proposed to be provided to a covered person is to be covered under the health benefits or dental plan.
##### **§ 52:17B-198** Joint negotiations regarding non-fee related matters. {#sec-52-17b-198 omnilex-key=us-nj-statutes--title-52--52:17B-198}
3. Two or more independent physicians or dentists who are practicing in the service area of a carrier may jointly negotiate with a carrier and engage in related joint activity, as provided in this act, regarding non-fee-related matters which may affect patient care, including, but not limited to, any of the following:
a. the definition of medical necessity and other conditions of coverage;
b. utilization management criteria and procedures;
c. clinical practice guidelines;
d. preventive care and other medical management policies;
e. patient referral standards and procedures, including, but not limited to, those applicable to out-of-network referrals;
f. drug formularies and standards and procedures for prescribing off-formulary drugs;
g. quality assurance programs;
h. respective physician or dentist and carrier liability for the treatment or lack of treatment of covered persons;
i. the methods and timing of payments;
j. other administrative procedures, including, but not limited to, eligibility verification systems and claim documentation requirements for covered persons;
k. credentialing standards and procedures for the selection, retention and termination of participating physicians or dentists;
l. mechanisms for resolving disputes between the carrier and physicians or dentists, including, but not limited to, the appeals process for utilization management and credentialing determinations;
m. the health benefits or dental plans sold or administered by the carrier in which the physicians or dentists are required to participate;
n. the formulation and application of reimbursement methodology;
o. the terms and conditions of physician or dentist contracts, including, but not limited to, all products clauses, and the duration and renewal provisions of the contract; and
p. the inclusion or alteration of a contractual term or condition, except when the inclusion or alteration is required by a federal or State regulation concerning that term or condition; however, the restriction shall not limit a physician's or dentist's rights to jointly petition the federal or State government, as applicable, to change the regulation.
##### **§ 52:17B-199** Joint negotiations regarding fees, fee related matters. {#sec-52-17b-199 omnilex-key=us-nj-statutes--title-52--52:17B-199}
4. a. Upon a finding by the Attorney General, in consultation with the Commissioners of Banking and Insurance and Health and Senior Services, that the carrier has substantial market power in its service area and that any of the terms or conditions of the contract with the carrier pose an actual or potential threat to the quality and availability of patient care among covered persons, two or more independent physicians or dentists who are practicing in the service area of a carrier may jointly negotiate with the carrier and engage in related joint activity, as provided in this act regarding fees and fee-related matters, including, but not limited to, any of the following:
(1) the amount of payment or the methodology for determining the payment for a health care or dental service, including, but not limited to, cost of living increases;
(2) the conversion factor for a resource-based relative value scale or similar reimbursement methodology for health care or dental services;
(3) the amount of any discount on the price of a health care or dental service;
(4) the procedure code or other description of a health care or dental service covered by a payment and the appropriate grouping of the procedure codes;
(5) the amount of a bonus related to the provision of health care or dental services or a withholding from the payment due for a health care or dental service; and
(6) the amount of any other component of the reimbursement methodology for a health care or dental service.
b. The Department of Banking and Insurance, in consultation with the Department of Health and Senior Services, shall have the authority to collect and investigate such information as it reasonably believes is necessary to determine, on an annual basis:
(1) the average number of covered lives and geographical distribution of covered lives per quarter per county for every carrier in the State; and
(2) the impact of the provisions of this section on average physician or dentist fees in the State.
The Department of Banking and Insurance shall provide this information to the Attorney General on an annual basis.
##### **§ 52:17B-200** Criteria for exercise of joint negotiation rights. {#sec-52-17b-200 omnilex-key=us-nj-statutes--title-52--52:17B-200}
5. The exercise of joint negotiation rights by two or more independent physicians or dentists who are practicing in the service area of a carrier pursuant to this act shall conform to the following criteria:
a. the physicians or dentists may communicate with each other concerning any contractual term or condition to be negotiated with the carrier;
b. the physicians or dentists may communicate with the joint negotiation representative authorized to negotiate on their behalf with the carrier concerning any contractual term or condition;
c. the joint negotiation representative shall be the sole party authorized to negotiate with the carrier on behalf of the physicians or dentists as a group;
d. the physicians or dentists may, at the option of each physician or dentist, agree to be bound by the terms and conditions negotiated by the joint negotiation representative; and
e. when communicating or negotiating with a joint negotiation representative, a carrier may offer different contractual terms or conditions to, or may contract with, individual independent physicians or dentists.
##### **§ 52:17B-201** Inapplicability of act. {#sec-52-17b-201 omnilex-key=us-nj-statutes--title-52--52:17B-201}
6. The provisions of this act shall not apply to a health benefits or dental plan which is certified by the Commissioner of Human Services to the Attorney General as providing covered services exclusively or primarily to persons who are eligible for medical assistance under P.L.1968, c.413 (C.30:4D-1 et seq.), the Children's Health Care Coverage Program under P.L.1997, c.272 (C.30:4I-1 et seq.) or the FamilyCare Health Coverage Program under P.L.2000, c.71 (C.30:4J-1 et seq.).
##### **§ 52:17B-202** Requirements to act as joint negotiation representative. {#sec-52-17b-202 omnilex-key=us-nj-statutes--title-52--52:17B-202}
7. A person or entity which proposes to act as a joint negotiation representative shall satisfy the following requirements:
a. Before entering into negotiations with a carrier on behalf of two or more independent physicians or dentists, the joint negotiation representative shall submit to the Attorney General, for his approval pursuant to section 8 of this act, on a form and in a manner prescribed by the Attorney General, a petition which identifies:
(1) the representative's name and business address;
(2) the names and business addresses of each physician or dentist who will be represented by the identified representative;
(3) the ratio of the physicians or dentists requesting joint representation to the total number of physicians or dentists who are practicing within the geographic service area of the carrier;
(4) the carrier with which the representative proposes to enter into negotiations on behalf of the identified physicians or dentists;
(5) the intended subject matter of the proposed negotiations with the identified carrier;
(6) the representative's plan of operation and procedures to ensure compliance with the provisions of this act;
(7) the anticipated effect of the proposed joint negotiations on the quality and availability of health or dental care among covered persons;
(8) the anticipated benefits of a contract between the identified physicians or dentists and carrier;
(9) such other data, information and documents as the petitioners desire to submit in support of their petition; and
(10) such other data, information and documents as the Attorney General deems necessary.
The joint negotiation representative, upon submitting the petition, shall pay a fee to the Attorney General in an amount, as determined by the Attorney General, which shall be reasonable and necessary to cover the costs associated with carrying out the provisions of this act.
b. After the joint negotiation representative and the carrier identified pursuant to subsection a. of this section have reached an agreement on the contractual terms or conditions that were the subject matter of their negotiations, the joint negotiation representative shall submit to the Attorney General, for his approval in accordance with the provisions of section 8 of this act, a copy of the proposed contract between the physicians or dentists identified pursuant to subsection a. of this section and the carrier, as well as any plan of action which the joint negotiation representative and the carrier may formally agree to for the purpose of implementing the terms and conditions of the contract.
c. Within 14 days after either party notifies the other party of its decision to decline or terminate negotiations entered into pursuant to this act, or after the date that a joint negotiation representative requests that a carrier enter into such negotiations to which request the plan fails to respond, the joint negotiation representative shall report to the Attorney General that the negotiations have ended, on a form and in a manner to be prescribed by the Attorney General. The joint negotiation representative may resume negotiations with the carrier no later than 60 days after reporting to the Attorney General that the negotiations have ended, on the basis of the petition submitted to the Attorney General pursuant to subsection a. of this section and approved by the Attorney General in accordance with the provisions of section 8 of this act. After that date, the joint negotiation representative shall be required to submit a new petition and pay an additional fee to the Attorney General pursuant to subsection a. of this section, in order to engage in negotiations with the carrier under this act.
##### **§ 52:17B-203** Powers, duties of Attorney General. {#sec-52-17b-203 omnilex-key=us-nj-statutes--title-52--52:17B-203}
8. a. The Attorney General shall provide written approval or disapproval of a petition or a proposed contract furnished by a joint negotiation representative pursuant to section 7 of this act no later than 30 days after receipt of the petition or proposed contract, as applicable. If the Attorney General fails to provide written approval or disapproval within this time period, the joint negotiation representative may petition a court of competent jurisdiction for an order to require the Attorney General to take such action. If the Attorney General disapproves the petition or the proposed contract, he shall forward a written explanation of any deficiencies therein to the joint negotiation representative along with a statement of the specific remedial measures by which those deficiencies may be corrected.
A joint negotiation representative shall not engage in negotiations with a carrier over any contractual term or condition unless the petition furnished by the joint negotiation representative has been approved in writing by the Attorney General, nor shall a proposed contract between two or more independent physicians or dentists and a carrier be implemented unless the Attorney General has approved the contract.
b. The Attorney General shall approve a petition or a proposed contract furnished by a joint negotiation representative pursuant to section 7 of this act if the Attorney General determines that the petition or proposed contract demonstrates that the benefits which are likely to result from the proposed joint negotiations over a contractual term or condition or the proposed contract, as applicable, outweigh the disadvantages attributable to a reduction in competition that may result from the proposed joint negotiations. In making his determination, the Attorney General shall consider physician or dentist distribution by specialty and its effect on competition in the geographic service area of the carrier.
c. The Attorney General's written approval of a petition which is furnished by a joint negotiation representative under section 7 of this act shall be effective for all subsequent negotiations between the joint negotiation representative and the identified carrier, subject to the provisions of subsection c. of section 7 of this act.
d. In the case of a petition submitted pursuant to subsection a. of section 7 of this act, the Attorney General shall notify the carrier of the petition and provide the carrier with the opportunity to submit written comments within a specified time frame that does not extend beyond the date by which the Attorney General is required to act on the petition.
##### **§ 52:17B-204** Application for hearing. {#sec-52-17b-204 omnilex-key=us-nj-statutes--title-52--52:17B-204}
9. a. Within 30 days from the mailing by the Attorney General of a notice of disapproval of a petition submitted under section 7 of this act, the petitioners may make a written application to the Attorney General for a hearing.
b. Upon receipt of a timely written application for a hearing, the Attorney General shall schedule and conduct a hearing in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.). The hearing shall be held within 30 days of the application unless the petitioner seeks an extension.
c. The sole parties with respect to any petition under section 7 of this act shall be the petitioners, and notwithstanding any other provision of law to the contrary, the Attorney General shall not be required to treat any other person as a party and no other person shall be entitled to appeal the Attorney General's determination.
##### **§ 52:17B-205** Confidentiality of information. {#sec-52-17b-205 omnilex-key=us-nj-statutes--title-52--52:17B-205}
10. All information, including documents and copies thereof, obtained by or disclosed to the Attorney General or any other person in a petition under section 7 of this act, shall be treated confidentially and shall be deemed proprietary and shall not be made public or otherwise disclosed by the Attorney General or any other person without the written consent of the petitioners to whom the information pertains.
##### **§ 52:17B-206** Good faith negotiation required. {#sec-52-17b-206 omnilex-key=us-nj-statutes--title-52--52:17B-206}
11. A carrier and a joint negotiation representative shall negotiate in good faith regarding the terms and conditions of physician or dentist contracts pursuant to this act.
##### **§ 52:17B-207** Construction of act. {#sec-52-17b-207 omnilex-key=us-nj-statutes--title-52--52:17B-207}
12. a. The provisions of this act shall not be construed to:
(1) permit two or more physicians or dentists to jointly engage in a coordinated cessation, reduction or limitation of the health care or dental services which they provide;
(2) permit two or more physicians or dentists to meet or communicate in order to jointly negotiate a requirement that at least one of the physicians or dentists, as a condition of participation with a carrier, be allowed to participate in all of the products offered by the carrier;
(3) permit two or more physicians or dentists to jointly negotiate with a carrier to exclude, limit or otherwise restrict a non-physician or non-dentist health care provider from participating in the carrier's health benefits or dental plan based substantially on the fact that the health care provider is not a physician or dentist, unless that exclusion, limitation or restriction is otherwise permitted by law;
(4) prohibit or restrict activity by physicians or dentists that is sanctioned under federal or State law or subject such activity to the requirements of this act;
(5) affect governmental approval of, or otherwise restrict activity by, physicians or dentists that is not prohibited under federal antitrust law; or
(6) require approval of physician or dentist contract terms to the extent that the terms are exempt from State regulation under section 514(a) of the "Employee Retirement Income Security Act of 1974," Pub.L.93-406 (29 U.S.C. s.1144(a)).
b. Prior to entering into negotiations with a carrier on behalf of two or more independent physicians or dentists over a contractual term or condition, a joint negotiation representative shall notify the physicians or dentists in writing of the provisions of this act and advise them as to their potential for legal action against physicians or dentists who violate federal antitrust law.
##### **§ 52:17B-208** Report to Governor, Legislature by Attorney General. {#sec-52-17b-208 omnilex-key=us-nj-statutes--title-52--52:17B-208}
13. The Attorney General, in consultation with the Commissioners of Banking and Insurance and Health and Senior Services, shall report to the Governor and the Legislature no later than four years after the effective date of this act on its implementation.
The report shall include the number of petitions submitted for approval to engage in joint negotiations and the outcome of the petitions and the negotiations, an assessment of the effect the joint negotiations provided for in this act has had in restoring the competitive balance in the market for health care or dental services and in protecting access to quality patient care, an assessment of the impact this act has had on health insurance premiums in the State, and such other information that the Attorney General deems appropriate. The report shall also include the Attorney General's recommendations as to whether the provisions of this act shall be expanded to include other types of health care professionals and facilities.
The Attorney General, in consultation with the Commissioners of Banking and Insurance and Health and Senior Services, shall report to the Governor and the Legislature no later than five years after the effective date of this act with his recommendation as to whether this act shall be made permanent.
##### **§ 52:17B-209** Rules, regulations. {#sec-52-17b-209 omnilex-key=us-nj-statutes--title-52--52:17B-209}
14. The Attorney General, in consultation with the Commissioners of Banking and Insurance and Health and Senior Services and pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations to effectuate the purposes of this act.
##### **§ 52:17B-210** Pamphlet for students relative to pedophile crimes. {#sec-52-17b-210 omnilex-key=us-nj-statutes--title-52--52:17B-210}
1. The Attorney General, in consultation with the New Jersey School Boards Association, the New Jersey Coalition Against Sexual Assault, the New Jersey Education Association, and the Division on Women, shall prepare a pamphlet to educate children about pedophile crimes and how to reduce their chances of becoming victims of pedophile crimes. The pamphlet shall be distributed to all public and private elementary and secondary schools throughout the State. The schools shall reproduce the pamphlet for distribution to students. The pamphlets shall be designed by the Attorney General.
##### **§ 52:17B-211** Uniform enforcement relative to death, serious bodily injury resulting from motor vehicle accident. {#sec-52-17b-211 omnilex-key=us-nj-statutes--title-52--52:17B-211}
2. In order to promote uniform enforcement in matters when death or serious bodily injury arises out of a motor vehicle incident, any guidelines developed by the Attorney General pursuant to the provisions of section 1 of this act, P.L.2006, c.28 (C.2B:12-17.2), may be disseminated to the county prosecutors.
##### **§ 52:17B-212** Definitions relative to missing persons. {#sec-52-17b-212 omnilex-key=us-nj-statutes--title-52--52:17B-212}
1. As used in this act:
"High risk missing person" means a person whose whereabouts are not currently known and the circumstances of the person's disappearance suggest that the person may be at imminent or likely risk of injury or death. The circumstances that indicate that a person is a high risk missing person shall include, but not be limited to:
a. the person is missing as a result of a confirmed abduction or under circumstances that indicate that the person's disappearance was not voluntary;
b. the person is missing under known dangerous circumstances;
c. the person is missing more than 30 days;
d. there is evidence that the person is at risk because:
(1) the person missing is in need of medical attention or prescription medication such that it will have a serious adverse effect on the person's health if he or she does not receive the needed care or medication;
(2) the person missing does not have a pattern of running away or disappearing;
(3) the person missing may have been abducted by a non-custodial parent;
(4) the person missing is mentally impaired;
(5) the person missing is a person over the age of 13 and under the age of 21 years and any other risk factor is known; or
(6) the person missing has been the subject of past threats or acts of violence; and
e. any other factor that may indicate, in the judgment of the lead law enforcement agency, that the missing person may be at risk.
"Law enforcement agency" means a department, division, bureau, commission, board, or other authority of the State or of any political subdivision thereof which employs law enforcement officers.
"Law enforcement officer" means a person whose public duties include the power to act as an officer for the detection, apprehension, arrest, and conviction of offenders against the laws of this State.
"Lead law enforcement agency" means the law enforcement agency with primary responsibility for investigating a missing person case.
"Missing child" means a person 13 years of age or younger whose whereabouts are not currently known.
"Missing Persons Unit" means the Missing Persons Unit in the Division of State Police in the Department of Law and Public Safety established pursuant to section 2 of P.L.1983, c.467 (C.52:17B-9.7).
##### **§ 52:17B-213** Acceptance of report of missing person without delay. {#sec-52-17b-213 omnilex-key=us-nj-statutes--title-52--52:17B-213}
2. a. A law enforcement agency shall accept without delay any report of a missing person. No law enforcement agency may refuse to accept a missing person report on the basis that:
(1) The missing person is an adult;
(2) The circumstances do not indicate foul play;
(3) The person has been missing for a short period of time;
(4) The person has been missing for a long period of time;
(5) There is no indication that the missing person was in the jurisdiction served by the law enforcement agency at the time of the disappearance;
(6) The circumstances suggest that the disappearance may be voluntary;
(7) The reporting person does not have personal knowledge of the facts;
(8) The reporting person cannot provide all of the information requested by the law enforcement agency;
(9) The reporting person lacks a familial or other relationship with the missing person; or
(10) For any other reason, except in cases where the law enforcement agency has direct knowledge that the person is, in fact, not missing and the exact whereabouts and welfare of the person are known to the agency at the time the report is being made.
b. The law enforcement agency that receives a report of a missing person shall be the lead law enforcement agency in charge of the missing person investigation, and shall continue in that capacity unless another law enforcement agency assumes primary responsibility over the investigation.
c. The lead law enforcement agency shall be entitled to the cooperation of any other law enforcement agency in the State.
##### **§ 52:17B-214** Information about the missing person for record. {#sec-52-17b-214 omnilex-key=us-nj-statutes--title-52--52:17B-214}
3. At the time a missing person report is filed, the law enforcement agency shall seek to ascertain and record the following information about the missing person:
a. The name of the missing person, including any aliases;
b. Date of birth;
c. Identifying marks, such as birthmarks, moles, tattoos, and scars;
d. Height and weight;
e. Gender;
f. Race;
g. Current hair color and true or natural hair color;
h. Eye color;
i. Prosthetics, surgical implants, or cosmetic implants;
j. Physical anomalies;
k. Blood type, if known;
l. Any medications the missing person is taking or needs to take;
m. Driver's license number, if known;
n. Social security number, if known;
o. A recent photograph of the missing person, if available;
p. A description of the clothing the missing person was believed to be wearing at the time of disappearance;
q. A description of notable items that the missing person may be carrying and wearing;
r. Information regarding the missing person's electronic communications devices, such as a cell phone number or e-mail address;
s. The reasons why the reporting person believes that the person is missing;
t. The name and location of the missing person's school or employer, if known;
u. The name and location of the missing person's dentist and primary care physician, if known;
v. Any circumstances that may indicate that the disappearance was not voluntary;
w. Any circumstances that indicate that the missing person may be at risk of injury or death;
x. A description of the possible means of transportation of the missing person, such as the make, model, color, license, and Vehicle Identification Number (VIN) of a motor vehicle;
y. Any identifying information about a known or possible abductor or the person last seen with the missing person including:
(1) name;
(2) physical description;
(3) date of birth;
(4) identifying marks;
(5) description of possible means of transportation, such as the make, model, color, license, and Vehicle Identification Number (VIN) of a motor vehicle; and
(6) known associates;
z. Any other information that can aid in locating the missing person; and
aa. Date of last contact.
##### **§ 52:17B-215** Information provided to person making report or family member. {#sec-52-17b-215 omnilex-key=us-nj-statutes--title-52--52:17B-215}
4. a. The law enforcement agency shall notify the person making the report, a family member, or any other person in a position to assist the law enforcement agency in its efforts to locate the missing person by providing to that person or family member:
(1) general information about the handling of the missing person case or about intended efforts in the case to the extent that the law enforcement agency determines that disclosure would not adversely affect its ability to locate or protect the missing person, to apprehend or to prosecute any persons criminally involved in the disappearance;
(2) information advising the person making the report and other involved persons that if the missing person remains missing, they should contact the law enforcement agency to provide additional information and materials that will aid in locating the missing person, such as any credit or debit cards the missing person has access to, other banking or financial information and any records of cell phone use;
(3) in those cases where DNA samples are requested, the law enforcement agency shall notify the person or family member that all such DNA samples are provided on a voluntary basis and shall be used solely to help locate or identify the missing person and shall not be used for any other purpose; and
(4) the law enforcement agency, upon acceptance of a missing person report, shall inform the person filing the report that there are two clearing houses for missing person's information. If the person reported missing is age 17 or under, the person filing the report shall be provided with contact information for the National Center for Missing and Exploited Children. If the person reported missing is age 18 or older, the person filing the report shall be provided with contact information for the National Center for Missing Adults.
b. If the person identified in the missing person report remains missing for 30 days, and the additional information and materials specified below have not been received, the law enforcement agency shall attempt to obtain:
(1) DNA samples from family members and, if possible, from the missing person along with any needed documentation, including any consent forms, required for the use of State or federal DNA databases;
(2) dental information and x-rays, and an authorization to release dental or skeletal x-rays of the missing person;
(3) any additional photographs of the missing person that may aid the investigation or an identification. The law enforcement agency shall not be required to obtain written authorization before it releases publicly any photograph that would aid in the investigation or identification of the missing person; and
(4) fingerprints.
c. All DNA samples obtained in missing persons cases shall be immediately forwarded to the New Jersey Forensic DNA Laboratory for analysis. The laboratory shall establish procedures for determining how to prioritize analysis of the samples relating to missing persons cases.
d. Information relevant to the Federal Bureau of Investigation's Violent Criminal Apprehension Program shall be entered as soon as possible.
e. Nothing is this section shall be construed to preclude a law enforcement agency from obtaining any of the materials identified in this section before the 30th day following the filing of the missing person report.
##### **§ 52:17B-216** Determination of designation as high-risk missing person. {#sec-52-17b-216 omnilex-key=us-nj-statutes--title-52--52:17B-216}
5. a. (1) Upon the initial receipt of a missing person report, a law enforcement agency shall seek to determine whether the person reported missing is to be designated a high-risk missing person.
(2) If a law enforcement agency has reason to believe that a person reported missing is a high-risk missing person pursuant to section 1 of P.L.2007, c.279 (C.52:17B-212), the agency shall contact the appropriate county prosecutor who shall determine whether the person reported missing is a high-risk missing person. If the prosecutor determines that the person is a high-risk missing person, there shall be a rebuttable presumption that the person is missing as a result of, or in association with, criminal activity, and the Missing Persons Unit may seek or obtain legal process pursuant to subsection h. of section 3 of P.L.1983, c.467 (C.52:17B-9.8).
If the Missing Persons Unit discovers evidence during the investigation which indicates that the missing person does not meet the definition of a high-risk missing person, there shall no longer be a rebuttable presumption that the person is missing as a result of, or in association with, criminal activity, and the Missing Persons Unit shall not seek or obtain legal process pursuant to subsection h. of section 3 of P.L.1983, c.467 (C.52:17B-9.8).
The Superior Court, Law Division may release any records that are obtained by the Missing Persons Unit to a governmental entity upon showing of good cause by the governmental entity.
b. If the initial determination of a person reported missing does not warrant designation of that person as high risk, it shall not preclude a later determination, based on further investigation or the discovery of additional information, that the missing person is high risk.
##### **§ 52:17B-217** Actions relative to high risk missing person or child. {#sec-52-17b-217 omnilex-key=us-nj-statutes--title-52--52:17B-217}
6. a. Upon a determination that a missing person investigation involves a high risk missing person or a missing child, the lead law enforcement agency shall take such actions as are specified in the uniform investigative standards for a high risk missing person or a missing child, as the case may be, as set forth in the protocol developed pursuant to section 10 of P.L.2007, c.279 (C.52:17B-221), and also may contact the Missing Persons Unit and request assistance. The Missing Persons Unit, in consultation with the lead law enforcement agency, shall determine whether the circumstances warrant a cooperative investigative effort. If the determination is made that a cooperative effort is warranted, then the Missing Persons Unit shall coordinate the deployment of additional State Police resources in support of the investigation.
b. The lead law enforcement agency shall promptly notify all law enforcement agencies within the State and, if deemed appropriate, law enforcement agencies in adjacent states or jurisdictions of the information that may aid in the prompt location and safe return of the high risk missing person.
c. Local law enforcement agencies that receive notification from the lead law enforcement agency pursuant to subsection b. of this section shall forward that information immediately to their officers and members.
d. The lead law enforcement agency shall, as expeditiously as possible, prepare and disseminate a photographic information bulletin utilizing the Missing Child Alert System, or any successor law enforcement notification system the State may employ.
e. The lead law enforcement agency shall, as appropriate, enter all collected information relating to the missing person case to applicable federal databases. The information shall be provided in accordance with applicable guidelines relating to the databases, as follows:
(1) a missing person report, and relevant information, in a high risk missing person case shall be entered in the National Crime Information Center database immediately, but in no case no more than two hours after the determination that the missing person is a high risk missing person;
(2) a missing person report, and relevant information, in a case not involving a high risk missing person shall be entered within 24 hours of the initial filing of the missing person report;
(3) all DNA profiles shall be uploaded into the missing persons databases of the New Jersey Forensic DNA Laboratory and all appropriate and suitable federal database systems;
(4) information relevant to the Federal Bureau of Investigation's Violent Criminal Apprehension Program shall be entered as soon as practicable;
(5) all due care shall be given to insure that the data, particularly medical and dental records, entered in State and federal database systems is accurate and, to the greatest extent possible, complete; and
(6) the State Police shall, when deemed appropriate and likely to facilitate a resolution to a particular missing person report, activate the Amber Alert program for the State.
f. If, after the dissemination of a photographic information bulletin utilizing the Missing Child Alert System information, the missing person is found, the lead law enforcement agency shall promptly disseminate an additional bulletin on the Missing Child Alert System indicating that the person was found.
##### **§ 52:17B-218** Practices, protocol for death scene investigations. {#sec-52-17b-218 omnilex-key=us-nj-statutes--title-52--52:17B-218}
7. a. The Attorney General shall provide information to local law enforcement agencies about best practices and protocols for handling death scene investigations.
b. The Attorney General shall identify any publications or training opportunities that may be available to local law enforcement officers concerning the handling of death scene investigations.
##### **§ 52:17B-219** Custody of human remains, notification if remains unidentified. {#sec-52-17b-219 omnilex-key=us-nj-statutes--title-52--52:17B-219}
8. a. After performing any death scene investigation, as deemed appropriate under the circumstances, the official with custody of the human remains shall ensure that the human remains are delivered to the appropriate county or intercounty medical examiner.
b. Any county or intercounty medical examiner with custody of human remains that are not identified within 24 hours of discovery shall promptly notify the Missing Persons Unit of the location of those remains.
c. If the county or intercounty medical examiner with custody of remains cannot determine whether or not the remains found are human, the medical examiner shall so notify the Missing Persons Unit.
##### **§ 52:17B-220** Responsibilities of county, intercounty medical examiner. {#sec-52-17b-220 omnilex-key=us-nj-statutes--title-52--52:17B-220}
9. a. If the official with custody of the human remains is not a medical examiner, the official shall promptly transfer the unidentified remains to the appropriate county or intercounty medical examiner.
b. The county or intercounty medical examiner shall make reasonable attempts to promptly identify human remains. These actions may include, but are not limited to, obtaining:
(1) photographs of the human remains;
(2) dental or skeletal X-rays;
(3) photographs of items found with the human remains;
(4) fingerprints from the remains, if possible;
(5) samples of tissue suitable for DNA typing, if possible;
(6) samples of whole bone or hair suitable for DNA typing; and
(7) any other information that may support identification efforts.
c. No medical examiner or any other person shall dispose of, or engage in actions that will materially affect, the unidentified human remains before the county medical examiner obtains:
(1) samples suitable for DNA identification archiving;
(2) photographs of the unidentified human remains; and
(3) all other appropriate steps for identification have been exhausted.
d. Unidentified human remains shall not be cremated.
e. The county or intercounty medical examiner shall make reasonable efforts to obtain prompt DNA analysis of biological samples if the human remains have not been identified by other means within 30 days.
f. The medical examiner shall seek support from appropriate State and federal agencies to assist in the identification of unidentified human remains. Such assistance may include, but not be limited to, available mitochondrial or nuclear DNA testing, federal grants for DNA testing, or federal grants for crime laboratory or medical examiner office improvement.
g. The county or intercounty medical examiner shall seek support from appropriate federal and State agency representatives to have information promptly entered in federal and State databases by those representatives that can aid in the identification of a missing person. Information shall be entered into federal databases as follows:
(1) information for the National Crime Information Center within 24 hours;
(2) DNA profiles and information shall be entered into the National DNA Index System (NDIS) within five business days after the completion of the DNA analysis and procedures necessary for the entry of the DNA profile; and
(3) information sought by the Violent Criminal Apprehension Program database as soon as practicable.
h. Nothing in this act shall be construed to preclude any medical examiner office, the State Police, or any local law enforcement agency from other actions to facilitate the identification of unidentified human remains, including efforts to publicize information, descriptions, or photographs that may aid in the identification of the unidentified remains, including allowing family members to identify a missing person; provided that in taking these actions, all due consideration is given to protect the dignity and well-being of the missing person and the family of the missing person.
i. Agencies handling the remains of a missing person who is deceased shall notify the law enforcement agency handling the missing person's case. Documented efforts shall be made to locate family members of the deceased person to inform them of the death and location of the remains of their family member.
##### **§ 52:17B-221** Development, dissemination of best practices protocol to law enforcement. {#sec-52-17b-221 omnilex-key=us-nj-statutes--title-52--52:17B-221}
10. In implementing the provisions of this act and prior to the effective date, the Superintendent of State Police shall develop and disseminate to all law enforcement agencies in the State a best practices protocol for State and local law enforcement agencies to follow when addressing reports of missing persons, which protocol shall set forth uniform investigative standards for missing persons cases and any other procedures, practices and standards that the superintendent deems appropriate for handling missing person cases. The protocol shall include specific procedures, practices and standards applicable to cases involving high risk missing persons or missing children. The Superintendent of State Police shall develop and make available to each law enforcement agency in this State a training program on the procedures, practices and standards for the handling of high risk missing persons, missing children and missing persons cases set forth in the protocol adopted pursuant to and consistent with this act and section. Each law enforcement agency in this State shall comply with this protocol when the agency is notified of a missing person.
To assess the effectiveness of this protocol, the Missing Persons Unit annually shall review a sample of open missing persons cases from the immediately preceding year. Based upon its assessment, the Missing Persons Unit may recommend to the superintendent that the protocol be revised or amended and whether the training programs currently available to law enforcement agencies are adequate.
##### **§ 52:17B-222** Short title. {#sec-52-17b-222 omnilex-key=us-nj-statutes--title-52--52:17B-222}
1. This act shall be known and may be cited as the "Law Enforcement Professional Standards Act of 2009."
##### **§ 52:17B-223** Findings, declarations relative to law enforcement professional standards. {#sec-52-17b-223 omnilex-key=us-nj-statutes--title-52--52:17B-223}
2. The Legislature finds and declares:
a. The citizens of the State of New Jersey are entitled to be protected and served by law enforcement professionals who conduct themselves in accordance with the highest standards of integrity, proficiency, and accountability.
b. In December 1999, the State of New Jersey entered into a consent decree with the Civil Rights Division of the United States Department of Justice, No. 99-5970 (MLC).
c. The Governor's Advisory Committee on Police Standards, established pursuant to Executive Order No. 29, issued by Governor Corzine on August 23, 2006, conducted a thorough examination of the policies and practices of the State Police and its compliance with the terms of the consent decree and of the Attorney General's Office's oversight and direction. The Advisory Committee on Police Standards concluded that the State Police, the Office of State Police Affairs, and the Attorney General had worked cooperatively to rebuild public trust through significant revisions of State Police standing operating procedures, by changing the relationship between the Attorney General's Office and the State Police, and through the development of innovative management techniques. Based upon these findings, the Advisory Committee recommended that the State join in a motion with the United States Department of Justice to terminate the consent decree, subject to the condition that the significant reforms accomplished during the term of the consent decree would be institutionalized, and, as appropriate, codified by statute.
d. The objective monitoring and independent oversight functions performed by the independent monitoring team appointed by the United States District Court pursuant to the consent decree have helped to promote and support the vigorous, lawful, and non-discriminatory implementation of law enforcement practices and procedures. In recognition of the strong public interest in perpetuating the quality and standards established under the consent decree, it is necessary and appropriate to maintain an office to assume the functions that had been performed by the independent monitoring team under the consent decree and to perform other duties in support of county and municipal law enforcement agencies.
e. Many of the reforms accomplished under the consent decree have been codified in rules, regulations, standing operating procedures or operations instructions promulgated by the superintendent and approved by the independent monitoring team appointed by the United States District Court. However, the need for flexibility to account for developments in constitutional law, the advent of new technologies, and the development of new best practices in policing, makes it impracticable and inappropriate to codify all consent decree-related rules, regulations, standing operating procedures and operations instructions in statutory law. Rather, the reforms achieved under the consent decree can best be institutionalized by mandating that any future changes to State Police rules, regulations, standing operating procedures and operations instructions relating to the consent decree are approved in writing by the Attorney General prior to issuance or adoption by the superintendent, and by ensuring the issuance or modification of any rule, regulation, standing operating procedure or operations instruction deemed necessary to maintain or enhance the practices of the Division of State Police on matters pertaining to any applicable non-discrimination policy established by the Attorney General; the law of arrest, search and seizure; and the documentation of motor vehicle stops and law enforcement activities occurring during the course of motor vehicle stops.
##### **§ 52:17B-224** Definitions relative to law enforcement professional standards. {#sec-52-17b-224 omnilex-key=us-nj-statutes--title-52--52:17B-224}
3. As used in this act:
"Consent decree" means the consent decree the State of New Jersey entered into with the United States Department of Justice, Civil Rights Division, in December 1999.
"Director" means the Director of the Office of Law Enforcement Professional Standards.
"Mobile video recording system" means any device or system installed or used in a police vehicle that electronically records visual images depicting activities that take place during a motor vehicle stop or other law enforcement action.
"Office" means the Office of Law Enforcement Professional Standards established pursuant to section 4 of P.L.2009, c.121 (C.52:17B-225).
"Personnel performance information system" means a computerized system that collects, uses and analyzes information relating to motor vehicle stops and law enforcement actions taken during the course of those stops; allegations of misconduct and investigations of those allegations; and any other information that is used to assist supervisors to evaluate the performance of State Police members and their compliance with applicable laws, rules, regulations and standing operating procedures. This term shall include, but is not limited to, the State Police Management Awareness and Personnel Performance System in operation on the effective date of this act and any successor system.
##### **§ 52:17B-225** Office of Law Enforcement Professional Standards. {#sec-52-17b-225 omnilex-key=us-nj-statutes--title-52--52:17B-225}
4. a. There is created in the Department of Law and Public Safety an Office of Law Enforcement Professional Standards which shall perform such administrative, investigative, policy and training oversight, and monitoring functions, as the Attorney General shall direct, to assure and maintain the integrity of law enforcement activities performed by Division of State Police personnel, and to assist and provide guidance to other law enforcement entities Statewide.
b. In carrying out its duties and responsibilities, the office, and its constituent organizational units, shall exercise the Attorney General's constitutional, statutory and common law authority to act in the public interest, and shall have the authority to attend generally to legal matters in which the State or any of its officers or instrumentalities have an interest, and to execute the Attorney General's powers under the "Department of Law and Public Safety Act of 1948," P.L.1948, c.439 (C.52:17B-1 et seq.).
c. Nothing in this section shall be construed to limit the authority of the superintendent under Title 53 of the Revised Statutes or the authority of the Attorney General.
##### **§ 52:17B-226** Appointment of director. {#sec-52-17b-226 omnilex-key=us-nj-statutes--title-52--52:17B-226}
5. The Attorney General shall appoint an individual qualified by education, experience, or professional background in the fields of law, investigation, criminal practice, and administration to serve as Director of the Office of Law Enforcement Professional Standards. The director shall operate under the authority and direct supervision of the Attorney General, and shall serve at the pleasure of the Attorney General.
##### **§ 52:17B-227** Organization of office. {#sec-52-17b-227 omnilex-key=us-nj-statutes--title-52--52:17B-227}
6. Subject to the provisions of P.L.2009, c.121 (C.52:17B-222 et seq.), the director may, with the approval of the Attorney General, organize the work of the office into such bureaus and other organizational units as may be necessary for its efficient and effective operation. The director may delegate to employees in the office, and its constituent organizational units, such powers as are authorized under this act that the director deems appropriate, to be exercised subject to the supervision and control of the director. The Attorney General may assign to the office such employees of the Department of Law and Public Safety as may be necessary to assist the director in the performance of his duties. The office shall be authorized to call upon the expertise and assistance of every division, agency, office, bureau and unit within the Department of Law and Public Safety in order to carry out its mission. Each division, agency, office, bureau and unit within the Department of Law and Public Safety is hereby required, to the extent not inconsistent with any other law, to cooperate with the office and to provide such assistance the office may require to accomplish the purposes of P.L.2009, c.121 (C.52:17B-222 et seq.). It shall be the duty of all law enforcement agencies operating under the authority of the law of the State of New Jersey to cooperate with and aid the office in the performance of its duties.
##### **§ 52:17B-228** Duties, functions of office. {#sec-52-17b-228 omnilex-key=us-nj-statutes--title-52--52:17B-228}
7. a. The office shall be authorized to perform the duties and functions previously performed under the consent decree by the independent monitors and the Office of State Police Affairs, which general and specific duties and functions are codified in this act, and such other duties and functions as may otherwise be established or assigned by the Attorney General.
b. The office shall be authorized to conduct operations audits and independent analyses of data, as necessary and appropriate, to identify any potential disparity in enforcement and systemic problems that may exist that affect the integrity of motor vehicle stops and post-stop enforcement actions, supervision of patrol activities, training provided to Division of State Police members assigned to patrol duties, investigations of alleged misconduct, and any other matters that may affect the integrity of the Division of State Police, and shall make recommendations for appropriate actions by the superintendent or the Attorney General to remedy any identified problems.
c. The office shall have timely access to all data stored in the personnel performance information system maintained by the Division of State Police and any other records or data that are deemed necessary by the director to conduct independent analyses and to perform the functions authorized by P.L.2009, c.121 (C.52:17B-222 et seq.). Nothing herein shall be deemed to require the disclosure of records or data in violation of any constitutional or statutory privacy protections or any collectively bargained rights.
d. The office shall have specific authority to perform the following functions:
(1) review the substance, procedures and implementation related to Division of State Police policies concerning motor vehicle stops and post-stop enforcement actions, supervision of patrol activities, training provided to State Police members assigned to patrol duties, and the conduct of investigations of alleged misconduct and other internal affairs matters by the Division of State Police;
(2) monitor, review and evaluate the quality and timeliness of the Division of State Police's conduct of investigations of alleged misconduct, disciplinary actions and interventions, supervisory actions, personnel performance information system data and reports, consent search forms and reports, non-consensual search and drug detection canine reports, motor vehicle stop reports and logs, mobile video recording system tapes, and supervisory reviews;
(3) approve the curricula, prescribe trainer qualifications, and review the training of State Police troopers and trooper candidates on cultural awareness, law enforcement ethics and leadership, constitutional law pertaining to arrest, search and seizure, equal protection, and other relevant law enforcement issues the director deems necessary or appropriate to effectuate the purposes of this act;
(4) monitor, evaluate, require, and provide assistance or direction in effectuating any modifications to the design, implementation or use of the personnel performance information system, any mobile video recording system, any computer-aided dispatch system, or other system that records data concerning traffic stops and post-stop enforcement actions, used or proposed for use by the Division of State Police; and
(5) review all Division of State Police internal affairs investigations and dispositions, including any decision by the Division of State Police not to refer a complaint, from a citizen or any other source, to the office, or its successor, to ascertain whether the Division of State Police has complied with applicable standing operating procedures, whether the outcomes of those investigations are supported by the evidence, whether any discipline imposed was appropriate and proportionate, and make recommendations to the superintendent and the Attorney General for appropriate remedial action.
##### **§ 52:17B-229** Preparation of reports by office. {#sec-52-17b-229 omnilex-key=us-nj-statutes--title-52--52:17B-229}
8. On the first day of the sixth month after the issuance of the final report by the independent monitoring team appointed by the United States District Court pursuant to the consent decree, the office shall prepare a report that evaluates the Division of State Police's compliance with relevant performance standards and procedures and that is comparable substantively to the independent monitoring team's report. The initial report prepared by the office pursuant to this section shall evaluate the division's compliance during the period beginning on the day immediately following the last day of the period covered by the independent monitoring team's final report. The office shall thereafter prepare and issue such reports on a biannual basis. The reports required pursuant to this section shall be made available to the public.
The reports required by this section are not intended to evaluate compliance by the Division of State Police and the office with the provisions of P.L.2009, c.121 (C.52:17B-222 et seq.). That evaluative function shall be performed by the State Comptroller in conducting the audits and performance reviews required under the provisions of section 15 of P.L.2009, c.121 (C.52:17B-236).
##### **§ 52:17B-230** Specific authority of office relative to certain best practices. {#sec-52-17b-230 omnilex-key=us-nj-statutes--title-52--52:17B-230}
9. The office shall have specific authority to provide advice and technical assistance to county and municipal law enforcement agencies concerning best practices for: the use of mobile video recording systems; supervisor reviews of mobile video recordings; data collection and documentation of investigative detentions, including but not limited to traffic stops and post-stop enforcement actions; in-service training on any applicable non-discrimination policy established by the Attorney General; the law of arrest, search and seizure, and equal protection; and the development and use of personnel performance information systems.
##### **§ 52:17B-231** Promoting, ensuring compliance with general policy. {#sec-52-17b-231 omnilex-key=us-nj-statutes--title-52--52:17B-231}
10. The office shall take appropriate steps to promote and ensure compliance with the general policy that all law enforcement officers not rely to any degree on the race or national or ethnic origin of motorists in selecting vehicles for traffic stops, or in deciding upon the scope and substance of post-stop actions, except in those instances where law enforcement officers are on the lookout for a specific suspect who has been identified in part by their race or their national or ethnic origin.
##### **§ 52:17B-232** Personnel performance information system. {#sec-52-17b-232 omnilex-key=us-nj-statutes--title-52--52:17B-232}
11. The Division of State Police shall maintain a personnel performance information system that meets or exceeds the specifications of the system in place upon termination of the consent decree. Funding for the purposes of maintaining, upgrading or modifying such systems shall be requested in the annual appropriations of the Department of Law and Public Safety independent of and in addition to any other requested funding.
##### **§ 52:17B-233** Participants in, material offered in training course, program. {#sec-52-17b-233 omnilex-key=us-nj-statutes--title-52--52:17B-233}
12. The Superintendent of State Police shall ensure that no member of the State Police attends or participates in any training course or program relating to any applicable non-discrimination policy established by the Attorney General, the law of arrest, search and seizure or equal protection, or the manner for conducting motor vehicle stops or post-stop enforcement actions, unless the superintendent, or his designee, determines that attendance or participation in the training course or program is appropriate, considering the member's experience and present or pending duty assignment. This requirement shall apply to training provided by the Division of State Police, by any other law enforcement agency, by an association representing law enforcement offices or agencies, or by a private vendor. A member of the State Police attending a training course or program shall promptly report to the superintendent, through the chain of command, if the member knows or reasonably should know that the instruction provided during the course contradicts any Division of State Police rule, regulation, standing operating procedure, or operations instruction relating to any applicable non-discrimination policy established by the Attorney General; the law of arrest, search, seizure or equal protection; or the manner for lawfully conducting motor vehicle stops or post-stop enforcement actions. Nothing in this section shall be construed to limit the authority of the office under paragraph (2) of subsection d. of section 7 of P.L.2009, c.121 (C.52:17B-228). Nothing in this section shall be construed to abrogate any applicable constitutional or collectively bargained rights.
##### **§ 52:17B-234** Certification of compliance. {#sec-52-17b-234 omnilex-key=us-nj-statutes--title-52--52:17B-234}
13. a. The superintendent shall, on a semi-annual basis, certify to the Attorney General that the Division of State Police has complied with the requirements of P.L.2009, c.121 (C.52:17B-222 et seq.). Each troop commander shall, on a semi-annual basis, certify to the superintendent that the troop has complied with the requirements of P.L.2009, c.121 (C.52:17B-222 et seq.).
b. The Attorney General and the superintendent shall be responsible for ensuring the issuance or modification of any rule, regulation, standing operation procedure or operations instructions, training program or bulletin, interoffice communication or any other document or communication deemed necessary to effectuate the purposes of P.L.2009, c.121 (C.52:17B-222 et seq.). Nothing in this section shall be construed to limit the existing powers or authority of the Attorney General, including the authority to issue directives to any or all law enforcement and prosecuting agencies in the State, or the authority of the superintendent under Title 53 of the Revised Statutes.
##### **§ 52:17B-235** Semi-annual public reports. {#sec-52-17b-235 omnilex-key=us-nj-statutes--title-52--52:17B-235}
14. a. The office shall prepare semi-annual public reports that include aggregate statistics on State Police traffic enforcement activities and procedures, segregated by State Police station and providing aggregate data on the race and ethnicity of the civilians involved. These reports shall include aggregate statistics on the number of motor vehicle stops, reason for the motor vehicle stop, enforcement actions, including, but not limited to, summonses, warnings, and arrests, requests for consent to search, consent searches conducted, non-consensual searches, and the use of force. The reports shall also include aggregate statistics of the number of criminal charges filed, contraband seizures and wanted persons taken into custody related to motor vehicle stops, and such additional data as may be jointly directed by the superintendent and Attorney General.
b. The office shall prepare semi-annual public reports providing aggregate data regarding misconduct investigations, and the number of external, internal, and total complaints received and the disposition of those complaints.
c. The Attorney General shall, on an annual basis, report to the Governor, the Legislature and the public on the implementation of P.L.2009, c.121 (C.52:17B-222 et seq.). The Attorney General shall annually provide the State Treasurer and the Office of Management and Budget with an estimate of the funds needed to be appropriated to implement the provisions of this act, including but not limited to, estimates of funds needed to maintain adequate information technology and data analysis staffing and to provide adequate training.
d. The reports required by this section are not intended to evaluate compliance by the Division of State Police and the office with the provisions of P.L.2009, c.121 (C.52:17B-222 et seq.). That evaluative function shall be performed by the State Comptroller in conducting the audits and performance reviews required under the provisions of section 15 of P.L.2009, c.121 (C.52:27B-236).
##### **§ 52:17B-236** Risk-based audits, performance reviews conducted by State Comptroller. {#sec-52-17b-236 omnilex-key=us-nj-statutes--title-52--52:17B-236}
15. a. The State Comptroller, established pursuant to P.L.2007, c.52 (C.52:15C-1 et seq.), shall conduct risk-based audits and performance reviews of the Division of State Police and the office to examine stops, post-stop enforcement activities, internal affairs and discipline, decisions not to refer a trooper to internal affairs notwithstanding the existence of a complaint, and training. The State Comptroller may also make recommendations on the funding and staffing levels of the office and the State Police.
b. The State Comptroller shall report to the Governor, the Legislature and the public on the results of the audits and performance reviews. The State Comptroller shall conduct an audit and performance review on a semi-annual basis during the first 18 months following the enactment of P.L.2009, c.121 (C.52:17B-222 et seq.), and thereafter shall conduct an audit and performance review on an annual basis.
c. Within the limits of funds appropriated for such purposes, the State Comptroller may obtain the services of consultants and other professionals necessary to conduct the risk-based audits and performance reviews required by this section.
d. The Division of State Police, the office, and the Department of Law and Public Safety shall cooperate with the State Comptroller and provide to the State Comptroller such information, resources, and other assistance deemed necessary by the State Comptroller to conduct the audits and performance reviews required by this section.
##### **§ 52:17B-236.1** Short title. {#sec-52-17b-236.1 omnilex-key=us-nj-statutes--title-52--52:17B-236.1}
1. This act shall be known and may be cited as the "Seabrooks-Washington Community-Led Crisis Response Act."
##### **§ 52:17B-236.2** Findings, declarations. {#sec-52-17b-236.2 omnilex-key=us-nj-statutes--title-52--52:17B-236.2}
2. The Legislature finds and declares that:
a. New Jersey's system of policing and incarceration has staggering racial disparities.
b. Since 2015, fatal police encounters in New Jersey have resulted in the deaths at least 86 members of the public. Almost half, or 48 percent, of those who lost their lives were Black.
c. New Jersey has one of the highest racial disparities among victims of police violence in the country: Black New Jersey residents are killed at a rate 8.3 times higher than white residents.
d. Between October of 2020 and February of 2021, there have been over 3,500 documented police use-of-force incidents across the State. Of these incidents, at least 46 percent involved police using force on Black individuals.
e. According to studies, individuals with untreated severe mental illness are involved in one-fourth of all fatal police encounters, making those with untreated mental illness 16 times more likely to be killed by a police officer.
f. Over the last few years, 911 calls for mental health crises in New Jersey have increased exponentially.
g. In 2012, New Jersey passed the Overdose Prevention Act, which includes Good Samaritan protections that are intended to encourage people to call 911 if they are with a person who is experiencing an overdose. Yet, research on the effectiveness of Good Samaritan laws shows that overdose bystanders continue to delay or refrain from calling 911 due to fear of police involvement, social penalties, and stigma.
h. According to national studies, the majority of all police killings in the United States escalate from nonviolent situations, such as traffic stops, mental health checks, and domestic disputes.
i. Current research demonstrates that police-centered models of public safety have far-reaching harms, especially for young Black men. Even in the absence of violence, frequent police stops are linked to adverse mental health outcomes, including anxiety, depression, and post-traumatic stress disorder.
j. Other jurisdictions have found that responding to a variety of calls for service, especially those that involve a mental health crisis, with an alternative crisis response team not only reduces the possibility of escalation and thus use of force, but also provides monetary savings to the cities implementing these models.
k. Research on the state of policing shows that front-line officers are experiencing physical and mental health challenges related to burnout and the cumulative stress of responding to behavioral health incidents.
##### **§ 52:17B-236.3** Definitions. {#sec-52-17b-236.3 omnilex-key=us-nj-statutes--title-52--52:17B-236.3}
3. As used in this act:
"Behavioral health" means mental health, substance abuse, or co-occurring mental health and substance abuse diagnoses, and the continuum of mental health, substance abuse, or co-occurring mental health and substance abuse treatment.
"Community crisis response team" means a team that provides professional on-site community-based intervention such as outreach, de-escalation, stabilization, resource connection, and follow-up support for individuals who are experiencing a behavioral health crisis that shall include certified peer counselors as a best practice to the extent practicable.
"Community-based organization" means a public or private nonprofit organization that is representative of a community or a significant segment of a community, and is engaged in meeting human, educational, environmental, or public safety community needs.
"Crisis response services" mean short-term individualized crisis stabilization services which follow a crisis screening or assessment and which are designed to restore the individual to a prior functional level.
"Harm reduction services" means policies, programs, and practices that aim to reduce or minimize the adverse consequences associated with the use of substances.
"Law enforcement agency" means a State, county or municipal law enforcement agency, department, division, or instrumentality thereof that is statutorily empowered to act for the detection, investigation, arrest, conviction, detention, or rehabilitation of persons violating the criminal laws of the State.
"Substance use disorders" means the recurrent use of alcohol, drugs, or both that causes clinically significant impairment, including health problems, disability, and failure to meet major responsibilities at work, school, or home.
"Violence interrupter community street team" means a non-profit community service provider who develops and implements violence intervention and prevention programming for communities impacted by higher-than-average rates of violence, with a focus on gun violence, and works with groups and individuals to build their capacity to seek healthy methods for addressing and resolving conflict.
##### **§ 52:17B-236.4** "Community Crisis Response Advisory Council" established, Department of Law and Public Safety. {#sec-52-17b-236.4 omnilex-key=us-nj-statutes--title-52--52:17B-236.4}
4. a. There is established in the Department of Law and Public Safety the Community Crisis Response Advisory Council to provide the department with best practices and recommendations concerning the development of a community crisis response program in the form of an annual report to the department. In developing the best practices and recommendations, the council shall assess and determine a viable pipeline to train and resource mental health screeners from within directly impacted communities. Upon submission to the council, the report immediately shall be made available to the public.
b. The council shall consist of 13 members, as follows:
(1) the Deputy Commissioner of Public Health Services, the Assistant Commissioner of the Division of HIV, STD and TB Services, and the Director of Emergency Medical Services in the Department of Health, or their designees, who shall serve ex officio;
(2) the Attorney General or a designee, who shall serve ex officio;
(3) the Executive Director of the Division of Violence Intervention and Victim Assistance in the Department of Law and Public Safety, or a designee, serving ex officio;
(4) the Director of the Division of Fire Safety in the Department of Community Affairs, or a designee, serving ex officio; and
(5) seven public members of the council who shall be appointed by the Governor, with two members appointed upon recommendation of the Senate President and two members appointed upon recommendation of the Speaker of the General Assembly.
c. The seven public members shall consist of one or more members: who have prior involvement with the criminal justice system; who have expertise in crisis response, harm reduction services, or both; who have experience advocating for their communities; and who represent New Jersey-based social justice and civil rights organizations specializing in criminal justice reform.
d. The Attorney General shall serve as chairperson of the council. The members of the council shall serve without compensation but shall be reimbursed for the reasonable expenses necessarily incurred in the performance of their duties within the limits of funds appropriated or otherwise made available to the council for its purposes.
e. The council first shall organize not later than 45 days after the effective date of P.L.2023, c.259 (C.52:17B-236.1 et al.). The council shall meet periodically at the call of the chairperson, but not less than six times in each calendar year. A majority of the members of the council shall constitute a quorum for the purposes of the council taking official action, but a lesser number may hold public hearings. All meetings of the council shall be open to the public. Agendas, minutes, documents, and testimony from each meeting shall be posted on the Internet website of the Office of the Attorney General.
f. Public members of the council shall serve for a term of three years. Vacancies in the membership shall be filled in the same manner in which the original appointments were made. Public members shall be eligible for reappointment to the advisory council.
g. The council shall be entitled to receive assistance and services from any State, county, or municipal department, board, commission, or agency, as may be available to it for its purposes. The Department of Law and Public Safety shall provide staff and administrative support to the council.
h. The council shall hold public hearings throughout the State, at which it may ask individuals to testify who can provide insight into the need, design, and effectiveness of community-based crisis intervention.
##### **§ 52:17B-236.5** Community Crisis Response Advisory Council pilot program, select counties; Attorney General, proposal requests. {#sec-52-17b-236.5 omnilex-key=us-nj-statutes--title-52--52:17B-236.5}
5. a. The Attorney General shall establish a pilot program in Camden, Essex, Hudson, Mercer, Middlesex, and Passaic Counties to permit eligible municipalities and community-based organizations to operate community crisis response teams in accordance with the provisions of P.L.2023, c.259 (C.52:17B-236.1 et al.).
b. The Attorney General shall develop a request for proposals, in accordance with the minimum application requirements outlined in section 6 of P.L.2023, c.259 (C.52:17B-236.6), from municipalities and organizations interested in participating in the pilot program, to review completed proposals, create a scoring panel for submitted proposals, and to issue grant awards to municipalities or organizations to plan or implement a community crisis response team, as defined in section 3 of P.L.2023, c.259 (C.52:17B-236.3). The Attorney General shall publish a request for proposals pursuant to this section not later than 90 days after the effective date of P.L.2023, c.259 (C.52:17B-236.1 et al.). The Attorney General shall announce grants awards not later than 90 days after the completion of the request for proposals. The council shall not be involved in the grant award process. Organizations represented by or affiliated with a member of the council shall not be disqualified from applying for a grant award.
c. Grants may be used for the following purposes:
(1) project planning and community engagement, including:
(a) research and assessment of need;
(b) development of staffing plans;
(c) resource mapping;
(d) training;
(e) development of community engagement plan;
(f) fiscal planning;
(g) engagement with technical assistance providers or consulting services; and
(h) evaluation planning; and
(2) project implementation, including:
(a) staffing and recruitment;
(b) facilities;
(c) operational costs, including costs of startup or expansion activities, marketing, language translation, and transportation;
(d) engagement with technical assistance providers;
(e) consulting services;
(f) training;
g program and project evaluation, including evaluation of program and project efficacy, staff performance, and service delivery; and
h. programming and service interventions that include activities that prioritize human service interventions, by entities other than law enforcement, over interventions by law enforcement, or activities that include triaging emergencies, through emergency dispatch operators, in a manner that results in a referral to a wholly non-police entity.
##### **§ 52:17B-236.6** Community Crisis Response Advisory Council, grant eligibility. {#sec-52-17b-236.6 omnilex-key=us-nj-statutes--title-52--52:17B-236.6}
6. a. To be eligible to receive a grant pursuant to the pilot program established in section 5 of P.L.2023, c.259 (C.52:17B-236.5):
(1) a municipality shall be a municipality of the first class in Essex, Hudson, and Passaic Counties; a municipality of the second class having a population of more than 70,000 and density of 8,000 to 12,000 according to the 2020 federal decennial census in Camden and Mercer Counties; and a municipality of the second class having a population of more than 55,000 and density of between 10,000 and 11,000 according to the 2020 federal decennial census in Middlesex County; and have an entity that operates as a violence interrupter community street team within its boundaries; and
(2) a community-based organization shall be located within a municipality that meets the criteria set forth in paragraph (1) of this subsection.
Additionally, an applicant is required to demonstrate an established relationship with a State-approved harm reduction center, be a State-approved community violence intervention program, or both. The Department of Law and Public Safety shall be required to prioritize issuing grants to an applicant that currently operates as a violence interrupter community street team and has been State-approved for a period of not less than two years.
b. An applicant shall submit an application to the Department of Law and Public Safety as outlined in the request for proposals that includes, at a minimum, the following:
(1) for planning grants:
(a) a list of stakeholders and potential stakeholders that will participate in the planning process, which may include community-based organizations and government partners, and shall include a State-approved harm reduction center or another organization that provides harm reduction services; and
(b) strategies for sustained community engagement and feedback processes; and
(2) for implementation grants:
(a) a list of stakeholders and potential stakeholders that will participate in the project, which shall include a State-authorized harm reduction center or another organization that provides harm reduction services;
(b) a framework for how the program will be incorporated into a government department or work in cooperation with a government department;
(c) a dispatch model and flowchart;
(d) the metrics by which the program will be evaluated;
(e) strategies for peer staffing and retention;
(f) strategies for warm handoff and sustained follow-up of participants;
(g) a statement describing the manner in which a community crisis response team will divert behavioral health calls from the purview of law enforcement of response while ensuring rapid, sufficient medical response when needed;
(h) a statement describing the manner in which a community crisis response team will prevent and divert individuals from involvement in the criminal justice system;
(i) a statement describing the manner in which the program will prioritize racial and gender equity in the allocation of services and resources; and
(j) a proposed community crisis response team budget.
c. Grants awarded under the pilot program shall not exceed a total of $12,000,000 and the amount awarded to applicants in each eligible municipality shall not exceed $2,000,000 per municipality. A law enforcement agency shall not be the recipient of a grant.
L.2023, c.259, s.6.
C.52:17B-236.7 Annual report, Governor, Legislature.
7. The council shall submit an annual report to the Governor and the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), on the status of the pilot program. Three years following the date of enactment, the council shall submit a final report to the Governor and the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), on the outcomes resulting from the pilot programs and recommendations for the actions necessary to support the continuation and expansion of community crisis response models in the State of New Jersey. The reports issued pursuant to this section shall be public.
##### **§ 52:17B-236.8** Regulations. {#sec-52-17b-236.8 omnilex-key=us-nj-statutes--title-52--52:17B-236.8}
9. The department may adopt any regulations necessary to effectuate the purposes of this act on an expedited basis, which regulations shall be effective immediately upon filing with the Office of Administrative Law for a period not to exceed 18 months, and may, thereafter, be amended, adopted, or readopted in accordance with the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:17B-237** Commission on Human Trafficking. {#sec-52-17b-237 omnilex-key=us-nj-statutes--title-52--52:17B-237}
1. a. There is hereby created, in the Division of Criminal Justice in the Department of Law and Public Safety, a commission to be known as the Commission on Human Trafficking, consisting of 17 members as follows: the Attorney General, or the Attorney General's designee; the Commissioner of Children and Families, or the commissioner's designee; the Commissioner of Human Services, or the commissioner's designee; a county prosecutor, appointed by the Governor based upon the recommendation of the County Prosecutors Association of the State of New Jersey; one member of the New Jersey Human Trafficking Task Force established within the Department of Law and Public Safety, designated by the Attorney General; the Executive Director of the Division of Violence Intervention and Victim Assistance or the executive director's designee; two public members appointed by the Governor based upon the recommendation of the Senate President, one representing law enforcement and one representing a victim's assistance organization; one public member appointed by the Governor based upon the recommendation of the Senate Minority Leader representing either a non-profit health care facility or mental health services; two public members appointed by the Governor based upon the recommendation of the Speaker of the General Assembly, one representing law enforcement and one representing a victim's assistance organization; one public member appointed by the Governor based upon the recommendation of the Assembly Minority Leader representing either a non-profit health care facility or mental health services; and five public members appointed by the Governor, one of whom shall be a representative of a child advocacy organization concerning missing, abducted, or exploited children, and one of whom shall be a human trafficking survivor. All public members shall have experience with, possess a background in, or demonstrate a specialized knowledge of, the legal, policy, educational, social, or psychological aspects of human trafficking.
b. (1) Of the public members first appointed:
(a) the following shall serve for a term of three years: one member appointed upon the recommendation of the Senate President; one member appointed upon the recommendation of the Speaker of the General Assembly; and two members appointed by the Governor; and
(b) the following shall serve for a term of two years: one member appointed upon the recommendation of the Senate President; one member appointed upon the recommendation of the Speaker of the General Assembly; each member appointed upon the recommendation of the Senate and Assembly Minority Leaders; and three members appointed by the Governor.
(c) Upon the conclusion of the initial terms, each public member shall be appointed for a term of three years.
(2) Each member appointed shall hold office for the term of appointment and until a successor shall have been appointed and qualified.
(3) Any vacancy in the membership of the commission shall be filled by appointment in the same manner as the original appointment was made.
c. (1) The commission shall organize upon the appointment of a majority of its authorized membership. The members shall elect one of the members to serve as chair and vice-chair, and the chair may appoint a secretary, who need not be a member of the commission.
(2) The commission shall meet at those times and places within the State of New Jersey as the commission shall determine. A majority of the commission's authorized membership shall constitute a quorum for the transaction of any business, for the performance of any duty, or for the exercise of any power of the commission.
d. The members of the commission shall serve without compensation, but shall be eligible for reimbursement for necessary and reasonable expenses incurred in the performance of their official duties within the limits of funds appropriated or otherwise made available to the commission for its purposes.
e. The Division of Criminal Justice in the Department of Law and Public Safety shall, at the direction of the Attorney General, provide legal, stenographic, technical, clerical, and other staff and resource assistance to the commission, and additionally the commission may incur expenses as may be necessary in order to perform its duties within the limits of funds appropriated or otherwise made available to it for its purposes.
f. It shall be the duty of the commission to:
(1) Evaluate the existing law concerning human trafficking and the enforcement thereof, and to make recommendations for legislation, if appropriate;
(2) Review existing victim assistance programs and analyze the costs, organization, and availability of these services for victims of human trafficking and to make recommendations for legislation, if appropriate;
(3) Promote a coordinated response by public and private resources for victims of human trafficking; and
(4) Develop mechanisms to promote public awareness of human trafficking, victim remedies and services, and trafficking prevention including the creation of a public awareness sign promoting the national, 24-hour toll-free hotline telephone service on human trafficking described under section 18 of P.L.2013, c.51 (C.2C:13-11), and the promotion of training courses and other educational materials for use by persons required under section 19 of P.L.2013, c.51 (C.2C:13-12) to undergo training on the handling of and response procedures for suspected human trafficking activities.
g. The commission shall report annually to the Governor and to the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), its activities, as well as its findings and recommendations for any needed new services or resources for victims of human trafficking, and any proposed changes to the current law concerning human trafficking.
##### **§ 52:17B-237.1** Display of human trafficking public awareness sign; penalty for failure to display. {#sec-52-17b-237.1 omnilex-key=us-nj-statutes--title-52--52:17B-237.1}
2. Display of Human Trafficking Public-Awareness Sign; Penalty for Failure to Display.
a. Pursuant to section 1 of P.L. 2013, c.51 (C.52:17B-237), the Commission on Human Trafficking shall develop and determine the language for a public awareness sign that contains the national, 24-hour toll-free hotline telephone service on human trafficking described under section 18 of P.L.2013, c.51 (C.2C:13-11) and otherwise meets the requirements contained in subsection d. of this section. The public awareness sign shall be revised and modified by the Commission from time to time as need may require.
b. The following establishments to the extent practicable shall display the public awareness sign described in subsection a. in a place that is clearly conspicuous and visible to employees and the public:
(1) Strip clubs or sexually oriented businesses as defined in subsection a. of section 2 of P.L.1995, c.167 (C.2C:33-12.2), including, but not limited to, within every dressing room and within every restroom and restroom stall;
(2) Places of business of employers of massage or bodywork therapists, which employers are subject to registration, and which therapists are subject to licensure, pursuant to P.L.1999, c.19 (C.45:11-53 et seq.) and section 13 of P.L.2007, c.337 (C.45:11-68 et al.), including, but not limited to, within every dressing room and within every restroom and restroom stall;
(3) Bars;
(4) Airports;
(5) Passenger rail or light rail stations;
(6) Bus stations;
(7) Welcome Centers;
(8) Truck stops;
(9) Weigh Stations;
(10) Emergency rooms within general acute care hospitals;
(11) Urgent care centers;
(12) Farm labor contractors and day haulers;
(13) Privately operated job recruitment centers;
(14) Service areas and safety rest areas located along interstate highways in New Jersey;
(15) All forms of public transportation, including every railroad passenger car; and
(16) Hotels, motels, bed and breakfast establishments, campsites, and similar places of public accommodation.
c. Owners and operators of private and public school buses are encouraged to display the public awareness sign described in subsection a. in a place that is clearly conspicuous and visible to students.
d. The public awareness sign to be posted pursuant to subsection b. shall be no smaller than eight and one-half inches by eleven inches in size, printed in 16-point font, in English and Spanish.
e. A business or establishment that fails to comply with the requirements of this section shall be liable for a civil penalty of $300 for a first offense and $1000 for each subsequent offense.
##### **§ 52:17B-238** "Human Trafficking Survivor's Assistance Fund." {#sec-52-17b-238 omnilex-key=us-nj-statutes--title-52--52:17B-238}
2. a. There is established the "Human Trafficking Survivor's Assistance Fund" as a separate, non-lapsing, dedicated fund in the General Fund, which shall be administered by the Attorney General. All monies deposited in the fund pursuant to P.L.2013, c.51 (C.52:17B-237 et al.), any other enactment, or as otherwise provided from any public or private source shall be used for the provision of services to victims of human trafficking, to promote awareness of human trafficking, and the development, maintenance, revision, and distribution of training course and other educational materials, and the operation of educational or training programs, in accordance with sections 11 and 19 of P.L.2013, c.51 (C.2C:34-1.2 and C.2C:13-12). All expenditures from the fund shall be made by the Attorney General, in consultation with the Commission on Human Trafficking established by section 1 of P.L.2013, c.51 (C.52:17B-237), and done so in accordance with rules and regulations promulgated by the Attorney General and other applicable law.
b. Receipt of expenditures from the fund by any provider of services to victims of human trafficking shall not be based or otherwise conditioned upon the previous, present, or future cooperation of the recipient regarding any law enforcement investigation or prosecution, or lack thereof.
##### **§ 52:17B-238.1** Attorney General, perform functions, address specific needs, vulnerabilities, human trafficking. {#sec-52-17b-238.1 omnilex-key=us-nj-statutes--title-52--52:17B-238.1}
1. a. The Attorney General shall allocate and utilize resources in the Department of Law and Public Safety to perform functions designed to address the specific needs and vulnerabilities related to human trafficking which are experienced by members of underserved communities, particularly girls and women of color.
b. The functions to be performed pursuant to subsection a. of this section shall include, but not be limited to:
(1) coordinating with State, municipal , and county law enforcement agencies to investigate cases related to human trafficking in underserved communities;
(2) coordinating with relevant government entities, including, but not limited to the Victims of Crime Compensation Office, established pursuant to section 2 of P.L.2007, c.95 (C.52:4B-3.2) and the Commission on Human Trafficking, established pursuant to section 1 of P.L.2013, c.51 (C.52:17B-237), and community-based organizations to create and administer programs to connect victims to appropriate and effective information and resources; and
(3) collecting and maintaining data related to human trafficking cases and trends concerning members of underserved communities.
##### **§ 52:17B-239** Findings, declarations relative to violence as a public health crisis. {#sec-52-17b-239 omnilex-key=us-nj-statutes--title-52--52:17B-239}
1. The Legislature finds and declares that:
a. On December 14, 2012, a heavily armed man, dressed in black fatigues and a military vest, walked into a Newtown, Connecticut elementary school and opened fire, horrifically killing 26 people before killing himself. Twenty of the victims were young children, who were six and seven years old;
b. On August 31, 2012 at a Pathmark in Old Bridge, New Jersey an employee armed with an assault rifle and automatic pistol entered the store and killed two workers before taking his own life;
c. In July 2012, at a crowded midnight screening of "The Dark Knight Rises" in Aurora, Colorado, a man wearing body armor and a gas mask entered the theater armed with an assault rifle, shotgun, and .40-caliber handgun and opened fire into the crowd. Twelve people were killed and 59 others were wounded as a result. The youngest victim was six years old;
d. On January 8, 2011 in Tucson, Arizona, Congresswoman Gabrielle Giffords and 18 others were shot during a public meeting held in a supermarket parking lot. Six of those people were killed;
e. On November 5, 2009 there was an attack at Fort Hood, Texas where an Army psychiatrist was charged with killing 13 soldiers and civilians and wounding more than two dozen others;
f. In Colorado, the movie theater shooting described above was the deadliest shooting since the Columbine High School massacre on April 20, 1999, when two students opened fire in the Denver suburb of Littleton, killing 12 classmates and a teacher and wounding 26 others before killing themselves;
g. Assault weapons were used in the Tuscon, Arizona shooting, the Fort Hood shooting, and the Columbine High School shooting described above;
h. The above examples represent a fraction of the violence that occurs nationally and in this State every year. According to the most recent data available, in this State alone, there are 372 murders per year, meaning there is one murder every 23 hours and 33 minutes in New Jersey;
i. Nationwide, there have been more than 70 mass shootings since the January 8, 2011 shooting of Arizona Congresswoman Gabrielle Giffords described above;
j. The Centers for Disease Control and Prevention has recognized violence as a serious public health problem in the United States and has reported homicide as the second leading cause of death among persons 15 to 24 years old. The Centers for Disease Control and Prevention has found that in addition to the many violent deaths that occur in this country each year, there are many more individuals who survive violence and are left with permanent physical and emotional scars and that this violence erodes communities by reducing productivity, decreasing property values, and disrupting social services;
k. In this State alone, there are 74,244 domestic violence offenses reported by the police each year, with children being involved or present during 31 percent of these offenses, according to the most recent data available;
l. Nationwide, the equivalent of 10,000 busloads of children end up in emergency rooms for violence-related injuries every year and more than 5,500 children are murdered every year;
m. A study conducted by the World Health Organization stated that communities with high numbers of violent children also have higher health care costs, reduced productivity, and decreased property values;
n. A 2001 Surgeon General report found that programs that focused on classroom attendance, academic progress, and school behavior helped reduce violence among children;
o. Although New Jersey has strict gun control laws, these laws are easily circumvented because of the lack of similar federal laws. In order to provide more safety for New Jersey residents, the federal government must reinstate its ban on assault weapons which expired on September 13, 1994 and must expand background check requirements for gun purchases to include all sales and transfers;
p. The Centers for Disease Control and Prevention and other scientific agencies have been barred by Congress from using federal funds to advocate or promote gun control, which appears to ban scientific agencies, including the Centers for Disease Control and Prevention from using federal funding to conduct research on the causes of gun violence. Congress should remove this ban and allow these scientific agencies to use federal funding to conduct this critical public health research; and
q. Based upon the foregoing findings regarding these recent horrific incidents illustrating the alarming prevalence of violence and the detrimental effects that unrelenting violence has for the good citizens of this nation and State, the Legislature declares violence to be a grave public health crisis. The Legislature finds that it is, therefore, in the public interest for the State to establish a commission to study violence in order to help raise awareness about one of this country's most significant public health crises.
##### **§ 52:17B-240** Study Commission on Violence. {#sec-52-17b-240 omnilex-key=us-nj-statutes--title-52--52:17B-240}
2. a. There is established a Study Commission on Violence to study the issue of violence. The commission shall consist of nine members. To the greatest extent practical, the public members shall have a background or education in mental health or criminology. One member of the commission shall be the Attorney General or a designee, who shall serve ex-officio. One member of the commission shall be the Commissioner of Health or a designee, who shall serve ex-officio. One member of the commission shall be the Administrative Director of the Courts or a designee, who shall serve ex-officio. One member of the commission shall be the Commissioner of Human Services or a designee, who shall serve ex-officio. One member of the commission shall be the President of the County Prosecutor's Association of New Jersey or a designee, who shall serve ex-officio. Two public members of the commission shall be appointed by the Governor. One member appointed by the Governor shall be a person who has a background or education in mental health, and the other member appointed by the Governor shall be a person who has a background or education in the study or treatment of domestic violence. One public member of the commission shall be appointed by the President of the Senate. One public member of the commission shall be appointed by the Speaker of the General Assembly.
Vacancies in the membership of the commission shall be filled in the same manner as the original appointments were made.
b. The members of the commission shall be appointed within 30 days of the effective date of P.L.2013, c.109 (C.52:17B-239 et seq.) and shall hold their initial organizational meeting as soon as practicable, but no later than 30 days following the appointment of the commission's members. The members shall select a chairperson from among the members. The chairperson shall appoint a secretary who need not be a member of the commission.
c. Members of the commission shall serve without compensation, but shall be reimbursed for necessary expenses incurred in the performance of their duties as members of the commission, within the limits of funds appropriated or otherwise made available to the commission for its purpose.
d. The Department of Law and Public Safety shall provide support staff to the commission, as necessary.
e. The commission shall further be entitled to call to its assistance and avail itself of the services of the employees of any State, county or municipal department, board, bureau, commission, or agency as it may require and as may be available to it for its purposes.
##### **§ 52:17B-241** Duty of the commission. {#sec-52-17b-241 omnilex-key=us-nj-statutes--title-52--52:17B-241}
3. a. It shall be the duty of the commission to study the trends of violence, the source of violence, and the impact of violence on the community, to develop a method to address the epidemic of violence at the federal and State levels, and to make recommendations for State and Congressional action.
b. The commission shall seek out funding and grants for the implementation of programs to reduce violence from sources including, but not limited to, the Centers for Disease Control and Prevention and any other funding sources.
c. The commission shall study the issue of insufficient access to mental health treatment and violence.
d. The commission shall study and make recommendations regarding whether the Special Offenders Unit created by the Union County Prosecutor's Office to address the increase in criminal prosecutions against individuals with mental illness should be expanded to other counties.
e. The commission shall study and recommend whether the community-based mental health treatment system, through which there are involuntary outpatient commitments under a court order supervised by a case manager, should be expanded to all counties in this State and how to adequately fund the program in all counties.
##### **§ 52:17B-242** Public hearings, report to Governor, Legislature. {#sec-52-17b-242 omnilex-key=us-nj-statutes--title-52--52:17B-242}
4. a. The commission shall conduct public hearings in furtherance of its general purposes at such place or places as it shall designate, at which it may request the appearance of officials of any federal, State or interstate department, board, bureau, commission, agency, or authority and solicit the testimony of interested groups and the general public.
b. The commission shall issue the first report to the Governor and to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), no later than the first day of the seventh month following its organization and shall issue annual reports thereafter, containing its findings and recommendations, including any recommendations for legislation and recommendations for Congressional action that it deems appropriate.
##### **§ 52:17B-242.1** Findings, declarations relative to violence intervention strategies. {#sec-52-17b-242.1 omnilex-key=us-nj-statutes--title-52--52:17B-242.1}
1. The Legislature finds and declares that:
a. In New Jersey, community violence is a public health crisis that disproportionately impacts underserved communities of color and firearm violence specifically is a major component of that violence;
b. Each year, New Jersey suffers more than 1,000 interpersonal shootings and, in 2016, African American and Latino men constituted 90 percent of the total firearm homicide victims in the State;
c. A few New Jersey cities suffer the vast majority of homicides in this State, most of which are committed with a firearm, and in 2015, more than half of the State's total homicides occurred in the cities of Camden, Jersey City, Newark, Paterson, and Trenton;
d. This violence results in enormous trauma, lifelong health impairments, immeasurable human suffering, and significant economic costs;
e. The direct costs of firearm violence in New Jersey are over $1.2 billion per year including healthcare expenses, law enforcement and criminal justice expenses, costs to employers, and lost income, and when reduced quality of life attributable to pain and suffering is considered, the overall economic cost of firearm violence is $3.3 billion per year;
f. The vast majority of victims and perpetrators of violence are young men of color who are at heightened risk for exposure to violence because of a number of risk factors, including lack of educational and economic opportunity, unaddressed mental health needs, substance use disorder issues, unstable housing situations, and previous exposure to violence;
g. Research indicates that in most cities in the United States less than a half percent of a given city's population is responsible for the vast majority of violence, and that effectively intervening with this high risk population is essential to addressing and preventing interpersonal violence;
h. Historically, community-based violence intervention strategies have demonstrated remarkable success at reducing shootings and other incidents involving the use of firearms in heavily impacted communities, and, when properly implemented and consistently funded, these programs produce impressive life-saving and cost-saving results in a short period of time;
i. Large reductions in violence have been seen in cities that centrally coordinate multiple violence reduction strategies, including New York City; and
j. Providing consistent funding and support to the evidence-based violence reduction initiatives is an essential part of New Jersey's comprehensive response to interpersonal firearm violence, and given the extremely high cost of firearm violence, public investment in these solutions is very likely to generate significant savings for New Jersey taxpayers.
##### **§ 52:17B-242.2** New Jersey Violence Intervention Program. {#sec-52-17b-242.2 omnilex-key=us-nj-statutes--title-52--52:17B-242.2}
2. The New Jersey Violence Intervention Program is established in the Office of the Attorney General, in the Department of Law and Public Safety. The purpose of the program is to invest in effective, evidence-based violence reduction initiatives focused on the highest-risk individuals in communities disproportionately impacted by community violence, with a particular emphasis on firearm violence.
Specifically, the Office of the Attorney General shall establish, advertise, and administer grants through the New Jersey Violence Intervention Program, conduct program evaluation to determine the effectiveness of the violence intervention programs, submit and post reports to provide transparency regarding the effectiveness of the programs, and hold public forums to gather community input regarding the programs.
##### **§ 52:17B-242.3** Awarding of funds. {#sec-52-17b-242.3 omnilex-key=us-nj-statutes--title-52--52:17B-242.3}
3. a. The Office of the Attorney General shall award funds from the New Jersey Violence Intervention Program on a competitive basis to municipalities, not-for-profit health agencies, law enforcement agencies, and non-profit organizations that serve communities with disproportionately high rates and numbers of homicides and other incidents involving the use of firearms, as determined by the Office of the Attorney General. The grants shall be used to:
(1) implement, expand, or enhance coordination between evidence-based violence reduction initiatives, such as hospital-based violence intervention programs, street outreach programs, and focused deterrence strategies, which have demonstrated effectiveness at reducing rates of homicides and other incidents involving the use of firearms via the provision of targeted services to victims affected by crime or violence;
(2) support the development and delivery of intervention-based strategies by entities that provide targeted services to individuals who are victims affected by crime or violence and are at risk of being victimized by or engaging in violence, in order to interrupt cycles of violence, reinjury, and retaliation;
(3) support initiatives that primarily target a reduction of violence among individuals who are victims affected by crime or violence and have been identified as having the highest risk of perpetrating or being victimized again by violence in the near future ;
(4) ensure that a sufficient portion of the available grant funding is provided to support programs directed at providing public awareness, outreach, assistance or intervention services to victims of firearm violence offered at community locations such as hospitals where individuals may be encountered in the immediate aftermath of a violent incident; and
(5) conduct annual assessments of the needs of communities demonstrably affected by firearm violence to ensure program funds are used effectively.
b. In awarding grants, the Office of the Attorney General shall prioritize the following applicants:
(1) a not-for-profit hospital or a not-for-profit entity operating within, on behalf of, or in partnership with a hospital which operates or is applying to operate a hospital-based or hospital-linked violence intervention program, which provides services in a municipality that has a disproportionately high rate of firearm violence or homicide and is designated as a Level One or Level Two trauma center, under the provisions of P.L.2013, c.233 (C.26:2KK-1 et seq.) and the regulations adopted pursuant thereto, as defined in subsection e. of this section; or
(2) applicants operating in areas disproportionately affected by firearm violence, and whose proposals demonstrate the greatest likelihood of reducing, through targeted services, the rate and number of homicides and other incidents involving the use of firearms in the community served by the applicant without contributing to mass incarceration.
Applicants may apply either independently or jointly.
c. The amount of funds awarded to an applicant shall not be limited to a specific amount and shall be commensurate with:
(1) levels of firearm violence in the community served by the applicant; (2) the scope of the applicant's proposal; and
(3) the applicant's demonstrated need for additional resources to effectively reduce the rate and numbers of homicides and other incidents involving the use of firearms in the community served by the applicant.
d. A grantee may use the grant awarded to supplement, but not replace, funding that would otherwise be made available to address firearm, group, and community violence in the grantee's community.
e. As used in this section:
"Hospital-based or hospital-linked violence intervention program" means a program that is operated by a not-for-profit hospital, or by a person or entity who is contracted to operate a program within, on behalf of, or in partnership with a hospital, and which works to end cycles of violence through the provision of intensive counseling, case management, and social services to patients who are recovering from gunshot wounds and other injuries resulting from violence.
##### **§ 52:17B-242.4** Application for grant. {#sec-52-17b-242.4 omnilex-key=us-nj-statutes--title-52--52:17B-242.4}
4. Application for a grant shall be made in a manner and form as determined by the Office of the Attorney General. A formal Notice of Availability of Funding shall be posted prior to the time for acceptance of applications. However, at a minimum, in applying for the grant, the applicant shall provide:
a. a description of how the applicant proposes to use the grant funds to implement an evidence-based violence reduction initiative pursuant to the provisions of this act;
b. a description of how the applicant proposes to use the grant funds to promote or improve coordination among agencies, organizations, and any already-existing violence reduction strategies or
programs, in order to minimize duplication of services and achieve maximum impact;
c. objective evidence indicating that the applicant's proposed violence reduction initiative would likely reduce rates of homicides and other incidents involving the use of firearms; and
d. clearly defined, measurable objectives for the violence reduction initiative.
##### **§ 52:17B-242.5** Use of funds for technical assistance, implementation and administration of program. {#sec-52-17b-242.5 omnilex-key=us-nj-statutes--title-52--52:17B-242.5}
5. The Office of the Attorney General may use up to eight percent of the funds appropriated or made available, or such percentage as may be authorized under program guidelines for funding made available to the New Jersey Violence Intervention Program through federal funding sources, for technical assistance and for the costs of implementing and administering the program, including but not limited to employment of dedicated grants management and programmatic personnel, and annual program evaluation and analysis of the effectiveness of violence reduction initiatives. These evaluations shall be made available to the public.
##### **§ 52:17B-242.6** Three annual public hearings. {#sec-52-17b-242.6 omnilex-key=us-nj-statutes--title-52--52:17B-242.6}
6. The Office of the Attorney General shall annually hold three public hearings: one hearing in each of the northern, central, and southern regions of the State. The public hearings shall provide a forum to receive information on how the public funds are spent, testimony from grant award recipients on the effectiveness of their programs and best practices, and input from the public on whether the initiatives and the grant funded programs are accomplishing their respective missions. Public input shall be used to assess whether the grant-making metrics and process for issuing grants needs to be revised.
##### **§ 52:17B-242.7** Annual report to Governor, Legislature. {#sec-52-17b-242.7 omnilex-key=us-nj-statutes--title-52--52:17B-242.7}
7. The Office of the Attorney General shall report annually to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, on the activities of the program. The report shall include a listing of the grants awarded under the program, descriptions of the initiatives and impact on the communities served through the grants, and such other information as the Attorney General deems appropriate.
The report shall include, but not be limited to:
(1) a list of all grant applicants and approved grant applicants;
(2) the amounts awarded to approved grant applicants;
(3) the amount of matching funds and types of in-kind contributions provided by approved grant applicants; and
(4) a status report on the activities funded by an approved grant applicant.
##### **§ 52:17B-242.8** Funding from federal government. {#sec-52-17b-242.8 omnilex-key=us-nj-statutes--title-52--52:17B-242.8}
8. a. The Office of the Attorney General may seek money from the federal government, including but not limited to Victims of Crime Act grants, private foundations, and any other source to fund this initiative.
b. Available federal funding under the "Victims of Crime Act of 1984," 42 U.S.C. s.10601 et seq., may, to the extent permitted by federal law, be used to award grants for initiatives authorized under this section and to promote the purposes of the New Jersey Violence Intervention Program, which funding shall be in addition to any other funds appropriated, contributed, awarded, or otherwise provided for these purposes. The Attorney General may establish or provide for such additional conditions, limitations, and requirements on New Jersey Violence Intervention Program applicants and grantees as he or she deems appropriate to promote the purposes of this section and to ensure that any grants relying on federal funding sources or participation are awarded in compliance with federal law.
##### **§ 52:17B-243** Retirement procedure for certain injured law enforcement officers. {#sec-52-17b-243 omnilex-key=us-nj-statutes--title-52--52:17B-243}
1. a. A State, county, or municipal law enforcement officer who has been injured in the performance of the officer's duties shall not be discharged from employment as a result of a determination, based upon a medical examination by a physician designated by the employer of the officer, that the officer is physically incapacitated, due to the injuries, for the performance of the officer's usual duties or any other available duties in the department which the employer is willing to assign to the officer.
b. Pending retirement, the employer of the law enforcement officer shall maintain health insurance for the officer at the level that coverage was provided prior to the injury.
c. The provisions of this section shall apply only when the law enforcement officer has filed an application for retirement with the Police and Firemen's Retirement System, the State Police Retirement System, or the Public Employees' Retirement System and the officer has sick leave or workers' compensation time available.
d. The provisions of this section shall apply to both civil service and non-civil service jurisdictions.
##### **§ 52:17B-244** Removal of certain information from websites concerning prosecutions by the Attorney General. {#sec-52-17b-244 omnilex-key=us-nj-statutes--title-52--52:17B-244}
1. a. For all indictments and prosecutions by the Attorney General of persons who were thereafter acquitted of all criminal charges against them arising from the indictment or prosecution or persons who had all criminal charges against them dismissed with prejudice, if the Attorney General published on its website a press release or information, other than information required to be made available to the public under section 3 of P.L.1963, c.73 (C.47:1A-3), concerning the indictment or prosecution which identified the person by name, upon written request of that person, the Attorney General shall cause that press release or information to be removed from its website or inform the public on its website that the person who was indicted or prosecuted was acquitted of the criminal charges or that the criminal charges were dismissed.
b. Upon written request, the Attorney General shall provide a letter to any person who was indicted by the State or prosecuted by the Attorney General and was thereafter acquitted of all criminal charges arising from the indictment or prosecution or who had all criminal charges against him dismissed with prejudice, indicating that the person was acquitted of, or that there was a dismissal with prejudice of, all criminal charges arising from the indictment or prosecution.
##### **§ 52:17B-245** Survey of untested sexual assault examination kits. {#sec-52-17b-245 omnilex-key=us-nj-statutes--title-52--52:17B-245}
1. a. The Attorney General, in consultation with the New Jersey Coalition Against Sexual Assault, shall develop a survey concerning the sexual assault examination kits in the possession of law enforcement agencies in this State that have not been submitted to a laboratory approved by the Attorney General for serology or deoxyribonucleic acid (DNA) testing. The survey shall be distributed to and completed by every law enforcement agency in the State which is responsible for the collection, storage, and maintenance of sexual assault examination kits.
b. The survey shall include, but not be limited to, questions designed to elicit responsive information concerning: agency policies and procedures governing the submission of sexual assault examination kits to an approved forensic laboratory for testing, including specific submission criteria, timelines, and victim notifications; agency policies and procedures for logging, tracking, and storing sexual assault examination kits; descriptive, statistical, and other relevant information about the sexual assault examination kits currently in the agency's possession; and any other information the Attorney General deems appropriate.
c. The Attorney General shall distribute the survey developed pursuant to this section to all law enforcement agencies in this State, which shall submit responses in a timely manner.
d. The Attorney General shall prepare a report summarizing the information contained in the responses to the survey, provided, however, that the report shall not contain any personal or identifying information about any victim. The Attorney General shall submit the report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature.
##### **§ 52:17B-245.1** Sexual assault forensic evidence kit tracking system established. {#sec-52-17b-245.1 omnilex-key=us-nj-statutes--title-52--52:17B-245.1}
1. a. The Attorney General shall establish a Statewide sexual assault forensic evidence kit tracking system. The Attorney General shall issue guidelines or a directive establishing the system.
b. As used in this section, "sexual assault forensic evidence kit tracking system" means an Internet-based system that allows a person, including a victim; a State, county, or municipal law enforcement officer; an employee of a healthcare facility or laboratory, as deemed appropriate by the Attorney General; and any other person, as deemed appropriate by the Attorney General, to track a sexual assault forensic evidence kit through the chain of custody from the time of collection at a healthcare facility to the transfer to a local law enforcement agency, submission to an appropriate laboratory for processing and testing, and final disposition.
##### **§ 52:17B-246** Program to monitor drug activity involving fentanyl. {#sec-52-17b-246 omnilex-key=us-nj-statutes--title-52--52:17B-246}
1. a. The Attorney General shall maintain a program to monitor drug activity in this State and surrounding regions. The program shall provide for multi-jurisdictional sharing of drug incident information among law enforcement agencies. Information related to drug seizures, overdoses, criminal behavior, and health care-related services shall be collected and analyzed for the purpose of:
(1) assisting in facilitating the development of enhanced policies and practices to prevent drug abuse and misuse; and
(2) mitigating the harm drugs inflict on communities.
The program shall monitor and analyze trends related to the presence and content of fentanyl in illegal substances seized by law enforcement throughout the State. In order to identify these trends, the Attorney General shall require controlled dangerous substances seized by law enforcement officers in the State to be tested for the presence of fentanyl in accordance with protocols established by the Division of State Police.
b. The seized substances shall be tested in accordance with protocols established by the Division of State Police to determine whether fentanyl or other potentially lethal substances are present in the substance and, if so, any available information related to the presence and content of fentanyl in the substance shall be reported to the Attorney General in a timely manner.
c. The testing shall be performed using forensic laboratory analysis techniques the Division of State Police determines to be appropriate to evaluate whether a substance contains fentanyl.
d. The information received pursuant to subsection b. of this section shall be compiled into a database that is accessible by all law enforcement agencies throughout the State. The information shall be continuously updated to reflect the most current information available concerning the presence of fentanyl in illegal substances in the State.
##### **§ 52:17B-247** Certain files required to be provided to law enforcement agencies. {#sec-52-17b-247 omnilex-key=us-nj-statutes--title-52--52:17B-247}
1. a. As used in this act, "law enforcement agency" means a State, interstate, municipal, or county law enforcement agency; a law enforcement agency of an educational institution that appoints law enforcement officers pursuant to P.L.1970, c.211 (C.18A:6-4.2 et seq.); or any other department, division, bureau, commission, board, or other authority of this State or political subdivision thereof which employs law enforcement officers.
b. Prior to appointing an applicant who was previously employed by another law enforcement agency in this State, every law enforcement agency shall request the files, including but not limited to internal affairs and personnel files, of the applicant from each law enforcement agency that employed the applicant. Any confidential internal affairs files received by the law enforcement agency that requested them shall remain confidential and shall not be disclosed to any other party.
c. Every law enforcement agency that receives a request pursuant to subsection b. of this section shall provide the applicant's files to the law enforcement agency that requested them.
d. Any provision of a contract entered into following the effective date of this act that would prohibit a law enforcement agency from providing files, including but not limited to internal affairs and personnel files, to another law enforcement agency pursuant to this section shall be deemed against public policy and unenforceable.
e. The Attorney General shall issue or amend guidelines or directives necessary to effectuate the provisions of this act.
## **Chapter 17C**
##### **§ 52:17C-1** Definitions. {#sec-52-17c-1 omnilex-key=us-nj-statutes--title-52--52:17C-1}
1. As used in this act:
a. "Automatic number identification (ANI)" means an enhanced 9-1-1 service capability that enables the automatic display of the callback number used to place a 9-1-1 call;
b. "Automatic location identification (ALI)" means an enhanced 9-1-1 service capability that enables the automatic display of information defining the geographical location of the telephone used to place a 9-1-1 call;
c. "Commission" means the Statewide Public Safety Communications Commission created pursuant to section 5 of P.L.2011, c.4 (C.52:17C-3.2);
d. "County 9-1-1 Coordinator" means the County 9-1-1 Coordinator appointed pursuant to section 5 of this act;
e. "Enhanced 9-1-1 network" means the switching equipment, trunk system, database operation and connections to the public safety answering point;
f. "Enhanced 9-1-1 network features" means those features of selective routing which have the capability of automatic number and location identification;
g. "Enhanced 9-1-1 service" means a service consisting of telephone network features and public safety answering points provided for users of the public telephone system enabling the users to reach a public service answering point by dialing the digits "9-1-1." The service directs 9-1-1 calls to appropriate public safety answering points by selective routing based on the location from which the call originated and provides for automatic number identification and automatic location identification features;
h. "Enhanced 9-1-1 termination equipment" means the equipment located at the public safety answering point which is needed to receive or record voice and data communications from the enhanced 9-1-1 network;
i. "Office" means the Office of Emergency Telecommunications Services established by section 3 of this act;
j. "Public safety agency" means a functional division of a municipality, a county, or the State which dispatches or provides law enforcement, fire fighting, emergency medical services, or other emergency services;
k. "Private safety agency" means any entity, except a municipality or a public safety agency, providing emergency medical services, fire fighting, or other emergency services;
l. "Public safety answering point (PSAP)" means a facility, operated on a 24-hour basis, assigned the responsibility of receiving 9-1-1 calls and, as appropriate, directly dispatching emergency response services or transferring or relaying emergency 9-1-1 calls to other public safety agencies. A public safety answering point is the first point of reception by a public safety agency of 9-1-1 calls and serves the jurisdictions in which it is located or other participating jurisdictions;
m. "Selective routing" means the method employed to direct 9-1-1 calls to the appropriate public safety answering point based on the location from which the call originated;
n. "Emergency enhanced 9-1-1 system" or "system" means the emergency enhanced 9-1-1 telephone system to be established pursuant to this act, including wireless enhanced 9-1-1 service;
o. "Telephone company" means the organization that provides switched local telephone exchange access service;
p. "Wireless telephone company" means any person providing commercial mobile radio service as defined in 47 U.S.C.s.332 (d);
q. "FCC wireless E9-1-1 requirements" means the order adopted in the Federal Communications Commission proceeding entitled "Revision of the Commission's Rules to Ensure Comparability with Enhanced 9-1-1 Emergency Calling Systems," (CC Docket No. 94-102: RM-8143), or any successor proceeding, and the rules adopted by the Federal Communications Commission in any such proceeding, as these rules may be amended from time to time;
r. "Wireless 9-1-1 service" means the service which enables wireless telephone company customers to dial the digits 9-1-1 and be connected to a public safety agency;
s. "Wireless enhanced 9-1-1 service" means the service required to be provided by a wireless telephone company pursuant to FCC wireless E9-1-1 requirements;
t. "Chief Technology Officer" means the person appointed by and serving at the pleasure of the Governor who is responsible for the day-to-day operations of the Office of Information Technology;
u. (Deleted by amendment, P.L.2011, c.4).
v. "Office of Information Technology" means the Office of Information Technology in but not of the Department of the Treasury;
w. "Council" means the Statewide Public Safety Communications Advisory Council created pursuant to section 6 of P.L.2011, c.4 (C.52:17C-3.3);
x. "Delaware River Homeland Security Region Communications Working Group" means the group of individuals from agencies assigned to that region by the Office of Homeland Security and Preparedness that collaborate on common communications issues;
y. "Interoperability" means the ability of diverse information and communication technology systems and the processes they support to effectively work together through compatible communication paths to directly and satisfactorily exchange, correlate, and integrate data, information, and knowledge across jurisdictional boundaries and to use the data, information, and knowledge that has been exchanged;
z. "Northeast/UASI Homeland Security Region Communications Working Group" means the group of individuals from agencies assigned to that region by the Office of Homeland Security and Preparedness that collaborate on common communications issues;
aa. "Northwest Homeland Security Region Communications Working Group" means the group of individuals from agencies assigned to that region by the Office of Homeland Security and Preparedness that collaborate on common communications issues;
bb. "Shore Homeland Security Region Communications Working Group" means the group of individuals from agencies assigned to that region by the Office of Homeland Security and Preparedness that collaborate on common communications issues; and
cc. "State Agency Communications Working Group" means the group of individuals made up of State and quasi-state agencies as defined in the State Preparedness Report that collaborate on common communications issues.
##### **§ 52:17C-3** Office of Emergency Telecommunications Services. {#sec-52-17c-3 omnilex-key=us-nj-statutes--title-52--52:17C-3}
3. a. There is established in the Office of Information Technology an Office of Emergency Telecommunications Services.
b. The office shall be under the immediate supervision of a director, who shall be a person qualified by training and experience to direct the work of the office. The director shall administer the provisions of this act subject to review by the Chief Technology Officer and shall perform other duties as may be provided by law. The director shall be appointed by the Chief Technology Officer, but the commission shall advise the Chief Technology Officer on the qualifications of the director. The Chief Technology Officer is authorized to appoint, in accordance with Title 11A of the New Jersey Statutes, clerical, technical, and professional assistants, and also may designate any available personnel as shall be necessary to effectuate the purposes of this act.
The office shall designate a staff member from within the Office of Information Technology to be designated as a professional spectrum manager. The professional spectrum manager shall be responsible for approving all applications for public safety spectrum allocations in the State to ensure that the State fully complies with Federal Communications Commission rules that impact frequency allocation for public safety use. The spectrum manager may be chosen from among the current employees of the office and the chosen employee may continue the duties and responsibilities of their current position in addition to the duties and responsibilities of spectrum manager as provided in this section.
The office shall designate a staff member from within the Office of Information Technology to be designated the Statewide Interoperability Coordinator to coordinate interoperable communications grants and projects consistent with the National Communications Plan. The coordinator may be chosen from among the current employees of the office and the chosen employee may continue the duties and responsibilities of his current position in addition to the duties and responsibilities of coordinator as provided in this section.
The office shall, subject to review by the commission and the Chief Technology Officer, and in consultation with the council, the telephone companies, the Board of Public Utilities and the wireless telephone companies, and with the assistance of the Office of Information Technology in but not of the Department of the Treasury, continue to plan, design, implement, and coordinate the Statewide emergency enhanced 9-1-1 telephone system to be established pursuant to this act as well as any changes to that system needed to provide wireless enhanced 9-1-1 service.
To this end, the office shall establish, after review and approval by the commission, in consultation with the council, a State plan for the emergency enhanced 9-1-1 system in this State, which plan shall include:
(1) The configuration of, and requirements for, the enhanced 9-1-1 network. The office with the approval of the commission and the Chief Technology Officer, in consultation with the council, only as provided herein, and assistance and advice of the Office of Information Technology in but not of the Department of the Treasury is empowered to enter into contracts for the provision of this network.
(2) The role and responsibilities of the counties and municipalities of the State in the implementation of the system, consistent with the provisions of this act, including a timetable for implementation.
(3) Technical and operational standards for the establishment of public safety answering points (PSAPs) which utilize enhanced 9-1-1 network features in accordance with the provisions of this act and in alignment with the Next Generation 9-1-1 Planning by the National 9-1-1 Office within the United States Department of Transportation, National Highway Traffic Safety Administration. Those entities having responsibility for the creation and management of PSAPs shall conform to these standards in the design, implementation and operation of the PSAPs. These standards shall include provisions for the training and certification of call-takers and 9-1-1 first responder dispatchers or for the adoption of such a program.
The office, after review and approval by the commission and the Chief Technology Officer, in consultation with the council, only as provided herein, may update and revise the State plan from time to time.
The office may inspect each PSAP to determine if it meets the requirements of this act and the technical and operational standards established pursuant to this section. The office shall explore ways to maximize the reliability of the system.
The plan or any portion of it may be implemented by the adoption of regulations pursuant to subsection b. of section 15 of this act.
The State plan shall require the consolidation of PSAPs as appropriate, consistent with revisions in the plan to upgrade the enhanced 9-1-1 system and shall condition the allocation of moneys dedicated for the operation of PSAPs on the merging and sharing of PSAP functions by municipalities, counties and the State Police, consistent with the revised plan. The Treasurer may establish, by regulation, a 9-1-1 call volume minimum that may be utilized as a factor in determining which PSAP functions are to be consolidated under the State plan.
The State plan shall limit the use of sworn law enforcement officers to provide dispatch services and the office shall condition the receipt of moneys dedicated for the operation of PSAPs on the limited use of sworn law enforcement officers, except for officers returning to active duty from an injury or other physical disability.
The office shall plan, implement and coordinate a Statewide public education program designed to generate public awareness at all levels of the emergency enhanced 9-1-1 system. Advertising and display of 9-1-1 shall be in accordance with standards established by the office. Advertising expenses may be defrayed from the moneys appropriated to the office.
c. (Deleted by amendment, P.L.1999, c.125).
d. To this end, the office shall, subject to review and approval by the commission and the Chief Technology Officer, and in consultation with the council, develop a Statewide Communications Interoperability Plan, which shall include:
(1) the strategy to most effectively provide interoperability and coordinate public safety communications between and among State, county and municipal public safety agencies. The office shall submit recommendations and proposals, as appropriate, to the Regional Planning Committees to which the State is assigned by the Federal Communications Commission; and
(2) the role and responsibilities of the counties and municipalities of the State in the implementation of the New Jersey Interoperable Communications System, consistent with the National Communications Plan and the provisions of this act, including a timetable for implementation.
e. The office, after review and approval by the commission and the Chief Technology Officer, in consultation with the council, only as provided herein, may update and revise the State plan as needed. The plan or any portion of it may be implemented by the adoption of regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
f. The office, after review and approval by the commission and the Chief Technology Officer, only as provided herein, shall submit a report to the Senate Revenue, Finance and Appropriations Committee and the Assembly Appropriations Committee, or their successors, not later than February 15 of each year, concerning its progress in carrying out the provisions of this act and the expenditure of moneys appropriated thereto and appropriated for the purposes of installation of the Statewide enhanced 9-1-1 network and the New Jersey Interoperable Communications System.
##### **§ 52:17C-3.2** Statewide Public Safety Communications Commission. {#sec-52-17c-3.2 omnilex-key=us-nj-statutes--title-52--52:17C-3.2}
5. a. There is established in the Office of Information Technology a Statewide Public Safety Communications Commission which shall oversee the office in the planning, design, and implementation of the Statewide emergency enhanced 9-1-1 telephone system and the New Jersey Interoperable Communications System.
b. The commission shall consist of 16 members as follows: two members of the Senate appointed by the President of the Senate, who shall not be both of the same political party; two members of the General Assembly appointed by the Speaker of the General Assembly, who shall not be both of the same political party; the following members ex officio: Chief Technology Officer of the Office of Information Technology or his designee; Director of the Office of Homeland Security and Preparedness or his designee; Superintendent of State Police or his designee; Commissioner of the Department of Health and Senior Services or his designee; the State Treasurer or his designee; the New Jersey State Fire Marshal or his designee; the following public members appointed by the Governor with the advice and consent of the Senate: a representative of the Northeast/UASI Homeland Security Region; a representative of the Delaware River Homeland Security Region; a representative of the Shore Homeland Security Region; a representative of the Northwest Homeland Security Region; a representative from the State Agency Communications Working Group; and a representative from the Statewide Public Safety Communications Advisory Council.
c. The members of the Senate and General Assembly appointed to the commission shall serve for the term for which they were elected. The members of the Senate and General Assembly appointed to the commission shall be non-voting, advisory members, appointed solely for the purpose of developing and facilitating legislation to assist the commission in fulfilling its statutory mission, and may not exercise any of the executive powers delegated to the commission by law.
d. Of the public members first appointed to the commission by the Governor with the advice and consent of the Senate, two shall be appointed for terms of three years, two shall be appointed for terms of two years, and one shall be appointed for a term of one year. Thereafter, the public members of the commission shall be appointed for terms of three years. Vacancies on the commission shall be filled in the same manner as the original appointment but for the unexpired term. Members may be removed by the appointing authority for cause. The initial members shall be appointed within 30 days of the effective date of this act. The commission shall have the authority to establish subcommittees as it deems appropriate to carry out the purposes of this act.
e. The commission shall be co-chaired by the Chief Technology Officer within the Office of Information Technology and the Director of the Office of Homeland Security and Preparedness, or their designees.
f. The commission shall be constituted upon the appointment of the majority of its authorized membership and shall have no expiration date.
g. The commission shall meet bi-annually or at more frequent intervals at the discretion of the co-chairs. The meetings of the commission shall be held at the times and in the places necessary and appropriate to fulfill its duties and responsibilities.
h. The Office of Information Technology shall provide such administrative and professional assistance as the commission requires to carry out its work.
i. The commission shall be authorized to call to its assistance and avail itself of the services of the employees of any State, county, or local law enforcement entity, any fire department, paid or volunteer, rescue squad or any other department or agency as it may require. State, county, and municipal agencies shall cooperate with the commission by providing information and data as needed.
j. For security concerns, meetings of the commission shall be exempt from the provisions set forth in the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.). Records made or maintained by the commission shall not be considered public or government records under P.L.1963, c.73 (C.47:1A-1 et seq.). The commission may call upon staff members and the expertise of non-council members to participate in commission activities to provide information and advice.
k. The commission shall adopt a charter to effectuate this act within 180 days after the first meeting date.
##### **§ 52:17C-3.3** Statewide Public Safety Communications Advisory Council. {#sec-52-17c-3.3 omnilex-key=us-nj-statutes--title-52--52:17C-3.3}
6. a. There is established in the Office of Information Technology the Statewide Public Safety Communications Advisory Council which shall provide advice and assistance to the commission and the office in the planning, design, and implementation of the Statewide emergency enhanced 9-1-1 telephone system and the New Jersey Interoperable Communications System.
b. The council shall consist of 22 members, the following members ex-officio; the Chief Technology Officer within the Office of Information Technology who shall serve as the council chairperson; the Deputy Director, Office of Homeland Security and Preparedness, Preparedness Division; the Bureau Chief, New Jersey State Police Communications within the Office of Emergency Management; the Director of the Department of Health and Senior Services, Health Infrastructure Preparedness and Emergency Response; the President of the New Jersey Board of Public Utilities; the New Jersey State Fire Marshal; the following public members: a representative from the Federal Emergency Management Agency, Region II; a representative from the Northeast/USAI Homeland Security Region Communications Working Group; a representative from the Northwest Homeland Security Region Communications Working Group; a representative from the Shore Homeland Security Region Communications Working Group; a representative from the Delaware River Homeland Security Region Communications Working Group; a representative from the State Agency Communications Working Group; a representative from the National Emergency Number Association, New Jersey Chapter; a representative from the Association of Public-Safety Communications Professionals; a representative from the New Jersey Chiefs of Police Association; a representative from the New Jersey Fire Chiefs Association; a representative from the New Jersey State First Aid Council; a representative from the Sheriffs' Association of New Jersey; a representative from the Department of Health and Senior Services, Office of Emergency Medical Services, Emergency Medical Services Council; the Association of Public-Safety Communications Professionals Public Safety Frequency Coordinator; a representative from the New Jersey Emergency Medical Services Task Force, communications branch; and a representative from the New Jersey Urban Search and Rescue Team, communications branch.
c. Public members of the council shall be recommended by the appointing authority and subject to confirmation by the commission and shall serve as a member of the council until replaced or removed for cause by the commission or appointing authority. The council shall have the authority to establish subcommittees as it deems appropriate to carry out the purposes of this act.
d. Members of the council shall serve without compensation.
e. Each ex-officio member may designate an employee of the member's department or agency to represent the member at meetings or hearings of the council. All designees may lawfully vote and otherwise act on behalf of the members for whom they constitute the designees.
f. The council shall be constituted upon the appointment of the majority of its authorized membership and shall have no expiration date.
g. The council shall be governed by the charter established by the commission.
##### **§ 52:17C-3.4** New Jersey Big Data Alliance designated as State's advanced cyberinfrastructure consortium; definitions. {#sec-52-17c-3.4 omnilex-key=us-nj-statutes--title-52--52:17C-3.4}
1. a. The New Jersey Big Data Alliance is designated as the State's advanced cyberinfrastructure consortium. The purpose of the consortium shall be to encourage State government, academia, and industry to address, in a strategic and coordinated manner, the significant and immediate challenges posed by the proliferation of big data sources and the resultant deluge of digital data. Major initiatives may include, but not be limited to: (1) encouraging the creation of joint education programs, including the establishment of a common curriculum for data sciences and the creation of coordinated certificates, workforce training, and outreach programs; (2) promoting inter-university research collaborations; (3) catalyzing interaction with national and international data consortiums, such as the National Consortium for Data Science; (4) organizing events that promote big data education and collaborating across State government, academia, and industry; (5) collaborating with the Rutgers Discovery Informatics Institute and the Office of Information Technology to develop an advanced cyberinfrastructure plan for the State; and (6) developing a shared data cloud that integrates data infrastructure, hosted data, and data analytics.
b. The New Jersey Big Data Alliance shall consist of the following members: Rutgers, the State University; Princeton University; New Jersey Institute of Technology; Rowan University; the Richard Stockton College of New Jersey; Kean University; Montclair State University; and the Stevens Institute of Technology. The New Jersey Big Data Alliance shall determine the appropriate size of its membership and admit future members as the alliance deems appropriate.
c. As used in this section:
"Big data" means high volume information assets, high velocity information assets, high variety information assets, or all three, that require new forms of processing to enable enhanced decision making, insight discovery, and process optimization.
The term "cyberinfrastructure" includes, but is not limited to, data networks, computational facilities, computing resources, large data sets, specialized software applications, information technology usage improvements, and the human expertise necessary to develop and manage these resources.
##### **§ 52:17C-4** Enhanced 9-1-1 service. {#sec-52-17c-4 omnilex-key=us-nj-statutes--title-52--52:17C-4}
4. Each telephone company providing service within the State shall provide enhanced 9-1-1 service to include selective routing, automatic number identification and automatic location identification features as a tariffed service package in compliance with a timetable issued by the office with the approval of the commission.
Each wireless telephone company providing service within the State shall provide wireless enhanced 9-1-1 service pursuant to FCC wireless E9-1-1 requirements and P.L.1999, c.125 (C.52:17C-3.1 et al.).
##### **§ 52:17C-5** County coordinator {#sec-52-17c-5 omnilex-key=us-nj-statutes--title-52--52:17C-5}
In order to ensure that the enhanced 9-1-1 system is implemented expeditiously and effectively throughout the State and that each locality participates in the system:
a. The governing body of each county shall appoint a county 9-1-1 coordinator who shall coordinate the 9-1-1 activities within the county in accordance with this act and standards developed by the office pursuant to this act. The county shall ensure that all necessary steps are taken and time schedules met in connection with the county's responsibilities under the State plan.
b. The county coordinator shall meet with representatives of the county, the municipalities, local public safety agencies, and the State Police in order to propose a draft plan for adoption by the county governing body. The plan shall provide for the implementation of enhanced 9-1-1 service throughout the county. The plan shall specify the number of and locations of the PSAPs, the membership of each PSAP and the organizational characteristics of each PSAP. Any PSAP existing on the operative date of this act may continue to operate within the guidelines of this act.
c. Within one year of the operative date of this act, the governing body of each county shall submit an enhanced 9-1-1 service utilization plan to the office for its review and approval. The office shall review each plan to determine if it meets the requirements of this act and the technical and operational standards established in the State plan.
##### **§ 52:17C-6** Municipal compliance {#sec-52-17c-6 omnilex-key=us-nj-statutes--title-52--52:17C-6}
The governing body of each municipality shall:
a. Provide or cause to be provided the data required for the establishment of the automatic location identification capability of the system.
b. Within one year of the operative date of this act, notify in writing the county 9-1-1 coordinator appointed under this act of the nature of its proposed participation in the system, whether singly or in conjunction with other municipalities or on a regional or county basis. This subsection shall not apply to those municipalities located in counties which have a county-wide PSAP in existence on the operative date of this act.
c. Within three years of the operative date of this act, establish, singly or in conjunction with other municipalities or participate on a regional or on a county basis in, a PSAP which utilizes enhanced 9-1-1 network features. The office may extend this time period in the case of those municipalities where it is deemed necessary.
##### **§ 52:17C-7** Public safety answering points. {#sec-52-17c-7 omnilex-key=us-nj-statutes--title-52--52:17C-7}
7. No provision of this act shall be construed to prohibit in any manner the formation of multi-agency, multi-jurisdictional, regional or county-wide public safety answering points. The formation of public safety answering points that serve groups of municipalities is encouraged in the interest of reducing cost and increasing the efficiency of administration.
##### **§ 52:17C-8** PSAP functions {#sec-52-17c-8 omnilex-key=us-nj-statutes--title-52--52:17C-8}
a. Each public safety answering point shall be capable of dispatching or forwarding requests for law enforcement, fire fighting, emergency medical services, or other emergency services to a public or private safety agency that provides the requested services.
b. Each public safety answering point shall be equipped with a system approved by the office for the processing of requests for emergency services for the physically disabled. No person shall connect to a telephone company's network any automatic alarm or other automatic alerting device which causes the number "9-1-1" to be automatically dialed and which provides a prerecorded message in order to directly access emergency services, except for devices which may be approved by the office. Devices approved by the office shall be registered with the office on forms provided by the office.
c. Each entity operating a public safety answering point shall be responsible for obtaining, operating, and maintaining enhanced 9-1-1 termination equipment. The operations and maintenance of this equipment shall be in accordance with standards set forth by the office pursuant to section 3 of this act.
##### **§ 52:17C-9** Service outside jurisdiction {#sec-52-17c-9 omnilex-key=us-nj-statutes--title-52--52:17C-9}
a. A public safety agency which receives a request for emergency service outside of its jurisdiction shall promptly forward the request to the public safety answering point or public safety agency responsible for that geographical area. Any emergency unit dispatched to a location outside its jurisdiction in response to such a request shall render service to the requesting party until relieved by the public safety agency responsible for that geographical area.
b. Municipalities may enter into written cooperative agreements to carry out the provisions of subsection a. of this section.
##### **§ 52:17C-10** Forwarding subscriber information. {#sec-52-17c-10 omnilex-key=us-nj-statutes--title-52--52:17C-10}
10. a. Whenever possible and practicable, telephone companies shall forward to jurisdictional public safety answering points via enhanced 9-1-1 network features, the telephone number and street address of any telephone used to place a 9-1-1 call. Subscriber information provided in accordance with this section shall be used only for the purpose of responding to emergency calls or for the investigation of false or intentionally misleading reports of incidents requiring emergency service.
b. (Deleted by amendment, P.L.1999, c.125).
c. No telephone company, person providing commercial mobile radio service as defined in 47 U.S.C.s. 332(d), public safety answering point, or manufacturer supplying equipment to a telephone company, wireless telephone company, or PSAP, or any employee, director, officer, or agent of any such entity, shall be liable for damages to any person who uses or attempts to use the enhanced 9-1-1 service, wireless 9-1-1 service or wireless enhanced 9-1-1 service established under this act for release of the information specified in this section, including non-published telephone numbers. This limitation of liability is inapplicable if such failure resulted from a malicious purpose or a wanton and willful disregard for the safety of persons or property.
d. No telephone company, person providing commercial mobile radio service as defined in 47 U.S.C.s. 332(d), public safety answering point, or manufacturer supplying equipment to a telephone company, wireless telephone company, or PSAP, or any employee, director, officer, or agent of any such entity, shall be liable to any person for civil damages, or subject to criminal prosecution resulting from or caused by any act, failure or omission in the development, design, installation, operation, maintenance, performance or provisioning of any hardware, software, or any other aspect of delivering enhanced 9-1-1 service, wireless 9-1-1 service or wireless enhanced 9-1-1 service. This limitation of liability is inapplicable if such failure resulted from a malicious purpose or a wanton and willful disregard for the safety of persons or property.
e. No telephone company, person providing commercial mobile radio service as defined in 47 U.S.C.s. 332(d), public safety answering point, or manufacturer supplying equipment to a telephone company, wireless telephone company, or PSAP, or any employee, director, officer, or agent of any such entity, shall be liable to any person for damages resulting from or in connection with such entity's provision of any lawful assistance to any investigative or law enforcement officer of this State or a political subdivision of this State, of the United States, or of any other state or a political subdivision of such state in connection with any lawful investigation by or other law enforcement activity of the law enforcement officer unless the entity, in providing such assistance, acted in a manner exhibiting wanton and willful disregard for the safety of persons or property.
##### **§ 52:17C-11** Dial tone first capability. {#sec-52-17c-11 omnilex-key=us-nj-statutes--title-52--52:17C-11}
11. All coin and credit card telephones whether public or private within areas served by enhanced 9-1-1 service shall be converted to dial tone first capability, which shall allow a caller to dial 9-1-1 without first inserting a coin or any other device. On each converted telephone, instructions on how to access the emergency enhanced 9-1-1 system shall be prominently displayed.
##### **§ 52:17C-12** Expenses {#sec-52-17c-12 omnilex-key=us-nj-statutes--title-52--52:17C-12}
a. All expenses incurred in the installation, operation and maintenance of a PSAP shall be defrayed by the municipality or county operating or controlling the PSAP. If the PSAP is operated or controlled by more than one municipality or by a regional entity, then the expenses shall be defrayed by the municipalities or regional entity as the case may be, in accordance with an agreement made pursuant to the provisions of the "Interlocal Services Act," P.L. 1973, c. 208 (C. 40:8A-1 et seq.).
b. Expenses of the office and the commission shall be paid from appropriations made thereto.
##### **§ 52:17C-13** 9-1-1 Emergency Telephone System Account {#sec-52-17c-13 omnilex-key=us-nj-statutes--title-52--52:17C-13}
There is established in the General Fund an account entitled the "9-1-1 Emergency Telephone System Account." There shall be credited to the account such moneys as may be appropriated thereto and any interest earned from the investment thereon. Funds in the 9-1-1 Emergency Telephone System Account shall be expended for costs incurred in the initial installation of the Statewide enhanced 9-1-1 network according to the provisions of this act and for the costs incurred by a county for the employment of a county 9-1-1 coordinator in an amount not to exceed $25,000 per county 9-1-1 coordinator.
##### **§ 52:17C-14** Annual appropriation. {#sec-52-17c-14 omnilex-key=us-nj-statutes--title-52--52:17C-14}
14. a. The Legislature shall annually appropriate such sums as are necessary to pay for the operation and maintenance of the enhanced 9-1-1 service and for county 9-1-1 coordinators pursuant to section 13 of P.L.1989, c.3 (C.52:17C-13). A telephone company incurring operation and maintenance costs of the system shall submit the costs thereof, after review and approval by the Board of Public Utilities, to the State Treasurer. The operation and maintenance charges for the enhanced 9-1-1 service shall accrue coincident with the availability of the enhanced 9-1-1 service and shall be submitted to the State upon that availability. The State Treasurer, upon warrant of the Director of the Division of Budget and Accounting in the Department of the Treasury, shall pay such costs from moneys appropriated pursuant to this section.
b. The Legislature shall annually appropriate such sums as are necessary to pay for the installation, operation and maintenance costs required to provide wireless enhanced 9-1-1 service upon request by the office pursuant to 47 CFR 20.18(f). A wireless telephone company incurring installation, operation and maintenance costs required to provide wireless enhanced 9-1-1 service shall submit the costs thereof, after review and approval by the office and the commission, to the State Treasurer. The installation, operation and maintenance costs for wireless enhanced 9-1-1 service shall accrue coincident with the availability of such service and shall be submitted to the State upon that availability. The State Treasurer, upon warrant of the Director of the Division of Budget and Accounting in the Department of the Treasury, shall pay such costs from moneys appropriated pursuant to this section.
##### **§ 52:17C-15** Civil proceedings; rules, regulations. {#sec-52-17c-15 omnilex-key=us-nj-statutes--title-52--52:17C-15}
15. a. The Attorney General may, at the request of the commission, or on his own initiative, institute civil proceedings against any appropriate party to enforce the provisions of this act.
b. The Chief Technology Officer may, after consulting with the director of the office, and subject to the review of the commission, promulgate such rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as he deems necessary to effectuate the purposes of this act.
##### **§ 52:17C-16** Penalties {#sec-52-17c-16 omnilex-key=us-nj-statutes--title-52--52:17C-16}
Any person who violates the provisions of this act shall be subject to a penalty of $200.00 for the first offense and $500.00 for each subsequent offense. If the violation of this act is of a continuing nature, each day during which it continues shall constitute a separate offense for the purpose of this section. The penalty shall be collected and enforced by summary proceedings under "the penalty enforcement law," N.J.S. 2A:58-1 et seq.
##### **§ 52:17C-17** Definitions relative to fees on mobile telecommunications customers {#sec-52-17c-17 omnilex-key=us-nj-statutes--title-52--52:17C-17}
1. As used in this act:
"Home service provider" means the facilities-based carrier or reseller with which the customer contracts for the provision of mobile telecommunications service;
"Mobile telecommunications company" mean a carrier providing mobile telecommunications service in this State;
"Mobile telecommunications service" means commercial mobile radio service, as defined in section 20.3 of title 47 of the Code of Federal Regulations as in effect on June 1, 1999 charged by a customer's home service provider and provided to a customer with a place of primary use in this State and which provides real-time, two-way voice service that is interconnected with the public switched network;
"Place of primary use" means the street address representative of where the customer's use of the mobile telecommunications service primarily occurs, which shall be the residential street address or the primary business street address of the customer and within the licensed service area of the home service provider. For the purposes of determining the place of primary use, the terms used have the meanings provided pursuant to the federal "Mobile Telecommunications Sourcing Act,'' 4 U.S.C. s.124 (Pub.L.106-252);
"Telephone exchange company" means a carrier providing telephone exchange service in this State;
"Telephone exchange service" means that term as defined in subsection (47) of 47 U.S.C. s.153, as well as any other technology, including but not limited to, voice over Internet telephony or cable telephony, except mobile telecommunications service, that provides access through interconnection to the public switched telephone network to 9-1-1 service; and
"Voice grade access" means a functionality that enables a user of telecommunications services to transmit voice communications, including signalling the network that the caller wishes to place a call, and to receive voice communications, including receiving a signal indicating there is an incoming call.
##### **§ 52:17C-18** Fee imposed on mobile telecommunications service customers; exemptions; administration; liability. {#sec-52-17c-18 omnilex-key=us-nj-statutes--title-52--52:17C-18}
2. a. (1) There is imposed on each mobile telecommunications service customer, charged by a mobile telecommunications company for mobile telecommunications service for each voice grade access telephone number provided to the customer billed by or for the customer's home service provider and provided to a customer with a place of primary use in this State, a fee of $0.90 on any periodic bill received by the customer for each voice grade access service number provided as part of the mobile telecommunications service.
(2) There is imposed on each customer charged by a telephone exchange company for each voice grade access service line provided to that customer that has a service address in this State, a fee of $0.90 on any periodic bill received by the customer for each voice grade access service line provided as part of that telephone exchange service. Each Private Branch Exchange (PBX) trunk or Centrex trunk equivalent shall constitute an individual and separate subscribed service line. Any customer that has been determined by its telephone exchange company to be enrolled in the Lifeline Telecommunication program, or in receipt of Lifeline Telecommunication or Universal Service Fund benefits for a periodic bill shall be exempt from the fee on that periodic bill. State government agencies, and county and municipal governments and their agencies, and school districts shall be exempt from the fee imposed on customers of telephone exchange companies for each voice grade access service line provided as part of telephone exchange service provided to that customer at a service address in this State for periodic bills issued to those customers on and after January 1, 2005.
b. The fee imposed by paragraphs (1) and (2) of subsection a. of this section shall be collected by the mobile telecommunications company or telephone exchange company providing the applicable service to its customers upon payment of any periodic bill for such service. This section shall not be deemed as extending to a telephone exchange company or mobile telecommunications company any obligation or authority otherwise not provided pursuant to law, to take legal action to enforce the collection of the fee imposed upon the customer. Any such action shall be brought by the State against the customer with any cooperation requested by the State of the telephone exchange company or mobile telecommunications company as the State deems necessary.
c. (1) The fees collected pursuant to subsection b. of this section shall be collected monthly and reported and paid to the director on a quarterly basis in a manner prescribed by the Director of the Division of Taxation in the Department of the Treasury, which notwithstanding the provisions of subsection b. of section 1 of P.L.1992, c.140 (C.54:48-4.1) if any, to the contrary, shall be subject to the provisions of P.L.1992, c.140 as the director shall prescribe, and the State Treasurer shall credit the fee revenue to the "9-1-1 System and Emergency Response Trust Fund Account" established pursuant to section 3 of P.L.2004, c.48 (C.52:17C-19). The administration, collection and enforcement of the fee imposed by this act shall be subject to the provisions of the State Uniform Tax Procedure Law, R.S.54:48-1 et seq., to the extent that the provisions of such law are not inconsistent with any provision of this act.
(2) Each mobile telecommunications company and telephone exchange company shall be liable for the fee imposed, collected, or required to be paid, collected, or remitted under the provisions of paragraphs (1) and (2) of subsection a. of this section. Any such company shall have the same right in respect to collecting the fee from that company's customer or in respect to non-payment of the fee by the customer as if the fee were a part of the purchase price of the applicable telecommunications service or telephone exchange service, as the case may be, and payable at the same time; provided however, that the director shall be joined as a party in any action or proceeding brought to collect the fee.
For purposes of this paragraph, "company" includes: an individual, partnership, corporation, or an officer, director, stockholder, or employee of a corporation, or a member or employee of a partnership, who as such officer, director, stockholder, employee, or member is under the duty to perform the act in respect of which the violation occurs.
d. A telephone exchange company that provides telephone exchange service to the State government or any State government agency, a county or municipal government or any of its agencies, or a school district that is exempt for bills issued on and after January 1, 2005, shall be entitled after that date to a credit in an amount as the Director of the Division of Taxation shall determine within 60 days of application, against the amount of fees collected during and due to be paid over for the calendar quarter commencing on that date, for the reasonable costs certified by the telephone exchange company to have been incurred by the company for changes made to its billing system that are necessary to implement the exemption. The director shall consult with the Board of Public Utilities to ascertain from the board the reasonableness of the costs claimed to be incurred. The director and the board may adopt regulations necessary to administer the credit.
##### **§ 52:17C-19** "9-1-1 System and Emergency Response Trust Fund Account." {#sec-52-17c-19 omnilex-key=us-nj-statutes--title-52--52:17C-19}
3. a. There is established in the Department of the Treasury within the General Fund a special account to be known as the "9-1-1 System and Emergency Response Trust Fund Account."
b. Funds credited to the "9-1-1 System and Emergency Response Trust Fund Account" shall be annually appropriated for the purposes of paying: (1) eligible costs pursuant to the provisions of sections 13 and 14 of P.L.1989, c.3 (C.52:17C-13 and 52:17C-14); (2) the costs of funding the State's capital equipment (including debt service), facilities and operating expenses that arise from emergency response; (3) the cost of emergency response training, including any related costs or expenses of the Office of Emergency Management in the Division of State Police in the Department of Law and Public Safety; (4) the cost of operating the Office of Emergency Telecommunications Services created pursuant to section 3 of P.L.1989, c.3 (C.52:17C-3); (5) the cost of operating the Statewide Public Safety Communications Commission created pursuant to section 5 of P.L.2011, c.4 (C.52:17C-3.2); (6) any costs associated with implementing any requirement of the Federal Communications Commission concerning 9-1-1 service that is not otherwise allocated to a carrier and not eligible for reimbursement under law or regulation; (7) any costs associated with planning, designing or implementing an automatic location identification technology that is not otherwise allocated to a wireless carrier and not eligible for reimbursement under law or regulation; and (8) any costs associated with planning, designing or acquiring replacement equipment or systems (including debt service) related to the enhanced 9-1-1 network as defined by subsection e. of section 1 of P.L.1989, c.3 (C.52:17C-1).
##### **§ 52:17C-20** Itemization, identification of fee on customer bills. {#sec-52-17c-20 omnilex-key=us-nj-statutes--title-52--52:17C-20}
4. A mobile telecommunications company and a telephone exchange company collecting the fee imposed pursuant to section 2 of P.L.2004, c.48 (C.52:17C-18) shall itemize and separately identify the fee set forth on each periodic bill received by the customer as the "9-1-1 System and Emergency Response Assessment," which identification may be abbreviated as "911System/Emerg.Resp.Fee." Provided however, that a mobile telecommunications company or telephone exchange company may commence the separately identified itemization of the periodic charge on a periodic bill issued to a customer not later than October 1, 2004, but only if the customer's first periodic bill issued on and after that date includes the separately identified itemization for the periodic bills issued for the customer during the months of July, August and September of 2004, if any, and the fee imposed for the bills for those months is also set forth separately for collection thereon from the customers.
## **Chapter 18**
##### **§ 52:18-4.1** Death, resignation, etc., of treasurer; account; delivery of funds to successor {#sec-52-18-4.1 omnilex-key=us-nj-statutes--title-52--52:18-4.1}
If the state treasurer die, resign, be displaced, or cease to hold his office, then such treasurer, or, if he be dead, his heirs, executors, or administrators, shall fairly and regularly state the account, and deliver the moneys, securities, stock, property, instruments of writing, and books of the state in his or their possession, to the succeeding treasurer, who shall make report thereon to the legislature.
##### **§ 52:18-5** Duration of bond {#sec-52-18-5 omnilex-key=us-nj-statutes--title-52--52:18-5}
The official bond of the state treasurer shall remain and continue in full force and effect against the treasurer and his surety until:
a. The report of the succeeding treasurer made pursuant to section 52:18-4.1 of this title has been confirmed by the legislature;
b. The treasurer or his surety procures and files in the office of the secretary of state, a certificate, duly executed by the committee to be appointed to settle and audit the accounts of the state treasurer, approved of by the legislature, stating that the accounts of the state treasurer are regularly stated and balanced and that the balance of moneys, evidences of public debt, securities and other effects, if any there be, are actually in the treasury or deposited in some bank as directed by law;
c. The treasurer shall, if reappointed, give a new official bond duly executed and approved by the legislature and deposited in the office of the secretary of state.
When the provisions of this section have been complied with, the bond shall be discharged and delivered to the treasurer or his heirs, executors or administrators. Nothing herein contained shall affect or impair the liability of the treasurer.
##### **§ 52:18-7.1** Designation of acting deputy when deputy State Treasurer ill or absent; powers and duties; oath; bond {#sec-52-18-7.1 omnilex-key=us-nj-statutes--title-52--52:18-7.1}
Whenever the deputy State Treasurer shall be ill or absent from his office the State Treasurer is hereby authorized to designate one of his assistants to act as deputy State Treasurer, during the illness or absence of the latter official; and such person so designated shall have all the powers and perform all the duties cast by law upon the deputy State Treasurer. Such person so designated shall take the same oath of office and give the same official bond as is required of the deputy State Treasurer.
##### **§ 52:18-8** Bond and oath of deputy state treasurer {#sec-52-18-8 omnilex-key=us-nj-statutes--title-52--52:18-8}
The deputy state treasurer shall take and subscribe an oath of like form and character as that required to be taken by the state treasurer and shall enter into bond with two or more sureties, to be approved by the governor, in the sum of fifty thousand dollars, payable to the state, conditioned for the faithful performance of his official duties. Such bond shall be filed in the office of the secretary of state.
##### **§ 52:18-10** Death, resignation or displacement of treasurer; account stated; delivery of property to successor {#sec-52-18-10 omnilex-key=us-nj-statutes--title-52--52:18-10}
If the state treasurer shall die, resign, be displaced or cease to hold his office, he or if he be dead, his heirs, executors or administrators, shall fairly and regularly state the account and deliver the moneys, securities, stock, property, instruments of writing and books of the state in his or their possession to the succeeding treasurer, who shall make report thereon to the legislature.
##### **§ 52:18-10.1** Seal {#sec-52-18-10.1 omnilex-key=us-nj-statutes--title-52--52:18-10.1}
The State Treasurer shall have a seal which shall contain the coat of arms of the State and further the words "State Treasurer New Jersey." Such seal shall be affixed to documents and other papers for which the seal shall be required.
##### **§ 52:18-11** General duties of treasurer {#sec-52-18-11 omnilex-key=us-nj-statutes--title-52--52:18-11}
The state treasurer shall, in addition to the other duties imposed upon him by law:
a. Receive and keep the moneys of the state, disburse the same according to law and take receipts for all moneys which he shall pay;
b. Keep accounts of the receipts and expenditures of the public money and of the debts due to or from the state;
c. Make reports and give information to either branch of the legislature, in person or in writing, as may be required, respecting all matters referred to him by either branch of the legislature, or which shall pertain to his office; and
d. Perform all such services relative to finances as he shall be directed to perform.
##### **§ 52:18-11.1** Individual retirement annuities for state employees and their spouses; contract with insurance company {#sec-52-18-11.1 omnilex-key=us-nj-statutes--title-52--52:18-11.1}
The State Treasurer may enter into a contract with an insurance company authorized to do business in this State to provide to its employees, on a group or individual basis, individual retirement annuities, as defined by section 408(b) of the Federal Internal Revenue Code of 1954 as amended (26 U.S.C. s. 408(b)). The contract shall provide for coverage under these annuities of any employee of the State and may provide for the establishment of annuities on behalf of the spouse of the employee.
##### **§ 52:18-11.2** Long term care insurance plan for local contracting units. {#sec-52-18-11.2 omnilex-key=us-nj-statutes--title-52--52:18-11.2}
1. a. The State Treasurer shall arrange for a long term care insurance plan for local contracting units subject to the provisions of the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.), the "Public School Contracts Law," N.J.S.18A:18A-1 et seq., or the "County College Contracts Law," P.L.1982, c.189 (C.18A:64A-25.1 et seq.). The State Treasurer shall negotiate with and arrange for the purchase, on such terms as the State Treasurer deems to be in the best interests of the employees and retirees of the local contracting units, from carriers licensed to operate in the State, contracts providing long term care insurance and shall execute all documents pertaining thereto for and on behalf of local contracting units in the name of the State. The Treasurer shall not enter into a contract under this act, P.L.2005, c.198 (C.52:18-11.2 et al.), unless the benefits are provided through federally qualified long term care insurance as defined by the federal Internal Revenue Code in 26 U.S.C. s.7702B(b).
b. A local contracting unit may elect to offer the long term care insurance plan to its employees and retirees by the adoption of a resolution by its governing body, which would include the name and title of a certifying agent. A certified copy of the resolution shall be filed with the Division of Pensions and Benefits in the Department of the Treasury.
c. An employee or a retiree of a local contracting unit that has elected to offer the long term insurance plan may choose such insurance coverage and shall pay the entire cost of the long term care insurance.
d. The certifying agent of each local contracting unit electing to offer the long term insurance plan shall submit to the Division of Pensions and Benefits such information with respect to each of its employees and retirees as may be required by the division in connection with the plan. The division shall have the power and authority to make such verification of the employment and other records of any electing local contracting unit as the division may deem necessary in connection with the plan.
##### **§ 52:18-11.3** Written statement informing recipients. {#sec-52-18-11.3 omnilex-key=us-nj-statutes--title-52--52:18-11.3}
4. The State Treasurer shall develop a written statement informing a recipient as specified in sections 1 through 3 of P.L.2005,c.210 (C.43:21-4.2, C.30:1-2.5, and C.52:27D-3.5), of the availability of the earned income tax credit under the provisions of section 32 of the federal Internal Revenue Code of 1986, 26 U.S.C. s.32, and the New Jersey earned income tax credit provided in section 2 of P.L.2000, c.80 (C.54A:4-7), for distribution pursuant to sections 1, 2 and 3 of P.L.2005,c.210 (C.43:21-4.2, C.30:1-2.5, and C.52:27D-3.5) and subsection b. of N.J.S.54A:7-2.
##### **§ 52:18-13** Accounts stated and report to legislature {#sec-52-18-13 omnilex-key=us-nj-statutes--title-52--52:18-13}
The state treasurer shall state in books the account of all moneys received by him for or in behalf of the state and which he shall pay pursuant to any act or resolution of the legislature, in such manner that the net produce of the whole revenue, as well as of every branch thereof, and the amount of disbursements in payment of the several demands, may distinctly appear. He shall, from time to time, lay before the legislature the same accounts and all other proceedings relative to his office.
##### **§ 52:18-14** Time for closing accounts {#sec-52-18-14 omnilex-key=us-nj-statutes--title-52--52:18-14}
The state treasurer shall have his accounts ready for examination and settlement on the second Tuesday of July of every year. To that end, he may close his accounts for the year on the first day of July in every year.
##### **§ 52:18-15** Accounts examined by joint legislative committee; report; printing {#sec-52-18-15 omnilex-key=us-nj-statutes--title-52--52:18-15}
The accounts of the state treasurer shall be examined immediately upon the close of the fiscal year, by a joint committee of the legislature, which committee shall report thereon to the next legislature. The usual number of printed copies of the report, for the use of the legislature, shall accompany the same. Such printing shall be executed by the current printer to the legislature of the year for which the report is made.
##### **§ 52:18-16** Annual balance sheet; contents {#sec-52-18-16 omnilex-key=us-nj-statutes--title-52--52:18-16}
For the purpose of giving a correct and connected statement of the condition of the finances of the state, the state treasurer shall, as soon as his accounts are audited by the committee appointed for that purpose, submit annually to the legislature a balance sheet exhibiting:
a. The general items of expenditures;
b. The amount of receipts and from what sources they have been received;
c. The indebtedness of the state, if any, and how and where, and the interest paid for moneys borrowed;
d. The amount of bank tax; and
e. The sum applicable to public schools, and how disposed of.
Such balance sheet shall be countersigned by the auditing committee.
##### **§ 52:18-16.1** Deposit of public moneys; interest; auction; notice {#sec-52-18-16.1 omnilex-key=us-nj-statutes--title-52--52:18-16.1}
The State Treasurer shall, except as otherwise provided, deposit to his credit as treasurer all public moneys coming into his hands, within 3 days after receiving the same, in such of the national banks located in this State, in institutions authorized by this State to carry on a banking or savings and loan business, and in the State of New Jersey Cash Management Fund established pursuant to section 1 of this amendatory and supplementary act as he may select, that will allow interest on all balances. In so doing, the treasurer shall from time to time, by public notice, offer at auction State deposits and invite tenders therefor subject to such terms and conditions as he may prescribe. All interest earned on deposits shall be credited to the State. When in the judgment of the State Treasurer it is not compatible with the working capital requirements of the State or with public safety to deposit public moneys or portion thereof, upon interest-bearing terms, as heretofore provided in this section, the State Treasurer may deposit the same without interest or open-time accounts with interest subject to withdrawal upon notice, conforming with Federal laws and regulations governing the same, in such of the national banks located in this State and institutions authorized by this State to carry on a banking or savings and loan business as he may select, until such a condition has, in his judgment, ceased to exist.
In all cases where a deposit is made in a national bank located in this State or institution authorized by this State to carry on a banking or savings and loan business, pursuant to this section, the State Treasurer shall require from any such institution a deposit of bonds, notes, certificates of indebtedness or bills or other obligations of or guaranteed by the United States; or bonds or other obligations of or guaranteed by the State of New Jersey; or any other obligations now or hereafter authorized by law as security for public deposits; designed to secure any deposit made pursuant to this section; provided, that such requirement shall be deemed to be met if the Federal Reserve Bank of New York or the Federal Reserve Bank of Philadelphia or any other banking institution with total assets in excess of $300,000,000.00 located within the Second or Third Federal Reserve Districts and approved for such purpose by the State Treasurer certifies to the State Treasurer that, pursuant to authority given by the depository, it holds obligations, owned by the depository, of the kind and in the amount required by the State Treasurer to secure any such deposit. No bank shall be permitted to hold securities, of the kind hereinbefore described, as security for public moneys on deposit in the same bank.
No State or national bank or savings and loan association in which the State Treasurer makes deposits of public moneys as above provided shall be required to secure such deposits as required by this section, to the extent that such deposits are insured by the Federal Deposit Insurance Corporation or by the Federal Savings and Loan Insurance Corporation or by any other Federal agency which insures deposits made in state or national banks or savings and loan associations.
##### **§ 52:18-19** Bank books of deposits and withdrawals; annual entry of credits and debits; balance struck {#sec-52-18-19 omnilex-key=us-nj-statutes--title-52--52:18-19}
The state treasurer shall keep a bank book or books in which shall be entered his account of moneys deposited by him or to his credit as treasurer and the moneys drawn from the banks in which he shall have made deposits. There shall be entered and stated every year in such book or books, all his credits and debits up to the first day of the annual meeting of the legislature and the balance struck and certified by the cashier of the bank. Such book or books, properly balanced and settled, shall be exhibited on every settlement of his accounts, for examination and inspection.
##### **§ 52:18-20** Drawing on deposits; written authorization of treasurer and countersignature by comptroller {#sec-52-18-20 omnilex-key=us-nj-statutes--title-52--52:18-20}
Except as provided by section 52:19-12 of this Title, State moneys deposited by the treasurer or to his credit, shall not be drawn upon except by written authorization by him or by his facsimile or machine impress signature as treasurer and countersigned by the State Comptroller or by his facsimile or machine impressed signature.
##### **§ 52:18-20.1** Cancellation of State checks outstanding more than six years {#sec-52-18-20.1 omnilex-key=us-nj-statutes--title-52--52:18-20.1}
The State Treasurer is hereby authorized and directed to cancel of record, and to refuse to honor, all checks issued by the State Treasurer which have not been presented for payment within six years from the date they were issued.
##### **§ 52:18-20.2** Credit to State Treasury of funds on deposit {#sec-52-18-20.2 omnilex-key=us-nj-statutes--title-52--52:18-20.2}
All State funds held on deposit for the payment of such checks shall, upon cancellation of the record of the checks by the State Treasurer, be credited to the State treasury for general purposes.
##### **§ 52:18-21** Quarterly record of state funds on deposit; public record; notice of balance {#sec-52-18-21 omnilex-key=us-nj-statutes--title-52--52:18-21}
The State Treasurer shall, within 30 days after the first day of every January, April, July and October, prepare a true and complete record showing the balance of State funds on deposit with each bank and banking institution and the rate of interest thereon, as of the first day of January, April, July and October, respectively. Such record shall be a public record, open to the inspection of citizens of this State, at all reasonable hours, on written application made in such form and subject to such reasonable rules and regulations as the State Treasurer may prescribe.
The State Treasurer shall, within 30 days after the first day of every January and July, give notice of the balance of State funds on deposit with each bank and banking institution and the rate of interest thereon, as of the first day of January and July, respectively, by publication in at least 3 newspapers, each having a paid circulation of at least 25,000, published and circulating within the State.
##### **§ 52:18-24** Transfer of deposits to successor treasurer {#sec-52-18-24 omnilex-key=us-nj-statutes--title-52--52:18-24}
Moneys deposited by the state treasurer, or to his credit and standing to his credit at the expiration of his office, shall be carried to the account of his successor in office. The banks in which such deposits are held, shall, upon the production to them of a certificate from the secretary of state of the appointment of such successor in office, transfer such accounts accordingly.
##### **§ 52:18-25** Loan of surplus money {#sec-52-18-25 omnilex-key=us-nj-statutes--title-52--52:18-25}
The treasurer shall loan at the best legal rate of interest he can procure, on the pledge of the United States stock, at a rate not above its par value, as collateral security, any surplus money in the treasury not otherwise appropriated nor already authorized to be invested by the trustees of the school fund as the same shall from time to time accrue. He shall loan the same on such terms of credit as will enable him to receive such moneys again, in order to meet the demands of the treasury.
##### **§ 52:18-25.1** Temporary investments {#sec-52-18-25.1 omnilex-key=us-nj-statutes--title-52--52:18-25.1}
In any case in which the State Treasurer holds moneys of the State under a requirement that said moneys be held for a particular time or be held for a particular use, he may invest such moneys in bonds or notes of the United States until such particular time has arrived or until such time as said moneys are required to be applied to the particular use.
##### **§ 52:18-25.2** Railroad deposits; moneys held for unpresented bonds; investment {#sec-52-18-25.2 omnilex-key=us-nj-statutes--title-52--52:18-25.2}
The State Treasurer is hereby authorized to invest and reinvest the following moneys, now in the State treasury, in the notes or bonds of the United States of America, to wit:
(a) Deposits of moneys by railroad companies for the construction of railroads, where the amount has remained unclaimed for more than twenty years.
(b) Moneys held on account of unpresented and unpaid bonds and coupons of the State of New Jersey where the bonds and coupons have not been presented for payment for at least two years from due date.
##### **§ 52:18-25.3** Claims for railroad deposits; sale of securities when allowed {#sec-52-18-25.3 omnilex-key=us-nj-statutes--title-52--52:18-25.3}
In the event that any claim for such railroad deposits shall be made and allowed, and in the event that any such bonds or coupons shall be presented for payment, the State Treasurer is hereby authorized and empowered to sell so much of the securities aforesaid as will enable him to make the necessary payment or payments.
##### **§ 52:18-25.4** Interest on investments {#sec-52-18-25.4 omnilex-key=us-nj-statutes--title-52--52:18-25.4}
Interest earned on any such investments shall be paid into the General State Fund, but the State Treasurer shall first deduct therefrom any premium paid on account of notes or bonds purchased, as well as the necessary expenses incurred in administering this act.
##### **§ 52:18-26** Treasurer may borrow from funds in his custody; repayment; restriction {#sec-52-18-26 omnilex-key=us-nj-statutes--title-52--52:18-26}
The state treasurer may borrow from any fund in his custody, deposited with him pursuant to law, a sum sufficient to pay the principal and interest on any state debt or other obligation due and owing, and repay the same out of the first taxes or other revenue received into the treasury and dedicated to the payment of such principal and interest. He shall not, however, borrow, appropriate or use any part of the fund for the support of free schools or money appropriated for that purpose or received into the treasury under the provisions of any law passed to augment such fund.
##### **§ 52:18-27** No money drawn from treasury unless explicitly appropriated {#sec-52-18-27 omnilex-key=us-nj-statutes--title-52--52:18-27}
No money shall be drawn from the state treasury unless it has been explicitly appropriated to the purpose for which it was drawn.
##### **§ 52:18-28** Payments from treasury on warrant of comptroller; approval of bills {#sec-52-18-28 omnilex-key=us-nj-statutes--title-52--52:18-28}
No moneys shall be drawn from the state treasury to pay salaries and expenses of state employees or to defray the expenses of a department, institution, commission, board, committee or official of this state, or for or on account of a contract for building or for repairs or supplies, except upon bills presented to the state comptroller, approved as follows:
a. When a department, by the head thereof, or by a person designated by him.
b. When an institution, by a majority of the board of managers or trustees thereof, or by a person designated for that purpose by the board of managers or trustees.
c. When a board, commission or committee, by the president or chairman thereof or by a person designated by such board, commission or committee.
d. When an official not subordinate to the head of a department, by such official personally.
##### **§ 52:18-29** Monthly payment of state moneys into treasury; disbursements; motor vehicle department {#sec-52-18-29 omnilex-key=us-nj-statutes--title-52--52:18-29}
All moneys of the state collected or received by any state institution, board, commission, department, committee, agent or servant, from any source, shall except as otherwise provided by law be paid into the state treasury not later than the tenth day of the month following the month during which such moneys were collected or received, and shall not be disbursed therefrom unless specifically appropriated by the legislature in an annual or supplemental appropriation act; provided, that moneys collected or received by the department of motor vehicles during the month of December of any year shall be paid into the state treasury not later than the tenth day of February following such month in which the moneys were collected or received.
##### **§ 52:18-30** Exceptions to section 52:18-29 {#sec-52-18-30 omnilex-key=us-nj-statutes--title-52--52:18-30}
Nothing contained in section 52:18-29 of this title shall apply to or affect:
a. The state school fund, or the income thereof;
b. The disbursement of
1. The state school tax;
2. Moneys derived from the acts to tax real and personal property in the several municipalities for state road purposes;
3. The United States appropriation to the agricultural college;
4. The United States appropriation for disabled soldiers;
5. The United States appropriation for disabled soldiers, sailors, marines and their wives;
6. The agricultural college fund;
7. The taxes for the use of taxing districts in this state;
8. The moneys received by the state from the taxation of railroad and canal property, which may be by law apportioned to the various counties for school purposes;
9. Moneys received by commissioners of the Palisades Interstate park;
10. Moneys paid into the state treasury, which by direction of the executive or by statute is paid to any institution or department of this state, from the United States treasury by act of congress, or which may be retained by any board or commission in accordance with the provisions of section 45:1-3 of the title Professions and Occupations.
##### **§ 52:18-31** Moneys collected through board of fish and game commissioners {#sec-52-18-31 omnilex-key=us-nj-statutes--title-52--52:18-31}
All moneys collected through the board of fish and game commissioners under any state fish and game law, shall be deposited in the state treasury as heretofore and remain there for the use and purposes of the fish and game commissioners but shall be included in the annual appropriation bill for disbursement under the supervision of the state's financial officers in the same manner as other appropriations.
##### **§ 52:18-32** Moneys received pursuant to motor vehicle laws {#sec-52-18-32 omnilex-key=us-nj-statutes--title-52--52:18-32}
All moneys received pursuant to laws relating to motor vehicles shall be deposited in the state treasury as heretofore and held there for the purposes to which the same are devoted by law but shall be included in the annual appropriation for disbursement under the supervision of the state's financial officers in the same manner as other appropriations.
##### **§ 52:18-33** Moneys collected for support of boarding hall of normal schools {#sec-52-18-33 omnilex-key=us-nj-statutes--title-52--52:18-33}
All moneys collected for the support of the boarding halls attached to the state normal schools shall be included in the annual appropriation bill and disbursed in the same manner as other appropriations included therein.
##### **§ 52:18-34** Receipt of moneys reported to comptroller for audit and registry {#sec-52-18-34 omnilex-key=us-nj-statutes--title-52--52:18-34}
The state treasurer shall forthwith, upon the receipt of any interest or other moneys belonging to the state or to any fund in his custody, report the same to the comptroller for audit and registry before an acquittance or discharge is given therefor; and the same duty is imposed upon all public officers or other persons, who as agents for the state receive license fees or other moneys belonging to the state.
##### **§ 52:18-35** Deposit of United States bonds, received as security for deposits of moneys received from United States, in Federal Reserve Bank outside state {#sec-52-18-35 omnilex-key=us-nj-statutes--title-52--52:18-35}
In all cases where the Treasurer of this State has received or shall receive bonds of the United States of America as security for moneys received from the Federal government and deposited by him in a bank or trust company of this State, then and in that event, upon the request of the Federal government, the State Treasurer is hereby authorized and empowered to deposit said securities in a Federal Reserve Bank located out of this State, the State Treasurer first taking a receipt for the securities so deposited.
##### **§ 52:18-36** Collection of debt. {#sec-52-18-36 omnilex-key=us-nj-statutes--title-52--52:18-36}
2. The Department of the Treasury shall have all the remedies and may take all of the proceedings for the collection of debt, as defined pursuant to section 1 of P.L.2005, c.124 (C.2A:16-11.1), which may be had or taken upon the recovery of a judgment in an action, but without prejudice to any right of appeal. Upon entry by the clerk of the certificate of debt in the record of docketed judgments in accordance with section 1 of P.L.2005, c.124 (C.2A:16-11.1), interest in the amount specified by the court rules for post-judgment interest shall accrue from the date of the docketing of the certificate of debt; however, payment of interest may be waived by the Treasurer or the Treasurer's designee.
##### **§ 52:18-37** Fee for unpaid debts. {#sec-52-18-37 omnilex-key=us-nj-statutes--title-52--52:18-37}
3. In the event that the debt remains unpaid following the issuance of the certificate of debt and the State takes any further collection action, including referral of the matter to the Attorney General or the Attorney General's designee, the fee imposed, in lieu of the actual cost of collection, may be 20 percent of debts of $1,000 or more. The Treasurer or his designee may establish a sliding scale, not to exceed a maximum amount of $200, for debt principal amounts of less than $1,000 at the time the certificate of debt is forwarded to the Superior Court for filing.
##### **§ 52:18-38** Written notification to debtor of issuance of certificate of debt. {#sec-52-18-38 omnilex-key=us-nj-statutes--title-52--52:18-38}
4. a. The Treasurer shall provide written notification to the debtor of the proposed issuance of the certificate of debt pursuant to section 1 of P.L.2005, c.124 (C.2A:16-11.1) at least 30 days prior to the proposed issuance. Such notice shall be mailed to the debtor's last known address. The notice shall advise the debtor that, if the debtor wishes to contest the validity of the underlying debt that is the subject of the certificate of debt, he may appeal the determination of underlying debt within 30 days of the mailing of the notice by filing an appeal with the State Treasurer.
b. Filing of such appeal shall stay the issuance of the certificate of debt pending determination by the Office of Administrative Law in accordance with section 5 of P.L.2005, c.124 (C.52:14F-22). Upon exhaustion and determination of such appeal in favor of the State, the stay shall be lifted and the certificate of debt issued.
##### **§ 52:18-39** Construction of act. {#sec-52-18-39 omnilex-key=us-nj-statutes--title-52--52:18-39}
6. Nothing in this act shall be construed as depriving the State of any remedy for the enforcement of any State debt through any procedure or remedies provided in the law imposing such debt or in any other law, nor shall this act be construed as repealing or altering any such law or laws.
##### **§ 52:18-40** Regulations, procedures to manage collection of debt; report of inventory of total debt. {#sec-52-18-40 omnilex-key=us-nj-statutes--title-52--52:18-40}
3. a. The Department of the Treasury shall promulgate regulations and procedures to effectively manage the collection of debt. The regulations and procedures shall include: the designation of the Division of Revenue in the Department of the Treasury as State government's centralized debt management agency; and a requirement that a State agency in the executive branch that is unable, within 90 days of the recording of the delinquency, to collect such a debt owed to the agency, shall transfer the delinquent account no later than at the end of the 91st day following the recording of the debt to the Division of Revenue, which shall manage the delinquent account on behalf of the transferring agency and credit to the appropriate account of the transferring agency any debt collected.
b. In order to assist the Division of Revenue in its centralized debt management responsibilities, the chief administrative officer of each State department or agency, or their designee, within 45 days following the conclusion of each fiscal year, shall provide to the Director of the Division of Revenue in a format as the director shall determine, a certified report of the inventory for the fiscal year of the total debt owed to the department or agency so recorded on the department's or agency's records, debt owed to and collected by the department or agency, debt owed but not collected within 90 days of recording of the delinquency, the amount of that delinquent debt not transferred to the division, and the amount of the debt determined to be owed to the department or agency during the last 90 days of the fiscal year.
##### **§ 52:18-41** Report to Governor, Legislature. {#sec-52-18-41 omnilex-key=us-nj-statutes--title-52--52:18-41}
4. The Director of the Division of Revenue in the Department of the Treasury shall, within 90 days following the conclusion of each fiscal year, report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature on the division's debt management in the concluded fiscal year. In the report the director shall present for each State department or agency for which the division manages debt the cumulative amount of outstanding receivable balances at the end of the concluded fiscal year, the amount of new receivables balances transferred to the division's custody in the concluded fiscal year, the amount of receivable balances collected by the division in the concluded fiscal year, and the amount of receivable balances written off as uncollectible in the concluded fiscal year. In addition, the director shall list every State department or agency of whose noncompliance with the provisions of section 3 of P.L.2008, c.24 (C.52:18-40) the director is cognizant.
##### **§ 52:18-42** Definitions relative to public contracts with private entities. {#sec-52-18-42 omnilex-key=us-nj-statutes--title-52--52:18-42}
1. As used in P.L.2009, c.136 (C.52:18-42 et seq.):
"Business" means a corporation; sole proprietorship; partnership; corporation that has made an election under Subchapter S of Chapter One of Subtitle A of the Internal Revenue Code of 1986, or any other business entity through which income flows as a distributive share to its owners; limited liability company; nonprofit corporation; or any other form of business organization located either within or outside this State, but excluding any public or private institution of higher education.
"Environmental infrastructure project" means the acquisition, construction, improvement, repair or reconstruction of all or part of any structure, facility or equipment, or real or personal property necessary for or ancillary to any (1) wastewater treatment system project, including any stormwater management or combined sewer overflow abatement projects; or (2) water supply project, as authorized pursuant to P.L.1985, c.334 (C.58:11B-1 et seq.) or P.L.1997, c.224 (C.58:11B-10.1 et al.), including any water resources project, as authorized pursuant to P.L.2003, c.162, but excluding the acquisition, construction, repair, or reconstruction of any building or other improvements to real property, or the acquisition or installation of any equipment or other personal property, that, upon completion, shall constitute a qualified employment incentive facility.
"Financial assistance" means funds made available as a grant or loan, including funds derived as proceeds from the issuance of tax-exempt bonds by the entity providing such assistance, but excluding proceeds from the issuance of any bonds which are issued on a conduit basis or which are not supported by a full faith and credit pledge of a public entity.
"Garden State Growth Zone" or "growth zone" means the four New Jersey cities with the lowest median family income based on the 2009 American Community Survey from the US Census, (Table 708. Household, Family, and Per Capita Income and Individuals, and Families Below Poverty Level by City: 2009).
"Lead public agency" means the public entity designated by the State Treasurer pursuant to section 4 of P.L.2009, c.136 (C.52:18-45) to serve as the point of contact between a business and every State governmental entity having oversight of, or involvement in, a project for which the entity or entities are providing or will provide the business with financial assistance.
"Public entity" means the State, other than the Judicial branch of State government, any county, municipality, district, or other political subdivision thereof, and any agency, authority, or instrumentality of the foregoing, including, but not limited to, any county improvement authority and any economic development agency, authority, or other entity.
"Qualified employment incentive facility" means any building or other structure or portion of a building or other structure that, following the date on which occupation of the building or structure shall have commenced, shall be used exclusively as the premises of a project, related to the creation, relocation, or retention of jobs, that qualifies for incentives under the Business Retention and Relocation Assistance Grant Program established by section 3 of P.L.1996, c.25 (C.34:1B-114), the Business Employment Incentive Program established by section 3 of P.L.1996, c.26 (C.34:1B-126), the Grow New Jersey Assistance Program established by P.L.2011, c.149 (C.34:1B-242 et seq.), the Economic Redevelopment and Growth Grant program established by sections 3 though 18 of P.L.2009, c.90 (C.52:27D-489c et al.), sections 22 through 24 of the "New Jersey Economic Opportunity Act of 2013," P.L.2013, c.161 (C.52:27D-489q through C.52:27D-489s) allowing for the establishment of a Garden State Growth Zone, the corporation business tax credit and insurance premium tax credit certificate transfer program established pursuant to section 17 of P.L.2004, c.65 (C.34:1B-120.2), the sales and use tax exemption certificate program established pursuant to section 20 of P.L.2004, c.65 (C.34:1B-186), the exemption of retail sales of energy and utility service to qualified businesses within an urban enterprise zone from the sales and use tax pursuant to section 23 of P.L.2004, c.65 (C.52:27H-87.1), the urban transit hub tax credit program established pursuant to P.L.2007, c.346 (C.34:1B-207 et seq.), or any other program as the State Treasurer shall deem to be of similar kind and purpose; provided, however, that such exclusive use shall continue for the minimum period of time prescribed by the applicable law or any regulation adopted pursuant thereto, or under any project agreement or other contract executed pursuant to such law or regulation, or if no such minimum period shall be so prescribed, for a period of four years.
"Redevelopment project" means a specific work or improvement, including lands, buildings, structures, improvements, real and personal property or any interest therein, including lands under water, riparian rights, space rights and air rights, acquired, owned, cleared, graded, developed or redeveloped, constructed, reconstructed, rehabilitated or improved, undertaken by a developer, but excluding the acquisition, construction, repair, or reconstruction of any building or other improvements to real property, or the acquisition or installation of any equipment or other personal property, that, upon completion, shall constitute a qualified employment incentive facility.
"Remediation" or "remediate" means all necessary actions to investigate and clean up or respond to any known, suspected, or threatened discharge of contaminants, including, as necessary, the preliminary assessment, site investigation, remedial investigation, and remedial action, provided, however, that "remediation" or "remediate" shall not include the payment of compensation for damage to, or loss of, natural resources, and shall not include the acquisition, construction, repair, or reconstruction of any building or other improvements to real property, or the acquisition or installation of any equipment or other personal property, that, upon completion, shall constitute a qualified employment incentive facility.
"State governmental entity" means the Executive and Legislative branches of the State government, any agency or instrumentality of the State, including any board, bureau, commission, corporation, department, or division, any independent State authority, including, but not limited to, any economic development authority or agency, and any State institution of higher education. A county, municipality, or school district, or any agency or instrumentality thereof, shall not be deemed a State governmental entity.
##### **§ 52:18-43** Conditions for financial assistance from public entity. {#sec-52-18-43 omnilex-key=us-nj-statutes--title-52--52:18-43}
2. Notwithstanding any law, rule, regulation, or order to the contrary, any business receiving any financial assistance for the cost of undertaking any redevelopment project, project involving remediation, or environmental infrastructure project pursuant to any contract with any public entity shall include in that contract, as a condition of the public entity's agreement thereto, provisions requiring that upon disbursement to the business, by or through that or any other public entity, of such financial assistance with respect to the project in an aggregate amount totaling $50 million or more:
a. With respect to the cost of the entire project, the amount that the business shall spend of funds from sources other than a public entity shall be not less than a minimum of $1 for every $5 in financial assistance received from any public entity for expenditure on any project cited in the contract, except that this provision shall not apply if the financial assistance is provided pursuant to a statute, or subject to a rule or regulation, requiring that expenditure by the business of funds from sources other than a public entity on the project exceed one-fifth of the amount of financial assistance received from the public entity;
b. The public entity shall retain a percentage, not exceeding 10 percent of the total amount of financial assistance provided for in the contract, which retainage amount shall not be disbursed to the business until the successful completion of the project as certified by the public entity. The requirements of this subsection shall not apply if the financial assistance is provided pursuant to a statute, or subject to a rule or regulation, requiring that the public entity shall retain or place into an escrow account more than 10 percent of the amount of that financial assistance for disbursement only upon completion of the project;
c. The public entity shall review, at any time during the term of the contract, the qualifications of any subcontractor hired to perform work on the project or projects; and
d. The business shall submit payment of a performance bond which shall be in an amount equal to 110 percent of the total price of the publicly funded improvements under the project and otherwise comply with all applicable State laws, including, but not limited to the business's submission of a surety disclosure statement and certification which complies with the requirements of N.J.S.2A:44-143, except that this provision shall not apply if the financial assistance is provided pursuant to a statute, or subject to a rule or regulation, requiring that the business obtain for the performance of work on the project a bond that shall amount to more than 110 percent of the total price of those publicly funded improvements.
##### **§ 52:18-44** Filing of audited financial statements, reports. {#sec-52-18-44 omnilex-key=us-nj-statutes--title-52--52:18-44}
3. a. Notwithstanding any law, rule, regulation, or order to the contrary, any business to which there is disbursed, by or through that or any other public entity, any financial assistance in an aggregate amount totaling $50 million or more, for the cost of undertaking any redevelopment project, project involving remediation, or environmental infrastructure project pursuant to one or more contracts with any public entity, shall file with the public entity and with the State Treasurer, not later than the 30th day following such disbursement, and annually thereafter for the duration of such contract or contracts, audited financial statements and reports concerning the activities of the project or projects and of such business, including any parent or holding company of the business, as prepared by an independent certified public accountant. Such financial statements shall include, but not be limited to, a balance sheet, statement of income or loss, and statement of changes in financial position. If the financial statements are not received by the public entity by the deadlines established hereinabove, the public entity shall increase the amount of the percentage of funds retained or placed into an escrow account in accordance with the provisions of subsection b. of section 2 of this act by:
(1) five percent for any statement 120 or fewer days past the deadline;
(2) ten percent for any statement more than 120 but less than 181 days past the deadline; and
(3) 15 percent for any statement 181 or more days past the deadline.
b. The provisions of this section shall not apply to any business that is required to file such financial statements under federal law or other State law.
c. Each business reporting under this section shall disclose to the public entity on a rapid and current basis such additional information concerning material changes in the financial condition or operations of the business as the public entity determines is necessary or useful for the protection of the public interest. This information shall be expressed in plain English and, if the public entity so requires, shall include trend and qualitative information and graphic presentations.
##### **§ 52:18-45** Notification to State Treasurer of contract, designation of lead public agency. {#sec-52-18-45 omnilex-key=us-nj-statutes--title-52--52:18-45}
4. If any State governmental entity enters into a contract or contracts with a business to which the provisions of section 2 of this act apply, the State governmental entity shall notify the State Treasurer of such contract and shall include the name of the project, the nature of the project-related activity for which the financial assistance is to be given, and any other information necessary for the implementation of the provisions of this act. The State Treasurer shall monitor the notifications received pursuant to the provisions of this section with respect to each project and, when the aggregate amount of financial assistance disbursed to a business with respect to a project shall equal or exceed $50 million or at any other time the State Treasurer deems it necessary, shall designate the public entity that, as of the date of such designation, shall have disbursed the greatest amount of financial assistance to the business with respect to the project under those contracts, as the lead public agency to serve as the sole point of contact between the business and every State governmental entity having any manner or degree of oversight of or involvement in the project to which that contract or contracts relates. The lead public agency shall document all State governmental entity activities associated with the project.
The lead public agency shall, upon designation, perform or cause to be performed an assessment of the degree of risk that the business will be financially unable to complete the project and, based upon the results of that assessment, require that, before further disbursements of funds from a public entity under any such contract in connection with the project, the business shall make an investment of its own funds in the project, which investment shall not be less than 10 percent of total project costs.
##### **§ 52:18-46** Certification by business filing financial statement. {#sec-52-18-46 omnilex-key=us-nj-statutes--title-52--52:18-46}
7. Each business filing a financial statement under section 3 of this act shall attach thereto a certification that:
a. the business officer signing the financial statement has reviewed the statement;
b. based on the officer's knowledge, the financial statement does not contain any untrue statement of a material fact or omit the statement of a material fact necessary in order to ensure that the statements made, in light of the circumstances under which such statements were made, were not misleading;
c. based on such officer's knowledge, the financial statements, and other financial information included in the report, fairly present in all material respects the financial condition and results of operations of the business as of, and for, the periods presented in the report; and
d. the signing officer:
(1) is responsible for establishing and maintaining internal controls;
(2) has designed such internal controls to ensure that material information relating to the business and its consolidated subsidiaries is made known to such business officers by others within those entities, particularly during the period in which the reports are being prepared;
(3) has evaluated the effectiveness of the business' internal controls as of a date within 90 days prior to the financial statement;
(4) has presented in the financial statement the officer's conclusions about the effectiveness of the business' internal controls based on the evaluation as of that date;
(5) has disclosed to the business' auditors and the audit committee of the board of directors or those persons fulfilling the equivalent function:
(a) all significant deficiencies in the design or operation of internal controls which could adversely affect the business' ability to record, process, summarize, and report financial data and have identified for the business' auditors any material weaknesses in internal controls; and
(b) any fraud, whether or not material, that involves management or other employees who have a significant role in the business' internal controls; and
(6) has indicated in the financial statement whether or not there were significant changes in internal controls or in other factors that could significantly affect internal controls subsequent to the date of their evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses.
##### **§ 52:18-47** Duties of CPA relative to preparation of audit report. {#sec-52-18-47 omnilex-key=us-nj-statutes--title-52--52:18-47}
8. For any audit report for which a financial statement shall have been filed under section 3 of this act, an independent certified public accountant shall:
a. prepare, and retain for a period of not less than seven years, audit work papers, and other information related to the audit report, in sufficient detail to support the conclusions reached in the report;
b. provide a concurring or second partner review and approval of the audit report and other related information, and concurring approval in its issuance, by a qualified person associated with the public accounting firm, other than the person in charge of the audit, or by an independent reviewer;
c. describe in the audit report the scope of the auditor's testing of the internal control structure and procedures of the business, and present in such report or in a separate report:
(1) the findings of the auditor from such testing;
(2) an evaluation of whether such internal control structure and procedures:
(a) include maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of the business;
(b) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the business are being made only in accordance with authorizations of management and directors of the business; and
(3) a description, at a minimum, of material weaknesses in such internal controls, and of any material noncompliance found on the basis of such testing;
d. provide a statement to the public entity that, contemporaneously with the audit:
(1) the auditor has not provided the business any non-audit service, including any bookkeeping or other services related to the accounting records or financial statements of the business;
(2) the lead or coordinating audit partner having primary responsibility for the audit, or the audit partner responsible for reviewing the audit, has not performed audit services for that business in each of the five previous fiscal years of that business;
(3) the auditor has provided a timely report to the audit committee of the business stating that:
(a) all critical accounting policies and practices were used;
(b) all alternative treatments of financial information within generally accepted accounting principles have been discussed with management officials of the business, the ramifications of the use of such alternative disclosures and treatments, and the treatment preferred by the registered public accounting firm;
(c) other material written communications between the registered public accounting firm and the management of the business, such as any management letter or schedule of unadjusted differences, were reported to the business; and
(d) concerning any audit service conducted under this section, whether a chief executive officer, controller, chief financial officer, chief accounting officer, or any person serving in an equivalent position for the business, was employed by that registered independent public accounting firm and participated in any capacity in the audit of that business during the one-year period preceding the date of the initiation of the audit; and
e. present the financial information included in any such financial statement in a manner that:
(1) does not contain an untrue statement of a material fact or omit a material fact necessary in order to make the pro forma financial information, in light of the circumstances under which it is presented, not misleading; and
(2) reconciles it with the financial condition and results of operations of the business under generally accepted accounting principles.
##### **§ 52:18-48** Internal control report. {#sec-52-18-48 omnilex-key=us-nj-statutes--title-52--52:18-48}
9. a. Each audited financial statement prepared pursuant to the provisions of section 3 of this act shall contain an internal control report, which shall:
(1) state the responsibility of management for establishing and maintaining an adequate internal control structure and procedures for financial reporting; and
(2) contain an assessment, as of the end of the most recent fiscal year of the business, of the effectiveness of the internal control structure and procedures of the business for financial reporting.
b. With respect to the internal control assessment required by subsection a. of this section, each registered public accounting firm that prepares or issues the audit report for the business shall attest to, and report on, the assessment made by the management of the business. Any such attestation shall not be the subject of a separate engagement.
##### **§ 52:18-49** Failure to adhere to requirements, refund of financial assistance. {#sec-52-18-49 omnilex-key=us-nj-statutes--title-52--52:18-49}
10. a. Any business, receiving financial assistance from a public entity under a contract to which the provisions of section 2 of this act apply, that knowingly fails to submit a financial statement or report, or that makes a material misrepresentation in any application, report, or other disclosure, that the recipient business is required to make pursuant to this act shall refund the amount of financial assistance to the granting public entity or entities. The granting public entity or entities shall include provisions for the refund as part of an agreement to provide financial assistance and may pursue an action to collect the amount of the refund plus any attorney fees and other costs of the action.
b. Whoever knowingly alters, destroys, mutilates, conceals, covers up, falsifies, or makes a false entry in any record, document, or tangible object with the intent to impede, obstruct, or influence the investigation or proper administration of any matter within the jurisdiction of any public entity in relation to any provision of this act, shall be subject to the provisions of subsection a. of this section.
##### **§ 52:18-50** Certain State entities prohibited from charging certain fees. {#sec-52-18-50 omnilex-key=us-nj-statutes--title-52--52:18-50}
1. Notwithstanding any law, rule, or regulation to the contrary, a State department, agency, board, bureau, authority, office, or any other entity or instrumentality thereof, shall not impose a fee, fine, or penalty on any applicant who has completed and submits an application for a permit, certificate, or any other purpose, when that fee or penalty is imposed solely to correct clerical errors made by the applicant on the application. Nothing herein shall be construed to impair the State entity's ability to impose any fee, fine or penalty permitted by law or regulation on any applicant due to the applicant's provision of false, misleading, or fraudulent information on an application completed and submitted for a permit, certificate, or any other purpose.
##### **§ 52:18-51** Definitions relative to certain economic development subsidies. {#sec-52-18-51 omnilex-key=us-nj-statutes--title-52--52:18-51}
1. As used in P.L.2015, c.167 (C.52:18-51 et seq.):
"Economic development subsidy" means the provision of an amount of funds to a recipient business by or from a State public body with a value of greater than $25,000 for the purpose of stimulating economic development in New Jersey, including, but not limited to, any bond, grant, loan, loan guarantee, matching fund, tax credit, or other tax expenditure. "Economic development subsidy" shall not mean any contract under which a State public body purchases or otherwise procures goods, services, or construction on an unsubsidized basis, including any contract solely for the construction or renovation of a facility owned by a State public body.
"Recipient business" means any non-governmental person, association, for-profit or non-profit corporation, joint venture, limited liability company, partnership, sole proprietorship, or other form of business organization or entity either within or outside this State that receives an economic development subsidy. A "recipient business" shall not mean a public or private institution of higher education.
"State public body" means the State of New Jersey or any agency, authority, board, commission, or instrumentality of the State. "State public body" shall not mean a political subdivision of the State or an agency, authority, board, commission, or instrumentality of a political subdivision of the State.
"Tax expenditure" means the amount of foregone tax collections due to any abatement, reduction, exemption, credit, or transfer certificate against any State tax, including, but not limited to: taxes on raw materials, inventories, or other assets; taxes on gross receipts, income, or sales; and any use, excise, or utility tax. "Tax expenditure" shall not mean: any credit against any tax liability of an employee; any personal exemption, homestead rebate, credit, or deduction for the expenses of a household or individual; or other reduction of the tax liability of an individual or household.
##### **§ 52:18-52** Conditions for award of subsidy. {#sec-52-18-52 omnilex-key=us-nj-statutes--title-52--52:18-52}
2. A State public body shall not award an economic development subsidy to a recipient business that previously received an economic development subsidy that was a loan or loan guarantee if the recipient business is in default on that previously awarded loan or loan guarantee.
## **Chapter 18A**
##### **§ 52:18A-1** "Department" defined {#sec-52-18a-1 omnilex-key=us-nj-statutes--title-52--52:18A-1}
There is hereby established in the executive branch of the State Government a principal department which shall be known as the Department of the Treasury.
As used in this act, unless the context clearly indicates otherwise, the word "department" means the Department of the Treasury established herein.
##### **§ 52:18A-2** State Treasurer {#sec-52-18a-2 omnilex-key=us-nj-statutes--title-52--52:18A-2}
The administrator and head of the department shall be the State Treasurer, who shall be a person qualified by training and experience to perform the duties of his office, and who shall be appointed by the Governor, with the advice and consent of the Senate. The State Treasurer shall serve at the pleasure of the Governor during the Governor's term of office and until the appointment and qualification of the State Treasurer's successor. He shall receive such salary as shall be provided by law.
The person in office as State Treasurer on the thirtieth day of June, one thousand nine hundred and forty-eight, shall hold the office of State Treasurer in the Department of the Treasury established hereunder for the period of his term which remains unexpired on the effective date of this act and until his successor has been appointed and has qualified.
##### **§ 52:18A-2a** Transfer of revenues to Health Care Subsidy Fund {#sec-52-18a-2a omnilex-key=us-nj-statutes--title-52--52:18A-2a}
5. The State Treasurer shall transfer to the Health Care Subsidy Fund established pursuant to section 8 of P.L.1992, c.160 (C.26:2H-18.58), revenues generated from third party liability recoveries by the State for the purposes provided in section 4 of P.L.1996, c.29 (C.26:2H-18.58a).
##### **§ 52:18A-2.1** Board of Public Utilities; transferred {#sec-52-18a-2.1 omnilex-key=us-nj-statutes--title-52--52:18A-2.1}
a. The Board of Public Utilities and the positions of president and commissioners thereof, designated as such pursuant to the provisions of P.L.1977, c. 146 (C. 52:27F-1 et seq.), are continued and designated as the Board of Public Utilities and the president and commissioners thereof in but not of the Department of the Treasury. Notwithstanding this allocation, the board shall be independent of any supervision or control by the Department of the Treasury or by any officer thereof, and, unless otherwise expressly provided by law, the board shall be independent of any supervision or control by the Division of Energy Planning and Conservation in the Department of Commerce, Energy and Economic Development or by any officer thereof. The Department of Civil Service shall not reclassify any title or position transferred from the Board of Public Utilities pursuant to this act without the approval of the board. The president and commissioners of the Board of Public Utilities shall be appointed in the manner, and shall receive such salaries as shall be provided by law.
b. All functions, powers and duties now vested in the Board of Public Utilities in the Department of Energy and in the positions of president and commissioners thereof are transferred to and assumed by the Board of Public Utilities in the Department of the Treasury and the president and commissioners thereof.
c. Whenever in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the Board of Public Utilities in the Department of Energy, the same shall mean and refer to the Board of Public Utilities in the Department of the Treasury.
##### **§ 52:18A-3** Divisions within Department {#sec-52-18a-3 omnilex-key=us-nj-statutes--title-52--52:18A-3}
There shall be within the Department of the Treasury a Division of Budget and Accounting, a Division of Purchase and Property, a Division of Taxation, and a Division of the New Jersey Racing Commission.
The State Treasurer shall have authority to organize and maintain in his offices an Administrative Division and to assign to employment therein such secretarial, clerical and other assistants in the department as his office and the internal operations of the department shall require.
##### **§ 52:18A-4** Division of Budget and Accounting transferred {#sec-52-18a-4 omnilex-key=us-nj-statutes--title-52--52:18A-4}
The Division of Budget and Accounting of the existing State Department of Taxation and Finance, together with all of its functions, powers and duties is continued, but such division is hereby transferred to and constituted the Division of Budget and Accounting in the Department of the Treasury established hereunder.
##### **§ 52:18A-5** Director of Division of Budget and Accounting {#sec-52-18a-5 omnilex-key=us-nj-statutes--title-52--52:18A-5}
The Division of Budget and Accounting shall be headed by a director, who shall be a person qualified by training and experience to direct the work assigned to such division. The director of such division shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve during the term of office of the Governor appointing him and until the director's successor is appointed and has qualified.
The director of the Division of Budget and Accounting shall receive such salary as shall be provided by law.
##### **§ 52:18A-6** State Commissioner of Taxation and Finance, powers and duties of transferred {#sec-52-18a-6 omnilex-key=us-nj-statutes--title-52--52:18A-6}
The functions, powers and duties heretofore vested in, and exercised or performed by the State Commissioner of Taxation and Finance, through the Bureau of the Budget of the Division of Budget and Accounting in the existing State Department of Taxation and Finance are hereby transferred to and shall be exercised and performed by the State Treasurer through the Division of Budget and Accounting in the Department of the Treasury established hereunder.
The functions, powers and duties heretofore vested in, and exercised or performed by, the State Commissioner of Taxation and Finance, through the Bureau of Accounting of the Division of Budget and Accounting in the existing State Department of Taxation and Finance, are hereby transferred to and shall be exercised and performed by the director of the Division of Budget and Accounting established hereunder, through such division.
##### **§ 52:18A-6.1** Director of Division of Budget and Accounting, powers and duties of {#sec-52-18a-6.1 omnilex-key=us-nj-statutes--title-52--52:18A-6.1}
The Director of the Division of Budget and Accounting in the Department of the Treasury shall succeed to and shall exercise and perform those functions, powers and duties of the Commissioner of Taxation and Finance prescribed under and pursuant to the provisions of "A supplement to "An Act concerning war adjustment in the compensation of certain persons holding State office, position or employment whose compensation is paid from State funds or from funds derived from Federal sources, or holding office, position or employment in an educational institution whose compensation is paid in whole or part through the board of regents, or holding Federal office, position or employment who receive supplemental compensation from State funds and concerning additional compensation in lieu of a further salary increase for persons holding office, position or employment under the Delaware River Joint Toll Bridge Commission and making appropriation therefor,' approved April fourteenth, one thousand nine hundred and forty-four (P.L.1944, c. 119)," approved April fourth, one thousand nine hundred and forty-five (P.L.1945, c. 91), and under and pursuant to the provisions of "An act concerning civil service," approved April twenty-fourth, one thousand nine hundred and forty-six (P.L.1946, c. 150), and under and pursuant to the provisions of "A supplement to "An act concerning war adjustment in the compensation of certain persons holding State office, position or employment whose compensation is paid from State funds or from funds derived from Federal sources, or holding office, position or employment in an educational institution whose compensation is paid in whole or part through the board of regents, or holding Federal office, position or employment who receive supplemental compensation from State funds and concerning additional compensation in lieu of a further salary increase for persons holding office, position or employment under the Delaware River Joint Toll Bridge Commission and making appropriation therefor,' approved April fourteenth, one thousand nine hundred and forty-four (P.L.1944, c. 119), and extending the benefits of said act to include certain persons holding office, position or employment, in an educational institution whose compensation is paid in whole or in part from State funds through the Commissioner of Education, and under the Interstate Sanitation Commission," approved April twenty-fourth, one thousand nine hundred and forty-six (P.L.1946, c. 151), and under and pursuant to the provisions of "A supplement to "An act concerning war adjustment in the compensation of certain persons holding State office, position or employment whose compensation is paid from State funds or from funds derived from Federal sources, or holding office, position or employment in an educational institution whose compensation is paid in whole or part through the board of regents, or holding Federal office, position or employment who receive supplemental compensation from State funds and concerning additional compensation in lieu of a further salary increase for persons holding office, position or employment under the Delaware River Joint Toll Bridge Commission and making appropriation therefor,' approved April fourteenth, one thousand nine hundred and forty-four (P.L.1944, c. 119), and extending the benefits of said act to include certain persons holding office, position or employment, in an educational institution whose compensation is paid in whole or in part from State funds through the Commissioner of Education, and under the Interstate Sanitation Commission," approved July third, one thousand nine hundred and forty-seven (P.L.1947, c. 389), and under and pursuant to the provisions of "An act concerning war adjustment, and cost of living bonuses for certain persons holding office, position or employment in the State, whose compensation is paid from State funds or from funds derived from Federal sources, or holding office, position or employment in educational institutions whose compensation is paid, in whole or in part, by contract or otherwise, through the Commissioner of Education or the State Board of Education, or holding Federal office, position or employment who received supplemental compensation from State funds, or holding office, position or employment under the Delaware River Joint Toll Bridge Commission or the Interstate Sanitation Commission and making an appropriation therefor and providing for a study of existing State salary ranges, and salary increase increments, by the Civil Service Commission," approved June ninth, one thousand nine hundred and forty-eight (P.L.1948, c. 116).
##### **§ 52:18A-6.2** Reference to "Commissioner of Taxation and Finance" deemed reference to Director of Division of Budget and Accounting {#sec-52-18a-6.2 omnilex-key=us-nj-statutes--title-52--52:18A-6.2}
Whenever the term "Commissioner of Taxation and Finance" occurs or any reference is made thereto in any of the statutes enumerated in section one hereof, the same shall be deemed to mean or refer to the Director of the Division of Budget and Accounting in the Department of the Treasury.
##### **§ 52:18A-7** Former Office of State Comptroller abolished; accounting and financial management to Division of Budget and Accounting. {#sec-52-18a-7 omnilex-key=us-nj-statutes--title-52--52:18A-7}
7. The office of State Comptroller, also designated and referred to as "Comptroller of the Treasury," as continued and transferred to and constituted an office within the Division of Budget and Accounting in the Department of the Treasury pursuant to the "Department of the Treasury Act of 1948," P.L.1948, c.92 (C.52:18A-1 et seq.), is abolished, and the Director of the Division of Budget and Accounting shall exercise the powers and perform the functions and duties concerning accounting and financial management vested in, or imposed upon, the comptroller of the treasury, as may be established by law.
##### **§ 52:18A-8** State revenues; depositories; reports; accounting {#sec-52-18a-8 omnilex-key=us-nj-statutes--title-52--52:18A-8}
All State revenue collected by any department, institution, commission, board, committee or official of this State shall, except as otherwise provided by law, be deposited, in the method prescribed by the director of the Division of Budget and Accounting, to the credit of the State of New Jersey in such depositories as the State Treasurer shall designate. A report of such moneys collected shall be submitted to such director and the State Treasurer in such form as the director shall prescribe. Such reports shall be submitted not later than the tenth day of the month following that during which such moneys were received. The director of the Division of Budget and Accounting, upon receiving such report, shall audit and register all amounts contained therein and make proper accounting thereof.
##### **§ 52:18A-8.1** Fiscal agent or custodian for funds and other assets; agreements. {#sec-52-18a-8.1 omnilex-key=us-nj-statutes--title-52--52:18A-8.1}
1. a. The State Treasurer is hereby authorized and empowered to enter into agreement from time to time, and on the terms and for the compensation, if any, the State Treasurer deems appropriate, with any one or more of the national banks and the banks authorized by this State to carry on a banking business, which the State Treasurer may select, to act as fiscal agent for the State or as custodian for funds, securities, or other assets of the State and as fiscal agent or as custodian for any pension agency, fund or system maintained in whole or in part by the State. Each bank selected by the State Treasurer to act as custodian or fiscal agent shall have a physical presence in this State in the form of a principal office or branch office and shall employ New Jersey residents. Each bank selected by the State Treasurer may use recognized depositories or clearinghouses for the funds, securities or other assets of the State or may use other banks as sub-custodians or sub-fiscal agents for these assets, provided that in every case each bank selected by the State Treasurer shall retain primary responsibility for these assets.
b. If a bank selected by the State Treasurer delegates its responsibilities as custodian or fiscal agent, or both, to a sub-custodian or sub-fiscal agent, the sub-custodian or sub-fiscal agent shall be responsible for the services delegated to it to the same degree as the primary custodian or primary fiscal agent and shall maintain accounting records and be otherwise held accountable to the same degree of fiduciary duty and responsibility as the appointing primary custodian or fiscal agent.
c. A bank selected by the State Treasurer as a primary custodian or fiscal agent which delegates its responsibilities as custodian or fiscal agent, or both, to a sub-custodian or sub-fiscal agent, shall not be relieved of its fiduciary duties and responsibilities.
##### **§ 52:18A-8.1a** Definitions used in C.52:18A-8.1. {#sec-52-18a-8.1a omnilex-key=us-nj-statutes--title-52--52:18A-8.1a}
2. As used in section 1 of P.L.1954, c.22 (C.52:18A-8.1):
"Branch office" means an office at a fixed location other than a principal office, however designated, at which any business that may be conducted in a principal office of a bank may be transacted.
"Clearinghouse" means an association of banks or other payors regularly settling mutual claims, accounts and other items such as securities, payments and income.
"Custodian," "primary custodian," "fiscal agent" and "primary fiscal agent" means a bank which is selected by the State Treasurer to perform fiduciary functions in the maintenance of public trust funds and assets.
"Depository" means a separately incorporated bank or association of banks which serves as a temporary trustee for securities on behalf of a custodian, sub-custodian, fiscal agent or sub-fiscal agent.
"Principal office" means the headquarters of a bank which is its principal place of business.
"Sub-custodian" or "sub-fiscal agent" means a bank, located in any state or country, to which a primary custodian or primary fiscal agent may delegate its duties and responsibilities.
##### **§ 52:18A-8.2** Services to be performed {#sec-52-18a-8.2 omnilex-key=us-nj-statutes--title-52--52:18A-8.2}
Such agreements may provide, at the discretion of the State Treasurer, that such fiscal agent or custodian may perform any or all of the following services: make or accept delivery of securities; exchange securities, collect interest or dividends thereon and principal thereof; surrender securities for exchange, redemption or payment; hold securities, cash or other assets of the State or of any such pension agency, system or fund, as aforementioned, in safekeeping; deposit in such account or accounts as the State Treasurer shall designate, the proceeds of the sale, exchange, redemption or payment of securities and of interest or dividends thereon, and such other related services as the State Treasurer may determine.
##### **§ 52:18A-8.3** Provision against loss or damage required in agreements {#sec-52-18a-8.3 omnilex-key=us-nj-statutes--title-52--52:18A-8.3}
All agreements entered into by the State Treasurer with any bank pursuant to this act, shall provide that such bank or banks shall be responsible to the State, to the State Treasurer, and to any pension agency, fund or system concerned, for the proper and faithful performance of the services required of it pursuant to the terms of the agreement, for the fidelity and integrity of the officers, employees and agents employed in any undertaking under said agreement, and for any and all loss or damage which may result from any failure to discharge or from any improper or incorrect discharge of their duties, and that such bank or banks shall save harmless the State, the State Treasurer, and any pension agency, fund or system concerned, or any trustee or officer thereof, from any and all loss or damage caused thereby.
##### **§ 52:18A-8.4** Fee for returned check collected by Department of the Treasury {#sec-52-18a-8.4 omnilex-key=us-nj-statutes--title-52--52:18A-8.4}
42. The State Treasurer may in the Treasurer's discretion charge a fee of $50 for each check, received for payment of any fee, fine, penalty or other charge collected by the Department of the Treasury, that is returned due to insufficient funds or as the result of a stop payment order, provided that no fee shall be imposed under this section that is in addition to or in lieu of a fee that the Treasurer or any agency or employee of the Department of the Treasury is required or authorized under any other law to collect due to such a return of check payment.
##### **§ 52:18A-9** Forms {#sec-52-18a-9 omnilex-key=us-nj-statutes--title-52--52:18A-9}
The director of the Division of Budget and Accounting shall have authority to prescribe uniform forms to be used by all departments or other agencies of the State Government in encumbering any funds appropriated.
The director of the Division of Budget and Accounting shall prepare the forms upon which shall be rendered all statements of indebtedness against any department, institution, commission, committee, official, board, or body of State Government.
The forms, in this section provided, shall, when so prepared, be the only forms used for the evidence and record of such encumbrances and indebtedness.
##### **§ 52:18A-10** Encumbrance requests and statements of indebtedness; approval; examination; warrant checks {#sec-52-18a-10 omnilex-key=us-nj-statutes--title-52--52:18A-10}
Each department, commission, committee, official, board or body of any institution or organization of the State shall designate the proper officer who shall approve and sign all encumbrance requests and statements of indebtedness. The designation shall be filed in the office of the Director of the Division of Budget and Accounting; and the requests and statements of indebtedness shall be presented to such director.
The Director of the Division of Budget and Accounting shall examine, audit and adjust all encumbrances and statements of indebtedness so presented. He may administer an oath to the persons presenting the encumbrance or statement of indebtedness and to any witness presented on behalf of such person and may examine such person or witness as to the truth, fairness and correctness of such encumbrance or statement of indebtedness.
The Director of the Division of Budget and Accounting and the State Treasurer shall execute warrant checks in settlement of statements of indebtedness after such statements of indebtedness have been audited and approved by the Director of the Division of Budget and Accounting and after such warrant checks have been registered by him. Warrant checks after having been executed, shall be delivered to the payees.
##### **§ 52:18A-11** Checks or drafts for transfer of funds {#sec-52-18a-11 omnilex-key=us-nj-statutes--title-52--52:18A-11}
Checks or drafts used only for the transfer of State funds from one depository to another, drawn to the order of the State of New Jersey and restrictively endorsed by the State Treasurer in the following manner: "Transfer of State Funds--For Deposit Only," need not be signed by the director of the Division of Budget and Accounting.
##### **§ 52:18A-12** Certain provisions of law construed as applying to the Director of the Division of Budget and Accounting. {#sec-52-18a-12 omnilex-key=us-nj-statutes--title-52--52:18A-12}
12. Wherever a provision of law relating to the presentation of claims or bills for approval, the drawing of warrants, the countersigning of receipts and checks, the administration of petty cash funds, the apportionment of taxes on railroad and canal property, applied to the Comptroller, or to the State Commissioner of Taxation and Finance from July 1, 1948, the effective date of the "Department of the Treasury Act of 1948," P.L.1948, c.92 (C.52:18A-1 et seq.), until the effective date of P.L.2007, c.52 (C.52:15C-1 et al.), such provision of law shall be construed as having applied instead to the director of the Division of Budget and Accounting.
##### **§ 52:18A-13** Vacancies in certain offices, notice to banks. {#sec-52-18a-13 omnilex-key=us-nj-statutes--title-52--52:18A-13}
13. The Secretary of State shall, when the offices of State Treasurer or director of the Division of Budget and Accounting shall become vacant or the officers or either of them shall no longer be authorized to act as such, respectively, give written notice forthwith to all national banks located in this State and institutions authorized by the State to carry on a banking business of such vacancy or termination of power. No bank shall thereafter pay any check or draft of the State Treasurer, signed or countersigned by any person after his office shall become vacant or after he shall no longer be authorized to act.
##### **§ 52:18A-16** Division of Purchase and Property transferred {#sec-52-18a-16 omnilex-key=us-nj-statutes--title-52--52:18A-16}
The Division of Purchase and Property of the existing State Department of Taxation and Finance, together with all of its functions, powers and duties is continued, but such division is hereby transferred to and constituted the Division of Purchase and Property in the Department of the Treasury established hereunder.
##### **§ 52:18A-17** Director of Division of Purchase and Property {#sec-52-18a-17 omnilex-key=us-nj-statutes--title-52--52:18A-17}
The Division of Purchase and Property shall be headed by a director, who shall be a person qualified by training and experience to direct the work assigned to such division. The director of such division shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve during the term of office of the Governor appointing him and until the director's successor is appointed and has qualified.
The director of the Division of Purchase and Property shall receive such salary as shall be provided by law.
The person in office as director of the Division of Purchase and Property of the existing State Department of Taxation and Finance on the thirtieth day of June, one thousand nine hundred and forty-eight, shall hold the office of director of the Division of Purchase and Property in the Department of the Treasury established hereunder for the period of his term as director of the Division of Purchase and Property in the existing State Department of Taxation and Finance which remains unexpired on the effective date of this act, and until his successor is appointed and has qualified.
##### **§ 52:18A-18** Powers and duties of director of Division of Purchase and Property transferred {#sec-52-18a-18 omnilex-key=us-nj-statutes--title-52--52:18A-18}
The functions, powers and duties of the director of the Division of Purchase and Property of the existing State Department of Taxation and Finance are continued, but such functions, powers and duties are hereby transferred to and vested in the director of the Division of Purchase and Property established hereunder in the Department of the Treasury.
##### **§ 52:18A-18.1** Notice prior to moving State facility {#sec-52-18a-18.1 omnilex-key=us-nj-statutes--title-52--52:18A-18.1}
a. The Division of Purchase and Property in the Department of the Treasury shall, prior to moving a State facility out of a municipality, give 90 days' written notice by certified mail to the chief executive officer of the municipality affected thereby. The division, however, shall not be required to provide this notice in an emergency situation.
b. For the purposes of subsection a. of this section, an "emergency situation" means:
(1) A situation which threatens health or safety, or which violates any health, building or fire code provision relating to the safe occupancy and use of the premises;
(2) A situation in which the State is given less than 90 days' notice to vacate the premises; or
(3) A situation in which the State is unable to reach an agreement on a lease renewal for an existing tenancy, or an alternative appropriate space, at reasonable market value rent and terms before the 90th day preceding the date upon which the premises which it occupies must be surrendered.
##### **§ 52:18A-18.2** Leasing of certain State-owned property, priority, rate approval. {#sec-52-18a-18.2 omnilex-key=us-nj-statutes--title-52--52:18A-18.2}
3. If the Department of the Treasury seeks to lease any property included on the lists prepared by the Commissioner of Children and Families pursuant to section 1 of P.L.2007, c.76 (C.9:3A-7.2) or the Commissioner of Human Services pursuant to section 2 of P.L.2007, c.76 (C.30:1A-13)and no State agency has indicated a current need for the property, the department shall give priority first to nonprofit and for-profit agencies and organizations that provide residential mental health services to children, and then to nonprofit and for-profit agencies and organizations that provide housing to adults with mental illness or persons with developmental disabilities, to lease the property from the State in order to establish a residential treatment facility or housing, as provided in sections 1 and 2 of P.L.2007, c.76 (C. 9:3A-7.2 and C. 30:1A-13). The lease to a nonprofit or for-profit agency shall be at the fair market rate, as established by the Department of the Treasury, and shall be subject to approval by the State House Commission.
##### **§ 52:18A-19** Applications and schedules for articles to be purchased; duties of director; bills for purchases {#sec-52-18a-19 omnilex-key=us-nj-statutes--title-52--52:18A-19}
Each using agency shall, at all times, in the form and for the periods prescribed by the director of the Division of Purchase and Property, present to him detailed applications and schedules for all articles to be purchased. The director shall then arrange such schedules or parts thereof for purchase and contract, in the manner best calculated to attract competition and advantageous prices. He shall award contracts or orders for purchase to the lowest responsible bidder meeting all specifications and conditions. He shall have authority to reject any or all bids or to award in whole or in part if deemed to the best interest of the State to do so. In case of tie bids, he shall have authority to award orders or contracts to the vendor or vendors best meeting all specifications and conditions. Public bids shall not be waived except with the written approval of the State Treasurer and except after notice in writing to the State Auditor. The director shall prescribe the terms and conditions for delivery, inspection, payment and all other detail whatsoever.
Upon the award of contracts or orders for purchase, the director of the Division of Purchase and Property shall thereupon make an encumbrance request to the director of the Division of Budget and Accounting in the Department of the Treasury for the amount necessary to defray the cost thereof, indicating the appropriations or authorizations to spend funds against which the contract or purchase order will be charged.
The bills for such purchases shall be apportioned by the director of the Division of Purchase and Property among the using agencies in proportion to the purchases made therefor, and certified as apportioned to the director of the Division of Budget and Accounting, to be charged against the respective appropriations or authorizations to spend as indicated by the certificate of the director of the Division of Purchase and Property. The bills therefor shall be paid by warrant check of the director of the Division of Budget and Accounting and State Treasurer.
Nothing in this section shall be construed to repeal or otherwise affect any law of this State relating to the purchase or use of the products of the labor of the inmates of a charitable, reformatory or penal institution of this State.
##### **§ 52:18A-19.1** Parking purposes, lease of State lands, not needed, for {#sec-52-18a-19.1 omnilex-key=us-nj-statutes--title-52--52:18A-19.1}
The Director of the Division of Purchase and Property in the Department of the Treasury is hereby authorized and empowered to lease, in the name of the State for a nominal consideration, any lands owned by the State, and not needed or used for State purposes, to any municipality of the State, or to any parking authority duly created and organized under and by virtue of chapter one hundred ninety-eight of the laws of one thousand nine hundred and forty-eight, for the use of the same by such municipality or parking authority for public parking purposes for a term not exceeding five years, and upon such terms, covenants and conditions as shall be prescribed by the said director and upon the express condition that if said lands be needed for State purposes at any time prior to the expiration of the term of such lease, the said lands shall be surrendered to the State within thirty days after service of a written notice by said director that the lands so leased are needed for State use.
##### **§ 52:18A-19.2** Division of Architecture, Construction and Maintenance in the Department of Institutions and Agencies, the Commissioner of Institutions and Agencies and the director of such division transferred to Division of Purchase and Property in the Department of the Treasury {#sec-52-18a-19.2 omnilex-key=us-nj-statutes--title-52--52:18A-19.2}
All of the functions, powers, duties, records and property of the Division of Architecture and Construction or Division of Architecture, Construction and Maintenance, by whatever name known, in the Department of Institutions and Agencies, and of the State Board of Control of Institutions and Agencies, the Commissioner of Institutions and Agencies and the director of such division, relating to or concerning said division and the work thereof, are hereby transferred to and vested in the Division of Purchase and Property in the Department of the Treasury, and shall be exercised and used by the director of said Division of Purchase and Property under the direction and supervision of the State Treasurer and pursuant to the provisions of this act and as otherwise provided by law.
##### **§ 52:18A-19.3** Certain terms occurring in sections 30:3-7 to 30:3-11 deemed to mean Director of the Division of Purchase and Property {#sec-52-18a-19.3 omnilex-key=us-nj-statutes--title-52--52:18A-19.3}
Whenever the terms "State Board of Control of Institutions and Agencies," or "Commissioner of Institutions and Agencies" or "Department of Institutions and Agencies" occur or any reference is made thereto in sections 30:3-7 to 30:3-11, inclusive, of the Revised Statutes, and relate to or concern the functions, powers or duties of said agencies and officer pursuant to such sections, and whenever any of such terms occur or any reference is made thereto in any contract or document specified in said sections, the same shall be deemed to mean or refer to the Director of the Division of Purchase and Property in the Department of the Treasury.
##### **§ 52:18A-19.4** Repeal {#sec-52-18a-19.4 omnilex-key=us-nj-statutes--title-52--52:18A-19.4}
The provisions of any and all acts inconsistent with any of the provisions of this act are, to the extent of such inconsistency, hereby repealed.
##### **§ 52:18A-19.5** Cafeteria for State officers and employees {#sec-52-18a-19.5 omnilex-key=us-nj-statutes--title-52--52:18A-19.5}
The Department of the Treasury through the Division of Purchase and Property hereby is authorized to establish, operate and maintain a cafeteria or cafeterias on State property primarily for the use and accommodation of the officers and employees of the State.
##### **§ 52:18A-19.6** State Cafeterias Revolving Account {#sec-52-18a-19.6 omnilex-key=us-nj-statutes--title-52--52:18A-19.6}
There is hereby established in the general State treasury, a State Cafeterias Revolving Account, into which shall be paid from time to time, the receipts obtained from the operation of said cafeteria or cafeterias, which sums, together with all other sums paid into said account, shall be used, to defray the cost of the establishment, maintenance and operation of said cafeteria or cafeterias, including the payment of salaries, the cost of the purchase of supplies and equipment and all other incidental expenses and also to provide for the improvement and extension of the service and facilities of said cafeteria or cafeterias.
##### **§ 52:18A-19.7** Balance on hand; disposition {#sec-52-18a-19.7 omnilex-key=us-nj-statutes--title-52--52:18A-19.7}
The balance remaining on hand after the payment of all expenses and liabilities at the present cafeterias, on the effective date of this act, shall be paid into the State treasury and shall become a part of the State Cafeterias Revolving Account and all of the assets of the present cafeteria or cafeterias shall be conveyed to and become the property of the State on said date.
##### **§ 52:18A-19.8** Warrants {#sec-52-18a-19.8 omnilex-key=us-nj-statutes--title-52--52:18A-19.8}
The State Cafeterias Revolving Account shall be expended by the warrant of the Director of the Division of Budget and Accounting in the Department of the Treasury drawn upon the State Treasurer.
##### **§ 52:18A-19.9** Appropriation of money in State Cafeterias Revolving Account {#sec-52-18a-19.9 omnilex-key=us-nj-statutes--title-52--52:18A-19.9}
All money received into the State treasury for the State Cafeterias Revolving Account during the fiscal year beginning July first, one thousand nine hundred and fifty-one, is hereby appropriated to carry out the purpose of this act for said fiscal year.
##### **§ 52:18A-19.10** Effective date {#sec-52-18a-19.10 omnilex-key=us-nj-statutes--title-52--52:18A-19.10}
This act shall take effect July first, one thousand nine hundred and fifty-one.
##### **§ 52:18A-19.11** Transfer of functions, powers, and duties of state bureau for surplus property from division of field services, state department of education to division of purchase and property in department of treasury {#sec-52-18a-19.11 omnilex-key=us-nj-statutes--title-52--52:18A-19.11}
The State Bureau for Surplus Property, in the Division of Field Services, State Department of Education, together with its functions, powers and duties, is hereby transferred to the Division of Purchase and Property in the Department of the Treasury.
##### **§ 52:18A-19.12** Method of transfer {#sec-52-18a-19.12 omnilex-key=us-nj-statutes--title-52--52:18A-19.12}
The transfer directed by this act will be made in accordance with the "State Agency Transfer Act," P.L.1971, c. 375 (C. 52:14D-1 et seq.).
##### **§ 52:18A-20** Division of Local Government transferred {#sec-52-18a-20 omnilex-key=us-nj-statutes--title-52--52:18A-20}
The Division of Local Government of the existing State Department of Taxation and Finance, together with all of its functions, powers and duties is continued, but such Division is transferred to and constituted the Division of Local Government in the Department of the Treasury established hereunder. The Local Government Board of the Division of Local Government in the existing State Department of Taxation and Finance and all of its functions, powers and duties are hereby transferred to the Division of Local Government established hereunder in the Department of the Treasury. Such board shall continue to have all of the powers and shall exercise all of the functions and duties vested in, or imposed upon, it by law. This act shall not affect the terms of office of the present members of such board. Such board shall continue to be constituted as provided by existing law. Any member of such board may be removed from office by the Governor, for cause, upon notice and opportunity to be heard.
##### **§ 52:18A-21** Director of Division of Local Government {#sec-52-18a-21 omnilex-key=us-nj-statutes--title-52--52:18A-21}
The administrative head of the Division of Local Government shall be the director, who shall be a person qualified by training and experience to direct the work assigned to such division. The director of such division shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve during the term of office of the Governor appointing him and until the director's successor is appointed and has qualified.
The director of the Division of Local Government shall receive such salary as shall be provided by law.
The person in office as director of the Division of Local Government of the existing State Department of Taxation and Finance on the thirtieth day of June, one thousand nine hundred and forty-eight, shall hold the office of director of the Division of Local Government in the Department of the Treasury established hereunder for the period of his term as director of the Division of Local Government in the existing State Department of Taxation and Finance which remains unexpired on the effective date of this act, and until his successor is appointed and has qualified.
##### **§ 52:18A-22** Director to be chairman of Local Government Board {#sec-52-18a-22 omnilex-key=us-nj-statutes--title-52--52:18A-22}
The director of the Division of Local Government shall be the chairman of the Local Government Board in the Division of Local Government.
##### **§ 52:18A-23** Powers and duties of Division of Local Government transferred {#sec-52-18a-23 omnilex-key=us-nj-statutes--title-52--52:18A-23}
The functions, powers and duties of the director of the Division of Local Government of the existing State Department of Taxation and Finance are continued, but such functions, powers and duties are hereby transferred to and vested in the director of the Division of Local Government established hereunder in the Department of the Treasury.
##### **§ 52:18A-24** Division of Taxation transferred; director of such division {#sec-52-18a-24 omnilex-key=us-nj-statutes--title-52--52:18A-24}
The Division of Taxation of the existing State Department of Taxation and Finance, together with all of its functions, powers and duties is continued, but such division is hereby transferred to and constituted the Division of Taxation in the Department of the Treasury established hereunder.
The Division of Taxation shall be headed by a director, who shall be a person qualified by training and experience to direct the work assigned to such division. The director of such division shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve during the term of office of the Governor appointing him and until the director's successor is appointed and has qualified.
The director of the Division of Taxation shall receive such salary as shall be provided by law.
##### **§ 52:18A-24.1** Director of the Division of Taxation; duties {#sec-52-18a-24.1 omnilex-key=us-nj-statutes--title-52--52:18A-24.1}
7. The Director of the Division of Taxation shall:
a. cause copies of the voter registration forms furnished under subsection f. of section 16 of P.L.1974, c.30 (C.19:31-6.4) to be included in the pamphlet of instructions concerning the filing with the division of a tax return required to be filed under the "New Jersey Gross Income Tax Act", P.L.1976, c.47 (N.J.S.54A:1-1 et seq.), and also to be prominently displayed at each public office of the division and to be made readily available to each person who, when appearing in person at that office, may wish, on a voluntary basis, to register to vote. An employee of the division shall inquire of every such person whether the person, if not already registered to vote from the place of his or her present residence, wishes to be so registered and shall inform the person that whether or not the applicant chooses to register will not affect the person's legal obligation under any law administered by the division. The employee shall provide the person with any assistance necessary in completing the form; shall inform the person that the person may leave the completed form with the employee; and, if the person chooses to leave the form, shall accept the completed form, stamp or otherwise mark it with the date on which it was so received, and forward it to the Secretary of State;
b. provide for the continuous supply of the forms and instructions specified in subsection a. of this section to every office of the division which provides assistance to the public with respect to the laws administered by the division;
c. provide the forms and instructions specified in subsection a. of this section in both the English and Spanish languages to each office of the division which provides assistance to the public with respect to the laws administered by the division which is located in any county in which bilingual sample ballots must be provided pursuant to R.S.19:14-21, R.S.19:49-4 or section 2 of P.L.1965, c.29 (C.19:23-22.4); and
d. provide for the collection of completed voter registration forms by any employee of the division who is employed in any office which provides assistance to the public with respect to the laws administered by the division, and for the transmittal of the forms to the Secretary of State.
##### **§ 52:18A-25** Powers and duties of Division of Taxation transferred {#sec-52-18a-25 omnilex-key=us-nj-statutes--title-52--52:18A-25}
The functions, powers and duties of the director of the Division of Taxation of the existing State Department of Taxation and Finance are continued, but such functions, powers and duties are hereby transferred to and vested in the director of the Division of Taxation of the Department of the Treasury established hereunder.
##### **§ 52:18A-25.1** Business registration requirements, computer-based service option, definitions. {#sec-52-18a-25.1 omnilex-key=us-nj-statutes--title-52--52:18A-25.1}
1. a. As used in this act:
“Business” means an individual, partnership, association, joint stock company, trust, corporation, non-profit corporation, or other legal business entity or successor thereof that files business registration documents with the Division of Revenue and Enterprise Services in the Department of the Treasury, but does not include a government agency.
“Official and authoritative notification” means information concerning new statutory or regulatory requirements with which a business is required to comply, including tax and employer requirements, and information on economic incentives, which are determined appropriate for distribution in accordance with this section pursuant to the rules adopted pursuant to subsection f. of this section.
b. (1) A business required to comply with any business registration requirement of the Division of Revenue and Enterprise Service in the Department of the Treasury or any successor agency shall have the option to register for a computer-based service administered or made available by the division for the purpose of receiving official and authoritative notifications electronically from State agencies capable of sending the notifications. The service shall be linked with the division’s online business filing services and shall collect and store electronic mail addresses and other contact information, including cellular telephone numbers, provided by business registrants.
(2) A business that accepts the option to receive electronic notifications pursuant to this subsection shall maintain postal mailing addresses pursuant to the various registry filing statutes for service of process and other forms of notice and contact by the public.
(3) Nothing in this act shall be construed to supersede or modify any statutory requirement that a notice be sent by postal mail or certified mail where that method is expressly required by law.
c. The Division of Revenue and Enterprise Services shall provide the Department of Labor and Workforce Development, Division of Taxation, New Jersey Economic Development Authority, and any other State government agency that sends official and authoritative notices with the electronic addresses and other contact information provided pursuant to subsection b. of this section to allow for the implementation of the provisions of this section and rules and regulations adopted pursuant to this section.
d. Notwithstanding any law, rule, or regulation to the contrary, a business that accepts the option to receive email notifications, pursuant to subsection b. of this section, shall no longer receive paper versions of official and authoritative notifications from the agencies receiving contact information from the division.
e. The division shall allow a business that is registered for the service established under subsection b. of this section to request a cessation of the electronic notifications provided pursuant to subsection b. of this section. Upon receipt of this request, the division shall notify all agencies receiving contact information from the division that the business has elected to cease electronic notifications and that the agencies shall resume sending paper or other forms of communication to the business.
f. The State Treasurer, in consultation with the Commissioner of Labor and Workforce Development, the Director of the Division of Taxation, and the Chief Executive Officer of the New Jersey Economic Development Authority, shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to implement the provisions of this act.
##### **§ 52:18A-27** Powers and duties of State Treasurer transferred to State Treasurer as head of Department of Treasury {#sec-52-18a-27 omnilex-key=us-nj-statutes--title-52--52:18A-27}
The functions, powers and duties of the existing State Treasurer are continued, but such functions, powers and duties are hereby transferred to and vested in the State Treasurer designated as the head of the Department of the Treasury established hereunder.
##### **§ 52:18A-28** State Director of the United New Jersey Railroad and Canal Company {#sec-52-18a-28 omnilex-key=us-nj-statutes--title-52--52:18A-28}
The office of State Director of the United New Jersey Railroad and Canal Company is continued and is hereby constituted an office within the Department of the Treasury established hereunder. The State Treasurer is hereby constituted the State Director of the United New Jersey Railroad and Canal Company and, as such, shall exercise the powers and perform the functions and duties vested in, or imposed upon, the State Director of the United New Jersey Railroad and Canal Company by law.
##### **§ 52:18A-30** State Treasurer, Deputy State Treasurer; additional duties. {#sec-52-18a-30 omnilex-key=us-nj-statutes--title-52--52:18A-30}
30. The State Treasurer, in addition to the functions, powers and duties specifically conferred and imposed upon the position, shall:
(a) Maintain suitable headquarters for the department and such other quarters within the State as he may deem necessary to the department's proper functioning;
(b) Have general responsibility for all of the department's operations under this act;
(c) Supervise the organization of the department and changes in the organization thereof, except that the divisions, boards, commissions and offices, herein specifically provided shall be maintained;
(d) Formulate and adopt rules and regulations for the efficient conduct of the work and general administration of the department, its officers and employees and as may be necessary for the Department of the Treasury to carry out its duties as set forth by law; and
(e) Make an annual report to the Governor and to the Legislature of the department's operations, and render such other reports as the Governor shall from time to time request.
The State Treasurer shall designate as Deputy State Treasurer any officer or employee in the department. Such designation shall be in writing and shall be filed with the Secretary of State. Such designation shall continue in effect until the State Treasurer shall, in the manner herein provided, designate another officer or employee in the department as such Deputy State Treasurer.
The Deputy State Treasurer shall have and exercise the powers and perform the functions and duties of the State Treasurer during the absence or disability of the State Treasurer. The Deputy State Treasurer shall also have and exercise such of the powers and perform such of the functions and duties of the State Treasurer as he shall be authorized and directed by the State Treasurer. Any such authorization and direction shall be in writing, signed by the State Treasurer and filed with the Secretary of State, and shall include a designation of the period during which it shall be and remain in force. No such authorization and direction shall be deemed to preclude the State Treasurer from himself exercising the powers and the performance of the duties included in said authorization and direction. In the event that the State Treasurer shall die, resign or be removed from office, or become disqualified to execute the duties of his office, or a vacancy shall occur in the office of State Treasurer for any cause whatsoever, the person then holding the office of Deputy State Treasurer shall continue to hold such office and shall have and exercise the powers and perform the functions and duties of the State Treasurer until the successor of the State Treasurer shall be appointed and shall qualify.
Notwithstanding any other provision in existing law, the State Treasurer may designate, authorize and direct the Deputy State Treasurer or any other officer or specially designated expert assistant in the department to exercise the power and perform the functions and duties of the State Treasurer as a member of the board of trustees, commission or council vested with the general administration of and responsibility for any employee benefit system, trust, fund, program or plan. Any such authorization and direction shall be in writing, signed by the State Treasurer and filed with the Secretary of State, and shall include a designation of the period during which it shall be and remain in force. No such authorization and direction shall be deemed to preclude the State Treasurer from himself exercising the powers and the performance of the duties included in said authorization and direction.
##### **§ 52:18A-30.1** Destruction of records {#sec-52-18a-30.1 omnilex-key=us-nj-statutes--title-52--52:18A-30.1}
Notwithstanding any other provision of law, the State Treasurer shall have continuing authority to destroy, or dispose of for the purpose of destruction, any and all records under his jurisdiction or custody as head of the Department of the Treasury and classified as (a) auxiliary books of entry, (b) duplicates of books of original entry, and (c) records of a supplemental nature containing data recorded in another book or other books of original entry; provided, that no such record or records shall be destroyed or disposed of for the purpose of destruction unless the entries contained therein were made at least twenty years prior to the date of such destruction or disposal for destruction; and provided further, that the authority herein vested in the State Treasurer shall extend to records at any time separately kept by the State Comptroller before the office of State Comptroller was transferred to and constituted an office in the Department of the Treasury.
##### **§ 52:18A-31** Deputy director of the Division of Budget and Accounting {#sec-52-18a-31 omnilex-key=us-nj-statutes--title-52--52:18A-31}
The State Treasurer shall, whenever he shall deem the same necessary, designate as deputy director of the Division of Budget and Accounting any officer or employee in the department. Such designation shall be in writing and shall be filed with the Secretary of State. The State Treasurer may at any time change or cancel any such designation. Any change or cancellation of such designation shall be in writing and shall be filed with the Secretary of State.
The deputy director of the Division of Budget and Accounting shall have and exercise the powers and perform the functions and duties of the director of the Division of Budget and Accounting during the absence or disability of such director. In the event that the director of such division shall die, resign or be removed from office, or become disqualified to execute the duties of his office, or a vacancy shall occur in the office of the director of the Division of Budget and Accounting for any cause whatsoever, the person then holding the office of deputy director of the Division of Budget and Accounting shall continue to hold such office and shall exercise the powers and perform the functions and duties of the director of the Division of Budget and Accounting until the successor of the director of the Division of Budget and Accounting shall be appointed and shall qualify.
##### **§ 52:18A-32** State Department of Taxation and Finance and State Commissioner of Taxation and Finance; powers and duties transferred {#sec-52-18a-32 omnilex-key=us-nj-statutes--title-52--52:18A-32}
All functions, powers and duties of the existing State Department of Taxation and Finance and of the State Commissioner of Taxation and Finance not transferred or assigned herein to any division, office, agency or officer in the Department of the Treasury established hereunder are continued but such functions, powers and duties are hereby transferred to and vested in the Department of the Treasury established hereunder and shall be exercised and performed by the State Treasurer.
##### **§ 52:18A-33** Personnel, interdepartmental and intradepartmental transfer of {#sec-52-18a-33 omnilex-key=us-nj-statutes--title-52--52:18A-33}
The State Treasurer may, in consultation with the heads of the other departments or branches of the State Government, and subject to the provisions of section forty-four hereof, arrange for the interdepartmental and intradepartmental transfer of personnel with a view to the greatest possible efficiency of departmental operations.
##### **§ 52:18A-34** State Treasurer may exercise any power vested in a director {#sec-52-18a-34 omnilex-key=us-nj-statutes--title-52--52:18A-34}
Any power which may be vested in a director of any division in the Department of the Treasury, except any power which may be exercised by the director of the Division of Budget and Accounting pursuant to any authority contained in section seven, eight, nine, ten, or twelve hereof, may be exercised by the State Treasurer. To the extent that the State Treasurer exercises such power the power of the director shall be superseded.
##### **§ 52:18A-35** Co-ordination of activities of department {#sec-52-18a-35 omnilex-key=us-nj-statutes--title-52--52:18A-35}
The State Treasurer shall co-ordinate the activities of the department. He shall be the request officer of the department within the meaning of such term as defined in chapter one hundred twelve of the laws of one thousand nine hundred and forty-four.
##### **§ 52:18A-36** Removal of director; vacancies {#sec-52-18a-36 omnilex-key=us-nj-statutes--title-52--52:18A-36}
The director of any division in the Department of the Treasury may be removed from office by the Governor, for cause, upon notice and opportunity to be heard.
Any vacancy occurring in the office of director of any division in the department shall be filled in the same manner as the original appointment.
##### **§ 52:18A-37** Oaths; bonds {#sec-52-18a-37 omnilex-key=us-nj-statutes--title-52--52:18A-37}
Before entering upon his duties, the State Treasurer, each division director, any deputy director of the Division of Budget and Accounting, and the deputy State Treasurer shall each make and subscribe an oath, to be filed in the office of the Secretary of State, that he will faithfully, impartially and justly to the best of his ability, perform the duties of his office and carefully preserve all records, papers, writings or property intrusted to him by virtue of his office, and make such disposition of them as may be required by law.
The State Treasurer, each division director, any deputy director of the Division of Budget and Accounting, and the deputy State Treasurer shall each give bond conditioned upon the faithful performance of his duties. The bond of the State Treasurer and the bond of the director of the Division of Budget and Accounting shall be approved by the Governor and shall each be in a sum not less than one hundred thousand dollars ($100,000.00). The bond of any deputy director of the Division of Budget and Accounting and the bond of the deputy State Treasurer shall be approved by the Governor and shall be in a sum not less than fifty thousand dollars ($50,000.00).
The bond of each of the directors of the other divisions in the Department of the Treasury shall be approved by the Governor and shall be in an amount, fixed by the Governor, not exceeding fifty thousand dollars ($50,000.00). The Governor shall have authority to require any other officer or employee of the department to give bond conditioned upon the faithful performance of his duties, which bond shall be approved by the Governor and the amount thereof fixed by him.
The premiums on bonds provided for herein shall be paid by the State.
##### **§ 52:18A-38** Reports, certifications, applications or requests {#sec-52-18a-38 omnilex-key=us-nj-statutes--title-52--52:18A-38}
Unless specifically otherwise provided in this act or by any operative law, whenever, pursuant to existing law, reports, certifications, applications or requests are required or permitted to be made to the department, board, division, commission, office or officer, whose powers and duties are herein assigned or transferred, such reports and certifications shall hereafter be required to be filed with, and such applications or requests shall hereafter be made to, the department, officer or agency to which such assignment or transfer has been made hereunder.
##### **§ 52:18A-39** Transfer of files, books, papers, records, equipment and other property {#sec-52-18a-39 omnilex-key=us-nj-statutes--title-52--52:18A-39}
All files, books, papers, records, equipment and other property of any officer or agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of the Treasury or to any officer or agency designated, continued or constituted hereunder, shall, upon the effective date of this act, be transferred to the department, officer or agency to which such assignment or transfer has been made hereunder.
##### **§ 52:18A-40** Orders, rules and regulations previously made {#sec-52-18a-40 omnilex-key=us-nj-statutes--title-52--52:18A-40}
This act shall not affect the orders, rules and regulations heretofore made or promulgated by any department, officer or agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of the Treasury or to any officer or agency designated, continued or constituted hereunder; but such orders, rules and regulations shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:18A-41** Pending actions or proceedings {#sec-52-18a-41 omnilex-key=us-nj-statutes--title-52--52:18A-41}
This act shall not affect actions or proceedings, civil or criminal, brought by or against any department, officer or agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of the Treasury or to any officer or agency designated, continued or constituted hereunder, and pending on the effective date of this act, but such actions or proceedings may be prosecuted or defended in the same manner and to the same effect by the department, officer or agency to which such assignment or transfer has been made hereunder, as if the foregoing provisions had not taken effect; nor shall any of the foregoing provisions affect any order or recommendation made by, or other matters or proceedings before, any department, officer or agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of the Treasury or to any officer or agency designated, continued or constituted hereunder, and all such matters or proceedings pending before such department, officer or agency on the effective date of this act shall be continued by the department, officer or agency to which such assignment or transfer has been made hereunder, as if the foregoing provisions had not taken effect.
##### **§ 52:18A-42** Transfers of appropriations {#sec-52-18a-42 omnilex-key=us-nj-statutes--title-52--52:18A-42}
To the extent necessary to carry out the intent and provisions of this act, the State Treasurer, with the approval of the Governor, may make transfers of appropriations, in whole or in part, available and to become available to any department, officer or agency affected by the provisions of this act.
##### **§ 52:18A-43** Employees, transfer of {#sec-52-18a-43 omnilex-key=us-nj-statutes--title-52--52:18A-43}
Such employees of any department, office or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of the Treasury or to any office or agency designated, continued or constituted therein, as the head of the department, office or agency to which such functions, powers and duties have been herein assigned or transferred, may determine are needed for the proper performance of the functions and duties imposed upon such department, office or agency, are hereby transferred to the department, office or agency to which such functions, powers and duties have been herein assigned or transferred.
##### **§ 52:18A-44** Tenure, civil service, pension or retirement rights not affected {#sec-52-18a-44 omnilex-key=us-nj-statutes--title-52--52:18A-44}
Nothing in this act shall be construed to deprive any person of any tenure rights or of any right or protection provided him by Title 11 of the Revised Statutes, Civil Service, or under any pension law or retirement system.
##### **§ 52:18A-45** Terms of office expiring on effective date {#sec-52-18a-45 omnilex-key=us-nj-statutes--title-52--52:18A-45}
The term of office of the present State Commissioner of Taxation and Finance shall expire on the effective date of this act.
The term of office of the present State Director of the United New Jersey Railroad and Canal Company shall expire on the effective date of this act.
##### **§ 52:18A-46** Terms defined; references to. {#sec-52-18a-46 omnilex-key=us-nj-statutes--title-52--52:18A-46}
46. Whenever the term "State Treasurer" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the State Treasurer designated as the head of the Department of the Treasury established hereunder.
Whenever the term "State Director of the United New Jersey Railroad and Canal Company" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the State Treasurer designated as the head of the Department of the Treasury established hereunder.
Whenever the term "State Comptroller" or "Comptroller of the Treasury" occurs or any reference is made thereto in any law, contract or document, the same, from July 1, 1948, the effective date of the "Department of the Treasury Act of 1948," P.L.1948, c.92 (C.52:18A-1 et seq.), until the effective date of P.L.2007, c.52 (C.52:15C-1 et al.), shall be deemed to mean or refer to the Director of the Division of Budget and Accounting in the Department of the Treasury established pursuant to P.L.1949, c.92 (C.52:18A-1 et seq.).
Whenever the term "Division of Purchase and Property in the State Department of Taxation and Finance" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Division of Purchase and Property in the Department of the Treasury established hereunder.
Whenever the term "Director of the Division of Purchase and Property in the State Department of Taxation and Finance" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Director of the Division of Purchase and Property in the Department of the Treasury established hereunder.
Whenever the term "Division of Local Government in the State Department of Taxation and Finance" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Division of Local Government Services in the Department of Community Affairs established hereunder.
Whenever the term "Director of the Division of Local Government in the State Department of Taxation and Finance" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Director of the Division of Local Government Services in the Department of Community Affairs.
Whenever the term "Local Government Board of the Division of Local Government in the State Department of Taxation and Finance" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Local Finance Board of the Division of Local Government Services in the Department of Community Affairs.
Whenever the term "Division of Taxation in the State Department of Taxation and Finance" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Division of Taxation in the Department of the Treasury established hereunder.
Whenever the term "Director of the Division of Taxation in the State Department of Taxation and Finance" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Director of the Division of Taxation in the Department of the Treasury established hereunder.
Whenever the term "New Jersey Racing Commission" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the New Jersey Racing Commission constituted the Division of the New Jersey Racing Commission established hereunder in the Department of the Treasury.
Whenever the term "State Commission of Taxation and Finance" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the State Treasurer designated as the head of the Department of the Treasury established hereunder.
##### **§ 52:18A-47** Repeal {#sec-52-18a-47 omnilex-key=us-nj-statutes--title-52--52:18A-47}
Sections 52:18-1 to 52:18-4, inclusive, 52:18-6, 52:18-7, 52:18-9, 52:18-12, 52:19-1, 52:19-3, 52:19-4, and 52:19-6 to 52:19-9, inclusive, of the Revised Statutes, are hereby repealed.
In addition, all acts and parts of acts inconsistent with any of the provisions of this act are, to the extent of such inconsistency, hereby repealed.
##### **§ 52:18A-48** Short title {#sec-52-18a-48 omnilex-key=us-nj-statutes--title-52--52:18A-48}
This act shall be known as, and may be cited as, the "Department of the Treasury Act of 1948."
##### **§ 52:18A-49** Effective date; prior appointments {#sec-52-18a-49 omnilex-key=us-nj-statutes--title-52--52:18A-49}
This act shall take effect on the first day of July, one thousand nine hundred and forty-eight, except that any appointment, and any confirmation or approval of any appointment, permitted by this act may be made prior to such date.
##### **§ 52:18A-49.1** LGBTQ+ business certification, unified procedure; definitions. {#sec-52-18a-49.1 omnilex-key=us-nj-statutes--title-52--52:18A-49.1}
1. a. The Department of the Treasury shall establish, consistently with Executive Order No. 295 of 2022, a unified procedure for the certification of a business as an LGBTQ+ business. In establishing and administering the procedure required by this section, the department shall ensure that the application for certification process is clear, concise, and does not require duplication of effort on the part of the applicant.
b. The department shall:
(1) establish criteria to be used:
(a) to determine the status of a business as an LGBTQ+ business;
(b) to deny or revoke the certification of an LGBTQ+ business; and
(c) by a third party challenging the qualifications of an applicant to be certified as an LGBTQ+ business;
(2) establish an appeal process for an LGBTQ+ business challenging the denial or revocation of the certification;
(3) provide a single form of application for certification, which form shall be written in plain language, and include instructions as to the certification procedure and any additional documents or information required to be supplied by the applicant;
(4) on no less than an annual basis, verify the status of each certified business to ensure continued compliance with the criteria for certification and control by the appropriate persons; and
(5) compile, maintain, and make available to the public, government agencies, and other organizations lists of certified LGBTQ+ businesses.
c. A business may submit an application for certification as an LGBTQ+ business to the department at any time.
d. A business may submit to the department, in writing, a request to withdraw an application for certification as an LGBTQ+ business. A business may submit a request to withdraw an application one time within a 12-month period. A request to withdraw an application shall not be relevant to the department's consideration of a subsequent application submitted by that business. A business may submit a new application for certification following the passage of 90 calendar days after the date the business submitted a request to withdraw an application, but no more frequently than three times within a calendar year.
e. An applicant for certification pursuant to this section shall accurately and honestly supply all information required by the department. A certified LGBTQ+ business shall notify the department, as soon as possible, of changed circumstances that may impact the ownership composition of the business, control of the business, or otherwise affect the business's eligibility for certification pursuant to this section. The department shall revoke the certification of a business which fails to report a changed circumstance pursuant to this subsection.
f. The department may enter into a reciprocal agreement with, or accept the certification of, one or more public or private certifying entities in order to facilitate the development and growth of LGBTQ+ businesses, provided that the quality of the program established by each other certifying entity is substantially similar to the department's program of certifying LGBTQ+ businesses. The department shall document each reciprocal agreement it enters into, and each entity from which the department accepts certifications, by posting identifying information of the department's Internet website, which shall include: the name of each other certifying entity, the date the department starts accepting certifications from each other entity, and a link to each other certifying entity's Internet website.
g. Information and documents that a business submits to the department as part of the business's application for certification as an LGBTQ+ business shall be deemed confidential, unless otherwise required to be accessible pursuant to applicable federal or State law. Subject to confidentiality limitations pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.), the department may make available, during an appeal pursuant to this section, the information and documents a business has submitted to the department as part of the business's application for certification as an LGBTQ+ business. Information required to be disclosed for purposes of listing certified LGBTQ+ businesses pursuant to subsection b. of this section shall not be deemed confidential.
h. As used in this section:
"Appeal" means a filed written challenge to a denial or revocation of a certification as an LGBTQ+ business.
"Applicant" means a business that applies for certification as an LGBTQ+ business pursuant to this section.
"Business" means an entity organized for profit which includes, but is not limited to, a sole proprietorship, partnership, limited liability company, corporation, or joint venture.
"Certification" means a determination by the department that an applicant has met the standards for certification as an LGBTQ+ business, pursuant to this section.
"Department" means the Department of the Treasury.
"Executive Order No. 295" means Executive Order No. 295 (2022), issued by Governor Murphy on May 3, 2022.
"LGBTQ+" means lesbian, gay, bisexual, transgender, queer, questioning +, or other gender identities and sexual orientations that are non-cisgender and non-heterosexual.
"LGBTQ+ business" means a business, which is:
a sole proprietorship owned and controlled by a person who identifies as LGBTQ+;
a partnership or joint venture, in which at least 51 percent of the ownership interest is held by individuals who identify as LGBTQ+ and the management and daily business operations are controlled by one or more of the individuals who identify as LGBTQ+; or
a corporation or other entity, the management and daily business operations of which are controlled by one or more individuals who identify as LGBTQ+ and of which at least 51 percent of the legal beneficial ownership is held by one or more individuals who identify as LGBTQ+.
##### **§ 52:18A-50** Definitions {#sec-52-18a-50 omnilex-key=us-nj-statutes--title-52--52:18A-50}
As used in this act, the following words and terms shall have the following meanings, unless the context shall indicate another or different meaning or intent:
a. The word "Authority" shall mean the State Building Authority created by section two of this act.
b. The word "project" shall mean any building or buildings referred to in section three of this act which may be acquired, leased, constructed or improved by the Authority pursuant to the provisions of this act and all property constituted the same, and shall include all structures and parking facilities and other appurtenances and facilities together with all property rights, easements and interests in property which may be acquired by the Authority for the construction or improvement of any such project.
c. The word "bonds" shall mean bonds of the Authority authorized under the provisions of this act.
d. The word "person" shall mean any person, association, corporation, State or any agency or subdivision thereof.
##### **§ 52:18A-51** Creation of Authority {#sec-52-18a-51 omnilex-key=us-nj-statutes--title-52--52:18A-51}
There is hereby created and established in the Department of the Treasury, a body corporate and politic with corporate succession, to be known as the "State Building Authority." The Authority is hereby constituted an instrumentality exercising public and essential governmental functions, and the exercise by the Authority of the powers conferred by this act shall be deemed and held to be an essential governmental function of the State.
##### **§ 52:18A-52** General purpose of Authority {#sec-52-18a-52 omnilex-key=us-nj-statutes--title-52--52:18A-52}
The Authority is created for the purpose of acquiring, constructing, maintaining, equipping, furnishing, repairing and operating a State office building in the city of Trenton, an administrative building or buildings for the use of the offices of the State Department of Education and a library building for the use of the State Department of Education on the campus of the New Jersey State Teachers College at Trenton, a dormitory building or buildings on the campus of the State University of New Jersey maintained by the trustees of Rutgers College in New Jersey, a building, or buildings, on the campus of Newark College of Engineering for the purposes of instruction, motor vehicle inspection stations at a site or sites specified by the Director of the Division of Motor Vehicles and approved by the Attorney-General and the State House Commission, State Police barracks at a site or sites specified by the Superintendent of State Police and approved by the Attorney-General and the State House Commission, and housing for employees of State institutions operated by the Department of Institutions and Agencies at a site or sites specified by the Commissioner of Institutions and Agencies and approved by the State Board of Control of Institutions and Agencies and the State House Commission. The Authority shall lease or otherwise contract for the use of space in projects or parts thereof, but such leases shall be only to, and such contracts only with, the State or any departments, agencies, and instrumentalities of the State.
##### **§ 52:18A-53** Appointment and terms of members {#sec-52-18a-53 omnilex-key=us-nj-statutes--title-52--52:18A-53}
The Authority shall consist of three members, each of whom shall be a citizen of the United States and a resident of the State. Each member of the Authority shall be appointed by the Governor with the advice and consent of the Senate, for a term of five years, and shall serve until his successor is appointed and has qualified; except that the initial appointments shall be for terms of two, three and five years, and the Governor shall designate which of such members shall have such terms of two, three and five years. Each member of the Authority, before entering upon his duties, shall take and subscribe to an oath or affirmation to support the Constitutions of the State and of the United States, and to perform the duties of his office faithfully, impartially and justly, to the best of his ability, and shall file a record of such oath or affirmation in the office of the Secretary of State.
##### **§ 52:18A-54** Vacancies {#sec-52-18a-54 omnilex-key=us-nj-statutes--title-52--52:18A-54}
Any vacancy in the membership of the Authority other than by expiration of term, shall be filled in the same manner as the original appointment but for the unexpired term only.
##### **§ 52:18A-55** Removal {#sec-52-18a-55 omnilex-key=us-nj-statutes--title-52--52:18A-55}
Each member of the Authority may be removed from office by the Governor for cause after a public hearing.
##### **§ 52:18A-56** Members to serve without compensation {#sec-52-18a-56 omnilex-key=us-nj-statutes--title-52--52:18A-56}
The members of the Authority shall not receive compensation of the Authority for their services as members of the Authority. Each member shall be reimbursed by the Authority for his actual expenses properly incurred in the performance of his duties.
##### **§ 52:18A-57** Quorum {#sec-52-18a-57 omnilex-key=us-nj-statutes--title-52--52:18A-57}
The powers of the Authority shall be vested in the members in office from time to time and shall be exercised by them without regard or reference to any officer or agency of the State, except as otherwise expressly provided in this act. Two members of the Authority shall constitute a quorum and the vote of two members shall be necessary for any action taken by the Authority. No vacancy in the membership of the Authority shall impair the right of a quorum to exercise all the rights and powers and perform all the duties of the Authority.
##### **§ 52:18A-58** Officers {#sec-52-18a-58 omnilex-key=us-nj-statutes--title-52--52:18A-58}
The Governor shall designate one of the members of the Authority as chairman thereof and another member as vice-chairman thereof. The chairman and vice-chairman of the Authority so designated shall serve as such at the pleasure of the Governor and until their respective successors have been designated. The Authority shall appoint a secretary and a treasurer and such other officers as it shall determine, none of whom need be members of the Authority.
Before the issuance of any bonds under the provisions of this act, the secretary and the treasurer and each member of the Authority shall each execute a surety bond in the penal sum of twenty-five thousand dollars ($25,000.00) conditioned upon the faithful performance of the duties of the office of secretary or treasurer, or member, as the case may be, and executed by a surety company authorized to transact business in the State of New Jersey as surety. Each such bond shall be submitted to the Attorney-General for his approval and upon his approval shall be filed in the office of the Secretary of State prior to the issuance of any bonds by the Authority. At all times after the issuance of any bonds by the Authority the secretary and treasurer and each member shall maintain such surety bonds in full force and effect. All costs of such surety bonds shall be borne by the Authority.
##### **§ 52:18A-59** General powers {#sec-52-18a-59 omnilex-key=us-nj-statutes--title-52--52:18A-59}
The Authority shall have power:
a. to sue and be sued in its own name;
b. to adopt a seal and alter the same at pleasure;
c. to adopt by-laws for the regulation of its affairs and the conduct of its business;
d. to maintain an office or offices at such place or places within or without the State as it may designate;
e. to appoint such officers, who need not be members of the Authority, in addition to a secretary and a treasurer, as the Authority shall deem advisable, and to employ consulting engineers, accountants, construction and financial experts, superintendents, managers, and such other employees and agents as may be necessary or desirable in its judgment; to fix their compensation; and to promote and discharge such officers, employees and agents; all without regard to the provisions of Title 11, Civil Service, of the Revised Statutes; to utilize for a limited time the services of such employees of the State as may be loaned by the State to the Authority and to fix and pay their compensation during such period; provided, that such service by any such employee shall not affect his civil service status or pension rights and that at the end of said period or any extension thereof, he shall be returned to his position in the State's service;
f. to acquire in the name of the Authority, hold and dispose of personal property in the exercise of its powers and the performance of its duties under this act;
g. to issue bonds of the Authority and to provide for the rights of the holders thereof as provided in this act;
h. to acquire in the name of the Authority by purchase or otherwise on such terms and conditions and in such manner as it may deem proper, or by the exercise of the power of eminent domain as provided in this act, any land and other property which it may determine is reasonably necessary for any project, including public lands, parks, playgrounds, reservations, highways or parkways owned by or in which any county or municipality has any right, title or interest, and including any land devoted to public use, and any or all rights, title and interests in such land and other property or parts thereof, and any fees simple absolute in, easements upon, or the benefit of restrictions upon the abutting property to preserve and protect any project; and to hold and use the same and to sell, convey, lease or otherwise dispose of property so acquired, no longer necessary for the Authority's corporate purposes;
i. subject to approval by the Governor to apply for and accept any grant of money from the Federal Government to meet any expenses connected with the purposes of this act and to subscribe to and comply with any rule or regulation made by the Federal Government with respect to the application of such grant; and to enter into and perform any contract or agreement with respect to the application of such grant;
j. to make, enter into and perform all contracts and agreements necessary or incidental to the performance of its duties and the execution of its powers under this act; and
k. to do all acts and things necessary or convenient to carry out the powers expressly granted in this act.
##### **§ 52:18A-60** Additional powers {#sec-52-18a-60 omnilex-key=us-nj-statutes--title-52--52:18A-60}
The Authority shall have power in particular:
a. to acquire, construct, maintain, equip, furnish, repair and operate a project or projects;
b. to lease any project or part thereof, to contract for the use of any space in any project and to contract for services to be rendered by the Authority in connection with any project but such leases shall be only to, and such contracts only with, the State or any departments, agencies, and instrumentalities of the State;
c. to establish, alter, charge and collect rents and other charges for the use of any project or part thereof or for any services rendered by the Authority in connection therewith at reasonable rates to be determined by the Authority for the purpose of providing for the payment of the expenses of the Authority, the construction, improvement, repair, equipping, furnishing, maintaining and operation of its facilities and properties; the payment of the principal of and interest on its obligations and to fulfill the terms and provisions of any agreements made with the purchasers or holders of any such obligations;
d. to establish rules and regulations for the use of any project.
##### **§ 52:18A-61** Power of state departments, agencies and instrumentalities to contract with the Authority {#sec-52-18a-61 omnilex-key=us-nj-statutes--title-52--52:18A-61}
Any department or agency and any instrumentality of the State by proper resolution or act, or acting by or through its director or other chief executive officer, may enter into any lease with the Authority for any project or part thereof, or any contract with the Authority for the use of any space in any project, or any contract with the Authority for the services to be rendered by the Authority in connection with any project, for such period of time, specified or unlimited, and upon such terms and conditions as are deemed necessary in order to provide the space or service contemplated by such lease or contract. Any such lease or contract may provide for the payment by the department, agency, or instrumentality of the State, of any rents or other charges to the Authority and may be made for a specified or an unlimited time and on any terms and conditions which may be approved by the department, agency, or instrumentality of the State, and which may be agreed to by the Authority. Such department, agency or instrumentality of the State is hereby authorized and directed to do and perform any and all acts or things necessary, convenient or desirable to carry out and perform every such contract and to provide for the payment or discharge of any obligation thereunder in the same manner as other obligations of such department, agency, or instrumentality of the State. Any such contract shall be valid and binding upon the department, agency, or instrumentality of the State, notwithstanding that no appropriation was made or provided to cover the cost or estimated cost of the contract.
##### **§ 52:18A-62** Power of counties and municipalities to convey or lease real property {#sec-52-18a-62 omnilex-key=us-nj-statutes--title-52--52:18A-62}
Notwithstanding the restrictions of any other laws, any county by county resolution, and any municipality by municipal ordinance, may, with or without consideration, convey or lease or contract to convey or lease to or with the Authority any lands or interest therein or improvements thereon, or any lands previously devoted to public use or any interests in such lands, on such terms and conditions as the county or municipality may approve and the Authority accept.
##### **§ 52:18A-65** Condemnation {#sec-52-18a-65 omnilex-key=us-nj-statutes--title-52--52:18A-65}
Upon the exercise by the Authority of the power of eminent domain pursuant to paragraph h of section ten of this act, the compensation to be paid thereunder shall be ascertained and paid in the manner provided in chapter one of Title 20 of the Revised Statutes in so far as the provisions thereof are applicable and not inconsistent with the provisions contained in this act.
Upon the filing of the complaint in the action for condemnation or at any time thereafter the Authority may file with the Clerk of the Superior Court a declaration of taking, signed by the Authority, declaring that possession of one or more of the tracts or parcels of land or property described in the complaint is thereby being taken by and for the use of the Authority. The said declaration of taking shall be sufficient if it sets forth (1) a description of each tract or parcel of land or property to be so taken, sufficient for the identification thereof, to which there may or may not be attached a plan or map thereof; (2) a statement of the estate or interest in the said land or property being taken; (3) a statement of the sum of money estimated by the Authority by resolution to be just compensation for the taking of the estate or interest in each tract or parcel of land or property described in said declaration; and (4) that, in compliance with the provisions of this act, the Authority has established and is maintaining a trust fund as hereinafter provided.
Upon the filing of the said declaration, the Authority shall, with leave of court, deposit with the clerk of the court the amount of the estimated compensation stated in said declaration. In addition to the said deposits with the clerk the Authority at all times shall maintain a special trust fund on deposit with a bank or trust company doing business in this State in an amount at least equal to twice the aggregate amount deposited with the Clerk of the Superior Court as estimated compensation for all property described in declarations of taking with respect to which the compensation has not been finally determined and paid to the persons entitled thereto or into court. The Authority shall be entitled to withdraw from said trust fund from time to time so much as may then be in excess of twice such aggregate amount. Said trust fund shall consist of cash or securities readily convertible into cash constituting legal investments for trust funds under the laws of this State. Said trust fund shall be held solely to secure and may be applied to the payment of just compensation for the land or other property described in such declaration of taking.
Upon the filing of the said declaration as aforesaid and the deposit with the Clerk of the Superior Court of the amount of the estimated compensation stated in said declaration, the Authority, without other process or proceeding, shall be entitled to the exclusive possession and use of each tract of land or property described in said declaration and may forthwith enter into and take possession of said land or property, it being the intent of this provision that the action for fixing compensation or any other proceeding relating to the taking of said land or interest therein or other property shall not delay the taking of possession thereof and the use thereof by the Authority for the purpose or purposes for which the Authority is authorized by law to acquire or condemn such land or other property or interest therein.
The Authority shall cause notice of the filing of said declaration and the making of said deposit to be served, as the court shall prescribe, upon each party to the action for condemnation, but not until after the filing of the declaration and the making of the deposit. Upon the application of any party in interest and after notice to other parties in interest, including the Authority, the court may direct that the money deposited with the clerk of the court or any part thereof be paid forthwith to the person or persons entitled thereto for or on account of the just compensation to be adjudged to be due him in the action for condemnation; provided, that each such person shall have filed with the clerk of the court a consent in writing that, in the event the amount adjudged to be due him in the condemnation action shall be less than the amount deposited, the court, after notice as herein provided and hearing, may determine his liability, if any, for the return of such difference or any part thereof and enter judgment therefor. If the amount adjudged to be due him shall exceed the amount so deposited, he shall be entitled to recover from the Authority the excess with interest at the rate of six per centum (6%) per annum thereon from the date of making the deposit. If the amount adjudged to be due him shall be less than the amount so deposited, the clerk of the court shall return the difference between such amounts unless the amount of the deposit or any part thereof shall have theretofore been distributed, in which event the court, after such notice as it shall prescribe and an opportunity to be heard, shall enter judgment in favor of the Authority for such difference against the party or parties liable for the return thereof.
##### **§ 52:18A-66** Bonds {#sec-52-18a-66 omnilex-key=us-nj-statutes--title-52--52:18A-66}
(a) The Authority shall have the power is hereby authorized from time to time to issue its negotiable bonds for any of its corporate purposes and, whenever it deems refunding expedient to refund any bonds issued by it by the issuance of refunding bonds, whether the bonds to be refunded have or have not matured, and may issue bonds partially to refund bonds then outstanding and partially for any other of its corporate purposes. The refunding bonds may be exchanged for the bonds to be refunded with such cash adjustments as may be agreed, or may be sold and the proceeds applied to the purchase, redemption or payment of the bonds to be refunded, including interest thereon and any redemption premium payable thereon.
(b) Except as may be otherwise expressly provided by the Authority, every issue of bonds shall be general obligations payable out of any moneys or revenues of the Authority, subject only to any agreements with the holders of particular bonds pledging any particular moneys or revenues.
(c) Whether or not bonds issued by the Authority are of such form and character as to be negotiable instruments, such bonds shall be fully negotiable within the meaning and for all the purposes of the Negotiable Instruments Law subject only to any provisions of the bonds for registration.
(d) The Authority may issue temporary or interim bonds, pending the preparation of definitive bonds, exchangeable for definitive bonds.
(e) Bonds shall be authorized by resolution of the Authority and shall bear such date or dates, mature at such time or times, bear interest at such rate or rates not exceeding six per centum (6%) per annum, be in such denominations, be in such form either coupon or registered, carry such registration privileges, be executed in such manner, be payable in such medium of payment and at such place or places, and be subject to such terms of redemption with or without premium as such resolution or resolutions may provide. Bonds may be sold at public or private sale, for such price or prices as the Authority shall determine.
(f) Any resolution of the Authority authorizing the issuance of bonds may appoint a trustee or trustees, a paying agent or paying agents, or such other fiduciaries as such resolution may provide. Any trustee, paying agent and other fiduciary so appointed may be any trust company or bank having the powers of a trust company within or without the State.
(g) In order to secure the payment of its bonds, the Authority shall have power in the resolution authorizing the issuance of the bonds (which shall constitute a contract with the bondholders);
(i) to pledge all or any part of its rents or revenues to which its right then exists or may thereafter come into existence, and the moneys derived therefrom, and the proceeds of bonds;
(ii) to covenant against pledging all or any part of its rents or revenues, or against mortgaging all or any part of its real or personal property then owned or thereafter acquired, or against permitting or suffering any lien or such rents, revenues or property; to covenant with respect to limitations on its right to sell, lease or otherwise dispose of any project or any part thereof, or any property of any kind;
(iii) to covenant as to the bonds to be issued and the limitations thereon and the terms and conditions thereof and as to the custody, application and disposition of the proceeds thereof, and to covenant as to the issuance of additional bonds or as to limitations on the issuance of additional bonds and on the incurring of other debts by it;
(iv) to covenant as to the payment of the principal of or interest on the bonds, or any other obligations, as to the sources and methods of such payment, as to the rank or priority of any such bonds or obligations with respect to any lien or security or as to the acceleration of the maturity of any such bonds or obligations;
(v) to provide for the replacement of lost, destroyed or mutilated bonds;
(vi) to covenant against extending the time for the payment of bonds or interest thereon;
(vii) to covenant as to the redemption of bonds and to provide for the redemption premiums and other terms and conditions thereof;
(viii) to covenant as to the rates of rents and other charges to be established and charged, the amount to be raised each year or other period of time by rents or other revenues and as to the use and disposition to be made thereof; to create or authorize the creation of special funds or moneys to be held in pledge or otherwise for construction, operating expenses, payment or redemption of bonds, reserves or other purposes and to covenant as to the use and disposition of the moneys held in such funds;
(ix) to establish the procedure, if any, by which the terms of any contract or covenant with or for the benefit of the bondholders may be amended or abrogated, the amount of bonds the holders of which must consent thereto, and the manner in which such consent may be given;
(x) to covenant as to the maintenance of its real and personal property, the replacement thereof, the insurance to be carried thereon, and the use and disposition of insurance moneys;
(xi) to provide for the rights and liabilities, powers and duties arising upon the breach of any covenant, condition or obligation; to prescribe the events of default and the terms and conditions upon which any or all of the bonds shall become or may be declared due and payable before maturity and the terms and conditions upon which any such declaration and its consequences may be waived;
(xii) to vest in a trustee or trustees such property, rights, powers and duties in trust for the bondholders, as the Authority may determine, which may include any or all of the rights, powers and duties of the statutory trustee appointed by the holders of bonds pursuant to paragraph (b) of the next following section of this act; to limit or abrogate the rights of the holders of such bonds to appoint such statutory trustee, or to limit the rights, duties and powers of such statutory trustee;
(xiii) to limit the rights of the bondholders to enforce any pledge or covenant securing the bonds; and
(xiv) to make covenants other than and in addition to the covenants herein expressly authorized, of like or different character; and to make such covenants to do or refrain from doing such acts and things as may be necessary or convenient or desirable in order to better secure the bonds or which, in the absolute discretion of the Authority, will tend to make the bonds more marketable, notwithstanding that such covenants, acts or things may not be enumerated herein;
(h) Any pledge of rents or other revenues or other moneys made by the Authority shall be valid and binding from the time when the pledge is made; the rents or other revenues or other moneys so pledged and thereafter received by the Authority shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act, and the lien of any such pledge shall be valid and binding as against all parties having claims of any kind in tort, contract or otherwise against the Authority, irrespective of whether such parties have notice thereof. Neither the resolution nor any other instrument by which a pledge is created need by filed or recorded except in the records of the Authority.
(i) Bonds may be issued under the provisions of this act without obtaining the consent of any department, division, commission, board, bureau or agency of the State, and without any other proceeding or the happening of any other conditions or things than those proceedings, conditions or things which are specifically required by this act.
(j) The Authority shall not have power to mortgage real property.
(k) Moneys of the Authority or moneys held in pledge or otherwise for the payment of bonds or in any way to secure bonds and deposits of such moneys may be secured in such manner as the Authority may require and all banks and trust companies are authorized to give such security therefor.
(l) Neither the members of the Authority nor any person executing the bonds shall be liable personally on the bonds or be subject to any personal liability or accountability by reason of the issuance thereof.
(m) The Authority shall have the power to purchase bonds out of any funds available therefor. The Authority may hold, cancel or resell such bonds subject to and in accordance with agreements with bondholders.
##### **§ 52:18A-67** Remedies and statutory trustees {#sec-52-18a-67 omnilex-key=us-nj-statutes--title-52--52:18A-67}
(a) The provisions of this section shall be applicable to an issue of bonds authorized or issued by the Authority only if the resolution of the Authority authorizing or providing for the issuance of such bonds shall provide in substance that the holders of the bonds of such issue shall be entitled to the benefits and be subject to the provisions of this section.
(b) In the event that there shall be a default in the payment of principal of or interest on any bonds of such issue after the same shall become due, whether at maturity or upon call for redemption, and such default shall continue for a period of thirty days, or in the event that the Authority shall fail or refuse to comply with the provisions of this act or shall fail or refuse to carry out and perform the terms of any contract or covenant with or for the benefit of the holders of any of such bonds, and such failure or refusal shall continue for a period of thirty days after written notice by any holder of bonds of such issue or by a trustee for bondholders to the Authority of its existence and nature, the holders of twenty-five per centum (25%) in aggregate principal amount of the bonds of such issue then outstanding by instrument or instruments filed in the office of the Secretary of State and proved or acknowledged in the same manner as a deed to be recorded, may appoint a statutory trustee to represent the holders of the bonds of such issue for the purposes provided in this section.
(c) Such statutory trustee may and upon written request of the holders of twenty-five per centum (25%) in aggregate principal amount of the bonds of such issue then outstanding shall, in his or its own name:
(i) by civil action in lieu of prerogative writ or by any other civil action or suit, enforce all rights of the holders of such bonds, including the right to require the Authority to charge and collect rents and other revenues adequate to carry out any contract as to, or pledge of, such rents and revenues, and to require the Authority to carry out and perform the terms of any contract or covenant with or for the benefit of the holders of such bonds or its duties under this act;
(ii) bring action or suit upon all or any part of such bonds or interest coupons or claims appurtenant thereto;
(iii) by action or suit require the Authority to account as if it were the trustee of an express trust for the holders of such bonds;
(iv) by action or suit enjoin any acts or things which may be unlawful or in violation of the covenants of the Authority or the rights of the holders of such bonds; or
(v) declare all such bonds due and payable, whether or not in advance of maturity, upon thirty days' prior notice in writing to the Authority and if all defaults shall be made good, then with the consent of the holders of twenty-five per centum (25%) of the principal amount of such bonds then outstanding, to annual such declaration and its consequences.
(d) Before declaring the principal of all such bonds due and payable the trustee shall first give thirty days' notice in writing to the Authority.
(e) Any such trustee, whether or not the issue of bonds represented by such trustee has been declared due and payable, shall be entitled as of right to the appointment of a receiver of any part or parts of the project the rents or other revenues of which are pledged for the security of the bonds of such issue and such receiver may enter and take possession of such part or parts of the project and subject to any pledge or agreement with bondholders shall take possession of all moneys and other property derived from or applicable to the construction, operation, maintenance and reconstruction of such part or parts of the project and proceed with any construction thereon which the Authority is under obligation to do and to operate, maintain and reconstruct such part or parts of the project and collect and receive all rents and other revenues thereafter arising therefrom subject to any pledge thereof or agreement with bondholders relating thereto and perform the public duties and carry out the agreements and obligations of the Authority under the direction of the court. In any suit, action or proceeding by the trustee the fees, counsel fees and expenses of the trustee and of the receiver, if any, shall constitute taxable disbursements and all costs and disbursements allowed by the court shall be a first charge on any rents and other revenues derived from such project.
(f) Such trustee shall, in addition to the foregoing, have and possess all of the powers necessary or appropriate for the exercise of any functions specifically set forth herein or incident to the general representation of bondholders in the enforcement and protection of their rights.
##### **§ 52:18A-68** Credit of State and political subdivisions not pledged {#sec-52-18a-68 omnilex-key=us-nj-statutes--title-52--52:18A-68}
Bonds under the provisions of this act shall not be deemed to constitute a debt or liability of the State or of any political subdivision thereof or a pledge of the faith and credit of the State or of any such political subdivision. All such bonds shall contain on the face thereof a statement to the effect that neither the State nor any political subdivision thereof is pledged to pay the same or the interest thereon and that neither the faith and credit nor the taxing power of the State, or of any political subdivision thereof is pledged to the payment of the principal of or the interest on such bonds.
##### **§ 52:18A-69** Agreement of State {#sec-52-18a-69 omnilex-key=us-nj-statutes--title-52--52:18A-69}
The State of New Jersey does pledge to and agree with the holders of the bonds issued pursuant to authority contained in this act, that the State will not limit or restrict the rights hereby vested in the Authority to maintain, construct, reconstruct and operate any project as defined in this act or to establish and collect such rents, fees, receipts or other charges as may be convenient or necessary to produce sufficient revenues to meet the expenses of maintenance and operation thereof and to fulfill the terms of any agreements made with the holders of bonds authorized by this act or in any way impair the rights or remedies of the holders of such bonds until the bonds, together with interest thereon, are fully paid and discharged.
##### **§ 52:18A-70** Exemption from taxation {#sec-52-18a-70 omnilex-key=us-nj-statutes--title-52--52:18A-70}
The exercise of the powers granted by this act will be in all respects for the benefit of the people of the State, and as the operation and maintenance of projects by the Authority will constitute the performance of a governmental function, the Authority shall not be required to pay any taxes or assessments upon any project acquired or used by the Authority under the provisions of this act or upon the income therefrom, and any project and any property acquired or used by the Authority under the provisions of this act and the income therefrom, and the bonds issued under the provisions of this act, their transfer and the income therefrom (including any profit made on the sale thereof) shall be exempt from taxation.
##### **§ 52:18A-71** Bonds eligible for investment {#sec-52-18a-71 omnilex-key=us-nj-statutes--title-52--52:18A-71}
Bonds issued by the Authority under the provisions of this act are hereby made securities in which the State and all political subdivisions of this State, their officers, boards, commissions, departments or other agencies, all banks, bankers, savings banks, trust companies, savings and loan associations, investment companies and other persons carrying on a banking business, all insurance companies, insurance associations, and other persons carrying on an insurance business, and all administrators, executors, guardians, trustees and other fiduciaries, and all other persons whatsoever who now are or may hereafter be authorized to invest in bonds or other obligations of the State, may properly and legally invest any funds, including capital belonging to them or within their control; and said bonds or other securities or obligations are hereby made securities which may properly and legally be deposited with and received by any State or municipal officers or agency of the State for any purpose for which the deposit or bonds or other obligations of the State is now or may hereafter be authorized by law.
##### **§ 52:18A-72** Annual report {#sec-52-18a-72 omnilex-key=us-nj-statutes--title-52--52:18A-72}
On or before the twenty-eighth day of February in each year, the Authority shall make an annual report of its activities for the preceding calendar year to the Governor and the Legislature. Each such report shall set forth a complete operating and financial statement covering the Authority's operations during the year. The Authority shall cause an audit of its books and accounts to be made at least once in each year by certified public accountants.
##### **§ 52:18A-73** Interested members, agents or employees {#sec-52-18a-73 omnilex-key=us-nj-statutes--title-52--52:18A-73}
Any member, agent or employee of the Authority who is interested, either directly or indirectly, in any contract of another with the Authority, or in the sale of any property, either real or personal, to the Authority, shall be guilty of a misdemeanor and punished by fine of not more than one thousand dollars ($1,000.00) or by imprisonment for not more than one year, or both.
##### **§ 52:18A-74** Additional method {#sec-52-18a-74 omnilex-key=us-nj-statutes--title-52--52:18A-74}
The foregoing sections of this act shall be deemed to provide an additional and alternative method for the doing of the things authorized thereby, and shall be regarded as supplemental and additional to powers conferred by other laws, and shall not be regarded as in derogation of any powers now existing; provided, however, that the issuance of bonds or refunding bonds under the provisions of this act need not comply with the requirements of any other law applicable to the issuance of bonds.
##### **§ 52:18A-75** Act liberally construed {#sec-52-18a-75 omnilex-key=us-nj-statutes--title-52--52:18A-75}
This act, being necessary for the welfare of the State and its inhabitants, shall be liberally construed to effect the purposes thereof.
##### **§ 52:18A-76** Severability {#sec-52-18a-76 omnilex-key=us-nj-statutes--title-52--52:18A-76}
If any provision of this act or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the act which can be given effect without the invalid provisions or application and to this end the provisions of this act are declared to be severable.
##### **§ 52:18A-77** Inconsistent laws inapplicable {#sec-52-18a-77 omnilex-key=us-nj-statutes--title-52--52:18A-77}
The powers granted to the Authority by this act may be exercised without regard or reference to any department or agency of the State. All other general or special laws, or parts thereof, inconsistent with this act are hereby declared to be inapplicable to the provisions of this act.
##### **§ 52:18A-78** Short title {#sec-52-18a-78 omnilex-key=us-nj-statutes--title-52--52:18A-78}
This act shall be known as, and may be cited as, the "State Building Authority Act of 1950."
##### **§ 52:18A-78.1** Short title {#sec-52-18a-78.1 omnilex-key=us-nj-statutes--title-52--52:18A-78.1}
This act shall be known and may be cited as the "New Jersey Building Authority Act."
##### **§ 52:18A-78.2** Definitions {#sec-52-18a-78.2 omnilex-key=us-nj-statutes--title-52--52:18A-78.2}
2. As used in this act, unless the context clearly indicates otherwise:
a. "Authority" means the New Jersey Building Authority created under this act.
b. "Bonds" means bonds issued by the authority pursuant to this act.
c. "Building" includes any portion thereof, such as an apartment created under the "Horizontal Property Act," P.L.1963, c.168 (C.46:8A-1 et seq.) or a unit created under the "Condominium Act," P.L.1969, c.257 (C.46:8B-1 et seq.).
d. "Local governmental agency" means any municipality, county, school district, or any agency, department or instrumentality of any of the foregoing, or any other public body having local or regional jurisdiction or powers and not constituting a State agency.
e. "Notes" means notes issued by the authority pursuant to this act.
f. "Project" means any building or buildings, including related structures, parking facilities, improvements, real and personal property or any interest therein, including lands under water, space rights and air rights, and other appurtenances and facilities necessary or convenient to the use or operation of the building or buildings, acquired, owned, constructed, reconstructed, extended, rehabilitated , renovated, preserved or improved by the authority for the purposes set forth in section 8 of P.L.1992, c.174 (C.52:18A-78.5a).
g. "State agency" means the Executive, Legislative or Judicial branch of the State Government or any officer, department, board, commission, bureau, division, public authority or corporation, agency or instrumentality of the State.
h. "Historic public building" means a building that is owned by a governmental agency and that is on or eligible for State or National Registers of Historic Places.
##### **§ 52:18A-78.3** Findings, declarations {#sec-52-18a-78.3 omnilex-key=us-nj-statutes--title-52--52:18A-78.3}
3. The Legislature finds and declares the following:
a. That for many years the functions of the State Government have grown and that during this period of rapid expansion no definite program has been adopted for the housing and carrying out of the operations of the many State agencies.
b. That many State agencies have their offices in privately owned or inadequate State owned buildings and that these buildings are inadequate to meet the needs of these State agencies and the needs of the people of the State.
c. That it is to the economic benefit and general welfare of the citizens of the State to provide sufficient office space and related facilities for these State agencies and thus provide for a more efficient and economic operation of State Government.
d. That projects for the construction of correctional facilities are required because of a critical public need and a legal constraint.
e. That in order to provide for office space and related facilities at a cost that these State agencies can afford, it is necessary to create and establish a building authority for the purposes of constructing, operating, selling and leasing office buildings and related facilities to meet the needs of State agencies.
f. It is necessary and in the public interest that this building authority have the necessary funds to provide for predevelopment cost, temporary financing, land development expenses, construction and operation of office buildings and related facilities for the use of, and sale or rental to, State agencies.
g. That the renovation and preservation of historic public buildings contribute to the preservation of the State's heritage, the promotion of the cultural life of our people, and the development and redevelopment of our municipalities.
h. For these purposes, there should be created a corporate governmental agency to be known as the "New Jersey Building Authority" which, through issuance of bonds and notes to the private, investing public may provide or obtain the capital resources necessary to acquire, construct, reconstruct, rehabilitate, renovate, preserve or improve these office buildings and related facilities necessary or convenient to the operation of any State agency, or historic public buildings, as the case may be.
i. That the acquisition, construction, reconstruction, rehabilitation, renovation, preservation or improvement of these office buildings and related facilities necessary or convenient to the operation of any State agency, and historic public buildings are public uses and public purposes for which public money may be loaned and private property may be acquired and tax exemptions granted, and that the powers and duties of the New Jersey Building Authority as set forth in this act are necessary and proper for the purpose of achieving the ends here recited.
j. That the construction, reconstruction, rehabilitation, renovation, preservation and improvement activities of the authority will provide a much needed stimulus for the construction industry, and related industries and professions, particularly in urban areas.
k. That the highest priority for the New Jersey Building Authority shall be the renovation and preservation of the following facilities in the State Capital: the State House, the Old Barracks, the War Memorial, the Kelsey Building, and the townhouses adjacent to the Kelsey Building.
##### **§ 52:18A-78.4** New Jersey building authority; establishment; membership; appointment; term; removal; oath of office; organization; quorum; bond; reimbursement of expenses; dissolution; veto of action by Governor {#sec-52-18a-78.4 omnilex-key=us-nj-statutes--title-52--52:18A-78.4}
a. There is established in the Department of the Treasury a public body corporate and politic, with corporate succession, to be known as the "New Jersey Building Authority." The authority is constituted an instrumentality of the State exercising public and essential governmental functions, and the exercise by the authority thereof of the powers conferred by this act shall be deemed and held to be an essential governmental function of the State.
b. The membership of the authority shall consist of 12 directors as follows: the State Treasurer, the Comptroller of the Treasury, the Chairman of the Commission on Capital Budgeting and Planning who shall be members ex officio; two persons appointed by the Governor upon the recommendation of the President of the Senate and two persons appointed by the Governor upon the recommendation of the Speaker of the General Assembly, of whom no more than one of each group of two shall be of the same political party, and who shall serve during the 2-year legislative term in which they are appointed and until their successors shall have been appointed and qualified; and five directors appointed by the Governor with the advice and consent of the Senate for terms of 4 years no more than three of whom shall be of the same political party. The directors of the authority first appointed by the Governor shall serve for terms of 1 year, 2 years, 3 years and two for 4 years, respectively, and thereafter directors shall be appointed by the Governor for terms of 4 years. Each such director shall hold office for the term of his appointment and until his successor shall have been appointed and qualified. A director shall be eligible for reappointment. Any vacancy on the board of directors occurring other than by expiration of term shall be filled in the same manner as the original appointment but for the unexpired term only.
c. Each director appointed by the Governor, except those appointed upon recommendation of the President of the Senate and Speaker of the General Assembly, may be removed from office by the Governor for cause, after a public hearing, and may be suspended by the Governor pending the completion of the hearing. Each director before entering upon his duties shall take and subscribe an oath to perform the duties of his office faithfully, impartially and justly to the best of his ability. A record of the oaths shall be filed in the office of the Secretary of State.
d. The authority shall not be deemed to be constituted and shall not take action or adopt motions or resolutions until all original authorized members shall have been appointed and qualified in the manner provided in this section. A chairman shall be appointed by the Governor with the advice and consent of the Senate from the directors of the authority other than the ex officio directors, and the directors of the authority shall annually elect one of their number as vice chairman thereof. The directors shall elect a secretary and a treasurer who need not be directors, and the same person may be elected to serve both as secretary and treasurer. The powers of the authority shall be vested in the directors thereof in office from time to time and seven directors of the authority shall constitute a quorum at any meeting thereof. Action may be taken and motions and resolutions adopted by the authority at any meeting thereof by the affirmative vote of at least seven directors of the authority. No vacancy on the board of directors of the authority shall impair the right of a quorum of the directors to exercise all the powers and perform all the duties of the authority.
e. Each director and the treasurer of the authority shall execute a bond to be conditioned upon the faithful performance of the duties of the director or treasurer, as the case may be, in such form and amount as may be prescribed by the Comptroller of the Treasury. Bonds shall be filed in the office of the Secretary of State. At all times thereafter, the directors and treasurer of the authority shall maintain these bonds in full effect. All costs of the bonds shall be borne by the authority.
f. The directors of the authority shall serve without compensation, but the authority shall reimburse its directors for actual expenses necessarily incurred in the discharge of their duties. Notwithstanding the provisions of any other law, no officer or employee of the State shall be deemed to have forfeited or shall forfeit his office or employment or any benefits or emoluments thereof by reason of his acceptance of the office of ex officio director of the authority or his services therein.
g. The State Treasurer and the Comptroller of the Treasury of the State, as ex officio directors of the authority, may each designate an officer or employee of the Department of the Treasury to represent him at meetings of the authority, and the Chairman of the Commission on Capital Budgeting and Planning, as ex officio director of the authority, may designate a member or the executive director of the Commission on Capital Budgeting and Planning to represent him at meetings of the authority. Each designee may lawfully vote and otherwise act on behalf of the director for whom he constitutes the designee. The designation shall be in writing delivered to the authority and shall continue in effect until revoked or amended in writing delivered to the authority.
h. The authority may be dissolved by act of the Legislature on condition that the authority has no debts or obligations outstanding or that provision has been made for the payment or retirement of these debts or obligations. Upon any dissolution of the authority all property, funds and assets thereof shall be vested in the State. In addition, subject to any property rights of a person, firm, partnership or corporation resulting from the sale or leasing of a project by the authority to the person, firm, partnership or corporation, any project shall be vested in the State upon the payment or retirement of all debts or obligations for the project or upon the assumption by the State of liability for any outstanding debts or obligations for the project.
i. A true copy of the minutes of every meeting of the authority shall be forthwith delivered by and under the certification of the secretary thereof to the Governor and the presiding officers of both houses of the Legislature. No action taken at any meeting by the authority shall have effect until 15 days after a copy of the minutes has been so delivered unless during the 15-day period the Governor shall approve the same in which case the action shall become effective upon the approval. If, in the 15-day period, the Governor returns the copy of the minutes with veto of any action taken by the authority or any member thereof at that meeting, the action shall be of no effect. The powers conferred in this subsection upon the Governor shall be exercised with due regard for the rights of the holders of bonds and notes of the authority at any time outstanding; and nothing in, or done pursuant to, this subsection shall in any way limit, restrict or alter the obligation or powers of the authority or any representative or officer of the authority to carry out and perform in every detail each and every covenant, agreement or contract at any time made or entered into by or on behalf of the authority with respect to its bonds or notes or for the benefit, protection or security of the holders thereof.
##### **§ 52:18A-78.5** Powers of authority {#sec-52-18a-78.5 omnilex-key=us-nj-statutes--title-52--52:18A-78.5}
5. Except as otherwise limited by this act, the authority shall have power:
a. To make and alter bylaws for its organization and internal management and, subject to agreements with noteholders and bondholders, to make rules and regulations with respect to its projects, operations, properties and facilities.
b. To adopt an official seal and alter the same at pleasure.
c. To sue and be sued.
d. To make and enter into all contracts and agreements necessary or incidental to the performance of its duties and the exercise of its powers under this act.
e. To enter into agreements or other transactions with and accept grants and the cooperation of the United States or any agency thereof or any State agency in furtherance of the purposes of this act, including but not limited to the development, maintenance, operation and financing of any project and to do any and all things necessary in order to avail itself of this aid and cooperation.
f. To receive and accept aid or contributions from any source of money, property, labor or other things of value, to be held, used and applied to carry out the purposes of this act subject to such conditions upon which this aid and these contributions may be made, including but not limited to, gifts or grants from any department or agency of the United States or any State agency for any purpose consistent with this act.
g. To acquire, own, hold, sell, assign, exchange, lease, mortgage or otherwise dispose of real and personal property or any interest therein in the exercise of its powers and the performance of its duties under this act.
h. To appoint an executive director and such other officers, employees and agents as it may require for the performance of its duties, and to fix their compensation, promote and discharge them, all without regard to the provisions of Title 11 of the Revised Statutes.
i. To acquire, construct, reconstruct, rehabilitate, renovate, preserve, improve, alter or repair or provide for the construction, reconstruction, improvement, alteration or repair of any project and let, award and enter into construction contracts, purchase orders and other contracts with respect thereto in such manner as the authority shall determine.
j. To arrange or contract with a county or municipality for the planning, replanning, opening, grading or closing of streets, roads, roadways, alleys or other places, or for the furnishing of facilities or for the acquisition by a county or municipality of property or property rights or for the furnishing of property or services, in connection with a project.
k. To sell, lease, assign, transfer, convey, exchange, mortgage or otherwise dispose of or encumber any project or other property no longer needed to carry out the public purposes of the authority and, in the case of the sale of any project or property, to accept a purchase money mortgage in connection therewith; and to lease, repurchase or otherwise acquire and hold any project or property which the authority has theretofore sold, leased or otherwise conveyed, transferred or disposed of.
l. To grant options to purchase any project or to renew any leases entered into by it in connection with any of its projects, on such terms and conditions as it deems advisable.
m. To acquire by purchase, lease or otherwise, on such terms and conditions and in such manner as it may deem proper, or by the exercise of the power of eminent domain, except with respect to lands owned by the State or any public lands reserved for recreation and conservation purposes, any land and other property, including railroad lands and land under water, which it may determine is reasonably necessary for any of its projects or for the relocation or reconstruction of any highway by the authority and any and all rights, title and interest in that land and other property, including public lands, highways or parkways, owned by or in which a State agency or local governmental agency has any right, title or interest, or parts thereof or rights therein and any fee simple absolute or any lesser interest in private property, and any fee simple absolute in, easements upon or the benefit of restrictions upon, abutting property to preserve and protect any project.
n. To prepare or cause to be prepared plans, specifications, designs and estimates of costs for the construction, reconstruction, rehabilitation, improvement, alteration or repair of any project, and from time to time to modify these plans, specifications, designs or estimates.
o. To sell, lease, rent, sublease or otherwise dispose of any project or any space embraced in any project to any State agency or to any person, firm, partnership or corporation for sale, leasing, rental or subleasing to any State agency, and, where applicable, to establish and revise the purchase price, rents or other charges therefor; provided, however, that the incurrence of any liabilities by a State agency under any agreement entered into with the authority pursuant to the aforesaid authorization, including, without limitation, the payment of any and all rentals or other amounts required to be paid by the agency thereunder, shall be subject to and dependent upon appropriations being made from time to time by the Legislature for that purpose and approval by the presiding officers, or such other officers as may be provided by law, of both houses of any such lease.
p. To sell, lease, rent, sublease or otherwise dispose of, to any person, firm, partnership or corporation, any surplus space in any project over and above that sold, leased, rented, subleased or otherwise disposed of to State agencies and to establish and revise the purchase price, rents or charges therefor.
q. To approve of the selection of any tenant not a State agency under a lease or sublease agreement for the use or occupation of any portion of a building in which a project is located.
r. To manage or operate any project or real or personal property related thereto whether owned or leased by the authority or any State agency or any person, firm, partnership or corporation, and to enter into agreements with any State agency, or any local governmental agency, or with any person, firm, association, partnership or corporation, either public or private, for the purpose of causing any project or related property to be managed.
s. To provide advisory, consultative, training and educational services, technical assistance and advice to any person, firm, association, partnership or corporation, either public or private, in order to carry out the purposes of this act.
t. Subject to the provisions of any contract with noteholders or bondholders to consent to any modification, amendment or revision of any kind of any contract, lease or agreement of any kind to which the authority is a party.
u. To determine, after holding a public hearing in the municipality in which the project is to be located, except as otherwise provided in section 6 of this act, the location, type and character of the project or any part thereof and all other matters in connection with all or any part of the project, notwithstanding any land use plan, zoning regulation, building code or similar regulation heretofore or hereafter adopted by any municipality, county, public body corporate and politic, or any other political subdivision of the State.
v. To borrow money and to issue its bonds and notes and to secure the same and provide for the rights of the holders thereof as provided in this act.
w. Subject to any agreement with bondholders or noteholders, to invest moneys of the authority not required for immediate use, including proceeds from the sale of any bonds or notes, in those obligations, securities and other investments as the authority shall deem prudent.
x. To procure insurance against any loss in connection with its property and other assets and operations in such amounts and from such insurers as it deems desirable.
y. To engage the services of architects, engineers, attorneys, accountants, building contractors, urban planners, landscape architects and financial experts and such other advisors, consultants and agents as may be necessary in its judgment and to fix their compensation.
z. To do any act necessary or convenient to the exercise of the foregoing powers or reasonably implied therefrom.
##### **§ 52:18A-78.5a** Purposes for authority projects {#sec-52-18a-78.5a omnilex-key=us-nj-statutes--title-52--52:18A-78.5a}
8. a. The projects of the authority shall be undertaken for the following purposes:
(1) The creation, reconstruction, extension, rehabilitation, renovation, preservation or improvement of office space and related facilities necessary for the conduct of official business by State agencies, including storage and warehouse facilities, motor vehicle inspection stations, testing and research laboratories;
(2) The acquisition, construction, reconstruction, rehabilitation, renovation, preservation, or improvement of State correctional facilities, except in State parks and forests and land devoted to recreation and conservation purposes under the jurisdiction of the Department of Environmental Protection and Energy pursuant to P.L.1983, c.324 (C.13:1L-1 et al.); and
(3) The renovation or preservation of historic public buildings.
b. (1) For the purposes of paragraph (1) of subsection a. of this section, the authority shall make every effort to preserve historically significant buildings as office space and related facilities, in addition to creating new office space and related facilities.
(2) For purposes of paragraph (2) of subsection a. of this section with respect to buildings located in the State Capital, the authority shall be exempt from compliance with any of the provisions of P.L.1987, c.58 (C.52:9Q-9 et seq.).
##### **§ 52:18A-78.5b** Permitted project, certain {#sec-52-18a-78.5b omnilex-key=us-nj-statutes--title-52--52:18A-78.5b}
11. The renovation or rehabilitation of shelving in the State Library for the Blind and Handicapped is a project the purpose of which is included among those the New Jersey Building Authority may undertake pursuant to section 8 of P.L.1992, c.174 (C.52:18A-78.5a).
##### **§ 52:18A-78.5c** Application for financing local historic projects {#sec-52-18a-78.5c omnilex-key=us-nj-statutes--title-52--52:18A-78.5c}
9. a. A local governmental agency may apply to the authority for financing of the renovation or preservation of a historic public building. The application shall be of such form and contents as shall be prescribed by regulation of the authority, promulgated pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.). The contents shall include, but not be limited to documentation of the inability of the local governmental agency to secure financing for the project from the Economic Development Authority, a local or county improvement authority, the Historic Trust, and other funding sources available for historic renovation and preservation.
b. In the case of projects which are not State office buildings, the Commission on Capital Budgeting and Planning need not determine whether the project meets the needs of State agencies pursuant to subsection b. of section 6 of P.L.1981, c.120 (C.52:18A-78.6).
c. The amount, terms and conditions for financing projects approved pursuant to this section shall be determined by the authority.
##### **§ 52:18A-78.6** Project report; review {#sec-52-18a-78.6 omnilex-key=us-nj-statutes--title-52--52:18A-78.6}
6. Prior to the acquisition or construction of any project, or any reconstruction, rehabilitation, repair, renovation, preservation, or improvement of a project, the cost of which undertaking is estimated to exceed $100,000.00 the authority shall, except as otherwise provided in subsection d. of section 9 of P.L.1992, c.174 (C.52:18A-78.5c):
a. Prepare a project report which shall describe the nature and scope of the project, including but not limited to its location, size, cost, and purpose, a list of all entities which will occupy the project and the amount of space each will occupy, the anticipated annual State appropriation for lease agreements, the total State appropriations necessary in each year until the total indebtedness attributable to the project is paid or retired and a statement of anticipated annual receipts and expenditures for the project;
b. Submit the project report to the Commission on Capital Budgeting and Planning for its review and its findings as to whether the project is necessary and convenient to meet the needs of the State agencies which are to utilize the project, whether the project is consistent with the State Capital Improvement Plan, and whether it meets the criteria otherwise established by the Commission for its approval of State capital projects;
c. Conduct a public hearing in the municipality in which the project is to be located as provided in section 7 of this act, and make all responses required by that section; except that this requirement shall not apply in the case of the reconstruction, rehabilitation, renovation, preservation, repair or improvement of an existing building or facility owned by the State and which will continue to be used for substantially the same purpose after completion of the project, nor shall it apply to a project which qualifies as a State investment project under section 4 of P.L.1983, c.139 (C.40:55C-46a);
d. Submit to the Legislature the project report, the findings of the Commission on Capital Budgeting and Planning, the transcript of the public hearing, and all responses required by section 7 of this act;
e. Submit to the Legislature documentation that:
(1) Plans and specifications for the project assure, or will assure adequate light, air, sanitation, and fire protection;
(2) There is a feasible method for the relocation of families and individuals displaced from the project area into decent, safe and sanitary dwellings in accordance with the provisions of the "Relocation Assistance Act of 1967," P.L.1967, c.79 (C.52:31B-1 et seq.) and the "Relocation Assistance Act," P.L.1971, c.362 (C.20:4-1 et seq.), whichever is applicable;
(3) Plans and specifications for the project assure that the project will comply with all applicable standards and requirements prescribed by State and federal law which promote the public health, protect the environment or promote the conservation of energy, and that, where practicable and appropriate, consideration shall be given to the generation or cogeneration of electrical power on the project site or in conjunction with other facilities;
(4) Plans and specifications for the project assure that it will comply with the requirements of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.);
(5) The location of the project is consistent with the State's urban policy of concentrating public investments in distressed urban centers and assisting in the revitalization of the older municipalities, except for a project intended to serve a region which contains no such urban center.
For the purposes of this section "cost" means, in addition to the usual connotations thereof, the cost of acquisition, construction, reconstruction, rehabilitation, repair, improvement and operation of all or any part of a project, and includes, but is not limited to, the cost or fair market value of construction, machinery and equipment, property rights, easements, privileges, agreements, franchises, utility extensions, disposal facilities, access roads and site development deemed by the authority to be necessary or useful and convenient therewith, discount on bonds, cost of issuance of bonds, engineering and inspection costs and legal expenses, cost of financial, professional and other estimates and advice, organization, administrative, insurance, operating and other expenses of the authority or any person prior to and during any acquisition or construction, reconstruction, rehabilitation, repair or improvement, and all other expenses as may be necessary or incident to the financing, acquisition, construction, rehabilitation, repair or improvement and completion of the project or part thereof, and also provision for reserves for payment or security of, principal of, or interest on, the bonds during any such undertaking.
##### **§ 52:18A-78.7** Public hearing; notice; records; objection by local government; response {#sec-52-18a-78.7 omnilex-key=us-nj-statutes--title-52--52:18A-78.7}
a. The authority shall conduct a public hearing on each project within the municipality in which the project is to be located. The authority shall cause notice of the hearing to be published in at least two newspapers of general circulation within the municipality at least 15 days prior to the date of the hearing and shall also file the notice at least 15 days prior to the date of the hearing with the governing body of the county and municipality in which the project is to be located.
The notice shall summarize the project and specify where and how additional information may be obtained.
b. All testimony presented at the hearing and all material submitted to the authority within 15 days following the hearing shall be included in a hearing record to be prepared and made available to the public by the authority.
c. The governing body of the county or municipality in receipt of the notice prescribed in this section may file with the authority, within 15 days following the hearing, a written objection to the project, stating in detail the nature of the objection.
d. The authority shall respond in writing to any objection filed pursuant to this section, including specific responses to the data, views, and arguments contained in the objection.
##### **§ 52:18A-78.8** Submission to legislature; approval by concurrent resolution {#sec-52-18a-78.8 omnilex-key=us-nj-statutes--title-52--52:18A-78.8}
a. The authority shall make the submission to the Legislature required by section 6 of this act to the President of the Senate and the Speaker of the General Assembly on a day when both houses are meeting. The President and the Speaker shall cause the date of submission to be entered upon the Senate Journal and the Minutes of the General Assembly, respectively.
b. Unless the project as described in the submission is approved by adoption of a concurrent resolution to this effect by the affirmative vote of a majority of the authorized membership of both houses within the time period prescribed in this subsection, the project shall be deemed disapproved and the authority shall not undertake the project. The President and the Speaker shall cause a concurrent resolution of approval of the project to be placed before the members of the respective houses for a recorded vote within the time period. The time period shall commence on the day of submission and expire on the forty-fifth day after submission or for a house not meeting on the forty-fifth day, on the next meeting day of that house.
##### **§ 52:18A-78.9** Leases for space in project; written approval by legislature prior to execution {#sec-52-18a-78.9 omnilex-key=us-nj-statutes--title-52--52:18A-78.9}
a. No lease agreement entered into for space in any project shall be executed without prior written approval of the presiding officers, or such other officers as may be provided by law, of both houses of the Legislature.
b. The authority shall submit the following to the presiding officers, or other officers as provided by law, where the lease agreement is a part of a sale by the authority to a person, firm, partnership or corporation for lease, rental or sublease to a State agency:
(1) A statement setting forth the terms and conditions of the sale and lease, rental or sublease;
(2) A statement from the Attorney General that the obligations of the State or authority in the lease, sublease or sales agreement are not in conflict with any applicable State or federal law or regulations; and
(3) A certification from the State Treasurer that on the basis of a comparison of costs and an analysis of the financing, which shall also be submitted, the sale and lease, rental or sublease is more advantageous to the State than the ownership of a project by the authority for lease, rental or sublease to State agencies, under the conditions and assumptions prevailing at the time of certification.
##### **§ 52:18A-78.9a** Lease or sublease agreement; approval by authority {#sec-52-18a-78.9a omnilex-key=us-nj-statutes--title-52--52:18A-78.9a}
A lease or sublease agreement for the use or occupation of any portion of a building in which a project is located shall include a provision that any tenant thereof shall be subject to the approval of the authority, but that the approval shall not be unreasonably withheld.
##### **§ 52:18A-78.10** Municipalities; limitations on powers; provision of services; contractual agreements with local governmental agencies {#sec-52-18a-78.10 omnilex-key=us-nj-statutes--title-52--52:18A-78.10}
a. No municipality shall modify or change the drawings, plans or specifications for the construction, reconstruction, rehabilitation, alteration or improvement of any project of the authority, or the construction, plumbing, heating, lighting or other mechanical branch of work necessary to complete the work in question, nor to require that any person, firm or corporation employed on any such work shall perform the work in any other or different manner than that provided by the drawings, plans and specifications, nor to require that any person, firm or corporation obtain any other or additional authority, approval, permit or certificate from the municipality in relation to the work being done, and the doing of the work by any person, firm or corporation in accordance with the terms of the drawings, plans, specifications or contracts shall not subject the person, firm or corporation to any liability or penalty, civil or criminal, other than as may be stated in the contracts or incidental to the proper enforcement thereof; nor shall any municipality require the authority or any State agency which leases or purchases the project, or any person, firm, partnership or corporation which leases or purchases the project for lease or purchase to a State agency, to obtain any other or additional authority, approval, permit, certificate or certificate of occupancy from the municipality as a condition of owning, using, maintaining, operating or occupying any project acquired, constructed, reconstructed, rehabilitated, altered or improved by the authority or by any subsidiary thereof. The foregoing provisions shall not preclude any municipality from exercising the right of inspection for the purpose of requiring compliance by any project with local requirements for operation and maintenance, affecting the health, safety and welfare of the occupants thereof, provided that the compliance does not require changes, modifications or additions to the original construction of the project.
b. Each municipality in which any project of the authority is located shall provide for the project, whether then owned by the authority, any subsidiary, any State agency or any person, firm, partnership or corporation, police, fire, sanitation, health protection and other municipal services of the same character and to the same extent as those provided for other residents of the municipality.
c. In carrying out any project, the authority may enter into contractual agreements with local governmental agencies with respect to the furnishing of any community, municipal or public facilities or services necessary or desirable for the project, and any local governmental agency may enter into these contractual agreements with the authority and do all things necessary to carry out its obligations under the same.
##### **§ 52:18A-78.11** Adoption of standing rules, procedures for contracts by authority. {#sec-52-18a-78.11 omnilex-key=us-nj-statutes--title-52--52:18A-78.11}
11. a. The authority, in the exercise of its authority to make and enter into contracts and agreements necessary or incidental to the performance of its duties and the execution of its powers, shall adopt standing rules and procedures providing that no contract on behalf of the authority shall be entered into for the doing of any work, or for the hiring of equipment or vehicles, where the sum to be expended exceeds the sum of $7,500.00 unless the authority shall first publicly advertise for bids therefor, and shall award the contract to the lowest responsible bidder. Advertising shall not be required where the contract to be entered into is one for the furnishing or performing of services of a professional nature or for the supplying of any product or the rendering of any service by a public utility subject to the jurisdiction of the Board of Public Utilities and tariffs and schedules of the charges made, charged, or exacted by the public utility for any products to be supplied or services to be rendered are filed with the board. This section shall not prevent the authority from having any work done by its own employees, nor shall it apply to repairs, or to the furnishing of materials, supplies or labor, or the hiring of equipment or vehicles, when the safety or protection of its or other public property or the public convenience requires, or the exigency of the accomplishment of the projects will not allow advertisement. In that case, the board of directors of the authority shall, by resolution, declare the exigency or emergency to exist, and set forth in the resolution the nature thereof and the approximate amount to be so expended.
b. (1) In undertaking any project where the cost of construction, reconstruction, rehabilitation or improvement will exceed $25,000.00, the authority shall be subject to the rules and regulations of the Division of Building and Construction concerning procedural requirements for the making, negotiating or awarding of purchases, contracts or agreements; and the authority, with the assistance of the division, may prepare, or cause to be prepared, separate plans and specifications for:
(a) The plumbing and gas fitting and all work and materials kindred thereto,
(b) The steam and hot water heating and ventilating apparatus, steam power plants and all work and materials kindred thereto,
(c) The electrical work,
(d) Structural steel and ornamental iron work and materials, and
(e) General construction, which shall include all other work and materials required to complete the building.
(2) The authority shall receive (a) separate bids for each of the branches of work specified in paragraph (1) of this subsection; or (b) bids for all the work and materials required to complete the project to be included in a single overall contract, in which case there shall be set forth in the bid the name or names of all subcontractors to whom the bidder will subcontract for the furnishing of any of the work and materials specified in branches (a) through (d) in paragraph (1) of this subsection; or (c) both.
(3) Contracts shall be awarded to the lowest responsible bidder in each branch of work in the case of separate bids and to the single lowest responsible bidder in the case of single bids. In the event that a contract is advertised in accordance with subparagraph (c) of paragraph (2) of this subsection, the contract shall be awarded in the following manner: If the sum total of the amounts bid by the lowest responsible bidder for each branch is less than the amount bid by the lowest responsible bidder for all of the work and materials, the authority shall award separate contracts for each of the branches to the lowest responsible bidder therefor, but if the sum total of the amount bid by the lowest responsible bidder for each branch is not less than the amount bid by the lowest responsible bidder for all the work and materials, the authority shall award a single over-all contract to the lowest responsible bidder for all of the work and materials.
Whenever a contract is awarded under subparagraph (b) or (c) of paragraph (2) of this subsection, all payments required to be made by the authority under the contract for work and materials supplied by a subcontractor may, upon the certification of the contractor of the amount due to the subcontractor, be paid directly to the subcontractor. Payments to a subcontractor for work and materials supplied in connection with the contract shall be made within 10 calendar days of the receipt of payment for that work or the delivery of those materials by the subcontractor in accordance with the provisions of P.L.1991, c.133 (C.2A:30A-1 et seq.), and any regulations promulgated thereunder.
(4) All construction, reconstruction, rehabilitation or improvement undertaken by the authority pursuant to this act shall be subject during such undertaking to the supervision of the Division of Building and Construction to the same extent as any project undertaken by the State.
c. With respect to the lease or sale of any project or portion thereof to any person, firm, partnership or corporation, for subsequent lease to or purchase by a State agency, no agreement for that lease or sale shall be entered into, unless the authority shall first publicly advertise for bids therefor. The authority shall employ a person, firm, partnership or corporation, independent from any other aspect or component of the financing of or any ownership or leasehold interest in that project, to assist in the bid procedure and evaluation.
##### **§ 52:18A-78.11d** Supervision by chairman {#sec-52-18a-78.11d omnilex-key=us-nj-statutes--title-52--52:18A-78.11d}
1. Notwithstanding any provision of section 11 or any other provision of the act to which this act is a supplement to the contrary, the authority may delegate, by resolution, the supervision of the construction, reconstruction, rehabilitation, renovation, preservation or improvement of any project to the chairman of the authority.
##### **§ 52:18A-78.11e** Employees; assistance. {#sec-52-18a-78.11e omnilex-key=us-nj-statutes--title-52--52:18A-78.11e}
With respect to such a project, the chairman may employ such employees, advisors, consultants or agents and call upon the technical and administrative assistance of other State agencies to the extent and in the manner provided to the authority by the act to which this act is a supplement.
##### **§ 52:18A-78.11f** General Services Administration authority {#sec-52-18a-78.11f omnilex-key=us-nj-statutes--title-52--52:18A-78.11f}
3. a. The authority may delegate to an appropriate State agency within the General Services Administration the authority to undertake a project the aggregate amount of which, including labor and construction materials, is greater than $25,000.00, or the amount determined pursuant to subsection b. of section 2 of P.L.1954, c.48 (C.52:34-7).
b. A State agency delegated by the authority to undertake a construction project pursuant to this section shall have the authority to make, negotiate or award any contract necessary to complete the construction project and shall, in the case of the State House, State House Annex and ancillary structures, and in the case of any correctional facility, award contracts for work on the project in the manner set forth in section 2 of P.L.1987, c.202 (C.52:32-2.2) and section 3 of P.L.1987, c.202 (C.52:32-2.3), and in the case of all other projects shall apply the award standard set forth in either R.S.52:32-2 or section 7 of P.L.1954, c.48 (C.52:34-12). The State agency shall comply with the applicable procedures for public advertisement for bids, the exceptions thereto and the waiver procedures.
##### **§ 52:18A-78.12** Relocation of public highways or roads; entry on lands for surveys or examinations; relocation or removal of public utility facilities {#sec-52-18a-78.12 omnilex-key=us-nj-statutes--title-52--52:18A-78.12}
a. If the authority shall find it necessary in connection with the undertaking of any of its projects to change the location of any portion of any public highway, or road, it may contract with any government agency, or public or private corporation which may have jurisdiction over the public highway or road to cause the public highway or road to be constructed at such location as the authority shall deem most favorable. The cost of the reconstruction and any damage incurred in changing the location of the highway shall be ascertained and paid by the authority as a part of the cost of the project. Any public highway affected by the construction of any project may be vacated or relocated by the authority in the manner now provided by law for the vacation or relocation of public roads, and any damages awarded on account thereof shall be paid by the authority as a part of the cost of the project. In all undertakings authorized by the subsection, the authority shall consult and obtain the approval of the Commissioner of Transportation.
b. In addition to the foregoing powers, the authority and its authorized agents and employees may enter upon any lands, waters and premises for the purpose of making surveys, soundings, drillings and examinations as it may deem necessary or convenient for the purposes of this act, all in accordance with due process of law, and this entry shall not be deemed a trespass nor shall an entry for this purpose be deemed an entry under any condemnation proceedings which may be then pending. The authority shall make reimbursement for any actual damages resulting to the lands, waters and premises as a result of these activities.
c. The authority shall also have power to make reasonable regulations for the installation, construction, maintenance, repair, renewal, relocation and removal of tracks, pipes, mains, conduits, cables, wires, towers, poles and other equipment and appliances, herein called "public utility facilities" , or any public utility as defined in R.S. 48:2-13, in, on, along, over or under any project. Whenever the authority shall determine that it is necessary that any public utility facilities which now are, or hereafter may be, located in, on, along, over or under any project shall be relocated in the project, or should be removed from the project, the public utility owning or operating the facilities shall relocate or remove the same in accordance with the order of the authority. The cost and expenses of the relocation or removal, including the cost of installing the facilities in a new location, or new locations, and the cost of any lands, or any rights or interests in lands, and any other rights, acquired to accomplish the relocation or removal, shall be ascertained and paid by the authority as a part of the cost of the project. In case of any relocation or removal of facilities, as aforesaid, the public utility owning or operating the same, its successors or assigns, may maintain and operate the facilities, with the necessary appurtenances, in the new location or new locations, for as long a period, and upon the same terms and conditions, as it had the right to maintain and operate the facilities in their former location or locations. In all undertakings authorized by this subsection the authority shall consult and obtain the approval of the Board of Public Utilities.
##### **§ 52:18A-78.13** Eminent domain {#sec-52-18a-78.13 omnilex-key=us-nj-statutes--title-52--52:18A-78.13}
a. The authority may exercise the power of eminent domain in the manner provided in the "Eminent Domain Act of 1971," P.L.1971, c. 361 (C. 20:3-1 et seq.).
b. The authority may take possession of any property with respect to which it institutes an eminent domain action upon filing of a declaration of taking and otherwise as provided by Article V of the "Eminent Domain Act" (C. 20:3-15 et seq.).
##### **§ 52:18A-78.14** Issuance of bonds, notes {#sec-52-18a-78.14 omnilex-key=us-nj-statutes--title-52--52:18A-78.14}
14. a. The authority may from time to time issue its bonds or notes in such principal amounts as in the opinion of the authority shall be necessary to provide sufficient funds for any of its corporate purposes, including the payment, funding or refunding of the principal of, or interest or redemption premiums on, any bonds or notes issued by it whether the bonds or notes or interest to be funded or refunded have or have not become due, the establishment or increase of such reserves to secure or to pay the bonds or notes or interest thereon and all other costs or expenses of the authority incident to and necessary to carry out its corporate purposes and powers.
b. Whether or not the bonds and notes are of such form and character as to be negotiable instruments under the terms of Title 12A, Commercial Transactions, of the New Jersey Statutes, the bonds and notes are hereby made negotiable instruments within the meaning of and for all the purposes of Title 12A, subject only to the provisions of the bonds and notes for registration.
c. Bonds or notes of the authority shall be authorized by a resolution or resolutions of the authority and may be issued in one or more series and shall bear such date or dates, mature at such time or times, bear interest at such rate or rates of interest per annum, be in such denomination or denominations, be in such form, either coupon or registered, carry such conversion or registration privileges, have such rank or priority, be executed in such manner, be payable from such sources; in such medium of payment; at such place or places within or without the State, and be subject to such terms of redemption, with or without premium, as such resolution or resolutions may provide.
d. Bonds or notes of the authority may be sold at public or private sale at such price or prices and in such manner as the authority shall determine. Every bond shall mature and be paid not later than 35 years from the date thereof.
e. Bonds or notes may be issued under the provisions of this act without obtaining the consent of any department, division, commission, board, bureau or agency of the State, and without any other proceeding or the happening of any other conditions or other things than those proceedings, conditions or things which are specifically required by this act.
f. Bonds or notes of the authority issued under the provisions of this act shall not be in any way a debt or liability of the State or of any political subdivision thereof other than the authority and shall not create or constitute any indebtedness, liability or obligation of the State or of any political subdivision or be or constitute a pledge of the faith and credit of the State or of any political subdivision but all such bonds and notes, unless funded or refunded by bonds or notes of the authority, shall be payable solely from revenues or funds pledged or available for their payment as authorized in this act. Each bond and note shall contain on its face a statement to the effect that the authority is obligated to pay the principal thereof or the interest thereon only from its revenues, receipts or funds pledged or available for their payment as authorized in this act and that neither the State nor any political subdivision thereof is obligated to pay the principal or interest and that neither the faith and credit nor the taxing power of the State or any political subdivision thereof is pledged to the payment of the principal of or the interest on the bonds or notes.
g. Each issue of bonds or notes of the authority may, if it is determined by the authority, be general obligations thereof payable out of any revenues, receipts or funds of the authority subject only to any agreements with the holders of particular bonds or notes pledging any particular revenues or funds, and shall be secured by one or more of the following:
(1) Pledge of rentals, receipts and other revenues to be derived from leases, sales agreements, service contracts or similar contractual arrangements with one or more State agencies, or one or more persons, firms, partnerships or corporations, whether or not the same relate to the project or part thereof financed with the bonds or notes, or a pledge or assignment of the leases, sales agreements, service contracts or instruments evidencing similar arrangements and the rights and interests of the authority; provided that such leases, sales agreements, service contracts or similar contractual arrangements shall be in effect at the time of the issuance of the bonds or notes;
(2) Pledge of grants, subsidies, contributions or other payments to be received from the United States of America or any instrumentality thereof or from the State or any State agency;
(3) A first mortgage on all or any part of the property, real or personal, of the authority then owned or thereafter to be acquired; provided that the property so mortgaged as improved and developed by application of the proceeds of the bonds or notes shall be appraised as at least equal to the amount of the bonds or notes;
(4) Pledge of the revenues and receipts estimated to be thereafter derived from the ownership or operation of the project or part thereof or from the lease or sale thereof, including any income from investment of the funds and moneys held in connection therewith and pledged to the payment of the bonds or notes and the interest thereon or a pledge of any lease, sales agreement, service contract or instrument evidencing similar arrangements to be entered into subsequent to the issuance of the bonds or notes;
(5) Pledge of all moneys, funds, accounts, securities and other funds, including the proceeds of the bonds or notes.
##### **§ 52:18A-78.15** Covenants and contracts with holders of bonds and notes {#sec-52-18a-78.15 omnilex-key=us-nj-statutes--title-52--52:18A-78.15}
In any resolution of the authority authorizing or relating to the issuance of any bonds or notes, the authority, in order to secure the payment of the bonds or notes and in addition to its other powers, shall have power by provisions therein which shall constitute covenants by the authority and contracts with the holders of the bonds or notes, to:
a. Secure the bonds or notes as provided in section 14;
b. Covenant against pledging all or any part of its revenues or receipts or its leases, sales agreements, service contracts or other security instruments, or its mortgages or other agreements, or the revenues or receipts under any of the foregoing or the proceeds thereof, or against mortgaging or leasing all or any part of its real or personal property then owned or thereafter acquired, or against permitting or suffering any lien on any of the foregoing;
c. Covenant with respect to limitations on any right to sell, mortgage, lease or otherwise dispose of any project or any part thereof or any property of any kind;
d. Covenant as to any bonds and notes to be issued and the limitations thereon and the terms and conditions thereof and as to the custody, application, investment, and disposition of the proceeds thereof;
e. Covenant as to the issuance of additional bonds or notes or as to limitations on the issuance of additional bonds or notes and on the incurring of other debts by it;
f. Covenant as to the payment of the principal of or interest on the bonds or notes, or any other obligations, as to the sources and methods of the payment, as to the rank or priority of the bonds, notes or obligations with respect to any lien or security or as to the acceleration of the maturity of the bonds, notes or obligations;
g. Provide for the replacement of lost, stolen, destroyed or mutilated bonds or notes;
h. Covenant against extending the time for the payment of bonds or notes or interest thereon;
i. Covenant as to the redemption of bonds or notes and privileges of exchange thereof for other bonds or notes of the authority;
j. Covenant as to the fixing and collection of rents, fees, rates and other charges, the amount to be raised each year or other period of time by rents, fees, rates and other charges and as to the use and disposition to be made thereof;
k. Covenant to create or authorize the creation of special funds or moneys to be held in pledge or otherwise for construction, operating expenses, payment or redemption of bonds or notes; reserves or other purposes and as to the use, investment, and disposition of the moneys held in these funds;
l . Establish the procedure, if any, by which the terms of any contract or covenant with or for the benefit of the holders of bonds or notes may be amended or abrogated, the amount of bonds or notes the holders of which must consent thereto, and the manner in which the consent may be given;
m. Covenant as to the construction, improvement, operation or maintenance of any project and its other real and personal property, the replacement thereof, the insurance to be carried thereon, and the use and disposition of insurance moneys;
n. Provide for the release of property, leases or other agreements, or revenues and receipts from any pledge or mortgage and to reserve rights and powers in, or the right to dispose of, property which is subject to a pledge or mortgage;
o . Provide for the rights and liabilities, powers and duties arising upon the breach of any covenant, condition or obligation and prescribe the events of default and the terms and conditions upon which any or all of the bonds, notes or other obligations of the authority shall become or may be declared due and payable before maturity and the terms and conditions upon which the declaration and its consequences may be waived;
p. Vest in a trustee or trustees within or without the State such property rights, powers and duties in trust as the authority may determine, including the right to foreclose any mortgage, which may include any or all of the rights, powers and duties of any trustee appointed by the holders of any bonds or notes pursuant to section 24 of this act and to limit or abrogate the right of the holders of any bonds or notes of the authority to appoint a trustee under this act, and to limit the rights, duties and powers of the trustee;
q. Execute all mortgages, leases, sales agreements, service contracts, bills of sale, conveyances, deeds of trust and other instruments necessary or convenient in the exercise of its powers or in the performance of its covenants or duties;
r. Pay the costs or expenses incident to the enforcement of the bonds or notes or of the provisions of the resolution or of any covenant or agreement of the authority with the holders of its bonds or notes;
s. Limit the rights of the holders of any bonds or notes to enforce any pledge or covenant securing bonds or notes; and
t. Make covenants other than or in addition to the covenants authorized by this act of like or different character, and to make such covenants to do or refrain from doing such acts and things as may be necessary, or convenient and desirable, in order to better secure bonds or notes or which, in the absolute discretion of the authority will tend to make bonds or notes more marketable, notwithstanding that the covenants, acts or things may not be enumerated herein.
##### **§ 52:18A-78.16** Pledge of revenue and assets; validity; lien {#sec-52-18a-78.16 omnilex-key=us-nj-statutes--title-52--52:18A-78.16}
Any pledge of revenues, receipts, moneys, funds, levies, sales agreements, service contracts or other property or instruments made by the authority shall be valid and binding from the time when the pledge is made. The revenues, receipts, moneys, funds or other property so pledged and thereafter received by the authority or a subsidiary shall immediately be subject to the lien of the pledge without any physical delivery thereof or further act, and the lien of any pledge shall be valid and binding as against all parties having claims of any kind in tort, contract or otherwise against the authority irrespective of whether the parties have notice thereof. Neither the resolution nor any other instrument by which a pledge under this section is created need be filed or recorded except in the records of the authority.
##### **§ 52:18A-78.17** No personal liability. {#sec-52-18a-78.17 omnilex-key=us-nj-statutes--title-52--52:18A-78.17}
17. Neither the directors of the authority nor any person executing bonds or notes issued pursuant to this act shall be liable personally on the bonds or notes by reason of the issuance thereof.
##### **§ 52:18A-78.18** Reserves, funds or accounts; establishment {#sec-52-18a-78.18 omnilex-key=us-nj-statutes--title-52--52:18A-78.18}
The authority may establish such reserves, funds or accounts as may be in its discretion, necessary or desirable to further the accomplishment of the purposes of the authority or to comply with the provisions of any agreement made by or any resolution of the authority.
##### **§ 52:18A-78.19** Pledge and covenant not to alter rights and powers {#sec-52-18a-78.19 omnilex-key=us-nj-statutes--title-52--52:18A-78.19}
19. The State of New Jersey does hereby pledge to and covenant and agree with the holders of any bonds or notes issued pursuant to authorization of the act that the State will not limit or alter the rights or powers hereby vested in the authority to acquire, construct, maintain, improve, renovate, preserve, repair and operate any project in any way that would jeopardize the interest of the holders, or to perform and fulfill the terms of any agreement made with the holders of the bonds or notes, or to fix, establish, charge and collect such rents, fees, rates, payments, or other charges as may be convenient or necessary to produce sufficient revenues to meet all expenses of the authority and to fulfill the terms of any agreement made with the holders of the bonds and notes, together with interest thereon, with interest on any unpaid installments of interest, and all costs and expenses in connection with any action or proceedings by or on behalf of the holders, until the bonds and notes, together with interest thereon, are fully met and discharged or provided for.
##### **§ 52:18A-78.20** Bonds or notes as legal investment {#sec-52-18a-78.20 omnilex-key=us-nj-statutes--title-52--52:18A-78.20}
The State and all public officers, governmental units and agencies thereof, all banks, trust companies, savings banks and institutions, building and loan associations, savings and loan associations, investment companies, and other persons carrying on a banking business, all insurance companies, insurance associations and other persons carrying on an insurance business, and all executors, administrators, guardians, trustees and other fiduciaries, may legally invest any sinking funds, moneys or other funds belonging to them or within their control in any bonds or notes issued pursuant to this act, and such bonds or notes shall be authorized security for any and all public deposits.
##### **§ 52:18A-78.21** Lease of real property by state or local government agency to authority {#sec-52-18a-78.21 omnilex-key=us-nj-statutes--title-52--52:18A-78.21}
All State agencies and all local governmental agencies, notwithstanding any contrary provision of law, may lease, lend, grant or convey to the authority at its request upon such terms and conditions as the governing body or other proper authorities of the State agencies or local governmental agencies may deem reasonable and fair and without the necessity for any advertisement, order of court or other action or formality, other than the authorizing ordinance of the governing body of the municipality, the authorizing resolution or ordinance of the governing body of the county, or the regular and formal action of any public body concerned, any real property or interest therein which may be necessary or convenient to the effectuation of the purposes of the authority, including public highways and other real property already devoted to public use.
##### **§ 52:18A-78.22** Agreements between State agencies and authority {#sec-52-18a-78.22 omnilex-key=us-nj-statutes--title-52--52:18A-78.22}
22. All State agencies may purchase, lease, rent, sublease or otherwise acquire any project or any space embraced in any project and pay such amount as may be agreed upon between the State agency and the authority or a person, firm, partnership or corporation as the purchase price, rent or other charge therefor, except that all leases shall be subject to the approval of the State Leasing and Space Utilization Committee established pursuant to P.L.1992, c.130 (C.52:18A-191.1 et al.). Any agreement entered into by any State agency with the authority or a person, firm, partnership or corporation pursuant to the aforesaid authorization, shall expressly provide that the incurrence of any liabilities by the agency under the agreement, including, without limitation, the payment of any and all rentals or other amounts required to be paid by the agency thereunder, shall be subject to and dependent upon appropriations being made from time to time by the Legislature for that purpose and upon the approval of the lease agreement by the State Leasing and Space Utilization Committee.
##### **§ 52:18A-78.23** Tax exemption of projects and other property, and bonds and notes and interest; in lieu tax payment {#sec-52-18a-78.23 omnilex-key=us-nj-statutes--title-52--52:18A-78.23}
a. All projects and other property of the authority, and projects erected upon land owned by the authority if the projects have been financed, in whole or in part, directly or indirectly, by bonds or notes of the authority and the projects are used and occupied by State agencies, are declared to be public property devoted to an essential public and governmental function and purpose and shall be exempt from all taxes of the State or any political subdivision thereof; provided that when all or any part of a project is leased, subleased or licensed to, or otherwise used under an arrangement providing for the acquisition thereof by any person, firm, association, partnership or corporation, other than a State agency, a local governmental agency or other public body the interest created by the lease or other arrangement and the appurtenances thereto shall be listed as the property of the lessee or the user under the other arrangement, or their respective assignees, and be assessed and taxed as real estate, but this provision shall not be deemed to modify or repeal in any respect any tax exemption or tax abatement that the person, firm or corporation shall otherwise be entitled to with respect to the property of the project or part thereof. All bonds or notes issued pursuant to this act are declared to be issued by a body corporate and politic of the State and for an essential public and governmental purpose and these bonds and notes, and the interest thereon and the income therefrom and from the sale, exchange or other transfer thereof, and all funds, revenues, income and other moneys received or to be received by the authority shall at all times be exempt from taxation, except for transfer inheritance and estate taxes.
b. Projects and property of the authority, and projects erected upon land owned by the authority if the projects have been financed, in whole or in part, directly or indirectly, by bonds or notes of the authority and the projects are used and occupied by State agencies, shall be deemed to be "State property" under P.L.1977, c. 272 (C. 54:4-2.2a et seq.) and shall be assessed and subject to an in lieu tax payment provided in that act unless the interest created by a lease, sublease or license or other arrangement is subject to tax as real estate under this section.
##### **§ 52:18A-78.23a** Apartments created under Horizontal Property Act or unit created under Condominium Act as constituting parcel of real property {#sec-52-18a-78.23a omnilex-key=us-nj-statutes--title-52--52:18A-78.23a}
An apartment created under the "Horizontal Property Act," P.L.1963, c. 168 (C. 46:8A-1 et seq.), together with its undivided interest in the general common elements and limited common elements, or unit created under the "Condominium Act," P.L.1969, c. 257 (C. 46:8B-1 et seq.), together with its undivided interest in the common elements and limited elements, which is financed under the provisions of this act shall constitute a parcel of real property for all purposes under the laws of this State.
##### **§ 52:18A-78.24** Default on bonds or notes; trustee; appointment; powers and duties; jurisdiction and venue of suit, action or proceeding {#sec-52-18a-78.24 omnilex-key=us-nj-statutes--title-52--52:18A-78.24}
a. If the authority shall default in the payment of principal of, or interest on, any issue of notes or bonds after the same shall become due, whether at maturity or upon call for redemption, and the default shall continue for a period of 30 days, or if the authority shall fail or refuse to comply with the provisions of this act, or shall default in any agreement made with the holders of any issue of notes or bonds, the holders of 25% in aggregate principal amount of the notes or bonds of the issue then outstanding, by instrument or instruments filed in the office of the clerk of any county in which the authority operates and has an office and proved or acknowledged in the same manner as a deed to be recorded, may appoint a trustee to represent the holders of the notes or bonds for the purposes herein provided.
b. The trustee may, and upon written request of the holders of 25% in principal amount of the notes or bonds then outstanding shall, in his or its own name:
(1) By suit, action or proceeding enforce all rights of the noteholders or bondholders, to require the authority to carry out any other agreements with the holders of the notes or bonds and to perform its duties under this act;
(2) Bring suit upon the notes or bonds;
(3) By action or suit, require the authority to account as if it were the trustee of an express trust for the holders of the notes or bonds;
(4) By action or suit, enjoin any acts or things which may be unlawful or in violation of the rights of the holders of the notes or bonds;
(5) Declare all notes or bonds due and payable, and if all defaults shall be made good, then, with the consent of the holders of 25% of the principal amount of the notes or bonds then outstanding, to annul the declaration and its consequences.
c. The trustee shall in addition to the foregoing have and possess all of the powers necessary or appropriate for the exercise of any functions specifically set forth herein or incident to the general representation of bondholders or noteholders in the enforcement and protection of their rights.
d. The Superior Court shall have jurisdiction of any suit, action or proceeding by the trustee on behalf of the noteholders or bondholders. The venue of any suit, action or proceeding shall be laid in the county in which the principal office of the authority is located.
e. Before declaring the principal of notes or bonds due and payable, the trustee shall first give 30 days' notice in writing to the authority.
##### **§ 52:18A-78.25** Moneys received pursuant to act as trust funds {#sec-52-18a-78.25 omnilex-key=us-nj-statutes--title-52--52:18A-78.25}
All sums of money received pursuant to the authority of this act, whether as proceeds from the sale of bonds or notes or as revenues or receipts, shall be deemed to be trust funds to be held and applied solely as provided in the proceedings under which the bonds or notes are authorized. Any officer with whom or any bank or trust company with which such sums of money shall be deposited as trustee thereof shall hold and apply the same for the purposes thereof, subject to such provisions as this act and the proceedings authorizing the bonds or notes of any issue or the trust agreement securing the bonds or notes may provide.
##### **§ 52:18A-78.26** Annual report; audit of books and accounts {#sec-52-18a-78.26 omnilex-key=us-nj-statutes--title-52--52:18A-78.26}
On or before March 31 in each year the authority shall make an annual report of its activities for the preceding calendar year to the Governor and to the Legislature. The report shall set forth a complete operating and financial statement covering its operations during the year. The authority shall cause an audit of its books and accounts to be made at least once in each year by certified public accountants and the cost thereof shall be considered an expense of the authority and a copy thereof shall be filed with the State Treasurer and the Comptroller of the Treasury.
##### **§ 52:18A-78.27** Rendition of services by officers and units of state {#sec-52-18a-78.27 omnilex-key=us-nj-statutes--title-52--52:18A-78.27}
All officers, departments, boards, agencies, divisions and commissions of the State are authorized to render any and all of such services to the authority as may be within the area of their respective governmental functions as fixed or established by law, and as may be requested by the authority. The cost and expense of any such services shall be met and provided for by the authority.
##### **§ 52:18A-78.28** Affirmative action program {#sec-52-18a-78.28 omnilex-key=us-nj-statutes--title-52--52:18A-78.28}
a. The authority shall adopt rules and regulations to establish an affirmative action program for the hiring of minority workers employed in the performance of construction contracts undertaken in connection with any of its projects, and to expand the business opportunities of socially and economically disadvantaged contractors and vendors seeking to provide materials and services for those contracts, consistent with the provisions of the "Law Against Discrimination," P.L.1945, c. 169 (C. 10:5-1 et seq.). The authority shall provide for the proper enforcement and administration of these rules and regulations.
b. Within 180 days of the effective date of this act, but before adoption of its rules and regulations concerning its affirmative action program, the authority shall submit the proposed rules and regulations to the presiding officers and the standing committees on state government of both houses of the Legislature for their review.
##### **§ 52:18A-78.29** Payment of prevailing wage rate {#sec-52-18a-78.29 omnilex-key=us-nj-statutes--title-52--52:18A-78.29}
The authority shall adopt rules and regulations requiring that not less than the prevailing wage rate be paid to workers employed in the performance of construction contracts undertaken in connection with any of its projects. The prevailing wage rate shall be the rate determined by the Commissioner of Labor and Industry pursuant to the provisions of P.L.1963, c. 150 (C. 34:11-56.25 et seq.).
##### **§ 52:18A-78.30** Application of provisions of this act or regulations over inconsistent or conflicting laws or regulations {#sec-52-18a-78.30 omnilex-key=us-nj-statutes--title-52--52:18A-78.30}
It is the intent of the Legislature that in the event of any conflict or inconsistency in the provisions of this act and any other acts pertaining to matters herein established or provided for or in any rules and regulations adopted under this act or other acts, to the extent of the conflict or inconsistency, the provisions of this act and the rules and regulations adopted hereunder shall be enforced and the provisions of the other acts and rules and regulations adopted thereunder shall be of no effect.
##### **§ 52:18A-78.31** Severability {#sec-52-18a-78.31 omnilex-key=us-nj-statutes--title-52--52:18A-78.31}
If any clause, sentence, paragraph, section or part of this act shall be adjudged by any court of competent jurisdiction to be invalid, the judgment shall not affect, impair or invalidate the remainder thereof, but shall be confined in its operation to the clause, sentence, paragraph, section or part thereof directly involved in the controversy in which the judgment shall have been rendered.
##### **§ 52:18A-78.32** Liberal construction of act {#sec-52-18a-78.32 omnilex-key=us-nj-statutes--title-52--52:18A-78.32}
This act shall be construed liberally to effectuate the legislative intent and the purposes of this act as complete and independent authority for the performance of each and every act and thing herein authorized and all powers herein granted shall be broadly interpreted to effectuate such intent and purposes and not as a limitation of powers.
##### **§ 52:18A-79** Division of Investment established {#sec-52-18a-79 omnilex-key=us-nj-statutes--title-52--52:18A-79}
There is hereby established in the Department of the Treasury a Division of Investment.
##### **§ 52:18A-83** State Investment Council established; membership; terms. {#sec-52-18a-83 omnilex-key=us-nj-statutes--title-52--52:18A-83}
5. a. There is hereby established in the Division of Investment a State Investment Council which shall consist of 16 members.
(1) Each of the following agencies, namely, the Board of Trustees of the Public Employees' Retirement System, and the Board of Trustees of the Teachers' Pension and Annuity Fund, shall designate one board member elected to serve on the board, to serve as a member of the State Investment Council herein established. The Chief Justice of the New Jersey Supreme Court shall designate one member of the Retired Judges Association of New Jersey to serve as a member of the State Investment Council herein established. The three members of the council so designated shall serve as such for a period of three years from the date of their designation and until their respective successors are in like manner designated.
(2) Eight of the members of the State Investment Council shall be appointed by the Governor, with the advice and consent of the Senate, for a term of five years and shall serve until the member's successor is appointed and has qualified. Of the initial members appointed following the effective date of P.L.2011, c.78, one shall serve for an initial period of three years, and one shall serve for an initial period of two years.
(3) One member of the State Investment Council shall be appointed by the Governor from among three persons nominated jointly by the President of the Senate and the Speaker of the General Assembly and shall serve for a term of five years and until the member's successor is appointed and has qualified.
(4) Two members of the State Investment Council shall be appointed by the Governor from among six persons nominated by the Public Employee Committee of the New Jersey State AFL-CIO and shall serve for a term of five years and until the member's successor is appointed and has qualified. If the persons nominated are not acceptable to the Governor for appointment, the Governor may request submission of new nominees.
(5) One member of the State Investment Council shall be appointed by the Governor from among three persons nominated by the New Jersey Education Association and shall serve for a term of three years and until the member's successor is appointed and has qualified. If the persons nominated are not acceptable to the Governor for appointment, the Governor may request submission of new nominees.
(6) One member of the State Investment Council shall be appointed by the Governor from among three persons nominated by the State Troopers Fraternal Association and shall serve for a term of three years and until the member's successor is appointed and has qualified. If the persons nominated are not acceptable to the Governor for appointment, the Governor may request submission of new nominees.
The four members appointed pursuant to paragraphs (4), (5) and (6) of this subsection by the Governor to the council shall be qualified by training, experience or long-term interest in the direct management, analysis, supervision or investment of assets, and this training, experience or long-term interest shall have been supplemented by academic training in the fields of economics, business, law, finance or actuarial science or by actual employment in those fields.
At least seven of the nine members appointed pursuant to paragraphs (2) and (3) of this subsection by the Governor to the council shall be qualified by training and experience in the direct management, analysis, supervision or investment of assets, which training and experience shall have been acquired through academic training or through actual employment in those fields.
b. No member of the State Investment Council shall hold any office, position or employment in any political party nor shall any such member benefit directly or indirectly from any transaction made by the Director of the Division of Investment provided for herein.
The members of the council shall elect annually from their number a chairman of such council. Any member of the council so elected shall serve as such chairman for a term of one year and until a successor is, in like manner, elected. The chairman of the council shall be its presiding officer.
The members of the council shall serve without compensation but shall be reimbursed for necessary expenses incurred in the performance of their duties as approved by the chairman of the council. The members of the council shall be required to file the same annual financial disclosure statements as those required to be filed by members of other State boards and commissions who are not compensated for their services, as such statements shall be required by law or executive order of the Governor. The financial disclosure statements of council members shall be made available to the public in the same manner as the statements of members of other State boards and commissions are made available to the public.
Each member of the council, except the member appointed from among persons nominated by the President of the Senate and the Speaker of the General Assembly, may be removed from office by the Governor, for cause, upon notice and opportunity to be heard at a public hearing. Any vacancy in the membership of the council occurring other than by expiration of term shall be filled in the same manner as the original appointment, but for the unexpired term only.
c. The terms of the members of the council serving pursuant to paragraph (1) of subsection a. of this section and serving on the effective date of P.L.2011, c.78 are terminated as of that effective date. A member terminated pursuant to this subsection shall be eligible for reappointment.
##### **§ 52:18A-84** Director of Division of Investment. {#sec-52-18a-84 omnilex-key=us-nj-statutes--title-52--52:18A-84}
6. The Division of Investment established hereunder shall be under the immediate supervision and direction of a director, who shall be a person qualified by training and experience to direct the work of such division. The director of such division shall be appointed by the State Treasurer from a list of one or more persons qualified for such office and submitted to the State Treasurer by the State Investment Council; provided, that the State Treasurer may require the submission of an additional list or lists. Each list so submitted by the council shall also contain the qualifications of each person whose name appears thereon who shall be certified by the council to the State Treasurer as qualified for the office of director of such division. The detailed qualifications of each person so named by the council shall be contained in such certification.
Any director so appointed shall serve without term but may be removed from office (a) by the State Treasurer, for cause, upon notice and opportunity to be heard at a public hearing, or (b) by the State Investment Council, if seven or more members thereof shall vote for such director's removal from office.
Any vacancy occurring in the office of the Director of the Division of Investment shall be filled in the same manner as the original appointment.
The director of said division shall devote his entire time and attention to the duties of his office and shall not be engaged in any other occupation or profession. Notwithstanding any other provision of law to the contrary, the State Treasurer shall determine the salary of the director.
##### **§ 52:18A-84.1** Deputy Directors of Division of Investment. {#sec-52-18a-84.1 omnilex-key=us-nj-statutes--title-52--52:18A-84.1}
1. The State Treasurer shall, whenever he shall deem the same necessary, designate no more than two Deputy Directors of the Division of Investment, who shall be a person or persons qualified by training and experience to undertake such an office, and who shall serve as deputy director unless and until disapproved in writing by the State Investment Council. A second deputy director shall be designated only under the conditions set forth in this section. The State Treasurer's designation shall be in writing and shall be filed with the Secretary of State. The State Treasurer may at any time change or cancel one or both designations, which change or cancellation shall be in writing and shall be filed with the Secretary of State.
A Deputy Director of the Division of Investment shall have and exercise such of the powers and perform such of the functions and duties of the director as the director shall authorize and direct. Any such authorization and direction shall be in writing, signed by the State Treasurer and by the Director of the Division of Investment, and filed with the Secretary of State, and shall include a designation of the period during which it shall be and remain in force. No such authorization and direction shall be deemed to preclude the director himself from exercising the powers and the performance of the duties included in said authorization and direction. In the event that a vacancy occurs in the office of the director for any cause whatsoever, the person then holding the office of deputy director shall continue to hold such office and shall exercise the powers and perform the functions and duties of the director until the successor to the director shall be appointed and shall qualify.
The State Treasurer may designate a second deputy director of the division for a period not to exceed six months in anticipation of a vacancy in the director's position provided that the person so designated shall be the person the State Treasurer shall appoint as the Director of the Division of Investment pursuant to section 6 of P.L.1950, c.270 (C.52:18A-84) within or at the conclusion of the six-month period.
Notwithstanding any other provision of law to the contrary, the State Treasurer shall determine the salary for the position of deputy director the amount of which shall not exceed 95% of the salary of the director.
##### **§ 52:18A-85** Transfer of certain powers, duties; exceptions. {#sec-52-18a-85 omnilex-key=us-nj-statutes--title-52--52:18A-85}
7. The functions, powers and duties vested by law in the following enumerated agencies:
The Board of Trustees of the Public Employees' Retirement System; the Board of Trustees of the State Police Retirement System; the Prison Officers' Pension Commission; the Board of Trustees of the Teachers' Pension and Annuity Fund; and the Consolidated Police and Firemen's Pension Fund Commission; of, or relating to, investment or reinvestment of moneys of, and purchase, sale or exchange of any investments or securities of or for any funds or accounts under the control and management of such agencies, are hereby transferred to and shall be exercised and performed for such agencies by the Director of the Division of Investment established hereunder. Notwithstanding this provision, the Board of Trustees of the Police and Firemen's Retirement System shall have the authority to direct investment policy. The purchase, sale or exchange of any investments or securities under the control and management of the Board of Trustees of the Police and Firemen's Retirement System shall be exercised and performed by the Director of the Division of Investment. Notwithstanding this provision, Common Pension Fund L and the assets held by Common Pension Fund L as of the effective date of this Act and thereafter, including the interest of the Police and Firemen's Retirement System of New Jersey therein shall remain within the Division of Investment. The Division of Investment, the Director of the Division of Investment and the State Investment Council shall retain all functions, powers, and duties relating to Common Pension Fund L assigned to the Division of Investment, the Director of the Division of Investment, and the State Investment Council, by P.L. 2017, c. 98 (C.5:9-22.5 et seq.).
##### **§ 52:18A-86** Powers and duties relating to investment of certain funds to be performed by Director of Division of Investment {#sec-52-18a-86 omnilex-key=us-nj-statutes--title-52--52:18A-86}
The functions, powers and duties of, or relating to, investment or reinvestment of moneys of, and purchase, sale or exchange of, any investments or securities of or for, any of the following funds, namely:
The 1837 Surplus Revenue Fund;
The Veterans Loan Guaranty and Insurance Fund;
The Stock Workmen's Compensation Security Fund;
The Mutual Workmen's Compensation Security Fund; and
The Motor Vehicle Liability Security Fund;
and the functions, powers and duties of, or relating to, investment or reinvestment of moneys and purchase, sale or exchange of any investments or securities pursuant to the provisions of chapter 148 of the laws of 1944, and chapter 158 of the laws of 1947; are hereby transferred to and shall be exercised and performed by the Director of the Division of Investment established hereunder; provided, however, that before any investment, reinvestment, purchase, sale or exchange may be made by said director pursuant to the provisions of this section, he shall submit the details thereof to the State Treasurer, who shall, within 48 hours, exclusive of Sundays and public holidays, after such submission to him, file with the director his written acceptance or rejection of such proposed investment, reinvestment, purchase, sale or exchange; and the director shall have authority to make such investment, reinvestment, purchase, sale or exchange unless there shall have been filed with him a written rejection thereof by the State Treasurer as herein provided.
##### **§ 52:18A-86.1** Acceptance, investment of moneys {#sec-52-18a-86.1 omnilex-key=us-nj-statutes--title-52--52:18A-86.1}
3. The Director of the Division of Investment is authorized to accept, for purposes of investment, moneys from any joint self-insurance fund established by any school board insurance group pursuant to P.L.1983, c.108 (C.18A:18B-1 et seq.) and moneys from any joint insurance fund established by two or more units of local government, including contracting units, pursuant to P.L.1983, c.372 (C.40A:10-36 et seq.). All moneys accepted by the director pursuant to this section shall be invested on behalf of the funds in accordance with the standards governing the investment of other funds managed under the rules and regulations of the State Investment Council. Moneys accepted by the director pursuant to subsection c. of section 3 of P.L.1983, c. 372 (C.40A:10-38) may be invested and reinvested pursuant to the written directions of the commissioners, signed by an authorized officer of the joint insurance fund, or any investment or asset manager designated by them. The commissioners shall provide a written notice to the director detailing the extent of the authority delegated to the investment or asset manager so designated to act on behalf of the joint insurance fund.
##### **§ 52:18A-87** State Disability Benefits Fund; Trustees for Support of Public Schools; investments by Director of Division of Investment {#sec-52-18a-87 omnilex-key=us-nj-statutes--title-52--52:18A-87}
The functions, powers and duties vested by law in the Board of Trustees of the State Disability Benefits Fund and the Trustees for the Support of Public Schools, of, or relating to, investment or reinvestment of moneys of, and purchase, sale or exchange of any investments or securities of or for, any funds or accounts under the control and management of such agencies, are hereby transferred to and shall be exercised and performed for such agencies by the Director of the Division of Investment established hereunder; provided, however, that before any such investment, reinvestment, purchase, sale or exchange may be made by said director for or on behalf of any such agency, he shall submit the details thereof to the State Treasurer, who shall, within forty-eight hours, exclusive of Sundays and public holidays, after such submission to him, file with the director his written acceptance or rejection of such proposed investment, reinvestment, purchase, sale or exchange; and the director shall have authority to make such investment, reinvestment, purchase, sale or exchange, for or on behalf of such agency, unless there shall have been filed with him a written rejection thereof by the State Treasurer as herein provided.
##### **§ 52:18A-88.1** Investment, reinvestment of moneys on behalf of specified agencies. {#sec-52-18a-88.1 omnilex-key=us-nj-statutes--title-52--52:18A-88.1}
1. The Director of the Division of Investment, in addition to other investments, presently or from time to time hereafter authorized by law, shall have authority to invest and reinvest the moneys in, and to acquire for or on behalf of the funds of the following enumerated agencies:
The Consolidated Police and Firemen's Pension Fund;
The Police and Firemen's Retirement System of New Jersey;
The Prison Officers' Pension Fund;
The Public Employees' Retirement System of New Jersey;
The State Police Retirement System;
The Teachers' Pension and Annuity Fund;
The Judicial Retirement System of New Jersey;
The Trustees for the Support of Public Schools;
and all other funds in the custody of the State Treasurer, unless otherwise provided by law;
such investments which shall be authorized or approved for investment by regulation of the State Investment Council, or in the case of the Police and Firemen's Retirement System of New Jersey, by regulation of the Board of Trustees of the Police and Firemen's Retirement System of New Jersey, except that notwithstanding this provision, Common Pension Fund L and the assets held by Common Pension Fund L as of the effective date of this Act and thereafter, including the interest of the Police and Firemen's Retirement System of New Jersey therein shall remain within the Division of Investment. The Director of the Division of Investment and the State Investment Council shall retain all functions, powers, and duties relating to Common Pension Fund L assigned to the Division of Investment, the Director of the Division of Investment, and the State Investment Council, by P.L. 2017, c. 98 (C.5:9-22.5 et seq.).
##### **§ 52:18A-89** Limitations, conditions, restrictions continued; authorization of investments. {#sec-52-18a-89 omnilex-key=us-nj-statutes--title-52--52:18A-89}
11. a. Limitations, conditions and restrictions contained in any law concerning the kind or nature of investment of any of the moneys of any of the funds or accounts referred to herein shall continue in full force and effect; provided, however, that subject to any acceptance required, or limitation or restriction contained herein: the Director of the Division of Investment shall at all times have authority to invest and reinvest any such moneys in investments as defined in subsection c. of this section and, for or on behalf of any such fund or account, to sell or exchange any such investments; provided, however, that the Board of Trustees of the Police and Firemen's Retirement System of New Jersey shall have the authority to direct the investment and reinvestment policies for or on behalf of the Police and Firemen's Retirement System of New Jersey, with the exception of those monies held by Common Pension Fund L as of the effective date of this act and thereafter, which the Board of Trustees of the Police and Firemen's Retirement System of New Jersey shall have no authority to direct investment associated with the Common Pension Fund L. The Director of the Division of Investment shall retain all functions, powers, and duties pursuant to P.L. 2017, c. 98 (C.5:9-22.5 et seq.).
b. In investing and reinvesting any and all money and property committed to the director's investment discretion from any source whatsoever, and in acquiring, retaining, selling, exchanging and managing investments, the Director of the Division of Investment, and in the case of the Police and Firemen's Retirement System of New Jersey, the Board of Trustees of the Police and Firemen's Retirement System of New Jersey, shall exercise the care, skill, prudence and diligence under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with such matters would use in the conduct of an enterprise of a like character and with like aims. In making each investment, the director may, depending on the nature and objectives of the portfolio, consider the whole portfolio, provided that, in making each investment, the director shall act with the reasonable expectation that the return on each investment shall be commensurate with the risk associated with each investment. The director shall be under a duty to manage and invest the portfolio solely in the interests of the beneficiaries of the portfolio and for the exclusive purpose of providing financial benefits to the beneficiaries of the portfolio.
c. For the purposes of this section, "investments" means and includes property of every nature, real, personal and mixed, tangible and intangible, and specifically includes, solely by way of description and not by way of limitation, bonds, debentures and other corporate obligations, direct and indirect investments in equity real estate, mortgages and other direct or indirect interests in real estate or investments secured by real estate, capital stocks, common stocks, preferred stocks, diversified pools of venture capital which otherwise could be made consistent with the standard of care required by subsection b. of this section, common trust funds as defined in and regulated by sections 36 through 46 of P.L.1948, c.67 (C.17:9A-36 through 17:9A-46), repurchase agreements, securities loan transactions secured by cash, securities issued by the United States government or its agencies, or irrevocable bank letters of credit, whether directly or through a bank or similar financial institution acting as agent or trustee, mutual funds, and any other security issued by an investment company or investment trust, whether managed or not by third parties, registered under the "Investment Company Act of 1940," (15 U.S.C. s.80a-1 et seq.). No investment that is otherwise permissible under this subsection shall be considered to be unlawful solely because the investment is made indirectly or through a partnership, trust, or other legal entity.
##### **§ 52:18A-89.4** Findings, declarations {#sec-52-18a-89.4 omnilex-key=us-nj-statutes--title-52--52:18A-89.4}
The Legislature finds and declares that:
a. The State of New Jersey is cognizant of the unacceptable high unemployment levels in Northern Ireland and the attendant ills which arise from such a situation; and
b. The State wishes to support investment in Northern Ireland if certain minimal equal opportunity criteria are met.
##### **§ 52:18A-89.5** Standards for corporate activity {#sec-52-18a-89.5 omnilex-key=us-nj-statutes--title-52--52:18A-89.5}
Notwithstanding any law, rule or regulation to the contrary, the Director of the Division of Investment in the Department of the Treasury is authorized and directed to investigate the extent to which United States corporations or their subsidiaries doing business in Northern Ireland, in which the assets of any State pension or annuity fund are invested, adhere to principles of nondiscrimination in employment and freedom of workplace opportunity. In making this determination, the director shall consider, without limitation, the following standards for corporate activity:
a. Increasing the representation of individuals from underrepresented religious groups in the workforce, including managerial, supervisory, administrative, clerical and technical jobs;
b. Adequate security for the protection of minority employees both at the workplace and while traveling to and from work;
c. The banning of provocative religious or political emblems from the workplace;
d. All job openings should be publicly advertised and special recruitment efforts should be made to attract applicants from underrepresented religious groups;
e. Layoff, recall and termination procedures should not in practice favor particular religious groups;
f. The abolition of job reservations, apprenticeship restrictions and differential employment criteria, which discriminate on the basis of religion or ethnic origin;
g. The development of training programs that will prepare substantial numbers of current minority employees for skilled jobs, including the expansion of existing programs and the creation of new programs to train, upgrade and improve the skills of minority employees;
h. The establishment of procedures to assess, identify and actively recruit minority employees with potential for further advancement;
i. The appointment of a senior management staff member to oversee the company's affirmative action efforts and the setting up of timetables to carry out affirmative action principles.
The director may use information disseminated by, or surveys or reports of, international, national, independent, state or city agencies if, in the opinion of the State Investment Council, the information, survey or report satisfies the requirements of this section.
##### **§ 52:18A-89.6** Annual report {#sec-52-18a-89.6 omnilex-key=us-nj-statutes--title-52--52:18A-89.6}
The director shall report the results of the investigation to the Governor and the Legislature not later than January 15 of each year. The report shall include but not be limited to the names and addresses of all United States corporations operating in Northern Ireland in which the assets of any pension or annuity fund are invested, and the findings of the director relative to those corporations' adherence to the standards for corporate activity set forth in section 2 of this act. The director shall also report his recommendations, if any, based upon the findings of the investigation. The report shall be available for public inspection in the office of the Clerk of the General Assembly and of the Secretary of the Senate and in the office of the director.
##### **§ 52:18A-89.7** Encouragement of adherence by corporations {#sec-52-18a-89.7 omnilex-key=us-nj-statutes--title-52--52:18A-89.7}
The director shall, where necessary, appropriate, and consistent with prudent standards for fiduciary practice, initiate and support shareholder petitions or initiatives requiring adherence by the corporation to the standards set forth in section 2 of this act.
##### **§ 52:18A-89.8** Investments in Israeli obligations {#sec-52-18a-89.8 omnilex-key=us-nj-statutes--title-52--52:18A-89.8}
1. Notwithstanding the provisions of section 11 of P.L.1950, c.270 (C.52:18A-89) or any other law, rule or regulation to the contrary, the Director of the Division of Investment in the Department of the Treasury shall have the authority to invest and reinvest the assets of any pension or annuity fund under the jurisdiction of the division in securities at fair market value issued and unconditionally guaranteed as to interest and principal by the State of Israel.
##### **§ 52:18A-89.9** Pension, annuity funds, certain, investment in company with equity ties to Sudan, certain; prohibited. {#sec-52-18a-89.9 omnilex-key=us-nj-statutes--title-52--52:18A-89.9}
2. Notwithstanding any provision of law to the contrary, no assets of any pension or annuity fund under the jurisdiction of the Division of Investment in the Department of the Treasury, or its successor, shall be invested in any foreign company with an equity tie to government of Sudan or its instrumentalities and is engaged in business in or with the same. The provisions of this section shall not apply to the activities of any foreign company providing humanitarian aid to the Sudanese people through either a governmental or non-governmental organization.
As used in this section, "equity tie" means manufacturing or mining plants, employees or advisors, facilities or an investment, fiduciary, monetary or physical presence of any kind; and "humanitarian aid" means the provision of goods and services intended to relieve human suffering or to promote the general welfare, health, and religious and spiritual activities.
##### **§ 52:18A-89.10** Sale, redemption, divestiture, withdrawal from certain investments; time. {#sec-52-18a-89.10 omnilex-key=us-nj-statutes--title-52--52:18A-89.10}
3. The State Investment Council and the Director of the Division of Investment shall, after reviewing the recommendations of, and consulting with, an independent research firm that specializes in global security risk for portfolio determinations selected by the Treasurer, take appropriate action to sell, redeem, divest or withdraw any investment held in violation of the provisions of this act. This act shall not be construed to require the premature or otherwise imprudent sale, redemption, divestment or withdrawal of an investment, but such sale, redemption, divestment or withdrawal shall be completed not later than three years following the effective date of this act.
##### **§ 52:18A-89.11** Reports to Legislature; contents. {#sec-52-18a-89.11 omnilex-key=us-nj-statutes--title-52--52:18A-89.11}
4. Within 60 days after the effective date of this act, the Director of the Division of Investment shall file with the Legislature a report of all investments held as of the effective date of this act which are in violation of the provisions of this act. Every year thereafter, the director shall report on all investments sold, redeemed, divested or withdrawn in compliance with this act.
Each report after the initial report shall provide: a description of the progress which the division has made since the previous report and since the enactment of this act in implementing the provisions of section 2 of this act.
##### **§ 52:18A-89.12** Pension or annuity, investment in foreign companies having equity ties to Iran; prohibited. {#sec-52-18a-89.12 omnilex-key=us-nj-statutes--title-52--52:18A-89.12}
2. a. Notwithstanding any provision of law to the contrary, no assets of any pension or annuity fund under the jurisdiction of the Division of Investment in the Department of the Treasury, or its successor, shall be invested in any foreign company that has an equity tie to the government of Iran or its instrumentalities and is engaged in business operations with entities in the defense sector or nuclear sector of Iran, or engaged in business operations with entities involved in the natural gas or petroleum sectors of Iran, in or with that government and its instrumentalities. This prohibition shall not apply to the activities of any foreign company providing humanitarian aid to the Iranian people through either a governmental or non-governmental organization.
As used in this section, "equity tie" means manufacturing or mining plants, employees or advisors, facilities, or an investment, fiduciary, monetary or physical presence of any kind, including an ownership stake in one or more subsidiary or joint venture with one or more companies in the country; "humanitarian aid" means the provision of goods and services intended to relieve human suffering or to promote general welfare and health; "defense sector" means every industry or company, be it private or owned in whole or in part by the government of Iran or its instrumentalities, that is involved in the purchase, sale, manufacturing, testing or deployment of military supplies and weapons, including every company that provides military advisors and non-military personnel or that sells strategic information or services to companies that purchase, sell, manufacture, test or deploy military supplies and weapons, or the government of Iran or its instrumentalities; "nuclear sector" means every industry or company, be it private or owned in whole or in part by the government of Iran or its instrumentalities, that is involved in the purchase, sale, development, testing or deployment of nuclear technology of any kind or that provides advisors, researchers, scientists or technicians who are involved in the purchase, sale, development, testing or deployment of nuclear technology of any kind; and "natural gas or petroleum sectors" means those industries and companies that have as their business the owning rights to oil blocks, exporting, extracting, producing, refining, processing, exploring for, transporting, selling or trading of oil or natural gas, constructing, maintaining or operating a pipeline, refinery or other infrastructure and facilitating such activities, including supplies or services in support of such activities .
b. The State Investment Council and the Director of the Division of Investment, after reviewing the recommendations of and consulting with an independent research firm that specializes in global security risk for portfolio determinations selected by the State Treasurer, shall take appropriate action to sell, redeem, divest or withdraw any investment held in violation of subsection a. of this section. This section shall not be construed to require the premature or otherwise imprudent sale, redemption, divestment or withdrawal of an investment, but such sale, redemption, divestment or withdrawal shall be completed not later than three years following the effective date of P.L.2007, c.250 (C.52:18A-89.12).
c. Within 60 days after the effective date of P.L.2007, c.250 (C.52:18A-89.12), the Director of the Division of Investment shall file with the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), a report of all investments held as of the effective date that are in violation of subsection a. of this section. Every year thereafter, the director shall report on all investments sold, redeemed, divested or withdrawn in compliance with subsection b. of this section.
Each report after the initial report shall provide a description of the progress that the division has made since the previous report and since the enactment of P.L.2007, c.250 (C.52:18A-89.12) in implementing subsection b. of this section.
d. Notwithstanding the other provisions of this section to the contrary, this act shall be of no effect if:
(1) the Congress or the President of the United States, affirmatively and unambiguously, declares by means including, but not limited to, legislation, executive order, or written certification from the President to Congress that the government of Iran has ceased to acquire or develop weapons of mass destruction and, to support international terrorism; or
(2) the United States revokes all sanctions imposed against the government of Iran.
e. State Investment Council members, jointly and individually, and State officers and employees involved therewith, shall be indemnified and held harmless by the State of New Jersey from all claims, demands, suits, actions, damages, judgments, costs, charges and expenses, including court costs and attorney's fees, and against all liability, losses and damages of any nature whatsoever that these State Investment Council members, and State officers and employees, shall or may at any time sustain by reason of any decision to restrict, reduce or eliminate investments pursuant to this act.
##### **§ 52:18A-89.13** Findings, declarations relative to investment of State funds in companies boycotting Israel. {#sec-52-18a-89.13 omnilex-key=us-nj-statutes--title-52--52:18A-89.13}
1. The Legislature finds and declares that:
Israel and the United States are allies sharing a common bond rooted in the values of freedom, democracy, and equal rights.
The State of New Jersey is committed to supporting Israel and maintaining the strong New Jersey-Israel relationship that has existed since the founding of the Jewish state in 1948, recognizing that the United States and Israel have mutually benefitted from being allies, including economic cooperation, which Congress has determined materially benefits the United States.
The State is deeply concerned about the Boycott, Divestment and Sanctions (BDS) effort to boycott Israeli goods, products, and businesses which is contrary to federal policy articulated in numerous laws.
The State and Israel have a long history of friendship based on economic, cultural, intellectual, and political cooperation and exchange, and the elected representatives of New Jersey recognize and support Israel's right to exist as a Jewish state.
More than $1.3 billion in goods and services are traded annually between New Jersey and Israel, and the two trading partners continue to look for and find new opportunities to enhance cooperation and initiatives of mutual economic benefit.
Boycotts, divestments, and sanctions place economic and political pressure on business entities, and other organizations and institutions to influence their behavior against Israel.
It is fitting and appropriate that the State of New Jersey reaffirm its interest in viable trade and exchange with an ally of the United States and a vibrant economic partner of the State.
Economic cooperation and political reconciliation are necessary for building mutual trust and foundations for a lasting peace in the Middle East.
Both Israelis and Palestinians have the right to live safely and securely in their homes, free from fear and violence, with mutual recognition, trade, and normalization of relations as neighbors.
The strengthening of New Jersey-Israel cooperation recognizes the beneficial economic and technological value of that cooperation including for improving the competitive capabilities in global markets for both New Jersey and Israel.
Nationality-based boycott actions are often veiled discrimination, and it is against the public policy of New Jersey to support such discrimination.
Boycotts, such as those against Israel, do not make for effective business decision making, prevent a business from making the best use of the resources available to it and should be opposed as an impairment to the soundness of commercial contracting performance.
It is important to the economic well-being of New Jersey that persons or entities conducting commercial trade and doing business in the State do not engage in boycotts of a legitimate and viable partner with whom New Jersey can enjoy open trade contracting.
Therefore, it is in the best interest of this State that a statutory prohibition be enacted to prohibit the investment of public employee retirement funds in companies boycotting Israel.
##### **§ 52:18A-89.14** Investment in companies which boycott Israel prohibited. {#sec-52-18a-89.14 omnilex-key=us-nj-statutes--title-52--52:18A-89.14}
2. a. Notwithstanding any provision of law to the contrary, no assets of any pension or annuity fund under the jurisdiction of the Division of Investment in the Department of the Treasury, or its successor, shall be invested in any company that boycotts the goods, products, or businesses of Israel, boycotts those doing business with Israel, or boycotts companies operating in Israel or Israeli-controlled territory. This section shall not apply to those boycotts organized by foreign governments pursuant to 50 U.S.C. s.4607(c). The activities of any company solely providing humanitarian aid to the Palestinian people through either a governmental or non-governmental organization shall not render the company subject to the provisions of this act, P.L.2016, c.24 (C.52:18A-89.13 et seq.) unless it is also engaging in the prohibited boycotts or otherwise discriminating against goods, products, or businesses of Israel, or entities operating in Israel or Israeli-controlled territory.
b. The State Investment Council and the Director of the Division of Investment shall take appropriate action to sell, redeem, divest, or withdraw any investment held in violation of subsection a. of this section. This section shall not be construed to require the premature or otherwise imprudent sale, redemption, divestment, or withdrawal of an investment, but such sale, redemption, divestment, or withdrawal shall be completed not later than 24 months following the effective date of this act.
c. Within 120 days after the effective date of this act, the Director of the Division of Investment shall file with the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), a report of all investments held as of the effective date that are in violation of subsection a. of this section. The State Investment Council and the Director of the Division of Investment shall use its best efforts to identify all companies that boycott Israel and these efforts shall include, but are not limited to, the following, as appropriate in the judgment of the State Investment Council and the Director of the Division of Investment:
(1) reviewing and relying on publicly available information regarding companies that boycott Israel, including information provided by non-profit organizations, research firms, and government entities;
(2) contacting other institutional investors that have divested from companies that boycott Israel; and
(3) retaining an independent research firm to identify companies that boycott Israel.
One year thereafter, and every subsequent year on the anniversary of the effective date of this act, the director shall report on all investments sold, redeemed, divested, or withdrawn in compliance with subsection b. of this section. The report shall provide a description of the progress that the division has made since the previous report and since the effective date of this act in implementing subsection b. of this section.
d. The members of the State Investment Council, jointly and individually, and State officers and employees involved therewith, shall be indemnified and held harmless by the State of New Jersey from all claims, demands, suits, actions, damages, judgments, costs, charges, and expenses, including court costs and attorney's fees, and against all liability, losses, and damages that these council members, and State officers and employees, may sustain by reason of any decision to restrict, reduce, or eliminate investments pursuant to this act.
e. As used in this act, "humanitarian aid" means the provision of goods and services intended to relieve human suffering or to promote general welfare and health; "Boycott, Divestment, and Sanctions" (BDS) refers to the encouragement of boycotts, divestments and sanctions that place economic and political pressure on states, business entities, and other organizations and institutions to influence their behavior against Israel; "boycott" means engaging in actions that are intended to penalize, inflict economic harm on, or otherwise limit commercial relations with another state or nation; "divestment" means to sell, redeem, or withdraw all holdings of a company from the investment portfolio of another company or of a governmental entity; and "sanctions" means the attempts by national governments, multilateral organizations and other international bodies or their subdivisions to limit or ban trade or other relations with a state or nation.
f. The provisions of this act are severable. If any phrase, clause, sentence, provision or section is declared to be invalid or preempted by federal law or regulation, the validity of the remainder of this act shall not be affected thereby.
##### **§ 52:18A-89.15** Department of the Treasury use of qualified minority and women-owned financial institutions {#sec-52-18a-89.15 omnilex-key=us-nj-statutes--title-52--52:18A-89.15}
1. a. The Director of the Division of Investment in the Department of the Treasury shall, subject to and consistent with the director's fiduciary duties and the standard for prudent investment set forth in section 11 of P.L.1950, c.270 (C.52:18A-89), attempt to use to the greatest extent feasible qualified minority and women-owned financial institutions to provide brokerage and investment management services.
b. As used in this section:
"Qualified minority and women-owned financial institution" means a financial institution qualified to engage in State investment transactions that has a valid certification as a "minority business" or a "women's business" pursuant to P.L.1986, c.195 (C.52:27H-21.17 et seq.).
##### **§ 52:18A-89.16** Assets of pension, any annuity fund under the Division of Investment, Department of Treasury, prohibited from investment in listed entity with certain ties to Russia, Belarus. {#sec-52-18a-89.16 omnilex-key=us-nj-statutes--title-52--52:18A-89.16}
6. a. Notwithstanding any provision of law to the contrary, except section 11 of P.L.1950 c.270 (C.52:18A-89), as amended, no assets of any pension or annuity fund under the jurisdiction of the Division of Investment in the Department of the Treasury, or its successor, shall be invested directly in a company included in the Department of the Treasury's list created pursuant to subsection b. of section 1 of P.L.2022, c.3 (C.52:32-60.1) for engaging in prohibited activities in Russia or Belarus.
b. The State Investment Council and the Director of the Division of Investment shall take appropriate action to sell, redeem, divest, or withdraw any investment held in violation of subsection a. of this section. Any appropriate action to sell, redeem, divest, or withdraw any investment shall be completed not later than one year following the date that such investment is identified as being in violation of subsection a. of this section, provided that if such sale, redemption, divestment, or withdrawal within such one-year period would be premature or otherwise imprudent and inconsistent with the requirements of section 11 of P.L.1950 c.270 (C.52:18A-89), as amended, such sale, redemption, divestment, or withdrawal shall be completed as soon thereafter as such requirements are met.
c. Within 90 days after the effective date of P.L.2022, c.3 (C.52:32-60.1 et al.), the Director of the Division of Investment shall file with the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), a report of all investments held as of the effective date that are in violation of subsection a. of this section.
d. State Investment Council members, jointly and individually, and State officers and employees involved therewith, shall be indemnified and held harmless by the State of New Jersey from all claims, demands, suits, actions, damages, judgments, costs, charges, and expenses, including court costs and attorney's fees, and against all liability, losses, and damages of any nature whatsoever that these State Investment Council members, and State officers and employees, shall or may at any time sustain by reason of any decision to restrict, reduce, or eliminate investments pursuant to this act.
##### **§ 52:18A-90** Employees of State Investment Council {#sec-52-18a-90 omnilex-key=us-nj-statutes--title-52--52:18A-90}
The State Treasurer, with the approval of the State Investment Council, shall assign to the Division of Investment such employees in the Department of the Treasury as may be necessary to assist the director in the performance of his duties and for the efficient operation of the work of the division.
##### **§ 52:18A-90.1** Common trust fund {#sec-52-18a-90.1 omnilex-key=us-nj-statutes--title-52--52:18A-90.1}
Notwithstanding any statute or rule of law to the contrary, the Director of the Division of Investment may, subject to the approval of the State Investment Council and the State Treasurer, establish, maintain and operate one or more common trust funds, in which may be combined for the purpose of investment, money and property belonging to the various funds in the custody of the State Treasurer; provided, however, that there shall not be combined in any common trust fund, excepting the State of New Jersey Cash Management Fund established pursuant to section 1 of this amendatory and supplementary act, moneys and property of any fund the income of which inures to the benefit of the General State Fund and money and property of any fund the income of which inures to the benefit of said fund.
##### **§ 52:18A-90.2** Record of capital contributions of participating funds with income inuring to benefit of general state fund {#sec-52-18a-90.2 omnilex-key=us-nj-statutes--title-52--52:18A-90.2}
In any common trust fund where the income of the participating funds inures to the benefit of the General State Fund, the participating capital contributions of said funds shall be evidenced by appropriate entries on records maintained by the Bureau of Accounting in the Division of Budget and Accounting, Department of the Treasury.
##### **§ 52:18A-90.3** Certificates of ownership in common trust fund; distributions {#sec-52-18a-90.3 omnilex-key=us-nj-statutes--title-52--52:18A-90.3}
In any common trust fund where the income of the participating funds inures to the benefit of the participating funds, ownership in the common trust fund shall be delineated by units which shall be evidenced by certificates issued by the Director of the Division of Investment.
Any and all interest and cash dividends received by such common trust fund shall be distributed monthly to the participating funds in the proportion of the number of units owned by each such fund. The State Investment Council may, from time to time, designate as income to the participating funds, such amounts of the realized appreciation of principal to the common trust fund as it may deem prudent. Such income shall be distributed to the participating funds in the proportion of the number of units owned by each fund. The valuation of each unit in the common trust fund shall be determined in a manner to be established by regulation of the State Investment Council.
##### **§ 52:18A-90.4** State of New Jersey Cash Management Fund. {#sec-52-18a-90.4 omnilex-key=us-nj-statutes--title-52--52:18A-90.4}
1. a. Notwithstanding the provisions of section 2 of P.L.1970, c.270 (C.52:18A-90.2), the Director of the Division of Investment may, subject to the approval of the State Investment Council and the State Treasurer, establish, maintain and operate a common trust fund to be known as the State of New Jersey Cash Management Fund in which may be deposited the surplus public moneys of the State, its counties, municipalities and school districts and the agencies or authorities created by any of these entities. This fund shall be considered a legal depository for public moneys and shall satisfy the requirements in that regard of section 1 of P.L.1956, c.174 (C.52:18-16.1) and N.J.S.40A:5-14.
b. The State Treasurer shall be the custodian of the fund and may receive public moneys paid into the fund by any other custodian of public moneys for the purpose of holding and investing said moneys. In that capacity, he may enter into an agreement with any one or more of the national banks and the banks authorized by this State to carry on a banking business, as he may select, for the custodianship of securities held in the fund and for recording the amounts deposited and withdrawn by each participant, the investment transactions entered into, and the balance to each participant's credit each day. A bank selected by the State Treasurer as custodian pursuant to this section shall have a physical presence in this State in the form of a principal office or branch office and shall employ New Jersey residents. Each bank selected by the State Treasurer may use recognized depositories or clearinghouses for the securities held in the fund or may use other banks as sub-custodians or sub-fiscal agents for these securities, provided that in every case each bank selected by the State Treasurer shall retain primary responsibility for these securities.
c. If a bank selected by the State Treasurer delegates its responsibilities as custodian or fiscal agent, or both, to a sub-custodian or sub-fiscal agent, the sub-custodian or sub-fiscal agent shall be responsible for the services delegated to it to the same degree as the primary custodian or primary fiscal agent and shall maintain accounting records and be otherwise held accountable to the same degree of fiduciary duty and responsibility as the appointing primary custodian or fiscal agent.
d. A bank selected by the State Treasurer as a primary custodian or fiscal agent which delegates its responsibilities as custodian or fiscal agent, or both, to a sub-custodian or sub-fiscal agent, shall not be relieved of its fiduciary duties and responsibilities.
e. The State Treasurer may promulgate such rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), as he deems necessary for the efficient administration of the State of New Jersey Cash Management Fund, including but not limited to, (1) the specification of minimum amounts which may be deposited in the fund and minimum periods of time for which deposits shall be retained in the fund; (2) creation of a reserve for losses; (3) provision for payment of administration expenses from its earnings; and (4) distribution of the earnings in excess of such expenses or allocation of losses to the several participants in a manner which equitably reflects the differing amounts of their respective investments and the differing periods of time for which such amounts were in the custody of the fund.
f. The Director of the Division of Investment may invest the public moneys constituting the State of New Jersey Cash Management Fund in the same types of investments and subject to the same limitations provided for the investment of funds in the State Treasury. The director shall be responsible for the adequacy of the accounting services provided by the custodian bank and shall maintain such accounting records as may be required for that purpose.
g. The Director of the Division of Investment may establish separate sub-funds within the State of New Jersey Cash Management Fund or establish a separate fund where the public moneys are invested in tax-exempt securities in order to segregate and account for separately the investment of moneys from participants in the fund to comply with federal law and regulations governing tax-exempt securities, provided however, that such sub-funds or funds shall be subject to all laws and regulations that apply to the New Jersey Cash Management Fund.
##### **§ 52:18A-90.4a** Definitions used in C.52:18A-90.4. {#sec-52-18a-90.4a omnilex-key=us-nj-statutes--title-52--52:18A-90.4a}
4. As used in section 1 of P.L.1977, c.281 (C.52:18A-90.4):
"Branch office" means an office at a fixed location other than a principal office, however designated, at which any business that may be conducted in a principal office of a bank may be transacted.
"Clearinghouse" means an association of banks or other payors regularly settling mutual claims, accounts and other items such as securities, payments and income.
"Custodian," "primary custodian," "fiscal agent" and "primary fiscal agent" means a bank which is selected by the State Treasurer to perform fiduciary functions in the maintenance of public trust funds and assets.
"Depository" means a separately incorporated bank or association of banks which serves as a temporary trustee for securities on behalf of a custodian, sub-custodian, fiscal agent or sub-fiscal agent.
"Principal office" means the headquarters of a bank which is its principal place of business.
"Sub-custodian" or "sub-fiscal agent" means a bank, located in any state or country, to which a primary custodian or primary fiscal agent may delegate its duties and responsibilities.
##### **§ 52:18A-91** Powers and duties of State Investment Council. {#sec-52-18a-91 omnilex-key=us-nj-statutes--title-52--52:18A-91}
13. a. The State Investment Council shall consult with the Director of the Division of Investment from time to time with respect to the work of the division. It shall have access to all files and records of the division and may require any officer or employee therein to provide such information as it may deem necessary in the performance of its functions. The council shall have authority to inspect and audit the respective accounts and funds administered through the Division of Investment. It shall formulate and establish, and may from time to time amend, modify or repeal, such policies as it may deem necessary or proper, which shall govern the methods, practices or procedures for investment, reinvestment, purchase, sale or exchange transactions to be followed by the Director of the Division of Investment established hereunder, except that the provisions of this subsection shall not apply to the operations account of Common Pension Fund L established pursuant to section 6 of P.L.2017, c.98 (C.5:9-22.10). Notwithstanding any provision of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the council may adopt, immediately upon filing with the Office of Administrative Law such policies and regulations relating to the investment account, established pursuant to section 6 of P.L.2017, c.98 (C.5:9-22.10), as are necessary to implement that section, which regulations shall be effective for a period not to exceed 12 months following adoption, and may thereafter be amended, adopted, or readopted by the council in accordance with the requirements of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
b. On or before January first of each year, and at such other times as it may deem in the public interest, the council shall report to the Governor, the Legislature, and the State Treasurer with respect to its work and the work of the Division of Investment. In addition to the reports specified above and in section 14 of P.L.1950, c.270 (C.52:18A-92), the council shall issue a report by March 1 of each year on the investment activities for the prior State fiscal year, which shall include a summary of the current investment policies and strategies of the council and those in effect during the prior State fiscal year, a detailed summary for each financial product of the amount invested, performance benchmarks, and actual performance during the State fiscal year. The report shall be submitted to the Governor, the Legislature, and the State Treasurer, and shall be made available to the public through the official Internet site of the State. In addition, the council shall issue a report listing, in the aggregate and segregated by asset class, the investment returns achieved by the State-administered retirement system funds under the council's supervision by external managers. As part of any contract between the council and an external manager for the investment of State-administered retirement system funds executed after the effective date of P.L.2017, c.277, the council shall require the external manager to disclose the rate and amount of fees charged by the external manager, including performance-based earnings and carried interest. The council shall include such rate and fees in the council's report and shall submit the report to the boards of trustees of each State-administered retirement system mentioned in the report and to the Division of Pensions and Benefits, which shall post the report on its Internet website in the same location as other reports and analyses produced by the division.
c. The council shall hold a meeting each year that shall be open to the public, and shall accept comments from the public at such meeting. The matters that shall be open to discussion and public comment during this annual meeting shall include the investment policies and strategies of the council, the investment activities of the council, the financial disclosure statements filed by council members, and the certification of contributions filed by external managers, as well as other appropriate matters concerning the operations, activities and reports of the council.
d. An external manager shall be required to file a certification before being retained, and annually thereafter, that discloses the political contributions made, during the 12 months preceding the certification, by the manager or the manager's firm, or a political committee in which the manager or firm was active. The certification shall specify the political contributions made to candidates for elective public office in this State and any political committee established for the support of such candidates, and contributions made for the transition and inaugural expenses of any candidate who is elected to public office. As used in this subsection, "contribution" and "political committee" shall have the meaning set forth in "The New Jersey Campaign Contributions and Expenditures Reporting Act," P.L.1973, c.83 (C.19:44A-1 et al.). This certification shall be in addition to any other such disclosure required by law or executive order of the Governor.
##### **§ 52:18A-91.1** State Investment Council members forbidden to vote on certain transactions. {#sec-52-18a-91.1 omnilex-key=us-nj-statutes--title-52--52:18A-91.1}
1. a. Notwithstanding the provision of any law, rule or regulation to the contrary, a member of the State Investment Council shall not vote on transactions before the State Investment Council for approval or otherwise, if the transaction involves an investment for which any one of the following conflicts of interest exist:
the member of the State Investment Council is or was employed by the entity in which the investment is made or which offers the investment,
the spouse of the member of the State Investment Council is or was employed by the entity in which the investment is made or which offers the investment,
the member of the State Investment Council has a direct investment exceeding $5,000 in the entity in which the investment is made or which offers the investment, or
the spouse of the member of the State Investment Council has a direct investment exceeding $5,000 in the entity in which the investment is made or which offers the investment.
b. If a member of the State Investment Council violates the requirements of subsection a. of this section, the member shall be removed from the State Investment Council by the chairman of the State Investment Council or, if it is the chairman who is to be removed, by the remaining members of the State Investment Council, but only for cause, and upon notice of the grounds of the violation, and an opportunity of the member to be heard thereon at a public hearing of the State Investment Council. If a removal is executed pursuant to this subsection, the State Investment Council shall immediately report the removal to the Governor and, in accordance with section 2 of P.L.1991, c.164 (C.52:14-19.1), the Legislature.
c. This section shall not be construed to relieve members of the State Investment Council from a recusal otherwise required in accordance with law, rule, or regulation. This section shall not be construed to relieve members of the State Investment Council from the requirement imposed pursuant to the first sentence of subsection b. of section 5 of P.L.1950, c.270 (C.52:18A-83).
d. The State Investment Council shall, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt rules and regulations to effectuate the purposes of this section, including but not limited to the procedure for executing a removal pursuant to subsection b. of this section.
e. As used in this section:
"Direct investment" means the ownership or control of an investment by an individual that occurs directly, rather than through an investment vehicle, including but not limited to a mutual fund, closed-end fund or unit investment trust.
"Employed" means to work for compensation, whether as an agent, employee, independent contractor or other designation.
"Entity" means an assignee, association, company, corporation, estate, fiduciary, individual, joint stock company, limited partnership, partnership, receiver, referee, S corporation, society, sole proprietorship, trust, trustee, and any other legal entity.
"Spouse" means a husband, wife or civil union partner.
"Investment" means "investments" as that term is defined pursuant to subsection c. of section 11 of P.L.1950, c.270 (C.52:18A-89).
##### **§ 52:18A-92** Report of operations of Division of Investment {#sec-52-18a-92 omnilex-key=us-nj-statutes--title-52--52:18A-92}
Not later than fifteen days after the close of each month, the Director of the Division of Investment shall cause to be prepared and make available to the State Treasurer, the State Investment Council, the press and the public, a report of the operations of the Division of Investment during said month. Each report shall include a detailed summary of investment, reinvestment, purchase, sale or exchange transactions, setting forth, among other things, the investments bought, sold and exchanged, the dates thereof, the prices paid and obtained, the names of the dealers involved, and a statement of the funds or accounts referred to herein.
##### **§ 52:18A-93** Bond of Director {#sec-52-18a-93 omnilex-key=us-nj-statutes--title-52--52:18A-93}
Before entering upon his duties, the Director of the Division of Investment established hereunder shall give bond conditioned upon the faithful performance of his duties. The bond of the director shall be approved by the Attorney-General and shall be in a sum not less than one hundred thousand dollars ($100,000.00).
##### **§ 52:18A-94** Inconsistent laws {#sec-52-18a-94 omnilex-key=us-nj-statutes--title-52--52:18A-94}
To the extent that the provisions of this act are inconsistent with the provisions of any other law, the provisions of this act shall be controlling.
##### **§ 52:18A-95** Division of Pensions established {#sec-52-18a-95 omnilex-key=us-nj-statutes--title-52--52:18A-95}
There is hereby created and established within the Department of the Treasury a Division of Pensions.
##### **§ 52:18A-95.1** Division of Pensions renamed Division of Pensions and Benefits {#sec-52-18a-95.1 omnilex-key=us-nj-statutes--title-52--52:18A-95.1}
36. The Division of Pensions in the Department of the Treasury, created and established by P.L.1955, c.70 (C.52:18A-95 et seq.), shall be known and be referred to as the Division of Pensions and Benefits. Any reference in a law, rule, regulation, judicial or administrative proceeding, or otherwise to the Division of Pensions shall mean and refer to the Division of Pensions and Benefits.
##### **§ 52:18A-96** Transfer of agencies and their functions, powers, duties, equipment and records--exceptions {#sec-52-18a-96 omnilex-key=us-nj-statutes--title-52--52:18A-96}
The following agencies, namely the Board of Trustees of the Public Employees' Retirement System, the Prison Officers' Pension Commission, the Board of Trustees of the Teachers' Pension and Annuity Fund, the Board of Trustees of the Alcoholic Beverage Law Enforcement Officers' Pension Fund, the Board of Trustees of the Police and Firemen's Retirement System of New Jersey, and the Consolidated Police and Firemen's Pension Fund Commission, and all of their respective present functions, powers, duties, equipment and records, excepting, however, documents, records and equipment relating to their respective investments which documents, records and equipment shall remain in the Division of Investment of the Department of the Treasury, are hereby transferred to the Division of Pensions created and established hereunder in the Department of the Treasury.
##### **§ 52:18A-97** Powers and duties of enumerated agencies continued {#sec-52-18a-97 omnilex-key=us-nj-statutes--title-52--52:18A-97}
Except as is otherwise provided in this act, and in chapter 270 of the laws of 1950, as amended and supplemented; (1) each of the respective agencies enumerated in section 2 hereof shall continue to have all of the powers and shall exercise all of the functions and duties vested in, or imposed upon it by existing law; (2) this act shall not affect the terms of office of the present members of such agencies; and (3) such agencies shall continue to be constituted as provided by existing law.
##### **§ 52:18A-98** Authority to appoint, employ or remove personnel {#sec-52-18a-98 omnilex-key=us-nj-statutes--title-52--52:18A-98}
The authority, vested pursuant to any law in any of the respective agencies, to appoint, employ or remove administrative, clerical or any other personnel, is hereby transferred to and vested in the State Treasurer. The State Treasurer shall fix the compensation and duties of persons appointed or employed by him.
##### **§ 52:18A-99** Director; appointment and qualifications; tenure and salary {#sec-52-18a-99 omnilex-key=us-nj-statutes--title-52--52:18A-99}
The Division of Pensions established hereunder shall be headed, directed and supervised by a director, who shall be a person qualified by training and experience to direct the work of such division. The director of such division shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve during the term of the Governor appointing him, and until the director's successor is appointed and has qualified. The Director of the Division of Pensions shall receive such salary as shall be provided by law.
##### **§ 52:18A-100** Functions, powers, duties of Director of Division of Investment not affected {#sec-52-18a-100 omnilex-key=us-nj-statutes--title-52--52:18A-100}
Nothing in this act shall be construed or deemed to change, vary, or modify the provisions of chapter 270 of the laws of 1950, as amended and supplemented, vesting in the Director of the Division of Investment of the Department of the Treasury, the functions, powers and duties of the agencies enumerated in section 2 hereof, or relating to, investment or reinvestment of moneys of, and purchase, sale or exchange of any investments or securities of or for any funds or accounts under the control and management of such agencies, which functions, powers and duties aforementioned shall continue to be exercised by said Director of the Division of Investment.
##### **§ 52:18A-101** Personal rights not affected {#sec-52-18a-101 omnilex-key=us-nj-statutes--title-52--52:18A-101}
Nothing in this act shall be construed to deprive any person of any tenure rights or of any right or protection provided him or her by Title 11 of the Revised Statutes, or under any pension law or retirement system.
##### **§ 52:18A-102** Repealer {#sec-52-18a-102 omnilex-key=us-nj-statutes--title-52--52:18A-102}
Section 14 of chapter 92 of the laws of 1948 is hereby repealed.
##### **§ 52:18A-103** Repealer {#sec-52-18a-103 omnilex-key=us-nj-statutes--title-52--52:18A-103}
Section 15 of chapter 92 of the laws of 1948 is hereby repealed.
##### **§ 52:18A-104** Inconsistent acts {#sec-52-18a-104 omnilex-key=us-nj-statutes--title-52--52:18A-104}
Any act or acts or portion of any act or acts inconsistent with the terms and provisions of this act, are hereby repealed.
##### **§ 52:18A-105** Affixing voucher signatures by machine {#sec-52-18a-105 omnilex-key=us-nj-statutes--title-52--52:18A-105}
Persons designated by chapter 13 of Title 18 of the Revised Statutes, chapter 37 of the laws of 1955, chapters 7 and 16 of Title 43 of the Revised Statutes, chapter 255 of the laws of 1944, chapter 423 of the laws of 1953 and chapter 84 of the laws of 1954, to sign vouchers for the payment of moneys from pension funds established pursuant to said statutes may delegate to the respective secretaries of said pension funds the authority to affix the signatures of such designated persons by means of a machine. Such delegation shall be in writing and filed with the Secretary of State.
##### **§ 52:18A-106** Bond {#sec-52-18a-106 omnilex-key=us-nj-statutes--title-52--52:18A-106}
The secretary of each of said pension funds shall enter into bond with 2 or more sureties, to be approved by the State Treasurer, in the sum of $100,000.00 payable to the pension fund of which he is the secretary, conditioned for the faithful performance of his official duties. Such bond shall be filed in the office of the Secretary of State.
##### **§ 52:18A-107** Purpose of act {#sec-52-18a-107 omnilex-key=us-nj-statutes--title-52--52:18A-107}
The purpose of this act is to enable active members of the several State administered retirement systems to make voluntary additional contributions to provide annuities to supplement their retirement allowances provided by such systems.
##### **§ 52:18A-108** Definitions. {#sec-52-18a-108 omnilex-key=us-nj-statutes--title-52--52:18A-108}
2. As used in this act:
a. "Fiscal year" means any year commencing on July 1 and ending on June 30 next following.
b. "Participant" means (1) for the purposes of the Supplemental Annuity Collective Trust under section 4 of P.L.1965, c.90 (C.52:18A-113.1), any member of a State administered retirement system, who has elected to make voluntary additional contributions to the Supplemental Annuity Collective Trust, or for whom an employer has agreed to purchase an annuity from the Supplemental Annuity Collective Trust as hereinafter provided; or (2) for the purposes of the Additional Contributions Tax-Sheltered Program under section 1 of P.L.1995, c.92 (C.52:18A-113.2), means any employee of the Department of Education, the Commission on Higher Education, the governing body of any public institution of education, or any public school, as defined in N.J.S.18A:1-1, regularly scheduled to work 20 or more hours per week who has elected to make voluntary additional contributions to the Supplemental Annuity Collective Trust, or for whom an employer has agreed to purchase an annuity from the Supplemental Annuity Collective Trust as hereinafter provided. An employee regularly works less than 20 hours per week if, for the 12-month period beginning on the date the employee's employment commenced, the employee's employer reasonably expects the employee to work fewer than 1,000 hours of service, as defined under section 410(a)(3)(C) of the Internal Revenue Code of 1986 (26 U.S.C. s.410(a)(3)(C)), as amended, and, for each plan year ending after the close of that 12-month period, the employee has worked fewer than 1,000 hours of service.
c. "State administered retirement system" means any of the following retirement plans: Public Employees' Retirement System of New Jersey established pursuant to chapter 84, P.L.1954; Teachers' Pension and Annuity Fund established pursuant to chapter 37, P.L.1955; Police and Firemen's Retirement System of New Jersey established pursuant to chapter 255, P.L.1944; Consolidated Police and Firemen's Pension Fund established pursuant to chapter 358, P.L.1952; Prison Officers' Pension Fund established pursuant to chapter 220, P.L.1941; and State Police Retirement and Benevolent Fund established pursuant to chapter 188, P.L.1925.
##### **§ 52:18A-109** Supplementary annuity program; establishment; contributions {#sec-52-18a-109 omnilex-key=us-nj-statutes--title-52--52:18A-109}
Each State administered retirement system shall establish, as a part thereof, a supplementary annuity program under which it will receive voluntary contributions from its members, which shall be in addition to any contributions required of them by that retirement system, for the purpose of providing annuities to supplement their retirement allowances. Each such State administered retirement system shall, upon receipt of such contributions, place the same in the Supplemental Annuity Collective Trust, hereinafter described.
##### **§ 52:18A-110** Supplemental annuity collective trust; establishment; duties; divisions {#sec-52-18a-110 omnilex-key=us-nj-statutes--title-52--52:18A-110}
There is hereby established in the Department of the Treasury the Supplemental Annuity Collective Trust of New Jersey, which shall accept amounts received for supplemental annuities from the State administered retirement systems and combine the same for purposes of this act. The Supplemental Annuity Collective Trust shall also accept amounts paid by employers for the purchase of annuities on behalf of employees as hereinafter provided. The funds paid by employers to purchase annuities for their employees shall be accounted for separately from other funds received by the Supplemental Annuity Collective Trust. The Supplemental Annuity Collective Trust hereby established shall consist of a Variable Division and a Fixed Division.
##### **§ 52:18A-111** Supplemental Annuity Collective Trust {#sec-52-18a-111 omnilex-key=us-nj-statutes--title-52--52:18A-111}
In order to facilitate the administration of the supplemental annuity programs of the State administered retirement systems, the State administered retirement systems shall vest the general responsibility for control and management of their supplemental annuity programs in the Supplemental Annuity Collective Trust under the direction of a council consisting of the State Treasurer, who shall be the chairman, the Commissioner of the Department of Insurance, and the State Budget Director. In the event of a vacancy in one of the above enumerated offices, the official assuming the responsibility of that office shall act as a member of the council.
The Director of the Division of Pensions shall be the secretary of the council. The administration of the programs shall be performed by the personnel of the Division of Pensions and the costs of administration shall be borne by the State.
The Attorney General shall be the legal advisor of the council.
The council shall retain the services of an actuary. The actuary shall make an actuarial review of the Supplemental Annuity Collective Trust at least once in every three-year period and at such other times as the council, in its discretion, shall deem advisable.
The council shall promulgate such rules and regulations, not inconsistent with the provisions of this act, as it shall deem necessary for the effective operation of the trust.
The council shall publish annually a report of its operations and the financial condition of the Supplemental Annuity Collective Trust. It shall also give each participant who has not commenced to receive annuity payments an annual statement of his account.
The council shall not commingle the assets of the Variable Division and the assets of the Fixed Division.
The records of the Supplemental Annuity Collective Trust shall be subject to audit by the State Auditor.
##### **§ 52:18A-112** Participation; application for enrollment. {#sec-52-18a-112 omnilex-key=us-nj-statutes--title-52--52:18A-112}
6. A member of a State administered retirement system or an employee of a board of education, as defined in N.J.S.18A:1-1, regularly scheduled to work 20 or more hours per week may become a participant by filing an application for enrollment in either the Variable Division or the Fixed Division, or both, in accordance with rules and regulations established by the council. An employee regularly works less than 20 hours per week if, for the 12-month period beginning on the date the employee's employment commenced, the employee's employer reasonably expects the employee to work fewer than 1,000 hours of service, as defined under section 410(a)(3)(C) of the Internal Revenue Code of 1986 (26 U.S.C. s.410(a)(3)(C)), and, for each plan year ending after the close of that 12-month period, the employee has worked fewer than 1,000 hours of service.
##### **§ 52:18A-113** Contributions. {#sec-52-18a-113 omnilex-key=us-nj-statutes--title-52--52:18A-113}
7. Contributions by a participant shall be made through payroll deductions of integral dollar amounts not in excess of the maximum contribution amount permitted under the federal Internal Revenue Code of 1986, as amended. Participants who are making contributions through payroll deductions may also make lump-sum contributions by direct payments in integral dollar amounts of not less than $50.00, provided, however, that the total contributions for any one year may not exceed the maximum contribution amount permitted by federal law.
Contributions by a participant shall cease upon retirement, death, or upon termination of membership in a State administered retirement system.
##### **§ 52:18A-113.1** Purchase of annuity for employee by employer. {#sec-52-18a-113.1 omnilex-key=us-nj-statutes--title-52--52:18A-113.1}
4. Any employee who is a member of a State administered retirement system may enter into an agreement with the employee's employer whereby the employee agrees to a reduction in salary in return for the employer's agreement to use the amount of such reduction in salary to purchase on behalf of such employee from the Supplemental Annuity Collective Trust of New Jersey an annuity, provided that any such annuity qualifies under section 403(b) of the Internal Revenue Code of 1986, as amended. The amount of the reduction in salary under any agreement entered into between an employee and the employee's employer pursuant to this section shall not exceed the maximum contribution amount permitted under section 403(b) of the federal Internal Revenue Code, 26 U.S.C. s.403(b). Any such agreement shall remain in effect for at least one year. If an agreement is entered into between an employee and the employee's employer pursuant to this section, the employer shall pay the premiums for the annuity purchased directly to the Supplemental Annuity Collective Trust in accordance with rules and regulations promulgated by the council.
Amounts payable pursuant to this section by an employer on behalf of an employee for a pay period shall be transmitted and credited not later than the fifth business day after the date on which the employee is paid for that pay period.
##### **§ 52:18A-113.2** Tax-deferred annuity, education employees; written agreement to reduce salary. {#sec-52-18a-113.2 omnilex-key=us-nj-statutes--title-52--52:18A-113.2}
1. a. The Department of Education, the Commission on Higher Education, and the governing body of any public institution of education may enter into a written agreement with any of its employees to reduce the employee's annual salary for the purpose of investing in a tax-deferred annuity for the employee pursuant to section 403(b) of the federal Internal Revenue Code of 1986 (26 U.S.C. s.403(b)), as amended. Investments shall be (1) with an insurer or mutual fund company authorized to provide investment contracts under the alternate benefit program; (2) in investment contracts authorized under the program for supplemental retirement benefits which meet the requirements of section 403(b) of the federal Internal Revenue Code (26 U.S.C. s.403(b)), as amended; and (3) on the same terms and conditions provided for participants in the alternate benefit program.
b. An agreement (1) shall specify the amount and the effective date of the reduction; (2) shall be subject to filing with and approval by the State Treasurer or filing with and approval by the governing body of the institution of public higher education, as appropriate; and (3) shall be legally binding and irrevocable with respect to the amounts earned while the agreement is in effect. The total amount of the reduction in an employee's salary pursuant hereto, for any calendar year, shall not exceed the lesser of (a) the applicable dollar amount or (b) the participant's Includible Compensation for the calendar year. Includible Compensation is an employee's actual wages in box 1 of Form W-2 for a year for services to the employer, but subject to a maximum of $200,000, or such higher maximum as may apply under section 401(a)(17) of the federal Internal Revenue Code (26 U.S.C. s.401(a)(17), and increased up to the dollar maximum by any compensation reduction election under section 125, 132(f), 401(k), 403(b), or 457(b) of the federal Internal Revenue Code (26 U.S.C. s.125, 132(f), 401(k), 403(b), or 457(b)). The amount of Includible Compensation is determined without regard to any community property laws. The applicable dollar amount is the amount established under section 402(g)(1)(B) of the federal Internal Revenue Code (26 U.S.C. s.402(g)(1)(B)), which is $16,500 for 2011, and is adjusted for cost-of-living after 2011 to the extent provided under section 415(d) of the federal Internal Revenue Code (26 U.S.C. s.415(d)). The total amount of the reduction in an employee's salary pursuant hereto, for any calendar year, when added to the contributions made in the year on behalf of the employee in accordance with section 7 of P.L.1963, c.123 (C.52:18A-113), exceed the limitations set forth in section 415 (c) of the federal Internal Revenue Code (26 U.S.C.s.415 (c)). For the purposes of this section, if the participant is or has been a participant in one or more other plans under section 403(b) of the federal Internal Revenue Code (26 U.S.C. s.403(b)), and any other plan that permits elective deferrals under section 402(g) of the federal Internal Revenue Code (26 U.S.C. s.402(g)), then this plan and all such other plans shall be considered as one plan for purposes of applying the foregoing limitations.
c. An agreement may be terminated at any time upon written notice by either the employee or the employer. Termination shall take effect at the beginning of the payroll period whose first day is nearest to the 30th day following the day on which notification of termination was (1) received by the employer, in the event termination is initiated by the employee, or (2) sent to the employee, in the event termination is initiated by the employer.
d. Amounts payable pursuant to this section by an employer on behalf of an employee for a payroll period shall be transmitted and credited not later than the fifth business day after the date on which the employee is paid for that pay period.
e. The plan described in subsection a. of this section shall be known as the New Jersey Additional Contributions Tax-Sheltered Program.
##### **§ 52:18A-113.3** Reduction of employee's salary; benefits. {#sec-52-18a-113.3 omnilex-key=us-nj-statutes--title-52--52:18A-113.3}
2. Upon approval and filing, the State Treasurer or the applicable governing body of a public institution of education shall reduce an employee's salary pursuant to the agreement and shall pay an amount equal to the amount agreed upon for the salary reduction as an employer contribution to the issuer of the employee's annuity. Participation in a reduction of salary pursuant to this act shall not cause the employee to lose any benefits under a State-administered retirement system to which the employee would otherwise be entitled had the employee not agreed to a reduction in salary for the purpose of purchasing a tax-deferred annuity. Employee contributions and any survivor's benefit shall be paid on the basis of the employee's salary without regard to the reduction authorized by this act.
##### **§ 52:18A-113.4** Payments for annuity. {#sec-52-18a-113.4 omnilex-key=us-nj-statutes--title-52--52:18A-113.4}
3. Payments for tax-deferred annuities shall be made by the State Treasurer or the applicable governing body of a public institution of education to the issuers of the annuities out of moneys available for the salaries of employees who have entered into agreements pursuant to this act.
##### **§ 52:18A-113.5** Rules, regulations {#sec-52-18a-113.5 omnilex-key=us-nj-statutes--title-52--52:18A-113.5}
4. The Director of the Division of Pensions and Benefits shall promulgate rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of this act.
##### **§ 52:18A-113.6** Transfer of certain annuity funds. {#sec-52-18a-113.6 omnilex-key=us-nj-statutes--title-52--52:18A-113.6}
1. Employees of the Department of Education, the Commission on Higher Education, or the governing body of any public institution of education who are participants in the Supplemental Annuity Collective Trust pursuant to section 403(b) of the federal Internal Revenue Code of 1986 (26 U.S.C. s.403(b)), as amended, shall transfer all funds that they may have invested as participants in the Supplemental Annuity Collective Trust to a tax-deferred annuity with an insurer or mutual fund company authorized to provide investment contracts under the alternate benefit program pursuant to the provisions of P.L.1995, c.92 (C.52:18A-113.2 et seq.).
##### **§ 52:18A-114** Investment of assets of variable and fixed divisions {#sec-52-18a-114 omnilex-key=us-nj-statutes--title-52--52:18A-114}
The assets of the Variable Division and the Fixed Division may be invested through the same agency as other State funds are invested; provided, however, that the council is hereby authorized to use other funding media, including group annuity contracts containing such provisions as the council determines to comply substantially with the applicable statutory requirements, which are made available by life insurance companies authorized to issue such contracts in this State and having assets in excess of $1,000,000,000.00.
##### **§ 52:18A-115** Investment of assets of Variable Division. {#sec-52-18a-115 omnilex-key=us-nj-statutes--title-52--52:18A-115}
9. The assets of the Variable Division shall be invested and reinvested principally in common stocks and securities which are convertible into common stocks. Such common stocks and securities shall be traded on a securities exchange in the United States or over-the-counter market.
##### **§ 52:18A-116** Accounts of variable division {#sec-52-18a-116 omnilex-key=us-nj-statutes--title-52--52:18A-116}
The Variable Division shall consist of the following accounts:
a. The Variable Accumulation Account shall be the account to which the contributions of participants in the Variable Division are credited. An individual account shall be maintained in the Variable Accumulation Account for each participant in the Variable Division.
b. The Variable Benefit Account shall be the account from which variable benefits are paid. Upon retirement of a participant in the Variable Division, his account in the Variable Accumulation Account shall be transferred to the Variable Benefit Account.
c. The Variable Reserve Account shall be the account to which all investment earnings or losses of the Variable Division shall be credited or charged. Such investment earnings or losses shall be determined at least quarter-annually in accordance with accepted accounting practices and shall reflect appreciation and depreciation in the market value of investments. Mortality adjustments of the Variable Benefit Account, determined in accordance with rules and regulations adopted by the council with the advice of the actuary, shall be charged or credited to this Variable Reserve Account. The balance in this account shall then be distributed to the Variable Benefit Account and to the individual accounts in the Variable Accumulation Account in accordance with rules and regulations of the council.
##### **§ 52:18A-117** Variable retirement benefit, transfer of outstanding loan balance {#sec-52-18a-117 omnilex-key=us-nj-statutes--title-52--52:18A-117}
11. a. Upon retirement under a State administered retirement system, a participant in the Variable Division shall receive a variable benefit under which the amount of the initial payment is determined by (1) appropriate actuarial factors as adopted from time to time by the council with the advice of the actuary, and by (2) the value of his account as of the close of the calendar month in which the retirement becomes effective; and the amount of each subsequent payment shall be determined so as to reflect the amounts distributed to the Variable Benefit Account in accordance with the provisions of section 10, pursuant to rules and regulations adopted by the council. The benefit payable to a retired participant shall be in the form of a life annuity, unless the participant requests, upon written application filed with the council prior to retirement, that the value of such benefit be paid as a single cash payment or under such other optional method of settlement as the council may establish by rules and regulations on the advice of the actuary. In the event the value of a participant's account at retirement results in an annuity with initial monthly payments of less than $10.00, the benefit shall be paid in a single cash payment.
b. A participant who is a member of the Public Employees' Retirement System of New Jersey or of the Teachers' Pension and Annuity Fund may request, upon written application filed with the council no earlier than 90 days and no later than 30 days before retirement, that an amount less than or equal to the outstanding balance of a loan borrowed from the retirement system under section 34 of P.L.1954, c.84 (C.43:15A-34) or N.J.S.18A:66-35 be subtracted and transferred from the participant's account and credited to the retirement system in repayment of that loan and that amount shall be transferred before determination of the benefit payable to the participant under subsection a. of this section.
##### **§ 52:18A-118** Investment and reinvestment of assets of fixed division; fixed income securities {#sec-52-18a-118 omnilex-key=us-nj-statutes--title-52--52:18A-118}
The assets of the Fixed Division shall be invested and reinvested principally in fixed income securities which are legal investments for life insurance companies organized under the laws of this State.
##### **§ 52:18A-119** Accounts of fixed division {#sec-52-18a-119 omnilex-key=us-nj-statutes--title-52--52:18A-119}
The Fixed Division shall consist of the following accounts:
a. The Fixed Accumulation Account shall be the account to which contributions of participants in the Fixed Division are credited. An individual account shall be maintained in the Fixed Accumulation Account for each participant in the Fixed Division.
b. The Fixed Benefit Account shall be the account from which fixed benefits are paid. Upon retirement of a participant in the Fixed Division, his account in the Fixed Accumulation Account shall be transferred to the Fixed Benefit Account.
c. The Fixed Reserve Account shall be the account to which all investment earnings or losses of the Fixed Division shall be credited or charged. Such investment earnings or losses shall be determined as of the end of each fiscal year in accordance with accepted accounting practices. Interest bearing investments shall be valued so that the yield to maturity will remain uniform. Earnings shall include profits or losses on the sale of investments, but no adjustment in the book value of investments shall be made by reason of fluctuations in current market prices. Mortality adjustments of the Fixed Benefit Account, determined in accordance with rules and regulations adopted by the council with the advice of the actuary, shall be charged or credited to this Fixed Reserve Account. This account shall also be charged with the amount of interest required to be credited to the Fixed Benefit Account and with the interest to be credited to the individual accounts in the Fixed Accumulation Account. The interest to be credited to the individual accounts in the Fixed Accumulation Account shall be at rates established by the council from time to time and shall be credited on the basis of balances in such accounts at the beginning of the fiscal year.
##### **§ 52:18A-120** Fixed retirement benefit; transfer of outstanding loan balance {#sec-52-18a-120 omnilex-key=us-nj-statutes--title-52--52:18A-120}
14. a. Upon retirement under a State administered retirement system, a participant in the Fixed Division shall receive a fixed benefit under which the initial payment is determined by (1) appropriate actuarial factors, as adopted from time to time by the council with the advice of the actuary, and by (2) the value of his account as of the close of the calendar month in which the retirement becomes effective; and each subsequent payment shall be in the same amount, for the term of the benefit. The benefit payable to a retired participant shall be in the form of a life annuity, unless the participant requests, upon written application filed with the council prior to retirement, that the value of such benefit be paid as a single cash payment or under such other optional method of settlement as the council may establish by rules and regulations on the advice of the actuary. In the event the value of a participant's account at retirement results in an annuity with initial monthly payments of less than $10.00, the benefit shall be paid in a single cash payment.
b. A participant who is a member of the Public Employees' Retirement System of New Jersey or of the Teachers' Pension and Annuity Fund may request, upon written application filed with the council no earlier than 90 days and no later than 30 days before retirement, that an amount less than or equal to the outstanding balance of a loan borrowed from the retirement system under section 34 of P.L.1954, c.84 (C.43:15A-34) or N.J.S.18A:66-35 be subtracted and transferred from the participant's account and credited to the retirement system in repayment of that loan and that amount shall be transferred before determination of the benefit payable to the participant under subsection a. of this section.
##### **§ 52:18A-121** Single cash payment for participant ceasing to be member of retirement system {#sec-52-18a-121 omnilex-key=us-nj-statutes--title-52--52:18A-121}
Any participant who ceases to be a member of a State administered retirement system and who does not qualify and apply for benefits under another provision of this act shall be paid a single cash payment. The amount of such payment shall be an amount equal to the value of his account as of the last day of the calendar month in which he ceases to be a member of a State administered retirement system.
##### **§ 52:18A-122** Payment in event of death of participant prior to retirement {#sec-52-18a-122 omnilex-key=us-nj-statutes--title-52--52:18A-122}
In the event of the death of a participant prior to retirement, an amount equal to the value of his account as of the last day of the month in which the death occurs shall be paid to the designated beneficiary in a single cash payment or in the event that no beneficiary was designated or if the designated beneficiary predeceased the participant such amount shall be paid to the estate of the participant. If, however, the designated beneficiary is a natural person, he may elect to receive, in lieu of a single cash payment, the actuarial equivalent thereof, under any method of settlement which would have been available to the participants pursuant to the provisions of sections 11 or 14 of this act.
##### **§ 52:18A-123** Termination of inactive accounts; refunds {#sec-52-18a-123 omnilex-key=us-nj-statutes--title-52--52:18A-123}
The council may terminate any inactive account in either division if the value of such account is less than $100.00 and, in such event, shall refund the value of the account in a single cash payment.
##### **§ 52:18A-124** Time each division operative; required number of participants {#sec-52-18a-124 omnilex-key=us-nj-statutes--title-52--52:18A-124}
All other provisions of this act notwithstanding, neither division shall become operative until the required number of participants shall have filed applications. The required number of participants shall be established by the council. Any such number may be made applicable to either the Variable Division or the Fixed Division separately or may be made applicable to both divisions combined.
##### **§ 52:18A-151** Establishment of division; director {#sec-52-18a-151 omnilex-key=us-nj-statutes--title-52--52:18A-151}
There is hereby established in the Department of the Treasury the Division of Building and Construction. The division shall be under the immediate supervision of a director who shall be appointed by and serve at the pleasure of the State Treasurer and who shall administer the work of the division under the direction and supervision of the State Treasurer. The State Treasurer shall fix the compensation of the director within the limits of available appropriations.
##### **§ 52:18A-152** Bureaus; organizational units {#sec-52-18a-152 omnilex-key=us-nj-statutes--title-52--52:18A-152}
The State Treasurer shall organize the work of the division in such bureaus and other organizational units as he may determine to be necessary for efficient and effective operation and shall assign to the division such employees in the Department of the Treasury as may be necessary to assist the director in the performance of his duties.
##### **§ 52:18A-153** Transfer of functions, powers and duties of Division of Purchase and Property, director, and Office of Architecture, Engineering and Construction {#sec-52-18a-153 omnilex-key=us-nj-statutes--title-52--52:18A-153}
All the functions, powers and duties of the Division of Purchase and Property, the director thereof and the Office of Architecture, Engineering and Construction therein relating to the planning, construction, reconstruction, improvement and repair of public buildings are transferred to the Division of Building and Construction established hereunder.
##### **§ 52:18A-154** Transfer of appropriations {#sec-52-18a-154 omnilex-key=us-nj-statutes--title-52--52:18A-154}
All appropriations and other moneys available and to become available to any division, office or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Building and Construction, are hereby transferred to the Division of Building and Construction established hereunder, and shall be available for the objectives and purposes for which appropriated, subject to any terms, restrictions, limitations or other requirements imposed by State or Federal law.
##### **§ 52:18A-155** Transfer of employees {#sec-52-18a-155 omnilex-key=us-nj-statutes--title-52--52:18A-155}
All employees of any division, office or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Building and Construction, shall upon the effective date of this act be transferred to the Division of Building and Construction.
##### **§ 52:18A-156** Employee rights {#sec-52-18a-156 omnilex-key=us-nj-statutes--title-52--52:18A-156}
Nothing in this act shall be construed to deprive any person of any tenure rights or of any right or protection provided him by Title 11 of the Revised Statutes, Civil Service, or under any pension law or retirement system.
##### **§ 52:18A-157** Transfer of files, records, etc. {#sec-52-18a-157 omnilex-key=us-nj-statutes--title-52--52:18A-157}
All files, books, papers, records, equipment and other property of any division, office or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Building and Construction, shall upon the effective date of this act be transferred to the Division of Building and Construction.
##### **§ 52:18A-158** Effect upon prior orders, rules, regulations {#sec-52-18a-158 omnilex-key=us-nj-statutes--title-52--52:18A-158}
This act shall not affect orders, rules and regulations heretofore made or promulgated by any division, office or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Building and Construction; but such orders, rules and regulations shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:18A-159** Effect upon pending actions or proceedings {#sec-52-18a-159 omnilex-key=us-nj-statutes--title-52--52:18A-159}
This act shall not affect any actions or proceedings, civil or criminal, brought by or against any division, office or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Building and Construction, and pending on the effective date of this act, but such actions or proceedings may be prosecuted or defended in the same manner and to the same effect by the Division of Building and Construction as if the foregoing provisions had not taken effect; nor shall any of the foregoing provisions affect any order or recommendation made by, or other matters or proceedings before, any division, office or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Division of Building and Construction, and all such matters or proceedings pending before such division, office or other agency on the effective date of this act shall be continued by the Division of Building and Construction, as if the foregoing provisions had not taken effect.
##### **§ 52:18A-160** Reports, certifications, etc.; filing with division {#sec-52-18a-160 omnilex-key=us-nj-statutes--title-52--52:18A-160}
Unless specifically otherwise provided in this act or by any law, whenever, pursuant to existing law, reports, certifications, applications or requests are required or permitted to be made to the division, office or other agency whose functions, powers and duties are herein assigned or transferred, such reports and certifications shall hereafter be required to be filed with, and such applications or requests shall hereafter be made to, the Division of Building and Construction.
##### **§ 52:18A-161** Construction of prior laws, rules or regulations {#sec-52-18a-161 omnilex-key=us-nj-statutes--title-52--52:18A-161}
With respect to the functions, powers and duties hereby transferred to the Division of Building and Construction, whenever in any law, rule, regulation, judicial or administrative proceeding or otherwise, reference is made to the Division of Purchase and Property or the director thereof or the Office of Architecture, Engineering and Construction, the same shall mean and refer to the Division of Building and Construction or the director thereof, as the case may be.
##### **§ 52:18A-162** Repeal of inconsistent acts {#sec-52-18a-162 omnilex-key=us-nj-statutes--title-52--52:18A-162}
All acts and parts of acts inconsistent with any of the provisions of this act are, to the extent of such inconsistency, superseded and repealed.
##### **§ 52:18A-163** State employees deferred compensation board; establishment; members; compensation; meetings {#sec-52-18a-163 omnilex-key=us-nj-statutes--title-52--52:18A-163}
There is hereby established in the Department of the Treasury the New Jersey State Employees Deferred Compensation Board (hereinafter called the board). The membership of the board shall consist of the State Treasurer, who shall serve as chairman, the Commissioner of Insurance, and the Director of the Division of Budget and Accounting in the Department of the Treasury, who shall be members ex officio, or the designee of any of said officials. The members of the board shall receive no compensation for service on said board. The board shall meet at such time as called by the chairman or a majority of the board.
##### **§ 52:18A-164** New Jersey state employees deferred compensation plan {#sec-52-18a-164 omnilex-key=us-nj-statutes--title-52--52:18A-164}
Notwithstanding the provisions of any other statute, the board is empowered to adopt a written plan, consistent with the requirements of the United States Internal Revenue Service, under which a State employee may defer payment of a specified amount of salary until the future receipt thereof by the employee pursuant to the provisions of this act and the plan. The plan, when established, shall be called the New Jersey State Employees Deferred Compensation Plan (hereinafter called the plan).
##### **§ 52:18A-165** Deferral and deduction of salary; voluntary written agreement. {#sec-52-18a-165 omnilex-key=us-nj-statutes--title-52--52:18A-165}
3. a. The State may by a voluntary written agreement with any employee of the State provide that a portion of the employee's current salary from the State shall be deferred and deducted each payroll period for disposition by the board in accordance with the plan.
b. The board may adopt, in connection with the deferred compensation plan, a written plan provision that permits the deferral or deduction from the salary of employees of the State, or a subset thereof determined by the board, an amount equal to a percent of salary specified by the board received on and after the date of hire, unless the employee makes an affirmative election not to defer or to defer at a different percentage. If the board elects to establish an automatic enrollment arrangement pursuant to this subsection, the board shall establish a default deferral percentage, may provide for periodic escalation of deferral percentages, and may provide for the periodic default reenrollment of employees who are not participating in the plan or are participating at less than the default percentage. The board shall ensure that an employee is provided with notice and reasonable opportunity to terminate deferrals or to defer a different percentage.
The board may designate classes of employees who are not subject to the automatic enrollment arrangement, such as part-time, seasonal, or temporary employees.
If the board elects to establish an automatic enrollment arrangement, the deduction from an employee’s salary pursuant to a default deferral percentage shall be treated as a voluntary written agreement for purposes of subsection a. of this section and shall be treated as being authorized in writing for purposes of section 4 of P.L.1965, c.173 (C.34:11-4.4).
If a deferred compensation plan includes an automatic enrollment arrangement, the named fiduciary of the plan shall designate a default investment into which an employee’s deferred salary shall be invested in the absence of an affirmative investment election from the employee.
c. Notwithstanding the provisions of subsection b. of this section, the State, and any other employer whose employees are represented by a union that is designated as the majority representative pursuant to the “New Jersey Employer-Employee Relations Act,” P.L.1941, c.100 (C.34:13A-1 et seq.), and eligible to participate in the New Jersey State Employees Deferred Compensation Plan established pursuant to section 2 of P.L.1978, c.39 (C.52:18A-164), shall negotiate the terms of a deferred compensation plan with such majority representative, including whether such employees represented by the majority representative shall be automatically enrolled in the plan, the default deduction percentage from an employee’s salary, if any, and the default investment, if any. The terms of a negotiated deferred compensation plan shall be consistent with any applicable rules and regulations adopted by the New Jersey State Employees Deferred Compensation Board established pursuant to P.L.1978, c.39 (C.52:18A-163 et seq.). Absent a written agreement between an employer and a majority representative, in order to participate in the New Jersey State Employees Deferred Compensation Plan, an employee represented by a majority representative shall be required to affirmatively elect to participate.
##### **§ 52:18A-166** Investment of funds; division of investment as fiduciary {#sec-52-18a-166 omnilex-key=us-nj-statutes--title-52--52:18A-166}
The plan shall designate the Division of Investment, as constituted by P.L.1950, c. 270, (C. 52:18A-79 et seq.) as amended and supplemented from time to time, as the named fiduciary for the investment of funds under the plan and shall provide for such investment options as may be determined by the board, which may include but are not limited to group annuity programs, savings accounts, life insurance contracts, mutual funds, equities or bonds, provided said investments are made and administered in accordance with section 5 of this act; are authorized or approved for investment by the regulations of the State Investment Council; and are legal investments for fiduciaries of trust estates in this State.
##### **§ 52:18A-167** Powers {#sec-52-18a-167 omnilex-key=us-nj-statutes--title-52--52:18A-167}
a. The board is empowered to take all measures necessary for the implementation and administration of this act, including but not limited to the following:
(1) The delegation of all or part of the administration of the Plan, including the management and investment of deferred and deducted salary funds, to any division or divisions within the Department of the Treasury;
(2) Contracting with one or more private organizations for the administration of all or part of the plan, including the management and investment or either thereof of deferred and deducted salary funds, provided that any such contract or contracts be in compliance with applicable bidding requirements for award of State contracts; and further provided that a board determination to contract for the investment of any or all of said funds is subject to the prior approval of the State Investment Council and when said approval has been received, the board shall delegate the responsibility for said contracting to the Division of Investment;
(3) Establishment of a plan or plan option which permits a participating employee to request the administrator of the plan to invest all or a specified percentage of said employee's deferred salary in one of or a specified combination of the following kinds of investments: (a) life insurance contracts, (b) annuity contracts, and (c) mutual fund shares; provided that the administrator retains the discretion to reject said request and further provided that the specific investment so made is selected and determined by the Division of Investment acting on behalf of the administrator or by a private organization operating under a contract pursuant to subsection 5a(2) of this section and subject to the approval of the Division of Investment;
(4) The establishment, either in the plan or through separate rules and regulations, of the requirements, limitations and conditions for participation in the plan, including but not limited to the setting forth of those State employees deemed eligible for participation in the plan; the amount of current salary an employee may defer and have deducted for disposition by the board; when and under what circumstances such deferrals and deductions may be made, changed or revoked; when and under what circumstances a participating employee or designated beneficiaries may withdraw funds from the plan; and when and under what circumstances records and data concerning benefits under the plan shall remain confidential;
(5) Consultation with any State agency or with majority representatives of State employees for the purpose of receiving their views and comments.
b. The board shall provide in the plan for any distribution of investment earnings, gains or losses, consistent with the requirements of the United States Internal Revenue Service. The distribution shall be allocated to each employee when he or she withdraws from the plan or receives benefits from the plan in accordance with the terms of the plan and the provisions of this act.
c. The board shall provide in the plan for a uniform system of accounting for each participating employee and for the investment of deferred compensation funds with annual or more frequent reports to the participants in the plan, provided however, that said uniform system of accounting as it applies to the investment of said funds shall be subject to the prior approval of and modification by the State Investment Council.
d. A private organization operating under a contract pursuant to subsection 5a(2) of this section or seeking or planning to seek such a contract may not distribute or make public any written material concerning any deferred compensation program or benefits authorized under this act without the prior approval by the Division of Investment of the form and content or the material.
##### **§ 52:18A-168** Costs to be recovered by service charge or from private organization with contract for administration {#sec-52-18a-168 omnilex-key=us-nj-statutes--title-52--52:18A-168}
No significant costs shall be incurred by the State as a result of this act unless such costs are recovered by charging and collecting a service charge from all participating employees and in addition thereto or in lieu thereof such costs are recovered from any private organization or organizations with which the board has contracted for the administration of all or part of the plan. The amount of any costs incurred and to be recovered by the State shall be determined by the board.
##### **§ 52:18A-169** Immunity from liability for loss {#sec-52-18a-169 omnilex-key=us-nj-statutes--title-52--52:18A-169}
The State, the board and the members of the board, the Division of Investment and its employees, and the State Investment Council and its members shall not be liable for any loss incurred by any employee by reason of participation in the plan.
##### **§ 52:18A-170** Disposition of deferred, deducted moneys; assets held in trust {#sec-52-18a-170 omnilex-key=us-nj-statutes--title-52--52:18A-170}
8. All moneys which are deferred and deducted in accordance with the provisions of this act and the plan shall remain assets of the State and shall be invested in accord with the provisions of this act and the plan. The obligation of the State to participating employees and contractors shall be contractual only and no preferred or special interest in the deferred moneys shall accrue to such employees or contractors, except that all assets and income of the plan shall be held in trust for the exclusive benefit of participating employees and their beneficiaries.
##### **§ 52:18A-170.1** Amendment, termination of Supplemental Annuity Collective Trust. {#sec-52-18a-170.1 omnilex-key=us-nj-statutes--title-52--52:18A-170.1}
75. With respect to the portion of the Supplemental Annuity Collective Trust that is subject to section 403(b) of the federal Internal Revenue Code (26 U.S.C. s.403(b)), the State may terminate the Supplemental Annuity Collective Trust as provided in this section.
a. The State enacted P.L.1963, c.123 (C.52:18A-107 et seq.) with the intention and expectation that contributions would be continued to the Supplemental Annuity Collective Trust program indefinitely. The State, however, has no obligation or liability whatsoever to maintain the program for any length of time and may discontinue contributions under the program at any time without any liability hereunder for any discontinuance.
b. The State reserves the authority to amend or terminate the Supplemental Annuity Collective Trust program at any time and for any reason.
c. The State may provide that, in connection with a termination of the program, all accounts will be distributed, provided that the State and any related employer on the date of termination do not make contributions to an alternative plan or program subject to the rules under section 403(b) of the Internal Revenue Code of 1986 (26 U.S.C. s.403(b)), as amended, that is not part of the program during the period beginning on the date of termination and ending 12 months after the distribution of all assets from the Supplemental Annuity Collective Trust program, except as permitted by the applicable regulations of the United States Department of the Treasury.
##### **§ 52:18A-171** Unassignability of payments and rights {#sec-52-18a-171 omnilex-key=us-nj-statutes--title-52--52:18A-171}
No participating employee or beneficiary thereof shall have the right to commute, sell, assign or otherwise transfer or convey the rights to receive any payments deriving from participation in the plan and such payments and rights are expressly declared to be and shall be unassignable.
##### **§ 52:18A-172** Deferred and deducted amounts; inclusion as regular compensation; exclusion in computation of federal withholding taxes {#sec-52-18a-172 omnilex-key=us-nj-statutes--title-52--52:18A-172}
Any amount of the employee's salary that is deferred and deducted under this act and the plan shall continue to be included as regular compensation for all purposes, including pension benefits earned by any such employee, but any salary deferred and deducted shall not be included in the computation of any Federal taxes withheld from the employee's salary on behalf of such employee.
##### **§ 52:18A-173** Deferred salary clearing fund and other funds {#sec-52-18a-173 omnilex-key=us-nj-statutes--title-52--52:18A-173}
The State Treasurer is hereby authorized to establish, on behalf of the board, a deferred salary clearing fund in the State Treasury in which shall be placed temporarily all compensation deferred and deducted in accordance with this act and the plan, and may establish such other funds within the Division of Investment as may be appropriate.
##### **§ 52:18A-173.1** Financial advisory services program established for participants of the New Jersey State Employees Deferred Compensation Plan. {#sec-52-18a-173.1 omnilex-key=us-nj-statutes--title-52--52:18A-173.1}
1. a. Notwithstanding the provisions of any law, rule, or regulation to the contrary, the Department of the Treasury shall establish a program to provide individualized financial advisory services to participants of the New Jersey State Employees Deferred Compensation Plan, established pursuant to P.L.1978, c.39 (C.52:18A-163 et seq.). The financial services provided under the program shall be made available to participants of the plan at a low cost, as determined to be acceptable by the State Treasurer in consultation with the New Jersey State Employees Deferred Compensation Board.
b. The Department of the Treasury shall enter into a contract or agreement with a qualified vendor to develop and administer the provision of individualized financial advisory services required under subsection a. of this section.
Under the contract or agreement, the vendor shall receive a base annual administrative fee to be paid by the department to provide the individualized financial advisory services. In addition to the base annual administrative fee, the vendor shall be entitled to additional administrative fees, as necessary, which shall be paid by the participants of the program. The rate of the additional administrative fees shall be determined through the competitive procurement process, as established by current law, managed by the Department of the Treasury for the engagement of the vendor; provided, however, that such fees shall be based on participant enrollment in the program, shared proportionately by such participants of the program based on the value of each of the participants’ assets in the plan, and have a global cap at a reasonable level based on the total value of assets in the plan, or a percentage thereof, or some other objective measure, as determined by the State Treasurer in consultation with the New Jersey State Employees Deferred Compensation Board and the Director of the Division of Investment, selected to ensure that the individualized financial services are provided at a reasonable cost to the participants of the program.
The vendor shall not be eligible to receive any commission or any other pecuniary benefit of any kind from any person or entity related to the recommendations or purchases made as a result of providing individualized financial advisory services under the program.
c. Any vendor selected by the Department of the Treasury shall have a fiduciary duty towards participants of the plan who elect to utilize the financial advisory services under the program and shall adhere to the prudent person standard in carrying out its responsibilities for the benefit of such participants.
d. The individualized financial advisory services provided by the vendor to participants of the program shall include, but need not be limited to:
(1) general advice regarding financial and investment products other than those provided by the plan; and
(2) the manner in which to achieve a reasonable replacement income after retirement, including the utilization of resources such as pension benefits, Social Security benefits, and investments and savings.
e. The State, its employees, the board, and the members of the board shall not be held liable for any financial loss or costs of opportunity incurred by a participant of the program that may result from the vendor’s advice or recommended financial or investment products.
f. Following the fifth year of the provision of individualized financial advisory services to participants of the program, the Department of the Treasury may elect to expand the provision of such services to all State employees who are eligible to participate in the plan. Should the State Treasurer elect to expand the provision of such services, the Legislature shall appropriate such monies from the General Fund as necessary to effectuate the provisions of this section that are sufficient to cover the expansion and the base annual administrative fee provided to the vendor.
g. The State Treasurer shall, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) adopt rules and regulations as necessary to implement the provisions of P.L.2025, c.403 (C.52:18A-173.1).
##### **§ 52:18A-174** Deferred compensation plan expanded. {#sec-52-18a-174 omnilex-key=us-nj-statutes--title-52--52:18A-174}
12. Subject to the independent approval of the State Treasurer, the board may authorize the transfer of funds necessary to permit individuals employed at the New Jersey Institute of Technology, Rutgers, The State University, Rowan University, Montclair State University, Kean University, and any other agency, authority, commission, or instrumentality of State government which has an independent corporate existence, to participate in the plan.
##### **§ 52:18A-175** Plan additional to and not part of retirement or pension system {#sec-52-18a-175 omnilex-key=us-nj-statutes--title-52--52:18A-175}
The plan shall be in addition to and not a part of any retirement or pension system.
##### **§ 52:18A-176** Portability of employees' credit from similar plans {#sec-52-18a-176 omnilex-key=us-nj-statutes--title-52--52:18A-176}
The board, either in the plan or through separate rules and regulations, may allow for the portability of appropriate amounts of employees' credit from similar plans maintained by employees' previous employers to the plan and from the plan to similar plans maintained by other employers. Authorizations for portability arrangements will be subject to the requirements of the similar plans of other employers and the approval of the United States Internal Revenue Service.
##### **§ 52:18A-177** Determination plan consistent with requirements of Internal Revenue Service {#sec-52-18a-177 omnilex-key=us-nj-statutes--title-52--52:18A-177}
No agreement may be entered into between the State and any employee for the deferral and deduction of any portion of current salary, pursuant to section 3 of this act, until the board determines that the plan and any related implementing rules and regulations are consistent with the requirements of the United States Internal Revenue Service.
##### **§ 52:18A-178** Short title {#sec-52-18a-178 omnilex-key=us-nj-statutes--title-52--52:18A-178}
This act shall be known and may be cited as the "General Services Administration Act of 1984."
##### **§ 52:18A-179** Legislative findings and declarations {#sec-52-18a-179 omnilex-key=us-nj-statutes--title-52--52:18A-179}
The Legislature finds and declares that the consolidation of the Divisions of Purchase and Property and Building and Construction and the procurement and operational functions of the Division of Data Processing and Telecommunications in a General Services Administration under the control of an administrator who may exercise certain powers of the Treasurer will:
a. Group agencies and functions of related kind within the Department of the Treasury and subject them to appropriate supervisory control by a single officer responsible to the Treasurer;
b. Promote effective coordination of the department's operations for other State agencies; and
c. Increase efficiency in the performance of these services and in the general management of the department.
##### **§ 52:18A-180** Definitions {#sec-52-18a-180 omnilex-key=us-nj-statutes--title-52--52:18A-180}
As used in this act:
a. "Administration" means the General Services Administration in the Department of the Treasury, as established by this act.
b. "Administrator" means the General Services Administrator.
c. "Department" means the Department of the Treasury.
d. "Treasurer" means the Treasurer of the State of New Jersey.
##### **§ 52:18A-181** General services administration; establishment {#sec-52-18a-181 omnilex-key=us-nj-statutes--title-52--52:18A-181}
There is established in the Department of the Treasury a General Services Administration which shall supervise and coordinate those functions, powers and duties of the department as provided in this act.
##### **§ 52:18A-182** General services administrator; qualifications; appointment; term of office; compensation {#sec-52-18a-182 omnilex-key=us-nj-statutes--title-52--52:18A-182}
The administration shall be under the immediate supervision of the General Services Administrator who shall be a person qualified by training and experience to direct the work assigned to the administration. The administrator shall be appointed by the governor, with the advice and consent of the Senate, and shall serve during the term of office of the Governor and until the administrator's successor is appointed and has qualified. The State Treasurer shall fix the compensation of the administrator within the limits of available appropriations.
##### **§ 52:18A-183** Organization; employees {#sec-52-18a-183 omnilex-key=us-nj-statutes--title-52--52:18A-183}
The administrator shall organize the work of the administration in organizational units as he deems necessary for effective and efficient operation. The Treasurer, after consultation with the administrator, shall assign to the administration those employees of the department as may be necessary to assist the administrator in the performance of his duties.
##### **§ 52:18A-184** Divisions of purchase and property and building and construction; consolidation under administration; continuance {#sec-52-18a-184 omnilex-key=us-nj-statutes--title-52--52:18A-184}
The Division of Purchase and Property as constituted by section 16 of the "Department of the Treasury Act of 1948," P.L.1948, c. 92 (C. 52:18A-16) and the Division of Building and Construction, as established by section 1 of P.L.1970, c. 95 (C. 52:18A-151) are consolidated under the administration. These divisions are continued with all the functions, powers and duties conferred upon them by law, subject to the supervision and control of the administrator.
##### **§ 52:18A-185** Division of data processing and telecommunications; abolishment {#sec-52-18a-185 omnilex-key=us-nj-statutes--title-52--52:18A-185}
The Division of Data Processing and Telecommunications as established by section 1 of P.L.1970, c. 94 (C. 52:18A-137) is abolished.
##### **§ 52:18A-186** Division of functions, powers and duties relating to data processing and telecommunications between administration and treasurer {#sec-52-18a-186 omnilex-key=us-nj-statutes--title-52--52:18A-186}
The administration shall have those functions, powers and duties set forth in sections 10 through 13 of this act relating to the procurement of data processing and telecommunications equipment and services and the operation of telecommunications systems. The remaining functions, powers and duties set forth in sections 10 through 13 of this act shall be exercised by the Treasurer.
##### **§ 52:18A-187** Data processing and telecommunications; duties {#sec-52-18a-187 omnilex-key=us-nj-statutes--title-52--52:18A-187}
With respect to data processing and telecommunications, the administration or the department, as the case may be, shall:
a. Assure the effectiveness of information processing throughout the State government;
b. Advise in policy and planning decisions to insure that the State government is responsive to new programs involving data handling responsibilities;
c. Assure that the information processing capabilities of the State are kept current and abreast of changing technology;
d. Be the organization through which the agencies of the State government are kept informed as to current Statewide information processing capabilities and informed as to available machine sensible information;
e. Be responsible for the continued development of efficient uses of information processing; and
f. Assure that telecommunication services are provided throughout the State government in the most economical, uniform and effective manner.
##### **§ 52:18A-188** Means to accomplish duties {#sec-52-18a-188 omnilex-key=us-nj-statutes--title-52--52:18A-188}
In order to accomplish the foregoing, the administration or the department, as the case may be, shall:
a. Be responsible for evaluating all requests affecting the information processing facilities of the State including:
(1) The acquisition, continuation or alteration of equipment;
(2) The use of consulting firms in information processing studies or projects; and
(3) The purchase of information processing services;
b. Direct the assignment and reassignment of information processing tasks among the various State government information processing facilities;
c. Be the organization to represent the State in all intergovernmental matters relating to information processing; and
d. Promulgate those rules and regulations which are necessary to effectuate the purposes of this act.
##### **§ 52:18A-189** Data processing; duties {#sec-52-18a-189 omnilex-key=us-nj-statutes--title-52--52:18A-189}
With respect to data processing, the administration or the department, as the case may be, shall:
a. Foster and direct the establishment and consolidation of information processing centers throughout the State in order to achieve economies in the use of information processing facilities;
b. Develop, promulgate and maintain a Statewide master plan for the economic and effective use of information processing facilities;
c. Direct and conduct periodic effectiveness audits of the various facilities comprising the State's information processing capability;
d. Determine whether State agencies are prepared to make effective use of consultants prior to those consultants being solicited or engaged to alter, improve or establish methods or procedures involving information processing;
e. Monitor the progress of consultants in order to assure that their recommendations and performance are consistent with Statewide objectives of efficiency and economy;
f. Review requests for the use of commercial service organizations and direct the accomplishment of the required tasks by State facilities wherever deemed advisable;
g. Be responsible, with the using agency, for selection and acquisition decisions taking into account the necessity for encouraging competition through solicitation of proposals from qualified vendors; and
h. Determine the advisability of the acquisition and use of specific software packages.
##### **§ 52:18A-190** Telecommunications; definition; duties {#sec-52-18a-190 omnilex-key=us-nj-statutes--title-52--52:18A-190}
As used in this act, "telecommunications" means any transmission, emission or reception of signs, signals, writings, images and sounds or intelligences of any nature by wire, radio, optical or other electromagnetic system.
With respect to telecommunications, the administration or the department, as the case may be, shall:
a. Direct the consolidation and coordination of the State's telecommunications facilities in order to insure the efficient and economical use of telecommunications services by State agencies;
b. Develop technical plans for and recommend communication facilities and equipment which will satisfy agency operational communications requirements;
c. Conduct continuing reviews and evaluations of communication facilities and equipment used by State agencies in order to insure that agency needs are being fulfilled at the most economical cost to the State; and
d. Develop and implement policies, standards, practices and procedures to insure orderly development of State communication facilities in an economic and efficient manner.
##### **§ 52:18A-191** Administrator; additional duties {#sec-52-18a-191 omnilex-key=us-nj-statutes--title-52--52:18A-191}
In addition to supervising and coordinating the functions, powers and duties of the administration provided in sections 5 and 6 of this act, the administrator shall:
a. Directly supervise the operations of the Financial Management and Data Center; and
b. Exercise any function, power or duty of the Treasurer relating to the procurement of goods or services, the award of State contracts or the acquisition or disposition of real or personal property as the Treasurer shall, in writing, certify. The certificate shall state the scope of the powers which the administrator may exercise, and shall be filed with the Secretary of State, and shall remain in effect until rescinded by the Treasurer by a certificate similarly filed.
##### **§ 52:18A-191.1** Findings, declarations {#sec-52-18a-191.1 omnilex-key=us-nj-statutes--title-52--52:18A-191.1}
1. The Legislature finds and declares that:
a. the State's space leasing program is a $200 million program and should be conducted in an efficient and economical manner;
b. there is no effective control over leasing operations and this has led to an overly expensive program;
c. the State lacks a competitive bidding process in its leasing operations and lacks a master plan to assess current and future facility needs; and
d. there is a lack of appropriate oversight procedures of State leasing operations.
##### **§ 52:18A-191.2** Definitions {#sec-52-18a-191.2 omnilex-key=us-nj-statutes--title-52--52:18A-191.2}
2. As used in this act:
"Committee" means the State Leasing and Space Utilization Committee.
"Office" means the Office of Leasing Operations in the General Services Administration of the Department of the Treasury.
"State agency" means any department, division, office, board, commission, council, or bureau in the Executive branch of State government.
##### **§ 52:18A-191.3** Office of Leasing Operations established {#sec-52-18a-191.3 omnilex-key=us-nj-statutes--title-52--52:18A-191.3}
3. There is established the Office of Leasing Operations in the General Services Administration of the Department of the Treasury. The office shall be under the supervision of the Administrator of the General Services Administration or his designee. Notwithstanding any provision of law to the contrary, the office is empowered and directed to:
a. approve or disapprove all State agency space planning requests;
b. negotiate leases for all State agencies and determine requirements for construction or renovation including costs;
c. solicit competitive proposals for lease agreements and prepare written evaluations and recommendations;
d. establish reporting requirements to be followed by State agencies;
e. arrange for renovations of leased space;
f. implement the privatization pilot program established by the State Leasing and Space Utilization Committee; and
g. develop, within one year after the effective date of this act, a comprehensive space utilization plan which shall be updated every two years. The plan shall include a survey of current and future State space needs and specify the extent to which the leasing program should be used to support urban renewal.
##### **§ 52:18A-191.4** State Leasing and Space Utilization Committee established {#sec-52-18a-191.4 omnilex-key=us-nj-statutes--title-52--52:18A-191.4}
4. There is established a three-member State Leasing and Space Utilization Committee. The committee shall consist of the President of the Senate, the Speaker of the General Assembly and the State Treasurer, or their respective designees. The committee shall annually select a chairman from among its members. No motion to take any action by the committee shall be valid except upon the affirmative vote of all of the authorized membership of the committee. It shall be the duty of the committee to:
a. approve or disapprove all leases negotiated by the Office of Leasing Operations;
b. approve or disapprove the space utilization plan developed and updated by the Office of Leasing Operations pursuant to P.L.1992, c.130 (C.52:18A-191.1 et al.); and
c. establish a privatization pilot program in which the Office of Leasing Operations shall contract with private business entities to assist it in carrying out its leasing functions. This pilot program may include the use of commercial real estate companies, selected by competitive bidding, to assist the office in selecting sites and negotiating leases.
##### **§ 52:18A-191.5** Committee approval required for lease agreements {#sec-52-18a-191.5 omnilex-key=us-nj-statutes--title-52--52:18A-191.5}
5. No lease agreement negotiated by the Office of Leasing Operations shall be valid without the prior written approval of the State Leasing and Space Utilization Committee. The office shall submit to the committee prior to its consideration of a lease agreement:
a. the approved State agency space planning request;
b. a statement setting forth the terms and conditions of the lease agreement;
c. a statement setting forth the cost of the leased space, including the cost of rent, taxes, renovations and other costs involved in the lease agreement;
d. a statement from the Attorney General that the lease agreement is not in conflict with any applicable State or federal law or regulation;
e. a statement certifying that on the basis of a comparison of costs and an analysis of financing, the lease agreement is cost effective and in compliance with the space utilization master plan;
f. a statement certifying that the office advertised for bids for lease agreements and that the lease agreement under consideration is the most cost effective; and
g. a statement from the Director of the Division of Budget and Accounting in the Department of the Treasury certifying that funds have been appropriated to the Office of Leasing Operations to cover all costs associated with the lease, including the cost of renovations, for the fiscal year.
##### **§ 52:18A-191.6** Site visits to leased property {#sec-52-18a-191.6 omnilex-key=us-nj-statutes--title-52--52:18A-191.6}
6. The Office of Leasing Operations shall make periodic site visits to leased property to ensure that State agencies are properly using leased space. If the office finds that the space is being improperly used by a State agency, it shall report its findings to the State Leasing and Space Utilization Committee.
##### **§ 52:18A-191.7** Information provided to Legislative Budget and Finance Officer {#sec-52-18a-191.7 omnilex-key=us-nj-statutes--title-52--52:18A-191.7}
7. The Office of Leasing Operations shall provide to the Legislative Budget and Finance Officer such information concerning leasing operations which the Legislative Budget and Finance Officer may request.
##### **§ 52:18A-191.8** Rules, regulations {#sec-52-18a-191.8 omnilex-key=us-nj-statutes--title-52--52:18A-191.8}
8. The Administrator of the General Services Administration may adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), such rules and regulations as may be necessary to implement the provisions of this act.
##### **§ 52:18A-191.9** Entitlement to assistance, services {#sec-52-18a-191.9 omnilex-key=us-nj-statutes--title-52--52:18A-191.9}
9. The General Services Administration and the State Leasing and Space Utilization Committee are entitled to call to their assistance and avail themselves of the services of employees of any State, county or municipal department, board, bureau, commission or agency as they may require and as may be available to them for their purposes under this act. All State agencies are authorized and directed to cooperate with the office and the committee.
##### **§ 52:18A-192** Reference to division of data processing and telecommunications to mean and refer to general services administration {#sec-52-18a-192 omnilex-key=us-nj-statutes--title-52--52:18A-192}
With respect to the functions, powers and duties transferred to the General Services Administration by this act, whenever in any law, rule, regulation, judicial or administrative proceeding or otherwise, reference is made to the Division of Data Processing and Telecommunications or the director thereof, the same shall mean and refer to the General Services Administration or the administrator thereof, as the case may be.
##### **§ 52:18A-193** Transfers in accordance with State Agency Transfer Act {#sec-52-18a-193 omnilex-key=us-nj-statutes--title-52--52:18A-193}
The transfers directed by this act shall be made in accordance with the "State Agency Transfer Act," P.L.1971, c. 375 (C. 52:14D-1 et seq.).
##### **§ 52:18A-194** Provisions of act; application to executive branch; coordinating and advisory application to legislative and judicial branches {#sec-52-18a-194 omnilex-key=us-nj-statutes--title-52--52:18A-194}
The provisions of this act with respect to the functions, powers and duties of the General Services Administration to manage, administer or control procurements or services shall apply to the executive branch of State government, but shall be coordinating and advisory as they apply to the legislative and judicial branches of State government.
##### **§ 52:18A-195** Supersedure of inconsistent acts; repeal {#sec-52-18a-195 omnilex-key=us-nj-statutes--title-52--52:18A-195}
All acts and parts of acts inconsistent with the provisions of this act are superseded. P.L.1970, c. 94 (C. 52:18A-137 et seq.) is repealed.
##### **§ 52:18A-196** Findings, declarations. {#sec-52-18a-196 omnilex-key=us-nj-statutes--title-52--52:18A-196}
1. The Legislature finds and declares that:
a. New Jersey, the nation's most densely populated State, requires sound and integrated Statewide planning and the coordination of Statewide planning with local and regional planning in order to conserve its natural resources, revitalize its urban centers, protect the quality of its environment, preserve the vitality of federal military facilities, and provide needed housing and adequate public services at a reasonable cost while promoting beneficial economic growth, development and renewal;
b. Significant economies, efficiencies and savings in the development process would be realized by private sector enterprise and by public sector development agencies if the several levels of government would cooperate in the preparation of and adherence to sound and integrated plans;
c. It is of urgent importance that the State Development Guide Plan be replaced by a State Development and Redevelopment Plan designed for use as a tool for assessing suitable locations for infrastructure, housing, economic growth and conservation;
d. It is in the public interest to encourage development, redevelopment and economic growth in locations that are well situated with respect to present or anticipated public services and facilities, giving appropriate priority to the redevelopment, repair, rehabilitation or replacement of existing facilities, and to discourage development where it may: impair or destroy natural resources or environmental qualities that are vital to the health and well-being of the present and future citizens of this State, or impair the viability of federal military facilities;
e. A cooperative planning process that involves the full participation of State, regional, county and local governments as well as representatives of federal military facilities and of other public and private sector interests will enhance prudent and rational development, redevelopment and conservation policies and the formulation of sound and consistent regional plans and planning criteria;
f. Since the overwhelming majority of New Jersey land use planning and development review occurs at the local level, it is important to provide local governments in this State with the technical resources and guidance necessary to assist them in developing land use plans and procedures which are based on sound planning information and practice, to assist local governments participating in a Department of Defense Joint Land Use Study, and to facilitate the development of local plans and Joint Land Use Studies which are consistent with State and regional plans and programs and the needs of nearby military facilities;
g. An increasing concentration of the poor and minorities in older urban areas jeopardizes the future well-being of this State, and a sound and comprehensive planning process will facilitate the provision of equal social and economic opportunity so that all of New Jersey's citizens can benefit from growth, development and redevelopment;
h. An adequate response to judicial mandates respecting housing for low- and moderate-income persons requires sound planning to prevent sprawl and to promote suitable use of land;
i. Reductions in personnel and mission activities at military facilities have a direct, detrimental effect on this State. The Department of Defense considers the encroachment of civilian development upon a military facility when determining the future viability of the facility. Collaborative planning between military facility commanders and State, regional, county, and municipal officials can help protect an installation's military mission, as well as the public health, safety, quality of life, and economic stability of the civilian community; and
j. These purposes can be best achieved through the establishment of a State planning commission consisting of representatives from the executive and legislative branches of State government, local government, the general public and the planning community.
##### **§ 52:18A-197** State Planning Commission {#sec-52-18a-197 omnilex-key=us-nj-statutes--title-52--52:18A-197}
There is established in the Department of the Treasury a State Planning Commission, to consist of 17 members to be appointed as follows:
a. The State Treasurer and four other cabinet members to be appointed by and serve at the pleasure of the Governor. Each cabinet member serving on the commission may be represented by an official designee, whose name shall be filed with the commission. All other members of the cabinet, or their designees, shall be entitled to receive notice of and attend meetings of the commission and, upon request, receive all official documents of the commission;
b. Two other members of the executive branch of State government to be appointed by and serve at the pleasure of the Governor;
c. Four persons, not more than two of whom shall be members of the same political party, who shall represent municipal and county governments, and at least one of whom shall represent the interest of urban areas, to be appointed by the Governor with the advice and consent of the Senate for terms of four years and until their respective successors are appointed and qualified, except that the first four appointments shall be for terms of one, two, three and four years, respectively. In making these appointments, the Governor shall give consideration to the recommendations of the New Jersey League of Municipalities, the New Jersey Conference of Mayors, the New Jersey Association of Counties, and the New Jersey Federation of Planning Officials;
d. Six public members, not more than three of whom shall be of the same political party, and of whom at least one shall be a professional planner, to be appointed by the Governor with the advice and consent of the Senate for terms of four years and until their respective successors are appointed and qualified, except that of the first six appointments, one shall be for a term of one year, one for a term of two years, two for a term of three years and two for a term of four years.
Vacancies in the membership of the commission shall be filled for the unexpired terms only in the same manner as the original appointments were made. Members shall receive no compensation for their services but shall be entitled to reimbursement for expenses incurred in the performance of their official duties.
Members of the commission shall be subject to the provisions of the "New Jersey Conflicts of Interest Law," P.L. 1971, c. 182 (C. 52:13D-12 et seq.).
##### **§ 52:18A-198** Organizational meeting {#sec-52-18a-198 omnilex-key=us-nj-statutes--title-52--52:18A-198}
The commission shall meet for the purpose of organization as soon as may be practicable after the appointment of its members. The Governor shall select a chairman, who shall serve at the pleasure of the Governor, from among the public members and the members of the commission shall annually select a vice-chairman from among the representatives of the public or municipal or county governments. Nine members of the commission shall constitute a quorum and no matter requiring action by the full commission shall be undertaken except upon the affirmative vote of not less than nine members. The commission shall meet at the call of its chairman or upon the written request of at least nine members.
##### **§ 52:18A-199** Duties of the commission. {#sec-52-18a-199 omnilex-key=us-nj-statutes--title-52--52:18A-199}
4. The commission shall:
a. Prepare and adopt within 36 months after the enactment of P.L.1985, c.398 (C.52:18A-196 et al.), and revise and readopt at least every three years thereafter, the State Development and Redevelopment Plan, which shall provide a coordinated, integrated and comprehensive plan for the growth, development, renewal and conservation of the State and its regions and which shall identify areas for growth, agriculture, open space conservation and other appropriate designations;
b. Prepare and adopt as part of the plan a long-term Infrastructure Needs Assessment, which shall provide information on present and prospective conditions, needs and costs with regard to State, county and municipal capital facilities, including water, sewerage, transportation, solid waste, drainage, flood protection, shore protection and related capital facilities;
c. Develop and promote procedures to facilitate cooperation and coordination among federal agencies, State agencies, regional entities, and local governments with regard to the development of plans, programs and policies which affect land use, environmental, capital and economic development issues;
d. Provide technical assistance to local governments and regional entities in order to encourage the use of the most effective and efficient planning and development review data, tools and procedures;
e. Periodically review federal, State, regional, and local government planning procedures and relationships and recommend to the Governor and the Legislature administrative or legislative action to promote a more efficient and effective planning process;
f. Review any bill introduced in either house of the Legislature which appropriates funds for a capital project and may study the necessity, desirability and relative priority of the appropriation by reference to the State Development and Redevelopment Plan, and may make recommendations to the Legislature and to the Governor concerning the bill;
g. Encourage military facility commanders and representatives of counties, municipalities, and of State and regional entities to maintain open lines of communication and to engage in long-term, strategic planning, including but not limited to Joint Land Use Studies, and to facilitate joint planning efforts; and
h. Take all actions necessary and proper to carry out the provisions of P.L.1985, c.398 (C.52:18A-196 et al.).
##### **§ 52:18A-200** State Development and Redevelopment Plan. {#sec-52-18a-200 omnilex-key=us-nj-statutes--title-52--52:18A-200}
5. The State Development and Redevelopment Plan shall be designed to represent a balance of development and conservation objectives best suited to meet the needs of the State. The plan shall:
a. Protect the natural resources and qualities of the State, including, but not limited to, agricultural development areas, fresh and saltwater wetlands, flood plains, stream corridors, aquifer recharge areas, steep slopes, areas of unique flora and fauna, and areas with scenic, historic, cultural and recreational values;
b. Promote development and redevelopment in a manner consistent with sound planning and where infrastructure can be provided at private expense or with reasonable expenditures of public funds. This should not be construed to give preferential treatment to new construction;
c. Consider input from State, regional, county and municipal entities concerning their land use, environmental, capital and economic development plans, including to the extent practicable any State and regional plans concerning natural resources or infrastructure elements;
d. Identify areas for growth, limited growth, agriculture, open space conservation and other appropriate designations that the commission may deem necessary;
e. Incorporate a reference guide of technical planning standards and guidelines used in the preparation of the plan; and
f. Coordinate planning activities and establish Statewide planning objectives in the following areas: land use, housing, economic development, transportation, natural resource conservation, agriculture and farmland retention, recreation, urban and suburban redevelopment, historic preservation, public facilities and services, and intergovernmental coordination.
##### **§ 52:18A-201** Office of Planning Advocacy. {#sec-52-18a-201 omnilex-key=us-nj-statutes--title-52--52:18A-201}
6. a. There is established in the Department of the Treasury the Office of State Planning, which was renamed as the "Office of Planning Advocacy," and transferred to the Department of State pursuant to Governor Christie's Reorganization Plan No. 002-2011, effective August 28, 2011. The director of the office shall be appointed by and serve at the pleasure of the Governor. The director shall supervise and direct the activities of the office and shall serve as the secretary and principal executive officer of the State Planning Commission.
b. The Office of Planning Advocacy shall assist the commission in the performance of its duties and shall:
(1) Publish an annual report on the status of the State Development and Redevelopment Plan which shall describe the progress towards achieving the goals of the plan, the degree of consistency achieved among municipal, county, regional, and State plans, and plans of military facilities, the capital needs of the State, and progress towards providing housing where such need is indicated;
(2) Provide planning service to other agencies or instrumentalities of State government, review the plans prepared by them, and coordinate planning to avoid or mitigate conflicts between plans;
(3) Provide advice and assistance to regional, county and local planning units;
(4) Review and comment on the plans of interstate agencies where the plans affect this State;
(5) Compile quantitative current estimates and Statewide forecasts for population, employment, housing and land needs for development and redevelopment; and
(6) Prepare and submit to the State Planning Commission, as an aid in the preparation of the State Development and Redevelopment Plan, alternate growth and development strategies which are likely to produce favorable economic, environmental and social results.
c. The director shall ensure that the responsibilities and duties of the commission are fulfilled, and shall represent the commission and promote its activities before government agencies, public and private interest groups and the general public, and shall undertake or direct such other activities as the commission shall direct or as may be necessary to carry out the purposes of P.L.1985, c.398 (C.52:18A-196 et al.).
d. With the consent of the commission, the director shall assign to the commission from the staff of the office at least two full-time planners, a full-time liaison to local and county governments and regional entities, and such other staff, clerical, stenographic and expert assistance as the director shall deem necessary for the fulfillment of the commission's responsibilities and duties.
e. The Office of Planning Advocacy shall assist the Military and Defense Economic Ombudsman in the performance of his duties and the director shall assign to the Military and Defense Economic Ombudsman, from the staff of the office, at least one full-time planner, a full-time liaison to local governments and regional and State entities, and such other staff, clerical, stenographic, and expert assistance as the director shall deem necessary for the fulfillment of the ombudsman's responsibilities and duties.
##### **§ 52:18A-201.1** Definitions; notification of land use plans. {#sec-52-18a-201.1 omnilex-key=us-nj-statutes--title-52--52:18A-201.1}
5. a. As used in this section:
"military and defense economic ombudsman" means the military and defense economic ombudsman in the Department of State established pursuant to section 2 of P.L. , c. (C. ) (pending before the Legislature as Assembly Bill No. of 2015).
"military facility" means any facility located within the State which is owned or operated by the federal government, and which is used for the purposes of providing logistical, technical, material, training, and any other support to any branch of the United States military; and
"military facility commander" means the chief official, base commander or person in charge at a military facility.
b. (1) Whenever any State department, office, agency, authority, or commission proposes a plan that would impact the use of land within 3,000 feet in all directions of any military facility, it shall notify the Director of the Office of Planning Advocacy prior to finalizing its plan. The director shall contact the Military and Defense Economic Ombudsman and the appropriate military facility commander in order to solicit comments addressing any land use compatibility issues which may be of concern to the military and shall forward those comments to the appropriate State department, office, agency, authority, or commission. The State department, office, agency, authority, or commission shall not finalize its plan until it has reviewed any comments submitted by the military facility commander on its proposed plan.
(2) Whenever the Office of Planning Advocacy receives a notice under the "Municipal Land Use Law," P.L.1975, c.291 (C.40:55D-1 et seq.) that would impact the use of land within 3,000 feet of any military facility, the director shall notify the Military and Defense Economic Ombudsman.
c. The Adjutant General of the Department of Military and Veterans' Affairs shall, within 30 days of the effective date of P.L.2005, c.41 (C.40:55D-12.4 et al.), forward a list of military facilities to the Director of the Office of State Planning. The director shall circulate the list to each State department, office, agency, authority or commission.
d. The Director of the Office of State Planning, upon receiving the list of military facilities from the Adjutant General, shall forthwith notify those municipalities and State departments, offices, agencies, authorities and commissions of the requirements of this section.
##### **§ 52:18A-202** Advice of other entities; plan cross-acceptance. {#sec-52-18a-202 omnilex-key=us-nj-statutes--title-52--52:18A-202}
7. a. In preparing, maintaining and revising the State Development and Redevelopment Plan, the commission shall solicit and give due consideration to the plans, comments and advice of each county and municipality, State agencies designated by the commission, the Highlands Water Protection and Planning Council established pursuant to section 4 of P.L.2004, c.120 (C.13:20-4), and other local and regional entities. Prior to the adoption of each plan, the commission shall prepare and distribute a preliminary plan to each county planning board, municipal planning board and other requesting parties, including State agencies, the Highlands Water Protection and Planning Council, and metropolitan planning organizations. Not less than 45 nor more than 90 days thereafter, the commission shall conduct a joint public informational meeting with each county planning board in each county and with the Highlands Water Protection and Planning Council for the purpose of providing information on the plan, responding to inquiries concerning the plan, and receiving informal comments and recommendations from county and municipal planning boards, local public officials, the Highlands Water Protection and Planning Council, and other interested parties.
b. The commission shall negotiate plan cross-acceptance with each county planning board, which shall solicit and receive any findings, recommendations and objections concerning the plan from local planning bodies. Each county planning board shall negotiate plan cross-acceptance among the local planning bodies within the county, unless it shall notify the commission in writing within 45 days of the receipt of the preliminary plan that it waives this responsibility, in which case the commission shall designate an appropriate entity, or itself, to assume this responsibility. Each board or designated entity shall, within ten months of receipt of the preliminary plan, file with the commission a formal report of findings, recommendations and objections concerning the plan, including a description of the degree of consistency and any remaining inconsistency between the preliminary plan and county and municipal plans. In any event, should any municipality's plan remain inconsistent with the State Development and Redevelopment Plan after the completion of the cross-acceptance process, the municipality may file its own report with the State Planning Commission, notwithstanding the fact that the county planning board has filed its report with the State Planning Commission. The term cross-acceptance means a process of comparison of planning policies among governmental levels with the purpose of attaining compatibility between local, county, regional, and State plans. The process is designed to result in a written statement specifying areas of agreement or disagreement and areas requiring modification by parties to the cross-acceptance.
c. Upon consideration of the formal reports of the county planning boards, the commission shall prepare and distribute a final plan to county and municipal planning boards, the Highlands Water Protection and Planning Council, and other interested parties. The commission shall conduct not less than six public hearings in different locations throughout the State for the purpose of receiving comments on the final plan. The commission shall give at least 30 days' public notice of each hearing in advertisements in at least two newspapers which circulate in the area served by the hearing and at least 30 days' notice to the governing body and planning board of each county and municipality in the area served by the hearing and to the Highlands Water Protection and Planning Council for any area in the Highlands Region served by the hearing.
d. Taking full account of the testimony presented at the public hearings, the commission shall make revisions in the plan as it deems necessary and appropriate and adopt the final plan by a majority vote of its authorized membership no later than 60 days after the final public hearing.
##### **§ 52:18A-202a** Extended period for filing report on preliminary plan. {#sec-52-18a-202a omnilex-key=us-nj-statutes--title-52--52:18A-202a}
2. The extended period for the filing of a formal report of findings, recommendations and objections concerning the preliminary plan provided for in section 7 of P.L.1985, c.398 (C.52:18A-202), as amended by P.L.1998, c.109, shall apply to any preliminary plan which has not been finalized by the commission, as provided in subsection c. of section 7 of P.L.1985, c.398 (C.52:18A-202) prior to the effective date of P.L.1998, c.109.
##### **§ 52:18A-202.1** Findings, declarations {#sec-52-18a-202.1 omnilex-key=us-nj-statutes--title-52--52:18A-202.1}
The Legislature finds and declares that:
a. There are many concerns associated with the design and implementation of the State Development and Redevelopment Plan (hereafter referred to as the "Plan"), including:
(1) maintaining beneficial growth;
(2) improving environmental quality;
(3) assuring cost-effective delivery of infrastructure and other public services;
(4) improving intergovernmental coordination;
(5) preserving the quality of community life; and
(6) redeveloping the State's major urban areas.
b. Each of these concerns is an important issue for further study and each should serve as a measure of the efficacy of the Plan.
c. However, these concerns are not mutually exclusive and, therefore, a balance among them must be achieved to maximize the well-being for the State and its residents.
d. The process of cross-acceptance of the State Development and Redevelopment Plan required under the "State Planning Act," P.L.1985, c.398 (C.52:18A-196 et seq.), is a process designed to elicit the greatest degree of public participation in order to encourage the development of a consensus among the many, sometimes competing, interests in the State.
e. This consensus will be facilitated by the availability of sufficient information concerning the impact the State Development and Redevelopment Plan may have on particular regions and on the overall economic well-being of the State.
f. The Plan evolves through three phases:
(1) the Preliminary Plan, which will serve as the basis for cross-acceptance;
(2) the Interim Plan, which will reflect the changes occurring during the cross-acceptance process; and
(3) the Final Plan, which is to be implemented after approval by the State Planning Commission.
g. A two-stage process shall be established to examine the economic, environmental, infrastructure, community life, and intergovernmental coordination impacts of the Plan. This procedure shall consist of an assessment of the impacts of the Interim Plan and an on-going monitoring and evaluation program after the Final Plan is adopted.
h. The results of the Assessment Study shall identify desirable changes to be incorporated into the Final Plan. These studies shall describe the impacts of the policies and strategies proposed in the Plan (hereafter referred to as the "Plan" impacts) relative to the impacts that would likely occur without a Plan (hereafter referred to as "Trend" impacts). In examining the impacts of Plan and Trend, any significant regional differences that result shall be identified and analyzed. Where appropriate, the study shall also distinguish short-term and long-term impacts.
i. It is necessary to conduct an economic assessment of the Plan and Trend impacts and to make the results of that assessment available before adoption of the Final Plan. Work on the development of the evaluation methodology and, where possible, the collection of data for the assessment study shall commence upon enactment of this bill. Some factors that shall be addressed during cross-acceptance include:
(1) Changes in property values, including farmland, State and local expenditures and tax revenues, and regulations;
(2) Changes in housing supply, housing prices, employment, population and income;
(3) Costs of providing the infrastructure systems identified in the State Planning Act;
(4) Costs of preserving the natural resources as identified in the State Planning Act;
(5) Changes in business climate; and
(6) Changes in the agricultural industry and the costs of preserving farmland and open spaces.
##### **§ 52:18A-202.2** Studies; review. {#sec-52-18a-202.2 omnilex-key=us-nj-statutes--title-52--52:18A-202.2}
2. a. The Office of State Planning in consultation with the Office of Economic Policy, shall utilize the following:
(1) Conduct portions of these studies using its own staff;
(2) Contract with other State agencies to conduct portions of these studies; and
(3) Contract with an independent firm or an institution of higher learning to conduct portions of these studies.
b. Any portion of the studies conducted by the Office of State Planning, or any other State agency, shall be subject to review by an independent firm or an institution of higher learning.
c. The Assessment Study and the oversight review shall be submitted in the form of a written report to the State Planning Commission for distribution to the Governor, the Legislature, appropriate regional entities, and the governing bodies of each county and municipality in the State during the cross-acceptance process and prior to the adoption of the Final Plan.
d. A period extending from at least 45 days prior to the first of six public hearings, which are required under the State Planning Act, P.L.1985, c.398 (C.52:18A-196 et seq.), to 30 days following the last public hearing shall be provided for counties and municipalities to review and respond to the studies. Requests for revisions to the Interim Plan shall be considered by the State Planning Commission in the formulation of the Final Plan.
##### **§ 52:18A-202.3** On-going monitoring and evaluation program {#sec-52-18a-202.3 omnilex-key=us-nj-statutes--title-52--52:18A-202.3}
a. The Final Plan shall include the appropriate monitoring variables and plan targets in the economic, environmental, infrastructure, community life, and intergovernmental coordination areas to be evaluated on an on-going basis following adoption of the Final Plan.
b. In implementing the monitoring and evaluation program, if Plan targets are not being realized, the State Planning Commission shall evaluate reasons for the occurrences and determine if changes in Plan targets or policies are warranted.
c. The Office of State Planning shall include in its annual report results of the on-going monitoring and evaluation program and forward the report to the Governor and the Legislature.
##### **§ 52:18A-203** Rules, regulations. {#sec-52-18a-203 omnilex-key=us-nj-statutes--title-52--52:18A-203}
8. a. The commission shall adopt rules and regulations to carry out its purposes, including procedures to facilitate the solicitation and receipt of comments in the preparation of the preliminary and final plan and to ensure a process for comparison of the plan with county and municipal master plans and regional plans, and procedures for coordinating the information collection, storage and retrieval activities of the various State agencies, and to establish a process for the endorsement of municipal, county, and regional plans that are consistent with the State Development and Redevelopment Plan.
b. Any municipality or county or portion thereof located in the Highlands preservation area as defined in section 3 of P.L.2004, c.120 (C.13:20-3) shall be exempt from the plan endorsement process established in the rules and regulations adopted pursuant to subsection a. of this section. Upon the State Planning Commission endorsing the regional master plan adopted by the Highlands Water Protection and Planning Council pursuant to section 8 of P.L.2004, c.120 (C.13:20-8), any municipal master plan and development regulations or county master plan and associated regulations that have been approved by the Highlands Water Protection and Planning Council pursuant to section 14 or 15 of P.L.2004, c.120 (C.13:20-14 or C.13:20-15) shall be deemed the equivalent of having those plans endorsed by the State Planning Commission.
##### **§ 52:18A-204** Assistance of personnel of other entities. {#sec-52-18a-204 omnilex-key=us-nj-statutes--title-52--52:18A-204}
9. The commission shall be entitled to call to its assistance any personnel of any State agency, regional entity, or county, municipality or political subdivision thereof as it may require in order to perform its duties. The officers and personnel of any State agency, regional entity, or county, municipality or political subdivision thereof and any other person may serve at the request of the commission upon any advisory committee as the commission may create without forfeiture of office or employment and with no loss or diminution in the compensation, status, rights and privileges which they otherwise enjoy.
##### **§ 52:18A-205** Provision of data by other entities. {#sec-52-18a-205 omnilex-key=us-nj-statutes--title-52--52:18A-205}
10. Each State agency, regional entity, or county, municipality or political subdivision thereof shall make available to the commission any studies, surveys, plans, data and other materials or information concerning the capital, land use, environmental, transportation, economic development and human services plans and programs of the agency, entity, county, municipality or political subdivision.
##### **§ 52:18A-206** Other plans, regulations unaffected; adoption of coastal planning policies. {#sec-52-18a-206 omnilex-key=us-nj-statutes--title-52--52:18A-206}
11. a. The provisions of P.L.1985, c.398 (C.52:18A-196 et al.) shall not be construed to affect the plans and regulations of the Pinelands Commission pursuant to the "Pinelands Protection Act," P.L. 1979, c.111 (C.13:18A-1 et seq.), the New Jersey Meadowlands Commission pursuant to the "Hackensack Meadowlands Reclamation and Development Act," P.L.1968, c.404 (C.13:17-1 et seq.), or the Highlands Water Protection and Planning Council pursuant to the "Highlands Water Protection and Planning Act," P.L.2004, c.120 (C.13:20-1 et al.) for that portion of the Highlands Region lying within the preservation area as defined in section 3 of P.L.2004, c.120 (C.13:20-3) . The State Planning Commission shall rely on the adopted plans and regulations of these entities in developing the State Development and Redevelopment Plan.
b. The State Planning Commission may adopt, after the enactment date of P.L.1993, c.190 (C.13:19-5.1 et al.), the coastal planning policies of the rules and regulations adopted pursuant to P.L.1973, c.185 (C.13:19-1 et seq.), the coastal planning policies of the rules and regulations adopted pursuant to subsection b. of section 17 of P.L.1973, c.185 (C.13:19-17) and any coastal planning policies of rules and regulations adopted pursuant to P.L.1973, c.185 (C.13:19-1 et seq.) thereafter as the State Development and Redevelopment Plan for the coastal area as defined in section 4 of P.L.1973, c.185 (C.13:19-4).
##### **§ 52:18A-207** Short title {#sec-52-18a-207 omnilex-key=us-nj-statutes--title-52--52:18A-207}
Sections 1 through 12 of this act shall be known and may be cited as the "State Planning Act."
##### **§ 52:18A-208** Vietnam Veterans' Memorial Fund. {#sec-52-18a-208 omnilex-key=us-nj-statutes--title-52--52:18A-208}
4. There is created in the Department of the Treasury, a fund to be known as the Vietnam Veterans' Memorial Fund. The fund shall be credited with any moneys as may be donated by members of the public or appropriated to the fund by law. All interest on moneys in the fund shall be credited to the fund. The moneys in the fund shall be administered by the State Treasurer, to be held thereby in the fund until appropriated by law. Not later than July 21, 1986, and periodically thereafter, the State Treasurer shall certify to the Legislature the total amount of moneys in the fund.
##### **§ 52:18A-209** Petroleum Overcharge Reimbursement Fund {#sec-52-18a-209 omnilex-key=us-nj-statutes--title-52--52:18A-209}
There is established in the General Fund a special fund to be known as the "Petroleum Overcharge Reimbursement Fund," hereinafter referred to as the "fund." The State Treasurer shall credit the fund with all moneys received by the State as payments for overcharges for petroleum products pursuant to any agreement between the United States Government and a petroleum company. The fund shall be administered by the State Treasurer, and any interest earned on moneys in the fund shall be credited to the fund.
##### **§ 52:18A-210** Eligibility guidelines; distribution procedures {#sec-52-18a-210 omnilex-key=us-nj-statutes--title-52--52:18A-210}
a. The commissioner of any department receiving an appropriation pursuant to this act shall issue guidelines concerning the eligibility for available funds and procedures for the distribution of funds, and may adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), any rules and regulations necessary to implement the provisions of this act.
b. The sums appropriated pursuant to this act shall be obligated on or before August 3, 1993 by the departments receiving an appropriation pursuant to this act.
c. If any department, agency, commission, board or governmental body politic and corporate in but not of a principal executive department of State government, has unobligated funds on August 3, 1990, from moneys appropriated pursuant to P.L.1987, c.231, the department, agency, commission, board or body shall report to the Governor and the Legislature on January 1 of each of the next succeeding three years concerning the proposed and actual expenditure of the sums appropriated pursuant to P.L.1987, c.231.
##### **§ 52:18A-211** Annual budget recommendation; requirements {#sec-52-18a-211 omnilex-key=us-nj-statutes--title-52--52:18A-211}
The annual budget recommendation shall include a schedule reflecting the actual expenditure and proposed appropriation of amounts from the Petroleum Overcharge Reimbursement Fund and shall further include a specific recommendation for appropriation of amounts from the fund for each department for which an appropriation is recommended, in the same manner and with the same information as is the case with all other recommendations for appropriations from the General Fund.
##### **§ 52:18A-212** Findings, declarations relative to the Trenton War Memorial {#sec-52-18a-212 omnilex-key=us-nj-statutes--title-52--52:18A-212}
1. The Legislature finds and declares that the Trenton War Memorial building is a cultural, historic and artistic asset to the citizens of New Jersey and is used for activities, performances and official convocations by organizations, groups and public agencies from throughout the State. The promotion, operation, restoration and maintenance of the War Memorial building is, therefore, in the public interest of the State and the best means to achieve this end is by ownership and operation of the building and lands by the State. It is also in the public interest of the State that the use privileges accorded veterans' organizations to space within the facility prior to the effective date of P.L.2003, 149 will be continued.
The Legislature also finds and declares that the State will have the ability to present and promote programs of its own selection at the War Memorial building in order to make the facility's schedule of events more responsive to the interests of State, local and regional residents while not limiting use of the facility by New Jersey organizations, community groups and public agencies.
##### **§ 52:18A-213** Title vested in State {#sec-52-18a-213 omnilex-key=us-nj-statutes--title-52--52:18A-213}
2. Title or interest in any lands, buildings, facilities, furnishings or equipment heretofore acquired by, conveyed or transferred to, the Trenton and Mercer County Memorial Building Commission established pursuant to R.S.40:10-3 et seq., repealed, shall be vested in the State of New Jersey and, notwithstanding any other provision of law to the contrary, the State shall hold title or interest therein, and shall be the owner thereof.
##### **§ 52:18A-214** Jurisdiction of the Department of the Treasury; Department of State {#sec-52-18a-214 omnilex-key=us-nj-statutes--title-52--52:18A-214}
3. The Trenton War Memorial shall fall within the jurisdiction of the Department of the Treasury for the purposes of restoration, repair and maintenance of the facility, including the lands and improvements incident thereto. The Trenton War Memorial shall fall within the jurisdiction of the Department of State for purposes of operating the facility and promoting and presenting programs at the facility that will advance the cultural, artistic and ceremonial needs and interests of the citizens of the State, consistent with the Legislature's findings and declarations set forth in section 1 of P.L.1988, c.116 (C.52:18A-212). In the execution of their responsibilities, the Department of the Treasury and the Department of State, consistent with the scope of their respective jurisdictions, shall be empowered to contract with qualified entities, which may include, but not be limited to other departments, agencies or authorities of the State, independent contractors, nonprofit corporations, professional management firms, artists, performers, agents representing artists and performers, associated vendors and other individuals possessing expertise of the type necessary to assure the well-being of the facility and the accomplishment of the purposes and objectives set forth in P.L.1988, c.116 (C.52:18A-212 et seq.).
##### **§ 52:18A-215** Funds; fees; uses {#sec-52-18a-215 omnilex-key=us-nj-statutes--title-52--52:18A-215}
4. a. Any entity may, with the written authorization of the Secretary of State and written notice to the State Treasurer, solicit and raise funds and accept funds from any public or private source for any of the purposes and objectives set forth in P.L.1988, c.116 (C.52:18A-212 et seq.). The State or any political subdivision of the State may appropriate moneys to the Department of State or any other department, agency or authority for such purposes or objectives which may include otherwise eligible general obligation bond funds. Any entity authorized under P.L.1988, c.116 (C.52:18A-212 et seq.) to contract for the management of the facility may, with the written approval of the State Treasurer and the Secretary of State, levy fees or charges for the use of the facility.
b. All proceeds received by the Department of State from operation of the Trenton War Memorial and presentation of programs at the Trenton War Memorial, as well as all moneys received from fund-raising activities, donations, appropriations, or fees and charges shall be immediately deposited into the War Memorial Fund established by section 5 of P.L.1988, c.116 (C.52:18A-216), and disbursed for costs associated with any purpose or objective provided by P.L.1988, c.116 (C.52:18A-212 et seq.), including, but not limited to the presentation of other performing arts programs, performers' fees, advertising and promotion, equipment purchase and rental, stage workers, ushers, ticket takers and security, unless the State Treasurer provides for alternative treatment of those funds.
##### **§ 52:18A-216** War Memorial Fund {#sec-52-18a-216 omnilex-key=us-nj-statutes--title-52--52:18A-216}
There is created a War Memorial Fund in the custody and control of the State Treasurer which shall be the repository for all moneys required to be deposited therein. Moneys held in the fund shall be disbursed by the State Treasurer for the purposes provided by this act in the manner required by law. The State Treasurer may invest or reinvest any moneys in the fund, or any portion thereof, according to law, but any income from, interest on, or increment to moneys so invested shall remain in the fund. Investment of such funds shall be consistent with policies of the Division of Investment.
##### **§ 52:18A-218** Korean Veterans' Memorial Fund. {#sec-52-18a-218 omnilex-key=us-nj-statutes--title-52--52:18A-218}
4. There is created in the Department of the Treasury, a fund to be known as the Korean Veterans' Memorial Fund. The fund shall be credited with any moneys that may be donated by members of the public, the money appropriated to the fund under section 6 of P.L.1996, c.72 and any other moneys appropriated to the fund by law. All interest on moneys in the fund shall be credited to the fund. The moneys in the fund shall be administered by the State Treasurer, to be held thereby in the fund until appropriated by law. Not later than January 22, 1997, and periodically thereafter, the State Treasurer shall certify to the Legislature the total amount of moneys in the fund.
##### **§ 52:18A-218.1** Definitions relative to funeral payments for public safety personnel. {#sec-52-18a-218.1 omnilex-key=us-nj-statutes--title-52--52:18A-218.1}
1. As used in this act:
"Family" means the spouse, parent, children, or other person who pays the funeral expenses of a public safety employee who is killed in the line of duty.
"Public safety employee" means a permanent, full-time member of a State, county, or municipal law enforcement agency or a county sheriff's office who is statutorily empowered to act for the detection, apprehension, arrest, and conviction of offenders against the laws of this State; an active member in good standing of a paid, part-paid, or volunteer fire department or of a duly incorporated first aid, emergency, ambulance or rescue squad; or a State or county correctional police officer.
##### **§ 52:18A-218.2** Reimbursement to family of employee killed in performance of his duties. {#sec-52-18a-218.2 omnilex-key=us-nj-statutes--title-52--52:18A-218.2}
2. When a public safety employee is killed in the performance of his duties, the Treasurer of the State of New Jersey shall reimburse the employee's family for the actual expenses of the employee's funeral. This reimbursement shall defray the actual costs of the funeral but shall not exceed a total amount of $10,000. The reimbursement shall be reduced by any amount payable for funeral expenses from workers' compensation pursuant to R.S.34:15-13.
##### **§ 52:18A-218.3** Rules, regulations. {#sec-52-18a-218.3 omnilex-key=us-nj-statutes--title-52--52:18A-218.3}
3. The State Treasurer shall promulgate rules and regulations necessary to effectuate the purposes of this act, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:18A-218.4** "COVID-19 Frontline and Healthcare Worker Memorial Fund" established. {#sec-52-18a-218.4 omnilex-key=us-nj-statutes--title-52--52:18A-218.4}
4. There is established in the Department of the Treasury a non-lapsing fund to be known as the "COVID-19 Frontline and Healthcare Worker Memorial Fund." The fund shall be credited with any moneys received by the COVID-19 Frontline and Healthcare Worker Memorial Commission as donations pursuant to subsection b. of section 3 of this act and any moneys as may thereafter be donated or appropriated to the fund. All interest earned on moneys in the fund shall be credited to the fund. The moneys in the fund shall be administered by the State Treasurer and held in the fund until appropriated by law. No later than one year following the effective date of this act, and annually thereafter, the State Treasurer shall certify to the Governor, the Legislature, and the Secretary of State the total amount of moneys in the fund.
##### **§ 52:18A-219** Division of Risk Management. {#sec-52-18a-219 omnilex-key=us-nj-statutes--title-52--52:18A-219}
1. a. There is established in the Department of the Treasury a Division of Risk Management.
b. All of the functions, powers and duties of the Bureau of Risk Management within the Division of Purchase and Property in the Department of the Treasury are hereby transferred to the Division of Risk Management. Unless otherwise specified in the act, this transfer shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C. 52:14D-1 et seq.).
c. Whenever any statute, rule, regulation, order, contract, tariff, document, reorganization plan, judicial or administrative proceeding concerning risk management refers to the Bureau of Risk Management, the reference shall mean and refer to the Division of Risk Management.
##### **§ 52:18A-220** Director of the Division of Risk Management. {#sec-52-18a-220 omnilex-key=us-nj-statutes--title-52--52:18A-220}
2. The division shall be under the immediate supervision of a director who shall administer the work of the division under the direction and supervision of the State Treasurer. The director shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve at the pleasure of the Governor. The Director of the Division of Risk Management shall receive such salary as shall be determined by the Treasurer within the limits of available appropriations. Notwithstanding the supervision and direction of the director by the State Treasurer, the director shall report directly to the Governor on all activities and responsibilities of the division as specified in this act.
##### **§ 52:18A-221** Mission of the division. {#sec-52-18a-221 omnilex-key=us-nj-statutes--title-52--52:18A-221}
3. The mission of the division shall be to implement a well-coordinated strategy to identify and respond to the needs of the various departments and agencies of State Government in this regard. Specifically, the division shall:
a. Procure insurance coverage, if appropriate, for any or all of the various departments and agencies of State Government, other than State colleges that procure coverage through risk management programs, joint liability funds, or joint insurance programs pursuant to P.L.2010, c.99 (C.18A:64-86 et seq.) and independent authorities and instrumentalities of the State, including, as otherwise required by law or as appropriate, coverage through self-insurance and use of third party administrators;
b. Assist the various departments and agencies of State Government in developing sound plans of risk management, including developing programs to protect physical assets, and developing and implementing safety programs to mitigate both the frequency and severity of accidental loss and by reviewing these plans and programs from time to time;
c. Administer the processing of all claims for the various self-administered and self-funded insurance programs of State agencies and departments, with litigation support from the Department of Law and Public Safety, except those claims processed by risk management programs, joint liability funds, or joint insurance programs established by State colleges pursuant to P.L.2010, c.99 (C.18A:64-86 et seq.);
d. Compile and distribute, on a monthly basis, accident frequency reports to the Governor, the commissioner of each principal department of State Government, and the Legislature. These reports shall track each department's current accident rate compared to historical trends and shall include summaries of any protocols in place to reduce risk; and
e. Continue all of the previous functions and responsibilities of the Bureau of Risk Management, in addition to those listed in this section, and develop new strategies and programs, as appropriate.
##### **§ 52:18A-222** Risk Management Committee. {#sec-52-18a-222 omnilex-key=us-nj-statutes--title-52--52:18A-222}
4. a. There is created a Risk Management Committee to monitor the State's risk management program as developed and coordinated by the division. The committee shall be comprised of the commissioner of each principal department in State Government, or his designee. The State Treasurer and the Commissioner of Banking and Insurance shall serve as co-chairpersons of the committee, and the director of the division shall serve as Executive Secretary. The committee shall meet at least once every three months to:
(1) review the accident frequency reports prepared by the division pursuant to subsection d. of section 3 of P.L.2007, c.56 (C.52:18A-221);
(2) review policy issues related to worker safety and capital repair issues and their relationship to workers' compensation claims;
(3) develop a program and schedule for risk management training of appropriate managers within the principal departments; and
(4) oversee the establishment and operation of the risk management committees of each of the principal departments.
b. Each commissioner shall, pursuant to his general rule-making authority within each respective department, direct the appropriate personnel to administer and enforce any programs or protocols developed by the committee.
##### **§ 52:18A-223** Rules, regulations. {#sec-52-18a-223 omnilex-key=us-nj-statutes--title-52--52:18A-223}
5. The Director of the Division of Risk Management shall promulgate rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to effectuate the purposes of this act.
##### **§ 52:18A-224** Short title. {#sec-52-18a-224 omnilex-key=us-nj-statutes--title-52--52:18A-224}
6. Sections 6 through 16 of P.L.2007, c.56 (C.52:18A-224 through C.52:18A-234) shall be known and may be cited as "The Office of Information Technology Reorganization Act."
##### **§ 52:18A-225** Findings, declarations relative to Office of Information Technology. {#sec-52-18a-225 omnilex-key=us-nj-statutes--title-52--52:18A-225}
7. The Legislature finds and declares:
a. Since its inception, the Office of Information Technology (OIT) has served an integral role in providing essential State services, developing the State's technical infrastructure, and maintaining an efficient and transparent State government;
b. Beyond its core responsibilities of application development and maintenance, data center operations, and telecommunications, OIT provides invaluable data management, Internet development, and geographic information systems to departments and agencies within the Executive Branch of State Government;
c. From developing the Department of Human Services' computer-based disability insurance systems to maintaining criminal databases utilized by the State Police, and from designing the Motor Vehicle Commission's online services to assisting the Division of Taxation in collecting State revenues, OIT provides the critical resources to connect various layers of State Government and deliver services to State residents;
d. Despite its achievements, OIT has been restrained by a lack of accountability, control, and monitoring in planning, developing, and conducting department and agency information technology projects;
e. The lack of oversight has contributed to disorganization and economic inefficiencies, while also restricting growth, limiting innovation, and discouraging creative input within OIT;
f. In order to realize the office's potential, keep pace with technological advancements, and meet the needs of residents and businesses throughout the State, it is necessary to reinforce OIT's role with a new structure, leadership, and mission; and
g. Therefore, the State must take a proactive approach in coordinating and integrating information technology planning, budgeting, and spending throughout the Executive Branch to advance cost savings, improve the quality of services, and retain operating efficiencies.
##### **§ 52:18A-226** Definitions relative to Office of Information Technology. {#sec-52-18a-226 omnilex-key=us-nj-statutes--title-52--52:18A-226}
8. As used in this act:
a. (Deleted by amendment, P.L.2013, c.253)
b. (Deleted by amendment, P.L.2013, c.253)
c. "Office" means the Office of Information Technology established by section 9 of P.L.2007, c.56 (C.52:18A-227).
d. "Project Review Board" means the New Jersey Information Technology Project Review Board established by section 14 of P.L.2007, c.56 (C.52:18A-232).
##### **§ 52:18A-227** Office of Information Technology. {#sec-52-18a-227 omnilex-key=us-nj-statutes--title-52--52:18A-227}
9. a. There is established an Office of Information Technology.
b. The office shall be established in the Executive Branch of State Government and to comply with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the office shall be allocated in but not of the Department of the Treasury. Notwithstanding this allocation, the office shall be independent of any supervision or control by the State Treasurer, or the department, or by any division, board, office, or other officer thereof.
c. The office shall be directed by the Chief Technology Officer, who shall report directly to the Governor.
d. The Chief Technology Officer shall submit requests for the budget of the office to the Division of Budget and Accounting in the Department of the Treasury.
e. Under the direction of the Chief Technology Officer, the office shall be responsible for providing and maintaining the information technology infrastructure of the Executive Branch of State Government, including all ancillary departments and agencies of the Executive Branch of State Government.
f. The functions, powers, and duties granted to the office by Executive Order No. 84 of 1984, Executive Order No. 87 of 1998, and Executive Order No. 42 of 2006 shall be continued, and any function, power, or duty granted to the office by the Executive Orders that is inconsistent with the provisions of this act shall be rescinded.
##### **§ 52:18A-229** Administration of Office of Information Technology; Chief Technology Officer. {#sec-52-18a-229 omnilex-key=us-nj-statutes--title-52--52:18A-229}
11. a. The Office of Information Technology shall be administered by the Chief Technology Officer for the State of New Jersey. The Chief Technology Officer shall be appointed by and serve at the pleasure of the Governor. The Chief Technology Officer shall be qualified by education, training, and prior experience to direct the work of the office and to perform the duties, functions and responsibilities of the position.
b. The Chief Technology Officer shall serve during the term of the Governor appointing the officer and until a successor is appointed and has qualified.
c. The Chief Technology Officer shall devote full-time to the duties and responsibilities of the office and shall receive a salary as shall be provided pursuant to law.
d. A vacancy in the position of Chief Technology Officer shall be filled in the same manner as provided for in the original appointment.
##### **§ 52:18A-230** Authority of Chief Technology Officer. {#sec-52-18a-230 omnilex-key=us-nj-statutes--title-52--52:18A-230}
12. The Chief Technology Officer, in consultation with the Chief Innovation Officer, shall:
a. be authorized to establish the internal organizational structure of the Office of Information Technology in a manner appropriate to carrying out the duties and functions, and fulfilling the responsibilities, of the office;
b. be authorized to coordinate and conduct all information technology operations in the Executive Branch of State Government, including agency technology operations;
c. be authorized to draft and establish Service Level Agreements with each department and agency in the Executive Branch of State Government;
d. be authorized to review and analyze the results of the Statewide Information Technology Assessment Study;
e. be authorized to enter into agreements, in accordance and consistent with applicable law, regulations, and existing contracts, with private and public entities or individuals to effectuate the purposes of sections 6 through 16 of P.L.2007, c.56 (C.52:18A-224 through C.52:18A-234);
f. in consultation with the New Jersey Information Technology Project Review Board, evaluate on an annual basis the feasibility of using artificial intelligence, machine learning, and commercial cloud computing services, as well as other emerging technologies, by State agencies to provide public services and the development of data analytics capabilities to enable data-driven policy development by State agencies; and
g. develop a process to promulgate, and update no less than every other year, a set of metrics to assess each State agency's implementation of a modern digital experience. The set of metrics shall be reevaluated every three years.
##### **§ 52:18A-231** Deputy Chief Technology Officers. {#sec-52-18a-231 omnilex-key=us-nj-statutes--title-52--52:18A-231}
13. a. The Chief Technology Officer is authorized to appoint up to six Deputy Chief Technology Officers.
b. Each Deputy Chief Technology Officer shall be appointed by and serve at the pleasure of the Chief Technology Officer, and shall be responsible for information technology planning, coordination, budgeting, technical architecture, and management of large-scale information technology initiatives, in a single area of interest as determined by the Chief Technology Officer.
##### **§ 52:18A-232** New Jersey Information Technology Project Review Board. {#sec-52-18a-232 omnilex-key=us-nj-statutes--title-52--52:18A-232}
14. a. There is established the New Jersey Information Technology Project Review Board.
b. The Project Review Board shall report directly to the Chief Technology Officer and shall be comprised of between three and five Executive Branch officials, selected by the Governor.
c. The Project Review Board shall be responsible for the review, approval, and monitoring of large-scale information technology projects in the Executive Branch of State Government.
d. The Project Review Board shall meet at the discretion of the Chief Technology Officer or the Governor, and shall convene meetings and hearings at the times and in the places as a majority of the members of the board shall decide.
e. The Office of Information Technology shall provide such stenographic, clerical, and other administrative assistants, and such professional staff, as the Project Review Board requires to carry out its work. The board shall be entitled to call to its assistance, and avail itself of the services of, the employees of any State, county, or municipal department, board, bureau, commission, or agency as it may require and as may be available for its purposes.
f. The Governor shall define the extent of large-scale information technology projects and establish a monetary threshold for information technology projects requiring the review and approval of the Project Review Board.
##### **§ 52:18A-233** Reports to Governor, Legislature. {#sec-52-18a-233 omnilex-key=us-nj-statutes--title-52--52:18A-233}
15. a. The Chief Technology Officer shall provide periodic reports to the Governor, and shall issue an annual report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature regarding the information technology operations of the Executive Branch of State Government and the activities of the Office of Information Technology.
b. The annual report shall be issued on or before September 30 of each year, and shall be made available to the public.
##### **§ 52:18A-233.1** Short title. {#sec-52-18a-233.1 omnilex-key=us-nj-statutes--title-52--52:18A-233.1}
1. This act shall be known and may be cited as the "21st Century Integrated Digital Experience Act."
##### **§ 52:18A-233.2** Findings and declarations. {#sec-52-18a-233.2 omnilex-key=us-nj-statutes--title-52--52:18A-233.2}
2. The Legislature finds and declares that:
a. Ensuring New Jersey's global leadership position in technology and electronic government requires an approach that narrows the growing gap between the digital demands of citizens and the methods by which the government provides digital services to New Jersey.
b. The enhancement of citizen-facing digital experiences can change the paradigm for the delivery of government services and dramatically reduce the cost of government operations.
c. Many State websites are not equipped to provide an enhanced experience to the growing number of citizens who access government services through a mobile device.
d. Government lags far behind the private sector in providing a modern, seamless, personalized, and consistent digital experience that provides useful information and services to citizens, businesses, and other stakeholders.
e. The implementation of modern customer service experiences, such as citizen-centric design, comprehensive self-service capabilities, and uniform mobile rendering will be key to facilitating the transition to from an analog, paper-based government to a digital government that delivers information and government services in an efficient and effective manner.
f. Transitioning from paper processes to adaptive and intuitive digital forms would significantly improve government services.
g. All State websites should be accessible to individuals with disabilities.
##### **§ 52:18A-233.3** Definitions. {#sec-52-18a-233.3 omnilex-key=us-nj-statutes--title-52--52:18A-233.3}
3. As used in P.L.2021, c.392 (C.52:18A-233.1 et al.):
"Agency" means any of the principal departments of the Executive Branch, including the Department of the Treasury, and any division, office, board, bureau, commission, authority, or entity therein or allocated thereto to comply with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution.
"Cloud computing service" means a service that enables on-demand self-service network access to a shared pool of configurable computer resources including, but not limited to, data storage, analytics, electronic commerce, streaming services, mobile services, electronic mail, and document sharing and editing, which can be rapidly provided and released with minimal management effort or cloud computing service provider interaction.
"Information technology modernization and improvement plan" or "plan" means the plan prepared by each agency pursuant to section 4 of P.L.2021, c.392 (C.52:18A-233.4).
##### **§ 52:18A-233.4** Information technology modernization and improvement plan submission, Chief Technology Officer. {#sec-52-18a-233.4 omnilex-key=us-nj-statutes--title-52--52:18A-233.4}
4. a. The Chief Technology Officer is authorized to request that any agency submit a plan in accordance with this subsection. Not later than one year following the date on which the Chief Technology Officer requests such plan, the agency shall develop and submit to the Chief Technology Officer an information technology modernization and improvement plan. The plan shall:
(1) describe how the agency will improve the provision of digital services by leveraging data analytics and related tools to ensure an effective rendering of all publicly facing websites on mobile devices, increasing the use of data analytics to improve website operation, enhancing the delivery of digital services through the adoption of commercial cloud computing services, promoting the use of intuitive and adaptive electronic forms (HTML Living Standard), utilizing electronic signatures, and digitizing government processes and workflows;
(2) outline a process to be utilized by the agency to ensure that each State website intended for public use is mobile-friendly and accessible by persons with disabilities within one year following the submission of each agency's plan; and
(3) be developed within the limits of fiscal and other resources available to the agency. Each agency shall make its plan available to the public electronically through a link displayed on its website, except that the agency may redact such information as necessary to address cybersecurity concerns.
b. The Chief Technology Officer shall review the plans submitted pursuant to subsection a. of this section in collaboration with the Chief Innovation Officer for the State of New Jersey.
##### **§ 52:18A-233.5** Study, impact, redacting person's handwritten signature, published online; report to Governor, Legislature. {#sec-52-18a-233.5 omnilex-key=us-nj-statutes--title-52--52:18A-233.5}
1. a. The Chief Technology Officer, in consultation with the Office of Information Privacy in the Department of Community Affairs, shall conduct a study on the impact of redacting a person's handwritten signature on any document published on the Internet websites of State agencies, and shall prepare and submit a written report, within one year of the effective date of this act, P.L.2023, c.294 (C.52:18A-233.5), to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, the chairperson of the Assembly Science, Innovation and Technology Committee, and the chairperson of the Senate Commerce Committee, or their successor committees, which shall include, but not be limited to, the following:
(1) the number of documents across State agency Internet websites containing handwritten signatures;
(2) the resources necessary for State agencies to archive any document published on the agency's Internet website prior to the effective date of this act that display a person's handwritten signature;
(3) the resources necessary to republish documents containing a handwritten signature on State agencies' Internet websites if the State agencies redact the person's handwritten signature;
(4) the implications of these findings on long-term plans for document retention and data security; and
(5) whether further legislation or regulation is necessary to establish protocols by which State agencies may redact a person's handwritten signature on any documents published on the State agencies' Internet websites.
b. Upon concluding a study and issuing a report to the Governor and the Legislature pursuant to this act, the Office of Information Privacy may, through regulation adopted pursuant to the "Administrative Procedure Act", P.L. 1968, c.410 (C.52:14B-1 et seq.), establish protocols by which a required State agency shall redact a person's handwritten signature on any documents published on the State agency's Internet website.
##### **§ 52:18A-234** Cooperation required. {#sec-52-18a-234 omnilex-key=us-nj-statutes--title-52--52:18A-234}
16. a. All executive branch departments and State agencies are directed to cooperate fully with the Office of Information Technology and the Chief Technology Officer to implement the provisions of sections 6 through 16 of P.L.2007, c.56 (C.52:18A-224 through C.52:18A-234) and to ensure effective use of information technology within the executive branch of State government.
The Governor shall define and establish the overall direction, standards, and priorities for the information technology community in the executive branch of State government.
b. The Web Content Accessibility Guidelines (WCAG) 2.1 Level AA, or, if deemed practicable by the applicable State agency, the most up-to-date version of the WCAG published by the World Wide Web Consortium, shall be the accessibility standard for the web pages, web sites, and web content of all State agencies. Each web page, site, and content shall be configured in such a way that it can be navigated, viewed, and accessed on a mobile device.
As used in this subsection, “State agency” means the executive and legislative branches of the State, including, but not limited to, any department, board, bureau, commission, division, office, council, agency, or instrumentality thereof, or independent agency, public authority, or public benefit corporation. “Mobile device” means a portable computing electronic device, including a smartphone or tablet computer, that is capable of connecting to the Internet and runs a mobile operating system.
##### **§ 52:18A-234.1** Short title. {#sec-52-18a-234.1 omnilex-key=us-nj-statutes--title-52--52:18A-234.1}
1. This act shall be known and may be cited as the "New Jersey Open Data Initiative."
##### **§ 52:18A-234.2** Findings, declarations relative to provision of certain information on the Internet. {#sec-52-18a-234.2 omnilex-key=us-nj-statutes--title-52--52:18A-234.2}
2. The Legislature finds and declares:
a. It is in the interest of this State to increase public awareness of and access to the data created by and available from State agencies because such data can enhance transparency and accountability, encourage public engagement, and stimulate public policy and public service innovation;
b. The data generated by the Executive Branch of State government can spur economic development because it enables private sector companies to use such data to produce innovative and creative items and services that benefit the citizens of this State;
c. The efficient integration, management, and governance of data will greatly improve State government programs and the delivery of a wide range of services to New Jersey's citizens, thereby enhancing their lives;
d. At the same time, it is vitally important that the data held by one State agency be made readily available to other State agencies with a minimum of administrative hurdles, so that data shared across the Executive Branch contribute to the effective and cost-efficient delivery of a wide range of government information and services; and
e. The Office of Information Technology, with the cooperation of the Department of the Treasury, is the appropriate agency to develop, coordinate, and oversee the presentation of government data to the public and the sharing of information among State government agencies so that the information and services those agencies provide can be delivered in the most efficient and cost-effective manner possible.
##### **§ 52:18A-234.3** Definitions relative to provision of certain information on the Internet. {#sec-52-18a-234.3 omnilex-key=us-nj-statutes--title-52--52:18A-234.3}
3. As used in this act:
"Agency" means any of the principal departments of the Executive Branch, including the Department of the Treasury, and any division, office, board, bureau, commission, authority or entity therein or allocated thereto to comply with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution.
"Data" means final versions of statistical or factual information in alphanumeric form, in as granular form as possible, and reflected in a list, table, graph, chart, map, or other non-narrative form that can be digitally transmitted or processed, and regularly created or maintained by or on behalf of and owned by a State department or agency that records a measurement, transaction, or determination related to the mission of that State department or agency.
"Dataset" means a named collection of related, digitally-stored data with the collection containing individual data units organized or formatted in a specific and prescribed way, often in tabular form, and accessed by a specific access method that is based on the dataset organization, but not including any data that is protected from disclosure under applicable federal or State law.
"Open data" means data that is collected by an agency that is not prohibited from being made available to the public or another State agency by applicable laws, rules, regulations, policies, or other restrictions, requirements or rights associated with such data, including, but not limited to, contractual or other legal orders, restrictions or requirements.
"Open data website" means either the unique, dedicated open data website implemented by the Chief Data Officer or an agency's website upon which open datasets are hosted.
##### **§ 52:18A-234.4** Chief Data Officer; appointment, authority, responsibilities; rules, regulations. {#sec-52-18a-234.4 omnilex-key=us-nj-statutes--title-52--52:18A-234.4}
4. a. A Chief Data Officer shall be appointed by the Chief Technology Officer, after consultation with the State Treasurer. The Chief Data Officer, in cooperation with the State Treasurer, shall be responsible for overseeing and implementing a unique, dedicated open data website and any additional or existing open data websites linked thereto by an agency. The Chief Data Officer shall have the authority to:
(1) establish, in consultation with the Attorney General, procedures, standards, and best practices regarding the appropriate access and presentation of open data and datasets by each agency;
(2) develop a dataset format standard to be used by all agencies in providing their datasets to the Chief Data Officer, or in making their data available on their own websites, and ensure that under the standard, the datasets shall be accessible in a non-proprietary, machine-readable format that is compliant with federal and State accessibility rules and requirements and implemented on a schedule deemed appropriate by the Chief Data Officer;
(3) monitor and ensure compliance with the procedures, standards, and policies adopted pursuant to this act;
(4) provide such management and technical assistance as the Chief Data Officer deems necessary to ensure that there is ready access to the open data and datasets available to the public and agencies; and
(5) develop, in conjunction with the Attorney General, a methodology to review and reconcile inter-agency disputes regarding access to open data and datasets, and privacy issues.
b. The Chief Data Officer, with the cooperation of the State Treasurer, shall be responsible for:
(1) creating and maintaining a unique, dedicated website that either provides datasets maintained and provided by agencies or searchable links to datasets hosted by agency websites;
(2) updating datasets and links as they are provided by an agency; and
(3) monitoring agency websites to make certain they follow the policies and procedures established by the Chief Data Officer pursuant to this section.
The State Treasurer and an agency may, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt such rules and regulations as may be deemed necessary to effectuate the purposes of this act.
##### **§ 52:18A-234.5** Provision of information by agency. {#sec-52-18a-234.5 omnilex-key=us-nj-statutes--title-52--52:18A-234.5}
5. a. Each agency shall either provide datasets to the Chief Data Officer, in a format determined thereby pursuant to section 4 of P.L.2017, c.2 (C.52:18A-234.4), or create and maintain on the agency's website links to the datasets hosted by the agency. Agencies that choose to host their open datasets on their own websites shall provide links to the Chief Data Officer for publication thereof on the dedicated website maintained for that purpose by that officer.
b. Each agency shall adopt policies that are consistent with the open data security and technical standards, policies, and practices established by the Chief Data Officer pursuant to section 4 of P.L.2017, c.2 (C.52:18A-234.4) that govern access to open data and datasets available on the open data website of the agency. In addition, each agency shall:
(1) create, maintain, and post or have posted on the open data website an inventory of all its open data and datasets pursuant to the standards and timetables established by the Chief Data Officer;
(2) include on the open data website appropriate explanations about the open data, its format, how often the open data and datasets are updated, and how notice regarding such updates can be obtained; and
(3) assist users to gain access to the open data and datasets of the agency through the deployment of online access tools, and the development and publication of application program interfaces.
Each agency shall update the open data and datasets on the timetable and in the manner determined by the Chief Data Officer to effectuate the purposes of this act.
Unless a fee is required by law, open datasets shall be provided to the public by an agency without cost to the public.
A dataset that is licensed to the State by a person that is not an employee thereof or by an entity that is not a public entity shall not be made available to the public on the open data website until the dataset has been reviewed by the Attorney General pursuant to guidelines established thereby, and the person or entity licensing the data agrees to the public disclosure and to the form of such disclosure.
All open data and datasets shall be consistent with applicable law, including P.L.1963, c.73 (C.47:1A-1 et seq.), commonly known as the open public records act, and other State and federal laws related to information security and privacy. The open data and datasets made available by an agency on the open data website shall not include data that is not subject to public disclosure under such laws.
Open data and datasets made available by an agency on the open data website, unless subject to a disclosed legal restriction, shall be treated as license-free, subject to reuse, and not subject to copyright restrictions.
Unless specifically prohibited by a contract, open data and datasets containing data created or maintained by a contractor under contract to, or licensed from, an agency shall be made available on the open data website. Each such contract shall be subject to the provisions of this act and any applicable federal and State law, including but not limited to, P.L.1963, c.73 (C.47:1A-1 et seq.), known commonly as the open public records act.
##### **§ 52:18A-234.6** Agency to not warrant fitness of information, immunity from liability. {#sec-52-18a-234.6 omnilex-key=us-nj-statutes--title-52--52:18A-234.6}
6. An agency shall not warrant the fitness for any particular purpose of any open data or datasets presented on the open data website , nor shall an agency providing open data or a dataset on the open data website be liable for any deficiencies in its completeness or accuracy, except when the agency's conduct would constitute gross negligence, willful and wanton misconduct, or intentional misconduct.
Each agency, pursuant to standards and policies established by the Chief Data Officer with the cooperation of the State Treasurer, shall verify the accuracy of the open data and datasets it makes available to the public on the open data website and, if possible, correct any errors or inaccuracies discovered by the agency providing the open data or dataset, other agencies, or the public.
Nothing in this section shall require an agency to make its open data and datasets available to the public on the open data website upon the demand of the public. Requests for open data or datasets not posted on the open data website are subject to potential disclosure under P.L.1963, c.73 (C.47:1A-1 et seq.), known commonly as the open public records act.
Unless contrary to specific policies or rules established by the Chief Data Officer, agencies shall not require a user of an open data website to register or provide any user information as a condition to obtaining the open data or datasets provided by the agency on the open data website.
Notwithstanding any rule, regulation or statute to the contrary, agencies shall be actively encouraged by the Chief Data Officer and the State Treasurer to share open data and datasets with each other without formal agreements, provided that no existing laws regarding the security of personal, private, and confidential information are violated. The sharing of personal, private, or confidential data shall be permitted only when in conformity with restrictions, established by the Chief Data Officer in cooperation with the Attorney General, to ensure that the data is used in a manner that is secure and in conformity with State law.
##### **§ 52:18A-234.7** Construction of act. {#sec-52-18a-234.7 omnilex-key=us-nj-statutes--title-52--52:18A-234.7}
7. Nothing in P.L.2017, c.2 (C.52:18A-234.1 et seq.) shall be construed as superseding the provisions of P.L.1963, c.73 (C.47:1A-1 et seq.), known commonly as the open public records act.
##### **§ 52:18A-234.8** Definitions. {#sec-52-18a-234.8 omnilex-key=us-nj-statutes--title-52--52:18A-234.8}
1. As used in P.L.2025, c.190 (C.52:18A-234.8 et seq.):
“Authority” means the New Jersey Innovation Authority established pursuant to P.L.2025, c.190 (C.52:18A-234.8 et seq.).
“Nonprofit entity” means a corporation organized pursuant to the “New Jersey Nonprofit Corporation Act,” N.J.S.15A:1-1 et seq., or a corporation organized pursuant to Title 16 of the Revised Statutes, with a public purpose and experience in undertaking projects to improve the performance of government entities, through development or deployment of innovative information technology solutions, for the benefit of the public.
##### **§ 52:18A-234.9** New Jersey Innovation Authority established. {#sec-52-18a-234.9 omnilex-key=us-nj-statutes--title-52--52:18A-234.9}
2. a. There is hereby established in, but not of, the Department of the Treasury a public body corporate and politic, with corporate succession, to be known as the “New Jersey Innovation Authority.” The authority is hereby constituted as an instrumentality of the State exercising public and essential government functions, and the exercise by the authority of the powers conferred by P.L.2025, c.190 (C.52:18A-234.8 et seq.) shall be deemed and held to be an essential government function of the State.
b. The authority shall consist of 13 members as follows:
(1) the Chief Technology Officer of the New Jersey Office of Information Technology, or a designee, who shall serve as an ex officio, voting member;
(2) the Chief Executive Officer of the New Jersey Economic Development Authority, or a designee, who shall serve as an ex officio, voting member;
(3) the State Treasurer, or a designee, who shall serve as an ex officio, voting member;
(4) the Chief Counsel to the Governor, or a designee, who shall serve as an ex officio, voting member; and
(5) nine public members, who shall serve as voting members, five of whom shall be appointed by the Governor, two of whom shall be appointed by the Governor upon recommendation of the Speaker of the General Assembly, and two of whom shall be appointed by the Governor upon recommendation of the President of the Senate.
c. (1) The nine public members appointed by the Governor pursuant to paragraph (5) of subsection b. of this section shall have knowledge and expertise in one or more relevant fields including, but not limited to: data science; public engagement; the development and implementation of digital technologies and digital product development; and the digital delivery of products, services, or benefits and the practical applications of the same.
Each public member directly appointed by the Governor pursuant to paragraph (5) of subsection b. of this section shall serve for a term of five years, except that of those members first appointed: two shall serve for a term of five years, two shall serve for a term of four years, and one shall serve for a term of three years. Each public member shall serve until the member’s successor has been appointed and qualified.
Each public member appointed by the Governor upon the recommendation of the Speaker of the General Assembly or the President of the Senate pursuant to paragraph (5) of subsection b. of this section shall serve for a term of five years and until the member’s successor has been appointed and qualified.
Each public member shall be eligible for reappointment. Any vacancy in the membership occurring other than by expiration of the term shall be filled in the same manner as the original appointment but only for the unexpired term.
Each public member may be removed from office by the Governor, for cause, after notice and a public hearing, and may be suspended by the Governor pending the completion of such hearing.
Each public member of the authority, before entering upon the public member’s duties, shall take and subscribe to an oath to perform the duties of the office faithfully, impartially, and justly to the best of the member’s ability. A record of such oath shall be filed in the Office of the Secretary of State.
(2) Each member of the authority shall serve without compensation, but the authority may reimburse its members for actual and necessary expenses incurred in the performance of the members’ duties, within the limits of funds appropriated or otherwise made available to the authority for its purposes.
d. A chairperson shall be appointed by the Governor from among the public members. The chairperson shall chair, and be responsible for scheduling and convening, all meetings of the authority. Any vacancy in the term of the person selected as chairperson shall be filled in the same manner as the original appointment but only for the unexpired term.
A majority of the total appointed membership of the authority shall constitute a quorum at any meeting of the authority. The authority may take actions and adopt motions and resolutions by the affirmative vote of a majority of its members who are present, unless in any case the authority’s bylaws require a larger number. No vacancy in the authority’s membership shall impair the right of a quorum of the members to exercise all the powers and perform the duties of the authority.
A true copy of the minutes of every meeting of the authority shall be prepared and forthwith delivered to the Governor. No action taken at such meeting by the authority shall have force or effect until 10 days, exclusive of Saturdays, Sundays, and public holidays, after such copy of the minutes shall have been so delivered. If, in the 10-day period, the Governor returns such copy of the minutes with veto of any action taken by the authority or any member thereof at such meeting, such action shall be null and of no effect. If the Governor shall not return the minutes within the 10-day period, any action therein recited shall have force and effect according to the wording thereof. At any time prior to the expiration of the 10-day period, the Governor may sign a statement of approval of any such action of the authority, in which case the action so approved shall not thereafter be disapproved.
e. The authority shall delegate to the Chief Innovation Officer, established pursuant to section 3 of P.L.2025, c.190 (C.52:18A-234.10), the ability to appoint, retain, or employ a legal director, engineers, attorneys, accountants, financial experts, and any such officers, agents, employees, and experts or other persons as the authority may require for the performance of its duties, all without regard to Title 11A, Civil Service, of the New Jersey Statutes. The Chief Innovation Officer shall determine the qualifications, terms of office, duties, services, and compensation for any such officers, agents, employees, experts, or other persons before making any such appointments and shall promote and discharge such officers, agents, employees, experts, and other persons all without regard to Title 11A, Civil Service, of the New Jersey Statutes.
No officer, member, or employee of the authority shall be subject to prohibition from involvement on an official matter for one year after the commencement of the employee’s State service involving or related to the employee’s former employer during the one year prior to the employee’s commencement of State service, in accordance with N.J.A.C.19:61-7.4(a), any successor provision, and the corresponding provision prohibiting such activity set forth in Section IX of the Uniform Ethics Code, as may be amended from time to time, with respect to their most recent former employer, so long as that former employer is an independent, nonpartisan, nonprofit organization that during the three preceding State fiscal years has received a State appropriation to, in consultation with the Chief Innovation Officer for the State of New Jersey, provide advisory and implementation services to State departments and agencies in the area of modernizing, improving, facilitating, and streamlining government services to individuals and businesses.
f. The authority may be dissolved by an act of the Legislature on condition that the authority has no obligations outstanding or that the provision has been made for the payment or retirement of such obligations. Upon such dissolution of the authority, all property, funds, and assets thereof shall be vested in the State.
##### **§ 52:18A-234.10** Chief Innovation Officer, role, responsibilities; report to Governor, Legislature. {#sec-52-18a-234.10 omnilex-key=us-nj-statutes--title-52--52:18A-234.10}
3. a. The day-to-day operations of the authority shall be directed and administered by a Chief Innovation Officer for the State of New Jersey. Upon enactment of P.L.2025, c.190 (C.52:18A-234.8 et seq.), the initial appointment of the Chief Innovation Officer shall be made by the Governor. All subsequent appointments of the Chief Innovation Officer following the initial appointment shall be made by the authority upon a majority vote of its members. The Chief Innovation Officer shall serve at the pleasure of the authority and may be removed by a majority vote of its members. Notwithstanding the supervision and direction of the Chief Innovation Officer by the authority, the Chief Innovation Officer shall report directly to the Governor on all activities and responsibilities of the authority as specified in P.L.2025, c.190 (C.52:18A-234.8 et seq.).
The Chief Innovation Officer shall be the chief executive officer of the authority and shall be qualified by education, training, and prior experience to direct the work of the authority and to perform the duties, functions, and responsibilities of the Chief Innovation Officer position.
b. The Chief Innovation Officer shall not serve as a member of the authority. The Chief Innovation Officer shall receive an annual salary as provided by the authority. The authority shall have the ability to consider, investigate, and evaluate any and all matters or issues relevant to the performance of the Chief Innovation Officer.
c. The Chief Innovation Officer shall:
(1) provide advice and recommendations to the executive branch of State government with respect to State, national, and global trends in innovation and allocation of State resources in education, job training, technology research and development, and any other such areas the authority deems necessary;
(2) promote, drive, and monitor innovation initiatives in the executive branch of State government;
(3) appoint, retain, or employ a legal director, engineers, attorneys, accountants, financial experts, and any such officers, agents, employees, experts, or other persons as the authority may require; determine their qualifications, terms of office, duties, services, and compensation; and promote and discharge such persons, all without regard to the provisions of Title 11A, Civil Service, of the New Jersey Statutes; and
(4) carry out any other powers of the authority as may be delegated to the Chief Innovation Officer by the authority.
##### **§ 52:18A-234.11** New Jersey Innovation Authority, duties, administrative responsibilities. {#sec-52-18a-234.11 omnilex-key=us-nj-statutes--title-52--52:18A-234.11}
4. a. The New Jersey Innovation Authority shall:
(1) adopt bylaws for the regulation of its affairs and the conduct of its business;
(2) adopt and have a seal and to alter the same at pleasure;
(3) serve as the primary authority on technology innovation for the State;
(4) advise and provide centralized implementation and delivery services to the executive branch of State government to modernize, improve, facilitate, and streamline innovation-related policy objectives, technology products, and technology services to individuals and public and private entities;
(5) promote, drive, and monitor the responsible use of emerging technology tools and methods that advance the development, implementation, and delivery of public services to individuals and public and private entities;
(6) promote evidence-based, data-driven, resident-engaged, human-centered, and participatory methodologies and practices used to design, develop, implement, and measure impact programs, services, and benefits;
(7) develop and maintain metrics for measuring the progress of the State with respect to improving conditions for innovation, including through talent development, investment, and infrastructure improvements;
(8) identify opportunities and make recommendations for the heads of agencies of the executive branch of State government to improve innovation, monitoring and reporting on the implementation of such recommendations;
(9) support the Chief Technology Officer in the review of information technology modernization and improvement plans required pursuant to section 4 of P.L.2021, c.392 (C.52:18A-233.4);
(10) propose an annual budget of the authority for operations, projects, and general office activities of the authority that are deemed necessary or incidental to the performance of its duties and the execution of its powers under P.L.2025, c.190 (C.52:18A-234.8 et seq.) and to submit a request for appropriations to the Governor for consideration for inclusion in the Governor’s Budget Message;
(11) accept or receive funds from private foundations to support authority operations, subject to the provisions of the Uniform Ethics Code;
(12) enter into contracts and agreements necessary or incidental to the performance of the authority’s duties and the execution of its powers under P.L.2025, c.190 (C.52:18A-234.8 et seq.), including, but not limited to, contracts and agreements with federal, State, and local governments and private entities; agreements regarding usage of the infrastructure and resources of the New Jersey Office of Information Technology; agreements establishing cost-sharing or recovery mechanisms between the authority and agencies of the executive branch of State government; and procurement contracts;
(13) procure insurance against any losses in connection with its property, operations, or assets in such amounts and from such insurers as the authority deems desirable;
(14) provide grants or other forms of financial assistance;
(15) fix, revise, charge, and collect rates, rents, fees, and charges for the use of platforms, services, or products developed within the authority and contract with any person, party, association, corporation, or other body, public or private, in respect thereof;
(16) solicit contributions from public and private entities for any of its corporate purposes;
(17) in connection with any action undertaken by the authority in the performance of its duties thereof, require and collect such fees and charges as the authority shall determine to be reasonable, including, but not limited to, fees and charges for the authority’s administrative, organizational, insurance, operating, legal, and other expenses;
(18) do any and all things necessary and convenient to carry out its purposes and exercise the powers given and granted in P.L.2025, c.190 (C.52:18A-234.8 et seq.); and
(19) in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt rules and regulations as necessary to implement P.L.2025, c.190 (C.52:18A-234.8 et seq.).
b. On or before March 31 of each calendar year, the authority shall prepare an annual report of its activities for the preceding calendar year and submit such annual report to the Governor, and to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1). The annual report shall set forth a complete operating and financial statement covering the operations of the authority during the preceding calendar year. The authority shall cause an audit of its books and accounts to be made at least once in each year by certified public accountants and cause a copy thereof to be filed with the Secretary of State and the Director of the Division of Budget and Accounting in the Department of the Treasury.
##### **§ 52:18A-234.12** New Jersey Innovation Authority, public advertisement for bids. {#sec-52-18a-234.12 omnilex-key=us-nj-statutes--title-52--52:18A-234.12}
5. a. Notwithstanding the provisions of any other law to the contrary, and except as provided in subsection b. of this section, all purchases, contracts, or agreements made by the authority shall be made or awarded directly by the authority after public advertisement for bids, which shall be submitted in the manner provided by the authority.
b. A purchase, contract, or agreement may be made, negotiated, or awarded by the authority without public bid or advertising under the following circumstances:
(1) when the aggregate amount involved does not exceed the amount set forth in, or the amount calculated by, the Governor pursuant to section 2 of P.L.1954, c.48 (C.52:34-7), unless other State law sets forth a lower bid threshold in a particular case, in which case the lower threshold shall apply. The authority shall not divide a contract into multiple proposed contracts in order to take advantage of this exception and shall, if invoking this exception, certify that the authority has not done so and maintain a record of that certification;
(2) in cases of unforeseen life, safety, or health emergencies where the public exigency requires that services or products be purchased immediately;
(3) when making, negotiating, or awarding a purchase, contract, or agreement pursuant to sections 3 through 5 of P.L.1954, c.48 (C.52:34-8, C.52:34-9, and C.52:34-10);
(4) when the contract to be entered into is for the furnishing or performance of services of a professional or technical nature, including legal services, provided that the contract shall be made or awarded directly by the authority;
(5) when a firm has brought an innovative idea to the authority and a request for proposals cannot be constructed without communicating such idea or relevant intellectual property of the firm;
(6) when the authority has advertised for bids and has received no bids in response to its advertisement or received no responsive bids. Any purchase, contract, or agreement may then be negotiated and may be awarded to any contractor or supplier determined to be responsible, as “responsible” is defined in section 2 of P.L.1971, c.198 (C.40A:11-2), provided that the terms, conditions, restrictions, and specifications set forth in the negotiated contract or agreement are not substantially different from those which were the subject of competitive bidding; and
(7) when a purchase is to be made through or by the Director of the Division of Purchase and Property in the Department of the Treasury pursuant to section 1 of P.L.1959, c.40 (C.52:27B-56.1).
c. Notwithstanding any other law to the contrary, the authority shall be authorized to consult with, enter into agreements or contract with, and transfer, disburse, or grant funds, in the authority’s discretion, to an established nonprofit entity, including the National Center for Civic Innovation, Inc. (NCCI), as such nonprofit entity may be identified by the authority, to effectuate any of the purposes or powers, either directly or indirectly, granted to the authority pursuant to P.L.2025, c.190 (C.52:18A-234.8 et seq.). Such purposes or powers of the authority may include, but need not be limited to, providing advisory and implementation services to State departments and agencies concerning the modernization, improvement, facilitation, and streamlining of government services to individuals and businesses. Authority funds may be directly allocated to the designated nonprofit and shall not be subject to section 1 of P.L.1987, c.7 (C.52:14-34.4). In exercising its authority under this section, the authority shall not be subject to the public bidding requirements under the “Local Public Contracts Law,” P.L. 1971, c.198 (C. 40A:11-1 et seq.), or any other applicable procurement laws, with respect to the designated nonprofit.
d. Notwithstanding the provisions of P.L.2024, c.22 or any other law or regulation to the contrary, any remaining, unencumbered funds appropriated for Permit Modernization, or to the National Center for Civic Innovation, Inc., or both, pursuant to P.L.2024, c.22 may be transferred to the New Jersey Innovation Authority for operations of the authority, subject to the approval of the Chief Innovation Officer and Director of the Division of Budget and Accounting in the Department of the Treasury.
##### **§ 52:18A-235** Findings, declarations relative to construction and financing of public school facilities. {#sec-52-18a-235 omnilex-key=us-nj-statutes--title-52--52:18A-235}
1. The Legislature finds and declares that:
a. The Constitution of the State of New Jersey requires the Legislature to provide for the maintenance and support of a thorough and efficient system of free public schools and this legislative responsibility includes ensuring that students are educated in physical facilities that are safe, healthy, and conducive to learning.
b. Inadequacies in the quality, utility, and safety of educational facilities among school districts of this State, and particularly in Abbott districts, led to the enactment of the "Educational Facilities Construction and Financing Act," P.L.2000, c.72. That law authorized the New Jersey Economic Development Authority to undertake a comprehensive school construction and financing program, including the funding, designing, and constructing of school facilities for the Abbott districts and certain other types of districts.
c. The New Jersey Schools Construction Corporation was created in August 2002 as a subsidiary of the New Jersey Economic Development Authority pursuant to the provisions of section 16 of P.L.1997, c.150 (C.34:1B-159) and Executive Order No. 24 of 2002 to, among other things, focus, coordinate, and centralize the efforts to design and construct school facilities in the Abbott districts and certain other types of districts.
d. In February 2005, an investigation of the activities of the New Jersey Schools Construction Corporation was undertaken by the Inspector General. The Inspector General found that structural and operational problems at the corporation were impeding the progress of the school construction program and made recommendations for actions to improve the program.
e. The corporation initiated reform efforts to implement the recommendations of the Inspector General. While undertaking these reform efforts and continuing to undertake the design and construction of school facilities projects, it was determined that there would be insufficient funding available under the "Educational Facilities Construction and Financing Act" to complete all the school facilities projects in the Abbott districts. A joint effort by the New Jersey Schools Construction Corporation and the Department of Education resulted in a prioritization of projects to be completed with remaining funds.
f. Governor Jon S. Corzine issued Executive Order No. 3 of 2006 in February 2006 which created an Interagency Working Group on School Construction to study management reforms and legislative action necessary to improve the school construction program.
g. The Interagency Working Group on School Construction recommended statutory changes including the creation of a new school construction authority with a specific focus on Abbott district construction, a governance structure tailored to its mission, project implementation requirements to ensure that projects are undertaken consistent with educational priorities, land acquisition and procurement reforms to improve efficiencies, provide flexibility, and control costs, and a greater role and responsibility given to the Abbott districts in managing certain types of projects.
h. The initiatives provided herein implement the recommendations of the Interagency Working Group on School Construction with regard to the creation of a new school construction authority and the undertaking of projects for and by Abbott districts so as to ensure that the agency undertaking the school construction program has adequate internal controls, processes, and procedures to undertake additional school facilities projects; and the initiatives also provide opportunities for the Abbott districts, the public, and stakeholders to provide input during the various phases of the construction of school facilities projects.
##### **§ 52:18A-236** Definitions relative to construction and financing of public school facilities. {#sec-52-18a-236 omnilex-key=us-nj-statutes--title-52--52:18A-236}
2. As used in sections 1 through 13 of P.L.2007, c.137 (C.52:18A-235 through C.52:18A-247), unless a different meaning appears from the context:
"Capital maintenance project" means a school facilities project intended to extend the useful life of a school facility, including up-grades and replacements of building systems, such as structure, enclosure, mechanical, plumbing and electrical systems;
"Development authority" means the New Jersey Schools Development Authority, established pursuant to section 3 of P.L.2007, c.137 (C.52:18A-237);
"District" means a local or regional school district established pursuant to chapter 8 or chapter 13 of Title 18A of the New Jersey Statutes, a county special services school district established pursuant to article 8 of chapter 46 of Title 18A of the New Jersey Statutes, a county vocational school district established pursuant to article 3 of chapter 54 of Title 18A of the New Jersey Statutes, and a school district under full State intervention pursuant to P.L.1987, c.399 (C.18A:7A-34 et al.);
"Local unit" means a county, municipality, board of education or any other political entity authorized to construct, operate and maintain a school facilities project and to borrow money for those purposes pursuant to law;
"Other facilities" means athletic stadiums, swimming pools, any associated structures or related equipment tied to such facilities including, but not limited to, grandstands and night field lights, greenhouses, facilities used for non-instructional or non-educational purposes, and any structure, building or facility used solely for school administration;
"School facilities project" means the planning, acquisition, demolition, construction, improvement, alteration, modernization, renovation, reconstruction or capital maintenance of all or any part of a school facility or of any other personal property necessary for, or ancillary to, any school facility, and shall include fixtures, furnishings and equipment, and shall also include, but is not limited to, site acquisition, site development, the services of design professionals, such as engineers and architects, construction management, legal services, financing costs and administrative costs and expenses incurred in connection with the project;
"School facility" means and includes any structure, building or facility used wholly or in part for educational purposes by a district and facilities that physically support such structures, buildings and facilities, such as district wastewater treatment facilities, power generating facilities, and steam generating facilities, but shall exclude other facilities.
##### **§ 52:18A-237** "New Jersey Schools Development Authority." {#sec-52-18a-237 omnilex-key=us-nj-statutes--title-52--52:18A-237}
3. a. There is established in, but not of, the Department of the Treasury a public body corporate and politic, with corporate succession, to be known as the "New Jersey Schools Development Authority." The development authority shall constitute an instrumentality of the State exercising public and essential governmental functions, and the exercise by the development authority of the powers conferred by this act shall be deemed and held to be an essential governmental function of the State.
b. The development authority shall consist of the Commissioner of Education, the Commissioner of the Department of Community Affairs, the executive director of the Economic Development Authority, and the State Treasurer, who shall serve as ex officio members; and 12 public members appointed by the Governor with the advice and consent of the Senate. At least one of the public members shall have knowledge or expertise in the area of law enforcement and the remaining public members shall have knowledge or expertise in real estate development, construction management, finance, architectural or building design, education, or any other related field. In addition, the development authority shall consist of two public members, one appointed by the Governor upon the recommendation of the Senate President and one appointed by the Governor upon the recommendation of the Speaker of the General Assembly, which members shall have knowledge or expertise in real estate development, construction management, finance, architectural or building design, education, or any other related field.
c. Each public member shall serve for a term of five years and shall hold office for the term of the member's appointment and until the member's successor shall have been appointed and qualified. A member shall be eligible for reappointment. Any vacancy in the membership occurring other than by expiration of term shall be filled in the same manner as the original appointment but for the unexpired term only.
In the case of the first 11 public members appointed by the Governor pursuant to subsection b. of this section, three shall serve for a term of two years, three shall serve for a term of three years, three shall serve for a term of four years, and two shall serve for a term of five years.
d. (1) Each member appointed by the Governor may be removed from office by the Governor, for cause, after a public hearing, and may be suspended by the Governor pending the completion of such hearing. Each member before entering upon the member's duties shall take and subscribe an oath to perform the duties of the office faithfully, impartially and justly to the best of the member's ability. A record of such oath shall be filed in the Office of the Secretary of State.
(2) Each member appointed by the Governor upon the recommendation of the Senate President and Speaker of the General Assembly may be removed from office by the Governor upon the recommendation of the Senate President or Speaker as applicable, for cause, after a public hearing, and may be suspended by the Governor upon the recommendation of the Senate President or Speaker as applicable pending the completion of the hearing. Each member before entering upon the member's duties shall take and subscribe an oath to perform the duties of the office faithfully, impartially, and justly to the best of the member's ability. A record of the oath shall be filed in the Office of the Secretary of State.
e. A chairperson shall be appointed by the Governor from the public members. The members of the development authority shall elect from their remaining number a vice-chairperson, a secretary, and a treasurer thereof. The development authority shall employ an executive director who shall be its chief executive officer. The powers of the development authority shall be vested in the members thereof in office from time to time and 10 members of the development authority shall constitute a quorum at any meeting thereof. Action may be taken and motions and resolutions adopted by the development authority at any meeting thereof by the affirmative vote of at least 10 members of the development authority. No vacancy in the membership of the development authority shall impair the right of a quorum of the members to exercise all the powers and perform all the duties of the development authority.
f. Each member of the development authority shall execute a bond to be conditioned upon the faithful performance of the duties of such member in such form and amount as may be prescribed by the Director of the Division of Budget and Accounting in the Department of the Treasury. Such bonds shall be filed in the Office of the Secretary of State. At all times thereafter the members and treasurer of the development authority shall maintain such bonds in full force and effect. All costs of such bonds shall be borne by the development authority.
g. The members of the development authority shall serve without compensation, but the development authority may reimburse its members for actual expenses necessarily incurred in the discharge of their duties. Notwithstanding the provisions of any other law to the contrary, no officer or employee of the State shall be deemed to have forfeited or shall forfeit any office or employment or any benefits or emoluments thereof by reason of the acceptance of the office of ex officio member of the development authority or any services therein.
h. Each ex officio member of the development authority may designate an officer or employee of the member's department to represent the member at meetings of the development authority, and each such designee may lawfully vote and otherwise act on behalf of the member for whom the person constitutes the designee. Any such designation shall be in writing delivered to the development authority and shall continue in effect until revoked or amended by writing delivered to the development authority.
i. The development authority shall appoint from among its members an audit committee and such other committees as it deems necessary or conducive to the efficient management and operation of the development authority.
j. The development authority may be dissolved by act of the Legislature on condition that the development authority has no debts or obligations outstanding or that provision has been made for the payment or retirement of such debts or obligations. Upon any such dissolution of the development authority, all property, funds and assets thereof shall be vested in the State.
k. A true copy of the minutes of every meeting of the development authority shall be forthwith delivered by and under the certification of the secretary thereof to the Governor. No action taken at the meeting by the development authority shall have force or effect until 10 days, Saturdays, Sundays, and public holidays excepted, after the copy of the minutes shall have been so delivered, unless during such 10-day period the Governor shall approve the same in which case the action shall become effective upon such approval. If, in that 10-day period, the Governor returns a copy of the minutes with veto of any action taken by the development authority or any member thereof at the meeting, the action shall be null and void and of no effect.
l. The development authority shall cause an audit of its books and accounts to be made at least once in each year by certified public accountants and cause a copy thereof to be filed with the Secretary of State, the Director of the Division of Budget and Accounting in the Department of the Treasury, and the State Auditor.
m. The development authority shall submit to the Governor, the Joint Budget Oversight Committee, the President of the Senate and the Speaker of the General Assembly a biannual report pursuant to the provisions of section 24 of P.L.2000, c.72 (C.18A:7G-24).
n. The Director of the Division of Budget and Accounting in the Department of the Treasury and the director's legally authorized representatives are authorized and empowered from time to time to examine the accounts, books and records of the development authority including its receipts, disbursements, contracts, funds, investments and any other matters relating thereto and to its financial standing.
o. No member, officer, employee or agent of the development authority shall be interested, either directly or indirectly, in any school facilities project, or in any contract, sale, purchase, lease or transfer of real or personal property to which the development authority is a party.
##### **§ 52:18A-238** Powers of development authority. {#sec-52-18a-238 omnilex-key=us-nj-statutes--title-52--52:18A-238}
4. The development authority shall have the following powers:
a. To adopt bylaws for the regulation of its affairs and the conduct of its business;
b. To adopt and have a seal and to alter the same at pleasure;
c. To sue and be sued;
d. To acquire in the name of the development authority by purchase or otherwise, on such terms and conditions and such manner as it may deem proper, or by the exercise of the power of eminent domain in the manner provided by the "Eminent Domain Act of 1971," P.L.1971, c.361 (C.20:3-1 et seq.), any lands or interests therein or other property which it may determine is reasonably necessary for any school facilities project;
e. To enter into contracts with a person upon such terms and conditions as the development authority shall determine to be reasonable, including, but not limited to, for the planning, design, construction, reconstruction, improvement, equipping, furnishing, operation and maintenance of a school facilities project and the reimbursement thereof, and to pay or compromise any claims arising therefrom;
f. To sell, convey or lease to any person all or any portion of its property, for such consideration and upon such terms as the development authority may determine to be reasonable;
g. To mortgage, pledge or assign or otherwise encumber all or any portion of any property or revenues, whenever it shall find such action to be in furtherance of the purposes of P.L.2000, c.72 (C.18A:7G-1 et al.) and P.L.2007, c.137 (C.52:18A-235 et al.);
h. To grant options to purchase or renew a lease for any of its property on such terms as the development authority may determine to be reasonable;
i. To contract for and to accept any gifts or grants or loans of funds or property or financial or other aid in any form from the United States of America or any agency or instrumentality thereof, or from the State or any agency, instrumentality or political subdivision thereof, or from any other source and to comply, subject to the provisions of P.L.2000, c.72 (C.18A:7G-1 et al.) and P.L.2007, c.137 (C.52:18A-235 et al.), with the terms and conditions thereof;
j. In connection with any application for assistance under P.L.2000, c.72 (C.18A:7G-1 et al.) or P.L.2007, c.137 (C.52:18A-235 et al.) or commitments therefor, to require and collect such fees and charges as the development authority shall determine to be reasonable;
k. To adopt, amend and repeal regulations to carry out the provisions of P.L.2000, c.72 (C.18A:7G-1 et al.) and P.L.2007, c.137 (C.52:18A-235 et al.);
l. To acquire, purchase, manage and operate, hold and dispose of real and personal property or interests therein, take assignments of rentals and leases and make and enter into all contracts, leases, agreements and arrangements necessary or incidental to the performance of its duties;
m. To purchase, acquire and take assignments of notes, mortgages and other forms of security and evidences of indebtedness;
n. To purchase, acquire, attach, seize, accept or take title to any property by conveyance or by foreclosure, and sell, lease, manage or operate any property for a use specified in P.L.2000, c.72 (C.18A:7G-1 et al.) and P.L.2007, c.137 (C.52:18A-235 et al.);
o. (1) To employ consulting engineers, architects, attorneys, real estate counselors, appraisers, and such other consultants and employees as may be required in the judgment of the development authority to carry out the purposes of P.L.2000, c.72 (C.18A:7G-1 et al.) and P.L.2007, c.137 (C.52:18A-235 et al.) and to fix and pay their compensation from funds available to the development authority therefor, all without regard to the provisions of Title 11A of the New Jersey Statutes, provided, however, that an affirmative vote of the development authority shall be required in the hiring, termination, and disciplining of the management team of the development authority, which shall include the Chief Executive Officer, the Vice President and Chief Financial Officer, and the Vice President of Corporate Governance;
(2) Notwithstanding the provisions of P.L.2007, c.137 (C.52:18A-235 et al.) or any other law, rule, or regulation to the contrary, the operations of the development authority shall be funded annually through State appropriations. The Legislature shall annually appropriate such sums as are necessary to finance the operations of the development authority, as authorized under this subsection.
p. To do and perform any acts and things authorized by P.L.2000, c.72 (C.18A:7G-1 et al.) and P.L.2007, c.137 (C.52:18A-235 et al.) under, through or by means of its own officers, agents and employees, or by contract with any person;
q. To procure insurance against any losses in connection with its property, operations or assets in such amounts and from such insurers as it deems desirable;
r. To do any and all things necessary or convenient to carry out its purposes and exercise the powers given and granted in P.L.2000, c.72 (C.18A:7G-1 et al.) and P.L.2007, c.137 (C.52:18A-235 et al.);
s. To construct, reconstruct, rehabilitate, improve, alter, equip, maintain or repair or provide for the construction, reconstruction, improvement, alteration, equipping or maintenance or repair of any property and lot, award and enter into construction contracts, purchase orders and other contracts with respect thereto, upon such terms and conditions as the development authority shall determine to be reasonable, including, but not limited to, reimbursement for the planning, designing, construction, reconstruction, improvement, equipping, furnishing, operation and maintenance of any such property and the settlement of any claims arising therefrom;
t. To undertake school facilities projects and to enter into agreements or contracts, execute instruments, and do and perform all acts or things necessary, convenient or desirable for the purposes of the development authority to carry out any power expressly provided pursuant to P.L.2000, c.72 (C.18A:7G-1 et al.) or P.L.2007, c.137 (C.52:18A-235 et al.), including, but not limited to, entering into contracts with the State Treasurer, the New Jersey Economic Development Authority, the Commissioner of Education, districts, and any other entity which may be required in order to carry out the provisions of P.L.2000, c.72 (C.18A:7G-1 et al.) or P.L.2007, c.137 (C.52:18A-235 et al.);
u. To enter into leases, rentals or other disposition of a real property interest in and of any school facilities project to or from any local unit pursuant to P.L.2000, c.72 (C.18A:7G-1 et al.) or P.L.2007, c.137 (C.52:18A-235 et al.);
v. To make and contract to make loans or leases to local units to finance the cost of school facilities projects and to acquire and contract to acquire bonds, notes or other obligations issued or to be issued by local units to evidence the loans or leases, all in accordance with the provisions of P.L.2000, c.72 (C.18A:7G-1 et al.) and P.L.2007, c.137 (C.52:18A-235 et al.);
w. To charge to and collect from local units, the State, and any other person, any fees and charges in connection with the development authority's actions undertaken with respect to school facilities projects including, but not limited to, fees and charges for the development authority's administrative, organization, insurance, operating and other expenses incident to the planning, design, construction and placing into service and maintenance of school facilities projects.
##### **§ 52:18A-239** Rules, regulations relative to payment of prevailing wage rate. {#sec-52-18a-239 omnilex-key=us-nj-statutes--title-52--52:18A-239}
5. a. The development authority shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to require that not less than the prevailing wage rate be paid to workers employed in the performance of any construction contract undertaken in connection with any of its school facilities projects. The development authority shall provide for the proper enforcement and administration of these rules and regulations.
b. A violation of the rules and regulations adopted pursuant to this section shall be deemed to be a violation of P.L.1963, c.150 (C.34:11-56.25 et seq.). The Commissioner of Labor and Workforce Development and any worker shall have the same powers of enforcement against violations of such rules and regulations as are provided by sections 11 through 16, inclusive, of P.L.1963, c.150 (C.34:11-56.35 through 34:11-56.40).
c. The rules and regulations concerning the prevailing wage rate in connection with school facilities projects which have been adopted by the New Jersey Schools Construction Corporation pursuant to the provisions of P.L.2000, c.72 (C.18A:7G-1 et al.) shall remain in full force and effect unless subsequently revised by the development authority following the enactment of P.L.2007, c.137 (C.52:18A-235 et al.).
##### **§ 52:18A-240** Rules, regulations relative to affirmative action program. {#sec-52-18a-240 omnilex-key=us-nj-statutes--title-52--52:18A-240}
6. a. The development authority shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to establish an affirmative action program for the hiring of minority workers employed in the performance of construction contracts undertaken in connection with any of its school facilities projects, and to expand the business opportunities of socially and economically disadvantaged contractors and vendors seeking to provide materials and services for those contracts, consistent with the provisions of the "Law Against Discrimination," P.L.1945, c.169 (C.10:5-1 et seq.). The development authority shall provide for the proper enforcement and administration of these rules and regulations.
b. The development authority may allocate up to one-half of one percent of the annual value of its construction program to the financing of minority and women worker outreach and training programs pertinent to school facilities project construction.
c. The rules and regulations establishing an affirmative action program adopted by the New Jersey Schools Construction Corporation pursuant to the provisions of P.L.2000, c.72 (C.18A:7G-1 et al.) shall remain in full force and effect unless subsequently revised by the development authority following the enactment of P.L.2007, c.137 (C.52:18A-235 et al.).
##### **§ 52:18A-241** Payment of incurred claims, damages, losses, liabilities or costs by development authority. {#sec-52-18a-241 omnilex-key=us-nj-statutes--title-52--52:18A-241}
7. In the exercise of powers granted by P.L.2000, c.72 (C.18A:7G-1 et al.) and P.L.2007, c.137 (C.52:18A-235 et al.) in connection with any school facilities project, any and all claims, damages, losses, liabilities or costs that the development authority may incur shall be payable only from the amounts made available to the development authority pursuant to P.L.2000, c.72 (C.18A:7G-1 et al.) and P.L.2007, c.137 (C.52:18A-235 et al.). In connection with any agreement or contract entered into by the development authority relating to any school facilities project, there shall be no recovery against the development authority for punitive or consequential damages arising out of contract nor shall there be any recovery against the development authority for claims based upon implied warranties or upon contracts implied in law.
##### **§ 52:18A-242** No modification by municipality of school facilities project; agreements with local government agencies. {#sec-52-18a-242 omnilex-key=us-nj-statutes--title-52--52:18A-242}
8. a. No municipality shall modify or change the drawings, plans or specifications for the construction, reconstruction, rehabilitation, alteration or improvement of any school facilities project of the development authority, or the construction, plumbing, heating, lighting or other mechanical branch of work necessary to complete the work in question, nor to require that any person, firm or corporation employed on any such work shall perform the work in any other or different manner than that provided by the drawings, plans and specifications, nor to require that any person, firm or corporation obtain any other or additional authority, approval, permit or certificate from the municipality in relation to the work being done, and the doing of the work by any person, firm or corporation in accordance with the terms of the drawings, plans, specifications or contracts shall not subject the person, firm or corporation to any liability or penalty, civil or criminal, other than as may be stated in the contracts or incidental to the proper enforcement thereof; nor shall any municipality require the development authority or any person, firm, partnership or corporation which leases or purchases the school facilities project for lease or purchase to a State agency, to obtain any other or additional authority, approval, permit, certificate or certificate of occupancy from the municipality as a condition of owning, using, maintaining, operating or occupying any school facilities project acquired, constructed, reconstructed, rehabilitated, altered or improved by the development authority or by any subsidiary thereof. The foregoing provisions shall not preclude any municipality from exercising the right of inspection for the purpose of requiring compliance by any school facilities project with local requirements for operation and maintenance affecting the health, safety and welfare of the occupants thereof, provided that the compliance does not require changes, modifications or additions to the original construction of the school facilities project.
b. Each municipality in which any school facilities project of the development authority is located shall provide for the school facilities project, whether then owned by the development authority, any subsidiary, any State agency, or any person, firm, partnership or corporation, police, fire, sanitation, health protection and other municipal services of the same character and to the same extent as those provided for other residents of the municipality.
c. Notwithstanding the provisions of any law, rule or regulation to the contrary and except as otherwise provided by any federal law, the development authority shall be exempt from all connection, tapping, maintenance or capital improvement fees or charges in respect to each connection of any school facility project with a water or sewerage system operated by a political subdivision or agency of the State.
d. In carrying out any school facilities project, the development authority may enter into contractual agreements with local government agencies with respect to the furnishing of any community, municipal, or public facilities or services necessary or desirable for the school facilities project, and any local government agency may enter into these contractual agreements with the authority and do all things necessary to carry out its obligations.
##### **§ 52:18A-243** Preparation of separate plans and specifications, conditions; bids; awarding of contracts. {#sec-52-18a-243 omnilex-key=us-nj-statutes--title-52--52:18A-243}
9. a. In undertaking any school facilities projects where the cost of construction, reconstruction, rehabilitation or improvement will exceed $25,000, the development authority may prepare, or cause to be prepared, separate plans and specifications for: (1) the plumbing and gas fitting and all work and materials kindred thereto, (2) the steam and hot water heating and ventilating apparatus, steam power plants and all work and materials kindred thereto, (3) the electrical work, (4) structural steel and miscellaneous iron work and materials, and (5) all general construction, which shall include all other work and materials required to complete the building.
Commencing in the fifth year after the year in which P.L.2007, c.137 (C.52:18A-235 et al.) takes effect, and every five years thereafter, the Governor, in consultation with the Department of the Treasury, shall adjust the amount set forth in this subsection or the amount resulting from any adjustment under this subsection in direct proportion to the rise or fall of the index rate as defined in this subsection, and shall round the adjustment to the nearest $1,000. The Governor shall, no later than June 1 of every fifth year, notify the development authority of the adjustment. The adjustment shall become effective on July 1 of the year in which it is made.
For the purposes of this subsection, "index rate" means the rate of annual percentage increase, rounded to the nearest half-percent, in the Implicit Price Deflator for State and Local Government Purchases of Goods and Services, computed and published quarterly by the United States Department of Commerce, Bureau of Economic Analysis.
b. The development authority shall advertise and receive (1) separate bids for each of the branches of work specified in subsection a. of this section; or (2) bids for all the work and materials required to complete the school facilities project to be included in a single overall contract, in which case there shall be set forth in the bid the name or names of all subcontractors to whom the bidder will subcontract for the furnishing of any of the work and materials specified in branches (1) through (4) in subsection a. of this section; or (3) both.
c. Contracts shall be awarded as follows: (1) if bids are received in accordance with paragraph (1) of subsection b. of this section, the development authority shall determine the responsible bidder for each branch whose bid, conforming to the invitation for bids, will be most advantageous to the development authority, price and other factors considered; (2) if bids are received in accordance with paragraph (2) of subsection b. of this section, the development authority shall determine the responsible bidder for the single overall contract whose bid, conforming to the invitation for bids, will be the most advantageous to the development authority, price and other factors considered; or (3) if bids are received in accordance with paragraph (3) of subsection b. of this section, the development authority shall award separate contracts for each branch of work specified in subsection a. of this section if the sum total of the amounts bid by the responsible bidders for each branch, as determined pursuant to paragraph (1) of this subsection, is less than the amount bid by the responsible bidder for all of the work and materials, as determined pursuant to paragraph (2) of this subsection; but if the sum total of the amounts bid by the responsible bidder for each branch, as determined pursuant to paragraph (1) of this subsection is not less than the amount bid by the responsible bidder for all of the work and materials, as determined pursuant to paragraph (2) of this subsection, the development authority shall award a single over-all contract to the responsible bidder for all of the work and materials as determined pursuant to paragraph (2) of this subsection.
d. For the purposes of this section, "other factors" means the evaluation by the development authority of the ability of the single contractor or the abilities of the multiple contractors to complete the contract in accordance with its requirements and includes requirements relating to the experience and qualifications of the contractor or contractors and their key personnel in projects of similar type and complexity; the performance of the contractor or contractors on prior contracts with the development authority, the State, or districts; the experience and capability of the contractor or contractors and their key personnel in respect to any special technologies, techniques or expertise that the project may require; the contractor's understanding of the means and methods needed to complete the project on time and within budget; the timetable to complete the project; the contractor's plan for quality assurance and control; the contractor's demonstrated experience in regard to affirmative action; and other similar types of factors. The "other factors" to be considered in evaluating bids and the weights assigned to price and these "other factors" shall be determined by the development authority prior to the advertisement for bids for school facilities projects. In its evaluation of bids, the consideration given to price by the development authority shall be at least equal to the consideration given to the combination of all "other factors."
e. The development authority shall require from all contractors to which it awards contracts pursuant to P.L.2000, c.72 (C.18A:7G-1 et al.) and P.L.2007, c.137 (C.52:18A-235 et al.), the delivery of a payment and performance bond issued in accordance with N.J.S.2A:44-143 et seq.
f. The development authority shall adopt regulations to implement this section which shall include, but not be limited to, the procedural requirements for: (1) the evaluation and weighting of price and "other factors" in the awarding of contracts; and (2) the appealing of a prequalification classification and rating, a bid rejection, and a contract award recommendation.
The rules and regulations promulgated by the New Jersey Schools Construction Corporation pursuant to the provisions of P.L.2000, c.72 (C.18A:7G-1 et al.) shall remain in full force and effect unless subsequently revised by the development authority following the enactment of P.L.2007, c.137 (C.52:18A-235 et al.).
g. Each evaluation committee selected by the development authority to review and evaluate bids shall, at a minimum, contain a representative from the district in which the school facilities project is located if the district elects to participate.
h. All advertisements for bids shall be published in a legal newspaper and be posted on the development authority's website sufficiently in advance of the date fixed for receiving the bids to promote competitive bidding but in no event less than 10 days prior to such date. Notice of revisions or addenda to advertisements or bid documents relating to bids shall be advertised on the development authority's website to best give notice to bidders no later than seven days, Saturdays, Sundays and holidays excepted, prior to the bid due date. The notice shall be provided to any person who has submitted a bid, in one of the following ways: (a) in writing by certified mail or (b) by certified facsimile transmission, meaning that the sender's facsimile machine produces a receipt showing date and time of transmission and that the transmission was successful or (c) by a delivery service that provides certification of delivery to the sender. Failure to advertise or provide proper notification of revisions or addenda to advertisements or bid documents related to bids as prescribed by this section shall prevent the acceptance of bids and require the readvertisement for bids. Failure to obtain a receipt when good faith notice is sent or delivered to the address or telephone facsimile number on file with the development authority shall not be considered failure by the development authority to provide notice.
i. Any purchase, contract, or agreement may be made, negotiated, or awarded by the development authority without public bid or advertising when the public exigency so requires.
j. Any purchase, contract, or agreement may be made, negotiated, or awarded by the development authority without public bid or advertising when the authority has advertised for bids on two occasions and has received no bids on both occasions in response to its advertisements. Any purchase, contract, or agreement may be negotiated by the development authority after public bid or advertising when the authority receives only a single responsive bid, provided however that negotiation with that single responsive bidder shall be limited to price.
##### **§ 52:18A-243.1** New Jersey Schools Development Authority to use electronic procurement processes. {#sec-52-18a-243.1 omnilex-key=us-nj-statutes--title-52--52:18A-243.1}
13. Notwithstanding any provisions of P.L.2007, c.137 (C.52:18A-235 et seq.) to the contrary, the New Jersey Schools Development Authority shall use electronic procurement processes for public works construction contracts whenever the project requires public advertisement, in accordance with the provisions of P.L.2020, c.59 (C.52:34A-1 et al.).
##### **§ 52:18A-244** Powers of development authority relative to undertaking school facilities project. {#sec-52-18a-244 omnilex-key=us-nj-statutes--title-52--52:18A-244}
10. a. If the development authority shall find it necessary in connection with the undertaking of any school facilities project to change the location of any portion of any public highway or road, it may contract with any government agency, or public or private corporation which may have jurisdiction over the public highway or road to cause the public highway or road to be constructed at such locations as the authority shall deem most favorable. The cost of the reconstruction and any damage incurred in changing the location of the highway shall be ascertained and paid by the development authority as part of the cost of the school facilities project. Any public highway affected by the construction of any school facilities project may be vacated or relocated by the development authority in the manner now provided by law for the vacation or relocation of public roads, and any damages awarded on account thereof shall be paid by the development authority as a part of the cost of the school facilities project. In all undertakings authorized by this subsection, the development authority shall consult and obtain the approval of the Commissioner of the Department of Transportation.
b. The development authority and its authorized agents and employees may enter upon any lands, waters, and premises for the purpose of making surveys, soundings, drillings, and examinations as it may deem necessary or convenient for the purposes of this act, all in accordance with due process of law, and this entry shall not be deemed a trespass nor shall an entry for this purpose be deemed an entry under any condemnation proceedings which may be then pending. The development authority shall make reimbursement for any actual damages resulting to the lands, waters and premises as a result of these activities.
c. The development authority shall have the power to make reasonable regulations for the installation, construction, maintenance, repair, renewal, relocation, and removal of tracks, pipes, mains, conduits, cables, wires, towers, poles, and other equipment and appliances, herein called "public utility facilities," or any public utility as defined in R.S.48:2-13, in, on, along, over or under any school facilities project. Whenever the development authority shall determine that it is necessary that any public utility facilities which now are, or hereafter may be, located in, on, along, over, or under any school facilities project shall be relocated in the school facilities project, or should be removed from the school facilities project, the public utility owning or operating the facilities shall relocate or remove them in accordance with the order of the development authority. The cost and expenses of the relocation or removal, including the cost of installing the facilities in a new location or new locations, and the cost of any lands, or any rights or interests in lands, and any other rights, acquired to accomplish the relocation or removal, shall be ascertained and paid by the development authority as a part of the cost of the school facilities project. In case of any relocation or removal of facilities, the public utility owning or operating them, its successors or assigns, may maintain and operate the facilities, with the necessary appurtenances, in the new location or new locations, for as long a period, and upon the same terms and conditions, as it had the right to maintain and operate the facilities in their former location or locations. In all undertakings authorized by this subsection the development authority shall consult and obtain the approval of the Board of Public Utilities.
##### **§ 52:18A-245** Exercise of powers constitute performance of essential governmental function. {#sec-52-18a-245 omnilex-key=us-nj-statutes--title-52--52:18A-245}
11. The exercise of the powers granted by P.L.2007, c.137 (C.52:18A-235 et al.) and P.L.2000, c.72 (C.18A:7G-1 et al.) shall constitute the performance of an essential governmental function and the development authority shall not be required to pay any taxes or assessments upon or in respect of a school facilities project, or any property or moneys of the development authority, and the development authority, its school facilities projects, property, and moneys and any bonds and notes issued under the provisions of P.L.2007, c.137 (C.52:18A-235 et al.) and P.L.2000, c.72 (C.18A:7G-1 et al.), their transfer and the income therefrom, including any profit made on the sale thereof, shall at all times be free from taxation of every kind by the State except for transfer, inheritance and estate taxes and by any political subdivision of the State.
##### **§ 52:18A-246** Property exempt from levy, sale. {#sec-52-18a-246 omnilex-key=us-nj-statutes--title-52--52:18A-246}
12. All property of the development authority shall be exempt from levy and sale by virtue of an execution and no execution or other judicial process shall issue against the same nor shall any judgment against the development authority be a charge or lien upon its property.
##### **§ 52:18A-247** New Jersey Schools Construction Corporation abolished, transfer to New Jersey Schools Development Authority, references in law. {#sec-52-18a-247 omnilex-key=us-nj-statutes--title-52--52:18A-247}
13. a. The New Jersey Schools Construction Corporation established pursuant to section 16 of P.L.1997, c.150 (C.34:1B-159) and Executive Order No. 24 of 2002 is abolished and all its functions, powers, duties, and employees are transferred to the New Jersey Schools Development Authority in, but not of, the Department of the Treasury.
b. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the New Jersey Schools Construction Corporation, the same shall mean and refer to the New Jersey Schools Development Authority in, but not of, the Department of the Treasury.
c. This transfer shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
##### **§ 52:18A-248** Limit on executive branch hires to replace retirees; reporting requirements. {#sec-52-18a-248 omnilex-key=us-nj-statutes--title-52--52:18A-248}
2. a. The number of employees hired after the effective date of P.L.2008, c.21 in the executive branch to fill the vacancies created directly or indirectly because eligible employees retired to receive additional retirement benefits pursuant to section 1 of P.L.2008, c.21 shall not exceed, in total for all departments in the executive branch of State government, 10 percent of the total number of employees who retired pursuant to section 1 of P.L.2008, c.21, including the employees for whom the effective date of retirement was delayed pursuant to subsection f. of section 1 of P.L.2008, c.21. A vacancy created directly shall mean a vacancy in the position held by the retiring employee at the time of retirement. A vacancy created indirectly shall mean a vacancy in a position created directly or indirectly by promotion or transfer to fill a vacancy in a position caused by the retiring employee.
b. The State Treasurer shall report to the Joint Budget Oversight Committee every six months for the first two years following the date of enactment of P.L.2008, c.21, and annually thereafter, on the impact of that act on the State workforce, including an analysis of the allocation of position reductions that occur in each department and division as a result of that act and the plans adopted by each department to maintain the essential governmental services provided by that department.
##### **§ 52:18A-249** Limitation on hires in judicial branch to replace retirees. {#sec-52-18a-249 omnilex-key=us-nj-statutes--title-52--52:18A-249}
3. The number of employees hired after the effective date of P.L.2008, c.21 in the judicial branch of State government to fill the vacancies created directly or indirectly because eligible employees retired to receive additional retirement benefits pursuant to section 1 of P.L.2008, c.21 shall not exceed, in total for the judicial branch, 10 percent of the total number of employees who retired pursuant to section 1 of P.L.2008, c.21, including the employees for whom the effective date of retirement was delayed pursuant to subsection f. of section 1 of P.L.2008, c.21. A vacancy created directly shall mean a vacancy in the position held by the retiring employee at the time of retirement. A vacancy created indirectly shall mean a vacancy in a position created directly or indirectly by promotion or transfer to fill a vacancy in a position caused by the retiring employee.
##### **§ 52:18A-250** "New Jersey Achieving a Better Life Experience (ABLE) Program." {#sec-52-18a-250 omnilex-key=us-nj-statutes--title-52--52:18A-250}
2. The Department of the Treasury, in cooperation with the Department of Human Services, shall establish, in accordance with section 529A of the federal Internal Revenue Code of 1986, 26 U.S.C. s.529A, the "New Jersey Achieving a Better Life Experience (ABLE) Program." The departments may contract with a third party provider to administer and operate the program.
##### **§ 52:18A-251** Availability of ABLE funds. {#sec-52-18a-251 omnilex-key=us-nj-statutes--title-52--52:18A-251}
3. The Department of the Treasury shall ensure that participants can readily deposit and withdraw funds from ABLE accounts in accordance with 26 U.S.C. s.529A.
##### **§ 52:18A-252** DHS responsible for program services. {#sec-52-18a-252 omnilex-key=us-nj-statutes--title-52--52:18A-252}
4. The Department of Human Services shall be responsible for program services. The department may contract with a third party provider to administer any or all program services, which shall include, but not be limited to:
a. Promoting the program to the communities most likely to benefit from access to ABLE accounts;
b. Evaluating, qualifying, and processing applications to the program in accordance with 26 U.S.C. s.529A; and
c. Processing claims from an ABLE account holder to the Department of Human Services or other institution assigned to administer the ABLE account in accordance with 26 U.S.C. s.529A.
##### **§ 52:18A-253** Program treated as State ABLE Program. {#sec-52-18a-253 omnilex-key=us-nj-statutes--title-52--52:18A-253}
5. The Department of the Treasury and the Department of Human Services shall take all actions required so that the program is treated as a qualified State ABLE Program under 26 U.S.C. s.529A.
##### **§ 52:18A-254** Annual determination of dollar amount of ABLE account. {#sec-52-18a-254 omnilex-key=us-nj-statutes--title-52--52:18A-254}
6. Annually, the Department of the Treasury shall determine a dollar amount of an ABLE account, which shall not be less than $25,000, which shall not be considered in evaluating the financial needs of a designated beneficiary or be deemed a financial resource or a form of financial aid or assistance to a designated beneficiary, for purposes of determining the eligibility of the beneficiary for any scholarship, grant, or monetary assistance awarded by the State for the purposes of financing the education expenses of the beneficiary, including higher education expenses; nor shall the amount of any account as determined by the Department of the Treasury provided for a designated beneficiary under P.L.2015, c.185 (C.52:18A-250 et al.) reduce the amount of any scholarship grant or monetary assistance which the beneficiary is entitled to be awarded by the State for the purposes of financing education expenses.
##### **§ 52:18A-255** ABLE account disregarded for eligibility to receive certain benefits. {#sec-52-18a-255 omnilex-key=us-nj-statutes--title-52--52:18A-255}
7. Notwithstanding any other provision of State law or regulation that requires consideration of one or more financial circumstances of an individual, for the purpose of determining eligibility to receive, or the amount of, any assistance or benefit authorized by such provision to be provided to or for the benefit of such individual, any amount, including earnings thereon, in any ABLE account of such individual, and any distribution for qualified disability expenses shall be disregarded for such purpose with respect to any period during which such individual maintains, makes contributions to, or receives distributions from such ABLE account.
##### **§ 52:18A-256** Rules, regulations. {#sec-52-18a-256 omnilex-key=us-nj-statutes--title-52--52:18A-256}
8. The Department of Human Services and the Department of the Treasury shall, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt rules and regulations governing the administration and operation of the program as may be necessary to effectuate the provisions of P.L.2015, c.185 (C.52:18A-250 et al.) in accordance with 26 U.S.C. s.529A.
##### **§ 52:18A-258** Criminal history background checks for certain employees of State agencies. {#sec-52-18a-258 omnilex-key=us-nj-statutes--title-52--52:18A-258}
2. a. A State agency may authorize an individual employed by that agency or employed or utilized by a contractor of that agency to have access to federal tax information if it has been determined, consistent with the requirements and standards of this section, that criminal history record information does not exist on file in the Federal Bureau of Investigation, Identification Division, or in the State Bureau of Identification in the Division of State Police, which would disqualify the individual from having access to federal tax information in accordance with standards established by subsection e. of this section. Additionally, a State agency may otherwise authorize an individual employed by that agency or employed or utilized by a contractor of that agency to have access to federal tax information to the extent permitted by federal Internal Revenue Service standards governing access to federal tax information.
b. A State agency that obtains federal tax information shall have criminal history record background checks conducted in accordance with subsection c. of this section for an individual employed by that agency or employed or utilized by a contractor of that agency who has been identified by the agency head as being authorized to have access to federal tax information. Additionally, a follow-up criminal history record background check shall be conducted at least once every ten years for an individual employed by that agency or employed or utilized by a contractor of that agency as a condition of having continued access to federal tax information. The provisions of this subsection shall apply to a current or prospective employee of a State agency as to whom the head of the agency determines that federal Internal Revenue Service standards governing access to federal tax information requires a criminal history record background check. The provisions of this subsection also shall apply to an individual who is employed or utilized by a contractor who provides goods or services to a State agency if in the performance of the contract the individual has or will have access to federal tax information and as to whom the agency head of the contracting agency determines that federal Internal Revenue Service standards governing access to federal tax information require a criminal history record background check.
c. (1) The agency head of a State agency is authorized to exchange fingerprint data with and receive criminal history record information from the Federal Bureau of Investigation and the Division of State Police for use in making determinations required by this act. The Division of State Police also shall promptly notify the State agency if an individual who was the subject of a criminal history record background check conducted pursuant to this section is convicted of a crime or offense in this State after the date that the criminal history record background check was performed. Upon receipt of such notification, the agency head shall make a determination regarding the individual's qualification to access federal tax information. A criminal history record background check shall not be performed pursuant to this act unless the employee or individual shall have furnished written consent to the check.
(2) An individual determined to require a criminal history record background check in accordance with subsection b. of this section shall submit to the agency head that individual's name, address, and fingerprints taken by a State or municipal law enforcement agency or by a private entity under contract with the State.
(3) The fingerprints of each individual subject to a criminal history record background check in accordance with subsection b. of this section and the written consent of that individual shall be submitted to the Superintendent of State Police for a criminal history record background check to be performed. The superintendent shall compare these fingerprints with fingerprints on file with the Bureau of Identification in the Division of State Police, Department of Law and Public Safety, and the Federal Bureau of Investigation, consistent with State and federal laws, rules, and regulations.
(4) The cost of a criminal history record background check, including all costs for administering and processing the check, shall be borne by the State agency in the case of a current or prospective employee of the State agency. Nothing in this act shall require the State agency to bear the cost of a criminal history record background check in the case of an individual employed or utilized by a contractor.
(5) (a) If a prospective employee or individual employed or utilized by a contractor refuses to consent to, or cooperate in, the securing of a criminal history record background check required by subsection b. of this section, the State agency shall not employ or utilize that person in a position for which access to federal tax information is required.
(b) If a current employee of a State agency refuses to consent to, or cooperate in, the securing of a criminal history record background check required by subsection b. of this section, the employing agency shall terminate that employee's access to federal tax information and may remove that employee from any position requiring such access, but shall make a reasonable effort to retain that individual as an employee in another position within the agency that does not require access to federal tax information and for which the current employee is qualified.
(6) Criminal history record information subject to federal confidentiality requirements may only be used for the purposes of making, supporting, or defending decisions regarding the appointment, hiring, or retention of employees or for complying with any requirements of the federal Internal Revenue Service regarding access to federal tax information.
d. A State agency whose employees' job duties require access to federal tax information shall establish a policy for background investigations applicable to current and prospective employees and individuals employed or utilized by contractors subject to subsection b. of this section.
e. An individual shall be disqualified from having access to federal tax information if that individual's criminal history background check reveals a record of conviction of any of the following crimes or offenses:
(1) in New Jersey, any crime or disorderly persons offense:
(a) involving theft as set forth in chapter 20 of Title 2C of the New Jersey Statutes; or
(b) involving forgery or fraudulent practices as set forth in chapter 21 of Title 2C of the New Jersey Statutes; or
(2) in any other state or jurisdiction, of conduct which, if committed in New Jersey, would constitute any of the crimes or disorderly persons offenses described in paragraph (1) of this subsection.
f. (1) Notwithstanding the provisions of subsection e. of this section, an individual shall not be disqualified from having access to federal tax information on the basis of any conviction disclosed by a criminal history background check performed pursuant to subsection b. of this section if the individual has affirmatively demonstrated to the agency head clear and convincing evidence of the individual's rehabilitation. In determining whether an individual has affirmatively demonstrated rehabilitation, the following factors shall be considered:
(a) the nature and responsibility of the position involved in which access to federal tax information is authorized or required;
(b) the nature and seriousness of the offense;
(c) the circumstances under which the offense occurred;
(d) the date of the offense;
(e) the age of the individual when the offense was committed;
(f) whether the offense was an isolated or repeated incident;
(g) any social conditions which may have contributed to the offense; and
(h) any evidence of rehabilitation, including good conduct in prison or in the community, counseling or psychiatric treatment received, acquisition of additional academic or vocational schooling, successful participation in correctional work-release programs, or the recommendation of those who have had the individual under their supervision.
(2) The agency head shall make the final determination regarding the disqualification from access to federal tax information by an individual with a criminal conviction specified under this section.
g. For purposes of this section:
"Agency head" means, with respect to a department in the Executive branch of State government or any division, office, board, commission, council, or bureau allocated to that department, the commissioner of the department or an individual in that department designated by the commissioner and, with respect to the Judicial branch of State government, the Director of the Administrative Office of the Courts or an individual designated by the director.
"Contractor" means a contractor or subcontractor that provides goods or services to a State agency.
"Federal tax information" means federal tax returns and return information, and information derived therefrom, in the possession or control of a State agency which is covered by the confidentiality protections of the federal Internal Revenue Code and subject to the safeguarding requirements of paragraph (4) of subsection (p) of section 6103 of the federal Internal Revenue Code (26 U.S.C. s.6103), including federal Internal Revenue Service oversight.
"State agency" means a department, division, office, board, commission, council, or bureau in the Executive branch of State government, including the Department of the Treasury, the Department of Human Services, the Department of Labor and Workforce Development, and any other State agency that submits to the federal Internal Revenue Service a request for access to federal tax information to perform its official duties, and the Judicial branch of State government.
##### **§ 52:18A-259** Posting of status of agreements. {#sec-52-18a-259 omnilex-key=us-nj-statutes--title-52--52:18A-259}
7. The State Treasurer, in consultation with the New Jersey Economic Development Authority, or the New Jersey Educational Facilities Authority as to projects to be financed through the New Jersey Educational Facilities Authority, shall post on the Department of the Treasury's official website the status of each public-private partnership agreement subject to the State Treasurer's consideration, review, amendment, or approval, indicating the status of each agreement by designating it as a proposed, under review, or active public-private partnership project.
##### **§ 52:18A-260** Public-Private Partnership Review Fund. {#sec-52-18a-260 omnilex-key=us-nj-statutes--title-52--52:18A-260}
8. a. There is hereby established in the Department of the Treasury the Public-Private Partnership Review Fund. The purpose of the fund will be to support financial and administrative review functions associated with the Public-Private Partnership plan review by the State Treasurer, along with the New Jersey Economic Development Authority, the Department of Community Affairs, the Department of Education, the Schools Development Authority, and the Department of Transportation, established by P.L.2018, c.90 (C.40A:11-52 et al.).
b. Notwithstanding the provisions of any law or regulation to the contrary, upon entering into any public-private partnership agreement which is backed, in whole or in part, by New Jersey Economic Development Authority bonds pursuant to P.L.2018, c.90 (C.40A:11-52 et al.), a public entity shall remit one percent of the portion of the revenue established under the agreement to the Department of the Treasury to be placed in the Public-Private Partnership Review Fund.
c. The State Treasurer, in coordination with any relevant agency, including the New Jersey Economic Development Authority, Department of Transportation, and Department of Community Affairs, shall provide, and make available to the public on the Internet, an annual report, not later than December 31, 2019 and each year after that year, a list of all projects reviewed and the percentage and amount of funds withheld and provided to the fund pursuant to this section.
##### **§ 52:18A-261** Construction of act. {#sec-52-18a-261 omnilex-key=us-nj-statutes--title-52--52:18A-261}
9. Nothing in this act shall in any way be construed to alter, limit or repeal any authority of any State entity to enter into public-private partnership agreements as otherwise provided by law, including but not limited to P.L.1997, c.136 (C.27:1D-1 et seq.) or subsection x. of section 5 of P.L.1979. c.150 (C.27:25-5).
##### **§ 52:18A-262** "Main Street Recovery Fund". {#sec-52-18a-262 omnilex-key=us-nj-statutes--title-52--52:18A-262}
87. a. To aid in the economic recovery of those communities most impacted by the COVID-19 pandemic and to better ensure their long-term economic growth, there is created the "Main Street Recovery Fund" to be held by the State Treasurer and administered by the authority. All moneys deposited in the fund shall be held and disbursed in the amounts necessary to fulfill the purposes of providing grants and loans related to an identified program that is administered by the authority pursuant to sections 85 and 86 of P.L.2020, c.156 (C.34:1B-352 and C.34:1B-353), for the purposes enumerated in subsection b. of this section, and for reasonable administrative costs of implementing sections 82 through 88 of P.L.2020, c.156 (C.34:1B-349 et al.). The fund may be credited with pay backs; bonuses; entitlements; money received from the federal government; transfers; grants; gifts; bequests; moneys appropriated by the Legislature; or any other money made available from any source. The State Treasurer, in consultation with the authority, may invest and reinvest any moneys in the fund in the State Treasurer's discretion. Any income from, interest on, or increment to moneys so invested or reinvested shall be included in the fund.
b. Upon application to the Chief Executive Officer of the New Jersey Economic Development Authority, the authority may make loan guarantees from the fund to leverage private and public lending to help finance small businesses, real estate developments, and manufacturers that are creditworthy but not receiving the financing needed to expand and create jobs. In making loan guarantees under this section, the chief executive officer of the authority shall give due consideration to small businesses and real estate developments in underserved communities throughout the State that have been deeply impacted by the COVID-19 pandemic.
c. (1) The chief executive officer of the authority shall monitor the activities of the beneficiaries of the loan guarantees issued pursuant to this section on an annual basis to ensure compliance with the terms and conditions imposed on the recipient by the chief executive officer.
(2) An entity receiving a loan guarantee and the beneficiaries of such loan guarantee under this section shall provide the authority with an annual accounting of how the benefit it received from the fund was applied.
(3) The authority, at the time the annual accounting required under paragraph (2) of this subsection is provided, shall confirm with the Department of Labor and Workforce Development, the Department of Environmental Protection, and the Department of the Treasury that the entity and the beneficiaries are in substantial good standing with the respective departments, or have entered into an agreement with the respective department that includes a practical corrective action plan.
(4) The entity and beneficiary, or an authorized agent thereof, shall certify under the penalty of perjury that the information provided pursuant to this subsection is true.
##### **§ 52:18A-263** Purchase of unused tax credits. {#sec-52-18a-263 omnilex-key=us-nj-statutes--title-52--52:18A-263}
89. a. The Director of the Division of Taxation in the Department of the Treasury may purchase unused tax credits awarded under a program listed in paragraphs (1) through (5) or paragraphs (7) through (10) of subsection b. of this section and shall purchase unused tax credits awarded under a program listed in paragraphs (6), (13), (14), and (16) of subsection b. of this section, including tax credit transfer certificates issued by the director in lieu of a tax credit allowed under such programs. The director shall not pay consideration in excess of 75 percent of the credit amount to be purchased, except for a credit awarded under:
(1) the "Emerge Program Act," sections 68 through 81 of P.L.2020, c.156 (C.34:1B-336 et al.), which shall be subject to the provisions of paragraph (4) of subsection d. of section 77 of P.L.2020, c.156 (C.34:1B-345);
(2) the "New Jersey Aspire Program Act," sections 54 through 67of P.L.2020, c.156 (C.34:1B-322 through C.34:1B-335), as amended and supplemented, for which the director shall pay an amount equal to 85 percent of the credit amount, provided that the issuance date of the tax credit certificate or tax credit transfer certificate to the developer or the holder of such certificate occurred at least one year prior to the date of application to the director, and further provided that, if the application to the director is submitted after the sixth year of the eligibility period, the amount in excess of the reasonable and appropriate rate of return on investment that the developer is required to pay pursuant to subsection c. of section 60 of P.L.2020, c.156 (C.34:1B-328) shall increase to 50 percent;
(3) the "Cultural Arts Incentives Program Act," P.L.2023, c.197 (C.34:1B-383 et al.), for which the director shall pay an amount equal to 85 percent of the credit amount, provided that the issuance date of the tax credit certificate or tax credit transfer certificate to the developer or the holder of such certificate occurred at least one year prior to the date of application to the director;
(4) the “Garden State Film and Digital Media Jobs Act,” P.L.2018, c.56 (C.54:10A-5.39b et al.), for which the director shall pay an amount equal to 95 percent of the credit amount for any original application approved by the authority on or after January 1, 2026, provided that the issuance date of the tax credit certificate or tax credit transfer certificate to the taxpayer, which taxpayer is a New Jersey studio partner or the holder of such certificate originally issued to a New Jersey studio partner, occurred at least one year prior to the date of application to the director and provided that the director shall purchase such certificates valued at no more than a cumulative amount of $80,000,000 in State fiscal year 2026, $160,000,000 in State fiscal year 2027, $240,000,000 in State fiscal year 2028, and $200,000,000 in each State fiscal year thereafter, subject to the conditions in this paragraph. If an application to the director for the purchase of tax credits otherwise qualifies pursuant to this paragraph, but the value of tax credits for which the director receives applications exceeds the maximum cumulative amount for the State fiscal year in which the application is made, the director shall purchase the remaining tax credits in the State fiscal year next following the State fiscal year in which the application is made, provided that the director shall not purchase a cumulative amount above the maximum cumulative amount for the respective State fiscal year. No payments shall be made pursuant to this paragraph unless the following conditions are met: full funding is provided for the fiscal year to satisfy the requirement in Article VIII, Section IV, paragraph 1 of the New Jersey Constitution that the Legislature provide for the maintenance and support of a thorough and efficient system of free public schools for the instruction of children in the State between the ages of five and 18 years; full payment of the contributions required by law for the fiscal year is made to the State-administered retirement systems; and the annual appropriations act for the State fiscal year maintains a budgetary surplus; or
(5) sections 1 through 4 of P.L.2025, c.399 (C.34:1B-335.4 through C.34:1B-335.7), for which the director shall pay an amount equal to 85 percent of the credit amount, provided that the issuance date of the tax credit certificate or tax credit transfer certificate to the developer or the holder of such certificate occurred at least one year prior to the date of application to the director.
b. The Director of the Division of Taxation in the Department of the Treasury may or shall, subject to the provisions of subsection a. of this section, purchase tax credits awarded under the following:
(1) the "Historic Property Reinvestment Act," sections 2 through 8 of P.L.2020, c.156 (C.34:1B-270 through C.34:1B-276);
(2) the "Brownfield Redevelopment Incentive Program Act," sections 9 through 19 of P.L.2020, c.156 (C.34:1B-277 through C.34:1B-287);
(3) the "New Jersey Innovation Evergreen Act," sections 20 through 34 of P.L.2020, c.156 (C.34:1B-288 through C.34:1B-302);
(4) the "Food Desert Relief Act," sections 35 through 42 of P.L.2020, c.156 (C.34:1B-303 through C.34:1B-310);
(5) (Deleted by amendment, P.L.2025, c.127)
(6) the "New Jersey Aspire Program Act," sections 54 through 67 of P.L.2020, c.156 (C.34:1B-322 through C.34:1B-335);
(7) the "Emerge Program Act," sections 68 through 81 of P.L.2020, c.156 (C.34:1B-336 et al.);
(8) the Grow New Jersey Assistance Program established pursuant to section 3 of P.L.2011, c.149 (C.34:1B-244);
(9) section 6 of P.L.2010, c.57 (C.34:1B-209.4);
(10) the State Economic Redevelopment and Growth Grant program established pursuant to section 5 of P.L.2009, c.90 (C.52:27D-489e);
(11) (Deleted by amendment, P.L.2025, c.400)
(12) (Deleted by amendment, P.L.2025, c.400)
(13) the "Cultural Arts Incentives Program Act," P.L.2023, c.197 (C.34:1B-383 et al.);
(14) the “Garden State Film and Digital Media Jobs Act,” P.L.2018, c.56 (C.54:10A-5.39b et al.);
(15) sections 3 through 7 of P.L.2025, c.111 (C.55:14K-106 through C.55:14K-110); and
(16) sections 1 through 4 of P.L.2025, c.399 (C.34:1B-335.4 through C.34:1B-335.7).
##### **§ 52:18A-264** Grants Management Office, established. {#sec-52-18a-264 omnilex-key=us-nj-statutes--title-52--52:18A-264}
1. a. There is established in the Department of the Treasury a Grants Management Office to improve efficiency, streamline processes, reduce administrative burdens on both granting agencies and grant recipients, and facilitate development and implementation of a Statewide centralized grants management and accountability system.
b. The office shall be under the immediate supervision of a director, who shall report to the State Treasurer and who shall be a person qualified by training and experience to direct the work of such office. The director shall administer the work of the office and shall perform such other functions of the office as necessary to implement the provisions of P.L.2021, c.122 (C.52:18A-264).
c. The Director of the Grants Management Office shall:
(1) distribute federal grant notices, coordinate applications, and provide information on the grant process to departments;
(2) distribute weekly information produced by the Federal Funds Information for States of grant opportunities to departments;
(3) coordinate with liaisons designated by each department to determine department interest in grant opportunities;
(4) create and maintain a database of active grants from announcement and application through award, execution, and compliance;
(5) investigate whether applications for federal funds were submitted appropriately and in accordance with relevant deadlines, laws, rules and regulations and policies;
(6) act as a compliance officer to monitor and audit grants;
(7) conduct outreach to municipal, county, non-profit, and other interested stakeholders concerning State and federal grants opportunities;
(8) create and distribute training tools, standard operating procedures, and best practices guidelines; and
(9) produce seminars and events, including annual conferences for stateholders.
d. The Director of the Grants Management Office is authorized to call upon any Executive Branch department or agency, including staff in the Governor's Office, to supply the Grants Management Office with information or other assistance as the director determines necessary. Each Executive Branch department and agency is hereby required, to the extent not inconsistent with law, to cooperate fully with the director within the limits of each department's or agency's statutory authority, and to furnish such assistance on as timely a basis as is necessary to accomplish the purpose of this law.
e. The Director of the Grants Management Office shall submit to the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), annually a report that describes all federal funds received by State agencies in the preceding fiscal year.
##### **§ 52:18A-265** Findings, declarations. {#sec-52-18a-265 omnilex-key=us-nj-statutes--title-52--52:18A-265}
1. The Legislature finds and declare that:
a. New Jersey residents could meaningfully benefit from expanded access to below-market-rate capital for socially beneficial projects, including support for public infrastructure, affordable housing and neighborhood revitalization, small business lending, early childhood education facilities, and higher education financing.
b. Access to capital is vitally important for the health, security, and well-being of all individuals and businesses in this State and the lack of accessible capital exacerbates the economic hardships being faced by working families and businesses.
c. Public banking is a model that could expand capital access by leveraging public and private dollars to finance and support sustainable and forward-thinking projects that would benefit the public interest.
d. A public banking model could address the unique needs and goals of community banking institutions, small businesses, and emerging and early-stage developers.
e. Recognizing the value that a public bank could provide, Governor Murphy issued Executive Order No. 91 of 2019 establishing a Public Bank Implementation Board responsible for studying and making recommendations to the Governor regarding the development of a public bank for New Jersey.
f. The Social Impact Investment Fund established by P.L.2023, c.67 (C.52:18A-265 et seq.), inspired by the work of the Public Bank Implementation Board, will leverage public capital with investments from private sector institutions and individuals to create a lending pool to provide below-market-rate loans and guarantees to achieve positive social impacts.
g. It is the intent of the Legislature that the deployment of State funds through the Social Impact Investment Fund will demonstrate the potential of a public banking model to the benefit the residents of New Jersey.
##### **§ 52:18A-266** Definitions. {#sec-52-18a-266 omnilex-key=us-nj-statutes--title-52--52:18A-266}
2. As used in P.L.2023, c.67 (C.52:18A-265 et seq.):
"Affordable housing project" means development undertaken for the purpose of creating one or more residential structures, whether in the form of detached units or attached units for separate occupancy, in which a substantial percentage of the housing units are provided for a reasonable income range of low- and moderate-income households, as determined by the New Jersey Housing and Mortgage Finance Agency, including any structures or facilities appurtenant or ancillary thereto.
"Financially impaired municipality" means any municipality that at the time of the initiation of a project meets one or more of the following conditions: is eligible to receive aid under the "Special Municipal Aid Act," P.L.1987, c.75 (C.52:27D-118.24 et seq.); is coextensive with a school district which qualified for designation as a "special needs district" pursuant to the "Quality Education Act of 1990," P.L.1990, c.52 (C.18A:7D-1 et seq.); or is unable to satisfy the credit worthiness standards as set forth in the New Jersey Infrastructure Bank's credit policy as determined by the New Jersey Infrastructure Bank.
"Fund" means the "Social Impact Investment Fund" established pursuant to subsection a. of section 3 of P.L.2023, c.67 (C.52:18A-267).
"Fund manager" means a private professional investment manager selected pursuant to subsection b. of section 3 of P.L.2023, c.67 (C.52:18A-267) to manage and invest the assets of the Social Impact Investment Fund.
"Institutional lender" means any bank or trust company, savings bank, national banking association, savings and loan association, credit union, or building and loan association maintaining an office in this State, or any insurance company, community development financial institution certified by the United States Department of the Treasury, or any mortgage banking firm or mortgage banking corporation authorized to transact business in this State.
"Letter of understanding" means a notice on a prescribed form from the New Jersey Housing and Mortgage Finance Agency that indicates that the proposed affordable housing project should be considered for a predevelopment loan from the fund. The letter of understanding shall not guarantee or construe that the affordable housing project will receive development financing from the New Jersey Housing and Mortgage Finance Agency.
"Predevelopment loan" means a loan for required expenses, other than administrative and construction, that are incurred by qualifying affordable housing developers in the process of, and prior to, securing long-term financing for construction, conversion, preservation, or rehabilitation of an affordable housing project, and that are recoverable once long-term financing is obtained. The purposes for which predevelopment loans may be made include, but are not limited to, the costs of, or the costs associated with: land purchase or options to buy land; options or deposits to buy or preserve existing government-assisted rental housing for the purpose of preserving the affordability of the units; professional services such as architectural, engineering, or legal services; permit or application fees; environmental remediation costs; and bonding, site preparation, related water or sewer development, or material expenses. In addition, the loans may be made for the purpose of extending the time for exercising an option or extending the time period for repayment of an advance previously obtained. These loan funds may be deposited in banks as compensating balances to establish lines of credit for qualifying affordable housing developers.
"Qualifying affordable housing developer" means any person, firm, company, corporation, urban renewal entity, or association of persons that has participated in and completed a New Jersey Housing and Mortgage Finance Agency approved emerging developer training and certification program and to which the agency has provided a letter of understanding.
"Special purpose vehicle" means an entity that is administered pursuant to an agreement between the State Treasurer and fund manager that is formed solely for the purpose of investing in the purposes enumerated in section 4 of P.L.2023, c.67 (C.52:18A-268).
##### **§ 52:18A-267** "Social Impact Investment Fund" established, maintained, State Treasurer. {#sec-52-18a-267 omnilex-key=us-nj-statutes--title-52--52:18A-267}
3. a. The State Treasurer shall establish and maintain in the General Fund a separate, non-lapsing fund to be known as the Social Impact Investment Fund to carry out the purposes enumerated in section 4 of P.L.2023, c.67 (C.52:18A-268). The State Treasurer shall credit the fund with:
(1) moneys appropriated by the Legislature for the purpose of the fund;
(2) distributions from payments or repayments made to the fund;
(3) earnings received, if any, from the investment or reinvestment of money credited to the fund; and
(4) any money which, from time to time, may otherwise become available for the purposes of the fund.
b. For the purposes of administering the fund, the State Treasurer shall have the power to:
(1) select, through an open and competitive process in consultation with other State agencies including but not limited to the New Jersey Infrastructure Bank, the Economic Development Authority, and the New Jersey Housing and Mortgage Finance Agency, one or more fund managers, and any other entities to create and manage one or more special purpose vehicles;
(2) enter into agreements with a fund manager necessary for the formation and management of a special purpose vehicle on terms and conditions as the State Treasurer determines to be reasonable, including, but not limited to, fees and operating expenses payable to the fund manager and other entities and a requirement for the fund manager to provide the State Treasurer with information required to complete the report required by section 5 of P.L.2023, c.67 (C.52:18A-269);
(3) monitor and audit a fund manager and any other entities by audits or other reports;
(4) invest monies from the fund in one or more special purpose vehicles developed, managed, and maintained by a fund manager pursuant to paragraph (1) of this subsection; and
(5) adopt rules and regulations governing the use and application of fund proceeds.
c. Subject to the terms of an agreements to be entered between the State Treasurer and a fund manager or a special purpose vehicle, as applicable, a fund manager or special purpose vehicle shall:
(1) create one or more special purpose vehicles, which shall be funded by an initial $20,000,000 investment from the Social Impact Investment Fund and any additional funds which may become available;
(2) make loans to institutional lenders and enter into agreements with institutional lenders that receive money from the fund, which agreements shall, at a minimum, require an institutional lender to use the moneys for the purposes set forth in section 4 of P.L.2023, c.67 (C.52:18A-268) and to provide the fund manager with information as required to complete the report required by section 5 of P.L.2023, c.67 (C.52:18A-269);
(3) purchase participation in loans from institutional lenders that advance the purposes set forth in section 4 of P.L.2023, c.67 (C.52:18A-268);
(4) sell loans made pursuant to paragraph (2) of this subsection or loan participations to enhance liquidity, interest rate risk management, capital and earnings, and to serve the credit needs of borrowers; and
(5) raise private capital of at least a 1:1 ratio for every public dollar invested net of the fund manager's operating expenses and fees, by utilizing the fund manager's own funds or by drawing on private capital including, but not limited to, direct investments or coordinated co-investments.
d. The agreement between the State Treasurer and fund manager shall include terms governing the dissolution of the fund.
e. Notwithstanding any other provision of law to the contrary, financial information received by the State Treasurer from a special purpose vehicle, to the extent that material or data consists of trade secrets, proprietary or commercial information, or information that may give other competitors an advantage, is confidential and shall not constitute a public record under P.L.1963, c.73 (C.47:1A-1 et seq.), or a government record subject to access pursuant to P.L.2001, c.404, and shall not otherwise be open to the public for inspection.
##### **§ 52:18A-268** State Treasurer, invest, special purpose vehicle, Social Impact Investment Fund. {#sec-52-18a-268 omnilex-key=us-nj-statutes--title-52--52:18A-268}
4. Following the selection of a fund manager, the State Treasurer shall invest moneys appropriated to the Social Impact Investment Fund in one or more special purpose vehicles developed, managed, and maintained by the fund manager pursuant to paragraph (1) of subsection b. of section 3 of P.L.2023, c.67 (C.52:18A-267). Permissible uses of fund capital invested in a special purpose vehicle shall be as follows:
a. to facilitate the financing of water and transportation infrastructure components of redevelopment projects in financially impaired municipalities through the provision of limited guarantees, debt reserve fund collateral, or subordinated loans for the municipalities. Any funds provided for the purposes of this subsection shall be transferred to the New Jersey Infrastructure Bank for purposes in accordance with the provisions of P.L.1985, c.334 (C.58:11B-1 et seq.) and shall be subject to the terms of an agreement between the special purpose vehicle and the New Jersey Infrastructure Bank. The agreement shall, at a minimum, set forth the various lien positions and the rights and liabilities of each entity and its impacts on the other creditors. Repayment of the amount transferred from the special purpose vehicle and any special purpose vehicle funds, net of returns on private capital investment, no longer needed to act as support for the purposes of this section shall be returned to the Social Impact Investment Fund. Notwithstanding the provisions of section 23 of P.L.1985, c.334 (C.58:11B-23) or any other law to the contrary, moneys received by the New Jersey Infrastructure Bank pursuant to P.L.2023, c.67 (C.52:18A-265 et seq.) may be expended consistent with the provisions of P.L.2023, c.67 (C.52:18A-265 et seq.);
b. to provide predevelopment loans, in consultation with the New Jersey Housing and Mortgage Finance Agency, to qualifying affordable housing developers that are seeking to participate in Low Income Housing Tax Credit supported development under the Unified Application for New Jersey Housing and Mortgage Finance Agency Multifamily Rental Housing Production Programs; and
c. to facilitate the financing of construction and maintenance of early childhood education facilities, for children age zero through pre-K, in financially impaired municipalities, as determined by the Division of Early Childhood Education in the Department of Education.
##### **§ 52:18A-269** Report to Governor, Legislature. {#sec-52-18a-269 omnilex-key=us-nj-statutes--title-52--52:18A-269}
5. On or before June 30 of the second year following the effective date of P.L.2023, c.67 (C.52:18A-265 et seq.), the State Treasurer, in consultation with the New Jersey Infrastructure Bank and New Jersey Housing and Mortgage Finance Agency, shall prepare and submit a written report regarding the use of funds appropriated to the Social Impact Investment Fund. This report shall be submitted to the Governor and, pursuant to section 3 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature.
##### **§ 52:18A-270** Regulations, implementation. {#sec-52-18a-270 omnilex-key=us-nj-statutes--title-52--52:18A-270}
6. Notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the State Treasurer, in consultation with the New Jersey Infrastructure Bank and New Jersey Housing and Mortgage Finance Agency, may adopt, immediately upon filing with the Office of Administrative Law, regulations the State Treasurer deems necessary to implement the provisions of P.L.2023, c.67 (C.52:18A-265 et seq.), which regulations shall be effective for a period not to exceed 365 days and may, thereafter, be amended, adopted, or readopted by the State Treasurer, in consultation with the New Jersey Infrastructure Bank and New Jersey Housing and Mortgage Finance Agency, in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).
## **Chapter 18B**
##### **§ 52:18B-1** Short title. {#sec-52-18b-1 omnilex-key=us-nj-statutes--title-52--52:18B-1}
1. This act shall be known and may be cited as the "Tobacco Settlement Financing Corporation Act."
##### **§ 52:18B-2** Purpose of act. {#sec-52-18b-2 omnilex-key=us-nj-statutes--title-52--52:18B-2}
2. The purpose of this act is to authorize, create and establish a corporation empowered to acquire from the State all or a portion of the State's tobacco receipts; to authorize the sale by the State of all or a portion of the State's tobacco receipts to the corporation; to authorize the transfer to and the receipt by the corporation of such tobacco receipts; to authorize the corporation to issue securities of the corporation for the purposes authorized in this act, payable solely from and secured solely by such portion of the State's tobacco receipts as the corporation may designate and pledge to secure the securities, together with the investment income thereon and any reserve funds created by the corporation from any portion of the proceeds of such securities; to authorize the corporation to hold and invest such portion of the net proceeds of the sale of the securities pending direction by the State and such portion of the State's tobacco receipts sold to the corporation which are not pledged to secure securities of the corporation; and to authorize the corporation to manage such portion of the net proceeds of the sale of the securities pending direction by the State and all or a portion of the State's tobacco receipts sold to the corporation for the purposes and in the manner authorized in this act.
##### **§ 52:18B-3** "Tobacco Settlement Financing Corporation." {#sec-52-18b-3 omnilex-key=us-nj-statutes--title-52--52:18B-3}
3. a. There is hereby established in, but not of, the Department of Treasury a public body corporate and politic, with corporate succession, to be known as the "Tobacco Settlement Financing Corporation." The corporation is hereby constituted as an instrumentality of the State exercising public and essential governmental functions, and the exercise by the corporation of the powers conferred by this act shall be deemed and held to be an essential governmental function of the State. Notwithstanding the existence of common management, the corporation shall be treated and accounted for as a separate legal entity with its separate corporate purposes as set forth in this act. The assets, liabilities and funds of the corporation shall be neither consolidated nor commingled with those of the State or of any entity capable of being a debtor in a case commenced under the federal bankruptcy code.
b. The corporation shall have and be governed by three members who shall be the Commissioner of Health and Senior Services of the State and the State Treasurer, who shall be members ex officio, and one public member appointed by the Governor (who shall have knowledge in the area of health care or the provision of health care) who shall serve at the pleasure of the Governor; provided however, the Governor may appoint the head of a principal department of the State to replace the Commissioner of Health and Senior Services of the State as a member. The State Treasurer shall serve as the chairperson of the corporation. The corporation shall elect from among its members a vice chairman. The powers of the corporation shall be vested in the members thereof in office from time to time and a majority of the total authorized membership of the corporation shall constitute a quorum at any meeting thereof. Action may be taken and motions and resolutions adopted by the corporation at any meeting thereof by the affirmative vote of a majority of the members present. No vacancy in the membership of the corporation shall impair the right of a quorum of the members to exercise all the powers and perform all the duties of the corporation.
c. Each member before entering upon his or her duties shall take and subscribe an oath to perform the duties of his or her office faithfully, impartially and justly to the best of his or her ability. A record of such oaths shall be filed in the office of the Secretary of State.
d. The State Treasurer shall be the president of the corporation, the Deputy State Treasurer shall be the vice president of the corporation and the State Comptroller shall be the treasurer of the corporation. The president of the corporation shall appoint the secretary of the corporation. The staff of the office of the State Treasurer shall also serve as staff of the corporation. State officers, agencies, and departments may render services to the corporation within their respective functions, as requested by the corporation.
e. Each member and the treasurer of the corporation shall execute a bond to be conditioned upon the faithful performance of the duties of such member or treasurer in such form and amount as may be prescribed by the State Comptroller. Such bonds shall be filed in the office of the Secretary of State. At all times thereafter the members and treasurer of the corporation shall maintain such bonds in full force and effect. All costs of such bonds shall be borne by the corporation.
f. The members of the corporation shall serve without compensation, but the corporation shall reimburse its members for actual expenses necessarily incurred in the discharge of their duties. Notwithstanding the provisions of any other laws, no officer or employee of the State shall be deemed to have forfeited or shall forfeit his or her office or employment or any benefits or emoluments thereof by reason of his or her acceptance of the office of ex officio member or officer of the corporation or his or her services therein.
g. Each ex officio member of the corporation may designate an officer or employee of his or her department to represent him or her at meetings of the corporation, and each such designee may lawfully vote and otherwise act on behalf of the member for whom he or she constitutes the designee. Any such designation shall be in writing delivered to the secretary of the corporation and shall continue in effect until revoked or amended by writing delivered to the secretary of the corporation.
h. The corporation may be dissolved by act of the Legislature on condition that the corporation has no debts or obligations outstanding or that provision has been made for the payment or retirement of such debts or obligations. Upon any such dissolution of the corporation, all property, funds and assets thereof shall be vested in the State.
i. The corporation shall cause an audit of its books and accounts to be made at least once in each year by certified public accountants and cause a copy thereof to be filed with the Secretary of State and the State Comptroller.
j. No member, officer, employee or agent of the corporation shall have an interest, either directly or indirectly, in any business organization engaged in any business, contract or transaction with the corporation or in any contract of any other person engaged in any business with the corporation, or in the purchase, sale, lease or transfer of any property to or from the corporation.
##### **§ 52:18B-4** Definitions relative to the Tobacco Settlement Financing Corporation. {#sec-52-18b-4 omnilex-key=us-nj-statutes--title-52--52:18B-4}
4. As used in this act, unless the context clearly requires a different meaning:
"Ancillary facility" means any revolving credit agreement, agreement establishing a line of credit or letter of credit, reimbursement agreement, interest rate exchange or similar agreement, currency exchange agreement, interest rate floor or cap, options, puts or calls to hedge payment, currency, rate, spread or similar exposure, or similar agreements, float agreements, forward agreements, insurance contract, surety bond, commitment to purchase or sell securities, purchase or sale agreement, or commitments or other contracts or agreements and other security agreements approved by the corporation, including without limitation any arrangement referred to in subsection j., k., l. or m. of section 6 of this act;
"Benefitted parties" means person, firms or corporations that enter into ancillary facilities with the corporation according to the provisions of this act;
"Code" means the United States Internal Revenue Code of 1986, as amended, and any successor provision of law;
"Costs of issuance" means any item of expense directly or indirectly payable or reimbursable by the corporation and related to the authorization, sale or issuance of securities, including without limitation underwriting fees, and fees and expenses of consultants and fiduciaries;
"Corporation" means the Tobacco Settlement Financing Corporation established by section 3 of this act;
"Encumbered tobacco revenues" means that portion of the TSRs that is pledged by the corporation to the repayment of any securities pursuant to the terms of the applicable corporation resolution, trust agreement or trust indenture;
"Financing costs" means all capitalized interest, operating and debt service reserves, costs of issuance, fees for credit and liquidity enhancements and other costs as the corporation determines to be desirable in issuing, securing and marketing the securities;
"Interest rate exchange or similar agreement" means a written contract with a counterparty to provide for an exchange of payments based upon fixed and/or variable interest rates;
"Master settlement agreement" means the master settlement agreement, dated November 23, 1998, among the attorneys general of 46 states, including the State, the District of Columbia, the Commonwealth of Puerto Rico, Guam, the United States Virgin Islands, American Samoa and the Territory of the Northern Mariana Islands, on the one hand, and certain tobacco manufacturers, on the other hand;
"Net proceeds" means the amount of proceeds remaining following each sale of securities which are not required by the corporation to establish and fund reserve or escrow funds or termination or settlement payments under ancillary facilities and to provide the financing costs and other expenses and fees directly related to the authorization and issuance of securities;
"Operating expenses" means the reasonable operating expenses of the corporation, including without limitation the cost of preparation of accounting and other reports, costs of maintenance of the ratings on the securities, insurance premiums and costs of annual meetings or other required activities of the corporation, and fees and expenses incurred for consultants and fiduciaries;
"Outstanding" means, when used with respect to securities, all securities other than securities that shall have been paid in full at maturity or that may be deemed not outstanding pursuant to the applicable corporation resolution, trust indenture or trust agreement authorizing the issuance of such securities and when used with respect to ancillary facilities, all ancillary facilities other than ancillary facilities that have been paid in full or that may be deemed not outstanding under such ancillary facilities;
"Qualifying statute" means "qualifying statute" as defined in the master settlement agreement; currently P.L.1999, c.148 (C.52:4D-1 et seq.);
"Residual interests" means: the unencumbered tobacco revenues; the net proceeds not previously paid to the State; the income of the corporation that is in excess of the corporation's requirements to pay its operating expenses, debt service, sinking fund requirements, reserve fund or escrow fund requirements and any other contractual obligations to the owners of the securities or benefitted parties, or that may be incurred in connection with the issuance of the securities or the execution of ancillary facilities; and such contractual rights, if any, as shall be provided to the State in accordance with the terms of any sale agreements;
"Sale agreement" means any agreement authorized pursuant to section 5 of this act in which the State provides for the sale of TSRs to the corporation;
"Securities" means any securities, including without limitation any bonds, notes and other evidence of indebtedness, issued by the corporation pursuant to section 7 of this act;
"State" means the State of New Jersey;
"State representative" means the State acting by and through the State Treasurer;
"State's tobacco receipts" means a) all tobacco settlement payments that are received by the State that are required to be made, pursuant to the terms of the master settlement agreement, by tobacco manufacturers to the State, and b) the State's rights to receive such tobacco settlement payments;
"TSRs" means the portion (which may include any or all) of the State's tobacco receipts sold to the corporation pursuant to this act and any sale agreement; and
"Unencumbered tobacco revenues" means that portion of the TSRs that are not subject to the pledge of the applicable corporate resolution, trust agreement or trust indenture by the corporation to the repayment of any securities issued pursuant to the terms of such applicable corporation resolution, trust agreement or trust indenture.
##### **§ 52:18B-5** Sale, purchase of tobacco receipts. {#sec-52-18b-5 omnilex-key=us-nj-statutes--title-52--52:18B-5}
5. a. The State representative may sell to the corporation, and the corporation may purchase, for cash or other consideration and in one or more installments, all or a portion of the State's tobacco receipts pursuant to the terms of one or more sale agreements. Any such sale agreement shall provide, among other matters, that the purchase price payable by the corporation to the State for such TSRs shall consist of the net proceeds and the residual interests, if any. Any such sale shall be pursuant to one or more sale agreements that may contain such terms and conditions deemed appropriate by the State representative to carry out and effectuate the purposes of this section, including without limitation covenants binding the State in favor of the corporation and its assignees, including without limitation the owners of its securities and benefitted parties, such as a requirement that the State enforce the provisions of the master settlement agreement that require payment of the TSRs, a requirement that the State enforce the provisions of the qualifying statute, a provision authorizing inclusion of the State's pledge and agreement, as set forth in section 10 of this act, in any agreement with owners of the securities or any benefitted parties, and covenants with respect to the application and use of the proceeds of the sale of the State's tobacco receipts to preserve the tax-exemption of the interest on any securities, if issued as tax-exempt. The State representative in any sale agreement may agree to, and the corporation may provide for, the assignment of the corporation's right, title and interest under such sale agreement for the benefit and security of the owners of securities and benefitted parties.
b. Any sale of TSRs to the corporation pursuant to a sale agreement shall be treated as a true sale and absolute transfer of the property so transferred and not as a pledge or other security interest for any borrowing. The characterization of such a sale as an absolute transfer by the participants shall not be negated or adversely affected by the fact that only a portion of the State's tobacco receipts is transferred, nor by the acquisition or retention by the State of a residual interest, nor by the participation by any State official as a member or officer of the corporation, nor by the commingling of amounts arising with respect to the TSRs with other amounts, nor by whether the State is responsible for collecting the TSRs or otherwise enforcing the master settlement agreement or retains legal title to such portion of the State's tobacco receipts for the purposes of these collection activities, nor by any characterization of the corporation or its obligations for purposes of accounting, taxation or securities regulation, nor by any other factor whatsoever.
c. On and after the effective date of each sale of TSRs, the State shall have no right, title or interest in or to the TSRs sold, and the TSRs so sold shall be property of the corporation and not of the State, and shall be owned, received, held and disbursed by the corporation and not the State. On or before the effective date of any such sale, the State through the Attorney General shall notify the escrow agent under the master settlement agreement that such TSRs have been sold to the corporation and irrevocably instruct such escrow agent that, subsequent to such date, such TSRs are to be paid directly to the corporation or the trustee under the applicable corporation resolution, trust agreement or trust indenture for the benefit of the owners of the securities and benefitted parties until such securities and ancillary facilities are no longer outstanding. Thereafter, any officer or agent of the State who shall receive any such TSRs shall hold the same in trust for the corporation or such trustee, as applicable, and shall promptly remit the same to the corporation or such trustee, as applicable.
d. The net proceeds and any earnings thereon shall never be pledged to, nor made available for, payment of the securities or ancillary facilities or any interest or redemption price thereon or any other debt or obligation of the corporation. The net proceeds, any earnings thereon and any residual interests shall be applied, transferred, or paid to, and upon the order of, the State, as directed by the State representative, and shall be used by the State for any bona fide governmental purposes as determined by the State, including without limitation for capital expenditures, debt service on outstanding bonds of the State, working capital expenditures or operating deficit needs of the State, endowments, or grants or aid to political subdivisions, including without limitation school districts, of the State. Pending such direction by the State representative, the corporation shall invest such moneys such that funds will be available at such times as the State representative shall deem necessary for the expenditure thereof. The State is authorized and may arrange for the availability of the net proceeds and residual interests from the corporation on such terms and conditions as the State representative deems appropriate and may include in the sale agreement provisions for interfund transactions with respect thereto between the State and the corporation. Notwithstanding any provisions of this subsection, the corporation shall not pay to the State during State fiscal year 2003 funds from any net proceeds, earnings thereon or residual interests in excess of the amount appropriated from such funds pursuant to the State annual appropriation act for State fiscal year 2003.
##### **§ 52:18B-6** Powers of corporation. {#sec-52-18b-6 omnilex-key=us-nj-statutes--title-52--52:18B-6}
6. The corporation also shall have the power to:
a. sue and be sued;
b. have a seal and alter the same at its pleasure;
c. make and alter bylaws for its organization and internal management and make rules and regulations governing the use of its property and facilities;
d. make and execute contracts including without limitation sale agreements, trust agreements, trust indentures, bond purchase agreements, tax regulatory agreements, continuing disclosure agreements, ancillary facilities and all other instruments necessary or convenient for the exercise of its powers and functions, and commence any action to protect or enforce any right conferred upon it by any law, contract or other agreement;
e. engage the services of financial advisors and experts, placement agents, underwriters, appraisers and such other advisors, consultants and fiduciaries as may be necessary to effectuate the purposes of this act;
f. pay its operating expenses and financing costs;
g. borrow money in its name and issue negotiable securities and provide for the rights of the owners thereof;
h. procure insurance against any loss in connection with its activities, properties and assets in such amount and from such insurers as it deems desirable;
i. invest any funds or other moneys under its custody and control in investments and securities that are legal investments under the laws of the State for funds of the State and, notwithstanding any law to the contrary, in any ancillary facility, in obligations the interest on which is exempt from federal income taxation under the code and in shares or participation interests in funds or trusts that invest solely in such obligations;
j. as security for the payment of the principal of and interest on any securities and for its obligations under any ancillary facility, pledge all or any part of the TSRs or other assets;
k. procure insurance, letters of credit or other credit enhancement with respect to any securities for the payment of tenders of securities, or for the payment upon maturity of short-term securities;
l. (1) enter into any ancillary facility with any person under such terms and conditions as the corporation, with the approval of the State Treasurer, may determine;
(2) procure insurance, letters of credit or other credit enhancement with respect to any ancillary facility;
(3) provide security for the payment or performance of its obligations with respect to any ancillary facility from such sources and with the same effect as is authorized by this act with respect to security for securities; and
(4) modify, amend or replace any existing, or enter into a new, ancillary facility; and
m. do any and all things necessary or convenient to carry out its purposes and exercise the powers expressly given and granted in this act.
##### **§ 52:18B-7** Issuance of securities by corporation. {#sec-52-18b-7 omnilex-key=us-nj-statutes--title-52--52:18B-7}
7. a. (1) The corporation shall have power and is hereby authorized from time to time to issue securities in such principal amount or amounts as the corporation shall determine to be necessary to provide sufficient funds for achieving its authorized purposes, consisting of the purchase of all or a portion of the State's tobacco receipts pursuant to section 5 of this act and the payment of or provision for financing costs.
(2) The issuance of securities shall be authorized by a corporation resolution. No corporation resolution authorizing the issuance of securities (including securities issued to refund securities) pursuant to this act shall be adopted or otherwise made effective without the approval in writing of the State Treasurer. Securities (including securities issued to refund securities) may be issued without obtaining the consent of any department, division, commission, board, bureau or agency of the State, other than the approval as required by this subsection, and without any other proceedings or the occurrence of any other conditions or other things other than those proceedings, conditions or things which are specifically required by this act. Every issue of securities shall be special revenue obligations payable from and secured by a pledge of encumbered tobacco revenues and other assets, including without limitation those proceeds of such securities deposited in a reserve fund for the benefit of the owners of the securities, earnings on funds of the corporation and such other funds as may become available, upon such terms and conditions as approved by the State Treasurer and as specified by the corporation in the corporation resolution pursuant to which the securities are issued or in a related trust agreement or trust indenture.
(3) The corporation shall issue securities to refund any securities by the issuance of new securities, whenever it deems such refunding expedient, whether the securities to be refunded have or have not matured, and to issue securities partly to refund securities then outstanding and partly for any of its other authorized purposes. The refunding securities may be exchanged for the securities to be refunded or sold and the proceeds applied to the purchase, redemption or payment of such securities.
b. Each issue of securities shall be dated, shall bear interest (which, under the code, may be includable in or excludable from the gross income of the owners for federal income tax purposes) at such fixed or variable rates, payable at or prior to maturity, and shall mature at such time or times, as may be determined by the corporation and may be made redeemable before maturity, at the option of the corporation, at such price or prices and under such terms and conditions as may be fixed by the corporation. The principal and interest of such securities may be made payable in any lawful medium. The corporation shall determine the form of the securities, either coupon, registered or book-entry form, and the manner of execution of the securities and shall fix the denomination or denominations of the securities and the place or places of payment of principal and interest thereof, which may be at any bank or trust company within or without the State. If any officer whose signature or a facsimile thereof appears on any securities or coupons shall cease to be such officer before the delivery of such securities, such signature or facsimile shall nevertheless be valid and sufficient for all purposes as if he or she had remained in office until such delivery. The securities may be issued in coupon or in registered form or both, as the corporation may determine, and provisions may be made for the registration of any coupon securities as to principal alone and as to both principal and interest and for the reconversion of any securities registered as to both principal and interest into coupon securities. The corporation may also provide for temporary securities and for the replacement of any security that shall become mutilated or shall be destroyed or lost.
c. The corporation with the approval of the State Treasurer may sell such securities in such manner, either at public or private sale and on either a competitive or negotiated basis. The proceeds of such securities shall be disbursed for the purposes for which such securities were issued as the act, the sale agreement and the corporation resolution authorizing the issuance of such securities or the related trust agreement or trust indenture may provide.
d. Any pledge made by the corporation shall be valid and binding at the time the pledge is made. The revenues, reserves or earnings so pledged or earnings on the investment thereof shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act and the lien of any such pledge shall be valid and binding as against all parties having claims of any kind in tort, contract or otherwise against the corporation, irrespective of whether such parties have notice thereof. Notwithstanding any other provision of law to the contrary, neither the corporation resolution nor any trust agreement or trust indenture or other instrument by which a pledge is created or by which the corporation's interest in encumbered tobacco revenues, reserves or earnings thereon is assigned need be filed or recorded in any public records in order to protect the pledge thereof or perfect the lien thereof as against third parties, except that a copy thereof shall be filed in the records of the corporation.
e. Notwithstanding the provisions of any other law to the contrary, any securities issued pursuant to this act shall be fully negotiable within the meaning and for all purposes of Title 12A of the New Jersey Statutes, and each owner of such a security or other obligation, or of any coupon appurtenant thereto, by accepting the security or coupon shall be conclusively deemed to have agreed that the security or coupon is and shall be fully negotiable within the meaning and for all purposes of Title 12A.
f. In the discretion of the corporation, any securities and any ancillary facilities may be secured by a trust agreement or trust indenture by and between the corporation and the trustee thereunder, which may be any trust company or bank having the powers of a trust company, whether located within or without the State. Such trust agreement or trust indenture or corporation resolution providing for the issuance of such securities may provide for the creation and maintenance of such reserves as the corporation shall determine to be proper and may include covenants setting forth the duties of the corporation in relation to the securities, the ancillary facilities, the income to the corporation, the sale agreement, the encumbered tobacco revenues and residual interests. Such trust agreement or trust indenture or corporation resolution may contain provisions respecting the custody, safeguarding and application of all moneys and securities and may contain such provisions for protecting and enforcing the rights and remedies (pursuant thereto and to the sale agreement) of the owners of the securities and benefitted parties as may be reasonable and proper and not in violation of law. It shall be lawful for any bank or trust company incorporated under the laws of the State which may act as depository of the proceeds of securities or of any other funds or obligations received on behalf of the corporation to furnish such indemnifying bonds or to pledge such obligations as may be required by the corporation. Any such trust agreement or trust indenture or corporation resolution may contain such other provisions as the corporation may deem reasonable and proper for priorities and subordination among the owners of the securities and benefitted parties.
g. The corporation may enter into, amend or terminate, as it determines to be necessary or appropriate, any ancillary facilities (1) to facilitate the issuance, sale, resale, purchase, repurchase or payment of securities or the making or performance of swap contracts, including without limitation bond insurance, letters of credit and liquidity facilities or (2) to attempt to hedge risk or achieve a desirable effective interest rate or cash flow. The determination of the corporation that an ancillary facility or the amendment or termination thereof is necessary or appropriate as aforesaid shall be conclusive. Such ancillary facility shall be made upon the terms and conditions established by the corporation, including without limitation provisions as to security, default, termination, payment, remedy and consent to service of process.
h. The corporation may enter into, amend or terminate any ancillary facility as it determines to be necessary or appropriate to place the obligations or investments of the corporation, as represented by the securities or the investment of their proceeds, in whole or in part, on the interest rate, cash flow or other basis desired by the corporation, which facility may include without limitation contracts commonly known as interest rate swap agreements, and futures or contracts providing for payments based on levels of, or changes in, interest rates. These contracts or arrangements may be entered into by the corporation in connection with, or incidental to, entering into, or maintaining any (1) agreement which secures securities of the corporation or (2) investment, or contract providing for investments, of reserves or similar facility guaranteeing an investment rate for a period of years. The determination by the corporation that an ancillary facility or the amendment or termination thereof is necessary or appropriate as aforesaid shall be conclusive. Any ancillary facility may contain such payment, security, default, remedy, termination provisions and payments and other terms and conditions as determined by the corporation, after giving due consideration to the creditworthiness of the counterparty or other obligated party, including without limitation any rating by any nationally recognized rating agency, and any other criteria as may be appropriate.
i. Securities and ancillary facilities may contain a recital that they are issued pursuant to this act, which recital shall be conclusive evidence of their validity, the validity of any ancillary facility and the regularity of the proceedings relating thereto.
j. Neither the members of the corporation nor any other person executing the securities or an ancillary facility shall be subject to any personal liability or accountability by reason of the issuance or execution and delivery thereof.
##### **§ 52:18B-8** Issuance of securities, execution of ancillary facility not an obligation of State. {#sec-52-18b-8 omnilex-key=us-nj-statutes--title-52--52:18B-8}
8. The issuance of securities and the execution of any ancillary facility under the provisions of this act shall not directly, or indirectly or contingently obligate the State or any political subdivision thereof to pay any amounts to the corporation or owner of securities or benefitted parties or levy or pledge any form of taxation whatsoever therefor. The securities and any ancillary facility shall not be a debt or liability of the State or any agency or instrumentality thereof (other than the corporation as set forth in this act), either legal, moral or otherwise, and nothing contained in this act shall be construed to authorize the corporation to incur any indebtedness on behalf of or in any way to obligate the State or any political subdivision thereof, and the securities and any ancillary facility shall contain on the face thereof or other prominent place thereon in bold typeface a statement to the foregoing effect. No appropriation of any moneys by the State to the corporation is authorized in this act.
##### **§ 52:18B-9** Creation of corporation deemed public benefit; tax exemption provided. {#sec-52-18b-9 omnilex-key=us-nj-statutes--title-52--52:18B-9}
9. a. It is hereby determined that the creation of the corporation and the carrying out of its authorized purposes is in all respects a public and governmental purpose for the benefit of the people of the State and for the improvement of their health, safety, welfare, comfort and security, and that said purposes are public purposes and that the corporation will be performing an essential governmental function in the exercise of the powers conferred upon it by this act.
b. The property of the corporation and its income and operations shall be exempt from taxation.
c. The securities and the interest thereon and the income derived from all funds, revenues, incomes and other moneys received for or to be received by the corporation shall be exempt from all taxes levied pursuant to the provisions of Title 54 of the Revised Statutes or Title 54A of the New Jersey Statutes, except for transfer inheritance and estate taxes levied pursuant to Subtitle 5 of Title 54 of the Revised Statutes.
d. In the case of any securities, the interest on which is intended to be exempt from federal income tax, the corporation shall prescribe restrictions on the use of the proceeds thereof and related matters as are necessary to assure such exemption, and the recipients of such proceeds shall be bound thereby to the extent such restrictions shall be made applicable to them. Any such recipient, including without limitation the State or any political subdivision of the State, is authorized to execute a tax regulatory agreement with the corporation (and, as to any such political subdivision, the State) and the execution of such an agreement may be treated as a condition to receiving any such proceeds.
##### **§ 52:18B-10** Pledge, agreement between State and corporation. {#sec-52-18b-10 omnilex-key=us-nj-statutes--title-52--52:18B-10}
10. a. The State hereby pledges and agrees with the corporation, and the owners of the securities and benefitted parties, that until all securities and ancillary facilities, together with the interest thereon and all costs and expenses in connection with any action or proceedings by or on behalf of owners of securities or benefitted parties, are fully paid and discharged the State will (1) irrevocably direct through the Attorney General the escrow agent under the master settlement agreement to transfer directly to the corporation or its assignee the TSRs, (2) enforce the corporation's rights to receive the TSRs to the full extent permitted by the terms of the master settlement agreement, (3) not amend the master settlement agreement in any manner that would materially impair the rights of the owners of the securities or of the benefitted parties, (4) not limit or alter the rights of the corporation to fulfill the terms of its agreements with such owners or benefitted parties, (5) not in any way impair the rights and remedies of such owners or benefitted parties or the security for such securities or ancillary facilities (provided, that nothing herein shall be construed to preclude the State's regulation of smoking and taxation and regulation of the sale of cigarettes or the like), (6) not fail to enforce the qualifying statute, and (7) not amend, supersede or repeal the qualifying statute in any way that would materially adversely affect the amount of any payment to, or materially impair the rights of, the corporation, such owners of the securities or the benefitted parties. The State representative is authorized and directed to include this pledge and agreement in sale agreements and the corporation is authorized and directed to include this pledge and agreement in any contract with the owners of the securities and benefitted parties.
b. Prior to the date that is one year and one day after the corporation no longer has any securities or ancillary facilities outstanding, the corporation shall have no authority to file a voluntary petition under chapter 9 of the federal bankruptcy code or such corresponding chapter or sections as may, from time to time, be in effect, and neither any public officer nor any organization, entity or other person shall authorize the corporation to be or become a debtor under chapter 9 or any successor or corresponding chapter or sections during such period. The State hereby covenants with the owners of the securities and benefitted parties that the State will not limit or alter the denial of the corporation under this subsection during the period referred to in the preceding sentence. The corporation is authorized and directed to include this covenant as an agreement of the State in any contract with the owners of the securities and benefitted parties.
##### **§ 52:18B-11** Securities as legal investments. {#sec-52-18b-11 omnilex-key=us-nj-statutes--title-52--52:18B-11}
11. Notwithstanding any restriction contained in any other law, rule, regulation or order to the contrary, the State and all political subdivisions of the State, their officers, boards, commissioners, departments or other agencies, all banks, bankers, trust companies, savings banks and institutions, building and loan associations, saving and loan associations, investment companies and other persons carrying on a banking or investment business, and all executors, administrators, guardians, trustees and other fiduciaries, and all other persons whatsoever who now are or may hereafter be authorized to invest in bonds or other obligations of the State, may properly and legally invest any sinking funds, moneys or other funds, including capital, belonging to them or within their control, in any securities; and said securities are hereby made securities which may properly and legally be deposited with, and received by, any State municipal officers or agency of the State, for any purpose for which the deposit of bonds or other obligations of the State is now, or may hereafter be, authorized by law.
##### **§ 52:18B-12** Immunity from personal liability. {#sec-52-18b-12 omnilex-key=us-nj-statutes--title-52--52:18B-12}
12. Neither any member of the corporation nor any officer, employee or agent of the corporation, while acting within the scope of his or her authority, shall be subject to any personal liability resulting from exercising or carrying out of any of the corporation's purposes or powers.
##### **§ 52:18B-13** Rules, regulations. {#sec-52-18b-13 omnilex-key=us-nj-statutes--title-52--52:18B-13}
13. The corporation may adopt any rules and regulations to effectuate the purposes of this act and, if it does so, shall apply the procedures of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), with respect thereto.
##### **§ 52:18B-14** Liberal construction; severability. {#sec-52-18b-14 omnilex-key=us-nj-statutes--title-52--52:18B-14}
14. This act and all powers granted hereby shall be liberally construed to effectuate its intent and their purposes, without implied limitations thereon. This act shall constitute full and complete authority for all things herein contemplated to be done. All rights and powers herein granted shall be cumulative with those derived from other sources and shall not, except as expressly stated herein, be construed in limitation thereof. Insofar as the provisions of this act are inconsistent with the provisions of any other act, general or special, the provisions of this act shall be controlling. If any clause, sentence, paragraph, section or part of this act be adjudged by any court of competent jurisdiction to be invalid, such judgment shall not affect, impair or invalidate the remainder hereof but shall be applied in its operation to the clause, sentence, paragraph, section or part hereof directly involved in the controversy in which such judgment shall have been rendered.
## **Chapter 19**
##### **§ 52:19-2** Oath; filing. {#sec-52-19-2 omnilex-key=us-nj-statutes--title-52--52:19-2}
The Director of the Division of Budget and Accounting in the Department of the Treasury, before entering upon the duties of his office, shall take an oath before one of the justices of the Supreme Court, that he will well, faithfully and impartially discharge all the duties required of him by law, and that he will not allow any claim, charge or account against the State unless satisfied that the same is justly due. Such oath shall be filed in the office of the Secretary of State.
##### **§ 52:19-5** Seal of comptroller {#sec-52-19-5 omnilex-key=us-nj-statutes--title-52--52:19-5}
The comptroller shall have a seal which shall contain the coat of arms of the state and further the words "comptroller of the treasury, New Jersey" . Such seal shall be affixed to documents and other papers for which the seal shall be required.
##### **§ 52:19-10** General duties of State Treasurer. {#sec-52-19-10 omnilex-key=us-nj-statutes--title-52--52:19-10}
The State Treasurer shall:
a. Superintend the collection of the revenue;
b. Take general charge and supervision of all rights, interest and property of the State;
c. Institute and direct prosecution against delinquent officers of the revenue, and for just claims and debts due to the State; and
d. Draw all warrants on the treasurer in favor of such public officers as receive salaries from the State and for the payment of all moneys directed by law to be paid out of the treasury, and such warrants shall designate the purpose for which they are drawn.
##### **§ 52:19-11** Examination and audit of accounts {#sec-52-19-11 omnilex-key=us-nj-statutes--title-52--52:19-11}
The comptroller shall examine, audit, adjust and settle all accounts due to or presented against the state, and certify the amount adjusted or allowed, to the treasurer for receipt or payment. He shall administer an oath to the person presenting the account, or to any witness presented on behalf of such person, or presented by the comptroller or attorney general on behalf of the state and shall examine such person or witness as to the truth, fairness, correctness and justice of the accounts. He shall keep a record or registry of all accounts so audited, adjusted, allowed and certified, and the time when the same was done.
##### **§ 52:19-12** Comptroller to countersign and register checks and receipts of treasurer; transfer of state funds; loans by treasurer {#sec-52-19-12 omnilex-key=us-nj-statutes--title-52--52:19-12}
The comptroller shall countersign and register all checks and drafts drawn by the treasurer, and all receipts for money paid to the treasurer.
Checks or drafts used only for the transfer of state funds from one depository to another drawn to the order of the "state treasurer, state of New Jersey" , and restrictively indorsed by the treasurer in the following manner: "Transfer of state funds--for deposit only" need not be countersigned by the comptroller.
No receipts shall be evidence of payment unless so countersigned, and no loans shall be made by the treasurer unless with the concurrence of the comptroller.
##### **§ 52:19-13** Drawing in favor of treasurer for moneys due state {#sec-52-19-13 omnilex-key=us-nj-statutes--title-52--52:19-13}
The comptroller shall, when necessary, draw in favor of the treasurer on all persons indebted to the state for moneys due, and on the presidents and directors of all corporations in which the state may own stock, for the dividends on such stock as the same may become due.
##### **§ 52:19-14** Examination of treasurer's bank books; report of irregularities to governor {#sec-52-19-14 omnilex-key=us-nj-statutes--title-52--52:19-14}
On the first Tuesday in March, June, September and December, or oftener if he deems it necessary, the comptroller shall carefully examine the accounts of debts and credits in the bank books kept by the treasurer, and if he discovers any irregularity or deficiency therein, he shall, unless the same is rectified or explained to his satisfaction, forthwith report the same in writing to the governor.
##### **§ 52:19-15** Suit to recover moneys due state {#sec-52-19-15 omnilex-key=us-nj-statutes--title-52--52:19-15}
The comptroller shall cause suit to be instituted in any competent court of this or any other state for the recovery of any moneys due to the state or any of its institutions, departments, commissions or officers. The suit shall be in the name of the "state of New Jersey" as plaintiff.
##### **§ 52:19-36.1** Auditing and preauditing employees; tenure of office {#sec-52-19-36.1 omnilex-key=us-nj-statutes--title-52--52:19-36.1}
All the employees of the Comptroller of the Treasury employed in the work of auditing or preauditing, who shall have been so employed at least three years immediately prior to the taking effect of this act, shall continue to hold their employments and shall not be removed therefrom except for good cause shown after a fair and impartial trial, but shall hold their employments during good behavior, and shall not be removed for political reasons.
##### **§ 52:19-36.2** Comptroller's authority to appoint and employ persons not affected {#sec-52-19-36.2 omnilex-key=us-nj-statutes--title-52--52:19-36.2}
Nothing herein contained shall alter, vary, limit or abridge the power and authority of the Comptroller of the Treasury to hereafter appoint fit persons or employees in the work of auditing and preauditing, and the power of the Comptroller of the Treasury to appoint and employ persons in his department shall remain as heretofore.
## **Chapter 20**
##### **§ 52:20-1** State House Commission, composition, compensation, terms. {#sec-52-20-1 omnilex-key=us-nj-statutes--title-52--52:20-1}
The State House Commission shall consist of the Governor, who shall be the presiding officer, the State Treasurer, and the Director of the Division of Budget and Accounting in the Department of the Treasury or their designees, or the persons upon whom shall devolve by law the powers, duties and emoluments of said offices respectively, for the time being, and 2 members of the Senate appointed by the President thereof and 2 members of the General Assembly appointed by the Speaker thereof, no more than one of either group of 2 being of the same political party or their alternates. Each alternate for an appointed member shall also be a member of the Senate or General Assembly appointed by the President or Speaker, as appropriate, and shall have full voting powers when required to attend Commission meetings. The members of the commission shall serve without pay in connection with all such duties as are prescribed in this chapter. The appointed members of the commission shall serve as members thereof for terms co-extensive with their respective terms as members of the Houses of the Legislature from which they were appointed.
##### **§ 52:20-2** Secretary {#sec-52-20-2 omnilex-key=us-nj-statutes--title-52--52:20-2}
The commission may employ a secretary and define and fix his duties.
##### **§ 52:20-4** Meetings of commission, copies of minutes {#sec-52-20-4 omnilex-key=us-nj-statutes--title-52--52:20-4}
R.S.52:20-4. All meetings of the commission shall be open to the public and all the business of the commission shall be transacted at public meetings held in the State House at such time and place as the commission shall prescribe. The commission shall meet at least once every three calendar months, but may meet more frequently at such times as determined by the chairperson of the commission.
The secretary shall transmit to each member of the commission a copy of the minutes of each meeting within twenty-four hours after the adjournment thereof. The minutes of the commission shall be open to inspection by any citizen of the State at all times during business hours.
##### **§ 52:20-5** Rules {#sec-52-20-5 omnilex-key=us-nj-statutes--title-52--52:20-5}
The commission shall formulate and adopt rules of procedure for the government of the commission in exercising its powers and fulfilling its duties under this chapter.
##### **§ 52:20-6** Number of members necessary to act {#sec-52-20-6 omnilex-key=us-nj-statutes--title-52--52:20-6}
The concurrence of five of the members of the commission shall be necessary to the validity of all acts of the commission except allotments from the emergency fund which shall require unanimous consent.
##### **§ 52:20-7** Commission to have custody of State-owned buildings; exception {#sec-52-20-7 omnilex-key=us-nj-statutes--title-52--52:20-7}
The commission shall have custody of all buildings owned by the State, including the State barracks, except buildings under the custody of the State Capitol Joint Management Commission, which are used by the departments, agencies and officials of the State in connection with the conduct of the State's business, and shall lease from time to time such office space as may be required for the conduct of the State's business at such terms and under such conditions as it may deem appropriate.
##### **§ 52:20-13** Acquisition of property in Trenton {#sec-52-20-13 omnilex-key=us-nj-statutes--title-52--52:20-13}
The commission may acquire any property by gift, grant, purchase, condemnation or in any other lawful manner in the name of and for the use of the state, for the purpose of the administration of the state's business in the city of Trenton, in accordance with appropriations made therefor when moneys are required for the purchase.
##### **§ 52:20-14** Construction and alteration of buildings; submission to legislature {#sec-52-20-14 omnilex-key=us-nj-statutes--title-52--52:20-14}
The commission shall have charge of the erection of new buildings and the substantial alteration or enlargement of existing buildings, used or to be used by the state or any of its departments or agencies for office purposes in the city of Trenton, but shall not incur any debt or obligations therefor until the proposed new building, alteration or enlargement work has been submitted to the legislature with the estimated cost thereof and such other detail as may fully inform the legislature as to the proposed erection, alteration or enlargement, and the improvement is concurred in by both houses of the legislature.
##### **§ 52:20-15** Plans and specifications; appropriations; contracts; architect {#sec-52-20-15 omnilex-key=us-nj-statutes--title-52--52:20-15}
No work shall be done or obligation of the state incurred for the erection of any new building or the alteration, enlargement or improvement of existing buildings unless the work is under definite plans and specifications first submitted to and approved by the commission; and no obligations shall in any manner be created in connection with such improvement until an appropriation for the part of the work to be contracted for in the budget period has been made by the legislature.
In case the appropriation to be made for a project does not contemplate the completion of the entire project, all requests for such appropriations shall set forth a complete description of the whole project, and the estimated and detailed cost thereof, and shall separately state the part of the project which has been completed, if any, the actual cost thereof, and the part remaining to be completed and the estimated cost thereof, and the part proposed to be completed by the appropriation requested, together with the estimated cost of such portion of the work.
All such work shall be by contract authorized and signed by the commission on behalf of the state. The architect shall be selected by the commission and his compensation determined by it under an agreement in writing.
##### **§ 52:20-15.1** Approval of state house commission in connection with certain contracts for capital improvements and transfer of funds in connection therewith {#sec-52-20-15.1 omnilex-key=us-nj-statutes--title-52--52:20-15.1}
The approval of the State House Commission shall be required in connection with any contract for the construction of any building or the alteration, enlargement or improvements of any existing building, in connection with any capital construction to be paid for from the receipts of the sale of any bonds supported by a pledge of the credit of the State and issued pursuant to law:
(a) Before any extra or additional work, in excess of 5% of the total expenditure in the aggregate provided for in such contract, is ordered or contracted for requiring an additional expenditure;
(b) Before any funds for capital construction derived from the sale of any of said bonds shall be transferred from any project to which they have been allocated to any other project.
##### **§ 52:20-17** Annual report to legislature {#sec-52-20-17 omnilex-key=us-nj-statutes--title-52--52:20-17}
The commission shall make an annual detailed report of its actions and operations to the legislature and render such other reports to the legislature as it shall from time to time require.
##### **§ 52:20-18** Additional powers and duties {#sec-52-20-18 omnilex-key=us-nj-statutes--title-52--52:20-18}
The commission shall have such other and further powers and perform such other and further duties as may be conferred or imposed upon it from time to time.
##### **§ 52:20-18.1** Findings, declarations {#sec-52-20-18.1 omnilex-key=us-nj-statutes--title-52--52:20-18.1}
The Legislature finds and declares that approval by the State House Commission is a precondition to the execution of any contract for the alteration, expansion, or improvement of any real property purchased by local government units with funds made available from Green Acres bond revenues; that the commission acts only when completed plans and specifications are submitted to it for review; that because the commission does not meet on a frequent basis, delays in implementing projects awaiting contract approval occur; that many of these contracts concern minor projects that would benefit from expeditious consideration; and that it is in the public interest to provide a mechanism to expedite State review of minor projects associated with real property purchased with Green Acres funds.
##### **§ 52:20-18.2** Subcommittee on Green Acres Properties established {#sec-52-20-18.2 omnilex-key=us-nj-statutes--title-52--52:20-18.2}
The State House Commission shall establish from its membership a Subcommittee on Green Acres Properties. The subcommittee shall constitute an instrumentality of the State exercising public and essential governmental functions, and the exercise by the subcommittee of the powers conferred by this or any other act shall be deemed and held to be an essential governmental function of the State.
##### **§ 52:20-18.3** Subcommittee to meet, provide minutes to State House Commission {#sec-52-20-18.3 omnilex-key=us-nj-statutes--title-52--52:20-18.3}
The subcommittee shall meet at least once every two months to conduct its business. A true copy of the minutes of every meeting of the subcommittee shall be prepared and forthwith delivered to the commission.
##### **§ 52:20-18.4** Commission to determine what projects subcommittee may consider, interim guidelines {#sec-52-20-18.4 omnilex-key=us-nj-statutes--title-52--52:20-18.4}
The commission shall formulate and adopt rules of procedure for the government of the subcommittee in exercising its powers and fulfilling its duties under this act, including a determination of the type of proposed alteration, expansion, or improvement that the subcommittee may consider. Until this determination is made, the subcommittee, on an interim basis, may consider proposals involving expenditures of less than $2,000,000.00 or proposals for exchanges of land parcels of equal value less than 20 acres in size.
##### **§ 52:20-18.5** Powers and duties of subcommittee {#sec-52-20-18.5 omnilex-key=us-nj-statutes--title-52--52:20-18.5}
The subcommittee shall have the following powers and duties:
a. To review proposals submitted for approval in connection with the minor alteration, expansion, exchanges, or improvement of any real property purchased by a local government unit with Green Acres funds and to grant such approval if warranted.
b. To call to its assistance and avail itself of the services of such employees of any State, county, or municipal department, board, commission, or agency as may be required and made available for such purposes.
##### **§ 52:20-18.6** Exercise of powers and duties {#sec-52-20-18.6 omnilex-key=us-nj-statutes--title-52--52:20-18.6}
The subcommittee may exercise its powers and duties on behalf of the commission notwithstanding the provision of R.S.52:20-6.
##### **§ 52:20-19** Referendum laws not affected {#sec-52-20-19 omnilex-key=us-nj-statutes--title-52--52:20-19}
Nothing contained in this chapter shall be construed to affect the power and the duty to execute such laws as have been submitted to the people at a general election and have received the sanction of a majority of all the votes cast for or against it at such election, nor to affect the personnel of the commission as constituted by any such law.
##### **§ 52:20-24** County and municipal war memorials {#sec-52-20-24 omnilex-key=us-nj-statutes--title-52--52:20-24}
L.1924, c. 189, p. 406 (1924 Suppl. s.s. **192-97, **192-98), entitled "An act authorizing the governor, the state treasurer, and the comptroller of the treasury, constituting the state house commission, to convey lands belonging to the state of New Jersey, to any county and municipality thereof, for the purpose of erecting thereon joint war memorials," approved March eleventh, one thousand nine hundred and twenty-four; and L.1925, c. 18, p. 74, entitled "An act authorizing the governor, the state treasurer, and the comptroller of the treasury, constituting the state house commission, to convey lands belonging to the state of New Jersey, to any municipality thereof, for the purpose of erecting thereon a war memorial," approved February twenty-sixth, one thousand nine hundred and twenty-five, saved from repeal. [These acts authorize the state house commission, upon the application of a county or municipality, to convey lands, not exceeding one acre in area, for the purpose of erecting a war memorial on the lands so conveyed.]
## **Chapter 22**
##### **§ 52:22-16.1** Director of the Division of Budget and Accounting authorized to transfer certain monies. {#sec-52-22-16.1 omnilex-key=us-nj-statutes--title-52--52:22-16.1}
1. The Director of the Division of Budget and Accounting in the Department of the Treasury is hereby authorized to transfer by debit and credit, upon request in writing for that purpose by the head of any department or spending agency of the State government, monies appropriated to any such department or spending agency, to enable any such department or spending agency to pay telephone, telegraph, postage and rent charges.
##### **§ 52:22-16.2** Transfer and credit directly to State House Commission. {#sec-52-22-16.2 omnilex-key=us-nj-statutes--title-52--52:22-16.2}
2. Whenever it is necessary so to do, the Director of the Division of Budget and Accounting in the Department of the Treasury is hereby authorized to transfer and make the necessary credit directly to the State House Commission.
## **Chapter 24**
##### **§ 52:24-1** Office of state auditor continued; employees continued {#sec-52-24-1 omnilex-key=us-nj-statutes--title-52--52:24-1}
The office of state auditor, created by an act entitled "An act creating the office of state auditor and defining his powers and duties," approved June twenty-sixth, one thousand nine hundred and thirty-three (L.1933, c. 295, p. 793), is continued.
All employees and persons formerly holding positions in the department of accounting and auditing and assigned to state auditing work, and transferred to the state auditor's department by the above entitled act, shall continue to hold their employment and positions notwithstanding the passage of said act, and the status of each such employee shall be as one continuing in the employment of the state with respect to all his rights and privileges under the civil service of this state or under any pension law or retirement system, or any other law, and each such employee shall retain all such rights and privileges as may be pertinent to his status in the service of the state.
##### **§ 52:24-2** Appointment, qualifications, term and compensation of State Auditor {#sec-52-24-2 omnilex-key=us-nj-statutes--title-52--52:24-2}
The State Auditor shall be appointed by the Senate and General Assembly in joint meetings for a term of 5 years and until his successor shall be appointed and qualify. Any person nominated for appointment to the Office of State Auditor shall be qualified by training and substantial experience in the field of corporate or public fiscal and management operations and affairs. The name and credentials of each applicant or prospective nominee shall be submitted to the Chairman of the Legislative Service Commission who shall cause the same to be received, considered and reviewed by the members of the commission in accordance with procedures established by it. The names of applicants and prospective nominees found to be qualified shall be reported to the President of the Senate and the Speaker of the General Assembly for appropriate communication to the members of the Senate and General Assembly at or before the convening of a joint meeting for the appointment of a State Auditor.
The State Auditor shall devote his entire time to the duties of his office and shall receive annual compensation as shall, from time to time, be fixed by law, which shall be paid out of the State Treasury as other officers are paid.
##### **§ 52:24-3** Personnel {#sec-52-24-3 omnilex-key=us-nj-statutes--title-52--52:24-3}
The State Auditor shall be in the Office of Legislative Services, and subject to the approval or as authorized by the Legislative Services Commission and with the approval of the Executive Director of the Office of Legislative Services as to the existence of the positions and availability of funds therefor, shall appoint such necessary professional and other employees as shall be required to administer and perform the constitutional and statutory duties of his office.
##### **§ 52:24-4** Duties, responsibilities of State Auditor. {#sec-52-24-4 omnilex-key=us-nj-statutes--title-52--52:24-4}
It shall be the duty of the State Auditor to conduct post-audits of all transactions and accounts kept by or for all departments, offices and agencies of the State Government, to report to the Legislature or to any committee thereof and to the Governor, and to the Executive Director of the Office of Legislative Services, as provided by this chapter and as shall be required by law, and to perform such other similar or related duties as shall, from time to time, be required by law.
The State Auditor shall personally or by any duly authorized assistants, or by contract with independent public accountant firms, examine and post-audit all the accounts, reports and statements and make independent verifications of all assets, liabilities, revenues and expenditures of the State, its departments, institutions, boards, commissions, officers, and any and all other State agencies, now in existence or hereafter created, hereinafter in this chapter called "accounting agencies."
The State Auditor shall conduct, at the direction of the Legislative Services Commission or of the presiding officer of either house of the Legislature or on the State Auditor's own initiative, a performance review audit of any program of any accounting agency, any independent authority, or any public entity or grantee that receives State funds, in a manner that is consistent with the Government Auditing Standards for performance audits utilized by the United States Government Accountability Office or its successor.
When the State Auditor conducts any audit or performance review audit, the accounting agency, or authority, entity or grantee, shall respond in writing to each item in the State Auditor's report and the State Auditor, at an appropriate time determined by the State Auditor, shall conduct a post-audit review of the accounting agency's, or authority's, entity's, or grantee's, compliance with the State Auditor's recommendations.
The officers and employees of each accounting agency, or authority, entity, or grantee, shall assist the State Auditor, when and as required by the State Auditor, and provide the State Auditor with prompt access to all records necessary for the State Auditor to perform the duties of the State Auditor, notwithstanding any statutory or regulatory requirements of confidentiality with regard to the records, for the purpose of carrying out the provisions of this chapter. The State Auditor shall report the failure of any accounting agency, or authority, entity, or grantee, to provide prompt access to any relevant record to the presiding officer of each house of the Legislature. The State Auditor shall not disclose a confidential record provided by an accounting agency, or authority, entity, or grantee, except as may be necessary for the State Auditor to fulfill any constitutional or statutory responsibilities. Working papers prepared by the State Auditor shall be confidential and shall not be considered government records under P.L.1963, c.73 (C.47:1A-1 et seq.).
The State Auditor shall conduct audits of the New Jersey Transit Corporation in accordance with the requirements of subsection a. of section 6 of P.L.2018, c.162 (C.27:25-5.24).
Notwithstanding any law to the contrary, post-audits and performance review audits shall be conducted within the limits of the resources and personnel available to the State Auditor. If resources and personnel are insufficient to conduct all such required post-audits and performance review audits, the State Auditor may prioritize certain audits and forgo others upon notice to the Governor and the presiding officer of each house of the Legislature.
amended 1948, c.29, s.2; 1971, c.211, s.14; 2006, c.82, s.1; 2018, c.162, s.11.
52:24.4.1 Annual audit of "Hazardous Discharge Fund," "Hazardous Discharge Site Cleanup Fund."
1. The State Auditor shall conduct an annual financial and operational audit of the "Hazardous Discharge Fund" created pursuant to the "Hazardous Discharge Bond Act," P.L.1981, c.275 and the "Hazardous Discharge Site Cleanup Fund" established pursuant to section 1 of P.L.1985, c.247 (C.58:10-23.34). This audit, together with any recommendations on practices or procedures to promote or guarantee the fiscal integrity of the "Hazardous Discharge Fund" and the "Hazardous Discharge Site Cleanup Fund" and to improve the effectiveness of fund operations, shall be submitted to the Governor and the Legislature, the Assembly Environmental Quality Committee and the Senate Energy and Environment Committee, or their designated successors. The audit shall be due on or before December 31 of each year.
##### **§ 52:24-4.2** Annual audit of funds. {#sec-52-24-4.2 omnilex-key=us-nj-statutes--title-52--52:24-4.2}
1. The State Auditor shall conduct an annual audit of the funds pursuant to the provisions of chapter 24 of Title 52 of the Revised Statutes. This audit, together with any recommendations on practices or procedures to promote or guarantee the fiscal integrity and improve the operations of the funds, shall be submitted to the Governor and the Legislature, the General Assembly Environmental Quality Committee and the Senate Energy and Environment Committee, or their designated successors. The audit for fiscal year 1981 shall be due within 60 days of the effective date of this act, and each successive annual audit shall be due on or before December 31.
##### **§ 52:24-4.3** Annual audit and report on DEP fees, requirements {#sec-52-24-4.3 omnilex-key=us-nj-statutes--title-52--52:24-4.3}
4. The State Auditor shall, as part of his responsibility under R.S.52:24-4, conduct a post-audit of each account in the Department of Environmental Protection for which fees accrue, and shall issue a special report each year on such fees and fee accounts to the Governor and the Legislature. In conducting the post-audit, the State Auditor shall use the report required to be prepared by the department pursuant to section 2 of this act, and may require the department to supply such additional documents as are necessary and pertinent to the post-audit. Notwithstanding the provisions of any law, rule or regulation to the contrary, the reports shall be due on or before March 1 of 1992 and March 1 of each succeeding year. Each annual report shall include, but not be limited to, the following information and analysis on fees or fee subaccounts, as appropriate, for the previous fiscal year:
a. The extent to which the calculation of each fee conforms to the requirements, if any, of the statute or rule or regulation authorizing or imposing the fee;
b. The extent to which the method of calculating each fee reflects the cost of the regulation, service or other activity for which it is imposed;
c. The extent to which revenues accruing to the department from each fee are expended for the regulation, service or other activity for which it is imposed;
d. Surpluses in each fee account or subaccount, as the case may be, of revenue from fees, expressed both as a dollar amount and as a percentage of the amount imposed and collected during the appropriate fiscal year; and
e. Transfers of funds involving fee revenues during the appropriate fiscal year.
##### **§ 52:24-4.4** Compliance of State entity with recommendation of State Auditor. {#sec-52-24-4.4 omnilex-key=us-nj-statutes--title-52--52:24-4.4}
5. Prior to approving any request of a principal department or accounting agency in the Executive Branch of the State government, the Joint Budget Oversight Committee, or its successor, may require the department or agency to comply with any recommendation of the State Auditor made as the result of any audit or investigation or performance review audit of that department or agency.
##### **§ 52:24-5** Audit of moneys collected for state by county and other officials {#sec-52-24-5 omnilex-key=us-nj-statutes--title-52--52:24-5}
The examination required by section 52:24-4 of this title shall extend, also, to a complete audit and verification of all moneys handled for the account of the state government by all county and other officials who are now or hereafter may be charged with the duty of collecting fees or other moneys for or on behalf of the state. For this purpose the books, papers and documents of all such officials shall be laid open and exposed on demand, to the examination of the state auditor or any of his duly authorized assistants.
##### **§ 52:24-6** Reports to Legislature and Governor. {#sec-52-24-6 omnilex-key=us-nj-statutes--title-52--52:24-6}
The State Auditor shall report in writing to the Legislature or to any committee thereof, when so required, and to the Governor the findings of any special condition disclosed by his audit of the accounts of the State and of each accounting agency.
The State Auditor shall submit a written report that describes the findings of any performance review audit conducted by the State Auditor to the Governor and to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1).
Such report shall be made by him to the Legislature and the Governor as promptly as possible after the conclusion of every audit and investigation made or caused to be made by him or upon the completion of any performance review audit conducted by the State Auditor.
##### **§ 52:24-6.1** Report by State Auditor on unspent account balances. {#sec-52-24-6.1 omnilex-key=us-nj-statutes--title-52--52:24-6.1}
1. No later than the 30th day after the transmittal to the Legislature of the Annual Financial Report of the State of New Jersey for a fiscal year , the State Auditor shall report, in writing, to the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), on the ending fund balances of all State agency accounts for that prior fiscal year. The report shall contain full and substantive analysis, in addition to statistical information, and shall:
(1) identify the amount of unspent funds present in each State agency account;
(2) contain a summary of the total amounts of unspent funds by each State agency, and those amounts unspent by fund type;
(3) contain information and recommendations for addressing the accumulation of those funds in each State agency to avoid waste, mismanagement, inefficiency, or fraud; and
(4) include such other information as the State Auditor may deem advisable.
##### **§ 52:24-7** Report malfeasance, etc., to Governor; Legislature, suspension of offender; hearing; removal. {#sec-52-24-7 omnilex-key=us-nj-statutes--title-52--52:24-7}
The State Auditor shall report, forthwith, to the Governor and the presiding officer of each house of the Legislature any and all instances of malfeasance, misfeasance or nonfeasance which may be disclosed by any audit or investigation of said accounts or by any performance review audit.
Any State officer or employee charged with the custody of State funds whose accounts are found by the State Auditor to be inaccurate shall be automatically suspended from having any further connection with such funds until the audit is completed and the findings reported to the Governor and the presiding officer of each house of the Legislature.
Immediately upon receipt of such report from the State Auditor, the Governor shall fix a time and place for hearing such charges as the State Auditor may bring by giving not less than five days' notice thereof in writing to such officer or head of a department so charged and to the State Auditor.
After due hearing, he shall take such action as may be necessary, in his judgment, including the removal of any officer or head of a department found guilty of such charges or any of them, but if the right of removal in any case is vested exclusively in the Legislature, the Governor may suspend from further duty any such officer or head of a department so charged and shall transmit to the Legislature at the earliest possible date a written report of his findings with his recommendations thereon for consideration and action by the legislature.
##### **§ 52:24-8** Failure or refusal of officer, department head to keep accounts, etc.; procedure. {#sec-52-24-8 omnilex-key=us-nj-statutes--title-52--52:24-8}
If the State Auditor shall find that any officer or head of a department of the State government willfully or negligently fails or refuses to keep or have kept such accounts, render such reports or perform such other duties as may be prescribed or directed by the State Comptroller, or fails or refuses to comply with the provisions of this article, he shall notify such officer or head of a department in writing of such failure and the particulars thereof, and the officer or head of a department shall promptly respond in writing to each specific failure. If such failure should not be explained to the satisfaction of the State Auditor, he shall notify the State Comptroller and the presiding officer of each house of the Legislature of such failure and the State Comptroller shall take such action against such officer or head of a department as he may be authorized to do under any law or laws of this State.
##### **§ 52:24-9** Exclusive use of state auditor's department required; exceptions {#sec-52-24-9 omnilex-key=us-nj-statutes--title-52--52:24-9}
No state department, board, commission or other agency of the state government shall employ auditors for the purpose of auditing the books and accounts of any such department, board, commission or other state agency, but they shall rely entirely on the state auditor for the performance of such duties, unless permission shall be given in writing so to do by both the governor and the state auditor. The provisions of this section are not intended to include counties or municipalities.
##### **§ 52:24-10** Construction and application of article {#sec-52-24-10 omnilex-key=us-nj-statutes--title-52--52:24-10}
This article shall be construed liberally and shall be held to include the auditing of any and every department, board, agency, account or fund held directly or in trust for the state government by any state officer, employee of the state government, or county or municipal officials.
##### **§ 52:24-10.1** Cancellation on records of uncollectible account, note or credit item due Clerk of Superior Court {#sec-52-24-10.1 omnilex-key=us-nj-statutes--title-52--52:24-10.1}
The State Auditor is authorized and empowered, subject to the approval of the Attorney-General, to direct the Clerk of the Superior Court to cancel on the records of the clerk any account, note, or credit item due and payable to the clerk which, upon examination, is determined to be uncollectible, and in any such case the State Auditor shall issue an appropriate order, which shall, when such order is countersigned by the Attorney-General, be sufficient authority to the clerk for such cancellation.
## **Chapter 25**
##### **§ 52:25-1** Definitions {#sec-52-25-1 omnilex-key=us-nj-statutes--title-52--52:25-1}
As used in this chapter: "Department" means the State Purchasing Department.
"Commissioner" means the State Purchase Commissioner.
"Articles" mean and include any and all materials, supplies, furniture, equipment, printing, stationery, live stock and all other chattels, goods, wares and merchandise whatsoever.
"Using agencies" mean and include all institutions, boards, commissioners and officers of the State receiving legislative appropriations, or grants of money from the United States of America or any agency or department thereof.
##### **§ 52:25-2** Construction and repair of buildings, roads and bridges excepted {#sec-52-25-2 omnilex-key=us-nj-statutes--title-52--52:25-2}
Nothing in this chapter contained shall apply to the erection or construction or original equipment of any building or addition thereto or alteration or repair thereof as distinguished from the furnishing or maintenance thereof, nor to the construction or repair of any road or bridge, nor to the performance of any like work.
##### **§ 52:25-3** Products of institutional labor excepted {#sec-52-25-3 omnilex-key=us-nj-statutes--title-52--52:25-3}
Nothing contained in this chapter shall be construed to alter, amend or repeal any provision of any law of this state relating to the purchase or use of the products of the labor of the inmates of any charitable, reformatory or penal institution of this state.
##### **§ 52:25-4** Laws applicable to expenditure of public moneys to govern {#sec-52-25-4 omnilex-key=us-nj-statutes--title-52--52:25-4}
The commissioner, in the performance of his duties under this chapter, shall be subject to the provisions of all laws of this state applicable to the expenditure of public moneys not inconsistent with this chapter.
##### **§ 52:25-5** Department and employees continued {#sec-52-25-5 omnilex-key=us-nj-statutes--title-52--52:25-5}
The state purchasing department, created and established by an act entitled "An act to establish a state purchasing department," approved April twenty-first, one thousand nine hundred and thirty-one (L.1931, c. 179, p. 401), is continued.
All officers and employees formerly employed by the state house commission or the state purchasing agent and transferred to the state purchasing department by the above entitled act, shall hold the same offices or employments in the state purchasing department so far as may be practicable, and the status of each such employee shall be as one continuing in the employment of the state with respect of all his rights and privileges under the civil service of this state or under any pension law or retirement system, or any other law, and each such employee shall retain all such rights and privileges as may be pertinent to his status in the service of the state.
##### **§ 52:25-6** Exclusive purchasing authority {#sec-52-25-6 omnilex-key=us-nj-statutes--title-52--52:25-6}
The department shall have the exclusive authority and duty to purchase all articles used or needed by the state and its using agencies.
##### **§ 52:25-11** Commissioner to execute chapter; contracts to be in name of state {#sec-52-25-11 omnilex-key=us-nj-statutes--title-52--52:25-11}
The commissioner shall carry into effect and execute the provisions of this chapter. He shall act and execute all contracts in the name of the state.
##### **§ 52:25-12** Custody of documents and records {#sec-52-25-12 omnilex-key=us-nj-statutes--title-52--52:25-12}
The commissioner shall have the charge and custody of all books, contracts, vouchers, requisitions, correspondence, blanks, papers, documents and other records formerly made, kept or maintained by the state house commission or the state purchasing agent pursuant to chapter sixty-eight of the laws of one thousand nine hundred and sixteen and transferred to the commissioner.
##### **§ 52:25-13** Maintenance of storage places {#sec-52-25-13 omnilex-key=us-nj-statutes--title-52--52:25-13}
The commissioner may maintain and operate warehouses, and other storage places, and arrange with vendors for whole or partial deliveries to such warehouses or other storage places or directly to using agencies, as he may deem necessary or expedient.
##### **§ 52:25-14** Reorganizing laboratories, storage places and office divisions {#sec-52-25-14 omnilex-key=us-nj-statutes--title-52--52:25-14}
The commissioner may combine or otherwise reorganize any existing laboratories, warehouses, other storage places and office divisions under his jurisdiction and control, in the department, as he may deem advisable, subject to the approval of the governor.
##### **§ 52:25-16** Proceedings and records open to public {#sec-52-25-16 omnilex-key=us-nj-statutes--title-52--52:25-16}
The proceedings of the commissioner under this chapter shall be open to the citizens of the state and all records, contracts, orders and schedules shall be public records, open to the inspection of any citizen or interested person, at all reasonable hours.
##### **§ 52:25-16.1** Contract provisions relating to any local contracting unit. {#sec-52-25-16.1 omnilex-key=us-nj-statutes--title-52--52:25-16.1}
3. The Director of the Division of Purchase and Property may, at the director's discretion, include, in any such contract or contracts on behalf of the State, a provision for the purchase of such materials, supplies, equipment or services by any local contracting unit from such contractor or contractors. Such purchase may be effectuated either as an outright purchase or by installment, lease or rental, so long as the vendor offers financing at an interest rate that is equal to or lower than the State line of credit. The local contracting unit shall have sole responsibility for any payment due the vendor for any such purchase. All purchases shall be subject to audit and inspection by the local contracting unit for which made. The local contracting unit shall file such reports as the Director of the Division of Purchase and Property may require setting forth the expenditure on such contracts. For the purposes of this section, "local contracting unit" means any public agency subject to the provisions of the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.), the "Public School Contracts Law," N.J.S.18A:18A-1 et seq., the "State College Contracts Law," P.L.1986, c.43 (C.18A:64-52 et seq.), or the "County College Contracts Law," P.L.1982, c.189 (C.18A:64A-25.1 et seq.).
##### **§ 52:25-16.2** Solicitation of bids for volunteer fire department, first aid, rescue squads {#sec-52-25-16.2 omnilex-key=us-nj-statutes--title-52--52:25-16.2}
The director may, on the written request of any political subdivision, volunteer fire department, or volunteer first aid or rescue squad of this State, singly or jointly develop specifications or establish approved brand name lists of commonly used commodities, equipment or services, even though such commodities, equipment or services may not be purchased or used by the State. In these cases, the resulting specifications or approved brand name lists shall be submitted to the political subdivision, volunteer fire department, or volunteer first aid or rescue squad initiating the request for approval. After approval by the parties concerned, the director may, at the request of the applicant political subdivision, volunteer fire department, or volunteer first aid or rescue squad, solicit bids pursuant to P.L.1954, c. 48 (C. 52:34-6 et seq.). After determining the lowest responsible bidder meeting all of the specifications and conditions, the director shall notify the applicant political subdivision, volunteer fire department, or volunteer first aid or rescue squad of the results.
##### **§ 52:25-16.3** List of current contracts {#sec-52-25-16.3 omnilex-key=us-nj-statutes--title-52--52:25-16.3}
The Director of the Division of Purchase and Property shall distribute annually to each county, municipality and school district a list of all current contracts entered into on behalf of the State, setting forth the materials, supplies or equipment included therein and the prices, terms and conditions thereof.
##### **§ 52:25-16.4** Rules and regulations {#sec-52-25-16.4 omnilex-key=us-nj-statutes--title-52--52:25-16.4}
The Director of the Division of Purchase and Property may make such rules and regulations as he may deem necessary to implement and facilitate the making of purchases by counties, municipalities and school districts through contracts entered into by the director.
##### **§ 52:25-16.5** Definitions {#sec-52-25-16.5 omnilex-key=us-nj-statutes--title-52--52:25-16.5}
As used in this act:
a. "Director" means the Director of the Division of Purchase and Property in the Department of the Treasury.
b. "Independent institution of higher education" means a college or university incorporated and located in New Jersey, which by virtue of law or character or license, is a nonprofit educational institution authorized to grant academic degrees and provide a level of education which is equivalent to the education provided by the State's public institutions of higher education as attested by the receipt of and continuation of regional accreditation by the Middle States Association of Colleges and Schools, and which is eligible to receive State aid under the provisions of the Constitution of the United States and the Constitution of the State of New Jersey, but does not include any educational institution dedicated primarily to the education or training of ministers, priests, rabbis or other professional persons in the field of religion.
##### **§ 52:25-16.6** Independent college purchases under State contracts. {#sec-52-25-16.6 omnilex-key=us-nj-statutes--title-52--52:25-16.6}
2. a. An independent institution of higher education may, at the director's discretion, purchase materials, supplies, equipment or services under any contract awarded on behalf of the State by the Director of the Division of Purchase and Property, subject to such rules as the director may establish.
b. The director may establish limitations with respect to materials, supplies, equipment and services available for purchase and impose other appropriate conditions upon purchasing as deemed necessary to protect the State's own purchasing interests.
c. The independent institution of higher education shall file such reports as the Director of the Division of Purchase and Property may require setting forth the expenditures on such contracts.
##### **§ 52:25-16.7** $500 minimum {#sec-52-25-16.7 omnilex-key=us-nj-statutes--title-52--52:25-16.7}
Each purchase made by an independent institution of higher education pursuant to this act shall have a cost of $500.00 or more and the college or university shall accept sole responsibility for the payment of any cost due to the vendor.
##### **§ 52:25-16.8** Distribution of contract data {#sec-52-25-16.8 omnilex-key=us-nj-statutes--title-52--52:25-16.8}
The director shall annually distribute to each independent institution of higher education a list of all current contracts entered into on behalf of the State. The list shall provide information on the materials, supplies or equipment included in the contract and the prices, terms and conditions thereof.
##### **§ 52:25-16.9** Rules, regulations {#sec-52-25-16.9 omnilex-key=us-nj-statutes--title-52--52:25-16.9}
The director shall promulgate rules and regulations pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.) necessary to implement the provisions of this act.
##### **§ 52:25-23** Purchasing authority delegation for amounts under $25,000; under $250,000, certain. {#sec-52-25-23 omnilex-key=us-nj-statutes--title-52--52:25-23}
The Director of the Division of Purchase and Property may, by written order, delegate purchasing authority to the using agencies for purchases or contracts not in excess of $150,000 beginning on the effective date of P.L.2021, c.412, $200,000 beginning on January 1, 2023, and $250,000 beginning on January 1, 2024 and thereafter; except that:
a. Purchases or contracts shall not be divided to circumvent the dollar limit imposed by this section;
b. Prior to issuing purchase orders pursuant to this section, a using agency shall verify the existence of funds for the purchase or contract and shall verify that the article or service to be purchased or contracted for is not available under any of the contracts issued by the Division of Purchase and Property; and
c. Records of all purchases made or contracts negotiated under this section shall be maintained by the using agency and made available for audit by or under the direction of the Director of the Division of Purchase and Property and shall include proper proof that the purchase or contract was made or negotiated competitively, where competition is practicable.
The Director of the Division of Purchase and Property may, by written order, rescind or reduce the level of purchasing authority delegated to any using agency determined by the director to have violated the provisions of the delegated authorization.
d. The director may, by written order, delegate purchasing authority to a specific agency for advertisement of purchases or contracts not in excess of $1,000,000, subject to the requirements set forth in this section;
(1) when the director has determined that such purchases or contracts are for the procurement of goods or services which are unique to the operations of that particular using agency and are not common or similar to goods or services used by other State agencies and, therefore, are not suitable for leveraging with other State agency procurements; or
(2) when a public exigency exists, such as when a public health emergency, pursuant to the "Emergency Health Powers Act," P.L.2005, c.222 (C.26:13-1 et seq.), or a state of emergency, pursuant to P.L.1942, c.251 (C.App.A:9-33 et seq.), has been declared by the Governor and is in effect.
##### **§ 52:25-24.1** Financial statement by bidder; questionnaires {#sec-52-25-24.1 omnilex-key=us-nj-statutes--title-52--52:25-24.1}
The State Purchase Commissioner is hereby authorized, at any time within five days from the opening of bids, to require any bidder to submit to him a financial statement, under oath, in response to a questionnaire, showing not only the financial responsibility of the bidder, but his ability to furnish the material desired, and such other pertinent and material facts as the State Purchase Commissioner may deem desirable. For the purpose of carrying out the provisions of this act the State Purchase Commissioner is hereby authorized to prepare a standard form of questionnaire to be submitted by the bidder. If no response to the questionnaire is received by the State Purchase Commissioner within five days from the time of its mailing by said purchase commissioner, the purchase commissioner may reject the bid of any such bidder and award the bid to the next lowest responsible bidder.
##### **§ 52:25-24.2** Submission of statement required for bidding on public contracts. {#sec-52-25-24.2 omnilex-key=us-nj-statutes--title-52--52:25-24.2}
1. No corporation, partnership, or limited liability company shall be awarded any contract nor shall any agreement be entered into for the performance of any work or the furnishing of any materials or supplies, the cost of which is to be paid with or out of any public funds, by the State, or any county, municipality or school district, or any subsidiary or agency of the State, or of any county, municipality or school district, or by any authority, board, or commission which exercises governmental functions, unless prior to the receipt of the bid or accompanying the bid, of said corporation, said partnership, or said limited liability company there is submitted a statement setting forth the names and addresses of all stockholders in the corporation who own 10 percent or more of its stock, of any class, or of all individual partners in the partnership who own a 10 percent or greater interest therein, or of all members in the limited liability company who own a 10 percent or greater interest therein, as the case may be. If one or more such stockholder or partner or member is itself a corporation or partnership or limited liability company, the stockholders holding 10 percent or more of that corporation's stock, or the individual partners owning 10 percent or greater interest in that partnership, or the members owning 10 percent or greater interest in that limited liability company, as the case may be, shall also be listed. The disclosure shall be continued until names and addresses of every noncorporate stockholder, and individual partner, and member, exceeding the 10 percent ownership criteria established in this act, has been listed.
To comply with this section, a bidder with any direct or indirect parent entity which is publicly traded may submit the name and address of each publicly traded entity and the name and address of each person that holds a 10 percent or greater beneficial interest in the publicly traded entity as of the last annual filing with the federal Securities and Exchange Commission or the foreign equivalent, and, if there is any person that holds a 10 percent or greater beneficial interest, also shall submit links to the websites containing the last annual filings with the federal Securities and Exchange Commission or the foreign equivalent and the relevant page numbers of the filings that contain the information on each person that holds a 10 percent or greater beneficial interest.
##### **§ 52:25-25** Agreements for purchases in form of contracts {#sec-52-25-25 omnilex-key=us-nj-statutes--title-52--52:25-25}
Agreements for purchases may be made in the form of contracts for the furnishing of specific articles at fixed prices, or for the furnishing of articles according to the specifications at a fixed rate with provision for a minimum amount subject to increase at the same rate or for the furnishing of articles according to specifications without a stated minimum or maximum at a rate stated, commonly known as the "price agreement" at the discretion of the commissioner.
##### **§ 52:25-26** All purchases in accordance with chapter {#sec-52-25-26 omnilex-key=us-nj-statutes--title-52--52:25-26}
No articles shall be contracted for or purchased by the state or any using agency except in accordance with the provisions of this chapter.
## **Chapter 27**
##### **§ 52:27-1** Local Government Board to be constituted the "Municipal Finance Commission" {#sec-52-27-1 omnilex-key=us-nj-statutes--title-52--52:27-1}
All the powers and duties formerly exercised and performed by the Municipal Finance Commission and vested in the Local Government Board of the State Department of Local Government by chapter three hundred eighty-five of the laws of one thousand nine hundred and thirty-nine and in the Local Government Board of the Division of Local Government in the State Department of Taxation and Finance by the effect of chapter one hundred twelve of the laws of one thousand nine hundred and forty-four shall continue to be exercised and performed by the Local Government Board of said division, and the said Local Government Board shall be constituted the Municipal Finance Commission, hereinafter, in this chapter, called "Municipal Finance Commission" or "commission."
##### **§ 52:27-2** Action where municipality defaults; judgment; powers and duties of commission {#sec-52-27-2 omnilex-key=us-nj-statutes--title-52--52:27-2}
Whenever it shall be made to appear to the Superior Court in an action brought by or on behalf of the holder of any notes or bonds of any municipality of this State against the municipality, that the municipality has defaulted for over sixty days in the payment of the principal or interest of any of its outstanding notes or bonds held by the plaintiff, the court may proceed in the action in a summary manner or otherwise.
If it shall be established to the satisfaction of the court that the municipality is so in default, it may enter judgment to that effect.
Upon the entry of the judgment, the commission shall have and exercise with respect to such municipality the powers and duties prescribed by this chapter.
##### **§ 52:27-3** Resolution by municipality declaring inability to meet obligations; action in Superior Court; commission to function {#sec-52-27-3 omnilex-key=us-nj-statutes--title-52--52:27-3}
Any municipality may file with the Clerk of the Superior Court a certified copy of a resolution adopted by the governing body of the municipality, reciting in general terms that due to unusual conditions the municipality is not in a position to meet its obligations when due, in spite of the endeavors of its officers, and institute a civil action in the Superior Court, making the Director of the Division of Local Government a defendant and making application that the commission function in the municipality.
The court may proceed in the action in a summary manner or otherwise.
If it shall be established to the satisfaction of the court that the municipality is so unable to meet its obligations, it may enter judgment to that effect.
Upon the entry of the judgment, the commission shall function in such municipality with all the powers and duties conferred by this chapter.
##### **§ 52:27-4** Duration of commission in municipality; subsequent powers of Director of Division of Local Government {#sec-52-27-4 omnilex-key=us-nj-statutes--title-52--52:27-4}
The commission shall continue in force in such municipality, and shall exercise the powers and perform the duties conferred by this chapter until all bonds or notes or other indebtedness of the municipality which has fallen due, and all bonds or notes which will fall due within one year, and the interest thereon, have been paid or funded or refunded, or the payment thereof in cash adequately provided for by a cash reserve, excepting tax anticipation or tax revenue notes or bonds of the current year, at which time its authority under this chapter shall cease.
Thereafter the Director of the Division of Local Government in the State Department of Taxation and Finance shall have the power to continue the employment of the auditor as provided for in section 52:27-6 of this Title, and to exercise the powers of the commission under section 52:27-22 of this Title, until the gross and net debt of such municipality, including notes or bonds issued under this chapter, is within all statutory limits, at which time his authority under this chapter shall cease.
##### **§ 52:27-5** Powers of commission and director to cease upon annulment of order adjudging municipality in default {#sec-52-27-5 omnilex-key=us-nj-statutes--title-52--52:27-5}
Whenever the Superior Court has heretofore made or shall hereafter make an order or judgment annulling, vacating and discharging any order or judgment theretofore made by it pursuant to this chapter adjudging that the municipality has defaulted in the payment of the principal or interest of any of its outstanding notes or bonds, the commission shall cease to continue in force in such municipality and neither the commission nor the said director shall thereafter exercise any powers or perform any duties in and for such municipality pursuant to this chapter, provided that the commission shall have heretofore or hereafter determined by resolution that it is not functioning in said municipality.
##### **§ 52:27-6** Secretary, auditor and other assistants; limitation on expenses {#sec-52-27-6 omnilex-key=us-nj-statutes--title-52--52:27-6}
For the purpose of enabling the commission to carry out this chapter it may appoint a secretary and counsel, employ an auditor and such other assistants, legal, clerical or otherwise, and fix their duties, terms of service and compensation, and incur such other expenses as it may deem necessary, but no expenses (other than expenses directly attributable to the municipality, such as costs of issuing notes or bonds of the municipality and the costs of audit) shall be incurred exceeding ten thousand dollars ($10,000.00) in any one municipal fiscal year for any one municipality without the approval of a judge of the Superior Court.
##### **§ 52:27-7** Duties of secretary {#sec-52-27-7 omnilex-key=us-nj-statutes--title-52--52:27-7}
The secretary shall keep minutes of the transactions and proceedings of the commission and shall be the official reporter of the proceedings of the commission.
##### **§ 52:27-8** Office for auditor; access to books and records {#sec-52-27-8 omnilex-key=us-nj-statutes--title-52--52:27-8}
The auditor employed by the commission shall have an adequate office in the municipal building, if any, and shall have access to all books of account, records, papers and memoranda of such municipality.
##### **§ 52:27-9** Warrants and checks to be countersigned by auditor {#sec-52-27-9 omnilex-key=us-nj-statutes--title-52--52:27-9}
All warrants, checks or other instruments for the withdrawal or transfer of funds of the municipality shall be submitted to such auditor for his countersignature, and no banking institution in which funds of the municipality have heretofore been or shall hereafter be deposited shall honor warrants or checks drawn thereon unless the countersignature of such auditor shall appear on the face of such instruments.
##### **§ 52:27-10** Rules; seal {#sec-52-27-10 omnilex-key=us-nj-statutes--title-52--52:27-10}
The commission may make all needful rules for its government and other proceedings not inconsistent with this chapter, and shall have and adopt a common seal.
##### **§ 52:27-11** Majority may act; hearing; single member may sit {#sec-52-27-11 omnilex-key=us-nj-statutes--title-52--52:27-11}
The act of a majority of the commission shall be deemed the act of the commission. The commission may hold hearings and administer oaths to witnesses. The members of the commission may sit singly for the purpose of holding public hearings.
##### **§ 52:27-12** Subpoenas; failure to obey or refusal to answer questions {#sec-52-27-12 omnilex-key=us-nj-statutes--title-52--52:27-12}
The commission may issue subpoenas, signed by a majority of the commission, to compel attendance of witnesses before it and the production of books, papers and records. Any failure to obey any subpoena so issued or refusal to answer questions propounded by the commission, shall be punishable by the Superior Court in the same manner as a similar failure or refusal would be punishable in a case pending in such court.
##### **§ 52:27-13** Commission may carry out directions not complied with by municipality {#sec-52-27-13 omnilex-key=us-nj-statutes--title-52--52:27-13}
Whenever any direction of the commission authorized under this chapter has not been fully performed or carried out by the officials of the municipality affected, the commission may perform directly, or cause to be performed by its agents, in the name of the municipality, any act so directed by the commission, including the power to execute, sell, issue and deliver any bonds or notes directed to be issued under a resolution certified in accordance with section 52:27-14 of this title.
##### **§ 52:27-13.1** Powers and duties of auditor {#sec-52-27-13.1 omnilex-key=us-nj-statutes--title-52--52:27-13.1}
Whenever, pursuant to this chapter, the commission shall function in any municipality, the auditor appointed by the commission in and for such municipality shall, upon the adoption by the commission of a resolution providing therefor, have with respect to such municipality authority to recommend the tentative annual budget to the governing body thereof and to the commission; to review all contracts prior to their execution and their authorization by the governing body; to make recommendations concerning all capital improvements; to attend all meetings of the governing body with the right to take part in discussions but without the right to vote on any matters; to investigate the affairs of any department, officer, department head, employee, subordinate or assistant of such municipality; and to make recommendations with respect to any or all matters aforesaid both to the governing body and to the commission.
##### **§ 52:27-13.2** Certifying failure of municipal officer or employee to perform duties; removal or suspension; appointment of another {#sec-52-27-13.2 omnilex-key=us-nj-statutes--title-52--52:27-13.2}
Whenever, pursuant to this chapter, the commission shall function in a municipality, it shall have, in addition to the powers granted in sections 52:27-13.1 of this title, the power, and it shall be its duty, to certify by resolution to the governing body and to the officer or employee concerned any failure on the part of such officer or employee of such municipality to perform any duty imposed upon such officer or employee under the provisions of any statute, local ordinance or regulation. Unless prior to the thirtieth day following the date of such certification, the governing body and the commission shall by resolution declare that such officer or employee has satisfactorily undertaken the performance of such duty, the governing body shall by resolution either remove, or suspend, with or without pay, such officer or employee; but nothing herein contained shall be deemed to authorize the removal or suspension hereunder without pay of any elected officer, but such officer may be suspended hereunder with pay for the remainder of his term of office. Upon the removal or suspension hereunder of any officer or employee, it shall be the duty of the governing body, with the concurrence and approval of the commission, to appoint a person or persons satisfactory to the governing body and to the commission to perform the duties of such officer or employee. In the event that no such satisfactory person can be found to perform such duties who is a resident of the municipality, it shall be lawful to appoint a person residing outside of the municipality.
##### **§ 52:27-13.3** Special collectors; appointment {#sec-52-27-13.3 omnilex-key=us-nj-statutes--title-52--52:27-13.3}
Whenever, pursuant to this chapter, the commission shall function in a municipality, it shall have, in addition to the powers granted in sections 52:27-13.1 and 52:27-13.2 of this title, the power by resolution to recommend to the governing body of such municipality the appointment of one or more persons to act as special collectors of delinquent taxes or any other revenues in such municipality. Thereupon it shall be the duty of the governing body, with the concurrence and approval of the commission, to appoint a person or persons satisfactory to the governing body and to the commission to act as such special collector or collectors and to fix his or their compensation, and it shall be lawful so to appoint a person or persons residing outside of the municipality.
##### **§ 52:27-13.4** Application of proceeds of taxes {#sec-52-27-13.4 omnilex-key=us-nj-statutes--title-52--52:27-13.4}
The commission shall have power from time to time by resolution to direct that for such period as may be stated in such resolution the proceeds of any taxes collected, received, or realized in any manner during such period shall be applied equally and ratably to the purposes for which such taxes were levied.
##### **§ 52:27-13.5** Manner of certifying resolution; binding effect {#sec-52-27-13.5 omnilex-key=us-nj-statutes--title-52--52:27-13.5}
Any resolution adopted by the commission pursuant to sections 52:27-13.1 to 52:27-13.4 of this title may be certified to the municipality by the commission in the manner provided in section 52:27-64 of this title, and when so certified the provisions of such resolution shall be binding upon such municipality.
##### **§ 52:27-14** Funding or refunding indebtedness; resolution by commission {#sec-52-27-14 omnilex-key=us-nj-statutes--title-52--52:27-14}
The commission may from time to time prepare and certify to the governing body of any municipality in which the commission is functioning, resolutions providing for the funding or refunding of notes or bonds, or other indebtedness of the municipality, and the interest thereon, which the commission shall have found after public hearing to be outstanding and unpaid and to be due or to become due.
##### **§ 52:27-15** Public hearing on resolution {#sec-52-27-15 omnilex-key=us-nj-statutes--title-52--52:27-15}
Any proposed resolution providing for the issuance of notes or bonds, if such notes or bonds are payable more than one year from the date of issue, shall be so certified only after a public hearing by the commission, but no resolution or amendment thereto determining or altering the form of notes or bonds or providing for their sale, execution or delivery shall require any public hearing before such certification.
##### **§ 52:27-16** Adoption of resolution by municipality {#sec-52-27-16 omnilex-key=us-nj-statutes--title-52--52:27-16}
Such resolution shall, on direction of the commission, be adopted by the proper officials of such municipality in the form certified by the commission.
##### **§ 52:27-17** Other laws not applicable; debt statements as including obligations issued after December 31, 1946 {#sec-52-27-17 omnilex-key=us-nj-statutes--title-52--52:27-17}
Such resolutions and any notes or bonds issued thereunder shall not be subject to the limitations or other provisions of any other law. Notwithstanding the provisions of any other law, no notes or bonds issued after December thirty-first, one thousand nine hundred and forty-six by any municipality pursuant to this chapter shall be included in computing either the gross debt or the net debt of the municipality in any annual debt statement or in any supplemental debt statement filed in connection with the authorization of bonds or notes for other purposes, unless, by provision or recital in such resolution or in such notes or bonds, the faith and credit of such municipality shall have been pledged for the payment of principal of or interest on such notes or bonds.
##### **§ 52:27-18** Publication of resolution; when effective; validity {#sec-52-27-18 omnilex-key=us-nj-statutes--title-52--52:27-18}
Excepting resolutions determining or altering the form of notes or bonds or providing for their sale, execution or delivery, and resolutions amendatory thereof or supplemental thereto, such resolutions shall be published in a newspaper circulating in the municipality and shall take effect immediately upon such publication. Resolutions not required to be published shall take effect immediately upon adoption by the proper officials of such municipality. Thirty days after taking effect all resolutions shall be conclusively presumed to have been duly and regularly adopted by such municipality, and to comply with the provisions of this and every other law, and the validity of any such resolution shall not thereafter be questioned by either a party plaintiff, or a party defendant, except in a suit, action, or proceeding commenced prior to the expiration of such thirty days.
##### **§ 52:27-19** Terms and form of notes or bonds; sale or exchange {#sec-52-27-19 omnilex-key=us-nj-statutes--title-52--52:27-19}
Subject only to the limitations of this chapter, such resolutions supplemental thereto shall determine the terms and the form of notes or bonds to be issued thereunder, and provide for their sale or exchange and their execution and delivery, by such officers of the municipality as shall be therein designated, and it shall be mandatory upon such officers to sell or exchange and execute and deliver such notes or bonds as so determined and provided.
##### **§ 52:27-20** Public or private sale of notes or bonds; prices {#sec-52-27-20 omnilex-key=us-nj-statutes--title-52--52:27-20}
All such notes or bonds shall be sold in such manner as may be determined by resolution approved in writing by the commission, at public or private sale before or after public offering, or in exchange before or after public offering for any notes or bonds, including interest thereon, to be funded or refunded thereby, at such price or prices, computed in the manner or mode of procedure described by "Acme Tables of Bond Value" (published by Financial Publishing Company, Boston, Massachusetts), as will yield to the purchasers or the holders of the notes or bonds or interest thereon surrendered in exchange income at a rate not exceeding six per centum (6%) per annum to the maturity dates of the several notes or bonds so sold on the money paid or the face amount of notes, bonds and interest surrendered therefor. Such notes or bonds of any authorized issue or any authorized maturity may be sold or exchanged as hereinabove provided from time to time and in such blocks as may be deemed advisable.
##### **§ 52:27-21** Presumption of validity of notes and bonds {#sec-52-27-21 omnilex-key=us-nj-statutes--title-52--52:27-21}
Unless a suit, action or proceeding questioning the validity of notes or bonds, purporting to be issued by virtue of any such resolution, be commenced prior to the expiration of the thirty-day period mentioned in section 52:27-18 of this title, any such notes or bonds reciting that they are issued pursuant to this chapter shall, after their issuance and delivery, if no suit relating thereto is then pending, be conclusively presumed to be fully authorized by all the laws of this state and to have been issued, sold, executed and delivered by the municipality in conformity therewith, and shall not be questioned by the municipality or any taxpayer thereof in any court, anything herein or in other statutes to the contrary notwithstanding.
##### **§ 52:27-22** Consent of commission to municipality issuing notes or bonds; limitations on municipal expenditures; claims certified {#sec-52-27-22 omnilex-key=us-nj-statutes--title-52--52:27-22}
In order to conserve the financial resources of the municipality, its governing body, without the assent in writing of the commission, shall pass no ordinances or resolutions authorizing the issuance of notes or bonds of any kind or character or creating any obligation or indebtedness of the municipality, except tax anticipation or tax revenue notes or bonds for the current year. Nor shall such governing body, without like consent, include in any annual budget or tax ordinance amounts for local expenditures in excess of the like amounts for the preceding annual budget, exclusive of appropriations for the purpose of raising the principal and interest on the public debt.
After an appropriation has been approved by the commission, the actual expenditure thereunder shall be made by the municipal authorities, but no claims whether under appropriations approved by the commission, or included in the annual budget or tax ordinance or otherwise, shall be passed for payment by the officers of such municipality until the auditor shall have certified that the same have been examined by him and found to be within appropriations theretofore duly made by the municipality, and that there is or will be available in an appropriate account, sufficient ready funds for such payment.
##### **§ 52:27-22.1** Scrip or tax anticipation notes or bonds; approval {#sec-52-27-22.1 omnilex-key=us-nj-statutes--title-52--52:27-22.1}
No municipality of this State which is under the jurisdiction of the municipal finance commission shall hereafter issue any scrip or tax anticipation notes or bonds in payment of payrolls, claims or other obligations or indebtedness of the municipality unless the issuance of such scrip or tax anticipation notes shall be approved, in writing, by the auditor to the municipal finance commission in the same manner as warrants for other like payments are required to be approved.
##### **§ 52:27-22.2** Penalty for violation of act {#sec-52-27-22.2 omnilex-key=us-nj-statutes--title-52--52:27-22.2}
Any official of any municipality who shall violate the provisions of this act in any municipality under the jurisdiction of the municipal finance commission shall be guilty of a misdemeanor and punished accordingly.
##### **§ 52:27-23** Limitation on school budget when municipality in default {#sec-52-27-23 omnilex-key=us-nj-statutes--title-52--52:27-23}
Whenever a municipality in which the commission is functioning has been or shall be in default for twelve months in the payment of interest on any of its bonds or notes or other written evidence of indebtedness (except where the same is under litigation as to its validity, or where the validity thereof has been denied by formal notice given by the municipality, and no suit, action or proceeding to enforce the same has been commenced by the holder); or whenever any such municipality has been or shall be in default for six months in the payment of any part of its regular pay roll, or in the payment of any sums due from the annual tax levy to the state, county or school district, no subsequent budget or tax ordinance or appropriation for local school purposes shall include any amounts in excess of such limits as may be fixed by the commission, exclusive of appropriations for the purpose of raising the principal and interest on the public debt, and exclusive of appropriations to create a reserve fund under the provisions of section 52:27-25 of this title.
##### **§ 52:27-23.1** Authorized provisions in resolutions authorizing issuance of notes or bonds enumerated; enforcement {#sec-52-27-23.1 omnilex-key=us-nj-statutes--title-52--52:27-23.1}
To the end that the principal of and interest on the notes or bonds issued hereunder may be further secured and thereby a more favorable sale or exchange effected, any resolution authorizing the issuance of notes or bonds hereunder may contain provisions which shall be a part of the contract with the holders of such notes or bonds as to:
a. The amount to be included in any budget or tax ordinance or to be appropriated by or raised by taxation in the municipality in each year for debt service and for reserve or sinking funds, which amount may be expressed in dollars, percentage of total assessed valuations or both, or otherwise;
b. The setting aside of reserve or sinking funds, and the amount, securing, regulation, investment, application and disposition thereof;
c. The pledging, depositing or trusteeing of moneys to be applied to the payment of the principal of and interest on the notes or bonds, and the securing of such deposits;
d. The pledging of taxes, special assessments and other revenues or moneys of the municipality, which are due or to become due, directly to the payment of the principal of and interest on the notes or bonds, or to reserve or sinking funds;
e. The use and application of unanticipated income or surplus revenue or both of the municipality;
f. Limitations effective for not exceeding ten years from the effective date of such resolution or resolutions on the amount or nature of borrowing or incurring of indebtedness by the municipality;
g. The holding of lawful tax sales of property against which there may then or thereafter be outstanding delinquent taxes or assessments or other charges and the foreclosing of the right of redemption with respect to tax titles theretofore or thereafter purchased by the municipality;
h. The inclusion in any budget of appropriations as reserves for uncollected taxes, and the amount, computation and disposition thereof and of the proceeds of the tax levy therefor;
i. The performance by the municipality of all or any specified provisions of any law relating to the preparation, adoption, and administration of budgets and the levying of taxes in municipalities;
j. Appointment of a fiscal agent by the municipality and the powers and duties thereof;
k. The approval and continuance of financial and legal practices and policies theretofore established in the municipality, including the functioning of a board established pursuant to section 52:27-29.1;
l. The levying of a special tax, in such amount as said resolution may provide, for the payment of the principal of and interest on the notes or bonds, which special tax shall be levied upon all the real and personal property in the municipality subject to taxation in addition to the taxes levied for all other purposes, and shall be assessed, levied and collected in the same manner and at the same time as other taxes upon real and personal property are now or shall hereafter be assessed, levied and collected, and, when collected, shall be deemed trust funds and shall be applied and paid over by the collector or other officer having the custody of the collected taxes solely to the agreed payment of the principal of and interest on the notes or bonds, or if such agreed payment shall have been made, then in such manner and for such purposes as said resolution may provide;
m. The terms and conditions upon which any such resolution or any contract entered into thereby may be amended, rescinded or repealed;
n. Any other or further course of conduct on the part of the municipality which may tend to improve its credit standing.
Any municipality adopting a resolution containing any provision authorized hereunder shall have and possess all of the powers necessary and appropriate for the performance thereof. The provisions of any such resolution shall be enforceable by a proceeding in lieu of prerogative writ or other appropriate action or proceeding instituted by the commission or by the holder of any note or bond on his own behalf, or on behalf of all the holders of such notes or bonds, in either case in any court of competent jurisdiction whether or not there shall have been any default in the payment of the principal of or interest on any such notes or bonds.
##### **§ 52:27-23.2** Reserve or sinking funds; payment to sinking fund commission {#sec-52-27-23.2 omnilex-key=us-nj-statutes--title-52--52:27-23.2}
Any resolution authorizing the issuance of notes or bonds hereunder may provide that any sums required pursuant to such resolution to be set aside by the municipality for reserve or sinking funds shall be paid to the sinking fund commission of such municipality, and all moneys so paid to such commission shall be held and applied by it only as in such resolution provided and shall not be commingled with any other moneys held by such commission.
The provisions of chapter 3 of the title Municipalities and Counties (s. 40:3-1 et seq.), in so far as they relate to the creation, setting aside or maintenance of sinking funds and the investment, application and disposition thereof, shall have no application with respect to notes or bonds issued under this chapter or any reserve or sinking funds provided therefor.
##### **§ 52:27-23.3** Cancellation of notes or bonds; payment of other municipal indebtedness {#sec-52-27-23.3 omnilex-key=us-nj-statutes--title-52--52:27-23.3}
Any resolution authorizing the issuance of notes or bonds hereunder may provide that the notes, bonds or other obligations of the municipality then held by the sinking fund commission thereof shall be canceled and that other property or funds in the custody of such commission shall be applied to the payment of other indebtedness of the municipality as in such resolution provided, and said commission shall cancel said notes, bonds or other obligations and apply such property or funds accordingly; but nothing herein contained shall be deemed to permit, without the consent of such holder, the impairment of any rights of the holder of any note, bond or other obligation of the municipality for the security or payment of which any such notes, bonds, obligations, property or funds shall be held.
##### **§ 52:27-24** Terms, provisions, conditions and limitations in notes or bonds; negotiability {#sec-52-27-24 omnilex-key=us-nj-statutes--title-52--52:27-24}
All notes or bonds issued under this chapter may be subject to such terms of redemption, with or without premium, and contain such provisions, conditions and limitations with respect to the acceleration of the obligation to pay the principal thereof upon such default in the payment of interest on or principal of any bonds or notes, or in respect to the provisions concerning debt service and sinking fund payments, as the resolution authorizing their issuance may provide.
Any notes or bonds issued under this chapter in exchange for any instrument issued under this chapter or any other law may be authorized by such resolution to contain a provision that, in case of default in payment of the principal of or interest on any such note or bond, the holder thereof shall not only have all his rights and remedies thereunder, but in addition shall be reinvested with such of the rights or remedies which he would have had were he then the owner and in possession of the instrument in exchange for which such note or bond shall have been issued as may be specified in such resolution.
Such notes or bonds may contain such reference to any special covenants or provisions contained in the resolution authorizing their issuance and such other terms, conditions or provisions not inconsistent herewith deemed by the commission to give such notes or bonds a higher degree of marketability as the resolution or resolutions determining the form of the notes or bonds may provide.
All notes or bonds issued under this chapter containing any one or more of such references, terms, provisions or conditions shall be deemed negotiable instruments, the provisions or limitations of any other law to the contrary notwithstanding; but nothing in this section shall be construed to impair the negotiability of any other instruments negotiable under other laws of this state.
##### **§ 52:27-25** Municipal tax to pay notes and bonds; reserve fund; withdrawals {#sec-52-27-25 omnilex-key=us-nj-statutes--title-52--52:27-25}
Any municipality in which the commission is functioning may levy taxes ad valorem upon all taxable property therein for the purpose of paying the principal of or interest on any notes, bonds or other obligations or indebtedness of such municipality issued under this or any other law, except notes or bonds issued after December thirty-first, one thousand nine hundred and forty-six pursuant to this chapter for the payment of principal of or interest on which the faith and credit of the municipality shall not have been pledged by provision or recital in such notes or bonds or in the resolution or resolutions providing for the issuance of such notes or bonds, and such municipality may also provide for a reserve fund for the payment of said principal and interest, which fund shall be under the immediate jurisdiction of the sinking fund commissioners or of a financial officer of the municipality, as the commission shall approve.
No money shall be withdrawn from said reserve fund or sinking fund for investment or otherwise without the approval of the commission.
##### **§ 52:27-26** Compromise or adjustment of delinquent taxes and assessments {#sec-52-27-26 omnilex-key=us-nj-statutes--title-52--52:27-26}
The governing body of any municipality in which the commission is functioning may compromise and adjust the whole or any part of any special assessments or taxes delinquent to the municipality, but nothing in this section shall be construed to impair or affect in any way the existing rights and remedies of any holder of a certificate of tax sale, representing any tax title or titles to lands in such municipality sold on account of delinquent taxes or delinquent assessments, or both.
No claims of the municipality for taxes or assessments, and interest thereon, in excess of five hundred dollars, shall be compromised without the assent in writing of the commission.
All moneys received by the municipality by compromise or adjustment of taxes or special assessments shall, if the commission so provide, be paid only to the account of the reserve fund referred to in section 52:27-25 of this title.
##### **§ 52:27-27** Assessment, reassessment, etc., of taxable ratables; cost; employment of experts {#sec-52-27-27 omnilex-key=us-nj-statutes--title-52--52:27-27}
The commission may require the municipality to cause to be made an assessment, reassessment, valuation, revaluation, appraisal or reappraisal, or any one or all of them, of the taxable ratables of the municipality as the basis for any subsequent tax levy, and the cost thereof, whether or not directed by the commission, shall at the request of the governing body, be included in the amount of indebtedness to be refunded under this chapter. Any tax duplicate based thereon shall be used for all purposes in connection with the levy, apportionment and collection of taxes. For any or all such purposes the governing body of the municipality may employ such experts as it may deem advisable.
##### **§ 52:27-28** Appeals from taxation {#sec-52-27-28 omnilex-key=us-nj-statutes--title-52--52:27-28}
Notice of all appeals from taxation affecting any municipality in which the commission is functioning shall be given by the county board of taxation to the auditor employed by the commission, and the commission shall be entitled to be represented at hearings on all such appeals.
##### **§ 52:27-29** Installment payments of assessments for local improvements {#sec-52-27-29 omnilex-key=us-nj-statutes--title-52--52:27-29}
Whenever, pursuant to this chapter, the commission shall function in any municipality, such municipality may with the approval in writing of such commission extend the period theretofore granted for the payment of assessments for benefits for local improvements, by granting to the owner of the property so assessed the privilege of paying in five additional equal annual installments the amount of all such assessments confirmed and due and payable, by reason of a default or otherwise, as of the date of the resolution hereinafter mentioned, and of the interest thereon and penalties and other charges relating to such assessments accrued to such date. Such action shall be taken by resolution of the governing body of the municipality describing with clearness sufficient for identification the property so affected, the amount of such assessments, interest, penalties and other charges, and the annual dates when the installments of such amount shall thereafter be due and payable. Such resolution shall not take effect until approved in writing by the commission after public notice published in a newspaper having a substantial circulation in the municipality. There need not be a separate resolution for each property or property owner.
##### **§ 52:27-29.1** Certificate of tax sale or tax title; real estate; sale, exchange, lease or other disposition {#sec-52-27-29.1 omnilex-key=us-nj-statutes--title-52--52:27-29.1}
The governing body of any municipality in which the commission is or may be functioning may, upon the express consent in writing of the commission, sell, exchange or otherwise dispose of any certificate of tax sale or tax title, standing in the name of the municipality, or sell, exchange, lease or otherwise dispose of any real estate or rights or interests therein owned by the municipality and determined by the governing body to be not needed for public use. Any such sale, exchange, lease or other disposition may be authorized by resolution of the governing body and, subject to the consent of the commission as aforesaid, may be at public or private sale, through a broker, agent or otherwise, for cash or upon credit, for such consideration, and subject to such conditions and commissions, as the governing body in its discretion may determine. All moneys received by the municipality from any such sale, exchange, lease or other disposition shall, if the commission so provide, be paid only to the account of the reserve fund referred to in section 52:27-25 of this Title.
The governing body of any municipality in which the commission is or may be functioning may, upon the express consent in writing of the commission, adopt an ordinance providing for the establishment of a board in the municipality to manage and effect the liquidation of assets theretofore acquired by the municipality (and accruals thereto) consisting of real estate or rights or interests therein acquired by virtue of the enforcement of taxes or special assessments and certificates of tax sale or tax titles standing in the name of the municipality. The function of said board shall be to exercise its powers and perform its duties in such fashion as to liquidate such assets as soon as reasonably possible by the realization of reasonable amounts thereon in cash. Without limitation of the foregoing, the powers and duties of said board to manage and effect such liquidation may include power to require the sale or other disposition of such assets or the compromise of sums due to the municipality in respect thereto, subject to such restrictions as such ordinance may provide. The ordinance shall set forth in particularity the powers and duties of said board and shall determine the size of the membership of the board, and shall fix the terms of office of the members of the board and their qualifications and compensation and the method of computing and paying their compensation and the expenses of the board. The ordinance may provide that the compensation of the members of the board shall be determined, in whole or in part, by the assignment judge of the Superior of the county in which the municipality is located, and it shall be the duty of said judge from time to time to make such determination in accordance with the terms of the ordinance. The members of said board may or may not be residents of the municipality and their terms of office may extend for such period as the ordinance may provide. The ordinance may provide that for all the purposes of the local budget law (R.S. 40:2-1 et seq.) said board shall constitute and be governed as a publicly-owned or operated utility or enterprise, or may provide that the compensation of the members of the board and the expenses of the board may be paid out of the proceeds of such liquidation without further budget or other appropriation or tax levy therefor. Upon the adoption of the ordinance, the clerk of the municipality shall file a certified copy thereof with the assignment judge of the Superior Court of the county in which the municipality is located, and it shall thereupon and thereafter be the duty of said judge to appoint the members of said board, and their successors from time to time, in accordance with the terms of the ordinance. It shall be the duty of the governing body and all other officers of the municipality to do and perform all such acts and things as may be required by said board in order for said board to fulfill its function in accordance with the terms of the ordinance and of this section except when, with respect to any particular such act or thing, the governing body shall adopt a resolution questioning the necessity or advisability thereof in order for said board to fulfill its function in accordance with the terms of the ordinance and of this section. Such resolution shall become of no further force and effect ten days after the adoption thereof unless the clerk of the municipality shall have filed a certified copy thereof with the assignment judge of the Superior Court of the county in which the municipality is located. Upon such filing it shall be the duty of said judge, upon such notice to the board and other interested parties as he may direct, to make a summary investigation into the facts and for that purpose he shall have the power to subpoena witnesses and call before him any officers or employees of the municipality or of the board. Said judge shall determine whether said particular act or thing required by the board is necessary or advisable in order for the board to fulfill its function in accordance with the terms of the ordinance and of this section. He shall embody his determination in an order and file the same, together with the said resolution, in the office of the Clerk of the Superior Court. Upon the filing of such order embodying an affirmative determination, the said resolution of the governing body shall be of no further force and effect, and the governing body and other officers of the municipality shall proceed to do and perform such act or thing. If his determination is in the negative the requirement of the board shall be without force or effect and neither the governing body nor any officer of the municipality shall be under any duty to do and perform such act or thing.
##### **§ 52:27-29.2** Acceptance of municipal or school district bonds in payment of tax or assessment title liens authorized; refunding bonds; tax payment certificates {#sec-52-27-29.2 omnilex-key=us-nj-statutes--title-52--52:27-29.2}
Any municipality in which the commission is functioning may, with the approval of the commission, accept its own bonds and the bonds of the board of education of a coterminous school district, in payment of all or any part of the purchase price of tax title liens and assessment title liens held by such municipality or in payment of all or any part of the purchase price of real property acquired by such municipality through the foreclosure of such tax title liens and assessment title liens and may exchange such tax title liens and assessment title liens and such real property for such bonds at such times and for such prices as the governing body of such municipality shall determine, subject to the approval of the commission. Such municipalities and boards of education may issue refunding bonds in the manner now or hereafter provided in this chapter or any other law for the purpose of refunding all or any part of the balance due to the holders of the bonds presented in payment of such tax title liens and assessment title liens or such real property, and such municipalities and boards of education may also issue nontransferable, noninterest-bearing tax payment certificates in such denominations as may be determined by such municipalities and such boards of education for the purpose of refunding all or any part of the balance due to the holders of the bonds presented in payment of such tax title liens and assessment title liens or such real property, which tax payment certificates shall not be payable in cash but shall be acceptable at their face value in payment of future taxes levied by the state, county or municipality and school district for state, county, local municipal and school district purposes; provided, that such tax payment certificates shall recite on their face that they are nontransferable and noninterest-bearing and not payable in cash but acceptable at their face value only in payment of such future taxes, and provided further that the issuance of such refunding bonds and of such tax payment certificates be approved by the commission. It is the intention of this section that such municipalities and boards of education may issue both refunding bonds and tax payment certificates as herein above provided in such proportions as may be determined by them, or may issue such refunding bonds only or such tax payment certificates only, as may be determined by them, in payment of all or any part of the balance due to the holders of the bonds presented in payment of the purchase price of such tax title liens and assessment title liens or such real property.
Tax payment certificates issued under this section shall be authorized and issued in accordance with the procedure for the issuance of refunding bonds, and may be in such form as shall be determined by the governing body of the municipality, and shall be signed by such officers as may be designated by such governing body.
No municipality may avail itself of the authority contained in this section for the acceptance of bonds in payment of the purchase price of real property and tax title liens and assessment title liens except that the sale of such property and liens shall be an integral part of the comprehensive refunding program, which program shall have received the consent of the holders of at least eighty-five per cent of the amount of bonds outstanding.
##### **§ 52:27-30** Expenses of commission to be paid by municipality {#sec-52-27-30 omnilex-key=us-nj-statutes--title-52--52:27-30}
The commission shall from time to time certify to the proper officials of the municipality the amount of the commission's expenses, which expenses shall be a legal charge upon the municipality and may be paid by the issuance of emergency notes or bonds, but if not so paid prior to the end of the fiscal year shall be included in the budget of the ensuing year.
##### **§ 52:27-31** Expenses of issuing notes or bonds and of foreclosure or perfecting title; including in debt to be funded; appropriation {#sec-52-27-31 omnilex-key=us-nj-statutes--title-52--52:27-31}
The estimated expense of issuing and selling any notes or bonds under this chapter including estimated cost of printing, advertising, attorneys' fees, execution, certification, exchange, delivery, and any other cost or expense in connection with the formulation, approval, acceptance or consummation of a refinancing operation resulting in the issuance of such notes or bonds, and provision for any estimated discount to be incurred upon the sale or exchange of such notes or bonds, and provision for any estimated cost and expense, including counsel fees, of foreclosing or otherwise perfecting titles to real estate acquired at any sale or sales of real estate for delinquent taxes or special assessments, may be included by the commission in the amount of indebtedness to be funded or refunded under this chapter, or, in whole or in part, may be provided for by appropriation made by the resolution authorizing the issuance of such notes or bonds of available cash on hand.
##### **§ 52:27-32** Article inapplicable to bonds issued after June 1, 1936 {#sec-52-27-32 omnilex-key=us-nj-statutes--title-52--52:27-32}
This article shall not apply to bonds issued after June first, one thousand nine hundred and thirty-six, by any municipality pursuant to this chapter, nor to actions or proceedings for the enforcement of such bonds, nor to the enforcement of any judgment, decree, levy or execution for the recovery of the amount due on such bonds.
##### **§ 52:27-32.1** Enforcement of judgments, etc., against municipality stayed; necessity of court order {#sec-52-27-32.1 omnilex-key=us-nj-statutes--title-52--52:27-32.1}
Whenever the commission shall function in any municipality and so long as it shall continue so to do, no judgment, levy or execution against the municipality or the property thereof for the recovery of the amount due on any bonds, notes or other obligations of the municipality, in the payment of which the municipality has defaulted, shall be enforced until otherwise directed by the Superior Court in an appropriate action or proceeding for such purpose, after notice to the commission; and the enforcement of any such judgment, levy or execution shall be stayed until otherwise directed as aforesaid.
##### **§ 52:27-33** Proceedings against municipality for assessment or collection of taxes prohibited; exceptions; remedies of holders of unpaid claims against municipality {#sec-52-27-33 omnilex-key=us-nj-statutes--title-52--52:27-33}
Whenever the commission shall function in any municipality and so long as it shall continue so to do, no action or proceeding of any kind, either direct or ancillary, including a proceeding in lieu of prerogative writ, shall be brought against such municipality or any public officers for the assessment, levy or collection of taxes by or for such municipality and any and all actions or proceedings therefor shall be and they hereby are stayed; except that first, the Superior Court, after notice to the commission, may authorize one or more creditors of such municipality to bring and maintain an action or proceeding therefor in the Superior Court, which shall be brought for the benefit of themselves and all other creditors of such municipality and in which all other creditors of such municipality shall have the right to intervene and assert their claim and in which all other creditors of such municipality may, and the commission shall, be made parties in such manner and upon such notice as the court shall prescribe; and except that, second, the commission may bring and maintain an action or actions or a proceeding in lieu of prerogative writ or any other appropriate proceeding or proceedings for the assessment, levy or collection of taxes by such municipality for the payment of principal or interest of the indebtedness of the municipality found to be outstanding as provided in section 52:27-14 of this Title.
Without limiting its power otherwise to direct by a proceeding in lieu of prerogative writ the assessment, levy or collection of taxes, the Superior Court, in the action or proceeding aforesaid may, to the extent which it shall deem just and equitable, afford to the holders collectively of any due and unpaid claims against a municipality any remedy which might be afforded under any other law to any individual creditor in any proceeding in lieu of prerogative writ for the assessment, levy or collection of taxes, to the same extent as if there had been an entry of judgment in their favor, issuance of execution and return thereof unsatisfied, service thereof upon public officials and performance of any and all other conditions precedent to the affording of such relief by a proceeding in lieu of prerogative writ under such other law; provided, that the court be first satisfied from proof submitted by affidavit or otherwise that the claims for the enforcement of which such remedy is sought are claims upon which a judgment could be obtained.
##### **§ 52:27-33.1** Taxes collected by municipality paid to designated banks {#sec-52-27-33.1 omnilex-key=us-nj-statutes--title-52--52:27-33.1}
Whenever the commission shall function in any municipality and so long as it shall continue so to do, it may prepare and certify to the governing body of the municipality resolutions providing in substance that any and all moneys collected as taxes by the municipality over and above an amount sufficient to pay the reasonable current operating expenditures of the municipality (not including therein the principal or interest of any bonds or notes of the municipality) and such capital expenditures, if any, as may be approved by the commission as reasonably necessary to preserve the value of the taxable property within the municipality, shall be paid by the municipality to such banks or trust companies as the governing body of the municipality may designate.
##### **§ 52:27-33.2** Action in Superior Court to determine application and distribution to creditors of property or funds of municipality {#sec-52-27-33.2 omnilex-key=us-nj-statutes--title-52--52:27-33.2}
Whenever the commission shall function in any municipality and so long as it shall continue to do so, no action or proceeding shall be brought or prosecuted, the purpose of which is to affect the disposition of property or funds owned or controlled by the municipality, except as provided in this chapter.
If any such municipality has in its possession or under its control, or there is in the possession or under the control of the commission, any property or funds of such municipality which are or may be available for the payment of interest or principal upon any of the debts of such municipality (over and above the payment of the current operating expenses of the municipality and the maintenance of a reasonable working capital), then such municipality in its discretion may bring an action, or if directed by the commission shall do so, in the Superior Court to determine the application and distribution of such property or funds to and among the creditors of the municipality, and in any such case the court in its discretion may permit an action for relief of the same character to be made by any creditor of the municipality. In any such action all creditors of the municipality shall be made parties thereto, and any creditor may appear therein and assert his rights to receive all or any part of such property or funds. The court may proceed in the action in a summary manner or otherwise.
In case any such action shall be instituted, the court may direct the municipality to make no payments from any of such moneys so available until the determination of the action or until permitted by the court. Unless and until such a direction shall be made, payments may be made by such municipality on account of principal and interest as the municipality may determine and as may be approved by the commission.
##### **§ 52:27-33.3** Court may vacate, modify or restrict statutory stay {#sec-52-27-33.3 omnilex-key=us-nj-statutes--title-52--52:27-33.3}
Upon the application of any creditor made upon notice to the municipality and the commission, the Superior Court may vacate, modify or restrict any statutory stay contained in this article.
##### **§ 52:27-34** Action by creditors; plan of adjustment or composition; parties {#sec-52-27-34 omnilex-key=us-nj-statutes--title-52--52:27-34}
The Superior Court may take jurisdiction of an action brought by any creditors of a municipality in which the commission shall function, where the action is instituted by the plaintiff or plaintiffs on behalf of themselves and all other creditors of the municipality, for the approval of a plan of adjustment or composition of the claims of all creditors or of a class or classes of them similarly situated. The court may proceed in the action in a summary manner or otherwise.
The municipality, the commission and all creditors of the municipality shall be made parties to the action and any creditor of the municipality may appear and assert his rights.
##### **§ 52:27-36** Approval by Supreme Court justice of plan of adjustment or composition; findings {#sec-52-27-36 omnilex-key=us-nj-statutes--title-52--52:27-36}
In any such action, after hearing on the plan proposed or on the plan as modified by order and if such plan as proposed or modified is approved in writing by creditors representing eighty-five per centum (85%) in amount of the indebtedness affected thereby and by the municipality and the commission, the Superior Court may authorize and approve such adjustment or composition if the court determines (1) that the municipality is unable to pay in full according to their terms the claims proposed to be adjusted or composed, and perform its public functions and preserve the value of property subject to taxation, (2) that the adjustment or composition is substantially measured by the capacity of the municipality to pay, (3) that it is in the interest of all the creditors affected thereby, and (4) that it is not detrimental to other creditors of the municipality.
##### **§ 52:27-37** Approved plan binding on all creditors; substituted obligations {#sec-52-27-37 omnilex-key=us-nj-statutes--title-52--52:27-37}
The plan of adjustment so authorized and approved shall forthwith and without any further action of any kind be binding upon all the creditors included in the plan, whether or not they appear in the proceeding. In so far as said plan provides for the substitution of any new bonds, notes or other obligations of the municipality in place of any outstanding bonds, notes or other obligations, or claims then outstanding, such substitution shall be effectual from and after such date as may be fixed in such order.
##### **§ 52:27-38** Continuance of stay of proceedings against municipality; action by creditor to enforce claim restricted {#sec-52-27-38 omnilex-key=us-nj-statutes--title-52--52:27-38}
After the institution of any action or proceeding provided for by this article and pending the determination thereof, the Superior Court may by order continue the stay provided by sections 52:27-32.1 and 52:27-33 of this Title.
In the event that a plan shall be authorized and approved pursuant to this article the court shall retain jurisdiction of such action or proceeding and thereafter no creditor whose claim is included in such adjustment or composition shall be authorized to bring any action or proceeding of any kind or character for the enforcement of his claim except with the permission of the court and then only to recover and enforce the rights given him by the adjustment or composition.
##### **§ 52:27-39** Reduction in principal of outstanding notes or bonds prohibited {#sec-52-27-39 omnilex-key=us-nj-statutes--title-52--52:27-39}
Notwithstanding any provisions of this article the commission shall not approve any adjustment or composition, or plan presented pursuant to this article, which provides for the reduction in the principal amount of any outstanding notes or bonds of the municipality.
##### **§ 52:27-39.1** State, State school or county taxes, compromise of county's claim against certain municipalities for {#sec-52-27-39.1 omnilex-key=us-nj-statutes--title-52--52:27-39.1}
If a municipality in which the municipal finance commission may be or may have been functioning shall for eight years have been in arrears in the payment of the whole or any part of any taxes levied in the municipality for either State, State school or county purposes or any interest thereon, the county may in accordance with this act enter into a compromise settlement in full discharge of all claim of such county and its treasurer for any taxes for State, State school or county purposes, or any interest thereon, or for any note or bond or other receivable, due and in arrears at the date of such settlement from the municipality, together with any interest thereon, whether such taxes, interest or other receivable have been due and in arrears for more or for less than eight years.
##### **§ 52:27-39.2** Resolution of county board required; previous payment by county to State required {#sec-52-27-39.2 omnilex-key=us-nj-statutes--title-52--52:27-39.2}
Such compromise settlement shall be entered into only upon authorization by resolution of the board of chosen freeholders of the county and only if prior thereto the county or its treasurer shall have paid to the State the full amount of any taxes included in such settlement levied for State or State school purposes.
##### **§ 52:27-39.3** Settlement may include what; terms; consideration {#sec-52-27-39.3 omnilex-key=us-nj-statutes--title-52--52:27-39.3}
Such compromise settlement may include and be made on such terms as the board of chosen freeholders may deem fair and equitable and, without limiting the generality of the foregoing, may provide for the acceptance by the county or its treasurer in full and final discharge of the claim covered thereby of a sum in cash or of notes or bonds, or both, or of any other consideration, whether or not the face value or market value of such considerations shall equal the amount of such claim.
##### **§ 52:27-39.4** County treasurer to perform compromise settlement--disposition of consideration received {#sec-52-27-39.4 omnilex-key=us-nj-statutes--title-52--52:27-39.4}
The county treasurer shall carry out and perform any such compromise settlement so authorized in accordance with its terms and provisions. Any notes or bonds or other considerations received other than cash may be sold, exchanged, renewed, refinanced or otherwise disposed of at any time or from time to time at such price or prices and upon such terms as the board of chosen freeholders may by resolution authorize, and such notes or bonds, or other obligations received in exchange, renewal or refinancing thereof, shall be enforceable by the county in accordance only with their terms and the laws governing the same.
##### **§ 52:27-39.5** Effective date; limitation of time for adoption of resolution {#sec-52-27-39.5 omnilex-key=us-nj-statutes--title-52--52:27-39.5}
This act shall take effect immediately, but no compromise settlement shall be entered into under this act unless a resolution authorizing the same shall have been adopted pursuant to section two of this act within two years from the effective date of this act.
##### **§ 52:27-40** Filing of petition by political subdivision; approval of commission {#sec-52-27-40 omnilex-key=us-nj-statutes--title-52--52:27-40}
Any county, municipality, school district or other political subdivision of this State, hereinafter in this article referred to as "political subdivision," shall have power to file a petition or petitions with any United States court or court in bankruptcy under an act of the Congress of the United States entitled "An act to establish a uniform system of bankruptcy throughout the United States," approved July first, one thousand eight hundred and ninety-eight, and acts amendatory thereof and supplementary thereto, as the same may be amended from time to time, hereinafter in this article referred to as the "municipal bankruptcy act," for the purpose of effecting a plan of readjustment of its debts or for the composition of its debts, which adjustment and composition are hereinafter interchangeably referred to as readjustment. Such petition or petitions shall not be so filed unless the approval of the municipal finance commission, which is hereby constituted a commission for the purposes of this article, be first had and obtained.
##### **§ 52:27-41** Ordinance or resolution of governing body to authorize filing of petition {#sec-52-27-41 omnilex-key=us-nj-statutes--title-52--52:27-41}
The filing of such petition shall be authorized only by ordinance of the governing body of the political subdivision adopted by the affirmative vote of not less than two-thirds of all the members elected to such governing body, except that in the case of a county or of a school district governed by the provisions of chapter 7 of the title Education (s. 18:7-1 et seq.), such filing shall be authorized by resolution of the governing body adopted by the affirmative vote of not less than two-thirds of all the members elected to such governing body. For the purposes of this article the board of education of a school district governed by the provisions of said chapter 7 shall be deemed to be the "governing body" of such school district.
##### **§ 52:27-42** Approval by commission of readjustment plan necessary {#sec-52-27-42 omnilex-key=us-nj-statutes--title-52--52:27-42}
No plan of readjustment filed with or in the proceedings upon any such petition shall be approved by the court or put into temporary effect or finally confirmed without the approval of the commission. No political subdivision shall so file any such plan which shall not have been approved by the commission nor shall any political subdivision accept any such plan as thereafter changed or modified without express authority from the commission to do so.
##### **§ 52:27-43** Commission authorized to approve petition and plan; restrictions {#sec-52-27-43 omnilex-key=us-nj-statutes--title-52--52:27-43}
The commission may in its discretion give its approval in the manner provided by this article to the filing of any petition for the purpose of effecting readjustment of its debt which any political subdivision proposes to file, and of any plan of readjustment filed with or in the proceedings upon any such petition; but no such plan of readjustment shall provide for the payment of fees, compensation, reimbursement or other allowances for attorneys, agents, committees, or other representatives of creditors of the political subdivision, except subject to the express approval in writing by the commission of every such payment.
##### **§ 52:27-44** Powers of political subdivision upon confirmation of readjustment plan; issuance of bonds or notes {#sec-52-27-44 omnilex-key=us-nj-statutes--title-52--52:27-44}
Upon the confirmation of any plan of readjustment approved by the commission, the political subdivision assenting to such plan of readjustment may, by ordinance in the case of a municipality, by resolution in the case of a county, and by resolution of the board of education in the case of a school district governed by the provisions of chapter seven of the Title Education (s. 18:7-1 et seq.), authorize, issue, sell and deliver such bonds, notes or other obligations and enter into such agreements and do such other acts and things as may be required of it pursuant to said plan of readjustment. Such ordinance or resolution, as the case may be, shall not take effect until approved by the commission, and shall provide for the issuance of bonds in one or more series, bearing such date or dates, maturing at such time or times, bearing interest at such rate or rates of interest, not exceeding six per centum (6%) per annum, payable at such time or times, in such denominations, in such form, either coupon or registered, carrying such registration privileges, payable in such medium of payment at such place or places, subject to such terms of redemption, with or without premium, as the commission may approve. The foregoing powers shall be deemed to be in addition to and not in substitution for any powers which such political subdivision would, except for the foregoing grant thereof, have under any other provision of law.
##### **§ 52:27-45** Request for approval of petition, plan, etc.; procedure {#sec-52-27-45 omnilex-key=us-nj-statutes--title-52--52:27-45}
The approval of any petition, plan of readjustment or other papers to be filed in any United States court or court in bankruptcy, or of any ordinance or resolution shall be requested by filing in the office of the commission a certified copy of a resolution of the governing body of the political subdivision adopted by the affirmative vote of not less than two-thirds of all the members elected to such governing body, requesting such approval, together with a true and correct transcript duly certified of any proceedings relating to such petition, plan of readjustment, other papers, ordinance or resolution, and the authorization thereof, accompanied by, in the case of documents to be filed in the United States court or court in bankruptcy, the original and one certified copy of such documents, and in the case of an ordinance or resolution, two certified copies of such ordinance or resolution. The approval of the commission under this article of any petition, plan of readjustment or other papers filed or to be filed in a United States court or court in bankruptcy, shall be evidenced only by written indorsement thereof on the petition, plan of readjustment or other papers so filed and the approval of the commission under this article of any ordinance or resolution of the governing body of any political subdivision shall be evidenced only by written indorsement thereof on a certified copy of such ordinance or resolution.
##### **§ 52:27-45.1** Municipalities effecting plan for readjustment or composition of debts; powers; "court" defined {#sec-52-27-45.1 omnilex-key=us-nj-statutes--title-52--52:27-45.1}
Any municipality in which the Municipal Finance Commission, continued by chapter twenty-seven of Title 52 of the Revised Statutes, may be functioning and which may have heretofore filed or shall hereafter file a petition pursuant to section 52:27-40 of the Revised Statutes, with any United States Court or court in bankruptcy for the purpose of effecting a plan of readjustment of its debts or for the composition of its debts, may, pursuant to express provisions in such plan or in such plan as changed or modified, have and exercise the powers hereinafter provided and shall thereupon be charged with the duties hereinafter provided. The term "court" as used in this act shall mean the United States Court or court in bankruptcy in which is or may be pending the proceeding begun by such petition of the municipality, or, if no such proceeding is pending in said court or if said court shall not assume to act pursuant to this act, the Superior Court.
##### **§ 52:27-45.2** Warrants for funding or refunding indebtedness; ordinance or resolution; special fund for payment of warrants; form; interest {#sec-52-27-45.2 omnilex-key=us-nj-statutes--title-52--52:27-45.2}
Any such municipality may provide in any such plan or plans for the issuance of warrants for the purpose of funding or refunding all or any part of the principal of and interest on the indebtedness of such municipality including the principal of and interest on the indebtedness of such municipality to any school district coterminous with said municipality. Such warrants may be authorized by and issued, sold or exchanged pursuant to ordinance or resolution, which ordinance or resolution shall provide for the creation of a special fund or funds for the payment thereof in the manner hereinafter provided, and such warrants shall be payable solely from said fund or funds. Such warrants shall be in such form and tenor and executed in such manner and shall be dated at such time or times and shall bear interest at such rate or rates not exceeding six per centum (6%) per annum, as the council or other governing body of such municipality shall determine. Such warrants may contain a reservation of an option of redemption at such time or times upon such terms and conditions and with such premiums as the council or other governing body of such municipality may elect. Said warrants shall state upon their face that they are payable solely from such special fund, naming the same, and shall be issued in registered form only. Payment of interest on said warrants shall be by check or bank draft and suitable provisions for the registration of said warrants and the transfers of same and provisions regarding the payment of interest shall be endorsed thereon. The ordinance or resolution authorizing the issuance of any such warrants shall specify the source of revenue for the special fund therein created for the payment thereof, which shall consist of all or a specified part of the proceeds of the sale and other liquidation of real estate or rights or interests therein, acquired by the municipality by virtue of the levy, collection and enforcement of taxes and special assessments theretofore levied or confirmed and the certificates of tax sale or tax and assessment title liens standing in the name of the municipality, theretofore acquired and subsequent taxes and assessments accruing thereto (sometimes hereinafter referred to collectively as "assets" ). Such ordinance or resolution shall pledge the assets to such special fund.
##### **§ 52:27-45.3** Board for liquidation of assets; members, appointment, compensation and expenses; nature and government of board {#sec-52-27-45.3 omnilex-key=us-nj-statutes--title-52--52:27-45.3}
The ordinance or resolution authorizing the issuance of any such warrants shall provide for the creation of a board for the liquidation of such assets to be known as the "Board of Liquidation for the of " (hereinafter referred to as the "board" ), and shall set forth the number of members of the board, and the members thereof shall be appointed pursuant to such ordinance or resolution upon nominations to be made in such manner as the ordinance or resolution establishing said board may provide, subject to the approval of the court to which said plan or plans has been or will be submitted for approval. The ordinance or resolution establishing said board shall fix the terms of office of the members thereof, and shall provide for the appointment of the successors to such members in the same manner. The members of said board need not be residents of the State of New Jersey. The compensation and expenses of the members of such board and the expenses of its operation shall be paid in such amounts as may from time to time be fixed and approved by the court, and such expenses and compensation shall be payable solely from the special fund created and established by said ordinance or resolution authorizing the issuance of warrants thereunder. The ordinance or resolution establishing said board may provide that for all the purposes of the local budget law (R.S. 40:2-1 et seq.) said board shall constitute and be governed as a publicly owned or operated utility or enterprise, or may provide that compensation and expenses of the members of the board and the expenses of its operations and all its other disbursements may be paid from the special fund created and established by said ordinance or resolution without further budget or other appropriation or tax levy therefor.
##### **§ 52:27-45.4** Duties of board in liquidation of assets pledged to special fund; proceeds of liquidation; cancellation of outstanding and unpaid warrants after properties and assets liquidated {#sec-52-27-45.4 omnilex-key=us-nj-statutes--title-52--52:27-45.4}
It shall be the duty of any board created and established pursuant to this act and any such ordinance or resolution, to effect, manage and control the liquidation of the assets pledged to the special fund or funds pursuant to such ordinance or resolution in a speedy, efficient and economical manner. Any such board is hereby authorized to compromise, adjust or otherwise settle any certificates of tax sale, or tax and assessment title liens, or other receivables included in such assets, and may, in its discretion for and in the name of such municipality, foreclose certificates of tax sale or tax and assessment title liens in the manner provided by law for the foreclosure of such liens by the municipality and shall liquidate such properties and assets pledged to said fund or funds by sale, exchange, lease or other disposition thereof, but this act, or any action taken pursuant thereto, shall not be deemed to relieve the municipality from liability on any contract with respect to such foreclosures existing at the time of adoption of such ordinance or resolution. The proceeds of such liquidation shall be paid into such special fund or funds and shall be withdrawn therefrom solely for the purpose of paying the compensation and expenses of the board and paying or otherwise discharging in accordance with such ordinance or resolution the principal of and interest on the warrants payable therefrom until all such warrants and the interest thereon have been paid, redeemed or otherwise satisfied. Any balance remaining in said fund or funds after the expenditures for the purposes above specified may be expended as is provided in the ordinance or resolution authorizing the issuance of any such warrants. If any warrants remain outstanding and unpaid after all of the properties and assets pledged to said fund or funds have been liquidated in the manner hereinabove provided, such warrants shall be void and of no force or effect, and shall be surrendered to the municipality upon demand, for cancellation.
##### **§ 52:27-45.5** Periodic accountings by board as trustee; cooperation of council or other governing body; suspension of performance of acts {#sec-52-27-45.5 omnilex-key=us-nj-statutes--title-52--52:27-45.5}
The ordinance or resolution authorizing warrants hereunder and establishing any such board shall provide for periodic accountings as trustee in the court. The council or other governing body of any municipality in which any such board has been established and created, and the corporate authorities thereof, shall do and perform all acts, deeds and things as may be required by said board in order for said board to compromise, adjust or otherwise settle any certificates of tax sale or tax and assessment title liens or other receivables pledged to any special fund or funds created hereunder, and in order to foreclose any such certificates of tax sale and tax or assessment title liens pledged to said fund or funds or in order to effectuate the sale, exchange, lease or other disposition of any of the real estate or rights or interest therein under the control and disposition of said board and pledged to said fund or funds; Provided, however, that if the governing body of such municipality shall adopt a resolution questioning the necessity or advisability of any such act, deed or thing, and a certified copy of such resolution shall have been brought before and filed with the court, the performance of such act, deed or thing shall be suspended unless and until the court shall have entered an order or judgment determining the necessity or advisability for the performance thereof in order for said board to perform its duties under section four of this act. Upon the filing of such order or judgment, the resolution of the council or other governing body shall be of no further force and effect and the said governing body and corporate authorities of said municipality shall proceed to do and perform such act, deed or thing. Any such determination by said court shall be final and binding, and the board and the governing body and the corporate authorities of such municipality shall not appeal therefrom.
##### **§ 52:27-45.6** Covenants in ordinance or resolution protecting security and rights of warrant holders {#sec-52-27-45.6 omnilex-key=us-nj-statutes--title-52--52:27-45.6}
Any ordinance or resolution authorizing the issuance of warrants hereunder may contain covenants of any such municipality to protect and safeguard the security and rights of the holders of any such warrants, and without limiting the generality of the foregoing, such ordinance or resolution may contain covenants as to
(1) the manner in which warrants issued thereunder may be issued or be exchanged for outstanding claims or evidences of indebtedness funded or refunded thereby and the terms and conditions upon which such warrants may become a charge upon the special fund or funds created by any such ordinance or resolution;
(2) the collection, depositing, custody and disbursement of moneys or other assets coming into any special fund or funds created hereunder for the payment of warrants, including a specification of the depositaries to be designated to hold such deposits and granting to such depositaries or other banks or trust companies authority to act as fiscal agent of any such municipality for the custody of the moneys or other assets held in any special fund or funds created hereunder, and to represent holders of such warrants in the event of a default on same or in the event of a default in the performance of any duty or obligation of any such board, municipality or the corporate authorities thereof in connection therewith, with such powers and duties for the enforcement of such warrants as such ordinance or resolution may provide;
(3) the deposit of collateral security or indemnity bonds to secure the proceeds of the liquidation of all moneys and assets under the control of the board, and limitations on the amount, if any, of additional warrants or other claims or obligations of whatsoever kind or nature which may be issued and payable from the special fund or funds established in the ordinance or resolution authorizing issuance of warrants hereunder;
(4) limitations upon the creation of additional liens or encumbrances on the real estate or other assets to be liquidated by said board, the terms and conditions upon which the real estate and other assets under the control of the board for liquidation may be sold, exchanged, leased or otherwise disposed of, and the use or other disposition of all funds received in the process of liquidation;
(5) the validity and enforceability of the certificates of tax sale, or tax and assessment title liens, and the title of the municipality to real estate or rights or interests therein standing in the name of the municipality which shall have been pledged to any special fund or funds created hereunder, and the obligation of any such municipality to replace in said fund or funds additional assets of at least equal book value in lieu of any such assets which have been declared by any court of competent jurisdiction to be illegal or unenforceable;
(6) such other covenants as may be deemed necessary or desirable to insure the speedy, efficient and economical liquidation of the assets pledged to such special fund or funds and the application of the proceeds thereof to the payment of the principal of and interest on the warrants issued pursuant to such ordinance or resolution within a reasonable time and at reasonable expense.
The provisions of this act and of any such ordinance or resolution shall constitute a contract with the holders of such warrants and the provisions thereof shall be enforceable by a proceeding in lieu of a prerogative writ or any other appropriate action or proceeding in any court of competent jurisdiction by the commission or by any owner or holder of such warrants on behalf of himself individually or all other owners or holders of said warrants.
##### **§ 52:27-45.7** General powers and duties of board; by-laws and rules; employees; real estate brokers; liquidation of assets {#sec-52-27-45.7 omnilex-key=us-nj-statutes--title-52--52:27-45.7}
Any board created and established pursuant to this act shall have power to:
(a) adopt its own by-laws and rules of procedure; appoint and remove at pleasure such assistants or assistance, agents and employees, practical, technical or otherwise, at such terms and at such expense as the judge may authorize or approve;
(b) employ real estate brokers to assist in the disposing of the assets to be liquidated by the board and to pay commissions for the services of such brokers;
(c) generally to control and manage the liquidation of the assets pledged to such special fund or funds in accordance with the provisions of this act and any covenants contained in any ordinance or resolution enacted or adopted pursuant hereto in connection with the issuance of warrants pursuant to this act;
(d) perform such other duties not inconsistent with the provisions of this act as may be prescribed by the ordinance or resolution establishing such board.
##### **§ 52:27-45.8** Discharge of board; extension of existence; surplus in special fund {#sec-52-27-45.8 omnilex-key=us-nj-statutes--title-52--52:27-45.8}
Upon the payment of all warrants issued under any ordinance or resolution adopted or enacted pursuant to the provisions of this act, together with all expenses and claims whatsoever incurred or contracted by any such board, or upon the liquidation of all of the assets pledged to any special fund or funds created by any such ordinance or resolution adopted or enacted pursuant hereto, any such board established pursuant to this act shall cease to exist upon being discharged by the court; provided, however, that any ordinance or resolution establishing such a board may extend the existence of any such board in such manner and upon such terms and conditions as any such ordinance or resolution shall provide. Any such ordinance or resolution may also provide for the collection, deposit and disbursement of the proceeds of the liquidation of assets pledged to any special fund or funds created hereunder after the payment of warrants issued pursuant thereto in such manner and upon such terms and conditions and for such purposes as any such ordinance or resolution shall provide.
##### **§ 52:27-45.9** Invalidity or illegality of ordinance or resolution; board prevented from performance of duties {#sec-52-27-45.9 omnilex-key=us-nj-statutes--title-52--52:27-45.9}
Should any ordinance or resolution establishing or creating any board hereunder be declared to be invalid or illegal by any court of competent jurisdiction, or should said board be prevented for any reason from performing the powers and duties herein prescribed for the collection, enforcement and liquidation of the assets and properties pledged to any such special fund or funds, all warrants payable from said fund or funds shall nevertheless remain and be a lien against the assets and properties so pledged, and shall be and remain payable from the proceeds of such assets when and as collected by such municipality, and such municipality and the corporate authorities thereof are hereby directed in such case to proceed with the liquidation of such assets as in this act and as in the ordinance or resolution authorizing the issuance of said warrants provided, and all powers, duties and liabilities imposed on the board shall be assumed and performed by the governing body of such municipality.
##### **§ 52:27-45.10** Issuance of new warrants of different denominations at request of registered holders {#sec-52-27-45.10 omnilex-key=us-nj-statutes--title-52--52:27-45.10}
Any municipality which has issued or may hereafter issue warrants, under the authority of an act entitled "An act in relation to the powers and duties of municipalities in which the Municipal Finance Commission may be functioning and supplementing chapter twenty-seven of Title 52 of the Revised Statutes," approved May sixteenth, one thousand nine hundred and thirty-nine, is hereby empowered and shall, upon the request of a registered holder of any such warrant, issue a new warrant or warrants, of like form and tenor as the warrant originally issued but of such different denomination or denominations as requested by the registered holder.
##### **§ 52:27-45.11** Execution and delivery of new warrants {#sec-52-27-45.11 omnilex-key=us-nj-statutes--title-52--52:27-45.11}
A registered holder of any warrant issued by any municipality in accordance with said act desiring a warrant or warrants of different denomination or denominations shall request in writing the issuance of such new warrant or warrants, stating the denomination or denominations desired, and file such request with the chief financial officer of the municipality. When any such request is so filed, said financial officer of the municipality shall cause a warrant or warrants of like tenor and effect as those originally issued to be prepared, of the denomination or denominations requested by the registered holder of the warrant or warrants originally issued, but not exceeding in aggregate the amount of the warrants originally issued and referred to in said request. Said new warrant or warrants shall be executed in the same manner as the warrants originally issued, by the persons holding the offices of the officers who originally executed the outstanding warrants. When a new warrant or warrants have been prepared and executed, the same shall be delivered by said financial officer of the municipality to the registered holder of the warrant or warrants originally issued upon surrender of such warrants originally issued, which shall thereupon be cancelled. The municipality shall be permitted to make a reasonable charge for such services as rendered.
##### **§ 52:27-46** School districts to which applicable; resolution by commission {#sec-52-27-46 omnilex-key=us-nj-statutes--title-52--52:27-46}
Whenever, pursuant to this chapter, the commission shall function in a municipality having a school district coterminous therewith which is governed by the provisions of chapter 7 of the title Education (s. 18:7-1 et seq.), the commission may from time to time prepare and certify to the board of education of such school district, in the manner and mode of procedure provided in this chapter, resolutions providing for the funding or refunding of notes or bonds or other indebtedness of such school district, and the interest thereon, which the commission shall have found after public hearing to be outstanding and unpaid and to be due or to become due. The commission may include in the amount of indebtedness to be funded or refunded the expense of issuing and selling notes or bonds hereunder, including the estimated cost of printing, advertising, attorney's fees, execution, certification, exchange and delivery.
##### **§ 52:27-47** Public hearing on resolution {#sec-52-27-47 omnilex-key=us-nj-statutes--title-52--52:27-47}
Any proposed resolution providing for the issuance of notes or bonds, if such notes or bonds are payable more than one year from the date of issue, shall be certified as aforesaid only after a public hearing by the commission; but no resolution or amendment thereto determining or altering the form of notes or bonds or providing for their sale, execution or delivery shall require any public hearing before such certification.
##### **§ 52:27-48** Adoption of resolution by board of education {#sec-52-27-48 omnilex-key=us-nj-statutes--title-52--52:27-48}
Such resolutions shall, on direction of the commission, be adopted by the board of education of such school district, by the vote of a majority of the members thereof, in the form certified by the commission.
##### **§ 52:27-49** No referendum; other laws inapplicable {#sec-52-27-49 omnilex-key=us-nj-statutes--title-52--52:27-49}
Such resolutions and any notes or bonds authorized to be issued thereunder shall not be subject to a referendum of the legal voters of the school district or to the limitations or other provisions of any other law.
##### **§ 52:27-50** Form of notes or bonds; terms, provisions and conditions {#sec-52-27-50 omnilex-key=us-nj-statutes--title-52--52:27-50}
Subject only to the limitations of this article, such resolution or resolutions supplemental thereto shall determine the terms and the form of notes or bonds to be issued thereunder. Such notes or bonds may be subject to such terms of redemption, with or without premium, and contain such provisions, conditions and limitations with respect to the acceleration of the obligation to pay the principal thereof upon such default in the payment of the interest on or principal of any bonds or notes, or in respect to the provisions concerning debt service and sinking fund payments, as the resolution authorizing their issuance may provide. Any notes or bonds issued under this article in exchange for any instrument issued under any other law may be authorized by such resolution or resolutions to contain a provision that, in case of default in payment of the principal of or interest on any such note or bond, the holder thereof shall not only have all his rights and remedies thereunder, but in addition shall be reinvested with such of the rights or remedies which he would have had were he then the owner and in possession of the instrument in exchange for which such note or bond shall have been issued as may be specified in such resolution. Such notes or bonds may contain such reference to any special covenants or provisions contained in the resolution authorizing their issuance and such other terms, provisions or conditions not inconsistent herewith as may be deemed by the commission to give such notes or bonds a higher degree of marketability as the resolution or resolutions determining the form of the notes or bonds may provide. All notes or bonds issued under this article containing any one or more of such references, terms, provisions, or conditions shall be deemed negotiable instruments, the provisions or limitations of any other law to the contrary notwithstanding; but nothing in this section shall be construed to impair the negotiability of any other instruments negotiable under other laws of this state.
##### **§ 52:27-51** Collateral agreements; provisions in resolutions as to taxation, sinking fund, pledges and limitations; enforcement {#sec-52-27-51 omnilex-key=us-nj-statutes--title-52--52:27-51}
To the end that the principal of and interest on the notes or bonds issued hereunder may be further secured and thereby a more favorable sale or exchange effected, any resolution authorizing the issuance of notes or bonds hereunder may contain provisions which shall be a part of the contract with the holders of such notes or bonds as to (a) the amount to be raised by taxation in the school district in each year for debt service and for reserve or sinking funds, which amount may be expressed in dollars, percentage of total assessed valuations or both, or otherwise; (b) the setting aside of reserve or sinking funds, and the amount, source, securing, regulation, investment, application and disposition thereof; (c) the pledging, depositing or trusteeing of moneys to be applied to the payment of the principal of and interest on the notes or bonds, and the securing of such deposits; (d) the pledging of taxes and other revenues or moneys of the school district directly to the payment of the principal of and interest on the notes or bonds, or to reserve or sinking funds; (e) limitations effective for not exceeding ten years from the effective date of such resolution or resolutions on the amount or nature of borrowing or incurring of indebtedness by the school district; (f) appointment of a fiscal agent by the school district and the powers and duties thereof; (g) the levying of a special tax, in such amount as said resolution may provide, for the payment of the principal of and interest on the notes or bonds, which special tax shall be levied upon all the real and personal property in the school district subject to taxation in addition to the taxes levied for all other purposes, and shall be assessed, levied and collected in the same manner and at the same time as other taxes upon real and personal property are now or shall hereafter be assessed, levied and collected, and, when collected, shall be deemed trust funds and shall be applied and paid over by the collector or other officer having the custody of the collected taxes solely to the agreed payment of the principal of and interest on the notes or bonds, or if such agreed payment shall have been made, then in such manner and for such purposes as said resolution may provide; (h) the terms and conditions upon which such resolution or resolutions or any contract entered into thereby may be amended, rescinded or repealed; (i) any other or further course of conduct on the part of the school district which may tend to improve its credit standing. Any school district adopting a resolution containing any provision authorized hereunder shall have and possess all of the powers necessary and appropriate for the performance thereof. The provisions of any such resolution shall be enforceable by a proceeding in lieu of prerogative writ or other appropriate action or proceeding instituted by the commission or by the holder of any note or bond on his own behalf, or on behalf of all the holders of such notes or bonds, in either case in any court of competent jurisdiction whether or not there shall have been any default in the payment of the principal of or interest on any such notes or bonds.
##### **§ 52:27-51.1** Sinking fund commission; payments of reserve or sinking fund to {#sec-52-27-51.1 omnilex-key=us-nj-statutes--title-52--52:27-51.1}
Any resolution authorizing the issuance of notes or bonds hereunder may provide that any sums required pursuant to such resolution to be set aside by the school district for reserve or sinking funds shall be paid to the sinking fund commission of such school district, and all moneys so paid to such commission shall be held and applied by it only as in such resolution provided and shall not be commingled with any other moneys held by such commission. The provisions of chapter 3 of the title Municipalities and Counties (s. 40:3-1 et seq.), in so far as they relate to the creation, setting aside or maintenance of sinking funds and the investment, application and disposition thereof, shall have no application with respect to notes or bonds issued under this article or any reserve or sinking funds provided therefor.
##### **§ 52:27-51.2** Release of sinking funds {#sec-52-27-51.2 omnilex-key=us-nj-statutes--title-52--52:27-51.2}
Any resolution authorizing the issuance of notes or bonds hereunder may provide that the notes, bonds or other obligations of the school district then held by the sinking fund commission thereof shall be canceled and that other property or funds in the custody of such commission shall be applied to the payment of other indebtedness of the school district as in such resolution provided, and such commission shall cancel such notes, bonds or other obligations and apply such property or funds accordingly; provided, that nothing herein contained shall be deemed to permit, without the consent of such holder, the impairment of any rights of the holder of any note, bond or other obligation of the school district for the security or payment of which any such notes, bonds, obligations, property or funds shall be held.
##### **§ 52:27-52** Sale or exchange of notes or bonds {#sec-52-27-52 omnilex-key=us-nj-statutes--title-52--52:27-52}
Subject only to the limitations of this article, such resolution or resolutions supplemental thereto shall provide for the sale or exchange and the execution and delivery by such officers of the school district as shall be therein designated of the notes or bonds to be issued thereunder, and it shall be mandatory upon such officers to sell or exchange and execute and deliver such notes or bonds as so determined and provided.
##### **§ 52:27-53** Conditions of sale or exchange {#sec-52-27-53 omnilex-key=us-nj-statutes--title-52--52:27-53}
All such notes or bonds shall be sold at not less than par at public sale after notice setting forth the terms and conditions of sale, published in such newspaper circulating in the school district, and in such financial newspaper, as shall be designated by any such resolution, except in the following cases:
a. If no bids are received at such public sale, or if all bids are rejected, any notes or bonds or part thereof may with the written assent of the commission be sold without further notice at private sale at any time within six months.
b. With the approval in writing of the commission, any notes or bonds or part thereof may be exchanged for any notes or bonds, including interest thereon, of the school district issued under this or any other law. The rate of interest borne by any such notes or bonds may be higher or lower than the rate of interest borne by the notes or bonds surrendered.
c. With the approval in writing of the commission, any notes or bonds may be issued directly to any creditor of the school district in absolute and unconditional payment of the indebtedness and interest thereon of such school district to such creditor, provided that notes or bonds shall not be so issued unless and until the amount due such creditor has been determined by the board of education and by the commission, nor unless and until the school district receives from such creditor a release running to the school district and if such creditor is a party plaintiff in any suit, action or proceeding pending against the school district relative to such indebtedness, a stipulation of dismissal of such suit, action or proceeding. Such release and such stipulation shall be approved as to form by counsel to the school district and by counsel to the commission.
d. Any notes or bonds, or any part thereof, may be sold without any previous public offering to, and be purchased by, any sinking fund commission or the insurance or pension fund commissioners of the school district offering the bonds, or be sold to any board, commission or officers of the state, authorized by law to purchase such notes or bonds.
e. Any notes or bonds payable not more than seven years from their date may be sold at private sale with the written assent of the commission.
##### **§ 52:27-54** Effect of resolutions; publication; validity; presumptions {#sec-52-27-54 omnilex-key=us-nj-statutes--title-52--52:27-54}
Excepting resolutions determining or altering the form of notes or bonds or providing for their sale, execution and delivery, and resolutions amendatory thereof or supplemental thereto, such resolutions adopted by the board of education shall be published in a newspaper circulating in the school district and shall take effect immediately upon such publication. Resolutions not required to be published shall take effect immediately upon adoption by the board of education. Thirty days after taking effect all resolutions shall be conclusively presumed to have been duly and regularly adopted by the board of education, and to comply with the provisions of this and of every law; and the validity of any such resolution shall not thereafter be questioned by either a party plaintiff or a party defendant, except in a suit, action or proceeding, commenced prior to the expiration of such thirty days; and unless a suit, action or proceeding questioning the validity of notes or bonds purporting to be issued by virtue of any such resolution be commenced prior to the expiration of such thirty-day period, any such notes or bonds reciting that they are issued pursuant to this article shall, after their issuance and delivery, if no suit relating thereto is then pending, be conclusively presumed to be fully authorized by all the laws of this state and to have been issued, sold, executed and delivered by the school district in conformity therewith and shall not be questioned by the school district or any taxpayer or legal voter thereof in any court, anything herein or in any other statutes to the contrary notwithstanding.
##### **§ 52:27-55** Tax to pay notes and bonds; reserve or sinking fund {#sec-52-27-55 omnilex-key=us-nj-statutes--title-52--52:27-55}
Any school district which shall have issued any notes or bonds pursuant to this article shall have the power to raise by a district tax any sum or sums for the purpose of providing for the payment of the interest thereon and the principal thereof and for the setting aside of necessary reserve or sinking funds therefor. The full faith and credit of such school district shall be deemed to have been pledged for the punctual payment of interest on and principal of all notes and bonds issued pursuant to this article.
##### **§ 52:27-56** Additional indebtedness and expenditures; assent of commission necessary {#sec-52-27-56 omnilex-key=us-nj-statutes--title-52--52:27-56}
In order to conserve the financial resources of the school district, neither the legal voters nor the board of education thereof, without the assent in writing of the commission, shall issue or authorize the issuance of notes or bonds of any kind or character, or create any obligation or indebtedness of the school district, except pursuant to section 18:7-60 of the title Education. Nor shall any action taken by the legal voters of the school district be effective in so far as it purports to raise by tax in any year any sum or sums for any purpose or purposes, except to provide for the payment of the interest on or principal of any debt or obligation of such school district or for the setting aside of necessary reserve or sinking funds therefor, in excess of the sum or sums voted to be raised by tax for like purposes in the preceding year without like assent of the commission.
##### **§ 52:27-57** Default in payment of interest, salaries, etc.; limitation on expenditures {#sec-52-27-57 omnilex-key=us-nj-statutes--title-52--52:27-57}
Whenever such school district, or the municipality with which such school district is coterminous, has been or shall be in default for twelve months in the payment of interest on any of its bonds or notes or other written evidence of indebtedness (except where the same is under litigation as to its validity, or where the validity thereof has been denied by formal notice given by the school district or municipality, and no suit, action or proceeding to enforce the same has been commenced by the holder); or whenever any such school district or municipality has been or shall be in default for six months in the payment of any part of its regular pay roll, or, in the case of the municipality, in the payment of any sums due from the annual tax levy to the state, county or school district, then in any event no action taken by the legal voters of the school district shall be effective in so far as it purports to raise by tax in any year any sum or sums for any purpose or purposes, except to provide for the payment of the interest on or principal of any debt or obligation of such school district or for the setting aside of necessary reserve or sinking funds therefor, in excess of such limits as may be fixed by the commission.
##### **§ 52:27-58** Auditors and assistants; expenses limited {#sec-52-27-58 omnilex-key=us-nj-statutes--title-52--52:27-58}
For the purpose of enabling the commission to carry out this article, the commission shall have power to employ an auditor and such other assistants, legal, clerical or otherwise, and to fix their duties, terms of service and compensation and to incur such other expenses as it may deem necessary, but no expenses (other than expenses directly attributable to the school district such as the costs of issuing the obligations of the school district and the costs of audit) shall be incurred exceeding ten thousand dollar ($10,000.00) for any one school district in any fiscal year of such school district without the consent of a judge of the Superior Court.
##### **§ 52:27-59** Powers and duties of auditor; office {#sec-52-27-59 omnilex-key=us-nj-statutes--title-52--52:27-59}
Whenever the commission shall certify to the board of education that it intends to exercise the powers conferred by this section, thereafter no claims shall be passed for payment by the board of education or other officers of the school district until the auditor of the commission shall have certified that the same have been examined by him and found to be within the amount voted to be raised by tax therefor, and that there is or will be available in an appropriate account sufficient ready funds for its payment. Furthermore, thereafter all warrants, checks or other instruments for the withdrawal or transfer of funds of the school district shall be submitted to such auditor for his counter-signature and no banking institution in which funds of the school district have theretofore been or shall thereafter be deposited shall honor warrants or checks drawn thereon unless the counter-signature of such auditor shall appear on the face of such instruments. The board of education shall provide an adequate office for such auditor, who shall have access to all books of account, records, papers and memoranda of such school district.
##### **§ 52:27-60** Expenses to be paid by school district {#sec-52-27-60 omnilex-key=us-nj-statutes--title-52--52:27-60}
The commission shall from time to time certify to the board of education the amount of its expenses, which amount shall be a legal charge upon the school district payable to the commission, and may be raised by the issuance of notes by the board of education, but the amounts so certified, if remaining unpaid, and the amounts of any notes so issued shall be included by the board of education, without any authorization by the legal voters of the school district, in the next succeeding amount certified to the county board of taxation as the amount to be raised by taxation for the purposes of the school district.
##### **§ 52:27-61** Failure of school authorities to act; commission to act directly {#sec-52-27-61 omnilex-key=us-nj-statutes--title-52--52:27-61}
Whenever any direction of the commission authorized under this article has not been fully performed or carried out by the board of education or other officials of the school district affected, the commission shall have power to perform directly, or cause to be performed by its agents, in the name of the school district, any act so directed by the commission under the provisions of this article, including the power to execute, sell, issue and deliver any notes or bonds directed by the commission to be issued by the school district for the funding or refunding of its indebtedness in the manner and mode of procedure provided by this chapter for the issuance of notes or bonds by a municipality.
##### **§ 52:27-62** Remedies; enforcement of judgments, etc.; bringing of actions or proceedings stayed; exceptions {#sec-52-27-62 omnilex-key=us-nj-statutes--title-52--52:27-62}
Whenever the commission shall function in a municipality having a school district coterminous therewith which is governed by the provisions of chapter seven of the Title Education (s. 18:7-1 et seq.):
a. No judgment, levy or execution against such school district or the property thereof for the recovery of the amount due on any bonds, notes or other obligations of the school district, in the payment of which such school district has defaulted shall be enforced until otherwise specially directed by the Superior Court in an appropriate action or proceeding for such purpose, after notice to the commission; and the enforcement of any such judgment, levy or execution shall be and it hereby is stayed until otherwise specially directed as aforesaid;
b. No action or proceeding of any kind either direct or ancillary, by way of a proceeding in lieu of prerogative writ or otherwise, shall be brought against such school district, municipality, or any public officers for the assessment, levy or collection of taxes for such school district and any and all actions or proceedings therefor shall be and they hereby are stayed; except that first, the Superior Court, after notice to the commission may authorize one or more creditors of such school district to bring and maintain an action or proceeding therefor in the Superior Court, which shall be brought for the benefit of themselves and all other creditors of such school district and in which all other creditors of such school district shall have the right to intervene and assert their claim and in which all other creditors of such school district may, and such commission shall, be made parties in such manner and upon such notice as the court shall prescribe; and except that, second, the commission may bring and maintain an action or actions or a proceeding in lieu of prerogative writ or any other appropriate proceeding or proceedings for the assessment, levy or collection of taxes for such school district for the payment of principal or interest of the indebtedness of the school district found to be outstanding as provided in section 52:27-46 of this Title; without limiting its power otherwise to direct by a proceeding in lieu of prerogative writ the assessment, levy or collection of taxes, the Superior Court in the action or proceeding aforesaid may, to the extent which it shall deem just and equitable, afford to the holders collectively of any due and unpaid claims against a school district any remedy which might be afforded under any other law to any individual creditor in any such proceeding in lieu of prerogative writ for the assessment, levy or collection of taxes, to the same extent as if there had been an entry of judgment in their favor, issuance of execution and return thereof unsatisfied, service thereof upon public officials and performance of any and all other conditions precedent to the affording of such relief by a proceeding in lieu of prerogative writ under such other law; provided, that the court be first satisfied from proof submitted by affidavit or otherwise that the claims for the enforcement of which such remedy is sought are claims upon which a judgment could be obtained;
c. No action or proceeding shall be brought or prosecuted, the purpose of which is to affect the disposition of property or funds owned or controlled by the school district, except as herein provided; if any such school district has in its possession or under its control, or there is in the possession or under the control of the commission, any property or funds of such school district which are or may be available for the payment of interest or principal upon any of the debts of such school district (over and above the payment of the current operating expenses of the school district and the maintenance of a reasonable working capital), then such school district in its discretion may bring an action, or if directed by the commission shall do so, in the Superior Court to determine the application and distribution of such property or funds to and among the creditors of the school district, and in any such case the court in its discretion may permit an action for relief of the same character to be made by any creditor of the school district; in any such action, the court may proceed therein in a summary manner or otherwise, and all creditors of the school district shall be made parties thereto, and any creditor may appear therein and assert his rights to receive all or any part of such property or funds; in case any such action shall be instituted, the court may direct the municipality to make no payments from any of such moneys so available until the determination of the action or until permitted by the court; unless and until such a direction shall be made, payments may be made by such municipality on account of principal and interest as the municipality may determine and as may be approved by the municipal finance commission;
d. Upon the application of any creditor made upon notice to the school district and the commission, the Superior Court may vacate, modify or restrict any statutory stay contained in this article.
##### **§ 52:27-63** Plan of adjustment or composition of claims of creditors; procedure; effect {#sec-52-27-63 omnilex-key=us-nj-statutes--title-52--52:27-63}
a. Whenever the commission shall function in any municipality having a school district coterminous therewith which is governed by the provisions of chapter seven of the Title Education (s. 18:7-1 et seq.), then, the Superior Court may take jurisdiction of an action brought by any creditors of such school district where the action is instituted by the plaintiff or plaintiffs on behalf of themselves and all other creditors of the school district for the approval of a plan of adjustment or composition of the claims of all creditors or of a class or classes of them similarly situated. The court may proceed in the action in a summary manner or otherwise, and the school district, the commission and all creditors of the school district shall be made parties to the action. Any creditor of the school district may appear and assert his rights.
b. In any such action, after hearing on the plan proposed or on the plan as modified by order and if such plan as proposed or modified is approved in writing by creditors representing eighty-five per centum (85%) in amount of the indebtedness affected thereby and by the school district and the commission, the Superior Court may authorize and approve such adjustment or composition if the court determines (1) that the school district is unable to pay in full according to their terms the claims proposed to be adjusted or composed, and perform its public functions and preserve the value of property subject to taxation, (2) that the adjustment or composition is substantially measured by the capacity of the school district to pay, (3) that it is in the interest of all the creditors affected thereby, and (4) that it is not detrimental to other creditors of the school district or of the municipality.
c. The plan of adjustment or composition so authorized and approved shall forthwith and without any further action of any kind be binding upon all the creditors included in such plan, whether or not they appear in such action, and in so far as said plan provides for the substitution of any new bonds, notes, or other obligations of the school district in place of any outstanding bonds, notes or other obligations or claims then outstanding, such substitution shall be effectual from and after such date as may be fixed by the court.
d. After the institution of any action provided for by this section and pending the determination thereof, the Superior Court may continue the stay provided by section 52:27-62 of this Title. In the event that a plan shall be authorized and approved pursuant to this article, the court shall retain jurisdiction of such action and thereafter no creditor whose claim is included in such adjustment or composition shall be authorized to bring any action or proceeding of any kind or character for the enforcement of his claim except with the permission of the court and then only to recover and enforce the rights given to him by such adjustment or composition.
e. Notwithstanding any provisions of this article, the commission shall not approve any adjustment or composition, or plan presented pursuant to this section, which provides for the reduction in the principal amount of any outstanding notes or bonds of the school district.
##### **§ 52:27-64** "Certified" resolutions defined; form of certificate; signing {#sec-52-27-64 omnilex-key=us-nj-statutes--title-52--52:27-64}
The word "certified" as used in this chapter shall, as to resolutions prepared by the commission and certified to the governing body of a municipality, be construed to mean transmission by first-class mail of a copy of a resolution of the commission, accompanied by a certificate substantially in the following form:
"The annexed resolution is hereby certified by the municipal finance commission to the (insert name of governing body of municipality) pursuant to chapter 27 of the title State Government, Departments and Officers, of the Revised Statutes (s. 52:27-1 et seq.)." Such certificate shall be signed in the name of the commission by at least a majority of its members under its common seal, and attested by its secretary.
##### **§ 52:27-65** Remedial law to meet public emergency; liberal construction {#sec-52-27-65 omnilex-key=us-nj-statutes--title-52--52:27-65}
It is declared that this chapter is intended by the legislature to meet the public emergency arising from a default in the payment of municipal and school district obligations and the resulting impairment of public credit, requiring intervention by the state to provide for the payment of existing obligations in such a way as to cause the least embarrassment to property owners as taxpayers, and that this chapter is remedial in nature and the powers hereby granted shall be liberally construed.
##### **§ 52:27-66** Powers and duties severable {#sec-52-27-66 omnilex-key=us-nj-statutes--title-52--52:27-66}
The powers granted and duties imposed by this chapter shall be construed to be independent and severable, and a judicial determination that one or more of such powers or duties are not constitutionally conferred or imposed shall not invalidate or affect the remainder thereof.
## **Chapter 27A**
##### **§ 52:27A-19.1** Powers and duties of Funding Commission vested in Local Government Board {#sec-52-27a-19.1 omnilex-key=us-nj-statutes--title-52--52:27A-19.1}
All the powers and duties heretofore exercised and performed by the Funding Commission, constituted by Article VI-A of chapter seventy-seven of the laws of one thousand nine hundred and thirty-five, and the acts amendatory thereof and supplemental thereto (R.S. 40:1-61 to 40:1-73, inc.), are hereby vested in and shall be hereafter exercised and performed by the Local Government Board of the State Department of Local Government, constituted by chapter one hundred and fifty-eight of the laws of one thousand nine hundred and thirty-eight.
## **Chapter 27B**
##### **§ 52:27B-1** Terms defined {#sec-52-27b-1 omnilex-key=us-nj-statutes--title-52--52:27B-1}
As used in this act, unless the context clearly indicates otherwise:
"Department" means the State Department of Taxation and Finance herein established.
"Commissioner" means the commissioner and head of the State Department of Taxation and Finance.
"Director" means the director of an indicated division, herein established, in the State Department of Taxation and Finance.
"Request Officer" means the principal officer of a department or board in the Executive Branch of the State Government.
##### **§ 52:27B-2** State Department of Taxation and Finance established {#sec-52-27b-2 omnilex-key=us-nj-statutes--title-52--52:27B-2}
There is hereby established, in the Executive Branch of the State Government, the State Department of Taxation and Finance.
##### **§ 52:27B-3** Divisions established {#sec-52-27b-3 omnilex-key=us-nj-statutes--title-52--52:27B-3}
The following are hereby established as divisions in the department:
The Division of Budget and Accounting.
The Division of Purchase and Property.
The Division of Taxation.
##### **§ 52:27B-4** State Commissioner of Taxation and Finance; appointment and removal {#sec-52-27b-4 omnilex-key=us-nj-statutes--title-52--52:27B-4}
The administrator and head of the department shall be the State Commissioner of Taxation and Finance. The commissioner shall be appointed by the Governor by and with the advice and consent of the Senate and shall hold his office until the next Governor shall be elected and qualified and until the commissioner's successor shall be appointed and qualified. The Governor, however, shall have power to remove the commissioner for cause.
##### **§ 52:27B-5** Compensation of commissioner {#sec-52-27b-5 omnilex-key=us-nj-statutes--title-52--52:27B-5}
The commissioner shall receive an annual compensation of twelve thousand dollars ($12,000.00).
##### **§ 52:27B-6** General powers and duties of commissioner {#sec-52-27b-6 omnilex-key=us-nj-statutes--title-52--52:27B-6}
The commissioner, in addition to powers and duties specifically conferred and imposed upon him, shall have the following general powers and duties, to:
a. Maintain suitable headquarters for the department and such other quarters within the State as he may deem necessary to the department's proper functioning;
b. Have general responsibility for all of the department's operations under this act;
c. Supervise the organization of the department and changes in the organization thereof except that the divisions and bureaus of the department herein specifically provided shall be maintained; formulate and adopt rules and regulations for the efficient conduct of the work and general administration of the department, its officers and employees;
d. Make an annual report to the Governor and to the Legislature of the department's operations, and render such other reports as the Governor shall from time to time request.
##### **§ 52:27B-7** Transfer of personnel {#sec-52-27b-7 omnilex-key=us-nj-statutes--title-52--52:27B-7}
The commissioner may, in consultation with the heads of other departments or branches of the State Government, and subject to section six, article eight, of this act, arrange for the interdepartmental and intradepartmental transfer of personnel with a view to the greatest possible efficiency of departmental operations.
##### **§ 52:27B-8** Administrative Division authorized {#sec-52-27b-8 omnilex-key=us-nj-statutes--title-52--52:27B-8}
The commissioner shall have authority to organize and maintain in his offices an Administrative Division and to employ therein such secretarial, clerical and other assistants as his office and the internal operations of the department shall require.
##### **§ 52:27B-9** Deputy commissioner {#sec-52-27b-9 omnilex-key=us-nj-statutes--title-52--52:27B-9}
The commissioner shall designate as deputy commissioner one of the directors who shall exercise the powers and perform the duties of the commissioner during his disability or absence, which designation, in writing, shall be filed with the Secretary of State.
##### **§ 52:27B-9.1** Cancellation of uncollectible claims of state for grant or rental of riparian lands {#sec-52-27b-9.1 omnilex-key=us-nj-statutes--title-52--52:27B-9.1}
Where any institution, department, commission, officer or other agency charged with the receipt and collection of any moneys due the State, for the grant, lease or rental of riparian lands or interests therein, shall determine by resolution that moneys due the State as aforesaid are uncollectible, notification to this effect shall be given to the Commissioner of Taxation and Finance, and the said commissioner is hereby authorized and empowered, after investigation and upon review, in his discretion, to cancel any such sum or sums due as aforesaid, and further to order such claims removed from the State financial records and from the records of any such institution, department, commission, officer or agency as aforesaid.
##### **§ 52:27B-10** Director of division {#sec-52-27b-10 omnilex-key=us-nj-statutes--title-52--52:27B-10}
The Division of Budget and Accounting shall be headed by a director who shall be the Commissioner of Taxation and Finance.
##### **§ 52:27B-11** Organization of division {#sec-52-27b-11 omnilex-key=us-nj-statutes--title-52--52:27B-11}
The commissioner shall have authority to organize the division for the effective performance of its functions and purposes herein set forth.
##### **§ 52:27B-12** Bureau of the Budget {#sec-52-27b-12 omnilex-key=us-nj-statutes--title-52--52:27B-12}
There is hereby established in the Division of Budget and Accounting the Bureau of the Budget. The commissioner, through the Bureau of the Budget, shall carry into effect and execute the formulation of the annual budget submitted by the Governor to the Legislature and shall control the execution of the budget through a system of allotments by work programs.
##### **§ 52:27B-13** Procedures prescribed {#sec-52-27b-13 omnilex-key=us-nj-statutes--title-52--52:27B-13}
The commissioner, through the Bureau of the Budget, shall follow the provisions and procedures set forth in sections five through twenty-three, inclusive, of this article.
##### **§ 52:27B-14** Expenditures for ensuing year to be requested {#sec-52-27b-14 omnilex-key=us-nj-statutes--title-52--52:27B-14}
On or before October first in each year each department of the State Government, board, commission, officer or other State agency, hereinafter in this article called "spending agency," shall file with the commissioner a request for appropriation or permission to spend, as the case may be, which shall specify all expenditures proposed to be made by such spending agency during the next ensuing fiscal year.
##### **§ 52:27B-15** Request officers {#sec-52-27b-15 omnilex-key=us-nj-statutes--title-52--52:27B-15}
A request provided in section five shall be made by the request officer. In the case of the Supreme and Superior Courts, the request officer shall be the administrative director of the courts under the direction of the Chief Justice of the Supreme Court and, in the case of the Legislature, the request officer shall be the secretary of the Senate and the clerk of the General Assembly, respectively.
##### **§ 52:27B-16** Form of request {#sec-52-27b-16 omnilex-key=us-nj-statutes--title-52--52:27B-16}
Said request shall be made on forms to be furnished by the commissioner and subject to such rules and regulations as he shall prescribe from time to time and shall show in detail:
a. A statement exhibiting for the next ensuing fiscal year all estimated revenues; the estimate of revenues for the current fiscal year and the actual revenues for the past completed fiscal year;
b. The several purposes and itemized amounts for which appropriations or permissions to spend are requested, without deductions for estimated revenues allocated to such spending agency;
c. A statement exhibiting for the last preceding fiscal year the amounts of the annual and supplemental appropriations, transfers of appropriations, allotments from the emergency fund, dedicated receipts, if any, and of all expenditures made thereunder and the unexpended balance, if any, and the extent to which the same is obligated or encumbered;
d. A statement indicating how much of the requested appropriation will be spent in each quarter of the fiscal year.
In case an appropriation is requested for a project which cannot be completed within the next ensuing fiscal year, the request shall set forth in detail a complete description of the whole project and the estimated and detailed cost thereof, and shall show separately the part of the project which has been completed, if any, and the actual cost thereof; the part remaining to be completed and the estimated cost thereof, and the part proposed to be completed within the ensuing fiscal year and the estimated cost thereof.
##### **§ 52:27B-17** State highway program {#sec-52-27b-17 omnilex-key=us-nj-statutes--title-52--52:27B-17}
On or before the first of October in each year, the State Highway Commissioner shall submit to the commissioner the schedule and program for which he proposes to expend or use the amounts appropriated to said department for the ensuing fiscal year, according to purposes, routes and sections of routes.
Such program may include alternate projects which may be substituted for other projects included in the program, should it be found impossible or impracticable to construct or carry on any one or more of said projects in the program. This schedule shall become a part of the request for appropriation made by the State Highway Commissioner.
On or before December tenth of each year the State Highway Commissioner shall notify the clerk of the board of chosen freeholders of each county as to the amount of county and township and borough aid appropriated and available for the county and each municipality within the county applicable to the ensuing calendar year, and it shall be lawful for the several counties and municipalities to include such amount in their respective budgets, and said amounts shall be available to the State Highway Commissioner for allotment to the said counties and municipalities at the beginning of said ensuing calendar year, and commitments may be made against said amounts by said counties and municipalities, subject to the approval of the State Highway Commissioner, immediately after the beginning of said ensuing calendar year.
##### **§ 52:27B-18** Investigation of requests {#sec-52-27b-18 omnilex-key=us-nj-statutes--title-52--52:27B-18}
Upon the receipt of requests for appropriations, the commissioner, or a member of the department designated by him, shall examine such requests and determine the necessity or advisability thereof, and for that purpose may hold hearings thereon which shall be open to the public, and may summon and examine the request officers and any witnesses and order the production of any State records for his examination, and make any investigation which he deems necessary or advisable for the purpose of making such determination.
##### **§ 52:27B-19** Transmission to Governor of requests and findings {#sec-52-27b-19 omnilex-key=us-nj-statutes--title-52--52:27B-19}
On or before December thirty-first of each year, or at such other time or times as the Governor may request, the commissioner shall certify and transmit to the Governor and Governor-elect the requests of the spending agencies, together with his findings, comments and recommendations thereon.
##### **§ 52:27B-20** Governor's budget message; presentment; form. {#sec-52-27b-20 omnilex-key=us-nj-statutes--title-52--52:27B-20}
11. The Governor shall examine and consider all requests for appropriations, together with the findings and recommendations of the Director of the Division of Budget and Accounting, and shall formulate the Governor's budget recommendations, which shall be presented as a budget message by the Governor during an appearance before a joint session of the Legislature which shall be convened at 12 noon on a date on or before the fourth Tuesday in February in each year.
The budget message shall include the proposed complete financial program of the State Government for the next ensuing fiscal year, and shall set forth in columnar form detailed as to each source of anticipated revenue and the purposes to which the recommended appropriations and permissions to spend shall apply for each spending agency in substantially the following form:
A. Revenues for the General Fund, other budgeted State revenues, all other dedicated funds, Federal aid funds, and trust funds:
(1) An estimate of all balances to be on hand on the first of July next ensuing which are to be available for appropriations, supported by the calculations used in arriving at the estimated figures;
(2) An estimate of the anticipated revenues from all sources applicable to the budget period, together with the actual amount earned from each source during the last completed fiscal year, and the estimate of revenues expected to be earned from each source for the current fiscal year.
B. (Deleted by amendment, P.L.2003, c.275).
C. Appropriations. The total of the appropriations recommended for the ensuing fiscal year in substantially the following form:
Detailed Budget:
(1) An itemized statement of all appropriation requests and requests for permission to spend from the General State Fund, other budgeted State revenues, other dedicated funds and Federal aid and trust funds;
(2) An itemized statement of the amounts recommended by the Governor with respect to item "1" above;
(3) An itemized statement of all amounts appropriated and permissions granted for the current fiscal year with respect to item "1" above;
(4) An itemized statement of all amounts appropriated and permissions granted for the last preceding fiscal year with respect to item "1" above detailed as to annual and supplemental appropriations, transfers of appropriations, State Emergency Fund allotments, and permission to spend, as the case may be, and showing also total expenditures, reserves, lapses and unencumbered balances;
(5) In addition, such other statistical information as may more fully show comparisons and costs of the several departments.
##### **§ 52:27B-20a** State tax expenditure report included in Governor's budget message. {#sec-52-27b-20a omnilex-key=us-nj-statutes--title-52--52:27B-20a}
1. a. In addition to the requirements of section 11 of article 3 of P.L.1944, c.112 (C.52:27B-20), and any other provisions of law, the Governor's budget message transmitted annually to the Legislature shall include a State tax expenditure report setting forth estimates of the tax expenditures under existing State law for the last completed fiscal year, the current fiscal year and the fiscal year to which the budget message applies. The tax expenditures report shall take into account projected economic factors, and any changes in State tax expenditures as may be enacted or reasonably expected to be enacted for any fiscal year.
b. The State tax expenditures report shall:
(1) list each State tax expenditure,
(2) identify the statutory authority for each State tax expenditure, and the year in which it was enacted or the tax year or tax period in which it became effective,
(3) describe the objective of each State tax expenditure,
(4) detail in columnar enumeration for each State tax expenditure an estimate of the amount of State revenue loss for the last completed fiscal year, the current fiscal year and the fiscal year to which the budget message applies,
(5) determine whether each State tax expenditure has been effective in achieving the purpose for which the tax expenditure was enacted and currently serves, including an analysis of the persons, including corporations, individuals or other entities, benefited by the expenditure,
(6) the effect of each State tax expenditure on the fairness and equity of the distribution of the tax burden, and
(7) the public and private costs of administering the State tax expenditures.
c. As used in this section:
"State tax expenditure" means those revenue losses attributable to provisions of State tax law which establish special tax treatment, including but not limited to tax law definition, deduction, exclusion, exemption, deferral, credit, preferential tax rate or other special tax provision resulting in a reduced tax liability for certain persons, individuals, types of income, transactions or property from the liability which would be presumed to exist without the State tax expenditure.
d. The Division of Taxation in the Department of the Treasury shall advise and assist the Governor in the preparation of the State tax expenditure report.
##### **§ 52:27B-20.1** Short title {#sec-52-27b-20.1 omnilex-key=us-nj-statutes--title-52--52:27B-20.1}
1. This act shall be known and may be cited as the "Environmental Fee Accountability Act of 1991."
##### **§ 52:27B-20.2** Findings, determinations {#sec-52-27b-20.2 omnilex-key=us-nj-statutes--title-52--52:27B-20.2}
2. The Legislature finds and determines that:
The Department of Environmental Protection is one of the largest executive agencies in the State, and exerts considerable influence on the economy and quality of life in the State;
In recent years, revenues from fees generated by departmental enforcement and other activities have accounted for a steadily increasing percentage of total departmental revenues;
A significant percentage of fee revenues is anticipated by the department each state fiscal year as "off-budget" or "below the line" revenue, for which inadequate program data or no program data are provided to the Legislature;
This deleterious trend is clearly illustrated by the Governor's proposed budget for the 1992 State fiscal year, in which the department anticipates receiving over $161 million in fees and fines, only $59.7 million, or a mere 37% of which is anticipated "on budget;"
It is the Constitutional responsibility of the Legislature to adopt a budget for each State fiscal year, and, as a fundamental principle of sound fiscal policy, the Legislature must be able to perform a detailed evaluation of major State spending programs;
It is, therefore, entirely proper and in the interest of the people of this State, that the Legislature require the Department of Environmental Protection to include, as part of its annual budget proposal, all fee revenues and anticipated fee revenues as "on budget" or "above the line" items, to provide the same date for the programs funded by those revenues as is provided for other spending programs, and to make such information available to the budget committees and the key environmental policy committees in the Legislature; and
It is also entirely proper, and in the interest of the people of this State, that the Legislature require the State Treasurer, in preparing the Governor's proposed budget for each State fiscal year, to include all anticipated fee revenues for the department "on budget," or "above the line," and to include these fees and the appropriate program information in the public document containing that proposed budget.
##### **§ 52:27B-20.3** Definitions {#sec-52-27b-20.3 omnilex-key=us-nj-statutes--title-52--52:27B-20.3}
3. As used in this act:
"Department" means the Department of Environmental Protection.
"Fee" means any fee, assessment or other charge imposed by the department pursuant to any law, rule or regulation for licenses, permits or other approvals, or for regulatory actions or services performed or provided by the department pursuant to federal or State law.
"Program" means any regulatory or other activity, or systematically designed group of activities, undertaken by the department pursuant to law, for which the department imposes a fee.
##### **§ 52:27B-20.4** DEP fees as anticipated revenues; statistical information required {#sec-52-27b-20.4 omnilex-key=us-nj-statutes--title-52--52:27B-20.4}
4. a. In preparing the Governor's proposed budget, for each State fiscal year, the State Treasurer shall include the total estimated amount of fees anticipated by the department for that fiscal year as Schedule I Anticipated Revenues.
b. In addition to such other information as the State Treasurer deems necessary to include in the objectives, program classifications and evaluation data of all programs administered by the department and funded entirely or in part by fees, the Treasurer shall include, in the Governor's proposed budget for each State fiscal year, the information which is required of the department pursuant to section 5 of this act.
In the case of two or more fees which fund the same program, the information required pursuant to this subsection may be aggregated to reflect such overlap.
##### **§ 52:27B-20.5** Program statements, data required {#sec-52-27b-20.5 omnilex-key=us-nj-statutes--title-52--52:27B-20.5}
5. a. In preparing its budget proposal for each State fiscal year, the department, no later than February 15 of the current State fiscal year, shall compile and submit to the State Treasurer, to the General Assembly Appropriations Committee and the Senate Revenue, Finance and Appropriations Committee, or their respective successors, and to the General Assembly Energy and Environment Committee and the Senate Environmental Quality Committee, or their respective successors, a statement for each program funded entirely or in part by fees, identifying:
(1) The objectives of the program;
(2) The program classification, which shall include a summary description of all activities undertaken by each program;
(3) For the current State fiscal year, each of the two immediately preceding State fiscal years, and the State fiscal year for which the budget is proposed, program activity data, including, but not limited to, a listing of: activities performed; applications submitted and reviewed for permits, licenses or other approvals; permits, licenses or other approvals issued; planning documents reviewed; inspections performed; enforcement actions taken; remediations overseen; acreage managed; fish and game propagated and released; and studies conducted or contracted for; and
(4) For the current State fiscal year, each of the two immediately preceding fiscal years, and the State fiscal year for which the budget is proposed, personnel data, including but not limited to: the total number of positions; the total number of budgeted positions; the number of positions budgeted for in lump sum appropriations; the number of positions supported by the appropriate fees; the number of positions supported by federal funds; all other authorized positions; and the number of vacant positions.
b. In the case of a program which is funded in part by fees and in part by other sources of revenue, the department shall supply a breakdown of the percentages and relative amounts of all respective sources of revenue used to fund the program, and, if not provided pursuant to paragraph (4) of subsection a. of this section, the number and percentage of personnel involved in the program who are supported by each source of revenue.
c. The data required pursuant to paragraphs (3) and (4) of subsection a. of this section, and pursuant to subsection b. of this section, shall be actual data, revised estimated data or estimated data, in accordance with directives of the State Treasurer concerning budget program data in general.
##### **§ 52:27B-21** Recommendations {#sec-52-27b-21 omnilex-key=us-nj-statutes--title-52--52:27B-21}
The Governor may recommend in connection with his budget message and under separate head new or additional sources of revenue, and set forth in connection therewith his recommendations as to the purpose or purposes to which such proposed new or additional revenue may be appropriated. The total of the recommendations in the budget shall not be in excess of the estimate of all funds available for disbursement during the fiscal year to which such recommendations are applicable.
##### **§ 52:27B-22** Applications for supplemental appropriations {#sec-52-27b-22 omnilex-key=us-nj-statutes--title-52--52:27B-22}
All applications for supplemental appropriations not included in the budget message shall be made, in the first instance, to the commissioner in substantially the same form as is required for regular requests, setting forth how much of the amount requested will be expended in each quarter of the fiscal year. The commissioner shall certify and transmit forthwith such application to the Governor, together with his findings, comments and recommendations thereon. The Governor shall transmit to the chairman of the joint appropriations committee such applications as he shall approve in whole or in part with his recommendations thereon, but the Governor shall not approve and recommend any appropriation in excess of the total anticipated funds available for disbursement during the fiscal year to which such recommendations are applicable.
##### **§ 52:27B-23** Copies of budget message to be distributed {#sec-52-27b-23 omnilex-key=us-nj-statutes--title-52--52:27B-23}
The commissioner shall cause copies of the budget message to be printed forthwith and a copy thereof shall be presented to each member of the Legislature, public libraries in the State and each newspaper in the State, and shall be available for distribution to any citizen on request.
##### **§ 52:27B-24** Revision and amendment of requests {#sec-52-27b-24 omnilex-key=us-nj-statutes--title-52--52:27B-24}
The commissioner shall have authority, after consultation with the various spending agencies concerned, to revise and amend quarterly allotment requests to the end that each such request, as revised and amended by the commissioner, shall not exceed the amount appropriated for the spending agency.
##### **§ 52:27B-25** Submission of allotments to spending agencies by quarters {#sec-52-27b-25 omnilex-key=us-nj-statutes--title-52--52:27B-25}
Not later than the first day of June following the passage of an annual appropriation act, the commissioner shall submit to each spending agency his allotment by quarters of such appropriation. In the case of a supplemental appropriation, the commissioner shall submit his allotment by quarters within two weeks after passage of such appropriation.
##### **§ 52:27B-26** Reserves; revision of quarterly allotments {#sec-52-27b-26 omnilex-key=us-nj-statutes--title-52--52:27B-26}
In order to protect against and meet emergencies that may arise during each fiscal year, the commissioner shall have the power to set aside a reserve out of each appropriation, the exact amount of which shall be determined by him. Any time during the fiscal year that occasion may require this reserve or any portion of it may be returned to the appropriation to which it belongs, providing the commissioner finds such action necessary.
Whenever it appears to the satisfaction of the Governor that revenues have fallen seriously below those anticipated, the commissioner, on order of the Governor, shall have the power to revise the quarterly allotments.
##### **§ 52:27B-27** Requests for revision {#sec-52-27b-27 omnilex-key=us-nj-statutes--title-52--52:27B-27}
A request officer, whenever he deems it necessary by reason of changed conditions or for some other cogent reason, may request the commissioner to revise the work program of quarterly allotments. The commissioner shall examine such request for revision, shall promptly make a determination thereon, and shall advise such request officer as to his determination with respect thereto; and, if the request is granted, the necessary amendment to the quarterly allotments shall be made by the commissioner.
##### **§ 52:27B-28** Transfer of appropriations {#sec-52-27b-28 omnilex-key=us-nj-statutes--title-52--52:27B-28}
In order to afford reasonable flexibility, any spending agency receiving an appropriation may make written application to the commissioner for leave to transfer a part of any item granted or allowed to such spending agency to any other item in such appropriation, and such application shall indicate the quarter or quarters affected as to both items. Such application shall be made only during the current year for which the appropriation was granted. No transfer shall be authorized or made after the close of any fiscal year. The commissioner shall have authority to make such transfers of appropriation.
##### **§ 52:27B-29** Allotments from State Emergency Fund {#sec-52-27b-29 omnilex-key=us-nj-statutes--title-52--52:27B-29}
All allotments from the State Emergency Fund to an appropriation shall be authorized and allowed by the commissioner, with the approval of the Governor, but no such allotment shall be authorized until the commissioner shall have been served with a copy of the application therefor, and shall have had two days after his receipt of said application within which to submit his written recommendation thereon, together with his reasons therefor, to the Governor. All allotments thus made to an appropriation from the emergency fund shall indicate which quarterly allotment or allotments shall be increased.
The warrant checks for payment of all expenditures to be made from appropriations shall be drawn on the basis of the quarterly allotments.
##### **§ 52:27B-30** Study of departmental requirements and personnel {#sec-52-27b-30 omnilex-key=us-nj-statutes--title-52--52:27B-30}
In order effectually to discharge and execute his duties in relation to the quarterly allotment system, the commissioner, or a member of the department designated by him, shall make continuous studies of all departmental requirements including personnel. All requests for additional personnel made by request officers to the civil service agency in the State Government shall first be approved by the commissioner.
##### **§ 52:27B-31** Governor may prohibit or control expenditures {#sec-52-27b-31 omnilex-key=us-nj-statutes--title-52--52:27B-31}
Whenever, in the case of extravagance, waste or mismanagement, it appears to the satisfaction of the Governor that any appropriation by a spending agency is not in the best interest of the State, he may prohibit and enjoin such expenditure or any future expenditure under the appropriation and prescribe the terms upon which the same may be made, if at all, by making and signing an order to that effect and serving it on the request officer of such spending agency, and also serving a certified copy of the order upon the commissioner and upon the director of purchase and property, whereupon the order shall immediately become operative. Upon such service future expenditures under the appropriation shall be limited according to the terms of the executive order. The Governor, in such cases, may make other and further orders as may be necessary or advisable in his discretion which orders shall become operative upon such service.
##### **§ 52:27B-32** Provisions not applicable to Legislature {#sec-52-27b-32 omnilex-key=us-nj-statutes--title-52--52:27B-32}
Nothing in this act concerning the work program of quarterly allotments shall apply to the Legislature.
##### **§ 52:27B-33** Bureau of Accounting established; functions {#sec-52-27b-33 omnilex-key=us-nj-statutes--title-52--52:27B-33}
There is hereby established in the Division of Budget and Accounting the Bureau of Accounting. The commissioner, through the Bureau of Accounting, shall prescribe the procedures for the collection of revenues; institute and direct prosecution against delinquent officers of the revenue and for just claims and accounts against the State; provide and maintain a uniform system of accounting for the State, its departments, institutions, courts and other State agencies. The commissioner, through the Bureau of Accounting, shall follow the provisions and procedure set forth in sections twenty-five through thirty-eight, inclusive, of this article.
##### **§ 52:27B-34** Deposit of revenues; reports {#sec-52-27b-34 omnilex-key=us-nj-statutes--title-52--52:27B-34}
All State revenue collected by any department, institution, commission, board, committee or official of this State shall, except as otherwise provided by law, be deposited, in the method prescribed by the commissioner, to the credit of the State of New Jersey in such depositories as the State Treasurer shall designate. A report of such moneys collected shall be submitted to the commissioner and the State Treasurer in such form as the commissioner shall prescribe. Such report shall be submitted not later than the tenth day of the month following that during which such moneys were received. The commissioner, upon receiving such report, shall audit and register all amounts contained therein and make proper accounting thereof.
##### **§ 52:27B-35** Commissioner may prescribe forms {#sec-52-27b-35 omnilex-key=us-nj-statutes--title-52--52:27B-35}
The commissioner shall have authority to prescribe uniform forms to be used by all departments or other agencies of the State Government in encumbering any funds appropriated.
The commissioner shall prepare the forms upon which shall be rendered all statements of indebtedness against any department, institution, commission, committee, official, board, or body of State Government.
The forms, in this section provided, shall, when so prepared, be the only forms used for the evidence and record of such encumbrances and indebtedness.
##### **§ 52:27B-36** Certain powers and duties of State Comptroller transferred to Division of Budget and Accounting {#sec-52-27b-36 omnilex-key=us-nj-statutes--title-52--52:27B-36}
The powers and duties heretofore vested by P.L.1940, c. 35, in the State Comptroller are hereby transferred to the Division of Budget and Accounting and to the commissioner, as the head thereof, to be exercised through the Bureau of Accounting.
##### **§ 52:27B-37** Designation of officer to approve encumbrance requests and statements of indebtedness; investigations by commissioner; warrants {#sec-52-27b-37 omnilex-key=us-nj-statutes--title-52--52:27B-37}
Each department, commission, committee, official, board or body of any institution or organization of the State shall designate the proper officer who shall approve and sign all encumbrance requests and statements of indebtedness. The designation shall be filed in the office of the commissioner; and the requests and statements of indebtedness shall be presented to the commissioner.
The commissioner shall examine, audit and adjust all encumbrances and statements of indebtedness so presented. He may administer an oath to the persons presenting the encumbrance or statement of indebtedness and to any witness presented on behalf of such person and may examine such person or witness as to the truth, fairness and correctness of such encumbrance or statement of indebtedness.
The commissioner shall execute and register warrant checks in settlement of statements of indebtedness, approved by him, and shall transmit them forthwith to the State Treasurer who shall thereupon sign and deliver the same to the payees.
##### **§ 52:27B-38** Checks and drafts for transfer of funds between depositories need not be signed by commissioner {#sec-52-27b-38 omnilex-key=us-nj-statutes--title-52--52:27B-38}
Checks or drafts used only for the transfer of State funds from one depository to another, drawn to the order of the State of New Jersey and restrictively endorsed by the treasurer in the following manner: "Transfer of State Funds--For Deposit Only," need not be signed by the commissioner.
##### **§ 52:27B-39** Certain laws applying to comptroller to apply to commissioner instead {#sec-52-27b-39 omnilex-key=us-nj-statutes--title-52--52:27B-39}
Wherever a provision of law relating to the presentation of claims or bills for approval, the drawing of warrants, the countersigning of receipts and checks, and the administration of petty cash funds, the apportionment of taxes on railroad and canal property, applies to the Comptroller, such provision of law shall when this act takes effect apply instead to the commissioner.
##### **§ 52:27B-40** Centralized payroll system; notice of payroll changes {#sec-52-27b-40 omnilex-key=us-nj-statutes--title-52--52:27B-40}
The commissioner shall have authority to prescribe and enforce, to every extent practicable, a centralized payroll system. For the purposes of the preaudit of all payrolls, the commissioner shall have authority to require of the civil service agency in the State Government notice of payroll changes in the form prescribed by the commissioner, which form the commissioner is hereby authorized to prescribe.
##### **§ 52:27B-41** Secretary of State to notify banks of termination of power of State Treasurer and commissioner {#sec-52-27b-41 omnilex-key=us-nj-statutes--title-52--52:27B-41}
The Secretary of State shall, when the offices of State Treasurer and commissioner or either of them shall become vacant or the officers or either of them shall no longer be authorized to act as such, respectively, give written notice forthwith to all national banks located in this State and institutions authorized by the State to carry on a banking business of such vacancy or termination of power. No bank shall thereafter pay any check or draft of the State Treasurer, signed or countersigned by any person after his office shall become vacant or after he shall no longer be authorized to act.
##### **§ 52:27B-42** Suits in name of State for recovery of money {#sec-52-27b-42 omnilex-key=us-nj-statutes--title-52--52:27B-42}
The commissioner shall, except as otherwise provided by law, cause suit to be instituted in any competent court of this or any other State for the recovery of any money due the State or any of its institutions, departments, commissions or officers. The suit shall be in the name of the "State of New Jersey" as plaintiff.
##### **§ 52:27B-43** Commissioner to keep accounts {#sec-52-27b-43 omnilex-key=us-nj-statutes--title-52--52:27B-43}
The commissioner shall keep and maintain, at all times, within the division all such books of accounts and other accounting records leading to and including the general ledger as may be necessary for the centralized control of all accounts.
##### **§ 52:27B-44** Double-entry accounts; requirements {#sec-52-27b-44 omnilex-key=us-nj-statutes--title-52--52:27B-44}
The commissioner shall install, keep and maintain in the division a complete set of double-entry accounts, which shall reflect directly or through proper controlling accounts, on an accrual basis, all assets, liabilities, revenues, and expenditures of the State, and all of its accounting agencies. Such accounts shall reflect all accounts receivable and payable, all balances of all funds, and such other information as is required for a proper statement of the financial conditions and operations of the State.
##### **§ 52:27B-45** Form of accounts; reports {#sec-52-27b-45 omnilex-key=us-nj-statutes--title-52--52:27B-45}
The commissioner shall prescribe and enforce the form, manner and content of accounts to be kept by each accounting agency, and the form, manner and content of accounting reports and statements to be rendered to him with respect thereto. The commissioner, if he deems such action necessary, may install a system of accounts in an accounting agency of the State Government. He shall provide for reports and statements to be submitted to him at least once each month which shall show the complete operation of each accounting agency and such other information as may be necessary in his judgment. This requirement shall not be in limitation of such other reports and statements, at longer or shorter intervals, containing the same or other information, as may be necessary in the judgment of the commissioner.
##### **§ 52:27B-46** Annual reports; contents; distribution; monthly report of general state fund {#sec-52-27b-46 omnilex-key=us-nj-statutes--title-52--52:27B-46}
The Director of the Division of Budget and Accounting shall prepare, within 60 days following December 31 and 90 days following the last day in which annual appropriations are available for expenditure during each fiscal year, a complete report showing:
a. Balance sheet of all assets and liabilities for all State funds.
b. Statement of General State Fund accrued revenues as compared with anticipated revenues.
c. Summary report of the General State Fund showing the condition of the appropriations, which shall reflect the original appropriation, supplemental appropriations, appropriated revenue, reappropriations, transfers to and from, allotments from the emergency fund and expenditures made against such appropriations.
d. Such other information as he may deem necessary and proper.
Such statement, certified by the director, shall be transmitted forthwith to the Governor, and shall be and remain a public document on file in the office of the director, subject to inspection by any citizen of the State, who shall have the right to make or obtain copies thereof under such reasonable regulations as the director may prescribe. Copies of said statement shall be transmitted at the same time to the President of the Senate, the Speaker of the General Assembly, the chairman of the respective appropriation committees, the State Treasurer and the State Auditor. In addition the director shall prepare a summarized monthly report of the General State Fund no later than 30 days following the end of each month which shall reflect the accrued revenues as compared with anticipated revenues, itemized by revenue source for major taxes, by department for miscellaneous revenues, by department for major sources of Federal aid budgeted and with information on income to the General State Fund from the major dedicated and trust funds. The report shall reflect the condition of the appropriations and other such data which the director shall determine.
##### **§ 52:27B-46.1** State Auditor, report, publish, summarizes, analyzes, New Jersey Annual Comprehensive Financial Report, user-friendly, plain language. {#sec-52-27b-46.1 omnilex-key=us-nj-statutes--title-52--52:27B-46.1}
1. a. Within 30 days following the publication of the New Jersey Annual Comprehensive Financial Report pursuant to section 37 of P.L.1944, c.112 (C.52:27B-46), the Office of the State Auditor shall annually publish a user-friendly, plain-language report that summarizes and analyzes the contents of the New Jersey Annual Comprehensive Financial Report. At a minimum, the report shall include:
(1) a summary of the State's financial condition compared to other states in the Mid-Atlantic and Northeastern regions of the United States, which summary shall include statistical comparisons based on the population and gross domestic product of each state;
(2) a summary of the State's total long-term financial liabilities, including, but not limited to, net pension obligations, post-employment benefits other than pensions including, but not limited to, health, dental, and vision care, and payments for principal and interest due on general obligation bonds and appropriations-backed contract bonds issued by independent authorities of the State, including all items comprising long-term liability as recorded in a schedule of long-term debt changes, bonded and non-bonded, in the State's annual comprehensive financial report prepared pursuant to section 37 of P.L.1944, c.112 (C.52:27B-46), which analysis shall compare the State's long-term liabilities to those of other states in the Mid-Atlantic and Northeastern regions of the United States;
(3) a summary of the State's revenue collections for the General Fund, Property Tax Relief Fund, Casino Revenue Fund, and all other budgeted State revenues, which summary shall compare the State's actual revenue collections during the five preceding fiscal years to the anticipated revenue collections for each year;
(4) a summary of the State's anticipated revenue collections for the General Fund, Property Tax Relief Fund, Casino Revenue Fund, and all other budgeted State revenues and the State's appropriations to fund State aid for education, State municipal aid, State pension liabilities, employer contributions for State healthcare benefits, the State Medicaid program, State support for hospitals, the Annual Transportation Capital Program, and programs of direct taxpayer property tax relief, which summary shall compare the State's anticipated revenue collections during the five preceding fiscal years to the State's appropriations for each of those fiscal years; and
(5) a summary of the State's unrestricted fund balance, whether designated, undesignated, or reserved, including the amounts deposited pursuant to the "Surplus Revenue Fund," established pursuant to P.L.1990, c.44 (C.52:9H-14 et seq.), which summary shall compare the State's unrestricted cash reserves to those of other states in the Mid-Atlantic and Northeastern regions of the United States.
b. The report required pursuant to this section may be prepared by an independent auditor selected by the Office of the State Auditor in accordance with applicable laws regarding selection of auditing services.
c. The report prepared pursuant to this section shall be transmitted to the Governor and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1). The Legislature, Department of the Treasury, and Office of the State Auditor shall make the report publicly accessible on their Internet websites within five days of transmittal.
The first report required by this section shall be published within 30 days following the publication of the New Jersey Annual Comprehensive Financial Report that occurs at least 12 months after the effective date of P.L.2023, c.159 (C.52:27B-46.1).
d. After submission of the Governor's budget message to the Legislature pursuant to section 11 of P.L.1944, c.112 (C.52:27B-20) the State Auditor shall, on or before May 31 annually, appear before the Legislature's budget committees to present the information contained within the most recent report required pursuant to this section.
##### **§ 52:27B-47** Failure or refusal of officers or heads of departments to keep accounts or make reports; hearing on charges; removal {#sec-52-27b-47 omnilex-key=us-nj-statutes--title-52--52:27B-47}
If the commissioner should find that any officer or head of a department of the State Government willfully or negligently fails or refuses to keep or have kept such accounts, render such reports or perform such other duties as may be prescribed by the commissioner under this article, or refuses to conform to any of the provisions of this article, he shall notify such officer or head of a department in writing of such failure or refusal, and the particulars thereof, and shall allow him reasonable opportunity to be heard thereon. If such failure is not explained to the satisfaction of the commissioner, he shall prepare written charges against such officer or head of a department, and submit the same to the Governor forthwith, and serve a copy thereof upon such officer or head of a department charged with such failure or refusal. Thereupon the Governor shall fix a time and place for hearing such charges by giving not less than five days' notice thereof in writing to such officer or head of a department so charged and to the commissioner. After due hearing, the Governor may take such action as may be necessary, in his judgment, including the removal of such officer or head of a department found guilty of such charges, but if the right of removal in any case is vested exclusively in the Legislature, the Governor shall transmit to the Legislature a written report of his findings with his recommendations thereon for consideration and action by the Legislature.
##### **§ 52:27B-48** Transfer of powers and duties of State Tax Department and State Tax Commissioner {#sec-52-27b-48 omnilex-key=us-nj-statutes--title-52--52:27B-48}
The powers and duties heretofore vested by law in the State Tax Department and in the State Tax Commissioner are hereby transferred to the Division of Taxation, and the director thereof, respectively, in the State Department of Taxation and Finance.
##### **§ 52:27B-49** Director to head division; appointment; term {#sec-52-27b-49 omnilex-key=us-nj-statutes--title-52--52:27B-49}
The Division of Taxation shall be headed by a director who shall be appointed by the Governor by and with the advice and consent of the Senate, to serve until the next Governor shall be elected and qualified and until the director's successor shall be appointed and qualified. The Governor, however, shall have power to remove the director for cause.
##### **§ 52:27B-50** Compensation of director {#sec-52-27b-50 omnilex-key=us-nj-statutes--title-52--52:27B-50}
The director shall receive an annual compensation, fixed by the commissioner, of not exceeding ten thousand dollars ($10,000.00).
##### **§ 52:27B-51** Powers and duties of director {#sec-52-27b-51 omnilex-key=us-nj-statutes--title-52--52:27B-51}
Unless otherwise provided by law, the director of the Division of Taxation shall perform all the acts formerly required by law to be performed by the State Tax Commissioner.
The director shall have authority, subject to the approval of the commissioner, to continue, within the division, the various bureaus of the State Tax Department as they exist on the date this act takes effect; or, subject to the commissioner's approval, to reorganize those bureaus as he may deem desirable.
##### **§ 52:27B-53** Division to be headed by director; appointment; removal {#sec-52-27b-53 omnilex-key=us-nj-statutes--title-52--52:27B-53}
The Division of Purchase and Property shall be headed by a director who shall be appointed by the Governor by and with the advice and consent of the Senate, to serve until the next Governor shall be elected and qualified and until the director's successor shall be appointed and qualified. The Governor, however, shall have power to remove the director for cause.
##### **§ 52:27B-54** Compensation of director {#sec-52-27b-54 omnilex-key=us-nj-statutes--title-52--52:27B-54}
The director shall receive an annual compensation, fixed by the commissioner, of not exceeding ten thousand dollars ($10,000.00).
##### **§ 52:27B-55** Transfer of powers and duties of State Purchasing Department and State Purchase Commissioner {#sec-52-27b-55 omnilex-key=us-nj-statutes--title-52--52:27B-55}
The powers and duties heretofore vested by law in the State Purchasing Department, and the State Purchase Commissioner, are hereby transferred to the Division of Purchase and Property and to the director, respectively, as the head of that division of the State Department of Taxation and Finance.
##### **§ 52:27B-56** Powers, duties of director. {#sec-52-27b-56 omnilex-key=us-nj-statutes--title-52--52:27B-56}
4. The director is hereby vested with the powers, duties, and responsibilities involved in the efficient operation of a centralized State purchasing service, and with the custody, operation and maintenance of all State property not chargeable to a particular department. The director shall have authority, subject to the State Treasurer's approval, to organize the division for the effective performance of its functions and purposes herein set forth, and to establish and assess fees to cover administrative costs. The director or the director's designee shall have the authority to conduct investigations and informal hearings regarding any bid protest or vendor performance issues. The director shall also have the authority to issue final agency decisions regarding any bid protest or vendor performance issues. Except as otherwise provided by statute and subject to the State Treasurer's approval, the director shall have final approval of all State contracts including, but not limited to, those entered into pursuant to P.L.1964, c.290 (C.30:6-17 et seq.).
##### **§ 52:27B-56a** Keys for use in locks in or on real property leased or owned by state; rules and regulations {#sec-52-27b-56a omnilex-key=us-nj-statutes--title-52--52:27B-56a}
The Department of the Treasury shall establish rules and regulations governing the use, distribution, manufacture, duplication, and possession of keys designed to be used in locks in or on real property leased or owned by the State and under its jurisdiction.
##### **§ 52:27B-56b** Keys not to be duplicated; identification {#sec-52-27b-56b omnilex-key=us-nj-statutes--title-52--52:27B-56b}
Any key which according to rules and regulations established under section 2 of this act is not to be duplicated, shall be clearly identified by the words "Property of the State of New Jersey: Do Not Duplicate."
##### **§ 52:27B-56.1** Joint purchases. {#sec-52-27b-56.1 omnilex-key=us-nj-statutes--title-52--52:27B-56.1}
1. The Director of the Division of Purchase and Property may, by joint action, purchase any articles used or needed by the State and the Palisades Interstate Park Commission, the New Jersey Highway Authority, the New Jersey Turnpike Authority, the Delaware River Joint Toll Bridge Commission, the Port Authority of New York and New Jersey, the South Jersey Port Corporation, the Passaic Valley Sewerage Commission, the Delaware River Port Authority, Rutgers, The State University, Rowan University, Montclair State University, Kean University, the New Jersey Sports and Exposition Authority, the New Jersey Housing Finance Agency, the New Jersey Mortgage Finance Authority, the New Jersey Health Care Facilities Financing Authority, the New Jersey Education Facilities Authority, the New Jersey Economic Development Authority, the South Jersey Transportation Authority, the Hackensack Meadowlands Development Commission, the New Jersey Water Supply Authority, the Higher Education Student Assistance Authority or any other agency, commission, board, authority or other such governmental entity which is established and is allocated to a State department or any bi-state governmental entity of which the State of New Jersey is a member.
##### **§ 52:27B-57** Reports {#sec-52-27b-57 omnilex-key=us-nj-statutes--title-52--52:27B-57}
The director shall make an annual detailed report to the commissioner of his operations under this act and render such other reports as the commissioner shall, from time to time, request.
##### **§ 52:27B-58** Standard specifications for commodities; laboratory tests; fees {#sec-52-27b-58 omnilex-key=us-nj-statutes--title-52--52:27B-58}
The director shall, in consultation with heads of departments, develop standard specifications for all commodities commonly purchased, and shall establish and maintain a system of inventories of properties, supplies and equipment of all State departments and agencies.
The director shall:
a. Determine and establish and from time to time change standards and specifications according to the needs of all using agencies so far as their needs are in common, and for groups of using agencies or for single using agencies so far as their needs differ;
b. Fix physical or chemical formulae and otherwise determine the service, quality, fitness and suitability of all articles tendered or furnished;
c. Make use for such purposes of the existing laboratories maintained by the State;
d. Establish a list of other public or private laboratories whose tests and analysis will be accepted; and
e. Fix the fees required to be paid for tests or analysis made in any State laboratory.
The fees required by any State or other laboratory for any analysis or test made for any prospective vendor, prior to the award of a contract, shall be paid by such prospective vendor. Inspection analysis or tests shall be at the expense of the State.
##### **§ 52:27B-59** Purchases to comply with standards {#sec-52-27b-59 omnilex-key=us-nj-statutes--title-52--52:27B-59}
In the purchase of all articles, the standards and specifications determined and established pursuant to section six shall be adhered to and complied with, and no deviation shall be permitted without the written consent of the commissioner first obtained.
##### **§ 52:27B-60** Rejection of articles failing to comply with standards {#sec-52-27b-60 omnilex-key=us-nj-statutes--title-52--52:27B-60}
Any using agency may reject any article delivered or tendered which fails to comply with the standards and specifications applicable to such article.
##### **§ 52:27B-61** Schedules and contracts; bids; payment {#sec-52-27b-61 omnilex-key=us-nj-statutes--title-52--52:27B-61}
Each using agency shall, at all times, in the form and for the periods prescribed by the director, present to him detailed applications and schedules for all articles to be purchased. The director shall then arrange such schedules or parts thereof for purchase and contract, in the manner best calculated to attract competition and advantageous prices. He shall award contracts or orders for purchase to the lowest responsible bidder meeting all specifications and conditions. He shall have authority to reject any or all bids or to award in whole or in part if deemed to the best interest of the State to do so. In case of tie bids, he shall have authority to award orders or contracts to the vendor or vendors best meeting all specifications and conditions. Public bids shall not be waived except with the written approval of the commissioner and except after notice in writing to the State Auditor. The director shall prescribe the terms and conditions for delivery, inspection, payment and all other detail whatsoever. In purchases of fresh milk and as a condition thereof, the director shall require each vendor to certify in writing that he purchased during the immediately preceding year fresh milk produced within the State at least equal in amount to the amount he seeks to furnish to the using agency, and, in addition, to agree to purchase during the year in which he proposes to furnish such milk to the using agency an amount of fresh milk produced within the State at least equal to the amount he proposes to furnish to the using agency plus an amount equal to the amount, if any, he shall be required to furnish to any other using agency.
Upon the award of contracts or orders for purchase, the director shall thereupon make an encumbrance request to the commissioner for the amount necessary to defray the cost thereof, indicating the appropriations or authorizations to spend funds against which the contract or purchase order will be charged.
The bills for such purchases shall be apportioned by the director among the using agencies in proportion to the purchases made therefor, and certified as apportioned to the commissioner, to be charged against the respective appropriations or authorizations to spend as indicated by the certificate of the director. The bills therefor shall be paid by warrant check of the commissioner and State Treasurer.
Nothing in this article shall be construed to repeal or otherwise affect any law of this State relating to the purchase or use of the products of the labor of the inmates of a charitable, reformatory or penal institution of this State.
##### **§ 52:27B-62** Insurance {#sec-52-27b-62 omnilex-key=us-nj-statutes--title-52--52:27B-62}
The director shall, subject to the approval of the commissioner, effect and maintain insurance against loss or damage by fire upon the State House and the contents thereof in such sum as may be deemed necessary. The director is hereby authorized, and it shall be his duty, after consultation with the heads of State departments and agencies, to purchase and secure all necessary casualty insurance, marine insurance, fire insurance, fidelity bonds, and any other insurance necessary for the safeguarding of the interest of the State. He is hereby authorized, subject to the commissioner's supervision and approval, to establish, in the Division of Purchase and Property, a bureau to administer a centralized system of insurance for all departments and agencies of the State Government.
##### **§ 52:27B-63** Existing contracts to be completed {#sec-52-27b-63 omnilex-key=us-nj-statutes--title-52--52:27B-63}
All contracts and purchase orders heretofore awarded by the State Purchase Commissioner and all operative State insurance contracts, which are outstanding and uncompleted when this act takes effect, shall continue and be completed under the terms thereof by the director of the Division of Purchase and Property.
##### **§ 52:27B-64** Powers and duties vested in State house commission transferred {#sec-52-27b-64 omnilex-key=us-nj-statutes--title-52--52:27B-64}
12. The powers and duties vested in the State House Commission by sections 52:20-7, 52:20-13, 52:20-14, 52:20-20 and 52:20-25 of the Revised Statutes are hereby transferred to the General Services Administration and the administrator thereof.
The administrator, with the commissioner's approval, shall to every practicable extent arrange, and from time to time rearrange, the office space assigned to the various departments and other agencies of the State Government in a manner to provide for the most efficient conduct of the business of such departments and agencies. The leasing of office space shall be done in accordance with the provisions of P.L.1992, c.130 (C.52:18A-191.1 et al.).
##### **§ 52:27B-65** Right-of-way over lands acquired by State {#sec-52-27b-65 omnilex-key=us-nj-statutes--title-52--52:27B-65}
Whenever land is acquired by the State pursuant to any law and the owner of any portion of the land adjacent thereto has not a prescribed right-of-way from his lands and over the land so acquired by the State to any public highway, the owner of the lands and the State Treasurer and the commissioner, representing the State, may agree upon a right-of-way, which agreement shall be reduced to writing and signed by the parties thereto and filed and recorded in the office of the county clerk as deeds and mortgages are filed and recorded.
##### **§ 52:27B-66** Sales of personal property; claims {#sec-52-27b-66 omnilex-key=us-nj-statutes--title-52--52:27B-66}
The director may, with the approval of the commissioner, sell any personal property in the possession of the State which is perishable in character and from which no revenue is derived, at public sale, after the same shall have been advertised at least ten days in a newspaper published in the city of Trenton and all persons claiming any lien or interest in such property shall take notice of the same at their peril. If any person shall thereafter establish a claim to any interest in the goods so sold according to law, the fund received from such sale shall be liable for the space of one year from the date of the sale for such interest or claim. All claims and interest in such property, other than that provided in this section, shall be forever barred. The sum realized from the sale shall, after the expiration of the period of one year, be covered into the State treasury.
##### **§ 52:27B-67** Transfer of personal property to departments, etc. {#sec-52-27b-67 omnilex-key=us-nj-statutes--title-52--52:27B-67}
Whenever, in the opinion of the director, any personal property in the custody and control of any State department, institution, commission, board, body, or other agency of the State is deemed surplus, obsolete or not longer suitable for the purpose for which it was intended, he may make a transfer of the custody and control of such personal property to any other State department, institution, commission, board, body, or other agency of the State by which the property so reported may be advantageously used.
Whenever such property so reported cannot be used by any State department, institution, commission, board, body or other agency of the State, the director may, with the commissioner's approval and after notification in writing to the State Auditor, dispose thereof, and thereupon the director shall pay the proceeds arising from such disposition into the general fund of the State.
##### **§ 52:27B-67.1** Distribution of surplus computer equipment. {#sec-52-27b-67.1 omnilex-key=us-nj-statutes--title-52--52:27B-67.1}
1. a. (1) Whenever any computer, computer equipment, or portable communication device in the custody and control of any State department, institution, commission, board, body, or other agency of the State is deemed by that State entity to be surplus, obsolete or no longer suitable for the purpose for which it was intended pursuant to subsection c. of section 1 of P.L.2011, c.225 (C.52:27B-67.2), and the item is not claimed by another State entity pursuant to subsection d. of that section, the Director of the Division of Purchase and Property in the Department of the Treasury may declare the item available for distribution and make a transfer of the custody and control of the item to local units, boards of education, nonpublic schools or nonprofit charitable corporations organized pursuant to N.J.S.15A:1-1 et seq. in accordance with this section.
(2) To assist in the coordination of any distribution, the director of the division, in consultation with the Division of Property Management and Construction in the Department of the Treasury, shall designate a storage facility to be utilized for holding and processing any item designated for distribution.
(a) The storage facility shall utilize reasonable protocols in order to secure any item being stored, including but not limited to, employee and visitor sign-in procedures, required escorts for each visitor, and multilayered supervision of loading and unloading operations.
(b) The director of the division shall only accept an item at the storage facility from a sending State department, institution, commission, board, body, or other agency for holding and subsequent transfer to local units, boards of education, nonpublic schools or nonprofit charitable corporations that upon arrival at the facility is accompanied by a certification of the removal of all data storage devices pursuant to paragraph (3) of subsection c. of section 1 of P.L.2011, c.225 (C.52:27B-67.2).
b. Whenever such computer, computer equipment, or portable communication device deemed surplus, obsolete or no longer suitable for the purpose for which it was intended cannot be used by local units, boards of education, nonpublic schools or nonprofit charitable corporations, the director may, with the State Treasurer's approval , dispose thereof, and thereupon the director shall pay the proceeds arising from such disposition into the general fund of the State.
c. The director shall develop a plan for the notification and distribution to local units, boards of education, nonpublic schools or nonprofit charitable corporations of computers, computer equipment, or portable communication devices designated as surplus, obsolete or no longer suitable for the purpose for which it was intended by any State department, institution, commission, board, body or other agency of the State. The distribution of any designated item to local units, boards of education, nonpublic schools or nonprofit charitable corporations shall only be permitted through the distribution plan established pursuant to this section.
d. The State shall not be liable for any damages that may result from the use or operation of any transferred computer, computer equipment, or portable communication device.
##### **§ 52:27B-67.2** Definitions relative to the disposition of certain State computers, other electronic devices. {#sec-52-27b-67.2 omnilex-key=us-nj-statutes--title-52--52:27B-67.2}
1. a. As used in this section:
"Computer" means an electronic, magnetic, optical, electrochemical or other high speed data processing device or another similar device capable of executing a computer program, including arithmetic, logic, memory, data storage or input-output operations and includes all computer equipment connected to the device, but shall not include an automated typewriter or typesetter or a portable, hand-held calculator.
"Computer equipment" means any equipment or device, including all input, output, processing, storage, or communications facilities, intended to interface with the computer.
"Computer system" means a set of interconnected computer equipment intended to operate as a cohesive system.
"Data" means information, facts, concepts, or instructions contained in a computer, computer equipment, or computer system. It shall also include, but not be limited to, any alphanumeric, hexadecimal, octal or binary code.
"Data base" means a collection of data.
"Division" means the Division of Purchase and Property in the Department of the Treasury.
"Portable communication device" means a computer that is designed to be personally portable and capable of sending, receiving, storing, reproducing, or displaying communications or information.
"State entity" means any department, institution, commission, board, body, or other agency of the State.
b. The director of the division, in consultation with the Chief Technology Officer of the Office of Information Technology, in but not of the Department of the Treasury, shall develop a program regarding the disposition of any computer, computer equipment, or portable communication device in the custody and control of any State entity that the entity determines to be surplus, obsolete or no longer suitable for the purpose for which it was intended. The program may include procedures concerning the redistribution of items among State entities, the distribution of items to local governmental entities, boards of education, nonpublic schools and nonprofit charitable corporations pursuant to section 1 of P.L.1999, c.194 (C.52:27B-67.1), the public purchase of items, and the final disposal of items not distributed or purchased.
c. In accordance with regulations promulgated by the director of the division, whenever a State entity possesses any unused computer, computer equipment, or portable communication device that includes a hard drive or other data storage device and is unable to redistribute the item for further use within the entity, that entity shall:
(1) declare the item to be surplus, obsolete or no longer suitable for the purpose for which it was intended, subject to further disposition by the division;
(2) in the case of any computer, computer equipment, or portable communication device, remove all data storage devices and destroy such devices by any means approved by the Office of Information Technology concerning data security as authorized pursuant to "The Office of Information Technology Reorganization Act," sections 6 through 16 of P.L.2007, c.56 (C.52:18A-224 through C.52:18A-234);
(3) notify the division with respect to the entity's declaration of the item as surplus, obsolete or no longer suitable for the purpose for which it was intended, and include in that notice:
(a) a certification of the removal of all data storage devices pursuant to paragraph (2) of this subsection, if applicable; and
(b) the name and contact information, including a telephone number, of the director of information technology for that entity, the person named in the certification accompanying the notice pursuant to subparagraph (a) of this paragraph, or another person with knowledge regarding the entity's declaration of the item as surplus, obsolete or no longer suitable for the purpose for which it was intended.
d. (1) The director of the division shall coordinate the redistribution or disposition of any item declared by a State entity to be surplus, obsolete or no longer suitable for the purpose for which it was intended to another State entity, by developing and maintaining a comprehensive list for all State entities consisting of their directors of information technology and relevant contact information.
(2) Upon receipt of a notice from a State entity declaring an item to be surplus, obsolete or no longer suitable for the purpose for which it was intended pursuant to paragraph (3) of subsection c. of this section, the director shall determine whether such item is suitable for redistribution to another State entity. Items deemed suitable for redistribution shall be offered with appropriate written notice to all other State entities through their directors of information technology. The director may establish appropriate deadlines for responses from interested State entities, which shall respond to the director in writing with a request for such item. In determining how to fairly and equitably prioritize requests and allocate items that are requested by more than one entity, the director shall have the discretion to direct surplus items to the highest possible use, acting in the best interest of the State.
e. If an item that has been declared by a State entity to be surplus, obsolete or no longer suitable for the purpose for which it was intended and has been deemed suitable for redistribution is not claimed by another State entity pursuant to subsection d. of this section, then the director of the division may declare the item eligible for distribution to local governmental entities, boards of education, nonpublic schools and nonprofit charitable corporations pursuant to section 1 of P.L.1999, c.194 (C.52:27B-67.1).
f. The director of the division may, with the State Treasurer's approval , take any item that is not otherwise distributed pursuant to the provisions of this section or section 1 of P.L.1999, c.194 (C.52:27B-67.1) and dispose thereof, and thereupon the director shall pay the proceeds arising from the item's disposition into the General Fund of the State.
g. The State shall not be liable for any damages that may result from the use or operation of any computer, computer equipment, or portable communication device distributed or purchased pursuant to this section.
h. Within 18 months of the effective date of this act, P.L.2011, c.225, the director of the division shall issue a report to the Governor, and to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), regarding the disposition programs and data security measures established pursuant to this act.
##### **§ 52:27B-68** Director to provide rules and regulations. {#sec-52-27b-68 omnilex-key=us-nj-statutes--title-52--52:27B-68}
16. The director shall provide by rule and regulation, subject to the commissioner's approval, for the use and disposal of property which, pursuant to any law of this State, has been seized and forfeited and which has been turned over to the director. Whenever such seized and forfeited property has been turned over to the director, he may, by order, retain the property for the benefit of State institutions and other boards, commissions, agencies and instrumentalities of the State Government; but if, in the opinion of the commissioner, the property can to the greater advantage of the State be sold, the director may cause the same to be sold at public auction at a time and place to be designated by the director, notice of which sale shall be given at least three days before the sale, by publication at least once in a newspaper published in the city of Trenton. The proceeds of any such sale shall be turned over to the treasurer of the State for the use of the State.
##### **§ 52:27B-68.1** Purchasing Federal surplus property {#sec-52-27b-68.1 omnilex-key=us-nj-statutes--title-52--52:27B-68.1}
The Director of the Division of Purchase and Property of the Department of Taxation and Finance is hereby empowered to use the facilities of the State Purchase Revolving Fund in the acquisition of Federal surplus property for State purposes.
##### **§ 52:27B-68.2** Appropriation {#sec-52-27b-68.2 omnilex-key=us-nj-statutes--title-52--52:27B-68.2}
There is hereby appropriated out of the earnings derived from the Federal surplus transactions to the Director of the Division of Purchase and Property such sums as may be necessary to defray the administrative cost and expenses incident to the acquisition of such Federal surplus property.
##### **§ 52:27B-69.1** Authority to hold office as member of local government board and municipal office {#sec-52-27b-69.1 omnilex-key=us-nj-statutes--title-52--52:27B-69.1}
It shall be lawful for a member of the Local Government Board in the Division of Local Government in the State Department of the Treasury who has been or shall be selected by reason of his experience either as a member of a municipal governing body or as a municipal official, to hold simultaneously his office as a member of the said local government board and a municipal office.
##### **§ 52:27B-69.2** Authority to hold office as member of local government board and county office {#sec-52-27b-69.2 omnilex-key=us-nj-statutes--title-52--52:27B-69.2}
It shall be lawful for a member of the Local Government Board in the Division of Local Government in the State Department of the Treasury who has been or shall be selected by reason of his experience either as a member of a county governing body or as a county official, to hold simultaneously his office as a member of the said local government board and a county office.
##### **§ 52:27B-69.3** Conflict of interest; abstention from voting; challenge of right to vote {#sec-52-27b-69.3 omnilex-key=us-nj-statutes--title-52--52:27B-69.3}
Nothing contained in this act shall be deemed to prevent a member of the said local government board who is also a municipal or county officer, from abstaining from voting in any matter in which he believes he has a conflict of duty or interest, nor to prevent a challenge of a right to vote on that account under the principles of the common law or any statute.
##### **§ 52:27B-69.4** Applicability of act {#sec-52-27b-69.4 omnilex-key=us-nj-statutes--title-52--52:27B-69.4}
This act shall be applicable to persons now holding membership in the said local government board as well as to members of the said board heretofore or hereafter appointed and qualified into the said office of member of the said local government board.
##### **§ 52:27B-70** Director; appointment; removal {#sec-52-27b-70 omnilex-key=us-nj-statutes--title-52--52:27B-70}
The administrative head of the Division of Local Government shall be the director who shall be appointed by the Governor by and with the advice and consent of the Senate, to serve until the next Governor shall be elected and qualified and until the director's successor shall be appointed and qualified, but the Governor shall have the power to remove the director for cause.
##### **§ 52:27B-71** Compensation of director {#sec-52-27b-71 omnilex-key=us-nj-statutes--title-52--52:27B-71}
The director shall receive an annual compensation, fixed by the commissioner, of not exceeding ten thousand dollars ($10,000.00).
##### **§ 52:27B-72** Compensation of members of Local Government Board {#sec-52-27b-72 omnilex-key=us-nj-statutes--title-52--52:27B-72}
The members of the Local Government Board shall each receive such compensation as shall be provided by law.
##### **§ 52:27B-73** Powers and duties {#sec-52-27b-73 omnilex-key=us-nj-statutes--title-52--52:27B-73}
The powers and duties of the Local Government Board shall be the same as heretofore, and the powers and duties of the director shall be the same as those heretofore vested in the Commissioner of Local Government, except that the board and the director shall be under the general supervisory authority of the Commissioner of Taxation and Finance.
##### **§ 52:27B-74** Reports {#sec-52-27b-74 omnilex-key=us-nj-statutes--title-52--52:27B-74}
The director and the board shall make an annual report to the commissioner of the work of the division and the financial condition of counties and municipalities. The report shall include such recommended changes and legislation pertaining to local government as may seem proper and desirable. The director shall also publish annually a report of comparative financial statistics of local government tabulated to show the costs of government, the costs of principal services, the amount of debt and other pertinent data.
The annual report and the report of local financial statistics shall be published for general distribution. The director may make a reasonable charge for copies of the annual reports to cover costs of printing.
The director shall make such special reports as the commissioner may request.
##### **§ 52:27B-75** Assistants {#sec-52-27b-75 omnilex-key=us-nj-statutes--title-52--52:27B-75}
The director of each division in the Department of Taxation and Finance shall have authority to appoint such clerical and other assistants as he may deem necessary to the division's work and to fix their duties, all of whom shall be subject to the provisions of Title 11, Civil Service.
##### **§ 52:27B-76** Commissioner may exercise powers of directors {#sec-52-27b-76 omnilex-key=us-nj-statutes--title-52--52:27B-76}
Any power which may be vested in a director of any division in the Department of Taxation and Finance may be exercised by the commissioner. To the extent that the commissioner exercises such power the power of the director shall be superseded.
##### **§ 52:27B-77** Oath of commissioner and directors; bond {#sec-52-27b-77 omnilex-key=us-nj-statutes--title-52--52:27B-77}
Before entering upon his duties, the commissioner and each division director shall make and subscribe an oath, to be filed in the office of the Secretary of State, that he will faithfully, impartially and without fear, favor or prejudice discharge the duties of his office and carefully preserve all records, papers, writings, or property intrusted to him by virtue of his office, and make such disposition of them as may be required by law.
The commissioner and each division director shall give bond conditioned upon the faithful performance of his duties. Each bond shall be approved by the Governor and shall be in an amount, fixed by the Governor, not exceeding fifty thousand dollars ($50,000.00). The Governor shall have authority to require any other employee of the department to give bond conditioned upon the faithful performance of his duties, which bond shall be approved by the Governor and the amount thereof fixed by him. The premiums on bonds provided for herein shall be paid by the State.
##### **§ 52:27B-78** Reports and certifications {#sec-52-27b-78 omnilex-key=us-nj-statutes--title-52--52:27B-78}
Unless specifically provided otherwise in this act or by any operative law, whenever, pursuant to existing law, reports and certifications are required to be made to a department, board or officer whose powers and duties are herein transferred, such reports and certifications shall hereafter be required to be filed with the director of the appropriate division, in the Department of Taxation and Finance, through whom such transferred powers and duties are to be exercised pursuant to this act.
##### **§ 52:27B-79** Transfer of employees to Department of Taxation and Finance {#sec-52-27b-79 omnilex-key=us-nj-statutes--title-52--52:27B-79}
All persons employed, when this act takes effect, in a department or other agency which is transferred, or whose powers, duties and functions are transferred, to the Department of Taxation and Finance by this act are hereby transferred to the Department of Taxation and Finance. Persons so transferred shall be assigned to such duties as the commissioner shall determine.
##### **§ 52:27B-80** Rights under other acts {#sec-52-27b-80 omnilex-key=us-nj-statutes--title-52--52:27B-80}
Nothing in this act shall be construed to deprive any persons of any rights or protection provided them by Title 11 of the Revised Statutes or by any pension law or retirement system or any other law.
##### **§ 52:27B-81** Transfer of files, etc., to Department of Taxation and Finance {#sec-52-27b-81 omnilex-key=us-nj-statutes--title-52--52:27B-81}
All files, books, papers, records, equipment and other property of departments or other agencies which are transferred to the Department of Taxation and Finance by this act shall, to the extent that the powers and duties of such departments or other agencies are herein transferred, be transferred to the Department of Taxation and Finance upon the effective date of this act.
##### **§ 52:27B-82** Transfers of appropriations {#sec-52-27b-82 omnilex-key=us-nj-statutes--title-52--52:27B-82}
To the extent necessary to carry out the intent and provisions of this act, the commissioner, with the approval of the Governor, may make transfers of appropriations, in whole or in part, made to any department, board, officer or other agency affected by the provisions of this act.
##### **§ 52:27B-83** Reduction of salary where commissioner holds other office {#sec-52-27b-83 omnilex-key=us-nj-statutes--title-52--52:27B-83}
In the event that a person appointed and serving as commissioner or as a director shall hold another State office or position, his salary as commissioner or director shall be reduced by the amount paid to him as the holder of such other office or position.
##### **§ 52:27B-84** Repeals {#sec-52-27b-84 omnilex-key=us-nj-statutes--title-52--52:27B-84}
The following sections of the Revised Statutes, as amended, are repealed: 52:18-22, 52:18-23; 52:19-16 to 52:19-36, inclusive; 52:20-3, 52:20-8, 52:20-9, 52:20-10, 52:20-11, 52:20-12, 52:20-16; 52:22-1 to 52:22-22, inclusive; 52:23-1 to 52:23-16, inclusive; 52:25-7, 52:25-8, 52:25-9, 52:25-10, 52:25-15, 52:25-17, 52:25-18, 52:25-19, 52:25-20, 52:25-21, 52:25-22, 52:25-24; 52:31-1, 52:31-7, 52:31-9, 52:31-10, 52:31-11; 54:1-3, 54:1-4, 54:1-5.
Sections eight and twelve of an act entitled "An act creating a State department of local government, prescribing its powers and duties, and transferring to it certain powers and duties vested in the State Auditor," approved May ninth, one thousand nine hundred and thirty-eight (P.L.1938, c. 158), are repealed.
##### **§ 52:27B-85** Effective date {#sec-52-27b-85 omnilex-key=us-nj-statutes--title-52--52:27B-85}
This act shall take effect July first, one thousand nine hundred and forty-four. Any appointment and any confirmation of any appointment permitted by this act may be made after the enactment thereof.
## **Chapter 27BB**
##### **§ 52:27BB-1** Short title {#sec-52-27bb-1 omnilex-key=us-nj-statutes--title-52--52:27BB-1}
This act may be cited as the "Local Government Supervision Act (1947)."
##### **§ 52:27BB-2** Definitions {#sec-52-27bb-2 omnilex-key=us-nj-statutes--title-52--52:27BB-2}
As used in this act, unless the context indicates otherwise:
"Department" means the State Department of Community Affairs.
"Commissioner" means the Commissioner and head of the State Department of Community Affairs.
"Division" means the Division of Local Finance in the State Department of Community Affairs.
"Director" means the administrative head of the Division of Local Finance in the State Department of Community Affairs.
"Board" means the Local Finance Board of the Division of Local Finance in the State Department of Community Affairs.
"Governing body" means, in the case of a county, the board of chosen freeholders, and in the case of a municipality, the body exercising general legislative and administrative authority within the municipality, and in the case of a county or municipal authority, the body exercising general legislative and administrative authority over the actions of said county or municipal authority.
"Political subdivision" includes a municipality, county, school district, county or municipal authority, or a regional authority or district other than an interstate authority or district.
"Local government" means the government of political subdivisions.
"Municipality" includes a city, town, village, borough, township, special district, municipal authority, or other municipal corporations other than a school district or a county.
"Municipality under supervision" means a municipality to which the provisions of this act apply by virtue of a resolution of the Local Finance Board in the Division of Local Finance in the State Department of Community Affairs made in accordance with section 21 of this act.
"Administrator" means the local administrator of finance.
"Cash deficit" means the amount, if any, by which liabilities and cash disbursements of a municipality for lawful yearly expenditures (as defined in section 40A:4-42 of the New Jersey Statutes) exceed the cash receipts in a budget year, whether the municipality is operating under a cash basis budget or not.
"Accountant" means a registered municipal accountant.
"Regular audit" means the annual or biennial audit, as the case may be, required by law.
"Fiscal year" or "year" means the calendar year beginning January 1 and ending December 31.
"County or municipal authority" means a body corporate and politic of this State created by a county or municipality having corporate succession and the power to issue bonds, or other obligations.
##### **§ 52:27BB-3** Arrangement and headnotes {#sec-52-27bb-3 omnilex-key=us-nj-statutes--title-52--52:27BB-3}
The arrangement of the sections of this act have been made for the purpose of convenience, reference and order, and except where the context indicates otherwise, no implication or presumption of a legislative construction is to be drawn therefrom. No headnote to any article or section shall be deemed to be a part of this act.
##### **§ 52:27BB-4** Act is a revision {#sec-52-27bb-4 omnilex-key=us-nj-statutes--title-52--52:27BB-4}
This act is a revision of the statutory law repealed by sections ninety-seven and ninety-eight of this act.
##### **§ 52:27BB-5** Powers, duties and functions continued {#sec-52-27bb-5 omnilex-key=us-nj-statutes--title-52--52:27BB-5}
The powers, duties and functions of the Division of Local Government in the State Department of Taxation and Finance of the Local Government Board in said division, and of the director of said division, as provided for by law, are continued.
##### **§ 52:27BB-6** Division to supervise local government {#sec-52-27bb-6 omnilex-key=us-nj-statutes--title-52--52:27BB-6}
The division shall exercise State regulatory and supervisory powers over local government, assist local government in the solution of its problems, and plan and guide needed readjustments for effective local self-government.
##### **§ 52:27BB-7** Director's office at Capitol {#sec-52-27bb-7 omnilex-key=us-nj-statutes--title-52--52:27BB-7}
The director shall have his office at the State Capitol.
##### **§ 52:27BB-8** Powers and duties of the director {#sec-52-27bb-8 omnilex-key=us-nj-statutes--title-52--52:27BB-8}
The director, in addition to powers and duties specifically granted shall have the following general powers and duties: To
(1) Administer the work of the division.
(2) Keep and preserve all papers and records pertaining to the division.
(3) Receive and preserve as public records all papers, reports and other documents required to be filed with the division.
(4) Prescribe the organization of the division and the duties of his subordinates and assistants.
(5) Administer State laws, pertaining to local government, which are included within the jurisdiction of the division.
(6) Recommend to the board reasonable rules and regulations for the interpretation and administration of the laws administered by the division.
(7) Invoke any legal, equitable or special remedy for the enforcement of orders and the provisions of law administered by the division.
(8) Offer advice, consultation and instruction to local officials in improved methods of local administration.
##### **§ 52:27BB-9** Delegation of authority {#sec-52-27bb-9 omnilex-key=us-nj-statutes--title-52--52:27BB-9}
All powers, duties and functions vested in the director, including the making of inspections, examinations, audits and investigations and the conducting of hearings, may be delegated to, and exercised by, his duly authorized deputies, agents, appointees or employees of the division; but any such exercise of power, duty or function shall be at his direction and under his supervision, and he shall be responsible for all official acts.
##### **§ 52:27BB-10** Powers and duties of the board {#sec-52-27bb-10 omnilex-key=us-nj-statutes--title-52--52:27BB-10}
The board shall have the following powers and duties: To
(1) Study the entire field of local government in New Jersey.
(2) Promulgate reasonable rules and regulations for the interpretation and administration of State laws included within the jurisdiction of the division.
(3) Hold hearings when required by law, and also when it determines that interested persons should be given an opportunity to be heard.
(4) Hear appeals from determinations made by the director.
(5) Advise the director concerning the administration of the division, the exercise of his powers, and the problems of local government.
##### **§ 52:27BB-11** Continuation of powers {#sec-52-27bb-11 omnilex-key=us-nj-statutes--title-52--52:27BB-11}
The division, the board and the director shall have and shall continue to have all the powers, duties and functions which, under any law, could be exercised by the division, the board and the director at the time this act takes effect.
##### **§ 52:27BB-12** Legal assistance {#sec-52-27bb-12 omnilex-key=us-nj-statutes--title-52--52:27BB-12}
The Attorney-General of the State shall render, without additional compensation, such legal services as the director or the board may request for the discharge of their duties.
##### **§ 52:27BB-13** Meetings; proceedings {#sec-52-27bb-13 omnilex-key=us-nj-statutes--title-52--52:27BB-13}
The board shall hold regular meetings each year, as follows: On the third Monday in January, April, July and October. Special meetings may be convened at the call of the director or a majority of the members. The director and a majority of the members shall constitute a quorum for the conduct of official business. Minutes of all meetings shall be kept and shall be open to inspection as public records. Final action of the board shall be by resolution adopted by majority vote.
##### **§ 52:27BB-14** Hearings; rules of procedure. {#sec-52-27bb-14 omnilex-key=us-nj-statutes--title-52--52:27BB-14}
14. The board shall adopt rules of procedure to govern hearings and other proceedings before the board. The board may hold hearings at the office of the director, or any other place convenient to the parties. The rules of procedure adopted by the board shall govern all hearings and a record of proceedings shall be taken, which at the request of a party to the hearing may be stenographic. Decision shall be made by a majority vote of the board; provided, however, that the board shall not authorize fees charged for financings that are greater than 0.125 percent of the par value of the bonds to be issued unless the same is approved by at least a two-thirds majority of the board.
##### **§ 52:27BB-15** Appeals from determinations of the director {#sec-52-27bb-15 omnilex-key=us-nj-statutes--title-52--52:27BB-15}
A person, including a taxpayer or citizen, aggrieved by a determination made or an order issued by the director may apply to the board for a review and redetermination. Application for review and redetermination shall be filed with the director not more than ten days after the date of the determination or order. Within thirty days after filing of the application the board shall give the applicant an opportunity to be heard, and shall sustain, reverse or modify the determination of the director. The action taken by the board shall be by majority vote, shall be spread upon its minutes and shall be open to inspection as a public record.
##### **§ 52:27BB-16** Compulsory process {#sec-52-27bb-16 omnilex-key=us-nj-statutes--title-52--52:27BB-16}
The director or the board, as the case may be, may issue subpoenas to compel the attendance and testimony of witnesses and the production of books, papers, accounts or other documents, in any hearing, investigation or other proceeding. A subpoena may be served by any person duly authorized or by registered mail.
##### **§ 52:27BB-17** Enforcement of process {#sec-52-27bb-17 omnilex-key=us-nj-statutes--title-52--52:27BB-17}
If a person subpoenaed or ordered under the provisions of section sixteen fails to obey the subpoena, submit to examination, answer legal and pertinent questions, or produce books, papers, accounts or other documents when ordered, the director may apply to the Superior Court to compel the person to comply forthwith with the subpoena or order.
##### **§ 52:27BB-18** Issuance of orders; compliance {#sec-52-27bb-18 omnilex-key=us-nj-statutes--title-52--52:27BB-18}
The director may issue instructions and orders to a sinking fund commission of a political subdivision or governing body, as the case may be, requiring compliance with the requirements of law and the regulations of the board. Each order shall state a date giving reasonable time for compliance.
The local governing body and other local officers concerned shall comply with the instructions and orders. At the request of the local governing body the board shall grant a public hearing upon the matter in question. If the hearing is requested, the director shall not proceed to enforce the order until the hearing has been held and final determination is made.
##### **§ 52:27BB-19** Enforcement of orders {#sec-52-27bb-19 omnilex-key=us-nj-statutes--title-52--52:27BB-19}
Orders of the director may be enforced by a proceeding in lieu of prerogative writ or by an action for injunctive relief in appropriate cases, or by an action to compel the specific performance by the officers or governing bodies of political subdivisions of the orders of the director or of the duties imposed by law.
##### **§ 52:27BB-20** Judicial review {#sec-52-27bb-20 omnilex-key=us-nj-statutes--title-52--52:27BB-20}
The provisions of this act shall not be construed to prevent the judicial review of an order of the director after exhaustion of the remedy provided by section fifteen.
##### **§ 52:27BB-21** Certifications as evidence {#sec-52-27bb-21 omnilex-key=us-nj-statutes--title-52--52:27BB-21}
The official documents, orders and proceedings when certified to by the director shall be evidence in the courts of the State. The director may make a reasonable charge for copies of such records.
##### **§ 52:27BB-22** Certified and attested copies of records relating to bond issues {#sec-52-27bb-22 omnilex-key=us-nj-statutes--title-52--52:27BB-22}
The director shall receive and preserve as public records the certified copies of the procedures and other papers filed with the division in connection with bond issues. Upon request, the director shall furnish attested copies of such papers. The director may make a reasonable charge for such copies.
##### **§ 52:27BB-23** Duty of local officers {#sec-52-27bb-23 omnilex-key=us-nj-statutes--title-52--52:27BB-23}
It shall be the duty of the governing body and officers of a political subdivision of the State to co-operate with the director and the board toward giving effect to the purposes of this act, and the powers and duties of the division.
##### **§ 52:27BB-24** Authority of director as to budget; reduction in rate of interest; powers of county board of taxation {#sec-52-27bb-24 omnilex-key=us-nj-statutes--title-52--52:27BB-24}
The director may inquire into any item of budget or certification of requirements and may order any item required by law to be raised by taxation for municipal, county or school purposes which has been omitted in whole or in part from any budget to be included in the budget or the tax ordinance or resolution or tax levy, or he may inquire into any item of the budget and if wrongly stated in such budget, may order said item to be corrected and properly stated in the budget before its adoption, or to have the error corrected and adjusted in the tax ordinance or resolution or in the tax levy. All such orders shall constitute a mandatory obligation upon the governing body of any municipality, county or school district or the sinking fund commission or the county board of taxation, as the case may be.
Where any county or other municipality has agreed or shall agree with the holders of fifty per centum (50%) in amount of any evidence of indebtedness of any such county or other municipality to accept a reduced rate of interest thereon, or postpone any amortization requirement concerning any such evidence of indebtedness, the county board of taxation may reduce to such extent the item or items so certified by the director. Upon application to such county board of taxation by any county or other municipality for such reduction or reductions, such county board shall within thirty days fix a date for the hearing of such application, of which hearing public notice shall be given by the county board of taxation, and at the time and place so fixed any party in interest may be heard. Upon being satisfied of the sufficiency of such application the county board of taxation may correct and reduce the item or items within the limits fixed by this section.
##### **§ 52:27BB-25** Director not to issue order with respect to budget in certain cases {#sec-52-27bb-25 omnilex-key=us-nj-statutes--title-52--52:27BB-25}
Whenever the board shall be functioning as the municipal finance commission in any municipality pursuant to the provisions of law, the director may issue no order with respect to the budget or the tax ordinance or tax levy of such municipality pursuant to the provisions of section twenty-four of this act, except upon the direction of such board so functioning.
##### **§ 52:27BB-26** Purpose of article {#sec-52-27bb-26 omnilex-key=us-nj-statutes--title-52--52:27BB-26}
The purpose of this article is to make provision for modernized practices of fiscal administration in local government.
##### **§ 52:27BB-27** Uniform accounting systems {#sec-52-27bb-27 omnilex-key=us-nj-statutes--title-52--52:27BB-27}
The board shall, after careful study and investigation of accounting requirements, prescribe uniform accounting systems for municipalities and counties, and may, from time to time, revise or amend such systems. The board may classify municipalities and counties in accordance with different types of accounting requirements and may prescribe a suitable variation of the uniform system to apply to each class. The use of the system when prescribed, shall be mandatory in accordance with the regulations of the board. This section shall not be construed to prevent the director, with the consent of the board, from approving the continued use of a system used by county or municipality that meets the requirements of and is in substantial conformity with the uniform system prescribed.
##### **§ 52:27BB-28** Rules and regulations as to accounting methods {#sec-52-27bb-28 omnilex-key=us-nj-statutes--title-52--52:27BB-28}
The board may promulgate rules and regulations for the proper use of uniform accounting systems and for proper accounting methods.
##### **§ 52:27BB-29** Account books and forms {#sec-52-27bb-29 omnilex-key=us-nj-statutes--title-52--52:27BB-29}
The board may have prepared account books, blank forms and other accounting materials for use in uniform accounting systems and may furnish them at cost to municipalities and counties.
##### **§ 52:27BB-30** Installations of accounting systems {#sec-52-27bb-30 omnilex-key=us-nj-statutes--title-52--52:27BB-30}
The director may make installations of uniform accounting systems prescribed by the board at the request of the governing body of a municipality or county, and may make installations on his own motion with or without the consent of the governing body if local officers or a governing body fail or refuse to comply with the regulations of the board as to accounting systems or methods. The cost of installation shall be paid by the municipality or county.
##### **§ 52:27BB-31** Instruction and consultation {#sec-52-27bb-31 omnilex-key=us-nj-statutes--title-52--52:27BB-31}
Where the director installs accounting systems he shall supply without additional charge reasonable instruction and consultation in the use of the system and in proper accounting methods. So far as possible, instruction and consultation shall be extended to all municipalities and counties.
##### **§ 52:27BB-32** Systems of financial administration {#sec-52-27bb-32 omnilex-key=us-nj-statutes--title-52--52:27BB-32}
The board may prescribe systems of financial administration for municipalities and counties. Systems may be prescribed for a group or class of municipalities or counties having similar requirements, and separate systems may be prescribed for each of as many groups or classes as the board may determine.
Systems of financial administration shall include:
(1) Definite procedures for the receipt, custody, control and disbursement of public funds.
(2) Forms for receipts, requisitions, disbursement, purchase orders and other necessary documents.
(3) The exercise of a comptroller function by a designated local officer.
(4) Definitions of the respective powers and duties of the several local officers engaged in financial administration.
(5) Instructions, rules and regulations for the proper procedures and practices of financial administration.
A system of financial administration, when prescribed, shall be mandatory upon the municipalities and counties to which it applies.
##### **§ 52:27BB-33** Advisory committees {#sec-52-27bb-33 omnilex-key=us-nj-statutes--title-52--52:27BB-33}
The board may appoint special or standing advisory committees to render advice and consultation to the director and to the board in the preparation, operation and revision of uniform accounting systems and systems of financial administration. An advisory committee shall perform only those duties specifically assigned to it by the board. An advisory committee may consist of local officers, registered municipal accountants, other persons, or any combination of them, as the board may determine. Members of the committee shall serve without compensation but actual and necessary expenses, as determined by the board, may be paid.
##### **§ 52:27BB-34** Form of reports and financial statements {#sec-52-27bb-34 omnilex-key=us-nj-statutes--title-52--52:27BB-34}
The board shall prescribe the forms upon which financial statements and other reports pertaining to local financial affairs shall be made. The director shall supply forms to local officers at least thirty days prior to the date upon which the report is due.
##### **§ 52:27BB-35** Audits; authority of board {#sec-52-27bb-35 omnilex-key=us-nj-statutes--title-52--52:27BB-35}
The board shall promulgate rules and regulations governing the method, scope and procedure of regular audits of the financial affairs of municipalities and counties. Regulations shall prescribe the form and content of the audit report and shall specify the matters upon which comment and analysis shall be required of the auditing accountant.
##### **§ 52:27BB-36** Audits by department {#sec-52-27bb-36 omnilex-key=us-nj-statutes--title-52--52:27BB-36}
Whenever the director finds that the financial affairs of a municipality or county require special supervision, he may require that the regular audits of such municipality or county be made only by the auditing staff of the division. In such cases the director may make such investigations and analyses in addition to the standard requirements for audits, as the financial affairs of the municipality may warrant. Reasonable notice of the decision of the director to make the regular audit in a municipality or county shall be given to the governing body.
##### **§ 52:27BB-37** Rejection of audit report {#sec-52-27bb-37 omnilex-key=us-nj-statutes--title-52--52:27BB-37}
If the director finds that an audit report as filed is incomplete or inaccurate; was not made in accordance with the regulations promulgated by the board; or does not reflect the true financial condition of the municipality or county, he may:
(1) Order supplementary examinations to be made of specified funds, accounts or offices by the accountant making the original audit.
(2) Reject the audit report and require that the audit be made de novo in whole or in part.
(3) Require that supplementary or de novo examinations be made by the auditing staff of the division.
##### **§ 52:27BB-38** Examination of sinking fund {#sec-52-27bb-38 omnilex-key=us-nj-statutes--title-52--52:27BB-38}
The director shall examine and audit the books, papers, securities and moneys in the custody of the sinking fund commission of a political subdivision. Examination and audit shall be made at least once every two years and oftener if the director deems necessary.
##### **§ 52:27BB-39** Duty of sinking fund commission {#sec-52-27bb-39 omnilex-key=us-nj-statutes--title-52--52:27BB-39}
A sinking fund commission of a political subdivision shall at the request of the director produce its books, papers, securities and moneys, and all other records pertaining to its business. The sinking fund commission shall cooperate with the director and facilitate examination and audit in every way.
##### **§ 52:27BB-40** Sinking fund; recommendation by the director {#sec-52-27bb-40 omnilex-key=us-nj-statutes--title-52--52:27BB-40}
The director shall examine the report of audit of a sinking fund commission and may make such recommendations pertaining to the management and administration of the affairs of the sinking fund commission as he finds desirable. Notice and statement of recommendations shall be filed forthwith with the secretary of the commission. The secretary shall immediately send a copy of the statement to each member of the commission and to the executive head of the political subdivision. The secretary shall, within thirty days after receipt of the statement of recommendations, report to the director the action taken by the sinking fund commission.
##### **§ 52:27BB-41** Sinking funds; enforcement of recommendations {#sec-52-27bb-41 omnilex-key=us-nj-statutes--title-52--52:27BB-41}
If after forty-five days following filing of notice and statement of recommendations with the secretary of a sinking fund commission, the commission has failed or refused to act in accordance with such recommendations, the director may order the sinking fund commission to take such specific steps as he may find necessary and proper to protect the solvency and proper administration of the sinking fund. Orders may be enforced in accordance with sections fifty and fifty-two of this act.
##### **§ 52:27BB-42** Sinking funds; accounting {#sec-52-27bb-42 omnilex-key=us-nj-statutes--title-52--52:27BB-42}
The board shall prescribe and enforce a uniform system for the setting up and keeping of sinking fund accounts in political subdivisions. The director may at the request of a sinking fund commission install the system of accounts in a political subdivision, and may make such installations on his own motion with or without consent of the sinking fund commission if he finds that sinking fund accounts are not kept in accordance with the uniform system prescribed by the board. The cost of installation shall be charged against the political subdivision.
##### **§ 52:27BB-43** Sinking funds; examination of requirements {#sec-52-27bb-43 omnilex-key=us-nj-statutes--title-52--52:27BB-43}
The director shall, upon receipt, examine and audit the statement of annual sinking fund requirements of a political subdivision. The director shall determine the sufficiency of the amount certified, and shall make such corrections as may be necessary. After correction or approval the director shall certify sinking fund requirements at the time and in the manner required by section 40:3-19 of the Revised Statutes.
##### **§ 52:27BB-44** Sinking funds; amortization requirements {#sec-52-27bb-44 omnilex-key=us-nj-statutes--title-52--52:27BB-44}
The director shall examine the calculations and tabulations of the conditions of sinking funds as submitted by a sinking fund commission of a political subdivision, and shall determine the sufficiency of the funds for the amortization of bonded debt in accordance with the standards fixed by law.
If the director finds that the sinking funds are insufficient for such amortization, he shall certify to the sinking fund commission a statement of the amount required to make good the deficiency and the additional annual requirements to be made to the special sinking fund account as required by sections 40:3-20 and 40:3-24, both inclusive, of the Revised Statutes.
##### **§ 52:27BB-45** Compensation of department for services rendered {#sec-52-27bb-45 omnilex-key=us-nj-statutes--title-52--52:27BB-45}
The board shall fix reasonable charges, for the services rendered under sections twenty-nine, thirty, thirty-six, thirty-seven, thirty-eight and forty-two of this act, and by agreement for the making of a regular audit. Such charges shall represent, as nearly as possible, the actual cost of the services, but shall not exceed twenty-five dollars ($25.00) per diem for each person actually engaged in the performance of the services. The charges for the services, as so fixed, shall be paid by the political subdivision receiving the services. The charges may be recovered, in the name of the State, by the director, as a contractual debt, in any court of competent jurisdiction. All moneys received or collected for such charges shall be paid forthwith into the State treasury.
##### **§ 52:27BB-46** Inspection of local administration {#sec-52-27bb-46 omnilex-key=us-nj-statutes--title-52--52:27BB-46}
The director may at any time during regular business hours make inspections and examinations of the financial administration of a county or municipality. Inspection and examination may extend to the use of the uniform accounting system; accounting methods; the collection, custody and disbursement procedure; a selective audit of particular funds and accounts; and to any other matter or practice subject to regulation by the board, or regulated by any State law which is administered by the division.
Reports of inspection and examination shall be certified to the local governing body together with instructions for the correction of procedures or practices found not to be in accordance with the requirements of law or of the regulations of the board. Instructions of the director shall fix a date for compliance by the local governing body. On or before the date for compliance the local governing body shall give effect to the instructions and shall so certify to the director.
##### **§ 52:27BB-47** Inquiring into financial affairs {#sec-52-27bb-47 omnilex-key=us-nj-statutes--title-52--52:27BB-47}
The director may make a special investigation of a county or municipality, if, upon examination of the reports of audit and recommendations of an accountant, there appear to be errors, inaccuracies or omissions in the report of audit or recommendations, or evidence of illegal financial practices; or if the director has reason to believe that irregularities in the conduct of the financial affairs have occurred.
##### **§ 52:27BB-48** Special investigation; enforcement of orders {#sec-52-27bb-48 omnilex-key=us-nj-statutes--title-52--52:27BB-48}
The director may issue such orders as he may find appropriate to correct errors, inaccuracies or omissions in the report of audit or recommendations, illegal financial practices, or irregularities in the conduct of financial affairs, disclosed at an investigation made in accordance with section forty-seven of this act. Orders may be enforced in accordance with sections fifty and fifty-two of this act.
##### **§ 52:27BB-49** Powers of inquiry {#sec-52-27bb-49 omnilex-key=us-nj-statutes--title-52--52:27BB-49}
In any inspection, audit, inquiry, examination or other investigation authorized by this act, the director may hold hearings and exercise the powers of investigation granted by law.
##### **§ 52:27BB-50** Issuance of orders; compliance {#sec-52-27bb-50 omnilex-key=us-nj-statutes--title-52--52:27BB-50}
The director may issue instructions and orders requiring compliance with the requirements of this article and the regulations of the board. Instructions and orders may be based upon the audit report and recommendations of accountants or of the director; a special investigation; an inspection and examination; reports filed with the division; failure or refusal to file documents or make reports; or any other evidence of illegal financial practice or procedures in the political subdivision.
An order shall be issued and may be enforced in the manner provided for other orders of the director.
##### **§ 52:27BB-51** Duty of local officers {#sec-52-27bb-51 omnilex-key=us-nj-statutes--title-52--52:27BB-51}
An officer of a municipality or county who is charged with duties pertaining to fiscal administration shall keep accounts and in other respects perform his duties in accordance with the regulations promulgated by the board. An officer who wilfully violates this section shall be guilty of a misdemeanor. Upon conviction he shall be fined not less than twenty-five dollars ($25.00) nor more than one thousand dollars ($1,000.00), or imprisoned not less than ten days nor more than one year, or both; and shall in addition forfeit his office.
##### **§ 52:27BB-52** Enforcement of orders; penalties {#sec-52-27bb-52 omnilex-key=us-nj-statutes--title-52--52:27BB-52}
A local officer or member of a local governing body who, after the date fixed for compliance, fails or refuses to obey an order of the director, under the provisions of this article, shall be guilty of a misdemeanor and, upon conviction, may be fined not more than one thousand dollars ($1,000.00) or imprisoned for not more than one year, or both, and in addition shall forfeit his office.
##### **§ 52:27BB-53** Construction of this article {#sec-52-27bb-53 omnilex-key=us-nj-statutes--title-52--52:27BB-53}
The provisions of this article shall be construed to be in addition to the provisions of sections 40:4-1 to 40:4-3, inclusive, and sections 40:4-13 to 40:4-16, inclusive, of the Revised Statutes.
##### **§ 52:27BB-54** Purpose of article {#sec-52-27bb-54 omnilex-key=us-nj-statutes--title-52--52:27BB-54}
The purpose of this article is to make provision for the imposition of special restraints upon municipalities in, or in danger of falling into, unsound financial condition and in this way to forestall serious defaults upon local obligations and demoralized finances that burden local taxpayers and destroy the efficiency of local services.
##### **§ 52:27BB-55** Application of article {#sec-52-27bb-55 omnilex-key=us-nj-statutes--title-52--52:27BB-55}
The provisions of this article and sections 20 and 21 of this amendatory and supplementary act shall take effect in a municipality when any of the following conditions exists:
(1) A default exists in the payment of bonded obligations or notes for which no funds or insufficient funds are on hand and segregated in a special trust fund.
(2) Payments due and owing the State, county, school district or special district, or any of them, are unpaid for the year just closed and the year next preceding that year.
(3) An appropriation for "cash deficit of preceding year" in an amount in excess of 4% of the total amount of taxes levied upon real and personal property for all purposes in such preceding year, is required to be included in the next regular budget and was required to be included in the budget for the year just closed; provided, however, in establishing the excess, if any, over the 4% there shall first be deducted from such appropriation the amount, if any, that was caused by the failure to receive miscellaneous anticipated revenue from franchise and gross receipts taxes.
(4) Less than 70% of the total amount of taxes levied for all purposes upon real and personal property in the taxing district, in the year just closed and in the year next preceding that year, respectively, were collected during the year of levy.
(5) The appropriation required to be included in the next regular budget for the liquidation of all bonded obligations or notes exceeds 25% of the total of appropriations for operating purposes (except dedicated revenue appropriations) in the budget for the year just ended.
(6) A judicial determination of gross failure to comply with provisions of the "Local Bond Law" (N.J.S. 40A:2-1 et seq.), the "Local Budget Law" (N.J.S. 40A:4-1 et seq.) or the "Local Fiscal Affairs Law" (N.J.S 40A:5-1 et seq.) which substantially jeopardizes the fiscal integrity of the municipality.
##### **§ 52:27BB-56** Determination by the board: Notice and hearing {#sec-52-27bb-56 omnilex-key=us-nj-statutes--title-52--52:27BB-56}
If the director finds in the course of his duties that any of the conditions listed in section 55 of this act exists in a municipality not subject to supervision under sections 52:27-1 to 52:27-66, inclusive, of the Revised Statutes, he shall forthwith give notice to the governing body that the question of the application of this article to that municipality will be placed before the board for its determination at a time and place which shall be stated in the notice.
The board, at the time and place stated in the notice, shall give the local governing body and any other interested parties an opportunity to be heard. If the board finds, after hearing, that any of the conditions listed in section 55 of this act exists in the municipality, it may by resolution determine that the municipality is subject to supervision pursuant to this article (C. 52:27BB-54 et seq.) and sections 20 and 21 of this amendatory and supplementary act.
The resolution shall be submitted to the Commissioner of the Department of Community Affairs, the State Treasurer and the Attorney General and shall be effective upon the approval by any two of the above cabinet officers. To remain effective, the resolution shall be renewed each year by the board and approved by two of the above named officers.
The resolution shall state for each municipality subject to supervision pursuant to this article and sections 20 and 21 of this amendatory and supplementary act, which of the provisions of this article and sections 20 and 21 of this amendatory and supplementary act are in effect within the municipality.
Thereafter, the board may modify the resolution to terminate or limit the operation of any provisions of this article, or, with the approval of any two of the above cabinet officers, to put additional provisions into effect.
Notice shall be given by registered mail to the clerk of the municipality. Upon receipt of such notice the governing body and municipal officers shall observe the provisions of this article and shall comply with all orders of the director issued under it while the municipality remains subject to its provisions.
##### **§ 52:27BB-57** Limitation on debt and other financial liabilities {#sec-52-27bb-57 omnilex-key=us-nj-statutes--title-52--52:27BB-57}
The board may require that obligations, bonded or otherwise, shall not be issued or authorized by the municipality, including school districts or any special districts except as expressly authorized by the director.
The board may require that the municipality and its special districts shall not borrow any moneys, make any purchase, enter into any arrangements or contracts requiring the expenditure of any revenues or engaging the credit of the municipality in any way or undertake any financial liabilities or indebtedness whatsoever unless expressly authorized by the director. The board shall limit those purchases and contracts requiring authorization of the director to those exceeding $4,500.00, unless the board shall find good and sufficient cause for requiring otherwise. In any case, the board shall inform the municipal governing body, by resolution, of the types and amounts of the purchases and contracts which shall require authorization.
##### **§ 52:27BB-58** Limitation upon appropriations and expenditures {#sec-52-27bb-58 omnilex-key=us-nj-statutes--title-52--52:27BB-58}
The board may require that any or all expenditures and appropriations of a municipality subject to this article and sections 20 and 21 of this amendatory and supplementary act be expressly authorized by the director.
This section shall not be construed to authorize an appropriation of less than the full amount required for the payment of debt service; or to authorize the abrogation of any covenant entered into with bondholders. With the approval of the director, the municipality may exceed the spending limitations of P.L.1976, c. 68 (C. 40A:4-45.1 et seq.).
##### **§ 52:27BB-59** Limitations upon counties {#sec-52-27bb-59 omnilex-key=us-nj-statutes--title-52--52:27BB-59}
The provisions of section fifty-seven of this act (for the purpose of limiting the issuance of county obligations bonded or otherwise) and of section fifty-eight of this act (for the purpose of limiting the amount to be raised by taxation for county purposes) shall apply to a county when and so long as:
(1) The limitations of sections fifty-seven and fifty-eight of this act apply to three or more municipalities within the county because of the operation of section fifty-five of this act; and five or more per centum of the average of assessed valuations of taxable real property (including improvements) of the county, as stated in the annual debt statements for the preceding fiscal year (in accordance with subsection two, section 40:1-80 of the Revised Statutes) are located in each of two of such municipalities; and, in addition, either of the following exists:
(2) Fifty or more per centum of the average of assessed valuations of taxable real property (including improvements) of the county, as stated in the annual debt statements, for the preceding fiscal year (in accordance with subsection two, section 40:1-80 of the Revised Statutes) are located in such three or more municipalities, or
(3) Fifty or more per centum of the number of municipalities in the county are affected by the limitations of sections fifty-seven and fifty-eight of this act.
The director shall give notice, and the board shall give interested parties an opportunity to be heard and shall make its determinations as to the application of this section to counties at the same time and in the same manner as required by sections fifty-six and sixty-four of this act in the case of municipalities.
##### **§ 52:27BB-60** Compliance with requirements of law {#sec-52-27bb-60 omnilex-key=us-nj-statutes--title-52--52:27BB-60}
The director may order the governing body or an officer of a municipality subject to this article to perform any duty prescribed by law whether or not a specific penalty or enforcement procedure is provided by such law. The orders may be enforced as authorized by law. Whenever any directive of the board or director has not been fully performed or carried out by the officials or employees of the municipality, the board may perform directly or cause to be performed by its agents including the director, in the name of the municipality, such act.
The board may direct that any or all municipal officers and employees shall work under the supervision of the director to the extent that their duties and responsibilities relate to the fiscal affairs of the municipality. However, nothing herein shall infringe or supersede any supervisory powers which the Director of the Division of Taxation in the State Department of the Treasury may have.
##### **§ 52:27BB-61** Liquidation of debt {#sec-52-27bb-61 omnilex-key=us-nj-statutes--title-52--52:27BB-61}
The board may, under this section, authorize or direct a municipality subject to this act to liquidate or refinance its current debt pursuant to a plan.
Liquidations under this section shall be in accordance with a plan of liquidation adopted by the board. A plan so adopted and approved shall be binding upon the municipality and annual appropriations as required by the plan shall be mandatory. A plan shall not be amended except with the prior written consent of the board.
Whenever a municipality is operating under an approved plan of liquidation, the supervision of the board shall continue for the duration of the liquidation plan, notwithstanding the operation of the termination provisions in section 91 (C. 52:27BB-91).
##### **§ 52:27BB-62** Analysis of financial conditions {#sec-52-27bb-62 omnilex-key=us-nj-statutes--title-52--52:27BB-62}
The director may at any time, and shall if the governing body so requests, make a special analysis of the financial conditions of a municipality subject to this article. The analysis shall extend to all factors and circumstances contributing to the financial conditions of the municipality and shall if possible, recommend definite steps to be taken to correct such conditions.
##### **§ 52:27BB-63** Consultation and assistance {#sec-52-27bb-63 omnilex-key=us-nj-statutes--title-52--52:27BB-63}
The director shall extend all possible consultation and assistance to municipalities subject to this article to assist in the improvement of local financial conditions.
##### **§ 52:27BB-65** Municipalities under the Municipal Finance Commission {#sec-52-27bb-65 omnilex-key=us-nj-statutes--title-52--52:27BB-65}
If a municipality subject to this act is placed under the supervision of the Municipal Finance Commission in accordance with section 52:27-2 or section 52:27-3 of the Revised Statutes, the application of this article in such municipality shall thereupon be terminated.
##### **§ 52:27BB-66** Additional powers of the board {#sec-52-27bb-66 omnilex-key=us-nj-statutes--title-52--52:27BB-66}
For the purpose of this article the board shall have, in addition to its other powers, authority to
(1) Promulgate rules and regulations for the interpretation and administration of this article.
(2) Require, and prescribe the form of, special reports to be made by a financial officer or governing body pertaining to the financial affairs of municipalities.
(3) Hold hearings.
##### **§ 52:27BB-66.1** Collective bargaining agreements; review and approval; arbitration awards; exclusion; appointment or dismissal of managers; authority of director {#sec-52-27bb-66.1 omnilex-key=us-nj-statutes--title-52--52:27BB-66.1}
The board may provide that all collective bargaining agreements entered into during the time the municipality is subject to the provisions of this act shall be subject to the review and approval of the director. However, in any instance where negotiations on a collective bargaining agreement have reached an impasse and the matter has been submitted to an arbitrator pursuant to law, any arbitration award shall be binding without the approval of the director. In any arbitration proceeding the director shall furnish the arbitrator with a statement of the financial condition and capacity of the municipality.
The board may authorize the municipality to appoint or dismiss unclassified persons in managerial positions necessary to the rehabilitation of the financial affairs of the municipality without regard to any procedural or other statutory requirements.
The board may authorize the director to fix the hours and terms and conditions of employment for all municipal employees, and to appoint and dismiss municipal employees, to the extent permitted under the provisions of Title 11 of the Revised Statutes and of any collective bargaining agreements in effect.
##### **§ 52:27BB-67** Additional powers of the director {#sec-52-27bb-67 omnilex-key=us-nj-statutes--title-52--52:27BB-67}
For the purposes of this article, the director shall have, in addition to his other powers, authority to issue and enforce orders as authorized by law for other orders issued by him.
##### **§ 52:27BB-68** Construction {#sec-52-27bb-68 omnilex-key=us-nj-statutes--title-52--52:27BB-68}
This article shall be construed liberally to give effect to its intent that unsound financial conditions in municipalities shall be forestalled and corrected.
##### **§ 52:27BB-73** Supervision of revenue administration {#sec-52-27bb-73 omnilex-key=us-nj-statutes--title-52--52:27BB-73}
If the board finds that tax assets are not being realized upon because of weak or inadequate revenue administration, it may have the director supervise and control the methods and procedures used for the assessment, collection, and enforcement of taxes upon real and personal property; and the administration of licenses and other miscellaneous revenues.
The board shall determine the specific changes in revenue administration that are necessary in the municipality. The measures determined by the board as necessary may be enforced by order of the board in the same manner as authorized for other orders of the board. But the concurrence of the Director of the Division of Taxation in the State Department of the Treasury shall be a condition precedent to the enforcement by the board of such orders as fall within the scope of the said director's supervisory powers.
##### **§ 52:27BB-74** Separation of assessment lists {#sec-52-27bb-74 omnilex-key=us-nj-statutes--title-52--52:27BB-74}
If the board finds that unsound fiscal conditions result in whole or in part from the continued treatment of taxes levied upon delinquent property as liquid tax assets, it may order that tax lists be prepared and used in accordance with sections seventy-five to seventy-eight, inclusive, of this act.
##### **§ 52:27BB-75** Preparation of assessment lists {#sec-52-27bb-75 omnilex-key=us-nj-statutes--title-52--52:27BB-75}
The board may require that two separate assessment lists, an active list and an inactive list, be prepared:
(1) The inactive list shall include all property on which taxes levied during the three years immediately preceding have not been paid in whole or in part.
(2) The active list shall include all other taxable property.
##### **§ 52:27BB-76** Inactive lists; preparation and effect {#sec-52-27bb-76 omnilex-key=us-nj-statutes--title-52--52:27BB-76}
(a) After the board orders the preparation of tax lists pursuant to its powers under sections seventy-four and seventy-five of this act, the collector shall for each year prepare and certify to the county board of taxation a list of all properties, real and personal, upon which no tax payments have been made during the three fiscal years immediately preceding, to be known as the "inactive list." In each municipality in which the collector is required by this section to prepare an inactive list, the assessor shall file his duplicate with the collector at least ten days before he is required to file his assessment list and duplicate with the county board of taxation. The collector shall indicate by a check mark in the left-hand margin of each page at the appropriate lines those properties which are on his inactive list. The collector shall attend before the county board of taxation upon two days' notice from the county board, but not less than ten days after the duplicate is delivered to him, and at such time he shall file with the board the assessor's duplicate, together with his complete inactive list and a true copy thereof, such list and copy to be verified by affidavit of the collector. The county board shall cause the inactive list and the copy thereof to be annexed to the appropriate tax list and duplicate, respectively.
(b) The county board of taxation shall deduct from the valuations upon the assessor's tax list and duplicate the aggregate valuations of properties appearing upon inactive lists prior to fixing and adjusting the amount of State, State school and county tax to be levied in each taxing district and prior to causing the tax rate to be entered as provided by law. The amount of tax at the rate so entered, however, shall also be extended on the tax duplicates against each assessment on the inactive lists, and shall be and remain payable and enforceable in accordance with the provisions of Title 54 of the Revised Statutes. The table of aggregates, as required by section 54:4-52 of the Revised Statutes, shall not include items appearing upon the inactive lists.
(c) Nothing in this section shall be construed to relieve an assessor of any duty or obligation otherwise imposed by law, except that an assessor shall not incur any penalty for failure to file his duplicate with the county board of taxation during such period and only so long as it is actually in the physical possession of the collector pursuant to this act.
##### **§ 52:27BB-77** Apportionment of receipts from inactive properties. {#sec-52-27bb-77 omnilex-key=us-nj-statutes--title-52--52:27BB-77}
77. The local governing body shall cause to be paid to the county treasurer and to the secretary of the school board, or treasurer of school moneys, as appropriate, at such time and in such manner as the director may prescribe, amounts collected from properties on an inactive list, less reasonable costs of collection, in the proportion that the amounts levied for State, State school, county and school district purposes, respectively, during the fiscal year of such collections bore to the total levy for all purposes upon real and personal property within the municipality.
##### **§ 52:27BB-78** Rate of tax collections {#sec-52-27bb-78 omnilex-key=us-nj-statutes--title-52--52:27BB-78}
The rate of tax collections for whatever purpose used, shall be computed as the percentage that all tax collections were of amounts levied against both active and inactive lists.
##### **§ 52:27BB-79** Notice of proceedings of county tax board {#sec-52-27bb-79 omnilex-key=us-nj-statutes--title-52--52:27BB-79}
The county board of taxation shall not revise, correct or equalize the assessed value of property in a municipality to which the provisions of sections sixty-nine to ninety-one, inclusive, of this act, apply, nor shall the county board hear or determine an appeal concerning an assessment in such a municipality, without first giving at least five days' notice in writing to the director so that the board or its representative may be heard as a party in interest in behalf of the State.
##### **§ 52:27BB-80** Fiscal control officer {#sec-52-27bb-80 omnilex-key=us-nj-statutes--title-52--52:27BB-80}
The board may recommend to the local governing body that a fiscal control officer be appointed. If the board recommends the appointment of an officer, it shall submit to the governing body the names of not less than three persons who are found by the board to be qualified to perform the duties of officer for that municipality. The governing body shall, thereupon, appoint as officer one of the persons so named.
The officer shall receive compensation for his services to be paid out of the funds of the municipality in an amount fixed by the governing body and approved by the board. He shall give bond for the faithful performance of his duties in an amount fixed by the governing body and approved by the board. An officer shall continue his employment until his services are terminated by the governing body, with the approval of the board.
##### **§ 52:27BB-81** Fiscal control officer; powers and duties {#sec-52-27bb-81 omnilex-key=us-nj-statutes--title-52--52:27BB-81}
An officer shall have such of the powers and duties of the director in sections 57 and 58 and 82 to 87 inclusive, of this act, as are specifically assigned to him by the board. An officer shall exercise his powers and perform his duties under the general supervision of the director.
##### **§ 52:27BB-82** Administration of assets and liabilities {#sec-52-27bb-82 omnilex-key=us-nj-statutes--title-52--52:27BB-82}
If the board finds the unsound financial conditions in the municipality are due in whole or in part to failure to liquidate old liabilities, excluding those covered by section 61 (C. 52:27BB-61), it may authorize the director to liquidate any or all of the municipality's liabilities which are due and unpaid for more than 2 years and all of its unrealized assets which have been outstanding for 2 years, computed in the case of taxes and assessments from December 1 of the year of levy or assessment, other intangible property from the date of accrual, and tangible property from the date of acquisition of title. The several officers of the municipality shall thereafter, immediately upon request by the director, certify to him all assets and liabilities of the municipality which have been placed under his administration pursuant to this section and shall at the same time deliver to him all evidence and records of the existence and legality of such assets and liabilities as may be in their possession or control.
The director shall exercise in the name of the municipality, all powers pertaining to the enforcement of obligations that are vested by law in the municipality. But the director shall have a no power to accept less than the full amount in satisfaction of the obligations, nor to agree to the transfer of title of property to the municipality in lieu thereof without the prior approval of the governing body. The director shall forthwith pay all moneys coming into his hands to the treasurer.
##### **§ 52:27BB-83** Liquidation fund {#sec-52-27bb-83 omnilex-key=us-nj-statutes--title-52--52:27BB-83}
In a municipality not operating on a full cash basis, the treasurer shall place such moneys, paid to him pursuant to section 82 of this act, in a separate "liquidation fund." The director may apply the proceeds of the "liquidation fund" to the payment of obligations placed under his administration.
##### **§ 52:27BB-84** Study of cooperative agreements {#sec-52-27bb-84 omnilex-key=us-nj-statutes--title-52--52:27BB-84}
The director when so instructed by the board shall fully investigate and determine the possibilities of maintaining the services of the municipality at lower cost through the use of contractual agreements with other municipalities or with the county. He shall report his conclusions to the governing body and to the board. When so designated by the board, he shall act as the agent of the municipality in the negotiation of agreements with other jurisdictions.
##### **§ 52:27BB-85** Director may act as controller {#sec-52-27bb-85 omnilex-key=us-nj-statutes--title-52--52:27BB-85}
If the board finds that sound fiscal conditions will be promoted by the exercise of a control function in the municipality and that the function is not, or cannot be, maintained in a practical manner by regular local officers, the board may instruct the director to perform the control function.
##### **§ 52:27BB-86** Procedure of control {#sec-52-27bb-86 omnilex-key=us-nj-statutes--title-52--52:27BB-86}
The board may prescribe the procedure to be followed in each municipality in which the director is authorized and directed to exercise the control function. The board shall prescribe a procedure that so far as possible will restrict expenditures and commitments for expenditures to actual cash available and will safeguard the payment of commitments and regular expenses.
##### **§ 52:27BB-87** Preparation of budgets {#sec-52-27bb-87 omnilex-key=us-nj-statutes--title-52--52:27BB-87}
The director shall fix a date for the municipal governing body to submit its proposed annual budget to the board. The board may approve the budget, modify it or instruct the director to prepare an alternative budget to be submitted to the board for its approval. Once a budget is approved by the board, it shall be deemed adopted.
Nothing in this act shall limit the power of the chief administrative officer of the municipality and the municipal governing body pursuant to law in consultation with the director to determine within funds available in its annual budget the purposes for which expenditures are to be made by the municipality and the amounts of those expenditures, subject to law and the general requirements imposed by the board on the financial affairs of the municipality.
The board may approve a budget which exceeds the spending limitations of P.L.1976, c. 68 (C. 40A:4-45.1 et seq.).
If the board finds that the appropriation of the amounts required for "deferred charges and statutory expenditures" other than debt service, cannot be made without a probable increase in the cash deficit, the board may authorize by written order an appropriation of less than the full amount required for "deferred charges and statutory expenditures" but not less than the greatest amount that the board finds possible without an anticipated increase in the cash deficit. If a liquidation fund has been created in the municipality, in accordance with section 83 of this act, the board may authorize the appropriation to be made to the liquidation fund in lieu of that for "deferred charges and statutory expenditures."
This section shall not be construed to authorize the appropriation of less than the full amount required for the payment of debt service, for a judgment, or for any other item for which the municipality is obligated by contract to appropriate a specific sum.
##### **§ 52:27BB-88** Fiscal control officer agent of board {#sec-52-27bb-88 omnilex-key=us-nj-statutes--title-52--52:27BB-88}
The fiscal control officer appointed pursuant to section 80 shall perform as the agent of the director such duties with respect to the fiscal affairs of the municipality as the director in the exercise of his powers, may require.
##### **§ 52:27BB-89** General duties of board {#sec-52-27bb-89 omnilex-key=us-nj-statutes--title-52--52:27BB-89}
The board shall exercise its powers, shall offer guidance and assistance, and shall in every other respect promote the rehabilitation of the financial affairs of the municipality.
##### **§ 52:27BB-90** Delegation of powers to director {#sec-52-27bb-90 omnilex-key=us-nj-statutes--title-52--52:27BB-90}
The powers and duties vested by this act in the board may be exercised by the director under the supervision of the board when so authorized by resolution of the board.
##### **§ 52:27BB-91** Termination of supervision {#sec-52-27bb-91 omnilex-key=us-nj-statutes--title-52--52:27BB-91}
State supervision of a municipality pursuant to this act shall cease if: (1) the resolution placing the municipality under State supervision has not been renewed in accordance with section 56, or (2) the conditions listed in section 55 of this act have ceased and the municipality has operated during the last fiscal year without incurring a cash deficit (as computed in the manner provided by N.J.S 40A:4-42).
When the director finds that none of the conditions listed in section 55 of this act have existed for the period of 1 year in a municipality subject to this article, and he finds that the municipality operated during the last fiscal year without incurring a cash deficit (as computed in the manner provided by N.J.S. 40A:4-42) he shall give notice to the local governing body that the question of the application of this article to that municipality will be placed before the board for its determination at a time and place which shall be stated in the notice.
The board, at the time and place stated in the notice, shall, after giving the local governing body and other interested parties an opportunity to be heard, determine whether any of the conditions listed in section 55 (C. 52:27BB-55) continues to exist in the municipality, and whether the municipality operated during the last fiscal year without incurring such cash deficit. If the board finds that such conditions have not existed for the period of 1 year, and that the municipality operated during said year without incurring such cash deficit, it shall, by resolution, determine that the provisions of this article will no longer be in effect in the municipality.
The director shall forthwith certify to the governing body that the provisions of this article no longer affect that municipality.
Notice shall be given by registered mail to the clerk of the municipality.
##### **§ 52:27BB-95.1** Reimbursement of state by municipality for reasonable value of services {#sec-52-27bb-95.1 omnilex-key=us-nj-statutes--title-52--52:27BB-95.1}
Subject to the inclusion in the annual State appropriations act of an amount of anticipated revenues from that source, the State shall be reimbursed by the municipality for the reasonable value of services which it provided to the municipality pursuant to this act.
##### **§ 52:27BB-96** Application of act {#sec-52-27bb-96 omnilex-key=us-nj-statutes--title-52--52:27BB-96}
This act shall not be deemed to affect any provision of chapter one hundred twelve of the laws of one thousand nine hundred and forty-four, nor any matter or proceeding pending before the director or the board at the time this act takes effect. This act shall not be deemed to require any reorganization of the board or of any advisory committee, nor the reappointment or redesignation of any officer or employee of the division. Each officer and employee of the division shall retain any and all rights and privileges pertinent to his status in the service of the State and, especially, with respect to the civil service and any pension or retirement law applicable to him.
##### **§ 52:27BB-97** Repeal of sections of the Revised Statutes {#sec-52-27bb-97 omnilex-key=us-nj-statutes--title-52--52:27BB-97}
Sections 52:24-11, 52:24-19 and 52:24-19.1 of the Revised Statutes are repealed.
##### **§ 52:27BB-98** Repeal of acts; proviso {#sec-52-27bb-98 omnilex-key=us-nj-statutes--title-52--52:27BB-98}
The following parts of acts, acts, and acts amendatory thereof or supplemental thereto are repealed:
Sections one to sixteen, inclusive, and sections eighteen to thirty-four, inclusive, of "An act creating a State Department of Local Government, prescribing its powers and duties, and transferring to it certain powers and duties vested in the State Auditor," approved May ninth, one thousand nine hundred and thirty-eight (P.L.1938, c. 158); "An act concerning fiscal administration in local governments of the State, and repealing sections 52:24-12 to 52:24-18, inclusive, and 52:24-20 to 52:24-27, inclusive, of the Revised Statutes," approved May ninth, one thousand nine hundred and thirty-eight (P.L.1938, c. 159); "An act concerning the supervision, by the State Department of Local Government, over certain municipalities in the State," approved May fifth, one thousand nine hundred and thirty-eight (P.L.1938, c. 127); "An act relating to the limitation of school debt and appropriations in school districts within municipalities subject to the provisions of an act entitled "An act concerning the supervision, by the State Department of Local Government, over certain municipalities in the State,' approved May fifth, one thousand nine hundred and thirty-eight; and supplementing sections 18:6-50, 18:6-51, 18:6-53, 18:6-61, 18:6-62, 18:7-78, 18:7-79, 18:7-82, 18:7-83, 18:7-85, 18:7-86 and 54:4-45 of the Revised Statutes," approved July eighteenth, one thousand nine hundred and thirty-nine (P.L.1939, c. 265); "An act to amend the title of an act entitled "An act concerning the supervision, by the State Department of Local Government, over certain municipalities in the State,' approved May fifth, one thousand nine hundred and thirty-eight, constituting chapter one hundred twenty-seven of the laws of one thousand nine hundred and thirty-eight; and to amend and supplement said act," approved October twenty-fifth, one thousand nine hundred and thirty-nine (P.L.1939, c. 364); "A supplement to an act entitled "An act concerning the supervision, by the State Department of Local Government, over certain political subdivisions in the State,' approved May fifth, one thousand nine hundred and thirty-eight (P.L.1938, c. 127), as said title was amended by pamphlet laws of one thousand nine hundred and thirty-nine, chapter three hundred sixty-four," approved April twenty-eighth, one thousand nine hundred and forty-one (P.L.1941, c. 75); and "An act to amend an act entitled "An act concerning the supervision by the State Department of Local Government, over certain political subdivisions in the State,' approved May fifth, one thousand nine hundred and thirty-eight (P.L.1938, c. 127), as heretofore amended and supplemented by chapter three hundred sixty-four of the laws of one thousand nine hundred and thirty-nine," approved April thirtieth, one thousand nine hundred and forty-one (P.L.1941, c. 95); provided, however, that this section shall not be deemed to revive any act which was repealed by any of said enumerated acts.
##### **§ 52:27BB-99** Severability clause {#sec-52-27bb-99 omnilex-key=us-nj-statutes--title-52--52:27BB-99}
The provisions of this act shall be construed as severable and if any part is held unconstitutional, or for any other reason invalid, the remaining parts shall not be affected thereby.
##### **§ 52:27BB-100** Effective date of act {#sec-52-27bb-100 omnilex-key=us-nj-statutes--title-52--52:27BB-100}
This act shall take effect July first, one thousand nine hundred and forty-seven.
L.1947, c. 151, p. 682, s. 100.
52:27BBB-1 Short title.
1. This act shall be known and may be cited as the "Municipal Rehabilitation and Economic Recovery Act."
L.2002,c.43,s.1.
52:27BBB-2 Findings, declarations relative to municipal rehabilitation and economic recovery
2. The Legislature finds and declares that:
a. There exists in certain municipalities a continuing state of fiscal distress which endures despite the imposition of a series of measures authorized pursuant to law;
b. Economically impoverished, those municipalities have a history of high crime rates, including arson, that has necessitated the maintenance of large police and fire departments, at enormous taxpayer cost in municipalities without a sound tax base;
c. The past fifty years have witnessed the depopulation of those municipalities characterized by such problems;
d. Spending power on the part of residents of these municipalities is severely limited and local businesses thereby suffer from the lack of an indigenous client base so that rebuilding the fortunes of city residents in order to recreate a viable urban economy will require a considerable period of time;
e. Notwithstanding the prosperity which has been experienced elsewhere throughout New Jersey in recent years, the unemployment rate in these municipalities is substantially higher than that of most other municipalities;
f. While the rest of New Jersey has enjoyed increased land values, the ratable base in these municipalities has declined steadily during the 1990's, marked by their low equalized value per capita which can be about one-half that of other cities;
g. Coupled with this economic deprivation, many of these municipalities are characterized by a lack of internal audit controls, accountability and oversight, evidenced by the fact that although real estate taxes comprise over two-thirds of locally generated revenues, many of these municipalities do not rigorously enforce collection and receive but a portion of their levy;
h. Although the State has experienced a period of tremendous prosperity and economic growth over the past few years, such municipalities continue to languish without any obvious signs of improvement;
i. These municipalities have experienced a substantial budget deficit for many years which has only been addressed through extraordinary payments of State aid;
j. While State aid dollars which have been directed toward such municipalities have served to address their structural deficits, they have not, and cannot, function as an economic impetus toward the rebuilding of those municipalities;
k. Because a significant proportion of the population of such municipalities lacks adequate health insurance coverage, causing many to seek basic care in municipal emergency rooms, municipal hospitals are heavily dependent upon State assistance commonly referred to as "charity care" for reimbursement. Such health services are crucial to the overall health of the infrastructure and social growth and stability of qualified municipalities. Moreover, the demand for such health services has necessitated planning for a major expansion of medical school programs within qualified municipalities;
l. Given the high crime rates in these municipalities, if economic recovery is to be successful, it is vital that municipal residents feel that their basic safety is assured; accordingly, the State will continue to commit to assist such municipalities in maintaining not less than that number of police officers employed by the municipality at the time of the determination by the commissioner that the municipality fulfills the definition of a qualified municipality and in creating working relationships between State agencies, local law enforcement and the community to identify and develop strategies to improve the quality of life and the security of residents in qualified municipalities;
m. In order to ensure the long-term economic viability of such municipalities, it is critical that the Legislature encourage, to the extent possible, the production of market-rate housing within the municipality so as to expand the local tax base and provide a greater diversity of income levels among municipal inhabitants;
n. When faced with analogous situations, other states have employed extraordinary measures to provide leadership and oversight for struggling cities and the necessary tools to spur an economic revival within those cities; and
o. In light of the dire needs faced by such municipalities and the lack of progress in addressing those needs either governmentally or through private sector initiative, and given the successful interventions on the part of other states in analogous circumstances, it is incumbent upon the State to take exceptional measures, on an interim basis, to rectify certain governance issues faced by such municipalities and to strategically invest those sums of money necessary in order to assure the long-term financial viability of these municipalities.
L.2002,c.43,s.2; amended 2002, c.108, s.2.
52:27BBB-2.1 Findings, declarations relative to "Municipal Rehabilitation and Economic Recovery Act"
1. The Legislature finds and declares that:
a. The court decision striking certain provisions of P.L.2002, c.43 requires the Legislature to clarify its intent in approving that act;
b. The court's interpretation of P.L.2002, c.43 is contrary to the intent of the Legislature and as a result, amendatory legislation removing any question regarding the intent, scope and applicability of that act is appropriate;
c. It is also important to clarify and expand upon a legislative intent of focusing redevelopment efforts in qualified municipalities by ensuring that the expenditure of public dollars for development and redevelopment is coordinated with the expenditure of public dollars supporting schools and educational efforts in such municipalities; and
d. Given the magnitude of the State's investment in a qualified municipality, it is incumbent upon the State to take the appropriate steps necessary to ensure effective governance at the school district level in addition to effective governance at the municipal level. Not only will limited school district oversight ensure the coordinated expenditures of public funds, it will ensure that the proposed local tax levy to support the district's schools will not further burden the municipal tax base. Additionally, this oversight will assist the district in improving the quality of education provided to students in the municipality. Enhancing educational quality will, in turn, assist housing revitalization by attracting new families to the community and preventing flight of current residents. It will also serve to attract new businesses and potential employers because the community can offer better-prepared graduates to the workforce.
L.2002,c.108,s.1.
52:27BBB-2.2 Findings, declarations relative to urban revitalization.
1. The Legislature finds and declares:
a. The "Municipal Rehabilitation and Economic Recovery Act," P.L.2002, c.43 (C.52:27BBB-1 et al.), provides for the appointment of a chief operating officer in a qualified municipality for a five-year period, referred to in that law as the rehabilitation term;
b. As of the effective date of P.L.2007, c.176 (C.52:27BBB-2.2 et al.), that 2002 act has been implemented in one municipality in the State;
c. The fourth-year report of the chief operating officer appointed in that municipality, required pursuant to section 8 of P.L.2002, c.43 (C.52:27BBB-8), recommended an extension of the rehabilitation term to allow for the implementation of the reforms anticipated by P.L.2002, c.43; and
d. Given the detailed assessment and recommendation in that fourth-year report, it is apparent that under certain circumstances a 10-year rehabilitation term is a more realistic period within which government reform may be effectuated in a qualified municipality.
L.2007, c.176, s.1.
52:27BBB-3 Definitions relative to municipal rehabilitation and economic recovery.
3. As used in this act:
"Authority" means the New Jersey Economic Development Authority established pursuant to P.L.1974, c.80 (C.34:1B-1 et seq.).
"Board" means the State Economic Recovery Board established pursuant to section 36 of P.L.2002, c.43 (C.52:27BBB-36).
"Chief operating officer" means that person appointed pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) responsible for reorganizing governmental operations of a qualified municipality in order to assure the delivery of essential municipal services and the professional administration of that municipal government.
"Commissioner" means the Commissioner of Community Affairs.
"Contiguous with" means within.
"Director" means the Director of the Division of Local Government Services in the Department of Community Affairs.
"Economic recovery term" means the period commencing with the expiration of the term of the chief operating officer and terminating 20 years thereafter.
"In consultation with" means with consideration of the input of, or the advice of, the mayor, governing body, chief operating officer or director, as the case may be, without regard to the form or manner of the consultation.
"Local Finance Board" means the Local Finance Board of the Division of Local Government Services in the Department of Community Affairs.
"Mayor" means the mayor or chief executive officer of the municipality, as appropriate to the form of government.
"Project" means: (1) (a) acquisition, construction, reconstruction, repair, alteration, improvement and extension of any building, structure, facility, including water transmission facilities or other improvement, whether or not in existence or under construction, (b) purchase and installation of equipment and machinery, (c) acquisition and improvement of real estate and the extension or provision of utilities, access roads and other appurtenant facilities; and (2) (a) the acquisition, financing, or refinancing of inventory, raw materials, supplies, work in process, or stock in trade, or (b) the financing, refinancing or consolidation of secured or unsecured debt, borrowings, or obligations, or (c) the provision of financing for any other expense incurred in the ordinary course of business; all of which are to be used or occupied by any person in any enterprise promoting employment, either for the manufacturing, processing or assembly of materials or products, or for research or office purposes, including, but not limited to, medical and other professional facilities, or for industrial, recreational, hotel or motel facilities, public utility and warehousing, or for commercial and service purposes, including, but not limited to, retail outlets, retail shopping centers, restaurant and retail food outlets, and any and all other employment promoting enterprises, including, but not limited to, motion picture and television studios and facilities and commercial fishing facilities, commercial facilities for recreational fishermen, fishing vessels, aquaculture facilities and marketing facilities for fish and fish products and (d) acquisition of an equity interest in, including capital stock of, any corporation; or any combination of the above, which the authority determines will: (i) tend to maintain or provide gainful employment opportunities within and for the people of the State, or (ii) aid, assist and encourage the economic development or redevelopment of any political subdivision of the State, or (iii) maintain or increase the tax base of the State or of any political subdivision of the State, or (iv) maintain or diversify and expand employment promoting enterprises within the State; and (3) the cost of acquisition, construction, reconstruction, repair, alteration, improvement and extension of an energy saving improvement or pollution control project which the authority determines will tend to reduce the consumption in a building devoted to industrial or commercial purposes, or in an office building, of nonrenewable sources of energy or to reduce, abate or prevent environmental pollution within the State; and (4) the acquisition, construction, reconstruction, repair, alteration, improvement, extension, development, financing or refinancing of infrastructure and transportation facilities or improvements related to economic development and of cultural, recreational and tourism facilities or improvements related to economic development and of capital facilities for primary and secondary schools and of mixed use projects consisting of housing and commercial development; and (5) the establishment, acquisition, construction, rehabilitation, improvement, and ownership of port facilities as defined in section 3 of P.L.1997, c.150 (C.34:1B-146). Project may also include: reimbursement to any person for costs in connection with any project, or the refinancing of any project or portion thereof, if such actions are determined by the authority to be necessary and in the public interest to maintain employment and the tax base of any political subdivision and likely to facilitate improvements or the completion of the project; and developing property and any construction, reconstruction, improvement, alteration, equipment or maintenance or repair, or planning and designing in connection therewith. For the purpose of carrying out mixed use projects consisting of both housing and commercial development, the authority may enter into agreements with the New Jersey Housing and Mortgage Finance Agency for loan guarantees for any such project in accordance with the provisions of P.L.1995, c.359 (C.55:14K-64 et al.), and for that purpose shall allocate to the New Jersey Housing and Mortgage Finance Agency, under such agreements, funding available pursuant to subsection a. of section 4 of P.L.1992, c.16 (C.34:1B-7.13). "Project" shall not include a school facilities project.
"Qualified municipality" means a municipality: (1) that has been subject to the supervision of a financial review board pursuant to the "Special Municipal Aid Act," P.L.1987, c.75 (C.52:27D-118.24 et seq.) for at least one year; (2) that has been subject to the supervision of the Local Finance Board pursuant to the "Local Government Supervision Act (1947)," P.L.1947, c.151 (C.52:27BB-1 et seq.) for at least one year; and (3) which, according to its most recently adopted municipal budget, is dependent upon State aid and other State revenues for not less than 55 percent of its total budget.
"Regional Impact Council" or "council" means that body established pursuant to section 39 of P.L.2002, c.43 (C.52:27BBB-39).
"Rehabilitation term" means that period during which the qualified municipality is under the direction of the chief operating officer appointed pursuant to section 7 of P.L.2002, c.43 (C.52:27BBB-7).
"Special arbitrator" means that judge designated by the Chief Justice pursuant to section 5 of P.L.2002, c.43 (C.52:27BBB-5).
"State supervision" means supervision pursuant to Article 4 of the "Local Government Supervision Act (1947)," P.L.1947, c.151 (C.52:27BB-54 et seq.).
"Treasurer" or "State treasurer" means the Treasurer of the State of New Jersey.
"Under rehabilitation and economic recovery" means that period which coincides with the rehabilitation term and the economic recovery term.
L.2002, c.43, s.3; amended 2002, c.108, s.3; 2014, c.60, s.1; 2021, c.30, s.1; 2024, c.108, s.1.
52:27BBB-4. Notification to qualified municipality
4. Within 30 days of the effective date of P.L.2002, c.43 (C.52:27BBB-1 et al.), and thereafter within 30 days of the deadline for the adoption of municipal budgets pursuant to the "Local Budget Law," N.J.S.40A:4-1 for each calendar or State fiscal year, as appropriate to the budget adoption schedule, the commissioner shall make a determination regarding which municipalities fulfill the definition of a qualified municipality pursuant to P.L.2002, c.108 (C.52:27BBB-2.1 et al) and shall notify the Governor, the State Treasurer, the mayor and each member of the governing body of each qualified municipality that the municipality is subject to the provisions of the "Municipal Rehabilitation and Economic Recovery Act," P.L.2002, c.43 (C.52:27BBB-1 et al.). The date of the notification shall be considered the date a municipality is designated as a qualified municipality. In addition, the commissioner shall notify:
a. the county executive, county manager, the freeholder director or chairperson, as appropriate to the form of government, and each member of the board of chosen freeholders of each county in which is situated a qualified municipality;
b. the Chief Justice of the New Jersey Supreme Court;
c. each member of the Senate and General Assembly; and
d. the Commissioner of Education. If the commissioner determines that any school district which is contiguous with the qualified municipality is subject to level II or level III monitoring pursuant to section 14 of P.L.1975, c.212 (C.18A:7A-14), the commissioner shall forthwith notify the Governor and the board of education of the school district that the school district is subject to the provisions of sections 67 and 68 of P.L.2002, c.43 (C.52:27BBB-63 and 64).
Any designation of a qualified municipality made pursuant to P.L.2002, c.43 (C.52:27BBB-1 et seq.) prior to the enactment of P.L.2002, c.108 (C. 52:27BBB-2.1 et al) is continued.
L.2002,c.43,s.4; amended 2002, c.108, s.4.
52:27BBB-5 Appointment of special arbitrator; criteria for dispute resolution.
5. Upon receipt of notification by the commissioner pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4), the Chief Justice may designate a Superior Court judge who sits within the vicinage of the county in which the qualified municipality is situated or a retired judge who, during his or her tenure as a judge, served within the vicinage of the county in which the qualified municipality is situated as the special arbitrator as prescribed pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) to serve during the rehabilitation term only. The designation shall expire at the commencement of the economic recovery term. The special arbitrator shall, on an expedited basis, oversee the resolution of any impasse brought before the special arbitrator by the chief operating officer pursuant to sections 9, 11, 13, 16, 22, and 27 of P.L.2002, c.43 (C.52:27BBB-9, C.52:27BBB-11, C.52:27BBB-13, C.52:27BBB-16, C.52:27BBB-22, and C.52:27BBB-27) or any other impasse resulting from any action or failure to act on the part of the mayor, the governing body or any other officer or appointee of the municipality. The special arbitrator may adopt those procedures necessary to govern the resolution of an impasse and shall use the following criteria in dispute resolution, as appropriate to the particular circumstances:
a. The action or failure to act would be adverse to the rehabilitation or economic recovery of the municipality;
b. The action in question or failure to act would represent an unsound decision in violation of the fiduciary responsibility of the municipal officials;
c. The action or failure to act would be inconsistent with internal financial controls or would violate prudent standards or practices of municipal administration or would violate or compromise State laws, rules or regulations under which the municipality operates; and
d. the action or inaction would delay the implementation of P.L.2002, c.43 (C.52:27BBB-1 et al.) or the achievement of the goal of fostering the redevelopment and rehabilitation of qualified municipalities and ensuring the effective delivery of municipal services and professionalization of municipal administration.
L.2002, c.43, s.5; amended 2009, c.337, s.1.
52:27BBB-6 Municipality deemed under rehabilitation and economic recovery; term.
6. a. Upon the appointment of a chief operating officer pursuant to section 7 of P.L.2002, c.43 (C.52:27BBB-7), a qualified municipality shall be under rehabilitation and economic recovery. This period shall begin with the assumption of job responsibilities by the chief operating officer pursuant to this section and terminate 20 years following the end of the term of the chief operating officer. The period corresponding with the term of the chief operating officer shall be referred to hereinafter as the rehabilitation term. The period commencing with the expiration of the term of the chief operating officer and terminating terminate 20 years thereafter shall be referred to hereinafter as the economic recovery term.
b. (1) During the economic recovery term, the mayor shall exercise those powers delegated to the mayor pursuant to the form of government, the charter and the administrative code of the municipality, and those powers delegated to the mayor under general law. In addition, during the economic recovery term, the mayor shall retain the power to veto the minutes of any independent board or authority, including, but not limited to, the housing authority, parking authority, redevelopment authority, planning board and board of adjustment. No action taken at any meeting of any independent board or authority shall have force or effect until 10 days, exclusive of Saturdays, Sundays and public holidays, after the copy of the minutes shall have been delivered to the mayor. If, in that 10-day period, the mayor returns the copy of the minutes with a veto of any action taken by the board or authority at the meeting, that action shall be null and void and of no force and effect. Following the completion of the 10-day period, those actions not vetoed shall be considered approved.
(2) During the first 18 months of the economic recovery term, the mayor shall have the power to veto or terminate any employment contract not subject to a collective bargaining agreement, whether or not subject to Title 11A, Civil Service, of the New Jersey Statutes. This shall not apply to employment contracts under extension pursuant to terms under the expired contract.
(3) The mayor shall cause to be issued an interim report and a final report on the progress of the municipality toward achieving municipal rehabilitation and economic recovery, as set forth in section 8 of P.L.2002, c.43 (C.52:27BBB-8). The interim report shall be issued no later than June 30, 2026, and the final report shall be issued at the end of the economic recovery term.
(4) The mayor shall authorize the municipal planning board, from time to time, to prepare a program of municipal capital improvement projects projected over a term of at least six years, and amendments thereto. The program may include current and future major projects being, or to be, undertaken with federal, State, county, or other public funds, or under federal, State, or county supervision. The first year of the program shall, upon adoption by the governing body, constitute the capital budget of the municipality as required by N.J.S.40A:4-43 et seq. The program shall classify projects in regard to the urgency and need for realization, and shall recommend a time sequence for their implementation. The program may also contain the estimated cost of each project and indicate probable operating and maintenance costs and probable revenues, if any, as well as existing sources of funds, or the need for additional sources of funds, for the implementation and operation of each project. The program shall, as far as possible, be based on existing information in the possession of the departments and agencies of the municipality and shall take into account public facility needs indicated by the prospective development shown in the master plan of the municipality or as permitted by other municipal land use controls.
(5) While the municipality is under rehabilitation and economic recovery, the mayor shall retain the power to make those appointments to municipal authorities, boards or commissions, as the case may be, which is otherwise allocated to the mayor pursuant to law.
The mayor may retain staff for the purpose of advising the mayor and aiding in the performance of constituent services during the rehabilitation term.
(6) The Director of the Division of Local Government Services in the Department of Community Affairs shall annually conduct a compliance audit of the activities of a qualified municipality during the economic recovery term to ensure compliance with P.L.2002, c.43 (C.52:27BBB-1 et al.) and other relevant State laws and shall report the findings to the Local Finance Board and the mayor.
(7) The financial incentives set forth in sections 54 through 56 of P.L.2002, c.43 (C.52:27BBB-53 through 55) shall remain in effect until the municipality is no longer eligible for financial assistance pursuant to the "Special Municipal Aid Act," P.L.1987, c.75 (C.52:27D-118.24 et seq.).
c. Upon the assumption of job responsibilities by the chief operating officer, the financial review board created pursuant to section 5 of P.L.1999, c.156 (C.52:27D-118.30a) to oversee the finances of the municipality shall cease to function and the municipality shall cease to be under supervision pursuant to Article 4 of P.L.1947, c.151 (C.52:27BB-54 et seq.).
All outstanding debts or obligations incurred by a qualified municipality or the New Jersey Housing and Mortgage Finance Agency established pursuant to section 4 of the "New Jersey Housing and Mortgage Finance Agency Law of 1983," P.L.1983, c.530 (C.55:14K-4) and secured by a right of first refusal on municipally-owned property as of 10 days following a determination by the commissioner that the municipality fulfills the definition of a qualified municipality pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4), with any subsidiary of that agency with jurisdiction in a qualified municipality, other than those debts or obligations represented by bonds or other negotiable instruments, are forgiven.
Notwithstanding the termination of the financial review board and supervision, all memorandums of understanding entered into by the municipality as a condition of receiving assistance under P.L.1987, c.75 (C.52:27D-118.24 et seq.) that require the municipality to implement any government, administrative, operational efficiency or oversight measures necessary for the fiscal recovery of the municipality as recommended by the director and approved by the Local Finance Board shall continue to have full force and effect.
During the rehabilitation term, the chief operating officer shall be responsible for entering into any memorandum of understanding on behalf of the qualified municipality that is required as a condition of receiving assistance under P.L.1987, c.75 (C.52:27D-118.24 et seq.), or any other law; provided, however, that those memoranda of understanding shall be consistent with the provisions of P.L.2002, c.43 (C.52:27BBB-1 et al.) and P.L.2007, c.176 (C.52:27BBB-2.2 et al.), and the powers of the chief operating officer granted pursuant thereto. Any such memoranda of understanding shall be executed between the chief operating officer and the Director of the Division of Local Government Services in the Department of Community Affairs. Whenever the powers and duties of the chief operating officer have devolved upon the director pursuant to subsection b. of section 7 of P.L.2002, c.43 (C.52:27BBB-7), the memorandum of understanding shall be executed between the director, on behalf of the qualified municipality, and the State Treasurer, on behalf of the State.
L.2002, c.43, s.6; amended 2002, c.108, s.5; 2007, c.176, s.2; 2009, c.337, s.2; 2014, c.60, s.2; 2021, c.30, s.2; 2024, c.108, s.2.
52:27BBB-7 Appointment of chief operating officer; term.
7. a. Upon receiving notification by the Commissioner of Community Affairs pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4), the Governor shall appoint the chief operating officer in consultation with the mayor and the governing body. The chief operating officer shall serve at the pleasure of the Governor. The chief operating officer shall be qualified by training and experience for the position and shall have at least 10 years of experience in the management or supervision of government activities, three years of which may be substituted by an advanced degree in business, law, or public administration.
b. Pending the appointment of a chief operating officer or, in the event of the death, resignation, removal or inability of the chief operating officer to discharge the duties of that office, the functions, powers and duties of the chief operating officer shall devolve upon the director, for the time being, until a chief operating officer is appointed or is able to discharge the duties of that office. In the event that the chief operating officer does not serve out the chief operating officer's term of office for any reason, a successor shall be chosen by the Governor.
c. (1) The term of the chief operating officer shall terminate five years following the assumption of duties on the part of the initial chief operating officer first appointed pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.), or 10 years thereafter, except as provided under paragraph (2) of this subsection, if the fourth-year report required by section 8 of P.L.2002, c.43 (C.52:27BBB-8) recommends an extension of that term, provided that the extension is approved by the Commissioner of Community Affairs. The chief operating officer may be hired as a State employee in the unclassified service of Title 11A, Civil Service, of the New Jersey Statutes or may be hired under contract, as provided hereunder. Notwithstanding any other provision of law, no person so appointed shall acquire tenure.
If the chief operating officer is hired under contract, the person hired shall meet the qualifications set forth herein, and it shall be clear from the contract that the position is full-time and that the job site shall be at the principal offices of the municipality. If, for any reason, a person engaged under contract is unable to fulfill the job responsibilities of chief operating officer, the selection process shall be recommenced in accordance with the provisions of this section.
If the chief operating officer is hired under contract, the contract shall be available for public inspection in the office of the municipal clerk.
(2) An extended term of the office of chief operating officer shall terminate early upon the recommendation of the Commissioner of Community Affairs to end the rehabilitation term for a qualified municipality and to commence the economic recovery term.
d. Subject to the approval of the State Treasurer, the salary, benefits and costs of the chief operating officer shall be fixed by the board and adjusted from time to time as the board deems appropriate. The salary level and benefits shall be comparable to that of the director of any public authority or agency with jurisdiction in the qualified municipality. The salary, benefits, and costs of the chief operating officer shall be an expense of the State and paid through the Department of the Treasury.
L.2002, c.43, s.7; amended 2002, c.108, s.6; 2007, c.176, s.3; 2009, c.337, s.3.
52:27BBB-8 Submission of report by chief operating officer.
8. a. At the end of four years following the commencement of duties by the chief operating officer, the chief operating officer or his or her successor shall submit a report to the Governor, each member of the State Economic Recovery Board, each member of the Senate and General Assembly, each member of the county board of freeholders in the county in which the qualified municipality is situated, each member of the regional impact council, the mayor, and each member of the governing body of the qualified municipality. The report shall evaluate progress made in rehabilitating the qualified municipality and the status of economic recovery efforts. The report shall include an enumeration of any problems or hurdles encountered in rehabilitation and economic recovery and, where applicable, recommendations for any amendments to State law which would promote and encourage rehabilitation and economic recovery. If the chief operating officer anticipates that the rehabilitation term will be insufficient to achieve rehabilitation goals, the chief operating officer shall include in the report a detailed analysis of the causes for the municipality's inability to reestablish local control and an assessment of the amount of time necessary for the continuation of the period of the rehabilitation term.
In addition to the foregoing, the report shall include detailed information as to how those funds appropriated pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) are being spent and how those expenditures are serving to promote the economic revitalization of the qualified municipality.
b. Within 30 days of receipt of the report by members of the Legislature, a hearing shall be held by the Senate Community and Urban Affairs Committee and the Assembly Housing and Local Government Committee, or their successors, to provide an opportunity for public comment and discussion.
L.2002, c.43, s.8; amended 2007, c.176, s.4; 2009, c.337, s.4.
52:27BBB-9 Reallocation of functions, powers, duties to chief operating officer.
9. a. Upon the appointment of the chief operating officer pursuant to subsection a. of section 7 of P.L.2002, c.43 (C.52:27BBB-7), all the functions, powers and duties heretofore or hereafter assigned by any statute, regulation, ordinance, resolution, charter or contract for municipal operations, municipal organization and reorganization, development and implementation of workforce training programs, and the hiring and firing of department heads, managers and supervisory employees shall be reallocated to the chief operating officer. The chief operating officer shall exercise those functions, powers and duties in consultation with the mayor as are hereinafter provided.
b. Except as otherwise provided in P.L.2002, c.43 (C.52:27BBB-1 et al.), the chief operating officer shall have the power to perform all acts and do all things consistent with law necessary for the proper conduct, maintenance, rehabilitation and supervision of the qualified municipality. The chief operating officer may propose ordinances, resolutions, rules, policies and guidelines, not inconsistent with law, for the proper conduct, maintenance and supervision of the municipality.
Ordinances and resolutions shall be adopted or amended as provided by law except that the chief operating officer shall exercise the functions, powers and duties of the mayor.
A proposal introduced by the chief operating officer shall be deemed approved if the mayor or governing body fails to act upon the proposal within 45 days following the chief operating officer's submission of the proposal to either the mayor or the governing body, or both, as appropriate. Disapproval by the mayor or governing body of any proposal introduced by the chief operating officer shall constitute an impasse and shall be subject to the dispute resolution procedures set forth in section 5 of P.L.2002, c.43 (C.52:27BBB-5).
c. Notwithstanding the provisions of the "Long Term Tax Exemption Law," P.L.1991, c.431 (C.40A:20-1 et seq.), the chief operating officer may negotiate financial agreements and otherwise exercise the powers of the governing body pursuant thereto, including making available municipal land in order to facilitate a project pursuant to section 17 of P.L.1991, c.431 (C.40A:20-17). Any such agreements negotiated by the chief operating officer shall be presented to the governing body for the information of the members of the governing body.
d. Notwithstanding any provisions of P.L.2001, c.310 to the contrary, the chief operating officer may, in consultation with the mayor and governing body, negotiate bond financing pursuant to the "Redevelopment Area Bond Financing Law," sections 1 through 10 of P.L.2001, c.310 (C.40A:12A-64 through 73) and revenue allocation financing pursuant to the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 through 489).
e. The functions, powers and duties reallocated to the chief operating officer pursuant to this section shall include, but not be limited to those powers allocated to the mayor which are found in the charter and administrative code of the municipality, Titles 40 and 40A generally and specifically in the "Local Bond Law," N.J.S.40A:2-1 et seq., the "Local Budget Law," N.J.S.40A:4-1 et seq., the "Local Fiscal Affairs Law," N.J.S.40A:5-1 et seq., the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.), any specific form of government law according to which the municipality is governed, and such other sections or other laws necessary to the governance and administration of a municipality, the control of litigation, and the determination of service levels as provided in this section.
Subject to the approval of the State Treasurer, the chief operating officer may appoint staff necessary to assist the chief operating officer in carrying out those responsibilities set forth in P.L.2002, c.43 (C.52:27BBB-1 et al.). The salary and benefits of persons so appointed and persons designated pursuant to subsection g. of this section shall be included in the budget request prepared by the chief operating officer pursuant to subsection b. of section 27 of P.L.2002, c.43 (C.52:27BBB-27). Persons appointed pursuant to this subsection shall serve at the pleasure of the chief operating officer.
f. During the rehabilitation term, the chief operating officer shall exercise the veto power of the mayor with respect to municipal ordinances; provided, however, that the chief operating officer may delegate the veto power to the mayor. In addition, during the rehabilitation term, the chief operating officer shall have the power to veto the minutes of any independent board or authority, including, but not limited to, the housing authority, parking authority, redevelopment authority, planning board and board of adjustment.
During the rehabilitation term, the chief operating officer may refer any matter involving any action or failure to act to the special arbitrator.
g. Subject to the approval of the treasurer, the chief operating officer may appoint a confidential secretary and executive assistant who shall be State employees and serve in the unclassified service of the Civil Service. The salary and benefits of these appointees shall be fixed by the treasurer and adjusted from time to time as the treasurer deems appropriate. The salary, benefits, and costs of these appointees shall be an expense of the State and shall be paid by the treasurer.
These appointees shall serve at the pleasure of the chief operating officer.
L.2002, c.43, s.9; amended 2007, c.176, s.5.
52:27BBB-10 Particular powers of chief operating officer.
10. The chief operating officer may:
a. Sue in the municipality's corporate name and submit disputes and controversies to arbitration and determination in the manner provided by law;
b. Retain municipal corporation counsel and such other special counsel as the chief operating officer may deem necessary to carry out the functions, powers and duties set forth in P.L.2002, c.43 (C.52:27BBB-1 et al.); and
c. Request the State Treasurer to provide no interest loans to the municipality for cash flow purposes.
L.2002,c.43,s.10.
52:27BBB-11 Appointment of department heads.
11. Within 30 days of the assumption of job responsibilities on the part of the chief operating officer, the chief operating officer shall, in consultation with the mayor, recommend the interim appointment of department heads and submit the list of nominees to the governing body for confirmation. The department heads shall include a business administrator, or functional equivalent thereof, who shall not be the chief operating officer. The governing body may only reject a candidate by a 2/3 vote of the fully authorized membership of the governing body. In the event of an impasse in the appointment process, the matter shall be decided by the special arbitrator, whose decision shall not be subject to appeal. In making a determination pursuant to this subsection, the special arbitrator shall uphold the appointment recommended by the chief operating officer if, by any objective measure, the person under consideration for that position is qualified by reason of experience, education or training.
These interim appointees shall fulfill those responsibilities delegated to them by the chief operating officer pending the completion of the municipal management study by the chief operating officer pursuant to section 12 of P.L.2002, c.43 (C.52:27BBB-12).
L.2002,c.43,s.11.
52:27BBB-12 Preparation of municipal management study.
12. a. Within 30 days following the submission of interim department head appointments to the governing body, the chief operating officer, in consultation with the mayor, shall undertake the preparation of a municipal management study which analyzes the current state of all services provided by each municipal department and the service levels provided in similarly situated municipalities and shall call upon experts or State government officials, as necessary, in order to identify the options available to achieve appropriate levels of service. The study shall include police and fire services provided by the municipality, as well as planning, zoning, code enforcement, permitting and any other municipal permitting.
b. The study shall include reference to those studies previously completed by the State during the period of supervision or the operation of the financial review board and any other relevant studies.
c. The study shall be completed no later than nine months following the appointment of the interim department heads.
d. The study shall include a review of the municipal organizational plan, the management structure of each department, and the specific personnel needs within each department and unit therein necessary to achieve the levels of service identified in the study as appropriate for the qualified municipality.
With regard to public safety services, the study shall analyze the current state of services provided in light of such performance measures as calls per officer and call response time and make recommendations for current and future staffing levels in order to realize appropriate levels of service.
With respect to other municipal services, the study shall address turnaround time on the processing, review, and approval of applications, permits, grants, loans or other application-driven interactions on the part of private individuals with the municipality and make recommendations for improvement, including considerations of future staffing levels and the logistical support necessary in order to assure more timely processing of such requests.
In addition, the study shall include an assessment of the current state of computerization of municipal operations, the extent to which technology and mechanization are used to increase the efficiency of municipal operations, and, in particular, the extent to which geographic information systems are used to assist in municipal resource allocation, and recommendations for ways in which those operations may be made more efficient and accessible to the public through the use of computers and technological innovation, including the use of geographic information systems.
e. Following from this review, the study shall include any recommendations for the reorganization of municipal government structure considered necessary in order to achieve the more efficient, orderly, cost-effective and professional delivery of municipal services.
In addition, the study shall include an analysis and recommendations concerning appropriate pay scales for department heads in order to assist the chief operating officer in recruiting persons with the training and experience necessary to effectuate their job responsibilities.
f. Notwithstanding any other law, rule or regulation to the contrary, the municipal management study shall include an evaluation of the qualification levels of departmental employees in light of their assigned tasks and an identification of training opportunities to assist those employees in better performing their assigned duties, including a program of computer and technology training. The chief operating officer may call upon the Commissioner of Personnel or other appropriate State government appointees or officers in order to perform this evaluation and provide appropriate training.
g. Upon completion, the study shall be distributed to the mayor, each member of the governing body, every member of the Senate and General Assembly, and the Commissioner of Community Affairs. In addition, the study shall be available for public inspection.
h. Following from the municipal management study, the chief operating officer shall prepare the necessary amendments to the municipality's administrative code and ordinance, including salary ordinances, which follow from the recommendations in the study. These ordinances and amendments should be included as an appendix to the municipal management study.
The mayor and the governing body shall be kept apprised of the progress of the municipal management study and shall cooperate with the chief operating officer and provide that information and documentation necessary to assure the expeditious completion of the study.
L.2002,c.43,s.12.
52:27BBB-13 Copy of study available for public inspection.
13. a. Upon the completion of the municipal management study by the chief operating officer, the chief operating officer shall make available for public inspection a copy of the study in the office of the municipal clerk and each branch of the public library within the municipality.
b. The chief operating officer shall cause notice to be published in a newspaper circulating within the municipality that the study is available for public inspection, not less than 14 days before the meeting of the governing body at which the study is to be voted on.
c. The municipal management study shall become the official operating plan for the municipality unless the governing body rejects the study by a 2/3 vote of the fully authorized membership of the governing body within 30 days following the publication of notice pursuant to subsection b. of this section.
In the event that the governing body rejects the study, the rejection shall be accompanied by a statement specifically outlining the basis for the rejection of each element or component of the study along with an alternative proposal or proposals which accomplish the same objectives.
If the chief operating officer does not approve those alternatives proposed by the governing body, any disputed item shall be considered an impasse and subject to the dispute resolution process set forth in section 5 of P.L.2002, c.43 (C.52:27BBB-5).
If the governing body has not acted within 30 days following the publication of notice pursuant to subsection b. of this section, the study shall be considered adopted.
d. Upon the adoption of the municipal management study, the chief operating officer, in consultation with the director, shall establish a salary scale for each department head. To the extent that the established salaries exceed those paid by the municipality at the commencement of the rehabilitation term, the State shall absorb the increased expense for salaries and benefits during the rehabilitation term, and for two years thereafter, subject to appropriation.
e. Once the chief operating officer has established the salary scale and the municipal management study has been adopted, the chief operating officer shall cause to be prepared proposed ordinances effectuating the salary scales and those amendments to the administrative code necessary to implement the municipal management study.
L.2002,c.43,s.13.
52:27BBB-14 Chief operating officer to act as appointing authority.
14. For the purposes of Title 11A, Civil Service, of the New Jersey Statutes, the chief operating officer shall act as the appointing authority.
The Commissioner of Personnel, in conjunction with the chief operating officer, shall design a remedial Human Resource Plan for the qualified municipality which best supports the efficient and effective delivery of services to the residents of the municipality. This plan may include, but need not be limited to, such measures as delegation of specified personnel functions, pilot programs, and streamlined appointment processes and shall remain in place during the rehabilitation term.
The Commissioner of Personnel may approve such additional changes in the staffing and organization structure as are needed to support the rehabilitation and economic recovery of the qualified municipality pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.).
L.2002,c.43,s.14.
52:27BBB-15 Abolishment of certain municipal positions.
15. a. Notwithstanding any other provision of law or contract, the chief operating officer may abolish positions in the municipality not under the direct supervision of the municipal governing body at any time. All of the functions, powers and duties of such abolished positions shall be exercised by the chief operating officer or those persons whom the chief operating officer designates to exercise them during the rehabilitation term. The affected individuals shall be given 60 days' notice of termination or pay for the same period. The notice or payment shall be in lieu of any other claim or recourse against the municipality based on law or contract or term of office.
b. Notwithstanding any law, rule or regulation to the contrary, no individual whose position is abolished by operation of this section shall be entitled to assert a claim to any position or to placement upon a preferred eligibility list for any position to which the individual may be entitled by virtue of tenure or seniority within the municipality. Nothing herein shall preclude an individual from asserting upon separation from service any legal contractual right to health care coverage, annuities, accrued vacation days, accrued sick leave, insurance and approved tuition costs. No individual whose position is abolished by operation of this subsection shall retain any right to tenure or seniority in the positions abolished herein.
c. Notwithstanding any provision of P.L.1992, c.43 (C.34:15D-1 et seq.) to the contrary, the Department of Labor shall, if requested by an employee, provide a training grant under the "Job Training Partnership Act," Pub. L. 97-300 (29 U.S.C. s.1501 et seq.), to each person who applies pursuant to this section for a training grant to pay for employment and training services as provided pursuant to section 6 of P.L.1992, c.43 (C.34:15D-6).
L.2002,c.43,s.15.
52:27BBB-16 Recommendation of department, division heads.
16. a. Following the completion of the municipal management study, the chief operating officer shall, in consultation with the mayor, recommend the appointment of department heads and division heads, as the case may be, and submit the list of nominees to the governing body for approval. Any recommendations provided by the chief operating officer pursuant to this subsection shall be made in consultation with the mayor. Any person who has served as an interim department head pursuant to section 11 of P.L.2002, c.43 (C.52:27BBB-11) shall be eligible for appointment pursuant to this section. The governing body may only reject a candidate by a 2/3 vote of the fully authorized membership of the governing body. In the event of an impasse in the appointment process, the matter shall be decided by the special arbitrator, whose decision shall not be subject to appeal. In making a determination pursuant to this subsection, the special arbitrator shall uphold the appointment recommended by the chief operating officer if, by any objective measure, the person under consideration for that position is the most qualified by reason of experience, education or training.
Appointment as a department head or division head, as the case may be, shall be for a period of time coinciding with the term of the chief operating officer and an additional two years thereafter; however, department heads and division heads may be removed for cause by the Local Finance Board following a hearing before the board.
b. Any person who has served as an employee in a position with tenure rights during the rehabilitation term who is reappointed by the mayor, with the advice and consent of the governing body, as appropriate, following the termination of the rehabilitation term shall receive credit for the years served during the period of rehabilitation for the purposes of establishing eligibility for tenure, so long as the position otherwise qualifies for tenure under general law.
L.2002,c.43,s.16.
52:27BBB-17 Transfer, assignment, reclassification of positions.
17. Upon the adoption of the municipal management study, the chief operating officer, working in conjunction with the Commissioner of Personnel and in consultation with the mayor, shall, within 60 days, transfer, assign or reclassify, as the case may be, those positions recommended for such action in the study.
Any residency requirement established pursuant to municipal ordinance shall be waived for those positions which are at the supervisory, management level or above and which are in the unclassified service of Title 11A, Civil Service, of the New Jersey Statutes.
L.2002,c.43,s.17.
52:27BBB-18 Annual stipend for residence in qualified municipality.
18. Any person hired in a position for which the residency requirement has been waived or as a police officer or firefighter after the adoption of the municipal management study, and who purchases a home in the qualified municipality and occupies that home as a principal residence shall, subject to appropriation, receive an annual stipend of 10 percent of the person's base salary upon proper claim made therefor each year to the Department of Community Affairs, so long as the claim is made during the rehabilitation term, subject to appropriation. The department shall pay the stipend upon satisfactory proof by the applicant that the dwelling for which the stipend is being paid continues to be occupied as a principal residence by the applicant. An employee may receive this stipend for a period of five years; however, the requirement that the dwelling be occupied as a principal residence shall extend to the period of rehabilitation and economic recovery. Any person who does not continue to occupy the residence for which that person receives the stipend for the entirety of the period of rehabilitation and economic recovery shall be required to reimburse the State for the entire amount of the stipend received.
A municipal tax lien shall attach on the property for which the stipend is being paid, at the time the annual stipend is paid by the State in the amount of stipend received by the applicant. The lien shall have the same status and shall be given the same effect as municipal liens established under R.S.54:5-9. The lien shall remain on the property until the expiration of the period of rehabilitation and economic recovery, or until the entire amount of the stipend paid to the applicant has been reimbursed back to the State, should the applicant not continue to occupy the residence for the entire period of rehabilitation and economic recovery. The amount of the stipend to be reimbursed to the State shall also be a personal debt of the applicant, and both the lien and the debt shall be recoverable in the name of the State by means of any remedy available at law.
The chief operating officer shall each year compile a list of those employees eligible to receive the stipend, which shall be used by the department to verify eligibility. An employee who receives the stipend shall be ineligible to receive the property tax credit authorized pursuant to section 56 of P.L.2002, c.43 (C.52:27BBB-55).
The commissioner shall annually submit a list to the State Treasurer of those persons who receive the stipend.
L.2002,c.43,s.18.
52:27BBB-19 Incentive for retirement for certain employees.
19. Notwithstanding the provisions of any other law, rule or regulation to the contrary, an employee of a qualified municipality who is a member of the Public Employees' Retirement System and is otherwise eligible for retirement may, upon the recommendation of the chief operating officer during the rehabilitation term or the mayor during the economic recovery term, with the approval of the director, receive an incentive payment for the termination of the employee's employment with the municipality.
As used in this section, "incentive payment" shall mean a lump sum payment of 20 percent of the employee's annual base salary, exclusive of overtime.
An employee shall only be eligible for an incentive payment pursuant to this section if that person applies for this termination benefit within 60 days of the appointment of the chief operating officer during the rehabilitation term, or within the first 60 days of the economic recovery term. Payment shall be made not sooner than upon the receipt of the first pension check by the municipal employee.
This election to retire on the part of the municipal employee shall be communicated by the member to the retirement system pursuant to Title 43 of the Revised Statutes; however, once the employee has elected to retire, that decision shall be final.
L.2002, c.43, s.19; amended 2009, c.337, s.5.
52:27BBB-20 Additional NJ SAVER rebate for certain residents.
20. A resident of a qualified municipality who has paid property taxes for the tax year on a homestead that is owned as such and who is eligible to receive an NJ SAVER rebate pursuant to P.L.1999, c.63 (C.54:4-8.58a et al.) shall, subject to appropriation, receive an NJ SAVER rebate in an amount equal to 150% of the amount otherwise owed that resident pursuant to section 4 of P.L.1999, c.63 (C.54:4-8.58b) during the time that the municipality is under rehabilitation and economic recovery.
L.2002,c.43,s.20.
52:27BBB-21 Monthly meetings, minutes.
21. a. The chief operating officer shall conduct monthly meetings with the mayor, department heads and the executive directors of any independent boards or authorities created by the municipality or which otherwise operate in the name of the municipality. Meetings may be held more frequently, as necessary, at the call of the chief operating officer.
b. During the rehabilitation term, the chief operating officer may veto the minutes of any independent board or authority, including, but not limited to, the housing authority, parking authority, redevelopment authority, planning board and board of adjustment. The mayor shall retain this power during the economic recovery term.
c. A true copy of the minutes of every meeting of any independent board or authority, including, but not limited to, the housing authority, parking authority, redevelopment authority, planning board and board of adjustment, shall be prepared and forthwith delivered to the chief operating officer or mayor, as the case may be. No action taken at any such meeting shall have force or effect until 10 days, exclusive of Saturdays, Sundays and public holidays, after the copy of the minutes shall have been so delivered. If, in that 10-day period, the chief operating officer or mayor returns the copy of the minutes with a veto of any action taken by the board or authority at the meeting, that action shall be null and void and of no force and effect. Following the completion of the 10-day period, those actions not vetoed shall be considered approved.
d. To ensure the expeditious consideration of any decision by the planning board and zoning board of adjustment or any other independent board or authority on the part of the chief operating officer or mayor, as appropriate, the secretary of each board or authority shall forward a copy of each resolution adopted by each board or authority within five business days following the adoption thereof. For the purposes of the exercise of the veto power by the chief operating officer or mayor pursuant to subsection c. of this section, the 10-day period shall commence upon the receipt, by the chief operating officer or mayor, as appropriate, of those resolutions.
L.2002,c.43,s.21.
52:27BBB-22 Extension of review, appeal period for planning, zoning matters.
22. a. Any applicable period for review or appeal in connection with any application acted upon by either the planning board or zoning board, as the case may be, as provided for under the "Municipal Land Use Law," P.L.1975, c.291 (C.40:55D-1 et seq.), shall be extended to incorporate that amount of time taken by the chief operating officer in reviewing the minutes pursuant to subsection c. of section 21 of P.L.2002, c.43 (C.52:27BBB-21).
b. In the event that the veto of the chief operating officer reverses an approval that has been granted by the planning board or board of adjustment, as the case may be, or allows an application that has otherwise been denied by either board, the chief operating officer shall direct the secretary of the planning board or board of adjustment, as the case may be, to notify the applicant, by certified mail, at the same time that the secretary receives the copy of the minutes with the veto from the chief operating officer pursuant to subsection c. of section 21 of P.L.2002, c.43 (C.52:27BBB-21).
L.2002,c.43,s.22.
52:27BBB-23 Approval, veto of ordinance, resolution.
23. a. (1) (a) During the rehabilitation term, within three business days following each meeting of the governing body, a copy of each ordinance and resolution which has been adopted by the governing body shall be forwarded to the chief operating officer or mayor, as the case may be, who shall have 10 days from the receipt thereof to veto the ordinance or resolution, as the case may be. Any veto action by the chief operating officer or mayor shall be submitted to the governing body within 10 days of the veto. Within five business days thereafter, the governing body may override the veto by a two-thirds vote of the fully authorized membership thereof.
(b) If, in the opinion of the chief operating officer, the action is contrary to the rehabilitation or economic recovery goals which justified the rehabilitation declaration, the chief operating officer can submit the action to the special arbitrator, who shall allow the action only upon a finding that the action is consistent with the rehabilitation and economic recovery of the qualified municipality. The decision of the special arbitrator shall not be subject to appeal.
(2) During the economic recovery term, in addition to the normal procedures for adopting resolutions and ordinances set forth in the form of government of the qualified municipality, within three business days following each meeting of the governing body, a copy of each ordinance and resolution which has been adopted by the governing body shall be forwarded to the Commissioner of Community Affairs, who shall have 10 days from the receipt thereof to veto the ordinance or resolution, as the case may be. Any veto action by the commissioner shall be submitted to the governing body within 10 days of the veto. Within five business days thereafter, the governing body may override the veto by a two-thirds vote of the fully authorized membership thereof. The action by the commissioner regarding an ordinance pursuant to this paragraph shall supersede any action by the mayor on that same ordinance.
b. The chief operating officer shall have full access to all municipal records and to municipal information from all officials and employees of the municipality. If the chief operating officer believes that an official or employee of the municipality is not answering the questions of the chief operating officer accurately or completely or is not furnishing information requested by the chief operating officer, the chief operating officer may notify the official or employee in writing to furnish answers to questions or to furnish documents or records, or both. If the official or employee refuses, the chief operating officer may seek a subpoena in the Superior Court, in a summary manner, to compel testimony and furnish records and documents.
L.2002, c.43, s.23; amended 2009, c.337, s.6.
52:27BBB-24 Hiring of nonpartisan, professional staff.
24. The governing body, in conjunction with the Eagleton Institute of Politics and the Rand Institute at Rutgers, The State University, shall hire a non-partisan, professional staff to assist the governing body in the execution of its governmental functions and shall provide the staff with the computer hardware and software necessary to perform their assigned tasks. Computer equipment shall be provided at State expense. The staff members shall possess expertise in areas of municipal government operation, including but not limited to, municipal law, planning, social services, public health, public finance and public works administration. Candidates for appointment shall possess a college degree which is relevant to the position which may include, but not be limited to, business, law and public administration. Although a candidate may possess a law degree, staff members shall serve as subject matter experts to the governing body and shall not serve as legal counsel.
The Eagleton Institute and the Rand Institute shall also provide comprehensive training for members of the governing body and the non-partisan, professional staff to better enable them to discharge their representative functions in the public interest. The State shall adequately compensate the Eagleton Institute and the Rand Institute for their services, subject to appropriation.
L.2002,c.43,s.24.
52:27BBB-25 Governing body to retain functions, powers, duties.
25. Unless otherwise provided pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.), the governing body shall retain all functions, powers and duties prescribed to it pursuant to the charter and administrative code of the municipality, Titles 40 and 40A generally and specifically in the "Local Bond Law," N.J.S.40A:2-1 et seq., the "Local Budget Law," N.J.S.40A:4-1 et seq., the "Local Fiscal Affairs Law," N.J.S.40A:5-1 et seq., the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.), the "New Jersey Water Supply Public-Private Contracting Act," P.L.1995, c.101 (C.58:26-19 et seq.), any specific form of government law according to which the municipality is governed, and such other sections or other laws which govern municipal operation or administration.
The governing body shall set the schedule and agenda for meetings of the governing body, which shall be duly advertised pursuant to the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.). Meetings of the governing body shall be presided over by the president of the governing body.
The governing body and any other entity created by the municipality, including the planning board, zoning board of adjustment, personnel board, and any commission, council, redevelopment agency, or corporation, shall include in its agenda for meetings, all agenda items submitted by the chief operating officer.
L.2002, c.43, s.25; amended 2007, c.176, s.6.
52:27BBB-26 Oversight, audit of qualified municipality.
26. a. The director may provide for oversight or audit of the activities of each qualified municipality and report the findings to the Local Finance Board and the chief operating officer. The cost of providing oversight and audit functions shall be borne by the State. The power to negotiate collective bargaining agreements pursuant to section 20 of P.L.1981, c.211 (C.52:27BB-66.1) shall be vested in the chief operating officer. Collective bargaining agreements entered into by the municipality prior to the commencement of the rehabilitation term shall remain in force as provided in those agreements, except when otherwise expressly provided in P.L.2002, c.43 (C.52:27BBB-1 et al.).
b. The director may make grants to a municipality under rehabilitation, using such funds as may be available to the director, for the purposes of conducting studies or engaging consultants as may be authorized by P.L.2002, c.43 (C.52:27BBB-1 et al.) to assist in rehabilitation, or those that the director and the chief operating officer or mayor, as appropriate, determine are necessary to the rehabilitation of the municipality. Grants may be made subject to conditions deemed necessary by the director.
L.2002,c.43,s.26.
52:27BBB-27 Increase in municipal portion of general tax rate limited.
27. a. During the rehabilitation term, the chief operating officer shall not increase the municipal portion of the general tax rate over the rate established for the year during which the rehabilitation took effect. During the economic recovery term, the governing body of the qualified municipality may only increase the municipal tax levy by three percent per year, notwithstanding the spending limitations set forth in P.L.1976, c.68 (C.40A:4-45.1 et seq.) and the limitations on increases to the tax levy pursuant to sections 9 through 13 of P.L.2007, c.62 (C.40A:4-45.44 through C.40A:4-45.47 and C.40A:4-45.3e), except upon application by the mayor of the qualified municipality to the Local Finance Board for authorization.
b. The chief operating officer shall, in consultation with the mayor, annually prepare a budget pursuant to the provisions of the "Local Budget Law," N.J.S.40A:4-1 et seq. This budget shall conform in all respects with the requirements of the "Local Budget Law," N.J.S.40A:4-1 et seq. and shall be subject to the limitations on spending by municipalities set forth in P.L.1976, c.68 (C.40A:4-45.1 et seq.). The Local Finance Board may grant exceptions to the spending limitations set forth in P.L.1976, c.68 (C.40A:4-45.1 et seq.) upon application by the chief operating officer, if the Local Finance Board finds such exceptions to be necessary for the rehabilitation of the municipality.
c. Upon the preparation of the budget during the rehabilitation term, the chief operating officer, in consultation with the mayor, shall fix: a date, place and time for the holding of a public hearing upon the budget; the amounts of money necessary to be appropriated for the use of the municipality for the ensuing year; and the various items and purposes for which the same are to be appropriated. The hearing shall be held in accordance with the provisions of the "Local Budget Law," N.J.S.40A:4-1 et seq.; however, the hearing shall be held at least 28 days after the date on which the budget is advertised. Notice of hearing, contents of the notice and the format and purpose of the hearing shall be as provided in that law. As part of the budget request, the chief operating officer may include provision for anticipation of rehabilitation aid if other revenues are insufficient to meet the revenues needed to offset total appropriations.
d. Following the hearing or hearings on the budget pursuant to subsection c. of this section, the governing body shall vote upon the proposed budget. Failure to adopt the budget shall be communicated to the chief operating officer along with the reasons for each line item that is rejected. If the chief operating officer does not approve those alternatives proposed by the governing body, any disputed line item shall be considered an impasse and subject to the dispute resolution process set forth in section 5 of P.L.2002, c.43 (C.52:27BBB-5).
e. If the budget proposed by the chief operating officer includes a provision for rehabilitation aid, the chief operating officer shall apply to the director for approval of the amount and shall supply the director with documentation justifying the need. The director shall then recommend an amount to the State Treasurer. The treasurer, after consideration of the recommendation, shall determine the amount of the rehabilitation aid to be requested.
f. During the period that the municipality is under rehabilitation and economic recovery, the commissioner shall ensure that those appropriations in the municipal budget necessary for the improvement of internal audit mechanisms and controls are present on an annual basis.
L.2002, c.43, s.27; amended 2009, c.337, s.7.
52:27BBB-28 Ordinances authorizing debt subject to approval by local finance board.
28. During the rehabilitation term, all ordinances authorizing the issuance of debt shall be subject to approval of the Local Finance Board. Provisions of the "Local Bond Law," N.J.S.40A:2-1 et seq., with regard to the introduction of bond ordinances shall be followed, and approval of the chief operating officer shall serve as approval of the bond ordinance for publication. After a public hearing held by the governing body and approval of a bond ordinance by the chief operating officer, the chief operating officer shall apply to the Local Finance Board for approval of the bond ordinance. No bond ordinance shall take effect without the approval of the Local Finance Board. Amendments to existing bond ordinances that do not increase the amount of bonded indebtedness may be approved by the chief operating officer without the approval of the Local Finance Board.
L.2002,c.43,s.28.
52:27BBB-29 Biannual report on progress.
29. The chief operating officer shall biannually provide to the Local Finance Board a report on the progress of each qualified municipality toward achieving municipal rehabilitation and economic recovery. The director shall formally report annually to the Local Finance Board, the commissioner, the Attorney General, the treasurer, the Governor, each member of the governing body of each qualified municipality, including the mayor, each member of the county board of freeholders in the county in which the qualified municipality is situated, each member of the regional impact council, and each member of the Legislature on the municipality's progress towards achieving these goals. The reports may also include recommendations to the Legislature by the chief operating officer for specific changes to the law that the chief operating officer believes would facilitate the goal of rehabilitating the qualified municipality.
L.2002,c.43,s.29.
52:27BBB-30 Community advisory committee.
30. The mayor of each qualified municipality and the chief operating officer shall establish a community advisory committee in order to provide an efficient means of eliciting citizen input in the rehabilitation and economic recovery and community development of that municipality, which shall exist while the qualified municipality is under rehabilitation and economic recovery. The community advisory committee shall consist of 13 members as follows: three to be appointed by the Commissioner of Community Affairs; three by the governing body; and three by the chief operating officer. The mayor shall serve as an ex officio member of the committee and shall appoint an additional three members. Members shall serve for a term of five years.
Membership of the committee shall include representatives of the municipality's neighborhood, business, labor, faith-based, civic, and public interest organizations. No fewer than three members of the committee shall represent private businesses situated within the qualified municipality.
The committee shall meet not less than twice a year, at the pleasure of the chief operating officer, and shall assist the chief operating officer in the conduct of the municipal management study pursuant to section 12 of P.L.2002, c.43 (C.52:27BBB-12) and such other functions as are assigned to it by the chief operating officer.
L.2002,c.43,s.30.
52:27BBB-31 Cooperation of State agencies with chief operating officer.
31. a. All State departments and agencies, to the extent not inconsistent with law and within budget constraints, shall cooperate with the chief operating officer and respond to requests for such information and assistance as are necessary to accomplish the purposes of P.L.2002, c.43 (C.52:27BBB-1 et al.).
b. Notwithstanding any law or regulation to the contrary, during the period of rehabilitation and economic recovery, each State department, agency, or authority shall supersede existing priority setting or ranking systems to place applications from the qualified municipality in the highest priority or ranking category for award or approval of grants, benefits, loans, projects, including highway, roads, sewer and other infrastructure projects or other considerations that would benefit the municipality. This shall be done to the greatest extent possible to benefit the municipality.
L.2002,c.43,s.31.
52:27BBB-32 Immunity from liability for State officer, employee.
32. The State shall not be liable in tort, contract or in the nature of tort for any action or inaction involving the rehabilitation or revitalization of the municipality. The chief operating officer, assistant chief operating officer, and any State officer or employee involved in the rehabilitation or revitalization of the municipality shall not be liable in tort, contract or in the nature of tort personally or as State employees for any action or inaction involving the rehabilitation or revitalization of the municipality.
This section shall not be construed to preclude an aggrieved person from maintaining an action in tort, contract or in the nature of tort against the chief operating officer or a State officer or employee involved in the rehabilitation or revitalization of the municipality, as municipal employees. For purposes of those actions the chief operating officer, appointees of the chief operating officer pursuant to subsection g. of section 9 of P.L.2002, c.43 (C.52:27BBB-9), and any State officer or employee involved in the rehabilitation shall be deemed officers or employees of the municipality and shall be entitled to the defenses and immunities as provided under the "New Jersey Tort Claims Act," N.J.S.59:1-1 et seq. and the "New Jersey Contractual Liability Act," N.J.S.59:13-1 et seq. for public employees and shall be entitled to defense and indemnification by the municipality as provided to other municipal employees.
L.2002,c.43,s.32.
52:27BBB-33 Utilization of available mechanisms to facilitate communications.
33. The commissioner shall utilize available mechanisms, such as the Urban Coordinating Council, to coordinate and facilitate communications between the chief operating officer and the various State departments and agencies.
L.2002,c.43,s.33.
52:27BBB-34 Municipality to remain body corporate and politic; elections.
34. a. Notwithstanding that a municipality has been placed under rehabilitation and economic recovery under P.L.2002, c.43 (C.52:27BBB-1 et al.), the municipality shall remain a body corporate and politic in the same manner as existed prior to rehabilitation and economic recovery.
b. Nothing in P.L.2002, c.43 (C.52:27BBB-1 et al.) shall be construed to interrupt the holding of regular elections of the governing body, mayor or other chief executive officer.
L.2002,c.43,s.34.
52:27BBB-35 Agreement between library and county for operation.
35. Notwithstanding any law, rule or regulation to the contrary, the governing body of any qualified municipality in which a free public library has been established pursuant to R.S.40:54-1 et seq. situated in a county in which a free county library has been established pursuant to R.S.40:33-1 et seq. and in which is situated a qualified municipality may enter into an agreement with the governing body of the county, acting on behalf of the county library commission, for the county library to assume responsibility for the administration and operation of the municipal library system. The agreement shall provide for those financial arrangements necessary in order to assure a smooth transition from municipal to county operation and the transfer of library personnel from the municipal, to the county library system.
L.2002,c.43,s.35.
52:27BBB-36 State Economic Recovery Board created for qualified municipality.
36. a. In order to facilitate the rehabilitation and economic recovery of each qualified municipality, there is created a subsidiary corporation of the New Jersey Economic Development Authority, which shall be known as the State Economic Recovery Board for (insert name of qualified municipality). The board shall operate for the period during which the municipality is under rehabilitation and economic recovery, or until its funds have been disbursed, whichever occurs first. Any outstanding debts or obligations which remain at the termination of board operation shall be assumed by the authority and any accounts payable to the board shall be due and payable to the authority.
b. The board shall consist of 15 voting members, as follows: the mayor of the qualified municipality; a representative of the municipal governing body selected by the governing body; the chief operating officer; the State Treasurer; the Commissioner of Community Affairs; the chairperson of the authority; a representative of the regional impact council selected by the council; the director of the board of chosen freeholders of the county in which the qualified municipality is situated, as provided hereunder, all of whom shall serve ex officio and may select a designee to serve in their stead; one public member chosen by the Governor, based on the recommendation of the Senate President and one public member chosen by the Governor, based on the recommendation of the Assembly Speaker; and five public members to be appointed by the Governor, to include one representative of organized labor and one representing the business community. Of the public members appointed by the Governor, at least three shall be municipal residents. The board shall include two nonvoting ex officio legislative members to be chosen by the Governor, one of whom shall be selected based on the recommendation of the Senate President and the other upon the recommendation of the Speaker of the General Assembly. These members shall be advisory members, appointed solely for the purpose of developing and facilitating legislation to assist the board in fulfilling its statutory mission, and may not exercise any of the executive powers delegated to the board. In addition, the Senior Community Builder in the State office of the federal Department of Housing and Urban Development shall serve as an ex officio, non-voting member of the board.
A majority of the entire authorized voting membership of the board shall constitute a quorum at any meeting thereof.
c. Each public member shall serve for a term of five years. Vacancies in the public membership of the board shall be filled in the same manner as the original appointments are made and a member may be eligible for reappointment. Vacancies occurring other than by expiration of a term shall be filled for the unexpired term. Each ex officio member shall serve for the period during which the municipality is under rehabilitation and economic recovery and for a period of two years thereafter.
The Governor shall designate the chairperson of the board.
d. The board shall be appointed as expeditiously as possible upon the determination by the commissioner that the municipality fulfills the definition of a qualified municipality pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) and shall convene not later than 30 days following that determination for its organizational meeting. Thereafter, the board shall meet regularly and on not less than a quarterly basis. At its first organizational meeting, the board shall appoint one of the public members to serve as its designee on the New Jersey Economic Development Authority pursuant to section 4 of P.L.1974, c.80 as amended by section 69 of P.L.2002, c.43 (C.34:1B-4).
e. The voting authority of the director of the county board of chosen freeholders shall not become effective until the filing with the Secretary of State of an agreement entered into by the chief operating officer, acting on behalf of the municipality, and the county, detailing the financial commitment of the county to the redevelopment of the infrastructure of the municipality which shall include improvements or other economic benefits totaling not less than $20 million and a proposed construction schedule for the completion thereof.
L.2002, c.43, s.36; amended 2002, c.108, s.7; 2009, c.337, s.8.
52:27BBB-37 Duties of board.
37. The duties of the board shall include, but not be limited to:
a. in consultation with the chief operating officer and the mayor, the preparation of the capital improvement and infrastructure master plan, identification of resources necessary to assure its implementation, marshaling of efforts of public and private entities which operate within the qualified municipality, and performance of any other tasks requested by the chief operating officer to assure the efficient use of, and maximum access to, public resources in order to assure the economic recovery of the qualified municipality;
b. the preparation of a strategic revitalization plan for the qualified municipality in accordance with the provisions of section 38 of P.L.2002, c.43 (C.52:27BBB-38);
c. the review and approval of plans submitted by any institution of higher education as a prerequisite for the receipt of funding pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.). The approval of these plans shall not be unreasonably or arbitrarily withheld;
d. the review, on a timely basis, of all programs or projects undertaken pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.), including but not limited to development and redevelopment efforts, including commercial, residential and industrial projects, facilities or sites, the issuance of any loan, grant or other equity investment pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) or any other State appropriation or allocation for the qualified municipality;
e. the preparation of project lists and financial plans in accordance with the provisions of section 45 of P.L.2002, c.43 (C.52:27BBB-44);
f. the review of all recommendations, studies or other proposals related to the purposes of, and undertaken pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.); and
g. the engagement, through contract or other appropriate means, of those professionals or organizations whose expertise and experience would prove essential to achieving a comprehensive and strategic economic development plan.
L.2002,c.43,s.37.
52:27BBB-38 Preparation of strategic revitalization plan.
38. a. Concurrently with the preparation of the capital improvement and infrastructure plan pursuant to section 42 of P.L.2002, c.43 (C.52:27BBB-41), the board shall oversee the preparation of a strategic revitalization plan for the qualified municipality.
The strategic revitalization plan shall incorporate a blueprint for the economic, social, and cultural revitalization of the municipality through the promotion of development and redevelopment in both the downtown business district and residential neighborhoods. The plan shall promote diversification of land uses, including housing where appropriate, and enhance the linkages of these uses to the rest of the community. The plan shall ensure a full range of housing choices through redevelopment, new construction, rehabilitation, adaptive reuse of nonresidential buildings, to the extent possible, and the introduction of new housing into appropriate nonresidential settings. To the extent that the existing housing stock can be preserved, the plan shall encourage maintenance, rehabilitation and flexible regulation, where possible.
The plan shall promote economic development by encouraging strategic land assembly, site preparation and infill development and assure that infrastructure improvements support a central role for the municipality within the regional context. The plan shall include strategies for integrating port redevelopment, downtown regeneration and the revitalization of residential neighborhoods. The plan shall also provide for the maintenance and enhancement of a transportation system that capitalizes on high density settlement patterns by encouraging the use of public transit, walking, and alternative modes of transportation, including the use of water transportation, where appropriate.
In addition, the plan shall provide for maximum active and passive recreational opportunities and facilities at the neighborhood, local and regional levels by concentrating on the maintenance and rehabilitation of existing parks and open space while expanding and linking the system through redevelopment and reclamation projects.
The strategic revitalization plan shall be drafted by urban planners recruited through a comprehensive nationwide search.
b. The strategic revitalization plan shall be submitted to the chief operating officer, the mayor, each member of the governing body, the commissioner, the Governor, each member of the Senate and General Assembly, and each member of the regional impact council within six months after the first meeting of the board.
c. The strategic revitalization plan shall be adopted upon an affirmative vote of a majority of the full authorized membership of the board.
L.2002,c.43,s.38.
52:27BBB-39. Regional impact council
39. a. There is established for each qualified municipality a regional impact council to serve for that period during which the municipality is under rehabilitation and economic recovery. The council shall consist of: the mayor of the qualified municipality or his or her designee; the mayor of any municipality in the county in which the qualified municipality is situated which on or before the determination by the commissioner that the municipality fulfills the definition of a qualified municipality pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) has participated in a regional collaborative established to further the strategic revitalization of the qualified municipality or the mayor's designee; the director of the board of chosen freeholders of the county in which the qualified municipality is situated or his or her designee; the director of the Office of State Planning or his or her designee; one representative of the New Jersey Regional Coalition, to be appointed as provided hereinafter; and four public members, two of whom shall be appointed by the Governor, one of whom shall be appointed by the Senate President and one of whom shall be appointed by the Speaker of the General Assembly. In the event that a regional collaborative has not been established in the county in which the qualified municipality is situated, the regional impact council shall include the mayor of each municipality that borders on the qualified municipality. The four public members shall include at least one member of the faith-based community within the region; one member of the business community; one member of the higher education community; and one member of the labor community within the region.
b. Within 30 days of a determination by the commissioner that a municipality fulfills the definition of a qualified municipality pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4), the New Jersey Regional Coalition shall submit to the Governor three nominees for consideration, from which the Governor may choose. If the organization does not submit three nominees for consideration at any time required, the Governor may appoint a member of the Governor's choice.
c. No member of the council shall receive a salary for service on the council but shall be reimbursed for reasonable and necessary expenses associated with serving on the council.
d. A majority of the members of the council shall choose one of the members to serve as the chair. Each member of the council shall serve for a two-year term and, upon expiration of that term, may be reappointed. Vacancies among the membership shall be filled in the same manner in which the original appointment was made.
e. The council shall select an appropriate location or locations in which to meet. The council may adopt its own bylaws and procedures that are not inconsistent with P.L.2002, c.43 (C.52:27BBB-1 et al.).
f. The council shall be eligible for and may employ a consultant and such staff as it deems necessary, to the extent that funds are made available pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) or other sources. The council may call upon the commissioner for such assistance as it deems necessary.
g. The council may hold public hearings at the call of the chair and pursuant to the "Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.).
L.2002,c.43,s.39; amended 2002, c.108, s.8.
52:27BBB-40 Role of regional impact council.
40. It shall be the role of the regional impact council to promote coordination among communities within the region surrounding a qualified municipality and to assist in the formulation of long range strategies to address regional issues, including public safety, economic development, housing, and environmental issues with the goal of improving the quality of life within the region.
In fulfilling this role, the responsibilities of the regional impact council shall include, but not be limited to:
a. the representation of the regional interest in the economic recovery of the qualified municipality through participation in the State Economic Recovery Board established pursuant to section 36 of P.L.2002, c.43 (C.52:27BBB-36);
b. the review of the strategic revitalization plan prepared pursuant to section 38 of P.L.2002, c.43 (C.52:27BBB-38), the capital improvement and infrastructure plan pursuant to section 42 of P.L.2002, c.43 (C.52:27BBB-41), and of the report submitted by the chief operating officer pursuant to section 8 of P.L.2002, c.43 (C.52:27BBB-8), and provision of comments and recommendations, as appropriate, in order to reflect regional concerns;
c. if deemed necessary and appropriate by the council, a review of the county master plan and other regional plans and development of recommendations for the county planning board or other regional entities in order to strengthen the functioning of the municipalities in the regional context;
d. the formulation of an action plan which includes a series of tasks necessary to enhance the functioning of the region, including planning, programs and projects and the identification of the technical, institutional and financial resources necessary to execute them, the agencies and organizations responsible for each activity and a timetable for completion; and
e. any recommendations for legislation deemed advisable by the board to enhance regional cooperation among municipalities and maximize the efficient utilization of federal, State, local and private resources.
L.2002,c.43,s.40.
52:27BBB-41 Consultation with State Economic Recovery Board.
42. a. The chief operating officer and the mayor of the qualified municipality shall consult with the State Economic Recovery Board established pursuant to section 36 of P.L.2002, c.43 (C.52:27BBB-36) in its preparation of a capital improvement and infrastructure plan for each qualified municipality. The plan shall be submitted to the chief operating officer, the mayor, each member of the governing body, the commissioner, the Governor, each member of the county board of freeholders in the county in which the qualified municipality is situated, each member of the Senate and General Assembly, and each member of the regional impact council within six months after the first meeting of the board.
The first section of the plan shall be a water and sewer subplan where necessary. The water and sewer subplan shall provide a detailed blueprint for the separation of storm drains from the sewer system throughout the municipality, which improvements shall be completed within four years. In addition, the water and sewer subplan shall coordinate the overlay of municipal roads following the separation of underground lines and designate those roads which require reconstruction and allocate administrative and financial responsibility among various agencies for effectuating the plan. Funds shall be earmarked by the appropriate State agencies from the "Transportation Trust Fund Account," created pursuant to section 20 of P.L.1984, c.73 (C.27:1B-20) and the "New Jersey Environmental Infrastructure Trust" created pursuant to section 4 of P.L.1985, c.334 (C.58:11B-4), in order to accomplish the work plan set forth in the water and sewer subplan.
The capital improvement and infrastructure plan shall include those features of the municipal capital improvement program authorized pursuant to section 20 of P.L.1975, c.291 (C.40:55D-29). In addition, the plan shall specifically incorporate: a time frame for making any improvements necessary in the public water system to accommodate proposed redevelopment in the municipality and surrounding areas; a parks and open public space subplan which encompasses projects to improve the streetscapes, parks, public spaces, and any other relevant aspects of the public environment; and an analysis of public building needs, including administrative offices of the municipality, firehouses, police stations, libraries, and any other municipal government functions in light of the organizational and functional analysis of municipal government operations contained in the municipal management study.
The capital improvement and infrastructure plan shall recognize the plans of the county in which the qualified municipality is situated, any regional authorities with jurisdiction in the municipality, the State Department of Transportation, the New Jersey Transit Corporation, any State universities situated within the municipality, and any other public and nonprofit entities which operate in the municipality.
Any municipal plan which affects the physical development of the municipality and is adopted by the municipality or any agency or instrumentality thereof after the adoption of the capital improvement and infrastructure plan shall be consistent with that plan.
b. The capital improvement and infrastructure plan shall be adopted upon an affirmative vote of a majority of the full authorized membership of the board.
L.2002,c.43,s.42.
52:27BBB-42 Property tax collection audit.
43. In addition to the municipal management study, the chief operating officer in consultation with the mayor, shall cause to be conducted a property tax collection audit in order to ascertain those properties which are in arrears with regard to property taxes and subject to tax sale or foreclosure. The study shall identify the ownership of those properties, the length of time during which taxes have been in arrears, and the likelihood that the properties might be developed individually or assembled with adjacent properties for demolition or redevelopment.
Following the completion of the property tax collection audit, the chief operating officer shall submit the study to the Commissioner of Community Affairs, who shall designate the board to assist in the preparation of a demolition funding plan.
The State shall provide the necessary level of funding to allow for the demolition of unsafe structures and clearing of those lots for future development.
L.2002,c.43,s.43.
52:27BBB-43 Conveyance of right, title, interest in certain real property.
44. The governing body of each qualified municipality shall convey to the board, for the period of rehabilitation, its right, title and interest in any real property, acquired through the purchase of any tax sale certificate covering that real property whose rights of redemption have been foreclosed under the In Rem Tax Foreclosure Act (1948), P.L.1948, c.96 (C.54:5-104.29 et seq.), so long as the liens have previously been offered by the municipality at a public tax lien sale.
L.2002, c.43, s.44; amended 2009, c.337, s.9.
52:27BBB-44. Project list
45. a. The board shall prepare and submit a project list, as provided hereunder. The list shall be consistent with the strategic revitalization plan and capital improvement and infrastructure plans for the qualified municipality to the extent practicable and shall include a series of projects which are prioritized according to their importance in revitalizing the qualified municipality.
Following a determination by the commissioner that a municipality fulfills the definition of a qualified municipality pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) and the preparation of the plans mentioned above, the capital and infrastructure needs shall be assessed and projects shall be anticipated over a three-year period. The bond moneys authorized to be issued pursuant to section 47 of P.L.2002, c.43 (C.52:27BBB-46) shall be expended over a three-year period.
The board shall adopt each project list by a majority of those members present. In the event that the board selects to rescind a project from the list, such a vote shall be by a two-thirds vote of the fully authorized membership thereof.
Each project list shall be submitted to the Commission on Capital Budgeting and Planning, the Chairperson of the Senate Appropriations Committee and the Chairperson of the Assembly Appropriations Committee, or their successors, and the Legislative Budget and Finance Officer, on or before March 1 of each year.
b. The President of the Senate and the Speaker of the General Assembly shall cause the date of submission of the project list to be entered upon the Senate Journal and the Minutes of the General Assembly.
c. On or before March 1 of each year, the board shall submit a report of general project categories and proposed projects thereunder to be financed in the ensuing fiscal year, including therewith a description of the projects, the county or counties within which they are to be located, a distinction between State, local and private projects, and the amount estimated to be expended on each project. This report shall be known as the "Annual Qualified Municipality Capital and Economic Recovery Program" for the upcoming fiscal year. The program shall be consistent with, and reflective of, the goals and priorities of the Strategic Revitalization Plan, capital improvement and infrastructure plan, and the program shall include an explanation which demonstrates how it is consistent with, and reflective of, the goals and priorities.
d. On or before August 1 of each year, the board shall also submit a "Qualified Municipality Capital and Economic Recovery Financial Plan" designed to implement the financing of the proposed projects. The financial plan shall contain an enumeration of the bonds, notes or other obligations of the authority which the authority intends to issue, including the amounts thereof and the conditions therefor.
In addition, the plan shall contain proposed amounts to be appropriated and expended, as well as amounts for which the authority anticipates to obligate during the ensuing fiscal year for any future expenditures.
L.2002,c.43,s.45; amended 2002, c.108, s.9.
52:27BBB-44.1. Preparation of economic stimulus package for qualified municipality
16. Upon receipt of notification by the commissioner pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4), the State Treasurer shall prepare an economic stimulus package designed to foster the revitalization of the qualified municipality and submit those recommendations, along with amounts necessary to achieve those revitalization objectives to the Governor, each member of the Senate and General Assembly, and each member of the State Economic Recovery Board for the qualified municipality established pursuant to section 36 of P.L.2002, c.43 (C.52:27BBB-36), within 60 days following the appointment of the last member. The economic stimulus package for the first municipality designated following the effective date of P.L.2002, c.43 (C.52:27BBB-1 et seq.) shall consist of those financing arrangements set forth in Article 5 of P.L.2002, c.43 (C.52:27BBB-44 through 52).
L.2002,c.108,s.16.
52:27BBB-45 Definitions relative to project financing.
46. As used in this article:
"Authority reserves" means the unrestricted funds of the authority that have not been designated for authority programs;
"Bonds" means bonds, notes or other obligations issued by the authority pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.); and
"Refunding bonds" means bonds, notes or other obligations issued to refinance bonds, notes or other obligations previously issued by the authority pursuant to section 47 of P.L.2002, c.43 (C.52:27BBB-46).
L.2002,c.43,s.46.
52:27BBB-46 Powers of authority.
47. Notwithstanding the provisions of any law, rule, regulation or order to the contrary:
a. The authority shall issue bonds and refunding bonds, incur indebtedness and borrow money secured, in whole or in part, by money received pursuant to sections 48 and 49 of P.L.2002, c.43 (C.52:27BBB-47 and C.52:27BBB-48), for the purpose of making the deposits described in section 50 of P.L.2002, c.43 (C.52:27BBB-49). The total outstanding principal amount of the bonds shall not exceed $175,000,000. In computing the foregoing limitation as to amount, there shall be excluded all bonds which shall be issued for (1) costs incurred in connection with the issuance of the bonds and (2) refunding purposes, provided that the refunding shall be determined by the authority to result in a debt service savings. The authority may establish reserve or other funds to further secure bonds and refunding bonds.
In computing the foregoing limitation, the authority may include those reserves of the authority or other State authorities to be made available for the purposes of P.L.2002, c.43 (C.52:27BBB-1 et al.) or those amounts to be made available by any bistate or other agency with jurisdiction in the qualified municipality.
Prior to the approval of this financing plan, the authority shall submit a copy for review and approval of the Joint Budget and Oversight Committee.
b. The authority may, in any resolution authorizing the issuance of bonds or refunding bonds, pledge the contract with the State Treasurer, provided for in section 49 of P.L.2002, c.43 (C.52:27BBB-48), or any part thereof, for the payment or redemption of the bonds or refunding bonds, and covenant as to the use and disposition of money available to the authority for payments of bonds and refunding bonds. All costs associated with the issuance of bonds and refunding bonds by the authority for the purposes set forth in P.L.2002, c.43 (C.52:27BBB-1 et al.) may be paid by the authority from amounts it receives from the proceeds of the bonds or refunding bonds and from amounts it receives pursuant to sections 48 and 49 of P.L.2002, c.43 (C.52:27BBB-47 and C.52:27BBB-48), which costs may include, but are not limited to, any costs relating to the issuance of the bonds or refunding bonds and costs attributable to the agreements described in subsection c. of this section. The bonds or refunding bonds shall be authorized by resolution, which shall stipulate the manner of execution and form of the bonds whether the bonds are in one or more series, the date or dates of issue, time or times of maturity, which shall not exceed 40 years, the rate or rates of interest payable on the bonds, which may be at fixed rates or variable rates, and which interest may be current interest or may accrue, the denomination or denominations in which the bonds are issued, conversion or registration privileges, the sources and medium of payment and place or places of payment, terms of redemption, privileges of exchangeability or interchangeability, and entitlement to priorities of payment or security in the amounts to be received by the authority pursuant to sections 48 and 49 of P.L.2002, c.43 (C.52:27BBB-47 and C.52:27BBB-48). The bonds may be sold at a public or private sale at a price or prices determined by the authority. The authority is authorized to enter into any agreements necessary or desirable to effectuate the purposes of this section, including agreements to sell bonds or refunding bonds to any persons and to comply with the laws of any jurisdiction relating thereto.
c. In connection with any bonds or refunding bonds issued pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.), the authority may also enter into any revolving credit agreement, agreement establishing a line of credit or letter of credit, reimbursement agreement, interest rate exchange agreement, currency exchange agreement, interest rate floor or cap, options, puts or calls to hedge payment, currency, rate, spread or similar exposure, or similar agreements, float agreements, forward agreements, insurance contract, surety bond, commitment to purchase or sell bonds, purchase or sale agreement, or commitments or other contracts or agreements and other security agreements approved by the authority.
d. No resolution adopted by the authority authorizing the issuance of bonds or refunding bonds pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) shall be adopted or otherwise made effective without the approval in writing of the State Treasurer. Except as provided by subsection i. of section 4 of P.L.1974, c.80 (C.34:1B-4), bonds or refunding bonds may be issued without obtaining the consent of any department, division, commission, board, bureau or agency of the State, other than the approval as required by this subsection, and without any other proceedings or the occurrence of any other conditions or other things other than those proceedings, conditions or things which are specifically required by P.L.2002, c.43 (C.52:27BBB-1 et al.).
e. Bonds and refunding bonds issued by the authority pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) shall be special and limited obligations of the authority payable from, and secured by, such funds and moneys determined by the authority in accordance with this section. Neither the members of the authority nor any other person executing the bonds or refunding bonds shall be personally liable with respect to payment of interest and principal on these bonds or refunding bonds. Bonds or refunding bonds issued pursuant to the provisions of P.L.2002, c.43 (C.52:27BBB-1 et al.) shall not be a debt or liability of the State or any agency or instrumentality thereof, except as otherwise provided by this subsection, either legal, moral or otherwise, and nothing contained in P.L.2002, c.43 (C.52:27BBB-1 et al.) shall be construed to authorize the authority to incur any indebtedness on behalf of or in any way to obligate the State or any political subdivision thereof, and all bonds and refunding bonds issued by the authority shall contain a statement to that effect on their face.
f. The authority is authorized to engage, subject to the approval of the State Treasurer and in such manner as the State Treasurer shall determine, the services of financial advisors and experts, placement agents, underwriters, appraisers, and such other advisors, consultants and agents as may be necessary to effectuate the purposes of P.L.2002, c.43 (C.52:27BBB-1 et al.).
g. The proceeds from the sale of the bonds, other than refunding bonds, issued pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.), after payment of any costs related to the issuance of such bonds, shall be applied to the purposes set forth in section 50 of P.L.2002, c.43 (C.52:27BBB-49).
h. All bonds or refunding bonds issued by the authority are deemed to be issued by a body corporate and politic of the State for an essential governmental purpose, and the interest thereon and the income derived from all funds, revenues, incomes and other moneys received for or to be received by the authority and pledged and available to pay or secure the payment on bonds or refunding bonds and the interest thereon, shall be exempt from all taxes levied pursuant to the provisions of Title 54 of the Revised Statutes or Title 54A of the New Jersey Statutes, except for transfer, inheritance and estate taxes levied pursuant to Subtitle 5 of Title 54 of the Revised Statutes.
i. The State hereby pledges and covenants with the holders of any bonds or refunding bonds issued pursuant to the provisions of P.L.2002, c.43 (C.52:27BBB-1 et al.), that it will not limit or alter the rights or powers vested in the authority by P.L.2002, c.43 (C.52:27BBB-1 et al.), nor limit or alter the rights or powers of the State Treasurer in any manner which would jeopardize the interest of the holders or any trustee of such holders, or inhibit or prevent performance or fulfillment by the authority or the State Treasurer with respect to the terms of any agreement made with the holders of these bonds or refunding bonds or agreements made pursuant to subsection e. of this section, except that the failure of the Legislature to appropriate moneys for any purpose of P.L.2002, c.43 (C.52:27BBB-1 et al.) shall not be deemed a violation of this section.
j. Notwithstanding any restriction contained in any other law, rule, regulation or order to the contrary, the State and all political subdivisions of this State, their officers, boards, commissioners, departments or other agencies, all banks, bankers, trust companies, savings banks and institutions, building and loan associations, saving and loan associations, investment companies and other persons carrying on a banking or investment business, and all executors, administrators, guardians, trustees and other fiduciaries, and all other persons whatsoever who now are or may hereafter be authorized to invest in bonds or other obligations of the State, may properly and legally invest any sinking funds, moneys or other funds, including capital, belonging to them or within their control, in any bonds or refunding bonds issued by the authority under the provisions of P.L.2002, c.43 (C.52:27BBB-1 et al.); and said bonds and refunding bonds are hereby made securities which may properly and legally be deposited with, and received by any State or municipal officers or agency of the State, for any purpose for which the deposit of bonds or other obligations of the State is now, or may hereafter be authorized by law.
L.2002,c.43,s.47.
52:27BBB-47 Payment to authority for debt service.
48. a. The State Treasurer shall, in each State fiscal year, pay from the General Fund to the authority, in accordance with a contract or contracts between the State Treasurer and the authority, authorized pursuant to section 49 of P.L.2002, c.43 (C.52:27BBB-48), an amount equivalent to the amount due to be paid in such State fiscal year to pay the debt service incurred for such State fiscal year on the bonds or refunding bonds of the authority issued pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) and any additional costs authorized by section 47 of P.L.2002, c.43 (C.52:27BBB-46); and
b. In addition to such terms and conditions as are agreed upon pursuant to section 49 of P.L.2002, c.43 (C.52:27BBB-48), the contract or contracts shall provide that all such payments from the General Fund shall be subject to, and dependent upon, appropriations being made from time to time by the Legislature for these purposes.
L.2002,c.43,s.48.
52:27BBB-48 Contracts between State Treasurer and authority for debt service.
49. The State Treasurer and the authority are authorized to enter into one or more contracts to implement the payment arrangement that is provided for in section 48 of P.L.2002, c.43 (C.52:27BBB-47). The contract or contracts shall provide for payment by the State Treasurer of the amounts required to be paid pursuant to section 48 of P.L.2002, c.43 (C.52:27BBB-47) and shall set forth the procedure for the transfer of moneys for the purpose of paying such moneys. The contract or contracts shall contain such terms and conditions as are determined by the parties, and shall include, but not be limited to, terms and conditions necessary pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.); provided, however, that notwithstanding any other provision of any law, rule, regulation or order to the contrary, the authority shall be paid only such funds as shall be determined by the contract or contracts and further provided that the incurrence of any obligation of the State under the contract or contracts, including any payments to be made thereunder from the General Fund, shall be subject to and dependent upon appropriations being made from time to time by the Legislature for the purposes of P.L.2002, c.43 (C.52:27BBB-1 et al.).
L.2002,c.43,s.49.
52:27BBB-49 Series of special funds.
50. a. The authority shall establish and maintain a series of special funds as provided in sections 51 and 52 of P.L.2002, c.43 (C.52:27BBB-50 and C.52:27BBB-51) into which shall be deposited such moneys: (1) as shall be paid to the funds by the State Treasurer for the purposes of those funds; (2) as shall be appropriated by the State for the purpose of such funds; (3) as shall be deposited into the funds in accordance with the "Annual Qualified Municipal Capital and Economic Recovery Program" and the "Qualified Municipality Capital and Economic Recovery Financial Plan" adopted pursuant to section 45 of P.L.2002, c.43 (C.52:27BBB-44) and (4) any other moneys or funds of the authority which it determines to deposit therein. Moneys in the funds may be invested in such obligations as the authority may approve and interest or other earnings on such investments shall be credited to the funds.
b. In addition to the powers of the authority set forth in section 5 of P.L.1974, c.80 (C.34:1B-5) and other powers which may be conferred on the authority or the executive director by P.L.2002, c.43 (C.52:27BBB-1 et al.), the authority, by resolution, shall have the power to: (1) pay all or part of the cost of an eligible project; and (2) make loans, guarantees, equity investments, and grants, or provide other forms of financing for an eligible project.
c. The purpose of the special funds established pursuant to subsection a. of this section shall be to provide loans, guarantees, equity investments, and grants or other forms of financing of a sufficient scale and visibility to expand and sustain economic activity in qualified municipalities, both within the central business district and port district and in order to encourage revitalization of the municipality's neighborhoods outside of the central business district through the rehabilitation, acquisition, demolition and redevelopment of property within those neighborhoods, the improvement of municipally-owned water supply and distribution facilities, and, where necessary, the remediation of brownfields sites to foster redevelopment. Grants shall be made available to qualified municipalities in order to strengthen the provision of municipal services through capital construction and reconstruction of public buildings and financial assistance necessary to allow for the purchase of equipment considered vital to the sustenance of municipal public services, particularly public safety.
L.2002,c.43,s.50.
52:27BBB-50 Overseeing of funds by board; amounts, purposes.
51. The board shall oversee the following funds:
a. the "Residential Neighborhood Improvement Fund," into which shall be deposited the sum of $35 million from bond proceeds, to be disbursed at the direction of the board and upon the recommendation of the chief operating officer, to make grants, matching grants or loans, to support water and sewer improvements not funded by the county, to support the removal of litter and clean community activities, the development of tot-lots, community gardens, landscape amenities, small scale demolitions, streetscape improvements, property acquisition, housing, and restoration in neighborhoods outside of the central business district;
b. the "Demolition and Redevelopment Financing Fund," into which shall be deposited the sum of $43 million from bond proceeds, to be disbursed at the direction of the board and upon the recommendation of the chief operating officer, which shall be used to provide grants, matching grants or loans to support neighborhood rehabilitation, land acquisition, brownfields remediation, demolition and redevelopment;
c. the "Downtown Revitalization and Recovery Fund" into which shall be deposited the sum of $45.8 million from bond proceeds, to be disbursed at the direction of the board and upon the recommendation of the chief operating officer, which shall be used to make grants, matching grants or loans to support streetscape improvements, facade restoration, street signage improvements, street resurfacing, demolition and restoration of commercial structures, property acquisition, and redevelopment projects, brownfields remediation in order to foster redevelopment, industrial development, port redevelopment, and the development of entertainment and cultural facilities such as aquariums and community schools for the arts.
The sum of $25 million out of this fund shall be used to make grants, matching grants or loans to support from bond proceeds the expansion and upgrade of an aquarium in a qualified municipality by a private developer. Moneys from the fund for aquarium purposes shall be made available on a matching basis, with three dollars of State money to be made available for every dollar raised by a private developer. The receipt of funds by a private developer shall be subject to those conditions set forth pursuant to section 53 of P.L.2002, c.43 (C.52:27BBB-52).
Funds paid out of this fund in support of an aquarium may be used for debt retirement; however, any funds used for that purpose shall not be subject to the matching requirement pursuant to this subsection;
d. the "Higher Education and Regional Health Care Development Fund" into which shall be deposited the sum of $47.7 million from bond proceeds, to be disbursed at the direction of the board and upon the recommendation of the chief operating officer, in accordance with the provisions of section 52 of P.L.2002, c.43 (C.52:27BBB-51);
e. the "Economic Recovery Planning Fund" into which shall be deposited the sum of $3.5 million from bond proceeds, to be disbursed at the direction of the board and upon the recommendation of the chief operating officer, to cover those planning and administrative costs incurred in preparing the strategic revitalization plan pursuant to section 38 of P.L.2002, c.43 (C.52:27BBB-38), the capital improvement and infrastructure plan prepared pursuant to section 42 of P.L.2002, c.43 (C.52:27BBB-41), and such other plans as are required to be prepared pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.); and
f. the "Qualified Municipality Economic Opportunity Fund" into which shall be deposited the sum of $1.5 million, which shall be used, in coordination with the job training provisions of the State's school construction program, to create employment and entrepreneurial opportunities through the completion of projects in the central business district, entrepreneurial training, and grants and loans to small business development in residential neighborhoods, and loans for housing development.
L.2002,c.43,s.51.
52:27BBB-51 "Higher Education and Regional Health Care Development Fund."
52. There is created the "Higher Education and Regional Health Care Development Fund" which shall be used to provide grants, to nonprofit educational institutions and regional health care facilities, as provided hereunder.
a. Those grants to be provided to nonprofit educational institutions under this section shall be provided on a one-to-one matching basis in order to encourage the development of student housing, retail facilities and commercial enterprises in the central business district of the qualified municipality, subject to those conditions set forth in section 53 of P.L.2002, c.43 (C.52:27BBB-52).
Any facility constructed using bond proceeds shall be located within the central business district of the qualified municipality and shall be co-located with other university buildings.
With respect to Rowan University, these funds shall be made available on the condition that the university shall offer at least two full four- year programs, thereby allowing students to complete an entire course of study on the campus housed in the central business district. In addition, any of these institutions may use these matching funds in conjunction with land acquisition moneys received by that university from the Delaware River Port Authority.
The bond proceeds shall be allocated as follows:
(1) the sum of $11 million shall be made available to Rutgers, the State University;
(2) the sum of $5.1 million shall be made available to Rowan University;
(3) the sum of $9 million shall be made available to the University of Medicine and Dentistry of New Jersey; and
(4) the sum of $3.5 million shall be made available to Camden County College.
Moneys shall be committed within four years of the effective date of P.L.2002, c.43 (C.52:27BBB-1 et al.).
b. Those grants to be provided to regional health care facilities under this section shall be provided, on a matching basis, to regional health care facilities situated within the qualified municipality, to allow for facility expansion, including but not limited to, facilities for pre-admission testing, occupational health, health-related educational facilities such as a school of nursing and emergency room facilities, subject to those conditions set forth in section 53 of P.L.2002, c.43 (C.52:27BBB-52). Each health care facility shall be required to raise one dollar for every three dollars provided by the State. The bond proceeds shall be allocated as follows:
(1) the sum of $4.5 million shall be made available to Our Lady of Lourdes Medical Center;
(2) the sum of $13.35 million shall be made available to Cooper Hospital/University Medical Center; provided, however, that no funds shall be made available to Cooper Hospital/University Medical Center for the purpose of establishing or expanding family practice facilities. Cooper Hospital/University Medical Center may make available a portion of these funds to a federally-qualified health center operating in the City of Camden;
(3) the sum of $1 million shall be made available to Virtua Hospital to allow for the establishment of an in-patient drug treatment facility; and
(4) the sum of $250,000 shall be made available to Partners in Health to further community outreach efforts in underserved communities and the promotion of programs for minority children, the elderly, uninsured or underinsured families and disabled persons.
L.2002,c.43,s.52.
52:27BBB-51.1 Two-year commitment for moneys made available.
7. Notwithstanding the provisions of subsection a. of section 52 of P.L.2002, c.43 (C.52:27BBB-51), moneys made available pursuant thereto may be committed for a period not to exceed two years following the effective date of P.L.2007, c.176 (C.52:27BBB-2.2 et al.).
L.2007, c.176, s.7.
52:27BBB-52 Conditions on tax-exempt entities receiving funding.
53. Any entity which is otherwise tax-exempt pursuant to Title 54 of the Revised Statutes and which receives funding pursuant to the "Municipal Rehabilitation and Economic Recovery Act,"P.L.2002, c.43 (C.52:27BBB-1 et al.) to finance the purchase of any real property or construction of any improvement which would otherwise be tax-exempt shall be subject to the following conditions:
a. The entity shall pay an annual service charge for a period of 20 years following the receipt of funding pursuant thereto, which shall be negotiated by the tax-exempt entity and the chief operating officer on behalf of the qualified municipality according to the formula set forth pursuant to section 12 of P.L.1991, c.431 (C.40A:20-12).
b. The board shall approve in advance any facility plans or other such documentation produced by the tax-exempt entity which include detailed information concerning the projects proposed to be funded with the matching grants and the agreement negotiated by the chief operating officer pursuant to subsection a. of this section.
The receipt of matching funds by such an entity pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) shall be conditioned upon compliance with the provisions of this section, as determined by the board.
L.2002,c.43,s.53.
52:27BBB-53. Definitions relative to open for business incentives
54. As used in this section and section 55 of P.L.2002, c.43 (C.52:27BBB-54):
a. "Business facility" means any factory, mill, plant, refinery, warehouse, building, complex of buildings or structural components of buildings, and all machinery, equipment and personal property located within a qualified municipality, used in connection with the operation of the business of a corporation that is subject to the tax imposed pursuant to section 5 of P.L.1945, c.162 (C.54:10A-5) or the tax imposed pursuant to sections 2 and 3 of P.L.1945, c.132 (C.54:18A-2 and 54:18A-3), section 1 of P.L.1950, c.231 (C.17:32-15) and N.J.S.17B:23-5, and all facility preparation and start-up costs of the taxpayer for the business facility which it capitalizes for federal income tax purposes.
b. "Business relocation or business expansion property" means improvements to real property and tangible personal property, but only if that improvement or personal property is constructed or purchased and placed in service or use by the taxpayer, for use as a component part of a new business facility or expanded business facility located in a qualified municipality.
(1) Business relocation or business expansion property shall include only:
(a) improvements to real property placed in service or use as a business facility by the taxpayer on or after the notification of the Governor by the commissioner pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) that the municipality in which the property is situated fulfills the definition of a qualified municipality;
(b) tangible personal property placed in service or use by the taxpayer on or after the notification of the Governor by the commissioner pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) that the municipality in which the property is situated fulfills the definition of a qualified municipality, with respect to which depreciation, or amortization in lieu of depreciation, is allowable for federal income tax purposes and which has a remaining recovery period of three or more years at the time the property is placed in service or use in a qualified municipality; or
(c) tangible personal property owned and used by the taxpayer at a business location outside a qualified municipality which is moved into a qualified municipality on or after the notification of the Governor by the commissioner pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) that the municipality in which the property is situated fulfills the definition of a qualified municipality, for use as a component part of a new or expanded business facility located in the qualified municipality; provided that the property is depreciable or amortizable personal property for income tax purposes, and has a remaining recovery period of three or more years at the time the property is placed in service or use in a qualified municipality.
(2) Property purchased for business relocation or expansion shall not include:
(a) repair costs, including materials used in the repair, unless for federal income tax purposes, the cost of the repair must be capitalized and not expensed;
(b) airplanes;
(c) property which is primarily used outside a qualified municipality with that use being determined based upon the amount of time the property is actually used both within and without the qualified municipality;
(d) property which is acquired incident to the purchase of the stock or assets of the seller.
(3) Property shall be deemed to have been purchased prior to a specified date only if:
(a) the physical construction, reconstruction or erection of the property was begun prior to the specified date, or such property was constructed, reconstructed, erected or acquired pursuant to a written contract as existing and binding on the purchase prior to the specified date; or
(b) the machinery or equipment was owned by the taxpayer prior to the specified date, or was acquired by the taxpayer pursuant to a binding purchase contract which was in effect prior to the specified date.
c. "Business relocation or business expansion" means capital investment in a new or expanded business facility in a qualified municipality.
d. "Controlled group" means one or more chains of corporations connected through stock ownership with a common parent corporation if stock possessing at least 50% of the voting power of all classes of stock of each of the corporations is owned directly or indirectly by one or more of the corporations; and the common parent owns directly stock possessing at least 50% of the voting power of all classes of stock of at least one of the other corporations.
e. "Director" means the Director of the Division of Taxation in the Department of the Treasury.
f. "Expanded business facility" means any business facility, other than a new business facility, resulting from acquisition, construction, reconstruction, installation or erection of improvements or additions to existing property if such improvements or additions are purchased on or after the effective date of rehabilitation and economic recovery.
g. "Incentive payment" means: the amount of tax owed by a taxpayer for a privilege period or reporting period, as computed pursuant to section 5 of P.L.1945, c.162 (C.54:10A-5) or section 7 of P.L.2002, c.40 (C.54:10A-5a), or sections 2 and 3 of P.L.1945, c.132 (C.54:18A-2 and 54:18A-3), or section 1 of P.L.1950, c.231 (C.17:32-15) and N.J.S.17B:23-5,multiplied for each privilege period or reporting period by a fraction, the numerator of which is the average value of the taxpayer's business relocation or business expansion property within a qualified municipality during the period covered by its report, and the denominator of which is the average value of all the taxpayer's real and tangible personal property, excluding improvements made after the date of a taxpayer's first acquisition of business relocation or business expansion property in the qualified municipality to business facilities in existence on that date outside of the qualified municipality, in New Jersey during such period which result is multiplied by 96 percent; provided, however, that for the purpose of determining average value, the provisions with respect to depreciation as set forth in subparagraph (F) of paragraph (2) of subsection (k) of section 4 of P.L.1945, c.162 (C.54:10A-4) shall be taken into account for arriving at such value whether the corporation is subject to the tax imposed pursuant to section 5 of P.L.1945, c.162 (C.54:10A-5),the tax imposed pursuant to sections 2 and 3 of P.L.1945, c.132 (C.54:18A-2 and 54:18A-3), the tax imposed pursuant to section 1 of P.L.1950, c.231 (C.17:32-15) or the tax imposed pursuant to N.J.S.17B:23-5; and provided further that the value of a leasehold interest in realty located within a qualified municipality shall be based on no less than the fair market value of its rent; and provided further that incentive payments shall be made for a period not to exceed 10 years, commencing on the date of a taxpayer's first acquisition of business relocation or business expansion property in the qualified municipality following the notification of the Governor by the commissioner pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) that the municipality in which the property is situated fulfills the definition of a qualified municipality.
h. "New business facility" means a business facility which:
(1) is employed by a taxpayer in the conduct of a business which is or will be taxable under P.L.1945, c.162 (C.54:10A-1 et seq.) or pursuant to sections 2 and 3 of P.L.1945, c.132 (C.54:18A-2 and 54:18A-3), section 1 of P.L.1950, c.231 (C.17:32-15) or N.J.S.17B:23-5. A business facility shall not be considered a new business facility in the hands of a taxpayer if the taxpayer's only activity with respect to the facility is to lease it to another person;
(2) is purchased by a taxpayer and is placed in service or use on or after the effective date of rehabilitation and economic recovery;
(3) was not purchased by a taxpayer from a related person; and
(4) was not in service or use during the 90-day period immediately prior to transfer of the title to the facility.
i. "Partnership" means a syndicate, group, pool, joint venture or other unincorporated organization through or by means of which any business, financial operation or venture is carried on, and which is not a trust or estate, a corporation or a sole proprietorship. The term "partner" includes a member in such a syndicate, group, pool, joint venture or organization.
j. "Purchase" means, with respect to the determination of whether business relocation or business expansion property was purchased, any acquisition of property, including an acquisition pursuant to a lease, and an acquisition pursuant to a lease under which the lessee or affiliates of the lessee are the primary occupants under a lease of ten years or more, but only if:
(1) the property is not acquired from a person whose relationship to the person acquiring it would result in the disallowance of deductions under section 267 or subsection (b) of section 707 of the federal Internal Revenue Code of 1986, 26 U.S.C.s.267 or s.707;
(2) the property is not acquired by one member of a controlled group from another member of the same controlled group; and
(3) the basis of the property for federal income tax purposes, in the hands of the person acquiring it, is not determined:
(a) in whole or in part by reference to the federal adjusted basis of such property in the hands of the person from whom it was acquired; or
(b) under subsection (e) of section 1014 of the federal Internal Revenue Code of 1986, 26 U.S.C. s.1014.
k. "Related person" means:
(1) a corporation, partnership, association or trust controlled by the taxpayer;
(2) an individual, corporation, partnership, association or trust that is in control of the taxpayer;
(3) a corporation, partnership, association or trust controlled by an individual, corporation, partnership, association or trust that is in control of the taxpayer; or
(4) a member of the same controlled group as the taxpayer.
L.2002,c.43,s.54; amended 2002, c.108, s.10; 2003, c.194, s.1.
52:27BBB-54. "Qualified Municipality Open for Business Incentive Program"
55. a. There is established in the authority the "Qualified Municipality Open for Business Incentive Program," the purpose of which is to foster business investment in qualified municipalities. Businesses that locate or expand in a qualified municipality during the period that the municipality is under rehabilitation and economic recovery shall be eligible to receive a rebate from the "Corporation Business Tax Act (1945)," P.L.1945, c.162 (C.54:10A-1 et seq.), or the tax imposed on insurers pursuant to P.L.1945, c.132 (C.54:18A-1 et seq.), section 1 of P.L.1950, c.231 (C.17:32-15) and N.J.S.17B:23-5 as provided herein.
b. For each year in which a taxpayer is eligible for a rebate of a portion of the incentive payment, the Director of the Division of Taxation shall certify to the State Treasurer (1) that the taxpayer's corporation business tax return or insurance premiums tax return has been filed; (2) that the taxpayer's entire corporation business tax obligation or insurance premiums tax obligation has been satisfied; and (3) the amount of the taxpayer's incentive payment entitlement. Upon such certification, the treasurer shall certify to the executive director of the authority the amount of the taxpayer's incentive payment and, subject to the approval of the Director of the Division of Budget and Accounting, transfer that incentive payment to the fund established with the proceeds of those funds appropriated pursuant to subsection b. of section 73 of P.L.2002, c.43.
c. The executive director of the authority shall rebate to the taxpayer up to 75% of the incentive payment paid by the taxpayer and placed by the treasurer into a fund established using those funds appropriated pursuant to subsection b. of section 73 of P.L.2002, c.43 if the taxpayer applies for a rebate within two years of deposit of the incentive payment into the fund and establishes to the satisfaction of the executive director of the authority that the taxpayer will utilize those monies for business relocation or business expansion property that will be placed in service or use by the taxpayer after the date of the rebate application. The authority may rebate to the taxpayer up to 100% of the incentive payment paid by the taxpayer and placed by the treasurer into a fund established using those funds appropriated pursuant to subsection b. of section 73 of P.L.2002, c.43 if the taxpayer applies for a rebate and the authority determines that a particular business relocation or business expansion will more effectively contribute to the municipal rehabilitation and economic recovery in a qualified municipality as sought by the Legislature through the enactment of P.L.2002, c.43. In making this determination the authority shall consider: 1) the amount of private investment, 2) the number of jobs concerned, 3) the projected average salary of the employees, 4) whether the investment has the potential to attract additional investment, 5) the impact to the State Treasury, and 6) any other factors that uniquely contribute to the municipal rehabilitation and economic recovery of the qualified municipality. The taxpayer may apply for this incentive prior to its undertaking of the business relocation or business expansion and upon approval the authority may establish a rebate schedule for the incentive payment for a period not to exceed ten years, subject to the taxpayer's continued satisfaction of the criteria of this act and to annual appropriation. The cumulative amount of monies distributed to the taxpayer pursuant to this section shall not exceed the amount paid or to be paid by the taxpayer for the business relocation or business expansion property. In the event that the taxpayer does not establish its eligibility for a rebate of a portion of the incentive payment within two years of its deposit into the fund, the fund shall retain any remaining amount of the incentive payment.
L.2002,c.43,s.55; amended 2003, c.194, s.2.
52:27BBB-55. Application for CBT or insurance tax credit, certain, for new positions
56. a. A taxpayer engaged in the conduct of business within a qualified municipality and who is not receiving a benefit under the "New Jersey Urban Enterprise Zones Act," P.L.1983, c.303 (C.52:27H-60 et seq.), may apply to receive a tax credit against the amount of tax otherwise imposed under the "Corporation Business Tax Act (1945)," P.L.1945, c.162 (C.54:10A-1 et seq.), or the tax imposed on insurers pursuant to P.L.1945, c.132 (C.54:18A-1 et seq.), section 1 of P.L.1950, c.231 (C.17:32-15) and N.J.S.17B:23-5, equal to: $2,500 for each new full-time position at that location in credit year one and $1,250 for each new full-time position at that location in credit year two.
b. (1) The credit pursuant to subsection a. of this section for credit year one shall be allowed for the privilege period or reporting period in which or with which credit year one ends; the credit pursuant to subsection a. of this section for credit year two shall be allowed for the privilege period or reporting period in which or with which credit year two ends.
(2) An unused credit may be carried forward, if necessary, for use in the privilege periods or reporting periods following the privilege period or reporting period for which the credit is allowed.
(3) The order of priority of the application of the credit allowed under this section and any other credits allowed by law shall be as prescribed by the Director of the Division of Taxation. The amount of the credit applied under this section against the tax imposed pursuant to section 5 of P.L.1945, c.162 (C.54:10A-5) for a privilege period, together with any other credits allowed by law, shall not exceed 50% of the tax liability otherwise due and shall not reduce the tax liability to an amount less than the statutory minimum provided in subsection (e) of section 5 of P.L.1945, c.162.
c. (1) Notwithstanding the provisions of subsection b. of this section to the contrary, the credit allowed for credit year one may be refundable at the close of the privilege period or reporting period in which or with which credit year two ends, pursuant to the requirements and limitations of this subsection.
(2) That amount of the credit received for credit year one remaining, if any, after the liabilities for the privilege period or reporting period in which or with which credit year two ends and for any prior period have been satisfied, multiplied by the sustained effort ratio, shall be an overpayment for the purposes of section R.S.54:49-15 for the period in which or with which credit year two ends; that amount of the credit received for credit year one remaining, if any, that is not an overpayment pursuant to this paragraph may be carried forward pursuant to subsection b. of this section.
d. The burden of proof shall be on the taxpayer to establish by clear and convincing evidence that the taxpayer is entitled to the credits or refund allowed pursuant to this section. The director shall by regulation establish criteria for the determination of when new or expanded operations have begun at a location. No taxpayer shall be allowed more than a single 24-month continuous period in which credits shall be allowed for activity at a location within a qualified municipality pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.).
e. For the purposes of this section:
"Credit year one" means the first twelve calendar months following initial or expanded operations at a location within a qualified municipality pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.).
"Credit year two" means the twelve calendar months following credit year one.
"Employee of the taxpayer" does not include an individual with an ownership interest in the business, that individual's spouse or dependants, or that individual's ancestors or descendants.
"Full time position" means a position filled by an employee of the taxpayer for at least 140 hours per month on a permanent basis, which does not include employment that is temporary or seasonal.
"New full time position" means a position that did not exist prior to credit year one. New full time positions shall be measured by the increase, from the twelve-month period preceding credit year one to the measured credit year, in the average number of full-time positions and full-time position equivalents employed by the taxpayer at the location within a qualified municipality pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.). The hours of employees filling part-time positions shall be aggregated to determine the number of full-time position equivalents.
"Part-time position" means a position filled by an employee of the taxpayer for at least 20 hours per week for at least three months during the credit year.
"Sustained effort ratio" means the proportion that the credit year two new full-time positions bears to the credit year one new full-time positions, not to exceed one.
L.2002,c.43,s.56; amended 2003, c.194, s.3.
52:27BBB-56 "Residential property" defined; tax credit for certain principal residences.
57. a. For the purposes of subsection b. of this section, "residential property" shall include land, a dwelling house or a condominium unit under the form of real property ownership provided for under the "Condominium Act," P.L.1969, c.257 (C.46:8B-1 et seq.).
b. A taxpayer who shall not previously have occupied property owned by the taxpayer as a principal residence and who, during the taxable year, purchases residential property within a qualified municipality for the purpose of occupying the property as the taxpayer's principal residence shall be allowed in that taxable year, and for four taxable years thereafter, a credit not to exceed $5,000 against the tax otherwise due under N.J.S.54A:1-1 et seq. The credit shall be allowed beginning in any taxable year during the period of rehabilitation and economic recovery.
No taxpayer filing either a single or a joint return shall be eligible for a credit under this section: (1) if, in a prior taxable year, the taxpayer or the taxpayer's spouse, either singly or jointly with each other or with another, shall have owned and occupied as a principal residence any residential property; or (2) if the taxpayer or the taxpayer's spouse has received an annual stipend pursuant to section 18 of P.L.2002, c.43 (C.52:27BBB-18).
In the case of a husband and wife who elect to file separate tax returns, each shall, unless otherwise ineligible, be entitled to one-half of the credit allowed.
If a taxpayer who shall have been allowed a credit under the provisions of this section with respect to the purchase of residential property fails to occupy the property as the taxpayer's principal residence within one year after the date of the purchase, or terminates occupation of the property as the taxpayer's principal residence within 10 years after the date of the purchase or the date on which such occupation shall have commenced, whichever is later, the taxpayer shall be liable for tax in an amount equal to the credit previously so allowed.
L.2002,c.43,s.57.
52:27BBB-57 Prevailing wage rate on construction contracts under act.
59. Not less than the prevailing wage rate shall be paid to any workers employed in the performance of construction contracts undertaken in connection with any projects undertaken pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.). The prevailing wage rate shall be the rate determined by the Commissioner of Labor pursuant to the provisions of P.L.1963, c.150 (C.34:11-56.25 et seq.).
L.2002,c.43,s.59.
52:27BBB-58. Affirmative action program on EDA projects
60. In order to fulfill its obligation to establish an affirmative action program for the hiring of minority and female workers employed in the performance of construction contracts undertaken in connection with a project undertaken or financed by the authority pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) in a qualified municipality, the authority shall comply with all requirements for pre-apprenticeship and apprenticeship applicable to the authority in that qualified municipality on or after the determination by the commissioner that the municipality fulfills the definition of a qualified municipality pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4).
L.2002,c.43,s.60; amended 2002, c.108, s.11.
52:27BBB-59 Arbitrator to consider rehabilitation when deciding certain labor disputes.
61. For the purposes of section 3 of P.L.1977, c.85 (C.34:13A-16), when deciding the award in a dispute involving public fire or police departments of the qualified municipality during the rehabilitation term, the arbitrator or panel of arbitrators shall, when considering the interests and welfare of the public and the lawful authority of the employer, include in those assessments the fact that the municipality is under rehabilitation pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.).
L.2002,c.43,s.61.
52:27BBB-60 Arrangements with other public entities by qualified municipalities.
62. During the rehabilitation and economic recovery terms, the qualified municipality may enter into arrangements with other municipalities, counties, local public authorities, or the State, for the purpose of affording the municipality those benefits which may accrue pursuant to any laws providing for contracted provision of goods or services. Notwithstanding any other provision of law to the contrary all State agencies are authorized to enter into such agreements or arrangements with the qualified municipality during the rehabilitation and economic recovery terms as are necessary or useful in furthering the purposes of P.L.2002, c.43 (C.52:27BBB-1 et al.).
L.2002, c.43, s.62; amended 2009, c.337, s.10.
52:27BBB-61 Contract to contain provision for termination.
63. a. All contracts and agreements entered into by the qualified municipality during the rehabilitation term pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) shall contain provisions stating that the director or chief operating officer may, upon 30 days' notice, terminate the contract or agreement for any reason without payment of penalty or damages. This subsection shall not apply to collective bargaining agreements.
b. All contracts and agreements entered into by the qualified municipality during the rehabilitation term pursuant to P.L.2002, c.43 (C.52:27BBB-1 et al.) may be terminated by the mayor, upon 30 days' notice, for any reason, without payment of penalty or damages, during the economic recovery term. This subsection shall not apply to collective bargaining agreements.
L.2002, c.43, s.63; amended 2009, c.337, s.11.
52:27BBB-62. Moratorium on regional contribution agreements
66. Upon the date upon which the commissioner determines that the municipality fulfills the definition of a qualified municipality pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) and during the rehabilitation term, there shall be a moratorium on regional contribution agreements pursuant to P.L.1985, c.222 (C.52:27D-301 et al.) in any qualified municipality.
L.2002,c.43,s.66; amended 2002, c.108, s.12.
52:27BBB-63 Membership of board of education in qualified municipality increased; appointments; terms.
67. a. The membership of the board of education serving in a school district which is contiguous with a qualified municipality and which is subject to level II monitoring or level III monitoring pursuant to section 14 of P.L.1975, c.212 (C.18A:7A-14) prior to the effective date of P.L.2005, c.235 shall be increased as set forth in this section in order to ensure the State's and the municipality's ability to participate in the activities of the board. The membership of the board of education serving in a school district which is contiguous with a qualified municipality so designated after the effective date of P.L.2005, c.235 and which is directed to enter partial State intervention pursuant to section 14 of P.L.1975, c.212 (C.18A:7A-14) shall be increased as set forth in this section in order to ensure the State's and the municipality's ability to participate in the activities of the board. Board members appointed by the Governor or mayor shall be voting members of the board and shall have all the rights, powers and privileges of a member of the board. Members appointed by the Governor or mayor shall serve at the pleasure of the Governor or mayor, as appropriate. Any vacancy in the membership appointed by the Governor or mayor shall be filled in the same manner as the original appointment, but for the unexpired term only. The first members appointed by the Governor shall serve for a term commencing upon appointment and qualification and ending three years from the date that the number of members of the board returns to the number on the board prior to the designation of the qualified municipality. Members appointed thereafter shall serve for a term of three years as provided in this section.
In order to ensure substantial local representation on any such board, in no case shall the number of the positions appointed by the mayor and elected by the voters, combined, constitute less than a majority of the total positions on the board. This section shall not apply to State-operated school districts established pursuant to P.L.1987, c.399 (C.18A:7A-34 et seq.) prior to the effective date of P.L.2005, c.235 or a district under full State intervention established pursuant to P.L.1987, c.399 (C.18A:7A-34 et seq.) after the effective date of P.L.2005, c.235.
b. The membership of a type I board of education in a qualified municipality consisting of five members shall be temporarily increased to include two additional members to be appointed by the Governor upon receipt of notification by the Commissioner of Education pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) for a term of three years, as set forth in subsection a. of this section. The first two positions on the board, the terms of which expire after the designation of a qualified municipality, shall be abolished upon expiration of their terms and shall not be filled by mayoral appointments so that the total membership of the board returns to five members. The Governor shall continue to make appointments to fill the positions held by the gubernatorial appointees, when their terms expire or when a vacancy occurs, until after the tenth year following the designation of the qualified municipality. Beginning in the first year following the tenth year after the designation of the qualified municipality, vacancies resulting from the expiration of a term, or for any other reason, in any position on the board filled by gubernatorial appointment shall be filled in the same manner as provided before the designation of the qualified municipality.
c. The membership of a type I board of education in a qualified municipality consisting of seven members shall be temporarily increased to include three additional members to be appointed by the Governor upon receipt of notification by the Commissioner of Education pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) for a term of three years, as set forth in subsection a. of this section. The first three positions on the board, the terms of which expire after the designation of a qualified municipality, shall be abolished upon expiration of their terms and shall not be filled by mayoral appointments so that the total membership of the board returns to seven members. The Governor shall continue to make appointments to fill the positions held by gubernatorial appointees, when their terms expire or when a vacancy occurs, until after the tenth year following the designation of the qualified municipality. Beginning in the first year following the tenth year after the designation of the qualified municipality, vacancies resulting from the expiration of a term, or for any other reason, in any position on the board filled by gubernatorial appointment shall be filled in the same manner as provided before the designation of the qualified municipality.
d. The membership of a type I board of education in a qualified municipality consisting of nine members shall be temporarily increased to include three additional members to be appointed by the Governor upon receipt of notification by the Commissioner of Education pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) for a term of three years as set forth in subsection a. of this section. The first three positions on the board, the terms of which expire after the designation of a qualified municipality, shall be abolished upon expiration of their terms and shall not be filled by mayoral appointments so that the total membership of the board returns to nine members. The Governor shall continue to make appointments to fill the positions held by gubernatorial appointees, when their terms expire or when a vacancy occurs, until after the tenth year following the designation of the qualified municipality. Beginning in the first year following the tenth year after the designation of the qualified municipality, vacancies resulting from the expiration of a term, or for any other reason, in any position on the board filled by gubernatorial appointment shall be filled in the same manner as provided before the designation of the qualified municipality.
e. The membership of a type II board of education in a qualified municipality consisting of three members shall be temporarily increased to include one additional member to be appointed by the Governor upon receipt of notification by the Commissioner of Education pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) for a term of three years as set forth in subsection a. of this section. The first position on the board, the term of which expires after the designation of a qualified municipality, shall be abolished upon expiration of its term and shall not be filled in the same manner as provided before the designation of the qualified municipality so that the total membership of the board returns to three members. The Governor shall continue to make appointments to fill the position held by a gubernatorial appointee when the term expires or when a vacancy occurs, until after the tenth year following the designation of the qualified municipality. Beginning in the first year following the tenth year after the designation of the qualified municipality, a vacancy resulting from the expiration of the term in the position on the board filled by gubernatorial appointment shall be filled in the same manner as provided before the designation of the qualified municipality.
The second position on the board, the term of which expires after the designation of a qualified municipality, shall be abolished upon expiration of its term and shall not be filled in the same manner as provided before the designation of the qualified municipality. Instead, the vacancy shall be filled by a mayoral appointment as described in subsection a. of this section so that the total membership of the board remains at three. Mayoral appointees shall serve for a term of three years. The mayor shall continue to make appointments to fill the position held by a mayoral appointee when the term expires or when a vacancy occurs, until after the tenth year following the designation of the qualified municipality. Beginning in the first year following the tenth year after the designation of the qualified municipality, a vacancy resulting from the expiration of the term in the position on the board filled by mayoral appointment shall be filled in the same manner as provided before the designation of the qualified municipality.
f. The membership of a type II board of education in a qualified municipality consisting of five members shall be temporarily increased to include two additional members to be appointed by the Governor upon receipt of notification by the Commissioner of Education pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) for a term of three years as set forth in subsection a. of this section. The first two positions on the board, the terms of which expire after the designation of a qualified municipality, shall be abolished upon expiration of their terms and shall not be filled in the same manner as provided before the designation of the qualified municipality so that the total membership of the board returns to five members. The Governor shall continue to make appointments to fill the positions held by gubernatorial appointees when the terms expire or when a vacancy occurs, until after the tenth year following the designation of the qualified municipality. Beginning in the first year following the tenth year after the designation of the qualified municipality, vacancies resulting from the expiration of a term in any position on the board filled by gubernatorial appointment shall be filled in the same manner as provided before the designation of the qualified municipality.
The third position on the board, the term of which expires after the designation of a qualified municipality, shall be abolished upon expiration of its term and shall not be filled in the same manner as provided before the designation of the qualified municipality. Instead, the vacancy shall be filled by a mayoral appointment as described in subsection a. of this section so that the total membership of the board remains at five. Mayoral appointees shall serve for a term of three years. The mayor shall continue to make appointments to fill the position held by a mayoral appointee when the term expires or when a vacancy occurs, until after the tenth year following the designation of the qualified municipality. Beginning in the first year following the tenth year after the designation of the qualified municipality, a vacancy resulting from the expiration of the term in the position on the board filled by mayoral appointment shall be filled in the same manner as provided before the designation of the qualified municipality.
g. The membership of a type II board of education in a qualified municipality consisting of seven members shall be temporarily increased to include three additional members to be appointed by the Governor upon receipt of notification by the Commissioner of Education pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) for a term of three years as set forth in subsection a. of this section. The first three positions on the board, the terms of which expire after the designation of a qualified municipality, shall be abolished upon expiration of their terms and shall not be filled in the same manner as provided before the designation of the qualified municipality so that the total membership of the board returns to seven members. The Governor shall continue to make appointments to fill the positions held by gubernatorial appointees when the terms expire or when a vacancy occurs, until after the tenth year following the designation of the qualified municipality. Beginning in the first year following the tenth year after the designation of the qualified municipality, vacancies resulting from the expiration of a term in any position on the board filled by gubernatorial appointment shall be filled in the same manner as provided before the designation of the qualified municipality.
The fourth and fifth positions on the board, the terms of which expire after the designation of a qualified municipality, shall be abolished upon expiration of their terms and shall not be filled in the same manner as provided before the designation of the qualified municipality. Instead, the vacancies shall be filled by mayoral appointments as described in subsection a. of this section so that the total membership of the board remains at seven. Mayoral appointees shall serve for a term of three years. The mayor shall continue to make appointments to fill the positions held by mayoral appointees when the terms expire or when a vacancy occurs, until after the tenth year following the designation of the qualified municipality. Beginning in the first year following the tenth year after the designation of the qualified municipality, vacancies resulting from the expiration of a term in any position on the board filled by mayoral appointment shall be filled in the same manner as provided before the designation of the qualified municipality.
h. The membership of a type II board of education in a qualified municipality consisting of nine members shall be temporarily increased to include three additional members to be appointed by the Governor upon receipt of notification by the Commissioner of Education pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) for a term of three years as set forth in subsection a. of this section. The first three positions on the board, the terms of which expire after the designation of a qualified municipality, shall be abolished upon expiration of their terms and shall not be filled in the same manner as provided before the designation of the qualified municipality so that the total membership of the board returns to nine members. The Governor shall continue to make appointments to fill the positions held by gubernatorial appointees when the terms expire or when a vacancy occurs, until after the tenth year following the designation of the qualified municipality. Beginning in the first year following the tenth year after the designation of the qualified municipality, vacancies resulting from the expiration of a term in any position on the board filled by gubernatorial appointment shall be filled in the same manner as provided before the designation of the qualified municipality.
The fourth, fifth and sixth positions on the board, the terms of which expire after the designation of a qualified municipality, shall be abolished upon expiration of their terms and shall not be filled in the same manner as provided before the designation of the qualified municipality. Instead, the vacancies shall be filled by mayoral appointment as described in subsection a. of this section so that the total membership of the board remains at nine. Mayoral appointees shall serve for a term of three years. The mayor shall continue to make appointments to fill the positions held by mayoral appointees when the terms expire or when a vacancy occurs, until after the tenth year following the designation of the qualified municipality. Beginning in the first year following the tenth year after the designation of the qualified municipality, vacancies resulting from the expiration of a term in any position on the board filled by mayoral appointment shall be filled in the same manner as provided before the designation of the qualified municipality.
i. At all times the board of education and its membership shall comply with the requirements of the "Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.) and the "School Ethics Act," P.L.1991, c.393 (C.18A:12-21 et seq.), and meet the requirements and qualifications for board membership established pursuant to chapter 12 of Title 18A of the New Jersey Statutes.
L.2002,c.43,s.67; amended 2002, c.108, s.13; 2005, c.235, s.35.
52:27BBB-63.1 School districts affected by economic recovery term.
12. a. Notwithstanding the provisions of section 67 of P.L.2002, c.43 (C.52:27BBB-63) or any other section of law to the contrary, upon the commencement of the economic recovery term in a qualified municipality pursuant to the provisions of section 6 of P.L.2002, c.43 (C.52:27BBB-6), a school district which is contiguous with that qualified municipality shall become or remain, as applicable, a Type I school district and, except at otherwise provided pursuant to subsection b. of this section, shall be governed by the provisions of Title 18A of the New Jersey Statutes relating to Type I districts.
b. The terms of the appointed members of the board of education in office at the time of the commencement of the economic recovery term shall continue to, and cease upon, the appointment of members to the Type I school district board of education by the mayor or other chief executive officer of the qualified municipality. The terms of the newly-appointed members shall be staggered. Any elected members of the board of education in office at the time of the commencement of the economic recovery term shall continue in office until the expiration of their respective terms and the qualification of their respective successors following appointment to the Type I school district board of education by the mayor or other chief elected officer of the qualified municipality.
c. At the April school election in the fourth school year following the commencement of the economic recovery term in a qualified municipality, the board of education of the district shall place the question of the classification status of the district as a Type I or Type II district before the voters, which election shall be conducted in accordance with the provisions of Title 19 of the Revised Statutes concerning school elections.
If the voters of the district elect to become a Type II district, it shall be governed by the provisions of Title 18A of the New Jersey Statutes relating to Type II districts and the members of the board of education at the time of the election shall remain and continue in office until the expiration of their respective terms and the qualification of their respective successors.
If the voters of the district elect to remain a Type I district, it shall be governed in accordance with the provisions of Title 18A of the New Jersey Statutes relating to Type I districts.
d. The provisions of section 68 of P.L.2002, c.43 (C.52:27BBB-64) shall not be applicable to a school district subject to this section.
L.2009, c.337, s.12.
52:27BBB-64. Board of education minutes subject to veto provisions
68. a. Notwithstanding the provisions of Title 18A or any other law, rule, or regulation to the contrary, the minutes of every meeting of the board of education of a school district contiguous with a qualified municipality subject to level II or level III monitoring and identified by the commissioner pursuant to section 4 of P.L.2002, c.43 (C.52:27BBB-4) shall be subject to the veto provisions set forth in subsection b. of this section. This section shall not apply to State-operated school districts established pursuant to P.L.1987, c.399 (C.18A:7A-34 et seq.).
b. A true copy of the minutes of every meeting of a board of education described in subsection a. of this section shall be forthwith delivered by and under the certification of the secretary thereof to the Governor. No action taken at that meeting of the board of education shall have force or effect until 15 days after a copy of the minutes shall have been so delivered unless during that 15-day period the Governor shall approve those minutes, in which case the action shall become effective upon that approval. If, in the 15-day period, the Governor returns the copy of those minutes with a veto of any action taken by the board of education or any member thereof at that meeting, the action shall be null and void and of no effect.
L.2002,c.43,s.68; amended 2002, c.108, s.14.
52:27BBB-65 Severability.
71. If any section, subsection, paragraph, sentence or other part of P.L.2002, c.43 (C.52:27BBB-1 et al.) is adjudged unconstitutional or invalid, that judgment shall not affect, impair or invalidate the remainder of this act, but shall be confined in its effect to the section, subsection, paragraph, sentence or other part of this act directly involved in the controversy in which that judgment shall have been rendered.
L.2002,c.43,s.71.
52:27BBB-66 Short title.
1. This act shall be known and may be cited as the "Tax Lien Financing Corporation Act."
L.2003,c.120,s.1.
52:27BBB-67 Declarations relative to tax lien financing; purposes of act.
2. It is hereby declared to be in the public interest and to be the policy of the State to assist qualified municipalities by facilitating the creation of capital markets structures to fund public improvements or purposes at a reduced cost not otherwise available in the absence of such capital markets structures, particularly for qualified municipalities that are not otherwise able to access the capital markets for such purposes. It is hereby further declared that qualified municipalities are owed millions of dollars annually in unpaid property taxes, and that such uncollected taxes adversely impact qualified municipalities' ability to timely collect the moneys necessary to meet their operating expeditures and provide for the delivery of necessary government services, amplifying the risk of future real property tax increases and negatively impacting those taxpayers who timely remit payment. It is hereby further declared that limited means exist for qualified municipalities to expedite the collection of delinquent taxes, that as a result, such delinquencies often remain unpaid, and that the assignment sale of the tax liens related to such delinquent taxes will enable qualified municipalities to expedite the receipt of anticipated revenues and provide a funding source that will enable such qualified municipalities to more effectively carry out their public purposes. Accordingly, one of the purposes of this act is to authorize, create and establish a corporation empowered to acquire from a qualified municipality all or a portion of the qualified municipality's tax liens. Additional purposes of this act are: to authorize the sale by a qualified municipality of all or a portion of the tax liens to the corporation; to authorize the transfer to and the receipt by the corporation of the tax liens; to authorize the corporation to issue securities of the corporation for the purposes authorized in this act, payable solely from and secured solely by such portion of the tax liens as the corporation may designate and pledge to secure the securities, together with the investment income thereon and any reserve funds created by the corporation from any portion of the proceeds of the securities; to authorize the corporation to hold and invest the portion of the net proceeds of the sale of the securities pending direction by a qualified municipality and the portion of a qualified municipality's tax liens sold to the corporation which are not pledged to secure securities of the corporation; to authorize the corporation to acquire, hold, operate, maintain, improve and dispose of real and personal property; and to authorize the corporation to manage the portion of the net proceeds of the sale of the securities pending direction by a qualified municipality and all or a portion of a qualified municipality's tax liens sold to the corporation for the purposes and in the manner authorized in this act.
L.2003,c.120,s.2.
52:27BBB-68 "Tax Lien Financing Corporation" established; governing members, terms, duties.
3. a. There is hereby established in, but not of, the Department of the Treasury, a public body corporate and politic, with corporate succession, to be known as the "Tax Lien Financing Corporation." The corporation is hereby constituted as an instrumentality of the State exercising public and essential governmental functions, and the exercise by the corporation of the powers conferred by this act shall be deemed and held to be an essential governmental function of the State. The corporation shall be treated and accounted for as a separate legal entity with its separate corporate purposes as set forth in this act. The assets, liabilities and funds of the corporation shall be neither consolidated nor commingled with those of a qualified municipality or of any entity capable of being a debtor in a case commenced under the federal bankruptcy code.
b. The corporation shall have and be governed by five members, including one seat reserved for the State Treasurer, who shall be a member ex officio, a second seat reserved for the Commissioner of Community Affairs, who shall be a member ex officio, a third seat reserved for a Chief Operating Officer to be selected by the Governor, a fourth seat reserved for a public member appointed by the Governor and who shall serve at the pleasure of the Governor, and a fifth seat reserved for a public member to be appointed by the Governor and selected from three persons nominated by any mayor of any qualified municipality. The State Treasurer shall serve as the chairperson of the corporation. The corporation shall elect from among its members a vice chairperson. The powers of the corporation shall be vested in the members thereof in office from time to time and a majority of the total authorized membership of the corporation shall constitute a quorum at any meeting thereof. Action may be taken and motions and resolutions adopted by the corporation at any meeting thereof by the affirmative vote of a majority of the members present. No vacancy in the membership of the corporation shall impair the right of a quorum of the members to exercise all the powers and perform all the duties of the corporation.
c. Each member before entering upon his or her duties shall take and subscribe an oath to perform the duties of his or her office faithfully, impartially and justly to the best of his or her ability. A record of the oaths shall be filed in the office of the Secretary of State.
d. The State Treasurer shall be the president of the corporation. The president of the corporation shall appoint the vice president, treasurer and secretary of the corporation. The staff of the office of the State Treasurer shall also serve as staff of the corporation. Officers, agencies, and departments of the State and of a qualified municipality may render services to the corporation within their respective functions, as requested by the corporation.
e. Each member and the treasurer of the corporation shall execute a bond to be conditioned upon the faithful performance of the duties of the member or treasurer in the form and amount as may be prescribed by the State Comptroller. The bonds shall be filed in the office of the Secretary of State. At all times thereafter the members and treasurer of the corporation shall maintain the bonds in full force and effect. All costs of the bonds shall be borne by the corporation.
f. The members of the corporation shall serve without compensation, but the corporation shall reimburse its members for actual expenses necessarily incurred in the discharge of their duties. Notwithstanding the provisions of any other laws, no officer or employee of a qualified municipality or of the State shall be deemed to have forfeited or shall forfeit office or employment or any benefits or emoluments thereof by reason of that person's acceptance of the office of ex officio member or officer of the corporation.
g. Each ex officio member of the corporation may designate an officer or employee of the member's department to represent the member at meetings of the corporation. A designee may lawfully vote and otherwise act on behalf of the member designating the designee. Any designation shall be in writing delivered to the secretary of the corporation and shall continue in effect until revoked or amended by writing delivered to the secretary of the corporation.
h. The corporation may be dissolved by act of the Legislature on condition that the corporation has no debts, obligations or residual interests outstanding or that provision has been made for the payment or retirement of the debts, obligations or residual interests. Upon any dissolution of the corporation, all property, funds and assets thereof shall be vested in the State.
i. The corporation shall cause an audit of its books and accounts to be made at least once in each year by certified public accountants and cause a copy thereof to be filed with the Secretary of State.
j. No member, officer or employee of the corporation shall have an interest, either directly or indirectly, in any business organization engaged in any business, contract or transaction with the corporation or in any contract of any other person engaged in any business with the corporation, or in the purchase, sale, lease or transfer of any property to or from the corporation.
L.2003,c.120,s.3.
52:27BBB-69 Definitions relative to tax lien financing.
4. As used in this act, unless the context clearly requires a different meaning:
"Ancillary facility" means any revolving credit agreement, agreement establishing a line of credit or letter of credit, reimbursement agreement, interest rate exchange or similar agreement, currency exchange agreement, interest rate floor or cap options, puts or calls to hedge payment, currency, rate, spread or similar exposure or similar agreements, float agreements, forward agreements, insurance contract, surety bond, commitment to purchase or sell securities, purchase or sale agreement, or commitments or other contracts or agreements and other security agreements approved by the corporation, including without limitation any arrangement referred to in section 6 of this act.
"Benefitted parties" means persons, firms, corporations or organizations that enter into ancillary facilities with the corporation according to the provisions of this act.
"Code" means the United States Internal Revenue Code of 1986, as amended, and any successor provision of law.
"Costs of issuance" means any item of expense directly or indirectly payable or reimbursable by the corporation and related to the authorization, sale or issuance of securities, including without limitation underwriting fees, and fees and expenses of servicers, auditors, consultants and fiduciaries.
"Corporation" means the Tax Lien Financing Corporation established by section 3 of this act.
"Encumbered tax lien" means those tax liens that are pledged by the corporation for the repayment of any securities pursuant to the terms of the applicable corporation resolution, trust agreement or indenture.
"Financing costs" means all capitalized interest, operating and debt service reserves, costs of issuance, fees for credit and liquidity enhancements, and other costs as the corporation determines to be desirable in issuing, securing and marketing the securities.
"Net proceeds" means the amount of proceeds remaining following each sale of securities which are not required by the corporation to establish and fund reserve or escrow funds, or termination or settlement payments under ancillary facilities or to provide the financing costs and other expenses and fees directly related to the authorization and issuance of securities.
"Operating expenses" means the reasonable operating expenses of the corporation, including but not limited to the fees and expenses (including legal fees and expenses) incurred in the pursuit of any collections or the foreclosure of, or other realization upon, the tax liens, the fees and costs related to the foreclosure process, the expenses relating to appraisals and property inspections and valuations, the expenses relating to property operation, maintenance, improvement and sale, the fees and disbursements incurred in connection with landlord-tenant proceedings, the expenses related to the sale of properties acquired through foreclosure or other liquidation of tax liens such as advertising, brokerage fees, transfer taxes, legal fees and the cost of setting up reserves for tenant security, the cost of preparation of accounting and other reports, costs of maintenance of the ratings on any securities, insurance premiums and costs of annual meetings or other required activities of the corporation, and fees and expenses incurred for servicers, auditors, consultants and fiduciaries.
"Outstanding" means, when used with respect to securities, all securities other than securities that shall have been paid in full at maturity or that may be deemed not outstanding pursuant to the applicable corporation resolution, indenture or trust agreement authorizing the issuance of the securities and when used with respect to ancillary facilities, all ancillary facilities other than ancillary facilities that have been paid in full or that may be deemed not outstanding under the ancillary facilities.
"Qualified municipality" means a municipality: (1) that has been subject to the supervision of a financial review board pursuant to the "Special Municipal Aid Act," P.L.1987, c.75 (C.52:27D-118.24 et seq.) for at least one year; (2) that has been subject to the supervision of the Local Finance Board pursuant to the "Local Government Supervision Act (1947)," P.L.1947, c.151 (C.52:27BB-1 et seq.) for at least one year; and (3) which, according to its most recently adopted municipal budget, is dependent upon State aid and other State revenues for not less than 55 percent of its total budget.
"Residual interests" means the interests consisting of the right to receive remaining undistributed assets of the corporation after provision has been made for the payment of its operating expenses, debt service, sinking fund requirements, reserve fund or escrow fund requirements and any other contractual obligations to the owners of the securities or benefitted parties, or that may be incurred in connection with the issuance of the securities or the execution of ancillary facilities; and such contractual rights, if any, as shall be provided to the corporation in accordance with the terms of any sale agreements.
"Sale agreement" means any agreement authorized pursuant to section 5 of this act in which a qualified municipality provides for the sale of tax liens to the corporation.
"Securities" means any securities, including without limitation any bonds, notes and other evidence of indebtedness, issued by the corporation pursuant to section 7 of this act.
"Tax liens" means those tax liens which are held by a qualified municipality securing delinquent real property taxes, assessments, water, sewer, utilities or other municipal charges by a qualified municipality or certified to a qualified municipality that become a lien on real property and are held by a qualified municipality pursuant to R.S.54:5-34.
"Unencumbered tax liens" means that portion of the tax liens that are not subject to the pledge of the applicable corporation resolution, trust agreement or indenture by the corporation to the repayment of any securities issued pursuant to the terms of such applicable corporation resolution, trust agreement or indenture.
L.2003,c.120,s.4.
52:27BBB-70 Authority to enter into sale agreements.
5. a. Authority to Enter into Sale Agreements. A qualified municipality may sell to the corporation, and the corporation may purchase, for cash or other consideration and in one or more installments, all or a portion of the tax liens pursuant to the terms of one or more sale agreements. Any sale agreement shall provide, among other matters, the purchase price payable by the corporation to a qualified municipality for the tax liens, which amount may be more or less than the face amount of the tax liens purchased by the corporation, and may include the residual interests, if any. The sale agreement may require a qualified municipality to repurchase a tax lien, or to substitute another tax lien of equivalent value, under conditions to be specified in the sale agreement. The sale agreement may provide that a qualified municipality shall be obligated to sell to the corporation subsequent tax liens encumbering the property encumbered by the tax liens originally sold and remaining unpaid on such terms as the corporation deems desirable. Any sale shall be conducted pursuant to one or more sale agreements that may contain such terms and conditions deemed appropriate by a qualified municipality to carry out and effectuate the purposes of this section, including, without limitation, covenants binding the qualified municipality in favor of the corporation and its assignees, including, without limitation, the owners of its securities and benefitted parties; a provision authorizing inclusion of the State's pledge and agreement, as set forth in section 10 of this act, in any agreement with owners of the securities or any benefitted parties; and covenants with respect to the application and use of the proceeds of the sale of the qualified municipality's tax liens to preserve the tax exemption of the interest on any securities, if issued as tax exempt. A qualified municipality in any sale agreement may agree to, and the corporation may provide for, the assignment of the corporation's right, title and interest under the sale agreement for the benefit and security of the owners of securities and benefitted parties. The residual interest shall be uncertificated.
Notwithstanding that the corporation is hereby constituted an instrumentality of the State, all of the residual interests arising upon the transfer of a qualified municipality's tax liens to the corporation shall be the property of and vest in such qualified municipality and all of the economic avails and benefits of such residual interests, including, but not limited to, the income attributable to and accruing with respect to such interests from time to time, shall accrue to and inure to the benefit of such qualified municipality.
b. True Sale. Any sale of tax liens to the corporation pursuant to a sale agreement shall constitute a true sale and absolute transfer of the property so transferred and not a pledge or a grant of a security interest for any borrowing. The characterization of a sale as an absolute transfer by the participants shall not be negated or adversely affected by the fact that only a portion of a qualified municipality's tax liens is transferred, nor by the acquisition or retention by a qualified municipality of a residual interest, nor by the characterization of the corporation or its obligations for purposes of accounting, taxation or securities regulation, nor by any actual pledge, assignment or grant of a security interest in the tax liens and any proceeds of the tax liens, nor by any other factor whatsoever.
c. Qualified Municipality to Notify Collector. On and after the effective date of each sale of tax liens, a qualified municipality shall have no right, title or interest in or to the tax liens sold, and the tax liens so sold shall be property of the corporation and not of the qualified municipality, and shall be owned and held by the corporation and not the qualified municipality. On or before the effective date of any sale, the qualified municipality shall notify the collector that the tax liens have been sold to the corporation and irrevocably instruct the collector that, subsequent to the effective date of the sale, it shall pay over to the corporation or its designee within two days of its receipt any payments made on the transferred tax liens for the benefit of the owners of the securities and benefitted parties.
d. No Right to Cancel, Reduce or Compromise. Notwithstanding any other law to the contrary, a qualified municipality shall not have any right to cancel, reduce or compromise any taxes, penalties or interest secured by a tax lien sold pursuant to this act or extend the time for payment thereof. A qualified municipality may not waive any penalties and interest on a tax lien that has been sold pursuant to this act.
e. Sale by Assignment. A qualified municipality's sale of tax liens to the corporation shall be made by assignment. The certificates of sale may be assigned separately or in bulk with other such certificates. Upon such assignment, the qualified municipality shall promptly deliver such certificates to the corporation or its designee.
f. Recording. Any and all further or additional assignments of the tax sale certificates shall promptly be recorded in the office of the county clerk or the register of deeds and mortgages, as the case may be, of the county where the real property is located, and a photocopy of the recorded assignment shall be served upon the collector by certified mail, return receipt requested. When assignments have not been recorded and served upon the collector, the collector shall be held harmless for the payment of any redemption amounts to the holder of the certificate of sale as appears on the records of the collector. All assignments must be submitted to the office of the county clerk or register of deeds and mortgages for recording within 90 days of the sale by assignment.
g. Presumptive Evidence. The certificate of sale shall be presumptive evidence in all courts in all proceedings by and against the corporation of the truth of the statements therein, of the title of the corporation in the transferred tax liens, and the regularity and validity of all proceedings had in reference to the sale. After six months from the recording of the certificate of sale, no evidence shall be admitted in any court to rebut the presumption that the lien purported to be transferred by the certificate of sale is a valid and enforceable lien, unless the corporation shall have procured it by fraud, or had previous knowledge that it was fraudulently made or procured.
h. Destruction or Loss of a Certificate. In case of the destruction or loss of a certificate of sale issued by a qualified municipality, the corporation shall present an affidavit of destroyed or lost certificate to the collector, and the collector shall then issue and execute a new certificate of sale in place of the one destroyed or lost. There shall appear on the new certificate a statement that it is a duplicate of the original certificate of sale that was destroyed or lost, the date of the original certificate, the date of the tax sale of the original certificate, the date the original certificate was issued and the name and title of the officer who issued the original certificate.
i. Duplicate Certificate and Time Limit to Redeem. The time limit within which the right to redeem from any tax sale in which a duplicate certificate has been issued shall be the same as though the original certificate had not been destroyed or lost.
j. Amount Required for Redemption. Any person having a legal and beneficial interest in the property affected by a certificate of sale acquired by the corporation may satisfy the outstanding lien on the property at any time upon payment to the collector of all sums due with respect to such certificate and for subsequent taxes, municipal liens and charges, and interest and costs thereon, together with interest on the amounts so paid at the rate or rates chargeable by the qualified municipality.
k. Cancellation of Certificate Upon Redemption. Upon satisfaction of a tax lien, the redeeming party shall be entitled to have, upon demand, the certificate of sale, duly receipted for cancellation, or a certificate of redemption thereof, duly executed, stating that said certificate of sale may be canceled of record in the manner prescribed by law.
l. Duties Upon Redemption. The collector, on receiving payment as set forth in subsection j. of this section from a redeeming party, shall confirm with the corporation that such payment constitutes a payment in full. Upon such confirmation, the collector shall execute and deliver to the redeeming party a certificate of redemption which may be recorded with the county clerk or register of deeds and mortgages, as appropriate. The county clerk or register of deeds and mortgages, as appropriate, shall, on request, note on the record of the original certificate of sale a reference to the record of the certificate of redemption, and shall be entitled to the same fees as provided for the cancellation of a mortgage, or, at the option of the redeeming party, the collector shall request the corporation to deliver to it the certificate of sale and in turn, the collector shall deliver to the redeeming party the certificate of sale receipted for cancellation by endorsement in the same manner required by the law of the State to satisfy or cancel a mortgage, whereupon the record of the certificate of sale shall be canceled by the county clerk or register of deeds and mortgages in the same manner and for the same fees as in the case of a mortgage.
m. Installment Agreements. If the corporation holds a certificate of sale, it shall be entitled in its own name or in the name of its duly authorized representative to enter into installment agreements with the related taxpayers as if it were a municipality acting pursuant to Title 54 of the Revised Statutes and on such terms as the corporation deems desirable; provided, however, that the payment of the total sum due the corporation on any one parcel shall be made in substantially equal monthly installments, over a period not exceeding five years.
n. Filing of Installment Agreements. The installment agreement must be in writing and filed with the collector where the property is located. Upon due execution of the installment agreement the corporation shall forward a true copy of the agreement to the collector's office.
o. Foreclosure. When the corporation is the purchaser or assignee of a certificate of sale, the corporation, or its assignee or transferee, may, in its own name or in the name of its duly authorized representative, at any time after the expiration of the term of six months from the issuance of the certificate of sale, institute a procedure to foreclose the right of redemption. The corporation shall be entitled to foreclose the tax lien or liens evidenced thereby in the manner provided by the law for the foreclosure of tax liens as if it were a municipality. In connection with the enforcement of a tax lien, all statutory references to a municipality acting pursuant to the provisions of Title 54 of the Revised Statutes shall be deemed to refer to the corporation, and all references to actions to be taken by an officer of the municipality shall be deemed to refer to an appropriate officer or duly authorized representative of the corporation.
p. Jurisdiction of Court. The Superior Court, in a procedure to foreclose the right of redemption, may give full and complete relief under this act, in accordance with other statutory authority of the court, to bar the right of redemption and to foreclose all prior or subsequent alienations and descents of the lands and encumbrances thereon, except subsequent municipal liens, and to adjudge an absolute and indefeasible estate of inheritance in fee simple, to be vested in the purchaser or assignee. The judgment shall be final upon the defendants, their heirs, devisees and personal representatives, and any of their heirs, devisees, executors, administrators, grantees, assigns or successors in right, title or interest and no application shall be entertained to reopen the judgment after the date thereof, and then only upon the grounds of lack of jurisdiction or fraud in the conduct of the suit. The judgment and recording thereof shall not be deemed a sale, transfer, or conveyance of title or interest to the subject property under the provisions of the "Uniform Voidable Transactions Act," R.S.25:2-20 et seq.
In the event that any federal statute or regulation requires a judicial sale of the property in order to debar and foreclose a mortgage interest or any other lien held by the United States or any agency or instrumentality thereof, then the tax lien may be foreclosed in the same manner as a mortgage, and the final judgment shall provide for the issuance of a writ of execution to the sheriff of the county wherein the property is situated and the holding of a judicial sale as in the manner of the foreclosure of a mortgage.
q. Conflict. In connection with the foreclosure of the right of redemption, in the event of any conflict between this act and any other law relating to the foreclosure of the right of redemption, this act shall be given precedence over the other law or laws.
r. Recovery of Fees and Expenses. To the extent permitted by law, in connection with the foreclosure of tax liens, the corporation or its designee shall have the right to recover attorneys' fees and disbursements incurred relating to the foreclosure at the time such fees and disbursements are incurred, together with the expenses of the sale.
s. Evidence of Payments of Subsequent Tax Liens at Foreclosure. Notwithstanding R.S.54:5-99, in connection with the foreclosure of tax liens, the corporation or its designee shall produce evidence that all subsequent tax liens on the related land have been paid in full at the time a foreclosure judgment shall be entered. The evidence shall not be required to be produced at the commencement of a foreclosure procedure.
L.2003, c.120, s.5; amended 2021, c.92, s.22.
52:27BBB-71 Powers of the corporation.
6. The corporation also shall have the power to and be authorized to:
a. sue and be sued;
b. have a seal and alter the same at its pleasure;
c. make and alter bylaws for its organization and internal management and make rules and regulations governing the use of its property and facilities;
d. make and execute contracts including, without limitation, sale agreements, trust agreements, indentures, bond purchase agreements, tax regulatory agreements, continuing disclosure agreements, servicing agreements, ancillary facilities, and all other instruments necessary or convenient for the exercise of its powers and functions, and commence any action to protect or enforce any right conferred upon it by any law, contract or other agreement;
e. engage, in such manner as the corporation may determine, the services of financial advisors and experts, servicers, contractors, real estate agents, property maintenance contractors, custodians, placement agents, underwriters, appraisers and such other advisors, auditors, consultants, and fiduciaries as may be necessary to effectuate the purposes of this act;
f. pay its operating expenses and financing costs;
g. borrow money in its name and issue negotiable securities and provide for the rights of the owners thereof;
h. procure insurance against any loss in connection with its activities, properties and assets in such amount and from insurers as it deems desirable;
i. invest any funds or other moneys under its custody and control in investments and securities that are legal investments under the laws of the State for funds of the State and, notwithstanding any law to the contrary, in any ancillary facility, in obligations the interest on which is exempt from federal income taxation under the code and in shares or participation interests in funds or trusts that invest solely in such obligations;
j. as security for the payment of the principal of and interest on any securities and for its obligations under any ancillary facility, transfer, assign or pledge all or any part of the tax liens or other assets;
k. procure insurance, letters of credit or other credit enhancement with respect to any securities for the payment of tenders of securities, or for the payment upon maturity of securities;
l. (1) enter into any ancillary facility with any person under such terms and conditions as the corporation may determine;
(2) procure insurance, letters of credit or other credit enhancement with respect to any ancillary facility;
(3) provide security for the payment or performance of its obligations with respect to any ancillary facility from such sources and with the same effect as is authorized by this act with respect to security for securities; and
(4) modify, amend or replace any existing, or enter into a new, ancillary facility; and
m. establish, create or otherwise form and control one or more trusts or other single purpose entities to facilitate the purchase of tax liens and the issuance of tax lien collateralized securities;
n. acquire, hold and dispose of real and personal property for its corporate purposes;
o. cancel, reduce or compromise any taxes, penalties or interest secured by tax liens sold pursuant to this act or extend the time for payment thereof; provided, however, that in the event such reduction causes the principal sum of any taxes secured by the tax liens to fall below the fair market value of the underlying property, the corporation shall obtain the approval of the board prior to such reduction; and
p. do any and all things necessary or convenient to carry out its purposes and exercise the powers expressly given and granted in this act.
L.2003,c.120,s.6.
52:27BBB-72 Issuance of securities.
7. a. The corporation shall have the power and is hereby authorized from time to time to issue securities in principal amount or amounts as the corporation shall determine to be necessary to provide sufficient funds for achieving its authorized purposes, consisting of the purchase of all or a portion of a qualified municipality's tax liens pursuant to section 5 of this act and the payment of or provision for financing costs.
(1) The issuance of securities shall be authorized by a corporation resolution. Other than the express written consent of the State Treasurer, securities (including securities issued to refund securities) may be issued without obtaining the consent of any department, division, commission, board, bureau or agency of a qualified municipality and without any other proceedings or the occurrence of any other conditions or other things other than those proceedings, conditions or things which are specifically required by this act. Every issue of securities shall be special revenue obligations payable from, and secured, in whole or in part, by a pledge of encumbered tax liens or other assets, or both, including, without limitation, those proceeds of the securities deposited in a reserve fund for the benefit of the owners of the securities, earnings on funds of the corporation and other funds as may become available, as specified by the corporation in the corporation resolution pursuant to which the securities are issued or in a related trust agreement, indenture or sale agreement.
(2) The corporation may issue securities to refund any securities by the issuance of new securities, whenever it deems refunding expedient, whether the securities to be refunded have or have not matured, and may issue securities partly to refund securities then outstanding and partly for any of its other authorized purposes. The refunding securities may be exchanged for the securities to be refunded or sold and the proceeds applied to the purchase, redemption or payment of the securities.
b. Each issue of securities shall be dated, shall bear interest (which under the code may be includable in or excludable from the gross income tax of the owners for federal income tax purposes) at such fixed or variable rates, payable at or prior to maturity, and shall mature at such time or times, as may be determined by the corporation and may be made redeemable before maturity, at the option of the corporation, at such price or prices and under such terms and conditions as may be fixed by the corporation. The principal and interest of the securities may be made payable in any lawful medium. The corporation shall determine the form of the securities, either coupon, registered or book entry form, and the manner of execution of the securities and shall fix the denomination or denominations of the securities and the place or places of payment of principal and interest thereof, which may be at any bank or trust company within or without a qualified municipality. If any officer whose signature or a facsimile thereof appears on any securities shall cease to be the officer before the delivery of the securities, the signature or facsimile shall nevertheless be valid and sufficient for all purposes as if he or she had remained in office until delivery. The securities may be issued in coupon or in registered form or both, as the corporation may determine, and provisions may be made for the registration of any coupon securities as to principal alone, interest alone and as to both principal and interest and for the reconversion of any securities registered as to both principal and interest into coupon securities. The corporation may also provide for temporary securities and for the replacement of any security that shall become mutilated or shall be destroyed or lost.
c. The corporation may sell the securities in any manner, either at public or private sale and on either a competitive or negotiated basis. The proceeds of the securities shall be disbursed for the purposes for which the securities were issued as the act, the sale agreement and the corporation resolution authorizing the issuance of the securities or the related trust agreement or indenture may provide.
d. Any pledge made by the corporation shall be valid and binding at the time the pledge is made. The revenues, reserves or earnings so pledged, or earnings on the investment thereof, shall immediately be subject to the lien of the pledge without any physical delivery thereof or further act, and the lien of the pledge shall be valid and binding as against all parties having claims of any kind in tort, contract or otherwise against the corporation, irrespective of whether the parties have notice thereof. Notwithstanding any other provision of law to the contrary, neither the corporation resolution nor any trust agreement or indenture or other instrument by which a pledge is created, or by which the corporation's interest in the encumbered tax liens, reserves or earnings thereon or in properties acquired by the corporation as a result of the foreclosure or other liquidation of tax liens is assigned, need be filed or recorded in any public records in order to protect the pledge thereof, or perfect the lien thereof, as against third parties, except that a copy thereof shall be filed in the records of the corporation.
e. Notwithstanding the provisions of any other law to the contrary, any securities issued pursuant to this act shall be fully negotiable within the meaning and for all purposes of Title 12A of the New Jersey Statutes, and each owner of such a security or other obligation, by accepting the security shall be conclusively deemed to have agreed that the security is and shall be fully negotiable within the meaning and for all purposes of Title 12A.
f. In the discretion of the corporation, any securities and any ancillary facilities may be secured by a trust agreement or indenture by and between the corporation and the trustee thereunder, which may be any trust company or bank having the powers of a trust company, whether located within or without the State. A trust agreement or indenture or corporation resolution providing for the issuance of securities may provide for the creation and maintenance of such reserves as the corporation shall determine to be proper and may include covenants setting forth the duties of the corporation in relation to the securities, the ancillary facilities, the income to the corporation, the sale agreement, the encumbered tax liens and residual interests. The trust agreement, indenture or corporation resolution may contain provisions respecting the servicing of the tax liens, the custody, safeguarding and application of all moneys and securities, and may contain such provisions for protecting and enforcing the rights and remedies (pursuant thereto and to the sale agreement) of the owners of the securities and benefitted parties as may be reasonable and proper and not in violation of law. It shall be lawful for any bank or trust company incorporated under the laws of the State which may act as depository of the proceeds of securities or of any other funds or obligations received on behalf of the corporation to furnish such indemnifying bonds or to pledge such obligations as may be required by the corporation. Any trust agreement or indenture or corporation resolution may contain such other provisions as the corporation may deem reasonable and proper for priorities and subordination among the owners of the securities and benefitted parties.
g. The corporation may enter into, amend or terminate, as it determines to be necessary or appropriate, any ancillary facilities to facilitate the issuance, sale, resale, purchase, repurchase or payment of securities. The determination of the corporation that an ancillary facility or the amendment or termination thereof is necessary or appropriate as aforesaid shall be conclusive. The ancillary facility shall be made upon the terms and conditions established by the corporation, including, without limitation, provisions as to security, default, termination, payment, remedy and consent to service of process.
h. The corporation may enter into, amend or terminate any ancillary facility as it determines to be necessary or appropriate to place the obligations or investments of the corporation, as represented by the securities or the investment of their proceeds, in whole or in part, on the interest rate, cash flow or other basis desired by the corporation. These contracts or arrangements may be entered into by the corporation in connection with, or incidental to, entering into, or maintaining any (1) agreement which secures securities of the corporation or (2) investment, or contract providing for investments, of reserves or similar facility guaranteeing an investment rate for a period of years. The determination by the corporation that an ancillary facility or the amendment or termination thereof is necessary or appropriate as aforesaid shall be conclusive. Any ancillary facility may contain such payment, security, default, remedy, termination provisions and payments, and other terms and conditions as determined by the corporation, after giving due consideration to the creditworthiness of the counterparty or other obligated party, including, without limitation, any rating by any nationally recognized rating agency, and any other criteria as may be appropriate.
i. Securities and ancillary facilities may contain a recital that they are issued pursuant to this act, which recital shall be conclusive evidence of their validity, the validity of any ancillary facility and the regularity of the proceedings relating thereto.
j. Neither the members of the corporation nor any other person executing the securities or an ancillary facility shall be subject to any personal liability or accountability by reason of the issuance or execution and delivery thereof.
L.2003,c.120,s.7.
52:27BBB-73 Securities, ancillary facility not debt, liability of State.
8. The securities and any ancillary facility shall not be a debt or liability of the State, a qualified municipality or any agency or instrumentality of either thereof (other than the corporation as set forth in this act), either legal, moral or otherwise, and nothing contained in this act shall be construed to authorize the corporation to incur any indebtedness on behalf of or in any way to obligate the State or a qualified municipality (excluding a qualified municipality's obligation, if any, to repurchase or substitute for a tax lien pursuant to the terms set forth in the sale agreement), and the securities and any ancillary facility shall contain on the face thereof, or other prominent place thereon, in bold typeface, a statement to the foregoing effect.
L.2003,c.120,s.8.
52:27BBB-74 Tax exemptions.
9. a. It is hereby determined that the creation of the corporation and the carrying out of its authorized purposes is in all respects a public and governmental purpose for the benefit of the people of a qualified municipality and for the improvement of financial security of a qualified municipality, and that said purposes are public purposes and that the corporation will be performing an essential governmental function in the exercise of the powers conferred upon it by this act.
b. The property of the corporation and its income and operations shall be exempt from all State taxation.
c. The securities and the interest thereon and the income derived from all funds, revenues, incomes and other moneys received for or to be received by the corporation and the properties and income thereon acquired and held by the corporation or its designee as a result of the foreclosure or other liquidation of tax liens shall be exempt from all taxes levied pursuant to the provisions of Title 54 of the Revised Statutes or Title 54A of the New Jersey Statutes, except for transfer inheritance and estate taxes levied pursuant to Subtitle 5 of Title 54 of the Revised Statutes.
d. In the case of any securities, the interest on which is exempt from federal and State (personal and corporate) income tax, the corporation may prescribe restrictions on the use of the proceeds thereof and related matters as may be necessary to assure such exemption, if any, and the recipients of such proceeds shall then be bound thereby to the extent such restrictions shall be made applicable to them. Any such recipient, including without limitation, a qualified municipality, is authorized to execute a tax regulatory agreement with the corporation and the execution of such an agreement may be treated as a condition to receiving any such proceeds.
L.2003,c.120,s.9.
52:27BBB-75 State pledges, agreements with parties.
10. a. The State hereby pledges and agrees with the corporation, the owners of the securities and benefitted parties, that until all securities and ancillary facilities, together with the interest thereon and all costs and expenses in connection with any action or proceedings by or on behalf of owners of securities or benefitted parties, are fully paid and discharged the State will (1) not limit or alter the rights of the corporation to fulfill the terms of its agreements with the owners or benefitted parties and (2) not in any way impair the rights and remedies of the owners or benefitted parties or the security for the securities or ancillary facilities. The State is authorized and directed to include this pledge and agreement in sale agreements and the corporation is authorized and directed to include this pledge and agreement in any contract with the owners of the securities and benefitted parties.
b. Prior to the date that is one year and one day after the corporation no longer has any securities or ancillary facilities outstanding, the corporation shall have no authority to file a voluntary petition under chapter 9 of the federal bankruptcy code or the corresponding chapter or sections as may, from time to time, be in effect, and neither any public officer nor any organization, entity or other person shall authorize the corporation to be or become a debtor under chapter 9, or any successor or corresponding chapter or sections, during this period. The State hereby covenants with the owners of the securities and benefitted parties that the State will not limit or alter the denial of the corporation under this subsection during the period referred to in the preceding sentence. The corporation is authorized and directed to include this covenant as an agreement of the state in any contract with the owners of the securities and benefitted parties.
L.2003,c.120,s.10.
52:27BBB-76 Immunity.
11. Neither any member of the corporation nor any officer, employee or agent of the corporation, while acting within the scope of his or her authority, shall be subject to any personal liability resulting from exercising or carrying out of any of the corporation's purposes or powers.
L.2003,c.120,s.11.
52:27BBB-77 Rules, regulations.
12. The corporation may adopt any rule and regulation to effectuate the purposes of this act and, if it does so, shall apply the procedures of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), with respect thereto.
L.2003,c.120,s.12.
52:27BBB-78 Liberal construction.
13. This act and all powers granted hereby shall be liberally construed to effectuate its intent and their purposes, without implied limitations thereon. This act shall constitute full and complete authority for all things herein contemplated to be done. All rights and powers herein granted shall be cumulative with those derived from other sources and shall not, except as expressly stated herein, be construed in limitation thereof. Insofar as the provisions of this act are inconsistent with the provisions of any other act, general or special, the provisions of this act shall be controlling. If any clause, sentence, paragraph, section or part of this act be adjudged by any court of competent jurisdiction to be invalid, the judgment shall not affect, impair or invalidate the remainder hereof, but shall be applied in its operation to the clause, sentence, paragraph, section or part hereof directly involved in the controversy in which the judgment shall have been rendered.
L.2003,c.120,s.13.
52:27BBB-79 Title 54 unaffected; precedence of act.
14. Title 54 of the Revised Statutes shall remain in full force and effect. In the event of any conflict between this act and Title 54 of the Revised Statutes, this act shall be given precedence over such other law.
L.2003,c.120,s.14.
52:27BBBB-1 Short title.
1. This act shall be known and may be cited as the "Municipal Stabilization and Recovery Act."
L.2016, c.4, s.1.
52:27BBBB-2 Findings, declarations relative to municipal stabilization and recovery.
2. The Legislature finds and declares that:
a. The short and long-term fiscal stability of local government units is essential to the interests of the citizens of this State to assure the efficient and effective provision of necessary governmental services vital to public health, safety, and welfare, including the fiscal health of our State's municipalities.
b. In certain extreme cases, local governments that experience severe fiscal distress become incapable of addressing the circumstances that led to that extraordinary distress or of developing a comprehensive plan for financial rehabilitation and recovery.
c. It is necessary and appropriate for the State to take action to assist local governments experiencing severe budget imbalances and other conditions of severe fiscal distress or emergency by requiring prudent fiscal management and operational efficiencies in the provision of public services.
d. As the State entity primarily responsible for the financial integrity and stability of all local government units, the Local Finance Board should be authorized, under certain limited circumstances, to develop a comprehensive rehabilitation plan for local governments that are experiencing severe fiscal distress, and to act on behalf of local government units to remedy the distress.
L.2016, c.4, s.2.
52:27BBBB-3 Definitions relative to municipal stabilization and recovery.
3. As used in P.L.2016, c.4 (C.52:27BBBB-1 et al.):
"Commissioner" means the Commissioner of Community Affairs.
"Director" means the Director of the Division of Local Government Services in the Department of Community Affairs.
"Director's designee" means one or more individuals designated by the director, as the director deems appropriate, to act in the director's stead or exercise one or more of the authorities granted to the director by the Local Finance Board pursuant to the terms of P.L.2016, c.4 (C.52:27BBBB-1 et al.).
"Fiscal distress" means a fiscal condition based on a municipality's tax rate, cash deficit, insufficient percentage of tax collections, insufficient collection of other revenues, over-anticipation of the revenues of prior years, non-liquidation of interfund transfers, reliance on emergency authorizations, continual rollover of tax anticipation notes, inefficiencies in the provision of municipal services such that associated costs substantially exceed costs for similar services in other municipalities, or other factors indicating a constrained ability to meet the municipality's budgetary requirements.
"Governing body" means the municipal council, committee, board, or other entity having control of the finances of a municipality, and shall include the mayor.
"Local Finance Board" means the Local Finance Board in the Division of Local Government Services in the Department of Community Affairs.
"Municipality in need of stabilization and recovery" means a municipality that: (1) has experienced a decrease of more than 50 percent in its total assessed non-equalized property values during the five-year period terminating at the end of the tax year immediately preceding the enactment of P.L.2016, c.4 (C.52:27BBBB-1 et al.), as determined by the director; and (2) has experienced an increase in outstanding debt exceeding 50 percent during the immediately preceding five-year period, as determined by the director, and upon the recommendation of the director finding that the municipality is experiencing fiscal distress, the commissioner determines the municipality should appropriately be subject to the provisions of P.L.2016, c.4 (C.52:27BBBB-1 et al.).
L.2016, c.4, s.3.
52:27BBBB-4 Determination of whether municipality is in need of stabilization and recovery.
4. a. The director may ascertain whether a municipality should be deemed a municipality in need of stabilization and recovery. If the director ascertains that a municipality should be deemed a municipality in need of stabilization and recovery, the director shall recommend that the commissioner make that determination. Within seven days of receipt of the director's recommendation, the commissioner shall make the final determination of whether to deem the municipality a municipality in need of stabilization and recovery and subject to the provisions of P.L.2016, c.4 (C.52:27BBBB-1 et al.). The commissioner shall notify the Governor, the State Treasurer, and the director when a determination has been made and a municipality is subject to the provisions of P.L.2016, c.4 (C.52:27BBBB-1 et al.). The director shall then notify the municipal clerk, or other appropriate municipal official of the municipality, in writing, of the determination. A municipality in need of stabilization and recovery shall be subject to the provisions of P.L.2016, c.4 (C.52:27BBBB-1 et al.) until the end of the recovery plan adopted pursuant to subsection b. of this section and approved by the commissioner pursuant to subsection c. of this section, or until the first day of the 181st month next following the date on which the municipality becomes subject to the requirements and provisions of sections 5 through 11, 14, 16, and 17 of P.L.2016, c.4 (C.52:27BBBB-5 et al.), as applicable.
b. Not later than 150 days next following the commissioner's final determination that a municipality is in need of stabilization and recovery, the governing body of the municipality in need of stabilization and recovery shall prepare and adopt a resolution containing a fifteen-year recovery plan, commencing on the first day of the first fiscal year of the municipality next following the enactment of P.L.2016, c.4 (C.52:27BBBB-1 et al.), that is sufficient to effectuate the financial stability of the municipality. The recovery plan shall establish processes and identify specific actions undertaken by the municipality following the determination that it is a municipality in need of stabilization and recovery pursuant to subsection a. of this section and actions to be undertaken by the municipality if the recovery plan is approved pursuant to subsection c. of this section. The recovery plan shall include a proposed balanced budget for the first fiscal year of the municipality next following the enactment of P.L.2016, c.4 (C.52:27BBBB-1 et al.), which shall be consistent with the "Local Budget Law," N.J.S.40A:4-1 et seq., except as otherwise stated in this subsection. There shall be no requirement for the proposed balanced budget to identify amounts outstanding, including accrued interest, on any obligation to the State of New Jersey, including any office, department, division, bureau, board, commission, or agency of the State, for deferred pension and health benefit payments for the first fiscal year of the municipality prior to the enactment of P.L.2016, c.4 (C.52:27BBBB-1 et al.). For the purposes of the proposed budget prepared pursuant to this subsection, the municipality in need of stabilization and recovery is not required to appropriate the total amount necessary for the extinguishment of all outstanding property tax appeal debt. For the purposes of the proposed budget prepared pursuant to this subsection, the municipality in need of stabilization and recovery shall identify and account for the loss in revenue from any anticipated set-offs arising from all such property tax appeal debt or identify and appropriate for any amounts owed in the first fiscal year of the municipality next following the enactment of P.L.2016, c.4 (C.52:27BBBB-1 et al.) for the continued repayment of debts related to all property tax appeals settled by the municipality. To effectuate financial stability, in addition to the proposed balanced budget, the recovery plan shall include detailed processes to:
(1) achieve sustainable net reductions in the municipality's general appropriations to be commensurate with revenues anticipated in the proposed budget;
(2) ensure that the municipality remits to the county in which it is located the full amount of all property taxes or payments in lieu of property taxes owed by law to the county on the dates on which the payments are due;
(3) ensure that the municipality remits to the school district serving the municipality the full amount of all property taxes or payments in lieu of property taxes owed by law to the school district on the dates the payments are due;
(4) schedule for the repayment of debts, including any accrued interest, as of the date of the commissioner's determination pursuant to subsection a. of this section, including, without limitation, any money owed to the State of New Jersey, including any office, department, division, bureau, board, commission, or agency of the State, for deferred pension and health benefits payments;
(5) account for future payments on bonded debt and unbonded debt, including, without limitation, any general obligation bonds, refunding bonds, pension refunding bonds, tax appeal bonds, and unbonded tax appeal settlements, obligations, liens, or judgments known to the municipality as of the date of the commissioner's determination pursuant to subsection a. of this section;
(6) account for future payments on any off balance sheet liabilities of the municipality known to the municipality as of the date of the commissioner's determination pursuant to subsection a. of this section;
(7) ensure the repayment of the loan in accordance with section 18 of P.L.2016, c.4 (C.52:27BBBB-16), including accrued interest; and
(8) increase the municipality's revenues, including, without limitation, through the establishment of long-term economic and land use development strategies.
c. The recovery plan shall be submitted by the governing body to the commissioner. The commissioner, within five business days next following the day of receipt of the plan, shall determine, in the commissioner's sole and exclusive discretion, whether the recovery plan is likely or is not likely to achieve financial stability for the municipality. If the commissioner determines that the recovery plan is likely to achieve financial stability for the municipality, the plan shall be effective and the provisions of sections 5 through 11, 14, 16, and 17 of P.L.2016, c.4 (C.52:27BBBB-5 through C.52:27BBBB-9, C.52:27BBBB-12, C.52:27BBBB-14, and C.52:27BBBB-15) shall not be applicable with respect to the municipality in need of stabilization and recovery. If the commissioner determines that the recovery plan is likely to achieve financial stability for the municipality, the plan shall be implemented beginning on the first day of the first fiscal year of the municipality next following the enactment of P.L.2016, c.4 (C.52:27BBBB-1 et al.) and the municipality in need of stabilization and recovery shall strictly comply with the recovery plan. If the commissioner determines that the plan is not likely to achieve financial stability for the municipality, if the municipality fails to submit a plan, if the commissioner determines that the municipality is not strictly complying with a recovery plan approved by the commissioner pursuant to this subsection, or if the commissioner determines that a recovery plan approved by the commissioner pursuant to this subsection is no longer likely to achieve financial stability, the municipality shall be immediately subject to the requirements and provisions of sections 5 through 11, 14, 16, and 17 of P.L.2016, c.4 (C.52:27BBBB-5 et al.) for as long as the municipality is deemed a municipality in need of stabilization and recovery.
L.2016, c.4, s.4; amended 2021, c.124, s.1; 2025, c.324, s.1.
52:27BBBB-5 Power of Local Finance Board under certain circumstances.
5. a. (1) Notwithstanding the provisions of any law, rule, or regulation to the contrary, if the municipality in need of stabilization and recovery fails to submit a plan, if the commissioner has determined pursuant to subsection c. of section 4 of P.L.2016, c.4 (C.52:27BBBB-4) that the recovery plan is not likely to achieve financial stability for the municipality in need of stabilization and recovery, if the commissioner determines that the municipality is not strictly complying with a recovery plan approved by the commissioner pursuant to subsection c. of section 4 of P.L.2016, c.4 (C.52:27BBBB-4), or if the commissioner determines that a recovery plan approved by the commissioner pursuant to subsection c. of section 4 of P.L.2016, c.4 (C.52:27BBBB-4) is no longer likely to achieve financial stability, the Local Finance Board may, in its exclusive discretion at any time during which the municipality is deemed a municipality in need of stabilization and recovery, assume and reallocate to, and vest exclusively in the director any of the functions, powers, privileges, and immunities of the governing body of that municipality set forth in any statute, regulation, ordinance, resolution, charter, or contract to which the municipality is a party that are, or may be, substantially related to the fiscal condition or financial rehabilitation and recovery of that municipality. The duration of the transfer of the functions, powers, privileges, and immunities of the governing body shall not exceed the duration of the time the municipality is deemed a municipality in need of stabilization and recovery.
(2) In the event the Local Finance Board assumes and reallocates to the director any function, power, privilege, or immunity of the governing body of a municipality in need of stabilization and recovery set forth in a contract to which that municipality is a party, the municipality shall remain the party to the contract and neither the Local Finance Board nor the director shall assume any contractual obligations or liability arising out of that contract or be subject to any claim for breach of that contract or any other claim related to that contract. Any actions or steps taken by the director under P.L.2016, c.4 (C.52:27BBBB-1 et al.) shall be deemed to be by, and on behalf of, the municipality in need of stabilization.
(3) The authorities granted to the director by the Local Finance Board pursuant to this section shall extend to any and all actions that, in the exclusive discretion of the director, may help stabilize the finances, restructure the debts, or assist in the financial rehabilitation and recovery of the municipality in need of stabilization and recovery. Notwithstanding the provisions of any other law, rule, regulation, or contract to the contrary, except for the provisions of Title 11A, Civil Service as may be applicable to actions taken after the effective date of P.L.2021, c.124 (C.52:27BBBB-4 et al.), the director shall have the authority to take any steps to stabilize the finances, restructure the debts, or assist in the financial rehabilitation and recovery of the municipality in need of stabilization and recovery, including, but not limited to:
(a) implementing governmental, administrative, and operational efficiency and oversight measures;
(b) dissolving, terminating, transferring, abolishing, or otherwise disposing of any municipal authority, board, commission, or department, or any function thereof, provided, however, that no such action shall be taken until adequate provision has been made for the payment of the creditors or obligees of the entity to be impacted unless otherwise permitted by law. This shall include the power to take any steps required of the governing body under applicable laws, including, but not limited to, the "municipal and county utilities authorities law," P.L.1957, c.183 (C.40:14B-1 et seq.), the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.), the "Water Infrastructure Protection Act," P.L.2015, c.18 (C.58:30-1 et seq.), the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et seq.), and the "Municipal Land Use Law," P.L.1975, c.291 (C.40:55D-1 et seq.), including, but not limited to, and notwithstanding P.L.2011, c.18 (C.5:12-218 et al.), the authority of the director to facilitate the realignment and reorganization of the municipality’s zoning or planning boards and to establish procedures and practices that, in the director’s discretion, enhance, streamline, and improve the municipality’s redevelopment processes, including facilitating the appointment and retention of a master developer to assist in the redevelopment process. To the extent that the Local Finance Board or the director exercise any powers under the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.) with respect to any municipal authority or municipal public utility in the municipality in need of stabilization and recovery;
(c) vetoing the minutes of the governing body of the municipality in need of stabilization and recovery, any board, commission, or department of the municipality in need of stabilization and recovery, and any independent board or authority in the municipality in need of stabilization and recovery, including, but not limited to, the housing authority, parking authority, redevelopment authority, Casino Reinvestment Development Authority, if applicable as related to the master plan in the municipality in need of stabilization and recovery, planning board, and zoning board of adjustment. A true copy of the minutes of every meeting of the governing body and any board, commission, department, or independent board, or authority shall be delivered forthwith, by and under the certification of the secretary thereof, to the director. No action taken at the meeting shall have force or effect until 15 business days after a copy of the minutes have been so delivered to the director, unless during this 15-day period the director shall approve in writing the minutes or any part thereof, in which case the action shall become effective upon approval. If, within that 15-day period, the director returns a copy of the minutes with a veto of any action taken by the governing body, board, commission, department, or independent board or authority, or any member thereof at the meeting, the action shall be null and void and of no effect. The director may approve all or part of the action taken at a meeting;
(d) controlling litigation and the municipality's legal affairs, including, but not limited to, suing in the municipality's corporate name; prosecuting, defending, and resolving litigation, arbitration, disputes, and controversies; and retaining and directing municipal corporation counsel and other special counsel as the director may deem appropriate;
(e) selling, conveying, leasing, monetizing, or otherwise disposing of any interest in any municipally owned assets, including, but not limited to, any water, sewer, wastewater, and storm water infrastructure, equipment or facilities, services, and in any real property, including any improvements thereon; provided that the director shall not sell, convey, lease, monetize, or otherwise dispose of any municipally owned water asset pursuant to an agreement with a private entity until one year after the effective date of P.L.2016, c.4 (C.52:27BBBB-1 et al.) to allow the municipality in need of stabilization and recovery to maximize the value of that asset;
(f) amending or terminating any existing contracts or agreements, which shall not include bonds, notes, indentures, or other similar financing instruments and documents to which the municipality is a party, in accordance with the terms thereof, or unilaterally amending or terminating any contracts or agreements which shall not include bonds, notes, indentures, or other similar financing instruments and documents to which the municipality is a party, provided that the director determines that the unilateral termination or amendment is reasonable and directly related to stabilizing the finances or assisting with the fiscal rehabilitation and recovery of the municipality in need of stabilization and recovery;
(g) unilaterally modifying, amending, or terminating any collective negotiations agreements, except those related to school districts, to which the municipality is a party, or unilaterally modifying, amending, or terminating the terms and conditions of employment during the term of any applicable collective negotiations agreement, or both, provided that the director determines that the modifications, amendments, or terminations are reasonable and directly related to stabilizing the finances or assisting with the fiscal rehabilitation and recovery of the municipality in need of stabilization and recovery;
(h) acting as the sole agent in collective negotiations on behalf of the municipality in need of stabilization and recovery;
(i) with respect to any expired collective negotiations agreement to which the municipality in need of stabilization and recovery is a party, unilaterally modifying wages, hours, or any other terms and conditions of employment;
(j) unilaterally abolishing any non-elected positions in the municipality in need of stabilization and recovery at any time. All of the functions, powers, and duties of abolished positions shall be exercised or delegated by the director;
(k) unilaterally appointing, transferring, or removing employees of the municipality in need of stabilization and recovery, including, but not limited to, department heads and division heads, as the case may be, but excluding appointed officials who have obtained tenure in office;
(l) acting as the appropriate authority, including, without limitation, the appointing authority, for purposes of Title 40A of the New Jersey Statutes;
(m) entering into any agreement with the county in which the municipality in need of stabilization and recovery is located, any of the other municipalities located in that county, or any instrumentality of the State to share or consolidate municipal services pursuant to any law applicable to consolidation or sharing of services, including, without limitation, the "Uniform Shared Services and Consolidation Act," P.L.2007, c.63 (C.40A:65-1 et al.) and P.L.2015, c.279 (C.40A:14-90.1 et al.);
(n) procuring any goods, services, commodities, information technology, software, hardware, or other items on behalf of the municipality in need of stabilization and recovery, in accordance with either the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.), or procurement laws applicable to the State, at the discretion of the director;
(o) retaining any professionals on behalf of the municipality in need of stabilization and recovery, including, but not limited to, a master redeveloper or redevelopment consultant, and directing the work of professionals or any professionals previously retained by the municipality in need of stabilization and recovery, in accordance with either the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.) or procurement laws applicable to the State, at the discretion of the director;
(p) retaining bond counsel, adopting bond ordinances to the extent necessary, making appropriate bond applications, and taking any other steps necessary to restructure and adjust debt, on behalf of the municipality in need of stabilization and recovery;
(q) exercising on behalf of the municipality in need of stabilization and recovery, notwithstanding P.L.2011, c.18 (C.5:12-218 et al.), any authority granted to a municipality pursuant to the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et al.) when the director deems it necessary or appropriate to help stabilize the finances, restructure the debts, or assist with the financial rehabilitation and recovery of the municipality in need of stabilization and recovery;
(r) exercising on behalf of the municipality in need of stabilization and recovery any authority granted to a municipality pursuant to the "Redevelopment Area Bond Financing Law," P.L.2001, c.310 (C.40A:12A-64 et seq.) when the director deems it necessary or appropriate to help stabilize the finances, restructure the debts, or assist with the financial rehabilitation and recovery of the municipality in need of stabilization and recovery;
(s) exercising on behalf of the municipality in need of stabilization and recovery any authority granted to a municipality pursuant to the "Long Term Tax Exemption Law," P.L.1991, c.431 (C.40A:20-1 et seq.) and the "Five-Year Exemption and Abatement Law," P.L.1991, c.441 (C. 40A:21-1 et seq.) when the director deems it necessary or appropriate to help stabilize the finances, restructure the debts, or assist the financial rehabilitation and recovery of the municipality in need of stabilization and recovery;
(t) authorizing and filing, on behalf of the municipality in need of stabilization and recovery, subject only to the written approval of the majority of the members of the legislative Joint Budget Oversight Committee, a petition and other pleadings and papers with any United States court or federal bankruptcy court for the purpose of effecting a plan of readjustment or composition of debts, as set forth in R.S.52:27-40 et seq., and taking any other and further actions necessary or appropriate in connection with any case or proceeding; and
(u) negotiating and executing any contracts, agreements, or other documents on behalf of the municipality in need of stabilization and recovery as may be necessary or appropriate to effectuate any of the actions or steps specifically identified in P.L.2016, c.4 (C.52:27BBBB-1 et al.) or that may otherwise, as the director deems necessary or appropriate, help stabilize the finances, restructure the debts, or assist with the financial rehabilitation and recovery of the municipality in need of stabilization and recovery.
(4) Subject to subsection b. of section 11 of P.L.2016, c.4 (C.52:27BBBB-9), the Local Finance Board may authorize the director to take any action authorized to be taken under the "Local Bond Law," N.J.S.40A:2-1 et seq., and the "Municipal Qualified Bond Act," P.L.1976, c.38 (C.40A:3-1 et seq.) by a governing body of a local unit.
(5) The provisions of P.L.1941, c.100 (C.34:13A-1 et seq.), and regulations promulgated thereunder, shall in no way infringe on the authority of the Local Finance Board or the director set forth in this section or any actions taken by the director pursuant to this section.
(6) Any function, power, privilege, or immunity of the municipal governing body that is not assumed by the Local Finance Board and reallocated to and vested exclusively in the director pursuant to this section shall remain allocated to and vested in that governing body unless and until such time as the function, power, privilege, immunity, or duty may be allocated to and vested exclusively in the Local Finance Board or the director pursuant to this section. The Local Finance Board or the director may exercise any power implied or incidental to a power that has been specifically allocated.
b. (1) Notwithstanding the provisions of any law, rule, or regulation to the contrary, including any requirements set forth in R.S.40:49-1 et seq., the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.), or R.S.52:27-41, the director shall have the exclusive authority to pass, adopt, repeal, or amend any ordinance or resolution of the municipality in need of stabilization and recovery, modify any meeting agenda of the governing body of the municipality in need of stabilization and recovery, and negotiate, enter into, amend, or terminate any contract or agreement, on behalf of the municipality in need of stabilization and recovery, provided that the director deems the action necessary or appropriate to help stabilize the finances, restructure the debts, or assist with the financial rehabilitation and recovery of the municipality in need of stabilization and recovery.
(2) When exercising powers under this section, the director shall, to the extent practicable, comply with all notice, hearing, and other requirements to which the municipality in need of stabilization and recovery is generally subject, but in no instance shall the director be deemed a "public body" pursuant to the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.).
(3) The director may issue to the appropriate elected and appointed officials and employees, agents, and contractors of a municipality in need of stabilization and recovery the orders that the director deems appropriate to stabilize the finances, restructure the debts, or assist the financial rehabilitation and recovery of the municipality in need of stabilization and recovery pursuant to the authority granted by the Local Finance Board pursuant to this section. Any order by the director shall be binding on the appropriate elected and appointed officials and employees, agents, and contractors of a municipality in need of stabilization and recovery and may be enforced as other orders of the director are enforced under general law.
L.2016, c.4, s.5; amended 2017, c.232, s.1; 2021, c.124, s.2; 2025, c.324, s.2.
52:27BBBB-6 Preparation of annual budget for municipality in need of stabilization and recovery.
8. In a municipality in need of stabilization and recovery, the director may prepare the annual budget or instruct the municipal governing body to prepare and submit a proposed annual budget. If the municipal governing body is submitting a proposed annual budget, the director shall fix a date for the municipal governing body to submit that budget to the Local Finance Board, and the board may approve the budget, modify it or instruct the director to prepare an alternative budget. If the director prepares the budget, it shall be submitted to the Local Finance Board for its approval. Once a budget is approved by the Local Finance Board, the budget shall be deemed adopted.
a. The director shall have the authority to make temporary appropriations necessary for the period prior to the adoption of the budget, and to make emergency temporary appropriations pursuant to N.J.S.40A:4-20 to meet an urgent situation or event which immediately endangers the health, safety, or property of the residents of the municipality, and to make emergency appropriations pursuant to N.J.S.40A:4-46.
b. The director shall have the authority to spend money and authorize expenditures, in accordance with the approved budget or any temporary or emergency appropriations.
L.2016, c.4, s.8.
52:27BBBB-7 Delegation of power by director.
9. The director may delegate to the director's designee any power granted to the Director pursuant to P.L.2016, c.4 (C.52:27BBBB-1 et al.). The designation to a director's designee shall be in writing and filed with the Local Finance Board. Any action of a director's designee taken subsequent to the delegation shall be deemed to have been taken by the Director. If any claims are asserted against the director's designee, the director's designee shall, for that purpose only, be considered a State officer within the scope of the "New Jersey Tort Claims Act," N.J.S.59:1-1 et seq.
L.2016, c.4, s.9.
52:27BBBB-8 Initiative, referendum approved by voters deemed advisory; exceptions.
10. In a municipality in need of stabilization and recovery, any initiative approved by the voters of the municipality pursuant to section 17-35 of P.L.1950, c.210 (C.40:69A-184) and any referendum approved pursuant to section 17-36 of P.L.1950, c.210 (C.40:69A-185) shall be advisory only and may be followed, or disregarded, by the Local Finance Board and the director in their discretion. The provisions of this section shall not apply to a referendum approved pursuant to section 11 of P.L.2016, c.4 (C.52:27BBBB-9).
L.2016, c.4, s.10.
52:27BBBB-9 Resolutions issued by director deemed sufficient.
11. a. Notwithstanding the provisions of any law or regulation, including, without limitation, the "Local Bond Law," N.J.S.40A:2-1 et seq., and the "Municipal Qualified Bond Act," P.L.1979, c.38 (C.40A:3-1 et seq.), that requires the adoption of an ordinance or resolution to authorize any action of a municipality, a resolution issued by the director shall suffice in lieu of a municipal ordinance or resolution for all purposes, except for bond ordinances, in a municipality in need of stabilization and recovery.
b. In the case of bond ordinances in a municipality in need of stabilization and recovery, the director's resolution in lieu of such ordinances shall be published in full in a newspaper circulating in the municipality and a copy of the resolution shall be filed for public inspection with the municipal clerk of the municipality in need of stabilization and recovery. The publication of the director's resolution shall occur not less than 10 days prior to the time and place of a public hearing to be had on the resolution. The resolution shall become effective on the 45th day after the public hearing, unless:
(1) the resolution is modified by the director subsequent to the meeting, in which case there shall be a second public hearing on no less than 10 days' notice; or
(2) there is filed with the municipal clerk within 45 days of the hearing, a petition requesting a referendum in said municipality signed by either five percent or 10,000 of the registered voters of said municipality, whichever is lesser.
If a petition is filed, the resolution pertaining to the bond measures issued by the director shall be submitted to the registered voters of said municipality at the next general or regular municipal election and in the same manner and form as other public questions to be voted upon by voters of a single municipality.
L.2016, c.4, s.11.
52:27BBBB-10 Severability.
12. If any provision of P.L.2016, c.4 (C.52:27BBBB-1 et al.) or its application is held invalid, the invalidity shall not affect other applications of that provision, or other provisions of P.L.2016, c.4 (C.52:27BBBB-1 et al.), which reasonably can be given effect despite the invalidity, and to this end the provisions of P.L.2016, c.4 (C.52:27BBBB-1 et al.) are severable.
L.2016, c.4, s.12.
52:27BBBB-12 Specific power, authority not construed to limit, restrict certain general authorities.
14. The enumeration of any specific power or authority granted to the Local Finance Board or the director pursuant to P.L.2016, c.4 (C.52:27BBBB-1 et al.) shall not be construed to limit or restrict in any way the general authorities granted by P.L.2016, c.4 (C.52:27BBBB-1 et al.) to the Local Finance Board or the director to take actions necessary or appropriate to help stabilize the finances, restructure the debts, or assist with the financial rehabilitation and recovery of the municipality in need of stabilization and recovery.
L.2016, c.4, s.14.
52:27BBBB-13 Liberal construction.
15. P.L.2016, c.4 (C.52:27BBBB-1 et al.) shall be construed liberally to give effect to its intent that severe fiscal distress in municipalities in need of stabilization and recovery shall be addressed and corrected.
L.2016, c.4, s.15.
52:27BBBB-14 Terms of C.52:27BBBB et al. prevail in event of inconsistency.
16. The authorities granted to the director in P.L.2016, c.4 (C.52:27BBBB-1 et al.) are intended to supplement authority provided in the "Local Government Supervision Act (1947)," P.L.1947, c.151 (C.52:27BB-1 et seq.) and other applicable laws. To the extent any inconsistency exists between the terms of P.L.2016, c.4 (C.52:27BBBB-1 et al.) and other applicable laws, the terms of P.L.2016, c.4 (C.52:27BBBB-1 et al.) shall prevail.
L.2016, c.4, s.16.
52:27BBBB-15 Attendance of certain meetings required, final report.
17. The director or the director's designee shall attend the regularly scheduled meetings of the municipal council in a municipality in need of stabilization and recovery. On or before the first day of the 16th year next following the determination that a municipality is in need of stabilization and recovery pursuant to section 4 of P.L.2016, c.4 (C.52:27BBBB-4), the director shall provide a final report to the Governor and Legislature regarding the municipality in need of stabilization and recovery.
L.2016, c.4, s.17; amended 2021, c.124, s.3; 2025, c.324, s.3.
52:27BBBB-16 Transfer of necessary appropriations.
18. The State Treasurer, in consultation with the commissioner, shall direct the Director of the Division of Budget and Accounting to transfer appropriations from any State department to any other State department as may be necessary to provide a secured loan, for the exclusive purpose of covering expenses of the municipality during the 2016 calendar year, and for a term not to exceed 180 days, to a municipality for which a recovery plan is required under section 4 of P.L.2016, c.4 (C.52:27BBBB-4) to be submitted to the director on such terms and conditions that may be required by the commissioner.
L.2016, c.4, s.18.
52:27BBBB-17 Required amount of relief aid.
19. Notwithstanding any law, rule, or regulation to the contrary, the amount of consolidated municipal property tax relief aid and energy tax receipts property tax relief aid paid to a municipality in need of stabilization and recovery shall not be less than the amount certified for the municipality in the Certification of State Aid for Calendar Year 2016 and Fiscal Year 2017 Budgets issued by the Division of Local Government Services in the Department of Community Affairs.
L.2016, c.4, s.19.
52:27BBBB-18 Short title.
1. Sections 1 through 8 and section 10 of P.L.2016, c.5 (C.52:27BBBB-18 et al.) shall be known and may be referred to as the "Casino Property Tax Stabilization Act."
L.2016, c.5, s.1.
52:27BBBB-19 Findings, declarations relative to stabilization of finances of a municipality in which casino gaming is authorized.
2. The Legislature finds and declares that:
a. In 1976, the voters of the State approved an amendment to the New Jersey Constitution (Article IV, Section VII, paragraph 2, subparagraph D), which authorized casino gaming in Atlantic City.
b. For over 30 years, casinos grew and profited in the City of Atlantic City, until competition from other states in our region, particularly Pennsylvania, siphoned off much of the out-of-State and foreign gamblers who had frequented Atlantic City casinos for many years.
c. The regional competition in casino gaming has had a deleterious effect on Atlantic City in several ways, including: an increase in unemployment due to the recent closing of four casino properties, representing fully one-third of the number of casinos operating in Atlantic City in 2013; a strain on Atlantic City's municipal budget due to property tax refunds required by successful assessment appeals of casino gaming properties; and an increased property tax burden on Atlantic City and Atlantic County residents based on the decreasing value of casino gaming properties.
d. In the "New Jersey Economic Opportunity Act of 2013," P.L.2013, c.161 (C.52:27D-489p et al.), the four New Jersey cities with the lowest median family income based on the 2009 American Community Survey from the United States Census, (Table 708. Household, Family, and Per Capita Income and Individuals, and Families Below Poverty Level by City: 2009) were designated as Garden State Growth Zones and were declared blighted areas and areas in need of rehabilitation; provided, however, that the declaration alone could not be used to allow any property to be taken or acquired.
e. The Legislature has previously recognized the extraordinary situation in Atlantic City, by designating a municipality which contains a tourism district as established pursuant to section 5 of P.L.2011, c.18 (C.5:12-219) and regulated by the Casino Reinvestment Development Authority as a Garden State Growth Zone for purposes of incentive programs administered by the New Jersey Economic Development Authority in P.L.2014, c.63 (C.34:1B-251 et al.).
f. Consistent with the Legislature's acts with respect to the other Garden State Growth Zones, a municipality which contains a tourism district as established pursuant to section 5 of P.L.2011, c.18 (C.5:12-219) and is regulated by the Casino Reinvestment Development Authority is hereby declared a blighted area and area in need of redevelopment; provided, however, that this declaration alone shall not be used to allow any property to be taken or acquired.
g. The accurate assessment of casino gaming properties is especially difficult because they are unique properties and their year-to-year value is greatly influenced by the performance of casino gaming properties in other nearby states and by extreme weather events like Super Storm Sandy.
h. It is appropriate for the Legislature to address the extraordinary situation in Atlantic City by devising a program that avoids costly assessment appeals for both the casino operators and Atlantic City, and that provides a certain mandatory minimum property-tax related payment by casino properties that Atlantic City can rely upon each year.
i. Article VIII, Section I, paragraph 2 of the New Jersey Constitution empowers the Legislature to grant property tax exemptions by general law.
j. It is constitutional to classify Atlantic City, the only municipality wherein casino gaming is authorized, as a special class unto itself for economic purposes related to casino gaming. Courts have routinely concluded that the Legislature has the ability to address the concerns of Atlantic City and the casino industry separately from other local entities and industries due to the unique role casino gambling plays in Atlantic City and the State. The fact that, even though almost 40 years have passed since the approval of casino gambling in New Jersey, Atlantic City remains the only municipality wherein casino gaming is authorized, proves that its unique classification continues to allow the Legislature to treat it as a special case under State law, and permits changes to the casino "experiment" in Atlantic City.
k. Casino gaming properties represent a unique classification of property that can be exempted from normal property taxation by general law, in favor of a certain guaranteed mandatory minimum payment in lieu of property taxes when it is primarily in the public interest to do so.
l. In the interest of the revitalization of Atlantic City and the continuation of the casino industry and its associated economic benefits to the State, it is reasonable that the Legislature, in seeking to revitalize the city, should choose to experiment with a payment in lieu of property tax mechanism to address the issues of persistent property tax appeals and the damage that those appeals, together with declining casino property values, have wrought on the tax bases of both Atlantic City and Atlantic County.
m. It is a primary public purpose to grant casino gaming properties an exemption from normal property taxation for a limited period of time, in exchange for a guaranteed mandatory minimum payment in lieu of property taxes, because Atlantic City will be able to depend on a certain level of revenue from casino gaming properties each year, making the local property tax rate and need for State aid less volatile; casino revenue supports many social programs, such as property tax relief for seniors, medical assistance, housing for disabled residents, transportation assistance, and other social services programs for elderly and disabled New Jerseyans; casinos provide a unique recreational experience to the residents of New Jersey within the State; and because, with a long-term predictable payment in lieu of property tax liability, casino gaming properties will know how much of their income will be required to pay their obligation to Atlantic City, Atlantic County, and the Atlantic City School District. This ability to depend on a stable payment in lieu of property tax obligation will in turn help to stabilize the casino business models and the workforce required to run those business models, and the casino gaming properties will be better able to compete with out-of-State casino gaming properties in the region to preserve, and perhaps grow, the many benefits that casino gaming has brought to the State, and more particularly, to the Atlantic City region.
n. It is also a primary public purpose to stabilize the casino industry for the benefit of the casino employee workforce, many of whom have worked in the casinos since the first casino opened over 30 years ago. It is anticipated that the financial stability granted to the casino gaming properties by a guaranteed mandatory minimum payment in lieu of property taxes for a 10-year period will greatly enhance the ability of the casino gaming properties to adapt their business models to the changes in the regional casino gaming market, which will in turn allow them to remain open for business and to pay their employees good wages and benefits, including health care and pension benefits, for many years to come.
o. This plan to provide a guaranteed minimum in lieu of property tax payment for 10 years, and ending casino property tax appeal litigation would provide some economic stabilization to Atlantic City and allow it time to plan for its future, which it cannot do if it descends further into an economic free-fall.
p. The public purpose of a property tax exemption and payment in lieu of property tax program for casino gaming properties seems evident without examining the specific local, regional, and Statewide economic benefits of the continued success of the casino industry and the general economic viability of Atlantic City. Arguably, the local, regional, and State economies could be bolstered by such a property tax exemption and, thus, be seen by a court as a primary public purpose furthered by the legislation. The exemption of casino property from property taxation is a proper exercise of the Legislature's power to grant property tax exemptions by general law, since Atlantic City casinos are a unique classification which does not exclude any similar properties in the State. Such an exemption primarily furthers several public purposes, while providing an incidental benefit to casino properties.
q. The Legislature intends to request in the budget process that $10,000,000 is appropriated for economic development projects in Atlantic City and that $8,000,000 is appropriated for funding for the promotion, marketing, and advertising of the City of Atlantic City. Any amount so appropriated to Atlantic City shall not impact, reduce, or otherwise affect the amount appropriated for Transitional Aid to Localities.
L.2016, c.5, s.2.
52:27BBBB-19.1 Findings, declarations relative to casino gaming properties.
1. The Legislature finds and declares:
a. The "Casino Property Tax Stabilization Act," P.L.2016, c.5 (C.52:27BBBB-18 et seq.), was enacted on May 27, 2016, to address a dire financial circumstance that affected casino gaming properties in Atlantic City, and the finances of the city itself. Competition from other states in New Jersey's region had siphoned off many of the out-of-State and foreign gamblers who had frequented the casino gaming properties in Atlantic City for many years. The regional competition in casino gaming had a deleterious effect on Atlantic City in several ways, including an increase in unemployment due to the closing of four casino properties out of the 12 that had been operating in the city; a strain on Atlantic City's municipal budget due to property tax refunds required by successful assessment appeals of casino gaming properties in the years immediately prior to the enactment of that law; and an increased property tax burden on Atlantic City and Atlantic County residents based on the decreasing value of the remaining casino gaming properties.
b. The Legislature responded to this dire financial circumstance by devising a 10-year payment in lieu of property tax (PILOT) program that avoided costly property tax assessment appeals for the operators of casino gaming properties and Atlantic City, and that provided an annual mandatory minimum property tax-related payment to Atlantic City by the casino gaming properties, payments that Atlantic City is able to rely upon each year to support its municipal budget. This annual PILOT payment was first implemented in calendar year 2017, and is to end at the end of calendar year 2026. The operation of the "Casino Property Tax Stabilization Act," P.L.2016, c.5 (C.52:27BBBB-18 et seq.) has stabilized the finances of each individual casino gaming property as well as the finances of Atlantic City.
c. The Legislature notes, with interest and approval, the stabilizing effect that the "Casino Property Tax Stabilization Act," P.L.2016, c.5 (C.52:27BBBB-18 et seq.) has had on the finances of the Atlantic City and the casino gaming industry during the first five years of the law. The Legislature also notes that two additional casino gaming properties have opened in Atlantic City since the enactment of the "Casino Property Tax Stabilization Act," P.L.2016, c.5 (C.52:27BBBB-18 et seq.), and that Atlantic City's overall financial condition is more stable since the casino gaming properties began making PILOT payments. This financial stability benefits the casinos, their employees, property taxpayers in Atlantic City, and all New Jersey residents.
d. The Legislature finds that this financial stability achieved between the casino gaming properties and Atlantic City may be adversely impacted by certain provisions in the current version of the "Casino Property Tax Stabilization Act," P.L.2016, c.5 (C.52:27BBBB-18 et seq.). As part of the agreement that led to the enactment of that law, it was determined that each casino gaming property would not pay more in the annual PILOT payments than it paid in property taxes in 2015. This provision was made in order to incentivize the casino gaming properties to enter into the PILOT agreement, which was critical to achieving financial stability for both the casino gaming properties and ensuring Atlantic City's ability to anticipate the amount of PILOT funds they would receive from the casino gaming properties. Separately, the investment alternative tax (IAT) levied on the casinos, which had historically funded the Casino Reinvestment Development Authority, was to be paid instead to Atlantic City for the purposes of paying down the city's debt. The "Casino Property Tax Stabilization Act," P.L.2016, c.5 (C.52:27BBBB-18 et seq.), provided that if, in any year, a casino gaming property's PILOT payment exceeded its 2015 property tax bill, it would receive a "credit" against its IAT obligation. This crediting mechanism only extends through calendar year 2021, so beginning in calendar year 2022, current law will require each casino operator in Atlantic City to pay their full PILOT and IAT obligations.
e. The Legislature is concerned that, due to the State's public health emergency declared in response to the COVID-19 pandemic, which negatively impacted tourism in Atlantic City by restricting the public's right to travel; closing casino gaming properties for months on end and then allowing them to open only partially for another extended period of time; and closing other businesses that would have been visited by tourists to the city for months as well; requiring each casino gaming property to make an annual PILOT payment, as calculated under the current version of the "Casino Property Tax Stabilization Act," P.L.2016, c.5 (C.52:27BBBB-18 et seq.), and also satisfy its full IAT obligations for calendar years 2022 through 2026 may create financial difficulties for those gaming properties.
Similarly, the Legislature is also concerned with the impact on the casino gaming properties in Atlantic City of the total amount of the PILOT payments, as calculated under the current version of the "Casino Property Tax Stabilization Act," P.L.2016, c.5 (C.52:27BBBB-18 et seq.), owed by those casino gaming properties, as well as the current manner of determining each individual casino gaming property's PILOT payment responsibility, due to all of the issues experienced in Atlantic City resulting from the public health emergency. The Legislature is concerned that the impact of all of the public health emergency limitations on Atlantic City's casino gaming properties will affect the finances of those casinos for the foreseeable future, and thereby impact their ability to pay the required PILOT payments to the city and impact their ability to contribute to the quality of life of the State's senior and disabled residents who rely on casino revenue deposited into the Casino Revenue Fund to fund programs that reduce property taxes as well as utility assistance programs benefiting those residents.
f. Therefore, the Legislature declares that it is a compelling public purpose for the State to establish appropriate alternative obligations for the final five years of the "Casino Property Tax Stabilization Act," P.L.2016, c.5 (C.52:27BBBB-18 et seq.), in order to: (1) adjust policies to reflect the operations of existing casino gaming properties and to compensate for the impacts that the public health emergency, declared in response to the COVID-19 pandemic, has had and will continue to have on in-person and internet gaming, (2) lessen the financial impact of the end of the IAT crediting mechanism at the end of 2021 on the casino gaming properties, and (3) ensure that Atlantic City continues to receive sufficient PILOT payments and IAT payments to fund its municipal budget. The Legislature further declares that such an alternative is in the best interest of the casino gaming industry which serves as a vital part of the economy of the State, in the best interests of Atlantic City, and in the best interests of the State's senior and disabled residents who rely on casino revenue deposited into the Casino Revenue Fund to fund programs that reduce property taxes as well as rentals, telephone, gas, electric, and utility charges for those populations. The Legislature further declares that it is in the best interests of the casino gaming industry to revise the calculation of the PILOT payment each casino is required to pay under the "Casino Property Tax Stabilization Act," P.L.2016, c.5 (C.52:27BBBB-18 et seq.) in order to lessen the impact of these payments on the casino's finances during and after the public health emergency declared in response to the COVID-19 pandemic.
g. As the Legislature is empowered by the provisions of Article VIII, Section I, paragraph 2 of the New Jersey Constitution to grant property tax exemptions by general law, and the Legislature exercised this authority in 2016 through enacting the "Casino Property Tax Stabilization Act," P.L.2016, c.5 (C.52:27BBBB-18 et seq.) to create the 10-year PILOT program that began in 2017, the Legislature also has the authority, by law, to revise that PILOT program to thereby address the impact of the expiration of the IAT credit mechanism and its effects on the casino gaming industry in the State, as well as the amount, and calculation, of the PILOT payments required to be paid to Atlantic City by the casino gaming properties in Atlantic City.
h. The Legislature has also determined to address in this act other matters related to the continued successful operation of New Jersey's casino gaming properties by ensuring: (1) that the casino gaming properties dedicate sufficient sources of revenue to provide for necessary capital improvements, and (2) that the City of Atlantic City also has adequate funds available to it for capital improvements and other needed quality of life expenditures.
L. 2021, c.315, s.1.
52:27BBBB-20 Definitions relative to stabilization of finances of a municipality in which casino gaming is authorized.
3. a. As used in P.L.2016, c.5 (C.52:27BBBB-18 et al.):
"Atlantic City" means the City of Atlantic City, in Atlantic County;
"Base amount" means, for calendar years 2018 through 2021, the amount of the payment in lieu of taxes as determined by subparagraph (d) of paragraph (3) of subsection c. of this section; and for calendar years 2022 through 2026, the amount of the payment in lieu of taxes as determined by subparagraphs (e) through (h) of paragraph (3) of subsection c. of this section;
"Casino gaming property" means one or more parcels of real property located in Atlantic City, and any adjacent property utilized in connection with such property, upon which there is located a facility licensed to be used for casino gaming in 2014 or thereafter, whether or not in actual operation, which has more than 500 guest hotel rooms, and is not subject to recorded covenants prohibiting casino gaming;
"Clean and Safe Fund" means the Clean and Safe Fund established pursuant to section 7 of P.L.2021, c.315 (C.52:27BBBB-27);
"Division" means the Division of Gaming Enforcement in the Department of Law and Public Safety;
"Gross gaming revenue" (GGR) means the total amount of revenue raised through casino gaming, including revenue from sports pool operations, from all of the casino gaming properties located in Atlantic City as determined by the division for calendar years 2014 through 2020. For the purpose of determining the amount of the payment in lieu of taxes pursuant to this section, gross gaming revenue shall not include revenue derived from Internet casino gaming and Internet sports wagering during calendar years 2021 through 2026 as determined by the division;
"Infrastructure Fund" means the Infrastructure Fund established pursuant to section 8 of P.L.2021, c.315 (C.52:27BBBB-28);
"Local Finance Board" means the Local Finance Board in the Division of Local Government Services in the Department of Community Affairs; and
"Treasury" means the Department of the Treasury.
b. Beginning with calendar year 2017, and for the next succeeding nine calendar years, casino gaming properties located in Atlantic City shall be exempt from local property taxation on real property and improvements, including accessory hotels, conference centers, parking garages, and other appurtenant facilities, except that any new improvement developed on a casino gaming property that is made outside of the perimeter footprint of any improvement existing as of the effective date of this act and any real property, not formerly qualified as casino gaming property, acquired after such date by an owner of casino gaming property shall not be exempt from local property taxation in any calendar year and shall be subject to local property taxation annually at Atlantic City's general property tax rate. The provisions of this section shall not apply to any casino property that operates under a small scale casino facility license or a staged casino facility license pursuant to section 1 of P.L.2010, c.115 (C.5:12-80.1).
c. (1) In exchange for the property tax exemption granted in subsection b. of this section, each owner of each casino gaming property shall sign a 10-year financial agreement with Atlantic City for each casino gaming property based upon the provisions of P.L.2016, c.5 (C.52:27BBBB-18 et al.) for calendar years 2017 through 2021, which financial agreement shall be amended and continued to reflect and incorporate the amendatory and supplemental provisions of P.L.2021, c.315 (C.52:27BBBB-19.1 et al.) for calendar years 2022 through 2026, promising to make quarterly payments to the city of its allocated portion of the annual amount of the payment in lieu of taxes as determined by this section. The continuation of the agreement for calendar years 2022 through 2026 is also provided in exchange for the prescribed uses of excess amounts of a casino gaming property's investment alternative tax, as described in subsection b. of section 9 of P.L.2016, c.5 (C.52:27BBBB-25). The owner of each casino gaming property shall be responsible for the payments allocated to that property and shall be subject to the lien provisions of R.S.54:5-6 and the interest for delinquency provisions of R.S.54:4-67 if those payments are not made.
(2) Any new owner of a casino gaming property following the effective date of P.L.2016, c.5 (C.52:27BBBB-18 et al.) shall immediately become responsible for signing the financial agreement with Atlantic City promising to make payments consistent with this section.
(3) (a) The total amount of the payment in lieu of property taxes owed to Atlantic City for calendar year 2017 shall be $120 million. To the extent that any owner of a casino gaming property has paid property taxes for calendar year 2017 prior to the date P.L.2016, c.5 (C.52:27BBBB-18 et al.) becomes operative, the amount of property taxes so paid shall be credited toward that owner's allocated share of the $120 million total payment in lieu of property taxes.
(b) For calendar years 2018, 2019, 2020, and 2021, the amount of the payment in lieu of property taxes owed to Atlantic City shall increase by two percent per year in every year in which there is no upward adjustment to the base amount of the payment in lieu of taxes from the previous calendar year as determined by subparagraph (d) of this paragraph.
(c) For calendar years 2018, 2019, 2020, and 2021, the total amount of the payment in lieu of property taxes owed to Atlantic City shall be the base amount as determined by subparagraph (d) of this paragraph and the total amount of the annual increases to date as determined by subparagraph (b) of this paragraph.
(d) For calendar years 2018, 2019, 2020, and 2021, the base amount of the payment in lieu of taxes shall be determined as follows:
If the amount of the GGR in the preceding calendar year is between $3.4 billion and $3.8 billion, the base amount shall be $165 million, or in the case of an upward adjustment, $15 million more than the PILOT in the previous year, whichever is greater;
If the amount of the GGR in the preceding calendar year is between $3.0 billion and $3.4 billion, the base amount shall be $150 million, or in the case of an upward adjustment, $20 million more than the PILOT in the previous year, whichever is greater;
If the amount of the GGR in the preceding calendar year is between $2.6 billion and $3.0 billion, the base amount shall be $130 million, or in the case of an upward adjustment, $10 million more than the PILOT in the previous year, whichever is greater;
If the amount of the GGR in the preceding calendar year is between $2.2 billion and $2.6 billion, the base amount shall be $120 million, or in the case of an upward adjustment, $10 million more than the PILOT in the previous year, whichever is greater;
If the amount of the GGR in the preceding calendar year is between $1.8 billion and $2.2 billion and the aggregate gross revenues from all of the casino gaming properties located in Atlantic City from all revenue streams, excluding GGR, have not increased compared to the prior calendar year by more than the amount by which GGR is less than $2.2 billion, as determined by the division, the base amount shall be $110 million, or in the case of an upward adjustment, $20 million more than the PILOT in the previous year, whichever is greater;
If the amount of the GGR in the preceding calendar year is $1.8 billion or less and the aggregate gross revenue from all of the casino gaming properties located in Atlantic City from all revenue streams, excluding GGR have not increased compared to the prior calendar year by more than the amount by which GGR is less than $1.8 billion as determined by the division, the base amount shall be $90 million.
(e) The total amount of the payment in lieu of property taxes owed to Atlantic City for calendar year 2022 shall be $110 million.
(f) For calendar years 2023, 2024, 2025, and 2026, in any calendar year in which there is not an upward or a downward adjustment to the base amount of the payment in lieu of property taxes owed to Atlantic City pursuant to subparagraph (h) of this paragraph, the total amount of the payment in lieu of property taxes owed to Atlantic City for the calendar year shall increase by two percent from the preceding year.
(g) For calendar years 2023, 2024, 2025, and 2026, the total amount of the payment in lieu of property taxes owed to Atlantic City shall be the base amount as determined by subparagraph (h) of this paragraph and the total amount of the annual increases to date as determined by subparagraph (f) of this paragraph.
(h) For calendar years 2023, 2024, 2025, and 2026, the base amount of the payment in lieu of taxes (PILOT) shall be determined as follows:
If the amount of the GGR in the preceding calendar year is less than $2.3 billion, the base amount shall be $100 million, or in the case of a downward adjustment, $10 million less than the PILOT in the previous year, whichever amount is greater;
If the amount of the GGR in the preceding calendar year is between $2.3 billion and $2.9 billion, the base amount shall be $110 million, or in the case of an upward adjustment, $10 million more than the PILOT in the previous year and in the case of a downward adjustment, $10 million less than the PILOT in the previous year, whichever amount is greater; and
If the amount of the GGR in the preceding calendar year is greater than $2.9 billion, the base amount shall be $120 million, or in the case of an upward adjustment, $10 million more than the PILOT in the previous year, whichever amount is greater.
(4) The amount of the payment in lieu of property taxes owed pursuant to this subsection shall be calculated annually each calendar year for each casino gaming property using a formula implemented by the Local Finance Board, in consultation with the division, using the following criteria:
The geographic footprint of the real property, expressed in acres, owned by each casino gaming property;
The number of hotel guest rooms in each casino gaming property; and
The gross gaming revenue of the casino in each casino gaming property from the prior calendar year.
Each of these three criteria shall bear equal weight in the formula implemented by the Local Finance Board, in consultation with the division, pursuant to this paragraph.
(5) If the formula set forth in paragraph (4) of this subsection results in any individual casino gaming property being allocated an amount that is in excess of the total real property taxes due and payable by the casino gaming property in calendar year 2015, then, in calendar years 2017, 2018, 2019, 2020, and 2021, that casino gaming property shall receive a credit against the obligation of the operator of that property under paragraph (2) of subsection a. of section 3 of P.L.1984, c.218 (C.5:12-144.1) in the amount of such excess. If, after that credit against the obligation of the operator of that property under paragraph (2) of subsection a. of section 3 of P.L.1984, c.218 (C.5:12-144.1), that casino gaming property would still be liable for a payment in lieu of property taxes in excess of the total real property taxes due and payable by the casino gaming property in calendar year 2015, the casino gaming property shall not be required to make any additional payment in lieu of property tax payment. Instead, any additional amount that would have been owed by that casino gaming property shall be added, by proportional share, to the payment in lieu of property taxes to be paid by every other casino gaming property in order to provide Atlantic City the total amount of the payment in lieu of property taxes due and owing for that calendar year, provided that no individual casino gaming property shall be allocated an amount that is less than the total real property taxes due and payable by the casino gaming property in calendar year 2015.
(6) Beginning in calendar year 2022, an individual casino gaming property shall no longer be allowed a credit against the obligation of the operator of that property under paragraph (2) of subsection a. of section 3 of P.L.1984, c.218 (C.5:12-144.1) in the amount that the payment in lieu of property taxes owed is in excess of the total real property taxes due and payable by the casino gaming property in calendar year 2015, as allowed under paragraph (5) of this subsection for calendar years 2017, 2018, 2019, 2020, and 2021; provided, however, any increase in the net liability of an individual casino gaming property resulting from the elimination of the credit allowed under paragraph (5) of this subsection shall not exceed: 25 percent for calendar year 2022; 50 percent for calendar year 2023; and 75 percent for calendar year 2024. Any amount that would be owed by a casino gaming property in excess of the limits applied for calendar years 2022 through 2024 under this paragraph shall be added, by proportional share, and pursuant to the methodology developed by the division, to the payment in lieu of property taxes to be paid by every other casino gaming property.
(7) Notwithstanding the provisions of paragraph (6) of this subsection to the contrary, for an individual casino gaming property with less than 1,000 rooms, the increased net liability of such individual casino gaming property resulting from the elimination of the credit allowed under paragraph (5) of this subsection shall not exceed 50 percent between calendar years 2022 and 2026 with that 50 percent increase phased in at 25 percent for calendar year 2022, 50 percent for calendar year 2023, and 75 percent for calendar year 2024. Any amount that would be owed to such individual casino gaming property in excess of the limits applied for calendar years 2022 through 2026 under this paragraph shall be credited against the obligation of the operator of the property under paragraph (2) of subsection a. of section 3 of P.L.1984, c.218 (C.5:12-144.1).
(8) If the formula set forth in paragraph (4) of this subsection results in any individual casino gaming property not receiving the lower payment that is due that casino gaming property shall still be liable for its proportional share of the payment in lieu of property taxes determined pursuant to paragraph (6) of this subsection; provided, however, if the liability of the casino gaming property determined pursuant to the formula set forth in paragraph (4) of this subsection does not result in 50 percent of the savings due for 2022, 75 percent of the savings due for 2023, or 100 percent of the savings due for 2024, 2025, and 2026, that property shall be allowed a credit against the obligation of the operator of that property under paragraph (2) of subsection a. of section 3 of P.L.1984, c.218 (C.5:12-144.1) in an amount that will result in the savings of the individual casino gaming property equaling 50 percent for 2022, 75 percent for 2023, and 100 percent for 2024, 2025, and 2026. The total credits allowed against the obligation of the operator of a casino gaming property under paragraph (2) of subsection a. of section 3 of P.L.1984, c.218 (C.5:12-144.1) for all casino gaming properties in this category shall be distributed on a pro rata basis based upon the calculated payment in lieu of property taxes payment obligation.
(9) Notwithstanding the provisions of paragraph (6) of this subsection to the contrary, for an individual casino gaming property with more than 1,000 rooms, the increased net liability of such individual casino gaming property resulting from the elimination of the credit allowed under paragraph (5) of this subsection shall be no more than 90 percent, which shall be achieved by providing a credit against the obligation of the operator of a casino gaming property under paragraph (2) of subsection a. of section 3 of P.L.1984, c.218 (C.5:12-144.1) equivalent to 65 percent of the dollar value increase in that property's payment in lieu of property tax obligation each year, or such percentage in any year that limits the increase to 90 percent.
(10) The calculations in paragraphs (6) through (9) of this subsection shall be performed before the application of the two percent annual increase required under subparagraph (f) of paragraph (3) of this subsection. Thus, the final payment in lieu tax obligation and any credit against the obligation of the operator of a casino gaming property under paragraph (2) of subsection a. of section 3 of P.L.1984, c.218 (C.5:12-144.1) shall incorporate the two percent annual increase pursuant to the methodology developed by the division.
d. If a new casino gaming property becomes subject to the provisions of this subsection, then the new casino gaming property shall enter a financial agreement with Atlantic City to set its payment in lieu of taxes. A new casino gaming property shall pay its regular and conventional tax obligation as billed for the remainder of the calendar year in which it first qualifies as a casino gaming property. If an existing casino gaming property ceases to qualify as a casino gaming property, then the total amount of the payment in lieu of property taxes owed to Atlantic City pursuant to subparagraphs (e) through (h) of paragraph (3) of subsection c. of this section shall be decreased in the calendar year following the year in which the existing casino gaming property ceases to qualify as a casino gaming property by the payment in lieu of property taxes allocated to such casino gaming property pursuant to paragraph (4) of subsection c. of this section in the year in which such casino gaming property ceases to qualify as a casino gaming property. Any decrease to the total amount of the payment in lieu of taxes owed to Atlantic City precipitated by a casino gaming property no longer qualifying as a casino gaming property shall not take effect until the calendar year following the calendar year in which such casino gaming property ceases to qualify as a casino gaming property.
The payment in lieu of property taxes owed by a casino gaming property pursuant to this section shall be adjusted in each subsequent calendar year to reflect when any existing casino gaming properties no longer qualify as casino gaming properties.
e. The provisions of R.S.54:5-6 shall apply to any amount required to be paid under this section, and the municipality shall have the same rights against any casino gaming property for such unpaid amounts relating to that property as if such amounts were unpaid property taxes.
L.2016, c.5, s.3; amended 2018, c.33, s.14; 2021, c.315, s.3.
52:27BBBB-21 Additional payments required.
4. a. In addition to the amounts required to be remitted under section 3 of P.L.2016, c.5 (C.52:27BBBB-20), the owner of each casino gaming property shall make a separate payment to the State, where the aggregate amount of these payments paid by the casino gaming properties shall be equal to the following: (1) $30,000,000 for calendar year 2015; (2) $30,000,000 for calendar year 2016; (3) $15,000,000 for calendar year 2017; (4) $10,000,000 for calendar year 2018; and (5) $5,000,000 per year for calendar years 2019 through 2026.
b. The Local Finance Board, in consultation with the division, shall determine the amount owed for each casino gaming property based on the proportion of gross gaming revenue of the casino in casino gaming property in the prior year. The owner of each casino gaming property where a casino is operated during the year in which the payments required by this section are due shall remit its payment to the State no later than June 1 of each year. The Local Finance Board shall provide the owner of each casino gaming property required to make a payment under this section with written notice of the amount of the payment for each casino gaming property, and instructions for how each payment shall be made. Each owner of a casino gaming property required to make a payment under this section shall remit its payment within five business days of receipt of the written notice from the Local Finance Board.
c. The funds comprised of the payments collected under this section shall be remitted from the State to Atlantic City, which, for purposes of preparing annual budgets pursuant to the "Local Budget Law," N.J.S.40A:4-1 et seq., must be applied to the Atlantic City budget for the calendar year for which funds are provided as identified in subsection a. of this section and to no other Atlantic City calendar year budget.
L.2016, c.5, s.4; amended 2021, c.315, s.4.
52:27BBBB-22 Remitted portion of payment to county and school district.
5. a. Annually, beginning in calendar year 2017 and ending on December 31, 2026, a portion of the payment in lieu of property tax moneys collected pursuant to section 3 of P.L.2016, c.5 (C.52:27BBBB-20) shall be remitted to the county and the school district for their own purposes.
b. Notwithstanding the provisions of any other law to the contrary, for calendar years 2022, 2023, 2024, 2025, and 2026, a portion of the funds collected by Atlantic City from the payment in lieu of property taxes pursuant to section 3 of P.L.2016, c.5 (C.52:27BBBB-20), shall be allocated as follows:
beginning in calendar year 2022, the portion of the payment in lieu of property taxes collected pursuant to section 3 of P.L.2016, c.5 (C.52:27BBBB-20) that is allocated to Atlantic County shall be the same as 2021, with the allocation in each year thereafter increasing by two percent from the preceding year; provided, however, in the case of an upward adjustment pursuant to subparagraph (h) of paragraph (3) of subsection c. of section 3 of P.L.2016, c.5 (C.52:27BBBB-20) in calendar year 2023 or 2024, the portion of the payment in lieu of property taxes allocated to Atlantic County shall be increased by $1,350,000 in the year of the upward adjustment and shall thereafter increase by two percent from the preceding year, and in the case of an upward adjustment that occurs in calendar year 2025 or 2026, the portion of the payment in lieu of property taxes allocated to Atlantic County shall be increased by $1,200,000 in the year of the upward adjustment and shall thereafter increase by two percent from the preceding year; and provided further that in the case of a downward adjustment pursuant to subparagraph (h) of paragraph (3) of subsection c. of section 3 of P.L.2016, c.5 (C.52:27BBBB-20) in calendar year 2023 or 2024, the portion of the payment in lieu of property taxes allocated to Atlantic County shall be decreased by $1,350,000 in the year of a downward adjustment and shall thereafter increase by two percent from the preceding year and in the case of a downward adjustment that occurs in calendar year 2025 or 2026 the portion of the payment in lieu of property taxes allocated to Atlantic County shall be decreased by $1,200,000 in the year of the downward adjustment and shall thereafter increase by two percent from the preceding year.
c. Notwithstanding the provisions of any other law to the contrary, beginning in calendar year 2022, the portion of the payment in lieu of property taxes collected pursuant to section 3 of P.L.2016, c.5 (C.52:27BBBB-20) that is allocated to the Atlantic City School District shall be the same as 2021, with the allocation in each year thereafter increasing by two percent from the preceding year; provided, however, in the case of an upward adjustment pursuant to subparagraph (h) of paragraph (3) of subsection c. of section 3 of P.L.2016, c.5 (C.52:27BBBB-20), the portion of the payment in lieu of property taxes allocated to the Atlantic City School District shall be increased by $3,500,000 in the year of the upward adjustment and shall thereafter increase by two percent from the preceding year; and provided further that in the case of a downward adjustment pursuant to subparagraph (h) of paragraph (3) of subsection c. of section 3 of P.L.2016, c.5 (C.52:27BBBB-20), the portion of the payment in lieu of property taxes allocated to the Atlantic City School District shall be decreased by $3,500,000 in the year of a downward adjustment and shall thereafter increase by two percent from the preceding year.
L.2016, c.5, s.5; amended 2021, c.315, s.5.
52:27BBBB-23 Atlantic City Review Commission.
6. a. On January 1, 2025, there shall be established the Atlantic City Review Commission, to review and determine the efficacy of the payment in lieu of property tax program established by P.L.2016, c.5 (C.52:27BBBB-18 et al.). Specifically, the commission shall determine: the economic vitality and viability of Atlantic City's casinos; the economic vitality and viability of Atlantic City's government; the effect of the payment in lieu of property tax program on the economic viability of the casinos, and on Atlantic City's ability to fund its own government and to provide services to the residents of Atlantic City; and the feasibility of continuing the payment in lieu of property tax program for an additional period of time.
b. The commission shall consist of seven members:
A member of the public, appointed by the Governor, who shall be the Chairperson of the Commission;
The Commissioner of Community Affairs, or the commissioner's designee;
The Atlantic City Mayor or the mayor's designee;
The Atlantic County Executive, or the county executive's designee;
A representative of the casino industry, appointed by the Governor;
A representative of a casino employees' union, appointed by the Governor upon the recommendation of the President of the Senate; and
A representative of the business community of Atlantic City, appointed by the Governor upon recommendation of the Speaker of the General Assembly. This member shall be a resident of Atlantic City and shall not be an executive or an employee of any of the casinos in Atlantic City. This member shall be appointed from, and shall represent on the commission, the interests of the non-gaming business interests in the city.
c. The commission shall issue its findings and recommendations in writing not later than July 1, 2025 to the Governor, the President of the Senate, and the Speaker of the General Assembly pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1). The commission shall expire on the 30th day next following the issuance of those findings and recommendations.
L.2016, c.5, s.6.
52:27BBBB-24 State to have first priority lien.
7. The State of New Jersey shall have a first priority lien on payments made under sections 3 and 4 of P.L.2016, c.5 (C.52:27BBBB-20 and C.52:27BBBB-21) to secure repayment of any amounts outstanding, including any accrued interest, at the time of the payment, including, without limitation, on any financial obligations of Atlantic City to the State of New Jersey, including any office, department, division, bureau, board, commission, or agency of the State, on any loans made to Atlantic City by the State of New Jersey, including any office, department, division, bureau, board, commission, or agency of the State, including without limitation loans made pursuant to the "Supplemental Municipal Property Tax Relief Act," P.L.1991, c.63 (C.52:27D-118.32 et seq.), or for any aid provided by the State of New Jersey, including any office, department, division, bureau, board, commission, or agency of the State, to Atlantic City requiring repayment. Atlantic City shall utilize amounts received under sections 3 and 4 of P.L.2016, c.5 (C.52:27BBBB-20 and C.52:27BBBB-21) to first repay the State of New Jersey for any such financial obligation, outstanding loan, or aid amounts. The first priority lien held by the State shall be superior and paramount to any and all prior or subsequent liens or levies by any creditors.
L.2016, c.5, s.7.
52:27BBBB-25 Allocation of certain moneys to Atlantic City.
9. a. Notwithstanding the provisions of section 3 of P.L.1984, c.218 (C.5:12-144.1) or any other law to the contrary, including subsection k. of section 5 of P.L.2011, c.18 (C.5:12-219), for calendar years 2018, 2019, 2020, and 2021, the moneys received after the effective date of P.L.2016, c.5 (C.52:27BBBB-18 et al.), by the State Treasurer derived from the payment of the investment alternative tax in the amount specified in paragraph (2) of subsection a. of section 3 of P.L.1984, c.218 (C.5:12-144.1) and the investment alternative in the amount as specified in section 17 of P.L.2013, c.27 (C.5:12-95.19), except for any amount thereof pledged for the payment of bonds issued by the Casino Reinvestment Development Authority or otherwise contractually obligated by the authority prior to the effective date of P.L.2016, c.5 (C.52:27BBBB-18 et al.), or any bonds issued to refund such bonds, shall be allocated to Atlantic City for the purposes of paying debt service on bonds issued by Atlantic City prior to and after the effective date of P.L.2016, c.5 (C.52:27BBBB-18 et al.).
b. Notwithstanding the provisions of section 3 of P.L.1984, c.218 (C.5:12-144.1) or any other law to the contrary, including subsection k. of section 5 of P.L.2011, c.18 (C.5:12-219), for each calendar year from 2022 through 2026, of the moneys received by the State Treasurer derived from the payment of the investment alternative tax in the amount specified in paragraph (2) of subsection a. of section 3 of P.L.1984, c.218 (C.5:12-144.1) and the investment alternative in the amount as specified in section 17 of P.L.2013, c.27 (C.5:12-95.19), except for any amount thereof pledged for the payment of bonds issued by the Casino Reinvestment Development Authority or otherwise contractually obligated by the authority prior to the effective date of P.L.2016, c.5 (C.52:27BBBB-18 et al.), or any bonds issued to refund such bonds, shall be allocated first to Atlantic City for the purposes of paying debt service during each such calendar year on bonds issued by Atlantic City prior to and after the effective date of P.L.2016, c.5 (C.52:27BBBB-18 et al.). In the event that the moneys received by the State Treasurer from the payment of the investment alternative tax, in the amounts identified in this section, exceed the debt service on bonds issued by Atlantic City prior to and after the effective date of P.L.2016, c.5 (C.52:27BBBB-18 et al.) in any year, then the amount in excess of the debt service shall be allocated as follows:
(1) for calendar year 2022, such residual moneys shall be allocated 20 percent to the Casino Reinvestment Development Authority, 15 percent to the Clean and Safe Fund established pursuant to section 7 of P.L.2021, c.315 (C.52:27BBBB-27), 15 percent to the Infrastructure Fund established pursuant to section 8 of P.L.2021, c.315 (C.52:27BBBB-28), and 50 percent of such residual moneys shall be allocated for use by Atlantic City for general municipal purposes;
(2) for calendar year 2023, 20 percent of such residual moneys shall be allocated to the Casino Reinvestment Development Authority, 12 percent of such residual moneys shall be allocated to the Clean and Safe Fund, 12 percent of such residual moneys shall be allocated to the Infrastructure Fund, and 56 percent of such residual moneys shall be allocated for use by Atlantic City for general municipal purposes;
(3) for calendar year 2024, 15 percent of such residual moneys shall be allocated to the Casino Reinvestment Development Authority, 11.5 percent of such residual moneys shall be allocated to the Clean and Safe Fund, 11.5 percent of such residual moneys shall be allocated to the Infrastructure Fund, and 62 percent of such residual moneys shall be allocated for use by Atlantic City for general municipal purposes;
(4) for calendar year 2025, 15 percent of such residual moneys shall be allocated to the Casino Reinvestment Development Authority, 11.5 percent of such residual moneys shall be allocated to the Clean and Safe Fund, 11.5 percent of such residual moneys shall be allocated to the Infrastructure Fund, and 62 percent of such residual moneys shall be allocated for use by Atlantic City for general municipal purposes; and
(5) for calendar year 2026, 10 percent of such residual moneys shall be allocated to the Casino Reinvestment Development Authority, 11.5 percent of such residual moneys shall be allocated to the Clean and Safe Fund, 11.5 percent of such residual moneys shall be allocated to the Infrastructure Fund, and 67 percent of such residual moneys shall be allocated for use by Atlantic City for general municipal purposes.
c. If, in any year, the aggregate amount allocated to Atlantic City for municipal purposes pursuant to subsection b. of this section results in an amount that is less than 2.5 percent higher than the amount for municipal purposes in the prior year, the distributions to the Casino Reinvestment Development Authority, the Clean and Safe Fund, and Infrastructure Fund shall be reduced in equal amounts and allocated to Atlantic City for municipal purposes to meet a 2.5 percent growth target.
d. If, in any year, the amount allocated to the Casino Reinvestment Development Authority, the Clean and Safe Fund, and the Infrastructure Fund pursuant to subsection b. of this section exceeds the amount set forth in the table below, each casino gaming property shall receive reimbursement from the moneys received by the State Treasurer derived from the payment of the investment alternative tax in the amount specified in paragraph (2) of subsection a. of section 3 of P.L.1984, c.218 (C.5:12-144.1) up to its full obligation under that paragraph on a pro rata basis. Following reimbursement, if there are still excess funds, the amount in excess attributable to each casino will be distributed to the Casino Reinvestment Development Authority and deposited into an account for use in accordance with Article 11 and Article 12 of the "Casino Control Act," P.L.1977, c.110 (C.5:12-1 et seq.) governing casino reinvestment and authority operations.
YEAR OF PILOT 6 7 8 9 10
CALENDAR YEAR 2022 2023 2024 2025 2026
(Expressed In Millions)
CRDA $2.7 $3.5 $3.2 $4.2 $3.1
INFRASTRUCTURE $2.0 $2.1 $2.5 $3.2 $3.6
CLEAN AND SAFE $2.0 $2.1 $2.5 $3.2 $3.6
CITY GENERAL FUND
(Non-debt service) $6.8 $9.8 $13.3 $17.5 $20.8
TOTAL $13.5 $17.5 $21.5 $28.1 $31.1
e. The provisions of this section shall expire on December 31, 2026.
L.2016, c.5, s.9; 2021, c.315, s.6.
52:27BBBB-26 Classification of certain moneys allocated.
10. Notwithstanding any law, rule, or regulation to the contrary, all monies allocated pursuant to section 9 of P.L.2016, c.5 (C.52:27BBBB-25) shall be considered "funds appropriated as State aid and not otherwise dedicated to specific municipal programs" so payable to such municipality that are withheld or are required to be withheld by the State Treasurer under the "Municipal Qualified Bond Act," P.L.1976, c.38 (C.40A:3-1 et seq.).
L.2016, c.5, s.10.
52:27BBBB-27 Clean and Safe Fund, established.
7. a. There is established the Clean and Safe Fund to be held by the State Treasurer, which shall be the repository for all moneys required to be deposited therein under subsection b. of section 9 of P.L.2016, c.5 (C.52:27BBBB-25) and any moneys appropriated annually to the fund. The State Treasurer may invest and reinvest any moneys in the fund, or any portion thereof, in legal obligations of the United States or of the State or of any political subdivision thereof. Any income from, interest on, or increment to moneys so invested or reinvested shall be included in the fund.
b. Moneys in the fund shall be expended by Atlantic City, or another governmental entity working on behalf of Atlantic City, to pay for capital public safety expenses, streetscape improvements, plantings, roadway median improvements, shade trees, beautification, wayfinding, lighting, cleaning equipment, waste receptacles, sidewalk repair, and related maintenance. The governing body of Atlantic City may fund a project authorized under this subsection with moneys deposited in the Clean and Safe Fund subject to approval of the Director of the Division of Local Government Services in the Department of Community Affairs.
c. If Atlantic City is no longer deemed a municipality in need of stabilization and recovery, as defined in section 3 of P.L.2016, c.4 (C.52:27BBBB-3), then Atlantic City shall receive any money in the Clean and Safe Fund and any future dedication to the Clean and Safe Fund pursuant to subsection b. of section 9 of P.L.2016, c.5 (C.52:27BBBB-25) subject to a memorandum of understanding executed with the State Treasurer that restricts the use of such moneys to the purposes authorized under subsection b. of this section.
L. 2021, c.315, s.7.
52:27BBBB-28 Infrastructure Fund, established.
8. a. There is established the Infrastructure Fund to be held by the State Treasurer, which shall be the repository for all moneys required to be deposited therein under subsection b. of section 9 of P.L.2016, c.5 (C.52:27BBBB-25) and any moneys appropriated annually to the fund. The State Treasurer may invest and reinvest any moneys in the fund, or any portion thereof, in legal obligations of the United States or of the State or of any political subdivision thereof. Any income from, interest on, or increment to moneys so invested or reinvested shall be included in the fund.
b. Moneys in the fund shall be expended by Atlantic City to pay for any work that may be undertaken as a local improvement pursuant to R.S.40:56-1. The governing body of Atlantic City may fund a local improvement with moneys deposited in the Infrastructure Fund subject to approval of the Commissioner of Community Affairs, in consultation with the Casino Reinvestment Development Authority and other State agencies, as appropriate.
c. If Atlantic City is no longer deemed a municipality in need of stabilization and recovery, as defined in section 3 of P.L.2016, c.4 (C.52:27BBBB-3), then Atlantic City shall receive any money in the Infrastructure Fund and any future dedication to the Infrastructure Fund pursuant to subsection b. of section 9 of P.L.2016, c.5 (C.52:27BBBB-25) subject to a memorandum of understanding executed with the State Treasurer that restricts the use of such moneys to works that may be undertaken as a local improvement pursuant to R.S.40:56-1.
## **Chapter 27C**
##### **§ 52:27C-1** Department of Economic Development {#sec-52-27c-1 omnilex-key=us-nj-statutes--title-52--52:27C-1}
There is hereby created a Department of Economic Development, consisting of a co-ordinator and an economic council, hereinafter referred to as "the department."
##### **§ 52:27C-2** Commissioner; appointment; term of office; compensation {#sec-52-27c-2 omnilex-key=us-nj-statutes--title-52--52:27C-2}
The co-ordinator, who shall be the commissioner of the department, hereinafter referred to as the "commissioner," shall be nominated and appointed by the Governor, by and with the advice and consent of the Senate. The commissioner shall serve for a term of four years and until his successor is appointed and qualified, and shall receive an annual compensation of twelve thousand dollars ($12,000.00).
##### **§ 52:27C-3** Economic Council; membership; terms; chairman {#sec-52-27c-3 omnilex-key=us-nj-statutes--title-52--52:27C-3}
The Economic Council shall consist of twelve members representing war veterans, industry, agriculture, labor, local government and the public generally. Each member shall be appointed by the Governor, by and with the advice and consent of the Senate, for a term of four years and until his successor is appointed and qualified, except that of those first appointed five shall be appointed for a term of two years. Members of the council shall serve without compensation, but shall be reimbursed for necessary expenses incurred in the performance of their duties. The chairman of the Economic Council shall be elected by the members thereof.
##### **§ 52:27C-4** Divisions; directors; terms; compensation {#sec-52-27c-4 omnilex-key=us-nj-statutes--title-52--52:27C-4}
There shall be within the department a division of veterans services, a division of municipal aid, a division of commerce, a division of planning and engineering and such other divisions as the commissioner may from time to time establish. Each division shall be under the supervision of a director who shall be a person qualified by training and experience to direct the work assigned to it; and two or more divisions may be consolidated by the commissioner. The director of each division shall be appointed by the Governor, by and with the advice and consent of the Senate. The term of office of each director in office, on the day on which this amendment takes effect, shall terminate on such day and each director thereafter appointed shall serve for a term of five years and until his successor shall be appointed and qualified. The compensation of each director shall be fixed by the commissioner, subject to the approval of the Governor. The commissioner may authorize one or more division heads to act for him and in his place, as his deputy or deputies, during his absence or disability.
##### **§ 52:27C-5** Transfer of powers and duties of various agencies {#sec-52-27c-5 omnilex-key=us-nj-statutes--title-52--52:27C-5}
The State Planning Board, State Housing Authority, New Jersey Council, South Jersey Transit Commission, Port Raritan District Commission and the State Service Officer are hereby abolished and their respective functions, powers and duties shall, as provided in this act, devolve upon the Department of Economic Development.
##### **§ 52:27C-6** Transfer of functions, etc., of Municipal Aid Administration {#sec-52-27c-6 omnilex-key=us-nj-statutes--title-52--52:27C-6}
The Municipal Aid Administration, all its functions, powers, duties, personnel, property and appropriations are hereby transferred to the department, and the functions, powers and duties of the director of municipal aid are vested in the commissioner.
##### **§ 52:27C-7** Additional powers and duties of commissioner {#sec-52-27c-7 omnilex-key=us-nj-statutes--title-52--52:27C-7}
The commissioner, in addition to his powers and duties otherwise provided by this act, shall:
a. Exercise all powers of the department not vested in the Economic Council.
b. Administer the work of the department.
c. Prescribe the organization of the department and the duties of his subordinates and assistants.
d. Subject to the approval of the Economic Council, appoint officers and employees, other than the directors of the divisions, engage technical and professional experts and fix their compensation within the limits of available appropriations, except as may be otherwise provided by law.
e. Administer all laws, which are by their terms included under the jurisdiction of the department, relating to veterans' guaranteed loans, grants-in-aid to municipalities for the preparation of engineering plans and specifications and for other purposes, urban redevelopment, housing and economic development.
f. Prepare for issuance by the Governor such executive orders relating to the work of the department as may be necessary.
g. Maintain liaison with local, State and Federal officials and agencies, concerned with matters of post-war planning or otherwise related to the functions of the department.
h. Pursue any appropriate legal remedy in effectuation or enforcement of any of his powers and duties under this act.
##### **§ 52:27C-8** Coordination of post-war planning {#sec-52-27c-8 omnilex-key=us-nj-statutes--title-52--52:27C-8}
When so directed by the Governor, the commissioner may prescribe activities to be undertaken or terminated by other State departments, agencies and instrumentalities, for the purpose of co-ordinating and integrating all post-war planning and activities under the government of the State.
##### **§ 52:27C-9** Services of other departments or agencies; delegation of powers {#sec-52-27c-9 omnilex-key=us-nj-statutes--title-52--52:27C-9}
The commissioner may utilize the services of any State department, agency or instrumentality, and may accept the services of any local or Federal official or agency, or of business, civil and labor organizations, in such manner and in such capacities as he may deem appropriate. He may also delegate such of his powers as he may deem desirable for the efficient administration of the department to be exercised under his direction and supervision by division heads.
##### **§ 52:27C-10** Additional powers and duties of council {#sec-52-27c-10 omnilex-key=us-nj-statutes--title-52--52:27C-10}
The council, in addition to other powers and duties specifically vested in it, shall:
a. Consult with and advise the commissioner with respect to the work of the department.
b. Approve or disapprove the appointment of officers and employees other than directors of divisions, the engaging of technical and professional experts, and the fixing of their compensation by the commissioner.
c. Survey and study the operations of the department.
d. Hold hearings when required by law or whenever it deems desirable.
e. Report to the Governor and the Legislature with respect to such matters relating to the work of the department and at such times as it may deem in the public interest.
##### **§ 52:27C-11** Federal grants {#sec-52-27c-11 omnilex-key=us-nj-statutes--title-52--52:27C-11}
The department may apply for and accept grants from the Federal Government or any agency thereof, any may comply with the terms, conditions and limitations thereof, for any of the purposes of this act. Any moneys so received may be expended by the department, subject to any limitations imposed in the grant, to effectuate any of the purposes of this act, upon warrant of the comptroller on vouchers certified or approved by the commissioner.
##### **§ 52:27C-12** Policies and programs {#sec-52-27c-12 omnilex-key=us-nj-statutes--title-52--52:27C-12}
The department, through its division of commerce, shall formulate comprehensive economic policies for the development and use of natural and economic resources of the State. It shall organize and operate programs for:
a. The co-operation of employers and employees.
b. The improvement of business and working conditions.
c. The centralization, collection and preparation of statistics and researches of practical social and economic significance in this State.
d. The development of technical services and information useful to small business units.
e. The increase of employment opportunities and encouragement of free private enterprise.
##### **§ 52:27C-13** Private work reserves {#sec-52-27c-13 omnilex-key=us-nj-statutes--title-52--52:27C-13}
The department shall, through such locally organized and operating agencies as the commissioner may deem appropriate, motivate, compile and analyze private work reserves. Such reserves shall consist of deferred and anticipated demands for private improvements, repairs, goods and services, that would provide employment upon the cessation of war production.
##### **§ 52:27C-14** Direction and use of private work reserves {#sec-52-27c-14 omnilex-key=us-nj-statutes--title-52--52:27C-14}
The co-ordinator shall develop programs to guide and direct the use of private work reserves, so far as possible, into such periods and locations as appear in need of additional employment opportunities. He shall also use the private work reserve and such other information as the department may have to provide business marketing analysis and consumer information services.
##### **§ 52:27C-15** Public informational material {#sec-52-27c-15 omnilex-key=us-nj-statutes--title-52--52:27C-15}
The department shall prepare, distributed and co-ordinate public informational materials pertaining to the industrial development, facilities and advantages of the State and to the social and economic programs sponsored by the department.
##### **§ 52:27C-16** Study of transportation; harbor, etc., facilities {#sec-52-27c-16 omnilex-key=us-nj-statutes--title-52--52:27C-16}
The department shall survey, investigate and study the transportation, storage, port, harbor and terminal facilities and needs of the State and of particular industrial areas, and the co-ordination of such facilities with existing or future means of transportation. The department shall prepare a comprehensive and co-ordinated plan for the development of harbor, port, freight terminal and transportation facilities in the State, in co-operation with other State and interstate agencies having jurisdiction over related matters. The commissioner shall recommend to the Governor and the Legislature such policies and projects as are suggested by such investigations, plans and studies.
##### **§ 52:27C-17** Adoption of improved methods, etc., of transportation {#sec-52-27c-17 omnilex-key=us-nj-statutes--title-52--52:27C-17}
The department may petition any Federal, State, municipal or other authority, administrative, judicial or legislative, having jurisdiction in the premises, for the adoption and execution of any physical improvement, change in method, rate or system of handling freight, warehousing, docking, lightering or transfer of freight or the transportation of passengers and baggage which the commissioner may find desirable to improve or facilitate commerce in and through the State, or to improve terminal and transportation facilities therein. The commissioner may intervene in any proceeding affecting the commerce of the State, but nothing herein shall impair the powers of any municipality or ad hoc authority to develop, improve or operate port and terminal facilities.
##### **§ 52:27C-18** Plans for physical development of state; coordination; housing {#sec-52-27c-18 omnilex-key=us-nj-statutes--title-52--52:27C-18}
The department shall prepare and perfect from time to time a State master plan for the physical development of the State and prepare and keep current a proposed long term development program of major State improvements. The Economic Council shall hold public hearings on such plan or plans and shall transmit to the Governor and the Legislature such plans as it may agree upon. When approved by the Legislature, such plan or plans shall be known as the official State plan.
The department shall among other things:
a. Advise with the various State departments, agencies and instrumentalities, and with local authorities and individuals with a view to the co-ordination of all physical development plans, including plans for highways, airways and air terminals, parkways, parks, water supply development, flood control, land use, recreation areas and forest reservations that are related to an economical and comprehensive development of the State.
b. Make studies of rural land utilization with a view to the determination of the areas suitable for field crops, for reforestation, for watershed protection, for reclamation, for recreation, for summer residence and for industrial and urban expansion.
c. Investigate living, dwelling and housing conditions and into the means and methods of improving such conditions; determine where slum areas exist or where there is a shortage of decent, safe and sanitary dwelling accommodations for persons of low income; make studies and recommendations relating to the problem of clearing, replanning and reconstructing of slum areas, and the problem of providing dwelling accommodations for persons of low income; and co-operate with any public body in action taken in connection with such problems; and engage in research, studies and experimentation on the subject of housing.
d. The department shall enforce compliance with the laws relating to local housing authorities, and shall succeed to all the functions, powers and duties of the State Housing Authority and of its director under chapters fourteen-A and fifteen of Title 55 of the Revised Statutes.
##### **§ 52:27C-19** Notice to commissioner of public improvements {#sec-52-27c-19 omnilex-key=us-nj-statutes--title-52--52:27C-19}
All State departments, agencies and instrumentalities, before entering upon any major public improvement or any project involving the acquisition of lands for public use, or before requesting a change of use or disposition of real property owned by the State or in which the State has an interest, shall give written notice to the commissioner of such contemplated or proposed action, and he shall have a reasonable opportunity to study and make recommendations thereon.
##### **§ 52:27C-20** Maps and surveys {#sec-52-27c-20 omnilex-key=us-nj-statutes--title-52--52:27C-20}
The department may prepare and make maps, planning studies and surveys for the collection and presentation of data pertaining to the physical development of the State and of its political subdivisions, and for this purpose may enter upon public and private lands to make surveys, photographs and tests.
##### **§ 52:27C-21** Co-operation with other planning boards {#sec-52-27c-21 omnilex-key=us-nj-statutes--title-52--52:27C-21}
The department shall co-operate with county, municipal and regional planning boards for the purpose of aiding and encouraging an orderly and co-ordinated development of the State.
##### **§ 52:27C-22** Public housing and development authority {#sec-52-27c-22 omnilex-key=us-nj-statutes--title-52--52:27C-22}
Within the department there shall be a "public housing and development authority" a body politic and corporate, with power to sue and be sued, to have a seal, and to have corporate succession, hereinafter referred to as "the authority." The powers and duties of this authority shall be vested in and may be exercised by the commissioner.
##### **§ 52:27C-23** Powers of authority {#sec-52-27c-23 omnilex-key=us-nj-statutes--title-52--52:27C-23}
The authority shall have full power to undertake and operate any slum clearance or housing project for slum dwellers and families of low income and to manage and control its projects.
##### **§ 52:27C-24** Additional powers of authority {#sec-52-27c-24 omnilex-key=us-nj-statutes--title-52--52:27C-24}
In addition to the powers hereinabove specifically granted, the authority shall have the following powers:
a. To acquire property, real, personal or mixed, or any interest therein by purchase, lease, gift, bequest, devise, exchange or eminent domain; to hold and improve property; to operate, lease, sell or exchange property; to constructˆor contract for the construction of projects and community facilities other thanˆany project or facility which would be competitive with any existing public utility as the same is defined in R.S. 48:2-13; to borrow money and secure the same by bonds or mortgages upon property held or to be held by it; but nothing herein contained shall be deemed to authorize the authority to pledge the creditˆof this State or to constitute any bonds or mortgages so issued by its obligations of this State.
b. To receive any grant or grants to be made by the federal, State, county, municipal or other governments, or from any other sources.
c. If, for any of the purposes hereunder, the authority shall find it necessary or convenient for it to acquire title to, or any lesser interest in, real property in this State, then the authority may acquire title to such property by purchase, lease or condemnation, and shall have the right to acquireˆrealty by eminent domain in accordance with the provisions of the "Eminent Domain Act of 1971," P.L. 1971, c. 361 (C. 20:3-1 et seq.).
d. To make and enforce reasonable rules and regulations for the effectuation of its powers and purposes.
e. To provide rental assistance grants to persons of low or moderate income to enable them to pay the fair market value for housing units.
f. To provide loans and grants of temporary rental or other temporary housing assistance to persons without housing or in imminent danger of losing housing as a result of having insufficient income from other sources to allow payment of the rental or other housing costs.
g. In order to encourage increased availability of affordable housing forˆpersons of low and moderate income, to provide subsidies or other reductions of interest rates on loans made to public or private nonprofit agencies or limited dividend corporations for the purpose of acquiring, constructing, repairing or rehabilitating residential structures to be used for such housing.
h. To establish statewide programs to assist homeless persons, such programs to include, but not be limited to, assistance in developing and obtaining housing and temporary shelter, assistance to public and nonprofit sponsors of shelters and housing projects for the homeless, and short-term financial assistance. Benefits directly or indirectly received under these programs shall not be treated as income in determining eligibility requirements for other State programs and payments and benefits directly received by a taxpayer shall not be treated as income for New Jersey gross income tax purposesˆpursuant to section 2 of P.L. 1988, c. 29 (C. 54A:6-22).
##### **§ 52:27C-24.1** Fund for assistance to homeless. {#sec-52-27c-24.1 omnilex-key=us-nj-statutes--title-52--52:27C-24.1}
3. a. The Commissioner of the Department of Community Affairs shall establish within the Division of Housing and Community Resources a fund for the purpose of funding programs to assist persons who are homeless pursuant to subsections f. and h. of section 24 of P.L.1944, c.85 (C.52:27C-24).
b. The fund shall consist of moneys appropriated thereto by section 4 of P.L.1988, c.29 and such other moneys as may be appropriated or otherwise made available for that purpose.
c. Not more than 5% of moneys paid into the fund during any fiscal year of the State may be used to pay the costs of the fund's administration by the Department of Community Affairs during that fiscal year.
d. Upon the effective date of P.L.2019, c.73 (C.52:27D-287.5 et al.), the fund created pursuant to subsection a. of this section may be transferred from the Division of Housing and Community Resources to the Office of Homelessness Prevention.
##### **§ 52:27C-25** Housing projects; rentals {#sec-52-27c-25 omnilex-key=us-nj-statutes--title-52--52:27C-25}
Upon the completion of any housing project constructed by the authority, the authority shall have full power to maintain and operate the same at such scale of rentals as in the judgment of the authority shall be proper in the premises, but the maximum average rental in cities of the first class shall be ten dollars ($10.00) and in other municipalities eight dollars ($8.00). Nothing in this section shall be construed to limit the scale of rentals to be charged by any public housing corporation as provided by chapter fifteen of Title 55 of the Revised Statutes.
##### **§ 52:27C-26** Taxation of property of authority {#sec-52-27c-26 omnilex-key=us-nj-statutes--title-52--52:27C-26}
All real property and improvements thereon owned by the authority shall be assessed and taxed in the municipalities wherein such lands are situate for State, school, county, municipal and improvement purposes in the same manner as other real property owned by individuals. The taxes for any given year shall be paid out of the rentals or income accruing from such property for the year in which the taxes are assessed.
##### **§ 52:27C-27** Approval of housing project by municipality {#sec-52-27c-27 omnilex-key=us-nj-statutes--title-52--52:27C-27}
Notwithstanding any other provisions of law the approval of the governing body of the municipality in which a housing project is to be located, pursuant to article three of this act, shall be obtained before such project may be undertaken, arranged for, or contracted.
##### **§ 52:27C-28** Public work reserve to be maintained; duties of department {#sec-52-27c-28 omnilex-key=us-nj-statutes--title-52--52:27C-28}
The department shall prepare and maintain a public work reserve consisting of proposed projects of State, county, municipal and ad hoc agencies for public works and services. The projects included in the public work reserve shall be classified and arranged in order of priority so as to facilitate selection and timing of individual projects. For this purpose the department shall:
a. Keep records of the progress of design of all proposed public works and improvements for which funds for detailed plans and specifications have heretofore been made available to various State departments, so that the status, scope, cost, employment possibilities, materials and equipment needed for the execution of such projects after the war may be promptly available to officials and to the public;
b. Keep like records of the progress of the preparation of plans and specifications for State projects in addition to the projects enumerated in paragraph (a);
c. Prepare and maintain current progress information on the design of post-war projects by political subdivisions of the State.
##### **§ 52:27C-29** Description of projects to be furnished department {#sec-52-27c-29 omnilex-key=us-nj-statutes--title-52--52:27C-29}
Every department, agency, political subdivision, special district or ad hoc authority operating under the authority of this State which receives, anticipates or may apply for Federal financial assistance for a public improvement project shall transmit to the department of economic development a complete description of each such proposed project, in such form as the commissioner may prescribe.
##### **§ 52:27C-30** Copies of plans, etc., of improvements receiving federal aid to be filed with department {#sec-52-27c-30 omnilex-key=us-nj-statutes--title-52--52:27C-30}
The commissioner may require any State department or agency or any political subdivision, special district or ad hoc authority of this State to file with the department, plans and specifications and certified copies of all correspondence, agreements and documents relating to any public improvement or service involving Federal financial assistance.
##### **§ 52:27C-31** No Federal aid unless commissioner has opportunity to recommend {#sec-52-27c-31 omnilex-key=us-nj-statutes--title-52--52:27C-31}
Notwithstanding any other legislation heretofore enacted, no Federal financial assistance may hereafter be paid to or accepted by any political subdivision, special district or ad hoc authority of this State for a public improvement project unless and until the commissioner has had a reasonable opportunity to make recommendations with respect thereto and certifies that the public body sponsoring the project has complied with the requirements of this chapter, with respect to the filing of project descriptions, correspondence, agreements and documents.
##### **§ 52:27C-32** Recommendations to be published {#sec-52-27c-32 omnilex-key=us-nj-statutes--title-52--52:27C-32}
The commissioner shall, with the co-operation of other State departments, make and publish such recommendations with respect to any project as may be desirable to properly conserve the public interest.
##### **§ 52:27C-33** Surveys and plans {#sec-52-27c-33 omnilex-key=us-nj-statutes--title-52--52:27C-33}
The commissioner may, after consultation with interested department heads, and upon approval of the economic council, order surveys to be made or plans and specifications to be prepared for any State or regional project or service, by force account or by contract with such private architectural or engineering consultants as he may designate, within the limits of available appropriations.
##### **§ 52:27C-34** Allotments toward cost of plans and specifications {#sec-52-27c-34 omnilex-key=us-nj-statutes--title-52--52:27C-34}
The department may make allotments to any county, municipality or school district, all of which are hereinafter referred to as any "political subdivision," toward the cost of preparing detailed plans and specifications after the effective date of this act for local public works or improvements to be undertaken after the termination of the present war.
##### **§ 52:27C-35** Application for allotments {#sec-52-27c-35 omnilex-key=us-nj-statutes--title-52--52:27C-35}
Any political subdivisions may apply to commissioner for allotment under this act upon such forms and subject to such rules and regulations not inconsistent herewith as the commissioner may prescribe. If the commissioner approves a proposed project, he shall allot to the applicant, out of such sums as may be appropriated for the purpose, an amount which he finds necessary to defray one-half the cost to the applicant of preparing detailed plans and specifications for the public work or improvement.
##### **§ 52:27C-36** Total cost of allotments limited {#sec-52-27c-36 omnilex-key=us-nj-statutes--title-52--52:27C-36}
Allotments may be made for detailed plans and specifications prepared either by force account or by contract with architects or engineers approved by the commissioner, but the total sum allotted for any project shall not exceed one-half the actual cost of the plans and specifications, or two per centum (2%) of the estimated construction cost approved by the commissioner, whichever is lower.
##### **§ 52:27C-37** Effect of grant of state aid; limitation of allotments {#sec-52-27c-37 omnilex-key=us-nj-statutes--title-52--52:27C-37}
The granting of any application for State aid for plans and specifications, the acceptance of such aid or the preparation of such plans and specifications shall not be construed to commit either the State or the political subdivision to any contribution or appropriation whatsoever at any time for construction costs. The amount allotted for each project shall be paid to the political subdivision upon proof satisfactory to the commissioner of the completion of the plans and specifications and of their cost to the applicant; but the aggregate of all allotments or payments to any one political subdivision shall not exceed ten per centum (10%) of the total of all appropriations for local purpose allotments as contained in this or any other act.
##### **§ 52:27C-38** Assistance and data to be furnished {#sec-52-27c-38 omnilex-key=us-nj-statutes--title-52--52:27C-38}
On the request of the commissioner, any department instrumentality or agency of the State or of any political subdivision shall furnish such assistance and data as the commissioner shall deem necessary to effectuate the purposes of the grant-in-aid for project plans and specifications provided by this act.
##### **§ 52:27C-39** Termination of authority to allot funds for plans {#sec-52-27c-39 omnilex-key=us-nj-statutes--title-52--52:27C-39}
The authority of the commissioner to allot funds for plans and specifications for other State projects shall terminate six months after the cessation of present hostilities.
##### **§ 52:27C-47** Quarters for department {#sec-52-27c-47 omnilex-key=us-nj-statutes--title-52--52:27C-47}
The department shall be provided with suitable quarters which shall be sufficient to house all of the divisions of the department within the same building.
##### **§ 52:27C-48** Employees, etc., of abolished agencies {#sec-52-27c-48 omnilex-key=us-nj-statutes--title-52--52:27C-48}
The employees, property and records of all agencies which are by this act abolished are hereby transferred to the department of economic development.
##### **§ 52:27C-49** Appropriations of abolished agencies transferred; appropriation for administrative expenses {#sec-52-27c-49 omnilex-key=us-nj-statutes--title-52--52:27C-49}
The appropriations of all agencies abolished by this act are hereby transferred to the department, and, in addition, the sum of one hundred fifty thousand dollars ($150,000.00), or so much thereof as may be necessary, is hereby appropriated for the administrative expenses of the department during the fiscal year ending June thirtieth, one thousand nine hundred and forty-five.
##### **§ 52:27C-50** Appropriation for local purpose plans {#sec-52-27c-50 omnilex-key=us-nj-statutes--title-52--52:27C-50}
The sum of five hundred thousand dollars ($500,000.00) is hereby appropriated from any moneys in the State treasury not otherwise appropriated, for the preparation of local purpose plans and specifications in accordance with allotments to be made pursuant to this act.
##### **§ 52:27C-51** Appropriation for state project plans {#sec-52-27c-51 omnilex-key=us-nj-statutes--title-52--52:27C-51}
The sum of fifty thousand dollars ($50,000.00) is hereby appropriated, from any moneys in the State treasury not otherwise appropriated, for the preparation of State project plans and specifications in accordance with allotments to be made pursuant to this act.
##### **§ 52:27C-52** Repeals {#sec-52-27c-52 omnilex-key=us-nj-statutes--title-52--52:27C-52}
The following sections, inclusive, of the Revised Statutes are hereby repealed:
Revised Statutes, sections 12:12-1 to 12:12-10, 38:24-1 to 38:24-2, 48:21-1 to 48:21-19, 52:9C-1 to 52:9C-4, 52:21-1 to 52:21-11, 55:14-1 to 55:14-13.
##### **§ 52:27C-53** Effective date {#sec-52-27c-53 omnilex-key=us-nj-statutes--title-52--52:27C-53}
This act shall take effect on July first, one thousand nine hundred and forty-four, except that appointments may be made and any action may be taken prior thereto in preparation for the operation of the department; provided, however, that nothing in this act contained shall be construed to apply to property now or hereafter subject to the jurisdiction or supervision of the Quartermaster-General.
##### **§ 52:27C-54** Standard building code {#sec-52-27c-54 omnilex-key=us-nj-statutes--title-52--52:27C-54}
The department of economic development, through its division of planning and engineering, shall prepare a code to be known as the standard building code of New Jersey and thereafter may prepare amendments altering it or adding to it.
##### **§ 52:27C-55** Scope of code {#sec-52-27c-55 omnilex-key=us-nj-statutes--title-52--52:27C-55}
The code, or the same as amended, shall regulate the design, construction, repair, alteration, demolition and removal of buildings and structures of every kind within such municipalities as may adopt it and shall govern such counties, state boards, departments or other State agencies as may adopt it. Provisions may be made in the code prohibiting, within certain limits, the construction, repair or alteration of buildings or structures with specified materials.
##### **§ 52:27C-56** Adoption of code by reference {#sec-52-27c-56 omnilex-key=us-nj-statutes--title-52--52:27C-56}
Any municipality may adopt the code, and any amendments thereto, by ordinance, without incorporating the same in the ordinance; provided, reference is made therein to the code as the "Standard Building Code of New Jersey" or, in the case of amendments, to the section numbers and dates of the amendments. In the same manner any county, State board, department or other State agency may, by ordinance or resolution, adopt the code and amendments thereto.
##### **§ 52:27C-57** Interpreting and administering code {#sec-52-27c-57 omnilex-key=us-nj-statutes--title-52--52:27C-57}
The department, from time to time pursuant to such authority as may be granted it by the code and after having conducted hearings, (a) may interpret the code, (b) may investigate and prescribe tests or accept authoritative tests to determine the strength and quality of structural materials and the efficiency and safety of appliances and devices and methods of construction and may establish standards accordingly, and (c) may approve the use of structural materials, appliances, devices and methods of construction found to be efficient and safe.
##### **§ 52:27C-58** Costs of tests {#sec-52-27c-58 omnilex-key=us-nj-statutes--title-52--52:27C-58}
Any person making application to have the department approve the use of structural materials, appliances, devices, or methods of construction, shall pay the reasonable cost of all labor, expert services, materials, appliances and testing machinery required to conduct any test or investigation of the same.
##### **§ 52:27C-59** Printed copies of code, etc. {#sec-52-27c-59 omnilex-key=us-nj-statutes--title-52--52:27C-59}
The code, amendments and interpretations thereof and all standards for and approvals of materials, appliances, devices and methods of construction shall be printed by the department as and when adopted by it; and three copies thereof shall be filed with each of the following, the Secretary of State, the county clerk of every county and the chief clerical officer of every municipality. Other copies shall be sold at a charge to be determined by the department.
##### **§ 52:27C-60** Advisory committee {#sec-52-27c-60 omnilex-key=us-nj-statutes--title-52--52:27C-60}
To advise the department in the performance of its duties provided by this act, the commissioner of the department shall appoint a committee, of such number as he shall determine, to serve at his pleasure, of which one shall be a registered architect of this State, one a licensed professional engineer of this State actively practicing as a mechanical engineer, one a licensed professional engineer of this State actively practicing as a structural engineer, one a general building contractor and one an official of any municipality of this State charged with supervision over the construction of buildings therein. The members of the committee shall serve without compensation but shall be reimbursed for necessary expenses incurred in the performance of their duties.
##### **§ 52:27C-61** Short title. {#sec-52-27c-61 omnilex-key=us-nj-statutes--title-52--52:27C-61}
1. This act shall be known and may be cited as the "New Jersey Commerce Commission Act."
##### **§ 52:27C-62** Findings, declarations relative to the New Jersey Commerce Commission. {#sec-52-27c-62 omnilex-key=us-nj-statutes--title-52--52:27C-62}
2. The Legislature finds and declares that:
a. New Jersey is in a fierce competition for jobs and businesses, not only with other states, but throughout the world; and
b. The State must do all it can to increase opportunities for New Jersey citizens to enjoy economic success and prosperity; and
c. To attract business, New Jersey must think and act like a business, by utilizing the best available personnel, without consideration of political affiliation, selected on the basis of the skills, ability and experience, needed to provide enhanced customer service, and by responding to the needs of the business community with flexibility and agility; and
d. Commerce and economic development are priorities for New Jersey because success in these endeavors means the creation of jobs for our citizens. As such, commerce and economic development deserve a unique and dynamic role in our State government; and
e. Because we soon will be entering the 21st century, New Jersey must now boldly transform its economic development mission to be market driven, mobile and responsive enough to the future's challenges to empower New Jersey to undertake new commercial and economic ventures as the economic engine of the Northeast; and
f. The State and its citizens will benefit from a more sharply focused economic development vision, in which the State's efforts are coordinated under one organization, the New Jersey Commerce Commission, that coordinates economic development activities for the State with all related entities, including, but not limited to, the New Jersey Economic Development Authority, the New Jersey Commission on Science and Technology, the New Jersey Urban Enterprise Zone Authority, the Motion Picture and Television Development Commission, and the New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises; and
g. Just as the Legislature 25 years ago could not have predicted the technological and business changes that have taken place since then, this Legislature recognizes that it, too, cannot predict the future and must, therefore, ensure that the New Jersey Commerce Commission has the agility and ability to retool its focus and priorities to ensure the State's capability to respond to the technological and business changes yet to come; and
h. Economic growth and prosperity are still the number one priorities for our citizens, and by creating an innovative and independent economic development entity, the New Jersey Commerce Commission, the Legislature reaffirms that it is also a priority of government; and
i. The board of directors of the commission appointed pursuant to P.L.1998, c.44 (C.52:27C-61 et al.) should assist the executive director of the commission appointed pursuant to P.L.2007, c.253 (C.34:1A-48.1 et al.) in assuring that persons appointed to the staff of the commission, because they will no longer be in the classified civil service pursuant to Title 11A of the New Jersey Statutes, will be selected on the basis of qualification and professional and technical competence, avoiding political considerations to the maximum extent possible; and
j. The New Jersey Commerce Commission promotes economic vitality and builds a foundation for world economic leadership in the 21st century and stimulates dynamic economic growth by providing resources and services to citizens, businesses and institutions, in partnership with other government agencies and the private sector, to create jobs.
##### **§ 52:27C-63** "New Jersey Commerce Commission." {#sec-52-27c-63 omnilex-key=us-nj-statutes--title-52--52:27C-63}
3. There is established a body corporate and politic, with corporate succession, to be known as the "New Jersey Commerce Commission" (hereinafter "the commission").
The commission shall be established in the Executive Branch of the State Government and for the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the commission is allocated, in but not of, the Department of the Treasury, but notwithstanding this allocation, the commission shall be independent of any supervision and control by the department or by any board or officer thereof.
##### **§ 52:27C-64** Department of Commerce and Economic Development abolished. {#sec-52-27c-64 omnilex-key=us-nj-statutes--title-52--52:27C-64}
4. The Department of Commerce and Economic Development created pursuant to P.L.1981, c.122 (C.52:27H-1 et al.) is abolished as a principal department in the Executive Branch of State government, and all of its powers, functions, and duties including, but not limited to, the Division of International Trade, except as herein otherwise provided, are continued in the commission.
##### **§ 52:27C-65** Appropriations, moneys continued. {#sec-52-27c-65 omnilex-key=us-nj-statutes--title-52--52:27C-65}
5. All appropriations and other moneys available and to become available to any department, division, bureau, board, commission, or other entity or agency, the functions, powers and duties of which have been assigned or transferred to the Department of Commerce and Economic Development, are hereby continued in the commission, except as herein otherwise provided, and shall be available for the objects and purposes for which such moneys are appropriated subject to any terms, restrictions, limitations, or other requirements imposed by State or federal law. Nothing herein shall alter the provisions of section 4 of P.L.1983, c.190 (C.34:1B-39). Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the Department of Commerce and Economic Development, the New Jersey Commerce and Economic Growth Commission or the New Jersey Commerce, Economic Growth and Tourism Commission, the same shall mean and refer to the "New Jersey Commerce Commission" in but not of the Department of the Treasury.
##### **§ 52:27C-66** Termination of employment, officers and employees. {#sec-52-27c-66 omnilex-key=us-nj-statutes--title-52--52:27C-66}
6. The offices and terms of the commissioner, deputy commissioner, assistant commissioners, directors, deputy directors, executive directors, and all other employees of the Department of Commerce and Economic Development and of its various divisions and offices, except as herein otherwise provided, shall terminate upon the effective date of this act.
The Commissioner of Personnel shall exercise all best efforts to find and offer employment within State service for employees of the Department of Commerce and Economic Development who are employed by the department on the date of enactment of this act, and who are not offered positions with the commission or who, having been offered such positions, choose not to accept employment with the commission.
Notwithstanding the requirements of Title 11A of the New Jersey Statutes or the regulations promulgated thereunder, no employee of the commission shall retain career service rights after the effective date of this act.
##### **§ 52:27C-67** Powers of commission. {#sec-52-27c-67 omnilex-key=us-nj-statutes--title-52--52:27C-67}
7. The commission shall have the power to employ consultants and employees as may be required in the judgment of the commission to carry out the purposes of this act and to establish job titles and descriptions, and to fix and pay employees compensation from funds available to the commission therefor, notwithstanding the provisions of Title 11A of the New Jersey Statutes. The commission shall establish the terms and conditions of employment. Employees of the commission shall, as appropriate, be covered under the State of New Jersey's collective negotiations agreements, provided however that only the contractual provisions of such agreements which apply to non-career service employees shall apply to the commission employees. For contractual purposes, previous State service in the career service shall be counted toward any contractual provision that requires unclassified seniority. Employees of the Department of Commerce and Economic Development who are employed by the department on the date of enactment of this act, and who are hired by the commission shall retain their salary and leave time. Employees of the commission shall be enrolled in the Public Employees' Retirement System and shall be eligible to participate in the State Health Benefits Program established pursuant to the "New Jersey State Health Benefits Program Act," P.L.1961, c.49 (C.52:14-17.25 et seq.).
The commission shall advertise all available positions within the commission, except under circumstances where there is an emergent need as specified in the commission's personnel handbook.
##### **§ 52:27C-68** Board of Directors. {#sec-52-27c-68 omnilex-key=us-nj-statutes--title-52--52:27C-68}
8. The Board of Directors of the commission shall consist of the following 11 voting members and two non-voting members:
a. The Governor, who shall be the Chair of the commission. The Governor may be represented by an official designee, whose name shall be filed with the commission.
b. The State Treasurer who shall serve ex-officio and may be represented by an official designee, whose name shall be filed with the commission.
c. One commissioner from each of the following departments who shall serve ex-officio: the Department of Environmental Protection; the Department of Labor and Workforce Development and the Department of Transportation. These commissioners may be represented by an official designee, whose name shall be filed with the commission.
d. The chairman of the New Jersey Commission on Higher Education, who shall serve ex officio. This chairman may be represented by an official designee, whose name shall be filed with the commission.
e. Three public members who shall be appointed by the Governor with the advice and consent of the Senate, not more than two of whom shall be of the same political party. The three public members shall serve for a term of five years and shall serve until their successors are appointed and qualified. Of the three public members first appointed pursuant to this subsection, two shall serve for a term of five years and one shall serve for a term of three years. These members shall be New Jersey residents who shall provide appropriate geographical representation from throughout the State and who shall be employed by, owners of, or members of the board of directors of, a business whose principal operation is located in New Jersey. Public members shall receive no compensation for their services but shall be entitled to reimbursement for expenses incurred in the performance of their official duties.
f. Two additional members who shall be appointed by, and serve at the pleasure of, the Governor. The Governor is authorized to appoint one member upon the recommendation of the President of the Senate and one member upon the recommendation of the Speaker of the General Assembly.
g. One member of the Senate, to be appointed by the President of the Senate, and one member of the General Assembly, to be appointed by the Speaker of the General Assembly. These members are non-voting, advisory members, appointed solely for the purpose of developing and facilitating legislation to assist the commission in fulfilling its statutory mission, and may not exercise any of the executive powers delegated to the commission by law.
h. Any vacancies in the appointed membership of the commission occurring other than by expiration of term shall be filled in the same manner as the original appointment, but for the unexpired term only.
##### **§ 52:27C-69** Powers, quorum, action by commission. {#sec-52-27c-69 omnilex-key=us-nj-statutes--title-52--52:27C-69}
9.a. The powers of the commission shall be vested in the members thereof in office from time to time, and a majority of the total authorized membership of the commission shall constitute a quorum at any meeting thereof. Action may be taken and motions and resolutions adopted by the commission at any meeting thereof by the affirmative vote of a majority of the membership, unless in any case the bylaws of the commission shall require a larger number. No vacancy in the membership of the commission shall impair the right of a quorum to exercise all the rights and perform all the duties of the commission.
b. Members of the commission shall be subject to the provisions of the "New Jersey Conflicts of Interest Law," P.L.1971, c.182 (C.52:13D-12 et seq.).
##### **§ 52:27C-70** Delivery of copy of minutes to Governor, approval, veto. {#sec-52-27c-70 omnilex-key=us-nj-statutes--title-52--52:27C-70}
10. A true copy of the minutes of every meeting of the commission shall be forthwith delivered by and under the certification of the secretary thereof to the Governor. No action taken at such a meeting by the commission shall have force or effect until 10 days, Saturday, Sundays, and public holidays excepted, after the copy of the minutes shall have been so delivered, unless during such 10-day period the Governor shall approve the same, in which case such action shall become effective upon such approval. If, in that 10 day period, the Governor returns such copies of the minutes with veto of any action taken by the commission or any member thereof at such meeting, such action shall be null and void and of no effect.
##### **§ 52:27C-71** Duties of Executive Director. {#sec-52-27c-71 omnilex-key=us-nj-statutes--title-52--52:27C-71}
11. The Executive Director of the commission shall devote full time to the performance of the duties assigned thereto, and shall:
a. Administer the work of the commission;
b. Appoint and remove officers and other personnel employed within the commission, except as herein otherwise specifically provided;
c. Have authority to organize and maintain an administrative office and to assign to employment therein such secretarial, clerical and other assistants in the commission as the Executive Director and the internal operations of the commission may require;
d. Perform, exercise and discharge the functions, powers and duties of the commission through such offices as may be established by this act or otherwise by law;
e. Organize the work of the commission in such organizational units, not inconsistent with the provisions of this act, as the Executive Director may determine to be necessary for the efficient and effective operation of the commission; f. (Deleted by amendment, P.L.2007, c.253).
g. (Deleted by amendment, P.L.2007, c.253).
h. Make reports of the commission's operations, and such other reports, as the Governor shall from time to time request or as may be required by law;
i. Coordinate the activities of the commission and the several organizational units therein, in a manner designed to eliminate overlapping and duplicative functions;
j. Integrate within the commission, so far as practicable, all staff services of the commission and of the several organizational units therein; and
k. Have access to all relevant files and records of other State agencies and require any officer or employee therein to provide such information as the Executive Director may deem necessary to the performance of the functions of the commission.
1. (Deleted by amendment, P.L.2007, c.253).
m. (Deleted by amendment, P.L.2007, c.253).
n. (Deleted by amendment, P.L.2007, c.253).
o. (Deleted by amendment, P.L.2007, c.253).
p. (Deleted by amendment, P.L.2007, c.253).
q. (Deleted by amendment, P.L.2007, c.253).
##### **§ 52:27C-71.1** Executive Director. {#sec-52-27c-71.1 omnilex-key=us-nj-statutes--title-52--52:27C-71.1}
31. The commission shall be under the supervision of an Executive Director, who shall receive such salary as shall be fixed by the commission and who shall be a person qualified by training and experience to direct the work of the commission.
Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the Commissioner of the Department of Commerce and Economic Development or the Chief Executive Officer and Secretary of the commission, the same shall mean and refer to the "New Jersey Commerce Commission."
##### **§ 52:27C-73** Powers of commission. {#sec-52-27c-73 omnilex-key=us-nj-statutes--title-52--52:27C-73}
13. The commission shall have perpetual succession and shall have the following powers:
a. To make, amend and repeal rules and bylaws for its own governance and guidance not inconsistent with State and federal law;
b. To adopt an official seal and alter the same at its pleasure;
c. To maintain an office at such place or places within the State as it may designate;
d. To contract for, accept, solicit or collect any grants, loans, funds, property, or other aid in any form from the United States of America or any agency or instrumentality thereof, from the State or any agency, instrumentality or political subdivision thereof, or from any other public source;
e. To set an amount and to charge reasonable fees for special projects or services that were not customarily provided by the department prior to the effective date of this act to be paid to the commission for services rendered to persons, businesses, or other entities which fees shall reflect the cost of providing such projects or services; notwithstanding the provisions of this subsection, the commission is authorized to set an amount and to charge reasonable fees for services for which fees were charged by the department prior to the effective date of this act;
f. To exercise all of the powers, functions, and duties previously exercised by the Department of Commerce and Economic Development, except as herein provided pursuant to this act;
g. To act as the State's representative abroad and within the United States concerning trade and commerce issues;
h. To adopt rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), necessary for the proper functioning of the commission and necessary to carry out the provisions of this act;
i. To do any and all things necessary or convenient to carry out the purposes of the commission and to exercise the powers given and granted to the commission under this act;
j. To coordinate the State's economic development activities among the commission's organizational units and the New Jersey Economic Development Authority, the New Jersey Commission on Science and Technology, the New Jersey Urban Enterprise Zone Authority, the New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises, and the Motion Picture and Television Development Commission, and to recommend economic development policies to the Governor;
k. To enter into memoranda of understanding or other cooperative agreements with the New Jersey Economic Development Authority, the New Jersey Commission on Science and Technology, the New Jersey Urban Enterprise Zone Authority, the New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises, the Atlantic City Convention Center Authority, the Dredging Project Task Force, the Economic Development Site Task Force, and the Motion Picture and Television Development Commission, or any other State agency for the provision of services or other cooperative efforts to effectuate the purposes of this act and to ensure the coordination of the State's economic development activities;
1. To make and enter into contracts, leases, agreements, and purchases necessary for the use, or incidental to the performance of, the commission's duties and the exercise of its powers under the act;
m. To do and perform any acts and things authorized by this act under, through or by means of its own officers, agents and employees, or by contract with any person;
n. To insure against any losses in connection with the commission's properties, operations or assets;
o. To appoint the Executive Director of the commission and to formulate and adopt rules and regulations for the efficient conduct of the work and general administration of the commission, its officers, and employees;
p. To institute or cause to be instituted such legal proceedings or processes as may be necessary to properly enforce and give effect to any of the powers or duties of the Executive Director or the commission; and
q. To develop once every five years an economic development master plan identifying the commission's objectives, policies and programs which will encourage business attraction, expansion, and retention.
##### **§ 52:27C-73.1** Rules, regulations relative to payment of prevailing wage rate; "commission financial {#sec-52-27c-73.1 omnilex-key=us-nj-statutes--title-52--52:27C-73.1}
assistance" defined
3. The commission shall adopt rules and regulations requiring that not less than the prevailing wage rate be paid to workers employed in the performance of any construction contract undertaken in connection with commission financial assistance or undertaken to fulfill any condition of receiving commission financial assistance. The prevailing wage rate shall be the rate determined by the Commissioner of Labor pursuant to the provisions of P.L.1963, c.150 (C.34:11-56.25 et seq.). For the purposes of this section, "commission financial assistance" means any loan, loan guarantee, grant, incentive, tax exemption or other financial assistance approved, funded, authorized, administered or provided by the commission to any entity, including but not limited to, all commission financial assistance received by the entity pursuant to P.L.1996, c.25 (C.34:1B-112 et seq.) that enables the entity to engage in a construction contract, but this shall not be construed as requiring the payment of the prevailing wage for construction commencing more than two years after the assistance is received.
##### **§ 52:27C-74** Legal representation. {#sec-52-27c-74 omnilex-key=us-nj-statutes--title-52--52:27C-74}
14. The Attorney General shall provide legal representation to the commission.
##### **§ 52:27C-75** Examination of accounts, books, records. {#sec-52-27c-75 omnilex-key=us-nj-statutes--title-52--52:27C-75}
15. The Director of the Division of Budget and Accounting, in the Department of the Treasury, the director's legally authorized representatives, and the State Auditor are hereby authorized and empowered from time to time to examine the accounts, books, and records of the commission, and any of its related entities, including its receipts, disbursements, contracts, investments and any other matters relating thereto and to its financial standing.
##### **§ 52:27C-76** Awarding of purchases, contracts, agreements. {#sec-52-27c-76 omnilex-key=us-nj-statutes--title-52--52:27C-76}
16. a. All purchases, contracts, or agreements, where the cost or contract price exceeds the sum of $25,000, or, after January 1, 1999, the amount determined pursuant to subsection b. of this section, shall, except as otherwise provided in this act, be made, negotiated, or awarded only after public advertisement for bids therefor and shall be awarded to that responsible bidder whose bid, conforming to the invitation for bids, is most advantageous to the commission in its judgment, upon consideration of price and other factors. Any bid may be rejected when the commission determines that it is in the public interest to do so.
Any purchase, contract, or agreement, where the cost or contract price is less than or equal to $25,000, or the amount determined pursuant to subsection b. of this section, shall be made, negotiated, or awarded by the commission without advertising and in any manner which the commission, in its judgment, deems necessary to serve its unique interests and purposes and which promotes, whenever practicable, full and free competition by the acceptance of quotations or proposals or by the use of other suitable methods.
b. Commencing January 1, 1999, the Governor, in consultation with the Department of the Treasury, shall no later than March 1 of each odd numbered-year adjust the threshold amount set forth in subsection a. of this section, or subsequent to 1999 the threshold amount resulting from any adjustment under this subsection, in direct proportion to the rise or fall of the consumer price index for all urban consumers in the New York City and the Philadelphia areas as reported by the United States Department of Labor. The Governor shall, no later than June l of each odd-numbered year, notify the commission of the adjustment. The adjustment shall become effective on July 1 of each odd-numbered year.
##### **§ 52:27C-77** Exceptions to requirement of advertising for bids. {#sec-52-27c-77 omnilex-key=us-nj-statutes--title-52--52:27C-77}
17. a. Any purchase, contract, or agreement, where the cost or contract price exceeds the amount set forth in subsection a. of section 16 of P.L.1998, c.44 (C.52:27C-76), or, after January l, 1999, the amount calculated by the Governor pursuant to subsection b. of section 16 of P.L.1998, c.44 (C.52:27C-76) may be made, negotiated, or awarded by the commission without advertisement for bids under the following circumstances:
(1) When the subject matter consists of:
(a) Items or services supplied by a public utility subject to the jurisdiction of the Board of Public Utilities, and tariffs and schedules of the charges made, charged or extracted by the public utility for those items or services which are filed with the commission; or
(b) The purchase, rental, or lease of such office space, office machinery, specialized equipment, buildings or real property as may be necessary for the use, or incidental to the performance, of the commission's duties and the exercise of its powers under this act; or
(2) When any one or more of the following circumstances exist:
(a) Standardization of equipment and interchange ability of parts is in the public interest;
(b) Only one source of supply or service is available;
(c) The exigency of the commission's duties and responsibilities will not admit of advertisement;
(d) More favorable terms can be obtained from a primary source of supply of an item or service;
(e) Bid prices, after advertising, are not reasonable or have not been independently arrived at in open competition, but no negotiated purchase, contract, or agreement may be entered into under this subsection after the rejection of all bids received unless: (i) notification of the intention to negotiate and reasonable opportunity to negotiate is given to each responsible bidder; (ii) the negotiated price is lower than the lowest rejected bid price of a responsible bidder; and (iii) the negotiated price is the lowest negotiated price offered by any responsible bidder;
(f) The purchase is to be made from, or the contract is to be made with, any federal or State government or agency or other entity, or any political subdivision thereof; or
(g) Purchases are made through or by the Director of the Division of Purchase and Property, in the Department of the Treasury, pursuant to section 1 of P.L.1959, c.40 (C.52:27B-56. 1).
b. In any such instances as identified in subsection a. of this section, the commission may make, negotiate, or award the purchase, contract or agreement in any manner which the commission deems necessary to serve its unique interests and purposes and which promotes, whenever practicable, full and free competition by the acceptance of quotations or proposals or by the use of other suitable methods.
c. In any case in which the commission shall make, negotiate, or award a purchase, contract, or agreement without public advertisement pursuant to subsection a. of this section, the commission shall, by resolution passed by the affirmative vote of a majority of its members, specify the subject matter or circumstances set forth in subsection a. which permit the commission to take such action.
##### **§ 52:27C-78** Submission of budget request. {#sec-52-27c-78 omnilex-key=us-nj-statutes--title-52--52:27C-78}
18. The commission shall submit its budget request directly to the Division of Budget and Accounting in the Department of the Treasury in a format to be agreed upon jointly by the commission, the Joint Budget Oversight Committee of the Legislature, or its successor, and the Division of Budget and Accounting.
##### **§ 52:27C-79** Annual report. {#sec-52-27c-79 omnilex-key=us-nj-statutes--title-52--52:27C-79}
19. a. No later than three months after the end of its fiscal year, the commission shall make an annual report of its activities for the preceding fiscal year to the Governor and the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1). Each report shall include, but not be limited to, a description of the short-term and long-term goals of the commission and an assessment of the effectiveness of the commission in meeting such goals, and any recommendations for legislation to improve the effectiveness of the commission.
b. The commission shall include, in the report required by subsection a. of this section, a description setting forth information concerning the imposition, collection and expenditure of the fees imposed by the commission. Each such report shall also set forth a complete operating and financial statement covering the operations of the commission, and any of its related entities, during the year. The commission shall cause an independent audit of its books and accounts to be made at least once in each year by certified public accountants and cause a copy thereof to be filed with the Secretary of State, the Director of the Division of Budget and Accounting, in the Department of the Treasury and the State Auditor.
##### **§ 52:27C-80** Organization of commission. {#sec-52-27c-80 omnilex-key=us-nj-statutes--title-52--52:27C-80}
20. The commission shall organize within 90 days of the effective date of this act and shall be subject to the provisions of the "Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.).
##### **§ 52:27C-81** Status of New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises. {#sec-52-27c-81 omnilex-key=us-nj-statutes--title-52--52:27C-81}
21. a. The New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises, established pursuant to P.L.1985, c.386 (C.34:1B-47 et seq.), is transferred in but not of the Department of the Treasury, but, notwithstanding this transfer, the New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises shall be independent of any supervision and control by the department or by any board or officer thereof.
b. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises, the same shall mean and refer to the New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises in but not of the Department of the Treasury.
c. This transfer shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
d. The New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises may, subject to the commission's approval, develop and promulgate such rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as are necessary to implement the provisions of this act and to effectuate the purposes of the New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises as provided by law.
e. Regulations adopted by the New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:27C-82** Status of New Jersey Economic Development Authority. {#sec-52-27c-82 omnilex-key=us-nj-statutes--title-52--52:27C-82}
22. a. The New Jersey Economic Development Authority, established pursuant to P.L.1974, c.80 (C.34:1B-1 et seq.), is transferred in but not of the Department of the Treasury, but, notwithstanding this transfer, the New Jersey Economic Development Authority shall be independent of any supervision and control by the department or by any board or officer thereof.
b. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the New Jersey Economic Development Authority, the same shall mean and refer to the New Jersey Economic Development Authority in but not of the Department of the Treasury. Notwithstanding the provisions of any law, rule, regulation or order to the contrary, the Board of Directors of the commission shall appoint the executive director of the New Jersey Economic Development Authority.
c. This transfer shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
d. The New Jersey Economic Development Authority may develop and promulgate such rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as are necessary to implement the provisions of this act and to effectuate the purposes of the New Jersey Economic Development Authority as provided by law. Nothing herein shall alter the provisions of section 1 of P.L.1979, c.303 (C.34:1B-5.1).
e. Regulations adopted by the New Jersey Economic Development Authority shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:27C-83** Status of South Jersey Port Corporation. {#sec-52-27c-83 omnilex-key=us-nj-statutes--title-52--52:27C-83}
23. a. The South Jersey Port Corporation, established pursuant to P.L.1968, c.60 (C.12: 11A-1 et seq.), is transferred in but not of the Department of the Treasury, but, notwithstanding this transfer, the South Jersey Port Corporation shall be independent of any supervision and control by the department or by any board or officer thereof.
b. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the South Jersey Port Corporation, the same shall mean and refer to the South Jersey Port Corporation in but not of the Department of the Treasury.
c. This transfer shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
d. Regulations adopted by the South Jersey Port Corporation shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:27C-84** Status of New Jersey Public Broadcasting Authority. {#sec-52-27c-84 omnilex-key=us-nj-statutes--title-52--52:27C-84}
24. a. The New Jersey Public Broadcasting Authority, established pursuant to P.L.1968, c.405 (C.48:23-1 et seq.), is transferred in but not of the Department of the Treasury, but notwithstanding this transfer, the New Jersey Public Broadcasting Authority shall be independent of any supervision and control by the department or by any board or officer thereof. The New Jersey Public Broadcasting Authority shall submit its budget request directly to the Division of Budget and Accounting in the Department of the Treasury.
b. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding, or otherwise, reference is made to the New Jersey Public Broadcasting Authority, the same shall mean and refer to the New Jersey Public Broadcasting Authority in but not of the Department of the Treasury.
c. This transfer shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
d. The New Jersey Department of the Treasury may render administrative assistance including, but not limited to, personnel and fiscal assistance, upon request of the New Jersey Public Broadcasting Authority. The cost and expense of any services rendered may be paid by the New Jersey Public Broadcasting Authority.
e. Regulations adopted by the New Jersey Public Broadcasting Authority shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:27C-85** Status of New Jersey Commission on Science, Innovation and Technology. {#sec-52-27c-85 omnilex-key=us-nj-statutes--title-52--52:27C-85}
25. a. The New Jersey Commission on Science, Innovation and Technology, established pursuant to P.L.1985, c.102 (C.52:9X-1 et seq.), is transferred in but not of the Department of the Treasury, but notwithstanding this transfer, the New Jersey Commission on Science, Innovation and Technology shall be independent of any supervision and control by the department or by any board or officer thereof. Notwithstanding the provisions of any law, rule, regulation, or order to the contrary, the members of the New Jersey Commission on Science and Technology shall appoint the Executive Director of the New Jersey Commission on Science, Innovation and Technology.
b. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding, or otherwise, reference is made to the New Jersey Commission on Science and Technology, the same shall mean and refer to the New Jersey Commission on Science, Innovation and Technology in but not of the Department of the Treasury.
c. This transfer shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
d. The New Jersey Commission on Science, Innovation and Technology may, subject to the commission's approval, develop and promulgate such rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as are necessary to implement the provisions of this act and to effectuate the purposes of the New Jersey Commission on Science and Technology as provided by law.
e. Regulations adopted by the New Jersey Commission on Science, Innovation and Technology shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:27C-86** Status of Motion Picture and Television Development Commission. {#sec-52-27c-86 omnilex-key=us-nj-statutes--title-52--52:27C-86}
26. a. The Motion Picture and Television Development Commission, established pursuant to P.L.1977, c.44 (C.34:1B-22 et seq.), is transferred in but not of the Department of the Treasury, but notwithstanding this transfer, the Motion Picture and Television Development Commission shall be independent of any supervision and control by the department or by any board or officer thereof. Notwithstanding the provisions of any law, rule, regulation or order to the contrary, the Board of Directors of the New Jersey Commerce Commission shall appoint the Executive Director of the Motion Picture and Television Development Commission.
b. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the Motion Picture and Television Development Commission, the same shall mean and refer to the Motion Picture and Television Development Commission in but not of the Department of the Treasury.
c. This transfer shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
d. The Motion Picture and Television Development Commission may, subject to the commission's approval, develop and promulgate such rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as are necessary to implement the provisions of this act and to effectuate the purposes of the Motion Picture and Television Development Commission as provided by law.
##### **§ 52:27C-87** Status of New Jersey Council of Economic Advisors. {#sec-52-27c-87 omnilex-key=us-nj-statutes--title-52--52:27C-87}
27. a. The New Jersey Council of Economic Advisors, established pursuant to P.L.1993, c.149 (C.52:9H-34 et seq.), is transferred in but not of the Department of the Treasury, but notwithstanding this transfer, the New Jersey Council of Economic Advisors shall be independent of any supervision and control by the department or by any board or officer thereof.
b. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the New Jersey Council of Economic Advisors, the same shall mean and refer to the New Jersey Council of Economic Advisors in but not of the Department of the Treasury.
c. This transfer shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
d. The commission may render administrative assistance including, but not limited to, personnel and fiscal assistance to the New Jersey Council of Economic Advisors. The cost and expense of any services rendered may be paid by the New Jersey Council of Economic Advisors, or as is annually provided for in the State budget.
##### **§ 52:27C-88** Status of New Jersey Urban Enterprise Zone Authority. {#sec-52-27c-88 omnilex-key=us-nj-statutes--title-52--52:27C-88}
28. a. The New Jersey Urban Enterprise Zone Authority, established pursuant to P.L.1983, c.303 (C.52:27H-60 et seq.), is transferred in but not of the Department of Treasury, but notwithstanding this transfer, the New Jersey Urban Enterprise Zone Authority shall be independent of any supervision and control by the department or by any board or officer thereof.
b. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the New Jersey Urban Enterprise Zone Authority the same shall mean and refer to the New Jersey Urban Enterprise Zone Authority in but not of the Department of the Treasury.
c. This transfer shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
d. All clerical and professional assistants, and all personnel, procurement, budgetary and other administrative services necessary or incidental to the authority's proper functioning shall be provided by and through the commission, and it shall, subject to the availability of funds, reimburse the commission for all administrative services provided to the authority.
e. The New Jersey Urban Enterprise Zone Authority may, subject to the commission's approval, develop and promulgate such rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as are necessary to implement the provisions of this act and to effectuate the purposes of the New Jersey Urban Enterprise Zone Authority as provided by law.
f. Regulations adopted by the New Jersey Urban Enterprise Zone Authority shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:27C-89** Status of Atlantic City Convention Center Authority. {#sec-52-27c-89 omnilex-key=us-nj-statutes--title-52--52:27C-89}
29. a. The Atlantic City Convention Center Authority, established pursuant to P.L.1981, c.459 (C.52:27H-29 et seq.), is transferred in but not of the Department of the Treasury, but notwithstanding this transfer, the Atlantic City Convention Center Authority shall be independent of any supervision and control by the department or by any board or officer thereof.
b. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the Atlantic City Convention Center Authority, the same shall mean and refer to the Atlantic City Convention Center Authority in but not of the Department of the Treasury.
c. This transfer shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
##### **§ 52:27C-94** Definitions relative to certain set-aside decisions of the New Jersey Commerce and Economic Growth Commission. {#sec-52-27c-94 omnilex-key=us-nj-statutes--title-52--52:27C-94}
1. As used in this act:
"Commission" means the New Jersey Commerce and Economic Growth Commission established pursuant to P.L.1998, c.44 (C.52:27C-61 et seq.).
"Division" means the Division of Development for Small Businesses and Women's and Minority Businesses in the New Jersey Commerce and Economic Growth Commission when used in conjunction with the New Jersey small business set-aside program.
"New Jersey set-aside program" or "set-aside program" means the program established pursuant to the "Set-Aside Act for Small Businesses, Female Businesses, and Minority Businesses," P.L.1983, c.482 (C.52:32-17 et seq.).
"Small business" means a business which has its principal place of business in the State, is independently owned and operated and meets all other qualifications as may be established in accordance with P.L.1987, c.55 (C.52:27H-21.7 et seq.).
##### **§ 52:27C-95** Decisions issued in writing, required contents. {#sec-52-27c-95 omnilex-key=us-nj-statutes--title-52--52:27C-95}
2. a. Notwithstanding the provisions of any law, rule, regulation or order to the contrary, the division shall, after the effective date of this act, issue any initial decision in written form in those cases in which the decision results in the rejection of an application from a small business for eligibility to participate in the set-aside program.
b. The written decision required pursuant to subsection a. of this section shall specify the criteria and procedures used by the division in evaluating an application for eligibility from a small business seeking to participate in the set-aside program and the reasons for rejecting such application. The written decision shall also include, pursuant to regulations adopted by the commission pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), a description of the procedures required to file an appeal of a decision rejecting an application for the set-aside program. The written decision shall be forwarded to the applicant for review within 14 days of issuing the decision.
##### **§ 52:27C-96** Foundation for Technology Advancement; purpose. {#sec-52-27c-96 omnilex-key=us-nj-statutes--title-52--52:27C-96}
1. a. The New Jersey Commerce and Economic Growth Commission is authorized to establish a nonprofit organization to be known as the Foundation for Technology Advancement. The foundation shall be devoted to developing and coordinating programs to support initiatives of the advanced technology industry in New Jersey. The foundation shall develop policies to improve the research, economic, and educational needs important to the advanced technology industry in New Jersey and increase awareness among advanced technology companies as to governmental, community and private resources that may benefit this industry as a whole. The foundation shall discuss the status of the advanced technology industry and anticipate its needs for the future with the purpose of preparing the industry and its workforce to meet these needs. The foundation shall make policy recommendations to the Governor and Legislature as well as recommendations for local and State actions to follow up the foundation's recommendations and consider such other matters relating to advanced technology in New Jersey as the members of the foundation may deem appropriate.
b. The foundation shall be incorporated as a New Jersey nonprofit corporation pursuant to P.L.1983, c.127 (C.15A:1-1 et seq.), and organized and operated in such manner as to be eligible under applicable federal law for tax-exempt status and for the receipt of tax-deductible contributions, and shall be authorized to sue and to be sued as a legal entity separate from the State of New Jersey.
##### **§ 52:27C-97** Foundation's board of trustees. {#sec-52-27c-97 omnilex-key=us-nj-statutes--title-52--52:27C-97}
2. The Foundation for Technology Advancement shall be governed by a 22-member board of trustees who are appointed as follows:
a. The Executive Director of the New Jersey Commerce Commission; the Executive Director of the New Jersey Economic Development Authority; the Executive Director of the New Jersey Commission on Science and Technology; and the Chief Technology Officer in the Office of Information Technology; or their designees, all of whom shall serve ex officio;
b. A faculty member appointed by the president of each of the following academic institutions: The New Jersey Institute of Technology; Rutgers, the State University; and Princeton University, all of whom shall serve ex officio; and
c. Fifteen public members appointed by the Governor as follows: a representative of each of the following organizations: the New Jersey Technology Council, the Biotechnology Council of New Jersey, the Forum for Academicians, Scientists and Technologists of New Jersey, the Strengthening the Mid-Atlantic Region for Tomorrow States Organization, the New Jersey Business and Industry Association, the Commerce and Industry Association of New Jersey, the New Jersey State Chamber of Commerce, the New Jersey Tooling and Manufacturing Association, the Research and Development Council of New Jersey, the American Electronics Association - New Jersey/Pennsylvania Council, and a representative employed by a corporation from each of the following industry sectors: pharmaceuticals, financial services, advanced technology, information technology, and nanotechnology.
Of the public members first appointed, four shall serve for a term of two years, four for a term of three years, four for a term of four years, and three for a term of five years.
Members appointed thereafter shall serve five-year terms, and any vacancy shall be filled by appointment for the unexpired term only. A member is eligible for reappointment. Vacancies in the membership of the foundation shall be filled in the same manner as the original appointments were made.
The members shall elect a chair and vice chair from the membership of the board of trustees.
##### **§ 52:27C-98** Executive director, personnel; contracts. {#sec-52-27c-98 omnilex-key=us-nj-statutes--title-52--52:27C-98}
3. The board of trustees of the Foundation for Technology Advancement shall be authorized, within the limits of its own funds, to employ an executive director and professional, technical and administrative personnel. Employees of the foundation shall not be construed to be employees of the State of New Jersey. The board shall also be authorized to contract for such professional and administrative services as it shall deem necessary. No member of the board of trustees shall engage in any business transaction or professional activity for profit with the State of New Jersey.
##### **§ 52:27C-99** Commission as incorporator of foundation. {#sec-52-27c-99 omnilex-key=us-nj-statutes--title-52--52:27C-99}
4. The New Jersey Commerce and Economic Growth Commission shall be an incorporator of the Foundation for Technology Advancement.
##### **§ 52:27C-100** Adoption of bylaws. {#sec-52-27c-100 omnilex-key=us-nj-statutes--title-52--52:27C-100}
5. Upon the incorporation of the Foundation for Technology Advancement and the establishment of the first board of trustees, the board shall adopt bylaws setting forth the structure, offices, powers and duties of the foundation using the following guidelines. Members of the board of trustees shall serve without compensation, but shall be entitled to reimbursement for necessary expenses incurred in the performance of their duties. The chair may appoint such subcommittees as deemed necessary or desirable, and if a subcommittee is appointed, the members of the subcommittee shall elect one of the members to serve as chair and one of the members to serve as vice-chair.
The foundation shall meet no less than quarterly and at the call of the chair. The foundation shall hold at least four public hearings in different parts of the State, at such times and places as the foundation shall determine. All issues raised by those testifying at the hearings shall be recorded and included, together with the foundation's responses, if any, in the foundation's report to the Governor and the Legislature as required by section 6 of this act.
##### **§ 52:27C-101** Bi-annual report to Governor, Legislature. {#sec-52-27c-101 omnilex-key=us-nj-statutes--title-52--52:27C-101}
6. The Foundation for Technology Advancement shall bi-annually report its findings and recommendations to the Governor and the Legislature. The report shall address the responsibilities as set forth in section 1 of this act, along with all other issues which the foundation finds to be necessarily related.
##### **§ 52:27C-102** Use of funds by foundation; receipt of gifts. {#sec-52-27c-102 omnilex-key=us-nj-statutes--title-52--52:27C-102}
7. All funds received by the Foundation for Technology Advancement, other than those necessary to pay the expenses of the foundation, shall be used exclusively for the establishment, support and promotion of the foundation. The foundation is authorized to receive and administer gifts, contributions, and funds from public and private sources to be expended solely for the purposes provided in section 1 of this act.
##### **§ 52:27C-103** Assistance, services by Department of the Treasury. {#sec-52-27c-103 omnilex-key=us-nj-statutes--title-52--52:27C-103}
8. The State Treasurer is authorized to provide financial assistance and those services of employees of the State which may be required to form and incorporate the Foundation for Technology Advancement within the limits of funds appropriated to the State Treasurer or made available to the Department of the Treasury by contribution, gift, donation or otherwise for these purposes. Once the foundation is incorporated, it may apply for grants in aid from any department or instrumentality of the State of New Jersey.
##### **§ 52:27C-104** Payment of expenses. {#sec-52-27c-104 omnilex-key=us-nj-statutes--title-52--52:27C-104}
9. All expenses incurred by the Foundation for Technology Advancement shall be payable from funds raised by the foundation, and no liability or obligation, in tort or contract, shall be incurred by the State for the operation of the foundation. The foundation shall obtain private counsel, and shall not be represented by the Attorney General or indemnified by the State of New Jersey.
##### **§ 52:27C-105** Annual audit. {#sec-52-27c-105 omnilex-key=us-nj-statutes--title-52--52:27C-105}
10. A certified public accountant shall be selected by the Foundation for Technology Advancement to annually audit the foundation's funds. The foundation shall contract for and receive such audit annually and shall submit the audit to the State Treasurer and the Director of the Division of Budget and Accounting in the Department of the Treasury.
## **Chapter 27D**
##### **§ 52:27D-1** Establishment {#sec-52-27d-1 omnilex-key=us-nj-statutes--title-52--52:27D-1}
There is hereby established in the Executive Branch of the State Government a principal department which shall be known as the Department of Community Affairs.
As used in this act, unless the context clearly indicates otherwise, the word "department" means the Department of Community Affairs established herein.
##### **§ 52:27D-2** Commissioner of community affairs; appointment; term; salary {#sec-52-27d-2 omnilex-key=us-nj-statutes--title-52--52:27D-2}
The administrator and chief executive officer of the department shall be a commissioner, who shall be known as the Commissioner of Community Affairs, and who shall be a person qualified by training and experience to perform the duties of his office. The commissioner shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve at the pleasure of the Governor during the Governor's term of office and until the appointment and qualification of the commissioner's successor. He shall receive such salary as shall be provided by law.
##### **§ 52:27D-3** Powers and duties of commissioner {#sec-52-27d-3 omnilex-key=us-nj-statutes--title-52--52:27D-3}
The commissioner, as administrator and chief executive officer of the department, shall:
(a) Administer the work of the department;
(b) Appoint and remove officers and other personnel employed within the department, subject to the provisions of Title 11 of the Revised Statutes, Civil Service, and other applicable statutes, except as herein otherwise specifically provided;
(c) Perform, exercise and discharge the functions, powers and duties of the department through such divisions as may be established by this act or otherwise by law;
(d) Organize the work of the department in such divisions, not inconsistent with the provisions of this act, and in such bureaus and other organizational units as he may determine to be necessary for efficient and effective operation;
(e) Adopt, issue and promulgate, in the name of the department, such rules and regulations as may be authorized by law;
(f) Formulate and adopt rules and regulations for the efficient conduct of the work and general administration of the department, its officers and employees;
(g) Institute or cause to be instituted such legal proceedings or processes as may be necessary properly to enforce and give effect to any of his powers or duties;
(h) Make an annual report to the Governor and to the Legislature of the department's operations, and render such other reports as the Governor shall from time to time request or as may be required by law;
(i) Co-ordinate the activities of the department, and the several divisions and other agencies therein, in a manner designed to eliminate overlapping and duplicating functions;
(j) Integrate within the department, so far as practicable, all staff services of the department and of the several divisions and other agencies therein;
(k) Maintain suitable headquarters for the department and such other quarters as he shall deem necessary to the proper functioning of the department; and
( l ) Perform such other functions as may be prescribed in this act or by any other law.
##### **§ 52:27D-3.1** Commissioner of Community Affairs to provide written notice of funding {#sec-52-27d-3.1 omnilex-key=us-nj-statutes--title-52--52:27D-3.1}
a. The Commissioner of Community Affairs shall provide written notice to a county or municipality, as appropriate, when any funding is provided to a local or regional housing authority, or to a redevelopment corporation, agency or authority, for the purpose of financing a housing development project within the county or municipality. Such notification shall be made within five calendar days of the decision to provide the funding.
b. In the case of a county organized under the "Optional County Charter Law," P.L.1972, c.154 (C.40:41A-1 et seq.), written notice shall be provided to the county executive or other appropriate executive officer, and to the board of chosen freeholders. In all other counties, written notice shall be provided to the members of the board of chosen freeholders.
In the case of a municipality other than a municipality organized under the council-manager plan pursuant to the "Optional Municipal Charter Law," P.L.1950, c.210 (C.40:69A-1 et seq.), written notice shall be provided to the mayor and to the members of the council. In the case of a municipality organized under the council-manager plan pursuant to the "Optional Municipal Charter Law," P.L.1950, c.210 (C.40:69A-1 et seq.), written notice shall be provided to the manager and to the members of the council.
##### **§ 52:27D-3.2** Written notice of request for grant {#sec-52-27d-3.2 omnilex-key=us-nj-statutes--title-52--52:27D-3.2}
a. The Commissioner of Community Affairs shall provide written notice to a county or municipality when the United States Department of Housing and Urban Development makes any request for information to the Department of Community Affairs relative to the award of a grant for a project within the county or municipality. The Commissioner of Community Affairs shall also provide written notice to a county or municipality when the Director of the Division of Housing and Development in the Department of Community Affairs nominates for a grant from the United States Department of Housing and Urban Development a project which is to be developed within the county or municipality.
b. In the case of a county organized under the "Optional County Charter Law," P.L.1972, c.154 (C.40:41A-1 et seq.), written notice shall be provided to the county executive or other appropriate executive officer, and to the board of chosen freeholders. In all other counties, written notice shall be provided to the members of the board of chosen freeholders.
In the case of a municipality other than a municipality organized under the council-manager plan pursuant to the "Optional Municipal Charter Law," P.L.1950, c.210 (C.40:69A-1 et seq.), written notice shall be provided to the mayor and to the members of the council. In the case of a municipality organized under the council-manager plan pursuant to the "Optional Municipal Charter Law," P.L.1950, c.210 (C.40:69A-1 et seq.), written notice shall be provided to the manager and to the members of the council.
##### **§ 52:27D-3.3** Annual reports on local housing authorities {#sec-52-27d-3.3 omnilex-key=us-nj-statutes--title-52--52:27D-3.3}
1. a. In addition to the annual report required under the provisions of subsection (h) of section 3 of P.L.1966, c.293 (C.52:27D-3) and such other reports as may otherwise be required by law, the Commissioner of Community Affairs shall submit a separate annual report to the Governor and the Legislature concerning the activities and management of each local or regional housing authority which operates pursuant to the "Local Housing Authorities Law," R.S.55:14A-1 et seq. or the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et al.).
b. The report, which shall be presented in a manner and form prescribed by the commissioner, shall be designed to provide the Governor and the Legislature with an assessment of the effectiveness of each of those local housing authorities subject to the provisions of this act. In developing the manner and form of the report, the commissioner shall consult with the Council of Large Public Housing Authorities regarding appropriate performance measurements of the effectiveness of those local housing authorities subject to the provisions of this act. The measures of effectiveness shall include, but not be limited to: vacancy number and percentage thereof; use of modernization grants; rent collection; energy consumption; unit turnaround time; work order completion time; unit and system inspections; tenant accounts receivable; operating reserves; expense to income ratio; and initiatives relating to the creation of a drug-free environment, the promotion of homeownership opportunities, resident management, economic development, and the use of grants to develop new public housing. The report shall include a synopsis, explanation, and evaluation of the information contained in the reports prepared by the U.S. Department of Housing and Urban Development as part of the Public Housing Management Assessment Program or any similar public housing assessment program administered by the federal government. The report shall include also any evaluation of the status of any improvement plans or memoranda of agreement between the federal government and a local housing authority which the federal government required for the purpose of improving the effectiveness of that local housing authority.
##### **§ 52:27D-3.4** Report on violent crimes in certain types of housing. {#sec-52-27d-3.4 omnilex-key=us-nj-statutes--title-52--52:27D-3.4}
1. a. Not later than September 1st of each year, the executive director of a housing authority created pursuant to the "Local Housing Authorities Law," P.L.1938, c.19 (C.55:14A-1 et seq.) or the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et seq.) and the owner of a property consisting of 10 or more rental units receiving project-based federal section 8 rental assistance, hereinafter "project-based housing,"shall report to the Commissioner of Community Affairs, on a form prepared and provided by the commissioner for this purpose, the number and type of violent crimes, as those crimes are delineated in the most recently issued Uniform Crime Report, published by the Department of Law and Public Safety, and drug offenses, as those offenses are enumerated in the "Comprehensive Drug Reform Act of 1987," N.J.S.2C:35-1 et al., involving the use, possession, manufacture, dispensing or distribution of a controlled dangerous substance, controlled dangerous substance analog or drug paraphernalia, committed on property owned by the housing authority or committed on project-based housing, respectively, at any time during the preceding State fiscal year. The report shall also include the amount expended by the housing authority or the project-based housing entity for drug elimination and crime prevention and control.
b. Not later than January 1st of each year, the commissioner shall prepare and distribute to each member of the Legislature a report displaying all of the information reported by each housing authority and project-based housing entity required to report under this act. The report shall also assimilate and analyze the information reported by each housing authority and project-based housing entity required to report under this act.
c. The commissioner shall promulgate rules and regulations necessary to effectuate the provisions of this act pursuant to the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), not later that the 90th day following the effective date of P.L.2003, c.254 (C.52:27D-3.4 et al.).
##### **§ 52:27D-3.5** Notification of availability of earned income tax credit for recipients of certain rental assistance. {#sec-52-27d-3.5 omnilex-key=us-nj-statutes--title-52--52:27D-3.5}
3. The Commissioner of Community Affairs shall notify in writing any person who received rental assistance under the program authorized pursuant to section 8 of the United States Housing Act of 1937 as added by the Housing and Community Development Act of 1974, Pub. L.93-383 (42 U.S.C. s.1437f) of the availability of the earned income tax credit provided in section 32 of the federal Internal Revenue Code of 1986, 26 U.S.C. s.32, and the New Jersey earned income tax credit provided in section 2 of P.L.2000, c.80 (C.54A:4-7). The written notification shall use the statement developed by the State Treasurer pursuant to section 4 of P.L.2005, c.210 (C.52:18-11.3) for this purpose. The notification shall be distributed in a manner deemed by the commissioner to be the most practicable and cost effective, but that will ensure personal notification of each person. The notification shall be distributed between January 1 and February 15 of each calendar year following the calendar year in which the person or couple received the assistance. The commissioner shall consult annually with the Commissioner of Human Services in an effort to take such reasonable actions as may be necessary to avoid the distribution of more than one notice to a person who is eligible to receive a notice under this section and section 2 of P.L.2005, c.210 (C.30:1-2.5). If the recipient of the assistance was a married couple, only one notice addressed to either the husband or wife, or both, shall be required.
##### **§ 52:27D-3.6** Model notice. {#sec-52-27d-3.6 omnilex-key=us-nj-statutes--title-52--52:27D-3.6}
3. The Commissioner of Community Affairs, not later than the first day of the sixth month next following enactment of P.L.2017, c.266 (C.40:48-2.67 et al.), shall promulgate a model notice to be used by municipalities that determine to maintain a list pursuant to section 1 of P.L.2017, c.266 (C.40:48-2.67).
##### **§ 52:27D-4** Assistant commissioners; appointment; salary; powers and duties {#sec-52-27d-4 omnilex-key=us-nj-statutes--title-52--52:27D-4}
The commissioner shall be assisted in the performance of his duties by 2 Assistant Commissioners of Community Affairs, who shall be persons qualified by training and experience to perform the duties of their offices. Each assistant commissioner shall be appointed by the commissioner and shall serve at the pleasure of the commissioner and until said assistant commissioner's successor has been appointed and has qualified. Each assistant commissioner shall receive such salary as shall be provided by law, and shall perform such duties as the commissioner shall prescribe, to be exercised under the supervision and direction of the commissioner. The commissioner also may delegate to subordinate officers or employees in the department such of his powers as he may deem desirable, to be exercised under his supervision and direction.
##### **§ 52:27D-5** Designation of person to perform duties during absence, disability, death or resignation of commissioner; approval by governor {#sec-52-27d-5 omnilex-key=us-nj-statutes--title-52--52:27D-5}
The commissioner shall designate any officer or employee in the department to perform all of the powers, functions and duties of the commissioner during the absence or disability of the commissioner. Such designation shall be subject to the approval of the Governor, and shall be in writing and filed with the Secretary of State. In the event that the commissioner shall die, resign or be removed from his office or become disqualified to execute the duties of his office or a vacancy shall occur in the office of commissioner for any cause whatever, the person designated as aforesaid shall have and exercise the powers and perform the functions, powers and duties of the commissioner until the successor of the commissioner is appointed and shall qualify.
##### **§ 52:27D-6** Organization of department. {#sec-52-27d-6 omnilex-key=us-nj-statutes--title-52--52:27D-6}
6. (a) There is hereby established in the Department of Community Affairs an Office of Community Services, a Division of Local Finance, a Division of Housing and Urban Renewal, a Division of State and Regional Planning, a Division on Aging, a Division of Youth, and an Office of Economic Opportunity.
The commissioner also shall have authority to organize and maintain in the commissioner's offices an administrative division and to assign to employment therein such secretarial, clerical and other assistants in the department as his office and the internal operations of the department shall require.
(b) In addition, the commissioner shall have the authority to reorganize the department and the several divisions, offices, bureaus and agencies established therein, in any manner which he deems to be necessary and desirable.
##### **§ 52:27D-7** New Jersey office of economic opportunity continued in department of community affairs {#sec-52-27d-7 omnilex-key=us-nj-statutes--title-52--52:27D-7}
The New Jersey Office of Economic Opportunity created by Executive Order No. 17 of 1964, together with all of its functions, powers and duties, is transferred to and constituted the Office of Economic Opportunity in the Department of Community Affairs. Such office, by and through its director, shall continue to have all of the powers and shall exercise all of the functions and duties vested in, or imposed upon, it by said executive order or by any law, subject to the supervision and control of the commissioner. The Director and deputy Director of the Office of Economic Opportunity shall be appointed by the commissioner to serve at the pleasure of the commissioner and until their respective successors and appointed and have qualified; provided, that the persons in office as Director and deputy Director of the New Jersey Office of Economic Opportunity on the effective date of this act shall hold the respective offices of Director and deputy Director of the Office of Economic Opportunity in the Department of Community Affairs established hereunder at the pleasure of the Governor and until their respective successors are appointed by the commissioner and have qualified.
##### **§ 52:27D-8** Transfer of powers and duties exercised by commissioner of conservation and economic development {#sec-52-27d-8 omnilex-key=us-nj-statutes--title-52--52:27D-8}
All functions, powers and duties heretofore exercised by the Commissioner of Conservation and Economic Development or his designated representative pursuant to the Regional Advisory Council Act of 1962 (chapter 46, laws of 1962), the Tri-State Transportation Compact (chapter 12, laws of 1965), the Redevelopment Agencies Law (chapter 306, laws of 1949) and the Delaware Valley Urban Area Compact (chapter 149, laws of 1966), and all amendments and supplements to said acts, are hereby transferred to and vested in the Commissioner of Community Affairs.
##### **§ 52:27D-9** Additional powers and duties. {#sec-52-27d-9 omnilex-key=us-nj-statutes--title-52--52:27D-9}
9. The department shall, in addition to other powers and duties invested in it by this act, or by any other law:
(a) Assist in the coordination of State and Federal activities relating to local government;
(b) Advise and inform the Governor on the affairs and problems of local government and make recommendations to the Governor for proposed legislation pertaining thereto;
(c) Encourage cooperative action by local governments, including joint service agreements, regional compacts and other forms of regional cooperation;
(d) Assist local government in the solution of its problems, to strengthen local self-government;
(e) Study the entire field of local government in New Jersey;
(f) Collect, collate, publish and disseminate information necessary for the effective operation of the department and useful to local government;
(g) Maintain an inventory of data and information and act as a clearing house and referral agency for information on State and Federal services and programs;
(h) Stimulate local programs through publicity, education, guidance and technical assistance concerning Federal and State programs;
(i) Convene meetings of municipal, county or other local officials to discuss ways of cooperating to provide service more efficiently and economically;
(j) Maintain and make available on request a list of persons qualified to mediate or arbitrate disputes between local units of government arising from joint service projects or other cooperative activities, and further to prescribe rates of compensation for all such mediation, factfinding or arbitration services; and
(k) Post on the department's website the annual budget and three immediately preceding adopted budgets of any municipality or county that does not maintain its own website pursuant to the requirements of N.J.S.40A:4-10.
##### **§ 52:27D-9.1** Educational program concerning rights of grandparents {#sec-52-27d-9.1 omnilex-key=us-nj-statutes--title-52--52:27D-9.1}
The Department of Community Affairs shall develop a program which: a. makes grandparents aware of their rights under P.L.1971, c. 420 (C. 9:2-7.1) which establishes visitation rights for grandparents in cases involving the custody and visitation of the child, such as divorce cases; and b. informs divorcing parents as to the utility, to the child, of regular and frequent visitation with grandparents.
##### **§ 52:27D-9.2** Development of program; consultation with courts and bar association {#sec-52-27d-9.2 omnilex-key=us-nj-statutes--title-52--52:27D-9.2}
The Department of Community Affairs shall develop this outreach and educational program in consultation with the Administrative Office of the Courts and the New Jersey State Bar Association. The program shall utilize such items as handbooks, pamphlets, public forums and other appropriate outlets to advise grandparents of their rights under the law.
##### **§ 52:27D-9.3** Regulations {#sec-52-27d-9.3 omnilex-key=us-nj-statutes--title-52--52:27D-9.3}
Subject to the "Administrative Procedure Act," P.L.1968, c. 410 (C. 52:14B-1 et seq.), the Commissioner of the Department of Community Affairs shall adopt all regulations necessary to effectuate the purposes of this act.
##### **§ 52:27D-9.4** Schedule, toll-free telephone number, online application, established, Low Income Home Energy Assistance Program, receipt of benefits. {#sec-52-27d-9.4 omnilex-key=us-nj-statutes--title-52--52:27D-9.4}
1. a. The Department of Community Affairs shall establish a schedule of days and hours of operation, a toll-free telephone number, and a downloadable application on its Internet website to facilitate the receipt of benefits under the federal Low Income Home Energy Assistance Program, established pursuant to 42 U.S.C. s.8621 et seq. Within six months following the effective date of P.L.2023, c.11 (C.52:27D-9.4), the department shall make available all application materials for the federal Low Income Home Energy Assistance Program, including the downloadable application required under this subsection, in each of the five most commonly spoken languages in the State, as determined by the department.
b. The department shall prepare and annually update a handbook containing the governing policies and eligibility requirements for the federal Low Income Home Energy Assistance Program. The department shall annually distribute copies of the handbook and its updates to each agency designated by the department to obtain, review, and process applications for benefits under that program.
c. The department shall adopt training sessions regarding the Low Income Home Energy Assistance Program that cover subjects including, but not limited to, enrollment procedures, eligibility requirements, and fraud detection. The training sessions shall be provided on a quarterly basis and open to any agency that obtains, reviews, and processes applications under that program.
d. (1) Each director, manager, supervisor, and employee of an agency that obtains, reviews, and processes Low Income Home Energy Assistance Program applications, including any person who performs or supervises such program work, shall read the annually updated handbooks distributed by the department pursuant to subsection b. of this section and shall comply with the policies and procedures set forth therein for the applicable year.
(2) Each supervisor of an agency that obtains, reviews, and processes Low Income Home Energy Assistance Program applications, including any person who supervises such program work, shall attend the quarterly training sessions provided by the department pursuant to subsection c. of this section.
e. The department shall establish an open and competitive process, utilizing an annual request for proposal to be developed and issued by the department, to award grants to qualified nonprofit organizations to serve as agencies that obtain, review, and process Low Income Home Energy Assistance Program applications. The annual request for proposal developed and issued by the department pursuant to this subsection shall detail the necessary qualifications that a qualified nonprofit organization is required to meet to serve as an agency that obtains, reviews, and processes Low Income Home Energy Assistance Program applications. The annual request for proposal shall be fully compliant with federal laws and regulations and subject to final approval by the Director of the Division of Housing and Community Resources in the department.
For the purposes of this subsection, "qualified nonprofit organization" means a New Jersey-based organization that is incorporated, organized, and operated in such a manner as to qualify as a nonprofit corporation described in section 501(c)(3) of the federal Internal Revenue Code (26 U.S.C. s.501(c)(3)).
f. The department may disqualify an agency from serving as an agency that obtains, reviews, and processes Low Income Home Energy Assistance Program applications for failure to substantially comply with the requirements of subsection d. of this section.
g. The Commissioner of Community Affairs shall promulgate rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), in order to effectuate the provisions of this act.
##### **§ 52:27D-9.5** Memorandum of understanding, utility assistance program, Division of Housing and Community Resources, consolidated application portal. {#sec-52-27d-9.5 omnilex-key=us-nj-statutes--title-52--52:27D-9.5}
1. a. As used in this section:
"Department" means the Department of Community Affairs.
"Director" means the Director of the Division of Housing and Community Resources in the Department of Community Affairs.
"Division" means the Division of Housing and Community Resources in the Department of Community Affairs.
"State agency" means any department, division, office, board, commission, council, or bureau in the Executive branch of State government.
"Statewide nonprofit energy assistance organization" means a nonprofit organization designated pursuant to P.L.2000, c.132 (C.48:2-29.38 et seq.).
b. Notwithstanding any provision of law, rule, or regulation to the contrary, the Division of Housing and Community Resources shall enter into a memorandum of understanding with each State agency and Statewide nonprofit energy assistance organization that administers its own utility assistance program providing financial assistance to residential customers for utility bill payments or energy efficiency measures and that is not currently included in the division’s existing consolidated application portal to be included in the division’s consolidated, user-friendly Internet website-based application form for those programs on the department’s Internet website. Each State agency and Statewide nonprofit energy assistance organization identified by the department pursuant to this section shall enter into a memorandum of understanding with the department and shall assist the department in updating the consolidated application, if applicable, including alerting the department of temporary programs that provide financial assistance to residential customers for utility bill payments or energy efficiency measures that the State agency or Statewide nonprofit energy assistance organization may be directed to administer, so that the department may integrate that temporary program into the consolidated application form.
c. The Department of Community Affairs, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations it deems necessary to effectuate the purposes of this act.
##### **§ 52:27D-10** Grants; approval; expenditures {#sec-52-27d-10 omnilex-key=us-nj-statutes--title-52--52:27D-10}
The department, or any of the divisions established hereunder, may, subject to the approval of the Governor and Commissioner of Community Affairs, apply for and accept grants from the Federal Government or any agency thereof, or from any foundation, corporation, association or individual, and may comply with the terms, conditions and limitations thereof, for any of the purposes of the department, or of such division. Any money so received may be expended by the department, or such division, subject to any limitations imposed in such grants to effect any of the purposes of the department, or of such division, as the case may be, upon warrant of the Director of the Division of Budget and Accounting of the Department of the Treasury on vouchers certified and approved by the Commissioner of Community Affairs.
##### **§ 52:27D-10.1** Computerized communication network fees, exceptions. {#sec-52-27d-10.1 omnilex-key=us-nj-statutes--title-52--52:27D-10.1}
39. The Commissioner of Community Affairs after consultation with the State Board of Education, and the Administrator of the Office of Information Technology, may adopt regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to charge appropriate fees for use of a computerized communication network that may be established by the State for the conduct of government activities except that no fee shall be charged to local units of government and school districts. Such regulations may authorize any nonprofit corporation organized pursuant to Title 15A of the New Jersey Statutes, whose purposes support the administration of, or personnel engaged in, government or educational services, to utilize such network for communication with the members of such nonprofit corporations in the conduct of government or organizational activities; except that such networks shall not be used to directly lobby State officials with regard to legislation or by organizations that represent employees for the purpose of conducting collective negotiations with public employers.
##### **§ 52:27D-10.2** Definitions relative to Smart Growth Ombudsman. {#sec-52-27d-10.2 omnilex-key=us-nj-statutes--title-52--52:27D-10.2}
1. As used in sections 2 and 3 of P.L.2004, c.89 (C.52:27D-10.3 and C.52:27D-10.4):
"Applicant" means any person applying for a permit pursuant to section 5, 7, 9 or 10 of P.L.2004, c.89 (C.13:1D-145, C.27:1E-2, C.52:27D-10.6 or C.13:1D-146);
"Ombudsman" or "Smart Growth Ombudsman" means the Smart Growth Ombudsman appointed by the Governor pursuant to section 2 of P.L.2004, c.89 (C.52:27D-10.3);
"Permit" means any permit or approval issued by the Department of Environmental Protection, pursuant to any law, or any rule or regulation adopted pursuant thereto, provided that "permit" shall not include any approval of a grant, or a permit issued pursuant to the "Coastal Area Facility Review Act," P.L.1973, c.185 (C.13:19-1 et seq.), the "Air Pollution Control Act (1954)," P.L.1954, c.212 (C.26:2C-1 et seq.), the "Solid Waste Management Act," P.L.1970, c.39 (C.13:1E-1 et seq.), or the "Radiation Protection Act," P.L.1958, c.116 (C.26:2D-1 et seq.), any permit or approval issued by the Department of Transportation pursuant to any law, or any rule or regulation adopted pursuant thereto, or any permit or approval required as a condition of development or redevelopment issued by the Department of Community Affairs pursuant to any law or any rule or regulation adopted pursuant thereto;
"Person" means any individual, corporation, company, partnership, firm, association, owner or operator of a treatment works, political subdivision of this State, or State or interstate agency; and
"Smart growth area" means an area designated pursuant to P.L.1985, c.398 (C.52:18A-196 et seq.) as Planning Area 1 (Metropolitan), Planning Area 2 (Suburban), a designated center, or a designated growth center in an endorsed plan; a smart growth area and planning area designated in a master plan adopted by the New Jersey Meadowlands Commission pursuant to subsection (i) of section 6 of P.L.1968, c.404 (C.13:17-6); a growth area designated in the comprehensive management plan prepared and adopted by the Pinelands Commission pursuant to section 7 of the "Pinelands Protection Act," P.L.1979, c.111 (C.13:18A-8); an urban enterprise zone designated pursuant to P.L.1983, c.303 (C.52:27H-60 et seq.) or P.L.2001, c.347 (C.52:27H-66.2 et al.); an area determined to be in need of redevelopment pursuant to sections 5 and 6 of P.L.1992, c.79 (C.40A:12A-5 and 40A:12A-6) and as approved by the Department of Community Affairs; or similar areas designated by the Department of Environmental Protection.
##### **§ 52:27D-10.3** Smart Growth Ombudsman in DCA. {#sec-52-27d-10.3 omnilex-key=us-nj-statutes--title-52--52:27D-10.3}
2. a. There is created in the Department of Community Affairs a Smart Growth Ombudsman. The Smart Growth Ombudsman shall be appointed by the Governor, serve at the pleasure of the Governor, and report to the Governor.
b. The activities and duties of the Smart Growth Ombudsman shall be funded out of revenues collected pursuant to the fee schedule adopted pursuant to subsection d. of section 5, subsection d. of section 7 and subsection d. of section 9 of P.L.2004, c.89 (C.13:1D-145, C.27:1E-2 and C.52:27D-10.6) and remitted to the Smart Growth Ombudsman.
c. The Smart Growth Ombudsman may call upon the assistance of the services of those employees of any State, county or municipal department, board, bureau, commission or agency as may be required and as may be necessary for its purposes. In addition, the Smart Growth Ombudsman may call upon any department, agency or office of the State of New Jersey for such documents, materials and information as it may deem necessary.
##### **§ 52:27D-10.4** Duties of Smart Growth Ombudsman. {#sec-52-27d-10.4 omnilex-key=us-nj-statutes--title-52--52:27D-10.4}
3. The Smart Growth Ombudsman shall:
a. in conjunction with the Directors of the Divisions of Smart Growth established pursuant to sections 5, 7 and 9 of P.L.2004, c.89 (C.13:1D-145, C.27:1E-2 and C.52:27D-10.6), review all relevant permit programs and requirements and make recommendations to the Governor and the departments regarding integration of multiple review and approval processes and recommendations on those permits for which approval may be expedited in smart growth areas through mechanisms such as permits-by-rule, general permits or qualification of professionals;
b. maintain and operate an informational website which shall enable any person to gain access to information regarding the statutory obligations and authority of the Smart Growth Ombudsman, including those services which the ombudsman may provide to State permit applicants to facilitate or expedite permit approval and issuance;
c. at the request of an applicant, participate in the permit application and review process to ensure compliance with the time frames set forth in subsection c. of section 5, subsection c. of section 7 or subsection c. of section 9, or subsections c. and d. of section 10, as the case may be, of P.L.2004, c.89 (C.13:1D-145, C.27:1E-2, C.52:27D-10.6 or C.13:1D-146);
d. review any new rules or regulations proposed by any State agency and determine whether the proposed rules or regulations, as they pertain to the smart growth areas, are consistent with the State Development and Redevelopment Plan. In the event that the Smart Growth Ombudsman determines that the proposed rules or regulations in the smart growth areas are not consistent with the State Development and Redevelopment Plan, the Smart Growth Ombudsman shall return the proposed rules or regulations to the State agency with recommended amendments necessary to make the proposed rules or regulations consistent with the State Development and Redevelopment Plan. A State agency shall not file proposed new rules or regulations for publication in the New Jersey Register unless and until the Smart Growth Ombudsman determines the proposed rules or regulations in the smart growth areas are consistent with the State Development and Redevelopment Plan. The requirements of this section may be waived upon a written determination by the Chief Counsel to the Governor that the proposed rules or regulations are required to implement a federal or State mandate; and
e. one year after the date of enactment of this act and annually thereafter, prepare a report which shall be transmitted to the Governor and the Legislature summarizing the activities of the ombudsman, including, but not limited to, a description of the permits, permit mechanisms, and permit processes that have been streamlined, a list of permit applications in which the ombudsman has participated, any rules or regulations that have been reviewed and the consistency determinations made by the ombudsman, and a report concerning the programs established for the registration and qualification of professionals by the Director of the Division of Smart Growth in the Department of Environmental Protection, the Department of Transportation, and the Department of Community Affairs.
As used in this section, "State agency" shall not include the Pinelands Commission established pursuant to P.L.1979, c.111 (C.13:18A-1 et seq.), the Highlands Water Protection and Planning Council established pursuant to P.L.2004, c.120 (C.13:20-1 et al.), or the New Jersey Meadowlands Commission established pursuant to P.L.1968, c.404 (C.13:17-1 et seq.), or any independent authority or commission.
##### **§ 52:27D-10.5** Definitions relative to smart growth in DCA and expedited permits. {#sec-52-27d-10.5 omnilex-key=us-nj-statutes--title-52--52:27D-10.5}
8. As used in section 9 of P.L.2004, c.89 (C.52:27D-10.6):
"Applicant" means any person applying for a permit pursuant to section 9 of P.L.2004, c.89 (C.52:27D-10.6);
"Ombudsman" or "Smart Growth Ombudsman" means the Smart Growth Ombudsman appointed by the Governor pursuant to section 2 of P.L.2004, c.89 (C.25:27D-10.3);
"Permit" means any permit or approval required as a condition of development or redevelopment and issued by the Department of Community Affairs pursuant to any law or any rule or regulation adopted pursuant thereto;
"Person" means any individual, corporation, company, partnership, firm, association, owner or operator of a treatment works, political subdivision of this State, or State or interstate agency; and
"Smart growth area" means an area designated pursuant to P.L.1985, c.398 (C.52:18A-196 et seq.) as Planning Area 1 (Metropolitan), Planning Area 2 (Suburban), a designated center, or a designated growth center in an endorsed plan; a smart growth area and planning area designated in a master plan adopted by the New Jersey Meadowlands Commission pursuant to subsection (i) of section 6 of P.L.1968, c.404 (C.13:17-6); a growth area designated in the comprehensive management plan prepared and adopted by the Pinelands Commission pursuant to section 7 of the "Pinelands Protection Act," P.L.1979, c.111 (C.13:18A-8); an urban enterprise zone designated pursuant to P.L.1983, c.303 (C.52:27H-60 et seq.) or P.L.2001, c.347 (C.52:27H-66.2 et al.); an area determined to be in need of redevelopment pursuant to sections 5 and 6 of P.L.1992, c.79 (C.40A:12A-5 and 40A:12A-6) and as approved by the Department of Community Affairs; or similar areas designated by the Department of Environmental Protection.
##### **§ 52:27D-10.6** Division of Smart Growth established in DCA. {#sec-52-27d-10.6 omnilex-key=us-nj-statutes--title-52--52:27D-10.6}
9. a. There is established in the Department of Community Affairs a Division of Smart Growth under the direction of a director, who shall be appointed by the Governor and report to the Commissioner of Community Affairs. The director shall review and take action on permits for which the applicant has requested expedited review pursuant to this section.
b. The director shall coordinate and expedite the review of permits issued by the division with the Smart Growth Ombudsman appointed pursuant to section 2 of P.L.2004, c.89 (C.52:27D-10.3).
c. (1) An applicant may request an expedited permit application review for a proposed project in a smart growth area. In order to qualify for expedited permit application review pursuant to this section, an applicant shall include with a permit application all necessary documentation, a request for expedited permit application review, and the permit fee established in accordance with subsection d. of this section. The permit application shall be signed by the applicant and by a professional qualified and registered in accordance with subsection e. of this section, certifying that a permit application is complete and that the statutory and regulatory requirements for the permit have been met by the applicant. A copy of the application and the request shall also be submitted to the ombudsman and to the clerk of the municipality and the clerk of the county in which the proposed project is located. A permit application that qualifies for expedited permit application review pursuant to this section shall be subject to the following time frames:
(a) the division shall notify an applicant within 20 days after the filing date if the permit application lacks a submission identified on a checklist therefor, or a submission has not been completed. If an application, including the permit fee and all necessary documentation, is determined to be complete or if a notice of incompleteness is not provided within 20 days after the filing of the application, the application shall be deemed complete for purposes of commencing a technical review;
(b) the division shall notify an applicant if the permit application is technically complete or issue a notice of deficiency within 45 days after the filing of the application. If an application is determined to be technically complete, or if a notice of deficiency is not issued within 45 days after the filing of the application, the application shall be deemed technically complete. A notice of deficiency shall itemize all deficiencies that must be addressed in order for the application to be determined technically complete. A notice of deficiency shall be deemed exclusive and further review for technical completeness shall be limited to the items so identified;
(c) the division shall take action on a technically complete permit application within 45 days, except that this time period may be extended for a 30-day period by the mutual consent of the applicant and the department. In the event that the department fails to take action on an application for a permit within the 45-day period specified herein, then the application shall be deemed to have been approved; and
(d) if more than one notice of deficiency is issued by the division, the applicant may request an expedited hearing in accordance with section 14 of P.L.2004, c.89 (C.52:14F-17) to determine whether the application is technically complete.
(2) Nothing in this subsection shall supersede shorter periods for department action provided by applicable law.
d. The direct and indirect costs of personnel, equipment, operating expenses, and activities of the division shall be funded solely through permit fees for permits issued in the smart growth areas. The department shall, in consultation with the ombudsman, establish permit fees necessary for the department to administer and enforce the program. The fee schedule established pursuant to this subsection shall include the department's pro rata share of the budget of the Smart Growth Ombudsman. Within 30 days after the date of enactment of P.L.2004, c.89 (C.52:27D-10.2 et al.), the department, in consultation with the ombudsman, shall publish a schedule of permit fees in the New Jersey Register and may amend the fee schedule as necessary. The fee schedule may provide for increased fees for complex projects.
e. (1) The Director of the Division of Smart Growth shall, within 120 days after the date of enactment of P.L.2004, c.89 (C.52:27D-10.2 et al.), develop a program for the qualification and registration of professionals who shall certify that a permit application is complete and that the statutory and regulatory requirements for the permit have been met by the applicant. The requirements for qualification and registration may include, but shall not be limited to, professional licensure relevant to the subject matter of the permit, a review of projects undertaken by the professional applying for qualification and registration, and a review of the nature of the professional's services provided on each project.
(2) The director shall include in the program for the qualification and registration of professionals any standards or requirements necessary for proper administration and enforcement of the provisions of P.L.2004, c.89 (C.52:27D-10.2 et al.), and shall provide for the suspension or revocation of the qualification and registration of professionals as provided in this subsection.
(3) Any person who negligently violates any requirement of the program established by the department for the qualification and registration of professionals may lose professional licensure for one year, may be barred from qualification and registration for a period of three years, and the firm with which that individual is associated may be barred from seeking qualification and registration for a period of three years.
(4) If a person willfully or recklessly violates any requirement of the program established by the department for the qualification and registration of professionals, that individual shall lose professional licensure for one year, shall be permanently barred from qualification and registration, and the firm with which that individual is associated shall be permanently barred from seeking qualification and registration.
(5) Prior to any suspension, revocation, or failure to renew a person's qualification and registration, the department shall afford the person or firm an opportunity for a hearing in accordance with the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), except that, if the department has reason to believe that a condition exists which poses an imminent threat to the public health, safety or welfare, it may order the immediate suspension of qualification and registration pending the outcome of the hearing.
f. The director, after consultation with the Smart Growth Ombudsman, may adopt rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as appropriate to implement the requirements of this section and to encourage development in the smart growth areas.
g. Nothing in this section shall be construed or implemented in such a way as to modify any requirement of law that is necessary to retain federal delegation to, or assumption by, the State of the authority to implement a federal law or program.
h. Applications for an expedited permit application review pursuant to subsection c. of this section shall not be accepted until 120 days following the date of enactment of P.L.2004, c.89 (C.52:27D-10.2 et al.). Applications pending on the date of enactment of P.L.2004, c.89 (C.52:27D-10.2 et al.) shall, upon request of the applicant, be processed in the expedited permit application review program when it becomes effective. A permit application that is the subject of a request under this provision shall be transferred to the Division of Smart Growth for processing in accordance with P.L.2004, c.89 (C.52:27D-10.2 et al.).
##### **§ 52:27D-12** Compensation of council members {#sec-52-27d-12 omnilex-key=us-nj-statutes--title-52--52:27D-12}
All members of the council shall serve without compensation but shall be reimbursed for their actual expenses in attending the meetings of the council and in the performance of their other duties.
##### **§ 52:27D-13** Duties of council {#sec-52-27d-13 omnilex-key=us-nj-statutes--title-52--52:27D-13}
It shall be the duty of the council to consult with and advise the commissioner with respect to the affairs and problems of local government and the work of the department, and to conduct such studies of specific local governmental problems as the commissioner may from time to time direct.
##### **§ 52:27D-14** Meetings {#sec-52-27d-14 omnilex-key=us-nj-statutes--title-52--52:27D-14}
The council shall meet at least once annually at the call of the commissioner and at such other times as the council shall determine, the time and place of such other meetings to be fixed by resolution of the council.
##### **§ 52:27D-15** Furnishing equipment and staff for council {#sec-52-27d-15 omnilex-key=us-nj-statutes--title-52--52:27D-15}
It shall be the responsibility of the department to furnish such equipment and staff as is necessary to implement the work of the council within the limits of appropriations for the purpose.
##### **§ 52:27D-16** Office of community services; director; appointment; salary; duties {#sec-52-27d-16 omnilex-key=us-nj-statutes--title-52--52:27D-16}
The Office of Community Services shall be under the immediate supervision of a director, who shall be a person qualified by training and experience to direct the work of such office. The director shall be appointed by the commissioner and shall serve at the pleasure of the commissioner and until the director's successor is appointed and has qualified. He shall receive such salary as shall be provided by law.
The director shall administer the work of the office under the direction and supervision of the commissioner, and shall perform such other functions of the department as the commissioner may prescribe.
##### **§ 52:27D-17** Powers and duties of office of community services {#sec-52-27d-17 omnilex-key=us-nj-statutes--title-52--52:27D-17}
In addition to other functions, powers and duties vested in it by this act or by any other law, the department shall, through the Office of Community Services:
(a) Render advice, guidance and information to local officials with respect to the governmental problems of the particular communities which they represent;
(b) Assist local officials in bringing specific governmental problems to the attention of the appropriate State, Federal or private agencies;
(c) Collect, collate and disseminate information pertaining to the problems and affairs of local government, including information as to all available State, Federal and private programs and services designed to render advice and assistance in furtherance of community development projects and other activities of local government;
(d) Carry on and encourage research on the problems and affairs of local government, including, but not limited to, local taxation, fiscal affairs, governmental organization, community planning and development, purchasing, and intergovernmental co-operation;
(e) Render advice and assistance to local governments concerning joint service agreements, regional compacts, and other forms of intergovernmental co-operation;
(f) Advise the commissioner on local governmental problems and affairs, and proposed legislation pertaining thereto;
(g) Render advice and assistance in the preparation and review of model ordinances and charters; and
(h) Render advice and assistance with respect to the establishment and maintenance of programs for the training of local government officials and other personnel.
##### **§ 52:27D-18** Division of local government continued as division of local finance {#sec-52-27d-18 omnilex-key=us-nj-statutes--title-52--52:27D-18}
The Division of Local Government in the Department of the Treasury, together with all of its functions, powers and duties, is continued, but such division is transferred to and constituted the Division of Local Finance in the Department of Community Affairs established hereunder. The Local Government Board of the Division of Local Government in the Department of the Treasury and all of its functions, powers and duties are hereby transferred to the Division of Local Finance established hereunder in the Department of Community Affairs. Such board shall henceforth be known as the Local Finance Board, and shall continue to have all of the powers and shall exercise all of the functions and duties heretofore vested in, or imposed upon, it by law. This act shall not affect the terms of office of the present members of such board. Such board shall continue to be constituted and the members thereof shall continue to be appointed as provided by existing law. Any member of such board may be removed from office by the Governor, for cause, upon notice and opportunity to be heard.
##### **§ 52:27D-18.1** Local finance board; members {#sec-52-27d-18.1 omnilex-key=us-nj-statutes--title-52--52:27D-18.1}
The local Finance Board in the Division of Local Government Services in the Department of Community Affairs shall consist hereafter of the Director of the Division of Local Government Services as chairman and seven members appointed by the Governor by and with the advice and consent of the Senate. Except as otherwise provided by law, all appointments shall be for 5 years. In case of a vacancy by reason of expiration of term or otherwise the appointment shall be for the remainder of the unexpired term.
##### **§ 52:27D-18.2** Rules, regulations promulgated by Local Finance Board; efficiency benchmarks. {#sec-52-27d-18.2 omnilex-key=us-nj-statutes--title-52--52:27D-18.2}
9. a. Within 12 months of the effective date of this act, the Local Finance Board shall promulgate rules and regulations establishing performance measures to promote cost savings in the delivery of services by municipal governments. In developing these measurements, the board shall take into account differing size, demographic, and geographic characteristics of municipalities that may have an impact on the demand for, and delivery of, specific services. In addition, these rules and regulations shall include consideration of the measurement process, identification of performance indicators, and design of data collection forms in order to assure consistency of information. In promulgating efficiency benchmarks, the Local Finance Board shall also include a training module for key municipal staff in order to facilitate the institutionalization of performance measurement.
b. The Commissioner of Community Affairs shall be authorized to finance the development of the performance measures and training modules promulgated pursuant to subsection a. of this section by using funds from the Regional Efficiency Development Incentive Program (REDI) established pursuant to P.L.1999, c.60 (C.40:8B-14 et seq.) and the Regional Efficiency Aid Program (REAP) established pursuant to P.L.1999, c.61 (C.54:4-8.76 et seq.).
c. Following the promulgation of the performance measures and training modules pursuant to subsection a. of this section, every municipality shall submit an annual performance report to the Local Finance Board setting forth an assessment of its performance of local government services. Each report also shall be posted on the municipality's official web site. The board shall provide that reporting of performance measurement data to the board shall be done through electronic submission over the Internet.
Funding for the costs of development of performance measures, training programs, and the implementation of the reporting system shall be appropriated from the "Sharing Available Resources Efficiently" account within the Property Tax Relief Fund.
d. Within two years of adopting rules implementing performance measures, the Local Finance Board shall develop and electronically publish on the Department of Community Affairs website a municipal report card, indicating a municipality's performance relative to efficiency standards, and how its efficiency changes over time.
##### **§ 52:27D-18.3** Posting of certain property tax, budget data on Internet web page. {#sec-52-27d-18.3 omnilex-key=us-nj-statutes--title-52--52:27D-18.3}
1. The Division of Local Government Services in the Department of Community Affairs shall post on its Internet web page a summary of property tax data, based on information provided by the Division of Taxation in the Department of the Treasury, for the current calendar year, and for each of the immediately preceding 10 calendar years. The division shall also post on its web page a summary of local government budget data for the current calendar year, and for each of the immediately preceding 10 calendar years, except that the first calendar year such data shall be published for is calendar year 2015.
The property tax data summary shall provide the public with information about the property tax levy for the previous year in each county, municipality, fire district, and school district in the State, and shall include such other statistical information as the division determines to be useful for the public's understanding of the individual components that make up each taxpayer's property tax bill.
In each year, the data shall include, but shall not be limited to, the amount of the average residential property tax bill, the number of residential taxpayers who received a homestead credit payment, and the amount of the average homestead credit payment for each municipality in the State. The property tax data summary shall also include information about the following property tax relief programs: the "Homestead Property Tax Credit Act," sections 1 through 10 of P.L.1990, c.61 (C.54:4-8.57 through 54:4-8.66) and sections 3, 14 through 16, 18 and 19 of P.L.1999, c.63 (C.54:4-8.58a and C.54:4-8.66a through C.54:4-8.66e); the "Property Tax Deduction Act," P.L.1996, c.60 (C.54A:3A-15 et seq.); the homestead property tax reimbursement program, P.L.1997, c.348 (C.54:4-8.67 et al.); the disabled veterans property tax exemption, P.L.1948, c.259 (C.54:4-3.30 et seq.); the veterans property tax deduction, P.L.1963, c.171 (C.54:4-8.10 et seq.); and the senior and disabled property tax deduction, P.L.1963, c.172 (C.54:4-8.40 et seq.).
The data shall also include, but shall not be limited to, the following information:
a. total net valuation taxable,
b. State equalization table average ratio,
c. net county taxes,
d. county library levy,
e. county health services levy,
f. county open space preservation levy,
g. total county levy,
h. school property tax levy,
i. school property tax levy for consolidated, joint, and regional school districts,
j. municipal levy required for debt service of Type I school districts,
k. total school levy,
l. municipal purposes property tax levy,
m. municipal open space preservation levy,
n. municipal library levy,
o. total municipal levy,
p. the total levy used to determine the tax rate for each county, municipality, fire district, and school district; and
q. the equalized and non-equalized tax rates for each local unit.
##### **§ 52:27D-18.4** Extension of certain interest free periods relative to payment of taxes. {#sec-52-27d-18.4 omnilex-key=us-nj-statutes--title-52--52:27D-18.4}
1. a. Notwithstanding the provisions of any law, rule, or regulation to the contrary, whenever a public health emergency, pursuant to the "Emergency Health Powers Act," P.L.2005, c.222 (C.26:13-1 et seq.), or a state of emergency, pursuant to P.L.1942, c.251 (C.App.A.9-33 et seq.), or both, has been declared by the Governor and is in effect, the Director of the Division of Local Government Services in the Department of Community Affairs shall have the power to extend any deadline under the "Local Budget Law," N.J.S.40A:4-1 et seq., the "Local Fiscal Affairs Law," N.J.S.40A:5-1 et seq., the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.), under chapter 4 of Title 54 of the Revised Statutes with respect to the issuance of any tax bill except for the quarterly property tax installment dates pursuant to R.S.54:4-66 or section 2 of P.L.1994, c.72 (C.54:4-66.1), and under chapter 5 of Title 54 of the Revised Statutes with respect to a municipal tax sale. The Director of the Division of Local Government Services shall have the power to permit municipalities to institute an extended grace period pursuant to R.S.54:4-67, for the first $10,000 determined to be due and required to be paid for the property tax quarter, not to extend beyond the first calendar day of the next calendar month immediately following the quarterly property tax installment date and under conditions the director may specify, as well as to extend the dates for the payment of taxes by a municipality due to a county, a school district, or any other taxing district under chapter 4 of Title 54 of the Revised Statutes or any other law, which extension shall be equal to the number of days of the extended grace period pursuant to R.S.54:4-67 provided under this subsection. The Director of the Division of Local Government Services, in consultation with the Director of the Division of Taxation in the Department of the Treasury, shall have the power to extend any other deadline established in chapter 1, chapter 3, chapter 4, or chapter 5 of Title 54 of the Revised Statutes if the Director of the Division of Local Government Services determines that the extension is necessary to minimize and mitigate additional hardships, loss, or suffering to the State and its political subdivisions. A municipality, county, or any other agency or political subdivision of this State shall not enact or enforce any order, rule, regulation, ordinance, or resolution that, in any way, conflicts with any of the provisions of this section.
b. Whenever the governing body, by resolution, extends the interest-free period pursuant to subsection a. of this section, the governing body shall provide a notice to all taxpayers by either (1) regular mail; or (2) by a telephonic system and one of the following alternatives: electronic mail, text messaging system, or any other digital platform used by the municipality to disseminate information to municipal residents electronically. The municipality also shall post the notice on its Internet website, if the municipality has a website, and on the Internet website of the Department of Community Affairs, if the municipality has no website. The municipal clerk shall notify the Director of the Division of Local Government Services in the Department of Community Affairs of its adoption of a resolution effectuating the provisions of an extended interest-free period, pursuant to subsection a. of this section, not later than the third business day next following the municipal governing body's adoption of the resolution.
c. In the event that, pursuant to subsection a. of this section, the Director of the Division of Local Government Services orders an extension of the dates for the payment of taxes by a municipality due to a county, a school district, or any other taxing district under chapter 4 of Title 54 of the Revised Statutes or any other law, the director shall require a municipality to pay a percentage of the total installment of taxes due to a county, school district, or any other taxing district by the original statutory date for full payment of the installment. In determining the percentage to be paid by the municipality by the original statutory installment due date, the director shall consider the amount of property taxes collected by the municipality, the fiscal condition of the municipality, the fiscal condition of any taxing district subject to the director's order of extension pursuant to subsection a. of this section, and any other budgetary, fiscal, or economic factors the director finds appropriate to make the determination. The director shall consult with the Commissioner of Education when considering the fiscal condition of a school district pursuant to this subsection.
##### **§ 52:27D-18.5** Extension of certification renewal periods. {#sec-52-27d-18.5 omnilex-key=us-nj-statutes--title-52--52:27D-18.5}
2. Notwithstanding the provisions of any law, rule, or regulation to the contrary, the following certification renewal periods shall be extended by one year, exclusive of any grace periods or extensions that may be granted by statute:
a. The renewal period for municipal finance officer certificates pursuant to section N.J.S.40A:9-140 shall be extended from two years to three years.
b. The renewal period for tax collector certificates pursuant to section 7 of P.L.1993, c.25 (C.40A:9-145.3b) shall be extended from two years to three years.
c. The renewal period for registered municipal clerk certificates pursuant to section 8 of P.L.1997, c.279 (C.40A:9-133.10) shall be extended from two years to three years.
d. The renewal period for county finance officer certificates pursuant to section 3 of P.L.1993, c.87 (C.40A:9-28.3) shall be extended from two years to three years.
e. The renewal period for qualified purchasing agent certificates pursuant to section 9 of P.L.1971, c.198 (C.40A:11-9) shall be extended from three years to four years.
f. The renewal period for public works manager certificates pursuant to section 2 of P.L.1991, c.258 (C.40A:9-154.6b) shall be extended from three years to four years.
g. The renewal period for tax assessor certificates pursuant to section 1 of P.L.1999, c.278 (C.54:1-35.25b) shall be extended from three years to four years.
This section shall apply only to certifications with statutory expiration dates occurring on or after the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.). Renewal cycles commencing after the expiration of certifications extended pursuant to this section shall revert to their original statutory time periods.
##### **§ 52:27D-18.6** Extension of term of acting municipal clerk. {#sec-52-27d-18.6 omnilex-key=us-nj-statutes--title-52--52:27D-18.6}
3. Notwithstanding any provision of N.J.S.40A:9-133 to the contrary, a person appointed by a municipality to serve as an acting municipal clerk who is serving in that position as of the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.), and whose term has not expired prior to the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.), may, subject to the approval of the Director of the Division of Local Government Services in the Department of Community Affairs, be reappointed as an acting municipal clerk by that municipality following the termination of the temporary appointment for up to three subsequent one-year terms. A person serving as acting municipal clerk as of the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) shall not serve the municipality as acting municipal clerk for more than four consecutive years from the date of their initial appointment by the municipality as acting municipal clerk.
##### **§ 52:27D-18.7** Extension of term as temporary chief financial officer. {#sec-52-27d-18.7 omnilex-key=us-nj-statutes--title-52--52:27D-18.7}
4. Notwithstanding any provision of section 8 of P.L.1988, c.110 (C.40A:9-140.13) to the contrary, a person appointed by a municipality to serve as a temporary chief financial officer who is serving in that position as of the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) and whose term has not expired prior to the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) may, subject to the approval of the Director of the Division of Local Government Services in the Department of Community Affairs, be reappointed as a temporary chief financial officer by that municipality following the termination of the temporary appointment for up to three subsequent one-year terms. A person serving as temporary chief financial officer as of the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) shall not serve the municipality as a temporary chief financial officer for more than four consecutive years from the date of their initial appointment by the municipality as temporary chief financial officer.
##### **§ 52:27D-18.8** Extension of term as county temporary chief financial officer. {#sec-52-27d-18.8 omnilex-key=us-nj-statutes--title-52--52:27D-18.8}
5. Notwithstanding any provision of section 4 of P.L.1993, c.87 (C.40A:9-28.4) to the contrary, a person appointed by a county to serve as a temporary chief financial officer who is serving in that position as of the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) and whose term has not expired prior to the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) may, subject to the approval of the Director of the Division of Local Government Services in the Department of Community Affairs, be reappointed as a temporary chief financial officer by that county following the termination of the temporary appointment for up to two subsequent one-year terms. A person serving as temporary chief financial officer as of the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) shall not serve the county as a temporary chief financial officer for more than three consecutive years from the date of their initial appointment by the county as temporary chief financial officer.
##### **§ 52:27D-18.9** Extension of term as municipal temporary principal public works manager. {#sec-52-27d-18.9 omnilex-key=us-nj-statutes--title-52--52:27D-18.9}
6. Notwithstanding any provision of section 7 of P.L.1991, c.258 (C.40A:9-154.6g) to the contrary, a person appointed by a municipality to serve as a temporary principal public works manager who is serving in that position as of the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) and whose term has not expired prior to the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) may be reappointed as a temporary principal public works manager for up to two subsequent one-year terms. A person serving as a temporary principal public works manager as of the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) shall not serve the municipality as a temporary principal public works manager for more than three consecutive years from the date of their initial appointment by the municipality as a temporary principal public works manager.
##### **§ 52:27D-18.10** Extension of term as temporary purchasing agent for contracting unit. {#sec-52-27d-18.10 omnilex-key=us-nj-statutes--title-52--52:27D-18.10}
7. Notwithstanding any provision of section 9 of P.L.1971, c.198 (C.40A:11-9) to the contrary, a person appointed by a contracting unit to serve as a temporary purchasing agent who is serving in that position as of the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) and whose term has not expired prior to the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) may, subject to the approval of the Director of the Division of Local Government Services in the Department of Community Affairs, be reappointed as a temporary purchasing agent for up to two subsequent one-year terms following the end of the first temporary appointment. A person serving as a temporary purchasing agent as of the effective date of P.L.2020, c.34 (C.52:27D-18.4 et al.) shall not serve the contracting unit as a temporary purchasing agent for more than three consecutive years from the date of their initial appointment by the contracting unit as a temporary purchasing agent.
##### **§ 52:27D-18.11** Conducting public meeting remotely under certain circumstances. {#sec-52-27d-18.11 omnilex-key=us-nj-statutes--title-52--52:27D-18.11}
8. a. Consistent with section 1 of P.L.2020, c.11 (C.10:4-9.3) and notwithstanding any other law, rule, or regulation to the contrary, whenever a public health emergency, pursuant to the "Emergency Health Powers Act," P.L.2005, c.222 (C.26:13-1 et seq.), or a state of emergency, pursuant to P.L.1942, c.251 (C.App.A.9-33 et seq.), or both, or a state of local disaster emergency has been declared by the Governor and is in effect, a local public body may conduct a public meeting remotely by electronic means, provided that reasonable public notice and provision for public input is made under the circumstances.
b. The Director of the Division of Local Government Services in the Department of Community Affairs shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations concerning the conduct of remote public meetings during a public health emergency or state of emergency that are necessary to implement the provisions of subsection a. of this section, which shall include minimum procedures to be followed to provide reasonable public notice and allowance for public input. The director may adopt an emergency rule pursuant to subsection (c) of section 4 of P.L.1968, c.410 (C.52:14B-4) to implement this section.
c. "Local public body" means any "public body," as that term is defined in section 3 of P.L.1975, c.231 (C.10:4-8), with territorial jurisdiction equal to or less than a county.
"Public meeting" means the same as that term is defined in section 3 of P.L.1975, c.231 (C.10:4-8).
##### **§ 52:27D-19** Director of division of local finance; appointment; salary; duties {#sec-52-27d-19 omnilex-key=us-nj-statutes--title-52--52:27D-19}
The Division of Local Finance shall be under the immediate supervision of a director, who shall be a person qualified by training and experience to direct the work of such division. The director shall be appointed by the commissioner and shall serve at the pleasure of the commissioner and until the director's successor is appointed and has qualified. He shall receive such salary as shall be provided by law.
The director shall administer the work of such division under the direction and supervision of the commissioner, and shall perform such other functions of the department as the commissioner may prescribe.
The person in office as director of the Division of Local Government in the Department of the Treasury on the effective date of this act shall hold the office of Director of the Division of Local Finance in the Department of Community Affairs established hereunder for the period of his term as director of the Division of Local Government in the Department of the Treasury which remains unexpired on the effective date of this act, and until his successor is appointed and has qualified.
##### **§ 52:27D-20** Chairman of local finance board {#sec-52-27d-20 omnilex-key=us-nj-statutes--title-52--52:27D-20}
The Director of the Division of Local Finance shall be the chairman of the Local Finance Board in the Division of Local Finance.
##### **§ 52:27D-20.1** Contracts for third-party disbursement services, permitted. {#sec-52-27d-20.1 omnilex-key=us-nj-statutes--title-52--52:27D-20.1}
38. Notwithstanding the provisions of the "Local Fiscal Affairs Law," N.J.S.40A:5-1 et seq., or any other law, rule, or regulation to the contrary, the Local Finance Board, in consultation with the Commissioner of Education, may adopt rules and regulations permitting local government units and boards of education to contract with third-party disbursement service organizations in order to make payments and execute financial transactions for those purposes and under such conditions as permitted by the Local Finance Board.
##### **§ 52:27D-21** Transfer of powers and duties relating to housing and urban renewal of division of resource development and of commissioner of conservation and economic development {#sec-52-27d-21 omnilex-key=us-nj-statutes--title-52--52:27D-21}
All of the functions, powers and duties relating to housing and urban renewal of the Division of Resource Development and of the Commissioner of Conservation and Economic Development in the Department of Conservation and Economic Development, including but not limited to all functions, powers and duties of such divisions relating to the preparation of the standard building code of New Jersey, or to local housing authorities, the former State Housing Authority and the public housing and development authority, and all of the functions, powers and duties heretofore vested in the Division of Veterans' Services in the Department of Conservation and Economic Development by section 20, chapter 448, laws of 1948, are hereby transferred to the Department of Community Affairs established hereunder, and shall be exercised and performed through the Division of Housing and Urban Renewal in such department.
##### **§ 52:27D-22** Transfer of public housing and development authority and state housing council {#sec-52-27d-22 omnilex-key=us-nj-statutes--title-52--52:27D-22}
The public housing and development authority in the Department of Conservation and Economic Development, together with all of its functions, powers and duties, is continued as a body politic and corporate, with corporate succession, but such authority is transferred to the Department of Community Affairs established hereunder. The functions, powers and duties of such authority shall henceforth be exercised or performed by the Commissioner of Community Affairs through the Division of Housing and Urban Renewal in said department, subject to the same extent as heretofore to the rules and regulations of the State Housing Council herein transferred.
The State Housing Council in the Department of Conservation and Economic Development is transferred to the Department of Community Affairs established hereunder. Such council shall continue to have all of the powers and shall exercise all of the functions vested in it by law. This act shall not affect the terms of office of the present members of such council, and such council shall continue to be constituted and the members thereof shall continue to be appointed as provided by existing law.
##### **§ 52:27D-23** Bureau and board of tenement house supervision continued as board of housing inspection {#sec-52-27d-23 omnilex-key=us-nj-statutes--title-52--52:27D-23}
The Bureau of Tenement House Supervision of the Division of State Police in the Department of Law and Public Safety, together with all of its functions, powers and duties, is continued, but such bureau is transferred to and constituted the Bureau of Housing Inspection of the Division of Housing and Urban Renewal in the Department of Community Affairs established hereunder. The Board of Tenement House Supervision of the Division of State Police in the Department of Law and Public Safety and all of its functions, powers and duties are hereby transferred to the Division of Housing and Urban Renewal established hereunder in the Department of Community Affairs. Such board shall henceforth be known as the Board of Housing Inspection, and shall continue to have all of the powers and shall exercise all of the functions and duties heretofore vested in, or imposed upon, it by law. This act shall not affect the terms of office of the present members of such board. Such board shall continue to be constituted and the members thereof shall continue to be appointed as provided by existing law. Any member of such board may be removed from office by the Governor for cause, upon notice and opportunity to be heard.
The authority vested pursuant to existing law in the Superintendent of State Police to appoint, employ or remove officers or employees of the Bureau of Tenement House Supervision transferred and reconstituted hereunder is hereby transferred to and vested in the Commissioner of Community Affairs as the head of the Department of Community Affairs established hereunder.
##### **§ 52:27D-24** Transfer of office of supervisor of hotel fire safety; appointment of supervisor; compensation {#sec-52-27d-24 omnilex-key=us-nj-statutes--title-52--52:27D-24}
The office of supervisor of hotel fire safety in the Department of Law and Public Safety together with all of its functions, powers and duties, is continued, but such office is transferred to and constituted the office of supervisor of hotel fire safety in the Bureau of Housing Inspection of the Division of Housing and Urban Renewal in the Department of Community Affairs established hereunder. Such office shall continue to have all of the powers and shall exercise all of the functions and duties vested in, or imposed upon, it by law.
The authority vested pursuant to existing law to appoint the supervisor of hotel fire safety is hereby transferred to and vested in the Commissioner of Community Affairs. Said supervisor shall serve at the pleasure of the commissioner and shall receive such compensation as shall be approved by the commissioner and the President of the Civil Service Commission subject to availability of funds. The supervisor shall be subject to the provisions of Title 11, Civil Service. The commissioner shall assign to the office of hotel fire safety such employees in the department as may be necessary to the supervisor in the performance of his duties.
##### **§ 52:27D-25** Director of division of housing and urban renewal; appointment; salary; duties {#sec-52-27d-25 omnilex-key=us-nj-statutes--title-52--52:27D-25}
The Division of Housing and Urban Renewal shall be under the immediate supervision of a director, who shall be a person qualified by training and experience to direct the work of such division. The director shall be appointed by the commissioner and shall serve at the pleasure of the commissioner and until the director's successor is appointed and has qualified. He shall receive such salary as shall be provided by law.
The director shall administer the work of such division under the direction and supervision of the commissioner, and shall perform such other functions of the department as the commissioner shall prescribe.
##### **§ 52:27D-25a** Definitions {#sec-52-27d-25a omnilex-key=us-nj-statutes--title-52--52:27D-25a}
1. As used in this act:
a. "Division" means the Division of Fire Safety established by section 2 of this act.
b. "Commissioner" means the Commissioner of the Department of Community Affairs.
c. "Department" means the Department of Community Affairs.
d. "Commission" means the fire safety commission established by section 5 of this act.
##### **§ 52:27D-25b** Division of Fire Safety {#sec-52-27d-25b omnilex-key=us-nj-statutes--title-52--52:27D-25b}
2. There is established in the Department of Community Affairs a Division of Fire Safety. Within three months of the effective date of this act, after reviewing the functions and duties required of the division by this act and transferred to the division by this act, the commissioner shall prepare an organizational plan of the division.
##### **§ 52:27D-25b1** Thermal imaging camera grant program. {#sec-52-27d-25b1 omnilex-key=us-nj-statutes--title-52--52:27D-25b1}
1. There is hereby established in the Division of Fire Safety in the Department of Community Affairs a thermal imaging camera grant program, under which grants shall be made available to governing fire organizations that apply to assist in the purchase of thermal imaging cameras or to reimburse governing fire organizations for public funds other than State funds that have been expended for the purchase of thermal imaging cameras. The appropriate State agency shall contract with a manufacturer to obtain the best price available. The Department of Community Affairs may require, pursuant to such uniform standards as the department may prescribe, fire districts that apply for such grants to provide matching funds of up to, but not more than, the amount of the grant awarded.
There shall be available for the support of the thermal imaging camera grant program such sums as shall be appropriated therefor in the Appropriations Act for the State Fiscal Year ending June 30, 2000.
As used in this section, "governing fire organizations" means a municipality, fire district, fire company or fire department responsible for providing fire protection in any given municipality.
##### **§ 52:27D-25c** Director {#sec-52-27d-25c omnilex-key=us-nj-statutes--title-52--52:27D-25c}
3. The division shall be under the immediate oversight of a director who shall administer and enforce the provisions of this act, subject to the supervision and control of the commissioner, and who shall perform other duties as directed by the commissioner or as provided by law. The director shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve at the pleasure of the Governor. The fire safety commission shall advise the commissioner on the qualifications of the director.
##### **§ 52:27D-25d** Powers, duties {#sec-52-27d-25d omnilex-key=us-nj-statutes--title-52--52:27D-25d}
4. In addition to any other powers and duties invested in it by law or by the commissioner, the division shall:
a. Provide staff support for the work of the fire safety commission and its advisory councils;
b. Administer and enforce the "Uniform Fire Safety Act," established by P.L.1983, c.383 (C.52:27D-192 et al.);
c. Implement training and education programs for the fire service and the public;
d. Administer a fire incident reporting system;
e. Conduct research and master planning for fire safety; and
f. In conjunction with the Department of Labor and Department of Health, conduct investigations of fire incidents in which one or more firefighters suffer death or serious injury and identify those measures which may be required to prevent the future occurrence of deaths and serious injuries under similar circumstances and, in furtherance of any such investigation, the division may issue and enforce subpoenas to compel the testimony of any person who might have knowledge of any relevant matters and the production of any relevant documents. If any investigation conducted under this subsection results in the discovery of any violation of the provisions of the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et al.), the division, as an enforcing agency, may issue a written notice or order pursuant to that act. Any notice or order issued by the Division of Fire Safety pursuant to this subsection may be enforced under section 19 of P.L.1983, c.383 (C.52:27D-210) as a notice or order of the commissioner.
##### **§ 52:27D-25d1** Public school fire data {#sec-52-27d-25d1 omnilex-key=us-nj-statutes--title-52--52:27D-25d1}
1. The Division of Fire Safety in the Department of Community Affairs, in consultation with the Department of Education, shall maintain a system for gathering data on all fires that occur in any public school building or on public school property.
##### **§ 52:27D-25d2** Annual report on school fires {#sec-52-27d-25d2 omnilex-key=us-nj-statutes--title-52--52:27D-25d2}
3. Annually the Division of Fire Safety shall prepare a report summarizing the data collected on school fires and provide the report to the Commissioner of Education.
##### **§ 52:27D-25d3** Burn patient arson registry, establishment; review {#sec-52-27d-25d3 omnilex-key=us-nj-statutes--title-52--52:27D-25d3}
4. a. In consultation with the Commissioner of Health and the Superintendent of the Division of State Police in the Department of Law and Public Safety, the Division of Fire Safety in the Department of Community Affairs shall establish and maintain a burn patient arson registry which shall contain the information from reports submitted pursuant to subsection b. of N.J.S.2C:58-8 and any other information deemed necessary by the director of the division to assist in the prevention and prosecution of the crime of arson and to provide an information source for arson research and analysis.
b. The director of the Division of Fire Safety in the Department of Community Affairs, the Superintendent of the Division of State Police in the Department of Law and Public Safety, the Commissioner of Health, two physicians or surgeons specializing in burn injuries from Saint Barnabas Burn Foundation appointed by the director of the foundation, and two physicians or surgeons specializing in burn injuries from the Burn Foundation of Philadelphia appointed by the director of the foundation shall meet at least once during every six month period. The group shall meet to discuss the status and operation of the burn patient arson registry and the quality of the information accumulated in the registry; assess the level of compliance with subsection b. of N.J.S.2C:58-8; identify additional factors for inclusion in paragraph (7) of subsection b. of N.J.S.2C:58-8; and make recommendations for change in the operation of the registry.
##### **§ 52:27D-25d4** Rules, regulations {#sec-52-27d-25d4 omnilex-key=us-nj-statutes--title-52--52:27D-25d4}
5. In accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) the Commissioner of the Department of Community Affairs shall adopt rules and regulations necessary to effectuate the purposes of this act including, but not limited to, the transfer of information from the 24-hour toll free arson hotline established and maintained pursuant to section 6 of P.L.1991, c.433 (C.53:2-7), procedures for the submission of reports required under subsection b. of N.J.S.2C:58-8, the transmission of all reports to the Division of Fire Safety in the Department of Community Affairs, and procedures for notifying the appropriate enforcement agency, if necessary, to facilitate an arson investigation.
The form to be used for written reports submitted pursuant to subsection b. of N.J.S.2C:58-8 shall be developed in consultation with the Department of Health, the Superintendent of the Division of State Police and the physicians or surgeons of Saint Barnabas Burn Foundation and the Burn Foundation of Philadelphia appointed for the purposes of subsection b. of section 4 of P.L.1991, c.433 (C.52:27D-25d3).
##### **§ 52:27D-25d5** Information in registry, protected {#sec-52-27d-25d5 omnilex-key=us-nj-statutes--title-52--52:27D-25d5}
3. The disclosure of information from the burn patient arson registry from which a patient may be identified shall be prohibited, except for disclosures to law enforcement officers for the purposes of investigations during the course of their official duties.
##### **§ 52:27D-25e** Fire safety commission. {#sec-52-27d-25e omnilex-key=us-nj-statutes--title-52--52:27D-25e}
5. a. To assist and advise the commissioner in the administration of this act, there is created in the Department of Community Affairs a fire safety commission consisting of 27 members. The commission shall consist of: two members of the Senate, appointed by the President of the Senate, who shall not be both of the same political party; two members of the General Assembly, appointed by the Speaker of the General Assembly, who shall not be both of the same political party; 11 citizens of the State, appointed jointly by the President of the Senate and the Speaker of the General Assembly, no more than six of whom shall be of the same political party, including a representative of a volunteer fire organization, a representative of a construction labor organization, a representative of the fire insurance industry, a representative of fire suppression system manufacturers or installers, a representative of the New Jersey Apartment Association or the rental property industry, a representative of the construction industry, a representative of the International Association of Fire Chiefs, a municipal construction official, a representative of the New Jersey State Fire Prevention and Protection Association, and two members of the general public who are knowledgeable and experienced in matters related to fire safety; 12 citizens of the State appointed by the Governor, no more than six of whom shall be of the same political party, and who shall include a representative of the New Jersey State Firemen's Mutual Benevolent Association, a representative of the New Jersey League of Municipalities, two representatives of the volunteer fire service, one of whom shall be a representative of the New Jersey State Volunteer Firemen's Association, a representative of the New Jersey State Fire Chiefs' Association, a representative of the New Jersey Career Fire Chiefs' Association, a representative of the Professional Fire Fighters' Association of New Jersey, a representative of the New Jersey State Association of Fire Districts, a municipal fire protection subcode official, a chief administrator of the fire department of a municipality with a population of 100,000 or more, according to the most recent federal decennial census, and two members of the general public who are knowledgeable and experienced in matters related to fire safety. The members of the Senate and General Assembly appointed to the commission shall serve for terms which shall be for the legislative session for which they were elected. Of the seven members first appointed jointly by the President of the Senate and the Speaker of the General Assembly, three shall be appointed for terms of five years, three shall be appointed for terms of four years, and one shall be appointed for a term of three years. The members appointed pursuant to P.L.2001, c.204, and the members appointed pursuant to P.L.2019, c.176, shall be appointed for an initial term of five years. Of the eight members first appointed by the Governor, three shall be appointed for terms of five years, three shall be appointed for a term of four years, and two shall be appointed for terms of three years. The first representative of the New Jersey State Association of Fire Districts appointed by the Governor shall be for a term of three years. Thereafter, members of the fire safety commission, except as provided above for members of the Legislature, shall be appointed for terms of five years. Vacancies on the commission shall be filled, in the same manner as the original appointment but for the unexpired term. Members may be removed by the appointing authority for cause.
b. Members of the fire safety commission shall serve without compensation but shall be entitled to reimbursement for expenses incurred in performance of their duties, within the limits of any funds appropriated or otherwise made available for that purpose.
c. To advise and assist the fire safety commission in the performance of its responsibilities under this act, there are created four advisory councils, one in each of the following subject areas: the "Uniform Fire Safety Act"; training and education which shall be comprised of at least 60 percent of the representatives of the volunteer fire service; statistics and information; and master planning and research. Additional advisory councils shall be created by the fire safety commission as it deems appropriate. Each advisory council shall consist of one member of the fire safety commission, who shall be chairman, and as many citizens who are knowledgeable and experienced in matters related to the particular subject as the fire safety commission shall appoint. Members of the advisory councils shall serve without compensation and at the pleasure of the fire safety commission.
##### **§ 52:27D-25f** Personnel transferred {#sec-52-27d-25f omnilex-key=us-nj-statutes--title-52--52:27D-25f}
6. Pursuant to the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.), personnel assigned to the Office of the State Fire Marshal in the Division of State Police in the Department of Law and Public Safety, together with all of its functions, powers and duties, are transferred to the Division of Fire Safety established by section 2 of this act in the Department of Community Affairs. The Department of Community Affairs shall reorganize the functions, duties and titles of the personnel transferred.
##### **§ 52:27D-25g** Report on inclusion of bureau as division in department {#sec-52-27d-25g omnilex-key=us-nj-statutes--title-52--52:27D-25g}
Within two years following the effective date of this act, the fire safety commission shall consider whether or not the bureau of fire safety, established by section 2 of this act, should be made a division in the department, and shall report its recommendation to the Governor and the Legislature.
##### **§ 52:27D-25h** Transfer of bureau, functions, powers, duties to Division of Fire Safety {#sec-52-27d-25h omnilex-key=us-nj-statutes--title-52--52:27D-25h}
11. The bureau of fire safety in the Division of Housing and Urban Renewal in the Department of Community Affairs, together with its functions, powers and duties, is transferred to the Division of Fire Safety in the Department of Community Affairs. All references in any law, order, rule, regulation, contract, document, judicial or administrative proceeding, or otherwise, to the bureau of fire safety in the Division of Housing and Urban Renewal in the Department of Community Affairs, or the supervisor thereof, shall mean the Division of Fire Safety in the Department of Community Affairs or the director thereof. All transfers shall be made pursuant to the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
##### **§ 52:27D-25i** Definitions relative to fire service training {#sec-52-27d-25i omnilex-key=us-nj-statutes--title-52--52:27D-25i}
2. As used in this act:
"Commissioner" means the Commissioner of Community Affairs.
"Division" means the Division of Fire Safety in the Department of Community Affairs.
"Fire service" means the State, a county or municipal agency or fire district utilizing volunteer, career or part-paid fire fighters for rescue, fire suppression and related activities.
"Fire service instructor" means a career or volunteer or part-paid fire fighter who has been certified by the division to deliver fire fighter training after completing a prescribed curriculum.
"Fire service training organization" means any State, county or municipal agency or other entity, either public or private, which trains fire fighters.
"Incident management system" means a nationally recognized and organized system of rules, responsibilities and standard operating procedures used to manage emergency operations.
"Live fire training" means training that involves any open flame or device that can propagate fire.
##### **§ 52:27D-25j** Fire service instructor; training programs; certification {#sec-52-27d-25j omnilex-key=us-nj-statutes--title-52--52:27D-25j}
3. a. A person providing training in a course for the fire service approved or offered by the division shall be certified by the division as a fire service instructor. The division shall be authorized to accept for certification the training credentials of instructors trained in other jurisdictions.
b. Training programs offered or approved by the division shall be provided by the division directly or by a fire service training organization utilizing instructors certified and facilities approved by the division. These training programs shall be available to all eligible fire fighters and to other persons, at the discretion of the division.
c. The division shall certify persons who successfully complete an instructor training program established in accordance with rules and regulations promulgated by the commissioner.
##### **§ 52:27D-25k** Rules, regulations on incident management {#sec-52-27d-25k omnilex-key=us-nj-statutes--title-52--52:27D-25k}
4. The commissioner shall promulgate rules and regulations for the establishment of a mandatory incident management system to be used by the fire service.
##### **§ 52:27D-25l** Fire training activities; permit program, regulations {#sec-52-27d-25l omnilex-key=us-nj-statutes--title-52--52:27D-25l}
5. a. Within six months after the effective date of this act, the commissioner shall promulgate, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), and after consulting with the Fire Safety Commission, regulations establishing a permit program for the purpose of regulating live fire training activities. Regulations promulgated pursuant to this section shall be primarily based on standard 1403 established by the National Fire Protection Association and any other national standard, which may be adopted by reference. The regulations adopting standards by reference may include such modifications of these standards as the commissioner deems necessary. The regulations at a minimum shall assure that all necessary safety precautions are taken during live fire training exercises. They shall include a safety checklist for fire service instructors in charge which shall be completed before any live fire training exercise proceeds.
b. A fire service training organization shall not conduct a live fire training exercise until it has received a permit issued by the division. In its application for a permit, an organization shall provide such information as the commissioner shall specify, including, but not limited to, the course objective, the lesson plan, and the facility or site. The division shall either issue or deny the permit within 10 working days. If a permit is denied, the division shall inform the applicant of the reason for the denial and of any measures necessary to bring the application into compliance.
##### **§ 52:27D-25m** Compliance orders; violations {#sec-52-27d-25m omnilex-key=us-nj-statutes--title-52--52:27D-25m}
6. The commissioner shall enforce and administer sections 3, 4, and 5 of P.L.1995, c.266 (C.52:27-25j, C.52:27-25k, and C.52:27-25l) and shall be authorized to issue compliance orders to persons and public entities in violation thereof, to petition the Superior Court for injunctive relief enforcing any compliance order, to levy and collect civil penalties of not more than $500 per violation and to institute summary proceedings under "the penalty enforcement law," N.J.S.2A:58-1 et seq. in the Superior Court to recover penalties previously levied. Each day that a violation continues after notice to cease has been given by certified mail or personal service shall be deemed a separate violation.
##### **§ 52:27D-25n** Definitions relative to fire protection equipment. {#sec-52-27d-25n omnilex-key=us-nj-statutes--title-52--52:27D-25n}
1. As used in sections 1 through 19 of P.L.2001, c.289 (C.52:27D-25n et seq.):
"Business entity" means a proprietor, corporation, partnership or company operating as a fire protection contractor.
"Carbon dioxide fire protection system" means a special hazard fire suppression system that uses carbon dioxide as its extinguishing agent.
"Certificate of certification" means a certificate issued by the commissioner that authorizes a person to engage in the fire protection equipment business to the degree indicated on the certificate.
"Certificate holder" means a person who is certified to engage in the fire protection equipment business.
"Clean agent fire suppression system" means a special hazard fire suppression system that uses an extinguishing agent that will not damage the contents of the hazard.
"Combination fire and smoke damper" means a device that meets both the fire damper and smoke damper requirements.
"Commissioner" means the Commissioner of Community Affairs.
"Committee" means the Fire Protection Equipment Advisory Committee created by section 2 of this act.
"Dedicated smoke control system" means a smoke control system and components that are installed for the sole purpose of providing smoke control and that upon activation of the systems operate specifically to perform the smoke control function.
"Director" means the Director of the Division of Fire Safety in the Department of Community Affairs.
"Division" means the Division of Fire Safety in the Department of Community Affairs.
"Engineered fire suppression system" means a fire suppression system which is designed individually to suit a particular purpose or hazard. Such a system requires individual calculation and design to determine the flow rates, nozzle pressures, pipe size, area or volume to be protected by each nozzle, quantities of extinguishing agent and the number and types of nozzles and their placement in a specific system.
"Fire alarm system" means a system which provides a warning alarm signaling the presence of fire conditions and may be capable of initiating an action to suppress a fire condition.
"Fire damper" means a device installed in ducts and air transfer openings designed to close automatically upon detection of heat and resist the passage of flame. Fire dampers are classified for use in either static systems that will automatically shut down in the event of a fire, or in dynamic systems that continue to operate during a fire. A dynamic fire damper is tested and rated for closure under elevated temperature airflow.
"Fire protection equipment" includes fire alarm systems, fire sprinkler systems, standpipe systems, clean agent fire suppression systems, special hazard fire suppression systems, carbon dioxide fire protection systems, foam fire protection systems, kitchen fire suppression systems, portable fire extinguishers or any other equipment designed to detect, suppress or extinguish a fire.
"Fire protection subcode official" means a qualified person appointed by the appropriate appointing authority or the commissioner pursuant to the authority of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.).
"Fire protection contractor" or "contractor" means a person or business entity that offers to undertake or represents itself as being able to undertake, or does undertake the installation, service, sale, repair, inspection or maintenance of fire protection equipment.
"Fire protection contractor business permit" means a permit issued by the commissioner to a business entity to operate as a fire protection contractor.
"Fire sprinkler system" means an automatic fire suppression system that includes an automatic water sprinkler system or a standpipe system and related system components, including detection.
"Fire suppression system" means an engineered or pre-engineered system that suppresses a fire using an extinguishing agent distributed through fixed piping and nozzles that are activated either manually or automatically. The system may include containers, nozzles, controls, automatic detection, manual releases, equipment shut downs and alarms. In such systems, an extinguishing agent is discharged through fixed pipes and nozzles into or over a potential fire hazard.
"Foam fire protection system" means a special hazard fire suppression system that uses foam as its extinguishing agent.
"Kitchen fire suppression system" means a pre-engineered system which is designed specifically to protect the hood, duct, and cooking appliances of a kitchen. The system, which may include containers, nozzles, controls, automatic detection, manual release, cooking appliance shutdown equipment, and alarms will have an extinguishing agent discharged through fixed pipes and nozzles over and into the fire hazard area.
"Maintenance" means the function of keeping equipment in such a condition that it will perform as it originally was designed to do.
"Portable fire extinguisher" means a portable device, carried or on wheels and operated by hand, containing an extinguishing agent that can be expelled under pressure for the purpose of suppressing or extinguishing fire.
"Pre-engineered system" means a fire suppression system having predetermined flow rates, nozzle pressures, detection and quantities of extinguishing agent. Such a system has the specific pipe size, maximum and minimum pipe lengths, flexible hose specifications, number of fittings and types of nozzles prescribed by a testing laboratory. The hazards protected by such a system are specifically limited as to type and size by a testing laboratory based upon actual fire tests. Limitations on hazards which can be protected by such a system are contained in the manufacturer's installation manual which is referenced as a part of the listing.
"Smoke control system" means an engineered system that includes all methods that can be used singly or in combination to modify smoke movement, including engineered systems that use mechanical fans to produce pressure differences across smoke barriers to inhibit smoke movement.
"Smoke damper" means a device installed in ducts and air transfer openings designed to resist the passage of smoke. The device is installed to operate automatically, controlled by a smoke detection system, and, where required, is capable of being positioned from a fire command center.
"Special hazard fire suppression system" means a fire suppression system that uses an extinguishing agent other than water.
"Standpipe system" means a fire protection system consisting of an arrangement of piping, valves, hose outlets, and allied equipment installed in a building or structure.
"Warranty" means a written guarantee given to a purchaser of fire protection equipment covering a period of one year after the installation of new fire protection equipment.
##### **§ 52:27D-25o** "Fire Protection Equipment Advisory Committee". {#sec-52-27d-25o omnilex-key=us-nj-statutes--title-52--52:27D-25o}
2. a. There is created within the Division of Fire Safety in the Department of Community Affairs a "Fire Protection Equipment Advisory Committee." The committee shall be comprised of the Director of the Division of Fire Safety who shall serve ex officio and twelve public members, appointed by the Governor. One of the public members shall be a chief administrator of the fire department of a municipality with a population of 100,000 or more according to the most recent federal decennial census, one of the public members shall be a representative of a sheet metal workers local union of the International Association of Sheet Metal, Air, Rail and Transportation Workers, and one of the public members shall be a representative of a volunteer fire organization. Each of the remaining nine public members shall be selected by the Governor from a list of three nominees provided to the Governor by each of the following fire protection organizations or their successor organizations:
New Jersey Association of Fire Equipment Distributors,
National Fire Sprinkler Association,
National Association of Fire Equipment Distributors,
American Fire Sprinkler Association,
Fire Suppression Systems Association,
Automatic Fire Alarm Association,
New Jersey Electrical Contractors Association,
New Jersey Burglar and Fire Alarm Association, and
New Jersey State Fire Prevention and Protection Association.
b. The Governor shall appoint each member for a term of three years, except that of the members first appointed, four shall serve for terms of three years, four shall serve for terms of two years and three shall serve for terms of one year.
c. Any vacancy in the membership of the committee shall be filled for the unexpired term in the manner provided for the original appointment. No appointed member of the committee may serve more than two successive terms in addition to any unexpired term to which he has been appointed.
d. The committee shall annually elect from among its members a chair and vice-chair. The committee shall meet at least four times a year and may hold additional meetings as necessary to discharge its duties. In addition to such meetings, the committee shall meet at the call of the chair or the commissioner.
e. Members of the committee shall be compensated and reimbursed for actual expenses reasonably incurred in the performance of their official duties and reimbursed for expenses and provided with office and meeting facilities and personnel required for the proper conduct of the committee's business.
f. The committee shall make recommendations to the commissioner regarding rules and regulations pertaining to professional training, standards, identification and record keeping procedures for certificate holders and their employees, classifications of certificates necessary to regulate the work of certificate holders, and other matters necessary to effectuate the purposes of this act.
##### **§ 52:27D-25p** Powers, duties of commissioner. {#sec-52-27d-25p omnilex-key=us-nj-statutes--title-52--52:27D-25p}
3. The commissioner shall have the following powers and duties:
a. To set standards and approve examinations for applicants for a fire protection equipment certificate and issue a certificate to each qualified applicant;
b. To administer or approve the examination to be taken by applicants for certification;
c. To determine the form and contents of applications for certification and certificates;
d. To adopt a code of ethics for certificate holders;
e. To issue and renew certificates;
f. To set the amount of fees for certificates, certificate renewal, applications, examinations and other services, within the limits provided in subsection b. of section 8 of this act;
g. To refuse to admit a person to an examination or refuse to issue or suspend, revoke or fail to renew a certificate of certification of a certificate holder pursuant to the provisions of section 14 of this act;
h. To maintain a record of all applicants for a certificate;
i. To maintain and annually publish a record of every certificate holder, his place of business, place of residence and the date and number of his certificate;
j. To take disciplinary action, in accordance with section 14 of this act, against a certificate holder or employee who violates any provision of this act or any rule or regulation promulgated pursuant to this act;
k. To adopt standards and requirements for and approve continuing education programs and courses of study for certificate holders and their employees;
l. To review advertising by certificate holders; and
m. To perform such other duties as may be necessary to effectuate the purposes of this act.
##### **§ 52:27D-25q** Certification required for fire protection contractors. {#sec-52-27d-25q omnilex-key=us-nj-statutes--title-52--52:27D-25q}
4. a. After the effective date of P.L.2001, c.289, no fire protection contractor shall engage in the installation, service, repair, inspection, or maintenance of fire protection equipment without holding or employing a person who holds a valid certificate of certification issued in accordance with P.L.2001, c.289 (C.52:27D-25n et seq.), except that the commissioner shall determine by rules and regulations the date after which no contractor may engage in the installation, service, repair, inspection, or maintenance of fire dampers, combination fire and smoke dampers, or smoke control systems without holding or employing a person who holds a valid certificate of certification issued in accordance with P.L.2023, c.186 (C.52:27D-198.21 et al.). A fire protection contractor who is not a certificate holder shall be required to obtain a fire protection contractor business permit from the commissioner, which shall be issued for three years upon payment of an appropriate fee set by the commissioner and proof that the fire protection contractor employs a certificate holder. Notwithstanding the provisions of this section, persons holding a license to engage in the fire alarm business pursuant to P.L.1997, c.305 (C.45:5A-23 et seq.), or who are electrical contractors as defined in section 2 of P.L.1962, c.162 (C.45:5A-2), are exempt from the requirement of obtaining a certificate of certification under this act to engage in the fire alarm business pursuant to this act to the extent that such persons are acting within the scope of practice of their profession or occupation.
The certificate required by this section shall define by class the type of work in which a fire protection contractor may engage.
Notwithstanding any provision of P.L.2001, c.289, the commissioner shall issue a certificate to any person who has been employed as a fire protection contractor for a period of not less than five years on or before the effective date of this act, upon application with submission of satisfactory proof and payment by that person of the appropriate certification fee within 180 days following the effective date of this act.
b. The following certified classifications are hereby established:
(1) An "All Fire Protection Equipment Contractor" is authorized to install, service, repair, inspect and maintain all fire protection equipment listed in paragraphs (2) through (6) of this subsection.
(2) A "Fire Sprinkler System Contractor" is authorized to install, service, repair, inspect and maintain fire sprinkler systems.
(3) A "Special Hazard Fire Suppression System Contractor" is authorized to install, service, repair, inspect and maintain special hazard fire suppression systems and kitchen fire suppression systems.
(4) A "Fire Alarm System Contractor" is authorized to install, service, repair, inspect and maintain all fire alarm systems.
(5) A "Portable Fire Extinguisher Contractor" is authorized to install, service, repair, inspect and maintain all portable fire extinguishers.
(6) A "Kitchen Fire Suppression System Contractor" is authorized to install, service, repair, inspect and maintain all kitchen fire suppression systems.
(7) A "Smoke Damper, Fire Damper, and Combination Fire and Smoke Damper Contractor" is authorized to install, service, repair, inspect, and maintain all smoke dampers, fire dampers, and combination fire and smoke dampers. In addition to any other requirements adopted by the commissioner, a Smoke Damper, Fire Damper, and Combination Fire and Smoke Damper Contractor shall participate in an approved apprenticeship or skill training program that is registered with, and approved by, the United States Department of Labor or a State apprenticeship agency, as defined by the commissioner in rules or regulations, unless the commissioner determines by rule or regulation that requiring participation in such a program would be substantially detrimental to ensuring that a sufficient number of contractors are certified to conduct the work within the scope of the contractor's certification class Statewide, and shall hold a certification from an organization that has been accredited under or meets the criteria required by the International Organization for Standardization/International Electrotechnical Commission 17024 Personnel Certification standard, or such substantially similar certification as determined by the commissioner in rules or regulations. Notwithstanding the provisions of this section, the commissioner may exempt by regulation persons with related licenses or credentials from the requirement of obtaining a certificate of certification as a Smoke Damper, Fire Damper, and Combination Fire and Smoke Damper Contractor to engage in the initial installation of smoke dampers, fire dampers, and combination fire and smoke dampers to the extent that such persons are acting within the scope of practice of their profession or occupation.
(8) A "Smoke Control System Contractor" is authorized to install, service, repair, inspect, and maintain all smoke control systems. In addition to any other requirements adopted by the commissioner, a Smoke Control System Contractor shall participate in an approved apprenticeship or skill training program that is registered with, and approved by, the United States Department of Labor or a State apprenticeship agency, as defined by the commissioner in rules or regulations, unless the commissioner determines by rule or regulation that requiring participation in such a program would be substantially detrimental to ensuring that a sufficient number of contractors are certified to conduct the work within the scope of the contractor's certification class statewide, and shall hold a certification from an organization that has been accredited under or meets the criteria required by the International Organization for Standardization/International Electrotechnical Commission 17024 Personnel Certification standard, or such substantially similar certification as determined by the commissioner in rules or regulations. Notwithstanding the provisions of this section, the commissioner may exempt by regulation persons with related licenses or credentials from the requirement of obtaining a certificate of certification as a Smoke Control System Contractor to engage in the initial installation of smoke control systems to the extent that such persons are acting within the scope of practice of their profession or occupation.
c. A certified fire protection contractor shall perform work only within the scope of the contractor's certification class.
d. Any change in more than 50% of the ownership of a fire protection contractor shall require an amended certificate of certification. An application for an amended certificate of certification shall be submitted within 60 days of a change of ownership or change of company name or location. Certificates of certification are non-transferable and shall be displayed prominently in the principal work place. A certificate holder shall not be used to qualify more than one fire protection contractor. The commissioner shall be notified within 30 days if a certificate holder leaves the fire protection contractor or is replaced. Notwithstanding subsection a. of this section, no fire protection contractor shall be denied the privilege of continuing business as a fire protection contractor in the event of death, illness, or other physical disability of the certificate holder who qualified the fire protection contractor for a business permit under this section, for at least six months following the date of such death, illness or other physical disability; provided that the fire protection contractor operates under such qualified supervision as the commissioner deems adequate. If, after six months, the fire protection contractor has failed to employ another certificate holder, then the commissioner shall revoke its fire protection contractor business permit.
e. Whenever the commissioner shall find cause to deny an application for a certificate of certification or to suspend or revoke a certificate, he shall notify the applicant or the holder of the certificate and state the reasons for the denial or suspension, as appropriate.
f. Whenever the commissioner shall find cause to deny an application for a fire protection contractor business permit or to suspend or revoke a fire protection contractor business permit, he shall notify the applicant or the holder of the business permit and state the reasons for the denial or suspension, as appropriate.
g. Any person subject to certification under paragraphs (1) through (6) of subsection b. of this section shall be exempt from any other State, county, or municipal certification, licensing, or registration requirements for installing, servicing, repairing, inspecting, or maintaining fire protection equipment.
##### **§ 52:27D-25r** Requirements to engage in fire protection equipment business. {#sec-52-27d-25r omnilex-key=us-nj-statutes--title-52--52:27D-25r}
5. No person shall advertise that he is authorized to engage in, or engage in the fire protection equipment business, or otherwise engage in the installation, service, repair, inspection or maintenance of fire protection equipment unless he satisfies the requirements of this act.
##### **§ 52:27D-25s** Application for certificate. {#sec-52-27d-25s omnilex-key=us-nj-statutes--title-52--52:27D-25s}
6. a. Application for a certificate to engage in the fire protection equipment business shall be made to the commissioner in the manner and on the forms as the commissioner may prescribe.
b. An application to engage in the fire protection equipment business shall include the name, age, residence, present and previous occupations of the applicant and, in the case of a business firm engaged in the fire protection equipment business, of each member, officer or director thereof, the name of the municipality and the location therein by street number or other appropriate description of the principal place of business and the location of each branch office.
c. The commissioner may require other information of the applicant and, if the applicant is proposing to qualify a business firm, of the business firm to determine the professional competence and integrity of the concerned parties.
##### **§ 52:27D-25t** Qualifications for applicants. {#sec-52-27d-25t omnilex-key=us-nj-statutes--title-52--52:27D-25t}
7. An applicant seeking certification to engage in the fire protection equipment business shall:
a. Be at least 18 years of age;
b. Be of good moral character, and not have been convicted of a crime of the first, second or third degree within 10 years prior to the filing of the application;
c. Meet qualifications established by the commissioner, regarding experience, continuing education, financial responsibility and integrity; and
d. Establish his qualifications to perform and supervise various phases of fire protection equipment installation, service, repair, inspection and maintenance as evidenced by successful completion of an examination approved by the commissioner.
##### **§ 52:27D-25u** Issuance of certificates. {#sec-52-27d-25u omnilex-key=us-nj-statutes--title-52--52:27D-25u}
8. a. Certificates of certification shall be issued to qualified applicants seeking certification to engage in the fire protection equipment business for a three-year period, upon payment of a certificate of certification fee. Certificate renewals shall be issued for a three-year period upon the payment of a renewal fee. A renewal application shall be filed with the commissioner at least 45 days prior to expiration of a certificate of certification. A certificate of certification issued pursuant to this act shall not be transferable.
b. Fees shall be established, prescribed or changed by the commissioner, to the extent necessary to defray all proper expenses incurred by the commissioner, committee and any staff employed to administer the provisions of this act, except that fees shall not be fixed at a level that will raise amounts in excess of the amount estimated to be required. All fees and any fines imposed under this act shall be paid to the commissioner and shall be forwarded to the State Treasurer and become part of the General Fund.
##### **§ 52:27D-25v** Requirements for certificate holder to do business. {#sec-52-27d-25v omnilex-key=us-nj-statutes--title-52--52:27D-25v}
9. No holder of a certificate of certification qualified under the provisions of this act shall engage in the fire protection equipment business unless the certificate holder:
a. Maintains at least one business office within this State or files with the commissioner a statement, duly executed and sworn to before a person authorized by the laws of this State to administer oaths, containing a power of attorney constituting the commissioner the true and lawful attorney of the certificate holder upon whom all original process in an action or legal proceeding against the certificate holder may be served and in which the certificate holder agrees that the original process that may be served upon the commissioner shall be of the same force and validity as if served upon the certificate holder and that the authority thereof shall continue in force so long as the certificate holder engages in the fire protection equipment business;
b. Clearly marks the outside of each installation and service vehicle to be used in conjunction with the fire protection equipment business with the business name as determined by the commissioner;
c. Maintains an emergency service number attended to on a 24-hour basis and responds appropriately to emergencies on a 24-hour basis as determined by the commissioner.
##### **§ 52:27D-25w** Responsibility for employees. {#sec-52-27d-25w omnilex-key=us-nj-statutes--title-52--52:27D-25w}
10. No employee of a certificate holder shall engage in the installation, service, repair, inspection or maintenance of fire protection equipment unless the certificate holder bears full responsibility for the inspection of all work to be performed in compliance with recognized safety standards.
##### **§ 52:27D-25x** Liability for employee. {#sec-52-27d-25x omnilex-key=us-nj-statutes--title-52--52:27D-25x}
11. A certificate holder shall be liable for any unprofessional conduct of an employee while acting within the scope of his employment, except that the conduct shall not be cause for suspension or revocation of a certificate, unless the commissioner determines that the certificate holder had knowledge thereof, or there is shown to have existed a pattern of unprofessional conduct.
##### **§ 52:27D-25y** Licensure from other jurisdiction valid. {#sec-52-27d-25y omnilex-key=us-nj-statutes--title-52--52:27D-25y}
12. If the commissioner determines that an applicant holds a valid license, registration, certification or other authorization from another jurisdiction which requires equal or greater experience and knowledge requirements, the commissioner may accept the evidence of that license, registration, certification or other authorization as meeting the experience and knowledge requirements of this act for a person to engage in the fire protection equipment business.
##### **§ 52:27D-25z** Commercial general liability insurance. {#sec-52-27d-25z omnilex-key=us-nj-statutes--title-52--52:27D-25z}
13. All contractors shall carry commercial general liability insurance, including products and completed operations coverage, in the minimum amount of $1,000,000 for each coverage. The contractor shall furnish a general warranty for one year with each system installation in accordance with guidelines promulgated by the commissioner.
##### **§ 52:27D-25aa** Refusal to admit person to examination, suspension, revocation of certificate, grounds. {#sec-52-27d-25aa omnilex-key=us-nj-statutes--title-52--52:27D-25aa}
14. a. The commissioner may refuse to admit a person to examination or may refuse to issue or may suspend or revoke any certificate of certification issued by the commissioner upon proof that the applicant or holder of such certificate:
(1) Has obtained a certificate or authorization to sit for an examination, as the case may be, through fraud, deception or misrepresentation;
(2) Has engaged in the use or employment of dishonesty, fraud, deception, misrepresentation, false promise or false pretense;
(3) Has engaged in gross negligence, gross malpractice or gross incompetence which damaged or endangered the life, health, welfare, safety or property of any person;
(4) Has engaged in repeated acts of negligence, malpractice or incompetence;
(5) Has engaged in professional or occupational misconduct as may be determined by the commissioner;
(6) Has been convicted of, or engaged in acts constituting, any crime or offense involving moral turpitude or relating adversely to the activity regulated by the commissioner. For the purpose of this paragraph, a judgment of conviction or a plea of guilty, non vult, nolo contendere or any other such disposition of alleged criminal activity shall be deemed a conviction;
(7) Has had his authority to engage in the activity regulated by the commissioner revoked or suspended by any other state, agency or authority for reasons consistent with this section;
(8) Has violated or failed to comply with the provisions of any act or regulation administered by the commissioner;
(9) Is incapable, for medical or any other good cause, of discharging the functions of a certificate holder in a manner consistent with the public's health, safety and welfare;
(10) Has repeatedly failed to submit completed applications, or parts of, or documentation submitted in conjunction with, such applications, required to be filed with the Department of Environmental Protection;
(11) Has violated any provision of P.L.1983, c.320 (C.17:33A-1 et seq.) or any insurance fraud prevention law or act of another jurisdiction or has been adjudicated, in civil or administrative proceedings, of a violation of that act or has been subject to a final order, entered in civil or administrative proceedings, that imposed civil penalties under that act against the applicant or holder;
(12) Is presently engaged in drug or alcohol use that is likely to impair the ability to install, service, repair, inspect or maintain fire protection equipment with reasonable skill and safety. For purposes of this paragraph, "presently" means at this time or any time within the previous 365 days;
(13) Has permitted an unlicensed person or entity to perform an act for which a license or certificate of registration or certification is required by the commissioner, or aided and abetted an unlicensed person or entity in performing such an act;
(14) Advertised fraudulently in any manner.
For purposes of paragraph (10) of this subsection: "completed application" means the submission of all of the information designated on the checklist, adopted pursuant to section 1 of P.L.1991, c.421 (C.13:1D-101), for the class or category of permit for which application is made; and "permit" has the same meaning as defined in section 1 of P.L.1991, c.421 (C.13:1D-101).
b. In addition, or as an alternative to any other penalty, the commissioner may promulgate, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), regulations identifying violations of provisions of this act and establishing a range of penalties for violations of similar type, seriousness and duration.
##### **§ 52:27D-25bb** After revocation, application for new certificate. {#sec-52-27d-25bb omnilex-key=us-nj-statutes--title-52--52:27D-25bb}
15. After revocation of a certificate of certification, the commissioner shall not renew or reinstate such certificate; however, a person may apply for a new certificate of certification. When it can be shown that all loss caused by the act or omission for which the certificate was revoked has been fully satisfied, and that all conditions imposed by the order of revocation have been complied with, the commissioner may issue a new certification, provided that the applicant meets all other qualifications necessary for certification and pays the appropriate fee.
##### **§ 52:27D-25cc** Dispute settlement hearing. {#sec-52-27d-25cc omnilex-key=us-nj-statutes--title-52--52:27D-25cc}
16. Any person aggrieved by any action, notice, ruling or order of the commissioner, with respect to this act, shall have the right to a dispute settlement hearing, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.). The aggrieved party shall submit a written request to the commissioner for a hearing within 15 days of the action, notice, ruling or order. All hearing requests shall include:
a. The date of the action which is the subject of the appeal;
b. The name and status of the person submitting the appeal;
c. The specific violations or other action claimed to be in error; and
d. A concise statement of the basis for the appeal.
##### **§ 52:27D-25dd** Arbitration, review by commissioner on disputed work. {#sec-52-27d-25dd omnilex-key=us-nj-statutes--title-52--52:27D-25dd}
17. a. Any person who has contracted with a fire protection contractor for the installation, service, repair, inspection or maintenance of fire protection equipment who is not satisfied with the work done by that contractor shall notify the contractor of the problems and shall allow a reasonable time for the repair of such problems. If the repairs are not made within a reasonable time, or are unsatisfactory to the person, that person may file a request for the commissioner to designate an arbitrator, who shall hear the matter in accordance with the rules of procedure of the American Arbitration Association.
b. Where both parties do not agree to submit to the arbitration, the commissioner shall thoroughly review the matter and shall make a decision as to the merits of the claim and issue an order directing appropriate relief if warranted. If, within 30 calendar days of the commissioner's decision, either party files a written notice requesting an administrative hearing, the commissioner shall provide for an administrative hearing in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), with a final decision to be issued by the commissioner. In the alternative, a claimant may seek a remedy directly in court without regard to dispute settlement procedures made available in accordance with this act.
c. If, in the opinion of the commissioner, fire protection equipment may be rendered inoperable for an extended period of time, the commissioner may order the owner or contractor to restore the equipment to service in accordance with the fire code regulations promulgated by the commissioner pursuant to section 7 of P.L.1983, c.383 (C.52:27D-198).
d. The rights, remedies and procedures accorded by the provisions of this section are in addition to, and cumulative of, any other right, remedy and procedure accorded by the common law or statutes of this State, and nothing contained herein shall be construed to deny, abrogate or impair any such common law or statutory right, remedy or procedure.
##### **§ 52:27D-25ee** Valid license, certain, required for certification. {#sec-52-27d-25ee omnilex-key=us-nj-statutes--title-52--52:27D-25ee}
18. Any person licensed to engage in the fire alarm business pursuant to P.L.1997, c.305 (C.45:5A-23 et seq.) whose license is not in good standing with the Board of Examiners of Electrical Contractors shall not be eligible for a certificate of certification to engage in the fire protection contractor business under the provisions of this act.
##### **§ 52:27D-25ff** Exemption, certain. {#sec-52-27d-25ff omnilex-key=us-nj-statutes--title-52--52:27D-25ff}
19. Notwithstanding the provisions of this act, the commissioner may exempt from the requirements of this act any person engaged in the installation of fire protection equipment in dormitories pursuant to P.L.2000, c.56 (C.52:27D-198.7 et al.). The exemption shall apply only for work performed pursuant to P.L.2000, c.56 (C.52:27D-198.7 et al.) and only for such time as is necessary to complete work performed pursuant to that act.
##### **§ 52:27D-25gg** Rules, regulations. {#sec-52-27d-25gg omnilex-key=us-nj-statutes--title-52--52:27D-25gg}
24. The commissioner shall promulgate rules and regulations necessary to carry out the provisions of this act pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:27D-25hh** Emblem on residential dwelling to identify persons with disabilities. {#sec-52-27d-25hh omnilex-key=us-nj-statutes--title-52--52:27D-25hh}
1. a. The Director of the Division of Fire Safety in the Department of Community Affairs shall issue a person with a disability identification emblem upon the proper application therefor by a qualified person with a disability. The emblem, when affixed to the window of a residential dwelling, shall serve to alert firefighters, medical, rescue or law enforcement personnel, when responding to an emergency situation, that a person with a disability may be present therein and may require special assistance. The director, in consultation with appropriate State agencies and organizations representing individuals with disabilities, shall determine the design and size of the emblem and the location and manner in which it shall be affixed to the dwelling. The director shall promulgate rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) necessary to effectuate the purposes of this act.
b. A person with a disability may apply for an emblem to the Director of the Division of Fire Safety. After due investigation of the qualifying status of each applicant, the director shall issue the emblem. An emblem issued pursuant to this section shall be nontransferable and shall be removed from a dwelling when a qualified person with a disability no longer resides in that dwelling.
As used in this section, "person with a disability" means a person who is severely and permanently disabled and cannot ambulate without the use of assistive devices, such as a cane, crutch, wheelchair, prosthetic device or other person, or someone who suffers from lung disease or uses portable oxygen, or someone who has a cardiac condition to the extent that the person's functional limitations are classified in severity as a class III or class IV, according to the American Heart Association, or someone who is deaf or hard of hearing, or an individual who has permanent sight impairment in both eyes as certified by the New Jersey Commission for the Blind or whose ability to walk is severely and permanently limited due to an arthritic, neurological, or orthopedic condition. The disability must be certified by a licensed medical doctor, podiatrist or physician licensed to practice in New Jersey or a bordering state.
##### **§ 52:27D-25ii** Demonstration, operation of firefighting equipment. {#sec-52-27d-25ii omnilex-key=us-nj-statutes--title-52--52:27D-25ii}
1. Notwithstanding any law, rule or regulation to the contrary, for educational purposes fire department or districts may conduct demonstrations of firefighting equipment or apparatus for officers and employees of the State or any county or municipality and any agency or instrumentality thereof, in which said officers or employees may operate the equipment or apparatus, provided they are directly supervised by a person certified to operate the equipment or apparatus and reasonable measures have been taken to ensure the safety of the operator.
##### **§ 52:27D-25jj** Adoption of training course by Division of Fire Safety. {#sec-52-27d-25jj omnilex-key=us-nj-statutes--title-52--52:27D-25jj}
3. a. The Division of Fire Safety in the Department of Community Affairs, in consultation with the New Jersey Fire and Emergency Medical Services Institute, shall adopt a training course regarding the risks associated with autism or an intellectual or other developmental disability and appropriate recognition and response techniques concerning these disabilities, based on the curriculum developed by the Departments of Health and Senior Services and Human Services pursuant to subsection a. of section 2 of P.L.2008, c.80 (C.26:2-190). The course curriculum and instruction shall be administered to every firefighter recruit, volunteer or paid.
b. Each person, volunteer or paid, who is engaged in fire suppression, firefighting, or fire rescue before the effective date of this act shall, within 36 months of the effective date of this act, satisfactorily complete a training course in recognition and response techniques concerning these disabilities.
c. The Commissioner of Community Affairs shall adopt rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of this act.
##### **§ 52:27D-25kk** Accreditation of certain recruit firefighter training programs; rules, regulations. {#sec-52-27d-25kk omnilex-key=us-nj-statutes--title-52--52:27D-25kk}
1. a. All recruit firefighter training programs conducted by the Division of Fire Safety in the Department of Community Affairs shall be accredited by the National Board on Fire Service Professional Qualifications, the International Fire Service Accreditation Congress, or any successor entity.
b. Persons who successfully complete an accredited recruit firefighter training program as set forth in subsection a. of this section shall be eligible to receive a certificate of national certification offered by the organization that has accredited the training program, upon payment of a certificate of certification fee to the accrediting organization.
c. The Director of the Division of Fire Safety in the Department of Community Affairs shall adopt rules and regulations to implement the provisions of this section, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:27D-25ll** Definitions relative to a "New Jersey Fire and EMS Crisis Intervention Services" telephone hotline. {#sec-52-27d-25ll omnilex-key=us-nj-statutes--title-52--52:27D-25ll}
1. As used in P.L.2019, c.309 (C.52:27D-25ll et seq.):
"Division" means the Division of Fire Safety in the Department of Community Affairs.
"University" means Rutgers, The State University/University Behavioral Health Care.
##### **§ 52:27D-25mm** Establishment, maintenance of "New Jersey Fire and EMS Crisis Intervention Services" telephone hotline. {#sec-52-27d-25mm omnilex-key=us-nj-statutes--title-52--52:27D-25mm}
2. a. The division, in conjunction with the university, shall establish and maintain, on a 24-hour daily basis, a toll-free "New Jersey Fire and EMS Crisis Intervention Services" telephone hotline. The hotline shall receive and respond to calls from fire and emergency services personnel who experience depression, anxiety, stress, or any other psychological or emotional disorder or condition. The operators of the hotline shall identify and refer callers to further debriefing and counseling services.
b. The operators of the hotline shall be trained by the division and the university, and, to the greatest extent possible, shall be persons who are: (1) familiar with the post-trauma disorders and psychological and emotional disorders and conditions that are frequently experienced by fire and emergency services personnel; or (2) trained to provide counseling services involving marriage and family life, substance use disorder, personal stress management, and other emotional or psychological disorders or conditions that may adversely affect fire and emergency services personnel.
c. The division and the university shall provide for the confidentiality of the names of the fire and emergency services personnel calling, the information discussed by a caller and operator, and any referrals for further debriefing or counseling. However, the division, after consultation with the university, may, by rule and regulation, establish guidelines for monitoring any fire or emergency services caller who exhibits signs of a severe emotional or psychological disorder or condition which the operator handling the call reasonably believes may result in harm to the caller or any other person.
##### **§ 52:27D-25nn** List of qualified persons to accept referrals. {#sec-52-27d-25nn omnilex-key=us-nj-statutes--title-52--52:27D-25nn}
3. The division, after consultation with the university, shall prepare a list of the following persons who are willing to accept referrals and administer the debriefing and counseling services provided through the telephone hotline: appropriately licensed or certified psychiatrists, psychologists, and social workers; appropriately trained and qualified counselors; and experienced former fire and emergency services personnel.
##### **§ 52:27D-25oo** Consultation with representatives. {#sec-52-27d-25oo omnilex-key=us-nj-statutes--title-52--52:27D-25oo}
4. In establishing the hotline pursuant to the provisions of P.L.2019, c.309 (C.52:27D-25ll et seq.), the division and university shall consult with a representative from the New Jersey Career Fire Chiefs Association; New Jersey State Firefighters Mutual Benevolent Association; Professional Firefighters Association of New Jersey; New Jersey Hospital Association; New Jersey Association of Paramedic Programs; EMS Council of New Jersey; New Jersey State Fire Chiefs Association; any other exclusive bargaining representative for a New Jersey fire department or force, or emergency services agency or provider; and any others that the division deems appropriate.
##### **§ 52:27D-25pp** Minimum annual appropriation. {#sec-52-27d-25pp omnilex-key=us-nj-statutes--title-52--52:27D-25pp}
5. Notwithstanding any provision of law to the contrary, an amount not less than $250,000, as determined by the Commissioner of Community Affairs, shall be annually appropriated to defray the costs associated with operating and maintaining the "New Jersey Fire and EMS Crisis Intervention Services" telephone hotline. The appropriation shall be payable out of the fees and penalties derived from fire code enforcement activities pursuant to the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.).
##### **§ 52:27D-28.1** Legislative findings {#sec-52-27d-28.1 omnilex-key=us-nj-statutes--title-52--52:27D-28.1}
The Legislature hereby finds and declares that:
a. The rapid pace of modern life, the ever-upward spiral of inflation, the often-debilitating infirmities of advancing years, and the change in family life combine to place many senior citizens of this State in an unenviable position of poverty and dependency that endangers their health, safety, and welfare.
b. Such senior citizens in particular, and all senior citizens in general, need and deserve the attention, assistance, and protection of the State.
c. To fulfill this responsibility, the government of the State should have an appropriate and significant agency empowered to serve those individuals effectively so that comprehensive programs can be developed and coordinated on a Statewide basis to locate and assist this segment of the population of this State.
##### **§ 52:27D-28.3** Statewide master plan; annual review and report to governor and legislature {#sec-52-27d-28.3 omnilex-key=us-nj-statutes--title-52--52:27D-28.3}
In addition to its already-prescribed powers and duties, the Division on Aging, upon consultation with the State Commission on Aging, shall:
a. Formulate a comprehensive, Statewide master plan which identifies the needs of the senior citizens in this State; recommends programs to locate and assist this segment of the State's population, especially those who are living in conditions hazardous to their physical health, are abused, neglected or destitute, or are unable to cope with their daily affairs and to provide themselves with minimal subsistence and living comforts; provides guidelines for the agencies concerned with senior citizens in the political subdivisions of the State which seek State and Federal funds; and suggests methods to coordinate the services provided to senior citizens by departments and agencies of the State and by the political subdivisions thereof. Said master plan shall be submitted to the Governor and Legislature no later than 18 months following the enactment of this act.
b. Review annually and, if necessary, revise the Statewide master plan and submit a report to the Governor and the Legislature containing an evaluation of the preceding year's program (including the total number of senior citizens served, the types of problems encountered, the actions taken), the revisions recommended in the master plan, and the programs recommended for the next fiscal year.
##### **§ 52:27D-28.4** Master plan and annual reports; formulation; proceedings {#sec-52-27d-28.4 omnilex-key=us-nj-statutes--title-52--52:27D-28.4}
In formulating the master plan and the subsequent annual reports, the division shall:
a. Conduct at least one public hearing;
b. Consult and cooperate with:
(1) Officials of departments and agencies of the State and of the counties and municipalities of this State having duties and responsibilities concerning senior citizens;
(2) Officials and representatives of the Federal Government, of neighboring states, and of interstate agencies on problems affecting the senior citizens of this State;
(3) Officials, practitioners, and representatives in the fields of health, medicine, and the social sciences;
(4) Persons, organizations, and groups, public or private, interested in or concerned with the senior citizens of the State; and
c. Request and receive from any department, division, board, bureau, commission, or other agency of the State, or any political subdivision or public authority thereof, such assistance and data as may be necessary to enable the division to carry out its responsibilities under this act.
##### **§ 52:27D-29.1** Short title {#sec-52-27d-29.1 omnilex-key=us-nj-statutes--title-52--52:27D-29.1}
This act shall be known as the "Senior Citizens Recreational Opportunities Act of 1968."
##### **§ 52:27D-29.2** Public policy {#sec-52-27d-29.2 omnilex-key=us-nj-statutes--title-52--52:27D-29.2}
It is hereby declared to be public policy of the State of New Jersey to encourage and support, as hereinafter provided, the promotion, planning, development, implementation and maintenance of adequate recreational programs, on the local level, for those people of the State of New Jersey who are 60 years of age or older.
##### **§ 52:27D-29.3** Definitions {#sec-52-27d-29.3 omnilex-key=us-nj-statutes--title-52--52:27D-29.3}
For the purposes of this act:
(a) "Local governmental unit" shall mean and include any county or municipality.
(b) "Director" shall mean the Director of the Division on Aging in the Department of Community Affairs.
(c) "Commissioner" shall mean the Commissioner of the Department of Community Affairs.
##### **§ 52:27D-29.4** Program furnishing recreation for adults 60 years and over; rules and regulations {#sec-52-27d-29.4 omnilex-key=us-nj-statutes--title-52--52:27D-29.4}
The director shall, after consultation with experts in the area of recreation, develop a comprehensive program for the furnishing of recreation for adults 60 years of age and over, and shall promulgate reasonable rules and regulations for the administration of this program.
The director may establish, at his discretion, a requirement specifying the kind and number of professional recreation counsellors he deems necessary for the proper supervision of recreation programs for the elderly in the local governmental units.
##### **§ 52:27D-29.5** Furnishing of recreation by local governmental unit {#sec-52-27d-29.5 omnilex-key=us-nj-statutes--title-52--52:27D-29.5}
Any local governmental unit is hereby authorized to furnish and foster recreational activities for the elderly as set forth in the comprehensive program developed by the director, or to contract therefor with private, nonprofit agencies to provide such services, and to receive and expend moneys from the State, the Federal Government or private individuals, corporations or associations therefor. The furnishing of such recreation is hereby declared to be a proper public purpose for which the moneys of such county or municipality may be raised and expended.
##### **§ 52:27D-29.6** Application for approval of plans for recreation project {#sec-52-27d-29.6 omnilex-key=us-nj-statutes--title-52--52:27D-29.6}
Any local governmental unit desiring to establish a recreation project for the elderly may apply to the director for approval of the project. The application shall be in accordance with the regulations of the director, shall be in writing, and shall specify the nature of the project in such detail as may be required by the director.
No application for approval of plans for a recreation project for the elderly shall be considered which has not been first approved by the governing body of the local governmental unit making application.
The director may recommend to the commissioner the approval or disapproval of the proposed project, or may recommend to the applicant such modifications as may be desirable, and if his modifications are consented to by the applicant, recommend the approval of the same with such modifications to the commissioner.
The approval of any proposed project by the commissioner shall authorize the local governmental unit to receive State aid for such project, as hereinafter set forth; provided, however, any such approval may subsequently be withdrawn or changes may be required with respect to any such previously approved project.
##### **§ 52:27D-29.7** State aid; amount {#sec-52-27d-29.7 omnilex-key=us-nj-statutes--title-52--52:27D-29.7}
Upon recommendation of the director and approval by the commissioner, there shall be apportioned and paid to each local governmental unit operating and maintaining a program approved under the provisions of this act a sum not to exceed 50% of the amount expended by the local governmental unit for such approved program in the preceding fiscal year; provided, however, that the annual amount of State aid payable to any local governmental unit shall not exceed the sum of $1.00 for each 4 persons 60 years of age or older residing in the local governmental unit as shown in the last preceding Federal census. Payments will be made by the State Treasurer upon certificate of the commissioner and warrant of the Director of the Division of Budget and Accounting.
##### **§ 52:27D-29.8** Failure to comply with rules and regulations; withholding of state aid {#sec-52-27d-29.8 omnilex-key=us-nj-statutes--title-52--52:27D-29.8}
The commissioner may authorize or require the State Treasurer to withhold the payment of State aid to any local governmental unit in the event that it alters or discontinues an approved recreation program, or fails to make modifications thereof as required under the provisions of this act, or otherwise fails to comply with the rules and regulations promulgated under this act.
##### **§ 52:27D-29.9** Gifts, grants and moneys; acceptance by commissioner {#sec-52-27d-29.9 omnilex-key=us-nj-statutes--title-52--52:27D-29.9}
The commissioner may accept, as agent of the State of New Jersey, any gift or grant for any of the purposes of this act, and any moneys so received may be expended for any purpose authorized by this act.
##### **§ 52:27D-29.10** Purpose; intent {#sec-52-27d-29.10 omnilex-key=us-nj-statutes--title-52--52:27D-29.10}
It is the purpose of this act to encourage the establishment of pre-retirement education programs to educate pre-retirees on such significant aspects of life after retirement as financial management, employment prospects, transportation means, community involvement, family relations, use of leisure time and the maintenance of mental and physical health and well-being. It is the intent of the Legislature that the systematic dissemination of information on retirement planning shall help to eliminate unnecessary economic, social, and psychological hardship experienced by many of the senior citizens of this State.
##### **§ 52:27D-29.11** Demonstration programs; establishment {#sec-52-27d-29.11 omnilex-key=us-nj-statutes--title-52--52:27D-29.11}
The Commissioner of the Department of Community Affairs through the Division on Aging shall establish a pre-retirement education demonstration program. Such a demonstration program shall be utilized to make available to public and private agencies, institutions and organizations including but not limited to religious, civic or social groups, schools, businesses, industries, labor or trade unions, and governmental agencies, the guidance and assistance that they may require in conducting seminars, workshops or other educational programs for the purpose of providing education and information on retirement planning.
Further, the commissioner shall recruit public and private agencies, institutions and organizations to conduct pre-retirement education programs and shall encourage and support these programs by providing information and instruction on the conducting of pre-retirement education programs and the utilization of resource materials and financial assistance.
##### **§ 52:27D-29.12** Rules and regulations {#sec-52-27d-29.12 omnilex-key=us-nj-statutes--title-52--52:27D-29.12}
The commissioner shall promulgate rules and regulations as needed to implement the provisions of this act.
##### **§ 52:27D-29.13** Annual report {#sec-52-27d-29.13 omnilex-key=us-nj-statutes--title-52--52:27D-29.13}
The commissioner shall report to the Legislature each year on the progress and effectiveness of the implementation of the provisions of this act.
##### **§ 52:27D-29.14** Legislative findings and declarations {#sec-52-27d-29.14 omnilex-key=us-nj-statutes--title-52--52:27D-29.14}
The Legislature finds and declares that: there is an urgent need to provide for more quality child care services in New Jersey, particularly in light of recent trends indicating that more single parents are entering the work force; there are many latchkey children and pre-school children in the State who are in need of adequate care and supervision; the lifestyles of older people often result in greatly diminished contact between the elderly and children; older people often lack opportunities for involvement in meaningful community activities, and an Intergenerational Child Care Demonstration Matching Program would bring older people together with children, which will provide for urgently needed nurturing child care services and, at the same time, provide a meaningful way in which the elderly may become involved in their own communities.
##### **§ 52:27D-29.15** Intergenerational Child Care Demonstration Matching Program. {#sec-52-27d-29.15 omnilex-key=us-nj-statutes--title-52--52:27D-29.15}
2. The Commissioner of Children and Families, in consultation with the Division on Women and the Advisory Council on Child Care established pursuant to section 14 of P.L.1983, c.492 (C.30:5B-14), shall establish an Intergenerational Child Care Demonstration Matching Program in the Division on Aging established pursuant to section 28 of P.L.1966, c.293 (C.52:27D-28) to enable senior residents of the State, 60 years of age or older, to be recruited and matched by a county office on aging so they may render nurturing child care services to pre-school and latchkey children of working parents after school hours.
##### **§ 52:27D-29.16** Standards relative to program; regulations. {#sec-52-27d-29.16 omnilex-key=us-nj-statutes--title-52--52:27D-29.16}
3. a. The Division on Aging, the Division on Women, and the Advisory Council on Child Care shall recommend standards to ensure that the Intergenerational Child Care Demonstration Matching Program is of high quality and benefits both children and older people. Subject to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the Commissioner of Children and Families shall adopt all regulations necessary to effectuate the purposes of P.L.1985, c.66 (C.52:27D-29.14 et seq.).
b. Any county office on aging that is interested in participating in the program may submit a proposal to the commissioner. The commissioner shall review the proposals and approve the proposals that best meet the purposes of the demonstration program.
##### **§ 52:27D-29.17** Definitions. {#sec-52-27d-29.17 omnilex-key=us-nj-statutes--title-52--52:27D-29.17}
1. a. "Commissioner" means the Commissioner of Human Services.
b. "Department" means the Department of Human Services.
c. "Eligible participant" means a resident of this State who is 60 years of age or older and homebound by reason of illness, incapacitating disability, or is otherwise isolated.
d. "Home delivered nutrition services" means home delivered meals as defined by the "Older Americans Act of 1965," Pub.L. 89-73 (42 U.S.C. s. 3001 et seq.).
e. "Program" means the Home Delivered Meals Expansion Program in the Division of Aging Services, in the Department of Human Services.
##### **§ 52:27D-29.18** Home Delivered Meals Expansion Program. {#sec-52-27d-29.18 omnilex-key=us-nj-statutes--title-52--52:27D-29.18}
2. The commissioner shall establish a Home Delivered Meals Expansion Program in the Division of Aging Services, in the Department of Human Services, to provide home delivered nutrition services to eligible participants on weekends and holidays.
##### **§ 52:27D-29.19** Guidelines {#sec-52-27d-29.19 omnilex-key=us-nj-statutes--title-52--52:27D-29.19}
The commissioner shall prepare guidelines under which the county offices on aging, established pursuant to P.L.1970, c. 248 (C. 40:23-6.38 et seq.), shall implement the Home Delivered Meals Expansion Program. The guidelines shall require:
a. The county offices on aging to solicit proposals from existing home delivered meals providers interested in participating in the Home Delivered Meals Expansion Program; and
b. The county offices on aging to review the proposals and approve and fund, within the limits of moneys allocated to them, proposals which best meet the objectives of the program.
##### **§ 52:27D-29.20** Confidential donation {#sec-52-27d-29.20 omnilex-key=us-nj-statutes--title-52--52:27D-29.20}
An eligible participant shall be asked for a confidential donation for services under this program in an amount determined by the commissioner, however, services shall not be denied if a person cannot pay.
##### **§ 52:27D-29.21** Rules, regulations {#sec-52-27d-29.21 omnilex-key=us-nj-statutes--title-52--52:27D-29.21}
The commissioner shall adopt the rules and regulations pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.) necessary to effectuate the purposes of this act.
##### **§ 52:27D-29.22** Allocation of appropriation. {#sec-52-27d-29.22 omnilex-key=us-nj-statutes--title-52--52:27D-29.22}
6. a. There is appropriated $1,000,000 from the Casino Revenue Fund to the Department of Human Services to effectuate the purposes of this act.
b. The department shall allocate not less than 95% of the funds appropriated for the purposes of this act to the county offices on aging, and these funds shall be disbursed to the county offices on aging according to the formula used to disburse funds for the home delivered nutrition services provided under Title III of the "Older Americans Act of 1965," Pub.L. 89-73 (42 U.S.C. s. 3001 et seq.).
c. The county shall match the State funds allocated to a county office on aging for this program with an amount equal to 20% of the State funds. The county share may be cash or in kind.
##### **§ 52:27D-29.23** Findings, declarations {#sec-52-27d-29.23 omnilex-key=us-nj-statutes--title-52--52:27D-29.23}
The Legislature finds and declares that: our nation as a whole, and our State in particular, have been experiencing the increase over time of greater numbers of senior citizens in proportion to the total population; our society is just beginning to understand the complex needs and problems related to aging; and at the present time, our State is spending approximately two billion dollars a year of State and federal funds for programs for senior citizens which include, programs administered under the federal "Older Americans Act of 1965," Pub. L. 89-73 (42 U.S.C. s. 3001 et seq.) and Medicare, Pub. L. 89-97 (42 U.S.C. s. 1395 et seq.), the Pharmaceutical Assistance to the Aged and Disabled Program established pursuant to P.L. 1975, c. 194 (C. 30:4D-20 et seq.), the "Lifeline Credit Program" established pursuant to P.L. 1979, c. 197 (C. 48:2-29.15 et seq.) and the "Tenants' Lifeline Assistance Program" established pursuant to P.L. 1981, c. 210 (C. 48:2-29.30).
The Legislature further finds and declares that: it is extremely important for this State to lend ongoing support and resources to establish a research, teaching and information center for the study of gerontological policies, concerns and programs; this policy center on aging would create a focal point for State support of professional gerontological research in the State; and it is reasonable to assume that one of the many benefits of establishing a policy center on aging would be considerable cost savings to the State as the policy center attracts additional moneys from federal and private sources for gerontological research.
##### **§ 52:27D-29.24** Policy Center on Aging {#sec-52-27d-29.24 omnilex-key=us-nj-statutes--title-52--52:27D-29.24}
The Commissioner of the Department of Community Affairs shall establish the New Jersey Policy Center on Aging at Rutgers, The State University.
It shall be the duty of the center to:
a. Analyze and assist in the development of aging policies for New Jersey;
b. Conduct studies of gerontological issues, concerns and programs which impact on the State;
c. Act as a focal point for State support of gerontological research in the State; and
d. Conduct gerontological research which includes, but is not limited to:
(1) Demographic analysis of the effects of the State's economy on the elderly, the available housing stock and the general population distribution;
(2) Analysis of the cost of services, the use of general revenues, casino revenues and federal funding for services and the areas in which service gaps exist;
(3) Analysis of the long-term care system in the State, including an examination of alternative methods of care delivery such as health maintenance organizations and social health maintenance organizations; and
(4) Analysis of demographic data, service utilization, and other information which will assist the State in defining the needs of its elderly population.
##### **§ 52:27D-29.25** Policy Center on Aging Advisory Committee {#sec-52-27d-29.25 omnilex-key=us-nj-statutes--title-52--52:27D-29.25}
There is established a Policy Center on Aging Advisory Committee. The committee shall consist of the Commissioner of the Department of Community Affairs, who shall act as the committee chairperson, the Commissioners of the Departments of Health and Human Services and the Chancellor of Higher Education, or their designees; a representative of the New Jersey State Commission on Aging, section 2 of P.L. 1957, c. 72(C. 26:1A-108) appointed by the commission; four citizen members of whom two shall be appointed by the Governor, one shall be appointed by the President of the Senate and one shall be appointed by the Speaker of the General Assembly; a member of the Senate appointed by the President thereof; and a member of the General Assembly appointed by the Speaker thereof.
The committee shall prepare guidelines for the establishment and advise on the operation of the New Jersey Policy Center on Aging.
##### **§ 52:27D-29.26** Powers {#sec-52-27d-29.26 omnilex-key=us-nj-statutes--title-52--52:27D-29.26}
The Commissioner of the Department of Community Affairs, on behalf of the center and with the concurrence of Rutgers, The State University, is authorized to:
a. Apply for and accept grants of money available for the purposes of this act from the federal government or other sources; and
b. Accept gifts, grants and bequests of funds from individuals, foundations, corporations, governmental agencies and other organizations and institutions.
##### **§ 52:27D-29.27** Funds for research {#sec-52-27d-29.27 omnilex-key=us-nj-statutes--title-52--52:27D-29.27}
Nothing in this act shall preclude the center, a qualifying research institution or any other research facility in the State from directly applying for, or receiving funds from, any public or private agency to conduct gerontological research.
##### **§ 52:27D-29.28** Rules, regulations {#sec-52-27d-29.28 omnilex-key=us-nj-statutes--title-52--52:27D-29.28}
Pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.), the Commissioner of the Department of Community Affairs, in consultation with the Chancellor of Higher Education and in cooperation with Rutgers, The State University, shall adopt rules and regulations necessary to implement the provisions of this act.
##### **§ 52:27D-29.29** Report {#sec-52-27d-29.29 omnilex-key=us-nj-statutes--title-52--52:27D-29.29}
Within 30 days after the effective date of this act, the Commissioner of the Department of Community Affairs shall report in writing to the Senate Revenue, Finance and Appropriations Committee and the General Assembly Appropriations Committee, or their successors, concerning the manner in which the appropriation will be expended, including information on administrative and project costs. Within 30 days after each fiscal year in which the Policy Center on Aging receives State funds, the Commissioner shall report in writing to the Senate Revenue, Finance and Appropriations Committee and the General Assembly Appropriations Committee, or their successors, concerning the manner in which any funds received by the policy center were expended, including information on administrative and project costs.
##### **§ 52:27D-29.32** Findings, declarations {#sec-52-27d-29.32 omnilex-key=us-nj-statutes--title-52--52:27D-29.32}
1. The Legislature finds and declares that: the availability, coverage and purchase of health insurance is complex and can cause serious problems for senior citizens; there are widespread misperceptions and confusion concerning Medicare and private health insurance coverages and emerging insurance products; the Division on Aging in the Department of Community Affairs has conducted a Senior Health Insurance Program which has successfully assisted senior citizens in understanding their insurance coverage and in making informed decisions concerning health insurance; and there is a continuing Statewide need to address health care insurance problems experienced by senior citizens and to provide education concerning insurance coverage for both acute and long-term health care services.
##### **§ 52:27D-29.33** Definitions. {#sec-52-27d-29.33 omnilex-key=us-nj-statutes--title-52--52:27D-29.33}
2. As used in this act:
"County office on aging" means a county office on aging which is also designated as an area agency on aging for funding under the "Older Americans Act of 1965," Pub.L.89-73 (42 U.S.C. s.3001 et seq.).
"Director" means the Director of the Division of Aging Services in the Department of Human Services.
"Senior citizen" means a person 60 years of age or older.
##### **§ 52:27D-29.34** Senior Health Insurance Counseling Program. {#sec-52-27d-29.34 omnilex-key=us-nj-statutes--title-52--52:27D-29.34}
3. a. There is established in the Division of Aging Services in the Department of Human Services a Senior Health Insurance Counseling Program to provide health insurance information and assistance by trained volunteer counselors to senior citizens.
b. The Director of the Division of Aging Services shall establish the program in all counties in the State through the county offices on aging or other appropriate agencies designated by the director.
##### **§ 52:27D-29.35** Findings, declarations {#sec-52-27d-29.35 omnilex-key=us-nj-statutes--title-52--52:27D-29.35}
5. The Legislature finds and declares that: New Jersey home health agencies are reporting increased denials of reimbursement for Medicare home-based skilled nursing care by fiscal intermediaries of the federal Health Care Financing Administration; these home health care cutbacks are particularly serious in the context of national efforts to reduce hospital utilization; patients are leaving the hospital earlier and sicker, and need appropriate follow-up care; and the principal source of post-acute home health care for the elderly and disabled should be the Medicare program.
The Legislature further finds and declares that: recent reductions in Medicare home health benefits and other Medicare services may have been made through federal directives to fiscal intermediaries without public review and comment; in some cases benefits are denied in violation of federal law and regulations and, therefore, a program of legal assistance to aid New Jersey Medicare beneficiaries in appealing such denials should be established.
##### **§ 52:27D-29.36** Legal representation program to assist Medicare beneficiaries. {#sec-52-27d-29.36 omnilex-key=us-nj-statutes--title-52--52:27D-29.36}
6. The Director of the Division of Aging Services in the Department of Human Services shall establish a legal representation program to assist Medicare beneficiaries under Title XVIII of the Social Security Act who are 65 years of age or older, or disabled, in appeals of unfairly denied Medicare coverage. The services provided under this program shall include, but not be limited to, the following: outreach to Medicare beneficiaries, the development and dissemination of educational materials pertaining to the Medicare program and the claims appeal process, the development and dissemination of materials for Medicare beneficiaries to submit their own appeals, and the offer of direct legal representation to appeal unfairly denied coverage under Part A and Part B of the Medicare program. Such legal representation may include, but not be limited to, appeals within the administrative appeals structure and appeals to the United States District Court.
##### **§ 52:27D-29.37** Guidelines; contracts {#sec-52-27d-29.37 omnilex-key=us-nj-statutes--title-52--52:27D-29.37}
7. The director shall establish guidelines for the operation of this program, and may contract with one or more qualified nonprofit organizations to provide the services described herein.
##### **§ 52:27D-29.38** Rules, regulations {#sec-52-27d-29.38 omnilex-key=us-nj-statutes--title-52--52:27D-29.38}
8. Pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the director shall adopt rules and regulations necessary to carry out the purposes of this act.
##### **§ 52:27D-32** Transfer of appropriations and moneys to department of community affairs {#sec-52-27d-32 omnilex-key=us-nj-statutes--title-52--52:27D-32}
All appropriations and other moneys available and to become available to any department, division, bureau or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Community Affairs, are hereby transferred to the Department of Community Affairs established hereunder, and shall be available for the objects and purposes for which appropriated, subject to any terms, restrictions, limitations or other requirements imposed by State or Federal law.
##### **§ 52:27D-33** Directors in unclassified service of state civil service; removal; vacancy {#sec-52-27d-33 omnilex-key=us-nj-statutes--title-52--52:27D-33}
The director of each division in the Department of Community Affairs shall be in the unclassified service of the civil service of the State. Any such director may be removed from office by the Governor, for cause, upon notice and opportunity to be heard.
Any vacancy occurring in the office of director of any division in the department shall be filled in the same manner as the original appointment.
##### **§ 52:27D-34** Employees; transfer; powers and duties {#sec-52-27d-34 omnilex-key=us-nj-statutes--title-52--52:27D-34}
Such employees of any department, commission, council, board, authority, office or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Community Affairs or to any office, authority or agency designated, continued or constituted therein, as the Commissioner of Community Affairs may determine are needed for the proper performance of the functions and duties imposed upon the Department of Community Affairs, or such office, authority or agency therein, are hereby transferred to the department, office, authority or agency to which such functions, powers and duties have been herein assigned or transferred.
##### **§ 52:27D-35** Tenure rights and rights or protection under pension law or retirement system {#sec-52-27d-35 omnilex-key=us-nj-statutes--title-52--52:27D-35}
Nothing in this act shall be construed to deprive any person of any tenure rights or of any right or protection provided him by Title 11 of the Revised Statutes, Civil Service, or under any pension law or retirement system.
##### **§ 52:27D-36** Transfer of files, books, papers, etc., of transferred agencies to department of community affairs {#sec-52-27d-36 omnilex-key=us-nj-statutes--title-52--52:27D-36}
All files, books, papers, records, equipment and other property of any department, commission, council, board, office, authority or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Community Affairs or to any office, authority or agency designated, continued or constituted hereunder, shall upon the effective date of this act be transferred to the department, office, authority or agency to which such assignment or transfer has been made hereunder.
##### **§ 52:27D-37** Orders, rules and regulations enacted prior to effective date of act {#sec-52-27d-37 omnilex-key=us-nj-statutes--title-52--52:27D-37}
This act shall not affect the orders, rules and regulations heretofore made or promulgated by any department, commission, council, board, authority, officer or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Community Affairs or to any officer, authority or agency designated, continued or constituted hereunder; but such orders, rules and regulations shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:27D-38** Actions or proceedings pending on effective date of act {#sec-52-27d-38 omnilex-key=us-nj-statutes--title-52--52:27D-38}
This act shall not affect actions or proceedings, civil or criminal, brought by or against any department, commission, council, board, authority, officer or other agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Community Affairs or to any officer, authority or agency designated, continued or constituted hereunder, and pending on the effective date of this act, but such actions or proceedings may be prosecuted or defended in the same manner and to the same effect by the department, officer, authority or agency to which such assignment or transfer has been made hereunder, as if the foregoing provisions had not taken effect; nor shall any of the foregoing provisions affect any order or recommendation made by, or other matters or proceedings before, any department, commission, council, board, officer, authority or agency, the functions, powers and duties of which have been herein assigned or transferred to the Department of Community Affairs or to any officer, authority or agency designated, continued or constituted hereunder, and all such matters or proceedings pending before such department, commission, council, board, officer, authority or other agency on the effective date of this act shall be continued by the department, officer, authority or agency to which such assignment or transfer has been made hereunder, as if the foregoing provisions had not taken effect.
##### **§ 52:27D-39** Reports, certifications, applications or requests; filing {#sec-52-27d-39 omnilex-key=us-nj-statutes--title-52--52:27D-39}
Unless specifically otherwise provided in this act or by any operative law, whenever, pursuant to existing law, reports, certifications, applications or requests are required or permitted to be made to the department, board, division, commission, office or officer, whose powers and duties are herein assigned or transferred, such reports and certifications shall hereafter be required to be filed with, and such applications or requests shall hereafter be made to, the department, officer or agency to which such assignment or transfer has been made hereunder.
##### **§ 52:27D-40** Definitions. {#sec-52-27d-40 omnilex-key=us-nj-statutes--title-52--52:27D-40}
40. Whenever the term "Division of Local Government" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Division of Local Finance in the Department of Community Affairs established hereunder.
Whenever the term "Director of the Division of Local Government" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Director of the Division of Local Finance in the Department of Community Affairs established hereunder.
Whenever the term "Local Government Board" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Local Finance Board of the Division of Local Finance in the Department of Community Affairs established hereunder.
Whenever the term "public housing and development authority" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the public housing and development authority in the Department of Community Affairs established hereunder.
Whenever the term "State Housing Council" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the State Housing Council in the Department of Community Affairs established hereunder.
Whenever the term "Bureau of Tenement House Supervision" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Bureau of Housing Inspection of the Division of Housing and Urban Renewal in the Department of Community Affairs established hereunder.
Whenever the term "Board of Tenement House Supervision" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Board of Housing Inspection in the Division of Housing and Urban Renewal of the Department of Community Affairs established hereunder.
Whenever the term "office of supervisor of hotel fire safety" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the office of supervisor of hotel fire safety in the Bureau of Housing Inspection of the Division of Housing and Urban Renewal in the Department of Community Affairs established hereunder.
Whenever the term "Division of State and Regional Planning" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Division of State and Regional Planning in the Department of Community Affairs established hereunder.
Whenever the term "Director of the Division of State and Regional Planning" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Director of the Division of State and Regional Planning in the Department of Community Affairs established hereunder.
Whenever the term "Division on Aging" occurs or any reference is made thereto in any law, contract, or document, the same shall be deemed to mean or refer to the Division of Aging Services in the Department of Human Services.
Whenever the term "Director of the Division on Aging" occurs or any reference is made thereto in any law, contract, or document, the same shall be deemed to mean or refer to the Director of the Division of Aging Services in the Department of Human Services.
Whenever the term "New Jersey State Commission on Aging" occurs or any reference is made thereto in any law, contract, or document, the same shall be deemed to mean or refer to the New Jersey State Commission on Aging in the Division of Aging Services in the Department of Human Services.
Whenever the terms "Youth Division" or "Division of Youth" occur or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Division of Youth in the Department of Community Affairs established hereunder.
Whenever the terms "Director of the Youth Division" or "Director of the Division of Youth" occur or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the Director of the Division of Youth in the Department of Community Affairs established hereunder.
Whenever the term "New Jersey State Youth Commission" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the New Jersey State Youth Commission of the Division of Youth in the Department of Community Affairs established hereunder.
Whenever the term "New Jersey Office of Economic Opportunity" occurs or any reference is made thereto in any law, contract or document, the same shall be deemed to mean or refer to the New Jersey Office of Economic Opportunity in the Department of Community Affairs established hereunder.
##### **§ 52:27D-41** Repeal of inconsistent acts and parts of acts {#sec-52-27d-41 omnilex-key=us-nj-statutes--title-52--52:27D-41}
All acts and parts of acts inconsistent with any of the provisions of this act are, to the extent of such inconsistency, hereby repealed.
##### **§ 52:27D-42** Appropriation {#sec-52-27d-42 omnilex-key=us-nj-statutes--title-52--52:27D-42}
There is hereby appropriated to the Department of Community Affairs the sum of $200,000.00 to carry out the purposes of this act for the fiscal period ending June 30, 1967; provided, that out of the sum hereby appropriated there shall be paid, for the period March 1, 1967 through June 30, 1967, a salary to the Commissioner of Community Affairs, who shall receive $30,000.00 per annum pro rated over said period; to each of the 2 Assistant Commissioners of Community Affairs, each of whom shall receive $22,000.00 per annum pro rated over said period; and to the Director of the Office of Community Services, who shall receive $18,000.00 per annum pro rated over said period.
##### **§ 52:27D-43** Short title {#sec-52-27d-43 omnilex-key=us-nj-statutes--title-52--52:27D-43}
This act shall be known as, and may be cited as, the "Department of Community Affairs Act of 1966."
##### **§ 52:27D-43.8** Short title. {#sec-52-27d-43.8 omnilex-key=us-nj-statutes--title-52--52:27D-43.8}
1. This act shall be known as, and may be cited as, the "Division on Women Act."
##### **§ 52:27D-43.9** Division on Women. {#sec-52-27d-43.9 omnilex-key=us-nj-statutes--title-52--52:27D-43.9}
2. There is hereby established in the Department of Children and Families a Division on Women. The division shall consist of a director and the New Jersey Advisory Commission on the Status of Women.
##### **§ 52:27D-43.9a** Division on Women transferred to DCF. {#sec-52-27d-43.9a omnilex-key=us-nj-statutes--title-52--52:27D-43.9a}
143. a. The Division on Women in the Department of Community Affairs, together with its functions, powers, and duties, is transferred to the Department of Children and Families. All programs, services, and funding maintained and associated with the division in effect during Fiscal Year 2012, and prior to the start of Fiscal Year 2013, shall continue in the division and shall not be altered or diminished by the transfer of the division. The transfer pursuant to this section shall be made in accordance with the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
b. All appropriations and other monies available, and to become available, to the Division on Women in the Department of Community Affairs, transferred to the Department of Children and Families, are continued in the Division on Women in the Department of Children and Families established hereunder and shall be available for the objects and purposes for which these monies are appropriated, subject to the provisions of P.L.2012, c.16 (C.52:27D-43.9a et al.) and any other terms, restrictions, limitations, or other requirements imposed by law.
c. Whenever, in any law, rule, regulation, order, contract, document, judicial, or administrative proceeding or otherwise, reference is made to the Division on Women in the Department of Community Affairs, the same shall mean and refer to the Division on Women in the Department of Children and Families.
##### **§ 52:27D-43.10** Director of Division on Women. {#sec-52-27d-43.10 omnilex-key=us-nj-statutes--title-52--52:27D-43.10}
3. The Director of the Division on Women shall be a person qualified by training and experience to perform the duties of the division. The director shall be appointed by the Governor, by and with the advice and consent of the Senate, and shall serve at the pleasure of the Governor during the Governor's term of office and until the appointment and qualification of a successor. The director shall administer the work of the division under the direction and supervision of the commissioner, and shall perform such other functions of the department as the commissioner may prescribe. The director shall receive such salary as shall be provided by law.
##### **§ 52:27D-43.11** Deputy director {#sec-52-27d-43.11 omnilex-key=us-nj-statutes--title-52--52:27D-43.11}
The director shall be assisted in the performance of his or her duties by a deputy director, who shall be a person qualified by training and experience to perform the duties of his or her office.
##### **§ 52:27D-43.12** Duties of director. {#sec-52-27d-43.12 omnilex-key=us-nj-statutes--title-52--52:27D-43.12}
5. The Division on Women shall be under the supervision of the director. The director shall:
a. Appoint and remove such professionals, technical, and clerical assistants, and employees, subject to the provisions of Title 11, Civil Service of the Revised Statutes, and other applicable statutes, as may be necessary to enable the division to perform the duties imposed upon it by P.L.1974, c.87 (C.52:27D-43.8 et seq.) and shall fix their compensation within the limits of available appropriations and as shall be provided by law;
b. Select and retain the services of consultants whose advice is considered necessary to assist the division in obtaining information or developing plans and programs required for the performance of the duties and responsibilities of the division as provided by P.L.1974, c.87;
c. Attend all meetings of the New Jersey Advisory Commission on the Status of Women and its committees but shall have no vote. The director may delegate to subordinate officers or employees the responsibility to attend the meetings of the commission.
##### **§ 52:27D-43.13** Duties of division. {#sec-52-27d-43.13 omnilex-key=us-nj-statutes--title-52--52:27D-43.13}
6. The division, under the supervision and leadership of the director, shall:
a. Serve as the central permanent agency for the coordination of programs and services for the women of New Jersey and for the evaluation of the effectiveness of their implementation and as a planning agency for the development of new programs and services;
b. Establish a liaison with all other governmental departments and agencies involved with the enforcement of laws, ordinances, and regulations and with the development of programs affecting the status of women;
c. Request State departments and other public and private agencies on a State, county, and local level to initiate joint efforts to promote the expansion of rights and opportunities available to the women of this State;
d. Cooperate with all Federal and interstate programs and services provided for women;
e. Engage in a continuous study of the changing needs and concerns of women in New Jersey and develop and recommend new programs to the Governor and the Legislature;
f. Consult with, advise, and otherwise provide professional assistance to organized efforts by communities, organizations, associations, and groups which are working toward the goal of improving the status of women;
g. Serve as a clearing house to publish and disseminate information and to provide assistance and direction to women with specific problems and needs;
h. Act as a search committee for the Governor and other executive officers in the State Government for the purpose of discovering and recommending women who are talented and qualified to serve in the Executive Branch of the State Government;
i. Report annually to the Commissioner of Children and Families and the Governor on its activities and recommendations;
j. Do all other things necessary to carry out the powers and duties granted under P.L.1974, c.87 (C.52:27D-43.8 et seq.).
##### **§ 52:27D-43.14** Advisory commission on the status of women {#sec-52-27d-43.14 omnilex-key=us-nj-statutes--title-52--52:27D-43.14}
The New Jersey Advisory Commission on the Status of Women shall consist of 11 citizen members each of whom shall be appointed by the Governor, with the advice and consent of the Senate, for 3 years and until his or her successor is appointed and qualified, except that of those first appointed four each should be appointed for a term of 3 years, four each for a term of 2 years, and three each for a term of 1 year. Each vacancy caused by other than expiration shall be filled for the unexpired term only. The members of the commission shall be persons who represent varying racial, ethnic and socio-economic backgrounds, age groups, occupations, and geographical locations and shall include persons who represent the interests of Statewide women's organizations. A chairperson shall be appointed by the Governor. Other officers of the commission shall be elected from among the members by the members for a term of 2 years.
##### **§ 52:27D-43.15** Powers and duties. {#sec-52-27d-43.15 omnilex-key=us-nj-statutes--title-52--52:27D-43.15}
8. The commission, acting jointly and as a body, shall advise the Director of the Division on Women on matters referred to it by the director and may originate and make recommendations to the director concerning policies and their implementation. The commission, or any member thereof, may not act in the name of or as an agent of the Division on Women or give instructions to the director or a member of the staff of the division.
##### **§ 52:27D-43.16** Meetings {#sec-52-27d-43.16 omnilex-key=us-nj-statutes--title-52--52:27D-43.16}
The commission shall meet at regular intervals and at least four times annually. The times and places for the said meetings shall be fixed by the commission and special meetings may be called by the chairperson on not less than 10 days' written notice to each member. The commission may adopt bylaws for the regulation of its affairs.
##### **§ 52:27D-43.17** Compensation of members {#sec-52-27d-43.17 omnilex-key=us-nj-statutes--title-52--52:27D-43.17}
The members of the commission shall serve without compensation but shall be entitled to reimbursement for their necessary expenses incurred in the performance of their duties.
##### **§ 52:27D-43.17a** Definitions relative to domestic violence. {#sec-52-27d-43.17a omnilex-key=us-nj-statutes--title-52--52:27D-43.17a}
1. As used in this act:
"Board" means the Domestic Violence Fatality and Near Fatality Review Board established pursuant to P.L.2003, c.225 (C.52:27D-43.17a et seq.).
"Domestic violence-related fatality" or "fatality" means a death which arises as a result of one or more acts of domestic violence as defined in section 3 of P.L.1991, c.261 (C.2C:25-19).
"Near fatality" means a case in which a victim of domestic violence is in serious or critical condition, as certified by a physician.
"Panel" means the Panel to Study Domestic Violence in the Law Enforcement Community established pursuant to section 9 of P.L.2003, c.225 (C.52:27D-43.17i).
##### **§ 52:27D-43.17b** Domestic Violence Fatality and Near Fatality Review Board. {#sec-52-27d-43.17b omnilex-key=us-nj-statutes--title-52--52:27D-43.17b}
2. There is established the Domestic Violence Fatality and Near Fatality Review Board. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the board is established within the Department of Children and Families, but notwithstanding the establishment, the board shall be independent of any supervision or control by the department or any board or officer thereof.
The purpose of the board is to review the facts and circumstances surrounding domestic violence-related fatalities and near fatalities in New Jersey in order to identify their causes and their relationship to government and nongovernment service delivery systems, and to develop methods of prevention. The board shall: review trends and patterns of fatalities and near fatalities; evaluate the responses of government and nongovernment service delivery systems to fatalities and near fatalities and offer recommendations for improvement of these responses; identify and characterize high-risk groups in order to develop public policy; collect statistical data, in a consistent and uniform manner, on the occurrence of fatalities and near fatalities; and improve collaboration between State and local agencies and organizations for the purpose of developing initiatives to prevent domestic violence.
##### **§ 52:27D-43.17c** Membership of board, terms, compensation. {#sec-52-27d-43.17c omnilex-key=us-nj-statutes--title-52--52:27D-43.17c}
3. a. The board shall consist of 20 members as follows:
(1) the Commissioners of Community Affairs, Human Services, Children and Families, and Health, the Attorney General, the Public Defender, the Superintendent of the State Police, the Director of the Division of Child Protection and Permanency in the Department of Children and Families, the Chief State Medical Examiner, and the chairperson of the Child Fatality and Near Fatality Review Board, or their designees, who shall serve ex officio;
(2) eight public members appointed by the Governor who shall include a representative of the County Prosecutors Association of New Jersey with expertise in prosecuting domestic violence cases, a representative of the New Jersey Coalition for Battered Women, a representative of a program for battered women that provides intervention services to perpetrators of acts of domestic violence, a representative of the law enforcement community with expertise in the area of domestic violence, a psychologist with expertise in the area of domestic violence or other related fields, a licensed social worker with expertise in the area of domestic violence, a licensed health care professional knowledgeable in the screening and identification of domestic violence cases and a county probation officer; and
(3) two retired judges appointed by the Administrative Director of the Administrative Office of the Courts, one with expertise in family law and one with expertise in municipal law as it relates to domestic violence.
b. The public members of the board shall serve for three-year terms, except that of the public members first appointed, four shall serve for a period of one year, three shall serve for a period of two years and two shall serve for a period of three years. The members shall serve without compensation, but shall be eligible for reimbursement for necessary and reasonable expenses incurred in the performance of their official duties and within the limits of funds appropriated for this purpose. Vacancies in the membership of the board shall be filled in the same manner as the original appointments were made.
c. The board shall select a chairperson from among its members who shall be responsible for the coordination of all activities of the board.
d. The board is entitled to call to its assistance and avail itself of the services of employees of any State, county, or municipal department, board, bureau, commission, or agency as it may require and as may be available for the purposes of reviewing a case pursuant to the provisions of P.L.2003, c.225 (C.52:27D-43.17a et seq.).
e. The board may seek the advice of experts, such as persons specializing in the fields of psychiatric and forensic medicine, nursing, psychology, social work, education, law enforcement, family law, academia, military affairs, or other related fields, if the facts of a case warrant additional expertise.
##### **§ 52:27D-43.17d** Duties of board. {#sec-52-27d-43.17d omnilex-key=us-nj-statutes--title-52--52:27D-43.17d}
4. The board shall:
a. Identify domestic violence-related fatalities that meet the following criteria:
(1) The manner of death is homicide, and the deceased was the spouse, former spouse, present or former household member of the perpetrator of the homicide or person with whom the perpetrator has had a dating relationship;
(2) The manner of death is suicide, and the deceased was a victim of one or more acts of domestic violence committed by a spouse, former spouse, present or former household member or person with whom the victim has had a dating relationship;
(3) The manner of death is homicide or suicide, and the deceased is the perpetrator of a homicide committed against a spouse, former spouse, present or former household member or person with whom the perpetrator has had a dating relationship;
(4) The manner of death is homicide or suicide, and the deceased is the child of either a victim of a homicide committed by a spouse, former spouse, present or former household member or person with whom the victim has had a dating relationship, or the perpetrator of the homicide;
(5) The manner of death is homicide or suicide, and the deceased is the child of a victim of a homicide committed by a spouse, former spouse, present or former household member or person with whom the victim has had a dating relationship and the perpetrator of the homicide;
(6) The deceased is a law enforcement officer, health care professional, representative of any agency or organization that provides services to victims of domestic violence or an emergency medical technician or paramedic who died while responding to an incident of domestic violence;
(7) The manner of death is homicide or suicide, and the deceased is a family member of either a victim of a homicide committed by a spouse, former spouse, present or former household member or person with whom the victim has had a dating relationship, or the perpetrator of the homicide;
(8) The manner of death is homicide or suicide, and the deceased is the perpetrator of a homicide of a family member; or
(9) The manner of death is homicide or suicide related to an incident of domestic violence, and the deceased is not a family member, spouse, former spouse, present or former household member or person with whom the victim has had a dating relationship.
As used in this subsection, "family member" means a person 16 years of age or older related to another person by blood, marriage or adoption, including: a sibling, parent, stepsibling or stepparent of the person or his spouse; and a person whose status is preceded by the words "great" or "grand."
b. Identify near fatalities when information available to the board indicates that domestic violence may have been a contributing factor.
c. Collect and review death certificates, autopsy, investigative, police, medical, counseling, victim service and employment records, child abuse and neglect reports, survivor interviews, surveys, and any other information the board deems necessary and appropriate in determining the cause of a domestic violence-related fatality or near fatality.
d. Make a determination whether a domestic violence-related fatality or near fatality may have been prevented with improvements to the policies and procedures used by health care, social service, law enforcement, governmental or nongovernmental agencies and organizations to provide services to victims of domestic violence and their families.
e. Implement a Statewide public education campaign to promote awareness among the public, community organizations, law enforcement agencies and health care providers on issues relating to the prevention of domestic violence.
f. Conduct a Statewide domestic violence safety and accountability audit. The audit shall include a systematic analysis of intra agency and interagency policies and procedures used by:
(1) law enforcement agencies and the court system when investigating and prosecuting cases of domestic violence-related fatalities and near fatalities, as appropriate; and
(2) State and local agencies and organizations when providing services to victims of domestic violence.
##### **§ 52:27D-43.17e** Authority of board. {#sec-52-27d-43.17e omnilex-key=us-nj-statutes--title-52--52:27D-43.17e}
5. The board is authorized to:
a. Subpoena any records, other than criminal investigatory records pertaining to a criminal investigation in progress, concerning a domestic violence-related fatality or near fatality and other records, which may be deemed pertinent to the review process and necessary for the formulation of a conclusion by the board;
b. Apply for and accept any grant of money from the federal government, private foundations or other sources, which may be available for programs related to the prevention of domestic violence; and
c. Enter into contracts with individuals, organizations and institutions necessary for the performance of its duties under this act.
##### **§ 52:27D-43.17f** Determination of which incidents receive full review; annual report to Governor, Legislature. {#sec-52-27d-43.17f omnilex-key=us-nj-statutes--title-52--52:27D-43.17f}
6. a. The board shall determine which domestic violence-related fatalities and near fatalities shall receive its full review.
The board may establish local, community-based teams or committees to compile specific information regarding the fatalities and near fatalities selected by the board for its review.
b. Each team or committee shall include, at a minimum, a person experienced in prosecution and local law enforcement investigation, a medical examiner, a physician with expertise in the area of domestic violence, a domestic violence specialist certified by the New Jersey Association of Domestic Violence Professionals and one representative each of a legally recognized military organization with expertise in domestic violence and Legal Services of New Jersey to advise on areas relevant to their agencies. As necessary to perform its functions, each team or committee may add additional members if the facts of a case warrant additional expertise.
c. Each team or committee shall submit to the chairperson of the board a report containing the information the team or committee compiled regarding each domestic violence-related fatality or near fatality and make recommendations for improvements or needed changes concerning the provision of services to victims of domestic violence.
d. The board shall review the reports submitted by each team or committee pursuant to subsection c. of this section and issue an annual report to the Governor and the Legislature, which includes the number of cases reviewed and specific non-identifying information regarding cases of particular significance. The board shall also include in the report recommendations for systemwide improvements in services to prevent domestic violence-related fatalities and near fatalities.
##### **§ 52:27D-43.17g** Accessibility, confidentiality of records. {#sec-52-27d-43.17g omnilex-key=us-nj-statutes--title-52--52:27D-43.17g}
7. a. The records compiled by the board, including all investigatory findings, statistical data and information gathered pursuant to subsection c. of section 4 of this act, shall not be subject to discovery, but may be used by the chairperson of the board to refer an individual case, including the board's deliberations and conclusions, to the extent necessary, to an appropriate agency to investigate or to provide services.
b. The records compiled by the board shall not be subject to subpoena or admissible as evidence in any action or proceeding in any court, nor shall a person or entity authorized by the board to have access to the records pursuant to this act be compelled to testify with regard to the records.
c. Except as provided in subsection a. of this section, the deliberations and conclusions of the board related to a specific case shall be confidential and shall not be deemed a public record pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.) and P.L.2001, c.404 (C.47:1A-5 et al.). Summary records that are prepared by the board and the teams or committees on each reported case shall not contain any information that would identify the victim of a domestic violence-related fatality or near fatality.
##### **§ 52:27D-43.17h** Immunity from civil liability. {#sec-52-27d-43.17h omnilex-key=us-nj-statutes--title-52--52:27D-43.17h}
8. A member of the board, a member of a team, committee or panel established pursuant to this act or an employee of the board shall not be held liable for any civil damages as a result of any action taken or omitted in the performance of his duties pursuant to this act.
##### **§ 52:27D-43.17i** Panel to Study Domestic Violence in the Law Enforcement Community. {#sec-52-27d-43.17i omnilex-key=us-nj-statutes--title-52--52:27D-43.17i}
9. a. The board shall establish a Panel to Study Domestic Violence in the Law Enforcement Community. The purpose of the panel is to: examine issues associated with incidents of domestic violence perpetrated by law enforcement officials and, as appropriate, specific cases; evaluate the responses of State and local agencies and organizations to incidents of domestic violence perpetrated by law enforcement officials; and develop strategies to prevent domestic violence-related fatalities and near fatalities among law enforcement officials and their families.
The panel shall examine issues, which shall include, but are not limited to:
(1) the education of law enforcement officials on the consequences of committing acts of domestic violence;
(2) the provision of support services to law enforcement officials in high-risk situations, including cases of separation and divorce;
(3) the provision of support services to victims of domestic violence who are the family members of law enforcement officials, including information about and referral to community organizations that provide medical, mental health and legal services to victims of domestic violence; and
(4) the development of Statewide policies and procedures regarding the identification and disposition of cases of domestic violence perpetrated by law enforcement officials.
b. The panel shall be composed of volunteer members, including representatives from the law enforcement community and experts in the field of domestic violence.
c. The members of the panel:
(1) shall not disclose to any person or government official any identifying information about a specific case of domestic violence perpetrated by a law enforcement official with respect to which the panel is provided information; and
(2) shall not make public other information unless authorized by State statute.
d. The panel shall have access to information necessary to carry out its functions. The panel is entitled to call to its assistance and avail itself of the services of employees of any State, county or municipal department, board, bureau, commission or agency as it may require and as may be available for the purposes of effectuating the provisions of this act.
e. The panel shall prepare and make available to the public and the board, on an annual basis, a report containing a summary of its activities.
f. The panel may receive grants and other funds made available from any governmental, public, private, nonprofit or for-profit agency, including funds made available under any federal or State law, regulation or program.
##### **§ 52:27D-43.17j** Regulations. {#sec-52-27d-43.17j omnilex-key=us-nj-statutes--title-52--52:27D-43.17j}
10. The board shall adopt regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), concerning the operation of the board, procedures for conducting reviews of cases involving domestic violence fatalities and near fatalities, the establishment of the panel pursuant to section 9 of this act and other matters necessary to effectuate the purposes of this act.
##### **§ 52:27D-43.18** Short title {#sec-52-27d-43.18 omnilex-key=us-nj-statutes--title-52--52:27D-43.18}
This act shall be known and may be cited as the "Displaced Homemakers Act."
##### **§ 52:27D-43.19** Definitions. {#sec-52-27d-43.19 omnilex-key=us-nj-statutes--title-52--52:27D-43.19}
2. As used in P.L.1979, c.125 (C.52:27D-43.18 et seq.), a "displaced homemaker" is an individual who has not worked in the labor force for a substantial number of years but has, during those years, worked in the home providing unpaid services for family members and has been dependent upon the income of another family member but is no longer supported by that income and:
a. Is receiving public assistance because of dependent children in the home but is within one year of no longer being eligible for assistance; or
b. Is unemployed or underemployed and is experiencing difficulty in obtaining or upgrading employment; or
c. Is at least 40 years of age, an age at which discrimination based on age is likely, and at which entry or reentry to or advancement in the labor market is difficult.
"Commissioner" means the Commissioner of Children and Families.
"Division" shall mean the Division on Women within the Department of Children and Families.
##### **§ 52:27D-43.20** Displaced homemaker programs, duties of division. {#sec-52-27d-43.20 omnilex-key=us-nj-statutes--title-52--52:27D-43.20}
3. The Division on Women in the Department of Children and Families shall identify existing displaced homemaker programs and provide technical assistance and encouragement for the expansion of other multi-purpose programs which provide:
a. Job counseling services which are specifically designed for displaced homemakers, and which aid them in acquiring knowledge of their talents and skills in relation to existing jobs, and which counsel displaced homemakers with respect to appropriate job opportunities.
b. Job training and job placement services which develop, by working with State and local government agencies and private employers, training and placement programs for jobs in the public and private sectors, which assist participants in gaining admission to existing public and private job training programs and opportunities, and which identify community needs and encourage the creation of new jobs in the public and private sectors.
c. Health education and counseling services which cooperate with existing health programs to provide counseling on preventive health care, health care consumer education, family health care and nutrition, alcohol use disorder and substance use disorder involving drugs, and overcoming health barriers to employment.
d. Financial management services which provide information and assistance with respect to credit, insurance, taxes, estate and probate problems, mortgages, loans, and other related financial matters.
e. Educational services, including outreach and information about courses offering credit through secondary or post-secondary education programs, and including bilingual programs where appropriate, as well as information about other programs which are determined to be of interest and benefit to displaced homemakers in developing employable skills.
f. Legal counseling and referral services.
g. Outreach and information services with respect to federal and State employment, education, health, public assistance, and unemployment assistance programs.
##### **§ 52:27D-43.21** Purpose of programs {#sec-52-27d-43.21 omnilex-key=us-nj-statutes--title-52--52:27D-43.21}
Programs identified and expanded under this act shall emphasize activities which provide training and other employment-related services for displaced homemakers which are designed to enhance their employability and earnings. Such programs shall concentrate on creating new job opportunities for displaced homemakers in order to meet identified needs within the community.
##### **§ 52:27D-43.22** Continuous study of needs of displaced homemakers. {#sec-52-27d-43.22 omnilex-key=us-nj-statutes--title-52--52:27D-43.22}
5. The Division on Women within the Department of Children and Families shall make a continuous study of the needs of displaced homemakers, and effective programs and services and funding available to meet those needs. The division shall also coordinate community organizations, women's groups, and public agencies to maximize the utilization of existing programs and resources. The coordination shall include, but not be limited to, the Division on Aging in the Department of Community Affairs, the Office on Women of the Division of Vocational Education in the Department of Education, the Division of Vocational Rehabilitation Services in the Department of Labor and Industry, and the Division of Welfare in the Department of Human Services. The goal of this coordination shall be to put eligible people in touch with existing programs and to foster cooperation and the exchange of information among all departments and agencies of State Government which sponsor programs for which displaced homemakers would be eligible.
##### **§ 52:27D-43.23** Compilation, maintenance of description, assessment of programs; report. {#sec-52-27d-43.23 omnilex-key=us-nj-statutes--title-52--52:27D-43.23}
6. The division shall compile and maintain a description and assessment of each program operating pursuant to P.L.1979, c.125 (C.52:27D-43.18 et seq.), including the number of displaced homemakers served, the number who obtained employment, the number who enrolled in educational courses, the number of those enrolled who completed such educational courses, the cost per displaced homemaker for each program, and the total number of staff and staff ratio to persons served under the program. The report shall be available within one year of the effective date of P.L.1979, c.125.
##### **§ 52:27D-43.24** Receipt and use of federal or other funds {#sec-52-27d-43.24 omnilex-key=us-nj-statutes--title-52--52:27D-43.24}
The commissioner may seek, receive and make use of any funds which may be available from Federal or other sources in order to augment any State funds appropriated for the purposes of this act, and shall make every effort to qualify the program for Federal funding.
##### **§ 52:27D-43.24a** Forwarding of filing fee. {#sec-52-27d-43.24a omnilex-key=us-nj-statutes--title-52--52:27D-43.24a}
2. Forwarding of filing fee. The Clerk of the Superior Court shall forward $25.00 of the $250.00 filing fee for a divorce or a dissolution of a civil union provided for in N.J.S.22A:2-12 on a quarterly basis to the Department of Community Affairs.
##### **§ 52:27D-43.24b** Establishment of trust fund. {#sec-52-27d-43.24b omnilex-key=us-nj-statutes--title-52--52:27D-43.24b}
3. The Department of Children and Families shall establish a trust fund for the deposit of the fees collected pursuant to section 2 of P.L.1993, c.188 (C.52:27D-43.24a). The moneys from the trust fund shall be used for the specific purpose of providing grants-in-aid to programs for displaced homemakers as identified by the Division on Women in the Department of Children and Families pursuant to section 3 of P.L.1979, c.125 (C.52:27D-43.20).
##### **§ 52:27D-43.24c** Rules, regulations {#sec-52-27d-43.24c omnilex-key=us-nj-statutes--title-52--52:27D-43.24c}
4. The Commissioner of the Department of Community Affairs in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) shall promulgate rules and regulations necessary to implement this act including rules and regulations establishing eligibility requirements for programs for displaced homemakers to receive the grants-in-aid.
##### **§ 52:27D-43.25** Short title {#sec-52-27d-43.25 omnilex-key=us-nj-statutes--title-52--52:27D-43.25}
This act shall be known and may be cited as the "Hispanic Women's Demonstration Resource Centers Act."
##### **§ 52:27D-43.26** Findings, declarations {#sec-52-27d-43.26 omnilex-key=us-nj-statutes--title-52--52:27D-43.26}
The Legislature finds and declares that:
a. Hispanics in New Jersey represent 9% of the total population and constitute the second largest and fastest growing minority in the State.
b. In 1985, 32% of all Hispanic families were headed by women; 43% of whom were families in poverty.
c. Hispanic women are concentrated in low-skill, low-salary jobs, working fewer hours per year and earning less than either black or white women; their disadvantaged employment status is linked to the fact that Hispanic women have completed fewer years of education than non-Hispanic women; only 6% have completed college and a mere 43% of Hispanic women as compared to 69% of non-Hispanic women have graduated from high school.
d. Contributing to the Hispanic women's plight is the fact that cultural differences and language barriers are not acknowledged by the present educational, career and social services system in New Jersey; although some agencies have bilingual staff, they lack the bicultural knowledge of the socioeconomic obstacles that affect an Hispanic woman's ability to fully participate in the programs currently offered.
##### **§ 52:27D-43.27** Definitions {#sec-52-27d-43.27 omnilex-key=us-nj-statutes--title-52--52:27D-43.27}
As used in this act:
a. "Center" means an Hispanic women's demonstration resource center established pursuant to this act which is intended to enhance the employability of Hispanic women.
b. "Department" means the Department of Community Affairs.
c. "Division" means the Division on Women in the Department of Community Affairs.
d. "Director" means the Director of the Division on Women.
e. "Hispanic" means a person who is of Spanish or Latin American culture, with origins in Mexico, South or Central America, or the Caribbean Islands.
f. "Office" means the Office of Hispanic Affairs in the Department of Community Affairs.
##### **§ 52:27D-43.28** Hispanic women's demonstration resource centers. {#sec-52-27d-43.28 omnilex-key=us-nj-statutes--title-52--52:27D-43.28}
4. The division shall establish not less than two but not more than five Hispanic women's demonstration resource centers; one in conjunction with an existing facility in southern New Jersey and the other in conjunction with an existing facility in northern New Jersey. The centers shall be established in locations serving populations of Hispanic women in northern and southern New Jersey through the issuance of grants to public or private nonprofit organizations servicing either women or Hispanic populations. In reviewing grant applications under this act, the division shall give due consideration to the needs of the Hispanic women in the municipality in which the applicant is located and surrounding area.
The division shall develop comprehensive guidelines for the establishment, goals and operation of the centers. In carrying out the purpose of this act, the director shall consult with the Office of Hispanic Affairs.
##### **§ 52:27D-43.29** Purpose of centers {#sec-52-27d-43.29 omnilex-key=us-nj-statutes--title-52--52:27D-43.29}
5. The centers shall provide:
a. Outreach to the Hispanic community to inform the community of the center's resources;
b. Basic English language skills and bilingual and bicultural resources;
c. Training in assertiveness, survival and coping skills;
d. Educational evaluation services by a qualified bilingual counselor employed by the center, which services include screening, assessment and referral to basic educational, vocational training and other educational programs;
e. Job counseling services which are specifically designed to prepare women to enter or reenter the work force by assisting them in acquiring knowledge of their talents and skills in relation to existing traditional and nontraditional job opportunities and to those which are emerging as a result of new employment trends;
f. Self-help programs and mentoring projects, including workshops, group discussions, and dissemination of information about existing federal, State and local employment, education, health, and other community services which provide assistance in overcoming barriers to employment. These programs shall include outreach and information about other programs which are determined to be of interest and benefit to working parents, women newly entering or reentering the work force after a prolonged absence from it, those in need of financial management services, including information and assistance with respect to credit, insurance, taxes, loans and related financial matters, and women who need information about a diversity of housing problems;
g. Career information services, job training including internships, and job placement services which assist participants in gaining admission to existing public and private job training programs and in gaining job opportunities by cooperating, whenever possible, with appropriate State and local government agencies and private employers. These training and placement services shall foster the development of partnerships with industry, particularly those concerns which are associated with urban enterprise zones, and the enhancement of the neighborhood and communities which surround the centers. To the extent possible, the training and placement services shall consult with the area private industry councils established pursuant to the provisions of the federal Job Training Partnership Act, Pub.L.97-300 (29 U.S.C. s. 1501 et seq.), and the Department of Labor and Workforce Development in order to help identify local job opportunities or areas of expansion in private industry;
h. Information and referral services concerning: legal issues such as domestic violence, sexual assault, family support and sex discrimination; health care issues such as family planning, substance use disorder, nutrition and mental health; public assistance programs; and child care services.
Each center may purchase services from or contract with individuals, county or municipal governments, school districts, county colleges or county vocational schools to carry out the provisions of this section.
##### **§ 52:27D-43.30** Goals of center {#sec-52-27d-43.30 omnilex-key=us-nj-statutes--title-52--52:27D-43.30}
The centers and programs established under this act shall emphasize activities which provide training and other employment related services which are designed to enhance the employability and earnings of Hispanic women and impact on the quality of their lives and those of their families. The centers and programs shall, to the extent possible, identify existing job opportunities for women and assist those women who utilize the centers in obtaining employment.
##### **§ 52:27D-43.31** Coordination of services {#sec-52-27d-43.31 omnilex-key=us-nj-statutes--title-52--52:27D-43.31}
The division shall make a study of employment needs of individuals who use the services of the centers and of existing programs and services which are effective in meeting those needs. The division shall also coordinate community organizations, women's groups, and public agencies to maximize the utilization of existing programs and resources. The coordination shall include, but not be limited to, the Office of Hispanic Affairs in the Department of Community Affairs, the Division of Vocational Education in the Department of Education, the Division of Vocational Rehabilitation Services in the Department of Labor, and the Division of Public Welfare in the Department of Human Services. The goal of this coordination shall be to put Hispanic women in touch with existing programs and to foster cooperation and the exchange of information among all departments and agencies of State government which sponsor employment and related programs of special interest to women.
##### **§ 52:27D-43.32** Assessment information {#sec-52-27d-43.32 omnilex-key=us-nj-statutes--title-52--52:27D-43.32}
Each center shall compile and maintain a description and assessment of each program it operates pursuant to this act including, but not limited to, the following information: the number of women served; the number who enrolled in English language courses; the number given educational counseling; the number given career counseling; the number who obtained employment; the number who enrolled in educational or vocational courses; the number of those enrolled who completed the courses; the cost per woman for each enrollment in a program; the number who were referred for medical assistance; the number who were referred to domestic violence shelters; the number referred for government assistance; the number placed in jobs; the number no longer receiving public assistance funds; the number referred for legal assistance; and the total number of staff and the ratio of staff to persons served under the program.
Data and findings shall be made available to the Governor and the Legislature annually.
##### **§ 52:27D-43.33** Powers of director {#sec-52-27d-43.33 omnilex-key=us-nj-statutes--title-52--52:27D-43.33}
The director:
a. May seek, receive and make use of any funds which may be available from federal or other sources in order to augment State funds which are appropriated pursuant to this act, and shall make every effort to qualify the program for federal funding;
b. Shall apply for and make use of funds made available from federal and other sources for job training, including funds appropriated to the State under the federal Job Training Partnership Act, Pub.L.97-300 (29 U.S.C. s. 1501 et seq.); and
c. May establish guidelines governing the expenditure of funds to carry out the provisions of this act.
##### **§ 52:27D-43.34** Annual report {#sec-52-27d-43.34 omnilex-key=us-nj-statutes--title-52--52:27D-43.34}
The department shall report annually to the Governor and the Legislature on the implementation of this act.
##### **§ 52:27D-43.35** Definitions relative to domestic violence. {#sec-52-27d-43.35 omnilex-key=us-nj-statutes--title-52--52:27D-43.35}
1. As used in this act:
"Director" means the Director of the Division on Women in the Department of Community Affairs.
"Division" means the Division on Women in the Department of Community Affairs.
"Domestic Violence" means domestic violence as defined in section 3 of P.L.1991, c.261 (C.2C:25-19) and section 1 of P.L.2003, c.41 (C.17:29B-16).
##### **§ 52:27D-43.36** Domestic violence public awareness campaign. {#sec-52-27d-43.36 omnilex-key=us-nj-statutes--title-52--52:27D-43.36}
2. a. The Director of the Division on Women in the Department of Children and Families, in consultation with the Advisory Council on Domestic Violence and the Commissioners of Human Services and Health and Senior Services, shall establish a domestic violence public awareness campaign in order to promote public awareness of domestic violence among the general public and health care and social services professionals and provide information to assist victims of domestic violence and their children.
b. The public awareness campaign shall include the development and implementation of public awareness and outreach efforts to promote domestic violence prevention and education, including, but not limited to, the following subjects:
(1) the causes and nature of domestic violence;
(2) risk factors;
(3) preventive measures; and
(4) the availability of, and how to access, services in the community for victims of domestic violence, including, but not limited to, shelter services, legal advocacy services, and legal assistance services.
c. The director shall coordinate the efforts of the division with any activities being undertaken by other State agencies to promote public awareness of, and provide information to the public about, domestic violence.
d. The director, within the limits of funds available for this purpose, shall seek to utilize electronic and print media, and may prepare and disseminate such written information as the director deems necessary, to accomplish the purposes of P.L.2005, c.204 (C.52:27D-43.35 et seq.).
e. The division shall make available electronically on its Internet website in English and Spanish information about domestic violence as described in subsection b. of this section.
f. The director may accept, for the purposes of the public awareness campaign, any special grant of funds, services, or property from the federal government or any of its agencies, or from any foundation, organization, or other entity.
g. The director shall report to the Governor and the Legislature, no later than 18 months after the effective date of P.L.2005, c.204 (C.52:27D-43.35 et seq.), on the activities and accomplishments of the public awareness campaign.
##### **§ 52:27D-43.37** Audit of effectiveness of response to domestic violence. {#sec-52-27d-43.37 omnilex-key=us-nj-statutes--title-52--52:27D-43.37}
1. a. The Director of the Division on Women in the Department of Community Affairs shall audit the effectiveness of State, county and local response to domestic violence by sponsoring, at the county and local level, community safety and accountability audits throughout the state.
b. The audit shall include a systematic analysis of intra-agency and interagency policies and procedures used by:
(1) law enforcement agencies and the court system when investigating and prosecuting cases of domestic violence-related fatalities and near fatalities, as appropriate; and
(2) State and local agencies and organizations when providing services to victims of domestic violence.
##### **§ 52:27D-44** Short title {#sec-52-27d-44 omnilex-key=us-nj-statutes--title-52--52:27D-44}
This act shall be known as, and may be cited as, the "State Aid for Urban Renewal Projects Law of 1967."
##### **§ 52:27D-45** Declaration of necessity; liberal construction {#sec-52-27d-45 omnilex-key=us-nj-statutes--title-52--52:27D-45}
This act being deemed and hereby declared necessary for the protection of the health and welfare of the residents of this State in order to assure the elimination of slums and blighted areas by assisting municipalities to carry out urban renewal projects, shall be liberally construed to effectuate the purposes and intent thereof.
##### **§ 52:27D-46** Legislative findings {#sec-52-27d-46 omnilex-key=us-nj-statutes--title-52--52:27D-46}
The Legislature finds that there exist in many municipalities in this State blighted areas by reason of hazardous, unsafe, unsanitary, dilapidated or overcrowded conditions and other conditions constituting a serious and growing menace, injurious to the health, safety and welfare of the residents of the State, which conditions are more fully enumerated and specified in section 1 of chapter 187 of the laws of 1949, as amended by section 1 of chapter 248 of the laws of 1951. The Legislature further finds that the widespread character of blight, the difficulty of eliminating such conditions, the enormous cost thereof and the limited resources available for this purpose to the municipalities in which such conditions exist, render it essential that this State aid and assist such municipalities by making capital grants available to encourage municipalities to initiate urban renewal programs and to expand existing urban renewal programs.
##### **§ 52:27D-47** Definitions {#sec-52-27d-47 omnilex-key=us-nj-statutes--title-52--52:27D-47}
The following terms whenever used or referred to in this act have the following respective meanings, except in those instances where the context clearly indicates otherwise:
(a) The term "act" shall mean this act, and amendments and supplements thereto, and rules or regulations promulgated thereunder.
(b) The term "commissioner" shall mean the Commissioner of the Department of Community Affairs.
(c) The term "department" shall mean the Department of Community Affairs.
(d) The term "fund" shall mean the State Urban Renewal Assistance Fund established pursuant to section 10 of this act.
(e) The term "local grants-in-aid" shall mean the local assistance required, whether by appropriation, cash grant, municipal services and facilities or otherwise, in connection with any urban renewal project as provided for and determined in accordance with the laws and regulations of the United States governing such project and any contract between the municipality or local public agency and the Department of Housing and Urban Development of the United States.
(f) The term "local public agency" shall mean any agency authorized by a municipality, or by one or more municipalities acting jointly pursuant to law, to undertake a redevelopment project either in accordance with chapter 306 of the laws of 1949, as amended and supplemented or chapter 300 of the laws of 1949, as amended and supplemented.
(g) The term "municipality" shall mean any political subdivision of the State other than a county or a school district, and shall include 2 or more municipalities acting jointly pursuant to law.
(h) The term "urban renewal project" shall mean a project as defined by section 5, chapter 306 of the laws of 1949, as supplemented by section 2 of chapter 212 of the laws of 1956, as amended by section 1, chapter 64 of the laws of 1957, and also a redevelopment project as defined by section 4 of chapter 300 of the laws of 1949, as amended by section 1, chapter 86 of the laws of 1951, as supplemented by section 2, chapter 211 of the laws of 1956, and shall include those programs, projects, tests and demonstrations authorized by and to effectuate the purposes of Title I of the Housing Act of 1949, section 314 of the Housing Act of 1954, Title VII of Public Law 87-70 (the Housing Act of 1961), and Public Law 89-754 (the Demonstration Cities and Metropolitan Development Act of 1966), and all laws amendatory and supplementary thereto.
##### **§ 52:27D-48** Application for capital grant; factors considered {#sec-52-27d-48 omnilex-key=us-nj-statutes--title-52--52:27D-48}
(a) The commissioner may make, or contract to make, a State capital grant to a municipality or to a local public agency to assist said municipality or local public agency in carrying out one or more urban renewal projects. Any municipality or local public agency desiring a State capital grant for an urban renewal project may apply to the commissioner therefor; provided, that the application has been authorized by resolution of the governing body of the municipality in which the project is or will be located; and provided further, that any such project has been determined by any department or agency of the United States to be eligible for assistance therefrom for such project and the municipality or the local public agency has executed a contract with any department or agency of the United States for planning advances for such project or has secured a letter from any department or agency of the United States authorizing it to proceed with the project. The municipality or local public agency shall submit a copy of the plan for any urban renewal project for which a State capital grant is sought and such other detailed information concerning the project, including maps, data, plans, estimated costs, method of financing and evidence of local approval, as the commissioner may require by rules and regulations promulgated hereunder.
(b) The commissioner shall review and evaluate all applications submitted to him pursuant to subsection (a) of this section and shall establish such priorities for making grants pursuant to this act as shall give due regard to the following factors:
(1) the degree to which the municipality needs urban renewal assistance, in view of its financial condition, available financial resources, tax rate, debt limit and other economic factors;
(2) the extent of blight in the municipality and the extent to which the municipality has evidenced a readiness to utilize available resources to curtail the spread of blight and eliminate existing blighted areas and conditions; and
(3) the degree to which the urban renewal project for which a State capital grant is sought will have a beneficial effect on the over-all economy and needs of the area or region in which it is located or on other programs or policies of this State.
##### **§ 52:27D-49** Approval of applications {#sec-52-27d-49 omnilex-key=us-nj-statutes--title-52--52:27D-49}
The commissioner may issue commitments for, and may make or contract to make, capital grants pursuant to section 5 of this act, upon his approval of any application submitted to him therefor and the finding that:
(a) the municipality or local public agency has entered into a contract with any department or agency of the United States providing for the receipt therefrom of capital grants or loans for an urban renewal project, pursuant to which contract the municipality in which the project is or will be located is obligated to make local grants-in-aid; or, in the alternative, all conditions required by any department or agency of the United States for approval of any such capital grant or loan and grant contract have been met and final application has been made therefor, or all such conditions could have been met and the said final application could have been made but for the temporary unavailability of unencumbered funds for any such capital grant or loan and grant contract, in which latter 2 instances any commitment issued or contract thereupon executed by the commissioner shall be conditioned upon approval of a capital grant or loan and grant contract by any department or agency of the United States;
(b) the proposed State capital grant will not exceed the amounts authorized by section 8 of this act;
(c) the proposed plan for the urban renewal project is consistent with any area, regional or State plan of development or any existing State program affecting land use and has been approved by the local governing body of the municipality in which the project is or will be located;
(d) the estimated funds available to the municipality and the local public agency for the urban renewal project, including loans and grants from any department or agency of the United States, local grants-in-aid and the proposed State capital grant, will be sufficient to meet all the probable costs of the project and assure its completion; and
(e) there is no legal impediment or bar to the implementation and completion of the urban renewal project.
##### **§ 52:27D-50** Temporary advances; repayment {#sec-52-27d-50 omnilex-key=us-nj-statutes--title-52--52:27D-50}
(a) The commissioner may make temporary advances to a municipality or local public agency in anticipation of a grant to assist the municipality or local public agency in the preparation of its plans for any urban renewal project. Such temporary advances shall be repaid out of any State capital grant which may become payable to the municipality or local public agency when the urban renewal project involved is initiated; provided, that any such planning advance may be treated by the commissioner as a grant to the extent that a State capital grant is not payable to any municipality or local public agency because the urban renewal project is not initiated; and provided further that any such advance shall be repaid in cash if the project is terminated by the municipality or local public agency without the consent of the commissioner.
(b) The commissioner may also make temporary advances to a municipality or local public agency to permit the acquisition of real property in an urban renewal project area, subsequent to the surveying and planning therefor but prior to the final approval of the urban renewal project plan and the execution of a contract with any department or agency of the United States for a capital grant or a loan and grant; provided, that no such advance shall be made unless such acquisition has been approved by the governing body of the municipality in which such project is or will be located; and provided further, that no sale, lease or other disposition of such land may be made without the prior written approval of the commissioner. When the urban renewal project involved is undertaken such advances shall be repaid out of any funds, including State capital grants, becoming payable to the municipality or local public agency in connection with said project. In the event such urban renewal project is not undertaken, the commissioner may require the sale of such land by the municipality or local public agency and reimbursement of such advances out of the proceeds of such sale.
##### **§ 52:27D-51** Commitments by commissioner; requirements {#sec-52-27d-51 omnilex-key=us-nj-statutes--title-52--52:27D-51}
Any commitment issued or advance made by the commissioner and any contract based thereon shall, in addition to such other terms, covenants and conditions as the commissioner may require, provide that:
(a) no change may be made in an urban renewal project assisted by a State capital grant, nor in the project cost, land use or amount or manner of local grants-in-aid thereof, without the prior written approval of the commissioner;
(b) a State capital grant shall be in such amount as the commissioner, in his discretion, may deem necessary to assist the municipality or local public agency in discharging its obligations in connection with the project for which the grant is made.
Except as hereinafter provided, no commitments or payments thereon of capital grants pursuant to this act shall exceed 1/2 the actual amount of local grants-in-aid which the municipality or local public agency agrees to make pursuant to any contract for aid from any department or agency of the United States and the payments pursuant to the commitment for such grant shall be made from time to time in such amounts as shall not exceed the actual cash grants-in-aid paid by the municipality or local public agency and the actual moneys expended by the municipality or local public agency for eligible noncash grants-in-aid, which payments or expenditures are not subject to reimbursement to the municipality or local public agency from some other source and are certified by the municipality or local public agency subject to audit by the commissioner.
Notwithstanding the provisions of this section, the commissioner may make commitments and payments thereon up to 100% of the local grants-in-aid allocable to such projects or portions thereof as shall be used for or by institutions owned and operated by this State or through a public agency established by the State, or by a political subdivision of the State, for public uses including, but not limited to, schools, parks, open spaces and neighborhood centers; provided, that the commissioner may make commitments and payments thereon up to 100% of the local grants-in-aid allocable to such projects or portions thereof as shall be used for nonprofit moderate income housing, where the municipality wherein the project is located has granted a 15% in lieu of tax payment to the nonprofit housing sponsor for a period of time equal to the term of any mortgage in connection therewith, conditioned upon the agreement between the nonprofit housing sponsor and the governing body of the municipality that the nonprofit housing sponsor will make a payment of 3% of gross shelter rent to the State of New Jersey until such amount has been repaid as the commissioner shall determine, not to exceed 50% of the local grants-in-aid allocable to such projects or portions thereof as shall be used for such nonprofit housing;
(c) no sale, lease or other disposition shall be made of real property located in an urban renewal project assisted by a State capital grant pursuant to this act without the prior written approval of the commissioner;
(d) Any capital grant assistance pursuant to this act be paid and applied to retire and discharge obligations of the municipality or local public agency to the extent such obligations were incurred to defray the cost of local grants-in-aid, which costs are to be met out of any State capital grant pursuant to this act;
(e) the governing body of the municipality or the local public agency agree to reimburse the State in cash for any payments of capital grants in excess of those permitted under this act or pursuant to the terms of any commitment or contract for any capital grant pursuant to this act, and to repay the State for any capital grant payments made, if the project is terminated by the municipality or local public agency without the consent of the commissioner;
(f) as promptly as possible after completion of an urban renewal project assisted with a capital grant pursuant to this act, the municipality or local public agency shall file with the commissioner a detailed statement of the costs of completing said project.
##### **§ 52:27D-52** Inspections by commissioner; examination of books, records and other documents {#sec-52-27d-52 omnilex-key=us-nj-statutes--title-52--52:27D-52}
The commissioner shall be entitled to make such inspections of any project, and lands, buildings, improvements or facilities thereon, to request and secure the submission of certifications, data, maps, documents and other information by the municipality or the local public agency, to audit and examine any books and records of the municipality and local public agency, and to require such periodic reports as shall be necessary to ascertain the progress of any urban renewal project assisted with a capital grant pursuant to this act and the extent of compliance with the contract for capital grants.
##### **§ 52:27D-53** State renewal assistance fund; creation {#sec-52-27d-53 omnilex-key=us-nj-statutes--title-52--52:27D-53}
(a) There is hereby created in the State Treasury a special account which shall be known as the State Urban Renewal Assistance Fund. There shall be included in said fund all moneys appropriated by the Legislature of this State for inclusion therein. The State Treasurer, with the advice of the commissioner, may invest and reinvest any moneys in said fund, or any portion thereof, in legal obligations of the United States or this State or any political subdivision thereof. Any income or interest on, or increment to, moneys so invested or reinvested shall be included in said fund.
(b) Upon the approval by the commissioner of any application for a capital grant pursuant to this act, the commissioner may requisition and warrant, and the State Treasurer shall pay over, the moneys in said fund, or any portion thereof, to the contracting municipality or local public agency in accordance with commitments made and contracts executed pursuant to this act.
##### **§ 52:27D-54** Administration of act by commissioner {#sec-52-27d-54 omnilex-key=us-nj-statutes--title-52--52:27D-54}
The commissioner shall administer this act with such flexibility as will permit full co-operation between State, Federal and local public agencies and governments as well as private persons, associations or corporations, it being the intent and purpose of this act, and this section thereof, to facilitate and expedite the progress of urban renewal and redevelopment in this State. In order to eliminate the duplication of effort, the commissioner may adopt by reference, and accept to the extent feasible, any procedures and techniques undertaken or implemented by any department or agency of the United States responsible for the administration of urban renewal and redevelopment programs of the United States. When acting in good faith, the commissioner shall not be responsible for any errors or omissions by any such department or agency of the United States arising out of any procedures and techniques so adopted or accepted. The commissioner may enter into any administrative agreement with any appropriate State, Federal or local public agency or government for the purpose of carrying out the provisions of this act.
##### **§ 52:27D-55** Prohibited interest in projects {#sec-52-27d-55 omnilex-key=us-nj-statutes--title-52--52:27D-55}
(a) Neither the commissioner nor any officer or employee of the department shall acquire or hold any interest, direct or indirect, in any urban renewal project assisted pursuant to this act or in any property included therein, nor retain any interest, direct or indirect, in any property acquired prior to his appointment or employment which is later included, or to his knowledge planned to be included, in any such State-assisted urban renewal project. Neither the commissioner nor any officer or employee of the department shall acquire or hold or retain any interest, direct or indirect, in any contract or proposed contract for the provision of materials or services to be furnished or used in connection with any such State-assisted urban renewal project.
(b) Where any officer or employee of the department other than the commissioner shall hold any interest, direct or indirect, in any such State-assisted urban renewal project as described in subsection (a) of this section, the said officer or employee, upon learning of any application or intent to make application, shall report the said interest in writing to the commissioner and the same shall be entered into the official record of the department, and the said officer or employee shall be relieved of any duties relating to the said project until the said officer or employee has disposed of such interest. If the commissioner shall hold any such interest, direct or indirect, the same shall be reported in writing to the Governor, entered upon the official records of the department and the commissioner shall dispose of the said interest prior to the issuance of any commitment, the execution of any contract, or the payment of any advance pursuant to this act.
##### **§ 52:27D-56** Rules and regulations; filing {#sec-52-27d-56 omnilex-key=us-nj-statutes--title-52--52:27D-56}
The commissioner shall issue and promulgate such rules and regulations as are necessary and appropriate to carry out the purposes of this act, and may revise, repeal or amend said rules and regulations from time to time as the commissioner may deem necessary. Any rules and regulations issued and promulgated pursuant to this act shall be filed with the Secretary of State.
##### **§ 52:27D-57** Partial invalidity {#sec-52-27d-57 omnilex-key=us-nj-statutes--title-52--52:27D-57}
If any section, subsection, paragraph, sentence or other part of this act is adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder of this act, but shall be confined in its effect to the section, subsection, paragraph, sentence or other part of this act directly involved in the controversy in which said judgment shall have been rendered.
##### **§ 52:27D-58** Inconsistent acts {#sec-52-27d-58 omnilex-key=us-nj-statutes--title-52--52:27D-58}
All acts and parts of acts inconsistent herewith are hereby superseded.
##### **§ 52:27D-59** Short title {#sec-52-27d-59 omnilex-key=us-nj-statutes--title-52--52:27D-59}
This act shall be known as, and may be cited as, the "Department of Community Affairs Demonstration Grant Law of 1967."
##### **§ 52:27D-60** Declaration of necessity; liberal construction {#sec-52-27d-60 omnilex-key=us-nj-statutes--title-52--52:27D-60}
This act being deemed and hereby declared remedial legislation necessary for the protection of the health and welfare of the residents of this State by encouraging nonprofit and mutual housing sponsors to construct or rehabilitate housing for families of moderate income, shall be liberally construed to effectuate the purposes and intent thereof.
##### **§ 52:27D-61** Legislative findings {#sec-52-27d-61 omnilex-key=us-nj-statutes--title-52--52:27D-61}
The Legislature finds that there is an extreme shortage of safe and sanitary accommodations in this State available to families with moderate incomes, and that the ordinary operations of private, profit-making enterprises alone cannot satisfy the demand for such dwelling accommodations. The Legislature finds further that there are in this State many slums and blighted areas which are injurious to the health, safety and welfare of the residents of this State, and that existing programs and technology have not as yet developed techniques for the elimination of such slums and blighted areas.
The Legislature hereby finds that various nonprofit corporations and associations and mutual housing associations are desirous of organizing to construct or rehabilitate housing units for families of moderate income, but that those corporations and associations require development funds and technical assistance in the organization and management of nonprofit corporations and mutual housing associations, and that the provision of such development funds and technical assistance to those corporations and associations will maximize the availability of Federal funds and credits which may be used for the construction or rehabilitation of housing units for residents of this State.
Further, the Legislature finds that housing development and demonstration programs conducted by the Department of Community Affairs, whether singly or in participation and co-operation with Federal, State or local agencies or with private enterprise, will accelerate the pace of research into, and the development of, techniques for the provision of better, faster and more economical methods of constructing and rehabilitating housing units for families of moderate income, and of eliminating the slums and blighted sections of the urban and nonfarm rural areas of this State.
The Legislature further finds that the authority and powers conferred under this act constitute and serve a valid public purpose.
##### **§ 52:27D-62** Definitions {#sec-52-27d-62 omnilex-key=us-nj-statutes--title-52--52:27D-62}
The following terms whenever used or referred to in this act shall have the following respective meanings for the purposes of this act, except in those instances where the context clearly indicates otherwise:
(a) The term "act" shall mean this act, and any amendments and supplements thereto, and any rules and regulations promulgated thereunder.
(b) The term "commissioner" shall mean the Commissioner of the Department of Community Affairs.
(c) The term "department" shall mean the Department of Community Affairs.
(d) The term "development cost" shall mean the amount approved by the commissioner as an appropriate expenditure which may be incurred prior to the first mortgage advance under an eligible mortgage loan, which amount may include, without limitation: (1) payments for options, deposits or contracts to purchase properties on the proposed housing project site or, with the prior approval of the commissioner, payments for the purchase of such properties; (2) legal and organizational expenses, including attorneys' fees, and salaries, office rent and other incidental expenses for a project manager and office staff; (3) fees for preliminary feasibility studies, planning advances, borings, surveys, engineering and architectural work, and fees for the services of architects, engineers, planners and attorneys in connection therewith; (4) expenses for tenant surveys and market analyses; and (5) such other expenses as the commissioner may deem necessary and appropriate to effectuate the purposes of this act.
(e) The term "eligible mortgage" shall mean a below-market interest rate mortgage insured by the Secretary of Housing and Urban Development, a mortgage insured by the Secretary of Housing and Urban Development and augmented by a program of rent supplement authorized by the provisions of Public Law 89-117 (The Housing and Urban Development Act of 1965), a mortgage loan made by the State of New Jersey, or any department, division, office, bureau or section thereof, or any agency or authority created or chartered thereby, to a nonprofit or mutual housing sponsor for the purpose of providing housing to families of moderate income, a mortgage insured by the Secretary of Housing and Urban Development pursuant to Public Law 86-372 (The Housing Act of 1959), and any similar below-market interest rate mortgage that may be insured by any department or agency of the United States or this State.
(f) The term "fund" shall mean the Revolving Housing Development and Demonstration Grant Fund created by section 5 of this act.
(g) The term "housing project" or "project" shall mean any specific work upon or improvement to housing accommodations, whether new construction or rehabilitation thereof, undertaken by a nonprofit or mutual housing sponsor to provide dwelling accommodations for families of moderate income, including the acquisition, construction or rehabilitation of lands, buildings and improvements, and such stores, offices, and social, recreational, communal or other facilities as may be incidental or appurtenant thereto.
(h) The term "family of moderate income" shall mean a family whose income is too low to compete successfully in the normal rental or mutual housing market and whose aggregate family income does not exceed limits prescribed by such rules and regulations as may be issued and promulgated by the commissioner.
(i) The term "mutual housing sponsor" shall mean any nonprofit association or corporation organized under the laws of this State for the purpose of providing dwelling accommodations for families of moderate income, which dwelling accommodations are operated, or are to be operated upon completion of construction or rehabilitation, exclusively for the benefit of the families who are entitled to occupy said dwelling accommodations by reason of co-ownership of stock in such corporation, or by reason of co-ownership of stock in such corporation, or by reason of co-ownership of the premises in a horizontal property regime authorized by the provisions of chapter 168 of the laws of 1963 (The Horizontal Property Act).
(j) The term "nonprofit sponsor" shall mean any association or corporation organized not for profit under the provisions of Title 15 of the Revised Statutes or any other law which has as one of its purposes the construction or rehabilitation and operation, or both, of housing projects, or any corporation qualified under the provisions of chapter 184 of the laws of 1949 as amended and supplemented.
##### **§ 52:27D-63** Revolving housing development and demonstration grant fund {#sec-52-27d-63 omnilex-key=us-nj-statutes--title-52--52:27D-63}
(a) There is hereby created and established in the department a revolving and demonstration grant fund to be known as the Revolving Housing Development and Demonstration Grant Fund, which fund shall consist of:
(1) All moneys appropriated and made available by the Legislature of this State for inclusion therein;
(2) Notwithstanding the provisions of any other act or part thereof, any moneys which the department shall receive in repayment of advances from the fund; and
(3) Any other moneys made available to the department from any source or sources, which the commissioner shall determine to use for the purposes authorized by this act.
(b) Any moneys held in such fund not required or permitted to be disbursed immediately by this act may be invested or reinvested, at the discretion of the commissioner, in legal obligation of this State or the United States. Any income or interest earned by, or increment to, moneys so invested or reinvested shall be added to the moneys held in such fund for the purposes authorized by this act.
##### **§ 52:27D-64** Advances to nonprofit and mutual housing sponsors; repayment {#sec-52-27d-64 omnilex-key=us-nj-statutes--title-52--52:27D-64}
(a) The commissioner is hereby authorized to use the moneys held in the fund, or any portion thereof, to make noninterest bearing advances to nonprofit and mutual housing sponsors to defray development costs for housing projects for families of moderate income to be constructed or rehabilitated with eligible mortgages. No such advance shall be made to any nonprofit or mutual housing sponsor by the commissioner unless: (1) the commissioner reasonably anticipates that said nonprofit or mutual housing sponsor will obtain an eligible mortgage for the project; and (2) the said nonprofit or mutual housing sponsor shall have executed an agreement with the commissioner, which agreement shall have such terms and conditions with respect to the rents, profits, dividends, and disposition of the property or franchises of said nonprofit or mutual housing sponsor as may be prescribed in rules and regulations promulgated by the commissioner pursuant to this act.
(b) Any nonprofit or mutual housing sponsor to which any advance has been made pursuant to subsection (a) of this section shall repay said advance in full to the department upon and concurrent with the receipt by said nonprofit or mutual housing sponsor of the proceeds of an eligible mortgage or construction or rehabilitation loan; provided, that the commissioner may extend the period for such repayment of any advance, except that the commissioner shall not extend the period for such repayment of any advance beyond the date of final payment of said eligible mortgage or construction or rehabilitation loan; and provided further, that any such advance may be treated by the commissioner as a grant to the extent that the proceeds of an eligible mortgage cannot by law be used to reimburse any cost or fee included in the development cost for which said advance was made.
(c) If the commissioner shall determine, in the exercise of his discretion, that any nonprofit or mutual housing sponsor to which any advance has been made pursuant to subsection (a) of this section cannot obtain an eligible mortgage, then the commissioner shall declare any such advance immediately due and payable. Any such advance which is declared by the commissioner to be immediately due and payable shall be repaid from any assets of the project for which said advance has been made; provided, that any such advance shall be treated by the commissioner as a grant to the extent that said advance cannot be repaid from the assets of any project for which said advance has been made.
(d) If the commissioner shall determine, in the exercise of his discretion, that any advance made pursuant to subsection (a) of this section is in jeopardy of not being repaid by the nonprofit or mutual housing sponsor to which any such advance has been made, then the commissioner may appoint to the board of directors of said nonprofit or mutual housing sponsor a number of new directors, which number shall be sufficient to constitute a majority of such board, notwithstanding the provisions of the certificate of incorporation or by-laws of said nonprofit or mutual housing sponsor, or any other provision of law. Any new members of such board so appointed by the commissioner shall serve as the members of such board until any such advance is repaid in accordance with subsection (b) of this section, or until any such advance is treated as a grant pursuant to subsection (c) of this section. Any new members of such board so appointed by the commissioner shall receive such compensation for their services as may be provided in the certificate of incorporation or by-laws of said nonprofit or mutual housing sponsor.
##### **§ 52:27D-64.1** Legislative findings; importance of housing finance agency to revolving housing development and demonstration grant fund {#sec-52-27d-64.1 omnilex-key=us-nj-statutes--title-52--52:27D-64.1}
The Legislature finds that the Revolving Housing Development and Demonstration Grant Fund established under section 5 of the act to which this act is a supplement, through advances to nonprofit and mutual housing sponsors to defray initial development costs of housing projects to be constructed or rehabilitated with mortgages subsidized by State and Federal agencies and through the establishment of and grants to demonstration programs which develop, test and report methods and techniques for preventing and eliminating slums and blight in urban and nonfarm rural areas and rehabilitating housing for families of moderate income, has served to encourage nonprofit and mutual housing sponsors to construct and rehabilitate new and improved moderate income housing for the residents of this State. The Legislature further finds, however, that the continued success of this program is dependent upon a healthy, viable, and protected New Jersey Housing Finance Agency since that agency is the primary State instrumentality for financing actual construction and rehabilitation of moderate income housing units. The Legislature finds that the seed money advances and demonstration grants made through the Revolving Housing Development and Demonstration Grant Fund will not continue to generate additional moderate income housing and innovative housing techniques unless private, nonprofit enterprises are able to obtain sufficient moneys to undertake actual development of moderate income housing through mortgages from the New Jersey Housing Finance Agency.
Further, the Legislature finds that uncertainties in the municipal bond market have made it increasingly difficult for the New Jersey Housing Finance Agency, notwithstanding its excellent management and financial records, to sell notes, bonds, and other obligations of the agency and, accordingly, the health, vitality, and productivity of that agency is threatened. The Legislature further finds that expanding the uses of this fund to authorize the commissioner to invest in notes, bonds, or other obligations of the New Jersey Housing Finance Agency and to make grants to the New Jersey Housing Finance Agency so that said agency may establish funds to secure notes, bonds and other obligations of the agency will assist that agency in overcoming the municipal bond market uncertainties and thus retain the vitality of both that agency and the Revolving Housing Development and Demonstration Grant Fund, as well as further serve the valid public purpose of protecting the health and welfare of the residents of this State by eliminating the slums and blighted sections of the urban and nonfarm rural area of this State and ending the shortage of safe and sanitary housing accommodations in this State available to families with moderate income.
##### **§ 52:27D-64.2** New Jersey housing finance agency; purchase of notes, bonds and other obligations by fund {#sec-52-27d-64.2 omnilex-key=us-nj-statutes--title-52--52:27D-64.2}
The commissioner is hereby authorized to use the moneys held in the fund, or any portion thereof, to purchase notes, bonds or other obligations of the New Jersey Housing Finance Agency and to make grants to the New Jersey Housing Finance Agency so that it may establish a fund or funds to secure notes, bonds or other obligations issued by it.
##### **§ 52:27D-65** Advisory, consultative, training and educational services to assist nonprofit or mutual housing sponsors {#sec-52-27d-65 omnilex-key=us-nj-statutes--title-52--52:27D-65}
The commissioner is hereby authorized to provide nonprofit or mutual housing sponsors with such advisory, consultative, training and educational services as will assist them to plan, construct, rehabilitate and operate housing projects for families of moderate income, including but not limited to assistance in community development and organization, home management and advisory services for the residents of such projects, and to encourage community organizations to assist in developing such projects.
##### **§ 52:27D-66** Demonstration programs; grants; preference to certain programs; reports {#sec-52-27d-66 omnilex-key=us-nj-statutes--title-52--52:27D-66}
(a) The commissioner is hereby authorized to conduct demonstration programs, to participate in any public or private program, and to make grants from the fund to any person, association or corporation (subject to such terms and conditions as the commissioner may prescribe by rules and regulations promulgated pursuant to this act), for the purpose of developing, testing and reporting methods and techniques, and carrying out, demonstrations and other activities for the prevention and elimination of slums and blight in urban and nonfarm rural areas, as well as the development of new or improved means of constructing or rehabilitating housing for families of moderate income.
(b) The commissioner, in exercising the powers and authority vested in him by subsection (a) of this section, shall give preference to those programs, activities, undertakings, and applications for grants which the commissioner shall determine, in the exercise of his discretion, have the greatest potentiality for (1) significant contributions to the elimination and prevention of slums and blight areas, and (2) accelerated development of the best and most economical methods and techniques of constructing or rehabilitating housing for families of moderate income.
(c) The commissioner may make advances and grants from the fund to any municipality for the preparation and submission by any municipality of an initial application or any amendments or supplements thereto for a planning grant under Title I of Public Law 89-754 (The Demonstration Cities and Metropolitan Development Act of 1966).
(d) The commissioner is hereby authorized to pay for the cost of (1) writing and publishing reports on demonstration programs conducted by the department, activities and undertakings in which the department participated, or which were financed by grants made pursuant to subsection (a) of this section, as well as reports on similar activities and undertakings, not so financed, which are of significant value in furthering the purposes of this act, and (2) writing and publishing summaries and other informational material on such reports.
##### **§ 52:27D-67** Rules and regulations {#sec-52-27d-67 omnilex-key=us-nj-statutes--title-52--52:27D-67}
The commissioner shall issue and promulgate such rules and regulations as are necessary and appropriate to carry out the purposes of this act, and to revise, repeal or amend said rules and regulations from time to time as the commissioner may deem necessary. Any rules and regulations issued and promulgated pursuant to this act shall be filed with the Secretary of State.
##### **§ 52:27D-68** Examination of books and accounts {#sec-52-27d-68 omnilex-key=us-nj-statutes--title-52--52:27D-68}
The State Treasurer is hereby authorized to, and shall, examine, from time to time, the books and accounts of the department relating to the fund.
##### **§ 52:27D-69** Inconsistent acts {#sec-52-27d-69 omnilex-key=us-nj-statutes--title-52--52:27D-69}
All acts and parts of acts inconsistent herewith are hereby superseded.
##### **§ 52:27D-70** Partial invalidity {#sec-52-27d-70 omnilex-key=us-nj-statutes--title-52--52:27D-70}
If any section, subsection, paragraph, sentence or other part of this act is adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder of this act, but shall be confined in its effect to the section, subsection, paragraph, sentence or other part of this act directly involved in the controversy in which said judgment shall have been rendered.
##### **§ 52:27D-99** Transfer of functions, powers and duties of bureau of recreation and board of recreation examiners to department of community affairs {#sec-52-27d-99 omnilex-key=us-nj-statutes--title-52--52:27D-99}
a. The Bureau of Recreation established pursuant to P.L.1950, c. 338, as amended and supplemented (C. 13:1B-15.1), together with all its functions, powers and duties, is continued, transferred and constituted in the Department of Community Affairs, subject to the reorganization powers of the Commissioner of Community Affairs.
b. The Board of Recreation Examiners, established pursuant to P.L.1966, c. 291 (C. 13:1C-1 et seq.) together with all of its functions, powers and duties, is continued and transferred to the Department of Community Affairs. This act shall not affect the terms of office of the present members of the board. The members of the board shall continue to be appointed as provided by existing law.
##### **§ 52:27D-100** Transfer of appropriations, grants and other moneys available to bureau and board {#sec-52-27d-100 omnilex-key=us-nj-statutes--title-52--52:27D-100}
All appropriations, grants and other moneys available and to become available to the bureau and the board, the functions, powers and duties of which have been herein assigned or transferred to the Department of Community Affairs, are hereby transferred to the Department of Community Affairs, and shall be available for the objects and purposes for which appropriated, subject to any terms, restrictions, limitations or other requirements imposed by State or Federal law.
##### **§ 52:27D-101** Transfer of employees of bureau and board {#sec-52-27d-101 omnilex-key=us-nj-statutes--title-52--52:27D-101}
a. Such employees of the bureau and the board, the functions, powers and duties of which have been herein assigned or transferred to the Department of Community Affairs or to any agency designated, continued or constituted therein, are hereby transferred to the department or agency to which such functions, powers and duties have been herein assigned or transferred.
b. Nothing in this act shall be construed to deprive any person of any tenure rights or of any right or protection provided him by Title 11 of the Revised Statutes, Civil Service, or under any pension law or retirement system.
##### **§ 52:27D-102** Transfer of files, property, etc. {#sec-52-27d-102 omnilex-key=us-nj-statutes--title-52--52:27D-102}
All files, books, papers, records, equipment and other property of the bureau, and the board, the functions, powers and duties of which have been herein assigned or transferred to the Department of Community Affairs, shall upon the effective date of this act be transferred to the department to which such assignment or transfer has been made hereunder.
##### **§ 52:27D-103** Effect of transfer on prior orders, rules and regulations of bureau or board {#sec-52-27d-103 omnilex-key=us-nj-statutes--title-52--52:27D-103}
This act shall not affect the orders, rules and regulations heretofore made or promulgated by the bureau or the board, the functions, powers and duties of which have been herein assigned or transferred to the Department of Community Affairs; but such orders, rules and regulations shall continue with full force and effect until amended or repealed pursuant to law.
##### **§ 52:27D-104** Civil or criminal actions or proceedings brought by or against bureau or board; effect of transfer {#sec-52-27d-104 omnilex-key=us-nj-statutes--title-52--52:27D-104}
This act shall not affect actions or proceedings, civil or criminal, brought by or against the bureau or the board, the functions, powers and duties of which have been herein assigned or transferred to the Department of Community Affairs and pending on the effective date of this act, but such actions or proceedings may be prosecuted or defended in the same manner and to the same effect by the department or agency to which such assignment or transfer has been made hereunder, as if the foregoing provisions had not taken effect; nor shall any of the foregoing provisions affect any order or recommendation made by, or other matters or proceedings before, the bureau or the board, the functions, powers and duties of which have been assigned or transferred to the Department of Community Affairs, and all such matters or proceedings pending before such bureau or board, on the effective date of this act shall be continued by the department or agency to which such assignment or transfer has not been made hereunder, as if the foregoing provisions had not taken effect.
##### **§ 52:27D-105** Reports, certifications, applications or requests required to be made to bureau or board; effect of transfer {#sec-52-27d-105 omnilex-key=us-nj-statutes--title-52--52:27D-105}
Unless specifically otherwise provided in this act or by any operative law, whenever, pursuant to existing law, reports, certifications, applications or requests are required or permitted to be made to the bureau or the board, whose powers and duties are herein assigned or transferred, such reports and certifications shall hereafter be required to be filed with, and such applications or requests shall hereafter be made to, the department or agency to which such assignment or transfer has been made hereunder.
##### **§ 52:27D-106** Reference to bureau of recreation in department of environmental protection to mean in department of community affairs {#sec-52-27d-106 omnilex-key=us-nj-statutes--title-52--52:27D-106}
With respect to the functions, powers and duties hereby transferred to the Department of Community Affairs, whenever in any law, rule, regulation, contract, document, judicial or administrative proceeding or otherwise, reference is made to the Bureau of Recreation in the Department of Environmental Protection, the same shall mean and refer to the Bureau of Recreation in the Department of Community Affairs.
##### **§ 52:27D-117** Transfer of New Jersey mortgage finance agency to department of community affairs {#sec-52-27d-117 omnilex-key=us-nj-statutes--title-52--52:27D-117}
The New Jersey Mortgage Finance Agency as established in the Department of Banking by P.L.1970, c. 38 (C. 17:1B-4 et seq.) is continued and transferred to the Department of Community Affairs.
##### **§ 52:27D-118** Application of State Agency Transfer Act {#sec-52-27d-118 omnilex-key=us-nj-statutes--title-52--52:27D-118}
The transfer directed by this act shall be effected pursuant to the "State Agency Transfer Act," P.L.1971, c. 375 (C. 52:14D-1 et seq.).
##### **§ 52:27D-118.1** Definitions {#sec-52-27d-118.1 omnilex-key=us-nj-statutes--title-52--52:27D-118.1}
As used in this act:
a. "Director" means the Director of the Division of Local Government Services in the Department of Community Affairs;
b. "Qualifying municipality" means each municipality in the State which received State aid pursuant to P.L.1978, c. 14;
c. "Approved program" means a program, project, or municipal services approved by the director pursuant to the Safe and Clean Neighborhoods Program established by this act.
##### **§ 52:27D-118.2** Short title {#sec-52-27d-118.2 omnilex-key=us-nj-statutes--title-52--52:27D-118.2}
This act shall be known and may be cited as the "Safe and Clean Neighborhoods Act of 1979."
##### **§ 52:27D-118.3** Funds; apportionment; uses; application; qualifications {#sec-52-27d-118.3 omnilex-key=us-nj-statutes--title-52--52:27D-118.3}
The funds appropriated pursuant to this act shall be apportioned among the qualifying municipalities for the purpose of enabling such municipalities to upgrade and augment certain municipal services and programs relating to safe and clean neighborhoods, by providing for additional policemen regularly assigned uniformed patrol duties, additional firemen, their related expenses, supervisors and other neighborhood improvements, in the following manner:
a. In order to receive aid under this act, each qualifying municipality shall apply to the director for matching funds equal in value to $1.00 for each dollar appropriated for an approved municipal program designed to upgrade and augment certain municipal services and programs relating to safe and clean neighborhoods;
b. Each qualifying municipality shall be limited in applying for matching funds equal in value to such amount as the qualifying municipality was entitled to receive pursuant to the provisions of P.L.1978, c. 56, as certified by the Director of the Division of Local Government Services;
c. A qualifying municipality that did not receive State aid pursuant to P.L.1978, c. 56, and that is eligible for such aid is entitled to participate in this act in an amount not to exceed an amount equal to that which the qualifying municipality would have received pursuant to P.L.1973, c. 46, as supplemented, if it had been eligible at that time, as certified by the Director of the Division of Local Government Services;
d. If additional funds are appropriated, a qualifying municipality may apply to the director for an increase in matching funds equal in value to a sum in proportion to that received pursuant to the provisions of subsection b. of this section;
e. If funds remain unapportioned, as certified by the director, after a qualifying municipality has had an opportunity to apply, there shall be established a discretionary fund, and participating municipalities may make application for such funds as still remain unapportioned, as determined by the director;
f. The number of policemen employed in 1982 with funds appropriated pursuant to this act shall not be reduced in any subsequent year in order to employ additional firemen pursuant to this amendatory act.
##### **§ 52:27D-118.4** Annual appropriation {#sec-52-27d-118.4 omnilex-key=us-nj-statutes--title-52--52:27D-118.4}
There shall be annually appropriated a sum which shall be apportioned among municipalities which qualify for State aid under the provisions of this act.
##### **§ 52:27D-118.5** Additional apportionment {#sec-52-27d-118.5 omnilex-key=us-nj-statutes--title-52--52:27D-118.5}
In addition to any amount so apportioned there shall be added to the amount to be paid and distributed to a qualifying municipality which is entitled to State aid pursuant to this act such amount as may be necessary so that the amount to which the municipality is entitled to receive in any year shall not be less than the amount which municipality received in the preceding year pursuant to this act.
##### **§ 52:27D-118.6** Distribution of funds {#sec-52-27d-118.6 omnilex-key=us-nj-statutes--title-52--52:27D-118.6}
Moneys appropriated to fund this act shall be distributed as follows:
a. Payments shall first be apportioned so that a municipality which received payments in 1978 pursuant to P.L.1978, c. 56, receives the same amount which it received in 1978 pursuant to P.L.1978, c. 56, even if after these payments are made, insufficient funds remain for increased distributions to municipalities which already are qualifying municipalities or for new distribution to municipalities which become qualifying municipalities;
b. Any municipality in the first year it qualifies for said State aid payments shall receive payments pursuant to this act before municipalities which had received such State aid in the preceding year;
c. Any provisions herein to the contrary notwithstanding, a municipality which has received State aid pursuant to P.L.1978, c. 14, but which is no longer a qualifying municipality pursuant to that act shall receive, in any year in which it has qualified bonds outstanding pursuant to P.L.1976, c. 38 (C. 40A:3-1 et seq.) and which were issued prior to the effective date of this act, the amount which it received in 1978 pursuant to P.L.1978, c. 56.
##### **§ 52:27D-118.7** Appropriation of funds by municipality; anticipation of receipt in budget {#sec-52-27d-118.7 omnilex-key=us-nj-statutes--title-52--52:27D-118.7}
Such funds as a qualifying municipality shall acquire pursuant to this act shall be appropriated by said municipality in compliance with the "Local Budget Law," P.L.1960, c. 169 (N.J.S. 40A:4-1 et seq.). Notwithstanding any provisions of the Local Budget Law, any municipality qualifying for State aid under the provisions of this act may anticipate the receipt of the amount of State aid certified to it by the director and may file such amendments or corrections in its local budget as may be required to properly reflect such amount in its budget for the year 1979.
##### **§ 52:27D-118.8** Rules and regulations; accountability of municipality {#sec-52-27d-118.8 omnilex-key=us-nj-statutes--title-52--52:27D-118.8}
The director is authorized to make and issue such rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c. 410 (C. 52:14B-1 et seq.) and to require such facts and information from the municipalities and any agencies thereof as he may deem necessary. An application approved by the director shall provide for the accountability of a municipality for the expenditure of funds as allocated in its approved application and performance evaluations of programs to be provided by the Department of Community Affairs in carrying out the provisions of this act.
##### **§ 52:27D-118.9** Employees {#sec-52-27d-118.9 omnilex-key=us-nj-statutes--title-52--52:27D-118.9}
The director is authorized to hire, employ or assign such secretarial, clerical and other technical or professional personnel as shall be required for the purposes of providing technical assistance, conducting performance evaluations and otherwise securing the accountability of the municipalities for complying with the provisions of this act.
##### **§ 52:27D-118.10** Conclusiveness of allocation by director {#sec-52-27d-118.10 omnilex-key=us-nj-statutes--title-52--52:27D-118.10}
Any determination of the director pursuant to this act as to the amount of matching funds allocable to each qualifying municipality shall be final and conclusive, and no appeal shall be taken therefrom or any review therefor, except in the case of an arithmetical or typographical error in the calculation of any distribution of funds.
##### **§ 52:27D-118.11** Apportionment of funds to municipalities {#sec-52-27d-118.11 omnilex-key=us-nj-statutes--title-52--52:27D-118.11}
Notwithstanding any provisions to the contrary of section 3 of P.L. 1979, c. 118 (C. 52:27D-118.3), the amounts appropriated in any State fiscal year beginning after June 30, 1985 for distribution to municipalities under the provisions of P.L. 1979, c. 118 (C. 52:27D-118.1 et seq.) shall be apportioned as follows:
a. Any municipality which received State aid under P.L. 1979, c. 118 (C. 52:27D-118.1 et seq.) during the 1985 State fiscal year shall first be apportioned, as matching funds pursuant to subsection a. of section 3 thereof, the greatest of the following amounts: (1) the amount received during the 1985 local budget year; (2) the amount received in any previous local budget year; or (3) the amount to which the municipality is entitled in any subsequent local budget year.
b. A municipality which is entitled to such aid on or after the effective date of this supplementary act, but which did not receive such aid during the 1985 local budget year, shall then be apportioned the amount for which it qualifies.
c. 65% of any amount appropriated above that required under subsections a. and b. of this section, and appropriated for additional police services shall then be apportioned to qualifying municipalities to provide a uniform percentage increase in the amount apportioned to these municipalities. The amount so apportioned shall be made available exclusively to allow employment of full-time police officers regularly assigned uniformed patrol duties in addition to the number of full-time police officers employed by the municipality and regularly assigned to uniformed patrol duties on January 31, 1985. In order to continue receiving funds for this purpose after the effective date of this amendatory act, a municipality shall be required to maintain the number of full-time police officers employed and assigned uniformed patrol duties as of January 1, 1986 less the number of officers who retired, resigned or separated from the force involuntarily for reasons other than layoffs.
d. The remaining amount appropriated for additional police services shall then be available to provide assistance to nonqualifying municipalities which maintain a regularly organized police force: (1) to employ full-time police officers regularly assigned uniformed patrol duties in addition to the number of full-time police officers employed by the municipality and regularly assigned to uniformed patrol duties on January 31, 1985; or (2) upon approval of the Director of the Division of Local Government Services, to pay for additional overtime police patrol activities performed by full-time police officers. The amount approved by the director for overtime activities shall be for the costs of overtime activities of full-time police officers which exceed the cost of those overtime activities in local budget year 1985. No municipality which is ineligible to receive a revenue sharing distribution pursuant to P.L. 1976, c. 73 (C. 54A:10-1 et seq.), from the State in the 1985 local budget year shall be eligible for assistance pursuant to this subsection. Each eligible municipality may be apportioned an amount not to exceed that proportion of the total amount available to all such municipalities as the number of full-time police officers regularly assigned to uniformed patrol duties that it employed as of January 31, 1985 bears to the entire number of such full-time officers employed on that date by all such municipalities. In order to receive funds for this purpose, an eligible municipality shall be required to provide from other sources at least 50% of the cost of employing the additional police officers or providing additional overtime activities, as appropriate.
e. Any two or more nonqualifying municipalities may join together under the "Interlocal Services Act" (P.L. 1973, c. 208, C. 40:8A-1 et seq.) for the purpose of receiving and expending funds pursuant to subsection d. above. The Director of the Division of Local Government Services, in contracting with such municipalities pursuant to section 4 of P.L. 1985, c. 170 (C. 52:27D-118.14), is authorized to establish a matching requirement of 50% of the cost of employing additional police officers or providing additional overtime activities, as appropriate. No more than 10% of the total available to nonqualifying municipalities may be distributed under this subsection.
##### **§ 52:27D-118.12** Discretionary fund {#sec-52-27d-118.12 omnilex-key=us-nj-statutes--title-52--52:27D-118.12}
In the event that any funds remain undistributed after all eligible municipalities have had an opportunity to enter into a contract pursuant to P.L. 1985, c. 170 (C. 52:27D-118.11 et seq.), there shall be established a discretionary fund, and eligible municipalities may make application for such funds as still remain undistributed as determined by the director. Any funds paid pursuant to this section shall be available to all eligible municipalities for the purposes of augmenting or upgrading patrol activities or to qualifying municipalities for the costs of salaries and other related expenses of existing full-time police officers assigned to uniformed patrol duty, including payments for pensions, health benefits and uniforms. Qualifying municipalities shall not be required to provide matching funds in order to receive funds pursuant to this section.
##### **§ 52:27D-118.13** Indicia of State support {#sec-52-27d-118.13 omnilex-key=us-nj-statutes--title-52--52:27D-118.13}
Each police officer employed under this act shall wear the uniform of the municipality that appointed him and shall wear a shoulder patch of a kind approved by the Director of the Division of Local Government Services, containing an insignia indicative of the State's support of the program.
##### **§ 52:27D-118.14** Regulations governing assistance {#sec-52-27d-118.14 omnilex-key=us-nj-statutes--title-52--52:27D-118.14}
In addition to the other powers and duties expressed in P.L. 1979, c. 118 (C. 52:27D-118.1 et seq.), the Director of the Division of Local Government Services shall adopt specific regulations, pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.), to govern provision of assistance under this act to qualifying and nonqualifying municipalities for the employment of appropriate police officers in addition to the number of such police officers employed on January 31, 1985. In addition to such other matters as the director may find appropriate, the regulations shall:
a. Require the municipality to enter into a contract in a form prescribed by the director. Each non-qualifying municipality shall agree to provide its share of the costs of employing additional police officers or providing additional overtime activities, as appropriate. If a nonqualifying municipality has received funds to employ additional police officers, that municipality further shall agree to maintain its police force at an expanded level over that as of January 31, 1985 as a condition of continued assistance. If a nonqualifying municipality receives funds to provide additional overtime activities, that municipality further shall agree to maintain the number of full-time police officers employed and assigned uniformed patrol duties as of January 1, 1986, less the number of officers who retired, resigned or separated from the force involuntarily for reasons other than layoffs. Each qualifying municipality shall agree to maintain its police force as required in subsection c. of section 1 of P.L. 1985, c. 170 (C. 52:27D-118.11);
b. Identify the particular costs of employing additional police officers, generally limited to training, salary, benefits and equipment (exclusive of motor vehicles), for which assistance may be provided;
c. Contain the design of the shoulder patch that additional police officers employed under this act are required to wear under section 2 of this act.
##### **§ 52:27D-118.15** Additional appropriation {#sec-52-27d-118.15 omnilex-key=us-nj-statutes--title-52--52:27D-118.15}
In addition to the appropriations required under section 4 of P.L. 1979, c. 118 (C. 52:27D-118.4), there shall be annually appropriated a sum which shall be apportioned among municipalities which qualify under the provisions of this supplementary act.
##### **§ 52:27D-118.16** Anticipation of State aid {#sec-52-27d-118.16 omnilex-key=us-nj-statutes--title-52--52:27D-118.16}
The funds a qualifying municipality shall acquire pursuant to this act shall be appropriated by the municipality in compliance with the "Local Budget Law" (N.J.S. 40A:4-1 et seq.). Notwithstanding any provisions of the "Local Budget Law," any municipality qualifying for State aid under the provisions of this act may anticipate the receipt of the amount of State aid certified to it by the director and may file such amendments or corrections in its local budget as may be required to properly reflect the amount certified.
##### **§ 52:27D-118.17** Definitions {#sec-52-27d-118.17 omnilex-key=us-nj-statutes--title-52--52:27D-118.17}
As used in this act:
a. "Emergency equipment" means any item used for the purpose of providing life safety and shall include but shall not be limited to boots, helmets, self-contained breathing apparatuses, fire hoses, extrication tools, insurance, maintenance of and repairs to fire apparatus and vehicles, utility costs for buildings, training, and the cost of hazardous materials units. It shall not include the purchase of any vehicle or building.
b. "Governing fire organization" means a municipality, fire district, fire company or fire department responsible for providing fire protection in any given municipality.
##### **§ 52:27D-118.18** Additional appropriations {#sec-52-27d-118.18 omnilex-key=us-nj-statutes--title-52--52:27D-118.18}
In addition to the amounts appropriated in any State fiscal year beginning after June 30, 1985 pursuant to the provisions of P.L. 1979, c. 118 (C. 52:27D-118.1 et seq.) and P.L. 1985, c. 170, (C. 52:27D-118.11 et seq.), there shall be appropriated such funds as are required for providing additional fire services in certain municipalities as follows:
a. 65% of any additional amount appropriated for additional fire services shall be apportioned to municipalities that both maintain paid or part-paid fire departments and qualify for aid pursuant to P.L. 1979, c. 118 (C. 52:27D-118.1 et seq.) to provide a uniform percentage of increase in the amount apportioned to these municipalities. In order to receive funds under this subsection, a municipality shall provide matching funds from other sources equal to 25% of the amount provided under this subsection.
b. (1) The remaining amount appropriated for additional fire services shall be available to provide assistance to municipalities that qualify for aid pursuant to P.L. 1979, c. 118 (C. 52:27D-118.1 et seq.) but are provided with fire protection by a governing fire organization made up exclusively of volunteers and to provide assistance to municipalities which are not qualified for aid pursuant to P.L. 1979, c. 118 (C. 52:27D-118.1 et seq.), except that a municipality that is ineligible to receive a revenue sharing distribution pursuant to P.L. 1976, c. 73 (C. 54A:10-1 et seq.) from the State in the year 1985 shall be ineligible for assistance under this subsection. Each municipality eligible to receive assistance under this subsection shall receive an amount not to exceed that portion of the total amount available to all such municipalities as the municipality's population bears to the total population of all such municipalities according to the most recent federal decennial census.
(2) In order to receive funds under this subsection, a municipality that maintains a paid or part-paid fire department and qualifies for aid pursuant to P.L. 1979, c. 118 (C. 52:27D-118.1 et seq.) shall provide funds from other sources equal to 25% of the amount provided under this subsection; a municipality that maintains a paid or part-paid fire department and does not qualify for aid pursuant to P.L. 1979, c. 118 (C. 52:27D-118.1 et seq.) shall provide funds from other sources at least equal to the amount provided under this subsection; and a municipality that is provided with fire protection by a governing fire organization made up exclusively of volunteers shall provide funds from other sources equal to 10% of the amount provided under this subsection.
c. The amounts apportioned under subsections a. and b. of this section shall be used by the municipalities to which they are appropriated as follows:
(1) A municipality that maintains a paid fire department shall use the amount exclusively to employ a member or members holding the rank of firefighter or equivalent title, in addition to the number of such members employed by the municipality and regularly assigned as active uniformed firefighters on January 31, 1985. (2) A municipality that is provided with fire protection by a governing fire organization made up exclusively of volunteers shall use the amount exclusively to purchase emergency equipment. As a condition of receiving assistance under this act, a municipality shall fund governing fire organizations that are made up exclusively of volunteers and that provide the municipality with fire protection in the same amount as it funded them on January 31, 1985, except that if a municipality does not fund the governing fire organization it shall not be required to do so in order to receive assistance under this act. The municipality shall distribute the funds for purchasing emergency equipment that it receives under this section to the governing fire organizations that provide fire protection in the municipality, based upon the proportion of the municipal population served by each governing fire organization.
(3) A municipality or fire district that maintains a part-paid fire department shall use the amount according to the provisions of paragraph (1), paragraph (2), or a combination of paragraphs (1) and (2) of this subsection, as it deems to be appropriate.
(4) For any State fiscal year during which a municipality subject to the provisions of Title 11 of the Revised Statutes is unable to promulgate or implement an eligibility list for the employment of firefighters pursuant to this act as the result of the decision of any State or federal court, department or agency, that municipality may use the moneys apportioned thereto to defray the costs of overtime service on the part of currently employed full-time active uniformed firefighters.
##### **§ 52:27D-118.19** Discretionary fund; {#sec-52-27d-118.19 omnilex-key=us-nj-statutes--title-52--52:27D-118.19}
In the event that any funds remain undistributed after all eligible municipalities or fire districts have had an opportunity to enter into a contract pursuant to this supplementary act, there shall be established a discretionary fund, and eligible municipalities or fire districts may make application for such funds as still remain undistributed as determined by the director. Any funds paid pursuant to this section shall be for the purposes of augmenting or upgrading fire services in the State.
##### **§ 52:27D-118.20** Indicia of State support {#sec-52-27d-118.20 omnilex-key=us-nj-statutes--title-52--52:27D-118.20}
Each firefighter employed under this act shall wear the uniform of the municipality or fire district and a shoulder patch of a kind approved by the Director of the Division of Local Government Services, containing an insignia indicative of the State's support of the program.
##### **§ 52:27D-118.21** Regulations {#sec-52-27d-118.21 omnilex-key=us-nj-statutes--title-52--52:27D-118.21}
In addition to the other powers and duties expressed in P.L. 1979, c. 118 (C. 52:27D-118.1 et seq.), the Director of the Division of Local Government Services shall adopt specific regulations, pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.), to govern provision of assistance under this act to qualifying and nonqualifying municipalities or fire districts for additional fire services. In addition to other matters that the director may find appropriate, the regulations shall:
a. Require the municipality or fire district to enter into a contract in a form prescribed by the director under which the municipality or fire district shall agree to provide its share of the cost of employing additional firefighters, if appropriate, and further agrees to maintain its fire department or to fund governing fire organizations that provide it with fire protection, whichever is appropriate, at the level maintained as of January 31, 1985 as a condition of continued assistance;
b. Identify the particular costs of employing additional firefighters, generally limited to training, salary, benefits and equipment (exclusive of vehicles), and the particular costs of purchasing emergency equipment, for which assistance may be provided;
c. Contain the design of the shoulder patch that additional firefighters are required to wear under section 4 of this act.
##### **§ 52:27D-118.22** Anticipation of State aid {#sec-52-27d-118.22 omnilex-key=us-nj-statutes--title-52--52:27D-118.22}
The funds that a qualifying municipality or fire district acquires pursuant to this act shall be appropriated by the municipality or fire district in compliance with the "Local Budget Law" (N.J.S. 40A:4-1 et seq.). Notwithstanding any provisions of the "Local Budget Law," any municipality or fire district qualifying for State aid under the provisions of this act may anticipate the receipt of the amount of State aid certified to it by the director and may file such amendments or corrections in its local budget as may be required to properly reflect the amount certified.
##### **§ 52:27D-118.23** Restriction on fund use {#sec-52-27d-118.23 omnilex-key=us-nj-statutes--title-52--52:27D-118.23}
Moneys appropriated pursuant to this act shall not be used to defray administrative expenses.
##### **§ 52:27D-118.24** Short title {#sec-52-27d-118.24 omnilex-key=us-nj-statutes--title-52--52:27D-118.24}
This act shall be known and may be cited as the "Special Municipal Aid Act."
##### **§ 52:27D-118.25** Findings, declarations. {#sec-52-27d-118.25 omnilex-key=us-nj-statutes--title-52--52:27D-118.25}
2. The Legislature finds that certain large and small municipalities in this State experience fiscal distress as a result of insufficient collection of tax revenues, insufficient collection of other revenues, over-anticipation of revenues of prior years, or from other causes; that these municipalities function within stringent budgetary constraints, straining their revenue sources to provide basic public services for their residents; that these municipalities may benefit from the expertise of the State in recommending fiscal recovery measures designed to alleviate the fiscal distress they are currently experiencing; and that short-term State assistance, in the form of State grants and loans, may provide the temporary revenue bridge these few municipalities need in order to overcome their current difficulties and regain their financial stability.
The Legislature, therefore, declares that it is fitting and proper, and within the public interest, to provide loans and grants to certain municipalities experiencing budgetary difficulties in generating adequate local revenues in order to assist those municipalities not only in meeting their immediate budgetary needs, but also to enable them to regain their financial stability.
##### **§ 52:27D-118.26** Definitions. {#sec-52-27d-118.26 omnilex-key=us-nj-statutes--title-52--52:27D-118.26}
3. As used in this act:
"Board" means the Local Finance Board of the Division of Local Government Services in the Department of Community Affairs.
"Director" means the Director of the Division of Local Government Services in the Department of Community Affairs.
"Eligible municipality" means a municipality that is qualified to receive assistance under P.L.1978, c.14 (C.52:27D-178 et seq.), a municipality under the supervision of the Local Finance Board pursuant to the provisions of the "Local Government Supervision Act (1947)," P.L.1947, c.151 (C.52:27BB-1 et seq.), a municipality that has issued qualified bonds pursuant to the provisions of the "Municipal Qualified Bond Act," P.L.1976, c.38 (C.40A:3-1 et seq.), or a municipality identified by the director to be facing serious fiscal distress.
##### **§ 52:27D-118.27** Short-term financial assistance {#sec-52-27d-118.27 omnilex-key=us-nj-statutes--title-52--52:27D-118.27}
The moneys appropriated in section 9 of this act may be used to provide short-term financial assistance to eligible municipalities to enable them to meet their immediate budgetary needs and regain their financial stability, affording them an opportunity to develop, revive and expand their economic bases. The financial assistance provided shall include, but not be limited to, loans, loan guarantees, and grants. The form, amount and terms of the financial assistance, including whether or not any loan shall be repaid with interest and if so, the rate of interest, shall be determined by the Local Finance Board. All loans, along with the interest thereon, if any, shall be repaid by the recipient municipality to the State on the date or dates specified by the Local Finance Board.
##### **§ 52:27D-118.28** Finding of fiscal distress; notification; review. {#sec-52-27d-118.28 omnilex-key=us-nj-statutes--title-52--52:27D-118.28}
5. Whenever the director, during the exercise of the director's duty under the provisions of the "Local Budget Law," N.J.S.40A:4-1 et seq., to examine each local budget, or upon the basis of any other information and data available to the director, shall find that an eligible municipality is experiencing fiscal distress and may require assistance under P.L.1987, c.75 (C.52:27D-118.24 et seq.), the director shall notify the Local Finance Board of the director's finding. The director's finding of fiscal distress in an eligible municipality may be based on the municipality's tax rate, cash deficit, insufficient percentage of tax collections, insufficient collection of other revenues, over-anticipation of the revenues of prior years, non-liquidation of interfund transfers, reliance on emergency authorizations, continual rollover of tax anticipation notes, or other factors indicating a constrained ability to raise sufficient revenues to meet its budgetary requirements.
At a time and place determined by the director, the governing body of the eligible municipality, and any other interested parties the director may deem appropriate, shall meet to review the implementation of the provisions of P.L.1987, c.75 (C.52:27D-118.24 et seq.). The review shall include, but not be limited to:
a. The director's assessment of the difference between the eligible municipality's revenue needs for the current local budget year and its revenue raising capacity for the current local budget year;
b. The actions the governing body of the eligible municipality intends to take in the current local budget year to meet the municipality's revenue needs; and
c. The actions the governing body intends to take to expand the eligible municipality's local revenue generating capacity for subsequent local budget years.
After the review has taken place, the director shall notify the board of the findings of the review and shall recommend to the board actions necessary to be taken by the municipality, which may include the provision of short-term financial aid.
##### **§ 52:27D-118.29** Determination of amount of grants, loans; withholding; hearing. {#sec-52-27d-118.29 omnilex-key=us-nj-statutes--title-52--52:27D-118.29}
6. a. The board shall determine the total amounts of grants and loans, or any combination thereof, to be provided to each eligible municipality and the director shall certify that amount to the State Treasurer and the governing body of the eligible municipality. In the case of loans to an eligible municipality, the board shall set forth the terms of the loan agreement, including whether or not any interest shall be paid and, if so, the rate of that interest. The term of a loan authorized under the provisions of P.L.1987, c.75 (C.52:27D-118.24 et seq.) shall not exceed 10 years.
As a condition of receiving assistance under the provisions of P.L.1987, c.75 (C.52:27D-118.24 et seq.), an eligible municipality shall implement any government, administrative and operational efficiency, and oversight measures necessary for the fiscal recovery of the municipality as recommended by the director and approved by the board, and be subject to management and fiscal audit by the director.
The determination of the board pursuant to P.L.1987, c.75 as to the amount of financial assistance to be paid to an eligible municipality shall be final and conclusive, and there shall be no appeal therefrom nor any review thereof.
b. The director may withhold from an eligible municipality any State aid payments that are disbursed by the Division of Local Government Services if the director finds the municipality has failed to implement fiscal recovery measures approved by the board. Upon withholding an aid payment, the director shall report to the board the circumstances surrounding the reasons for withholding aid. The board shall then hold a hearing to give the eligible municipality an opportunity to explain why such aid payments should not continue to be withheld, and what action the eligible municipality plans to take to implement the fiscal recovery measures. Upon completion of the hearing, the board shall determine if State aid payments should continue to be made to the municipality, establish a schedule for such payments when appropriate, and determine what other actions should be taken.
c. If an eligible municipality receives increased amounts of aid under P.L.1987, c.75 (C.52:27D-118.24 et seq.) after January 1, 1999 and continues to receive such aid for two continuous fiscal years, at the end of each second year, or at such other time the board deems appropriate, the board shall hold a hearing for the eligible municipality to demonstrate why the board should not create a financial review board to oversee the fiscal condition of the eligible municipality. If the board finds that the eligible municipality has successfully implemented fiscal recovery measures or has otherwise acted to improve sufficiently its fiscal condition, the board shall permit the eligible municipality to continue to receive aid without the creation of a financial review board and be subject to such other fiscal recovery conditions the board may place on it; otherwise, the board shall order, by resolution, the creation of a financial review board to operate in accordance with the provisions of subsections b. through d. of section 5 of P.L.1999, c.156 (C.52:27D-118.30a).
##### **§ 52:27D-118.30** Notice {#sec-52-27d-118.30 omnilex-key=us-nj-statutes--title-52--52:27D-118.30}
Whenever the board shall determine to provide financial assistance to an eligible municipality pursuant to the provisions of this act, the board shall forthwith notify the Governor, the President of the Senate, the Speaker of the General Assembly and the State Treasurer. The notice shall set forth:
a. The municipality's eligibility for a payment of financial assistance under the provisions of this act;
b. The board's determination of the amounts of financial assistance to be paid to that eligible municipality;
c. The form, amount and terms of the financial assistance, including whether or not any loan shall be repaid with interest and, if so, the rate of that interest, and the factors considered by the board in making those determinations;
d. The actions the governing body of the eligible municipality intends to take in the current local budget year to meet the municipality's revenue needs;
e. The actions the governing body intends to take to expand the eligible municipality's local revenue generating capacity for subsequent local budget years; and
f. Any other information or data the board deems appropriate and necessary.
##### **§ 52:27D-118.30a** Creation of financial review board for municipality. {#sec-52-27d-118.30a omnilex-key=us-nj-statutes--title-52--52:27D-118.30a}
5. a. Upon a finding by the director that an eligible municipality possesses conditions that create extreme difficulty in adopting a budget in compliance with the "Local Budget Law," N.J.S.40A:4-1 et seq., in issuing indebtedness as permitted by law, or in funding capital improvements essential to the protection of the public health, safety, and welfare, the board may create, by resolution, a financial review board for that municipality.
b. A financial review board shall be authorized to approve, implement and enforce a financial plan for any municipality in which it has been created. A financial review board so created shall consist of five members, one of whom shall be the mayor of the municipality or the mayor's designee; one of whom shall be appointed by the Governor and shall be a resident of the municipality who is not an elected official or employee of the municipality; one of whom shall be the Commissioner of the Department of Community Affairs or the commissioner's designee; one of whom shall be the State Treasurer or the Treasurer's designee; and one of whom shall be appointed by the Governor and shall be an officer of the Executive Branch of State government. The financial review board shall exercise its powers and duties under rules and regulations adopted by the board. A municipality subject to a financial review board shall establish a financial plan, subject to the financial review board's approval, to address the budgetary, operational, capital and economic development needs of the municipality. The financial review board shall also have the power to approve: the annual budget of the municipality, the issuance of debt, all contracts entered into during the time of supervision of the financial review board, and municipal expenditures, if so directed by the board, to the extent that the financial review board shall specify. The financial review board may delegate to the municipality such of its powers, under such circumstances and subject to such conditions, as it may determine. A financial review board shall operate until such time that the board finds that the conditions that led to the creation of the financial review board have been substantially abated.
c. At the end of each year of its operation the financial review board shall report to the board on its activities. The report shall include: a review of the financial review board's activities generally; the status of the municipality's finances; recommendations concerning the municipality's fiscal condition; the criteria for municipal performance which will lead the financial review board to recommend to the board that the financial review board be dissolved; a review of the municipality's economic development needs, and policy recommendations that would achieve those goals; comment on the municipality's compliance with the financial review board's directives; and any other information the financial review board deems necessary. After review, a copy of the financial review board's report and any comments of the board shall be forwarded to Governor, the Senate President, the Senate Minority Leader, the Speaker of the General Assembly, and the Assembly Minority Leader.
d. The board shall review the status of each municipality in which a financial review board has been created at least each two years, at which time the municipality shall be given the opportunity to demonstrate why the financial review board should be ended or its role modified. The board shall determine whether the municipality shall continue to be subject to the oversight of the financial review board and if the conditions that led to the creation of the financial review board have been substantially abated, and shall take such other actions as the board deems appropriate in light of the municipality's financial condition.
##### **§ 52:27D-118.30c** Transfers authorized to provide loan. {#sec-52-27d-118.30c omnilex-key=us-nj-statutes--title-52--52:27D-118.30c}
8. The State Treasurer, in consultation with the Commissioner of the Department of Community Affairs, is empowered to direct the Director of the Division of Budget and Accounting to transfer from any State department to any other State department sums as may be necessary to provide a loan for a term not to exceed 30 days to a municipality faced with a fiscal crisis, including but not limited to a potential default on tax anticipation notes. Extension of a loan shall be conditioned on the municipality being an "eligible municipality" pursuant to P.L.1987, c.75 (C.52:27D-118.24 et seq.).
##### **§ 52:27D-118.31** Appropriation by municipality; anticipation in budget {#sec-52-27d-118.31 omnilex-key=us-nj-statutes--title-52--52:27D-118.31}
The financial assistance provided to an eligible municipality pursuant to the provisions of this act shall be appropriated by the municipality in compliance with the provisions of the "Local Budget Law," N.J.S. 40A:4-1 et seq.
Notwithstanding any provisions of the "Local Budget Law," N.J.S. 40A:4-1 et seq., any eligible municipality receiving a payment of financial assistance pursuant to the provisions of this act may anticipate the receipt of the amount of financial assistance certified to it by the director and may file any amendment or corrections in its local budget as may be required to reflect that certified amount in its budget.
##### **§ 52:27D-118.32** Short title {#sec-52-27d-118.32 omnilex-key=us-nj-statutes--title-52--52:27D-118.32}
Sections 1 through 12 of this act shall be known and may be cited as the "Supplemental Municipal Property Tax Relief Act."
##### **§ 52:27D-118.33** Definitions {#sec-52-27d-118.33 omnilex-key=us-nj-statutes--title-52--52:27D-118.33}
As used in this act:
"Board" means the Local Finance Board of the Division of Local Government Services in the Department of Community Affairs.
"Director" means the Director of the Division of Local Government Services in the Department of Community Affairs.
"Equalized tax rate" means the total tax levy on which the tax rate is computed for a municipality as shown in the table of aggregates for the pretax year prepared pursuant to R.S.54:4-52, divided by the equalized valuation of property exclusive of Class II railroad property as shown in the table of equalized valuations for the pretax year prepared pursuant to P.L.1954, c.86 (C.54:1-35.1 et seq.).
"Municipal per capita income" means the money income of a municipality for the most recent year prior to the budget year as reported by the Bureau of the Census divided by the population of the municipality according to the most recent federal decennial census.
"State per capita income" means the money income of the State for the most recent year prior to the budget year as reported by the Bureau of the Census divided by the State population according to the most recent federal decennial census.
"Statewide aggregate equalized tax rate" means the sum of the total tax levies on which the tax rates are computed for all municipalities in the State as shown in the table of aggregates for the pretax year prepared pursuant to R.S.54:4-52, divided by the sum of equalized valuations of property of all municipalities in the State exclusive of Class II railroad property as shown in the table of equalized valuations for the pretax year prepared pursuant to P.L.1954, c.86 (C.54:1-35.1 et seq.).
##### **§ 52:27D-118.34** Distributions of aid {#sec-52-27d-118.34 omnilex-key=us-nj-statutes--title-52--52:27D-118.34}
The director shall on or before December 31, 1991 and annually thereafter make distributions of "Supplemental Municipal Property Tax Relief Act" aid, in amounts determined as follows:
a. (1) To municipalities having an equalized tax rate at least twice the Statewide aggregate equalized tax rate, an amount equal to $72.76 per capita.
(2) To municipalities having an equalized tax rate greater than the Statewide aggregate equalized tax rate and less than twice the Statewide aggregate equalized tax rate, an amount equal to $42.75 per capita.
(3) To municipalities having an equalized tax rate equal to or greater than 75% of the Statewide aggregate equalized tax rate but not greater than the Statewide aggregate equalized tax rate, an amount equal to $31.83 per capita.
(4) To municipalities having an equalized tax rate less than 75% of the Statewide aggregate equalized tax rate, an amount equal to $22.73 per capita.
b. In addition to the amount determined pursuant to subsection a. of this section, any municipality with a municipal per capita income less than 50% of the Statewide per capita income shall receive $45.48 per capita.
c. The most recent federal decennial census shall be used to determine municipal population for the distribution of per capita aid pursuant to this section.
##### **§ 52:27D-118.35** Distributions of extraordinary aid. {#sec-52-27d-118.35 omnilex-key=us-nj-statutes--title-52--52:27D-118.35}
4. The director shall on or before December 31, 1991 and annually thereafter make distributions of "Supplemental Municipal Property Tax Relief Act" extraordinary aid. The director shall annually notify the chief financial officer of each municipality, other than a municipality that received $500,000 or more in regular grant financial assistance in the prior year pursuant to the "Special Municipal Aid Act," P.L.1987, c.75 (C.52:27D-118.24 et seq.), that, in addition to State aid provided pursuant to section 3 of P.L.1991, c.63 (C.52:27D-118.34), the municipality is eligible to apply for "Supplemental Municipal Property Tax Relief Act" extraordinary aid. The municipality may apply to the board for financial assistance pursuant to this section on forms promulgated by the director.
##### **§ 52:27D-118.36** Selection of recipients of extraordinary aid. {#sec-52-27d-118.36 omnilex-key=us-nj-statutes--title-52--52:27D-118.36}
5. The director shall select among the municipalities that have applied for extraordinary aid pursuant to section 4 of P.L.1991, c.63 (C.52:27D-118.35) and shall forward to the board the list of selected municipalities along with the amount of financial assistance to be paid to each municipality. The director in selecting among those eligible municipalities for payment of extraordinary aid shall use criteria which shall include:
a. whether a municipality is experiencing fiscal distress, whether the cost of providing municipal services is extraordinarily high, and whether the tax base is inadequate to meet property tax demands;
b. whether a municipality will use the extraordinary aid for costs associated with activities that improve operations and provide short-term and long-term property tax savings, including but not limited to shared and regionalized services, enhanced tax and revenue collection efforts and other activity that can be demonstrated to meet those requirements; or
c. whether a municipality has incurred other unusual or atypical expenses.
##### **§ 52:27D-118.37** Change in municipal budget, required documentation {#sec-52-27d-118.37 omnilex-key=us-nj-statutes--title-52--52:27D-118.37}
For each municipality receiving discretionary aid pursuant to this act, the director:
a. Shall have the authority to increase, decrease, add or delete revenues and expenditures from the budget of the municipality based on the municipality's experience and prudent fiscal management; and
b. May require documentation, schedules and estimates related to the municipal budget.
##### **§ 52:27D-118.38** Remedial orders issued to recipient of discretionary aid {#sec-52-27d-118.38 omnilex-key=us-nj-statutes--title-52--52:27D-118.38}
a. The board may issue remedial orders to a municipality receiving discretionary aid pursuant to this act directing it to:
(1) Maximize revenues;
(2) Maximize surplus to a prudent level;
(3) File schedules along with the budget showing municipal revenues not anticipated;
(4) Add municipal revenues to the budget not anticipated;
(5) Maximize its tax collection rate in order to minimize its reserve for uncollected taxes, using prudent fiscal practices;
(6) Reduce appropriations deemed by the board to be excessive; and
(7) Undertake other appropriate activities consistent with this section to reduce property taxes.
b. The board shall require, as a condition for the release of discretionary aid funds to a municipality, that the director certify that a municipality has complied with remedial orders issued by the board.
##### **§ 52:27D-118.39** General fiscal oversight over recipient of discretionary aid {#sec-52-27d-118.39 omnilex-key=us-nj-statutes--title-52--52:27D-118.39}
8. The board shall exercise general fiscal oversight over a municipality that receives discretionary aid pursuant to this act and may:
a. Require the director to return a budget if it is determined that the local tax burden is unreasonably high;
b. Require the inclusion of line items supporting budget detail; and
c. Permit the cancellation of appropriation reserves on the same schedule as transfers, with a revised annual financial statement forwarded to the director upon the cancellation.
##### **§ 52:27D-118.40** Use of State aid to reduce tax levy {#sec-52-27d-118.40 omnilex-key=us-nj-statutes--title-52--52:27D-118.40}
State aid provided pursuant to sections 3 and 4 of this act shall be used solely and exclusively by each municipality for the purposes of reducing the amount the municipality is required to raise by local property tax levy for municipal purposes. In the event that the amount of State aid provided pursuant to sections 3 and 4 of this act exceeds the amount required to be raised by local property tax levy for municipal purposes, the balance of the State aid shall be used to reduce the amount the municipality is required to raise by local property tax levy for county purposes, notwithstanding the provisions of any law to the contrary. The director shall certify that each municipality has complied with this section. If the director finds that State aid provided pursuant to this act is not used by a municipality solely and exclusively to reduce the amount required to be raised by local property tax levy, the director shall direct that the municipal governing body make corrections to its budget.
##### **§ 52:27D-118.41** Fund recipients may anticipate State aid {#sec-52-27d-118.41 omnilex-key=us-nj-statutes--title-52--52:27D-118.41}
Notwithstanding any provisions of the "Local Budget Law," N.J.S.40A:4-1 et seq., any municipality that receives funds pursuant to this act may anticipate the receipt of the amount of State aid as shall be certified to it by the director and may file any amendment or corrections in its local budget as may be required to properly reflect that State aid.
##### **§ 52:27D-118.42** Rules, regulations {#sec-52-27d-118.42 omnilex-key=us-nj-statutes--title-52--52:27D-118.42}
The director shall promulgate rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to effectuate the purposes of sections 2 through 10 of this act.
##### **§ 52:27D-118.42a** State oversight of municipalities in the Transitional Aid to Localities program. {#sec-52-27d-118.42a omnilex-key=us-nj-statutes--title-52--52:27D-118.42a}
1. a. The Director of the Division of Local Government Services in the Department of Community Affairs shall determine conditions, requirements, orders, and oversight for the receipt of any amount of grants, loans, or any combination thereof, provided to any municipality through the Transitional Aid to Localities program or any successor discretionary aid programs for municipalities in fiscal distress. Conditions, requirements, or orders deemed necessary by the director may include, but not be limited to, the implementation of government, administrative, and operational efficiency and oversight measures necessary for the fiscal recovery of the municipality, including but not limited to requiring approval by the director of personnel actions, professional services and related contracts, payment in lieu of tax agreements, acceptance of grants from State, federal or other organizations, and the creation of new or expanded public services.
b. An additional amount not to exceed one percent of the amount appropriated in any State Fiscal Year beginning on or after July 1, 2012 for the Transitional Aid to Localities program or any successor discretionary aid programs for municipalities in fiscal distress shall be appropriated for administrative costs of that program, and for administrative costs associated with the oversight of any municipalities under State supervision pursuant to Article 4 of the "Local Government Supervision Act (1947)," P.L.1947, c.151 (C.52:27BB-54 et seq.), subject to the approval of the Director of the Division of Budget and Accounting in the Department of the Treasury.
##### **§ 52:27D-118.43** "Adopt a Municipality Program." {#sec-52-27d-118.43 omnilex-key=us-nj-statutes--title-52--52:27D-118.43}
12. a. This section shall be known and may be cited as the "Adopt a Municipality Program."
b. The Commissioner of Community Affairs shall establish a business advisory board. The commissioner shall chair the board and shall appoint to the board members who represent private businesses and nonprofit entities that are interested and willing to contribute services and resources to municipalities. Members of the board shall serve three-year terms without compensation. The commissioner shall appoint a program coordinator who shall administer the "Adopt a Municipality Program."
c. The board shall encourage and coordinate municipal-business partnership. The board shall solicit municipalities and business and nonprofit entities to participate in the program. The board shall compile a list of municipal needs and circulate the list among businesses and nonprofit entities. Support of "adopted" municipalities by businesses and nonprofit entities that participate in the program may include, but shall not be limited to, the supplying of services, personnel, materials and funding. Businesses entering into the "Adopt a Municipality Program" shall not seek reimbursement for any donation of time, money, materials or personnel from the State or any subdivision thereof.
d. Contributions provided under this section by local businesses shall in no way affect the amount of State aid to which a municipality is entitled.
e. Acceptance of services, personnel, material or funding by a municipality pursuant to the "Adopt a Municipality Program" shall be subject to the applicable provisions, if any, of the "Local Government Ethics Law," P.L.1991, c.29 (C.40A:9-22.1 et seq.) and the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.).
##### **§ 52:27D-118.44** Trenton Capital City Aid Program. {#sec-52-27d-118.44 omnilex-key=us-nj-statutes--title-52--52:27D-118.44}
1. There is established the Trenton Capital City Aid Program, for which there shall be appropriated in each fiscal year an amount not less than $10,000,000 for the City of Trenton. Funds received by the city shall be used solely and exclusively by the city for the purpose of reducing the amount to be raised through the property tax levy for municipal purposes. If in any year the funds dedicated to the city through the Trenton Capital City Aid Program exceed the amount to be raised through the property tax levy for municipal purposes, the remaining balance of the State aid payment shall be allocated in equal amounts to Mercer County and the Trenton School District to be used to reduce the amount of the property tax levies for county and school purposes, notwithstanding the provisions of this section, or of any other law to the contrary. The Director of the Division of Local Government Services in the Department of Community Affairs shall certify annually that the city has complied with the requirements of this section.
##### **§ 52:27D-119** Short title {#sec-52-27d-119 omnilex-key=us-nj-statutes--title-52--52:27D-119}
This act shall be known, and may be cited and referred to, as the "State Uniform Construction Code Act."
##### **§ 52:27D-120** Purpose {#sec-52-27d-120 omnilex-key=us-nj-statutes--title-52--52:27D-120}
It is the intent and purpose of this act:
a. To encourage innovation and economy in construction and to provide requirements for construction and construction materials consistent with nationally recognized standards.
b. To formulate such requirements, to the extent practicable, in terms of performance objectives, so as to make adequate performance for the use intended as the test of acceptability.
c. To permit to the fullest extent feasible the use of modern technical methods, devices and improvements, including premanufactured systems, consistent with reasonable requirements for the health, safety, and welfare of occupants or users of buildings and structures.
d. To eliminate restrictive, obsolete, conflicting and unnecessary construction regulations that tend to unnecessarily increase construction costs or retard the use of new materials, products or methods of construction, or provide preferential treatment to types or classes of materials or products or methods of construction.
e. To insure adequate maintenance of buildings and structures throughout the State and to adequately protect the health, safety and welfare of the people.
f. To eliminate unnecessary duplication of effort and fees in the review of construction plans and the inspection of construction.
##### **§ 52:27D-121** Definitions. {#sec-52-27d-121 omnilex-key=us-nj-statutes--title-52--52:27D-121}
3. Definitions. As used in P.L.1975, c.217 (C.52:27D-119 et seq.):
"Building" means a structure enclosed with exterior walls or fire walls, built, erected and framed of component structural parts, designed for the housing, shelter, enclosure and support of individuals, animals or property of any kind.
"Business day" means any day of the year, exclusive of Saturdays, Sundays, and legal holidays.
"Certificate of occupancy" means the certificate provided for in section 15 of P.L.1975, c.217 (C.52:27D-133), indicating that the construction authorized by the construction permit has been completed in accordance with the construction permit, the State Uniform Construction Code and any ordinance implementing said code.
"Commissioner" means the Commissioner of Community Affairs.
"Code" means the State Uniform Construction Code.
"Commercial farm building" means any building located on a commercial farm which produces not less than $2,500 worth of agricultural or horticultural products annually, which building's main use or intended use is related to the production of agricultural or horticultural products produced on that farm. A building shall not be regarded as a commercial farm building if more than 1,200 square feet of its floor space is used for purposes other than its main use. A greenhouse constructed in conjunction with the odor control bio-filter of a solid waste or sludge composting facility, which greenhouse produces not less than $2,500 worth of agricultural or horticultural products in addition to its function as a cover for the bio-filter, shall be considered a commercial farm building for the purposes of P.L.1975, c.217 (C.52:27D-119 et seq.), provided, however, that the greenhouse is not intended for human occupancy.
"Construction" means the construction, erection, reconstruction, alteration, conversion, demolition, removal, repair or equipping of buildings or structures.
"Construction board of appeals" means the board provided for in section 9 of P.L.1975, c.217 (C.52:27D-127).
"Department" means the Department of Community Affairs.
"Enforcing agency" means the municipal or county construction official and subcode officials provided for in section 8 of P.L.1975, c.217 (C.52:27D-126), or section 1 of P.L.2018, c.157 (C.52:27D-126.8) regarding a pilot county in the "County Code Enforcement Pilot Program," and assistants thereto.
"Equipment" means plumbing, heating, electrical, ventilating, air conditioning, refrigerating and fire prevention equipment, and elevators, dumbwaiters, escalators, boilers, pressure vessels and other mechanical facilities or installations.
"Hearing examiner" means a person appointed by the commissioner to conduct hearings, summarize evidence, and make findings of fact.
"Maintenance" means the replacement or mending of existing work with equivalent materials or the provision of additional work or material for the purpose of the safety, healthfulness, and upkeep of the structure and the adherence to the other standards of upkeep as are required in the interest of public safety, health and welfare.
"Manufactured home" or "mobile home" means a unit of housing which:
(1) Consists of one or more transportable sections which are substantially constructed off site and, if more than one section, are joined together on site;
(2) Is built on a permanent chassis;
(3) Is designed to be used, when connected to utilities, as a dwelling on a permanent or nonpermanent foundation; and
(4) Is manufactured in accordance with the standards promulgated for a manufactured home by the Secretary of the United States Department of Housing and Urban Development pursuant to the "National Manufactured Housing Construction and Safety Standards Act of 1974," Pub.L.93-383 (42 U.S.C. s. 5401 et seq.) and the standards promulgated by the commissioner pursuant to P.L.1975, c.217 (C.52:27D-119 et seq.).
"Municipality" means any city, borough, town, township or village.
"Outdoor advertising sign" means a sign required to be permitted pursuant to P.L.1991. c.413 (C.27:5-5 et seq.).
"Owner" means the owner or owners in fee of the property or a lesser estate therein, a mortgagee or vendee in possession, an assignee of rents, receiver, executor, trustee, lessee, or any other person, firm or corporation, directly or indirectly in control of a building, structure, or real property and shall include any subdivision thereof of the State.
"Premanufactured system" means an assembly of materials or products that is intended to comprise all or part of a building or structure and that is assembled off site by a repetitive process under circumstances intended to insure uniformity of quality and material content.
"Public school facility" means any building, or any part thereof, of a school, under college grade, owned and operated by a local, regional, or county school district.
"State sponsored code change proposal" means any proposed amendment or code change adopted by the commissioner in accordance with subsection c. of section 5 of P.L.1975, c.217 (C.52:27D-123) for the purpose of presenting the proposed amendment or code change at any of the periodic code change hearings held by the National Model Code Adoption Agencies, the codes of which have been adopted as subcodes under P.L.1975, c.217 (C.52:27D-119 et seq.).
"Stop construction order" means the order provided for in section 14 of P.L.1975, c.217 (C.52:27D-132).
"State Uniform Construction Code" means the code provided for in section 5 of P.L.1975, c.217 (C.52:27D-123), or any portion thereof, and any modification of or amendment thereto.
"Structure" means a combination of materials to form a construction for occupancy, use, or ornamentation, whether installed on, above, or below the surface of a parcel of land; provided the word "structure" shall be construed when used herein as though followed by the words "or part or parts thereof and all equipment therein" unless the context clearly requires a different meaning.
##### **§ 52:27D-122** Legislative findings {#sec-52-27d-122 omnilex-key=us-nj-statutes--title-52--52:27D-122}
It is hereby found and declared:
a. That a multiplicity of construction codes currently exists in this State and some of these codes contain needless restrictions which limit the use of certain materials, techniques or products without any benefits to the public. Moreover, the variation of construction standards caused by the multiplicity of codes slows the process of construction and increases the costs of construction.
b. That the way to insure uniform, modern construction standards and regulations throughout the State of New Jersey which will lower the cost of housing and other construction without any detriment to the public health, safety and welfare is to adopt a uniform State construction code.
c. That the need of new construction in the State can be met in part by the use of premanufactured systems which are fabricated in the geographical region of the United States of which New Jersey is a part and that a uniform construction code should include standards to permit the use of such systems.
d. That the model codes of the Building Officials and Code Administrators International, Inc., the National Electrical Code and the National Standard Plumbing Code, or modification thereof, are construction codes which have been widely adopted in this State and in the geographical region of the United States of which New Jersey is a part and adoption of these nationally recognized codes pursuant to this act will insure that the State has a uniform, modern construction code which will insure health, safe, and sanitary construction but also less expensive construction for the citizens of this State.
##### **§ 52:27D-122.1** Findings, declarations relative to building construction codes {#sec-52-27d-122.1 omnilex-key=us-nj-statutes--title-52--52:27D-122.1}
1. The Legislature finds and declares that:
a. One of the specified purposes of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.), was the elimination of restrictive and unnecessary construction regulations that tend to unnecessarily increase construction costs.
b. While the overall effect of the statutory requirement that the subcodes of the State Uniform Construction Code be adoptions of the model codes or standards of nationally recognized organizations, including all amendments or revisions to such codes or standards, has been consistent with the intent and purpose of the "State Uniform Construction Code Act," there have been exceptional instances in which the amendment or revision of an adopted code or standard has included changes that are not consistent with that intent and purpose.
c. It is therefore necessary and appropriate that the Commissioner of Community Affairs be given the authority to limit the adoption of later revisions to the model code to include only those standards in effect on July 1, 1995, and any later revisions or amendments of model codes which would not be inconsistent with the intent and purpose of the act.
##### **§ 52:27D-122.2** Findings, declarations relative to energy efficiency in buildings. {#sec-52-27d-122.2 omnilex-key=us-nj-statutes--title-52--52:27D-122.2}
1. The Legislature hereby finds and declares:
a. It is the public policy of this State to encourage and facilitate the construction of energy-efficient buildings which are designed and built to reduce overall energy demand.
b. While energy-efficient buildings may cost more to construct, the payback period to recoup the added investment is only a few years.
c. Energy savings can be most fully realized when incorporated into new construction from the beginning.
d. It is therefore necessary and appropriate that the Commissioner of Community Affairs, in consultation with the Board of Public Utilities, adopt energy-efficient building codes that may exceed the requirements of national model codes.
##### **§ 52:27D-123** State Uniform Construction Code; adoption. {#sec-52-27d-123 omnilex-key=us-nj-statutes--title-52--52:27D-123}
5. a. The commissioner shall after public hearing pursuant to section 4 of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-4) adopt a State Uniform Construction Code for the purpose of regulating the structural design, construction, maintenance, and use of buildings or structures to be erected and alteration, renovation, rehabilitation, repair, maintenance, removal, or demolition of buildings or structures already erected. Prior to the adoption of said code, the commissioner shall consult with the code advisory board and other departments, divisions, bureaus, boards, councils, or other agencies of State Government heretofore authorized to establish or administer construction regulations.
Such prior consultations with departments, divisions, bureaus, boards, councils, or other agencies of State Government shall include but not be limited to consultation with the Commissioner of Health and the Public Health Council prior to adoption of a plumbing subcode pursuant to paragraph b. of this section. Said code shall include any code, rule, or regulation incorporated therein by reference.
b. The code shall be divided into subcodes which may be adopted individually by the commissioner as the commissioner may from time to time consider appropriate. These subcodes shall include but not be limited to a building code, a plumbing code, an electrical code, an energy code, a fire prevention code, a manufactured or mobile home code, and a mechanical code.
These subcodes, except for the energy subcode, shall be adoptions of the model codes of the Building Officials and Code Administrators International, Inc., the National Electrical Code, and the National Standard Plumbing Code, provided that for good reasons, the commissioner may adopt as a subcode, a model code or standard of some other nationally recognized organization upon a finding that such model code or standard promotes the purposes of P.L.1975, c.217 (C.52:27D-119 et seq.). The initial adoption of a model code or standard as a subcode shall constitute adoption of subsequent edition year publications of the model code or standard of such other nationally recognized organization, except as provided for in paragraphs (1) through (4) of this subsection. Adoption of publications shall not occur more frequently than once every three years; provided, however, that a revision or amendment may be adopted at any time in the event that the commissioner finds that there exists an imminent peril to the public health, safety, or welfare.
The energy subcode shall be based upon the model codes cited under this subsection or the International Energy Conservation Code. It may be amended or supplemented by the commissioner once before 2012 without regard to intervals between the adoption of the energy subcode in effect on the effective date of P.L.2009, c.106 (C.52:27D-122.2 et al.) and subsequent year revisions of that subcode. In amending or supplementing the energy subcode, the commissioner shall rely upon 10-year energy price projections provided by an institution of higher education within one year following the effective date of P.L.2009, c.106 (C.52:27D-122.2 et al.), and thereafter at three-year intervals. In developing the energy price projections, the institution of higher education shall consult with the Board of Public Utilities. The commissioner shall be authorized to amend the energy subcode to establish enhanced energy conservation construction requirements, the added cost of each of which may reasonably be recovered through energy conservation over a period of not more than seven years. Such requirements shall include provisions to ensure that, in all parts of the State the anticipated energy savings shall be similarly proportionate to the additional costs of energy subcode compliance.
(1) Except as otherwise provided in this subsection, the edition of a model code or standard in effect as a subcode as of July 1, 1995 shall continue in effect regardless of any publication of a subsequent edition of that model code or standard. Prior to establishing the effective date for any subsequent revision or amendment of any model code or standard adopted as a subcode, the commissioner shall review, in consultation with the code advisory board, the text of the revised or amended model code or standard and determine whether the amended or revised provisions of the model code are essential to carry out the intent and purpose of P.L.1975, c.217 (C.52:27D-119 et seq.) as viewed in contrast to the corresponding provisions of the subcode then currently in effect.
(2) In the event that the commissioner, pursuant to paragraph (1) of this subsection, determines that any amended or revised provision of a model code is essential to carry out the intent and purpose of this act as viewed in contrast to any corresponding provision of the subcode then currently in effect, the commissioner may then adopt that provision of the amended or revised model code.
(3) The commissioner, in consultation with the code advisory board, shall have the authority to review any model code or standard currently in effect as a subcode of the State Uniform Construction Code and compare it with previously adopted editions of the same model code or standard in order to determine if the subcode currently in effect is at least as consistent with the intent and purpose of this act as were previously adopted editions of the same model code or standard.
(4) In the event that the commissioner, after consultation with the code advisory board, determines pursuant to this subsection that a provision of a model code or standard currently in effect as a subcode of the State Uniform Construction Code is less consistent with the intent and purpose of P.L.1975, c.217 (C.52:27D-119 et seq.) than was the corresponding provision of a previously adopted edition of the same model code or standard, the commissioner may delete the provision in effect and substitute in its place the corresponding provision of the previously adopted edition of the same model code or standard determined to be more consistent with the intent and purpose of P.L.1975, c.217 (C.52:27D-119 et seq.).
(5) The commissioner shall be authorized to adopt a barrier free subcode or to supplement or revise any model code adopted hereunder, for the purpose of insuring that adequate and sufficient features are available in buildings or structures so as to make them accessible to and usable by persons with physical disabilities. Multi-family residential buildings with four or more dwelling units in a single structure shall be constructed in accordance with the barrier free subcode; for the purposes of this subsection the term "multi-family residential buildings with four or more dwelling units in a single structure" shall not include buildings constructed as townhouses, which are single dwelling units with two or more stories of living space, exclusive of basement or attic, with most or all of the sleeping areas on one story and with most of the remaining habitable space, such as kitchen, living, and dining areas, on another story, and with an independent entrance at or near grade level.
c. Any municipality through its construction official, and any State agency or political subdivision of the State, may submit an application recommending to the commissioner that a State sponsored code change proposal be adopted. Such application shall contain such technical justification and shall be submitted in accordance with such rules of procedure as the commissioner may deem appropriate, except that whenever the State Board of Education shall determine that enhancements to the code are essential to the maintenance of a thorough and efficient system of education, the enhancements shall be made part of the code; provided that the amendments do not result in standards that fall below the adopted subcodes. The Commissioner of Education shall consult with the Commissioner of Community Affairs prior to publishing the intent of the State Board to adopt any amendments to the Uniform Construction Code. Upon adoption of any amendments by the State Board of Education they shall be transmitted forthwith to the Commissioner of Community Affairs who shall publish and incorporate the amendments as part of the Uniform Construction Code and the amendments shall be enforceable as if they had been adopted by the commissioner.
At least 45 days prior to the final date for the submission of amendments or code change proposals to the National Model Code Adoption Agency, the code of which has been adopted as a subcode under P.L.1975, c.217 (C.52:27D-119 et seq.), the commissioner shall hold a public hearing in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), at which testimony on any application recommending a State sponsored code change proposal will be heard.
The commissioner shall maintain a file of such applications, which shall be made available to the public upon request and upon payment of a fee to cover the cost of copying and mailing.
After public hearing, the code advisory board shall review any such applications and testimony and shall within 20 days of such hearing present its own recommendations to the commissioner.
The commissioner may adopt, reject, or return such recommendations to the code advisory board for further deliberation. If adopted, any such proposal shall be presented to the subsequent meeting of the National Model Code Agency by the commissioner or by persons designated by the commissioner as a State sponsored code change proposal. Nothing herein, however, shall limit the right of any municipality, the department, or any other person from presenting amendments to the National Model Code Agency on its own initiative.
The commissioner may adopt further rules and regulations pursuant to this subsection and may modify the procedures herein described when a model code change hearing has been scheduled so as not to permit adequate time to meet such procedures.
d. (Deleted by amendment, P.L.1983, c.496.)
##### **§ 52:27D-123a** Adoption of radon hazard code {#sec-52-27d-123a omnilex-key=us-nj-statutes--title-52--52:27D-123a}
The Commissioner of Community Affairs shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), a radon hazard code, or may propose amendments to revise the appropriate model code adopted pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.), for the purpose of establishing adequate and appropriate standards to ensure that schools and residential buildings within tier one areas, as defined by the Department of Environmental Protection pursuant to P.L.1985, c.408 (C.26:2D-59 et seq.), are constructed in a manner that minimizes radon gas and radon progeny entry and facilitates any subsequent remediation that might prove necessary. In preparing the radon hazard code standards, the commissioner shall employ a guideline of four picocuries per liter or such other action level standard as the Department of Environmental Protection may establish subsequent to the effective date of this act.
The department shall include in the radon hazard code standards such testing requirements as may prove reliable, practical and economical to identify sites where a proposed school or residential building will require construction in a manner that minimizes radon gas and radon progeny entry and facilitates any subsequent remediation. If a feasible predictive test method is developed, then the standards adopted pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.), shall be revised to include such further changes in construction standards as may be necessary to prevent the entry of radon gas and radon progeny into new schools or residential buildings.
No person who constructs a school or residential building in compliance with these standards anywhere within the State shall thereafter be held liable for the presence of radon gas or radon progeny in the school or residential building, or for any losses or damage to persons or property resulting therefrom.
##### **§ 52:27D-123b** Construction to be in accordance with radon hazard code standards {#sec-52-27d-123b omnilex-key=us-nj-statutes--title-52--52:27D-123b}
No construction permit shall be issued for the construction of any new school or residential building in a tier one area, except after submission to the construction official of documentation sufficient to establish that the construction will be in accordance with the radon hazard code standards adopted pursuant to section 1 of this act.
##### **§ 52:27D-123c** Certificate of occupancy contingent on conformity with radon hazard code standards {#sec-52-27d-123c omnilex-key=us-nj-statutes--title-52--52:27D-123c}
No certificate of occupancy shall be issued for any newly constructed school or residential building required to be constructed in accordance with radon hazard code standards as provided in section 2 of this act, except upon verification by the construction official that the school or residential building conforms to the radon hazard code standards.
##### **§ 52:27D-123d** Testing of building sites for presence of radon hazards {#sec-52-27d-123d omnilex-key=us-nj-statutes--title-52--52:27D-123d}
The Department of Community Affairs, in consultation with the Department of Environmental Protection, the National Institute of Standards and Technology, the National Association of Homebuilders Research Center and the United States Environmental Protection Agency, shall investigate methods of testing building sites for the purpose of predicting the presence of radon hazards in buildings to be constructed thereon.
##### **§ 52:27D-123e** Training of construction officials {#sec-52-27d-123e omnilex-key=us-nj-statutes--title-52--52:27D-123e}
The Department of Community Affairs shall take such actions as are necessary to train construction officials in the implementation of this act.
##### **§ 52:27D-123f** Carbon monoxide detectors required in certain structures. {#sec-52-27d-123f omnilex-key=us-nj-statutes--title-52--52:27D-123f}
1. a. An application for a construction permit for any structure other than a structure subject to the provisions of P.L.1999, c.15 (C.52:27D-133.3 et al.) shall not be declared complete without containing provisions for the placement of a carbon monoxide sensor device or devices, unless it is determined that there is no potential carbon monoxide hazard in the structure.
b. Any determination as to the placement of a carbon monoxide sensor device or devices in a structure and as to whether there is a potential carbon monoxide hazard in a structure shall be made in accordance with the rules and regulations adopted pursuant to subsection c. of this section.
c. The Commissioner of Community Affairs shall promulgate rules and regulations pursuant to its rule-making authority under the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) in order to effectuate the purposes of this section. The rules and regulations shall include, but not be limited to, standards for the placement of a carbon monoxide sensor device or devices in a structure and for the determination as to whether there is a potential carbon monoxide hazard in a structure.
d. For the purposes of this section:
"Carbon monoxide sensor device" means a carbon monoxide alarm or detector that bears the label of a nationally recognized testing laboratory, and has been tested and listed as complying with the most recent Underwriters Laboratories standard 2034 or its equivalent.
##### **§ 52:27D-123.1** Applicability over law or regulation to contrary {#sec-52-27d-123.1 omnilex-key=us-nj-statutes--title-52--52:27D-123.1}
Any law or regulation to the contrary notwithstanding, the structure, design, construction, maintenance and use of all buildings or structures to be erected and the alteration, renovation, rehabilitation, repair, maintenance, removal, or demolition of all buildings or structures already erected shall be regulated pursuant to the "State Uniform Construction Code Act," P.L.1975, c. 217 (C. 52:27D-119 et seq.).
##### **§ 52:27D-123.2** Agricultural construction criteria {#sec-52-27d-123.2 omnilex-key=us-nj-statutes--title-52--52:27D-123.2}
a. Notwithstanding any other provision of P.L. 1975, c. 217 (C. 52:27D-119 et seq.), the Commissioner of the Department of Community Affairs and the Secretary of Agriculture shall, within 270 days of the effective date of this amendatory and supplementary act, jointly promulgate, pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.), separate construction code criteria for commercial farm buildings. The Commissioner shall, upon adoption, incorporate these criteria into the State Uniform Construction Code.
b. The Secretary of Agriculture shall, in consultation with the Commissioner of Community Affairs and all other interested and affected parties, prepare the criteria to be proposed for adoption pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.). The Secretary may, in his discretion, make use of the services of Rutgers, The State University to prepare the proposed criteria.
c. The Commissioner and the Secretary shall, to the greatest extent possible, ensure that the criteria provide no impediment to the orderly development of the State's agricultural and horticultural enterprises. They shall pay particular attention to establishing separate height, area, fire protection and construction type requirements which are more suitable to agricultural and horticultural uses than those which are presently incorporated in the State Uniform Construction Code.
d. The Commissioner and the Secretary shall ensure that, to the greatest extent possible, criteria are completely eliminated for structures and buildings which are not intended for human occupancy, such as storage bins, silos and the like.
##### **§ 52:27D-123.3** High hazard uses {#sec-52-27d-123.3 omnilex-key=us-nj-statutes--title-52--52:27D-123.3}
Any use of a commercial farm building, other than its main use, which constitutes a high hazard because it involves the generation, processing or storage of corrosive, highly toxic, flammable or explosive materials shall be segregated from the main use by fire resistance-rated construction.
##### **§ 52:27D-123.4** Public assembly permit {#sec-52-27d-123.4 omnilex-key=us-nj-statutes--title-52--52:27D-123.4}
A commercial farm building may be used temporarily as a place of public assembly if a permit for such use has been issued by the local fire official pursuant to the code adopted pursuant to the "Uniform Fire Safety Act," P.L. 1983, c. 383 (C. 52:27D-192 et seq.). The fee for the issuing of the permit and any inspection required in connection with the issuance shall not exceed $75.00.
##### **§ 52:27D-123.5** Building code, development {#sec-52-27d-123.5 omnilex-key=us-nj-statutes--title-52--52:27D-123.5}
2. The Commissioner of the Department of Community Affairs, in consultation with the State Board of Education, is directed to develop a building code specifically designed to foster cost-effective school building construction, while ensuring through its provisions that necessary health and safety requirements are met. The code shall be designed for use throughout the State and shall supplement the State Uniform Construction Code, P.L.1975, c.217 (C.52:27D-119 et seq.). The commissioner may promulgate this code as a separate document from the State Uniform Construction Code, or may, if the commissioner finds it feasible and useful, incorporate its provisions directly into, and make them an integral part of, that code.
##### **§ 52:27D-123.6** Code conditions {#sec-52-27d-123.6 omnilex-key=us-nj-statutes--title-52--52:27D-123.6}
3. The code adopted by the Commissioner of Community Affairs pursuant to section 2 of this act shall not require as a condition for approval of plans and specifications for the erection, alteration, improvement or repair of a public school facility:
a. refurbishment of a school facility based upon an automatic threshold, involving percentage increases in square footage or the relative costs of the building addition, beyond that necessary to meet the requirements of the appropriate building code which directly impact on the health and safety of students; or
b. refurbishment of a newly reopened school facility beyond that necessary to meet the requirements of the appropriate building code which directly impact on the health and safety of the students.
##### **§ 52:27D-123.7** Findings, determinations, declarations {#sec-52-27d-123.7 omnilex-key=us-nj-statutes--title-52--52:27D-123.7}
1. The Legislature hereby finds, determines and declares:
a. There is an urgent need to improve the housing conditions of low and moderate income individuals and families, many of whom live in substandard housing, particularly in the older cities of the State; and
b. There are large numbers of older residential buildings in the State, both occupied and vacant, which are in urgent need of rehabilitation and which must be rehabilitated if the State's citizens are to be housed in decent, sound, and sanitary conditions; and
c. The application of those building code requirements currently in force to housing rehabilitation has led to the imposition of costly and time-consuming requirements which result in a significant reduction in the amount of rehabilitation activity taking place; and
d. Extensive research has been conducted, in New Jersey and elsewhere, which can serve as a sound basis for the development and adoption of a building code specifically designed to foster cost-effective housing rehabilitation while ensuring that necessary health and safety requirements are met; and
e. Furthermore, in addition to the need for prudent modification of code provisions applicable to rehabilitation of older housing structures, it appears that complaints have from time to time been made that the scope and rigidity of the existing State Uniform Construction Code, as currently adopted and applied, may make excessively stringent and onerous requirements that burden the provision of affordable housing with expenses without any commensurate benefit to the public health, safety and welfare.
##### **§ 52:27D-123.8** Development of building code to foster housing rehabilitation {#sec-52-27d-123.8 omnilex-key=us-nj-statutes--title-52--52:27D-123.8}
2. a. The Commissioner of Community Affairs is hereby directed to develop a building code specifically designed to foster cost-effective housing rehabilitation, while ensuring through its provisions that necessary health and safety requirements are met. The code shall be designed for use throughout the State but shall have particular application to the older cities of the State, and the housing types characteristic of those cities. The code shall supplement the State Uniform Construction Code, adopted pursuant to P.L.1975, c.217 (C.52:27D-119 et seq.). The commissioner may promulgate this code as a separate document from the State Uniform Construction Code, or may, if he finds it feasible and useful, incorporate its provisions directly into, and make them an integral part of, that code.
b. In developing the code, the commissioner is directed to investigate any model codes, such as Chapter 34, "Existing Structures," of the "BOCA National Building Code/1993" and experiences of other code enforcement jurisdictions, to consult with individuals and organizations experienced in the rehabilitation of low and moderate income housing in New Jersey's urban areas, and conduct research as may be relevant to the purposes of this act.
c. The commissioner is further directed to undertake a study of the desirability of authorizing a procedure under which, in adopting the provisions of the standard or model codes upon which the State Uniform Construction Code is based, discretion may be accorded to the commissioner to modify, amplify or otherwise depart from any such provisions, without exceeding any of them in stringency, for the purpose of accommodating this State's construction code to the needs of the State and its various regions, particularly with respect to encouraging the provision of housing affordable to persons and families of low and moderate income.
d. The commissioner shall, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), promulgate the code prescribed in subsection a. of this section within six months of the effective date of this act; or, if he finds it impracticable to do so, shall make a written report to the Legislature setting forth the grounds of the impracticability and making such recommendations for further legislative action as he may deem likely to remove those grounds. Within the same period of time the commissioner shall also make his report and recommendations to the Legislature on the study directed by subsection c. of this section.
##### **§ 52:27D-123.9** Definitions relative to playground safety. {#sec-52-27d-123.9 omnilex-key=us-nj-statutes--title-52--52:27D-123.9}
1. For the purposes of P.L.1999, c.50 (C.52:27D-123.9 et seq.):
"Completely inclusive playground" means a playground designated for public use for children two to five years of age or five to twelve years of age, with an accessible playground surface, a playground surface inspection and maintenance schedule consistent with the standards detailed in the "Americans with Disabilities Act of 1990" (42 U.S.C. s.12101 et seq.), and designed in accordance with the rules and regulations adopted pursuant to subsection b. of section 2 of P.L.1999, c.50 (C.52:27D-123.10).
"Governmental Entity" means the State, its agencies and instrumentalities, a county or municipality, or any agency or instrumentality thereof, a school district, or any other similar public entity or agency, but not the federal government or its agencies and instrumentalities.
"Nonprofit entity" means a person or entity which operates a playground open to the public or open to users of a facility operated by the person or entity, and which is an exempt organization pursuant to section 9 of P.L.1966, c.30 (C.54:32B-9), the "Sales and Use Tax Act," but not a governmental entity or the federal government or its agencies and instrumentalities.
"Private entity" means any person or entity which operates a playground open to the public or open to users of a facility operated by the person or entity, but not a governmental entity, a nonprofit entity or the federal government or its agencies and instrumentalities.
"Playground" means an improved area designed, equipped, and set aside for play of six or more children which is not intended for use as an athletic playing field or athletic court, and shall include any play equipment, surfacing, fencing, signs, internal pathways, internal land forms, vegetation, and related structures.
"Supervision" means all general and specific supervision necessary to protect children from unreasonable risk of harm from site hazards, the acts of other children, or the use of the playground in a way that was not intended by the designer or manager of the playground. P.L.1999, c.50 (C.52:27D-123.9 et seq.) shall not expand or reduce existing standards of care to which a playground operator is held.
##### **§ 52:27D-123.10** Rules, regulations pertinent to playgrounds. {#sec-52-27d-123.10 omnilex-key=us-nj-statutes--title-52--52:27D-123.10}
2. a. The Department of Community Affairs, in consultation with the Department of Education, shall promulgate rules and regulations for the design, installation, inspection, and maintenance regarding all playgrounds operated by any governmental entity, nonprofit entity, or private entity. The regulations shall conform to the guidelines and criteria specified in the Handbook for Public Playground Safety produced by the United States Consumer Products Safety Commission or any successor and shall also meet any standard of care imposed by law on playground operators. The rules and regulations shall include special provisions for playgrounds appropriate for children within the range of ages in day care settings. The rules and regulations promulgated pursuant to this subsection shall not apply to completely inclusive playgrounds.
b. (1) The Department of Community Affairs, in consultation with the Department of Education, shall promulgate rules and regulations for the design, installation, inspection, and maintenance of completely inclusive playgrounds. Only playgrounds that meet the requirements of the rules and regulations promulgated pursuant to this subsection shall be deemed completely inclusive playgrounds for the purposes of P.L.2018, c.104 (C.13:8C-27.1 et al.). The rules and regulations shall:
(a) conform to the guidelines and criteria which are contained in the Handbook for Public Playground Safety produced by the United States Consumer Products Safety Commission or any successor, and meet any standard of care imposed by law on playground operators;
(b) include special provisions for completely inclusive playgrounds appropriate for children within the range of ages in day care settings;
(c) meet the standards of the "Americans with Disabilities Act of 1990" (42 U.S.C. s.12101 et seq.), result in the inclusion of people with disabilities, including children and adults, and require that park and playground areas enable every visitor, regardless of medical condition, to engage in the park and playground experience;
(d) meet the standards required under the barrier free subcode, adopted pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.); and
(e) at a minimum, require accessible playground surfacing, access ramps leading up to and within play structures so that a minimum of 50 percent of the elevated play elements on all structures are accessible to people using wheeled mobility devices, and play structures designed to facilitate access by adults and children with disabilities.
(2) The rules and regulations promulgated pursuant to this subsection shall also include, but shall not be limited to, the following:
(a) the creation of accessible parking, including the installation of a curb cut, if only on-street parking is available;
(b) the creation of routes of access to playground and related facilities;
(c) the use of unitary surfacing in all areas of the playground to allow the maximum possible access to the playground for people using wheeled mobility devices;
(d) a process for determining which restroom facilities shall be adapted to ensure that families with older children or children with large adaptive equipment have a safe place to provide toileting needs for their children;
(e) shade requirements, which shall provide that a minimum of 20 percent of the square footage of unitary surface and equipment of the playground is shaded by natural or other means;
(f) fencing requirements;
(g) the use of play components that address the physical, sensory, cognitive, social, emotional, imaginative, and communication needs of those who will visit the playground;
(h) the creation of quiet play areas; and
(i) the creation of ramps and transfer points on playground equipment.
(3) A playground that has been completed as of the effective date of P.L.2018, c.104 (C.13:8C-27.1 et al.) may qualify as a completely inclusive playground if it includes unitary surfacing and fencing, at least 50 percent elevated play elements or changes in topographical elevations that function as elevated play elements, and otherwise meets the standards required by the "Americans with Disabilities Act of 1990" (42 U.S.C. s.12101 et seq.).
(4) Within 90 days of the effective date of P.L.2018, c.104 (C.13:8C-27.1 et al.), and prior to proposing a rule in the New Jersey Register, the Commissioner of Community Affairs shall invite and receive recommendations regarding the adoption of rules and regulations making completely inclusive playgrounds available to persons of all ages and abilities from organizations, playground equipment manufacturers, playground safety consultants, and persons with disabilities with a demonstrated expertise in the design and construction of completely inclusive playgrounds or with a demonstrated expertise in the implementation of accessibility standards. The commissioner shall adopt the recommendations, unless the commissioner determines the recommendations are inconsistent with the intent and purpose of P.L.2018, c.104 (C.13:8C-27.1 et al.), or are otherwise unfeasible. A recommendation shall not be considered unfeasible if it is demonstrated that the recommendation may be implemented through the use of commercially available equipment. The rules and regulations required by this subsection shall be proposed within 180 days of the effective date of P.L.2018, c.104 (C.13:8C-27.1 et al.), and shall be adopted within one year of the effective date of P.L.2018, c.104 (C.13:8C-27.1 et al.).
c. The department shall not be responsible for enforcement of any rules or regulations promulgated by P.L.1999, c.50 (C.52:27D-123.9 et seq.), unless the department is otherwise responsible for enforcement pursuant to P.L.1975, c.217 (C.52:27D-119 et seq.).
##### **§ 52:27D-123.11** Upgrading of playgrounds. {#sec-52-27d-123.11 omnilex-key=us-nj-statutes--title-52--52:27D-123.11}
3. a. All governmental entities operating playgrounds shall upgrade their playgrounds by replacement or improvement as necessary to satisfy the rules and regulations promulgated pursuant to this act to the extent State funds are made available specifically for that purpose through State bonds or other means, or within five years for surfacing and eight years for all other elements whichever comes first, after the effective date of those rules and regulations promulgated pursuant to P.L.1999, c.50 (C.52:27D-123.9 et seq.).
All private entities shall upgrade their playgrounds by replacement or improvement as necessary to satisfy the rules and regulations promulgated pursuant to this act within five years for surfacing, and within eight years for all other elements, following the effective date of those rules and regulations promulgated pursuant to P.L.1999, c.50 (C.52:27D-123.9 et seq.).
All nonprofit entities shall upgrade the surfacing of their playgrounds by replacement or improvement as necessary to satisfy the rules and regulations promulgated pursuant to this act, on or before five years following the effective date of those rules and regulations promulgated pursuant to P.L.1999, c.50 (C.52:27D-123.9 et seq.), and shall upgrade all other elements of their playgrounds to satisfy the rules and regulations promulgated pursuant to this act, no later than 15 years following the effective date of those rules and regulations promulgated pursuant to P.L.1999, c.50 (C.52:27D-123.9 et seq.), but shall upgrade playground equipment prior to that date if the equipment is replaced or reconstructed. This section shall not affect the liability or absence of liability of playground operators.
b. All newly constructed playgrounds built by a governmental entity, a nonprofit entity, or a private entity more than six months after the effective date of the rules and regulations promulgated pursuant to this act shall conform to the requirements of those rules and regulations.
##### **§ 52:27D-123.12** Conformity to rules, regulations required for receipt of State funding. {#sec-52-27d-123.12 omnilex-key=us-nj-statutes--title-52--52:27D-123.12}
4. a. Except in connection with the upgrading of a playground as provided in subsection a. of section 3 of P.L.1999, c.50 (C.52:27D-123.11), after the effective date of the rules and regulations promulgated pursuant to this act, no State funding shall be available for the planning, development, or redevelopment of any playground, unless the playground, after completion of the State-funded project, will conform to the applicable rules and regulations promulgated pursuant to this act. If, however, State funds have been appropriated to, or allocated for, a playground project prior to the effective date of the regulations but the regulations become effective prior to the completion of the project, that funding shall be maintained, as long as the playground is altered to conform to the rules and regulations to the extent the alterations can be made without adding more than 15% to the project cost.
b. After the date by which an entity is required to conform its playground to satisfy the rules and regulations promulgated pursuant to this act, no State funding shall be available for the construction, operation, maintenance, or supervision of the playground unless the playground conforms to the applicable regulations adopted pursuant to this act.
##### **§ 52:27D-123.13** Automatic rain sensor, sprinkler, override irrigation cycle after adequate rainfall, required. {#sec-52-27d-123.13 omnilex-key=us-nj-statutes--title-52--52:27D-123.13}
1. a. An automatic lawn sprinkler system installed after September 8, 2000 shall be equipped with an operational automatic rain sensor or a smart sprinkler.
b. As used in this section:
"Automatic rain sensor" means a device or switch that will override the irrigation cycle of an automatic lawn sprinkler system when adequate rainfall has occurred.
"Smart sprinkler" means an Internet connected device that monitors the weather, soil moisture, and other conditions to calculate and automatically adjust the watering schedule of an automatic lawn sprinkler system.
##### **§ 52:27D-123.13a** Definitions. {#sec-52-27d-123.13a omnilex-key=us-nj-statutes--title-52--52:27D-123.13a}
2. As used in sections 3 through 6 of P.L.2023, c.299 (C.52:27D-123.13b through 52:27D-123.13e):
"Automatic rain sensor" means a device or switch that will override the irrigation cycle of an automatic lawn sprinkler system when adequate rainfall has occurred.
"Common interest community" means a horizontal property regime, condominium, homeowner association, cooperative, or mutual housing corporation, in which some of the property, commonly known as "common elements" or "common areas," are owned or controlled by the unit or association owners or members.
"Smart sprinkler" means an Internet connected device that monitors the weather, soil moisture, and other conditions to calculate and automatically adjust the watering schedule of an automatic lawn sprinkler system.
##### **§ 52:27D-123.13b** Real property, contract of sale, automatic lawn sprinkler system, operational automatic rain sensor, smart sprinkler, monies in escrow, required. {#sec-52-27d-123.13b omnilex-key=us-nj-statutes--title-52--52:27D-123.13b}
3. a. No later than three years after the effective date of P.L.2023, c.299 (C.52:27D-123.13a et al.), every contract of sale of real property upon which an operable automatic lawn sprinkler system was installed on or prior to September 8, 2000 shall include a provision requiring, as a condition of the sale, the installation of an operational automatic rain sensor or a smart sprinkler or the deposit of monies in escrow in an amount sufficient to cover the costs of the installation of an operational automatic rain sensor or a smart sprinkler.
b. Closing of title on the sale of any real property shall not occur unless documentation is provided demonstrating the installation of an operational automatic rain sensor or smart sprinkler or the deposit of monies in escrow as required by subsection a. of this section. At closing, the buyer and seller both shall certify in writing that the requirements of this subsection have been met.
c. The provisions of this subsection shall not apply to the closing of title on the sale of property within a common interest community.
d. No later than 60 days after the effective date of P.L.2023, c.299 (C.52:27D-123.13a et al.), a person with a business permit issued by the New Jersey Board of Landscape Irrigation Contractors, pursuant to the "Landscape Irrigation Contractor Certificate Act of 1991," P.L.1991, c.27 (C.45:5AA-1 et seq.), engaging in the business of landscape irrigation on a property upon which an automatic lawn sprinkler system was installed on or prior to September 8, 2000, shall be required to provide notice, to all past and present clients, of the provisions of subsection a. of this section, requiring the installation, by such person, of an operational automatic rain sensor or a smart sprinkler, or the deposit of monies in escrow in an amount sufficient to cover the costs of the installation of an operational automatic rain sensor or a smart sprinkler.
e. Failure to comply with the requirements of this section shall neither defeat nor impair the title conveyed.
##### **§ 52:27D-123.13c** Compliance, violations, fines. {#sec-52-27d-123.13c omnilex-key=us-nj-statutes--title-52--52:27D-123.13c}
4. An owner who sells any property that is subject to, but that fails to comply with, the provisions of section 3 of P.L.2023, c.299 (C.52:27D-123.13b) shall be subject to a fine of not more than $500 to be collected in a civil action by a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). The local enforcing agency shall designate appropriate personnel to ensure compliance with the provisions of section 3 of P.L.2023, c.299 (C.52:27D-123.13b), and to facilitate the enforcement thereof and the appropriate imposition of any associated penalties for violations thereof, as set forth in this section.
##### **§ 52:27D-123.13d** Automatic lawn sprinkler system, common interest community, retrofitting, rain sensor, smart sprinkler. {#sec-52-27d-123.13d omnilex-key=us-nj-statutes--title-52--52:27D-123.13d}
5. Within 24 months after the date of enactment of P.L.2023, c.299 (C.52:27D-123.13a et al.), an automatic lawn sprinkler system installed on or prior to September 8, 2000 in a common interest community shall be retrofitted with an operational automatic rain sensor or smart sprinkler.
##### **§ 52:27D-123.13e** Automatic lawn sprinkler system, commercial, retail, industrial property, retrofitting, rain sensor, smart sprinkler. {#sec-52-27d-123.13e omnilex-key=us-nj-statutes--title-52--52:27D-123.13e}
6. Within 12 months after the date of enactment of P.L.2023, c.299 (C.52:27D-123.13a et al.), an automatic lawn sprinkler system installed on or prior to September 8, 2000 on any commercial, retail, or industrial property shall be retrofitted with an operational automatic rain sensor or smart sprinkler.
##### **§ 52:27D-123.14** Dimensional requirements for certain elevators. {#sec-52-27d-123.14 omnilex-key=us-nj-statutes--title-52--52:27D-123.14}
1. Notwithstanding any law, rule, or regulation to the contrary, within 180 days of the effective date of P.L.2015, c.21, the commissioner shall modify the code pertaining to elevators to require that at least one elevator be of such an arrangement to accommodate an ambulance stretcher 24 inches by 84 inches in the horizontal, open position with not less than 5-inch radius corners when installed in any newly-constructed buildings four or more stories above grade, or four or more stories below grade plane, for which a construction permit is issued subsequent to the effective date of the regulations promulgated pursuant to this section. The commissioner shall require such elevators to bear markings to identify its designation for use by emergency medical services consistent with national standards for such markings. This act shall not apply to one- and two- family residences.
##### **§ 52:27D-123.15** Adaptability requirement; design standards. {#sec-52-27d-123.15 omnilex-key=us-nj-statutes--title-52--52:27D-123.15}
5. a. Any new construction for which an application for a construction permit has not been declared complete by the enforcing agency before the effective date of P.L.2005, c.350 (C.52:27D-311a et al.) and for which credit is sought pursuant to P.L.1985, c. 222 (C.52:27D-301 et al.) on or after the effective date of P.L.2005, c.350 (C.52:27D-311a et al.) shall be adaptable; however, elevators shall not be required in any building or within any dwelling unit for the purposes of P.L.2005, c.350 (C.52:27D-311a et al.). In buildings without elevator service, only ground floor dwelling units shall be required to be constructed to conform with the technical design standards of the barrier free subcode in order to be credited pursuant to P.L.1985, c.222 (C.52:27D-301 et al.).
b. Notwithstanding the exemption for townhouse dwelling units in the barrier free subcode, the first floor of all townhouse dwelling units and of all other multifloor dwelling units for which credit is sought pursuant to P.L.1985, c. 222 (C.52:27D-301 et al.) on or after the effective date of P.L.2005, c.350 (C.52:27D-311a et al.) and for which an application for a construction permit has not been declared complete by the enforcing agency pursuant to P.L.2005, c.350 (C.52:27D-311a et al.), shall be subject to the technical design standards of the barrier free subcode and shall include the following features:
(1) an adaptable entrance to the dwelling unit;
(2) an adaptable full service bathroom on the first floor;
(3) an adaptable kitchen on the first floor;
(4) an accessible interior route of travel; and
(5) an adaptable room with a door or a casing where a door can be installed which may be used as a bedroom on the first floor.
c. (1) Full compliance with the requirements of this section shall not be required where an entity can demonstrate that it is site impracticable to meet the requirements. Full compliance shall be considered site impracticable only in those rare circumstances when the unique characteristics of terrain prevent the incorporation of accessibility features.
(2) If full compliance with this section would be site impracticable, compliance with this section for any portion of the dwelling shall be required to the extent that it is not site impracticable.
d. In the case of a unit or units which are constructed with an adaptable entrance pursuant to subsection c. of this section, upon the request of a disabled person who is purchasing or will reside in the dwelling unit, an accessible entrance shall be installed. Additionally, the builder of the unit or units shall deposit sufficient funds to adapt 10 percent of the affordable units in the project which have not been constructed with accessible entrances with the municipality in which the units are located, for deposit into the municipal affordable housing trust fund. These funds shall be available for the use of the municipality for the purpose of making the adaptable entrance of any such affordable unit accessible when requested to do so by a person with a disability who occupies or intends to occupy the unit and requires an accessible entrance.
For the purposes of this section:
"Adaptable," as used with regard to an entrance, means that the plans for the unit include a feasible building plan to adapt the entrance so as to make the unit accessible.
"Disabled person" means "disabled person" as defined in section 4 of P.L.1985, c.222 (C.52:27D-304).
"Ground floor" means the first floor with a dwelling unit or portion of a dwelling unit, regardless of whether that floor is at grade. A building may have more than one ground floor.
"Site impracticable" means having the characteristic of "site impracticability" as set forth in section 100.205 (a) of title 24, Code of Federal Regulations.
##### **§ 52:27D-123.16** Rules, regulations relative to home elevations. {#sec-52-27d-123.16 omnilex-key=us-nj-statutes--title-52--52:27D-123.16}
2. a. The Department of Community Affairs shall promulgate rules and regulations setting forth standards, methods, procedures and other requirements that must be followed in performing home elevations. A home elevation contractor, as defined in section 2 of P.L.2004, c.16 (C.56:8-137), shall comply with the standards, methods, procedures and any other requirements for home elevation projects as specified in rules and regulations promulgated by the Department of Community Affairs.
b. No home elevation contractor shall perform a home elevation unless the contractor or a person the contractor employs has a minimum of five years of experience in home elevation. For the purposes of this subsection, experience in home elevation shall include both experience in working directly on home elevation projects and training in the operation of home elevation equipment.
c. At the time the home elevation contractor applies for a permit to perform a home elevation, the home elevation contractor shall certify that the home elevation contractor is in compliance with P.L.2014, c.34 (C.56:8-138.2 et al.) and any regulations promulgated thereunder, which certification shall be submitted with the permit application in a form prescribed by the Department of Community Affairs.
d. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the Division of Codes and Standards in the Department of Community Affairs may adopt immediately upon filing with the Office of Administrative Law any rules and regulations deemed necessary to implement the provisions of subsection a. of this section, which shall be effective for a period not to exceed 270 days following the date of enactment of P.L.2014, c.34 (C.56:8-138.2 et al.), and may thereafter be amended, adopted, or readopted, by the division in accordance with the requirements of the "Administrative Procedure Act."
##### **§ 52:27D-123.17** Rules, regulations. {#sec-52-27d-123.17 omnilex-key=us-nj-statutes--title-52--52:27D-123.17}
2. On or before the first day of the seventh month next following the enactment of P.L.2019, c.490 (C.40:55D-66.17 et al.), the Commissioner of Community Affairs shall promulgate rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), or publish a regulatory guidance document, pursuant to section 1 of P.L.2011, c.215 (C.52:14B-3a), or both, in order to provide construction code officials, developers, and prospective owners and occupants with enhanced technical assistance on acceptable approaches to constructing and siting tiny homes. The rules and regulations or regulatory guidance document shall include, but not be limited to, the following:
a. the permitted approaches to tiny home construction in on-site construction projects governed under the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.);
b. the permitted approaches to pre-manufacturing tiny homes, including the construction of industrialized/modular buildings, regulated pursuant to P.L.1991, c.457 (C.32:33-1 et seq.), as tiny homes; and
c. the dimensional requirements for various types of rooms and residential structures, such as bedrooms and staircases, and an explanation of any residential uses that may be precluded by the dimensional requirements.
##### **§ 52:27D-123.18** Rules, regulations. {#sec-52-27d-123.18 omnilex-key=us-nj-statutes--title-52--52:27D-123.18}
9. a. The Commissioner of Community Affairs shall adopt, pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.), a list of approved uses, and use conditions or use limits, if applicable, for substitutes, as defined pursuant to section 1 of P.L.2019, c.507 (C.26:2C-60).
b. Each substitute, use, use condition, or use limit in the list adopted pursuant to this section shall be:
(1) approved under the "Significant New Alternatives Policy" program in the United States Environmental Protection Agency pursuant to 42 U.S.C. s.7671k; or
(2) approved by the Department of Environmental Protection pursuant to section 2 of P.L.2019, c.507 (C.26:2C-61).
c. Notwithstanding the requirements set forth in paragraphs (1) and (2) of subsection b. of this section, for the State Uniform Construction Code, as applicable for the period from the effective date of P.L.2023, c.178 through the adoption of a subsequent publication of a relevant subcode of the State Uniform Construction Code, or December 31, 2026, whichever occurs first, the list of approved uses, and use conditions or use limits, if applicable, for substitutes, pursuant to subsection a. of this section, shall not prohibit, and no provision of the State building code or local code for that period may prohibit, or otherwise limit the use of a refrigerant designated as acceptable by the United States Environmental Protection Agency pursuant to and in accordance with 42 U.S.C. s.7671k, provided that the equipment using the refrigerant is listed and installed in accordance with the safety standards and use conditions published and imposed pursuant to 42 U.S.C. s.7671k.
##### **§ 52:27D-123.19** Solar-ready building, warehouses. {#sec-52-27d-123.19 omnilex-key=us-nj-statutes--title-52--52:27D-123.19}
1. a. Any newly constructed warehouse for which an application for a construction permit has not been declared complete by the enforcing agency before July 1, 2022, shall be a solar-ready building.
b. The Department of Community Affairs shall adopt, pursuant to section 5 of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-123) and the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations establishing standards for the design and construction of solar-ready buildings. The rules and regulations shall incorporate the provisions of the 2018 International Energy Conservation Code, Appendix CA, and any successor model code, concerning solar-ready zones.
c. For the purposes of this section:
"Solar-ready building" means a building that includes a solar-ready zone.
"Solar-ready zone" means a section of a roof or building overhang designated and reserved for the future installation of a solar photovoltaic or solar thermal system, which is at less 40 percent of the roof area calculated as the horizontally projected areas minus the area covered by skylights, occupied roof decks, vegetative roof areas, and mandatory access or set back areas required by the State Uniform Construction Code, or as otherwise provided in the 2018 International Energy Conservation Code, Appendix CA, and any successor model code, concerning solar-ready zones.
"Warehouse" means any building, room, structure, or facility of at least 100,000 square feet used primarily for the storage of goods intended for sale.
##### **§ 52:27D-123.20** Newly constructed townhouses, automatic fire sprinkling system installation; rules, regulations. {#sec-52-27d-123.20 omnilex-key=us-nj-statutes--title-52--52:27D-123.20}
1. a. Except as provided in subsection b. of this section, a newly constructed townhouse subject to the one- and two-family dwelling subcode, adopted by the Commissioner of Community Affairs pursuant to section 5 of P.L.1975, c.217 (C.52:27D-123), adopted as N.J.A.C.5:23-3.21, or succeeding subcode, for which an application for a construction permit has not been declared complete by the enforcing agency before the first day of the 13th month next following the date of enactment of P.L.2023, c.265 (C.52:27D-123.20), shall be installed with an automatic fire sprinkler system.
b. A newly constructed townhouse subject to the one- and two-family dwelling subcode, adopted by the Commissioner of Community Affairs pursuant to section 5 of P.L.1975, c.217 (C.52:27D-123), adopted as N.J.A.C.5:23-3.21, or succeeding subcode, shall not be subject to the requirement of subsection a. of this section if an application for a construction permit or an application for development has been submitted to a State, county, or municipal agency prior to the date of enactment of P.L.2024, c.42.
c. On or before the first day of the 12th month next following the date of enactment of P.L.2023, c.265 (C.52:27D-123.20), the Commissioner of Community Affairs shall adopt, pursuant to section 5 of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-123) and the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations to amend and supplement, as necessary, the one- and two-family dwelling subcode, and any other necessary components of the State Uniform Construction Code, to establish standards for the design and construction of townhouses to comply with P.L.2023, c.265 (C.52:27D-123.20). The rules and regulations shall incorporate the provisions of the 2021 International Residential Code, Section R313.1, or any successor model code, for the installation of an automatic fire sprinkler systems.
d. As used in this section:
"Automatic fire sprinkler system" means an integrated system of underground and overhead piping designed in accordance with fire protection engineering standards and shall include a suitable water supply. The portion of the system above the ground is a network of specially sized or hydraulically designed piping installed in a structure or area, generally overhead, and to which automatic sprinklers are connected in a systematic pattern. The system is generally activated by heat from a fire and discharges water over the fire area.
"Townhouse" means a single-family dwelling unit constructed in a group of three or more attached units in which each unit extends from foundation to roof and with a yard or public way on not less than two sides.
##### **§ 52:27D-124** Powers of the commissioner. {#sec-52-27d-124 omnilex-key=us-nj-statutes--title-52--52:27D-124}
6. The commissioner shall have all the powers necessary or convenient to effectuate the purposes of P.L.1975, c.217 (C.52:27D-119 et seq.), including, but not limited to, the following powers in addition to all others granted by P.L.1975, c.217 (C.52:27D-119 et seq.):
a. To adopt, amend and repeal, after consultation with the code advisory board, rules: (1) relating to the administration and enforcement of P.L.1975, c.217 (C.52:27D-119 et seq.) and (2) the qualifications or licensing, or both, of all persons employed by enforcing agencies of the State to enforce P.L.1975, c.217 (C.52:27D-119 et seq.) or the code, except that, plumbing inspectors shall be subject to the rules adopted by the commissioner only insofar as such rules are compatible with such rules and regulations, regarding health and plumbing for public and private buildings, as may be promulgated by the Public Health Council in accordance with Title 26 of the Revised Statutes.
b. To enter into agreements with federal and State of New Jersey agencies, after consultation with the code advisory board, to provide insofar as practicable (1) single-agency review of construction plans and inspection of construction and (2) intergovernmental acceptance of such review and inspection to avoid unnecessary duplication of effort and fees. The commissioner shall have the power to enter into such agreements although the federal standards are not identical with State standards; provided that the same basic objectives are met. The commissioner shall have the power through such agreements to bind the State of New Jersey and all governmental entities deriving authority therefrom.
c. To take testimony and hold hearings relating to any aspect of or matter relating to the administration or enforcement of P.L.1975, c.217 (C.52:27D-119 et seq.), including but not limited to prospective interpretation of the code so as to resolve inconsistent or conflicting code interpretations, and, in connection therewith, issue subpoenas to compel the attendance of witnesses and the production of evidence. The commissioner may designate one or more hearing examiners to hold public hearings and report on such hearings to the commissioner.
d. To encourage, support or conduct, after consultation with the code advisory board, educational and training programs for employees, agents and inspectors of enforcing agencies, either through the Department of Community Affairs or in cooperation with other departments of State government, enforcing agencies, educational institutions, or associations of code officials.
e. To study the effect of P.L.1975, c.217 (C.52:27D-119 et seq.) and the code to ascertain their effect upon the cost of building construction and maintenance, and the effectiveness of their provisions for insuring the health, safety, and welfare of the people of the State of New Jersey.
f. To make, establish and amend, after consultation with the code advisory board, such rules as may be necessary, desirable or proper to carry out his powers and duties under P.L.1975, c.217 (C.52:27D-119 et seq.).
g. To adopt, amend, and repeal rules and regulations providing for the charging of and setting the amount of fees for the following code enforcement services, licenses or approvals performed or issued by the department, pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.):
(1) Plan review, construction permits, certificates of occupancy, demolition permits, moving of building permits, elevator permits and sign permits; and
(2) Review of applications for and the issuance of licenses certifying an individual's qualifications to act as a construction code official, subcode official or assistant under P.L.1975, c.217 (C.52:27D-119 et seq.).
(3) (Deleted by amendment, P.L.1983, c.338)
h. To adopt, amend and repeal rules and regulations providing for the charging of and setting the amount of construction permit surcharge fees to be collected by the enforcing agency and remitted to the department to support those activities which may be undertaken with moneys credited to the Uniform Construction Code Revolving Fund.
i. To adopt, amend and repeal rules and regulations providing for:
(1) Setting the amount of and the charging of fees to be paid to the department by a private agency for the review of applications for and the issuance of approvals authorizing a private agency to act as an on-site inspection and plan review agency, a private on-site inspection agency, including a supplemental private on-site inspection agency, or an in-plant inspection agency;
(2) (Deleted by amendment, P.L.2005, c.212)
(3) (Deleted by amendment, P.L.2005, c.212)
j. To enforce and administer the provisions of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) and the code promulgated thereunder, and to prosecute or cause to be prosecuted violators of the provisions of that act or the code promulgated thereunder in administrative hearings and in civil proceedings in State and local courts.
k. To monitor the compliance of local enforcing agencies with the provisions of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.), to order corrective action, or issue penalties, as may be necessary where a local enforcing agency is found to be failing to carry out its responsibilities under that act, to supplant or replace the local enforcing agency for a specific project, and to order it dissolved and replaced by the department where the local enforcing agency repeatedly or habitually fails to enforce the provisions of the "State Uniform Construction Code Act." This shall include the power to compel an enforcing agency to, within 15 business days, notify the department of any instance where the enforcing agency is unable to meet a deadline or other obligation imposed by law or regulation, and the power to order corrective action or issue penalties as may be necessary where an enforcing agency is unable to meet its obligations under P.L.1975, c.217 (C.52:27D-119 et seq.).
l. To adopt, amend, and repeal rules and regulations implementing the provisions of P.L.1999, c.15, P.L.2003, c.44, and section 1 of P.L.2015, c.146 (C.52:27D-123f) concerning the installation and maintenance of carbon monoxide sensors.
##### **§ 52:27D-124a** Federal manufactured home safety and construction standards; administration and enforcement; reports {#sec-52-27d-124a omnilex-key=us-nj-statutes--title-52--52:27D-124a}
In accordance with the provisions of subsection b. of section 6 of P.L.1975, c. 217 (C. 52:27D-124b.) and with this act, the commissioner is authorized to administer and enforce federal manufactured home safety and construction standards pursuant to the "National Manufactured Home Construction and Safety Standards Act of 1974," Title VI of Pub.L. 93-383 (42 U.S.C. s. 5401 et seq.) and is empowered to do all things necessary to comply with that act and any regulations promulgated by the Secretary of the United States Department of Housing and Urban Development pursuant thereto. The commissioner shall make such reports to the secretary in such form and containing such information as the secretary may from time to time require.
##### **§ 52:27D-124b** Standards where no federal standard established; enforcement {#sec-52-27d-124b omnilex-key=us-nj-statutes--title-52--52:27D-124b}
Whenever the commissioner shall deem it necessary to establish standards concerning any manufactured or mobile home construction or safety issue with respect to which no federal standard has been established, such standards shall be those of a nationally recognized code or standards writing organization, and the commissioner shall have all of the powers of enforcement provided under the "State Uniform Construction Code Act," P.L.1975, c. 217 (C. 52:27D-119 et seq.).
##### **§ 52:27D-124c** Inspection of factory, warehouse, or place of sale; monitoring inspection fee {#sec-52-27d-124c omnilex-key=us-nj-statutes--title-52--52:27D-124c}
The commissioner, by his authorized representatives, may enter, at reasonable times, any factory, warehouse or establishment in which manufactured homes are manufactured, stored or held for sale, for the purpose of ascertaining whether the requirements of the federal manufactured home construction and safety standards and the regulations of the commissioner have been and are being met.
The commissioner shall establish a monitoring inspection fee in an amount established by the secretary, to be paid to the secretary by each manufacturer for each manufactured home manufactured in New Jersey.
##### **§ 52:27D-124d** Manufacturers, distributors and dealers; records, reports and provision of information; inspection {#sec-52-27d-124d omnilex-key=us-nj-statutes--title-52--52:27D-124d}
Each manufacturer, distributor, and dealer of manufactured homes shall establish and maintain such records, make such reports, and provide such information as the secretary may require to determine whether the manufacturer, distributor or dealer has acted or is acting in compliance with the "National Manufactured Home Construction and Safety Standards Act of 1974" and shall, upon request of a person duly designated by the secretary, permit such person to inspect appropriate books, papers, records and documents relevant to determining whether the manufacturer, distributor or dealer has acted or is acting in compliance with that act.
##### **§ 52:27D-124e** Violations; penalties; enforcement {#sec-52-27d-124e omnilex-key=us-nj-statutes--title-52--52:27D-124e}
a. Any person who violates any of the provisions of this section shall be liable for a civil penalty not to exceed $1,000.00 for each violation; to be payable to the commissioner. Each violation shall constitute a separate violation with respect to each manufactured home, except that the maximum penalty shall not exceed $1,000,000.00 for any related series of violations occurring within 1 year from the date of the first violation. Any person purposely or knowingly violating the provisions of this section in any manner which threatens the health or safety of any purchaser, shall be guilty of a crime of the fourth degree and shall, in addition to a civil penalty, be subject to a fine not to exceed $1,000.00 or imprisonment for a term not to exceed 1 year, or both. No person shall:
(1) Manufacture for sale, lease, sell, offer for sale, or lease, or introduce or deliver, or import into this State, any manufactured home manufactured on or after the effective date of any applicable federal manufactured home construction and safety standard which does not comply with such standard.
(2) Fail or refuse to permit access to or copying of records, or entry or inspection to ascertain compliance with federal standards as required by section 3 of this act or to make reports or provide information as required by section 4 of this act, or any rules or regulations adopted by the commissioner pursuant thereto.
(3) Fail to furnish notification of any defect as required by Pub.L. 93-383, s. 615 (42 U.S.C. s. 5414).
(4) Fail to issue a certification required by Pub.L. 93-383, s. 616 (42 U.S.C. s. 5415); or issue such a certification if such person in the exercise of due care had reason to know that such certification is false or misleading in a material respect.
(5) Fail to establish and maintain such records, make such reports, and provide such information as the commissioner may reasonably require to enable him to determine whether there is compliance with the "National Manufactured Home Construction and Safety Standards Act of 1974" , or fail to permit, upon request of a person duly authorized by the commissioner, inspection of appropriate books, papers, records and documents relative to determining whether a manufacturer, distributor or dealer has acted or is acting in compliance with the "National Manufactured Home Construction and Safety Standards Act of 1974."
(6) Issue a certification pursuant to Pub.L. 95-128, s. 902(a) (42 U.S.C. s. 5403(h)), if such person in the exercise of due care has reason to know that such certification is false or misleading in a material respect.
b. When a civil penalty levied by the commissioner pursuant to subsection a. of this section, has not been satisfied within 30 days of its levy, the penalty may be sued for, and recovered by and in the name of the commissioner, by a summary proceeding under "the penalty enforcement law" (N.J.S. 2A:58-1 et seq.) in the Superior Court.
c. Paragraph (1) of subsection a. hereof shall not apply to the sale or the offer for sale of any manufactured or mobile home after the first good faith purchase for purposes other than resale, or to any person who establishes that he did not have reason to know, in the exercise of due care, that the manufactured or mobile home is not in conformity with applicable federal standards, or to any person who holds a certificate issued by the manufacturer or importer of the manufactured or mobile home to the effect that the manufactured or mobile home conforms to all applicable federal standards, unless the person knows that the home does not so conform.
##### **§ 52:27D-124f** Rules and regulations {#sec-52-27d-124f omnilex-key=us-nj-statutes--title-52--52:27D-124f}
The commissioner may adopt such rules and regulations as he may deem necessary or appropriate in order to implement the provisions of this act.
##### **§ 52:27D-124g** Person aggrieved by ruling, action, order or notice; right to hearing {#sec-52-27d-124g omnilex-key=us-nj-statutes--title-52--52:27D-124g}
Any person aggrieved by any ruling, action, order, or notice of the commissioner pursuant to this act shall be entitled to a hearing pursuant to the "Administrative Procedure Act" (P.L.1968, c. 410, C. 52:14B-1 et seq.). The application for the hearing must be filed within 15 days of the receipt by the applicant thereof of notice of the ruling, action, order or notice complained of.
##### **§ 52:27D-124.1** Uniform construction code revolving fund {#sec-52-27d-124.1 omnilex-key=us-nj-statutes--title-52--52:27D-124.1}
There is established in the Department of Community Affairs, a nonlapsing, revolving fund to be known as the Uniform Construction Code Revolving Fund. All surcharge fees levied on new construction pursuant to section 6 of P.L.1975, c. 217, such moneys as may be appropriated by the State or Federal Government for inclusion in the fund, and such revenues as may be generated by departmental training, educational and instruction activities related to code enforcement shall be deposited in the fund.
Moneys appropriated from the fund shall be used to prepare and administer examinations to determine the eligibility of persons seeking to be employed by an enforcing agency, to establish and administer courses for the training of code, and subcode officials and assistants, and to reimburse in whole or in part, such persons as deemed eligible by the department, who have paid tuition for such training courses, and to disseminate information concerning the code and code rules and regulations, and changes made therein.
##### **§ 52:27D-124.2** Functions, etc. relating to energy subcode continued and transferred {#sec-52-27d-124.2 omnilex-key=us-nj-statutes--title-52--52:27D-124.2}
All of the functions, powers and duties heretofore exercised by the Department of Energy and the commissioner thereof pursuant to P.L.1977, c. 146 (C. 52:27F-1 et seq.) relating to the adoption, amendment and repeal of the energy subcode of the State Uniform Construction Code pursuant to P.L.1975, c. 217 (C. 52:27D-119 et seq.) and P.L.1977, c. 256 (C. 54:4-3.113 et seq.) are hereby transferred to and vested in the Department of Community Affairs and the commissioner thereof.
##### **§ 52:27D-124.3** Submittal of bid, proposal by private agency under local public contracts law. {#sec-52-27d-124.3 omnilex-key=us-nj-statutes--title-52--52:27D-124.3}
3. A proposal by a private agency to provide inspection or plan review services to a municipality to administer the provisions of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) shall be submitted in accordance with and shall be subject to the bidding and other provisions of the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.). A municipality shall require, as part of the bid specifications, that a private agency participate in whichever electronic system the municipality has elected to utilize. A municipality shall require as part of the bid specifications that a private agency submit a bid or proposal in terms of a percentage of the costs charged by the department when it serves as a local enforcement agency pursuant to section 10 of P.L.1975, c.217 (C.52:27D-128). A municipality may include in the fee charged by it for work done by private agencies an amount sufficient to cover a proportionate share of administrative costs incurred by the local enforcing agency in connection with inspections performed by private agencies.
##### **§ 52:27D-124.4** "Electronic Permit Processing Review System." {#sec-52-27d-124.4 omnilex-key=us-nj-statutes--title-52--52:27D-124.4}
1. a. The Commissioner of Community Affairs shall establish, develop, implement, and administer the "Electronic Permit Processing Review System." This electronic system shall be an Internet-based system allowing for the electronic submission of applications for construction permits, plans, and specifications pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.); for the electronic review and approval of applications, plans, and specifications; for the scheduling of inspections; and for the exchange of information between the applicant, the applicant's professionals, and the department or enforcing agency during the review process. The electronic system shall offer a permit applicant:
(1) the ability to submit the materials necessary for application review;
(2) the ability to submit requests for on-site inspection of a project;
(3) continuous, 24-hour accessibility for the submission of both scheduling requests and the materials necessary for the permit application review; and
(4) the ability to submit electronic signatures for all materials necessary for the permit application review, including all construction permits, plans, and specifications, and for the scheduling of inspections.
b. (1) Following the effective date of P.L.2021, c.70 (C.52:27D-124.4 et al.), the commissioner may make the electronic system accessible, and facilitate its use, through the acceptance of application materials and scheduling submissions, by:
(a) the department, with regard to applications for which the department approves plans and specifications pursuant to the "State Uniform Construction Code Act";
(b) local enforcing agencies; and
(c) private agencies providing plan review and inspection services.
(2) (a) Within one year following the effective date of P.L.2021, c.70 (C.52:27D-124.4 et al.), the commissioner shall fully implement the electronic system, and provide for its use, through the acceptance of application materials and scheduling submissions, by the department, with regard to applications for which the department approves plans and specifications pursuant to the "State Uniform Construction Code Act."
(b) Local enforcing agencies may elect to utilize the electronic system implemented by the department. In the alternative, a local enforcing agency may utilize a different electronic system, which system shall provide the same level of functionality as the system implemented by the department as enumerated in subsection a. of this section.
c. The commissioner shall provide training opportunities on the use of the electronic system for employees of local enforcing agencies and private agencies which provide plan review and inspection services.
d. (1) The commissioner shall, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt rules and regulations to govern the form and format of applications for construction permits, plans, and specifications and other information exchanged through the electronic system. Notwithstanding the requirement, pursuant to subsection b. of this section, to accept electronically submitted materials within one year following the effective date of P.L.2021, c.70 (C.52:27D-124.4 et al.), the commissioner shall have the discretion to establish different submission requirements, including non-electronic submissions as necessary, for large, complicated, or otherwise unusual construction projects, so long as the system is designed to accept approximately 80 percent of construction permit application submissions electronically.
(2) Notwithstanding any provisions of paragraph (1) of this subsection to the contrary, in accepting and reviewing a submission from a licensed plumbing, electrical, or heating, ventilating, air conditioning, and refrigeration contractor corresponding to the contractor’s discipline, including, but not limited to, a subcode application form, or a document supporting the application, such as submissions including shop drawings, or documents displaying the calculations necessary for compliance with the electrical, fire protection, or energy subcode, the department shall:
(a) accept electronic submissions; and
(b) not require the physical seal or signature of the contractor to be affixed to a subcode application form.
(3) The department shall not require physical copies of plans at the worksite of a licensed plumbing, electrical, or heating, ventilating, air conditioning, and refrigeration contractor to have an affixed physical seal if a facsimile of such a seal, such as an electronic seal, is provided.
e. The department may waive a contrary form and format requirement imposed by statute or ordinance or by the rules of another department or agency for the submission of information in physical form to the extent the waiver is necessary to facilitate the submission of the information electronically. The department shall accept an electronic reproduction of a signature, stamp, seal, certification, or notarization as the equivalent of the original or shall accept the substitution of identifying information for the signature, stamp, seal, certification, or notarization. The department shall not waive any other requirement.
f. The commissioner may adopt, amend, and repeal rules and regulations providing for the charging of and setting the amount of construction permit surcharge fees to be collected by an enforcing agency or private agency. Fees shall be remitted to the department to defray the cost of developing and administering the electronic system by local enforcing agencies that have elected to utilize the electronic system implemented by the department.
g. A person exchanging information through the electronic system in a form and format acceptable to the department is not subject to any licensing sanction, civil penalty, fine, permit disapproval, or revocation or other sanction for failure to comply with a form or format requirement imposed by statute, ordinance, or rule for submission of the information in physical form, including, but not limited to, any requirement that the information be in a particular form or of a particular size, be submitted with multiple copies, be physically attached to another document, be an original document or be signed, stamped, sealed, certified, or notarized.
h. As used in this section, "form and format" means the arrangement, organization, configuration, structure, or style of, or method of delivery for, providing required information or providing the substantive equivalent of required information. "Form and format" does not mean altering the substance of information or the addition or omission of information.
##### **§ 52:27D-124.5** Findings, declarations. {#sec-52-27d-124.5 omnilex-key=us-nj-statutes--title-52--52:27D-124.5}
1. The Legislature finds and declares that:
a. New Jersey has adopted a goal of 100 percent clean energy by 2035.
b. Simplifying and enhancing the ability of New Jersey residents to install and use solar energy systems and home batteries is an essential component of the State’s ability to attain this clean energy goal.
c. Residential energy bills in New Jersey are among the highest in the country, imposing significant financial burdens upon New Jersey residents and thereby exacerbating the State’s housing affordability crisis.
d. Installation and use of rooftop solar energy systems is one way to enable New Jersey residents to significantly reduce residential electricity bills and thereby make housing more affordable.
e. Vestiges of outdated, overly bureaucratic permitting requirements for installation of solar energy systems within New Jersey cause residents to significantly delay installation efforts and significantly increase costs incurred in installing residential solar energy storage systems across the State.
f. New Jersey has the fifth-slowest known solar permitting timelines of any state in the country.
g. The Solar Energy Industries Association has estimated that permitting and other bureaucratic barriers within New Jersey typically increase the cost of installing a residential solar energy system by $6,000 to $7,000.
h. The installation costs for a residential solar energy system in the United States are approximately double the installation costs in Europe, largely because Europe has virtually eliminated permitting and other bureaucratic barriers.
i. Approximately one in five residential solar energy installation projects are cancelled after submission of an application for a permit which, according to solar energy system installers, is largely a direct result of frustration experienced in attempting to maneuver through New Jersey’s permitting processes.
j. It has been reported that contractors who are in the business of installing residential solar energy systems and home batteries within New Jersey avoid entering into contracts to install systems within municipalities that impose especially burdensome permitting requirements and processes.
k. Hundreds of jurisdictions across the country, representing approximately 25 percent of the national market, have removed permitting barriers to the installation of residential solar energy systems and home energy battery storage by automating the permitting process.
l. Residential solar and home energy storage projects that receive automated permits pass inspections at similar rates to residential solar and home energy storage projects that receive traditional permits.
m. Automated permitting has the potential to reduce the costs of residential solar energy systems, reduce installation timelines, and reduce cancellations, all of which will enable more families to install solar on their roofs and batteries in their garages.
##### **§ 52:27D-124.6** State Smart Solar Permitting Platform, definitions. {#sec-52-27d-124.6 omnilex-key=us-nj-statutes--title-52--52:27D-124.6}
2. a. As used in this section:
"Department" means the Department of Community Affairs.
"Enforcing agency" means the municipal or county construction official and subcode officials provided for in section 8 of P.L.1975, c.217 (C.52:27D-126), or section 1 of P.L.2018, c.157 (C.52:27D-126.8) regarding a pilot county in the "County Code Enforcement Pilot Program," and assistants thereto.
"Form and format" means the arrangement, organization, configuration, structure, or style of, or method of delivery for, providing required information or providing the substantive equivalent of required information. "Form and format" does not mean altering the substance of information or the addition or omission of information.
"State Smart Solar Permitting Platform" means an Internet-based platform that uses the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.), to conduct a compliance review, automates plan review, issues approval for only code-compliant plans, and instantly releases a permit or permit revision upon the receipt of a code-compliant application to construct a residential solar energy system.
b. (1) The Commissioner of Community Affairs shall establish, develop, implement, and administer the State Smart Solar Permitting Platform for the purpose of automatically performing plan review of applications to construct a residential solar energy system and to instantly release a permit or permit revision to construct a code-compliant residential solar energy system. The commissioner shall fully implement the State Smart Solar Permitting Platform so that the platform is available for use by the department, enforcing agencies, and contractors prior to the first day of the 18th month next following the date of enactment of P.L.2025, c.174 (C.52:27D-124.5 et seq.).
(2) The State Smart Solar Permitting Platform shall:
(a) perform robust code compliance checks using algorithms to evaluate characteristics of the proposed residential solar energy system to determine whether the proposed system aligns with the requirements of the State Uniform Construction Code;
(b) issues approval for only code-compliant construction documents to be used for the inspection of a residential solar energy system and for recordkeeping purposes consistent with the requirements of the State Uniform Construction Code;
(c) instantly release permits and permit revisions to construct a residential solar energy system only upon automated confirmation that the permit application was submitted by a licensed contractor, licensed architect, or licensed engineer and that accompanying materials, including, but not limited to, plans and computations, were prepared by licensed individuals as required under relevant law or regulation, including licensed architects, licensed contractors, or licensed engineers, where required and as applicable, and are consistent with the requirements of the State Uniform Construction Code;
(d) be designed to process permit applications for, at a minimum, approximately 75 percent of residential rooftop solar energy systems that: weigh less than or are equal to four pounds per square foot, provide electrical power to detached one- and two-family dwellings, and comply with State Uniform Construction Code requirements for installation on an existing residential structure;
(e) provide users with the ability to submit an application to construct a residential solar energy system 24 hours a day, except when the platform is down for an upgrade or maintenance;
(f) be provided to the department at no-cost or low-cost if a third party provides, or third parties provide, the State Smart Solar Permitting Platform to the department;
(g) allow the use of digital signatures, stamps, seals, or certifications on all applications and submitted materials necessary for issuance of a permit;
(h) provide customer service to assist users navigating the platform;
(i) be able to process permit applications for residential solar energy systems and associated equipment including, but not necessarily limited to, photovoltaic panels, energy storage systems, main electrical panel upgrades, and main breaker derates; and
(j) be able to make updates as necessary to conform with changes to the State Uniform Construction Code or other applicable State law.
c. (1) The commissioner’s implementation of the State Smart Solar Permitting Platform shall provide access to the platform, and facilitate use of the platform, by the department, local enforcing agencies, private agencies that provide plan review and inspection services, and contractors engaged in the installation of residential solar energy systems.
(2) (a) Within 18 months following the effective date of P.L.2025, c.174 (C.52:27D-124.5 et seq.), the commissioner shall implement the State Smart Solar Permitting Platform and provide for its use by the department, enforcing agencies, and contractors.
(b) A local enforcing agency shall either allow for the submission of applications to construct a residential solar energy system through the State Smart Solar Permitting Platform or through an alternative automated solar permitting platform that satisfies the requirements set forth in subsection b. of this section in an equivalent manner as the State Smart Solar Permitting Platform implemented by the department. A local enforcing agency that implements an alternative automated solar permitting platform shall enable access to the alternative platform prior to the first day of the 24th month next following the effective date of P.L.2025, c.174 (C.52:27D-124.5 et seq.). A local enforcing agency that implements an alternative automated solar permitting platform shall not require an applicant to submit documentation that is not required through the State Smart Solar Permitting Platform.
(c) A local enforcing agency that allows for the submission of residential solar energy system applications through the State Smart Solar Permitting Platform shall, within two years following the effective date of P.L.2025, c.174 (C.52:27D-124.5 et seq.), revise its permitting fee schedule to reflect any reduction in resources expended to permit residential solar energy systems.
d. (1) A local enforcing agency that does not allow for the submission of applications to construct a residential solar energy system through the State Smart Solar Permitting Platform shall submit a compliance report to the department within 60 days of the local enforcing agency’s implementation of an alternative automated solar permitting platform. The department may establish guidelines for submission of a local compliance report. A local compliance report shall include, but may not be limited to:
(a) the date of compliance;
(b) the software used for compliance;
(c) documentation demonstrating that the alternative automated solar permitting platform implemented by the local enforcing agency satisfies the requirements set forth in subsection b. of this section in an equivalent manner as the platform implemented by the department.
(2) If the department determines that documentation submitted with a local compliance report pursuant to subparagraph (c) of paragraph (1) of this subsection is insufficient to verify that the platform satisfies the requirements set forth in subsection b. of this section in an equivalent manner as the platform implemented by the department, the local enforcing agency shall provide the department, at the department’s request, access to the platform.
(3) The department shall provide public access to local compliance reports on the department’s Internet website.
e. (1) A local enforcing agency that implements an alternative automated solar permitting platform pursuant to this section shall, commencing with April 1, 2027, submit an annual report to the department. The department may establish guidelines for annual reports required under this paragraph. An annual report shall include, but shall not be limited to:
(a) the number of permits released by the enforcing agency for residential solar energy systems through the alternative automated solar permitting platform and relevant characteristics of those systems;
(b) the number of permits released by the enforcing agency for residential solar energy systems through means other than the alternative automated solar permitting platform and relevant characteristics of those systems;
(c) documentation demonstrating that the alternative automated solar permitting platform satisfies the requirements set forth in subsection b. of this section in an equivalent manner as the platform implemented by the department.
(2) If the department determines that documentation submitted pursuant to subparagraph (c) of paragraph (1) of this subsection is insufficient to verify that the alternative automated solar permitting platform meets the requirements set forth in subsection b. of this section in an equivalent manner as the platform implemented by the department, the local enforcing agency shall provide the department, at the department’s request, access to the platform.
(3) The department shall provide public access to annual reports on the department’s Internet website.
f. If the department determines that a local enforcing agency has failed to allow for the submission of applications to construct a residential solar energy system through either the State Smart Solar Permitting Platform or through an alternative automated solar permitting platform as required pursuant to this section or is otherwise not in compliance with this section, the department may, in its sole discretion, condition or deny direct funding to a local unit from any program it administers .
g. The commissioner shall provide training opportunities on the use of the State Smart Solar Permitting Platform for employees of local enforcing agencies.
h. The commissioner shall, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), adopt rules and regulations to govern the form and format of applications for permits, approval documents, specifications and other information exchanged through the State Smart Solar Permitting Platform.
i. The department shall waive requirements related to physical signatures, stamps, seals, certifications, or notarization imposed by statute, ordinance, or rules of the department, or another department or agency, in order for the State Smart Solar Permitting Platform to accept the permit application and release the permit as long as the permit application contains a digital signature, stamp, seal, or certification.
j. The commissioner may adopt, amend, and repeal rules and regulations providing for the charging of, and setting the amount of, solar permit surcharge fees to be collected by an enforcing agency or private agency. A local enforcing agency shall remit to the department all monies collected by the agency through solar permit surcharge fees to defray the cost of developing and administering the State Smart Solar Permitting Platform.
k. A person exchanging information through either the State Smart Solar Permitting Platform or through an alternative automated solar permitting platform in a form and format acceptable to the department shall not be subject to a licensing sanction, civil penalty, fine, permit disapproval, revocation, or other sanction for failure to comply with a form or format requirement imposed by statute, ordinance, or rule that requires submission of the information in physical form, including, but not limited to, any requirement that the information be in a particular form or of a particular size, be submitted with multiple copies, be physically attached to another document, be an original document, or be signed, stamped, sealed, certified, or notarized.
l. Neither a public entity nor a public employee shall be held liable under N.J.S.59:2-5 or other applicable provision of law for injury caused by release of a permit through the State Smart Solar Permitting Platform.
m. The Department of Community Affairs, in consultation with the Board of Public Utilities and the Office of Innovation or successor agency, shall issue a request for the development of the State Smart Solar Permitting Platform consistent with the requirements of subsection b. of this section. In addition to any other requirements that the Department of Community Affairs may deem appropriate, the request for proposal shall:
(1) incorporate the standards developed pursuant to subsection b. of this section; and
(2) require all bidders to demonstrate experience in the development of one or more Internet-based automated permit review platforms.
##### **§ 52:27D-125** Code advisory board. {#sec-52-27d-125 omnilex-key=us-nj-statutes--title-52--52:27D-125}
7. a. To assist and advise the commissioner in the administration of P.L.1975, c.217 (C.52:27D-119 et seq.) there is hereby created in the Department of Community Affairs a code advisory board to consist of 15 citizens to be appointed by the commissioner for a term of 4 years. The board shall consist of: one architect registered in the State of New Jersey; two professional engineers licensed by the State of New Jersey, one of whom shall be a mechanical engineer and one of whom shall be a structural engineer; one municipal building official; one member of the building industry in the State; one public health official in the State; one licensed plumbing inspector in the State; one licensed electrical inspector in the State; one fire prevention inspector in the State; and six members of the public, two of whom shall be experienced in representing consumers and one of whom shall be a representative of persons with disabilities who shall serve as chair of the subcode committee on persons with disabilities. The initial appointment of the representative of persons with disabilities shall be used to fill the first vacancy among the public members of the code advisory board occurring on or after the effective date of P.L.1981, c.35. Of the 13 members first appointed the commissioner shall designate the appointees' terms so that three shall be appointed for terms of 1 year, three for terms of two years, three for terms of three years and four for terms of four years, and that the two additional members first appointed by the commissioner pursuant to P.L.1976, c.117 shall be appointed for two years and three years respectively with such terms to be computed from February 4, 1976. Thereafter, members of the code advisory board shall be appointed for terms of four years.
b. Code advisory board members shall serve without compensation but shall be entitled to reimbursement for expenses incurred in performance of their duties. Vacancies on the advisory board shall be filled for the unexpired term. Members may be removed by the commissioner for cause.
c. The code advisory board shall appoint a committee for each subcode and, should a subcode therefor not be adopted, for supplements to or revisions of the barrier free design provisions of any model code adopted pursuant to section 5 of P.L.1975, c.217 (C.52:27D-123). Each such committee shall consist of one member of the code advisory board, who shall be chair, and at least four citizens who are experienced and knowledgeable in matters related to the particular subcode. Each committee shall advise and assist the code advisory board in the performance of its responsibilities under P.L.1975, c.217 (C.52:27D-119 et seq.) for the subcode in question. Committee members shall serve without compensation and at the pleasure of the code advisory board.
##### **§ 52:27D-126** Appointment of construction official, subcode officials. {#sec-52-27d-126 omnilex-key=us-nj-statutes--title-52--52:27D-126}
8. a. The appointing authority of any municipality shall appoint a construction official, any necessary subcode officials and technical assistants to assist such officials to administer and enforce the code. The appointing authority may, by resolution or order as appropriate, set the total number of weekly hours of operation of the construction official's office and the total number of weekly work hours of the construction official, commensurate with the compensation paid to the construction official. The appointing authority shall not set the specific work hours of the construction official. The appointing authority shall also appoint a construction board of appeals to hear and decide appeals from decisions made by said construction official and subcode officials, in the administration and enforcement of the code. Nothing herein, however, shall prevent a municipality from accepting inspections as to compliance with the code or any subcode thereof made by an inspection authority approved by the State of New Jersey pursuant to law.
b. To establish tenure rights or any other right or protection provided by the "State Uniform Construction Code Act" or Title 11A, Civil Service, of the New Jersey Statutes, or any pension law or retirement system, the job title "construction official" shall be equivalent to that job title which, prior to the adoption of the State Uniform Construction Code as provided in section 5 of the "State Uniform Construction Code Act," entailed the chief administrative responsibility to enforce all construction codes which had been adopted by the municipal governing body, the enforcement of which was not the responsibility of an authorized private inspection agency; and the job title "subcode official" shall be equivalent to that job title which, prior to the adoption of the State Uniform Construction Code, entailed subordinate administrative responsibility to enforce one or more of the following construction codes: building, plumbing, electrical or fire code.
Any person, in a municipality operating under Title 11A, Civil Service, of the New Jersey Statutes, who, prior to the adoption of the State Uniform Construction Code, held the equivalent of the job title "construction" official or "subcode" official, but who no longer holds his position as a result of a determination that his old job title was not equivalent to that of "construction" official or "subcode" official, shall be offered reappointment as a construction official or subcode official, as the case may be, and shall be granted permanent classified status in such position. Tenure shall continue for (1) any construction official or subcode official who is serving under tenure as otherwise provided by law on the effective date of this act or within one year thereafter, or (2) any person certified pursuant to subsection c. of this section and who subsequently gains such tenure.
A construction official or subcode official appointed in a municipality operating under the provisions of Title 11A, Civil Service, of the New Jersey Statutes, who, at the time of adoption of the State Uniform Construction Code, January 1, 1977, or prior to January 1, 1981, had permanent classified status or was employed as a construction official or subcode official or in another position in the unclassified service, shall be included in the classified service without civil service examination in his respective title of construction official or subcode official. Any individual employed by a municipality, who, in his employment with the municipality between January 1, 1977 and prior to January 1, 1981, was charged with the chief administrative responsibility to enforce all existing municipal construction codes, shall be deemed as appointed to the position of construction official for the purposes of this act. Any individual employed by a municipality, who, in his employment with the municipality between January 1, 1977 and prior to January 1, 1981, was charged with chief responsibility to enforce the municipal building, plumbing, fire, or electrical code, shall be deemed as appointed to the position of subcode official for the purposes of this act. No person, on or after January 1, 1981, shall be appointed as construction or subcode official in a municipality operating under Title 11A, Civil Service, of the New Jersey Statutes without having passed an examination administered by the Civil Service Commission certifying the merit and fitness of the person to hold such position; provided that, whenever a noncivil service municipality adopts the provisions of that Title, construction code officials and subcode officials of such municipality appointed prior to the filing of the petition for the adoption of civil service, shall attain permanent status in the classified service without examination. Any construction or subcode official appointed after January 1, 1981 on a provisional basis in a municipality which has adopted the provisions of Title 11A, Civil Service, of the New Jersey Statutes, may not be removed from office except for just cause after a fair and impartial hearing has been held at the local level, with no further appeal to the Civil Service Commission; provided, however, that such a construction or subcode official may be removed to permit the appointment of a person certified for appointment by the Civil Service Commission. A construction official or subcode official in a noncivil service municipality shall be appointed for a term of four years and shall, upon appointment to a second consecutive term or on or after the commencement of a fifth consecutive year of service, including years of service in an equivalent job title held prior to the adoption of the State Uniform Construction Code, be granted tenure and shall not be removed from office except for just cause after a fair and impartial hearing.
A construction or subcode official, to be eligible for appointment in civil service or noncivil service municipalities, shall be certified by the State of New Jersey in accordance with subsection c. of this section and shall have had at least three years' experience in construction, design or supervision as a licensed engineer or registered architect; or five years' experience in construction, design, or supervision as an architect or engineer with a bachelor's degree from an accredited institution of higher education; or 10 years' experience in construction, design or supervision as a journeyman in a trade or as a contractor. A subcode official shall, pursuant to any subcode which he administers, pass upon:
(1) matters relative to the mode, manner of construction or materials to be used in the erection or alteration of buildings or structures, except as to any such matter foreclosed by State approval pursuant to this act, and (2) actual execution of the approved plans and the installation of the materials approved by the State. The construction official in each municipality shall be the chief administrator of the "enforcing agency." He shall have the power to overrule a determination of a subcode official based on an interpretation of a substantive provision of the subcode which such subcode official administers, only if the construction official is qualified to act pursuant to this act as a subcode official for such subcode. He may serve as subcode official for any subcode which he is qualified under this act to administer. A subcode official or municipal engineer may serve as a construction official if otherwise qualified under the provisions of this act. The municipal enforcing agency shall require compliance with the provisions of the code, of all rules lawfully adopted and promulgated thereunder and of laws relating to the construction, alteration, repair, removal, demolition and integral equipment and location, occupancy and maintenance of buildings and structures, except as may be otherwise provided for.
Two or more municipalities may provide by ordinance, subject to regulations established by the commissioner, for the joint appointment of a construction official and subcode official for the purpose of enforcing the provisions of the code in the same manner.
c. No person shall act as a construction official or subcode official for any municipality unless the commissioner determines that said person is so qualified, except for the following:
(1) a municipal construction official or subcode official holding office under permanent civil service status, or tenure as otherwise provided by law on the effective date of this act or within one year thereafter and (2) a municipal construction official or subcode official holding office without such permanent civil service status or tenure on the effective date of this act or within one year thereafter; provided said construction official or subcode official not having such permanent civil service status or tenure shall be certified in accordance with this act within four years of the effective date thereof; provided further that a person holding on the effective date of this act a valid plumbing inspector's license from the Department of Health and Senior Services pursuant to Title 26 of the Revised Statutes may serve as a plumbing subcode official and a person holding on the effective date of this act a valid electrical inspector's license from the Board of Public Utilities pursuant to Title 48 of the Revised Statutes may serve as an electrical subcode official. The commissioner, after consultation with the code advisory board, may authorize the preparation and conducting of oral, written and practical examinations to determine if a person is qualified by this act to be eligible to be a construction official or subcode official or, in the alternative, may accept successful completion of programs of training as proof of qualification within the meaning of this act. Upon a determination of qualification the commissioner shall issue or cause to be issued a certificate to the construction official or subcode official or trainee stating that he is so certified. The commissioner, after consultation with the code advisory board, may establish classes of certification that will recognize the varying complexities of code enforcement in the municipalities within the State. The commissioner shall, after consultation with the code advisory board, provide for educational programs designed to train and assist construction officials, subcode officials, and technical assistants to these officials in carrying out their responsibilities.
Whenever the commissioner is required by the terms of this subsection to consult with the code advisory board and the matter in question concerns plumbing subcode officials, the commissioner shall also consult with the Public Health Council and Commissioner of Health and Senior Services.
d. The commissioner, after consultation with the code advisory board, may periodically require that each construction official, subcode official, and technical assistant demonstrate a working knowledge of innovations in construction technology and materials, recent changes in and additions to the relevant portions of the State Uniform Construction Code, and current standards of professional ethics and legal responsibility; or, in the alternative, the commissioner, after consultation with the code advisory board, may accept successful completion of appropriate programs of training as proof of such working knowledge.
##### **§ 52:27D-126a** Enforcing agency fees, surcharges. {#sec-52-27d-126a omnilex-key=us-nj-statutes--title-52--52:27D-126a}
3. Where the appointing authority of any municipality shall appoint an enforcing agency and construction board of appeals pursuant to section 8 of P.L.1975, c.217 (C.52:27D-126), the municipal governing body by ordinance, in accordance with standards established by the commissioner, shall set enforcing agency fees for plan review, construction permit, certificate of occupancy, demolition permit, moving of building permit, elevator permit and sign permit, provided, however, that such fees shall not exceed the annual costs for the operation of the enforcing agency. For the three-year period commencing with an enforcing agency's initial participation in the "Electronic Permit Processing Review System," developed and implemented pursuant to section 1 of P.L.2021, c.70 (C.52:27D-124.4), the municipal governing body may impose, and the enforcing agency may collect, construction permit surcharge fees to defray the enforcing agency's startup costs related to offering electronic plan review and scheduling. Surcharge fees shall be established in accordance with standards established by the commissioner.
##### **§ 52:27D-126b** Municipality; waiver of enforcing agency fees; ordinance {#sec-52-27d-126b omnilex-key=us-nj-statutes--title-52--52:27D-126b}
Notwithstanding the provisions of section 3 of P.L.1979, c. 121 (C. 52:27D-126a), or any standard adopted pursuant thereto, to the contrary, a municipal governing body may provide in its ordinance for a waiver of enforcing agency fees for construction contracted for or conducted by the municipality within its boundaries.
##### **§ 52:27D-126c** Public building fee exemptions {#sec-52-27d-126c omnilex-key=us-nj-statutes--title-52--52:27D-126c}
No county, municipality, or any agency or instrumentality thereof shall be required to pay any municipal fee or charge in order to secure a construction permit for the erection or alteration of any public building or part thereof from the municipality wherein the building may be located. No erection or alteration of any public building or part thereof by a county, municipality, school board, or any agency or instrumentality thereof shall be subject to any fee, including any surcharge or training fee, imposed by any department or agency of State government pursuant to any law, or rule or regulation, except that nothing contained in this section shall be interpreted as preventing the imposition of a fee upon a board of education by either the Department of Education for plan review or by a municipality for the review of plans submitted to it pursuant to the provisions of section 12 of P.L.1975, c.217 (C.52:27D-130).
##### **§ 52:27D-126d** Waiver of enforcing agency fees {#sec-52-27d-126d omnilex-key=us-nj-statutes--title-52--52:27D-126d}
Notwithstanding the provisions of section 3 of P.L.1979, c.121 (C.52:27D-126a), any municipality may, by ordinance, provide for a waiver of enforcing agency fees for any corporation which is (1) organized pursuant to the "New Jersey Nonprofit Corporation Act," N.J.S.15A:1-1 et seq. and (2) actively engaged in constructing or rehabilitating housing units for occupancy by low or moderate income households.
For the purposes of this act, "low income household" means a household in which the gross household income is equal to 50% or less of the median gross household income for households of the same size within the region in which the housing is located. "Moderate income household" means a household in which the gross household income is equal to more than 50% but less than 80% of the median gross household income for households of the same size within the region in which the housing is located.
##### **§ 52:27D-126e** Waiving of construction permit, enforcing agency fees for certain construction projects to benefit persons with disabilities. {#sec-52-27d-126e omnilex-key=us-nj-statutes--title-52--52:27D-126e}
1. a. Notwithstanding the provisions of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.), or any rules, regulations, or standards adopted pursuant thereto to the contrary, the governing body of any municipality which has appointed an enforcing agency pursuant to the provisions of section 8 of P.L.1975, c.217 (C.52:27D-126) may, by ordinance, provide that no person shall be charged a construction permit surcharge fee or enforcing agency fee for any construction, reconstruction, alteration or improvement designed and undertaken solely to promote accessibility by persons with disabilities to an existing public or private structure or any of the facilities contained therein.
The ordinance may further provide that a person with a disability, or a parent or sibling of a person with a disability, shall not be required to pay any municipal fee or charge in order to secure a construction permit for any construction, reconstruction, alteration or improvement which promotes accessibility to the person's own living unit.
For the purposes of this subsection, " person with a disability" means a person who has the total and permanent inability to engage in any substantial gainful activity by reason of any medically determinable physical or mental disability, including blindness, and shall include, but not be limited to, any resident of this State who has a disability as defined pursuant to the federal Social Security Act (42 U.S.C. s.416), or the federal Railroad Retirement Act of 1974 (45 U.S.C. s.231 et seq.), or is rated as having a 60 percent disability or higher pursuant to any federal law administered by the United States Veterans' Administration. For purposes of this paragraph "blindness" means central visual acuity of 20/200 or less in the better eye with the use of a correcting lens. An eye which is accompanied by a limitation in the fields of vision such that the widest diameter of the visual field subtends an angle no greater than 20 degrees shall be considered as having a central visual acuity of 20/200 or less.
b. (1) Notwithstanding the provisions of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) or any rules, regulations or standards adopted pursuant thereto to the contrary, the governing body of any municipality which has appointed an enforcing agency pursuant to the provisions of section 8 of P.L.1975, c.217 (C.52:27D-126) shall not charge a person who has a service-connected disability declared by the United States Department of Veterans Affairs, or its successor, to be a total or 100 percent permanent disability that would entitle them to a property tax exemption under section 1 of P.L.1948, c.259 (C.54:4-3.30) or a spouse, parent, sibling, or guardian of the veteran with a disability, a construction permit surcharge fee or enforcing agency fee for any construction, reconstruction, alteration, or improvement designed and undertaken solely to promote accessibility by the veteran with a disability to the veteran's own living unit.
(2) A municipality that has granted an exemption from a construction permit surcharge fee or enforcing agency fee pursuant to paragraph (1) of this subsection may apply to the Department of Community Affairs, in accordance with rules and regulations promulgated by the Commissioner of Community Affairs for this purpose, for reimbursement of those exempt fees.
##### **§ 52:27D-126f** Definitions relative to testing, inspecting elevator devices; alternative testing; rules, regulations; review, analysis. {#sec-52-27d-126f omnilex-key=us-nj-statutes--title-52--52:27D-126f}
1. a. As used in this section:
"Elevator device" means a hoisting and lowering device equipped with a car or platform which moves in guides for the transportation of individuals or freight in a substantially vertical direction through successive floors or levels of a building or structure. The term includes, without limitation, elevators, dumbwaiters, wheelchair lifts, manlifts, stairway chairlifts and any device within the scope of ASME A17.1 (Safety Code for Elevators and Escalators) or ASME A90.1 (Safety Standard for Belt Manlifts), except escalators and moving walks. It shall not include any conveyor devices that are process equipment.
"Qualified elevator device inspection firm" means any entity, whether a sole proprietorship, partnership, association or corporation, that is engaged in the business of inspecting, testing, installing, maintaining or repairing elevator devices, or the business of inspecting and testing elevator devices, is registered for those purposes with the Department of Community Affairs, and employs at least one qualified elevator device inspector.
"Qualified elevator device inspector" means any person who is employed by a qualified elevator device inspection firm and who is licensed by the Department of Community Affairs to conduct the routine, periodic and acceptance inspections and tests of elevator devices required pursuant to the provisions of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.).
b. No elevator devices which, under the provisions of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.), are subject to routine, periodic and acceptance inspections and tests by the local enforcing agency or the Department of Community Affairs shall be subject to such inspections and tests, nor shall the owner of the structure be charged any fees therefor, if those elevator devices are subjected to acceptance testing and are routinely and periodically inspected and tested by a qualified elevator device inspection firm, and the owner has registered each such elevator device with the Department of Community Affairs and has indicated in the registration application form, or in a supplement to that form, the identity of the qualified elevator device inspection firm that has been given responsibility for inspection and testing of the elevator device.
The inspections and tests, including the frequency thereof, conducted by a qualified elevator device inspector shall be in accordance with such rules and regulations as the Commissioner of Community Affairs may prescribe pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) and subsection e. of this section. Acceptance testing and the five-year test shall be witnessed by the local enforcing agency or the Department of Community Affairs in accordance with such rules and regulations as the Commissioner of Community Affairs may prescribe pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) and subsection e. of this section. No qualified elevator device inspector shall act in that capacity when his work on the elevator device is the work being inspected.
c. If, upon inspection or test, a qualified elevator device inspector shall find that an elevator device is in a dangerous condition, or if there is an immediate hazard to persons riding on or using any such device, the inspector shall immediately prohibit any further use of the device and shall so notify in writing the owner and the local enforcing agency or Department of Community Affairs, as the case may be. The device shall remain out of service until such time as the inspector shall certify in writing that the dangerous condition or immediate hazard has been removed or corrected and that the device is safe for public use. If the local enforcing agency or the department shall determine, in response to a complaint or otherwise, that an elevator device is in a dangerous condition or that there is an immediate hazard to persons riding on or using that device, the local enforcing agency or the department may require the owner of the elevator device to make such repairs as may be necessary, or take other corrective action, within such time as the local enforcing agency or the department, as the case may be, shall prescribe.
d. Any qualified elevator device inspector or qualified elevator device inspection firm violating the provisions of this section shall be subject to a penalty in accordance with section 20 of P.L.1975, c.217 (C.52:27D-138) and shall also be subject to suspension or revocation by the Department of Community Affairs of licensure or registration as a qualified elevator device inspector or qualified elevator device inspection firm, as the case may be.
e. The Commissioner of Community Affairs, in accordance with the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall promulgate rules and regulations to effectuate the purposes of this act. The rules and regulations shall provide for, but not be limited to, the qualifications for licensing of qualified elevator device inspectors, the registration of qualified elevator device inspection firms, the manner and form of licensure and registration, the fee for each such license or registration, the manner in which test results pursuant to this act are to be recorded, and minimum liability insurance requirements for qualified elevator device inspection firms, for which proof thereof shall be provided by the firms to the department. License and registration fees shall be designed to cover, but not exceed, the actual costs the department shall incur in administering the provisions of this act.
f. The Department of Community Affairs shall conduct a review and perform an analysis of the impact on the safety record of elevator devices in this State as a result of the implementation of this section. The review and analysis shall be performed biennially. A written report of the results of the review and analysis shall be submitted to the Governor and the Legislature, with the first report submitted within 48 months following the effective date of P.L.1997, c.336 (C.52:27D-126f).
##### **§ 52:27D-126.1** Fire prevention subcode officials; appointment; qualifications; removal {#sec-52-27d-126.1 omnilex-key=us-nj-statutes--title-52--52:27D-126.1}
a. In any municipality the body or official, or the successor of said body or official, which appointed the persons serving as fire prevention officials on the effective date of the "State Uniform Construction Code Act," P.L.1975, c. 217 (C. 52:27D-119 et seq.) shall appoint the person to serve in each position for a fire prevention subcode official which a municipality creates; provided that any person who has served in the same municipality for at least 6 months as a fire inspection officer on the effective date of the "State Uniform Construction Code Act," P.L.1975, c. 217 (C. 52:27D-119 et seq.) shall be deemed to qualify as a fire prevention subcode official. Notwithstanding the provisions of this section, any fire prevention subcode official is subject to any qualification requirements established by the commissioner pursuant to section 8 of the "State Uniform Construction Code Act," P.L.1975, c. 217.
b. Whenever a municipality creates full-time or part-time fire prevention subcode official positions, it shall order the body or official or successor or designee of said body or official which appointed the persons serving as fire prevention officials in the municipality on the effective date of the "State Uniform Construction Code Act," P.L.1975, c. 217 (C. 52:27D-119 et seq.) to appoint the necessary number of full-time or part-time fire prevention subcode officials pursuant to subsection 1 a. of this act. Except as provided in subsections a., b., and d. of this section, fire prevention subcode officials are subject to the administration and enforcement jurisdiction of municipal construction officials provided under the State Uniform Construction Code, P.L.1975, c. 217 (C. 52:27D-119 et seq.).
c. Notwithstanding any experience requirements in section 8 of the "State Uniform Construction Code Act," P.L.1975, c. 217, a fire prevention subcode official appointed pursuant to said section and to this act shall have had at least 3 years experience as a fire prevention or firefighting official.
d. A fire prevention subcode official may be removed from office by the body or official or the successor or designee of said body or official which appointed such official.
##### **§ 52:27D-126.2** Persons appointed as construction officials or subcode officials; licenses {#sec-52-27d-126.2 omnilex-key=us-nj-statutes--title-52--52:27D-126.2}
Notwithstanding the provisions of the "State Uniform Construction Code Act," P.L.1975, c. 217 (C. 52:27D-119 et seq.), or any rule or regulation adopted pursuant thereto to the contrary, on or after January 1, 1981, no person who received an appointment as a construction official or a subcode official prior to October 1, 1978, shall hold or perform the duties of an office for which a license is required under that act, or represent himself as qualified for that position, use a title denoting that he is so licensed or otherwise represent himself as licensed or authorized to act under the code, unless that person possesses the appropriate license; except that a subcode official or municipal engineer appointed prior to October 1, 1978, and acting as a construction official on January 1, 1981, or a municipal official appointed prior to October 1, 1978, and acting as a subcode official on January 1, 1981, may continue to act as a construction official or a subcode official, respectively, until March 1, 1981, without licensing by the commissioner.
##### **§ 52:27D-126.3** Establishment of emergency building inspection program. {#sec-52-27d-126.3 omnilex-key=us-nj-statutes--title-52--52:27D-126.3}
1. The Commissioner of Community Affairs shall establish a program for the emergency deployment of State and local construction code officials and inspectors to assist local construction code officials and inspectors in the evaluation of buildings and structures affected by a natural or man-made disaster or emergency, and to provide such other assistance in code enforcement and related activities as may be required in order to protect public health and safety. The code officials and inspectors so deployed shall, when necessary, assist in assessing possible damage to the structural design and life-safety systems of buildings, and in facilitating rapid decision making regarding the closure or reoccupancy of buildings, in the event of a natural or man-made disaster or emergency for which a state of emergency has been declared by the President of the United States or the Governor, or for which a state of emergency has been declared by a municipal emergency management coordinator. The commissioner may provide for participation in the program by licensed professional engineers, registered architects and other licensed professionals. For the purposes of this section, "local construction code officials and inspectors" means code officials and inspectors employed by a municipality or county.
##### **§ 52:27D-126.4** Intermunicipal agreements for mutual construction code enforcement aid. {#sec-52-27d-126.4 omnilex-key=us-nj-statutes--title-52--52:27D-126.4}
2. The governing bodies of two or more municipalities may by resolution enter into agreements with each other for mutual construction code enforcement aid concerning the evaluation of buildings and structures affected by a natural or man-made disaster or emergency. Such agreements may provide for the reimbursement of the municipality or municipalities rendering such aid, including reimbursement for any damage to property and for payment to any official or employee of a local construction code enforcing agency for injuries sustained while serving pursuant to such agreements, or to a surviving spouse or other dependent in the event of death of that official or employee.
##### **§ 52:27D-126.5** Powers, duties of persons deployed under emergency deployment program. {#sec-52-27d-126.5 omnilex-key=us-nj-statutes--title-52--52:27D-126.5}
3. Persons deployed under the emergency deployment program established by the Commissioner of Community Affairs pursuant to section 1 of P.L.2007, c.2 (C.52:27D-126.3), or providing assistance pursuant to an intermunicipal agreement pursuant to section 2 of P.L.2007, c.2 (C.52:27D-126.4), shall, while on duty rendering assistance to any local construction code enforcing agency, have the same powers, authority and immunities as the members of the local construction code enforcing agency of the municipality in which such assistance is being rendered.
##### **§ 52:27D-126.6** Injury, death benefits for officials, inspectors deployed. {#sec-52-27d-126.6 omnilex-key=us-nj-statutes--title-52--52:27D-126.6}
4. If any local construction code official or inspector suffers injury or death in the performance of his duties, the legal beneficiaries of such official or inspector shall be entitled to such salary, pension rights, workers' compensation, or other benefits as would have accrued if such injury or death had occurred in the performance of duties in the jurisdiction in which the official or employee is regularly employed. The responsibility for the payment of benefits pursuant to this section shall be determined in the agreements entered into pursuant to section 2 of P.L.2007, c.2 (C.52:27D-126.4).
##### **§ 52:27D-126.7** Municipal participation voluntary; resolution of non-participation. {#sec-52-27d-126.7 omnilex-key=us-nj-statutes--title-52--52:27D-126.7}
5. a. Participation by municipalities in the emergency deployment program established by the Commissioner of Community Affairs pursuant to section 1 of P.L.2007, c.2 (C.52:27D-126.3) shall be voluntary; provided, however, that any municipality that does not adopt a resolution of non-participation in the emergency deployment program, and file such resolution with the Department of Community Affairs, within 60 days of the effective date of rules implementing section 1 of P.L.2007, c.2 (C.52:27D-126.3), shall be deemed to be participating in the program, until such time as a resolution of non-participation may be adopted and filed. A non-participating municipality may join the emergency deployment program at any time by adopting a resolution of participation and filing it with the commissioner.
b. During a state of emergency, any deployed construction code official or inspector shall report to the municipal emergency management coordinator for the deployment area.
##### **§ 52:27D-126.8** "County Code Enforcement Pilot Program"; definitions. {#sec-52-27d-126.8 omnilex-key=us-nj-statutes--title-52--52:27D-126.8}
1. a. As used in P.L.2018, c.157 (C.52:27D-126.8 et al.):
"Pilot county" means any county of the first class with a population of over 900,000 and a population density of less than 4,000 persons per square mile according to the 2010 federal decennial census.
"Pilot program" means the "County Code Enforcement Pilot Program" established pursuant to subsection b. of this section.
b. There is established the "County Code Enforcement Pilot Program" to permit any pilot county to assume responsibility for certain construction code enforcement activities. Notwithstanding any other provision of P.L.1975, c.217 (C.52:27D-119 et seq.) to the contrary, the governing body of a pilot county may appoint, by ordinance or resolution, as applicable, a county construction official, subcode officials, and technical assistants to administer and enforce the code in regard to:
(1) buildings and structures owned by the pilot county, including any of its departments, divisions, bureaus, boards, councils, authorities, or other agencies; and
(2) a municipality located within the pilot county with which the pilot county has entered into a shared service agreement pursuant to the "Uniform Shared Services and Consolidation Act," sections 1 through 35 of P.L.2007, c.63 (C.40A:65-1 through C.40A:65-35), for the purposes of administering and enforcing the code.
c. Regardless of any shared service agreement with a municipality, if a building or structure subject to code enforcement is owned by the pilot county, then the county construction official appointed pursuant to subsection b. of this section may assume the code enforcement responsibilities of a municipal code enforcement official, including the imposition of fees for permit applications and inspections related to construction activities by private parties on county property. However, regardless of the property's ownership, a county construction official may not assume code enforcement responsibilities that the Department of Community Affairs is required to administer, pursuant to subsection c. of section 11 of P.L.1975, c.217 (C.52:27D-129) or any other provision of P.L.1975, c.217 (C.52:27D-119 et seq.).
d. In accordance with the "Uniform Shared Services and Consolidation Act," sections 1 through 35 of P.L.2007, c.63 (C.40A:65-1 through C.40A:65-35), a municipality located within a pilot county may enter into a shared service agreement with the pilot county to administer and enforce the code.
e. The Commissioner of Community Affairs shall adopt rules and regulations, pursuant to the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of the pilot program.
##### **§ 52:27D-127** Construction board of appeals {#sec-52-27d-127 omnilex-key=us-nj-statutes--title-52--52:27D-127}
9. Construction board of appeals.
a. There shall be a construction board of appeals for each county to hear appeals from decisions by the enforcing agency provided that any municipality may establish its own construction board of appeals to hear appeals from decisions by the enforcing agency and further provided that where two or more municipalities have combined to appoint a construction official and subcode officials such combined municipalities may establish a joint construction board of appeals. Any such municipal or joint board shall hear appeals from the decisions of the municipal or joint enforcing agency, as the case may be, instead of the county board.
Every construction board of appeals shall consist of five members. Each member of the board shall be qualified by experience or training to perform the duties of members of the construction board of appeals. In addition to the five regular members, each construction board of appeals shall include two special members, one of whom shall be a licensed professional engineer with municipal construction experience, and one of whom shall be a builder. The special members shall serve as additional members of the board in any case involving an appeal of municipal fees pursuant to P.L.1995, c.54 (C.40:55D-53.2 et al.). Board members shall be appointed for a term of four years by the appointing authority of the county or municipality in question or, in the case of a joint municipal board, by means mutually determined by the governing bodies of such municipalities. For the members first appointed, the appointing authority shall designate the appointees' terms so that one shall be appointed for a term of one year, one for a term of two years, one for a term of three years, and two for a term of four years. Vacancies on the board shall be filled for the unexpired term. Members may be removed by the authority appointing them for cause. A person may serve on more than one construction board of appeals.
b. When an enforcing agency refuses to grant an application or refuses to act upon application for a construction permit, or when the enforcing agency makes any other decision, pursuant or related to this act or the code, an owner, or his authorized agent, may appeal in writing to the county or municipal or joint board, whichever is appropriate. The board shall hear the appeal, render a decision thereon and file its decision with a statement of the reasons therefor with the enforcing agency from which the appeal has been taken not later than 10 business days following the submission of the appeal, unless such period of time has been extended with the consent of the applicant. Such decision may affirm, reverse or modify the decision of the enforcing agency or remand the matter to the enforcing agency for further action. A copy of the decision shall be forwarded by certified or registered mail to the party taking the appeal. Failure by the board to hear an appeal and render and file a decision thereon within the time limits prescribed in this subsection shall be deemed a denial of the appeal for purposes of a complaint, application or appeal to a court of competent jurisdiction. A record of all decisions made by the board, properly indexed, shall be kept by the enforcing agency and shall be subject to public inspection during business hours. The board shall provide rules for its procedure in accordance with this act and regulations established by the commissioner.
##### **§ 52:27D-128** Substitute administration and enforcement {#sec-52-27d-128 omnilex-key=us-nj-statutes--title-52--52:27D-128}
Whenever a municipality or several municipalities decide not to administer and enforce the code and request the commissioner to assume that task, the commissioner shall by regulation provide for the enforcement of the code and this act in said municipality or municipalities and for payment to the State of fees necessary to defray the expenses in furtherance of that end and the commissioner shall have all the powers conferred by this act upon any municipal governing body, chief executive, or enforcing agency and all other powers necessary and convenient to that end, provided that the commissioner shall provide a departmental appeal in lieu of an appeal to a municipal or joint construction board of appeals.
The commissioner shall hold hearings pursuant to section 6c. of this act in order to establish regulations defining the operation of this section.
##### **§ 52:27D-129** State buildings and buildings of interstate agencies; outdoor advertising signs on public property. {#sec-52-27d-129 omnilex-key=us-nj-statutes--title-52--52:27D-129}
11. State buildings and buildings of interstate agencies; outdoor advertising signs on public property. a. Notwithstanding any other provision of P.L.1975, c.217 (C.52:27D-119 et seq.), the Department of Community Affairs shall have authority to administer and enforce the code in regard to buildings and structures owned by the State, and any of its departments, divisions, bureaus, boards, councils, authorities or other agencies; provided, however, that the Division of Building and Construction in the Department of the Treasury shall have authority to conduct field inspections for the purpose of enforcing the code in buildings built under its supervision. The Division of Building and Construction shall be authorized to review plans and undertake construction if the Department of Community Affairs cannot approve plans within the 20-day period provided for in P.L.1975, c.217. In an emergency or cost savings situation, the commissioner may delegate, by rule, the authority to conduct field inspections for the purpose of enforcing the code. The Division of Building and Construction and any public or private agency which receives such a delegation shall carry out any review or inspection responsibilities with persons certified by the Commissioner of Community Affairs pursuant to the provisions of P.L.1975, c.217. The Department of Community Affairs shall have ultimate responsibility for insuring that all buildings conform to the requirements of the code.
b. Construction, alteration, renovation, rehabilitation, repair, removal or demolition of any building or structure situated wholly within New Jersey by or for an agency created by an interstate compact to which the State of New Jersey is a party shall be subject to the provisions of the code; provided that such interstate agency shall have exclusive authority to administer and enforce the code in regard to such buildings and structures.
c. Notwithstanding any other provision of law, rule or regulation to the contrary, except for signs which advertise or otherwise identify activities performed on the property on which the sign is located, the Department of Community Affairs shall be the sole enforcing agency with regard to outdoor advertising signs which exceed 32 square feet in area on any face and which are located on land owned or controlled by any public entity, including but not limited to any State, county or local department, agency, board, commission, authority or instrumentality.
##### **§ 52:27D-130** Permit required; application; contents; issuance; transfer. {#sec-52-27d-130 omnilex-key=us-nj-statutes--title-52--52:27D-130}
12. Except as otherwise provided by this act or in the code, before construction or alteration of any building or structure, the owner, or his agent, engineer or architect, shall submit an application in writing, including signed and sealed drawings and specifications, to the enforcing agency as defined in this act. When an enforcing agency begins to participate in the "Electronic Permit Processing Review System," pursuant to section 1 of P.L.2021, c.70 (C.52:27D-124.4), the owner, or his agent, engineer or architect, may submit applications and scheduling requests electronically. The application shall be in accordance with regulations established by the commissioner and on a form or in a format prescribed by the commissioner and shall be accompanied by payment of the fee to be established by the municipal governing body by ordinance in accordance with standards established by the commissioner. The application for a construction permit shall be filed with the enforcing agency and shall be a public record; and no application for a construction permit shall be removed from the custody of the enforcing agency after a construction permit has been issued. Nothing contained in this paragraph shall be interpreted as preventing the imposition of requirements in the code, for additional permits for particular kinds of work, including but not limited to plumbing, electrical, elevator, fire prevention equipment or boiler installation or repair work, or in other defined situations.
Upon the transfer of ownership of property that is the subject of a construction permit, and prior to beginning or continuing work authorized by the construction permit, the new owner shall file with the enforcing agency an application for a permit update to notify the enforcing agency of the name and address of the new owner and of all other changes to information previously submitted to the enforcing agency. If the municipality has adopted an ordinance requiring a successor developer to furnish a replacement performance guarantee, and a performance guarantee has previously been furnished in favor of the municipality to assure the installation of on-tract improvements on the property that is the subject of an application for a permit update for the purpose of notifying the enforcing agency of the name and address of a new owner, the enforcing agency shall not approve the application for a permit update until it receives notification from the governing body or its designee that the new owner has furnished an adequate replacement performance guarantee.
No permit shall be issued for a public school facility unless the final plans and specifications have been first approved by the Bureau of Facility Planning Services in the Department of Education or a municipal code official who is appropriately licensed by the Commissioner of Community Affairs for the type and level of plans being reviewed. Approval by the Bureau of Facility Planning Services in the Department of Education shall only be required when a review for educational adequacy is necessary. Requirements determining when a review for educational adequacy is necessary shall be established jointly by the Department of Community Affairs and the Department of Education. The standards shall thereafter be adopted as part of the Uniform Construction Code regulations by the Department of Community Affairs. After the final plans and specifications have been approved for educational adequacy by the Bureau of Facility Planning Services in the Department of Education, a local board of education may submit the final plans and specifications for code approval to either the Bureau of Facility Planning Services in the Department of Education or a municipal code official who is appropriately licensed by the Commissioner of Community Affairs for the type and level of plans being reviewed. The Bureau of Facility Planning Services in the Department of Education when approving final plans and specifications shall be responsible for insuring that the final plans and specifications conform to the requirements of the code as well as for insuring that they provide for an educationally adequate facility. In carrying out its responsibility pursuant to the provisions of this section the Department of Education shall employ persons licensed by the Commissioner of Community Affairs for the type and level of plans being reviewed.
##### **§ 52:27D-130.1** Construction permit surcharge fee; construction contracted for or conducted by municipality; prohibition {#sec-52-27d-130.1 omnilex-key=us-nj-statutes--title-52--52:27D-130.1}
Notwithstanding the provisions of the "State Uniform Construction Code Act," P.L.1975, c. 217 (C. 52:27D-119 et seq.), or any rule or regulation adopted pursuant thereto, to the contrary, no municipality shall be charged a construction permit surcharge fee for construction contracted for or conducted by the municipality within its boundaries when the municipality itself is the enforcing agency.
##### **§ 52:27D-130.2** Construction permit for installation or alteration of solar energy heating or cooling system; municipal fee or charge; prohibition {#sec-52-27d-130.2 omnilex-key=us-nj-statutes--title-52--52:27D-130.2}
No person shall be required to pay a municipal fee or charge in order to secure a construction permit for the installation or alteration of a solar energy heating or cooling system in any building or part thereof. As used in this act, "solar energy heating and cooling system" means a system which is certified as eligible for an exemption from property taxation by the Department of Community Affairs pursuant to P.L. 1977, c. 256 (C. 54:4-3.113 et seq.).
##### **§ 52:27D-130.3** State department or agency; fee; prohibition {#sec-52-27d-130.3 omnilex-key=us-nj-statutes--title-52--52:27D-130.3}
The installation or alteration of a solar energy heating or cooling system in any building shall not be subject to any fee, including any surcharge or training fee, imposed by any department or agency of State government pursuant to any law, or rule or regulation.
##### **§ 52:27D-130.4** Rules, regulations adopted by DHSS relative to contaminated property; certification; definitions; enforcement. {#sec-52-27d-130.4 omnilex-key=us-nj-statutes--title-52--52:27D-130.4}
1. a. Within 12 months after the effective date of this act, the Department of Health and Senior Services shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) that establish: (1) procedures for the evaluation and assessment of the interior of buildings that are to be used for child care centers licensed pursuant to the provisions of P.L.1983, c.492 (C.30:5B-1 et seq.), or for educational purposes; and (2) standards that establish maximum contaminant levels for building interiors to be used for child care centers licensed pursuant to the provisions of P.L.1983, c.492, or for educational purposes, that are protective of the public health and safety. The rules and regulations adopted pursuant to this subsection shall be protective of the health of children and infants, and shall account for the difference in rate of the absorption, metabolism, and excretion of compounds between adults and infants and children.
b. The department shall establish an application process for the certification issued pursuant to subsection c. of this section. Every application for a certification shall be accompanied by a fee, established in accordance with a fee schedule adopted by the department, by rule or regulation, reflecting the costs of reviewing and processing the application. Fees collected pursuant to this subsection shall be deposited into a separate account, and shall be dedicated for use by the department solely for the purposes of administering and enforcing the provisions of this section and any rules or regulations adopted pursuant thereto.
c. Upon a demonstration to the department by the applicant that the procedures established pursuant to subsection a. of this section for the evaluation and assessment of building interiors have been followed, and that there are no contaminants present in the building that exceed the maximum contaminant levels established in subsection a. of this section, the department shall issue a certification that the building interior is safe for use as a child care center, or for educational purposes.
d. As used in this section: "contaminant" shall have the same meaning as provided in section 23 of P.L.1993, c.139 (C.58:10B-1); and "educational purposes" shall mean for the purposes of a private school or public school as defined in N.J.S.18A:1-1, or a charter school as defined pursuant to P.L.1995, c.426 (C.18A:36A-1 et seq.).
e. Whenever the Commissioner of Health and Senior Services finds that a person has violated any provision of this section, or any rule or regulation adopted pursuant thereto, or knowingly makes a false statement, representation, or certification in any application, record, or other document filed or required to be maintained pursuant to this section, the commissioner may assess a civil administrative penalty of not more than $25,000 for a first offense, and not more than $50,000 for the second and every subsequent offense. Each day that a violation continues shall constitute an additional, separate, and distinct offense. The department may compromise and settle any claim for a penalty pursuant to this subsection in an amount as the department determines is appropriate and equitable under the circumstances.
Any penalty imposed pursuant to this subsection may be collected, with costs, in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). The Superior Court and the municipal court shall have jurisdiction to enforce the provisions of the "Penalty Enforcement Law of 1999" in connection with this section.
##### **§ 52:27D-130.5** Issuance of construction permit for child care, educational center for certain locations; certification required; remediation. {#sec-52-27d-130.5 omnilex-key=us-nj-statutes--title-52--52:27D-130.5}
2. a. (1) No construction permit shall be issued pursuant to section 12 of P.L.1975, c.217 (C.52:27D-130) for the reconstruction, alteration, conversion, or repair of any building or structure to be used for a child care center licensed pursuant to the provisions of P.L.1983, c.492 (C.30:5B-1 et seq.), or for educational purposes, if that building or structure was previously used for industrial, storage, or high hazard purposes, as a nail salon, dry cleaning facility, or gasoline station, or is on a contaminated site, on a site on which there is suspected contamination, or on an industrial site that is subject to the provisions of the "Industrial Site Recovery Act," P.L.1983, c.330 (C.13:1K-6 et al.), except upon the submission of the certification issued by the Department of Health pursuant to section 1 of P.L.2007, c.1 (C.52:27D-130.4) to the construction official by the applicant, that the building or structure has been evaluated and assessed for contaminants, and that the building or structure is safe for use as a child care center licensed pursuant to the provisions of P.L.1983, c.492, or for educational purposes.
(2) Notwithstanding the provisions of paragraph (1) of this subsection to the contrary, a construction permit may be issued for the construction or alteration of any building or structure to be used as a child care center licensed pursuant to the provisions of P.L.1983, c.492, or for educational purposes, if the construction permit is necessary to perform work in the building or structure in order to comply with the rules and regulations adopted pursuant to subsection a. of section 1 of P.L.2007, c.1 (C.52:27D-130.4) and obtain the certification issued by the Department of Health pursuant to subsection c. of section 1 of P.L.2007, c.1 (C.52:27D-130.4).
A construction permit issued pursuant to this paragraph shall be limited to the construction or alterations necessary to comply with the rules and regulations adopted pursuant to subsection a. of section 1 of P.L.2007, c.1 (C.52:27D-130.4).
(3) The appropriate enforcing agency shall not grant a certificate of occupancy for any building or structure to be used as a child care center licensed pursuant to the provisions of P.L.1983, c.492, or for educational purposes, that received a construction permit pursuant to paragraph (2) of this subsection, except upon the submission of the certification issued by the Department of Health pursuant to subsection c. of section 1 of P.L.2007, c.1 (C.52:27D-130.4) to the construction official by the applicant, that the building or structure has been evaluated and assessed for contaminants, and that the building or structure is safe for use as a child care center licensed pursuant to the provisions of P.L.1983, c.492, or for educational purposes.
b. (1) No construction permit shall be issued for the construction or alteration of any building or structure to be used as a child care center licensed pursuant to the provisions of P.L.1983, c.492, or for educational purposes, on a site that was previously used for industrial, storage, or high hazard purposes, as a nail salon, dry cleaning facility, or gasoline station, or on a contaminated site, on a site on which there is suspected contamination, or on an industrial site that is subject to the provisions of the "Industrial Site Recovery Act," P.L.1983, c.330 (C.13:1K-6 et al.), except after submission by the applicant to the construction official of documentation sufficient to establish that the Department of Environmental Protection has approved a remedial action workplan for the entire site or that the site has been remediated consistent with the remediation standards and other remediation requirements established pursuant to section 35 of P.L.1993, c.139 (C.58:10B-12) and a no further action letter has been issued by the Department of Environmental Protection for the entire site.
(2) Notwithstanding the provisions of paragraph (1) of this subsection to the contrary, a construction permit may be issued for the construction or alteration of any building or structure to be used as a child care center licensed pursuant to the provisions of P.L.1983, c.492, or for educational purposes, on a site that was previously used for industrial, storage, or high hazard purposes, as a nail salon, dry cleaning facility, or gasoline station, or on a contaminated site, on a site on which there is suspected contamination, or on an industrial site that is subject to the provisions of the "Industrial Site Recovery Act," P.L.1983, c.330 (C.13:1K-6 et al.), if the construction permit is necessary to remediate the site consistent with the remediation standards and other remediation requirements established pursuant to section 35 of P.L.1993, c.139 (C.58:10B-12) in order to obtain a no further action letter from the Department of Environmental Protection.
A construction permit issued pursuant to this paragraph shall be limited to the construction or alterations necessary to develop a remedial action workplan to be submitted to the Department of Environmental Protection for approval or to remediate the site consistent with the remediation standards and other remediation requirements established pursuant to section 35 of P.L.1993, c.139 (C.58:10B-12) and receive a no further action letter from the Department of Environmental Protection.
(3) The appropriate enforcing agency shall not grant a certificate of occupancy for any building or structure to be used as a child care center licensed pursuant to the provisions of P.L.1983, c.492, or for educational purposes, that received a construction permit pursuant to paragraph (2) of this subsection, except after submission by the applicant to the construction official of documentation sufficient to establish that the site has been remediated consistent with the remediation standards and other remediation requirements established pursuant to section 35 of P.L.1993, c.139 (C.58:10B-12) and a no further action letter has been issued by the Department of Environmental Protection for the entire site.
c. As used in this section: "contaminated site" means any real property on which there is contamination; "contamination," "remediation" or "remediate," and "no further action letter" shall have the same meanings as provided in section 23 of P.L.1993, c.139 (C.58:10B-1); and "educational purposes" means for the purposes of a private school or public school as defined in N.J.S.18A:1-1, or a charter school as defined pursuant to P.L.1995, c.426 (C.18A:36A-1 et seq.).
##### **§ 52:27D-130.6** Green building manual, preparation, availability. {#sec-52-27d-130.6 omnilex-key=us-nj-statutes--title-52--52:27D-130.6}
1. The Commissioner of Community Affairs is authorized to prepare, in consultation with other State agencies, and make available to the public, a green building manual for the purpose of ensuring that standards are available for those owners and builders who participate in any program that encourages or requires the construction of green buildings. The manual shall include federal guidelines and regulations for energy efficiency in building construction. The manual shall cover residential as well as commercial buildings. For the purposes of this act, "green building" means those building construction practices that significantly reduce or eliminate the negative impact of buildings on the environment and their occupants and may consider, but need not be limited to five broad areas: sustainable site planning; safeguarding water and water efficiency; energy efficiency and renewable energy; conservation of materials and resources; and indoor environmental quality.
##### **§ 52:27D-130.7** Grants to owner of licensed child care center; rules, regulations. {#sec-52-27d-130.7 omnilex-key=us-nj-statutes--title-52--52:27D-130.7}
4. a. Notwithstanding any provisions of P.L.1993, c.139 (C.58:10B-1 et seq.) to the contrary, the New Jersey Economic Development Authority, in conjunction with the Department of Environmental Protection, may provide a grant of $1,500 from the Hazardous Discharge Site Remediation Fund, established pursuant to section 26 of P.L.1993, c.139 (C.58:10B-4), to the owner or operator of a child care center licensed pursuant to P.L.1983, c.492 (C.30:5B-1 et seq.), or a prospective owner or operator of a child care center who has applied for a license pursuant to P.L.1983, c.492 (C.30:5B-1 et seq.), for the costs of a preliminary assessment performed in order to obtain a no further action letter as required pursuant to the provisions of subsection b. of section 2 of P.L.2007, c.1 (C.52:27D-130.5) or performed as part of the child care center licensing requirements established by the Department of Children and Families.
b. The New Jersey Economic Development Authority, in the administration of the Hazardous Discharge Site Remediation Fund, shall authorize the Department of Environmental Protection to implement a program for the grants to be awarded pursuant to section a. of this section.
c. For the purposes of this section, "preliminary assessment" means the same as that term is defined in section 23 of P.L.1993, c.139 (C.58:10B-1).
d. The Department of Environmental Protection may adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations necessary to effectuate this section.
##### **§ 52:27D-130.8** Adoption of ordinance requiring replacement for performance guarantee. {#sec-52-27d-130.8 omnilex-key=us-nj-statutes--title-52--52:27D-130.8}
6. The governing body of a municipality may adopt an ordinance requiring a successor developer to furnish a performance guarantee as a replacement for a performance guarantee that was previously accepted in accordance with standards adopted by ordinance and regulations adopted pursuant to section 1 of P.L.1999, c.68 (C.40:55D-53a) and section 41 of P.L.1975, c.291 (C.40:55D-53) for the purpose of assuring the installation and maintenance of on-tract improvements, and releasing the predecessor obligor and surety, if any, from liability pursuant to its performance guarantee.
##### **§ 52:27D-131** Construction permits; application, approval, expiration, cancellation, extension. {#sec-52-27d-131 omnilex-key=us-nj-statutes--title-52--52:27D-131}
13. a. The enforcing agency shall examine each application for a construction permit. If the application conforms with this act, the code, and the requirements of other applicable laws and ordinances, the enforcing agency shall approve the application and shall issue a construction permit to the applicant. Every application for a construction permit shall be granted, in whole or in part, or denied within 20 business days, unless the application is limited to the construction of a ramp designed to provide wheelchair access to a one or two-unit dwelling, and required for such access by a resident of the dwelling, in which case the permit shall be granted or denied within five business days. If application is denied in whole or in part, the enforcing agency shall set forth the reasons therefor in writing. If an enforcing agency fails to grant, in whole or in part, or deny an application for a construction permit within the period of time prescribed herein, such failure shall be deemed a denial of the application for purposes of an appeal to the construction board of appeals unless such period of time has been extended with the consent of the applicant. The enforcing agency may approve changes in plans and specifications previously approved by it, if the plans and specifications when so changed remain in conformity with law. Except as otherwise provided in this act or the code, the construction or alteration of a building or structure shall not be commenced until a construction permit has been issued. The construction of a building or structure shall be in compliance with the approved application for a construction permit; and the enforcing agency shall insure such compliance in the manner set forth in section 14 of this act.
The commissioner, after consultation with the code advisory board, may, for certain classes or types of occupancy posing special or unusual hazards to public safety, establish regulations designating the department as the enforcing agency for purposes of approving plans and specifications. A municipal enforcing agency shall not grant an occupancy permit for any such class or type of construction unless the applicant submits appropriate plans and specifications certified or approved by the department. Upon submission by an applicant of such certified approved plans and specifications, the enforcing agency shall recognize the approval when deciding whether to approve the application for a construction permit.
b. A construction permit, issued in accordance with the foregoing provisions, pursuant to which no construction has been undertaken above the foundation walls within one year from the time of issuance, shall expire.
c. The enforcing agency may revoke or cancel a construction permit in the event the project for which the permit is obtained is not completed by the third anniversary of the date of issuance of the construction permit. Notwithstanding the provisions of any other law, rule or regulation to the contrary, the enforcing agency may revoke or cancel a construction permit in effect on the effective date of P.L.2001, c.457 (C.52:27D-131.1 et al.), if the project for which the construction permit was obtained is not completed by the third anniversary of the effective date of P.L.2001, c.457 (C.52:27D-131.1 et al.).
d. If the project for which the permit is obtained is not completed by a deadline set forth in this section, the permittee may submit a request for an extension of the permit to the enforcing agency for review. The enforcing agency may extend the permit for a period of one year. Approval of the extension shall not be unreasonably withheld. Denial of a request for an extension may be appealed to the county construction board of appeals established pursuant to section 9 of P.L.1975, c.217 (C.52:27D-127). If a project is not completed within the deadline set forth in this section, the enforcing agency shall take all appropriate action up to and including demolition of the uncompleted structure.
The provisions of this subsection shall not apply to a permit obtained: (1) to construct improvements to the interior of a residential property in which the permittee is currently residing that are not visible from the outside of the residential property, (2) for any building of which the exterior and all required site improvements have been fully constructed, or (3) for a project while that project is under the control of a mortgagee in possession.
The enforcing agency may suspend, revoke or cancel a construction permit in case of neglect or failure to comply with the provisions of this act or the code, or upon a finding by it that a false statement or representation has been made in the application for the construction permit.
##### **§ 52:27D-131.1** Removal, demolition of certain building, structure. {#sec-52-27d-131.1 omnilex-key=us-nj-statutes--title-52--52:27D-131.1}
2. a. If the owner of a building or structure fails to comply with a removal or demolition order issued by an enforcing agency under authority of P.L.2001, c.457 (C.52:27D-131.1 et al.) or of P.L.1975, c.217 (C.52:27D-119 et seq.), the enforcing agency may cause such building or structure to be removed or demolished or may notify the governing body of the need to contract for the removal or demolition thereof in accordance with the provisions of the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.). Such removal or demolition shall include the clearance, and any necessary leveling, of the site.
b. The cost of any such removal or demolition, together with the cost of filing legal papers, expert witnesses' fees, search fees and advertising charges incurred in the course of any proceeding taken under P.L.2001, c.457 (C.52:27D-131.1 et al.) or under P.L.1975, c.217 (C.52:27D-119 et seq.), less any proceeds received by the enforcing agency from the sale of the materials of the building or structure, shall be a municipal lien against the real property upon which such cost was incurred. In the event that costs were paid by any governmental entity other than the municipality, the lien shall be assigned to that governmental entity. The lien shall be filed and shall be enforceable in the same manner as are other municipal liens.
##### **§ 52:27D-131.2** Short title. {#sec-52-27d-131.2 omnilex-key=us-nj-statutes--title-52--52:27D-131.2}
1. P.L.2024, c.58 (C.52:27D-131.2 et seq.) shall be known and may be cited as the "New Jersey Design Professional Self-Certification Act."
##### **§ 52:27D-131.3** Definitions. {#sec-52-27d-131.3 omnilex-key=us-nj-statutes--title-52--52:27D-131.3}
2. As used in P.L.2024, c.58 (C.52:27D-131.2 et seq.):
"Architect" means an individual who, through education, training, and experience, is skilled in the art and science of building design and has been licensed by the New Jersey State Board of Architects to practice architecture in the State of New Jersey.
"Commissioner" means the Commissioner of Community Affairs.
"Department" means the Department of Community Affairs.
"Design professional" means an architect or professional engineer.
"Enforcing agency" means the same as the term is defined in section 3 of P.L.1975, c.217 (C.52:27D-121). "Enforcing agency" shall also mean the commissioner, in municipalities for which the commissioner has assumed the task of administering and enforcing the State Uniform Construction Code pursuant to section 10 of P.L.1975, c.217 (C.52:27D-128).
"Professional engineer" means a person who is licensed by the State Board of Professional Engineers and Land Surveyors to practice engineering in the State of New Jersey.
"Project" means the work identified in a construction permit application and accompanying plans.
"Qualified design professional" means a design professional who satisfies the requirements established pursuant to subsection e. of section 3 of P.L.2024, c.58 (C.52:27D-131.4), and has not been excluded, suspended, or otherwise sanctioned by the department pursuant to section 5 of P.L.2024, c.58 (C.52:27D-131.6).
"Qualified design professional of record" means the qualified design professional who prepared or supervised the preparation of an application for a construction permit and the plans and specifications submitted therewith filed with the enforcing agency pursuant to the self-certification program established pursuant to section 3 of P.L.2024, c.58 (C.52:27D-131.4).
"Self-certification" or "self-certified" means a qualified design professional's submission to an enforcing agency of an application for a construction permit and the associated plans and specifications submitted together with a design professional of record self-certification form, as specified in section 4 of P.L.2024, c.58 (C.52:27D-131.5).
"Self-certification program" or "program" means the program established pursuant to section 3 of P.L.2024, c.58 (C.52:27D-131.4), requiring an enforcing agency to accept an application for a construction permit and the associated plans and specifications that have been self-certified by a qualified design professional.
"Supervisory check" means the enforcing agency's acknowledgement of receipt of all materials required to support issuance of a construction permit pursuant to the State Uniform Construction Code.
##### **§ 52:27D-131.4** Self-certification program established, design professionals. {#sec-52-27d-131.4 omnilex-key=us-nj-statutes--title-52--52:27D-131.4}
3. a. The Commissioner of Community Affairs shall establish a self-certification program through which a qualified design professional shall be permitted to:
(1) take responsibility for a project's compliance with the State Uniform Construction Code, and
(2) self-certify that an application for a construction permit and the plans and specifications submitted therewith comply with the State Uniform Construction Code and the requirements of other applicable laws.
b. Self-certification pursuant to P.L.2024, c.58 (C.52:27D-131.2 et seq.) shall be available for repair, renovation, alteration, and reconstruction projects, as defined by the State Uniform Construction Code, in the following use groups with the following square footage limitations:
(1) Group B occupancies up to 9,000 square feet;
(2) Group F-1 occupancies up to 8,500 square feet;
(3) Group F-2 occupancies up to 13,000 square feet;
(4) Group M occupancies up to 9,000 square feet;
(5) Group R-1 occupancies up to 7,000 square feet;
(6) Group R-2 occupancies up to 7,000 square feet;
(7) Group R-3 occupancies up to 4,800 square feet;
(8) Group R-4 occupancies up to 7,000 square feet;
(9) Group R-5 occupancies up to 4,800 square feet;
(10) Group S-1 occupancies up to 9,000 square feet; and
(11) Group S-2 occupancies up to 13,500 square feet.
c. The commissioner, by adoption of regulations after consultation with the code advisory board, may extend authorization to participate in the self-certification program to projects in addition to those specified in subsection b. of this section, including, but not limited to, projects involving: additional categories of work, additional use groups, more extensive square footage limitations, and projects and submittals specified in subsection d. of this section.
d. Self-certification pursuant to P.L.2024, c.58 (C.52:27D-131.2 et seq.) shall not be available for any of the following types of projects and submittals, unless the commissioner, by regulation, extends authorization for that type of project or submittal in the self-certification program:
(1) projects where plan review is reserved solely to the Department of Community Affairs;
(2) projects that include a new commercial kitchen;
(3) projects that include new electrical service exceeding 400 amps;
(4) projects that include structural alterations involving lateral design, or any project that requires a special inspection pursuant to the State Uniform Construction Code; and
(5) prototype plan submittals.
e. The enforcing agency shall, within one to five calendar days following receipt of a self-certified construction permit application and accompanying plans and specifications, conduct a supervisory check of the application materials to ascertain receipt of all materials necessary to support issuance of the construction permit and, upon acknowledgement of receipt of those materials, issue a construction permit. A permit issued under the self-certification program shall have the same force and effect as a permit issued by an enforcing agency after full examination and approval of the construction documents. Except as otherwise provided in the State Uniform Construction Code, or in the rules of the department, an approved application for a construction permit, plans, or specifications or the approval of similar construction documents, shall be deemed to refer to accepted, self-certified construction documents or to the acceptance of construction documents, as applicable.
f. The commissioner shall establish requirements for design professionals to qualify to participate in the self-certification program, which shall include, but not be limited to:
(1) current licensure as a design professional;
(2) current licensure by the department to inspect high-rise and hazardous structures for the applicable State Uniform Construction Code subcode jurisdiction;
(3) authorization granted by the department; and
(4) proof of, or a certificate demonstrating, professional liability insurance coverage, issued by an insurer authorized to provide insurance coverage in the State of New Jersey, which provides coverage with limits that are no less than $500,000 per claim, and $1,000,000 in the aggregate, for all claims made during the policy period.
g. The self-certification program shall include a condition that the qualified design professional of record remain with the project until the enforcing agency signs off on the project through the issuance of a letter of completion or certificate of approval. If the qualified design professional of record withdraws from a project before the enforcing agency's issuance of a letter of completion or certificate of approval, all work shall cease and no permit, letter of completion, or certificate of approval shall be issued until:
(1) a successor qualified design professional is designated as the qualified design professional of record and satisfies the requirements set forth in this section; and
(2) (a) the successor qualified design professional submits a professional certification confirming the qualified design professional's concurrence with the construction documents accepted by the enforcing agency; or
(b) new construction documents are approved or accepted by the enforcing agency.
##### **§ 52:27D-131.5** Design professional, self-certification form, established; contents, website. {#sec-52-27d-131.5 omnilex-key=us-nj-statutes--title-52--52:27D-131.5}
4. a. The commissioner shall establish and promulgate a design professional of record self-certification form and provide online access to the form through the department's Internet website. A qualified design professional of record shall complete and submit the form to the enforcing agency, together with submission of a self-certified construction permit application and accompanying plans and specifications. The form shall include:
(1) a design professional of record self-certification statement, pursuant to subsection b. of this section; and
(2) the qualified design professional of record's certification and attestation that:
(a) the qualified design professional of record shall take all measures necessary to correct a false or inaccurate statement provided to the enforcing agency in the permit application or plans and specifications submitted therewith immediately after the qualified design professional of record becomes aware of the false or inaccurate statement, regardless of whether the false or inaccurate statement was made by the qualified design professional of record or the design professional's agent or employee;
(b) the qualified design professional of record acknowledges that the enforcing agency's issuance of a permit under the self-certification program is reliant upon the truth and accuracy of the design professional's certifications set forth in the design professional of record self-certification;
(c) the qualified design professional of record agrees that if the enforcing agency determines that a submitted permit application, plans, and specifications do not conform to the requirements of the State Uniform Construction Code or other applicable law, the qualified design professional of record, in a timely manner, shall bring the submitted permit, plans, specifications, and all construction undertaken thereunder into conformance with the requirements of the State Uniform Construction Code and other applicable law and shall take all remedial measures within the qualified design professional of record's control;
(d) the qualified design professional of record acknowledges that failure, prior to the final inspection of the project, of the design professional to bring the submitted permit, plans, specifications, and all construction undertaken pursuant thereto into conformity with the requirements of the State Uniform Construction Code and other applicable law and failure to take all reasonably necessary remedial measures, within the design professional's control, to bring the submitted permit, plans, specifications, and all construction undertaken pursuant thereto into compliance with the State Uniform Construction Code and other applicable law may result in revocation of the qualified design professional of record's privileges under the self-certification program and may result in notification of the revocation to the appropriate State professional licensing board; and
(e) the qualified design professional agrees to comply with additional certification requirements imposed pursuant to rule or regulation adopted by the commissioner.
b. In order to support issuance of a construction permit under the self-certification program, at the time of submission of a design professional of record self-certification form and a self-certified construction permit application, plans, and specifications to the enforcing agency, the qualified design professional of record shall submit a design professional of record self-certification statement certifying that:
(1) the qualified design professional has been a licensed architect or professional engineer for at least three years and is licensed and certified in the State of New Jersey;
(2) within the preceding five-year period, the qualified design professional has not been convicted or found liable of:
(a) knowingly making a false statement of material fact on, or in connection with, a construction permit application;
(b) knowingly submitting, in support of a construction permit application, a document containing false or fraudulent information; or
(c) knowingly affixing a false signature to a construction permit application;
(3) submission to an enforcing agency of a permit application, plans, and specifications, upon which the stamp of the qualified design professional has been affixed, indicates that each page of the application:
(a) was prepared by, under the direct supervision of, or reviewed by, the qualified design professional of record;
(b) is complete; and
(c) as of the date of submission, the permit application, plans, and specifications comply with the requirements of the State Uniform Construction Code and other applicable law;
(4) the permit application, plans, specifications, and all technical submissions made by the qualified design professional of record in connection with the self-certified project were prepared in accordance with and meet the standard of care required of the profession; and
(5) all information and assertions made in support of a permit application by the qualified design professional of record in the permit application, plans, and specifications are true and correct.
c. The commissioner shall establish and promulgate on the department's Internet website an owner certification statement, which, for each project, the owner responsible for the work identified in the permit application shall certify that the owner:
(1) authorized the work of all professionals and consultants named in the permit application and accompanying plans; and
(2) shares joint responsibility for ensuring compliance with the State Uniform Construction Code.
d. The commissioner shall establish and promulgate on the department's Internet website, an owner hold harmless letter, which, for each project, the owner shall sign, date, agree to, and furnish to the qualified design professional of record, who shall submit the letter to the enforcing agency, and which shall provide that the owner agrees:
(1) to protect, defend, indemnify, and hold harmless the municipality and the State of New Jersey, and their officers, representatives, managers, agents, and employees, against any and all claims, liabilities, judgments, costs, expenses, delays, demands, or injuries arising out of or in any way connected with the design, construction, State Uniform Construction Code compliance review, or issuance of a permit for the project identified in the permit application; and
(2) that if any component of construction is found to not conform to the requirements of the State Uniform Construction Code, any other applicable law, or any permit issued under the self-certification program, the owner shall, without undue delay, remove or modify, at the owner's own expense, the nonconforming component or components of construction.
##### **§ 52:27D-131.6** Community Affairs Department, enforcing agency, reasonable oversight. {#sec-52-27d-131.6 omnilex-key=us-nj-statutes--title-52--52:27D-131.6}
5. a. The department may review any action performed by an enforcing agency to ensure reasonable oversight of a project.
b. (1) All qualified design professionals shall be subject to random audit by the department to determine whether the application, plans, and specifications for their projects comply with the requirements of the State Uniform Construction Code, the provisions of P.L.2024, c.58 (C.52:27D-131.2 et seq.), and other applicable laws. The department shall design and implement audits to measure the efficiency of the self-certification program and compliance with the provisions of P.L.2024, c.58 (C.52:27D-131.2 et seq.).
(2) The department shall provide written notice of the results of an audit to the qualified design professional of record. The notification shall provide a summary of the audit results and direct the qualified design professional to address all violations of the State Uniform Construction Code found in the audit by a specific date. The specified date shall be reasonable based upon the type of violations and the nature of the corrections that need to be made. Failure to submit required corrections may result in actions specified in subsection c. of this section.
(3) The commissioner may charge a reasonable fee to cover the costs associated with the performance of the audit.
c. (1) The commissioner may exclude, suspend, or otherwise sanction a qualified design professional for cause, after providing the opportunity for a hearing, for failure to submit required corrections pursuant to subsection b. of this section. A qualified design professional shall not be eligible to participate in the self-certification program during any period of probation imposed as a sanction by the New Jersey State Board of Architects or the State Board of Professional Engineers and Land Surveyors.
(2) The commissioner, after providing a qualified design professional the opportunity for an administrative hearing, shall exclude or suspend a qualified design professional from participating in the self-certification program, or otherwise condition the professional's eligibility to participate in the program, upon determining that the professional:
(a) knowingly or negligently submitted a self-certified permit application or construction document that contains false information or is not in compliance with all applicable provisions of law, or
(b) submitted two self-certified permit applications or construction documents, within a 12-month period, which contained material errors that resulted in revocation of construction permits or otherwise demonstrate incompetence or a lack of knowledge of applicable laws.
(3) A qualified design professional who is excluded from the program pursuant to this section may apply for reinstatement no sooner than one year after the date of exclusion. An applicant who the commissioner determines is qualified to resume participation in the program shall be on probation for a period of not less than six months after reinstatement and, during that time, as a condition of such reinstatement, shall attend one or more trainings or continuing education courses approved by the department and related to compliance with the State Uniform Construction Code and related laws and rules. The design professional shall submit satisfactory proof of the successful completion of the training or continuing education courses to the department.
(4) The commissioner shall revoke, after the opportunity for an administrative hearing, for a period of not less than five years, the self-certification privileges of a qualified design professional who, while on probation, professionally certifies an application, plan, construction documents, or other document that contains materially false information or is not in material compliance with all applicable provisions of law or who otherwise demonstrates gross negligence, incompetence, or a total disregard of applicable laws or standards.
(5) Nothing in this subsection shall be construed to limit the commissioner's power to adopt rules, pursuant to section 7 of P.L.2024, c.58 (C.52:27D-131.8), that include additional grounds to limit the self-certification privileges of, or otherwise sanction, a qualified design professional, after affording the professional an opportunity for a hearing, when the commissioner determines that the design professional knowingly or negligently submitted permit applications or other documents to the enforcing agency that contained materially false information or were not in material compliance with all applicable provisions of law or that otherwise demonstrate gross negligence, incompetence, or a total disregard of applicable law or standards.
d. The department shall create and maintain a searchable database on the department's Internet website of all qualified design professionals who have been excluded, suspended, or otherwise sanctioned by the department. Within seven business days of the date a sanction is imposed, the department shall post on its Internet website and shall make available upon request the name of the qualified design professional, a description of the sanction, the initial date of the sanction, the reinstatement date, if applicable, the address of the premises for which the application associated with the sanction was submitted, and whether the sanction was imposed after a hearing or through a settlement. The department shall provide requested information concerning the exclusion, suspension, or other sanction of a specific qualified design professional within 30 days of such request.
e. Within 10 business days of the department's adverse determination or sanction of a professional engineer under the self-certification program, the department shall provide written notice of the adverse determination or sanction to the State Board of Professional Engineers and Land Surveyors. As used in this section, "adverse determination or sanction" includes a settlement agreement that results in the department's imposition of a sanction or loss of privileges the professional engineer. The department shall notify the board of the name and business firm name and address of the professional engineer, as well as supporting documentation for the sanction imposed.
f. Within 10 business days of the department's adverse determination or sanction of a registered architect under the self-certification program, the department shall provide written notice of the adverse determination or sanction to the New Jersey State Board of Architects. As used in this section, "adverse determination or sanction" includes a settlement agreement that results in the department's imposition of a sanction or loss of privileges of the registered architect. The department shall notify the board of the name and business firm name and address of the registered architect, as well as supporting documentation for the sanction imposed.
g. The department shall not provide notice pursuant to subsection d., e., or f. of this section until a design professional's rights to appeal are exhausted or have expired.
##### **§ 52:27D-131.7** Study, construction activity, self-certification program; report to Governor, Legislature. {#sec-52-27d-131.7 omnilex-key=us-nj-statutes--title-52--52:27D-131.7}
6. The commissioner shall, within three years following the effective date of P.L.2024, c.58 (C.52:27D-131.2 et seq.):
a. undertake a study, in consultation with the code advisory board, established pursuant to section 7 of P.L.1975, c.217 (C.52:27D-125), to determine construction activity, which may be added to the self-certification program. The department may retain a third party or consultant to undertake this study, but shall consult with the code advisory board regarding the results of the study conducted by a third party; and
b. prepare and submit a report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature regarding the self-certification program established pursuant to section 3 of P.L.2024, c.58 (C.52:27D-131.4), and the results of the study conducted pursuant to subsection a. of this section.
##### **§ 52:27D-132** Inspection of construction by enforcing agency; right of entry; stop construction orders; violations, reinspection. {#sec-52-27d-132 omnilex-key=us-nj-statutes--title-52--52:27D-132}
14. a. The enforcing agency shall periodically inspect all construction undertaken pursuant to a construction permit issued by it to ensure that the construction or alteration is performed in accordance with the conditions of the construction permit and consistent with the requirements of the code and any ordinance implementing said code.
b. The owner of any premises upon which a building or structure is being constructed shall be deemed to have consented to the inspection by the enforcing agency and the department of the entire premises and of any and all construction being performed on it until a certificate of occupancy has been issued. An inspector, or team of inspectors, on presentation of proper credentials, shall have the right to enter and inspect such premises, and any and all construction thereon, for purposes of ensuring compliance with the provisions of the applicable construction permit, the code, and other applicable laws and regulations. All inspections pursuant to P.L.1975, c.217 (C.52:27D-119 et seq.) shall be between the hours of 9 a.m. and 5 p.m. on business days or at another time that has been agreed upon by the owner and the relevant inspecting entity, whether the enforcing agency, department, or private on-site inspection agency, or when construction is actually being undertaken, provided, however, that inspections may be conducted at other times if the enforcing agency has reasonable cause to believe that an immediate danger to life, limb, or property exists or if permission is given by an owner or the owner's agent, architect, engineer, or builder. No person shall accompany an inspector or team of inspectors on any inspection pursuant to P.L.1975, c.217 (C.52:27D-119 et seq.), unless the person's presence is necessary for the enforcement of P.L.1975, c.217 (C.52:27D-119 et seq.), or the code or unless consent is given by an owner or the owner's agent, architect, engineer, or builder.
c. If the construction of a structure or building is being undertaken contrary to the provisions of a construction permit, P.L.1975, c.217 (C.52:27D-119 et seq.), the code, or other applicable laws or ordinances, the enforcing agency may issue a stop construction order in writing which shall state the conditions upon which construction may be resumed and which shall be given to the owner or the holder of the construction permit or to the person performing the construction. If the person doing the construction is not known, or cannot be located with reasonable effort, the notice may be delivered to the person in charge of, or apparently in charge of, the construction. No person shall continue, or cause or allow to be continued, the construction of a building or structure in violation of a stop construction order, except with the permission of the enforcing agency to abate a dangerous condition or remove a violation, or except by court order. If an order to stop construction is not obeyed, the enforcing agency may apply to the appropriate court as otherwise established by law for an order enjoining the violation of the stop construction order. The remedy for violation of such an order provided in this subsection shall be in addition to, and not in limitation of, any other remedies provided by law or ordinance.
d. When an inspector or team of inspectors finds a violation of the provisions of a construction permit, the code, or other applicable laws and regulations at an owner-occupied single-family residence, and issues a notice of violation and an order to terminate the violation, the enforcing agency shall require the same inspector or team of inspectors who found the violation to undertake any subsequent reinspection thereof at the premises. When the same inspector or team of inspectors cannot be assigned to undertake the reinspection, the enforcing agency may assign an available inspector, provided the scope of the reinspection shall be limited to the violation for which the reinspection is required. The requirements of this subsection shall not apply to violations of the plumbing or electrical subcodes, to fire safety code violations, or to any violation of any other subcode that the Department of Community Affairs determines to be a health or safety violation. Nothing in this subsection shall be construed to infringe upon the right of a property owner to request a different inspector, team of inspectors, or supervisor, to perform any required reinspection.
e. The owner, agent, or other responsible person in charge of work shall notify the enforcing agency when the work is ready for any required inspection under the code. This notice shall be given in writing at least 24 hours prior to the date and time requested for the inspection. The enforcing agency shall perform an inspection within three business days of the date for which the inspection is requested. The owner, agent, or other responsible person in charge of work may provide oral notice for inspections of minor work projects, as defined by the code.
(1) The owner, agent, or other responsible person in charge of work shall be present and prepared at the time of any inspection that has been scheduled upon the owner, agent, or other responsible person's request. A failure by the owner, agent, or other responsible person in charge of work to be present and prepared for inspection shall be considered a failed inspection.
(2) If the enforcing agency is unable to perform a requested inspection within three business days of the date for which the inspection is requested, or during the time window set pursuant to paragraph (5) of this subsection, the enforcing agency shall inform the owner, agent, or other responsible person in charge of work in writing within 24 hours of receiving the request that it is unable to perform the inspection within three business days and no less than 24 hours prior to the start of the four-hour time window set pursuant to paragraph (5) of this subsection if it is unable to perform the inspection during that window, at which time the enforcing agency and the owner, agent, or other responsible person in charge of work may agree to a different date and time for inspection. The enforcing agency shall commit the agreed upon inspection date to writing and provide a copy to the owner, agent, or other responsible person in charge of work.
(3) If the enforcing agency is unable to perform the requested inspection within three business days of the date for which the inspection is requested and the enforcing agency and the owner, agent, or responsible person in charge of work are unable to come to an agreement pursuant to paragraph (2) of this subsection, the owner, agent, or other responsible person in charge of work may choose to contract with a private on-site inspection agency authorized by the department to conduct on-site inspections pursuant to paragraph i. of section 6 of P.L.1975, c.217 (C.52:27D-124) to perform the requested inspection or inspections.
(a) The owner, agent, or other responsible person in charge of work shall notify the enforcing agency in writing of any choice to utilize an authorized private on-site inspection agency to conduct the requested inspection or inspections.
(b) The owner, agent, or other responsible person in charge of work may elect to utilize the private on-site inspection agency to conduct all subsequent associated inspections. In the event of a project with multiple units in one building, this provision shall apply to the specific unit or units affected by the inspection delay.
(c) The use of a private on-site inspection agency by an owner, agent, or other responsible person for on-site inspections shall be subject to the conflict-of-interest provisions in the code. In addition to those requirements, no private on-site inspection agency shall perform an inspection for any owner, agent, or other responsible person in charge of work, if an owner, agent, or other responsible person is currently employed by or affiliated with any individual affiliated with the private on-site inspection agency or has employed or was associated with an individual affiliated with the private on-site inspection agency within a timeframe established by the commissioner by regulation.
(d) The enforcing agency shall, if warranted, provide a fee reconciliation to the owner for an inspection completed by a private on-site inspection agency as a result of a missed inspection. The enforcing agency shall perform the reconciliation at the conclusion of the project. This reconciliation shall be based on the fees already paid less administrative costs for the enforcing agency and shall not exceed the amount already paid for the project, nor shall it exceed the amount that the enforcing agency is authorized to impose for inspections, and shall take into account the administrative costs of the enforcing agency.
(4) If the owner, agent, or other responsible person in charge of work believes an enforcing agency has demonstrated a repeated inability to conduct inspections for a construction project within the timelines required by this section, as established by the commissioner by regulation, the owner, agent, or other responsible person in charge of work may notify the department in writing to request authorization to utilize an authorized private on-site inspection agency. Within 15 business days of receiving a notification under this paragraph, the department shall determine whether the enforcing agency has demonstrated repeated inability and, if the department determines, shall authorize the owner, agent, or other responsible person in charge of work to utilize an authorized private on-site inspection agency for all or a portion of the necessary inspections for the remainder of the project.
(5) The enforcing agency shall notify, in writing, within 24 hours of receiving a request for an inspection, and not later than 24 hours prior to the start of a time window set for an inspection, the owner, agent, or other responsible person in charge of work of the four-hour time window, during which the enforcing agency will conduct the inspection. The owner, agent, or other responsible person in charge of work may file on the department’s Internet website a complaint against a local enforcing agency for violations of this paragraph. Municipalities in which the Department of Community Affairs acts as the local enforcing agency, and projects in which the Department is the sole enforcing agency, shall not be subject to the provisions of this paragraph.
f. Each enforcing agency shall establish a process for ensuring inspections are performed within three business days of a requested inspection date, as required by subsection e. of this section, and that the applicable enforcing agency performs the inspection within the four-hour time window set pursuant to paragraph (5) of subsection e. of this section or that notice is provided pursuant to paragraph (2) of subsection e. of this section. Authorized processes include, but are not limited to, the use of supplemental shared services agreements with other municipalities or enforcing agencies and the use of contracted private on-site inspection agencies, including supplemental private on-site inspection agencies.
g. (1) At timeframes established by the commissioner by regulation, adopted in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the municipal construction official shall submit an annual report detailing compliance with the code. The report shall include, at a minimum, information related to the staffing, staff titles, and expenses of the enforcing agency, in addition to any other information required by the commissioner. The annual report shall take into account projected work and agency resource needs for the next budget year.
(2) A municipality that enters into a contract for supplemental services pursuant to subsection f. of this section shall provide a copy of the contract to the department upon entering into the contract.
(3) The information required by paragraphs (1) and (2) of this subsection, in addition to the inspection log, the municipal monthly activity reports, and the fee schedule, shall be maintained by the municipal construction official or enforcing agency, and the municipal construction official or enforcing agency shall make the information and documents described in this paragraph available to the department upon request.
(4) The department may utilize the information provided pursuant to this subsection to determine appropriate staffing levels for the enforcing agency. If the department determines that an enforcing agency has not maintained appropriate staffing levels, the department may require the municipality to take corrective actions to ensure that the enforcing agency's staffing needs are met.
(5) The department may take corrective action, including the issuance of penalties, pursuant to subsection k. of section 6 of P.L.1975, c.217 (C.52:27D-124), if an enforcing agency fails to maintain or provide the information required by this subsection or maintain appropriate staffing levels, as determined by the department pursuant to paragraph (4) of this subsection.
h. If an enforcing agency is unable to meet its obligations under P.L.1975, c.217 (C.52:27D-119 et seq.), the enforcing agency shall promptly notify the department within 15 business days. The department may take corrective action, including the issuance of penalties, pursuant to subsection k. of section 6 of P.L.1975, c.217 (C.52:27D-124) if an enforcing agency fails to meet its obligations under P.L.1975, c.217 (C.52:27D-119 et seq.).
##### **§ 52:27D-132.1** Rules, regulations. {#sec-52-27d-132.1 omnilex-key=us-nj-statutes--title-52--52:27D-132.1}
4. In accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the commissioner shall propose within six months and adopt within nine months rules and regulations to effectuate the provisions of P.L.2022, c.139 (52:27D-132.1 et al.), including rules that provide for: the use of supplemental shared services agreements; the authorization of private on-site inspection agencies by the department to conduct on-site inspections; and the use of private on-site inspection agencies by municipalities and enforcing agencies. In addition to the activity described in subparagraph (b) of paragraph (3) of subsection e. of section 14 of P.L.1975, c.217 (C.52:27D-132), the rules and regulations shall allow an enforcing agency to:
a. enter into a supplemental shared service agreement or contract with a supplemental private on-site inspection agency to conduct an on-site inspection for the purpose of meeting all required inspection timeframes;
b. enter into an agreement with a private on-site inspection agency to conduct an on-site inspection on a project-specific basis; and
c. authorize the owner, agent, or other authorized person in charge of work to directly contract with an authorized private on-site inspection agency to perform all inspections on a project-specific basis.
##### **§ 52:27D-132.2** Findings, declarations. {#sec-52-27d-132.2 omnilex-key=us-nj-statutes--title-52--52:27D-132.2}
1. The Legislature finds and declares that:
a. The importance of the structural integrity of residential buildings in New Jersey has become a growing concern for many, especially in the wake of the tragic collapse of a high-rise, multifamily housing structure in Florida.
b. In light of these growing concerns, it is appropriate for the Legislature to put in place appropriate procedures for inspecting, evaluating, and maintaining the structural integrity of certain residential housing structures within this State.
##### **§ 52:27D-132.3** Definitions. {#sec-52-27d-132.3 omnilex-key=us-nj-statutes--title-52--52:27D-132.3}
2. As used in P.L.2023, c.214 (C.52:27D-132.2 et al.):
"Adequate" or "adequacy" means a sum of money, however invested or held by an association of a planned real estate development, that, in accordance with the professional standards applied by the reserve specialist, architect, or engineer performing or overseeing the study, is sufficient so that the balance in the association’s reserve fund, required pursuant to section 7 of P.L.2023, c.214 (C.45:22A-44.3), will not fall below zero dollars as set forth in the association’s 30-year funding plan, prepared as part of a reserve study, regardless of whether the reserve study was conducted within five years of the effective date of P.L.2023, c.214 (C.52:27D-132.2 et al.), or conducted pursuant to section 6 of P.L.2023, c.214 (C.45:22A-44.2).
"Balcony" means an extension of the interior living space of the building that extends outwards from the facade of a covered building and is exposed to the elements.
"Bureau" means the Bureau of Housing Inspection in the Department of Community Affairs.
"Corrective maintenance" means maintenance to be undertaken following the detection of deterioration of the primary load bearing system with the goal of remediating the condition reported by the structural inspector.
"Covered building" means a residential condominium or cooperative building that has a primary load bearing system that is comprised of a concrete, masonry, steel, or hybrid structure including, without limitation, heavy timber and a building with podium decks, but not including an excluded structure.
"Covered building owner" means the owner of a covered building, whose name appears of record with the county clerk or register, or the association of a common interest community.
"Excluded structure" means:
International Standardization Organization ISO Type 1 construction or frame-built construction with combustible walls or roofs, but not including a podium deck on which the frame-built construction is situated;
a building with ancillary elements that are not part of the primary load bearing system such as, but not limited to, elevator shafts or concrete, masonry, steel, or heavy timber that the primary load bearing system does not deliver a building's load to the foundation;
a building that is not a condominium or cooperative, and consists primarily of rental dwellings; or
a single-family dwelling.
"Podium deck" means a structural slab or deck that transfers applied loads from the structure above to the structure below.
"Primary load bearing system" means the assemblage of structural components within a building comprised of columns, beams, or bracing that by contiguous interconnection form a path by which external and internal forces applied to the building are delivered to the foundation. The foundation as well as any connected or attached balconies shall be included as part of the primary load bearing system evaluation.
"Structural inspector" means:
a construction official, as that term is used in section 8 of P.L.1975, c.217 (C.52:27D-126), who is also an engineer licensed by the State;
an employee of the bureau who is also an engineer licensed by the State; or
an engineer licensed by the State who has the same qualifications required of an engineer under contract with the enforcing agency with whom the covered building owner contracts to perform inspections of covered buildings under section 3 of P.L.2023, c.214 (C.52:27D-132.4).
##### **§ 52:27D-132.4** Initial structural inspection, building components, primary load bearing system, covered building, timelines; reports. {#sec-52-27d-132.4 omnilex-key=us-nj-statutes--title-52--52:27D-132.4}
3. a. Following the issuance of a certificate of occupancy, an initial structural inspection of the building components forming the primary load bearing system of a covered building shall be undertaken by a post-occupancy structural inspector retained by the covered building owner within the earlier of:
(1) 15 years of the date on which the covered building receives a certificate of occupancy pursuant to section 15 of P.L.1975, c.217 (C.52:27D-133); or
(2) 60 days after observable damage to the primary load bearing system.
b. If a covered building has received a certificate of occupancy pursuant to section 15 of P.L.1975, c.217 (C.52:27D-133) prior to the effective date of P.L.2023, c.214 (C.52:27D-132.2 et al.), then an initial structural inspection shall be undertaken by a structural inspector based on the number of years the certificate of occupancy preceded the effective date of P.L.2023, c.214 (C.52:27D-132.2 et al.), as provided in this subsection. If the certificate of occupancy was provided:
(1) one day to 14 years and 364 days prior to the effective date of P.L.2023, c.214 (C.52:27D-132.2 et al.), then the structural inspection shall occur within one year of the date 15 years following the date of the issuance of the certificate of occupancy; or
(2) 15 or more years prior to the effective date of P.L.2023, c.214 (C.52:27D-132.2 et al.), then the structural inspection shall occur within two years following the effective date of P.L.2023, c.214 (C.52:27D-132.2 et al.).
c. A building that has been converted to a condominium or cooperative form of ownership after the effective date of P.L.2023, c.214 (C.52:27D-132.2 et al.) shall, as part of the process of registering the project pursuant to the "Planned Real Estate Development Full Disclosure Act," P.L.1977, c.419 (C.45:22A-21 et seq.) and the regulations promulgated thereunder, be required to follow the schedule of inspections provided in paragraphs (1) and (2) of subsection b. of this section.
d. After the post-occupancy structural inspector has performed an inspection pursuant to subsection a. of this section, the post-occupancy structural inspector shall issue a written report describing the condition of the primary load bearing system. The post-occupancy structural inspection report shall:
(1) set forth with specificity any required maintenance or repairs needed by the primary load bearing system;
(2) determine when the next inspection of the primary load bearing system shall be performed, but in no event shall a secondary inspection occur more than the earlier of: (a) 10 years after the initial inspection has taken place; or (b) not more than 60 days after there is observable damage to the primary load bearing system;
(3) be provided to the municipal appointing authority, the construction official and the enforcing agency;
(4) be prepared in accordance with the protocol established by the American Society of Civil Engineers, for the structural condition assessment of a covered building or a similar protocol by another nationally recognized structural engineering organization; and
(5) provide any other information or guidance necessary to maintain the structural integrity of a covered building.
e. If the structural inspector's report created pursuant to subsection d. of this section finds that corrective maintenance of the primary load bearing system is required, the report shall specify with reasonable detail the required corrective maintenance.
f. Notwithstanding the structural inspector's initial inspection and report undertaken pursuant to subsections a. through e. of this section, subsequent structural inspections and reports shall be provided for as set forth by the structural inspector's preceding report as follows:
(1) The structural inspector shall determine a reasonable period of time within which the next inspection shall take place provided, however, that any subsequent inspection under this paragraph shall not take place more than five years after a preceding inspection.
(2) The structural inspector shall review the preceding inspection report prior to undertaking subsequent inspection of the covered building. After the structural inspector completes this review and inspection, the structural inspector will then issue a subsequent inspection report which shall:
(a) make note of any new or progressive deterioration;
(b) set forth the covered maintenance required to address any new or progressive deterioration; and
(c) be provided to the covered building owner, who shall undertake measures necessary to effectuate the covered maintenance, including, but not limited to, engaging the services of an architect or engineer licensed by the State and qualified in structural repairs or maintenance to create plans or specifications to implement the covered maintenance. The covered building owner shall cause any plans or specifications created pursuant to this subparagraph to be filed with the municipal appointing authority or enforcing agency.
(3) If the post-occupancy structural inspector's inspection finds that there is no need for corrective maintenance, the written report shall be filed with the enforcing agency or municipal appointing authority.
(4) Any written reports issued by the post-occupancy structural inspector pursuant to this section shall be provided to the covered building's owner and shall be made available to any resident of a covered building upon request.
g. Inspections conducted pursuant to this section may be conducted in conjunction with other required inspections, including, but not limited to, inspections required pursuant to the "Hotel and Multiple Dwelling Law," P.L.1967, c.76 (C.55:13A-1 et seq.).
##### **§ 52:27D-132.5** Post-occupancy structural inspector, American Society of Civil Engineers protocols, similar, good faith performance of duties, civil liability, injury, prohibited. {#sec-52-27d-132.5 omnilex-key=us-nj-statutes--title-52--52:27D-132.5}
4. A post-occupancy structural inspector who performs the duties set forth in section 3 of P.L.2023, c.214 (C.52:27D-132.4) in good faith and pursuant to the protocols adopted by the American Society of Civil Engineers, or similar protocols by another nationally recognized structural engineering association, shall not incur any civil liability for injury associated with any inspection undertaken by the structural inspector.
##### **§ 52:27D-133** Certificates of occupancy {#sec-52-27d-133 omnilex-key=us-nj-statutes--title-52--52:27D-133}
15. No building or structure hereafter constructed shall be used or occupied in whole or in part until a certificate of occupancy shall have been issued by the enforcing agency. No building or structure hereafter altered, in whole or in part, shall be used or occupied until such a certificate has been issued, except that any use or occupancy in an already existing building or structure that was not discontinued during its alteration may be continued in the preexisting structure for 30 days after the completion of the alteration without the issuance of a certificate of occupancy. A certificate of occupancy shall be issued by the enforcing agency when all of the work covered by a construction permit shall have been completed in accordance with the permit, the code, and other applicable laws and ordinances. In the case of any new home subject to sales surcharge pursuant to P.L.1991, c.202 (C.46:3B-13 et al.) a certificate of occupancy shall not be issued except after presentation of a receipt, or verified duplicate thereof, from the Department of Community Affairs evidencing the payment of the surcharge. On request of a holder of a construction permit, the appropriate enforcing agency may issue a temporary certificate of occupancy for a building or structure, or part thereof, before the entire work covered by the construction permit has been completed, if the part or parts of the building or structure to be covered by the certificate may be occupied prior to completion of all work in accordance with the permit, the code, and other applicable laws and ordinances, without endangering the health and safety of the occupants or users. When a building or structure is entitled thereto, the enforcing agency shall issue a certificate of occupancy within 10 business days after receipt of a written application therefor in accordance with regulations established by the commissioner on a form prescribed by the commissioner accompanied by payment of a fee to be established by the municipal governing body by ordinance in accordance with standards established by the commissioner. The certificate of occupancy shall certify that the building or structure has been constructed in accordance with the provisions of the construction permit, the code, and other applicable laws and ordinances.
##### **§ 52:27D-133.1** Definitions relative to certain swimming pools {#sec-52-27d-133.1 omnilex-key=us-nj-statutes--title-52--52:27D-133.1}
1. As used in this act:
"Bonding and grounding certificate" means a document issued by a recognized electrical testing agency that verifies the electrical continuity and integrity of the bonding and grounding system of a swimming pool.
"Swimming pool" means a swimming pool, hot tub, or spa located on any property other than one or two family residential property and includes but is not limited to swimming pools open for the use of members, residents or the public.
"Electrical certificate of compliance" means a document issued by the enforcing agency that verifies that all wiring located in or about the pool pump house or similar structure and associated electrical equipment is in compliance with the electrical subcode of the State Uniform Construction Code.
##### **§ 52:27D-133.2** Valid bonding, grounding certificate; electrical certificate of compliance required {#sec-52-27d-133.2 omnilex-key=us-nj-statutes--title-52--52:27D-133.2}
2. a. A swimming pool shall not be opened for use or occupied in whole or in part by any person until a valid bonding and grounding certificate and electrical certificate of compliance are issued. The bonding and grounding certificate shall be evidence of continuity and integrity of the bonding system meeting the requirements of the electrical subcode of the State Uniform Construction Code. The electrical certificate of compliance shall not be issued unless a valid bonding and grounding certificate has been issued.
b. The bonding and grounding certificate shall be valid for a period of five years from the date of issuance. The electrical certificate of compliance shall be renewed annually upon completion of a satisfactory inspection by the enforcing agency, which may charge a fee for each inspection. A swimming pool that is operated on a seasonal basis shall not be opened for the season until a new electrical certificate of compliance has been issued.
c. If the inspection reveals any defective electrical condition on the pool premises that condition shall be repaired by an electrical contractor licensed in the State of New Jersey prior to issuance of the electrical certificate of compliance.
d. The bonding and grounding certificate and the electrical certificate of compliance shall be posted in or about the pool pump house or structure that encloses the pool wiring.
##### **§ 52:27D-133.3** Carbon monoxide sensor device required for issuance of certificate of occupancy; terms defined {#sec-52-27d-133.3 omnilex-key=us-nj-statutes--title-52--52:27D-133.3}
1. a. In any case in which a change of occupancy of any dwelling unit in a building with fewer than three dwelling units is subject to a municipal ordinance requiring the issuance of a certificate of occupancy, certificate of inspection or other documentary certification of compliance with laws and regulations relating to the safety, healthfulness and upkeep of the premises, no such certificate shall issue until the officer or agency responsible for its issuance has determined that: (1) the dwelling unit is equipped with one or more carbon monoxide sensor devices, or (2) that there is no potential carbon monoxide hazard in the dwelling unit. Any such determination shall be made in accordance with rules adopted by the Commissioner of Community Affairs.
b. In the case of an initial occupancy or a change of occupancy of any dwelling unit in a building with fewer than three dwelling units to which the provisions of subsection a. of this section do not apply, no owner shall sell, lease or otherwise permit occupancy for residential purposes of that dwelling unit without first obtaining from the relevant enforcing agency under the"Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.) a certificate indicating: (1) that the dwelling unit is equipped with one or more carbon monoxide sensor devices, or (2) that there is no potential carbon monoxide hazard in the dwelling unit. Any such determination shall be made in accordance with rules adopted by the Commissioner of Community Affairs.
c. The local governing body having jurisdiction over the enforcing agency or, where the Division of Fire Safety is the enforcing agency, the Commissioner of Community Affairs, may establish a fee which covers the cost of inspection and of issuance of the certificate; however, if an inspection is being made and a certificate is being issued evidencing compliance with section 2 of P.L.1991, c.92 (C.52:27D-198.2), the fee authorized therein shall cover the costs of complying with this section.
d. For the purposes of this section:
"Carbon monoxide sensor device" means a carbon monoxide alarm or detector that bears the label of a nationally recognized testing laboratory, and has been tested and listed as complying with the most recent Underwriters Laboratories standard 2034 or its equivalent.
"Dwelling unit" means a structure, or a room or group of rooms within a structure, used or intended for use, in whole or in part, for residential purposes.
e An owner who sells, leases or otherwise permits occupancy of a dwelling unit without complying with the provisions of this section shall be subject to a fine of not more than $100, which may be collected and enforced by the local enforcing agency by summary proceedings pursuant to "The Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
f. This section shall become operative on the 61st day after enactment of P.L.2003, c.44 (C.52:27D-133.5 et al.).
##### **§ 52:27D-133.4** Rules, regulations {#sec-52-27d-133.4 omnilex-key=us-nj-statutes--title-52--52:27D-133.4}
6. Within six months of the effective date of P.L.1999, c.15 (C.52:27D-133.3 et al.), the Commissioner of Community Affairs shall promulgate pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) the rules and regulations necessary to effectuate sections 2 and 3 of P.L.1999, c.15 (C.55:13A-7.17 and C.55:13B-6.1)which shall substantially comport with National Fire Protection Association 720, Recommended Practice for the Installation of Household Carbon Monoxide (CO) Warning Equipment.
##### **§ 52:27D-133.5** Rules, regulations {#sec-52-27d-133.5 omnilex-key=us-nj-statutes--title-52--52:27D-133.5}
3. Notwithstanding any provision of law, rule or regulation to the contrary, within two months of the effective date of P.L.2003, c.44 (C.52:27D-133.5 et al.) the Commissioner of Community Affairs shall promulgate pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) the rules and regulations necessary to effectuate this act.
##### **§ 52:27D-134** Appeal not automatic stay of order to stop construction. {#sec-52-27d-134 omnilex-key=us-nj-statutes--title-52--52:27D-134}
16. a. An appeal to a county, municipal or joint construction board of appeals, a departmental appeal, or an appeal to a court of competent jurisdiction shall not automatically stay any order to stop construction issued pursuant to this act or prevent the seeking of an order in a court of competent jurisdiction to enjoin the violation of a stop construction order.
b. Upon the 121st day subsequent to its filing, an appeal to a county, municipal or joint construction board of appeals, a departmental appeal, or an appeal to a court of competent jurisdiction shall not automatically stay any order, including orders to pay a penalty imposed pursuant to section 20 of P.L.1975, c.217 (C.52:27D-138) or prevent the seeking of an order in a court of competent jurisdiction to enjoin the violation of any order of an enforcing agency, in connection with any property which is certified by a code enforcement official to be unoccupied. For the purposes of this section, a building may not be certified as unoccupied unless it has been unoccupied for a period of not less than six months.
Any party filing an appeal with a court of competent jurisdiction regarding violations assessed against property which has been certified as unoccupied pursuant to this section shall file a motion upon the initiation of the appeal requesting expedited consideration of the appeal on the ground that acceleration is warranted because the subject of the appeal involves matters of public safety. In the event the appeal is granted, the court shall grant the motion to expedite.
##### **§ 52:27D-135** Premanufactured systems {#sec-52-27d-135 omnilex-key=us-nj-statutes--title-52--52:27D-135}
The commissioner shall by rules promulgated hereunder establish a procedure whereby premanufactured systems intended for use in the State may, if entitled thereto, be issued a certificate of acceptability by the department at its place of manufacture. The procedure shall include a requirement that the manufacturer submit to the department detailed plans and specifications for the premanufactured system for approval in compliance with the requirements of the code.
It may also include a requirement that the manufacturer submit to the department test results on the premanufactured system, or its components, or any other material or information that the department considers relevant, or one or more of the premanufactured systems for testing and evaluation. The procedure shall require that premanufactured systems be inspected by the department or a qualified person selected by it, to determine that the premanufactured systems have been manufactured in accordance with the code and with the plans and specifications submitted to the department. Alternatively, the commissioner, after consultation with the code advisory board, may require that each premanufactured system bear the approved label of a qualified body selected by the commissioner. Said body shall have such follow-up inspection services as are satisfactory to the commissioner and shall certify that the premanufactured system complies with the code and with the plans and specifications submitted to the department. If an application for a construction permit specifying the use of a premanufactured system with a certificate of acceptability is submitted to an enforcing agency, and if the application complies in all respects with this act, the code and other applicable laws and ordinances, then the enforcing agency shall issue the construction permit within the time specified in section 13 hereof. At the time of installation, a premanufactured system with a certificate of acceptability shall be subject only to such nondestructive tests approved by the department as may be necessary to determine that it has not been damaged in transit or installation, and that it has been installed in accordance with the applicable construction permit and the code. The fees established and charged by an enforcing agency in connection with the granting of a construction permit on the basis of an application therefor specifying the use of a premanufactured system with a certificate of acceptability, or in connection with the inspection of the installation of such systems, shall bear a reasonable relationship to the costs incurred by the enforcing agency in performing such acts.
##### **§ 52:27D-136** Extension of reciprocity {#sec-52-27d-136 omnilex-key=us-nj-statutes--title-52--52:27D-136}
a. The commissioner, after consultation with the code advisory board, is empowered to extend to and accept from any state, group of states, or the United States of America, reciprocal recognition, certification or approval as enumerated in subsection b. of this section, provided such action is otherwise consistent with the basic purposes of this act and the code.
b. The commissioner, after consultation with the code advisory board, is authorized to accept the findings of any other state, the Federal Government, or nationally recognized organizations, in matters involving or related to the certification of premanufactured systems, assemblies, subsystems, subassemblies and related materials; and the findings of any state or states, the United States, or nationally recognized organizations in the matters of the approval of products, plans, modes and techniques of construction and testing. The commissioner shall certify that such findings are in compliance with the code and this act.
##### **§ 52:27D-137** Review of plans and specifications and inspection of construction by the department {#sec-52-27d-137 omnilex-key=us-nj-statutes--title-52--52:27D-137}
At the request of an enforcing agency, the department or an agency approved by the commissioner may assist an enforcing agency in the inspection of any construction of buildings or structures, provided that the enforcing agency has submitted the plans and specifications for such construction to the department or such agency, as the case may be, for review as to compliance with the code and this act. In such cases the commissioner shall provide by regulation for fees to the department to cover the cost of providing such services, to be borne ultimately by applicants for construction permits. The commissioner shall also provide for the readjustment of municipal fees in accordance with the cost of services performed.
##### **§ 52:27D-138** Penalties. {#sec-52-27d-138 omnilex-key=us-nj-statutes--title-52--52:27D-138}
20. a. Any person or corporation, including an officer, director or employee of a corporation, who:
(1) Violates any of the provisions of this act or rules promulgated hereunder;
(2) Constructs a structure or building in violation of a condition of a building permit;
(3) Fails to comply with any order issued by an enforcing agency or the department;
(4) Makes a false or misleading written statement, or omits any required information or statement in any application or request for approval to an enforcing agency or the department;
(5) Knowingly sells or offers for retail sale any item, device or material, the regular and intended use of which would violate any provision of the State Uniform Construction Code;
Shall be subject to a penalty of not more than $2,000; provided, however, that any penalties in excess of $500.00 per violation may be levied by an enforcing agency only in accordance with subsection e. below.
Paragraph (5) above does not prohibit the retail sale or offering for retail sale of any item, device or material which has more than one regular and intended use, if one of those uses does not violate the code, provided that the item, device or material is not publicly advertised or otherwise promoted by the seller or manufacturer as suitable for a use that would violate any provisions of the code.
b. Anyone who knowingly refuses entry or access to an inspector lawfully authorized to inspect any premises, building or structure pursuant to this act or who unreasonably interferes with such an inspection shall be subject to a fine of not more than $250.00.
c. With respect to subsection a. (3) of this section, a person shall be guilty of a separate offense for each day that he fails to comply with a stop construction order validly issued by an enforcing agency or the department and for each week that he fails to comply with any other order validly issued by an enforcing agency or the department. With respect to subsections a. (1) and a. (4) of this section, a person shall be guilty of a separate offense for each violation of any provision of this act or rules promulgated hereunder and for each false or misleading written statement or omission of required information or statement made in any application or request for approval to an enforcing agency or the department. With respect to subsection a. (2) of the section, a person shall be guilty of a separate offense for each violation of the conditions of a construction permit.
d. The penalties pursuant to this section may be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). Jurisdiction to enforce such penalties is hereby conferred upon judges of the municipal court, in addition to the courts specified by N.J.S.2A:58-2. Suit may be brought by a municipality or the State of New Jersey. Payment of a money judgment pursuant hereto shall be remitted, in the case of a suit brought by a municipality, to the municipal treasurer and in the case of a suit brought by the State of New Jersey, to the State Treasurer.
e. Penalties in excess of $500.00 per violation may be levied by an enforcing agency only as follows:
(1) A penalty for failure or refusal to comply with any lawful order shall not exceed $1,000.00 per violation, unless the failure or refusal to comply is done with the knowledge that it will endanger the life or safety of any person, in which case the penalty shall not exceed $2,000.00 per violation;
(2) A penalty for failure to obtain a required permit prior to commencing construction or for allowing a building to be occupied without a certificate of occupancy shall not exceed $2,000.00 per violation;
(3) A penalty for failure to comply with a stop construction order shall not exceed $2,000.00 per violation;
(4) A penalty for willfully making a false or misleading written statement, or willfully omitting any required information or statement in any application or request for approval, shall not exceed $2,000.00 per violation;
For purposes of this subsection, in an occupied building, only a code violation involving fire safety, structural soundness or the malfunctioning of mechanical equipment that would pose a life safety hazard shall be deemed to endanger the life or safety of a person. In an unoccupied building only a code violation of a requirement intended to protect members of the public who are walking by the property shall be deemed to endanger the life or safety of a person.
##### **§ 52:27D-138.1** Surcharge for violation of State Uniform Construction Code. {#sec-52-27d-138.1 omnilex-key=us-nj-statutes--title-52--52:27D-138.1}
52. In addition to any other penalty, fine or charge imposed pursuant to law, a person convicted of a violation of the State Uniform Construction Code adopted pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.), shall be subject to a surcharge in the amount of $100, of which amount $50 shall be payable to the municipality in which the violation shall have occurred and $50 shall be payable to the Treasurer of the State of New Jersey for deposit into the General Fund; except that in the case of a violation occurring in a municipality in which the enforcement of the State Uniform Construction Code is performed exclusively by the State, the entire amount of the surcharge shall be payable to the State Treasurer for deposit into the General Fund.
##### **§ 52:27D-139** Effect of the promulgation of the code {#sec-52-27d-139 omnilex-key=us-nj-statutes--title-52--52:27D-139}
All construction regulations incorporated in any act of the State of New Jersey, or of any municipality presently in effect, or validly promulgated or enacted by any board, department, commission or agency thereof shall continue in effect until such time as any such regulation is superseded by appropriate regulations promulgated pursuant to this act, at which time they shall be deemed repealed and superseded, and of no further force and effect. A construction permit issued under valid construction regulations prior to the promulgation of the code shall remain valid, and the construction of any building or structure may be completed pursuant to and in accordance with said permit. The construction of any building or structure started before the promulgation of the code that did not as of the date of the beginning of the construction require a construction permit may be completed without a construction permit. Nothing contained in this act or the code shall be deemed to affect, repeal or invalidate local zoning ordinances or the regulation or licensing of any trade or profession engaged in construction work.
##### **§ 52:27D-139.1** Fire safety maintenance code; municipalities or fire districts; adoption; enforcement {#sec-52-27d-139.1 omnilex-key=us-nj-statutes--title-52--52:27D-139.1}
Notwithstanding any provisions of the act to which this act is a supplement, a municipality or the commissioners of a fire district pursuant to N.J.S. 40A:14-81 may adopt and provide for the enforcement of a fire safety maintenance code or continue to enforce an existing fire safety maintenance code. The provisions of the "State Uniform Construction Code Act," P.L.1975, c. 217 (C. 52:27D-119 et seq.) providing for the adoption and enforcement of a fire prevention subcode as part of the State Uniform Construction Code shall apply to fire prevention-related construction activities which are defined as those fire prevention-related construction activities, which in any way may affect, pertain to, or involve the issuance of a construction permit or initial certificate of occupancy under said act. No fire safety maintenance code or the enforcement thereof by any municipality or commissioners of a fire district pursuant to N.J.S. 40A:14-81 shall in any way conflict with or otherwise affect the terms and enforcement of the State Uniform Construction Code adopted pursuant to the "State Uniform Construction Code Act," P.L.1975, c. 217 (C. 52:27D-119 et seq.).
##### **§ 52:27D-140** Partial invalidity; severability {#sec-52-27d-140 omnilex-key=us-nj-statutes--title-52--52:27D-140}
If any clause, sentence, subdivision, paragraph, subsection or section of this act be adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder thereof, but shall be confined in its operation to the clause, sentence, paragraph, subdivision, subsection or section thereof directly involved in the controversy in which said judgment shall have been rendered.
##### **§ 52:27D-141** Interpretation of powers {#sec-52-27d-141 omnilex-key=us-nj-statutes--title-52--52:27D-141}
The powers enumerated in this act shall be interpreted broadly to effectuate the purposes thereof.
##### **§ 52:27D-141.1** Short title. {#sec-52-27d-141.1 omnilex-key=us-nj-statutes--title-52--52:27D-141.1}
1. This act shall be known and may be cited as the "Residential Development Solar Energy Systems Act."
##### **§ 52:27D-141.2** Findings, declarations relative to solar energy systems. {#sec-52-27d-141.2 omnilex-key=us-nj-statutes--title-52--52:27D-141.2}
2. The Legislature finds and declares that:
a. New Jersey residents primarily rely on fossil fuels for their energy needs;
b. Fossil fuels are nonrenewable fuels since they are derived from finite resources that will inevitably dwindle over time, becoming too expensive or too environmentally damaging to extract;
c. Unlike fossil fuels, renewable energy sources have minimal environmental impact since, for example, energy produced from photovoltaic cells does not result in air or water pollution, deplete natural resources, or endanger animal and human health;
d. The use of renewable energy equipment also reduces the nation's dependency on foreign sources of energy, which is an important strategy in the process of creating a secure and sustainable energy future;
e. The use of renewable energy technology would benefit New Jersey's economy since jobs evolve directly from the manufacture, design, installation, service and repair, and marketing of renewable energy products;
f. The State has adopted a renewable energy portfolio standard that requires twenty percent of the State's electricity demand to be produced from renewable sources by the year 2020, and requires a specific percentage of these renewable energy sources to be from solar photovoltaic systems;
g. Generating electricity from solar energy reduces consumption of fossil fuels, which decreases pollution and greenhouse gas emissions; and
h. The installation of even small scale solar energy systems will combat global warming and reduce the nation's dependence on foreign energy sources, resulting in a significant environmental benefit.
##### **§ 52:27D-141.3** Definitions relative to solar energy systems. {#sec-52-27d-141.3 omnilex-key=us-nj-statutes--title-52--52:27D-141.3}
3. As used in this act:
"Advertising" means the same as the term is defined in section 3 of P.L.1977, c.419 (C.45:22A-23).
"Commissioner" means the Commissioner of Community Affairs.
"Developer" means any person who constructs or offers to construct a dwelling unit as part of a residential development.
"Dwelling unit" means a single-family residence constructed as part of a development, the roof of which is exclusive to that residence and not a common element or common area.
"Owner" means any person who acquires a legal or equitable interest in a dwelling unit.
"Prospective owner" means any person who contemplates acquiring a legal or equitable interest in a dwelling unit.
"Residential development" means development undertaken for the purpose of creating 25 or more dwelling units for owner occupancy.
"Solar energy system" means any system which uses solar energy to provide all or a portion of the heating, cooling, or general energy needs of a dwelling unit, including, but not limited to, nocturnal heat radiation, flat plate or focusing solar collectors, or photovoltaic solar cells.
##### **§ 52:27D-141.4** Developer to offer to install solar energy system. {#sec-52-27d-141.4 omnilex-key=us-nj-statutes--title-52--52:27D-141.4}
4. a. Where technically feasible, as determined by the commissioner in consultation with the Board of Public Utilities, a developer shall offer to install, or to provide for the installation of, a solar energy system into a dwelling unit when a prospective owner enters into negotiations with the developer to purchase a dwelling unit.
b. A developer shall disclose in any advertising, in a manner and form determined by the commissioner pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.):
(1) that a prospective owner may have a solar energy system installed in any dwelling unit;
(2) the total cost of installing a solar energy system into a dwelling unit that will be charged to the owner by the developer;
(3) general information on the environmental benefits of, and potential energy cost savings associated with, solar energy systems; and
(4) information concerning any applicable credits, rebates, or other incentives that may be available for the installation of solar energy systems, as provided to the developer by the commissioner and the Board of Public Utilities pursuant to subsection b. of section 7 of this act.
##### **§ 52:27D-141.5** Installation of solar energy system. {#sec-52-27d-141.5 omnilex-key=us-nj-statutes--title-52--52:27D-141.5}
5. If the prospective owner accepts, pursuant to a written contract, the developer's offer to install, or to provide for the installation of, a solar energy system into the dwelling unit, then the developer shall install, or provide for the installation of, a solar energy system into the dwelling unit prior to the completion of the construction of that unit.
##### **§ 52:27D-141.6** Rights of homeowner association. {#sec-52-27d-141.6 omnilex-key=us-nj-statutes--title-52--52:27D-141.6}
6. If the dwelling unit is located within a residential development for which a homeowner association or other owner or membership association will be responsible for the maintenance, repair or replacement of the roof of the dwelling unit or other area upon which a solar energy system is installed, and the association incurs any additional cost or expense resulting from the installation of a solar energy system, such as the additional cost to remove and reinstall the system in the course of maintenance, repair or replacement, then the association shall have the right to:
a. impose and collect the additional cost or expense from the owner of the dwelling unit, which shall be collectible in the same manner as any other common expense or fee of the development;
b. access the dwelling unit as may be reasonably required to perform such maintenance, repair or replacement; and
c. record a declaration or similar instrument, in the same manner as a deed, with the county clerk for the purpose of advising current and prospective owners of the dwelling unit that they may be responsible for the additional costs and expenses described in this section.
##### **§ 52:27D-141.7** Adoption of standards relative to solar energy systems. {#sec-52-27d-141.7 omnilex-key=us-nj-statutes--title-52--52:27D-141.7}
7. a. The commissioner, in consultation with the Board of Public Utilities, shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), standards with respect to the technical sufficiency of solar energy systems to be installed pursuant to this act. These standards, at a minimum, shall provide:
(1) that the solar energy system is to be installed in conformance with the manufacturer's specifications and in compliance with all applicable electrical and building code standards;
(2) that the solar energy system is intended primarily to offset part or all of the consumer's own electricity demand;
(3) that all components in the solar energy system are to be new and unused, and shall not have previously been placed in service in any other location or for any other application;
(4) that the solar energy system shall have a warranty of not less than 10 years provided by the solar energy system manufacturer, and shall be subject to coverage afforded under "The New Home Warranty and Builders' Registration Act," P.L.1977, c.467 (C.46:3B-1 et seq.) to protect the integrity of the roof of the home and to protect against defects and undue degradation of electrical generation output;
(5) that the solar energy system shall have meters or other devices in place to monitor and measure the system's performance and the quantity of electricity generated by the system;
(6) that the solar energy system shall comply with adopted energy codes for the dwelling unit where the solar energy system is installed;
(7) for rating criteria for equipment, components, and systems to assure reasonable performance and criteria for complying with these minimum ratings;
(8) that the solar energy system shall be consistent with the net metering standards and safety and power quality interconnection standards adopted by the Board of Public Utilities pursuant to subsection e. of section 38 of P.L.1999, c.23 (C.48:3-87); and
(9) for the criteria by which the technical feasibility of the installation of a solar energy system is determined in section 4 of this act.
b. The commissioner, in consultation with the Board of Public Utilities, shall:
(1) publish educational materials designed to demonstrate how developers may incorporate solar energy systems during construction as well as energy efficiency measures that best complement solar energy systems; and
(2) provide developers with information concerning any applicable credits, rebates, or other incentives that may be available for the installation of solar energy systems.
##### **§ 52:27D-141.8** Enforcement, penalties. {#sec-52-27d-141.8 omnilex-key=us-nj-statutes--title-52--52:27D-141.8}
8. The commissioner shall enforce the provisions of this act and may assess violators of this act in accordance with the penalties provided for under section 18 of P.L.1977, c.419 (C.45:22A-38).
##### **§ 52:27D-141.9** Orders, rules, regulations. {#sec-52-27d-141.9 omnilex-key=us-nj-statutes--title-52--52:27D-141.9}
9. The Board of Public Utilities shall adopt orders, rules, or regulations that provide for solar energy systems installed in accordance with the provisions of P.L.2009, c.33 (C.52:27D-141.1 et seq.) to be eligible for all applicable credits, rebates, or other incentives that may be available for the installation of solar energy systems.
##### **§ 52:27D-141.10** Definitions relative to installation of electric vehicle charging stations in certain new residential construction. {#sec-52-27d-141.10 omnilex-key=us-nj-statutes--title-52--52:27D-141.10}
1. As used in this act:
"Commissioner" means the Commissioner of Community Affairs.
"Designated parking space" means a parking space specifically designated for use by an owner of a particular dwelling unit, including, but not limited to, a garage, a deeded parking space, or a parking space in a limited common element that is restricted for use by one or more dwelling unit owners.
"Developer" means any person who constructs or offers to construct a dwelling unit as part of a residential development.
"Dwelling unit" means a single-family residence constructed as part of a residential development, which includes a designated parking space which is exclusive to that residence and not a common element or common area.
"Electric vehicle charging station" means a station that is designed in compliance with the State Uniform Construction Code, adopted pursuant to P.L.1975, c.217 (C.52:27D-119 et seq.), that delivers electricity from a source outside an electric vehicle into one or more electric vehicles, and that provides, at a minimum, Level 2 charging that is capable of two-way communications, data sharing, and load control functionality with an electric public utility.
"Owner" means any person who acquires a legal or equitable interest in a dwelling unit.
"Prospective owner" means any person who contemplates acquiring a legal or equitable interest in a dwelling unit.
"Residential development" means development undertaken for the purpose of creating 25 or more dwelling units for owner occupancy.
##### **§ 52:27D-141.11** Developer to offer to install, provide for installation of electric vehicle charging station. {#sec-52-27d-141.11 omnilex-key=us-nj-statutes--title-52--52:27D-141.11}
2. a. A developer shall offer to install, or to provide for the installation of, an electric vehicle charging station into a dwelling unit when a prospective owner enters into negotiations with the developer to purchase a dwelling unit.
b. Prior to entering into a contract of sale for a dwelling unit, a developer shall:
(1) disclose that a prospective owner may have an electric vehicle charging station installed at any dwelling unit, and upon request by the prospective owner, disclose the total cost of installing an electric vehicle charging station at a dwelling unit that will be charged to the owner by the developer; and
(2) unless the installation of an electric vehicle charging station is included in the sale of the dwelling unit at no cost to the prospective owner, inform the prospective owner of the availability on the Internet website of the Department of Community Affairs of general information on the environmental benefits of, and potential energy cost savings associated with, electric vehicle usage and any applicable credits, rebates, or other incentives that may be available to the prospective owner for the installation of an electric vehicle charging station.
c. Every contract of sale for a dwelling unit shall include a notification by the developer to the prospective owner of the offer to install, or to provide for the installation of, an electric vehicle charging station at the dwelling unit pursuant to this section.
d. The commissioner, in consultation with the Department of Environmental Protection and the Board of Public Utilities, shall compile, and make available on the Internet website of the Department of Community Affairs, information for prospective owners and developers concerning the environmental benefits of, and potential energy cost savings associated with, electric vehicle usage and any applicable credits, rebates, or other incentives that may be available to the prospective owner for the installation of an electric vehicle charging station. The information required pursuant to this subsection shall inform prospective owners and developers of the availability of various types of electric vehicle charging stations.
##### **§ 52:27D-141.12** Installation prior to closing of title. {#sec-52-27d-141.12 omnilex-key=us-nj-statutes--title-52--52:27D-141.12}
3. If the prospective owner accepts, pursuant to a written contract, the developer's offer to install, or to provide for the installation of, an electric vehicle charging station at the dwelling unit, then the developer shall install, or provide for the installation of, an electric vehicle charging station at the dwelling unit prior to the closing of title on the sale of the dwelling unit, subject to material availability or acts of force majeure in which case the developer shall complete the installation as soon as reasonably practical.
##### **§ 52:27D-141.13** Rights of homeowner association. {#sec-52-27d-141.13 omnilex-key=us-nj-statutes--title-52--52:27D-141.13}
4. If the dwelling unit is located within a residential development for which a homeowner association or other owner or membership association will be responsible for the maintenance, repair, or replacement of the area in which an electric vehicle charging station is installed, and the association incurs any additional cost or expense resulting from the installation of an electric vehicle charging station, such as the additional cost to remove and reinstall the equipment in the course of maintenance, repair, or replacement, or the electricity usage associated with the electric vehicle charging station, then the association shall have the right to:
a. impose and collect the additional cost or expense from the owner of the dwelling unit, which shall be collectible in the same manner as any other common expense or fee of the development;
b. access the dwelling unit as may be reasonably required to perform such maintenance, repair, or replacement; and
c. record a declaration or similar instrument, in the same manner as a deed, with the county clerk for the purpose of advising current and prospective owners of the dwelling unit that they may be responsible for the additional costs and expenses described in this section.
##### **§ 52:27D-141.14** Violations, penalties. {#sec-52-27d-141.14 omnilex-key=us-nj-statutes--title-52--52:27D-141.14}
5. The commissioner shall enforce the provisions of this act and may assess violators of this act in accordance with the penalties provided for under section 18 of P.L.1977, c.419 (C.45:22A-38).
##### **§ 52:27D-141.15** Findings, declarations relative to fossil fuels. {#sec-52-27d-141.15 omnilex-key=us-nj-statutes--title-52--52:27D-141.15}
1. The Legislature finds and declares that the burning of fossil fuels and other industrial processes release harmful greenhouse gases into the atmosphere, which in turn contribute to climate change; that, in the coming years, New Jersey is likely to experience increased flooding, drought, and other severe weather effects caused by climate change; and that, in order to help mitigate the serious impacts of climate change, the State must drastically reduce its consumption of fossil fuels and its greenhouse gas emissions.
The Legislature further finds that concrete is the most widely used construction material in the world due to its low cost, strength, and durability; that the production of ordinary Portland cement, the critical ingredient in concrete, is responsible for almost eight percent of the world's carbon dioxide emissions; that ordinary Portland cement requires significant amounts of energy to produce, resulting in high carbon dioxide emissions; that modern technology allows concrete to be produced utilizing less energy, and the emission of carbon dioxide from cement manufacturing can be greatly reduced by capturing and utilizing carbon dioxide in the unit concrete product manufacturing process, including the chemical reaction that results in strength and durability of concrete; and that this process can sequester carbon dioxide in the unit concrete product or chemically transform the carbon dioxide into mineral form, embedding it into the concrete and preventing its release as a gas.
The Legislature therefore determines that it is in the public interest to encourage and support the purchase of unit concrete products that utilize carbon footprint-reducing technology in the State; that unit concrete products that utilize carbon footprint-reducing technology will greatly reduce greenhouse gas emissions from the concrete and construction industries; and that incentives for permeable pavers that are unit concrete products that utilize carbon footprint-reducing technology will further help enhance stormwater management, reduce stormwater runoff, and decrease the risk of flooding in the State.
##### **§ 52:27D-141.16** Use of unit concrete products that utilize carbon footprint-reducing technology. {#sec-52-27d-141.16 omnilex-key=us-nj-statutes--title-52--52:27D-141.16}
2. a. A builder shall, for any new construction that requires the use of unit concrete products, where technically feasible, offer as an option unit concrete products that utilize carbon footprint-reducing technology in the new construction, whenever a prospective client enters into negotiations with the builder to construct or purchase a new residential dwelling or commercial building in the State.
The requirements of this section shall not apply whenever a prospective client enters into negotiations with a builder for new construction of an individual unit of condominiums as defined in the "Condominium Act," P.L.1969, c.257 (C.46:8B-1 et seq.) or attached single-family townhouses or row houses for which title to the individual condominium, townhouse, or row house unit will be held in fee simple but the maintenance, repair, or replacement of improvements constructed with unit concrete products are the responsibility of a non-profit homeowners association.
b. A builder shall disclose in writing pursuant to paragraph (3) of subsection c. of this section, in a form and manner as determined by the commissioner:
(1) that the prospective client may choose to use unit concrete products that utilize carbon footprint-reducing technology in the new construction;
(2) the total cost to be charged by the builder to the prospective client of using unit concrete products that utilize carbon footprint-reducing technology in the new construction;
(3) general information on the environmental and other benefits of using unit concrete products that utilize carbon footprint-reducing technology; and
(4) information concerning any applicable tax credits, rebates, or other incentives that may be available for the use of unit concrete products that utilize carbon footprint-reducing technology pursuant to P.L.2021, c.278 (C.52:27D-141.15 et al.).
c. The commissioner, in consultation with the Department of Environmental Protection, shall:
(1) publish educational materials to demonstrate how builders may incorporate unit concrete products that utilize carbon footprint-reducing technology into new construction;
(2) provide builders with information concerning applicable tax credits, rebates, or other incentives that may be available for the use of unit concrete products that utilize carbon footprint-reducing technology pursuant to P.L.2021, c.278 (C.52:27D-141.15 et al.) or any other law; and
(3) provide builders with a separate form that the builder shall present, along with the materials required pursuant to subsection b. and c. of this section, to the prospective client prior to entering into a contract, which form shall allow a prospective client to accept or decline the option to use unit concrete products that utilize carbon footprint-reducing technology in the new construction.
d. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, the commissioner, in consultation with the Department of Environmental Protection, may adopt, immediately upon filing the proper notice with the Office of Administrative Law, rules and regulations that the commissioner determines to be necessary to implement this section. These rules and regulations shall be in effect for a period not to exceed 365 days after the date of the filing. The rules and regulations shall thereafter be amended, adopted, or readopted in accordance with the requirements of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
e. The commissioner shall enforce the provisions of this section and may penalize and assess violators of this section in accordance with the penalties and procedures provided for under section 18 of P.L.1977, c.419 (C.45:22A-38).
f. If a prospective client accepts, pursuant to a written contract, the builder's offer to use unit concrete products that utilize carbon footprint-reducing technology in the new construction, then the builder shall use unit concrete products that utilize carbon footprint-reducing technology subject to material availability or acts of force majeure, in which case the builder shall complete construction as soon as reasonably practical.
g. As used in this section:
"Advertising" means the same as the term is defined in section 3 of P.L.1977, c.419 (C.45:22A-23).
"Builder" means a person who constructs, or offers to construct, a new residential dwelling or commercial building in the State.
"Commissioner" means the Commissioner of Community Affairs.
"Prospective client" means a person who contemplates acquiring a legal or equitable interest in or constructing a new residential dwelling or commercial building.
"Unit concrete product" means a concrete building product that is fabricated under controlled conditions separate and remote from the intended point of use and is produced in a wet cast or dry cast method in a factory setting and then transported to the location of intended use for installation, including, but not limited to, all concrete pavers, whether permeable or non-permeable, and concrete block. "Unit concrete product" shall not include ready mix concrete, sand, stone, gravel, or bituminous concrete or asphalt.
"Unit concrete product that utilizes carbon footprint-reducing technology" means a unit concrete product that is certified by the Department of Environmental Protection, or any independent third party authorized by the department, pursuant to section 10 of P.L.2021, c.278 (C.52:27D-141.17), as generating at least 50 percent less carbon dioxide emissions in the production and utilization of the unit concrete product than conventional unit concrete products made with ordinary Portland cement. Such products shall also conform with the relevant requirements of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) that incorporate by reference TMS 402/602 Building Code Requirements and Specification for Masonry Structures.
##### **§ 52:27D-141.17** Standards, procedures, implementation. {#sec-52-27d-141.17 omnilex-key=us-nj-statutes--title-52--52:27D-141.17}
10. a. The Commissioner of Environmental Protection shall establish any standards and procedures necessary to implement the provisions of P.L.2021, c.278 (C.52:27D-141.15 et al.), including, but not limited to, production and use standards, and a process for certifying whether the production and use of a unit concrete product generates at least 50 percent less carbon dioxide emissions than conventional unit concrete products made with ordinary Portland cement. The commissioner shall publish on the department's Internet website a list of unit concrete products certified by the department pursuant to this subsection. The Department of Environmental Protection shall consider a consensus evaluation and reporting standard developed by an independent private organization such as the International Organization for Standardization or the American National Standards Institute that creates a uniform system for self-evaluation and self-reporting by unit concrete product manufacturers, and shall give preference to a standard supported by the unit concrete product industry or industry associations.
b. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, the State Treasurer, the Commissioner of Environmental Protection, the Commissioner of Transportation, the Commissioner of Community Affairs, and the Secretary of Higher Education may adopt, immediately upon filing the proper notice with the Office of Administrative Law, any rules and regulations necessary to implement the provisions of P.L.2021, c.278 (C.52:27D-141.15 et al.). These rules and regulations shall be in effect for a period not to exceed 365 days after the date of the filing. The rules and regulations shall thereafter be amended, adopted, or readopted in accordance with the requirements of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:27D-141.18** Findings, declarations. {#sec-52-27d-141.18 omnilex-key=us-nj-statutes--title-52--52:27D-141.18}
1. The Legislation finds and declares that:
(a) Energy efficiency standards for certain products sold or installed in the State assure consumers and businesses that such products meet minimum efficiency performance levels, thereby reducing energy and water waste and saving consumers and businesses money on their utility bills;
(b) Energy efficiency standards save energy and therefore reduce climate-changing emissions and other environmental impacts associated with the production, distribution, and use of electricity, natural gas, and other fuels;
(c) Energy efficiency standards save water, mitigate the effects of short- and long-term droughts, and help to conserve fresh water supplies;
(d) Energy efficiency standards produce savings resulting from more efficient products that benefit all consumers but are especially important to low-income families which spend a disproportionate share of their income on utilities. Such standards also help the State and local economy since savings can be instead spent on local goods and services; and
(e) Energy and water savings help reduce or delay the need for expensive investments in new power plants, transmission lines, distribution system upgrades, new and expanded gas pipelines, and water and sewer infrastructure improvements.
##### **§ 52:27D-141.19** Definitions. {#sec-52-27d-141.19 omnilex-key=us-nj-statutes--title-52--52:27D-141.19}
2. As used in this act:
"Air purifier" means an electric, cord-connected, portable appliance with the primary function of removing particulate matter from the air and which can be moved from room to room.
"Cold temperature fluorescent lamp" means a fluorescent bulb or lamp that is not a compact fluorescent lamp and which:
(a) is designed to start at -20°F when used with a ballast conforming to the requirements of the American National Standard ANSI C78.81 and ANSI C78.901; and
(b) is designated as a cold temperature lamp both in markings on the lamp and in marketing materials, including catalogs, sales literature, and promotional material.
"Commercial dishwasher" means a machine designed to clean and sanitize plates, pots, pans, glasses, cups, bowls, utensils, and trays by applying sprays of detergent solution and a sanitizing rinse.
"Commercial fryer" means an appliance in which oil is placed to such a depth that the cooking food is supported by displacement of the cooking fluid rather than by the bottom of the vessel, and in which heat is delivered to the cooking fluid by means of an immersed electric element or by heat transfer from gas burners.
"Commercial hot-food holding cabinet" means a heated, fully enclosed compartment with one or more solid or transparent doors designed to maintain the temperature of cooked food.
"Commercial hot-food holding cabinet" shall not include heated glass merchandizing cabinets, drawer warmers, or cook-and-hold appliances.
"Commercial oven" means a chamber designed for heating, roasting, or baking food by conduction, convection, radiation, or electromagnetic energy.
"Commercial steam cooker," means a device also known as a "compartment steamer," with one or more food-steaming compartments in which the energy in the steam is transferred to the food by direct contact.
"Commissioner" means the Commissioner of Environmental Protection.
"Computer" means a computer as defined in California Code of Regulations, Title 20, Section 1602(v).
"Computer monitor" means a computer monitor as defined in California Code of Regulations, Title 20, Section 1602(v).
"Department" means the Department of Environmental Protection.
"Dual-flush effective flush volume" means the average flush volume of two reduced flushes and one full flush.
"Dual-flush tank-type toilet" means a toilet that allows the user to flush the toilet with either a reduced or a full volume of water.
"Electric vehicle service equipment" means the same as the term is defined in section 2 of P.L.2019, c.362 (C.48:25-2).
"Faucet" means a private lavatory faucet, residential kitchen faucet, metering faucet, public lavatory faucet, or replacement aerator for a private lavatory, public lavatory or residential kitchen faucet.
"General service lamp" means a light bulb, including a general service incandescent lamp, compact fluorescent lamp, general service light-emitting diode lamp, organic light-emitting diode lamp, and any other lamps or bulbs that are used to satisfy lighting applications traditionally served by general service incandescent lamps.
"Hand-held showerhead" means a showerhead that can be held or fixed in place for the purpose of spraying water onto a bather and that is connected to a flexible hose.
"High color rendering index fluorescent lamp" means a fluorescent lamp with a color rendering index of 87 or greater that is not a compact fluorescent lamp.
"Impact-resistant fluorescent lamp" means a fluorescent lamp or bulb that is not a compact fluorescent lamp and which:
(a) has a coating or equivalent technology that is compliant with ANSI 51 and is designed to contain the glass if the glass envelope of the lamp is broken; and
(b) is designated and marketed as being impact-resistant, shatter-resistant, shatter-proof, or shatter-protected.
"Industrial air purifier" means an indoor air cleaning device manufactured, advertised, marketed, labeled, and used solely for industrial use that are marketed solely through industrial supply outlets or businesses and prominently labeled as "Solely for industrial use. Potential health hazard: emits ozone."
"Lamp efficacy" or "luminous efficacy" means the measure of how well a light source produces visible light, and which is the ratio of luminous flux to power, measured in lumens per watt.
"Metering faucet" means a fitting that, when turned on, will gradually shut itself off over a period of several seconds.
"On demand water cooler" means the water cooler heats water as it is requested, which typically takes a few minutes to deliver water.
"Person" means an individual, corporation, company, association, society, firm, partnership, or joint stock company.
"Portable electric spa" means a factory-built electric spa or hot tub which may include any combination of integral controls, water heating, or water circulating equipment.
"Pressure regulator" means a device that maintains constant operating pressure immediately downstream from the device, given higher pressure upstream.
"Public lavatory faucet" means a fitting designed to be installed in nonresidential lavatories that are exposed to walk-in traffic.
"Replacement aerator" means an aerator sold as a replacement, separate from the faucet to which it is intended to be attached.
"Residential ventilating fan" means a ceiling, wall-mounted, or remotely mounted in-line fan designed to be used in a lavatory or utility room, whose purpose is to move air from inside the building to the outdoors.
"Showerhead" means?a device through which water is discharged for a shower bath and includes a hand-held showerhead but does not include a safety shower showerhead.
"Spray sprinkler body" means the exterior case or shell of a sprinkler incorporating a means of connection to the piping system designed to convey water to a nozzle or orifice.
"State-regulated general service lamp" means any of the following medium-based incandescent light bulbs:
(1) Shatter-resistant lamps;
(2) Three-way lamps;
(3) Reflector lamps that are:
(a) ER30, BR30, BR40, or ER40 lamps rated at 50 watts or less;
(b) BR30, BR40, or ER40 lamps rated at 65 watts; or
(c) R20 lamps rated at 45 watts or less;
(4) B, BA, CA, F and G shape lamps as defined in ANSI C79.1:2002 with a lumen output of greater than or equal to 200 and rated at 40 watts or less.
(5) A and C shape lamps as defined in ANSI C79.1:2002 with lumen output greater than or equal to 200 and less than 310.
"Trough-type urinal" means a urinal designed for simultaneous use by two or more persons.
"Urinal" means a plumbing fixture that receives only liquid body waste and conveys the waste through a trap into a drainage system.
"Water cooler" means a freestanding device that consumes energy to cool or heat potable water.
##### **§ 52:27D-141.20** Efficiency standards established for certain products. {#sec-52-27d-141.20 omnilex-key=us-nj-statutes--title-52--52:27D-141.20}
3. a. Beginning one year after the date of enactment of this act, no person shall sell, offer for sale, or lease a new air purifier, cold temperature fluorescent lamp, commercial dishwasher, commercial fryer, commercial hot-food holding cabinet, commercial oven, commercial steam cooker, computer, computer monitor, electrical vehicle service equipment, high color rendering index fluorescent lamp, impact-resistant fluorescent lamp, faucet, showerhead, toilet, urinal, portable electric spa, residential ventilating fan, State-regulated general service lamp; spray sprinkler body, urinal, or water cooler in the State unless the new product includes a mark, label, or tag required pursuant to subsection c. of section 7 of this act, denoting that the product meets or exceeds the efficiency standards established in section 4 of this act.
b. Beginning one year after the date of enactment of this act, no product identified in subsection a. of this section may be installed for compensation in the State unless the new product includes a mark, label, or tag required pursuant to subsection c. of section 7 of this act, denoting that the product meets or exceeds the efficiency standards established in section 4 of this act.
c. Beginning one year after the date of enactment of this act, upon final inspection of the installation of any appliance or product subject to the State Uniform Construction Code, the appropriate subcode official shall ensure that any product identified in subsection a. of this section contains a mark, label, or tag denoting that the product meets or exceeds the efficiency standards established in section 4 of this act.
d. No person shall affix a mark, label, or tag to a product denoting compliance with this act unless the product meets or exceeds the efficiency standards established in section 4 of this act.
##### **§ 52:27D-141.21** Criteria established for efficiency standards of certain products. {#sec-52-27d-141.21 omnilex-key=us-nj-statutes--title-52--52:27D-141.21}
4. Except as provided in section 5 of this act, products identified in subsection a. of section 3 of this act shall, at a minimum, meet the following efficiency standards:
a. Air purifiers, except industrial air purifiers, shall meet the following requirements as measured in accordance with the ENERGY STAR Program Requirements Product Specification for Room Air Cleaners, Version 2.0:
(1) Clean air delivery rate for smoke shall be 30 or greater;
(2) For models with a clean air delivery rate for smoke less than 100, clean air delivery rate per watt for smoke shall be greater than or equal to 1.7;
(3) For models with a clean air delivery rate for smoke greater than or equal to 100 and less than 150, clean air delivery rate per watt for smoke shall be greater than or equal to 1.9;
(4) For models with a clean air delivery rate for smoke greater than or equal to 150, clean air delivery rate per watt for smoke shall be greater than or equal to 2.0;
(5) For ozone-emitting models, measured ozone shall be less than or equal to 50 parts per billion (ppb);
(6) For models with a Wi-Fi network connection enabled by default when shipped, partial on mode power shall not exceed two watts; and
(7) For models without a Wi-Fi network connection enabled by default when shipped, partial on mode power shall not exceed one watt.
b. A commercial dishwasher shall meet the product specifications of the "Energy Star Program Requirements for Commercial dishwashers Version 2.0" developed by the United States Environmental Protection Agency;
c. A commercial fryer shall meet the product specifications of the "Energy Star Program Requirements for Commercial Fryers Version 2.0" developed by the United States Environmental Protection Agency;
d. A commercial hot-food holding cabinet shall meet the product specifications of the "Energy Star Program Requirements for Commercial Hot Food Holding Cabinets Version 2.0" developed by the United States Environmental Protection Agency;
e. A commercial oven shall meet the product specifications of the "Energy Star Program Requirements for Commercial Oven Version 2.2" developed by the United States Environmental Protection Agency;
f. A commercial steam cooker shall meet the product specifications of the "Energy Star Program Requirements for Commercial Steam Cookers, Version 1.2" developed by the United States Environmental Protection Agency;
g. A computer or computer monitor shall meet the requirements of the California Code of Regulations, Title 20, Section 1605.3(v) and compliance with those requirements shall be measured in accordance with test methods prescribed in the California Code of Regulations, Title 20, Section 1604(v);
h. Electric vehicle service equipment shall meet the product specifications of the "Energy Star Program Requirements Product Specification for Electric Vehicle Supply Equipment, Version 1.0" developed by the United States Environmental Protection Agency;
i. A faucet, except for a metering faucet, shall meet the standards in this subsection when tested in accordance with Appendix S to Subpart B of Part 430 of Title 10, Code of Federal Regulations and compliance with those requirements shall be in accordance with the "Uniform Test Method for Measuring the Water Consumption of Faucets and Showerheads":
(1) A lavatory faucet or a replacement aerator for a lavatory faucet shall not exceed a maximum flow rate of 1.5 gallons per minute at 60 pounds per square inch;
(2) A residential kitchen faucet or replacement aerator for a residential kitchen faucet shall not exceed a maximum flow rate of 1.8 gallons per minute at 60 pounds per square inch, with an optional temporary flow rate of 2.2 gallons per minute, provided the faucet or replacement aerator defaults to a maximum flow rate of 1.8 gallons per minute at 60 pounds per square inch after each use; and
(3) A public lavatory faucet or a replacement aerator for a public lavatory faucet shall not exceed a maximum flow rate of 0.5 gallons per minute at 60 pounds per square inch.
j. A State-regulated general service lamp shall meet a lamp efficacy of 45 lumens per watt, when tested in accordance with the applicable federal test procedures for general service lamps, prescribed in Section 430.23(gg) of Title 10, Code of Federal Regulations;
k. A high color rendering index, cold temperature, or impact-resistant fluorescent lamp shall meet the minimum efficacy requirements contained in Section 430.32(n)(4) of Title 10, Code of Federal Regulations, as measured in accordance with the "Uniform Test Method for Measuring Average Lamp Efficacy (LE), Color Rendering Index (CRI), and Correlated Color Temperature (CCT) of Electric Lamps" in Appendix R to Subpart B of Part 430 of Title 10, Code of Federal Regulations;
l. A portable electric spa shall meet the requirements of the "American National Standard for Portable Electric Spa Energy Efficiency 14-2019";
m. An in-line residential ventilating fan shall have a fan motor efficacy of no less than 2.8 cubic feet per minute per watt. All other residential ventilating fans shall have a fan motor efficacy of no less than 1.4 cubic feet per minute per watt for airflows less than 90 cubic feet per minute and no less than 2.8 cubic feet per minute per watt for other airflows when tested in accordance with Home Ventilation Institute Publication 916 "HVI Airflow Test Procedure";
n. A showerhead shall not exceed a maximum flow rate of 2.0 gallons per minute at 80 pounds per square inch when tested in accordance with Appendix S to Subpart B of Part 430 of Title 10, Code of Federal Regulations and compliance with those requirements shall be the "Uniform Test Method for Measuring the Water Consumption of Faucets and Showerheads";
o. A spray sprinkler body that is not specifically excluded from the scope of the United States Environmental Protection Agency's WaterSense program "Specification for Spray Sprinkler Bodies, Version 1.0," shall include an integral pressure regulator and shall meet the water efficiency and performance criteria and other requirements of the "Specification for Spray Sprinkler Bodies, Version 1.0";
p. A urinal or toilet, other than those designed and marketed exclusively for use at prisons or mental health facilities, shall meet the standards in paragraphs (1) through (4) of this subsection when tested in accordance with Appendix T to Subpart B of Part 430 of Title 10, Code of Federal Regulations "Uniform Test Method for Measuring the Water Consumption of Water Closets and Urinals." A toilet shall be required to pass the waste extraction test for toilets in the American Society of Mechanical Engineers standard A112.19.2, Section 7.9:
(1) A wall-mounted urinal, except for a trough-type urinal, shall have a maximum flush volume of 0.5 gallons per flush;
(2) A floor-mounted urinal, except for a trough-type urinal, shall have a maximum flush volume of 0.5 gallons per flush;
(3) A toilet, except for a dual-flush tank-type toilet, shall have a maximum flush volume of 1.28 gallons per flush; and
(4) A dual-flush tank-type toilet shall have a maximum dual-flush effective flush volume of 1.28 gallons per flush.
q. A water cooler shall meet the product specifications of the "Energy Star Program Requirements Product Specification for Water Coolers, Version 2.0" developed by the United States Environmental Protection Agency
##### **§ 52:27D-141.22** Exceptions. {#sec-52-27d-141.22 omnilex-key=us-nj-statutes--title-52--52:27D-141.22}
5. The provisions of this act shall not apply to:
(1) new products manufactured in the State and sold outside the State;
(2) new products manufactured outside the State and sold outside the State or at wholesale inside the State for final retail sale and installation outside the State;
(3) products installed in mobile manufactured homes at the time of construction; or
(4) products designed expressly for installation and use in recreational vehicles.
##### **§ 52:27D-141.23** Liability not imposed, news media. {#sec-52-27d-141.23 omnilex-key=us-nj-statutes--title-52--52:27D-141.23}
6. Nothing in this act shall be construed to impose liability on any news media that accepts or publishes advertising for any product that may fall within the scope of this act.
##### **§ 52:27D-141.24** Manufacturer to test product samples for compliance. {#sec-52-27d-141.24 omnilex-key=us-nj-statutes--title-52--52:27D-141.24}
7. a. A manufacturer of a product regulated pursuant to section 4 of this act shall annually test samples of its products in order to ensure compliance with the efficiency standards established therein.
b. A manufacturer of a product regulated pursuant to section 4 of this act shall annually certify to the commissioner that the product is in compliance with the provisions of this act.
c. A manufacturer of a product regulated pursuant to section 4 of this act shall identify that each product offered for sale in the State is in compliance with the provisions of this act by means of a mark, label, or tag on the product and packaging at the time of sale. An existing mark, label, or tag may be used to satisfy this requirement, provided that it clearly expresses that the product meets the applicable efficiency standard. A manufacturer shall include information about the mark, label, or tag used to comply with the provisions of this subsection in its annual certification to the commissioner required by subsection b. of this section.
d. With prior notice, the commissioner may periodically inspect distributors or retailers of new products regulated pursuant to this act in order to determine compliance with the provisions of this act.
e. The commissioner shall investigate complaints received concerning violations of this act. A manufacturer, distributor, retailer, or person who violates the provisions of this act shall be issued a warning by the commissioner for a first violation and shall be subject to a civil penalty of up to $1,000 for each subsequent offense. Third and subsequent violations shall be subject to a civil penalty of not more than $5,000 for each offense. Each violation shall constitute a separate offense, and each day that such violation continues shall constitute a separate offense. The department may institute an action or proceeding in the Superior Court for injunctive and other relief for any violation of this act or of any rule or regulation adopted pursuant thereto, and the court may proceed in the action in a summary manner. Such relief may include prohibiting the person from selling or offering for sale the non-compliant product in the State.
f. In addition the penalties provided in subsection e. of this section, if a product regulated pursuant to this act is found not to be in compliance with the minimum efficiency standards established under this act, the commissioner shall issue a violation to the manufacturer of such product which shall subject the manufacturer to a civil penalty equal to twice the cost of product purchase and testing. The commissioner shall make information available to the public on products found not to be in compliance with the standards.
g. A civil penalty imposed pursuant to this section shall be collected in a summary manner under the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). All monies collected by the department may be retained by the department for the costs of administering and enforcing the provisions of this act.
##### **§ 52:27D-142** Short title {#sec-52-27d-142 omnilex-key=us-nj-statutes--title-52--52:27D-142}
This act shall be known and may be cited as the "Maintenance of Viable Neighborhoods Act."
##### **§ 52:27D-143** Legislative findings and declarations {#sec-52-27d-143 omnilex-key=us-nj-statutes--title-52--52:27D-143}
The Legislature hereby finds and declares that there are neighborhoods in this State which are beginning to decline but which can be rehabilitated and restored; that a large proportion of the State's housing stock is situated in these neighborhoods and is in danger of succumbing to dilapidation, deterioration or obsolescence; that blighting conditions have substantially reduced incentive for private reinvestment in these neighborhoods; that these neighborhoods will continue to decline unless the State provides financial and other assistance; that the restoration of these neighborhoods is vital to reinvigorating the declining social, economic and physical environments of communities and to the health, safety, morals and general welfare of the citizens of those neighborhoods and communities and of the State.
The Legislature further finds and declares that rehabilitation and preservation of threatened but still viable neighborhoods to the maximum extent possible is best accomplished by the reconstruction, remodeling, improvement, restoration, or repair of residential housing to sound condition in conjunction with provision of expanded and improved community services and public improvements. Conservation of the State's housing stock in order to provide a decent home is a worthy goal, but unless the services and facilities which are necessary to a complete and continuing satisfactory living environment are also provided, slums, blight and deterioration will not be arrested and neighborhoods will continue to decline. Restoration and maintenance of viable neighborhoods will be attained only if the housing resources and community services and public improvements, principally those for persons and families of low and moderate income, are attended to and simultaneously provided.
##### **§ 52:27D-144** Public policy {#sec-52-27d-144 omnilex-key=us-nj-statutes--title-52--52:27D-144}
The Legislature hereby declares it to be the policy of the State to promote the health, safety, morals and welfare of the citizens thereof through the prevention and elimination of blighting influences and the restoration of neighborhoods threatened with or undergoing deterioration and decline. For this purpose, powers are granted by this act to the Department of Community Affairs to make grants to political subdivisions of the State so that they may undertake measures, including but not limited to housing rehabilitation, code enforcement, demolition, and the expansion and improvement of public services and public facilities, which will arrest the deterioration and preserve the threatened but still viable neighborhoods of the State. The enactment of the provisions hereinafter set forth is in the public interest and is hereby so declared to be such as a matter of express legislative determination.
##### **§ 52:27D-145** Commissioner and political subdivision defined {#sec-52-27d-145 omnilex-key=us-nj-statutes--title-52--52:27D-145}
The following terms whenever used or referred to in this act shall have the following meanings, unless a different meaning clearly appears from the context:
a. "Commissioner" means the Commissioner of the Department of Community Affairs;
b. "Political subdivision" means any unit or agency of government deriving its authority directly or indirectly from the State of New Jersey.
##### **§ 52:27D-146** Grants to political subdivisions to finance activities for restoration of threatened but still viable neighborhoods {#sec-52-27d-146 omnilex-key=us-nj-statutes--title-52--52:27D-146}
The commissioner is authorized to make grants to political subdivisions to help finance activities, approved by the commissioner in accordance with this act, which will promote the restoration and rehabilitation of threatened but still viable neighborhoods. Activities to be assisted under this act may include but shall not be limited to:
a. Intensive code enforcement in deteriorating areas in which such enforcement, together with public improvements and community services to be provided, may be expected to arrest the decline of the neighborhood area;
b. Financial assistance in respect to rehabilitation of privately owned properties pursuant to "The Neighborhood Preservation Housing Rehabilitation Loan and Grant Act of 1975," now pending before the Legislature as Assembly Bill No. 3395;
c. Rehabilitation or clearance, demolition and removal of buildings and improvements where appropriate to the preservation of neighborhoods;
d. Provision of public services of a type or quality not otherwise available in areas where other activities assisted under this act are being carried out in a concentrated manner, if such services are determined to be necessary or appropriate to support such other activities;
e. Acquisition of real property or any interest therein which property exerts a blighting influence on a stable but threatened neighborhood or is appropriate for rehabilitation or conservation activities or is to be used for the provision of public works, facilities, improvements or recreational opportunities;
f. Acquisition, construction, reconstruction or installation of public works, facilities, and site or other improvements;
g. Disposition (through sale, lease, donation or otherwise) of any real property acquired pursuant to this act or its retention for public purposes;
h. Planning of neighborhood programs intended to be implemented by means eligible for a grant pursuant to this act; and
i. Administration of activities implementation of which is assisted, or is eligible for assistance, pursuant to this act.
All activities assisted under this act shall be implemented as otherwise provided by law.
##### **§ 52:27D-147** Participation by and hearings with citizens of neighborhoods {#sec-52-27d-147 omnilex-key=us-nj-statutes--title-52--52:27D-147}
No grant may be made pursuant to this act unless the political subdivision provides satisfactory assurances that prior to submission of its application:
a. Citizens of the neighborhoods to be affected by the program have been provided an adequate opportunity to participate in the development of the activities for which the grant is requested; and
b. Public hearings have been held to obtain the views of citizens to be affected by the activities for which the grant is requested.
##### **§ 52:27D-148** Applications; evaluation; priorities; approval {#sec-52-27d-148 omnilex-key=us-nj-statutes--title-52--52:27D-148}
The commissioner shall review and evaluate all applications submitted pursuant to this act and shall establish such priorities for making grants pursuant thereto as shall give due regard to maximizing the beneficial impact of the resources available pursuant to this act and other resources; provided that no such application shall be approved unless the commissioner finds that the neighborhood or neighborhoods in question are threatened but still viable.
##### **§ 52:27D-149** Powers of commissioner {#sec-52-27d-149 omnilex-key=us-nj-statutes--title-52--52:27D-149}
The commissioner is hereby granted and may exercise the following powers:
a. To adopt, modify, repeal and enforce rules and regulations in regard to the implementation of this act;
b. To sue or be sued in regard to the enforcement of the provisions of this act and any rules, regulations, contracts and agreements hereunder;
c. To accept appropriations, gifts, grants, contributions and any other form of financial assistance from the Federal government or from any sources, public or private for purposes of this act; and
d. To do all things necessary, convenient or desirable to carry out the provisions and purposes of this act.
##### **§ 52:27D-150** Plan for expenditure of funds; submission to legislature {#sec-52-27d-150 omnilex-key=us-nj-statutes--title-52--52:27D-150}
The commissioner shall submit with the department's annual budget request, a plan for the expenditure of funds as authorized by this act. This plan shall include, but not be limited to: performance evaluation of expenditures made to date under the authority granted to the commissioner by this act; a description of the various programs, planned for utilization during the upcoming fiscal year, as authorized by this act; a copy of the regulations in force governing the various programs in operation as authorized by this act; and an estimate of planned expenditures as authorized by this act. This information shall be used to assist the Legislature in determining the amount of money to be appropriated to support programs operated under the authority of this act.
##### **§ 52:27D-151** Liberal construction of act {#sec-52-27d-151 omnilex-key=us-nj-statutes--title-52--52:27D-151}
This act shall be construed liberally to effectuate the legislative intent and the purposes of this act, and all powers herein granted shall be broadly interpreted to effectuate such intent and purposes and not as a limitation of powers.
##### **§ 52:27D-152** Short title {#sec-52-27d-152 omnilex-key=us-nj-statutes--title-52--52:27D-152}
This act shall be known and may be cited as "The Neighborhood Preservation Housing Rehabilitation Loan and Grant Act of 1975."
##### **§ 52:27D-153** Legislative findings and determination {#sec-52-27d-153 omnilex-key=us-nj-statutes--title-52--52:27D-153}
The Legislature hereby finds and determines that there exists in many municipalities of this State areas which are in varying stages of decline, but which have not as yet reached the point of irreversible decline; that these areas are a matter of serious concern, and represent an expanding problem which threatens the public health, safety, morals and welfare; that the neglect of these areas at the present time will necessitate excessive and disproportionate expenditures of public funds for the reconstruction and revitalization of these areas at a future date; that to permit the continued decline of such areas into a state of decay would ignore the lessons of decades of urban renewal activities, would impair the sound growth of our municipalities, would lay waste to essential housing resources and would result in an economic, environmental, and social liability which the State can no longer tolerate.
The Legislature further finds that these problems can best be addressed through the conjunctive and cooperative efforts of private enterprise, State Government, its political subdivisions, and other public, quasi-public, and nonprofit bodies acting pursuant to neighborhood preservation plans conceived and prepared in accordance with the purposes of this act and through its direction.
The Legislature further finds that the responsibilities of State and local governments with respect to the preservation of our municipalities and neighborhoods have been altered and magnified by actions of the Federal Government, which now permits states and localities to undertake directly a broader range of housing rehabilitation activities than previously possible under former Federal assistance programs; and that in order that the people of this State shall derive the maximum feasible benefit from this shift in Federal policy, it is necessary and appropriate to expand the power of municipal government and the administrative authority of the Department of Community Affairs.
The Legislature hereby declares it to be the policy of the State to promote the health, safety, and welfare of the citizens thereof through the preservation of existing neighborhoods and the maintenance of neighborhood viability. This policy is best effectuated by the reconstruction, remodeling, improvement, restoration, or repair of existing residential housing to sound condition. For this purpose, powers are hereby granted to municipalities and the Department of Community Affairs to offer financial assistance through loans or grants or both to agencies, public, quasi-public, or private nonprofit, which will finance rehabilitation of housing through a program of loans and grants in an area determined by the municipal governing body to be substandard, deteriorating, or in the process of falling into a cycle of disrepair. It is hereby declared that the undertaking of such housing rehabilitation is a public purpose for which monies may be expended, advanced, loaned or granted and the enactment of the provisions hereinafter set forth is in the public interest.
##### **§ 52:27D-154** Definitions {#sec-52-27d-154 omnilex-key=us-nj-statutes--title-52--52:27D-154}
The following terms whenever used or referred to in this act shall have the following respective meanings for the purposes of this act, except in those instances where the context clearly indicates otherwise:
a. "Act" shall mean this act and any amendments and supplements thereto, and any rules and regulations promulgated thereunder;
b. "Commissioner" shall mean the Commissioner of the Department of Community Affairs, or his delegates as the commissioner shall determine;
c. "Department" shall mean the Department of Community Affairs;
d. "Neighborhood preservation area" shall mean any area within a municipality as determined pursuant to subsection 8a. of this act;
e. "Housing rehabilitation" shall mean the reconstruction, remodeling, improvement, restoration, or repair of residential housing to sound condition;
f. "Housing rehabilitation loan" shall mean an interest or noninterest bearing loan to finance housing rehabilitation;
g. "Rehabilitation lender" shall mean any bank or trust company, savings bank, mortgage company, mortgage banker, credit union, national banking association, savings and loan association, building and loan association, life insurance company, and any other financial institution authorized to transact business in the State; provided that to qualify as a rehabilitation lender within the meaning of this act a rehabilitation lender must be on a list of approved rehabilitation lenders to be prepared and maintained by the department;
h. "Neighborhood preservation agency" or "agency" shall mean the entity or organization designated by the municipality in accordance with the provisions of this act. Such agency may include the municipality, counties, any public, quasi-public or private non-profit agency or organization and any housing authority or redevelopment agency existing or formed under the laws of this State;
i. "Neighborhood preservation project" shall mean an undertaking or activity of a neighborhood preservation agency in a neighborhood preservation area, involving housing rehabilitation, and shall be in accordance with the plan therefor, as shall be required by the commissioner pursuant to section 8 of this act;
j. "Sound condition" shall mean a condition which meets substantially the requirements of local housing codes, or in the event there is no local housing code, the alternate standards established by the department;
k. "State fund" shall mean the Department of Community Affairs' Neighborhood Preservation Loan and Grant Fund as set forth in section 4 of this act;
l . "Local fund" shall mean the Neighborhood Preservation Loan and Grant Fund as may be established by a municipality pursuant to section 7 of this act.
##### **§ 52:27D-155** Department of community affairs' neighborhood preservation loan and grant fund {#sec-52-27d-155 omnilex-key=us-nj-statutes--title-52--52:27D-155}
a. There is hereby created a special fund in the Department of Community Affairs which shall be entitled the Department of Community Affairs' Neighborhood Preservation Loan and Grant Fund and shall be administered by the department as a revolving loan and grant fund for carrying out the purposes of this act. The department may designate separate accounts within the fund to be applicable for regional, municipal and intermunicipal needs as the department may deem necessary. The exercise by the department of all powers and duties conferred by this act shall constitute and be deemed and held to be an essential public and official governmental function of the State, acting by and through the department, in promoting the general health, safety, welfare and prosperity of the State, its municipalities, its neighborhoods and its citizens.
b. The State fund shall consist of:
1. All moneys appropriated and made available by the Legislature for inclusion therein;
2. Any other moneys made available to the Department from any source or sources, which the commissioner shall determine to use for the purposes authorized by this act, including community development funds from the United States Department of Housing and Urban Development;
3. Notwithstanding the provisions of any other act or part thereof, any moneys which the department shall receive in repayment of loans or advances from the State fund; and
4. All moneys earned through investment pursuant to subsection c. of this section.
c. Any moneys held in such fund not required or permitted to be disbursed immediately by this act may be invested and reinvested. All functions, powers and duties relating to the investment or reinvestment of funds within the jurisdiction of the agency, including the purchase, sale or exchange of any investments, or securities may, at the request of the agency, be exercised and performed by the Director of the Division of Investments, in accordance with the written directions of the commissioner.
d. Funds expended from the State fund pursuant to this act shall be used only for the purpose of making housing rehabilitation loans or grants for the costs incurred in the administration thereof.
##### **§ 52:27D-156** Plan for expenditures from fund; contents; submission to legislature {#sec-52-27d-156 omnilex-key=us-nj-statutes--title-52--52:27D-156}
The commissioner shall submit with the department's annual budget request a plan for expenditures from the Neighborhood Preservation Loan and Grant Fund for the upcoming fiscal year. This plan shall include, but not be limited to: performance evaluation of the expenditures made from the State fund to date; a description of the various loan and grant programs to be funded during the upcoming fiscal year; a copy of the regulations in force governing the operation of the various loan and grant programs that are to be financed, in part or in whole by the State funds; a complete financial statement on the status of the State fund to date; and an estimate of expenditures from the State fund for the upcoming fiscal year. This information shall be used to assist the Legislature in determining the amount to appropriate to the State fund.
##### **§ 52:27D-157** Powers of department {#sec-52-27d-157 omnilex-key=us-nj-statutes--title-52--52:27D-157}
The department is hereby granted, has, and may exercise all powers necessary and appropriate to effectuate the purposes of this act, including but not limited to the following:
a. To sue and be sued;
b. To maintain an office at such place or places within the State as it may determine;
c. To acquire, hold, use and dispose of its income, revenues, funds and moneys;
d. To apply for and accept gifts, grants, or loans from the United States of America or any of its agencies or instrumentalities, or from any other source, public or private, and to comply, subject to the provisions of this act, with the terms and conditions of such gifts, grants, or loans;
e. To request the assistance and avail itself of the services of employees of any department or agency of the State who may be helpful and available;
f. To provide, upon request, advisory, consultive, training, and educational services and technical assistance to any neighborhood preservation agency; and to assist any agency in applying for the qualifying for grants and loans pursuant to this act;
g. To make and enter into all contracts, agreements, and other arrangements with, or to hire as employees such agents, professional advisors, and counselors, including without limitation, financial consultants, accountants, attorneys, architects, engineers, real estate consultants, appraisers, housing construction and financing experts, as are deemed necessary or advisable, in performing its duties and exercising its powers under this act, which expense may be considered as a cost of administration;
h. To conduct examinations and hearings and to hear testimony and take proof, under oath of affirmation, or any matter material for the department's information and necessary to carry out the provisions of this act;
i. To issue subpenas requiring the attendance of witnesses and the production of books and papers pertinent to any hearing;
j. To apply to any court, having territorial jurisdiction of the offense, to have punished for contempt any witness who refuses to obey a subpena, or who refuses to be sworn or affirmed to testify, or who is guilty of any contempt after summons to appear;
k. To adopt, modify, repeal, and enforce such rules and regulations as may be necessary to carry out the purposes of this act, including regulations relating to: the administration of the State fund, the local fund, interest rates, income limitations, and notwithstanding any statute, rule or regulation to the contrary, the length of any loan term under either the State or local fund;
l . To enter into and enforce any contract or agreement with the Federal Government, any neighborhood preservation agency, rehabilitation lender or other entity performing duties and exercising power under this act;
m. To make direct loans and grants from the State fund to any neighborhood preservation agency, subject to affirmance by the commissioner of the findings pursuant to subsection 7a. of this act and to such other conditions as the commissioner may deem appropriate;
n. To enter into, and enforce any contract or agreement with the Federal government, any neighborhood preservation agency, rehabilitation lender or other entity to act for, in behalf of, and in cooperation with the department, with respect to undertaking, originating, servicing or processing the housing rehabilitation loans and grants of the State fund, under such terms and conditions as are agreed upon between the parties;
o . To fix and revise from time to time and charge and collect fees and charges in connection with loans or grants made or other services provided by the department pursuant to this act;
p. To use the State fund to invest in, purchase, or make commitments to purchase, and take assignments from neighborhood preservation agencies, of notes and mortgages evidencing housing rehabilitation loans in this State, upon such terms and conditions as the commissioner may determine; and
q. To sell, at public or private sale, with or without public bidding, any note, mortgage or other obligation held by the department.
##### **§ 52:27D-158** Powers and duties of municipalities {#sec-52-27d-158 omnilex-key=us-nj-statutes--title-52--52:27D-158}
a. Municipalities shall have and exercise all powers necessary and appropriate to carry out the purposes of this act, in order that the objective of neighborhood preservation through housing rehabilitation may be most effectively achieved, and shall include without limitation, the power:
(1) To designate and establish neighborhood preservation agencies;
(2) To establish, maintain, and operate the local fund, to delegate such authority to any neighborhood preservation agency or to make direct loans and grants to any neighborhood preservation agency, subject to such conditions as it may deem appropriate and in accordance with regulations as may be prescribed by the commissioner;
(3) To enter into and enforce all contracts, agreements and other arrangements with the Federal Government, the State, any neighborhood preservation agency, other municipalities or rehabilitation lenders, to act for, in behalf of, and in cooperation with the municipality, with respect to undertaking, originating, servicing or processing housing rehabilitation loans and grants, under such terms and conditions as are agreed upon between the parties;
(4) To organize, establish, develop and administer the local fund in conjunction with and through the State fund;
(5) To accept advances, loans, appropriations, gifts, grants, contributions, and any other form of financial assistance from the Federal Government, the State, or from any other sources, public or private;
(6) To finance the administrative expenses incurred by any neighborhood preservation agency in administering the State or local fund or any part thereof;
(7) To fix and revise from time to time, and charge and collect fees and charges in connection with loans or grants made or other services provided;
(8) To provide advisory, consultive, training and educational services, and technical assistance to any neighborhood preservation agency; to assist any agency in applying for and qualifying for grants and loans pursuant to this act; and to conduct research on the most efficient and economical methods of accomplishing neighborhood preservation.
b. Nothing herein is intended nor shall it be construed to limit or abrogate existing municipal power to carry out and effectuate programs of rehabilitation pursuant to any other law of this State, regulation, ordinance or judicial decision. The powers conferred herein are intended as an expansion of municipal power, shall exist in addition to such powers and shall be liberally construed.
##### **§ 52:27D-159** Determination of need and feasibility of preservation project; findings; neighborhood preservation plan; formulation; contents; citizen participation; modification; alternative plans {#sec-52-27d-159 omnilex-key=us-nj-statutes--title-52--52:27D-159}
a. No municipality shall designate a neighborhood preservation agency or undertake a neighborhood preservation project unless a determination has been made that in the neighborhood preservation area or areas:
(1) Deteriorating conditions have substantially reduced the incentive for private investment and reinvestment;
(2) Dilapidation, deterioration and obsolescence will become a prevalent without governmental aid;
(3) Deteriorating conditions can be reversed; and
(4) The rehabilitation of housing is necessary in the interest of the public health, safety and welfare.
The determination shall be made by the planning board of the municipality, or, if there be none, by the governing body. Where the determination is made by the planning board, it shall be subject to approval, disapproval or modification by the governing body of the municipality. The determination shall be submitted by the planning board to the governing body of the municipality in the form of a report and final action thereon shall be taken by the said governing body within 30 days after the submission of said report.
b. Upon making the findings as described in subsection a. hereof, a municipality shall formulate a neighborhood preservation plan, pursuant to such rules and regulations as the commissioner shall prescribe, which shall include but need not be limited to, the following:
(1) A comprehensive strategy for meeting neighborhood preservation needs which specifies both short- and long-term neighborhood objectives in accordance with areawide development planning;
(2) A program which (a) includes activities to be undertaken to meet its neighborhood preservation needs and objectives, together with the estimated costs thereof, (b) indicates resources other than those provided under this act which are expected to be made available toward meeting its identified needs and objectives, and (c) takes into account appropriate environmental factors;
(3) A plan which (a) accurately surveys the condition of the residential housing stock in the neighborhood preservation area or areas, (b) specifies realistic annual goals for the number of residential housing units or persons to be assisted, and (c) indicates the general locations of proposed neighborhood preservation areas with the objective of furthering the restoration and rehabilitation of stable neighborhoods to the maximum extent possible, and assuring the availability of public facilities and services adequate to serve the proposed neighborhood preservation area.
c. Any municipality which plans to carry out a neighborhood preservation program shall provide to the department satisfactory assurances that, prior to initiation of any such program, the governing body has (a) provided citizens with adequate information concerning the amount of funds available for proposed neighborhood preservation and housing activities, as well as the range of activities that may be undertaken and other important program requirements, (b) held public hearings to obtain the views of citizens on neighborhood preservation and housing needs, and (c) provided citizens an adequate opportunity to participate in the development of the neighborhood preservation plan.
d. A neighborhood preservation plan may be modified at any time; provided, that any proposed modification of the neighborhood preservation plan is recommended by resolution of the planning board and approved by resolution of the governing body, and pursuant to regulations as may be prescribed by the commissioner.
e. Any municipality receiving funds from the United States Department of Housing and Urban Development pursuant to the Housing and Community Development Act of 1974 may satisfy the requirements of subsections b., c. and d. of this section by submitting to the commissioner, copies of their community development plan and community development program as approved pursuant to the said act; provided however that whenever the State fund or funds other than such as may be provided to the municipality pursuant to the Housing and Community Development Act of 1974, are utilized to carry out the purposes of this act, the commissioner shall require compliance with the standards as are established pursuant to this act.
##### **§ 52:27D-160** Private enterprise; participation {#sec-52-27d-160 omnilex-key=us-nj-statutes--title-52--52:27D-160}
A municipality shall afford to private enterprise the maximum feasible opportunity to participate in the rehabilitation of any neighborhood preservation area.
##### **§ 52:27D-161** Liberal construction of act {#sec-52-27d-161 omnilex-key=us-nj-statutes--title-52--52:27D-161}
This act shall be construed liberally to effectuate the legislative intent and the purposes of this act, and all powers herein granted shall be broadly interpreted to effectuate such intent and purposes and not as a limitation of powers.
##### **§ 52:27D-161.1** "Resilient Home Construction Pilot Program" established. {#sec-52-27d-161.1 omnilex-key=us-nj-statutes--title-52--52:27D-161.1}
3. a. There is established in the Department of Community Affairs a Resilient Home Construction Pilot Program for the purpose of providing funding for developers to rehabilitate existing homes and construct new affordable homes for sale.
b. As part of the pilot program, the department shall develop an application process and promulgate criteria that enables a developer to qualify for funding for the rehabilitation or construction of homes for sale. Among such other criteria as the department deems necessary, the department shall require that:
(1) the homes rehabilitated or constructed for sale are not located in the 500-year floodplain or the inland or coastal climate adjusted floodplain, as defined by Department of Environmental Protection;
(2) the homes rehabilitated or constructed are to be sold to households with a gross household income not to exceed 120 percent of the median gross household income for households of the same size within the housing region in which the housing is located;
(3) the prospective homebuyer is a renter that has been impacted by a storm or natural disaster that has prompted the governor to declare a state of emergency; or a first-time homebuyer, including a first-time homebuyer receiving financial assistance from the agency;
(4) the developer include a purchase discount on the home sale price, as established in accordance with criteria developed by the department; and
(5) the homes for sale contain a minimum period of affordability as determined by the department.
c. Funding to successful pilot program applicants shall be provided in a manner determined by the department and pursuant to an agreement between the department and a successful pilot program applicant, and shall be conditioned upon compliance with the provisions of such an agreement as determined by the department.
d. As part of the pilot program, the department shall permit local government entities to apply for funding to provide to developers to rehabilitate existing homes and construct new, affordable homes for sale, so long as: (1) the application process and criteria imposed by the local government entity on developers is the same as the criteria developed pursuant to subsection b. of this section; (2) the local government entity and the developer enter into an agreement subject to the same requirements as an agreement pursuant to subsection c. of this section; and that funding to the local government entity is conditioned upon compliance with the provisions of an agreement as determined by the department.
e. In addition to the funding provided to developers pursuant to the pilot program, the department may establish incentives to encourage homebuyers to remain in the homes developed pursuant to this pilot program, including through the provision of down payment assistance as a zero-interest forgivable loan for homebuyers who are not eligible or do not qualify for down payment assistance through other State programs including the program established pursuant to section 2 of P.L.2023, c.78 (C.55:14K-105).
f. For the purpose of determining the amount of purchase discount, provided pursuant to paragraph (4) of subsection b. of this section, the department shall establish a sale price, pursuant to an appraisal conducted by a professional appraiser hired by the department.
##### **§ 52:27D-161.2** Application, eligibility criteria, guidelines. {#sec-52-27d-161.2 omnilex-key=us-nj-statutes--title-52--52:27D-161.2}
4. Notwithstanding the limitations established in section 1 of P.L.2011, c.215 (C.52:14B-3a) on the use of regulatory guidance documents, the commissioner may promulgate application and eligibility criteria and guidelines regarding the pilot program through regulatory guidance documents as defined in subsection d. of section 1 of P.L.2011, c.215 (C.52:14B-3a).
##### **§ 52:27D-162** Legislative findings and declaration {#sec-52-27d-162 omnilex-key=us-nj-statutes--title-52--52:27D-162}
The Legislature finds, determines and declares:
a. That within this State are many small municipalities, formerly centers of commerce, trade and cultural life in surrounding rural areas, which have suffered chronic economic decline because of changes in the patterns of transportation, commerce and land development;
b. That many of the said municipalities, with near-urban population densities in the midst of rural areas, have experienced and are experiencing declining property values, loss of tax ratables and potential tax ratables, diminishment of local commerce and increased unemployment and underemployment among their populations, so that they have become pockets of economic depression within the areas of which they were formerly centers;
c. That most such municipalities cannot, without external aid, maintain adequate municipal services by their own taxing capacity, nor have they the resources to expand and develop that taxing capacity;
d. That it is the purpose of this act to provide State aid supplementary to the taxing capacity of such municipalities, for the purpose of assisting them to maintain adequate municipal services.
##### **§ 52:27D-163** Short title {#sec-52-27d-163 omnilex-key=us-nj-statutes--title-52--52:27D-163}
This act shall be known and may be cited as the "Depressed Rural Centers Aid Act."
##### **§ 52:27D-164** Definitions {#sec-52-27d-164 omnilex-key=us-nj-statutes--title-52--52:27D-164}
For the purposes of this act, unless the context clearly indicates otherwise:
"Director" means the Director of the Division of Local Government Services in the Department of Community Affairs.
"State average effective local tax rate" means the total tax levy on which the tax rate is computed divided by the net valuation on which county taxes are apportioned as shown in column 12D and column 11 respectively of the county abstract of ratables for the year 1976.
"Effective tax rate for a municipality" means the general tax rate to apply per $100.00 valuation multiplied by the average ratio of assessed to true value of real property as shown in column 7 and column 8 respectively of the county abstract of ratables for the year 1976.
"Equalized valuation" means equalized valuation as determined pursuant to P.L.1954, c. 86 (C. 54:1-35.1 et seq.) and promulgated on or before October 1 of the year preceding the year in which distribution of aid under this act is to be made pursuant to section 6 of this act, including any revision or correction thereof made not later than January 30 of the year in which such distribution is made.
"Ratables per capita" means for a municipality, its equalized valuation divided by its population; for a county, the sum of the equalized valuations of the municipalities therein divided by the population of the county.
"Population" means population according to the official population estimates issued by the Department of Labor and Industry next preceding October 1 of the year in which distribution of aid under this act is to be calculated pursuant to section 6 of this act.
"Population density" means the relation between the population and area of a municipality or group of municipalities, expressed in terms of inhabitants per square mile within such municipality or group of municipalities.
"Neighboring municipalities" means, with relation to any one municipality, all other municipalities of this State having boundaries contiguous at any point with its boundaries, whether running upon land or water.
"Adjusted population" means the product of the number of persons in the population multiplied by the quotient obtained by dividing the effective tax rate for a municipality by the State average effective local tax rate, to which product is added the number of persons within that population aged 65 and over living in households with household incomes under $5,000.00.
##### **§ 52:27D-165** Qualifications of municipality {#sec-52-27d-165 omnilex-key=us-nj-statutes--title-52--52:27D-165}
Such sums as are appropriated for distribution under this act shall be distributed annually, in the manner prescribed in sections 5 and 6 of this act, as State aid to each municipality which:
a. Has a population not exceeding 5,000;
b. Has a population density which is:
(1) Not less than 1,000 per square mile; and
(2) Not less than four times the population density of its neighboring municipalities, unless within such neighboring municipality is a national cemetery, or housing built in accordance with or pursuant to Section 607 of the Lanham Act (National Defense Housing) P.L. 849, 76th Congress, 54 Stat. 1125, 42 U.S.C. 1521 et seq., as amended;
c. Has ratables per capita not exceeding 4/5 the ratables per capita of the county in which it is situate; and
d. Has either (1) an effective tax rate for a municipality above the State average effective local tax rate, or (2) a per capita personal income that does not exceed 0.8 times the State per capita personal income.
##### **§ 52:27D-166** Determination of amount of distribution {#sec-52-27d-166 omnilex-key=us-nj-statutes--title-52--52:27D-166}
Distribution of State aid under this act shall be to each municipality entitled thereto under section 4 of this act in proportion as its adjusted population is to the total adjusted population of all municipalities so entitled.
##### **§ 52:27D-167** Certification of municipalities entitled to aid and amounts; payment and distribution {#sec-52-27d-167 omnilex-key=us-nj-statutes--title-52--52:27D-167}
On or before February 1 in each year the director shall determine the municipalities entitled to aid under this act and the amounts of their respective entitlements, and shall certify the same to the State Treasurer and to the chief financial officer of each municipality. As soon as practicable after receiving such certification, and not later than March 31 next following, the State Treasurer shall upon warrant of the Comptroller pay and distribute to each such municipality the amount so certified.
##### **§ 52:27D-168** Annual reports; municipality; director {#sec-52-27d-168 omnilex-key=us-nj-statutes--title-52--52:27D-168}
Each municipality receiving State aid under this act shall not later than October 1 in each year in which such aid is received submit to the director a detailed report on its utilization of such aid for the purposes intended by this act; and the director shall on or before December 31 in each year submit to the Governor and the Legislature a summary report of the distribution and utilization of funds distributed under this act during the year. No municipality may receive aid under this act in any year if it has not submitted the report required under this section on the utilization of any such aid which it received in the previous year; except that the director may extend for not more than 60 days the date by which, such report must be submitted.
##### **§ 52:27D-169** Conclusiveness of decision of director {#sec-52-27d-169 omnilex-key=us-nj-statutes--title-52--52:27D-169}
Any decision of the director as to the entitlement of any municipality to aid under this act, or the amount thereof, shall be final and conclusive, and no appeal shall be taken therefrom or any review thereof, except in the case of an arithmetical or typographical error in the calculation of any distribution of funds.
##### **§ 52:27D-170** Short title {#sec-52-27d-170 omnilex-key=us-nj-statutes--title-52--52:27D-170}
This act shall be known and may be cited as the "Handicapped Person's Recreational Opportunities Act of 1978."
##### **§ 52:27D-171** Public policy. {#sec-52-27d-171 omnilex-key=us-nj-statutes--title-52--52:27D-171}
2. It is hereby declared to be public policy of the State of New Jersey to encourage and support as hereinafter provided the promotion, planning, development, implementation, and maintenance of comprehensive recreation services, by municipalities, counties and nonprofit agencies for persons with disabilities.
##### **§ 52:27D-172** Definitions. {#sec-52-27d-172 omnilex-key=us-nj-statutes--title-52--52:27D-172}
3. For the purposes of this act, P.L.1977, c.379 (C.52:27D-170 et seq.):
a. "Commissioner" means the Commissioner of Community Affairs.
b. " Persons with disabilities" means persons who have intellectual disabilities or who have a visual impairment, an auditory impairment, a communication impairment, a neurological or perceptual impairment, an orthopedic impairment, a chronic illness, an emotional disturbance, a social impairment, multiple disabilities, or a developmental disability.
##### **§ 52:27D-173** Comprehensive program; development; rules and regulations. {#sec-52-27d-173 omnilex-key=us-nj-statutes--title-52--52:27D-173}
4. The commissioner shall, after consultation with experts in the area of recreation, develop a comprehensive program for furnishing recreation for persons with disabilities, and shall promulgate rules and regulations for the administration of this program pursuant to the Administrative Procedure Act, P.L.1968, c. 410 (C.52:14B-1 et seq.).
##### **§ 52:27D-174** Application by municipality or county, payment upon approval. {#sec-52-27d-174 omnilex-key=us-nj-statutes--title-52--52:27D-174}
5. a. Any municipality or county planning to provide or to contract with private nonprofit agencies for the provision of recreation services for persons with disabilities under P.L.1977, c.379 (C.52:27D-170 et seq.), shall apply to the commissioner for approval. Such application shall be in accordance with rules and regulations promulgated by the commissioner herewith.
b. Upon approval of said application by the commissioner, there shall be apportioned and paid annually to each municipality or county a sum not to exceed $5.00 for each $1.00 appropriated by said municipality or county for implementation of the provisions of P.L.1977, c.379 (C.52:27D-170 et seq.).
##### **§ 52:27D-175** Special events for participation by people with disabilities. {#sec-52-27d-175 omnilex-key=us-nj-statutes--title-52--52:27D-175}
6. a. The commissioner shall prepare a list of special events deemed appropriate for participation by persons with disabilities, such as the Special Olympics and the Tournament of Champions, and shall make this list available to municipalities and counties. Municipalities or counties wishing to operate or participate in a special event listed by the commissioner shall apply to the commissioner for funds for such special events. Such application shall be in accordance with rules and regulations promulgated by the commissioner herewith.
b. Upon the approval of such application for special events, there may be apportioned and paid to municipalities and counties sums sufficient to provide training, transportation, and supervision for persons with disabilities participating in special recreation events. In no case shall the annual amount appropriated to any one approved municipality exceed $1,000 or to any one approved county exceed $2,500.
c. No more than a total of $25,000 of the funds appropriated for P.L.1977, c.379 (C.52:27D-170 et seq.) shall be apportioned to support such special recreational events in any one year.
##### **§ 52:27D-176** Failure to comply with act or alteration or discontinuance of approved service; withholding state aid {#sec-52-27d-176 omnilex-key=us-nj-statutes--title-52--52:27D-176}
The commissioner may authorize or require the State Treasurer to withhold the payment of State aid to any municipality or county in the event that it alters or discontinues an approved recreation service, or fails to make modifications thereof as required under the provisions of this act, or otherwise fails to comply with the rules and regulations promulgated under this act.
##### **§ 52:27D-177** Acceptance of gift or grant {#sec-52-27d-177 omnilex-key=us-nj-statutes--title-52--52:27D-177}
The commissioner may accept, as agent of the State of New Jersey, any gift or grant for any of the purposes of this act, and any moneys so received may be expended for any purpose authorized by this act.
##### **§ 52:27D-178** Definitions {#sec-52-27d-178 omnilex-key=us-nj-statutes--title-52--52:27D-178}
For the purposes of this act, unless the context clearly indicates otherwise:
"Base year" means the second year preceding the annual apportionment of State aid pursuant to this act.
"Director" means the Director of the Division of Local Government Services in the Department of Community Affairs.
"Net valuation taxable" means the total value of property on which the general tax rate is computed as expressed in column 6 of the Table of Aggregates pursuant to R.S. 54:4-52 for the base year.
"Equalization ratio" means the ratio of assessed value to true value of real property as published in the Certification of Table of Equalized Valuations by the Director of the Division of Taxation for the base year pursuant to P.L. 1954, c. 86, s. 1 (C. 54:1-35.1).
"Equalized valuation" means net valuation taxable divided by the equalization ratio.
"Municipal equalized valuation per capita" means a municipality's equalized valuation divided by the population of the municipality.
"State equalized valuation per capita" means the sum of the equalized valuations of all the municipalities of the State divided by the population of the State.
"General tax rate" means the tax rate for local taxing purposes as defined in R.S. 54:4-52 and as expressed in column 7 of the Table of Aggregates for the base year.
"Equalized tax rate" means the general tax rate multiplied by the equalization ratio.
"State equalized tax rate" means the sum of the total levies on which the tax rates for all the municipalities of the State are computed divided by the sum of the equalized valuations of all the municipalities of the State for the base year.
"Population" means the official population count of the State of New Jersey for the base year as reported by the New Jersey Department of Labor, Office of Demographic and Economic Analysis.
"Ratio H" means the proportion that residential and apartment assessed valuation bears to the total assessed valuation of the real property of a municipality, as calculated by the Division of Taxation in the Treasury Department.
"Publicly financed housing" means any dwelling unit constructed and operated under any of the following Federal and State housing programs:
(a) Any dwelling unit constructed under grants or mortgage financing of the New Jersey Housing Finance Agency.
(b) Any dwelling unit constructed under the following sections of the National Housing Act (Public Law 73-479) as amended and supplemented: section 221(d)(3) as added to by the Housing Act of 1961 (P.L. 87-70) and as subsequently amended; section 236 as added to by the Housing and Urban Development Act of 1968 (P.L. 90-448) and as subsequently amended; section 202, Housing Act of 1959 (P.L. 86-372) and as subsequently amended; section 221-H, as added by the Demonstration Cities and Metropolitan Development Act of 1966 (P.L.89-754) and as subsequently amended.
(c) Any dwelling unit constructed or operated under the United States Housing Act of 1937 (Public Law 75-412) and as subsequently added to and amended.
"ADC children" means the number of children between the ages of five and 17ˆyears in the municipality enrolled in the Aid to Dependent Children Program, as made available by the Division of Public Welfare in the Department of Human Services for the base year in the publication "State of New Jersey, ADC Data Needed to Implement Public Law 89-10, the Elementary and Secondary Education Act of 1965," provided, however that the director shall use the best available data comparable to the data provided for the allocation of funds in 1975 pursuant to P.L. 1975, c. 68.
"Qualifying municipality" means a municipality in which:
The number of ADC children exceeds 250, except when the municipality's population exceeds 20,000 with a density exceeding 7,000 per square mile and the municipality's equalized valuation per capita is less than the State equalized valuation per capita by $4,500.00 or more, and
There exists, in the case of a municipality with a population exceeding 15,000, publicly financed housing, and
The municipality's equalized tax rate exceeds the State equalized tax rate, or the municipality's equalized valuation per capita is less than the State equalized valuation per capita by $2,000.00 or more and its population exceeds 25,000, and
The municipality's equalized valuation per capita is less than the State equalized valuation per capita or the municipality's equalized tax rate exceeds the State equalized tax rate by $0.75 or more.
"Distribution factor" means for each qualifying municipality the following:
NOTE: TO PRINT A SIGMA IN THE EQUATION, ASSIGN THE IN LINE 12 PITCH FONT AS FONT 01 AND ASSIGN IT TO THE APPROPRIATE CHARACTER.
DF = 0.6 ( W ) +.04 ( 26T )
(S W) (S T)
where, DF equals the Distribution Factor
W equals ADC children in the municipality
T equals P (Vs-Vm) (Rm-Rs) Z
For the purposes of computing the distribution factor, when
T has a negative value, it shall be assigned a value of zero.
P equals Population
Vs equals State Equalized Valuation Per Capita
Vm equals Municipal Equalized Valuation Per Capita
Rm equals Municipal Equalized Tax Rate
Rs equals State equalized Tax Rate
Z equals Ratio H
##### **§ 52:27D-179** Annual appropriation to be apportioned among qualified municipalities; additional amount {#sec-52-27d-179 omnilex-key=us-nj-statutes--title-52--52:27D-179}
There shall be annually appropriated a sum which shall be apportioned among municipalities which qualify for State aid under the provisions of this act for the purpose of enabling such municipalities to maintain and upgrade municipal services and to offset local property taxes. In addition to any amount so apportioned there shall be added to the amount to be paid and distributed to any qualifying municipality which is entitled to State aid pursuant to this act such amount as may be necessary so that the amount to which such municipality is entitled to receive in any year shall not be less than the amount which such municipality received in the preceding year pursuant to this act or, in the first year of this act's operations. P.L.1976, c. 12, provided, however, that from the moneys appropriated to fund this act, payments shall first be apportioned so that each municipality which received payments in 1977 pursuant to P.L.1977, c. 38, receives the same amount which it received in 1977 pursuant to P.L.1977, c. 38, even if after such payments are made insufficient funds remain for increased distributions to municipalities which already are qualifying municipalities or for new distributions to municipalities which become qualifying municipalities; and further provided that each municipality in the first year it qualifies for said State aid payments shall receive payments pursuant to this act before any municipalities which had received such State aid in the preceding year pursuant to this act or P.L.1977, c. 38 shall receive any payments in excess of the payments received in the preceding year. Any provision herein to the contrary notwithstanding, a municipality which has received State aid pursuant to P.L.1971, c. 64 as supplemented but which is no longer a qualifying municipality pursuant to this act shall receive, in any year in which it has qualified bonds outstanding pursuant to P.L.1976, c. 38 (C. 40A:3-1 et seq.) and which were issued prior to the effective date of this act, the amount which it received in 1977 pursuant to P.L.1977, c. 38.
##### **§ 52:27D-180** Determination and certification of amount; payment and distribution {#sec-52-27d-180 omnilex-key=us-nj-statutes--title-52--52:27D-180}
The director shall, forthwith upon the appropriation of such sums for State aid pursuant to this act, determine and certify to the State Treasurer and to the chief financial officer of each qualifying municipality the amount of State aid allocable to such municipality pursuant to this act, which aid shall be in addition to all other aid to municipalities. The State Treasurer, upon the certification of the director and upon the warrant of the State Comptroller, shall pay and distribute to each qualifying municipality on October 1 of each year, or as soon thereafter as practicable, the amount determined and certified, or for municipalities which have qualified bonds outstanding pursuant to P.L.1976, c. 38 (C. 40A:3-1 et seq.), the Treasurer shall disburse State aid funds determined and certified under this act in accordance with the provisions of P.L.1976, c. 38.
##### **§ 52:27D-181** Finality and conclusiveness of determination by director; anticipation of state aid by municipality {#sec-52-27d-181 omnilex-key=us-nj-statutes--title-52--52:27D-181}
Any determination of the director pursuant to this act as to the amount of State aid allowable to each qualifying municipality shall be final and conclusive, and no appeal shall be taken therefrom or any review thereof, except in the case of an arithmetical or typographical error in the calculation of any distribution of funds. Notwithstanding any provisions of the Local Budget Law (N.J.S. 40A:4-1 et seq.), any municipality qualifying for State aid under this act may anticipate the receipt of the amount of State aid included for the purposes of this act in the Governor's annual budget message.
##### **§ 52:27D-181.1** Municipal Efficiency Promotion Aid Program. {#sec-52-27d-181.1 omnilex-key=us-nj-statutes--title-52--52:27D-181.1}
1. There shall be appropriated annually by the Legislature for each State fiscal year an amount not less than $34,825,000 for the Municipal Efficiency Promotion Aid Program. Prior to the adoption of rules and regulations by the Local Finance Board pursuant to section 9 of P.L.2007, c.54 (C.52:27D-18.2), the amount appropriated shall be distributed to municipalities on or before September 1 of the State fiscal year in proportion to the number of residents of each municipality as determined pursuant to the most recent federal decennial census. In the second year following the adoption of regulations by the Local Finance Board pursuant to section 9 of P.L.2007, c.54 (C.52:27D-18.2), amounts appropriated to municipalities shall be distributed as aid to reward those municipalities that meet the performance measures promulgated by the board. The payment of Municipal Efficiency Promotion Aid Program aid shall be used solely and exclusively by each municipality for the purpose of reducing the amount the municipality is required to raise by local property tax levy for municipal purposes. If the amount of the payment exceeds the amount required to be raised by local property tax levy for municipal purposes, the balance of the payment shall be used to reduce the amount the municipality is required to collect for county purposes, notwithstanding the provisions of this or any other law to the contrary. The Local Finance Board shall certify annually that each municipality has complied with the requirements set forth herein.
##### **§ 52:27D-182** Short title {#sec-52-27d-182 omnilex-key=us-nj-statutes--title-52--52:27D-182}
This act shall be known and may be cited as the "Congregate Housing Services Act."
##### **§ 52:27D-183** Legislative findings and declarations {#sec-52-27d-183 omnilex-key=us-nj-statutes--title-52--52:27D-183}
The Legislature finds and declares that: the housing requirements of the growing population of senior citizens are significantly different from the rest of the population due to functional or social impairments and progressive limitations of mobility and physical capabilities over time; as a result of the absence of specially designed housing with supportive services, elderly persons suffering from short-term or permanent disability or the natural consequences of aging are often subject to inappropriate, premature or overextended institutionalization resulting in overutilization of costly services and the negative impact of the institutional environment on the individual's emotional and physical well-being; a need exists to fill this gap in the housing continuum between independent living and institutionalization for those senior citizens who do not require highly intensive support systems yet cannot maintain a totally independent lifestyle; congregate housing has proven to be a successful and cost effective means of fulfilling basic shelter and everyday service needs of elderly persons thereby enabling them to preserve their dignity and independence in a secure environment.
The Legislature further finds and declares that critical deficiencies in the availability of congregate housing services are partially attributable to the inability of a large percentage of the elderly population on fixed or limited incomes to absorb the cost of the services as part of the rental payments.
The Legislature, therefore, declares it to be the policy of this State to promote the health, safety and welfare of its senior citizens by encouraging the development of congregate facilities where none presently exist and by providing financial assistance to those frail elderly persons who are in need of basic services but cannot afford the cost of such services. The Legislature further declares that the provision of congregate housing service subsidies for frail elderly persons is a public purpose for which moneys may be expended or granted and the enactment of this act is in the public interest.
##### **§ 52:27D-184** Definitions {#sec-52-27d-184 omnilex-key=us-nj-statutes--title-52--52:27D-184}
As used in this act:
a. "Commissioner" means the Commissioner of the Department of Community Affairs or his designee;
b. "Congregate housing facility" means that part of a residential housing facility which incorporates subsidized senior citizen housing consisting of individualized apartment units and supportive services needed by project residents who are functionally or socially impaired to enable them to maintain or to return to a semi-independent lifestyle and to avoid premature institutionalization;
c. "Department" means the Department of Community Affairs;
d. "Disabled person" means a person having an impairment which is expected to be of long-continued and indefinite duration and substantially impedes the person's ability to live independently unless the person receives supportive services;
e. "Eligible participant" refers to a project resident who is of low income or suffering economic hardship because of medical or personal reasons and is in need of supportive services but cannot afford the total cost of such services;
f. "Low income" shall be determined by the commissioner pursuant to regulations promulgated under this act, except that the commissioner shall take into account the Federal Department of Housing and Urban Development standards for low income for the various communities within this State;
g. "Project resident" means a disabled person or a person 62 years of age and over who resides in a congregate housing facility;
h. "Qualified housing agency" means any nonprofit or limited dividend housing sponsor, owner, entity, or individual, or any municipality, county or public authority constructing, maintaining or operating a congregate housing facility under a federal low or moderate income housing program, under a New Jersey Housing Finance Agency program or under other programs for low and moderate income occupancy;
i. "Service subsidy" means the sum necessary to provide supportive services to an eligible participant in excess of that individual's ability to pay for services as determined by regulations promulgated by the commissioner;
j. "Supportive services" includes a meal program which shall include at least one hot meal a day providing at least one-third of the Recommended Daily Dietary Allowance as determined by the Nutrient Standard Method of menu planning, housekeeping assistance, personal care assistance, and other services conducive to the maintenance of independent living.
##### **§ 52:27D-185** Contracts to provide service subsidies and to establish congregate housing facilities; actions to implement act {#sec-52-27d-185 omnilex-key=us-nj-statutes--title-52--52:27D-185}
The Commissioner of the Department of Community Affairs is authorized to enter into contracts with qualified housing agencies utilizing sums appropriated under this act to provide service subsidies to eligible participants and to establish congregate housing facilities.
The commissioner shall also take such actions as he deems necessary to implement this act including the provision of advisory and technical assistance, and training and education programs to assist housing agencies to develop supportive service programs and to qualify for financial assistance under this act.
##### **§ 52:27D-186** Application by qualified housing agency for assistance {#sec-52-27d-186 omnilex-key=us-nj-statutes--title-52--52:27D-186}
Whenever any qualified housing agency makes an application to the Commissioner of the Department of Community Affairs for assistance under this act, the agency shall include, as part of the application, a plan specifying the type and priorities of the supportive services it proposes to provide during the term of the contract. The plan, including fee schedules, shall be related to the needs and characteristics of the project residents eligible for assistance and other residents in need of supportive services.
Each application submitted by the housing agency for assistance under this act shall contain a statement affirming that the supportive services provided will not duplicate any services which are already accessible, affordable and sufficiently available to eligible project residents under programs administered by any federal, State or local agency or any public or private agency or organization and that fees established for services provided under this act are reasonable.
##### **§ 52:27D-187** Evaluation of applications {#sec-52-27d-187 omnilex-key=us-nj-statutes--title-52--52:27D-187}
In evaluating applications for assistance under this act, the commissioner shall take into consideration:
a. The supportive services to be provided and the relationship of each to the needs and characteristics of the project residents who are to receive the services;
b. How quickly supportive services will be established following approval of the application;
c. The adequacy of local social services in assisting project residents to maintain independent living and avoid unnecessary institutionalization;
d. The reasonableness of fee schedules established for each supportive service. These fees shall not exceed the cost of providing the services.
##### **§ 52:27D-188** Rules and regulations {#sec-52-27d-188 omnilex-key=us-nj-statutes--title-52--52:27D-188}
The commissioner is authorized to adopt rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c. 410 (C. 52:14B-1 et seq.) as he may deem necessary to effectuate the purposes of this act. The rules and regulations shall provide for at least the following:
a. Standards for the provision of supportive services under this act;
b. Procedures for determination of eligible participants of service subsidies which shall accord each individual fair treatment and due process;
c. Procedures for the review and evaluation of the performance of the qualified housing agencies under this act;
d. An annual evaluation of the effectiveness of the supportive services program to be submitted by the qualified housing agency receiving assistance under this act;
e. Accounting and other standards to prevent any fraudulent or inappropriate use of funds under this act;
f. Procedures for reallocation of funds if services are not established within 6 months after funding approval is granted, if services do not meet the standards promulgated under this act, or if funds are unexpended for whatever reason, except that the 6 month period may be extended by the commissioner where justified.
##### **§ 52:27D-188.1** Congregate housing, power-assisted door opener, required. {#sec-52-27d-188.1 omnilex-key=us-nj-statutes--title-52--52:27D-188.1}
1. Within 120 days of the effective date of P.L.2003, c.305 (C.52:27D-188.1 et seq.), every entrance to a building located within a "congregate housing facility," as defined in section 3 of P.L.1981, c.553 (C.52:27D-184), shall be equipped with a power-assisted door opener, if the door of the entrance requires greater than 10 pounds of pull in order to be opened manually.
##### **§ 52:27D-188.2** Congregate housing, unlocking by remote device, staff required, certain circumstances. {#sec-52-27d-188.2 omnilex-key=us-nj-statutes--title-52--52:27D-188.2}
2. Upon the request of a project resident of a "congregate housing facility," as defined in section 3 of P.L.1981, c.553 (C.52:27D-184), the qualified housing agency operating the facility shall provide for a system which permits the unlocking of a door to a building, other than a door to an individual unit, by a remote device or by staff.
##### **§ 52:27D-188.3** Enforcement, regulations. {#sec-52-27d-188.3 omnilex-key=us-nj-statutes--title-52--52:27D-188.3}
3. The Commissioner of Health and Senior Services shall have the authority to enforce the provisions of this act and shall adopt regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:27D-189** Personnel to assist commissioner; appropriation to administer act {#sec-52-27d-189 omnilex-key=us-nj-statutes--title-52--52:27D-189}
The commissioner is empowered to hire, employ or assign such secretarial, clerical or other technical or professional personnel as shall be required to provide technical assistance, conduct performance evaluations and otherwise secure the accountability of the qualified housing agency for compliance with the provisions of this act.
The commissioner may, with the approval of the Director of the Division of Budget and Accounting in the Department of the Treasury, allocate from any appropriation made to implement this act, an amount not to exceed $60,000.00 for the administration of this act.
##### **§ 52:27D-190** Employment of project residents to provide supportive services {#sec-52-27d-190 omnilex-key=us-nj-statutes--title-52--52:27D-190}
Each qualified housing agency shall, to the maximum extent practicable, utilize project residents of congregate housing facilities who do not themselves require supportive services, to participate in providing assistance to eligible participants receiving such services. Such persons shall be paid wages which shall not be lower than the State minimum wage.
Employment provided under this section shall be limited to a maximum of 5 hours per day and 20 hours per week for each participating resident. No services or wages provided to an eligible participant under this act may be treated as income for the purposes of any other program or provision of State law.
##### **§ 52:27D-191** Annual report; actions by legislature {#sec-52-27d-191 omnilex-key=us-nj-statutes--title-52--52:27D-191}
The Commissioner of the Department of Community Affairs shall report annually to the Legislature an evaluation of the effectiveness of this act. The Legislature shall, upon receiving the report, issue as it may deem necessary and proper, recommendations for administrative or legislative changes affecting the implementation of this act and make appropriations as are necessary to implement this act.
##### **§ 52:27D-191.1** Bill of rights for recipients of Congregate Housing Services Program. {#sec-52-27d-191.1 omnilex-key=us-nj-statutes--title-52--52:27D-191.1}
l. a. The Department of Human Services shall ensure that a person receiving services under the Congregate Housing Services Program including, but not limited to, meal preparation, housekeeping, shopping, laundry, linens change, companionship, and personal care, receives those services in a manner that promotes the dignity of and shows respect for the person.
b. A Congregate Housing Services Program shall make information related to its services available to the manager of a subsidized housing facility that has contracted with the State to provide a Congregate Housing Services Program. The manager shall be responsible for the distribution and dissemination of the information to its residents and shall include in that information a statement that the services provided by the program shall be provided to:
(1) help meet the needs of a resident;
(2) foster the independence and individuality of a resident;
(3) treat a resident with respect, courtesy, consideration, and dignity; and
(4) assure a resident the right to make choices with respect to services and lifestyle.
c. A Congregate Housing Services Program shall:
(1) advise a resident receiving congregate housing services, in writing, of the availability of information from the Division of Aging Services in the Department of Human Services about issues that may be of concern to a resident; and
(2) make available, upon request, the qualifications of a counselor or other professional who is providing services to residents under the Congregate Housing Services Program.
##### **§ 52:27D-192** Short title {#sec-52-27d-192 omnilex-key=us-nj-statutes--title-52--52:27D-192}
This act shall be known and may be cited as the "Uniform Fire Safety Act."
##### **§ 52:27D-193** Liberal construction {#sec-52-27d-193 omnilex-key=us-nj-statutes--title-52--52:27D-193}
This act is remedial legislation necessary to protect life and property within this State from the danger of destruction by fire and explosion and shall be liberally construed to effectuate these purposes.
##### **§ 52:27D-194** Findings and declarations {#sec-52-27d-194 omnilex-key=us-nj-statutes--title-52--52:27D-194}
It is found and declared that:
a. Although fire safety codes have been adopted by many of New Jersey's municipalities, many others have not adopted these codes and some of the codes which do exist have defects that limit their usefulness.
b. Although some departments of State government have responsibility for fire safety inspection in certain types of buildings, other types of buildings go unregulated; no department is empowered to establish overall minimum standards; and there is therefore no State fire safety code governing all existing buildings.
c. Few municipalities have adopted fire safety codes which require the upgrading of the fire safety provisions of existing buildings; however, so long as these buildings continue to be in use, some of them need to be upgraded in order to protect occupants of the buildings, fire fighters and the general public.
d. Although many municipalities consistently and conscientiously seek to ensure compliance with fire safety codes, others do not, and all are limited in their efforts by serious financial constraints.
e. Existing enforcement processes are often cumbersome, and penalties are often insufficient to deter violations.
f. The pattern of development in the State is such that many buildings posing significant fire safety problems are located in municipalities not equipped to deal with these problems.
g. Recent multiple-death fires in this State and elsewhere indicate the need for strict fire safety codes as minimum standards for the maintenance and upgrading of existing properties, modified as may be necessary for the special requirements of this State, and for county or State enforcement of these codes in high-rise and high-hazard structures when municipalities are unable to enforce them adequately.
##### **§ 52:27D-195** Purpose {#sec-52-27d-195 omnilex-key=us-nj-statutes--title-52--52:27D-195}
It is the purpose of this act to ensure that:
a. All areas of this State are protected by a uniform, minimum, fire safety code which will protect the lives and property of the State's citizens.
b. Uniform, thorough and adequately funded fire safety inspections protect the public whenever buildings which pose a serious life safety hazard are found.
c. Penalties for violators are both swift and commensurate with the gravity of the offense.
##### **§ 52:27D-196** Definitions {#sec-52-27d-196 omnilex-key=us-nj-statutes--title-52--52:27D-196}
As used in this act:
a. "Commissioner" means the Commissioner of the Department of Community Affairs or his delegate.
b. "Department" means the Department of Community Affairs.
c. "Fire safety commission" means the fire safety commission created by section 5 of P.L. 1983, c. 382 (C. 52:27D-25e).
d. "High-rise structure" means a building or structure having floors used for human occupancy located either more than six stories or more than 75 feet above the lowest level accessible to a fire department vehicle.
e. "Life hazard use" means a building or structure, or part thereof, classified in any of the following use groups in the 1981 edition of the Building Officials and Code Administrators International (BOCA) Basic Building Code: A-1, A-2, A-3, A-5, and I, a covered mall subject to section 630.0 of the 1981 edition of the BOCA Basic Building Code, and any other use which the commissioner defines by regulation as a life hazard.
f. "Dwelling unit" means a room, suite, or apartment which is occupied or intended to be occupied for dwelling purposes by one or more persons living independently of persons in similar dwelling units.
g. "Enforcing agency" means the department, a municipal or county department or agency, or a fire district which has been authorized by municipal ordinance to enforce this act.
h. "Protective equipment" mean any equipment, device, system or apparatus permitted or required by the commissioner to be constructed or installed in or upon a building, structure or premises for the purpose of protecting the occupants or intended occupants thereof, fire fighters or the public generally from fire or other products of combustion.
i. "Owner" means a person who owns, purports to own, manages, rents, leases or exercises control over a building, structure or premises.
##### **§ 52:27D-197** Powers of commissioner {#sec-52-27d-197 omnilex-key=us-nj-statutes--title-52--52:27D-197}
The commissioner shall have all the powers necessary or convenient to effectuate the purposes of this act, including without limitation, the following powers:
a. To enter and inspect, without prior notice, a building, structure or premises, other than an owner-occupied building used exclusively for dwelling purposes and containing fewer than three dwelling units, and make such investigation as is reasonably necessary to carry out the provisions of this act;
b. To enforce and administer the provisions of this act, and to prosecute or cause to be prosecuted violators of the provisions of this act in administrative hearings and in civil proceedings in State and local courts;
c. To assess penalties and to compromise and settle a claim for a penalty for a violation of the provisions of this act in an amount as may appear appropriate and equitable;
d. To hold and exercise all the rights and remedies available to a judgment creditor; and
e. To collect from units of local government and their agencies information reasonable and necessary to carry out the intent of this act.
##### **§ 52:27D-198** Regulations to provide reasonable degree of safety from fire, explosion. {#sec-52-27d-198 omnilex-key=us-nj-statutes--title-52--52:27D-198}
7. a. The commissioner shall promulgate, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), and after consulting with the fire safety commission, regulations to insure the maintenance and operation of buildings and equipment in such a manner as will provide a reasonable degree of safety from fire and explosion.
Regulations promulgated pursuant to this section shall include a uniform fire safety code primarily based on the standards established by the Life Safety Code (National Fire Protection Association 101) and any other fire codes of the National Fire Protection Association and the Building Officials and Code Administrators International (BOCA) Basic Fire Prevention Code, both of which may be adopted by reference. The regulations may include modifications and amendments the commissioner finds necessary.
b. The code promulgated pursuant to this section shall include the requirements for fire detection and suppression systems, elevator systems, emergency egresses and protective equipment reasonably necessary to the fire safety of the occupants or intended occupants of new or existing buildings subject to this act, including but not limited to electrical fire hazards, maintenance of fire protection systems and equipment, fire evacuation plans and fire drills, and all components of building egress. In addition, the regulations issued and promulgated pursuant to this section which are applicable to new or existing buildings shall include, but not be limited to fire suppression systems, built-in fire fighting equipment, fire resistance ratings, smoke control systems, fire detection systems, and fire alarm systems including fire service connections.
c. When promulgating regulations, the commissioner shall take into account the varying degrees of fire safety provided by the different types of construction of existing buildings and the varying degrees of hazard associated with the different types and intensity of uses in existing buildings. When preparing regulations which require the installation of fire safety equipment and devices, the commissioner shall consult with the fire safety commission and shall take into account, to the greatest extent prudent, the economic consequences of the regulations and shall define different use groups and levels of hazard within more general use groups, making corresponding distinctions in fire safety requirements for these different uses and levels of hazard. The commissioner shall also take into account the desirability of maintaining the integrity of historical structures to the extent that it is possible to do so without endangering human life and safety. The regulations established pursuant to this subsection shall apply to secured vacant buildings only to the extent necessary to eliminate hazards affecting adjoining properties.
d. Except as otherwise provided in this act, including rules and regulations promulgated hereunder, all installations of equipment and other alterations to existing buildings shall be made in accordance with the technical standards and administrative procedures established by the commissioner pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) and shall be subject to plan review and inspection by the local construction and subcode officials having jurisdiction over the building, who shall enforce the regulations established pursuant to this act applicable to the installation or other alteration along with the regulations established pursuant to the "State Uniform Construction Code Act."
e. (Deleted by amendment, P.L.2001, c.289.)
##### **§ 52:27D-198.1** Residential structures to have smoke-sensitive alarm devices, portable fire extinguishers. {#sec-52-27d-198.1 omnilex-key=us-nj-statutes--title-52--52:27D-198.1}
1. A structure used or intended for use for residential purposes by not more than two households shall have a smoke-sensitive alarm device on each level of the structure and outside each separate sleeping area in the immediate vicinity of the bedrooms and located on or near the ceiling in accordance with regulations established by the Commissioner of Community Affairs. The smoke-sensitive device shall be tested and listed by a product certification agency recognized by the Division of Fire Safety.
Each structure subject to the requirements of this section that contains a secondary power source shall have a label installed within 18 inches of the main electrical panel and electrical meter warning of the danger associated with secondary power sources.
This section shall not be enforced except pursuant to sections 2 and 3 of P.L.1991, c.92 (C.52:27D-198.2 and C.52:27D-198.3).
##### **§ 52:27D-198.2** Municipal officer, agency to determine compliance. {#sec-52-27d-198.2 omnilex-key=us-nj-statutes--title-52--52:27D-198.2}
2. a. In any case where a change of occupancy of any building subject to the requirements of section 1 of P.L.1991, c.92 (C.52:27D-198.1) is subject to a municipal ordinance requiring the issuance of a certificate of occupancy, certificate of inspection, or other documentary certification of compliance with laws and regulations relating to safety, healthfulness, and upkeep of the premises, no such certificate shall issue until the municipal officer or agency responsible for its issuance has determined that the building is equipped with an alarm device or devices as required by section 1 of P.L.1991, c.92 (C.52:27D-198.1).
b. In the case of change of occupancy of any building subject to the requirements of section 1 of P.L.1991, c.92 (C.52:27D-198.1) to which the provisions of subsection a. of this section do not apply, no owner shall sell, lease, or otherwise permit occupancy for residential purposes of that building without first obtaining from the relevant enforcement agency under the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.) a certificate evidencing compliance with the requirements of P.L.1991, c.92 (C.52:27D-198.1 et seq.). A change of ownership of a structure which requires rehabilitation such that a new certificate of occupancy is required shall be exempted from this section, provided, however, that the structure shall not be occupied until the appropriate certificate is obtained pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.). In cases including a sheriff's sale, foreclosure, forfeiture, or purchase from an agency of the federal government where the structure purchased requires rehabilitation such that a new certificate of occupancy is required, and where a certificate evidencing compliance with the requirements of P.L.1991, c.92 (C.52:27D-198.1 et seq.) is not obtained, it shall be the responsibility of the purchaser to obtain the necessary certificates prior to occupancy.
The local governing body having jurisdiction over the said enforcing agency or, where the Division of Fire Safety is the enforcing agency, the Commissioner of Community Affairs shall establish a fee which covers the cost of inspection and of issuance of the certificate.
##### **§ 52:27D-198.3** Fine for noncompliance. {#sec-52-27d-198.3 omnilex-key=us-nj-statutes--title-52--52:27D-198.3}
3. An owner who sells, leases, rents, or otherwise permits to be occupied for residential purposes any premises subject to the provisions of P.L.1991, c.92 (C.52:27D-198.1 et seq.) when the premises do not comply with the requirements of section 1 of P.L.1991, c.92 (C.52:27D-198.1), or without complying with the inspection and certification requirements of section 2 of P.L.1991, c.92 (C.52:27D-198.2), shall be subject to a fine of not more than $500, which may be collected and enforced by the local enforcing agency as defined in subsection g. of section 5 of P.L.1983, c.383 (C.52:27D-196) by summary proceedings pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
##### **§ 52:27D-198.4** Identifying emblem to be affixed to front of structures with truss construction {#sec-52-27d-198.4 omnilex-key=us-nj-statutes--title-52--52:27D-198.4}
a. The Commissioner of Community Affairs shall, pursuant to the authority under the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.), promulgate rules and regulations to require that an identifying emblem be affixed to the front of structures with truss construction.
The emblem shall be of a bright and reflective color, or made of reflective material. The shape of the emblem shall be an isosceles triangle and the size shall be 12 inches horizontally by 6 inches vertically. The following letters, of a size and color to make them conspicuous, shall be printed on the emblem: "F" to signify a floor with truss construction; "R" to signify a roof with truss construction; or "F/R" to signify both a floor and roof with truss construction.
The emblem shall be permanently affixed to the left of the main entrance door at a height between four to six feet above the ground and shall be installed and maintained by the owner of the building.
The act shall be enforced in accordance with enforcement procedures set forth in P.L.1983, c.383 (C.52:27D-192 et seq.).
b. Detached one and two family residential structures with truss construction which are not part of a planned real estate development shall be exempt from the provisions of this act; however, the governing body of a municipality may require by ordinance that emblems be affixed on structures with truss construction.
Individual structures and dwelling units with truss construction which are part of a planned real estate development as defined in section 3 of P.L.1977, c.419 (C.45:22A-23) shall not be required to have an identifying emblem if there is an emblem affixed at each entranceway to the development.
##### **§ 52:27D-198.5** Regulations to designate time to correct violations, range of penalties {#sec-52-27d-198.5 omnilex-key=us-nj-statutes--title-52--52:27D-198.5}
2. The Commissioner of Community Affairs, after consulting with the fire safety commission, shall promulgate regulations in accordance with the powers granted by P.L.1983, c.383 (C.52:27D-192 et seq.) to list violations of the uniform fire safety code as promulgated pursuant to section 7 of P.L.1983, c.383 (C.52:27D-198), designate the period of time within which each such violation is to be corrected by the owner pursuant to a written order issued and served by an enforcing agency, and establish a range of monetary penalties which may be imposed for violations pursuant to paragraph (2) of subsection b. of section 19 of P.L.1983, c.383 (C.52:27D-210). In addition, the regulations shall specify those violations which by their nature constitute an imminent hazard to the health, safety or welfare of the occupants, intended occupants, firefighters, or the general public and require the building, structure or premises to be vacated, closed or removed pursuant to section 17 of P.L.1983, c.383 (C.52:27D-208).
These regulations shall be adopted by the commissioner within 180 days after the effective date of P.L.1991, c.489 (C.52:27D-210 et al.).
##### **§ 52:27D-198.6** Conditions for display of certain holiday vegetation. {#sec-52-27d-198.6 omnilex-key=us-nj-statutes--title-52--52:27D-198.6}
1. Notwithstanding the provisions of any law, rule or regulation to the contrary, trees and wreaths used in holiday displays may be exhibited in all buildings covered by the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.) under the following conditions:
a. Natural cut trees shall be permitted in any building if the trees:
1) Are located in areas protected by an approved automatic sprinkler system, or
2) Meet the flame-retardant requirements of the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.) provided that the trees are watered daily.
b. Living trees in a balled condition with their roots protected by an earth ball, maintained in a fresh condition and not allowed to become dry, shall be permitted in any building.
c. Holiday wreaths not in excess of 10 percent of the aggregate wall area of any room or space shall be permitted in any building.
d. The appropriate enforcing agency may limit the number of trees in any building.
e. Trees shall not be allowed to obstruct corridors, exits or other means of egress.
f. Open flames such as from candles, lanterns, kerosene heaters and gas-fired heaters shall not be located on or near trees or holiday wreaths.
g. Nothing herein shall apply to, or be construed as extending the jurisdiction of, the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.) to residential buildings.
##### **§ 52:27D-198.7** Short title. {#sec-52-27d-198.7 omnilex-key=us-nj-statutes--title-52--52:27D-198.7}
1. This act shall be known and may be cited as the "Dormitory Safety Trust Fund Act."
##### **§ 52:27D-198.8** Findings, declarations relative to installation of fire suppression systems in student dormitories. {#sec-52-27d-198.8 omnilex-key=us-nj-statutes--title-52--52:27D-198.8}
2. The Legislature finds and declares that:
a. Education plays a vital role in the economic development of the nation and the State, by providing the education and training of the work force of the future.
b. The safety of students housed in dormitories at secondary schools, military schools, boarding schools, or at institutions of higher education is a vital concern. These students represent New Jersey's future.
c. Automatic fire suppression systems installed in buildings have been proven to be a very effective method of preventing injury, death and widespread property damage. The construction, reconstruction, development, extension and improvement of dormitory safety facilities, including fire prevention and sprinkler systems, shall therefore be deemed in the public interest and a public purpose.
##### **§ 52:27D-198.9** Definitions relative to installation of fire suppression systems in student dormitories; requirements. {#sec-52-27d-198.9 omnilex-key=us-nj-statutes--title-52--52:27D-198.9}
3. a. Notwithstanding any law, rule or regulation to the contrary, all buildings used as dormitories, in whole or in part, or similar accommodations to house students at a public or private school or at a public or private institution of higher education, shall be equipped throughout with an automatic fire suppression system in accordance with the provisions of this section. For the purpose of this act:
(1) "Dormitories" means buildings, or portions thereof, containing rooms which are provided as residences or for overnight sleeping for individuals or groups, and includes those residences utilized by fraternities or sororities which are recognized by or owned by a school or institution of higher education, but does not include those residences or multiple dwellings which are not recognized by or owned by a school or institution of higher education.
(2) "Equipped throughout" means installed in the common areas as well as in the areas utilized for sleeping within a dormitory.
(3) "Common areas" means those areas within a building which are normally accessible to all residents, including the corridors, lounge or lobby areas, and areas which contain elements of fire hazards, such as boiler rooms.
(4) "School" means a secondary school, military school, or a boarding school.
b. Within 120 days of the effective date of P.L.2000, c.56 (C.52:27D-198.7 et al.), each entity responsible for a building subject to the requirements of this section shall file with the Division of Fire Safety in the Department of Community Affairs a plan outlining the installation of automatic fire suppression systems in those buildings as required pursuant to subsection a. of this section. A plan may cover installation projects which were begun within a 12 month period prior to the effective date of P.L.2000, c.56 (C.52:27D-198.7 et al.). Each plan shall provide that:
(1) at least 25 percent of the required installation will be completed no later than the last day of the 12th month next following the effective date of P.L.2000, c.56 (C.52:27D-198.7 et al.);
(2) at least 50 percent of the required installation will be completed no later than the last day of the 24th month next following the effective date of P.L.2000, c.56 (C.52:27D-198.7 et al.);
(3) at least 75 percent of the required installation will be completed no later than the last day of the 36th month next following the effective date of P.L.2000, c.56 (C.52:27D-198.7 et al.); and
(4) all required installation shall be completed no later than the last day of the 48th month next following the effective date of P.L.2000, c.56 (C.52:27D-198.7 et al.).
Upon application by an entity, the Commissioner of Community Affairs may, at the commissioner's discretion, extend the time frames set forth in this section, upon a showing that the time frame would pose an unreasonable hardship for the entity, or that performance of the installation is impossible for reasons outside the control of the entity by the date set forth under this section. When the request for an extension concerns a building containing asbestos or an historic building, there shall be a presumption in favor of granting the extension.
##### **§ 52:27D-198.10** Rules; exemptions. {#sec-52-27d-198.10 omnilex-key=us-nj-statutes--title-52--52:27D-198.10}
4. The Commissioner of Community Affairs shall, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52: 14B-1 et seq.), adopt such rules as may be necessary to implement P.L.2000, c.56 (C.52:27D-198.7 et al.). Such rules may include exemption from the requirements of section 3 of P.L.2000, c.56 (C.52:27D-198.9) for any types of buildings that may be determined to not warrant the level of protection provided in section 3 of P.L.2000, c.56 (C.52:27D-198.9) based on the fire hazard risk.
##### **§ 52:27D-198.11** Application of funds to secure compliance. {#sec-52-27d-198.11 omnilex-key=us-nj-statutes--title-52--52:27D-198.11}
5. The State Treasurer, after consultation with the Commissioner of Community Affairs, shall have the authority to apply State funds otherwise available to State departments, agencies or instrumentalities for the purpose of securing compliance with the requirements established pursuant to P.L.2000, c.56 (C.52:27D-198.7 et al.). The State Treasurer shall also determine the allocation of moneys to be deposited into the "Dormitory Safety Trust Fund" established pursuant to section 6 of P.L.2000, c.56 (C.18A:72A-12.6) resulting from the retirement of bonds previously issued for deposit to the "Dormitory Safety Trust Fund" by the New Jersey educational facilities authority.
##### **§ 52:27D-198.12** Standby fees waived. {#sec-52-27d-198.12 omnilex-key=us-nj-statutes--title-52--52:27D-198.12}
9. A municipal authority or water utility shall not impose standby fees for any new fire protection system required to be installed pursuant to the provisions of section 3 of P.L.2000, c.56 (C.52:27D-198.9).
##### **§ 52:27D-198.13** Regulations concerning elevator fire recall keys. {#sec-52-27d-198.13 omnilex-key=us-nj-statutes--title-52--52:27D-198.13}
1. Not later than six months following the effective date of P.L.2003, c.211 (C.52:27D-198.13 et seq.), the Commissioner of Community Affairs shall promulgate regulations requiring all new elevators, and all elevators undergoing reconstruction, to be equipped to operate with standardized fire recall keys.
##### **§ 52:27D-198.14** Installation of lock box in elevator buildings to hold fire recall keys. {#sec-52-27d-198.14 omnilex-key=us-nj-statutes--title-52--52:27D-198.14}
2. a. A municipality, by ordinance, may require the installation of a lock box in each building located in the municipality that has an elevator. A building's elevator fire recall keys shall be placed in the lock box. Lock boxes shall be installed at locations that are readily accessible to fire fighting officials. A building that has elevators with standardized fire recall keys, in accordance with section 1 of P.L.2003, c.211 (C.52:27D-198.13), shall be exempt from this provisions of this section.
b. Not later than the last day of the sixth month following the effective date of P.L.2003, c.211 (C.52:27D-198.13 et seq.), the Commissioner of Community Affairs shall promulgate regulations establishing specifications for elevator fire recall key lock boxes.
##### **§ 52:27D-198.15** Findings, declarations relative to flammability standards for mattresses and bedding. {#sec-52-27d-198.15 omnilex-key=us-nj-statutes--title-52--52:27D-198.15}
1. The Legislature finds and declares:
a. On February 25, 2000, a residential fire in Roxbury, New Jersey, led to the death of 14-month-old toddler Matthew Albrecht. The fire started when a spark from an electrical outlet caused a mattress to ignite. Four days later, Matthew succumbed to the irreversible damage caused by smoke inhalation. This unfortunate tragedy, and many others, could have been prevented by adopting stricter flammability standards for mattresses and box springs for sale in this State.
b. Mattresses and bedding are implicated in thousands of fires each year, causing thousands of injuries, hundreds of fatalities, and millions of dollars in property damage. Residential fires involving mattresses and other bedding are in fact more aggressive and deadly than other types of residential fires. The United States Fire Administration estimates that mattress and bedding fires cause more than twice the number of injuries and deaths than other types of residential fires.
c. Federal law currently requires that mattresses sold in the United States meet the "Standards for the Flammability of Mattresses and Mattress Pads," 16 CFR Part 1632. The United States Consumer Product Safety Commission recently approved a new federal standard that also will require mattresses to resist open-flame ignitions from lighters, matches, and candles. This new federal standard will be known as the "Standard for the Flammability (Open Flame) of Mattress Sets," (16 CFR Part 1633). The new federal standard is patterned on a standard set by the State of California, codified in California Technical Bulletin 603, "Requirements and Test Procedure for Resistance of a Mattress/Box Spring Set to a Large Open-Flame."
d. The United States Consumer Product Safety Commission estimates that 16 CFR Part 1633 will prevent up to 78 percent of current addressable mattress fire-related deaths and up to 84 percent of current addressable related injuries. In its exhaustive cost-benefit analysis of this standard, the United States Consumer Product Safety Commission concluded that the societal benefits from this standard substantially outweigh its costs.
e. 16 CFR Part 1633 requires that a mattress be subjected to a specified 30-minute flammability test. During that test:
(1) the total heat release during the first 10 minutes of the test may not exceed 15 megajoules; and
(2) the peak heat release for the full 30-minute test may not exceed 200 kW.
Part 1633 also requires that a mattress undergo certain prototype testing and that the mattress producer maintain certain testing, quality assurance and manufacturing records. Part 1633 allows consumers to order non-fire-retardant mattresses if pursuant to a doctor's order such a mattress is needed to treat or manage a person's physical illness or injury.
f. Given the national scope of the mattress manufacturing and retailing industries, it is necessary that uniform national requirements for the fire performance of mattresses be set. For this reason, New Jersey intends for the requirements in this State for the fire performance of mattresses be identical to those required in 16 CFR Part 1633.
##### **§ 52:27D-198.16** Adoption, enforcement of federal mattress flammability standard; rules, regulations. {#sec-52-27d-198.16 omnilex-key=us-nj-statutes--title-52--52:27D-198.16}
2. a. The State of New Jersey shall adopt and enforce as a State safety requirement the federal mattress flammability standard codified at Title 16 of the Code of Federal Regulations Part 1633, as amended and supplemented.
b. The Commissioner of Community Affairs shall promulgate, not later than the first day of the sixth month next following the effective date of this act, the rules and regulations necessary to effectuate the provisions of this act, in accordance with the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:27D-198.17** Definitions relative to fire safety. {#sec-52-27d-198.17 omnilex-key=us-nj-statutes--title-52--52:27D-198.17}
1. a. As used in this section:
"Local enforcing agency" means the enforcing agency in any municipality provided for under the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.).
"Nonresidential structure" means any building designed and built for use as a factory or warehouse, or for retail or wholesale merchandising, office, workshop, school, hospital, hotel, or any other commercial, industrial or institutional purpose; or which, having been designed and built for residential use, has been altered, converted or reconstructed for nonresidential use.
"Residential structure" means any detached one or two family residential structure or any building providing multi-dwelling units for the accommodation of non-transient tenants.
"Solar photovoltaic system" means a technology or device such as a photovoltaic module that captures and converts solar radiation to produce energy.
b. The Commissioner of Community Affairs shall, pursuant to the authority under the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.), promulgate rules and regulations to require that, except for one or two family residential structures, an identifying emblem be affixed to the front of any structure if a solar photovoltaic system is affixed to the roof of that structure or if the structure is served by an adjacent solar photovoltaic system. The design and placement of the emblem shall be determined by the Commissioner of Community Affairs based upon national standards or a national model code, as applicable, and shall be installed and maintained by the owner of the structure.
c. Upon issuing a permit approving the installation or alteration of a roof mounted solar photovoltaic system for a residential structure or nonresidential structure, the local enforcing agency shall, within 10 days after issuance, file a copy of the permit with the local fire official serving the municipality in which the residential structure or nonresidential structure is located.
d. The owner of any residential structure or nonresidential structure who installs or provides for the installation of a roof mounted solar photovoltaic system on or after the effective date of this act, or has installed or provided for the installation of a roof mounted solar photovoltaic system prior to the effective date of this act, shall provide a written notification to the local fire official which shall include but need not be limited to:
(1) the name of the property owner or owners as well as the address of the residential structure or nonresidential structure upon which the solar photovoltaic system has been installed, and the name of the owner or owners and the address of any other adjacent structure served by the solar photovoltaic system; and
(2) the year that the roof mounted solar photovoltaic system was installed on the residential structure or nonresidential structure.
The written notification shall be submitted in a format containing any additional information that the commissioner deems necessary as prescribed by rule or regulation.
e. A copy of a permit filed pursuant to subsection c. of this section or written notification issued pursuant to subsection d. of this section shall be kept on file by the chief of the local fire department, and the address of the residential structure or nonresidential structure, the address of any other adjacent structure served by the solar photovoltaic system, and any additional information regarding the solar photovoltaic system shall be maintained in a registry by the fire department. The information contained in the registry shall serve to alert firefighters, when responding to an emergency situation, that a residential structure or nonresidential structure is equipped with, or is served by, a roof mounted solar photovoltaic system and that reasonable precautions may be necessary when responding to the emergency.
f. The provisions of this act shall be enforced in accordance with enforcement procedures set forth in the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.).
##### **§ 52:27D-198.18** Certain existing structures required to be equipped with carbon monoxide detectors. {#sec-52-27d-198.18 omnilex-key=us-nj-statutes--title-52--52:27D-198.18}
3. a. Within 90 days of the adoption of rules and regulations pursuant to subsection c. of this section, any existing structure other than a structure subject to the provisions of P.L.1999, c.15 (C.52:27D-133.3 et al.) shall be equipped with a carbon monoxide sensor device or devices, unless it is determined that there is no potential carbon monoxide hazard in the structure.
b. Any determination as to the placement of a carbon monoxide sensor device or devices in a structure and as to whether there is a potential carbon monoxide hazard in a structure shall be made in accordance with the rules and regulations adopted pursuant to subsection c. of this section.
c. The Commissioner of Community Affairs shall promulgate rules and regulations pursuant to its rule-making authority under the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) in order to effectuate the purposes of this section. The rules and regulations shall include, but not be limited to, standards for the placement of a carbon monoxide sensor device or devices in a structure and for the determination as to whether there is a potential carbon monoxide hazard in a structure.
d. For the purposes of this section:
"Carbon monoxide sensor device" means a carbon monoxide alarm or detector that bears the label of a nationally recognized testing laboratory, and has been tested and listed as complying with the most recent Underwriters Laboratories standard 2034 or its equivalent.
##### **§ 52:27D-198.19** Inspection, violations, penalties. {#sec-52-27d-198.19 omnilex-key=us-nj-statutes--title-52--52:27D-198.19}
4. a. An enforcing agency shall inspect each structure subject to the carbon monoxide detector installation requirements of P.L.2015, c.146 (C.52:27D-123f et al.) within its jurisdiction for compliance with such requirements at the time of any inspection conducted pursuant to the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.).
b. The local governing body having jurisdiction over the enforcing agency or, if the Department of Community Affairs is the enforcing agency, the Commissioner of Community Affairs, may establish a fee which covers the cost of inspection and of issuance of a certificate evidencing compliance with the carbon monoxide detector installation requirements of P.L.2015, c.146 (C.52:27D-123f et al.); provided, however, that the fee authorized shall not exceed the costs of inspection and issuance of a certificate.
c. An owner of a structure found to be in violation of the carbon monoxide detector installation requirements of P.L.2015, c.146 (C.52:27D-123f et al.) shall be liable to a penalty of not more than $1,000 for a first offense and not more than $2,500 for each subsequent offense found upon reinspection to be collected in a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). The municipal court and the Superior Court shall have jurisdiction of proceedings for the enforcement of the penalties provided by this paragraph.
##### **§ 52:27D-198.20** Steam radiator cover installation by residential rental property owner. {#sec-52-27d-198.20 omnilex-key=us-nj-statutes--title-52--52:27D-198.20}
1. a. Within 90 days of the receipt of a written request by a tenant, an owner of a residential rental property shall cover each steam radiator in the tenant's unit with an insulating material or cover that protects tenants, occupants, and other persons on the premises from receiving burns due to contact with the radiator.
b. The owner of a residential rental property that contains uncovered steam radiators shall provide each tenant with notice of their right to request that the landlord provide and install insulating materials or covers pursuant to subsection a. of this section. Such notice shall be provided as a rider to any written residential lease agreement and in writing at least annually. A copy of this notice shall be maintained in a conspicuous location in the common area where notices are regularly provided to tenants.
c. An owner who leases any property subject to the requirements of subsection a. of this section in violation of the requirements of this section shall be subject to a fine of not more than $500, which may be collected and enforced by the enforcing agency by summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.).
d. A tenant, occupant, or other person on the premises who sustains an injury as a result of the failure of an owner to comply with the requirements of subsection a. of this section may bring an action in any court of competent jurisdiction for any appropriate legal or equitable relief.
##### **§ 52:27D-198.21** Short title. {#sec-52-27d-198.21 omnilex-key=us-nj-statutes--title-52--52:27D-198.21}
1. P.L.2023, c.186 (C.52:27D-198.21 et al.), shall be known and may be cited as the "Fire Life Safety Damper and Smoke Control System Inspection Verification Act."
##### **§ 52:27D-198.22** Findings, declarations. {#sec-52-27d-198.22 omnilex-key=us-nj-statutes--title-52--52:27D-198.22}
2. The Legislature finds and declares that:
a. Studies have shown that most fire deaths are not caused by burns but instead by smoke inhalation. In addition to being toxic, smoke obstructs light and limits visibility, which in turn increases the time it takes a building's occupants to get to safety.
b. In the event of a fire, smoke control systems can help a building's occupants avoid smoke when evacuating a building.
c. Faulty and inoperable fire dampers, smoke dampers, and smoke control systems are likely to exist without periodic inspection and testing as required by law and applicable industry codes and standards. A 2021 University of Maryland study entitled the "Reliability of Fire Dampers, Smoke Dampers and Smoke Control Systems" found a majority of fire life safety dampers inspected, in over 1,100 buildings, needed repair or replacement.
d. Without periodic testing as required by applicable industry codes and standards, faulty and inoperable smoke control systems and fire life safety dampers are likely to exist in New Jersey buildings.
e. The failure of building owners to properly perform periodic inspection and testing of fire dampers, smoke dampers, and smoke control systems is detrimental to the health, safety, and welfare of the people of New Jersey and the dwellings and businesses thereof, and visitors thereto.
f. New Jersey does not currently have minimum standards for contractors performing maintenance and physical periodic testing of smoke control systems and fire dampers, smoke dampers, and combination fire and smoke dampers.
##### **§ 52:27D-198.23** Building owner, responsible, fire dampers, smoke dampers, combination fire and smoke dampers, inspected, tested. {#sec-52-27d-198.23 omnilex-key=us-nj-statutes--title-52--52:27D-198.23}
3. a. An owner of a building shall be responsible for ensuring that fire dampers, smoke dampers, and combination fire and smoke dampers installed in a building are inspected and tested as required by the applicable standards adopted pursuant to the Uniform Fire Code. This subsection shall not apply to a single-family, two-family, or attached single-family structure used exclusively for dwelling purposes.
b. For all buildings with a smoke control system, other than single-family, two-family, and attached single-family structures used exclusively for dwelling purposes, a building owner shall subject the smoke control system to smoke control system testing as required by the applicable standards adopted pursuant to the Uniform Fire Code.
##### **§ 52:27D-198.24** Building owner, routine maintenance, periodic testing schedule, adherence, smoke dampers, fire dampers, combination fire and smoke dampers, smoke control systems. {#sec-52-27d-198.24 omnilex-key=us-nj-statutes--title-52--52:27D-198.24}
4. The owner of a building subject to the provisions of P.L.2023, c.186 (C.52:27D-198.21 et al.) shall adhere to the routine maintenance and periodic testing schedule for the building, to commence immediately after the smoke dampers, fire dampers, combination fire and smoke dampers, and smoke control systems have passed the applicable tests. The Commissioner of Community Affairs shall, pursuant to the authority under the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.), promulgate rules and regulations to require a building owner to establish a written schedule for routine maintenance and periodic testing pursuant to the testing schedule required pursuant to the applicable standards adopted pursuant to the "Uniform Fire Code."
##### **§ 52:27D-198.25** Rules, regulations. {#sec-52-27d-198.25 omnilex-key=us-nj-statutes--title-52--52:27D-198.25}
5. The Commissioner of Community Affairs shall, pursuant to the authority under the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.), promulgate rules and regulations to require the following:
a. If the smoke dampers, fire dampers, combination fire and smoke dampers, and smoke control systems pass the applicable inspections and tests, the person performing the inspection or test shall execute a compliance certification.
b. In the event an inspection or test reveals deficiencies in smoke dampers, fire dampers, combination fire and smoke dampers, or smoke control systems, the person who conducted the inspection or test shall prepare a deficiency report for the building owner identifying the nature of the deficiency and reasons for non-compliance and any other information deemed necessary by the department.
##### **§ 52:27D-199** Building in use on effective date of regulations; compliance; fire safety improvement as capital improvement under rent control {#sec-52-27d-199 omnilex-key=us-nj-statutes--title-52--52:27D-199}
A building, which is subject to this act but the use of which shall have commenced in good faith on or before the effective date of any retroactive regulations, shall comply with the provisions of this act on or before the first anniversary of the effective date of the regulations and, in the case of any building subject to local rent control, any improvement required to be made pursuant to this act, or any other law, ordinance, or regulation concerning fire safety shall, for the purposes of the rent control ordinance, be deemed to be a capital improvement, the cost of which may be passed on to the tenants. In a case of imminent hazard to life, a building shall comply within the period of time designated by the enforcing agency.
##### **§ 52:27D-200** Variances from regulations {#sec-52-27d-200 omnilex-key=us-nj-statutes--title-52--52:27D-200}
a. Upon the application of the owner of a building, structure or premises, the enforcing agency may grant variances from the requirements of a regulation issued pursuant to this act. No variance shall be granted in a particular case unless the enforcing agency shall find: (1) that strict compliance with the regulation would result in undue hardship to the owner; and (2) that the variance, if granted, will not unreasonably jeopardize the safety of intended occupants, fire fighters and the public generally.
b. An application for a variance pursuant to this section shall be filed in writing with the enforcing agency and shall set forth specifically: (1) a statement of the requirements of the regulation from which a variance is sought; (2) a statement of the manner by which strict compliance with the regulation would result in undue hardship; (3) a statement of the nature and extent of the undue hardship; and (4) a statement of feasible alternatives to the requirements of the regulation which would adequately protect the safety of the occupants or intended occupants, fire fighters, and the public generally.
c. Within 30 days of receiving the application for a variance, the enforcing agency shall grant or deny the application in writing, stating the reason for granting or denying the application. If the application is not granted within 30 days, the applicant shall consider it to have been denied and shall have the same appeal rights as in the case of a written denial.
The enforcing agency shall maintain records of all applications for variances and the action taken on them, and shall make the records reasonably available for public inspection. An enforcing agency other than the department shall provide copies of the records to the commissioner.
##### **§ 52:27D-201** Life hazard use or high-rise structure; certificate of registration {#sec-52-27d-201 omnilex-key=us-nj-statutes--title-52--52:27D-201}
a. Within 90 days of the effective date of this act, and thereafter as required by subsection c. of this section, the owner of a life hazard use or high-rise structure shall file with the commissioner, upon forms provided by the commissioner, an application for a certificate of registration. Each application shall include information prescribed by the commissioner to enforce the provisions of this act. Upon receipt of the application, the commissioner shall forthwith issue to the owner of the life hazard use or high-rise structure a certificate of registration, which certificate of registration shall be posted by the owner of the structure in a conspicuous location therein. The certificate of registration shall be in such form as may be prescribed by the commissioner.
b. Within 90 days of the effective date of this act, and thereafter as required by subsection c. of this section, the owner of each life hazard use or high-rise structure shall appoint an agent for the purpose of receiving service of process and orders or notices issued by the commissioner pursuant to this act. Each agent shall be either a resident of this State or a corporation licensed to do business in this State.
c. If the ownership of a life hazard use or high-rise structure is transferred, whether by sale, assignment, gift, intestate succession, testate devolution, reorganization, receivership, foreclosure or execution process, the new owner shall file with the commissioner, within 30 days of the transfer, an application for a certificate of registration pursuant to subsection a. of this section and appoint an agent for the service of process pursuant to subsection b. of this section.
d. If an owner of a life hazard use or high-rise structure has not fulfilled the requirements of this section, the commissioner shall notify the owner in writing that he is in violation of this section and shall order that registration be accomplished within 30 days. The notice and order shall include an accurate restatement of the subsection of this section with which the owner has not complied. If the owner has not complied with the order of the commissioner within 30 days of the date on which it was mailed, the commissioner shall order him to pay not less than $200.00 and not more than $1,000.00 for each registration. The commissioner may issue a certificate to the clerk of the Superior Court that the owner is indebted for the payment of the penalty and the clerk shall immediately enter upon his record of docketed judgments the name of the owner and of the department, a designation of the statute under which the penalty is imposed, the amount of the penalty certified and the date the certification was made. The making of the entry shall have the same effect as the entry of the docketed judgment in the office of the clerk but without prejudice to the owner's right of appeal.
e. On or before July 1, next following the effective date of this act, and annually thereafter, the owner of each life hazard use and of each high-rise structure in the State shall pay to the department an annual fee in an amount which the commissioner shall establish by regulation and which shall allow the department to recover the cost to it and to local enforcing agencies of administering this act.
Annual fees received from owners of life hazard uses and high-rise structure inspected by a local enforcing agency shall be divided between the local enforcing agency and the department in accordance with a percentage formula which the commissioner shall establish by regulation and which shall allow the department to recover the cost to it of administering this act in municipalities having local enforcement.
With the approval of the department, local enforcement agencies may collect the annual fee and remit to the department only that percentage of the annual fee which the commissioner shall have established by regulation as constituting the department's share of the fee.
f. All moneys which the commissioner shall receive in the form of fees and for penalties for failure to register shall be appropriated to the department to pay the cost of enforcing this act.
g. The owner of a life hazard use or high-rise structure shall pay the annual fee within 30 days of the day on which it is demanded by the department or the local enforcing agency. If he fails to do so, the department may issue a certificate to the clerk of the Superior Court that the owner is indebted to the department for the payment of the annual fee and the clerk shall immediately enter upon his record of docketed judgments and the name of the owner and of the department, a designation of the statute under which the fee is assessed, the amount of the fee certified and the date the certification was made. The making of the entry shall have the same effect as the entry of a docketed judgment in the office of the clerk, but without prejudice to the owner's right of appeal.
##### **§ 52:27D-202** Enforcement of act by municipality; ordinance; restrictive regulation by municipality {#sec-52-27d-202 omnilex-key=us-nj-statutes--title-52--52:27D-202}
a. Each municipality in this State is authorized to adopt an ordinance providing for local enforcement of this act. The ordinance shall designate the municipal fire department or the county fire marshal or one or more fire districts as the local enforcement agency.
b. Nothing in this act shall preclude the right of any municipality to adopt an ordinance dealing with fire safety whether or not it is more restrictive than this act and the regulations promulgated thereunder. No county or municipal official shall issue an order regarding fire safety with respect to a building, structure or premises, except in accordance with this act or with a duly promulgated ordinance.
##### **§ 52:27D-203** Enforcement of act by enforcing agencies; reports, data and information; fees; inspections; certification of fire inspectors {#sec-52-27d-203 omnilex-key=us-nj-statutes--title-52--52:27D-203}
12. a. Each enforcing agency in this State shall enforce the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.) in all buildings, structures, and premises within its jurisdiction, except owner-occupied buildings used exclusively for dwelling purposes and containing fewer than three dwelling units, subject to the control and supervision of the commissioner and in accordance with regulations promulgated by the commissioner. The commissioner shall consult with and advise all local enforcement agencies enforcing the provision of P.L.1983, c.383 (C.52:27D-192 et seq.), and each local enforcement agency shall provide the commissioner with reports, data, and information required by the commissioner. To cover the cost to the municipality of conducting inspections under P.L.1983, c.383 (C.52:27D-192 et seq.), the municipality may, by ordinance, establish fees, which shall be paid into the treasury of the municipality to which the local enforcing agency is responsible, and which shall be appropriated by the municipality to the local enforcing agency to pay the cost of enforcing P.L.1983, c.383 (C.52:27D-192 et seq.).
b. A local enforcing agency consisting of or employing at least one paid fire inspector who is licensed pursuant to subsection c. of this section may elect to inspect high-rise structures and life hazard uses within its jurisdiction, in lieu of inspection by the commissioner. That election shall be made by resolution of the governing body having jurisdiction over the local enforcing agency. If an appropriate resolution has not been received by the commissioner on or before the effective date of P.L.1983, c.383 (C.52:27D-192 et seq.), the department shall perform all inspections under this subsection until such time as the governing body shall adopt and send to the commissioner an appropriate resolution. A local enforcing agency that elects to inspect high-rise structures and life hazard uses may issue the certificates of inspection required to be issued pursuant to section 14 of P.L.1983, c.383 (C.52:27D-205) and may inspect buildings and premises other than high-rise structures and life hazard uses in order to secure compliance with P.L.1983, c.383 (C.52:27D-192 et seq.).
c. The commissioner shall license fire inspectors and fire officials under P.L.1983, c.383 (C.52:27D-192 et seq.) in accordance with standards as the commissioner shall establish by regulation. As a condition of licensure, a person shall:
(1) submit an application to the Division of Fire Safety with the required fee;
(2) successfully complete an educational program adopted by the Division of Fire Safety's Office of Training, Certification, and Licensing;
(3) meet prerequisite criteria established by regulation; and
(4) pass the State written and practical exams.
d. A licensed fire inspector and fire official shall conduct fire inspections authorized by P.L.1983, c.383 (C.52:27D-192 et seq.) and established by regulation in non-life-hazard and life-hazard use groups.
e. Fire inspector and fire official certifications approved by the Office of Training and Certification prior to the effective date of P.L.2025, c.19 shall be considered equivalent to licenses established pursuant to P.L.2025, c.19.
f. Existing licensed multiple dwelling inspectors and officials enforcing the fire code in non-life hazard use dwellings shall be allowed two years from the effective date of P.L.2025, c.19 to obtain a fire inspector license to be able to continue enforcing the fire code.
##### **§ 52:27D-204** Local enforcing agencies; concurrent jurisdiction with department; failure to properly enforce act; assumption of duties by department {#sec-52-27d-204 omnilex-key=us-nj-statutes--title-52--52:27D-204}
a. The department shall have concurrent jurisdiction with local enforcing agencies to enforce this act in all buildings, structures and premises in the State, other than owner-occupied buildings used exclusively for dwelling purposes and containing fewer than three dwelling units.
b. If the commissioner determines that a local enforcing agency which had previously elected to inspect high-rise structures and life hazard uses has failed to properly enforce this act, he shall notify the local enforcing agency of his determination and thereafter all inspection and enforcement with respect to high-rise structures and life hazard uses within the jurisdiction of the local enforcing agency shall be done by the department and all fees and penalties received as a result of the inspection and enforcement shall be paid to the department.
##### **§ 52:27D-205** Life hazard use and high-rise structures; inspection cycles; application for certificate of inspection {#sec-52-27d-205 omnilex-key=us-nj-statutes--title-52--52:27D-205}
a. The enforcing agency shall inspect each high-rise structure and each life hazard use in the State at least once every year for the purpose of determining the extent to which they comply with the provisions of this act.
b. The commissioner, by regulation, may establish shorter inspection cycles for those classes of structures and uses whose nature makes more frequent inspection necessary for the protection of the public.
c. Thirty days following the inspection of a high-rise structure or life hazard use, the owner of the high-rise structure or life hazard use shall file with the department, upon forms to be provided by the enforcing agency, an application for a certificate of inspection containing information prescribed by regulation by the commissioner.
##### **§ 52:27D-206** Person aggrieved by ruling, action, order or notice of commissioner or local enforcement agency; administrative hearing; application; conduct {#sec-52-27d-206 omnilex-key=us-nj-statutes--title-52--52:27D-206}
a. A person aggrieved by a ruling, action, order, or notice of the commissioner pursuant to this act shall be entitled to an administrative hearing. The application for the hearing shall be filed with the commissioner by the 15th day after receipt by the person of notice of the ruling, action, order or notice.
All hearings shall be conducted by the Office of Administrative Law pursuant to the "Administrative Procedure Act," P.L.1968, c. 410 (C. 52:14B-1 et seq.) and P.L.1978, c. 67 (C. 52:14F-1 et seq.), and the final decision shall be issued by the commissioner or his designee.
b. A person aggrieved by any ruling, action, order or notice of a local enforcement agency pursuant to this act, shall be entitled to an administrative hearing before the construction board of appeals created pursuant to section 9 of P.L.1975, c. 215 (C. 52:27D-127), having jurisdiction in the municipality in which the building, structure or premises is located. The applications for the hearing shall be filed with the construction board of appeals by the 15th day after the receipt by the person of notice of the ruling, action, order or notice complained of.
##### **§ 52:27D-207** Violations; written order to terminate and correct; injunction {#sec-52-27d-207 omnilex-key=us-nj-statutes--title-52--52:27D-207}
a. If an enforcing agency discovers a violation of the provisions of this act upon an inspection of a building, structure or premises, then the enforcing agency shall issue and cause to be served on the owner of the building, structure or premises a written order requiring the owner to terminate, or cause to be terminated, the violation. The order shall state the nature of the violation and a reasonable specified period of time within which the violation shall be terminated. The order shall also require the owner to take or cause to be taken any affirmative action necessary to correct the violation.
b. The enforcing agency may petition the Superior Court for mandatory injunctive relief enforcing an order issued pursuant to this act. The Superior Court may proceed in a summary manner or otherwise, and shall have power to grant temporary relief or a restraining order as it may deem just and proper, and to make and enter a decree enforcing, modifying, and enforcing as so modified, or setting aside, in whole or in part, any order issued pursuant to this act.
##### **§ 52:27D-208** Violation constituting imminent hazard to health, safety or welfare; written order to vacate, close or remove; service; reinspection; reconsideration hearing {#sec-52-27d-208 omnilex-key=us-nj-statutes--title-52--52:27D-208}
a. If upon an inspection of a building, structure or premises the enforcing agency discovers a violation of this act that constitutes an imminent hazard to the health, safety or welfare of the occupants or intended occupants, fire fighters, or the public generally, the enforcing agency may issue and cause to be served on the owner of the building, structure or premises a written order directing that the building, structure or premises be vacated, closed, or removed forthwith or that the violation be corrected within the period specified in the order. The order shall state the nature of the violation and the date and hour by which the building, structure or premises shall be vacated, closed or removed or the violation shall be abated.
b. The enforcing agency shall reinspect the building, structure or premises within 48 hours of receiving written notice from the owner of a building, structure or premises vacated or closed, or ordered to be vacated or closed, stating that the violation has been terminated. If, upon reinspection, the enforcing agency determines that the violation has been terminated, it shall rescind the order requiring the vacation of the building, structure or premises and occupancy may be resumed immediately; provided that if the reinspection is not made by the local enforcing agency within 48 hours of the receipt of the notice, the owner may apply to the department for a reinspection.
c. If the owner of a building, structure or premises denies that a violation justifying an order pursuant to this section to vacate, close, remove, or abate within a specified time exists, the owner may apply to the commissioner or construction board of appeals, as the case may be, for a reconsideration hearing. The hearing shall be conducted, and a final decision issued, within 48 hours of the receipt of the request. Failure to issue a decision shall constitute denial of the owner's appeal, providing that, in the case of an appeal to the construction board of appeals, if the hearing is not held within 48 hours of the receipt of the request, the owner may apply to the department for an administrative hearing and the decision shall be rendered by the commissioner within 48 hours of the receipt of the application for the hearing.
##### **§ 52:27D-209** Violations in life hazard use as willful or grossly negligent or of previously issued order and constituting clear danger to human life; order for continued vacation and closing; reconsideration hearing {#sec-52-27d-209 omnilex-key=us-nj-statutes--title-52--52:27D-209}
a. If the enforcing agency finds a violation of the provisions of this act in a life hazard use to be willful or grossly negligent, or to be in violation of a previously issued order, and to constitute a clear danger to human life, in addition to ordering the building, structure or premises vacated and closed until the violation is abated, the enforcing agency may order the building, structure or premises to remain vacated and closed for a further period not to exceed 60 days and until such time as a certificate of continued occupancy, issued pursuant to regulations authorized by section 6 of the "State Uniform Construction Code Act," P.L.1975, c. 217 (C. 52:27D-124) shall be obtained by the owner.
b. If the owner of a building, structure or premises denies that a violation exists justifying an order to remain closed for the period of time indicated in the order, the owner may apply to the commissioner, or construction board of appeals, as the case may be, for a reconsideration hearing. The hearing shall be conducted, and a final decision issued, within 48 hours of receipt of the request. Failure to issue a decision shall constitute denial of the appeal.
##### **§ 52:27D-210** Additional violations; penalties. {#sec-52-27d-210 omnilex-key=us-nj-statutes--title-52--52:27D-210}
19. a. No person shall:
(1) Obstruct, hinder, delay, or interfere by force or otherwise with the commissioner or any local enforcing agency in the exercise of any power or the discharge of any function or duty under the provisions of the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.);
(2) Prepare, utter, or render any false statement, report, document, plans, or specification permitted or required under the provisions of P.L.1983, c.383 (C.52:27D-192 et seq.);
(3) Render ineffective or inoperative, or fail to properly maintain, any protective equipment or system installed, or intended to be installed, in a building or structure;
(4) Refuse or fail to comply with a lawful ruling, action, order, or notice of the commissioner or a local enforcing agency; or
(5) Violate, or cause to be violated, any of the provisions of P.L.1983, c.383 (C.52:27D-192 et seq.).
b. (1) A person who violates or causes to be violated a provision of subsection a. of this section shall be liable to a penalty of not more than $5,000 for each violation. If a violation of subsection a. of this section is of a continuing nature, each day during which the violation remains unabated after the date fixed in an order or notice for the correction or termination of the continuing violation shall constitute an additional and separate violation, except while an appeal from the order is pending in connection with any property except for those properties which are certified by the fire code official to be unoccupied. For the purposes of this section, a building may not be certified to be unoccupied unless it has been unoccupied for a period of not less than six months.
(2) If an owner or operator has been given notice that the owner or operator is required to abate a violation of P.L.1983, c.383 (C.52:27D-192 et seq.) and fails to abate the violation, the owner or operator shall be liable to an additional penalty of not more than $50,000. If a violation is of a continuing nature, each day during which the violation remains unabated shall not constitute an additional and separate violation for the purposes of the penalty in this paragraph. Continuing liability for unabated violations of record and unpaid fees or penalties following a change of ownership or tenancy shall be determined in accordance with subsections f. and g. of this section.
(3) An additional $150,000 or the actual cost, whichever is greater, may be imposed as a penalty for the expense to the municipality or fire district of suppressing any fire, directly or indirectly, resulting from the unabated violation and for any other actual expenses, including attorney fees, incurred by the municipality for the enforcement of the violation.
(4) Upon the 121st day subsequent to its filing, an appeal to a county, municipal, or joint construction board of appeals, a departmental appeal, or an appeal to a court of competent jurisdiction shall not automatically stay any order, including orders to pay a penalty imposed pursuant to P.L.1983, c.383 (C.52:27D-192 et seq.), or prevent the seeking of an order in a court of competent jurisdiction to enjoin the violation of any order of an enforcing agency in connection with any property which is found by the fire code official to be unoccupied.
Any party filing an appeal with a court of competent jurisdiction regarding violations assessed against property which has been certified as unoccupied pursuant to this section shall file a motion upon the initiation of the appeal requesting expedited consideration of the appeal on the ground that acceleration is warranted because the subject of the appeal involves matters of public safety. In the event the appeal is granted, the court shall grant the motion to expedite.
c. The commissioner or a local enforcing agency may levy and collect penalties in the amounts set forth in this section, but not in excess of the maximum amounts that the commissioner shall establish by regulation for different types of violations. If the administrative penalty order has not been satisfied by the 30th day after its issuance, the penalty may be sued for, and recovered by and in the name of the commissioner or the enforcing agency, as the case may be, in a civil action by a summary proceeding under "The Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.) in the Superior Court or municipal court. All moneys recovered in the form of penalties by a municipality shall be paid into the treasury of the municipality and shall be appropriated for the enforcement of P.L.1983, c.383 (C.52:27D-192 et seq.); except that the additional penalty paid by an owner or operator to a municipality under paragraph (2) or (3) of subsection b. of this section shall be placed in a special municipal trust fund to be applied to the municipality's or fire district's cost of firefighter training and new equipment. A person who fails to pay immediately a money judgment rendered against them pursuant to this subsection may be sentenced to imprisonment by the court for a period not exceeding six months, unless the judgment is sooner paid.
d. A person shall be deemed to have violated or caused to have violated a provision of subsection a. of this section if an officer, agent, or employee under the person's control and with the person's knowledge has violated or caused to have violated any of the provisions of subsection a. of this section.
e. Upon request of the owner or purchaser of a building or structure, the enforcing agency having jurisdiction over the building or structure shall issue a certificate either enumerating the violations indicated by its records to be unabated and the penalties or fees indicated to be unpaid, or stating that its records indicate that no violations remain unabated and no penalties or fees remain unpaid.
f. A new owner who purchases a property without having obtained a certificate stating that there are no unabated violations of record and no unpaid fees or penalties shall be deemed to have notice of all existing violations of record and shall be liable for the payment of all unpaid fees or penalties. The department shall issue requests for payment of unpaid fees or penalties within five years of the purchase date.
g. (1) Except as provided in paragraph (2) of this subsection, a new operator taking control of an existing tenant business shall assume liability for the payment of all existing unpaid fees and penalties assessed for that business. The department shall issue requests for payment of unpaid fees or penalties within a period of five years from the date of the change in operator, provided, however, a new operator who was a principal in, or agent of, the business previously occupying the property or who is related to a principal in, or agent of, that business by blood, adoption, or marriage shall assume existing liability for the payment of all unpaid fees and penalties indefinitely.
(2) A new operator who occupies all or part of the property with a business not previously situated on the property shall not assume liability for the payment of unpaid fees and penalties.
h. As used in this section:
"Operator" means a person or persons in the position of a tenant or lessee who conducts business from and is in actual physical possession or occupancy of all or part of the property.
"Owner" means a property owner, or the owner's agent or representative, whose name appears on the title in the public records.
##### **§ 52:27D-211** Method of service of notices, rules, decisions and orders {#sec-52-27d-211 omnilex-key=us-nj-statutes--title-52--52:27D-211}
20. a. Notices, rules, decisions, and orders required or permitted to be issued and served pursuant to the "Uniform Fire Safety Act," P.L.1983, c.383 (C.52:27D-192 et seq.) shall be served as follows:
(1) On the owner and operator by one or more of the following methods:
(a) By mail to the person designated as owner or agent on the certificate of registration in the municipal tax records or in the records of the Secretary of State and to the operator.
(b) By serving the document on the Secretary of State, who shall be deemed the owner's agent for service of process, provided that reasonable efforts have first been made to serve the owner, or the owner's agent, and the operator by mail and that a copy of the document is posted in a conspicuous location on the premises. "Conspicuous location" shall include the walls of the front vestibule or any common foyer or hallway immediately inside the main front entrance.
(c) By personal delivery of the document to the owner and to the operator.
(d) By leaving the document at the office or dwelling unit of the owner and of the operator with a person 14 years of age or older.
(e) By electronic service to the owner and operator provided that a delivery receipt is obtained.
(2) On any other person by one or more of the following methods:
(a) By mail to the person at the person's last known address.
(b) By personal delivery of the document to the person.
(c) By leaving the document at the office or dwelling unit of the person with a person 14 years of age or older.
b. The date of personal service or the third day after mailing shall be considered the date of service.
c. As used in this section:
"Operator" means a person or persons in the position of a tenant or lessee who conducts business from and is in actual physical possession or occupancy of all or part of the property.
"Owner" means a property owner, or the owner's agent or representative, whose name appears on the title in the public records.
##### **§ 52:27D-212** Records; public inspection {#sec-52-27d-212 omnilex-key=us-nj-statutes--title-52--52:27D-212}
The record of an action or proceeding under this act or any statement, report or record of any kind whatsoever obtained or received by the commissioner in connection with the administration or enforcement of the provisions of this act shall be public records and reasonably available for public inspection.
##### **§ 52:27D-213** Applicability of act; inspection of government owned buildings. {#sec-52-27d-213 omnilex-key=us-nj-statutes--title-52--52:27D-213}
22. a. This act shall not be construed as authorizing the adoption of a regulation or the enactment of an ordinance requiring that a building conforming in all respects to the requirements of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) be made to conform to more restrictive standards.
b. Buildings, structures and premises owned or operated by the State, its agencies, departments, or instrumentalities or an interstate agency shall be inspected exclusively by the Department of Community Affairs, and shall conform to this act in the same manner as all other buildings, structures and premises of similar construction and use classification. The department may establish fees and issue penalties against the State, its agency, department or instrumentality, or an interstate agency to obtain compliance with P.L.1983, c.383 (C.52:27D-192 et seq.). For purposes of this section, a unit of local government, whether county, inter-local or municipal, or a local, county, regional or consolidated school district, shall not be deemed to be an instrumentality of the State.
c. Buildings, structures and premises subject to inspection for fire safety by an agency of the State shall be inspected by the agency in accordance with the standards established pursuant to this act. Any State fire safety standard for buildings, structures or premises established by or pursuant to any statute other than this act shall continue in effect until such time as that standard is superseded by appropriate regulations promulgated under this act. An agency of the State that enforced fire standards prior to the effective date of this act shall be entitled to petition the commissioner to establish a regulation establishing the standards it considers to be necessary and appropriate for buildings, structures and premises subject to its inspection.
##### **§ 52:27D-214** Definitions {#sec-52-27d-214 omnilex-key=us-nj-statutes--title-52--52:27D-214}
As used in this act:
a. "Attended terminal" means a terminal where an individual knowledgeable in the aboveground liquid storage tank filling operation is physically in attendance and control during the entire delivery of a flammable liquid and has as his responsibility supervision of the storage tank filling operation.
b. "Commissioner" means the Commissioner of Community Affairs.
c. "Flammable liquid" means a liquid having a flash point below 100 degrees Fahrenheit and having a vapor pressure not exceeding 40 psi at 100 degrees Fahrenheit.
d. "Pipeline" means a pipeline used to convey a flammable liquid from a crude petroleum wellhead collection site to a refinery or terminal or from a refinery to a terminal or from a marine vessel to a terminal. Pipeline does notmean gathering lines from the wellhead to a crude petroleum collection tank.
e. "Terminal" means a facility at which one or more aboveground liquid storage tanks for the containment of flammable liquids are located.
f. "Unattended terminal" means a terminal where an individual knowledgeable in the aboveground liquid storage tank filling operation is in attendance only during a portion of the time when a flammable liquid is being delivered or has as his responsibility a function other than the supervision of the storage tank filling operation, or any terminal other than an attended terminal.
##### **§ 52:27D-215** Terminal with tank filled by pipeline; requirements; high level alarm system; fire and emergency plan {#sec-52-27d-215 omnilex-key=us-nj-statutes--title-52--52:27D-215}
a. Each terminal at which a tank filled by pipeline is located shall comply with the following requirements:
(1) It shall be equipped with a high level alarm system.
(2) The high level alarm system shall be set to activate at a predetermined level in each tank filled by pipeline at the terminal to allow sufficient time for the flow of the flammable liquid to be shut down before the tank overfills. The level shall be determined by the maximum filling rate and the time required for terminal personnel to take appropriate action to stop the flow of the flammable liquid.
(3) The high level alarm system shall be maintained in accordance with its manufacturer's recommendations.
(4) The high level alarm system shall be tested every three months by the owner of the terminal and a record of the test shall be maintained.
b. Prior to installation of a new system, the components of the high level alarm system shall be tested for their intended use by a nationally recognized testing laboratory as determined by the commissioner.
c. Plans and specifications for a new high level alarm system shall be submitted by the owner of the terminal to the commissioner for approval before the installation of the system.
d. Upon the completion of the installation of a new high level alarm system, the commissioner shall be notified and a final inspection shall be made by the Department of Community Affairs to determine if the installation is in compliance with this section.
e. Existing high level alarm systems installed prior to the effective date of this act will be deemed to meet the requirements of the act if they can be shown to operate as outlined in paragraph (2) of subsection a. of section 2 of this act, and if they are maintained and tested as outlined in paragraphs (3) and (4) of subsection a. of section 2 of this act. The commissioner shall be notified of the existence of such a system by its owner, and an inspection shall be made by the Department of Community Affairs to determine if the installation is in compliance with this section.
f. The owner shall develop a fire and emergency plan for the terminal and file a copy with the fire department having jurisdiction over the terminal.
##### **§ 52:27D-216** Attended terminal; additional requirements {#sec-52-27d-216 omnilex-key=us-nj-statutes--title-52--52:27D-216}
In addition to the requirements specified in section 2 of this act, each attended terminal at which a tank filled by a pipeline is located shall comply with the following requirements:
a. The high level alarm system at the terminal shall provide an audible sound of sufficient decibels to alert personnel responsible for taking corrective action.
b. The high level alarm system at the terminal shall be equipped with an audible trouble alarm which has a distinctive sound not used for any other purpose and of sufficient decibels so that it is audible to all terminal personnel required to respond to its sounding. The audible trouble alarm shall sound upon the occurrence of any of the following:
(1) A loss of the main electrical operating power in the terminal;
(2) An electrical break or ground fault in the alarm initiating circuit or the signaling device circuit;
(3) The derangement of the high level alarm system control equipment;
(4) The removal of initiating devices from the high level alarm system; or
(5) The electrical derangement of the signaling devices of the high level alarm system.
c. Formal written procedures shall be followed by responsible personnel to prevent overfilling of tanks. These procedures shall describe the usage of the high level alarm system and the responsibilities, including tank gauging, of personnel who are trained in these procedures and are on duty throughout product receipt to promptly arrange for flow stoppage or diversion. These procedures shall be made available in sufficient copies to be readily accessible to terminal personnel trained in these procedures. In addition, these procedures shall include:
(1) Validation of proper line-up and receipt of initial delivery to the tank designated to receive shipment at the expected rate.
(2) Provision for adequate supervision and monitoring of the performance of operating personnel.
(3) Schedules for checkout and maintenance of high level instrumentation and related systems.
(4) Training and qualification requirements of terminal personnel on duty who are responsible for overfill prevention.
##### **§ 52:27D-217** Unattended terminal; additional requirements {#sec-52-27d-217 omnilex-key=us-nj-statutes--title-52--52:27D-217}
In addition to the requirements specified in section 2 of this act, each unattended terminal at which a tank filled by pipeline is located shall comply with the following requirements:
a. The high level alarm system shall be capable of automatically shutting off or diverting the flow of the flammable liquid at the point of origin within the terminal or at the point of receipt into the aboveground liquid storage tank.
b. The high level alarm system shall be capable of automatically shutting off or diverting the flow of the flammable liquid at the point of origin within the terminal or at the point of receipt into the aboveground liquid storage tank in the event of a power failure in the high level alarm system.
##### **§ 52:27D-218** Variations from requirements; procedure {#sec-52-27d-218 omnilex-key=us-nj-statutes--title-52--52:27D-218}
At the request of a terminal owner and after the commissioner has received from the terminal owner and has approved plans and specifications outlining the manner in which and the date by which the terminal owner will comply with the requirements of this act, the commissioner may grant variations from the requirements of section 2, 3, or 4 of this act in a manner to be prescribed by him.
##### **§ 52:27D-219** Rules and regulations {#sec-52-27d-219 omnilex-key=us-nj-statutes--title-52--52:27D-219}
The commissioner, pursuant to the "Administrative Procedure Act," P.L.1968, c. 410 (C. 52:14B-1 et seq.), shall promulgate the rules and regulations necessary to effectuate the purposes of this act.
##### **§ 52:27D-220** Application of s.s. 52:27D-208, 52:27D-210 to this act {#sec-52-27d-220 omnilex-key=us-nj-statutes--title-52--52:27D-220}
Provisions contained in sections 17 and 19 of the "Uniform Fire Safety Act," P.L.1983, c. 383 (C. 52:27D-208 and C. 52:27D-210), shall also apply to this act.
##### **§ 52:27D-221** Ordinance more restrictive than requirements of this act; prohibition {#sec-52-27d-221 omnilex-key=us-nj-statutes--title-52--52:27D-221}
A local governing body shall not enact an ordinance more restrictive than the requirements of this act.
##### **§ 52:27D-222** Definitions {#sec-52-27d-222 omnilex-key=us-nj-statutes--title-52--52:27D-222}
As used in this act:
a. "Business entity" means any person or corporation in the State engaged in business operations which has a Standard Industrial Classification, as designated in the Standard Industrial Classification Manual prepared by the federal Office of Management and Budget, within the following Major Group Numbers, Group Numbers, or Industry Numbers, as the case may be: Major Group Number 07 (Agricultural Services), only Industry Number 0782 - Lawn and Garden Services; Major Group Numbers 20 through 39 inclusive (Manufacturing Industries); Major Group Number 45 (Transportation by Air), only Industry Number 4511-Air Transportation, Certified Carriers, and Group Number 458-Air Transportation Services; Major Group Number 46 (Pipelines, Except Natural Gas); Major Group Number 47 (Transportation Services), only Group Numbers 471-Freight Forwarding, 474-Rental of Railroad Cars, and 478-Miscellaneous Services Incidental to Transportation; Major Group Number 48 (Communication), only Group Numbers 481-Telephone Communication, and 482-Telegraph Communication; Major Group Number 49 (Electric, Gas and Sanitary Services); Major Group Number 50 (Wholesale Trade-Durable Goods), only Industry Numbers 5085-Industrial Supplies, 5087-Service Establishment Equipment and Supplies, and 5093-Scrap and Waste Materials; Major Group Number 51 (Wholesale Trade, Nondurable Goods), only Group Numbers 512-Drugs, Drug Proprietaries and Druggists' Sundries, 516-Chemicals and Allied Products, 517-Petroleum and Petroleum Products, 518-Beer, Wine and Distilled Alcoholic Beverages, and 519-Miscellaneous Nondurable Goods; Major Group Number 55 (Automobile Dealers and Gasoline Service Stations), only Group Numbers 551-Motor Vehicle Dealers (New and Used), 552-Motor Vehicle Dealers (Used Only), and 554-Gasoline Service Stations; Major Group Number 72 (Personal Services), only Industry Numbers 7216-Dry Cleaning Plants, Except Rug Cleaning, 7217-Carpet and Upholstery Cleaning, and 7218-Industrial Launderers; Major Group Number 73 (Business Services), only Industry Number 7397-Commercial Testing Laboratories; Major Group Number 75 (Automotive Repair, Services, and Garages), only Group Number 753-Automotive Repair Shops; Major Group Number 76 (Miscellaneous Repair Services), only Industry Number 7692-Welding Repair; Major Group Number 80 (Health Services), only Group Number 806-Hospitals; and Major Group Number 82 (Educational Services), only Group Numbers 821-Elementary and Secondary Schools and 822-Colleges and Universities, and Industry Number 8249-Vocational Schools. "Business entity" also means the State and local governments, or any agency, authority, department, bureau, or instrumentality thereof.
b. "Emergency response plan" means a written document, developed by a county fire marshal or appropriate county official and a municipal fire department or fire district in cooperation with a business entity and updated as necessary, which establishes procedures for dealing with fires at facilities that store, manufacture, distribute or warehouse substances identified by the Department of Environmental Protection as unusually hazardous. The purpose of the plan and its process of development is to ensure that emergency response personnel have adequate knowledge of the location and identity of unusually hazardous substances and pre-established procedures for handling an emergency. c. "Facility" means the building, equipment and contiguous area at a single location used for the conduct of business.
d. "Unusually hazardous" means likely to explode due to a highly volatile nature, a propensity to produce toxic fumes, or a tendency to react with water or common firefighting chemicals and any other property which the Department of Environmental Protection determines will make a substance an uncommon danger to firefighters and the surrounding community in the event of its exposure to a fire.
##### **§ 52:27D-223** List of unusually hazardous substances {#sec-52-27d-223 omnilex-key=us-nj-statutes--title-52--52:27D-223}
a. The Department of Environmental Protection, in consultation with the Department of Community Affairs, shall develop a list of substances and their quantities (1) which are not normally hazardous to the health and safety of a person in their common chemical state but which become unusually hazardous to firefighters and the surrounding community in the event of the exposure of the substance to a fire and (2) which are not already covered by the Emergency Services Information Survey which is developed and distributed pursuant to the "Worker and Community Right to Know Act" (P.L. 1983, c. 315; C. 34:5A-1 et seq.).
b. The department shall develop a fact sheet for each substance contained on the list. The fact sheet shall describe (1) the unusually hazardous nature of a substance to firefighters or the surrounding community, or both, in the event of the exposure of the substance to a fire, and (2) the steps necessary to neutralize the hazard.
c. The department shall include the list of unusually hazardous substances, using their common names, on the Emergency Services Information Survey. The purpose of including this list on the survey is to require business entities to report the manufacture, distribution, storage or warehousing of objects comprised of substances identified by the department as unusually hazardous to firefighters or the surrounding community in the event of the exposure of the substance to fire. It is not the intent of this act to require the reporting of materials that are commonly used in the normal conduct of business, including, but not limited to, desks, paneling, flooring, piping and rugs.
d. The department shall adopt the list and fact sheet developed under this section no later than three months prior to the effective date of this act.
##### **§ 52:27D-224** Emergency response plan {#sec-52-27d-224 omnilex-key=us-nj-statutes--title-52--52:27D-224}
A municipal fire department or fire district in coordination with the county fire marshal or appropriate county official shall have the exclusive authority to determine, after a review of an Emergency Services Information Survey form, if an emergency response plan is to be required for a business entity. In order to develop an emergency response plan, a municipal fire department or fire district and the county fire marshal or appropriate county official may require a business entity to participate in a preplanning conference. An emergency response plan may include:
a. An on-site review of operating facilities.
b. A description of the work area in which the unusually hazardous substance is normally stored.
c. Facility plant plans or building layout.
d. The internal and external access routes.
e. The location and inventory of emergency response equipment and resources.
f. The location of unusually hazardous substances.
g. The name and phone number of the emergency response coordinator.
h. The establishment of a site emergency response command post.
i. Any special equipment needed to respond to an emergency.
j. An evacuation plan.
k. An examination of existing knowledge and techniques used to respond to emergencies dealing with all unusually hazardous substances located at the facility.
L. A review of all survey information.
m. Any additional hazards present on site.
An emergency response plan shall be updated periodically or when necessary to reflect any significant changes which have occurred. Information discussed at a preplanning conference or contained in an emergency response plan shall not be disclosed by fire company personnel without the express written approval of the business entity.
##### **§ 52:27D-224.1** Evacuation, emergency building operations plan for certain multiple dwellings, filing with municipality. {#sec-52-27d-224.1 omnilex-key=us-nj-statutes--title-52--52:27D-224.1}
1. a. An owner of a multiple dwelling, as defined under section 3 of P.L.1967, c.76 (C.55:13A-3), which is comprised of more than 20 dwelling units and reserves occupancy for residents who have attained the minimum age of 55, shall annually prepare and maintain an emergency building evacuation plan for the multiple dwelling, in coordination with the appropriate local fire and emergency response agencies. A copy of the plan shall be filed with the municipal emergency management coordinator.
If the health, safety or welfare of any resident of such a multiple dwelling cannot be maintained during the disruption of essential services as defined pursuant to section 2 of P.L.2003, c.53 (C.52:27D-224.2), the emergency evacuation plan shall provide for individualized evacuation of such a resident.
b. An owner of such a multiple dwelling, shall annually prepare and maintain an emergency building operations plan for the multiple dwelling, in coordination with the municipal emergency management coordinator, to prepare for any possible loss of essential services, such as adequate heat, water, hot water, electricity, gas, or telephone service, and any other substantial disruption to daily living that could result during an emergency. A copy of the plan shall be filed with the municipal emergency management coordinator, and with any public utility, as defined in R.S.48:2-13, providing service to the multiple dwelling.
##### **§ 52:27D-224.2** Notification relative to disruption of services, "essential services" defined. {#sec-52-27d-224.2 omnilex-key=us-nj-statutes--title-52--52:27D-224.2}
2. Whenever in a multiple dwelling for which an annual emergency building evacuation plan is required to be filed pursuant to section 1 of P.L.2001, c.80 (C.52:27D-224.1) essential services are disrupted for a period of time longer than two hours, the owner of the multiple dwelling shall notify, in writing and by voice communication, the municipal emergency management coordinator. For the purposes of this section, "essential services" means the supply of adequate heat, water, hot water, electricity, gas, and telephone service.
##### **§ 52:27D-224.3** Emergency operations plan for venues, facilities, certain. {#sec-52-27d-224.3 omnilex-key=us-nj-statutes--title-52--52:27D-224.3}
1. All sports and entertainment facilities, movie theaters, and places of worship in the State shall annually prepare and maintain an emergency operations plan in coordination with the appropriate local fire, law enforcement, and emergency response agencies. A copy of the plan shall be filed in an electronic format that is compatible with public safety software systems each year with the municipal emergency management coordinator and chief law enforcement officer who serves the municipality in which the sports and entertainment facility, movie theater, or place of worship is situated.
The emergency operations plan shall include emergency mapping data. The emergency mapping data shall include, but not be limited to, an aerial image of the building; a geospatially referenced floor plan or building schematic; site specific labeling of rooms, suite numbers, and key features; internal and external access routes; locations of hazardous materials and utility shut-offs; and any other relevant information. The chief law enforcement officer shall utilize the emergency operations plans submitted pursuant to this section to prepare and train for mass casualty and active shooter incidents at sports and entertainment facilities, movie theaters, and places of worship.
An emergency operations plan shall not be considered a public record pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.) or P.L.2001, c.404 (C.47:1A-5 et al.).
As used in this section:
"Emergency mapping data" means a digital representation of a building's interior and exterior that is verified for accuracy by a person and provided to public safety officials as set forth in this section electronically and in a printable format through existing public safety software systems.
"Movie theater" means a premises capable of seating more than 1,000 people at which the display of motion pictures to the general public in exchange for a fee is the primary and principal business.
"Place of worship" means a building capable of seating more than 300 people, including, but not limited to, a church, mosque, or synagogue, used primarily as a place of public or private worship on a permanent basis by a recognized and established religious sect or denomination registered as a not-for-profit organization pursuant to Section 501(c)(3) of the United States Internal Revenue Code, 26 U.S.C. s.501 (c) (3).
"Sports and entertainment facility" means any privately or publicly owned or operated facility capable of seating more than 5,000 people and is used primarily for sports contests, entertainment, or both, such as a theater, stadium, museum, arena, automobile racetrack, or other place where performances, concerts, exhibits, games or contests are held.
##### **§ 52:27D-225** Penalty {#sec-52-27d-225 omnilex-key=us-nj-statutes--title-52--52:27D-225}
A person who violates a provision of this act shall be subject to a penalty of not more than $5,000.00 for each offense. The fine shall be collected in a summary proceeding under "the penalty enforcement law" (N.J.S. 2A:58-1 et seq.) instituted by the enforcement agency responsible for the enforcement of the "Uniform Fire Safety Act," P.L. 1983, c. 383 (C. 52:27D-192 et seq.), in the county, municipality or fire district in which the facility of the business entity is located.
##### **§ 52:27D-226** Breathing apparatus {#sec-52-27d-226 omnilex-key=us-nj-statutes--title-52--52:27D-226}
Based on the information obtained in section 3 of this act, a member of a fire company shall wear a self-contained positive pressure breathing apparatus when responding to or abating a fire or an explosion.
##### **§ 52:27D-227** Fact sheet transmittal {#sec-52-27d-227 omnilex-key=us-nj-statutes--title-52--52:27D-227}
No later than 30 days after the effective date of this act, the Department of Community Affairs shall transmit, after a public hearing pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.), a copy of the fact sheet developed under section 2 of this act to each county fire marshal or appropriate county official, municipal fire department and fire district in this State. The county fire marshals or appropriate county officials, municipal fire departments and fire districts shall maintain a record of the fact sheet.
##### **§ 52:27D-228** Revision of list, fact sheets {#sec-52-27d-228 omnilex-key=us-nj-statutes--title-52--52:27D-228}
The Department of Environmental Protection, in consultation with the Department of Community Affairs, shall revise the list and fact sheets developed under section 2 of this act in accordance with further scientific information concerning substances which are included or should be included thereon.
##### **§ 52:27D-280** Short title {#sec-52-27d-280 omnilex-key=us-nj-statutes--title-52--52:27D-280}
This act shall be known and may be cited as the "Prevention of Homelessness Act (1984)" . L.1984, c. 180, s. 1, eff. Nov. 9, 1984.
##### **§ 52:27D-281** Findings, declarations. {#sec-52-27d-281 omnilex-key=us-nj-statutes--title-52--52:27D-281}
2. a. It is the long-standing policy of this State that no person should suffer unnecessarily from cold or hunger, or be deprived of shelter.
b. At the present time, many persons have been rendered homeless as a result of economic adversity, a severe shortage of affordable housing, and increased stress due to the complexity of daily living.
c. It is both more economical and more socially desirable to place homeless people in suitable apartments, or to enable people to retain possession of their houses or apartments and thereby avoid homelessness than to house them in hotel rooms or in other facilities intended for short-term occupancy.
d. The Department of Community Affairs has had extensive experience in the administration of the federal section 8 existing housing and moderate rehabilitation rental assistance programs and is therefore the most appropriate agency to administer a program providing temporary rental or other housing assistance to persons who are homeless or in imminent danger of homelessness by reason of inablility to pay rent or other housing costs.
##### **§ 52:27D-281a** Information on homeless prevention programs, services made available on Internet website, Department of Community Affairs. {#sec-52-27d-281a omnilex-key=us-nj-statutes--title-52--52:27D-281a}
1. a. The Department of Community Affairs shall prepare and make available on the department's Internet website, in an easily printable format, or contract with a third party to prepare and make available, information on all county, State, and federal homeless prevention programs and services that are available to a homeless person or to a person who is at imminent risk of homelessness. The department shall update the information whenever new information about the programs and services becomes available. The information shall include, but not be limited to, a list, by county, of:
(1) grant programs and homeless intervention programs, including the "Homeless Veterans Grant Fund" established by section 4 of P.L.2013, c.239 (C.54A:9-25.33), "Statue of Liberty Trust Fund," established by section 3 of P.L.1987, c.57 (C.32:32-3), "County Homelessness Trust Fund," created by P.L.2009, c.123 (C.52:27D-287a et al.), and the Homeless Intervention Program in the Department of Military and Veterans Affairs, that supply grants and provide referral assistance services to homeless veterans, homeless persons, and persons at imminent risk of homelessness, as applicable;
(2) homeless youth programs and other homeless services provided to teens and young adults by the Division of Children's System of Care and Office of Adolescent Services in the Department of Children and Families;
(3) homeless prevention services provided by the Division of Child Protection and Permanency in the Department of Children and Families to families involved in the child welfare system;
(4) homeless services provided by the Division of Mental Health and Addiction Services in the Department of Human Services to persons suffering from mental illness or co-occurring addiction and mental health disease; and
(5) other county, State, or federal housing and homeless prevention programs that provide financial and other supportive services to homeless persons or those at imminent risk of homelessness.
b. The department shall notify each county welfare agency, Division of Child Protection and Permanency local office, veterans service office, emergency shelter for the homeless, health care facility, State psychiatric hospital, crisis intervention unit, screening service, library, and community-based outreach program and nonprofit organizations providing housing and homeless prevention services in the State of the requirement to:
(1) post the information specified in paragraph (1) of subsection a. of this section in a conspicuous public place in the agency, office shelter, facility, hospital, unit, screening service, library, or place where housing and homeless prevention services are provided; and
(2) provide the information, at no cost, to homeless persons or persons at imminent risk of homelessness.
c. The department shall ensure, in consultation with the Departments of Children and Families, Health, Human Services, and Military and Veterans Affairs, that:
(1) the information posted on its website is made available on the websites of the Departments of Children and Families, Health, Human Services, and Military and Veterans Affairs, and is updated as necessary; and
(2) a website link to the information is posted to the Internet website of every county welfare agency, Division of Child Protection and Permanency local office, and veterans service office in the State.
d. As used in this section, "homeless person" means a teen, a young adult, a veteran, as defined under N.J.S.11A:5-1, N.J.S.18A:66-2, section 6 of P.L.1954, c.84 (C.43:15A-6), or section 1 of P.L.1983, c.391 (C.43:16A-11.7), an unemployed or underemployed person, a person with mental illness, or a person with developmental disabilities who is living outside, or in a building not meant for human habitation or which the person has no legal right to occupy, or in an emergency shelter, in a temporary housing program which may include a transitional and supportive housing program if habitation time limits exist, or temporarily in the home of another household, or in a motel.
##### **§ 52:27D-281b** Non-Internet application method for housing, shelter, or rental assistance programs. {#sec-52-27d-281b omnilex-key=us-nj-statutes--title-52--52:27D-281b}
1. The Commissioner of Community Affairs shall establish, obtain, or arrange for a non-Internet application method for applicants for any housing, shelter, or rental assistance programs administered by the Department of Community Affairs, including but not limited to, rental assistance that is administered by the department and authorized pursuant to section 8 of the United States Housing Act of 1937 (42 U.S.C. s.1437f), the State rental assistance program, established pursuant to P.L.2004, c.140 (C.52:27D-287.1 et seq.), and any other similar State-administered programs related to housing, shelter, or rental assistance, to apply for such programs to the extent permitted by federal law.
##### **§ 52:27D-282** Temporary rental or housing assistance; eligibility {#sec-52-27d-282 omnilex-key=us-nj-statutes--title-52--52:27D-282}
The Department of Community Affairs may establish priorities of eligibility for temporary rental or other housing assistance among the various categories of persons needing assistance in obtaining or retaining housing, including, without limitation, persons subject to immediate eviction for nonpayment of rent, or foreclosure for nonpayment of mortgage installments or property taxes, when nonpayment is attributable to illness, unemployment, underemployment or any other failure of resources beyond the person's control. L.1984, c. 180, s. 4, eff. Nov. 9, 1984.
##### **§ 52:27D-283** Alternative sources of rental assistance; priority of housing to assistance applicants {#sec-52-27d-283 omnilex-key=us-nj-statutes--title-52--52:27D-283}
No person shall continue to receive temporary rental assistance if alternative sources of rental subsidy, including, without limitation, rental assistance under the federal section 8 programs and public housing, become available. Every local housing authority, and every limited dividend or nonprofit housing corporation or association which owns or controls a subsidized housing project, or subsidized units within a housing project and which receives local property tax abatement pursuant to any law of this State, shall give priority to applications by persons receiving temporary rental assistance, subject to the requirements of other applicable federal and State statutes and regulations. L.1984, c. 180, s. 5, eff. Nov. 9, 1984.
##### **§ 52:27D-284** Benefits not income for eligibility and tax purposes {#sec-52-27d-284 omnilex-key=us-nj-statutes--title-52--52:27D-284}
Benefits under this program shall not be treated as income in determining eligibility requirements for other State programs or for New Jersey gross income tax purposes. L.1984, c. 180, s. 6, eff. Nov. 9, 1984.
##### **§ 52:27D-285** Standards of habitability for housing units {#sec-52-27d-285 omnilex-key=us-nj-statutes--title-52--52:27D-285}
The Department of Community Affairs shall establish standards of habitability applicable to any housing unit the rental for which is paid, in whole or in part, by temporary rental assistance payments from the authority. L.1984, c. 180, s. 7, eff. Nov. 9, 1984.
##### **§ 52:27D-286** Fund; appropriation; housing demonstration fund moneys {#sec-52-27d-286 omnilex-key=us-nj-statutes--title-52--52:27D-286}
There is appropriated to the Department of Community Affairs $1,650,000.00 to establish a fund for the purpose of providing temporary rental and other housing assistance to persons who are homeless or in imminent danger of losing housing, providing interest subsidies to encourage increased availability of affordable housing pursuant to subsection g. of section 24 of P.L.1944, c. 85 (C. 52:27C-24) and paying the administrative cost of the temporary rental and other housing assistance and interest subsidy programs. Loans made from this fund shall be repaid to the Department of Community Affairs for redeposit in the fund. In addition, the Department of Community Affairs is authorized to apply up to $500,000.00 of Housing Demonstration Fund moneys for the purpose of providing loans and grants for the acquisition, construction, repair or rehabilitation of structures which are to be operated as shelters for homeless persons by one or more agencies designated for that purpose pursuant to P.L.1983, c. 343, when it appears to the Commissioner of the Department of Community Affairs that assistance is necessary in order to permit an agency to provide sufficient accommodations for persons likely to be in need of shelter. L.1984, c. 180, s. 8, eff. Nov. 9, 1984.
##### **§ 52:27D-287** Maximum lengths of terms of eligibility; conversion of loans to grants {#sec-52-27d-287 omnilex-key=us-nj-statutes--title-52--52:27D-287}
The Department of Community Affairs shall establish maximum lengths of terms of eligibility for temporary rental assistance and other temporary housing assistance, and varying levels of assistance, and shall be empowered to convert loans into grants when necessary to carry out the purposes of this act.
##### **§ 52:27D-287a** Short title. {#sec-52-27d-287a omnilex-key=us-nj-statutes--title-52--52:27D-287a}
1. This act shall be known and may be cited as the "County Homelessness Trust Fund Act."
##### **§ 52:27D-287b** Findings, declarations relative to county homelessness trust funds. {#sec-52-27d-287b omnilex-key=us-nj-statutes--title-52--52:27D-287b}
2. The Legislature finds and declares:
a. The creation of county homelessness trust funds in counties that have completed and endorsed a plan to end homelessness will provide some of the additional funds necessary to move homeless or formerly homeless individuals toward the goal of permanent affordable housing and self-sufficiency.
b. Despite laudable efforts by all levels of government, private individuals, nonprofit organizations, and charitable foundations to end homelessness, the number of homeless persons in New Jersey is unacceptably high. The State's homeless population, furthermore, includes a large number of families with children, youth, veterans, the elderly, and employed persons.
c. Fiscal and social costs of homelessness are high for both the public and private sectors and ending homelessness should be a joint goal for State and local government.
d. A myriad of factors contribute to homelessness, including a shortage of affordable housing; a shortage of jobs that pay wages and benefits sufficient to support a family; high property taxes which undermine housing affordability; a lack of an accessible and affordable health care system available to all who suffer from physical and mental illnesses and chemical and alcohol dependency; domestic violence; and a lack of education and job skills necessary to acquire adequate wage jobs in the economy of the twenty-first century.
e. It is critical that emergency shelters for the homeless are able to provide sufficient and adequate shelter services to all homeless individuals in their communities when a Code Blue alert is in effect due to severely cold weather. Allowing county homelessness trust funds to be used in support of emergency shelter for the homeless services provided in connection with a Code Blue alert would create an additional funding source to help ensure that this goal is met.
##### **§ 52:27D-287c** Definitions relative to county homelessness trust funds. {#sec-52-27d-287c omnilex-key=us-nj-statutes--title-52--52:27D-287c}
3. As used in P.L.2009, c.123 (C.52:27D-287a et al.):
"Code Blue alert" means an alert declared pursuant to section 3 of P.L.2017, c.68 (C.App.A:9-43.20).
"Community based organization" means a nonprofit, private, or public organization funded with public or private funds, or both, that provides housing and services to families and individuals who are homeless.
"County homeless housing grant program" means the vehicle by which competitive grants are awarded by the governing body of the county, utilizing moneys from the County Homelessness Housing Trust Fund, for activities directly related to housing homeless individuals and families, preventing homelessness, and other efforts directly related to permanently housing homeless persons, as administered by the local government or its designated subcontractor, or directly related to temporarily housing homeless persons in connection with a Code Blue alert.
"County Homelessness Trust Fund Task Force" means the voluntary local committee created to advise a local government on the creation of a local homeless housing plan and participate in a local homeless housing program. It shall include a representative of the county, representatives from each of the three municipalities in the county with the largest populations of homeless people, representatives from the organization responsible for developing, implementing, or both, the local plan to end homelessness, at least three homeless or formerly homeless persons, and three representatives of local private or nonprofit organizations with experience in assisting the homeless or providing low-income housing. Among the responsibilities of the County Homelessness Trust Fund Task Force is to assess priorities for funding, review of applications, and preparation of an annual report and an annual measurement of the progress of the trust fund.
"Department" means the Department of Community Affairs, unless otherwise designated.
"Director" means the Director of the Division of Housing and Community Resources in the Department of Community Affairs.
"Homeless person" means an individual living outside, or in a building not meant for human habitation or which the person has no legal right to occupy, in an emergency shelter, or in a temporary housing program which may include a transitional and supportive housing program if habitation time limits exist, or temporarily in the home of another household, or in a motel.
"Housing authority" means any of the public corporations created pursuant to section 17 of P.L.1992, c.79 (C.40A:12A-17).
"Housing continuum" means the progression of individuals along a housing-focused scale with homelessness at one end and home ownership at the other.
"Homeless housing plan" means the plan approved by a local government to address housing for homeless persons that includes measurable and achievable objectives to end homelessness in the county.
"Local government" means a county government.
"Outcome measurement" means the process of comparing specific measures of success against ultimate and interim goals.
##### **§ 52:27D-287d** Adoption of homeless housing plan by local government. {#sec-52-27d-287d omnilex-key=us-nj-statutes--title-52--52:27D-287d}
4. A local government, in consultation with the Office of Homelessness Prevention in the Department of Community Affairs, may adopt a homeless housing plan to address the housing needs of persons who are homeless within its jurisdiction, which shall be in accordance with the provisions of P.L.2009, c.123 (C.52:27D-287a et al.). The plan shall include provisions for establishing a trust fund for the purposes of receiving funds pursuant to P.L.2009, c.123 (C.52:27D-287a et al.), and shall evidence a strategic local scheme to identify and address the needs of persons who are homeless within the jurisdiction, including strategies to reduce the need for emergency room care, hospital care, law enforcement, foster care, and other social services associated with persons who are homeless and homelessness.
##### **§ 52:27D-287e** "County Homelessness Trust Fund." {#sec-52-27d-287e omnilex-key=us-nj-statutes--title-52--52:27D-287e}
5. a. Amounts raised by the surcharge imposed pursuant to N.J.S.22A:4-17 as amended by section 8 of P.L.2009, c.123 shall be deposited into a "County Homelessness Trust Fund" to be created by the county and shall be used exclusively for the purposes authorized by P.L.2009, c.123 (C.52:27D-287a et al.). Any interest or other income earned on monies deposited into the county trust fund shall be credited to the fund to be used for the same purposes as the principal. A county may deposit other funds into the County Homelessness Trust Fund, as it may, from time to time, deem appropriate.
b. No monies in the trust fund shall be utilized to pay or discharge the principal or interest on any indebtedness incurred for any purpose by the county or any other governmental entity.
c. Amounts raised by the surcharge must be expended for the purposes detailed in section 6 of P.L.2009, c.123 (C.52:27D-287f) within four years of being collected.
d. Any monies in the trust fund that are not expended after four years will be transferred to the Department of Community of Affairs which will contract with a community based organization in the same county where the Homelessness Trust Fund exists for the purposes of P.L.2009, c.123 (C.52:27D-287a et al.).
##### **§ 52:27D-287f** Utilization of County Homelessness Trust Fund. {#sec-52-27d-287f omnilex-key=us-nj-statutes--title-52--52:27D-287f}
6. a. Each county shall utilize its County Homelessness Trust Fund with the advice of the County Homelessness Trust Fund Task Force for the operation of a homeless housing grant program. This program is established in order to provide:
(1) for the acquisition, construction, or rehabilitation of housing projects or units within housing projects that supply permanent affordable housing for persons who are homeless or families, including those at risk of homelessness;
(2) rental assistance vouchers, including tenant and project based subsidies, for affordable housing projects or units within housing projects that provide permanent affordable housing for persons who are homeless or families, including those at risk of homelessness;
(3) supportive services as may be required by homeless individuals or families in order to obtain or maintain, or both, permanent affordable housing; and
(4) prevention services for at risk homeless individuals or families so that they can obtain and maintain permanent affordable housing.
b. Grants awarded by the governing body of the county shall be used to support projects that:
(1) measurably reduce homelessness;
(2) demonstrate government cost savings over time;
(3) employ evidence-based models;
(4) can be replicated in other counties;
(5) include an outcome measurement component;
(6) are consistent with the local homeless housing plan; or
(7) fund the acquisition, construction, or rehabilitation projects that will serve homeless individuals or families for a period of at least 30 years or the equal to the longest term of affordability required by other funding sources.
c. Each county that has established a County Homelessness Trust Fund shall transmit information concerning the uses of the funds to the Office of Homelessness Prevention in the Department of Community Affairs in accordance with requirements established by that office.
d. The governing body of a county may by resolution establish a preference for veterans that gives first priority, in the distribution of grants, for the benefit of homeless veterans, including those at risk of homelessness.
e. A county may utilize its County Homelessness Trust Fund to support emergency shelter for the homeless services provided in connection with a Code Blue alert.
##### **§ 52:27D-287g** Intercounty collaboration. {#sec-52-27d-287g omnilex-key=us-nj-statutes--title-52--52:27D-287g}
7. A county may collaborate with any other county that has established a County Homelessness Trust Fund to provide joint funding for projects permitted under P.L.2009, c.123 (C.52:27D-287a et al.).
##### **§ 52:27D-287h** Short title. {#sec-52-27d-287h omnilex-key=us-nj-statutes--title-52--52:27D-287h}
1. This act shall be known and may be cited as the “Municipal Homelessness Trust Fund Act.”
##### **§ 52:27D-287i** Findings, declarations. {#sec-52-27d-287i omnilex-key=us-nj-statutes--title-52--52:27D-287i}
2. The Legislature finds and declares that:
a. Homelessness is a critical issue affecting communities throughout New Jersey;
b. Homelessness impacts many facets of community life in municipalities, including, but not limited to:
(1) the state of a municipality’s housing stock and broader building stock;
(2) general public safety and public health;
(3) animal welfare related to persons who are experiencing homelessness with their pets, and broader impacts on animal population health in the municipality;
(4) the state of the commercial and business climate in a municipality; and
(5) the broader general welfare of community life in the municipality;
c. Municipalities require additional resources and strategic planning to effectively address homelessness and provide necessary services and supports; and
d. Establishing a dedicated funding source through municipal homelessness trust funds will enable municipalities to implement sustainable and comprehensive strategies to combat homelessness.
##### **§ 52:27D-287j** Definitions. {#sec-52-27d-287j omnilex-key=us-nj-statutes--title-52--52:27D-287j}
3. As used in P.L.2025, c.348 (C.52:27D-287h et seq.):
“Community-based organization” means the same as that term is defined in section 3 of P.L.2009, c.123 (C.52:27D-287c).
“Municipal homeless housing grant program” means the vehicle by which competitive grants are awarded by the governing body of the municipality, utilizing monies from the municipal homelessness trust fund authorized pursuant to section 5 of P.L.2025, c.348 (C.52:27D-287l), for activities directly related to housing homeless individuals and families, preventing homelessness, and other efforts directly related to permanently housing homeless persons, as administered by the municipality or its designated subcontractor.
“Homeless housing plan” means a strategic plan adopted by a municipality, prepared in consultation with the Department of Community Affairs and a community-based organization that operates in or serves the municipality, to address the housing needs of persons experiencing homelessness within its jurisdiction that includes measurable and achievable objectives to end homelessness in the municipality.
“Outcome measurement” means the same as that term is defined in section 3 of P.L.2009, c.123 (C.52:27D-287c).
“Person experiencing homelessness” means an individual living outside, or in a building not meant for human habitation or which the person as no legal right to occupy, in an emergency shelter, or in a temporary housing program which may include a transitional and supportive housing program if habitation time limits exist, or temporarily in the home of another household, or in a hotel or motel.
“Trust fund” means a municipal homelessness trust fund established pursuant to section 5 of P.L.2025, c.348 (C.52:27D-287l).
##### **§ 52:27D-287k** Homeless housing plan, resolution adopted by municipalities. {#sec-52-27d-287k omnilex-key=us-nj-statutes--title-52--52:27D-287k}
4. A municipality, in consultation with the Office of Homelessness Prevention in the Department of Community Affairs and one or more community-based organizations that operate in or serve the municipality, may by resolution adopt a homeless housing plan to address the housing needs of persons experiencing homelessness within its jurisdiction, which shall be in accordance with the provisions of P.L.2025, c.348 (C.52:27D-287h et seq.). The plan shall include provisions for administration of a trust fund for the purpose of receiving funds, as established pursuant to section 5 of P.L.2025, c.348 (C.52:27D-287l), and a strategic local plan to identify and address the needs of persons experiencing homelessness within the jurisdiction, including strategies to reduce the need for emergency room care, hospital care, law enforcement, foster care, and other social services associated with persons experiencing homelessness. The homeless housing plan shall establish guidelines for the award of grants or loans from the trust fund.
##### **§ 52:27D-287l** Municipal homelessness trust fund. {#sec-52-27d-287l omnilex-key=us-nj-statutes--title-52--52:27D-287l}
5. a. In the event that a municipality adopts a homeless housing plan pursuant to section 4 of P.L.2025, c.348 (C.52:27D-287k), the municipality shall, by ordinance, establish a municipal homelessness trust fund for the purpose of receiving funds to effectuate the homeless housing plan. Amounts collected by a municipality pursuant to subsection f. of this section shall be deposited into a “Municipal Homelessness Trust Fund” to be used exclusively for the purposes authorized by P.L.2025, c.348 (C.52:27D-287h et seq.). Any interest or other income earned on monies deposited into the trust fund shall be credited to the fund to be used for the same purposes as the principal. A municipality may deposit other funds into the trust fund, as it deems appropriate.
b. No monies in the trust fund shall be utilized to pay or discharge the principal or interest on any indebtedness incurred for any purpose by the municipality or any other governmental entity.
c. Amounts raised by the additional fees collected pursuant to subsection f. of this section are required to be expended for the purposes detailed pursuant to section 6 of P.L.2025, c.348 (C.52:27D-287m) within four years of being collected.
d. Any monies in the trust fund that are not expended after four years shall be transferred to the Department of Community Affairs, which shall contract with a community-based organization which operates in or serves the same municipality where the trust fund exists for the purposes of P.L.2025, c.348 (C.52:27D-287h et seq.).
e. Administrative costs for operating the trust fund shall not exceed five percent annually of the total amount deposited into the trust fund in a given fiscal year.
f. Notwithstanding any law, rule, or regulation to the contrary, a municipality that adopts a homeless housing plan pursuant to section 4 of P.L.2025, c.348 (C.52:27D-287k) and establishes a trust fund pursuant to this section may establish, by ordinance, an additional fee of not more than five dollars, as the municipality deems appropriate, to any existing fines and penalties collected by the municipality, including, but not limited to, parking tickets and court fines.
##### **§ 52:27D-287m** Homeless housing grant program. {#sec-52-27d-287m omnilex-key=us-nj-statutes--title-52--52:27D-287m}
6. a. Each municipality shall utilize its municipal homelessness trust fund for the operation of a homeless housing grant program. The program shall award grants to provide:
(1) for the acquisition, construction, or rehabilitation of housing projects or units within housing projects that supply permanent affordable housing for persons, including families, experiencing homelessness or at risk of experiencing homelessness;
(2) rental assistance vouchers, including tenant- and project-based subsidies, for affordable housing projects or units within housing projects that provide permanent affordable housing for persons, including families, experiencing homelessness or at risk of experiencing homelessness;
(3) supportive services, including payment for temporary accommodation at a hotel, as defined in section 3 of P.L.1967, c.76 (C.55:13A-3), as may be required by persons experiencing homelessness in order to obtain or maintain, or both, permanent affordable housing; and
(4) prevention services for at risk individuals or families so that they can obtain and maintain permanent affordable housing.
b. Grants awarded by the governing body of the municipality shall be used to support projects that:
(1) measurably reduce homelessness;
(2) demonstrate government cost savings over time;
(3) employ evidence-based models;
(4) can be replicated in other municipalities;
(5) include an outcome measurement component;
(6) are consistent with the homeless housing plan; or
(7) fund the acquisition, construction, or rehabilitation projects that will serve individuals or families experiencing homelessness for a period of at least 30 years or the equal to the longest term of affordability required by other funding sources.
c. Each municipality that has established a municipal homelessness trust fund shall annually transmit information concerning the uses of the funds to the Office of Homelessness Prevention in the Department of Community Affairs in accordance with requirements established by that office, which shall include, but not be limited to, details concerning the collection and expenditure of funds, projects funded, and outcomes achieved.
##### **§ 52:27D-287.1** Rental assistance program for low income households, senior citizens, veterans. {#sec-52-27d-287.1 omnilex-key=us-nj-statutes--title-52--52:27D-287.1}
1. The Commissioner of Community Affairs shall establish a State rental assistance program for low income individuals or households. This program shall be in addition to and supplement any existing programs established pursuant to the "Prevention of Homelessness Act (1984)," P.L.1984, c.180 (C.52:27D-280 et al.).
a. The program shall provide rental assistance grants comparable to the federal section 8 program, but shall be available only to State residents who are not currently holders of federal section 8 vouchers.
b. Assistance to an individual or household under the State program shall be terminated upon the award of federal section 8 rental assistance to the same individual or household.
c. The program shall reserve a portion of the grants for assistance to senior citizens aged 62 or older who otherwise meet the criteria of subsection a. of this section.
d. The program shall reserve a portion of the grants for assistance to veterans who have successfully completed the Veterans Transitional Housing Program, or "Veterans Haven," a vocational and transitional housing program for homeless veterans administered by the New Jersey Department of Military and Veterans' Affairs.
e. The program shall reserve a portion of the funds available to it for tenant-based vouchers to veterans, other than those veterans eligible for assistance pursuant to subsection d. of this section.
f. The program shall reserve a portion of the funds available to it to establish and administer a program comparable to the federal section 8 Housing Choice Voucher Homeownership Program, authorized pursuant to Subpart M of Part 982 of Title 24 of the Code of Federal Regulations, to enable a household to use a program voucher to buy a home by providing monthly homeownership assistance or a single down payment assistance grant.
g. The program shall reserve a portion of the funds available to it to establish and administer a program comparable to the federal Section 8 Housing Choice Voucher Family Self-Sufficiency Program, authorized pursuant to Section 1437u of Title 42 of the Code of Federal Regulations, to help families achieve economic independence and reduce dependence on welfare assistance and rental subsidies.
h. The program shall reserve a portion of the funds available to it to establish and administer a Home Repair Emergency Assistance Fund, to assist families with costs of necessary home repairs and other homeownership expenses over the course of their participation.
##### **§ 52:27D-287.2** Regulations. {#sec-52-27d-287.2 omnilex-key=us-nj-statutes--title-52--52:27D-287.2}
2. The commissioner shall promulgate regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) necessary to implement this act.
##### **§ 52:27D-287.3** Annual RTF allocation to fund rental assistance grants. {#sec-52-27d-287.3 omnilex-key=us-nj-statutes--title-52--52:27D-287.3}
3. The commissioner shall annually allocate from the receipts of the portion of the realty transfer fee directed to be credited to the Neighborhood Preservation Nonlapsing Revolving Fund pursuant to section 4 of P.L.1968, c.49 (C.46:15-8) and pursuant to section 4 of P.L.1975, c.176 (C.46:15-10.1) such amounts as may be necessary to fund rental assistance grants authorized by P.L.2004, c.140 (C.52:27D-287.1 et al.), provided that not less than $3 million be annually allocated for the purposes of subsection c. of section 1 of P.L.2004, c.140 (C.52:27D-287.1) and not less than $7 million be annually allocated for the purposes of subsection a. and subsection d. of section 1 of P.L.2004, c.140 (C.52:27D-287.1).
##### **§ 52:27D-287.4** Requirements for certain recipients of rental assistance grants. {#sec-52-27d-287.4 omnilex-key=us-nj-statutes--title-52--52:27D-287.4}
2. a. Any individual under the age of 65, who is not disabled and who receives a rental assistance grant provided pursuant to subsection a. of section 1 of P.L.2004, c.140 (C.52:27D-287.1), shall apply for employment and training services and seek the counseling required to obtain the employment and training services pursuant to section 7 of P.L.1992, c.43 (C.34:15D-7).
b. The counselor shall develop a written Employability Development Plan in a manner consistent with the provisions of section 7 of P.L.1992, c.43 (C.34:15D-7), if the counselor, after conducting the testing, assessment, and evaluation of, disclosures of information to, and discussions with, the individual required pursuant to that section, determines that:
(1) The individual is eligible for employment and training services under P.L.1992, c.48 (C.34:15B-35 et seq.), P.L.1992, c.43 (C.34:15D-1 et seq.), or P.L.1992, c.47 (C.43:21-57 et seq.);
(2) The individual lacks the basic skills or occupational skills needed to obtain employment which provides self-sufficiency; and
(3) Funds are available to the individual for any remedial education and vocational training needed to permit the individual to obtain employment providing self-sufficiency and that the education and training are available and accessible to the individual in a time and manner which does not result in a reduction of the individual's family income or substantial additional expenses.
c. If the counselor determines that any of the requirements of subsection b. of this section are not met, the counselor shall certify that an Employability Development Plan is not required for continued eligibility for the rental assistance grant. If the requirements are met and an Employability Development Plan is developed pursuant to this section, the individual, to maintain eligibility for the rental assistance grant, shall be required to show satisfactory progress in carrying out the training and educational activities provided under the plan. The Commissioner of Labor and Workforce Development shall adopt regulations setting forth standards regarding what constitutes satisfactory progress, including reasonable adjustments in participation requirements for good cause, including verifiable needs related to physical or mental health problems, illness, accident or death or serious personal or family problems that necessitate reduced participation, and shall develop a system for monitoring satisfactory progress and providing, on a timely basis, notification to the Department of Community Affairs of the loss of eligibility of any individual for rental assistance grants due to a failure to make satisfactory progress.
d. For the purposes of this section, "employment and training services," "remedial education,""self-sufficiency," and "vocational training" have the meanings set forth in section 3 of P.L.1992, c.43 (C.34:15D-3).
##### **§ 52:27D-287.5** Office of Homelessness Prevention. {#sec-52-27d-287.5 omnilex-key=us-nj-statutes--title-52--52:27D-287.5}
1. a. There is hereby established within the Department of Community Affairs an Office of Homelessness Prevention to coordinate among State and local agencies and private organizations that provide services to persons who are homeless or at risk for homelessness, and to implement a Statewide strategy to address homelessness.
b. The office shall be under the immediate supervision of a director, who shall be a person qualified by training and experience to direct the work of such office. The Commissioner of Community Affairs shall appoint the director, who shall serve at the pleasure of the commissioner. The director shall administer the work of the office under the direction of the commissioner and shall perform such other functions of the department as the commissioner may prescribe.
c. In addition to other functions, powers, and duties vested in the Department of Community Affairs by P.L.2019, c.73 (C.52:27D-287.5 et al.) or by any other law, the Department of Community Affairs shall, through the Office of Homelessness Prevention:
(1) Collect, maintain, and make available information concerning persons who are homeless or at risk for homelessness, including demographics information, current services and resources available, the cost and availability of services and programs, and the met and unmet needs of this population. All entities that receive State, county, or municipal funding shall provide the office access to all data they maintain;
(2) Evaluate State and local services and resources and develop, implement, and revise, as necessary, a consolidated plan for addressing the needs of persons who are homeless or at risk for homelessness;
(3) Explore, compile, and disseminate information regarding public and private funding sources for State and local programs serving persons who are homeless;
(4) Assess and provide recommendations for coordinating the activities of State programs, including multi-State programs, and local coalitions for persons who are homeless and promote the effectiveness of programs addressing the needs of persons who are homeless;
(5) Convene meetings and workshops of State and local agencies, local coalitions and programs, and other stakeholders for developing and reviewing policies, services, activities, coordination, and funding of efforts to meet the needs of persons who are homeless, including training, counseling, and navigation services essential to enable persons who are homeless to make the transition to permanent housing; and
(6) Conduct or promote research on the effectiveness of programs addressing the needs of persons who are homeless.
d. All State, county, and municipal departments and agencies shall, upon request, make every reasonable effort to assist the Office of Homelessness Prevention in carrying out the office's functions, powers, and duties.
e. (1) On the effective date of P.L.2019, c.73 (C.52:27D-287.5 et al.), the Office of Homelessness Prevention shall have access to all information in the Homeless Management Information System administered in the New Jersey Housing and Mortgage Finance Agency.
(2) The Homeless Management Information System, administered in the New Jersey Housing and Mortgage Finance Agency, including any personnel charged with administering and maintaining the Homeless Management Information System, may be transferred to the Office of Homelessness Prevention. If the Homeless Management Information System is transferred pursuant to this paragraph, all appropriations, grants, and other moneys available and to become available to the New Jersey Housing and Mortgage Finance Agency, which the agency uses for the maintenance and administration of the Homeless Management Information System, shall be transferred to the Office of Homelessness Prevention.
##### **§ 52:27D-287.6** Findings, declarations; "Interagency Council on Homelessness." {#sec-52-27d-287.6 omnilex-key=us-nj-statutes--title-52--52:27D-287.6}
2. a. The Legislature finds and declares that it is in the public interest for State policymakers, providers of services to people who are homeless, advocacy organizations, and other concerned representatives of the public to engage in an intensive collaborative effort to: seek to devise more effective means of coordinating among various State and local initiatives that provide assistance to persons who are homeless or at risk of being homeless; identify public and private sources of funding for programs to meet the needs of persons within New Jersey who are homeless or at risk for homelessness to ensure the equitable distribution of resources; and develop more permanent housing solutions, including supportive housing, for this population.
b. There is established the "Interagency Council on Homelessness" in, but not of, the Department of Community Affairs. The purpose of the council shall be to: serve as an advisory body to the Office of Homelessness Prevention in the Department of Community Affairs; develop recommendations, through an intensive collaborative effort among representatives of State government, providers of services to the homeless, advocacy organizations, and other concerned representatives of the public; develop, promote, and support efforts for the most effective means of coordinating among various State and local initiatives that provide assistance to persons who are homeless or at risk of being homeless; identify public and private sources of funding for programs to meet the various needs of persons within this State who are homeless or at risk for homelessness; and develop more permanent housing solutions for this population.
c. The council shall consist of 24 members, including the Governor, or a designee of the Office of the Governor, the Director of the Office of Homelessness Prevention in the Department of Community Affairs, the Commissioners of Children and Families, Community Affairs, Corrections, Education, Health, Human Services, Labor and Workforce Development, and Transportation, the Adjutant General of the Department of Military Affairs, the Attorney General, the Superintendent of the New Jersey State Police, the Director of the Division of Mental Health and Addiction Services in the Department of Human Services, and the Executive Director of the New Jersey Housing and Mortgage Finance Agency, or their designees, and nine members, who may be government officials with a demonstrated expertise in issues relating to the work of the council, which expertise may include, but shall not be limited to, the provision of shelter, behavioral health care, and mental health care, or members of the public, at least two of whom who have experienced homelessness or housing instability, and at least two of whom have demonstrated expertise in issues relating to affordable housing development, and of whom, no later than the 60th day after the effective date of P.L.2023, c.307 (C.52:27D-287.6a et al.), three members shall be appointed by the Governor, three members shall be appointed by the Senate President, and three members shall be appointed by the Speaker of the General Assembly.
d. The Director of the Office of Homelessness Prevention, or the director's designee, shall serve as chairperson of the council. The council shall organize as soon as practicable following the appointment of its members and shall select a vice-chairperson from among the members. The chairperson shall appoint a secretary who need not be a member of the council.
e. The public members shall serve without compensation, but shall be reimbursed for necessary travel expenses incurred in the performance of their duties and within the limits of funds available to the council.
f. The council shall be entitled to call to its assistance and avail itself of the services of the employees of any State, county or municipal department, board, bureau, commission, or agency as it may require and as may be available to it for its purposes.
g. The council may meet and hold hearings at the places it designates during the sessions or recesses of the Legislature.
h. The Department of Community Affairs shall provide staff support to the council.
i. Vacancies in the membership of the council shall be filled in the same manner provided for the original appointments.
j. The council shall prepare an annual report on its findings, conclusions, and recommendations and shall submit the report to the Governor and to the Legislature in accordance with the requirements of section 2 of P.L.1991, c.164 (C.52:14-19.1).
##### **§ 52:27D-287.6a** Commissioner of Community Affairs, notification, New Jersey Homelessness Prevention Task Force termination, transfer to Interagency Council on Homelessness. {#sec-52-27d-287.6a omnilex-key=us-nj-statutes--title-52--52:27D-287.6a}
2. The Commissioner of Community Affairs shall notify the members of the New Jersey Homelessness Prevention Task Force established pursuant to section 2 of P.L.2019, c.73 (C.52:27D-287.6) of the termination of the task force, and otherwise provide for the transfer or other disposition of the records, property, and personnel of the New Jersey Homelessness Prevention Task Force to the Interagency Council on Homelessness.
##### **§ 52:27D-287.7** Findings, declarations. {#sec-52-27d-287.7 omnilex-key=us-nj-statutes--title-52--52:27D-287.7}
1. The Legislature finds and declares that:
a. The mortal threat posed by the COVID-19 pandemic compelled the Governor and Legislature to take drastic but necessary action. Executive Order No. 103 of 2020 effectively shut down the New Jersey economy on March 9, 2020, in order to hinder the rapid spread of the virus and to limit as much as possible the number of infections, severe illnesses, and deaths. During the same time period, the Governor and Legislature enacted P.L.2020, c.1 (C.2A:18-59.3) and the Governor issued Executive Order No. 106 of 2020, and implemented a moratorium on evictions, so as to ensure that during the covered period, households would be able to shelter in place and eliminate the threat posed by displacement, overcrowding, and the resultant spread of the virus.
b. The foregoing measures caused severe economic difficulties for landlords and tenants alike. Tenants, who in general have lower-incomes and far less wealth than homeowners, have been disproportionately affected: a large number of them immediately became and remain unemployed or underemployed. This is especially so for lower-income people of color, who are predominantly tenants and who continue to be victimized by systemic and structural racism, which has left them severely disadvantaged and extremely vulnerable to health emergencies and economic downturns.
c. Millions of jobs in our State and elsewhere have been permanently lost, and a significant number of jobs abruptly interrupted by the virus-driven shutdown have yet to return.
d. As a result, thousands of tenants in our State are unable to pay all or even part of the rental arrearages caused by the pandemic when the moratorium ends, and these tenants will also find it extremely difficult to make their future, ongoing regular monthly rental payments once they resume.
e. An overwhelming number of struggling tenant households, that are disproportionately Black and brown, will therefore be at risk of eviction for non-payment of all or part of their rent due and owing shortly after the moratorium is lifted. Combining the number of struggling tenants with the number of people at risk of displacement if the arrearage and future rent payment issues are not addressed, evictions and the resulting overcrowding, could create conditions that will lead to a resurgence and new spread of COVID-19.
f. At the same time, landlords have shouldered the financial burden of housing over a million tenants, as well as the costs of maintaining the buildings, paying their mortgages, taxes, and other financial obligations with insufficient help from the State or federal government.
g. While housing is a necessity, private sector landlords have thus far maintained their properties and paid their financial obligations, including State and local taxes, despite a lack of full compensation or assistance.
h. In Executive Order No. 106 of 2020, the Governor expressly stated that protection and preservation of personal and public health was the primary reason driving the imposition of the economic shutdown and eviction moratorium, a health-centered concern echoed and reinforced by the national eviction moratorium subsequently mandated by the federal Centers for Disease Control and Prevention. With the surge in vaccinations and a corresponding drop in COVID-19 pandemic-related hospitalizations, the public health justification to maintain the eviction moratorium will eventually subside, and the Legislature deems it necessary to help struggling tenants avoid displacement and to compensate landlords for providing this necessary shelter to many tenants without compensation during the pandemic.
i. In providing these protections, the State must ensure that rent arrearages accrued during the covered period are not used as a mechanism for eviction. Rather, such debt shall be treated as civil debt, subject to recovery by the landlord in a civil suit for a money judgment, which will balance the obligations of the tenant under a lease contract with the need to provide housing stability.
j. It is, therefore, necessary for the Legislature to assist landlords who have suffered deep economic losses through no fault of their tenants or themselves, and, simultaneously, make efforts to assist tenants who need help as a result of this crisis, in order to ensure some measure of security and stability for their families and communities; provide landlords with the restored rental income stream required to safely and efficiently operate their buildings; and prevent a resurgence of the COVID-19 pandemic that will threaten the health and safety of tenants, landlords, and the public at large.
##### **§ 52:27D-287.8** Definitions. {#sec-52-27d-287.8 omnilex-key=us-nj-statutes--title-52--52:27D-287.8}
2. As used in P.L.2021, c.188 (C.52:27D-287.7 et al.):
"Area median income" means the median income by household size for an applicable county as determined by the department. "Assistance" means cash payments for unpaid rent provided to the landlord by any federal, State, county, or local rental assistance program, including, but not limited to, payments ultimately provided to a landlord through an application submitted by a tenant through the Eviction Prevention Program, as established pursuant to section 4 of P.L.2021, c.188 (C.52:27D-287.10).
"Commissioner" means the Commissioner of Community Affairs.
"Covered period" means the period beginning on March 1, 2020, and ending on August 31, 2021.
"COVID-19 pandemic" means the outbreak of COVID-19 throughout the world, recognized as a pandemic by the World Health Organization on March 11, 2020.
"Credit reporting agency" means any consumer reporting agency as that term is defined by the federal "Fair Credit Reporting Act," 15 U.S.C. s.1681 et seq., which shall include any agencies which specialize in tenant screening or rental history reporting.
"Deep subsidy" means a rental housing subsidy which limits the tenant's share of the monthly rent to a percentage of the tenant's income, and which can be adjusted to maintain that percentage should the tenant's income change.
"Department" means the Department of Community Affairs.
"Household income" means the lower of the following numbers: (1) the combined income of all household members over the twelve months immediately preceding an application for assistance or protection, or (2) the combined income of all household members in the three months immediately preceding an application for assistance or protection, annualized by multiplying the combined income by a factor of four.
"Low-income household" means a household with a total current annual household income equal to 50 percent or less of the area median income for a household of the same size and composition.
"Middle-income household" means a household with a total current gross annual household income of 80 percent or more than, but less than 120 percent of, the area median income for a household of the same size and composition.
"Moderate-income household" means a household with a total current gross annual household income in excess of 50 percent but less than 80 percent of the area median income for a household of the same size and composition.
"Shallow subsidy" means a rental housing subsidy that limits the tenant's share of the rent to a percentage of the tenant's income, provided however, that the subsidy shall be capped at a fixed amount.
"Very low-income household" means a household with a total current annual household income less than or equal to 30 percent of the area median income for a household of the same size and composition.
##### **§ 52:27D-287.9** Eviction under certain circumstances prohibited. {#sec-52-27d-287.9 omnilex-key=us-nj-statutes--title-52--52:27D-287.9}
3. a. Notwithstanding any other law to the contrary, no residential tenant of a very low-income household, low-income household, moderate-income household, or middle-income household shall be evicted based upon nonpayment or habitual late payment of rent, or failure to pay a rent increase, that accrued during the covered period. Payments made by a tenant after the covered period ends shall be credited first to the current month's rental obligation, and any balance shall be credited to any arrearage owed by the tenant incurred following the conclusion of the covered period, and then to any arrearages incurred during the covered period.
b. Any amount of rent found by a court to be due and owing by a residential tenant described in subsection a. of this section to a landlord during the covered period for which compensation is not otherwise provided by any public or private source, shall be considered civil debt and may be pursued as a money judgment in the appropriate division of the Superior Court. Such civil debt based on rental arrears shall be considered evidence of housing instability or risk of homelessness for the purpose of qualifying a household for rental assistance under any federal, State, county, or local program, including, but not limited to, the Eviction Prevention Program, as revised pursuant to section 4 of P.L.2021, c.188 (C.52:27D-287.10).
c. Notwithstanding any law to the contrary, no person shall sell or assign any civil debt relating to rent that accrued during the covered period.
d. Any amount of rent due and owing either prior to the start of the covered period or after the covered period ends may be pursued in the manner allowed by law for any other landlord-tenant action for rent due outside of the covered period. The provisions of P.L.2021, c.188 (C.52:27D-287.7 et al.) shall not restrict a landlord from pursuing a money judgment action during the covered period, or following the covered period, for unpaid rent due during the covered period. An action by a landlord against a residential tenant to recover unpaid rent which accrued during the covered period may be commenced in the Superior Court, Special Civil Part, regardless of the amount in controversy. The Administrative Director of the Courts may take any administrative action as may be necessary to provide a process for filing these actions in the Superior Court, Special Civil Part.
(1) (a) Notwithstanding the provisions of this section to the contrary, any tenant of a very low-income household, a low-income household, or a moderate-income household shall have continued protections from evictions as those that are applicable during the covered period pursuant to subsections a. and b. of this section for residential rent arrearages incurred from the end of the covered period through December 31, 2021 if the household certifies under penalty of perjury:
(i) the household's income;
(ii) that the household was unable to pay rent due to circumstances arising from the COVID-19 pandemic; and
(iii) that the household has applied for State, county, or local rental assistance programs for which they are eligible.
(b) The certification required by subparagraph (a) of this paragraph shall be made on a form established by the department. The tenant shall provide a copy of the completed form to the landlord, and, if there is a pending eviction action, to the court.
(2) The Administrative Director of the Courts shall provide notice to any residential tenant who is party to a landlord-tenant dispute for nonpayment of rent that includes information regarding tenant protections, income and COVID-19 impact attestation, and rental assistance programs established pursuant to P.L.2021, c.188 (C.52:27D-287.7 et al.).
e. All pending eviction actions alleging nonpayment or habitual late payment of residential rent, or failure to pay a rent increase, that accrued during the covered period shall be dismissed upon certification by the tenant, under penalty of perjury, in accordance with subparagraph (b) of paragraph (1) of subsection d. of this section that the tenant is a very low-income household, low-income household, moderate-income household, or middle-income household and that the reason for filing was nonpayment or habitual late payment of rent, or failure to pay a rent increase, during the covered period.
f. If a case is dismissed and the landlord is required to subsequently file against the same tenant, the landlord may request that the case be reinstated with the court. In such circumstances the landlord shall pay the fees to serve the amended action, but no court filing fees shall be required.
g. A tenant in such an action shall retain the right to assert any and all counterclaims, setoffs, legal defenses, affirmative defenses, and equitable defenses that would otherwise be available to them.
h. As a condition of receiving any State or federal rental assistance on behalf of a tenant for rent due and owing, a landlord shall waive all late fees assessed for rent unpaid during the period for which assistance is being provided.
i. (1) Consistent with the provisions of 15 U.S.C. s.1681s-2(a)(1)(F), a landlord shall not at any time furnish information about the nonpayment or late payment of residential rent, or failure to pay a rent increase, which accrued during the covered period, or summary dispossess or other court filings or proceedings related to non-payment or late payment of residential rent which accrued during the covered period, directly to another residential landlord, or to a debt collection or credit reporting agency. This paragraph shall not:
(a) apply to a tenant's rent payments that remain due as the result of a payment missed prior to the March 1, 2020, including payments held in escrow before that date; or
(b) limit the ability of a landlord to share information with the landlord's attorney or property management company, or to notice the tenant in compliance with the Anti-Eviction Act, P.L.1974, c.49 (C.2A:18-61.1 et seq.).
(2) As a result of any record or information reflecting a tenant's non-payment or late payment of residential rent, or a related court filing, during the covered period, a landlord shall not:
(a) refuse to rent to a prospective tenant of residential rental housing; or
(b) place, or disseminate a residential tenant's information for the purpose of placing, a tenant on a list for the use of other landlords for any purpose.
(3) In addition to a tenant's right to pursue an action seeking injunctive or declaratory relief for a violation of this subsection, the Attorney General, in response to a complaint from a tenant, or on the Attorney General's independent initiative, may bring an action alleging a landlord has violated the provisions of this subsection. Regarding a first violation, the court shall provide the landlord with an opportunity to correct the violation prior to imposing a penalty. Following the provision of this opportunity to correct any first violation, upon a finding that non-compliance with this subsection has occurred, a court of competent jurisdiction may:
(a) order the non-compliant landlord to retract the report of debt or court filing data provided to the collection or credit reporting agency, bureau, or data collection facility;
(b) impose a fine on the non-compliant landlord, not to exceed $500 for a first violation, $1,000 for a second violation, and $2,500 for each subsequent violation;
(c) order the non-compliant landlord to pay a reasonable counsel fee in connection with a tenant whose debt has been reported to a debt collection or credit reporting agency, bureau, or data collection facility;
(d) provide a copy of the order immediately upon the request of the tenant and at no cost to the tenant;
(e) order the non-compliant landlord to take such steps as are necessary, within 30 days of the order, to rehabilitate the credit record of the tenant, with an exact copy provided to the tenant at no cost, of the efforts made in that regard; and
(f) if the tenant is able to show actual damages that have resulted from a violation of this section, order the non-compliant landlord to pay an award of damages to the tenant not to exceed 25 percent of the debt attempted to be collected or reported by the non-complaint landlord to the collection or credit reporting agency, bureau, or data collection facility, with a minimum award of $350.
(4) If a landlord furnishes rental payment data to another landlord, collection or credit reporting agency related to the non-payment of rent during the covered period, but before the enactment of P.L.2021, c.188 (C.52:27D-287.7 et al.), the landlord shall not be subject to the penalty provisions of this section, except for an order to retract the report pursuant to paragraph (3) of this subsection.
##### **§ 52:27D-287.10** "Eviction Prevention Program." {#sec-52-27d-287.10 omnilex-key=us-nj-statutes--title-52--52:27D-287.10}
4. a. The commissioner shall establish an "Eviction Prevention Program" to provide rental relief for New Jersey residents who have been or continue to be unable to pay rent because of financial hardship directly or indirectly incurred because of the COVID-19 pandemic.
b. The commissioner shall administer the program in accordance with the following principles, and, notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall publish regulatory guidance to that effect:
(1) The Eviction Prevention Program shall be considered a supplement to the COVID-19 Emergency Rental Assistance Program Phase II (CVERAP II) program opened by the department on March 22, 2021. Accordingly, to the greatest extent allowable and feasible, the department should utilize programmatic infrastructure, processes, and vendor contracts established under CVERAP II in order to administer relief under the Eviction Prevention Program;
(2) a household shall be eligible to participate in the program if the household is unable to make residential rental payments which are due and owing pursuant to a valid and enforceable oral or written lease, stipulation of settlement, judgment, order or other type of legally binding agreement, because of a financial hardship sustained as a result of the COVID-19 pandemic;
(3) a household shall be eligible for assistance under this program regardless of whether the household has been served with a summons and complaint for eviction;
(4) a household shall be eligible for assistance if their annualized current income is no more than 120 percent of the area median income; however, the commissioner may establish funding priorities to benefit very low-income and low-income households;
(5) a household shall be eligible for assistance under this program although it may be unlikely for the household to have the ability to pay shelter costs after the period of assistance has ended;
(6) a household may utilize the assistance to pay current rent, accrued rent, and future rent, as determined by the department;
(7) the department shall award grants to be paid on behalf of eligible households to be applied to up to two years of rent, depending upon the person's or household's particular circumstances and available funds in the program. The department shall provide assistance along a continuum based upon the income level of the tenant household, and shall include deep subsidies, shallow subsidies, and flat amounts. Grants representing fewer than two years' worth of rental assistance may be renewed based on a renewed showing of need by the individual or household. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the commissioner shall prepare detailed guidance covering the amount and duration of such grants. Any grants that are provided to cover ongoing rent shall be awarded in accordance with the following guidelines and principles:
(a) for a very low-income household, a deep subsidy may be provided in the amount necessary to limit the household's share of ongoing rent to not more than 30 percent of the household's income;
(b) for a low- or moderate- income household that is not also very low-income, a shallow subsidy may be provided in the amount necessary to limit the household's share of ongoing rent to not more than 30 percent of the household's income, provided, however, that the amount of any such subsidy shall not exceed $800 per month;
(c) for a middle-income household, assistance in the form of a subsidy may be provided in the amount necessary to limit the household's share of ongoing rent to not more than 30 percent of the household's income, provided, however, that the amount of any such subsidy shall not exceed $500 per month.
(8) To qualify for rental assistance under the program, households shall demonstrate that a person in the household:
(a) qualifies for unemployment or has experienced a reduction in household income, incurred significant costs, or experienced a financial hardship, directly or indirectly, to the COVID-19 pandemic;
(b) demonstrates a risk of experiencing homelessness or housing instability;
(c) falls within a household income threshold that establishes eligibility for rental assistance under the program;
(d) has a lack of assets and savings to pay rent arrears or current and future rent;
(e) is a New Jersey resident; and
(f) is obligated to pay rent on a residential dwelling.
A household that has previously received rental assistance under CVERAP II may apply for additional assistance under the Eviction Prevention Program, but any additional grant of assistance shall take into account the rental assistance previously provided pursuant to CVERAP II.
(9) during the course of the payment period, if the department is notified by either the landlord or the program participant that a person or household has begun to experience difficulty paying rent as a result of continued hardships suffered as a result of the COVID-19 pandemic, the household's income and family situation shall be reevaluated in light of the changed conditions, and the person or household shall be placed in a different assistance tier, if necessary, to prevent eviction;
(10) during the course of the payment period, a participant household shall certify the household's current income once every six months, using a brief form to be developed by the department, including any necessary attachments. Beginning the month following receipt of a certification, the department shall increase or decrease the amount of subsidy provided to the household in accordance with the subsidy category applicable to the most recent reported income, provided that limited non-recurring short term increases in income shall not require a subsidy adjustment; and
(11) during the course of the payment period, if a participant household experiences conditions that violate the implied warranty of habitability, the tenant may so certify those conditions to the department in writing. Based on the tenant's written certification, the department shall have an inspection conducted on the dwelling. Upon confirmation that the violation of the implied warranty of habitability exists, the department shall, after serving the landlord with written notification of such violation and providing the landlord with sufficient opportunity to cure, consider whether and in what amount to withhold rent based on those conditions.
c. Notwithstanding any other law or regulation to the contrary, any revisions to existing program regulations or operating procedures required by this section shall take effect immediately.
d. As soon as possible following the enactment of P.L.2021, c.188 (C.52:27D-287.7 et al.), and no later than August 31, 2021, the department shall implement a comprehensive public information plan to create awareness among eligible tenants of the assistance provided by the program and the provisions of section 3 of P.L.2021, c.188 (C.52:27D-287.9) prohibiting eviction and providing credit protection relating to nonpayment or habitual late payment of rent, or failure to pay a rent increase, during the covered period. This plan shall include but not be limited to public service announcements, information about the program in governmental notices and utility providers billings, notices to landlords as to how to assist their tenants in applying for the program, outreach to underserved populations, including, but not limited to providing all information in both English and Spanish, postings on social media, and any other means likely to ensure that tenants will be aware of the program's existence, tenant protections, tenant attestation, and the provisions of section 3 of P.L.2021, c.188 (C.52:27D-287.9). In addition, the department shall prepare a form notice, which shall include the tenant attestation, in languages including, but not limited to, English and Spanish, describing the program and the provisions of section 3 of P.L.2021, c.188 (C.52:27D-287.9) and shall distribute the notice to landlords for inclusion with any notice or complaint sent to a tenant related to an eviction for nonpayment of rent, habitual late payment, or failure to pay a rent increase, or an action seeking repayment of rental arrears pursuant to P.L.2021, c.188 (C.52:27D-287.7 et al.). The notice shall also be posted on the department's Internet website. Prior to the end of the covered period, the landlord shall post the form notice provided by the department in a conspicuous location within the common area of a multiple dwelling.
e. As soon as possible following the enactment of P.L.2021, c.188 (C.52:27D-287.7 et al.), and no later than August 31, 2021, the commissioner shall start accepting applications for assistance through the Eviction Prevention Program, as revised pursuant to this section.
(1) A program application shall state the monthly rent as established in the lease or other rental agreement, the amount of rent paid by the tenant or third parties, if any, the amount of rent unpaid, the amount of security deposit funding that the tenant has applied against rent pursuant to Executive Order No. 128 of 2020, and any other information required by the department for determining financial need.
(2) An application shall include a certification by the tenant as to:
(a) the number of occupants of the unit;
(b) the tenant household's income; and
(c) if a specific funding source is involved, a certification and any documentation providing the minimum amount of information needed to comply with the requirements of that funding source.
The commissioner shall make the application forms and related verification requirements as simple as possible, shall require the minimum documentation permissible by said funding sources, and shall rely on self-certification and verification to the greatest extent possible. Any certifications made by a tenant under this program shall remain confidential to the maximum extent possible.
f. The program established by this section shall work closely with the Office of Eviction Prevention established by section 5 of P.L.2021, c.188 (C.52:27D-287.11) in order to (1) ensure that tenants receive the maximum assistance for which they are qualified to avoid displacement and retain or obtain decent, affordable, safe and suitable housing; and (2) ensure that all available sources of potential assistance are explored and utilized in order to effectively and efficiently extend the reach and efficacy of the funding provided to this program by the State.
##### **§ 52:27D-287.11** "Office of Eviction Prevention." {#sec-52-27d-287.11 omnilex-key=us-nj-statutes--title-52--52:27D-287.11}
5. a. Within 60 days of the enactment of P.L.2021, c.188 (C.52:27D-287.7 et al.), the department shall establish an "Office of Eviction Prevention," which shall be responsible for:
(1) identifying all federal, State, local and other sources of financial assistance which are intended or could be used to prevent the eviction of residential tenants, including but not limited to programs which provide both deep and shallow rental subsidies;
(2) becoming knowledgeable with regard to the application process for each such program; and
(3) identifying, and proposing remedies for, the gaps in the overall assistance system, especially in relation to eligibility requirements and the need for addition to, or revision of, subsidy programs so as to provide appropriate assistance of various sorts and in various amounts to households at different income levels.
b. This office shall be responsible for the compilation, publication, and ongoing update of this information, and shall also be responsible for working collaboratively with at least one non-profit, community-based organization in each county so that such organizations are able to provide information regarding the availability of and means of accessing such financial assistance by at-risk tenants.
##### **§ 52:27D-287.12** Definitions. {#sec-52-27d-287.12 omnilex-key=us-nj-statutes--title-52--52:27D-287.12}
1. As used in P.L.2025, c.85 (C.52:27D-287.12 et seq.):
"Commissioner" means Commissioner of Community Affairs.
"Covered dwelling site" means a parcel of land within a manufactured home park that is leased to the owner of a modular or industrialized building or a manufactured home for living and dwelling purposes for tenancy on the site.
"Industrialized or modular building" means any building of closed construction, including, but not limited to, modular housing that is factory-built, single-family, and multi-family housing, including closed-wall, panelized housing, as well as other modular, nonresidential buildings. "Industrialized or modular building" shall not include any structure subject to the requirements of the National Manufactured Home Construction and Safety Standards Act of 1974 (42. U.S.C. s.5401 et seq.).
"Landlord" means a person or entity who owns or manages a manufactured home park and who rents, leases, or charges a lot fee, or offers to rent, lease, or charge a lot fee, for a term of at least one month, a covered dwelling site.
"Manufactured home" means a structure for which the manufacturer has filed a certification required by the Secretary of the United States Department of Housing and Urban Development pursuant to 42 U.S.C. s.5415 and which complies with the federal standards established pursuant to the National Manufactured Home Construction and Safety Standards Act of 1974 (42. U.S.C. s.5401 et seq.).
"Manufactured home park" means a parcel of land, or two or more contiguous parcels of land, designed and improved such that the land contains two or more sites, each of which is equipped for the placement of modular or industrialized buildings or manufactured homes and which sites are under common ownership and control, other than as a cooperative, for the purpose of leasing each site to the owner of a modular or industrialized building or a manufactured home for installation thereon and where the owner provides services, which may include, but shall not be limited to:
Construction and maintenance of streets;
Lighting of streets and other common areas;
Garbage removal;
Snow removal; and
Provision for the drainage of surface water from home sites and common areas.
"Rent" means the amount currently payable by the tenant to the landlord pursuant to a lease or other agreement, without regard to any modification thereof by any authorized board or agency or any court. "Rent" shall include lot fees, including license fees, charged by a landlord to a tenant, in addition to tax surcharge costs passed on to the tenant, and any other special expenses.
"Tenancy" means the lawful occupation of a covered dwelling site and which includes a lease or sublease, oral or written.
"Tenant" means a person who leases, rents, or pays a lot fee for a covered dwelling site.
##### **§ 52:27D-287.13** Rent increases limited, covered dwelling sites. {#sec-52-27d-287.13 omnilex-key=us-nj-statutes--title-52--52:27D-287.13}
2. a. Except as provided in subsections c. and g. of this section, a landlord shall not, over the course of a 12-month period, increase the rent on a covered dwelling site by more than three and one half percent over the rent charged during the prior 12-month period.
b. A tenant of a covered dwelling site shall not enter into a sublease that results in a rental rate for the covered dwelling site that exceeds the allowable rate authorized by subsection a. of this section. Nothing in this subsection shall be construed to authorize a tenant to sublet or assign the tenant's interest where otherwise prohibited.
c. A landlord may, notwithstanding subsection a. of this section, establish the initial rate for a new tenancy in which no tenant from the prior tenancy remains in lawful possession of the covered dwelling site. Subsection a. of this section shall only apply to subsequent increases after that initial rate has been established with respect to the new tenancy.
d. (1) Except as allowed following a petition to the commissioner pursuant to subsection g. of this section, if the landlord of a covered dwelling site requests or accepts an increase in rent exceeding the amount permitted pursuant to subsection a. of this section:
(a) the applicable rent for the duration of the present lease or agreement term, or subsequent lease or agreement term if the present term is month-to-month, shall be the rent for the rental term preceding the rent increase in violation of this section; and
(b) the landlord shall be liable for a penalty of $1,000 per violation per unit. The penalty shall be collected and enforced by summary proceedings pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). The Superior Court, Law Division, Special Civil Part in the county in which the residential rental property is located shall have jurisdiction over the proceedings described pursuant to this paragraph. Process shall be in the nature of a summons or warrant and shall issue upon the complaint of the Commissioner of Community Affairs or the Attorney General.
(2) In municipalities where preemption does not apply pursuant to section 3 of this act, P.L.2025, c.85 (C.52:27D-287.14), enforcement of such penalty in subparagraph (b) of paragraph (1) of this subsection shall be pursuant to applicable law, including any ordinances or regulations adopted thereto.
e. This section shall function in addition to, and not in place of, the existing prohibition on unconscionable rent increases pursuant to subsection f. of section 2 of P.L.1974, c.49 (C.2A:18-61.1). A tenant may assert a violation of this section as a defense to an eviction action as an unconscionable rent increase.
f. (1) A tenant shall have the right to petition a court of competent jurisdiction to terminate a lease or agreement containing a provision in violation of P.L.2025, c.85 (C.52:27D-287.12 et seq.), and shall be permitted to recover reasonable attorney's fees or expenses.
(2) A landlord who violates P.L.2025, c.85 (C.52:27D-287.12 et seq.) shall also, at the discretion of the tenant, be subject to a separate cause of action by the tenant in the Superior Court, Law Division, Special Civil Part in the county in which the covered dwelling site is located. A tenant may recover $500 from the landlord for a first offense, and $1,000 from the landlord for a second and any subsequent offense, in addition to reasonable attorney's fees or expenses.
(3) A landlord shall be subject to the penalties set forth in this subsection for each violation against each tenant, which may be brought pursuant to paragraph (2) of this subsection at the tenant's discretion.
g. (1) (a) A landlord may petition the commissioner to request approval to increase the rent, in an amount specified by the landlord, on a covered dwelling site in excess of three and one half percent:
(i) by demonstrating through proof or documentation that the present rental income and additional charges from the manufactured home park on which the landlord seeks relief are insufficient to cover unanticipated increases in the costs of: the abatement of hazardous conditions, taxes, assessments, maintenance to the manufactured home park, utilities, insurance, and management of the manufactured home park; or
(ii) by submitting proof or documentation of capital improvements to the property, which require the increase in rent.
(b) In determining whether to grant a landlord's petition pursuant to this subsection, there shall be a rebuttable presumption that the rent increase is reasonable and not unconscionable so long as the landlord first provides the proof or documentation required in subparagraph (a) of this paragraph to the tenant. The commissioner may, after a hearing, grant the landlord a rent increase sufficient to meet the landlord's requirements or needs after consideration of either the proofs or documentation presented, for approval of a petition submitted pursuant to sub-subparagraph (ii) of subparagraph (a) of this paragraph, or the proofs presented, the physical condition of the manufactured home park, the landlord's profitability with and without the proposed rent increase, the arguments presented by affected tenants, and the relative bargaining position of the parties, for approval of a petition seeking relief pursuant to sub-subparagraph (i) of subparagraph (a) of this paragraph. The commissioner shall schedule a hearing and make a final determination on a petition pursuant to this paragraph within 90 days after the landlord submits the petition to the commissioner. If the commissioner fails to act within 90 days after the landlord submits the petition, the rent increase on a covered dwelling site shall be deemed approved, provided the rent increase otherwise complies with the provisions of this subsection.
(2) A landlord that seeks to file, or files, a petition pursuant to paragraph (1) of this subsection, shall:
(a) prior to filing the petition, post notice of the petition setting forth the basis for the petition in a conspicuous place in and about the manufactured home park;
(b) prior to filing the petition, serve each affected tenant personally, or by certified mail, with the petition to be filed with the commissioner, along with the proof or documentation required by subparagraph (a) of paragraph (1) of this subsection;
(c) notify each affected tenant personally, or by certified mail, of the hearing date set by the commissioner, along with the proof or other documentation required by subparagraph (a) of paragraph (1) of this subsection; and
(d) post notice of the hearing in a conspicuous place in the manufactured home park for at least 10 days prior to the date set for the hearing.
##### **§ 52:27D-287.14** Effect on other measures regarding rent control, leveling, stabilization. {#sec-52-27d-287.14 omnilex-key=us-nj-statutes--title-52--52:27D-287.14}
3. a. (1) The provisions of P.L.2025, c.85 (C.52:27D-287.12 et seq.) shall not preempt an ordinance, rule, regulation, or other law regarding rent control, rent leveling, or rent stabilization adopted by the governing body of a municipality that governs covered dwelling sites and that:
(a) provides a fixed, numerical municipal rent increase limit that is not based upon, in whole or in part, the Consumer Price Index, or other variable criteria; and
(b) provides a rent increase limit on a covered dwelling site that is less than or equal to three and one half percent over the course of a 12-month period, regardless of whether:
(i) a determination, made by a rent leveling board or similar municipal agency charged with regulating rents, authorizes an exemption from the municipal rent increase limit, resulting in a rent increase on a covered dwelling site that is greater than three and one half percent over the course of a 12-month period; or
(ii) the municipal rent increase limit permits one or more exceptions, which are not based upon, in whole or in part, the Consumer Price Index or other variable criteria.
(2) Nothing in this act, P.L.2025, c.85 (C.52:27D-287.12 et seq.), shall be construed to prohibit a municipality from adopting or enforcing an ordinance reflecting, or otherwise consistent with, the provisions of this act. In such cases, the municipality shall maintain jurisdiction for effectuation, implementation, and enforcement, and matters governed pursuant thereto shall not come before the commissioner.
b. Except as provided in subsection a. of this section, the provisions of P.L.2025, c.85 (C.52:27D-287.12 et seq.) shall preempt an ordinance, rule, regulation, or other law regarding rent control, rent leveling, or rent stabilization adopted by the governing body of a municipality that:
(1) provides a rent increase limit on a covered dwelling site that is greater than three and one half percent over the course of a 12-month period; or
(2) does not provide a fixed, numerical municipal rent increase limit and instead is based upon, in whole or in part, the Consumer Price Index, or other variable criteria.
c. A landlord seeking to exceed the allowable rate authorized by subsection a. of section 2 of this act, P.L.2025, c.85 (C.52:27D-287.13), in any municipality with a rent leveling board or similar municipal agency charged with regulating rents whose ordinance, rule, regulation, or other law has been preempted pursuant to this section shall seek approval from the board or agency consistent with any requirements and procedures prescribed thereby or by the governing body.
##### **§ 52:27D-288** Short title {#sec-52-27d-288 omnilex-key=us-nj-statutes--title-52--52:27D-288}
This act shall be known and may be cited as the "Job Training Center for Urban Women Act."
##### **§ 52:27D-289** Findings, declarations {#sec-52-27d-289 omnilex-key=us-nj-statutes--title-52--52:27D-289}
The Legislature finds and declares that:
a. A major proportion of the publicly assisted population, especially in our urban centers, consists of families headed by single females who, with greater community support, could acquire or upgrade existing job skills;
b. Many urban women formerly dependent upon the income of another person and no longer supported by that income are not now being assisted by any urban-focused State program in enhancing their own employability; and
c. In many cases, child care responsibilities and lack of adequate information about existing community resources prevent women from utilizing those services which already exist.
##### **§ 52:27D-290** Definitions {#sec-52-27d-290 omnilex-key=us-nj-statutes--title-52--52:27D-290}
As used in this act:
a. "Commissioner" means the Commissioner of the Department of Community Affairs;
b. "Division" means the Division on Women within the Department of Community Affairs;
c. "Director" means the Director of the Division on Women;
d. "Training and resource center" means that center established pursuant to section 4 of this act, in order to enhance the employability of women who are:
(1) Receiving public assistance and wish to attain or upgrade job skills in order to become independent of government support; or
(2) Unemployed or underemployed and are experiencing difficulty in obtaining or upgrading employment.
##### **§ 52:27D-291** Demonstration training and resource center {#sec-52-27d-291 omnilex-key=us-nj-statutes--title-52--52:27D-291}
The division shall establish a demonstration training and resource center as a model to be duplicated in other parts of the State where disadvantaged women and their families lack these services. The center should be established in a location which is proximate to the division's offices in order to maximize information sharing and departmental input. In selecting the site of the demonstration program, the division shall give due consideration to the needs of women in the municipality and surrounding area. The municipality shall qualify for State aid pursuant to P.L. 1978, c. 14 (C. 52:27D-178 et seq.).
##### **§ 52:27D-292** Services and programs offered {#sec-52-27d-292 omnilex-key=us-nj-statutes--title-52--52:27D-292}
Through the demonstration training and resource model center or other similar centers established by the division or the centers specified in section 2 of this 1989 amendatory and supplementary act, the division shall undertake to provide at least seven of the following services:
a. Job counseling services which are specifically designed to prepare women to enter or reenter the work force by assisting them in acquiring knowledge of their talents and skills in relation to existing traditional and nontraditional job opportunities and to those which are emerging as a result of new employment trends;
b. A job training and job placement service which assists participants in gaining admission to existing public and private job training programs and opportunities by cooperating, wherever possible, with appropriate State and local government agencies and private employers. This training and placement service shall foster the development of partnerships with industry, particularly those concerns which are associated with urban enterprise zones, and the enhancement of the neighborhood and communities which surround the training and resource center. To the extent possible, the training and placement service shall consult with the area private industry councils established pursuant to the provisions of the federal Job Training Partnership Act, Pub. L. 97-300 (29 U.S.C. s. 1501 et seq.) in order to help identify local job opportunities or areas of expansion in private industry;
c. Self-help programs and mentoring projects, including workshops, group discussions, and dissemination of information about existing federal, State, and local employment, education, health, and other community services which provide assistance in overcoming barriers to employment. These programs shall include outreach and information about other programs which are determined to be of interest and benefit to working parents, women newly entering or reentering the work force after a prolonged absence from it, those in need of financial management services (including information and assistance with respect to credit, insurance, taxes, loans, and related financial matters), and women who need information about a diversity of housing problems;
d. Counseling and referral through the use of workshops and group discussions, with the cooperation of State and local women's organizations to help promote identification with role models and the use of mentors in entering the world of work;
e. Information and referral services concerning federal and State employment, education, legal counseling, health, and public assistance programs;
f. Child care, which shall be funded independently of the appropriation provided in section 14 of this act, to enable women to participate in and benefit from the services provided by these training and resource centers;
g. Technical assistance to allow for the expansion of other multi-purpose programs aimed at enhancing the employability of urban women throughout the State, including on-site consultation, workshops within the division or at one or more community locations, and facilitation of access to relevant informational material, and professional and lay resources;
h. Pre-business and business development training to develop a business plan, and single session activities on specific topics, including but not limited to bookkeeping, pricing, and marketing, for women with an interest in self-employment or small business ownership as a non-traditional career option. Individual and group business counseling sessions shall be included in the training; and
i. Information and guidance on accessing post-secondary education and personal and academic counseling, to facilitate entry or re-entry into educational institutions as well as the completion of educational programs.
##### **§ 52:27D-293** Purposes {#sec-52-27d-293 omnilex-key=us-nj-statutes--title-52--52:27D-293}
The center and program established under this act shall emphasize activities which provide training and other employment related services which are designed to enhance the employability and earnings of women and impact on the quality of their lives and those of their families. The centers and programs shall, to the extent possible, identify existing job opportunities for women and assist those women who utilize the centers in obtaining employment.
##### **§ 52:27D-294** Coordination {#sec-52-27d-294 omnilex-key=us-nj-statutes--title-52--52:27D-294}
The division shall make a continuous study of employment needs which are peculiar to urban women, and of existing programs and services which are effective in meeting those needs. The division shall also coordinate community organizations, women's groups, and public agencies to maximize the utilization of existing programs and resources. The coordination shall include, but not be limited to, the Office for Equal Access, Division of Vocational Education in the Department of Education, the Division of Vocational Rehabilitation Services in the Department of Labor, and the Division of Public Welfare in the Department of Human Services. The goal of this coordination shall be to put women in touch with existing programs and to foster cooperation and the exchange of information among all departments and agencies of State government which sponsor employment and related programs of special interest to women.
##### **§ 52:27D-295** Description and assessment of programs {#sec-52-27d-295 omnilex-key=us-nj-statutes--title-52--52:27D-295}
The division shall compile and maintain a description and assessment of each program operating pursuant to this act, including the number of women served, the number of women who were able to participate because of the availability of child care, the number who were unable to participate because of the lack of this assistance, the number who obtained employment, the number who enrolled in educational courses, the number of those enrolled who completed such educational courses, the cost per woman for each program, and the total number of staff and staff ratio to persons served under the program.
##### **§ 52:27D-296** Funding sources {#sec-52-27d-296 omnilex-key=us-nj-statutes--title-52--52:27D-296}
a. The director may seek, receive and make use of any funds which may be available from federal or other sources in order to augment State funds which are appropriated to effectuate this act, and shall make every effort to qualify the program for federal funding.
b. The director shall apply for and make use of funds made available from federal and other sources for job training, including funds appropriated to the State under the Job Training Partnership Act, Pub.L. 97-300 (29 U.S.C. s. 1501 et seq.).
##### **§ 52:27D-297** Conformity to standards {#sec-52-27d-297 omnilex-key=us-nj-statutes--title-52--52:27D-297}
The commissioner shall consult with the New Jersey State Job Training Coordinating Council established pursuant to Executive Order No. 22, dated December 3, 1982, the Department of Labor and other appropriate State agencies to ensure that job training and other services provided at the job training and resource center established pursuant to this act conform to the applicable State and federal standards.
##### **§ 52:27D-298** Child care {#sec-52-27d-298 omnilex-key=us-nj-statutes--title-52--52:27D-298}
Those women who undertake to enhance their employability by using the services of the job training center established herein and who are in need of child care facilities shall, wherever possible, obtain the assistance through existing federal programs such as Aid to Families with Dependent Children or the Social Services Block Grant Act, Pub.L. 97-35 (20 U.S.C. s. 2351 et seq.).
##### **§ 52:27D-299** Expense allowance {#sec-52-27d-299 omnilex-key=us-nj-statutes--title-52--52:27D-299}
The division shall, upon application of a woman for enrollment in the job training program established pursuant to section 4 of this act, and who is in need of child care services but does not qualify under programs described in section 11 of this act, provide an expense allowance for child care if the lack thereof would prevent that woman from participating in the job training program. The director shall allocate funds for child care in consultation with the Department of Labor, and funding shall be provided pursuant to P.L. 1983, c. 328 (C. 34:15B-11 et seq.). The services may also be provided from funds appropriated to the State under the Job Training Partnership Act, Pub.L. 97-300 (29 U.S.C. s. 1501 et seq.), or any other State or federal funds appropriated by any other act for this purpose.
##### **§ 52:27D-300** Study of child care lack {#sec-52-27d-300 omnilex-key=us-nj-statutes--title-52--52:27D-300}
The director shall monitor the application process in order to determine whether the lack of adequate child care is preventing women from undertaking job training. Whenever the lack of child care prevents the effective use of job training centers, the director shall report his findings to the Department of Labor and the Department of Human Services, and any other departments with a related interest.
##### **§ 52:27D-301** Short title {#sec-52-27d-301 omnilex-key=us-nj-statutes--title-52--52:27D-301}
This act shall be known and may be cited as the "Fair Housing Act."
##### **§ 52:27D-302** Findings. {#sec-52-27d-302 omnilex-key=us-nj-statutes--title-52--52:27D-302}
2. The Legislature finds that:
a. The New Jersey Supreme Court, through its rulings in Southern Burlington County NAACP v. Mount Laurel, 67 N.J. 151 (1975) and Southern Burlington County NAACP v. Mount Laurel, 92 N.J. 158 (1983), has determined that every municipality in a growth area has a constitutional obligation to provide through its land use regulations a realistic opportunity for a fair share of its region's present and prospective needs for housing for low- and moderate-income families.
b. In the second Mount Laurel ruling, the Supreme Court stated that the determination of the methods for satisfying this constitutional obligation "is better left to the Legislature," that the court has "always preferred legislative to judicial action in their field," and that the judicial role in upholding the Mount Laurel doctrine "could decrease as a result of legislative and executive action."
c. The interest of all citizens, including low- and moderate-income families in need of affordable housing, and the needs of the workforce, would be best served by a comprehensive planning and implementation response to this constitutional obligation.
d. There are a number of essential ingredients to a comprehensive planning and implementation response, including the establishment of reasonable fair share housing guidelines and standards, the initial determination of fair share by officials at the municipal level and the preparation of a municipal housing element, State review of the local fair share study and housing element, and continuous State funding for low- and moderate-income housing to replace the federal housing subsidy programs which have been almost completely eliminated.
e. The State can maximize the number of low- and moderate-income units provided in New Jersey by allowing its municipalities to adopt appropriate phasing schedules for meeting their fair share, so long as the municipalities permit a timely achievement of an appropriate fair share of the regional need for low- and moderate-income housing as required by the Mount Laurel I and II opinions and other relevant court decisions.
f. The State can also maximize the number of low- and moderate-income units by creating new affordable housing and by rehabilitating existing, but substandard, housing in the State. Because the Legislature has determined, pursuant to P.L.2008, c.46 (C.52:27D-329.1 et al.), that it is no longer appropriate or in harmony with the Mount Laurel doctrine to permit the transfer of the fair share obligations among municipalities within a housing region, it is necessary and appropriate to create a new program to create new affordable housing and to foster the rehabilitation of existing, but substandard, housing.
g. Since the urban areas are vitally important to the State, construction, conversion, and rehabilitation of housing in our urban centers should be encouraged. However, the provision of housing in urban areas must be balanced with the need to provide housing throughout the State for the free mobility of citizens.
h. The Supreme Court of New Jersey in its Mount Laurel decisions demands that municipal land use regulations affirmatively afford a realistic opportunity for a variety and choice of housing including low- and moderate-cost housing, to meet the needs of people desiring to live there. While provision for the actual construction of that housing by municipalities is not required, they are encouraged but not mandated to expend their own resources to help provide low- and moderate-income housing.
i. (Deleted by amendment, P.L.2024, c.2)
j. The Legislature finds that the use of regional contribution agreements, which permits municipalities to transfer a certain portion of their fair share housing obligation outside of the municipal borders, should no longer be utilized as a mechanism for the creation of affordable housing.
k. The Legislature finds that the role of the Council on Affordable Housing, as intended in the original enactment of the "Fair Housing Act," has not developed in practice as was intended in the legislation.
l. The council's inability to function ultimately led the Supreme Court in 2015 to order the temporary dissolution of the requirement that administrative remedies be exhausted prior to resolving affordable housing disputes before the court and allowed the courts to resume their role as the forum of first resort for evaluating municipal compliance with Mount Laurel obligations pursuant to guidelines laid out by the Supreme Court's order.
m. The Legislature finds that the council's inability to function led to a "gap period" that frustrated the intent of the Legislature and compliance with constitutional and statutory obligations and that it is necessary to establish definitive deadlines for municipal action and any challenges to those actions to avoid such a "gap period" from being repeated in the future.
n. The Legislature finds that although the court-led system that has developed since 2015 has resulted in a significant number of settlement agreements and increased production of affordable housing, the system could operate more expeditiously to produce affordable housing, and at a lower cost to all parties, if appropriate standards are established by the Legislature to be applied throughout the State, including more clarity on calculation on fair share affordable housing obligations using transparent and established data sources to eliminate the lengthy and costly processes of determining those obligations that have characterized both the Council on Affordable Housing and court-led system.
o. The Legislature determines that, considering the unique history of the "Fair Housing Act," the Council on Affordable Housing shall be abolished and that, pursuant to the formulas and process established pursuant to sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3), a municipality shall be authorized to seek approval of its fair share affordable housing obligation, adopted pursuant to binding resolution and then filed with the court, with the guidance of calculations published by the Department of Community Affairs, but that advocates for the low- and moderate-income households of the State shall be provided with an opportunity to contest the municipal determination.
p. The Legislature declares that the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.), as amended and supplemented by P.L.2024, c.2 (C.52:27D-304.1 et al.), is intended to implement the Mount Laurel doctrine, and that municipalities in compliance with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) are also in compliance with the Mount Laurel doctrine.
q. The Legislature finds that the population of persons aged 65 years and older in the State has grown from approximately 13 percent in 1990, to 17 percent in 2021, and that such growth, in conjunction with expected future growth, makes it appropriate for the Legislature to allow up to 30 percent of the units towards a municipality's prospective affordable housing obligation to be satisfied through the creation of age-restricted housing.
r. The "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) and the "State Planning Act," P.L.1985, c.398 (C.52:18A-196 et al.) were enacted concurrently to address the ruling of the New Jersey Supreme Court in Southern Burlington County NAACP v. Mount Laurel, 92 N.J. 158 (1983) and associated land use planning concerns.
s. The Legislature, in amending and supplementing the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.), intends to facilitate comprehensive planning in alignment with smart growth principles and the State Development and Redevelopment Plan.
t. The Legislature declares that the changes made to affordable housing methodologies, obligations, and fair share plans, as determined to be a necessity by the Legislature, through the enactment of P.L.2024, c.2 (C.52:27D-304.1 et al.), are made with the intention of furthering consistency with the State Development and Redevelopment Plan.
##### **§ 52:27D-303** Declarations {#sec-52-27d-303 omnilex-key=us-nj-statutes--title-52--52:27D-303}
The Legislature declares that the statutory scheme set forth in this act is in the public interest in that it comprehends a low and moderate income housing planning and financing mechanism in accordance with regional considerations and sound planning concepts which satisfies the constitutional obligation enunciated by the Supreme Court. The Legislature declares that the State's preference for the resolution of existing and future disputes involving exclusionary zoning is the mediation and review process set forth in this act and not litigation, and that it is the intention of this act to provide various alternatives to the use of the builder's remedy as a method of achieving fair share housing.
##### **§ 52:27D-304** Definitions. {#sec-52-27d-304 omnilex-key=us-nj-statutes--title-52--52:27D-304}
4. As used in P.L.1985, c.222 (C.52:27D-301 et al.):
a. "Council" means the Council on Affordable Housing established in P.L.1985, c.222 (C.52:27D-301 et al.), abolished pursuant to section 3 of P.L.2024, c.2 (C.52:27D-304.1).
b. "Housing region" means a geographic area established pursuant to subsection b. of section 6 of P.L.2024, c.2 (C.52:27D-304.2).
c. "Low-income housing" means housing affordable according to federal Department of Housing and Urban Development or other recognized standards for home ownership and rental costs and occupied or reserved for occupancy by households with a gross household income equal to 50 percent or less of the median gross household income for households of the same size within the housing region in which the housing is located.
d. "Moderate-income housing" means housing affordable according to federal Department of Housing and Urban Development or other recognized standards for home ownership and rental costs and occupied or reserved for occupancy by households with a gross household income equal to more than 50 percent but less than 80 percent of the median gross household income for households of the same size within the housing region in which the housing is located.
e. (Deleted by amendment, P.L.2024, c.2)
f. "Inclusionary development" means a residential housing development in which a substantial percentage of the housing units are provided for a reasonable income range of low- and moderate-income households.
g. "Conversion" means the conversion of existing commercial, industrial, or residential structures for low- and moderate-income housing purposes where a substantial percentage of the housing units are provided for a reasonable income range of low- and moderate-income households.
h. "Development" means any development for which permission may be required pursuant to the "Municipal Land Use Law," P.L.1975, c.291 (C.40:55D-1 et seq.).
i. "Agency" means the New Jersey Housing and Mortgage Finance Agency established by P.L.1983, c.530 (C.55:14K-1 et seq.).
j. "Prospective need" means a projection of housing needs based on development and growth which is reasonably likely to occur in a region or a municipality, as the case may be, as a result of actual determination of public and private entities. Prospective need shall be determined by the methodology set forth pursuant to sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3) for the fourth round and all future rounds of housing obligations.
k. "Person with a disability" means a person with a physical disability, infirmity, malformation, or disfigurement which is caused by bodily injury, birth defect, aging, or illness including epilepsy and other seizure disorders, and which shall include, but not be limited to, any degree of paralysis, amputation, lack of physical coordination, blindness or visual impairment, deafness or hearing impairment, the inability to speak or a speech impairment, or physical reliance on a service animal, wheelchair, or other remedial appliance or device.
l. "Adaptable" means constructed in compliance with the technical design standards of the barrier free subcode adopted by the Commissioner of Community Affairs pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) and in accordance with the provisions of section 5 of P.L.2005, c.350 (C.52:27D-123.15).
m. "Very low-income housing" means housing affordable according to federal Department of Housing and Urban Development or other recognized standards for home ownership and rental costs and occupied or reserved for occupancy by households with a gross household income equal to 30 percent or less of the median gross household income for households of the same size within the housing region in which the housing is located.
n. "Accessory dwelling unit" means a residential dwelling unit that provides complete independent living facilities with a private entrance for one or more persons, consisting of provisions for living, sleeping, eating, sanitation, and cooking, including a stove and refrigerator, and is located within a proposed or existing primary dwelling, within an existing or proposed structure that is accessory to a dwelling on the same lot, constructed in whole or part as an extension to a proposed or existing primary dwelling, or constructed as a separate detached structure on the same lot as the existing or proposed primary dwelling.
o. "Builder's remedy" means court-imposed, site-specific relief for a litigant who seeks to build affordable housing for which the court requires a municipality to utilize zoning techniques, such as mandatory set-asides or density bonuses, including techniques which provide for the economic viability of a residential development by including housing that is not for low- and moderate-income households.
p. "Commissioner" means the Commissioner of Community Affairs.
q. "Compliance certification" means the certification obtained by a municipality pursuant to section 3 of P.L.2024, c.2 (C.52:27D-304.1), that protects the municipality from exclusionary zoning litigation during the current round of present and prospective need and through July 1 of the year the next round begins, which is also known as a "judgment of compliance" or "judgment of repose." The term "compliance certification" shall include a judgment of repose granted in an action filed pursuant to section 13 of P.L.1985, c.222 (C.52:27D-313).
r. "County-level housing judge" means a judge appointed pursuant to section 5 of P.L.2024, c.2 (C.52:27D-313.2), to resolve disputes over the compliance of municipal fair share affordable housing obligations and municipal fair share plans and housing elements, with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.).
s. "Deficient housing unit" means housing that: (1) is over fifty years old and overcrowded; (2) lacks complete plumbing; or (3) lacks complete kitchen facilities.
t. "Department" means the Department of Community Affairs.
u. "Exclusionary zoning litigation" means litigation to challenge the fair share plan, housing element, or ordinances or resolutions implementing the fair share plan or housing element of a municipality based on alleged noncompliance with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) or the Mount Laurel doctrine, which litigation shall include, but shall not be limited to, litigation seeking a builder's remedy.
v. "Fair share plan" means the plan or proposal that is in a form which may readily be adopted, with accompanying ordinances and resolutions, pursuant to subsection f. of section 3 of P.L.2024, c.2 (C.52:27D-304.1), by which a municipality proposes to satisfy its obligation to create a realistic opportunity to meet its fair share of low- and moderate-income housing needs of its region and which details the affirmative measures the municipality proposes to undertake to achieve its fair share of low- and moderate-income housing, as provided in the municipal housing element, and addresses the development regulations necessary to implement the housing element, including, but not limited to, inclusionary requirements and development fees, and the elimination of unnecessary housing cost-generating features from the municipal land use ordinances and regulations.
w. "Highlands-conforming municipality" means a municipality that has adopted a land development ordinance implementing the municipality's plan conformance petition and which land development ordinance has been certified by the Highlands Water Protection and Planning Council as consistent with the "Highlands Water Protection and Planning Act," P.L.2004, c.120 (C.13:20-1 et seq.), the Highlands regional master plan, and the municipality's plan conformance approval. The term "land development ordinance" shall be inclusive of any amendment to the municipality's land development ordinances that is adopted to further the municipality's petition of plan conformance.
x. "Housing element" means that portion of a municipality's master plan consisting of reports, statements, proposals, maps, diagrams, and text designed to meet the municipality's fair share of its region's present and prospective housing needs, particularly with regard to low- and moderate-income housing, and which shall contain the municipal present and prospective obligation for affordable housing, determined pursuant to subsection f. of section 3 of P.L.2024, c.2 (C.52:27D-304.1).
y. "Program" means the Affordable Housing Dispute Resolution Program, established pursuant to section 5 of P.L.2024, c.2 (C.52:27D-313.2).
z. "State Development and Redevelopment Plan" or "State Plan" means the plan prepared pursuant to sections 1 through 12 of the "State Planning Act," P.L.1985, c.398 (C.52:18A-196 et al.), designed to represent a balance of development and conservation objectives best suited to meet the needs of the State, and for the purpose of coordinating planning activities and establishing Statewide planning objectives in the areas of land use, housing, economic development, transportation, natural resource conservation, agriculture and farmland retention, recreation, urban and suburban redevelopment, historic preservation, public facilities and services, and intergovernmental coordination pursuant to subsection f. of section 5 of P.L.1985, c.398 (C.52:18A-200).
aa. "Transitional housing" means temporary housing that:
includes, but is not limited to, single-room occupancy housing or shared living and supportive living arrangements;
provides access to on-site or off-site supportive services for very low-income households who have recently been homeless or lack stable housing;
is licensed by the department; and
allows households to remain for a minimum of six months.
##### **§ 52:27D-304.1** Council on Affordable Housing abolished; report to Governor, Legislature, municipalities. {#sec-52-27d-304.1 omnilex-key=us-nj-statutes--title-52--52:27D-304.1}
3. a. The Council on Affordable Housing, established by the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.), is abolished. Each municipality shall determine its municipal present and prospective obligations in accordance with the formulas established in sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3) and may take into consideration the calculations in the report published by the department in accordance with this section.
b. Following the expiration of the third round of affordable housing obligations on July 1, 2025, a municipality shall have immunity from exclusionary zoning litigation if the municipality complies with the deadlines established in P.L.2024, c.2 (C.52:27D-304.1 et al.) for both determining present and prospective obligations and for adopting a housing element and fair share plan to meet those obligations.
(1) Immunity from exclusionary zoning litigation shall not limit the ability of an interested party to challenge a municipality for failure to comply with the terms of its compliance certification. However, a municipality's actions to comply with the terms of its compliance certification shall retain a presumption of validity if challenged for an alleged failure described in this paragraph.
(2) Immunity from exclusionary zoning litigation shall not limit the ability of an interested party to bring a challenge before the program alleging that, despite the issuance of compliance certification, a municipality's fair share obligation, fair share plan, housing element, or ordinances implementing the fair share plan or housing element are in violation of the Mount Laurel doctrine. However, the decisions of the program shall retain a presumption of validity if challenged for an alleged violation described in this paragraph.
c. Prior to the beginning of each new 10-year round of housing obligations beginning with the fourth round on July 1, 2025, the Department of Community Affairs shall conduct a calculation of regional need and municipal present and prospective obligations in accordance with the formulas established in sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3).
d. For the fourth round of affordable housing obligations, the department shall prepare and submit a report to the Governor, and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature providing a report on the calculations of regional need and municipal obligations for each region of the State within the earlier of seven months following the effective date of P.L.2024, c.2 (C.52:27D-304.1 et al.) or December 1, 2024. To assist in this calculation, the Highlands Water Protection and Planning Council shall provide a list of Highlands-conforming municipalities to the department no less than five business days following the effective date of P.L.2024, c.2 (C.52:27D-304.1 et al.). The department shall provide the report to each municipality in the State at the same time that it submits the report to the Governor and Legislature and shall also publish such report on the department's Internet website. For the fifth round, and each subsequent new round of housing obligations, the department shall prepare and submit a report to each municipality in the State, the Governor, and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature on these calculations on or before August 1 of the year prior to the start of the new round and shall also publish such report on the department's Internet website. For each 10-year round of housing obligations, a municipality may take into consideration the calculations in the report prepared by the department pursuant to this subsection in determining its present and prospective obligations.
e. Nothing in the provisions of subsections c., d., or f. of this section shall be interpreted to render any calculation in a report by the department published pursuant to this section binding on any municipality or other entity, nor to render any failure by the department to timely conduct the calculations or publish a report required by this section to alter the deadlines or process set forth in this section. The ultimate determination of a municipality's present and prospective need shall be through the process as set forth below.
f. (1) (a) With consideration of the calculations contained in the relevant report published by the department pursuant to this section, for each 10-year round of affordable housing obligations beginning with the fourth round, a municipality shall determine its present and prospective fair share obligation for affordable housing in accordance with the formulas established in sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3) by resolution, which shall describe the basis for the municipality's determination and bind the municipality to adopt a housing element and fair share plan pursuant to paragraph (2) of this subsection based on this determination as may be adjusted by the program as set forth in this subsection.
(b) For the fourth round of affordable housing obligations, this determination of present and prospective fair share obligation shall be made by binding resolution no later than January 31, 2025. After adoption of this binding resolution, the municipality shall file an action regarding the resolution with the program no later than 48 hours following adoption. The resolution, along with the date of filing with the program, shall be published on the program's publicly accessible Internet website. The municipality shall also publish the resolution on its publicly accessible Internet website, if the municipality maintains one. If the municipality does not meet this deadline, it shall lose immunity from exclusionary zoning litigation until such time as the municipality is determined to have come into compliance with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) and the Mount Laurel doctrine. A determination of the municipality's present and prospective obligation may be established before a county-level housing judge as part of any resulting declaratory judgment action pursuant to section 13 of P.L.1985, c.222 (C.52:27D-313), as amended by P.L.2024, c.2 (C.52:27D-304.1 et al.), or through exclusionary zoning litigation. If the municipality meets this January 31 deadline, then the municipality's determination of its obligation shall be established by default and shall bear a presumption of validity beginning on March 1, 2025, as the municipality's obligation for the fourth round, unless challenged by an interested party on or before February 28, 2025. The municipality's determination of its fair share obligation shall have a presumption of validity, if established in accordance with sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3), in any challenge initiated through the program. An interested party may file a challenge with the program, after adoption of the binding resolution and prior to March 1, 2025, alleging that the municipality's determination of its present and prospective obligation does not comply with the requirements of sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3). For the fifth round, and each subsequent new round of housing obligations, the deadlines established in this subparagraph shall be on the last day of January, the last day of February, and the first day of March, respectively, of the year of the start of each new round.
(c) The Administrative Director of the Courts shall establish procedures for the program to consider a challenge and resolve a dispute initiated by an interested party pursuant to subparagraph (b) of this paragraph. To resolve a challenge, the program shall apply an objective assessment standard to determine whether or not the municipality's calculation of its obligation is compliant with the requirements of sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3). Any challenge must state with particularity how the municipal calculation fails to comply with sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3) and include the challenger's own calculation of the fair share obligations in compliance with sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3). The program shall establish procedures to summarily dismiss any objection or challenge that does not meet these minimum standards. For the purpose of efficiency, the program shall, in its own discretion, permit multiple challenges to the same municipal determination to be consolidated. The program's approach to resolving a dispute may include: (i) a finding that the municipality's determination of its present and prospective need obligation did not facially comply with the requirements of sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3) and thus the municipality's immunity shall be revoked; (ii) an adjustment of the municipality's determination of its present and prospective need obligation to comply with the requirements of sections 6 and 7 of P.L.2024, c.2 (C.52:27D-304.2 and C.52:27D-304.3) without revoking immunity; or (iii) a rejection of a challenge and affirm the municipality's determination. The decision shall be provided to the municipality and all parties that have filed challenges no later than March 31 of the year when the current round is expiring and the new round is beginning and concurrently posted on the program's Internet website. The Administrative Director of the Courts shall establish procedures for any further appellate review of such determinations and may establish an expedited process for consolidated review of any such challenges by the Supreme Court, provided that any party seeking appellate review shall not change the deadlines established for municipal filing of a housing element and fair share plan, and implementing ordinances.
(2) (a) A municipality shall adopt a housing element and fair share plan as provided for by the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.), and propose drafts of the appropriate zoning and other ordinances and resolutions to implement its present and prospective obligation established in paragraph (1) of this subsection on or before June 30, 2025. After adoption of the housing element and fair share plan, and the proposal of drafts of the appropriate zoning and other ordinances and resolutions, the municipality shall within 48 hours of adoption or by June 30, 2025, whichever is sooner, file the same with the program as part of the action initiated pursuant to subparagraph (b) of paragraph (1) of this subsection through the program's Internet website. Any municipality that does not do so by June 30, 2025, shall not retain immunity from exclusionary zoning litigation until such time as the municipality is determined to have come into compliance with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) and the Mount Laurel doctrine and shall be subject to review through the declaratory judgment process as established in paragraph (3) of this subsection. As part of its housing element and fair share plan, the municipality shall include an assessment of the degree to which the municipality has met its fair share obligation from the prior rounds of affordable housing obligations as established by prior court approval, or approval by the council, and determine to what extent this obligation is unfulfilled or whether the municipality has credits in excess of its prior round obligations. If a prior round obligation remains unfulfilled, or a municipality never received an approval from court or the council for any prior round, the municipality shall address such unfulfilled prior round obligation in its housing element and fair share plan. Units included as part of the municipality's unfulfilled prior round obligation shall not count towards the cap on units in the municipality's prospective need obligation. In addressing prior round obligations, the municipality shall retain any sites that, in furtherance of the prior round obligation, are the subject of a contractual agreement with a developer, or for which the developer has filed a complete application seeking subdivision or site plan approval prior to the date by which the housing element and fair share plan are required to be submitted, and shall demonstrate how any sites that were not built in the prior rounds continue to present a realistic opportunity, which may include proposing changes to the zoning on the site to make its development more likely, and which may also include the dedication of municipal affordable housing trust fund dollars or other monetary or in-kind resources. The municipality shall only plan to replace any sites planned for development as provided by a prior court approval, settlement agreement, or approval by the council, with alternative development plans, if it is determined that the previously planned sites no longer present a realistic opportunity, and the sites in the alternative development plan provide at least an equivalent number of affordable units and are otherwise in compliance with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) and the Mount Laurel doctrine. If a municipality proposes to replace a site for which a complete application seeking subdivision or site plan approval has not been filed prior to the date by which the housing element and fair share plan is required to be submitted, there shall be a rebuttable presumption in any challenge filed to the municipality's plan that any site for which a zoning designation was adopted creating a realistic opportunity for the development of a site prior to July 1, 2020, or July 1 of every 10th year thereafter, as applicable, may be replaced with one or more alternative sites that provide a realistic opportunity for at least the same number of affordable units and is otherwise in compliance with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) and the Mount Laurel doctrine. To the extent a municipality has credits, including bonus credits, from units created during a prior round that are otherwise permitted to be allocated toward the municipality's unfulfilled prior round obligation or present or prospective need obligation in an upcoming round, the municipality shall be entitled to rely on the rules, including rules for bonus credits, applicable for the round during which those credits were accumulated. If a municipality has credits in excess of its prior round obligations, and such excess credits represent housing that will continue to be deed-restricted and affordable through the current round, the municipality may include such housing, and applicable bonus credits, towards addressing the municipality's new calculation of prospective need. Consistent with subsection k. of section 11 of P.L.1985, c.222 (C.52:27D-311), the total number of bonus credits shall in no circumstance exceed 25 percent of the municipality's prospective obligation in any round. The municipality may in its plan lower its prospective need obligation to the extent necessary to prevent establishing a prospective need obligation that requires the municipality to provide a realistic opportunity for more than 1,000 housing units, after the application of any excess credits, or to prevent a prospective need obligation that exceeds 20 percent of the total number of households in a municipality according to the most recent federal decennial census, not including any prior round obligation. If a municipality is subject to both a 1,000 unit cap or 20 percent cap, it may apply whichever cap results in a lower prospective need obligation. For the fifth round, and for each subsequent new round of housing obligations, the deadlines in this paragraph shall be June 30 for the adoption of the housing element and fair share plan, and the proposal of drafts of the appropriate zoning and other ordinances and resolutions to implement its present and prospective obligation, of the year of the start of the new round.
(b) Following the filing, in an action, of an adopted housing element and fair share plan pursuant to subparagraph (a) of this paragraph, an interested party may file a response on or before August 31, 2025 alleging that the municipality's fair share plan and housing element are not in compliance with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) or the Mount Laurel doctrine. Such allegation shall not include a claim that a site on real property proposed by the interested party is a better site than a site in the plan, but rather shall be based on whether the housing element and fair share plan as proposed is compliant with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) or the Mount Laurel doctrine. To resolve a challenge, the program shall apply an objective assessment standard to determine whether or not the municipality's housing element and fair share plan is compliant with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) and the Mount Laurel doctrine. Any interested party that files a challenge shall specify with particularity which sites or elements of the municipal fair share plan do not comply with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) or the Mount Laurel doctrine, and the basis for alleging such non-compliance. The program shall establish procedures to summarily dismiss any objection or challenge that does not meet these minimum standards. For the purpose of efficiency, the program shall, in its own discretion, permit multiple challenges to the same municipal housing element and fair share plan to be consolidated. If a municipality's fair share plan and housing element is not challenged on or before August 31, 2025, then the program shall apply an objective standard to conduct a limited review of the fair share plan and housing element for consistency and to determine whether it enables the municipality to satisfy the fair share obligation, applies compliant mechanisms, meets the threshold requirements for rental and family units, does not exceed limits on other unit or category types, and is compliant with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) and the Mount Laurel doctrine. The program shall issue a compliance certification unless these objective standards are not met. The program shall facilitate communication between the municipality and any interested parties for a challenge and provide the municipality until December 31, 2025 to commit to revising its fair share plan and housing element in compliance with the changes requested in the challenge, or provide an explanation as to why it will not make all of the requested changes, or both. Upon resolution of a challenge, the program shall issue compliance certification, conditioned on the municipality's commitment, as necessary, to revise its fair share plan and housing element in accordance with the resolution of the challenge. The program may also terminate immunity if it finds that the municipality is not determined to come into constitutional compliance at any point in the process. If by December 31, 2025 the municipality and any interested party that filed a response have resolved the issues raised in the response through agreement or withdrawal of the filing, then the program shall review the fair share plan and housing element for consistency and to determine whether it is compliant with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) and the Mount Laurel doctrine and issue a compliance certification unless these objective standards are not met. For the fifth round, and each subsequent new round of housing obligations, the deadline established in this subparagraph for an interested party to file a challenge shall be August 31, and for the municipality to revise its housing element and fair share plan in response, shall be December 31 of the year of the beginning of the new round.
(c) For the fourth round of affordable housing obligations, the implementing ordinances and resolutions, proposed pursuant to subparagraph (a) of this paragraph, and incorporating any changes from the program, shall be adopted on or before March 15, 2026. For the fifth round, and each subsequent new round of housing obligations, the deadline established in this subparagraph for the implementing ordinances and resolutions shall be on March 15 of the year following the beginning of the new round. After adoption of the implementing ordinances and resolutions by the municipality, the municipality shall immediately file the ordinances and resolutions with the program through the program's Internet website. Failure to meet the March 15 deadline shall result in the municipality losing immunity from exclusionary zoning litigation.
(d) The program may permit a municipality that still has a remaining dispute by interested parties to retain immunity from exclusionary zoning litigation into the year following the year in which a new round begins if the program, or county-level housing judge, determines that the municipality has been unable to resolve the issues disputed despite being determined to come into constitutional compliance. The Administrative Director of the Courts shall develop procedures to enable a county-level housing judge to resolve this dispute over the issuance of compliance certification through a summary proceeding in Superior Court following the year in which the new round begins. A judge shall be permitted to serve as a county-level housing judge for more than one county in the same vicinage. The pendency of such a dispute shall not stay the deadline for adoption of implementing ordinances and resolutions pursuant to this paragraph. The implementing ordinances and resolutions adopted prior to the resolution of the dispute may be subject to changes to reflect the results of the dispute. As an alternative to adopting all necessary implementing ordinances and resolutions by the March 15 deadline, a municipality involved in a continuing dispute over the issuance of compliance certification may adopt a binding resolution by this date to commit to adopting the implementing ordinances and resolutions following resolution of the dispute, with necessary adjustments to reflect the resolution of the dispute.
(e) Once a municipality has received a compliance certification or otherwise has had its fair share obligation and housing element and fair share plan finally determined via judgment of repose or other judgment, the municipality shall make the municipality's fair share plan and housing element, as well as any subsequently adopted implementing ordinances and resolutions, or amendments thereto, available to the department and the program for publication on the department's and program's respective Internet websites.
(3) (a) If a municipality fails to materially adhere to any of the deadlines established in paragraphs (1) or (2) of this subsection due to circumstances beyond the control of the municipality, including, but not limited to, an inability to meet a deadline due to an extreme weather event, then the program, or the county level housing judge, in accordance with court rules, may permit a municipality to have a grace period to come into compliance with the timeline, the length of which, and effect of which on later deadlines, shall be determined on a case-by-case basis.
(b) A municipality that has not adopted and published a binding resolution pursuant to paragraph (1) of this subsection or that has not adopted and filed a housing element and fair share plan pursuant to paragraph (2) of this subsection may seek compliance certification by filing an action pursuant to section 13 of P.L.1985, c.222 (C.52:27D-313), provided that any exclusionary zoning litigation filed by a plaintiff against such a municipality prior to such time may proceed notwithstanding such filing. In a municipality that has adopted and published a binding resolution pursuant to paragraph (1) of this subsection and has adopted and filed a housing element and fair share plan pursuant to paragraph (2) of this subsection, a court shall not consider exclusionary zoning litigation during the timeframe after the timely submission of a binding resolution or fair share plan and housing element of a municipality, or both, and before a challenge is submitted, or during the timeframe of a challenge that is pending resolution with the program pursuant to this subsection. A court may consider exclusionary zoning litigation after such timeframe upon a finding that the municipality: (i) is determined to be constitutionally noncompliant with its responsibilities pursuant to the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) or is participating in the program in bad faith; (ii) has failed to meet the deadlines established pursuant to P.L.2024, c.2 (C.52:27D-304.1 et al.); or (iii) has, after receiving compliance certification, failed to comply with the terms of that certification by not actually allowing for the development of the affordable housing as provided for in its fair share plan and housing element through actions or omissions, or both, of a municipality or its subordinate boards.
(c) All parties shall bear their own fees and costs in proceedings before the program.
(d) A determination by the program as to the present and prospective need obligation or as to issuance of compliance certification pursuant to this section shall be considered a final decision, subject to appellate review pursuant to the procedures set forth in subparagraph (c) of paragraph (1) of subsection f. of this section.
(e) A municipality shall not be deemed out of compliance with the deadlines of P.L.2024, c.2 (C.52:27D-304.1 et al.), or lose immunity from exclusionary zoning litigation, due to a failure by the program to promptly maintain and update its Internet website or other operational failure of the program.
g. A compliance certification, issued pursuant to P.L.2024, c.2 (C.52:27D-304.1 et al.), shall be accompanied by a written report that shall set forth the basis of the issuance of the certification and shall be in a format to be developed and approved by the Administrative Director of the Courts.
##### **§ 52:27D-304.1a** Municipal clerk, authority, written statement, support of affordable housing programs, projects, indication of need. {#sec-52-27d-304.1a omnilex-key=us-nj-statutes--title-52--52:27D-304.1a}
1. A municipal governing body may, by ordinance, delegate to its municipal clerk the authority to provide, on the governing body's behalf, a written statement in support of one or more affordable housing programs or projects, or indicating a need for the programs or projects in the municipality, in order to satisfy any other provision of statute or regulation, including, but not limited to, subsection a. of section 20 of P.L.1985, c.222 (C.52:27D-320) and subsection c. of section 6 of P.L.1983, c.530 (C.55:14K-6), provided that the proposed affordable housing program or project conforms to the provisions of a municipal fair share plan and housing element that has been approved through a judgment of repose or compliance or through another form of judicial or State-level administrative certification.
##### **§ 52:27D-304.2** Municipal present need, 10-year round, determination of affordable housing obligations. {#sec-52-27d-304.2 omnilex-key=us-nj-statutes--title-52--52:27D-304.2}
6. a. Municipal present need for each 10-year round of affordable housing obligations shall be determined by estimating the deficient housing units occupied by low- and moderate-income households in the region, following a methodology similar to the methodology used to determine third round municipal present need, through the use of most recent datasets made available through the federal decennial census and the American Community Survey, including the Comprehensive Housing Affordability Strategy dataset thereof.
b. For the purpose of determining regional need for the 10-year round of low- and moderate-income housing obligations, running from July 1, 2025 through June 30, 2035, and each 10-year round thereafter:
(1) The regions of the State shall be comprised as follows:
(a) Region 1 shall consist of the counties of Bergen, Hudson, Passaic, and Sussex;
(b) Region 2 shall consist of the counties of Essex, Morris, Union, and Warren;
(c) Region 3 shall consist of the counties of Hunterdon, Middlesex, and Somerset;
(d) Region 4 shall consist of the counties of Mercer, Monmouth, and Ocean;
(e) Region 5 shall consist of the counties of Burlington, Camden, and Gloucester; and
(f) Region 6 shall consist of the counties of Atlantic, Cape May, Cumberland, and Salem.
(2) Regional prospective need for a 10-year round of low- and moderate-income housing obligations shall be determined through the calculation provided in this subsection. Projected household change for a 10-year round in a region shall be estimated by establishing the household change experienced in the region between the most recent federal decennial census, and the second-most recent federal decennial census. This household change, if positive, shall be divided by 2.5 to estimate the number of low- and moderate-income homes needed to address low- and moderate-income household change in the region and to determine the regional prospective need for a 10-year round of low- and moderate-income housing obligations. If household change is zero or negative, the number of low- and moderate-income homes needed to address low- and moderate-income household change in the region and the regional prospective need shall be zero.
##### **§ 52:27D-304.3** Present, prospective fair share obligation, low- and moderate-income housing, methodologies. {#sec-52-27d-304.3 omnilex-key=us-nj-statutes--title-52--52:27D-304.3}
7. a. The present and prospective fair share obligation for low- and moderate-income housing for each municipality in the State shall be determined as described in this section. In addition, the March 8, 2018 unpublished decision of the Superior Court, Law Division, Mercer County, In re Application of Municipality of Princeton shall be referenced as to datasets and methodologies that are not explicitly addressed by this section. These determinations of municipal present and prospective need shall be based on a determination of the present and prospective regional need for low- and moderate-income housing, established pursuant to section 6 of P.L.2024, c.2 (C.52:27D-304.2). These calculations of municipal present and prospective need shall use necessary datasets that are updated to the greatest extent practicable.
b. A municipality's present need obligation shall be determined by estimating the existing deficient housing units currently occupied by low- and moderate-income households within the municipality, following a methodology comparable to the methodology used to determine third round present need, through the use of datasets made available through the federal decennial census and the American Community Survey, including the Comprehensive Housing Affordability Strategy dataset thereof.
c. A municipality's prospective fair share obligation of the regional prospective need for the upcoming 10-year round shall be determined in accordance with this subsection:
(1) If a municipality is a qualified urban aid municipality, the municipality shall be exempt from responsibility for any fair share prospective need obligation for the upcoming 10-year round. For the purposes of this section, a municipality is a qualified urban aid municipality if the municipality, as of July 1 of the year prior to the beginning of a new round, is designated by the department, pursuant to P.L.1978, c.14 (C.52:27D-178 et seq.), to receive State aid and the municipality meets at least one of the following criteria:
(a) The ratio of substandard existing deficient housing units currently occupied by low- and moderate-income households within the municipality, compared to all existing housing in the municipality, is greater than the equivalent ratio in the region;
(b) The municipality has a population density greater than 10,000 persons per square mile of land area; or
(c) The municipality has a population density of more than 6,000, but less than 10,000 persons per square mile of land area, and less than five percent vacant parcels not used as farmland, as measured by the average of:
(i) The number of vacant land parcels in the municipality as a percentage of the total number of parcels in the municipality; and
(ii) The valuation of vacant land in the municipality as a percentage of total valuations in the municipality.
(2) A municipality's equalized nonresidential valuation factor shall be determined. To determine this factor, the changes in nonresidential property valuations in the municipality, since the beginning of the round preceding the round being calculated, shall be calculated using data published by the Division of Local Government Services in the department. For the purposes of this paragraph, the beginning of the round of affordable housing obligations preceding the fourth round shall be the beginning of the gap period in 1999. The change in the municipality's nonresidential valuations shall be divided by the regional total change in nonresidential valuations to determine the municipality's share of the regional change as the equalized nonresidential valuation factor.
(3) A municipality's income capacity factor shall be determined. This factor shall be determined by calculating the average of the following measures:
(a) The municipal share of the regional sum of the differences between the median municipal household income, according to the most recent American Community Survey Five-Year Estimates, and an income floor of $100 below the lowest median household income in the region; and
(b) The municipal share of the regional sum of the differences between the median municipal household incomes and an income floor of $100 below the lowest median household income in the region, weighted by the number of the households in the municipality.
(4) A municipality's land capacity factor shall be determined. This factor shall be determined by estimating the area of developable land in the municipality's boundaries, and regional boundaries, that may accommodate development through the use of the "land use / land cover data" most recently published by the Department of Environmental Protection, data from the American Community Survey and Comprehensive Housing Affordability Strategy dataset thereof, MOD-IV Property Tax List data from the Division of Taxation in the Department of the Treasury, and construction permit data from the Department of Community Affairs and weighing such land based on the planning area type in which such land is located. After the weighing factors are applied, the sum of the total developable land area that may accommodate development in the municipality and in the region shall be determined. The municipality's share of its region's developable land shall be its land capacity factor. Developable land that may accommodate development shall be weighted based on the planning area type in which such land is located, as designated pursuant to P.L.1985, c.398 (C.52:18A-196 et seq.), P.L.1979, c.111 (C.13:18A-1 et seq.), or P.L.2004, c.120 (C.13:20-1 et seq.), as follows:
(a) Planning Area 1 (Metropolitan) shall have a weighting factor of 1.0;
(b) Planning Area 2 (Suburban) shall have a weighting factor of 1.0;
(c) Planning Area 3 (Fringe) shall have a weighting factor of 0.5;
(d) Planning Area 4 (Rural) shall have a weighting factor of 0.0;
(e) Planning Area 5 (Environmentally Sensitive) shall have a weighting factor of 0.0;
(f) Centers in Planning Areas 1 and 2 shall have a weighting factor of 1.0;
(g) Centers in Planning Areas 3, 4, and 5 shall have a weighting factor of 0.5;
(h) Pinelands Regional Growth Area shall have a weighting factor of 0.5;
(i) Pinelands Town shall have a weighting factor of 0.5;
(j) All other Pinelands shall have a weighting factor of 0.0;
(k) Meadowlands shall have a weighting factor of 1.0;
(l) Meadowlands Center shall have a weighting factor of 1.0;
(m) Highlands Preservation Area shall have a weighting factor of 0.0;
(n) Highlands Planning Area Existing Community Zone and Highlands Designated Center in a Highlands-conforming municipality, as determined by the Highlands Water Protection and Planning Council pursuant to the list provided to the department pursuant to subsection d. of section 3 of P.L.2024, c.2 (C.52:27D-304.1), shall have a weighting factor of 1.0;
(o) Highlands Planning Area, State-designated sewer service area, Highlands municipality that is not a Highlands-conforming municipality as determined by the Highlands Water Protection and Planning Council pursuant to the list provided to the department pursuant to subsection d. of section 3 of P.L.2024, c.2 (C.52:27D-304.1), shall have a weighting factor of 1.0; and
(p) All other Highlands Planning Areas shall have a weighting factor of 0.0.
(5) The equalized nonresidential valuation factor, income capacity factor, and land capacity factor, determined in paragraphs (2), (3), and (4) of this subsection, shall be averaged to yield the municipality's average allocation factor for distributing gross regional prospective need to the municipality. The regional prospective need shall then be multiplied by the municipality's average allocation factor to determine the municipality's gross prospective need for the 10-year round.
##### **§ 52:27D-304.4** Priority consideration, municipalities in compliance, fair share housing. {#sec-52-27d-304.4 omnilex-key=us-nj-statutes--title-52--52:27D-304.4}
1. a. Notwithstanding any rule, regulation, or law to the contrary, in awarding grants or other financial assistance through the Main Street New Jersey Program pursuant to P.L.2001, c.238 (C.52:27D-452 et seq.), the Neighborhood Preservation Program established pursuant to P.L.1975, c.248 (C.52:27D-142 et seq.), or any other program administered by the Department of Community Affairs through which monies may be provided to a municipality via a competitive process, the Department of Community Affairs shall give priority consideration to municipalities that the department determines to be in compliance with subsection b. of this section. The requirements of this section shall not apply to any grant or financial assistance that is intended to assist a municipality in fulfilling the municipality’s fair share housing obligation pursuant to P.L.1985, c.222 (C.52:27D-301 et al.).
b. For the purposes of this section:
(1) During the first five years commencing at the beginning of a new round of affordable housing obligations, the Department of Community Affairs shall provide priority consideration to a municipality if the municipality obtained compliance certification, or its equivalent, for the prior round of affordable housing obligations and the municipality is in compliance with the following:
(a) the municipality was not required to include affordable units that resulted from builder’s remedy litigation during the round of affordable housing obligations immediately preceding the current round;
(b) the municipality entered into an affordable housing settlement agreement reached as part of a Declaratory Judgment action and received a Judgment of Compliance during the round of affordable housing obligations immediately preceding the current round;
(c) the municipality has issued certificates of occupancy for new units that were part of the affordable housing obligation round immediately preceding the current round; and
(d) any other factor of the round of affordable housing obligations immediately preceding the current round deemed relevant by the Department of Community Affairs.
(2) Commencing five years after the beginning of a new round of affordable housing obligations, the Department of Community Affairs shall provide priority consideration to a municipality if the municipality has obtained compliance certification for the current round of affordable housing obligations and has made substantial progress on the fulfillment of a municipality’s affordable housing obligation for the current round of affordable housing obligations.
(3) The Department of Community Affairs shall deem and determine Qualified Urban Aid municipalities, as that term is defined in the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.), that are exempt from prospective need fair share affordable housing obligations to meet the requirements of this section and shall give the municipality priority consideration as otherwise provided for in this section.
##### **§ 52:27D-310** Essential components of municipality's housing element. {#sec-52-27d-310 omnilex-key=us-nj-statutes--title-52--52:27D-310}
10. A municipality's housing element shall be designed to achieve the goal of access to affordable housing to meet present and prospective housing needs, with particular attention to low- and moderate-income housing, and shall contain at least:
a. An inventory of the municipality's housing stock by age, condition, purchase or rental value, occupancy characteristics, and type, including the number of units affordable to low- and moderate-income households and substandard housing capable of being rehabilitated, and in conducting this inventory the municipality shall have access, on a confidential basis for the sole purpose of conducting the inventory, to all necessary property tax assessment records and information in the assessor's office, including but not limited to the property record cards;
b. A projection of the municipality's housing stock, including the probable future construction of low- and moderate-income housing, for the next ten years, taking into account, but not necessarily limited to, construction permits issued, approvals of applications for development and probable residential development of lands;
c. An analysis of the municipality's demographic characteristics, including but not necessarily limited to, household size, income level and age;
d. An analysis of the existing and probable future employment characteristics of the municipality;
e. A determination of the municipality's present and prospective fair share for low- and moderate-income housing and its capacity to accommodate its present and prospective housing needs, including its fair share for low- and moderate-income housing, as established pursuant to section 3 of P.L.2024, c.2 (C.52:27D-304.1);
f. A consideration of the lands that are most appropriate for construction of low- and moderate-income housing and of the existing structures most appropriate for conversion to, or rehabilitation for, low- and moderate-income housing, including a consideration of lands of developers who have expressed a commitment to provide low- and moderate-income housing;
g. An analysis of the extent to which municipal ordinances and other local factors advance or detract from the goal of preserving multigenerational family continuity as expressed in the recommendations of the Multigenerational Family Housing Continuity Commission, adopted pursuant to paragraph (1) of subsection f. of section 1 of P.L.2021, c.273 (C.52:27D-329.20);
h. For a municipality located within the jurisdiction of the Highlands Water Protection and Planning Council, established pursuant to section 4 of P.L.2004, c.120 (C.13:20-4), an analysis of compliance of the housing element with the Highlands Regional Master Plan of lands in the Highlands Preservation Area, and lands in the Highlands Planning Area for Highlands-conforming municipalities. This analysis shall include consideration of the municipality's most recent Highlands Municipal Build Out Report, consideration of opportunities for redevelopment of existing developed lands into inclusionary or 100 percent affordable housing, or both, and opportunities for 100 percent affordable housing in both the Highlands Planning Area and Highlands Preservation Area that are consistent with the Highlands regional master plan; and
i. An analysis of consistency with the State Development and Redevelopment Plan, including water, wastewater, stormwater, and multi-modal transportation based on guidance and technical assistance from the State Planning Commission.
##### **§ 52:27D-310.1** Computing municipal adjustment, exclusions. {#sec-52-27d-310.1 omnilex-key=us-nj-statutes--title-52--52:27D-310.1}
1. Any municipality that receives an adjustment of its prospective need obligations for the fourth round or subsequent rounds based on a lack of vacant land shall, as part of the process of adopting and implementing its housing element and fair share plan, identify sufficient parcels likely to redevelop during the current round of obligations to address at least 25 percent of the prospective need obligation that has been adjusted and adopt realistic zoning that allows for such adjusted obligation, or demonstrate why the municipality is unable to do so. When computing a municipal adjustment regarding available land resources as part of the determination of a municipality's fair share of affordable housing, the municipality, in filing a housing element and fair share plan pursuant to subsection f. of section 3 of P.L.2024, c.2 (C.52:27D-304.1), shall exclude from designating, and the process set forth pursuant to section 3 of P.L.2024, c.2 (C.52:27D-304.1) and section 13 of P.L.1985, c.222 (C.52:27D-313) shall confirm was correctly excluded, as vacant land:
(a) any land that is owned by a local government entity that as of January 1, 1997, has adopted, prior to the institution of a lawsuit seeking a builder's remedy or prior to the filing of a petition for substantive certification of a housing element and fair share plan, a resolution authorizing an execution of agreement that the land be utilized for a public purpose other than housing;
(b) any land listed on a master plan of a municipality as being dedicated, by easement or otherwise, for purposes of conservation, park lands or open space and which is owned, leased, licensed, or in any manner operated by a county, municipality or tax-exempt, nonprofit organization including a local board of education, or by more than one municipality by joint agreement pursuant to P.L.1964, c.185 (C.40:61-35.1 et seq.), for so long as the entity maintains such ownership, lease, license, or operational control of such land;
(c) any vacant contiguous parcels of land in private ownership of a size which would accommodate fewer than five housing units based on appropriate standards pertaining to housing density;
(d) historic and architecturally important sites listed on the State Register of Historic Places or National Register of Historic Places prior to the date of filing a housing element and fair share plan pursuant to section 3 of P.L.2024, c.2 (C.52:27D-304.1) or initiation of an action pursuant to section 13 of P.L.1985, c.222 (C.52:27D-313);
(e) agricultural lands when the development rights to these lands have been purchased or restricted by covenant;
(f) sites designated for active recreation that are designated for recreational purposes in the municipal master plan; and
(g) environmentally sensitive lands where development is prohibited by any State or federal agency, including, but not limited to, the Highlands Water Protection and Planning Council, established pursuant to section 4 of P.L.2004, c.120 (C.13:20-4), for lands in the Highlands Preservation Area, and lands in the Highlands Planning Area for Highlands-conforming municipalities.
No municipality shall be required to utilize for affordable housing purposes land that is excluded from being designated as vacant land.
##### **§ 52:27D-310.2** Reservation of park land {#sec-52-27d-310.2 omnilex-key=us-nj-statutes--title-52--52:27D-310.2}
2. Notwithstanding any law or regulation to the contrary, nothing shall preclude a municipality which has reserved less than three percent of its land area for conservation, park lands or open space under the standards set forth in section 1 of this act from reserving up to three percent of its land area for those purposes. Nothing herein is intended to alter the responsibilities of municipalities with respect to plans already approved which were based upon the right to a vacant land adjustment.
##### **§ 52:27D-311** Provision of fair share by municipality. {#sec-52-27d-311 omnilex-key=us-nj-statutes--title-52--52:27D-311}
11. a. In adopting its housing element, the municipality may provide for its fair share of low- and moderate-income housing by means of any technique or combination of techniques which provide a realistic opportunity for the provision of the fair share. The housing element shall contain an analysis demonstrating that it will provide such a realistic opportunity, and the municipality shall establish that its land use and other relevant ordinances have been revised to incorporate the provisions for low- and moderate-income housing. In preparing the housing element, the municipality shall consider the following techniques for providing low- and moderate-income housing within the municipality, as well as such other appropriate techniques as have been established through applicable precedent and may be employed by the municipality:
(1) Rezoning for densities necessary to assure the economic viability of any inclusionary developments, either through mandatory set-asides or density bonuses, as may be necessary to meet all or part of the municipality's fair share in accordance with the provisions of subsection h. of this section;
(2) Determination of the total residential zoning necessary to assure that the municipality's fair share is achieved;
(3) Determination of measures that the municipality will take to assure that low- and moderate-income units remain affordable to low- and moderate-income households for an appropriate period of not less than the period required by the regulations adopted by the Department of Community Affairs pursuant to section 21 of P.L.1985, c.222 (C.52:27D-321);
(4) A plan for infrastructure expansion and rehabilitation and conversion or redevelopment of unused or underutilized real property, including existing structures, if necessary to assure the achievement of the municipality's fair share of low- and moderate-income housing;
(5) Donation or use of municipally owned land or land condemned by the municipality for purposes of providing low- and moderate-income housing;
(6) Tax abatements for purposes of providing low- and moderate-income housing;
(7) Utilization of funds obtained from any State or federal subsidy toward the construction of low- and moderate-income housing;
(8) Utilization of municipally generated funds toward the construction of low- and moderate-income housing; and
(9) The purchase of privately owned real property used for residential purposes at the value of all liens secured by the property, excluding any tax liens, notwithstanding that the total amount of debt secured by liens exceeds the appraised value of the property, pursuant to regulations promulgated by the Commissioner of Community Affairs pursuant to subsection b. of section 41 of P.L.2000, c.126 (C.52:27D-311.2).
b. The municipality may provide for a phasing schedule for the achievement of its fair share of low- and moderate-income housing.
c. (Deleted by amendment, P.L.2008, c.46)
d. Nothing in P.L.1985, c.222 (C.52:27D-301 et al.) shall require a municipality to raise or expend municipal revenues in order to provide low- and moderate-income housing.
e. When a municipality's housing element includes the provision of rental housing units in a community residence for the developmentally disabled, for the mentally ill, or for persons with head injuries, as those terms are defined in section 2 of P.L.1977, c.448 (C.30:11B-2), or in transitional housing, which will be affordable to persons of low- and moderate-income, and for which adequate measures to retain such affordability pursuant to paragraph (3) of subsection a. of this section are included in the housing element, those housing units shall be fully credited towards the fulfillment of the municipality's fair share of low- and moderate-income housing. A municipality shall not credit transitional housing units towards more than 10 percent of the municipality's fair share obligation.
f. It having been determined by the Legislature that the provision of housing under P.L.1985, c.222 (C.52:27D-301 et al.) is a public purpose, a municipality or municipalities may utilize public monies to make donations, grants or loans of public funds for the rehabilitation of deficient housing units and the provision of new or substantially rehabilitated housing for low- and moderate-income persons, providing that any private advantage is incidental.
g. A municipality that has received approval of its housing element and fair share plan for the current round, and that has actually effected the construction of the affordable housing units it is obligated to provide, may amend its affordable housing element or zoning ordinances without losing immunity from exclusionary zoning litigation.
h. Whenever affordable housing units are proposed to be provided through an inclusionary development, a municipality shall provide, through its zoning powers, incentives to the developer, which shall include increased densities and reduced costs.
i. A municipality and a developer may request a modification of a compliance certification involving reduced affordable housing set-asides or increased densities to ensure the economic feasibility of an inclusionary development, if any such application demonstrates how any shortfall in meeting the municipal fair share obligation will then be addressed. Such a request may be granted only if the municipality and developer have demonstrated that the project has been impacted by market conditions beyond their reasonable control.
j. A municipality may enter into an agreement with a developer or residential development owner to provide a preference for affordable housing to low- and moderate-income veterans who served in time of war or other emergency, as defined in section 1 of P.L.1963, c.171 (C.54:4-8.10), of up to 50 percent of the affordable units in that particular project. This preference shall be established in the applicant selection process for available affordable units so that applicants who are veterans who served in time of war or other emergency, as referenced in this subsection, and who apply within 90 days of the initial marketing period shall receive preference for the rental of the agreed-upon percentage of affordable units. After the first 90 days of the initial 120-day marketing period, if any of those units subject to the preference remain available, then applicants from the general public shall be considered for occupancy. Following the initial 120-day marketing period, previously qualified applicants and future qualified applicants who are veterans who served in time of war or other emergency, as referenced in this subsection, shall be placed on a special waiting list as well as the general waiting list. The veterans on the special waiting list shall be given preference for affordable units, as the units become available, whenever the percentage of preference-occupied units falls below the agreed upon percentage. Any agreement to provide affordable housing preferences for veterans pursuant to this subsection shall not affect a municipality's ability to receive credit for the unit.
k. In the fourth round, and in subsequent rounds of affordable housing obligations, a municipality shall be able to receive one credit against its affordable housing obligation for each unit of low- or moderate-income housing and shall not receive bonus credit for any particular type of low- or moderate-income housing, unless authority to obtain bonus credit is expressly provided pursuant to this section or other sections of the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.). A municipality shall not receive more than one type of bonus credit for any unit and a municipality shall not be permitted to satisfy more than 25 percent of its prospective need obligation in the fourth round or any subsequent round through the use of bonus credits. This subsection shall not be construed to limit the ability of a municipality to receive a unit of credit for a low- or moderate-income housing unit that is subject to affordability controls that are scheduled to expire, but are extended pursuant to section 21 of P.L.1985, c.222 (C.52:27D-321), to the extent that this affordability control extension would otherwise generate this credit. As a part of a fair share plan and housing element adopted pursuant to subsection f. of section 3 of P.L.2024, c.2 (C.52:27D-304.1), a municipality shall:
(1) receive one unit of credit and one bonus credit for each unit of low- or moderate-income housing for individuals with special needs or permanent supportive housing, as those terms are defined in section 2 of P.L. 2004, c.70 (C.34:1B-21.24);
(2) receive one unit of credit and one-half bonus credit for each low- or moderate-income ownership unit created in partnership sponsorship with a non-profit housing developer;
(3) receive one unit of credit and one-half bonus credit for each unit of low- or moderate-income housing located within a one-half mile radius, or one-mile radius for projects located in a Garden State Growth Zone, as defined in section 2 of P.L.2011, c.149 (C.34:1B-243), surrounding a New Jersey Transit Corporation, Port Authority Transit Corporation, or Port Authority Trans-Hudson Corporation rail, bus, or ferry station, including all light rail stations. For the purpose of this subparagraph, the distance from the bus, rail, or ferry station to a housing unit shall be measured from the closest point on the outer perimeter of the station, including any associated park-and-ride lot, to the closest point of the housing project property;
(4) receive one unit of credit and one-half bonus credit for a unit of age-restricted housing, provided that a bonus credit for age-restricted housing shall not be applied to more than 10 percent of the units of age-restricted housing constructed in compliance with the Uniform Housing Affordability Controls promulgated by the New Jersey Housing and Mortgage Finance Agency in a municipality that count towards the municipality's affordable housing obligation for any single 10-year round of affordable housing obligations;
(5) receive one unit of credit and one-half bonus credit for each unit of low- or moderate-income family housing with at least three bedrooms above the minimum number required by the bedroom distribution. This bonus credit shall be calculated by taking into account the full municipal fair share plan and housing element, and the number of units with at least three bedrooms required for projects satisfying the minimum 50 percent family housing requirements. A municipality shall receive the bonus credit pursuant to this paragraph for each unit with at least three bedrooms that are above the minimum number required for the bedroom distribution determined pursuant to the Uniform Housing Affordability Controls promulgated by the New Jersey Housing and Mortgage Finance Agency;
(6) receive one unit of credit and one-half bonus credit for a unit of low- or moderate-income housing constructed on land that is or was previously developed and utilized for retail, office, or commercial space;
(7) receive one unit of credit and one-half bonus credit for each existing low- or moderate-income rental housing unit for which affordability controls are extended for a new term of affordability, in compliance with the Uniform Housing Affordability Controls promulgated by the New Jersey Housing and Mortgage Finance Agency, and the municipality contributes funding towards the costs necessary for this preservation;
(8) receive one unit of credit and one bonus credit for each unit of low- or moderate-income housing in a 100 percent affordable housing project for which the municipality contributes toward the costs of the project. This contribution may consist of: (a) real property donations that enable siting and construction of the project or (b) contributions from the municipal affordable housing trust fund in support of the project, if the contribution consists of no less than three percent of the project cost;
(9) receive one unit of credit and one-half bonus credit for each unit of very low-income housing for families above the 13 percent of units required to be reserved for very low-income housing pursuant to section 7 of P.L.2008, c.46 (C.52:27D-329.1). In accordance with section 7 of P.L.2008, c.46 (C.52:27D-329.1), a municipality shall not be required to provide that a specific percentage of the units in any specific project be reserved as very low-income housing in order to obtain this bonus credit, and the 13 percent level, for the purpose of bonus credits, shall be calculated against the full prospective need obligation provided pursuant to the fair share plan; and
(10) receive one unit of credit and one bonus credit for each unit of low- or moderate-income housing created by transforming an existing rental or ownership unit from a market rate unit to an affordable housing unit. A municipality may only rely on this bonus credit as part of its fair share plan and housing element if the municipality demonstrates that a commitment to follow through with this market to affordable agreement has been made and: (a) this agreement has been signed by the property owner; or (b) the municipality has obtained ownership of the property.
l. A municipality may not satisfy more than 30 percent of the affordable housing units, exclusive of any bonus credits, to address its prospective need affordable housing obligation through the creation of age-restricted housing. A municipality shall satisfy a minimum of 50 percent of the actual affordable housing units, exclusive of any bonus credits, created to address its prospective need affordable housing obligation through the creation of housing available to families with children and otherwise in compliance with the requirements and controls established pursuant to section 21 of P.L.1985, c.222 (C.52:27D-321). A municipality shall satisfy a minimum of 25 percent of the actual affordable housing units, exclusive of any bonus credits, to address its prospective need affordable housing obligation, through rental housing, including at least half of that number available to families with children. All units referred to in this section shall otherwise be in compliance with the requirements and controls established pursuant to section 21 of P.L.1985, c.222 (C.52:27D-321).
m. All parties shall be entitled to rely upon regulations on municipal credits, adjustments, and compliance mechanisms adopted by the Council on Affordable Housing unless those regulations are contradicted by statute, including but not limited to P.L.2024, c.2 (C.52:27D-304.1 et al.), or binding court decisions.
n. P.L.2024, c.2 (C.52:27D-304.1 et al.) shall not be construed to require a municipality to fund infrastructure improvements for affordable housing projects beyond any commitments made in a fair share plan and housing element that has been provided with compliance certification. A municipality may fund infrastructure improvements for affordable housing projects, through the adoption of a development agreement with the applicant, beyond any commitments made in a fair share plan and housing element that has been provided with compliance certification.
##### **§ 52:27D-311a** Adaptability requirement; "new construction" defined. {#sec-52-27d-311a omnilex-key=us-nj-statutes--title-52--52:27D-311a}
1. Beginning upon the effective date of P.L.2005, c.350 (C.52:27D-311a et al.), any new construction for which credit is sought against a fair share obligation shall be adaptable in accordance with the provisions of section 5 of P.L.2005, c.350 (C.52:27D-123.15). For the purposes of P.L.2005, c.350 (C.52:27D-311a et al.), "new construction" shall mean an entirely new improvement not previously occupied or used for any purpose.
##### **§ 52:27D-311b** Assurance of adaptability requirements; council measures. {#sec-52-27d-311b omnilex-key=us-nj-statutes--title-52--52:27D-311b}
6. A municipality may take such measures as are necessary to assure compliance with the adaptability requirements imposed pursuant to P.L.2005, c.350 (C.52:27D-311a et al.), including the inspection of those units which are newly constructed and receive housing credit as provided under section 1 of P.L.2005, c.350 (C.52:27D-311a) for adaptability, as part of the monitoring which occurs pursuant to P.L.1985, c.222 (C.52:27D-301 et al.). No housing unit subject to the provisions of section 5 of P.L.2005, c.350 (C.52:27D-123.15) and to the provisions of the barrier free subcode adopted by the Commissioner of Community Affairs pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) shall be eligible for inclusion in a municipal fair share plan unless the unit complies with the requirements set forth thereunder. If any units for which credit was granted in accordance with the provisions of P.L.2005, c.350 (C.52:27D-311a et al.) are found not to conform to the requirements of P.L.2005, c.350 (C.52:27D-311a et al.), any party representing the interests of households with disabilities may seek a modification to the approval of the municipal fair share plan to require the municipality to amend its fair share plan within 90 days of such a finding, to address its fair share obligation pursuant to P.L.1985, c.222 (C.52:27D-301 et al.). In the event that the municipality fails to amend its fair share plan within 90 days of such a finding, the municipality shall lose immunity to exclusionary zoning litigation for the portion of its obligation that is found not to conform to the requirements of P.L.2005, c.350 (C.52:27D-311a et al.).
##### **§ 52:27D-311.1** Demolition invalidated {#sec-52-27d-311.1 omnilex-key=us-nj-statutes--title-52--52:27D-311.1}
Nothing in the act to which this act is supplementary, P.L.1985, c.222 (C.52:27D-301 et al.), shall be construed to require that a municipality fulfill all or any portion of its fair share housing obligation through permitting the development or redevelopment of property within the municipality on which is located a residential structure which has not been declared unfit, or which was within the previous three years negligently or willfully rendered unfit, for human occupancy or use pursuant to P.L.1942, c.112 (C.40:48-2.3 et seq.), and which is situated on a lot of less than two acres of land or on a lot formed by merging two or more such lots, if the development or redevelopment would require the demolition of that structure. Any action heretofore taken by the Council on Affordable Housing based upon such a construction of P.L.1985, c.222 is invalidated.
##### **§ 52:27D-311.2** Purchase of privately owned land by municipality for fair share housing. {#sec-52-27d-311.2 omnilex-key=us-nj-statutes--title-52--52:27D-311.2}
41. a. Notwithstanding the provisions of the "Eminent Domain Act of 1971," P.L.1971, c.361 (C.20:3-1 et seq.), or of any other law, rule or regulation to the contrary, a municipality may provide for the purchase of privately owned residential property at the value of all liens secured by real property, excluding any tax lien to which the property is subject and include those units toward the fulfillment of its fair share housing obligation pursuant to P.L.1985, c.222 (C.52:27D-301 et al.). Any such purchase under this section shall be made pursuant to and consistent with regulations promulgated by the Commissioner of Community Affairs pursuant to subsection b. of this section.
b. The Commissioner of Community Affairs shall, on or before the first day of the seventh month next following the effective date of P.L.2000, c.126 (C.52:13H-21 et al.) promulgate rules and regulations pursuant to the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to effectuate the provisions of subsection a. of this section.
##### **§ 52:27D-312** Regional contribution agreements. {#sec-52-27d-312 omnilex-key=us-nj-statutes--title-52--52:27D-312}
12. a. Except as prohibited under P.L.2008, c.46 (C.52:27D-329.1 et al.), a municipality may propose the transfer of up to 50% of its fair share to another municipality within its housing region by means of a contractual agreement into which two municipalities voluntarily enter. A municipality may also propose a transfer by contracting with the agency or another governmental entity designated by the council if the council determines that the municipality has exhausted all possibilities within its housing region. A municipality proposing to transfer to another municipality, whether directly or by means of a contract with the agency or another governmental entity designated by the council, shall provide the council with the housing element and statement required under subsection c. of section 11 of P.L.1985, c.222 (C.52:27D-311), and shall request the council to determine a match with a municipality filing a statement of intent pursuant to subsection e. of this section. Except as provided in subsection b. of this section, the agreement may be entered into upon obtaining substantive certification under section 14 of P.L.1985, c.222 (C.52:27D-314), or anytime thereafter. The regional contribution agreement entered into shall specify how the housing shall be provided by the second municipality, hereinafter the receiving municipality, and the amount of contributions to be made by the first municipality, hereinafter the sending municipality.
b. A municipality which is a defendant in an exclusionary zoning suit and which has not obtained substantive certification pursuant to P.L.1985, c.222 may request the court to be permitted to fulfill a portion of its fair share by entering into a regional contribution agreement. If the court believes the request to be reasonable, the court shall request the council to review the proposed agreement and to determine a match with a receiving municipality or municipalities pursuant to this section. The court may establish time limitations for the council's review, and shall retain jurisdiction over the matter during the period of council review. If the court determines that the agreement provides a realistic opportunity for the provision of low and moderate income housing within the housing region, it shall provide the sending municipality a credit against its fair share for housing to be provided through the agreement in the manner provided in this section. The agreement shall be entered into prior to the entry of a final judgment in the litigation. In cases in which a final judgment was entered prior to the date P.L.1985, c.222 takes effect and in which an appeal is pending, a municipality may request consideration of a regional contribution agreement; provided that it is entered into within 120 days after P.L.1985, c.222 takes effect. In a case in which a final judgment has been entered, the court shall consider whether or not the agreement constitutes an expeditious means of providing part of the fair share. Notwithstanding this subsection, no consideration shall be given to any regional contribution agreement of which the council did not complete its review and formally approve a recommendation to the court prior to the effective date of P.L.2008, c.46 (C.52:27D-329.1 et al.).
c. Except as prohibited under P.L.2008, c.46 (C.52:27D-329.1 et al.), regional contribution agreements shall be approved by the council, after review by the county planning board or agency of the county in which the receiving municipality is located. The council shall determine whether or not the agreement provides a realistic opportunity for the provision of low and moderate income housing within convenient access to employment opportunities. The council shall refer the agreement to the county planning board or agency which shall review whether or not the transfer agreement is in accordance with sound, comprehensive regional planning. In its review, the county planning board or agency shall consider the master plan and zoning ordinance of the sending and receiving municipalities, its own county master plan, and the State development and redevelopment plan. In the event that there is no county planning board or agency in the county in which the receiving municipality is located, the council shall also determine whether or not the agreement is in accordance with sound, comprehensive regional planning. After it has been determined that the agreement provides a realistic opportunity for low and moderate income housing within convenient access to employment opportunities, and that the agreement is consistent with sound, comprehensive regional planning, the council shall approve the regional contribution agreement by resolution. All determinations of a county planning board or agency shall be in writing and shall be made within such time limits as the council may prescribe, beyond which the council shall make those determinations and no fee shall be paid to the county planning board or agency pursuant to this subsection.
d. In approving a regional contribution agreement, the council shall set forth in its resolution a schedule of the contributions to be appropriated annually by the sending municipality. A copy of the adopted resolution shall be filed promptly with the Director of the Division of Local Government Services in the Department of Community Affairs, and the director shall thereafter not approve an annual budget of a sending municipality if it does not include appropriations necessary to meet the terms of the resolution. Amounts appropriated by a sending municipality for a regional contribution agreement pursuant to this section are exempt from the limitations or increases in final appropriations imposed under P.L.1976, c.68 (C.40A:4-45.1 et seq.).
e. The council shall maintain current lists of municipalities which have stated an intent to enter into regional contribution agreements as receiving municipalities, and shall establish procedures for filing statements of intent with the council. No receiving municipality shall be required to accept a greater number of low and moderate income units through an agreement than it has expressed a willingness to accept in its statement, but the number stated shall not be less than a reasonable minimum number of units, not to exceed 100, as established by the council. The council shall require a project plan from a receiving municipality prior to the entering into of the agreement, and shall submit the project plan to the agency for its review as to the feasibility of the plan prior to the council's approval of the agreement. The agency may recommend and the council may approve as part of the project plan a provision that the time limitations for contractual guarantees or resale controls for low and moderate income units included in the project shall be less than 30 years, if it is determined that modification is necessary to assure the economic viability of the project.
f. The council shall establish guidelines for the duration and amount of contributions in regional contribution agreements. In doing so, the council shall give substantial consideration to the average of: (1) the median amount required to rehabilitate a low and moderate income unit up to code enforcement standards; (2) the average internal subsidization required for a developer to provide a low income housing unit in an inclusionary development; (3) the average internal subsidization required for a developer to provide a moderate income housing unit in an inclusionary development. Contributions may be prorated in municipal appropriations occurring over a period not to exceed ten years and may include an amount agreed upon to compensate or partially compensate the receiving municipality for infrastructure or other costs generated to the receiving municipality by the development. Appropriations shall be made and paid directly to the receiving municipality or municipalities or to the agency or other governmental entity designated by the council, as the case may be.
g. The council shall require receiving municipalities to file annual reports with the agency setting forth the progress in implementing a project funded under a regional contribution agreement, and the agency shall provide the council with its evaluation of each report. The council shall take such actions as may be necessary to enforce a regional contribution agreement with respect to the timely implementation of the project by the receiving municipality.
No consideration shall be given to any regional contribution agreement for which the council did not complete its review and grant approval prior to the effective date of P.L.2008, c.46 (C.52:27D-329.1 et al.). On or after the effective date of P.L.2008, c.46 (C.52:27D-329.1 et al.), no regional contribution agreement shall be entered into by a municipality, or approved by the council or the court.
##### **§ 52:27D-313** Petition for substantive certification. {#sec-52-27d-313 omnilex-key=us-nj-statutes--title-52--52:27D-313}
13. a. If a municipality has adopted a housing element and fair share plan pursuant to section 3 of P.L.2024, c.2 (C.52:27D-304.1), but has failed to satisfy the June 30 deadline established pursuant to paragraph (2) of subsection f. of section 3 of P.L.2024, c.2 (C.52:27D-304.1), for any round of affordable housing obligations, the municipality may request and be provided with a grace period pursuant to paragraph (3) of subsection f. of section 3 of P.L.2024, c.2 (C.52:27D-304.1), if authorized by the program or county-level housing judge, as determined by the rules of court. If a municipality that has not satisfied this June 30 deadline is not provided with a grace period, the municipality may institute an action for declaratory judgment granting it repose in the Superior Court for the 10-year period constituting the current round of fair share obligations. The municipality shall publish notice of its filing of a declaratory judgment action in a newspaper of general circulation within the municipality and county and shall make available to the public information on the element and ordinances by submitting such information to the program to be published on the Internet website of the program in accordance with section 3 of P.L.2024, c.2 (C.52:27D-304.1).
b. (Deleted by amendment, P.L.2024, c.2)
c. (1) A municipality or other interested party may file an action through the program seeking a realistic opportunity review at the midpoint of the certification period and shall provide for notice to the public, including a realistic opportunity review of any inclusionary development site in the housing element and fair share plan that has not received preliminary site plan approval prior to the midpoint of the 10-year round. If such an action is initiated by a municipality, the municipality may propose one or more alternative sites with an accompanying development plan or plans that provide a realistic opportunity for the same number of affordable units and is otherwise in compliance with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) and the Mount Laurel doctrine, provided that if the facts demonstrate that the municipality or its subordinate boards have prevented the site from receiving site plan approval, then the program shall reject the municipality's challenge.
(2) Any party may file a request for information from the program regarding the progress of development at any inclusionary development site in the housing element and fair share plan of a municipality or at any alternative site proposed by the municipality. The program may respond to a request independently or in coordination with the department.
##### **§ 52:27D-313.2** "Affordable Housing Dispute Resolution Program" established. {#sec-52-27d-313.2 omnilex-key=us-nj-statutes--title-52--52:27D-313.2}
5. a. There is established an Affordable Housing Dispute Resolution Program that shall have the purpose of efficiently resolving disputes involving the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.), to consist of an odd number of members, of at least three and no more than seven members who shall lead the administration of the program. The Administrative Director of the Courts shall update the assignment of designated Mount Laurel judges to indicate which current or retired and on-recall judges of the Superior Court shall serve as members, within 60 days following the effective date of P.L.2024, c.2 (C.52:27D-304.1 et al.). The Administrative Director of the Courts may appoint other qualified experts as members if sufficient current and retired judges are unavailable. The Administrative Director of the Courts shall take into consideration in making such appointments experience in the employment of alternative dispute resolution methods and in relevant subject matter.
b. The Administrative Director of the Courts shall designate a member to serve as chair. The Administrative Director of the Courts shall make new appointments as needs arise for new appointments.
c. The program, in its discretion and in accordance with Rules of Court, may consult or employ the services of one or more special masters or staff to assist it in rendering determinations, resolving disputes, and facilitating communication as required by subparagraph (b) of paragraph (2) of subsection f. of section 3 of P.L.2024, c.2 (C.52:27D-304.1). In addition, the program may incorporate any existing or newly established court mediation or alternative dispute resolution process to assist the program in resolving disputes and facilitating communication among municipalities and interested parties.
d. The Administrative Director of the Courts shall establish a filing system via an Internet website in which the public is able to access, without cost, filings made pursuant to P.L.2024, c.2 (C.52:27D-304.1 et al.) and such other related filings as the Administrative Director of the Courts may include on the filing system.
e. The Administrative Director of the Courts may assign additional responsibilities to the program for resolving disputes arising out of or related to the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.).
f. The Administrative Director of the Courts shall establish procedures for the purpose of efficiently resolving disputes involving the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.), for circumstances in which the program is unable to address the dispute within the time limitations established pursuant to section 3 of P.L.2024, c.2 (C.52:27D-304.1). As a part of the procedures established pursuant to this section, in order to facilitate an appropriate level of localized control of affordable housing decisions, for each vicinage, the Chief Justice of the Supreme Court shall designate a Superior Court judge who sits within the vicinage, or a retired judge who, during the judge's tenure as a judge, served within the vicinage, to serve as county-level housing judge to resolve disputes over the compliance, of fair share plans and housing elements of municipalities within their designated county or counties, with the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.), as well as disputes that arise with respect to ongoing compliance or noncompliance with obligations created by fair share plans, housing elements, and the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.). A judge shall be permitted to serve as a county-level housing judge for more than one county in the same vicinage.
g. The Administrative Director of the Courts shall promulgate, maintain, and apply a Code of Ethics that is modeled upon the Code of Judicial Conduct of the American Bar Association, as amended and adopted by the Supreme Court of New Jersey, and may establish additional, more restrictive ethical standards in order to meet the specific needs of the program and of county-level housing judges.
##### **§ 52:27D-313.3** Adoption of transitional rules, regulations, implementation, affordable housing, timeline; Uniform Housing Affordability Controls, update. {#sec-52-27d-313.3 omnilex-key=us-nj-statutes--title-52--52:27D-313.3}
36. a. (1) Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the Commissioner of Community Affairs shall, in consultation with the Administrative Director of the Courts and the Executive Director of the New Jersey Housing and Mortgage Finance Agency, adopt, immediately upon filing with the Office of Administrative Law, no later than nine months after the effective date of P.L.2024, c.2 (C.52:27D-304.1 et al.), such transitional rules and regulations as necessary for the implementation of P.L.2024, c.2 (C.52:27D-304.1 et al.), including for: (a) the identification of any vestigial duties of the Council on Affordable Housing and the transfer of those duties within the Department of Community Affairs to the extent that those duties are not otherwise assumed, pursuant to P.L.2024, c.2 (C.52:27D-304.1 et al.), by municipalities or the Affordable Housing Dispute Resolution Program; and (b) the establishment of policies regarding the cost of the assessments and fees of planned real estate developments, as defined in section 3 of P.L.1977, c.419 (C.45:22A-23), on low- and moderate-income housing units.
(2) The department, in consultation with the agency, shall thereafter amend, adopt, or readopt the regulations in accordance with the requirements of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
b. The Executive Director of the New Jersey Housing and Mortgage Finance Agency, in consultation with the department, shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), no later than nine months after the effective date of P.L.2024, c.2 (C.52:27D-304.1 et al.), rules and regulations to update the Uniform Housing Affordability Controls as required pursuant to the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.). As part of updating the Uniform Housing Affordability Controls, the agency shall set rules establishing that, for the purpose of newly created low- and moderate-income rental units, a 40-year minimum deed restriction shall be required. For the purpose of for-sale units, a 30-year minimum deed restriction shall be required. For the purpose of housing units for which affordability controls are extended for a new term of affordability, a 30-year minimum deed restriction shall be required, provided that the minimum extension term may be limited to no less than 20 years as long as the original and extended terms, in combination, total at least 60 years. Any 100 percent affordable rental property shall have a right to extinguish a deed restriction regardless of original length, beginning 30 years following the start of the deed restriction, provided a refinancing or rehabilitation, or both, for the purpose of preservation is commenced and that a new deed restriction of at least 30 years is provided. A municipality shall be eligible to receive credits for all preserved units pursuant to this subsection, as long as the original and extended terms total at least 60 years, and this credit may be obtained at the time of preservation. All 100 percent affordable projects shall be eligible for any affordable housing preservation program administered by the State, beginning 30 years following the start of the deed restriction, regardless of original length of the deed restriction. Any State administered preservation program may allow a refinancing funding process to commence prior to the 30th year of the deed restriction when such refinancing or rehabilitation funding is needed to preserve affordable housing.
##### **§ 52:27D-320** "New Jersey Affordable Housing Trust Fund." {#sec-52-27d-320 omnilex-key=us-nj-statutes--title-52--52:27D-320}
20. There is established in the Department of Community Affairs a separate trust fund, to be used for the exclusive purposes as provided in this section, and which shall be known as the "New Jersey Affordable Housing Trust Fund." The fund shall be a non-lapsing, revolving trust fund, and all monies deposited or received for purposes of the fund shall be accounted for separately, by source and amount, and remain in the fund until appropriated for such purposes. The fund shall be the repository of all State funds appropriated for affordable housing purposes, including, but not limited to, the proceeds from the receipts of the additional fee collected pursuant to paragraph (2) of subsection a. of section 3 of P.L.1968, c.49 (C.46:15-7), proceeds from available receipts of the Statewide non-residential development fees collected pursuant to section 35 of P.L.2008, c.46 (C.40:55D-8.4), monies lapsing or reverting from municipal development trust funds, or other monies as may be dedicated, earmarked, or appropriated by the Legislature for the purposes of the fund. All references in any law, order, rule, regulation, contract, loan, document, or otherwise to the "Neighborhood Preservation Nonlapsing Revolving Fund" shall mean the "New Jersey Affordable Housing Trust Fund." The department shall be permitted to utilize annually up to 7.5 percent of the monies available in the fund for the payment of any necessary administrative costs related to the administration of the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.), or any costs related to administration of P.L.2008, c.46 (C.52:27D-329.1 et al.).
a. (1) Except as permitted pursuant to subsection g. of this section, and by section 41 of P.L.2009, c.90 (C.52:27D-320.1), the commissioner shall award grants or loans from this fund for housing projects and programs in municipalities whose housing elements obtained compliance certification pursuant to section 3 of P.L.2024, c.2 (C.52:27D-304.1) or in municipalities receiving State aid pursuant to P.L.1978, c.14 (C.52:27D-178 et seq.).
(2) Of those monies deposited into the "New Jersey Affordable Housing Trust Fund" that are derived from municipal development fee trust funds, or from available collections of Statewide non-residential development fees, a priority for funding shall be established for projects in municipalities that have received compliance certification.
(3) Programs and projects in any municipality shall be funded only after receipt by the commissioner of either:
(a) a written statement in support of the program or project from the municipal governing body; or
(b) a written statement in support of the program or project from the municipal clerk, if the municipality has enacted an ordinance pursuant to section 1 of P.L.2024, c.5 (C.52:27D-304.1a).
b. (1) The commissioner shall establish rules and regulations governing the qualifications of applicants, the application procedures, and the criteria for awarding grants and loans and the standards for establishing the amount, terms, and conditions of each grant or loan.
(2) The governing body of a municipality in which a housing project or program is located, and which is awarded a grant or loan from the fund for a housing project or program, may provide, by ordinance , that the units of affordable housing being developed or preserved pursuant to a housing project or program being funded, in whole or in part, through the "New Jersey Affordable Housing Trust Fund" shall be exempt from real property taxation if the housing sponsor enters into an agreement with the municipality for payments to the municipality in lieu of taxes for municipal services. Any such agreement may require the housing sponsor to pay to the municipality an amount up to 20 percent of the annual gross revenue from each housing project situated on such real property for each year of operation of the agreement following the substantial completion of the housing project. Any such agreement shall require the housing sponsor to pay the municipality an amount not less than the greater of four percent of the annual gross revenue or the amount of the taxes attributable to the land value component of the property comprising the project site for the year preceding the recording of the mortgage, if applicable. In the case of a property assessed under the "Farmland Assessment Act of 1964," P.L.1964, c.48 (C.54:4-23.1 et seq.), the minimum amount the housing sponsor shall be required to pay to the municipality shall be four percent of the annual gross revenue. For the purpose of this subsection, "annual gross revenue" means the total annual gross rental or carrying charge and other income of a housing sponsor from a housing project. If an agreement is entered into from the date of recording the mortgage on the housing project to the date of substantial completion of the housing project, the annual amount payable to the municipality as taxes or as payments in lieu of taxes in respect of the project site shall not be in excess of the amount of taxes on the project site for the year preceding the recording of the mortgage. Within 30 calendar days following: the effective date of an ordinance adopted by a municipal governing body approving a tax exemption under this subsection, or the execution of a financial agreement between a housing sponsor and a municipality entered into pursuant to this subsection, whichever is later, the municipal clerk shall electronically transmit a certified copy of the ordinance and the agreement to the Director of the Division of Local Government Services in such a manner as may be specified by the director. An exemption from taxation provided pursuant to this subsection shall not extend beyond the date on which an eligible loan made for the project is paid in full.
(3) Notwithstanding the provisions of any law or regulation to the contrary, the governing body of a municipality may agree to continue a tax exemption for a State, federally, or municipally subsidized housing project beyond the date on which an eligible loan made for the project is fully paid, or beyond the date upon which a tax exemption expires, for any period the project remains subject to affordability controls pursuant to:
(a) project-based federal rental assistance, authorized pursuant to section 8 of the United States Housing Act of 1937 (42 U.S.C. s.1437f) or other federal or State project-based assistance;
(b) the Uniform Housing Affordability Controls promulgated by the New Jersey Housing and Mortgage Finance Agency; or
(c) the rent and income limits established by the federal Low Income Housing Tax Credit program pursuant to section 42 of the Internal Revenue Code (26 U.S.C. s.42).
c. For any period which the commissioner may approve, the commissioner may assist affordable housing programs that are located in municipalities that have a pending request for compliance certification, provided that the affordable housing program will meet all or part of a municipal low- and moderate-income housing obligation.
d. Amounts deposited in the "New Jersey Affordable Housing Trust Fund" shall be targeted to regions based on the region's percentage of the State's low- and moderate-income housing need as determined pursuant to the low- and moderate-income household growth over the prior 10 years, as calculated pursuant to section 6 of P.L.2024, c.2 (C.52:27D-304.2). Amounts in the fund shall be applied for the following purposes in designated neighborhoods:
(1) Rehabilitation of substandard housing units occupied or to be occupied by low- and moderate-income households;
(2) Creation of accessory dwelling units to be occupied by low- and moderate-income households;
(3) Conversion of non-residential space to residential purposes; provided a substantial percentage of the resulting housing units are to be occupied by low- and moderate-income households;
(4) Acquisition of real property, demolition and removal of buildings, or construction of new housing that will be occupied by low- and moderate-income households, or any combination thereof;
(5) Grants of assistance to eligible municipalities for costs of necessary studies, surveys, plans, and permits; engineering, architectural, and other technical services; costs of land acquisition and any buildings thereon; and costs of site preparation, demolition, and infrastructure development for projects undertaken pursuant to an approved regional contribution agreement;
(6) Assistance to a local housing authority, nonprofit or limited dividend housing corporation, or association or a qualified entity acting as a receiver under P.L.2003, c.295 (C.2A:42-114 et al.) for rehabilitation or restoration of housing units which it administers which: (a) are unusable or in a serious state of disrepair; (b) can be restored in an economically feasible and sound manner; and (c) can be retained in a safe, decent, and sanitary manner, upon completion of rehabilitation or restoration; and
(7) Other housing programs for low- and moderate-income housing, including, without limitation, (a) infrastructure projects directly facilitating the construction of low- and moderate-income housing not to exceed a reasonable percentage of the construction costs of the low- and moderate-income housing to be provided and (b) alteration of dwelling units occupied or to be occupied by households of low or moderate income and the common areas of the premises in which they are located in order to make them accessible to persons with disabilities.
e. Any grant or loan agreement entered into pursuant to this section shall incorporate contractual guarantees and procedures by which the division shall ensure that any unit of housing provided for low- and moderate-income households shall continue to be occupied by low- and moderate-income households for a period that conforms to the requirements of subsection f. of section 21 of P.L.1985, c.222 (C.52:27D-321) following the award of the loan or grant, except that the division may approve a guarantee for a period of less duration where necessary to ensure project feasibility.
f. Notwithstanding the provisions of any other law, rule, or regulation to the contrary, in making grants or loans under this section, the department shall not require that tenants be certified as low or moderate income or that contractual guarantees or deed restrictions be in place to ensure continued low- and moderate-income occupancy as a condition of providing housing assistance from any program administered by the department, when that assistance is provided for a project of moderate rehabilitation if the project: (1) contains 30 or fewer rental units and (2) is located in a census tract in which the median household income is 60 percent or less of the median income for the housing region in which the census tract is located, as determined for a three person household by the department in accordance with the latest federal decennial census. A list of eligible census tracts shall be maintained by the department and shall be adjusted upon publication of median income figures by census tract after each federal decennial census.
g. In addition to other grants or loans awarded pursuant to this section, and without regard to any limitations on such grants or loans for any other purposes herein imposed, the commissioner shall annually allocate such amounts as may be necessary in the commissioner's discretion, and in accordance with section 3 of P.L.2004, c.140 (C.52:27D-287.3), to fund rental assistance grants under the program created pursuant to P.L.2004, c.140 (C.52:27D-287.1 et al.). Such rental assistance grants shall be deemed necessary and authorized pursuant to P.L.1985, c.222 (C.52:27D-301 et al.), in order to meet the housing needs of certain low-income households who may not be eligible to occupy other housing produced pursuant to P.L.1985, c.222 (C.52:27D-301 et al.).
h. The department and the State Treasurer shall submit the "New Jersey Affordable Housing Trust Fund" for an audit annually by the State Auditor or State Comptroller, at the discretion of the Treasurer. In addition, the department shall prepare an annual report for each fiscal year, and submit it by November 30th of each year to the Governor and the Legislature, and the Joint Committee on Housing Affordability, or its successor, and post the information to its Internet website, of all activity of the fund, including details of the grants and loans by number of units, number and income ranges of recipients of grants or loans, location of the housing renovated or constructed using monies from the fund, the number of units upon which affordability controls were placed, and the length of those controls. The report also shall include details pertaining to those monies allocated from the fund for use by the State rental assistance program pursuant to section 3 of P.L.2004, c.140 (C.52:27D-287.3) and subsection g. of this section.
i. The commissioner may award or grant the amount of any appropriation deposited in the "New Jersey Affordable Housing Trust Fund" pursuant to section 41 of P.L.2009, c.90 (C.52:27D-320.1) to municipalities pursuant to the provisions of section 39 of P.L.2009, c.90 (C.40:55D-8.8).
##### **§ 52:27D-320.1** Appropriation to the "New Jersey Affordable Housing Trust Fund." {#sec-52-27d-320.1 omnilex-key=us-nj-statutes--title-52--52:27D-320.1}
41. a. Notwithstanding any law to the contrary, there is appropriated $15 million to the "New Jersey Affordable Housing Trust Fund," established pursuant to section 20 of P.L.1985, c.222 (C.52:27D-320), to replace the suspended non-residential development fee established under the provisions of the "Statewide Non-Residential Development Fee Act," sections 32 through 38 of P.L.2008, c.46 (C.40:55D-8.1 through C.40:55D-8.7).
b. (1) Municipalities authorized by the provisions of the "Statewide Non-Residential Development Fee Act," sections 32 through 38 of P.L.2008, c.46 (C.40:55D-8.1 through C.40:55D-8.7) to directly receive and use development fees are permitted to petition the commissioner for the award of a grant or loan of any portion of the appropriation described in subsection a. of this section. The commissioner shall award grants or loans from the fund to municipalities that incorporated anticipated or existing housing projects and programs funded by a municipal development trust fund in a housing element submitted to the council pursuant to section 7 of P.L.1985, c.222 (C.52:27D-307).
(2) The commissioner shall target the award of any grant or loan to municipalities based on the extent that their housing plan relied on housing projects or programs funded in part or in whole by municipal development trust fund revenues.
##### **§ 52:27D-321** Affordable housing assistance. {#sec-52-27d-321 omnilex-key=us-nj-statutes--title-52--52:27D-321}
21. The agency shall establish affordable housing programs to assist municipalities in meeting the obligation of developing communities to provide low- and moderate-income housing.
a. Of the bond authority allocated to it under section 24 of P.L.1983, c.530 (C.55:14K-24) the agency will allocate, for a reasonable period of time established by its board, no less than 25 percent to be used in conjunction with housing to be constructed or rehabilitated with assistance under P.L.1985, c.222 (C.52:27D-301 et al.).
b. The agency shall to the extent of available funds, award assistance to affordable housing programs located in municipalities whose housing elements have obtained compliance certification, or which have been subject to a builder's remedy. During any period which the agency may approve, the agency may assist affordable housing programs that have a pending request for compliance certification; provided the affordable housing program will meet all or in part a municipal low- and moderate-income housing obligation.
c. Assistance provided pursuant to this section may take the form of grants or awards to municipalities, prospective home purchasers, housing sponsors as defined in P.L.1983, c.530 (C.55:14K-1 et seq.), or as contributions to the issuance of mortgage revenue bonds or multi-family housing development bonds which have the effect of achieving the goal of producing affordable housing.
d. Affordable housing programs which may be financed or assisted under this provision may include, but are not limited to:
(1) Assistance for home purchase and improvement including interest rate assistance, down payment and closing cost assistance, and direct grants for principal reduction;
(2) Rental programs including loans or grants for developments containing low- and moderate-income housing, moderate rehabilitation of existing rental housing, congregate care and retirement facilities;
(3) Financial assistance for the conversion of nonresidential space to residences;
(4) Other housing programs for low- and moderate-income housing, including infrastructure projects directly facilitating the construction of low- and moderate-income housing; and
(5) Grants or loans to municipalities, housing sponsors and community organizations to encourage development of innovative approaches to affordable housing, including:
(a) Such advisory, consultative, training and educational services as will assist in the planning, construction, rehabilitation and operation of housing; and
(b) Encouraging research in and demonstration projects to develop new and better techniques and methods for increasing the supply, types and financing of housing and housing projects in the State.
e. The agency shall establish procedures and guidelines governing the qualifications of applicants, the application procedures and the criteria for awarding grants and loans for affordable housing programs and the standards for establishing the amount, terms and conditions of each grant or loan.
f. The agency, in consultation with the department, shall establish requirements and controls to ensure the maintenance of housing assisted under P.L.1985, c.222 (C.52:27D-301 et al.) as affordable to low- and moderate-income households for a period of not less than 40 years for newly created rental units, 30 years for for-sale units, and 30 years for housing units for which affordability controls are extended for a new term of affordability, provided that the minimum extension term may be limited to no less than 20 years as long as the original and extended terms, in combination, total at least 60 years. Any 100 percent affordable rental property shall have a right to extinguish a deed restriction regardless of original length, beginning 30 years following the start of the deed restriction, provided a refinancing or rehabilitation, or both, for the purpose of preservation is commenced and that a new deed restriction of at least 30 years is provided. A municipality shall be eligible to receive credits for all preserved units pursuant to this subsection, as long as the original and extended terms total at least 60 years, and this credit may be obtained at the time of preservation. All 100 percent affordable projects shall be eligible for any affordable housing preservation program administered by the State, beginning 30 years following the start of the deed restriction, regardless of original length of the deed restriction. Any State administered preservation program may allow a refinancing funding process to commence prior to the 30th year of the deed restriction when such refinancing or rehabilitation funding is needed to preserve affordable housing. The agency may update or amend any controls previously adopted by the agency, in consultation with the Council on Affordable Housing, prior to the effective date of P.L.2024, c.2 (C.52:27D-304.1 et al.), provided that the requirements and controls shall, at a minimum, be consistent with the controls as in effect immediately prior to the effective date of P.L.2024, c.2 (C.52:27D-304.1 et al.), including, but not limited to, any requirements concerning bedroom distributions, affordability averages, and affirmative marketing. The controls may include, among others, requirements for recapture of assistance provided pursuant to P.L.1985, c.222 (C.52:27D-301 et al.) or restrictions on return on equity in the event of failure to meet the requirements of the program. With respect to rental housing financed by the agency pursuant to P.L.1985, c.222 (C.52:27D-301 et al.) or otherwise which promotes the provision or maintenance of low- and moderate-income housing, the agency may waive restrictions on return on equity required pursuant to P.L.1983, c.530 (C.55:14K-1 et seq.) which is gained through the sale of the property or of any interest in the property or sale of any interest in the housing sponsor. The agency shall promulgate updated regulations no later than nine months following the effective date of P.L.2024, c.2 (C.52:27D-304.1 et al.). All parties may continue to rely on regulations previously adopted by the agency pursuant to the authority provided by this section as in effect immediately prior to the effective date of P.L.2024, c.2 (C.52:27D-304.1 et al.) until new rules and regulations are adopted by the agency. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the agency, after consultation with department, may adopt, immediately, upon filing with the Office of Administrative Law, said regulations, which shall be effective for a period not to exceed one year from the date of the filing. The agency shall thereafter amend, adopt, or readopt the regulations in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).
g. The agency may establish affordable housing programs through the use or establishment of subsidiary corporations or development corporations as provided in P.L.1983, c.530 (C.55:14K-1 et seq.). The subsidiary corporations or development corporations shall be eligible to receive funds provided under P.L.1985, c.222 (C.52:27D-301 et al.) for any permitted purpose.
h. The agency shall provide assistance, through its bonding powers or in any other manner within its powers, to the grant and loan program established pursuant to section 20 of P.L.1985, c.222 (C.52:27D-320).
i. (1) The department shall promulgate processes and standards for the certification of administrative agents and municipal housing liaisons in the State, as well as standards for measuring performance of and enforcing compliance by administrative agents and municipal housing liaisons in implementing the affordable housing requirements and controls established pursuant to subsection f. of this section.
(2) Administrative agents shall be responsible for implementing the requirements and controls set by the regulations promulgated pursuant to subsection f. of this section. The department may bring via summary proceeding any findings of violation of the responsibilities set forth in this section before a county-level housing judge to docket the violation and issue corrective orders and levy fines.
(3) Municipal housing liaisons shall be responsible for monitoring administrative agents within their municipality's jurisdiction to ensure compliance with the requirements and controls set by regulation under subsection f. of this section.
(4) Municipal housing liaisons, the department, and interested parties may bring a challenge before a county-level housing judge to determine whether properties subject to the regulations set forth by this section are out of compliance with the regulations. A finding of deliberate noncompliance may result in the department removing the administrative agent's certification.
(5) A county-level housing judge may issue fines and order corrective actions for violations and may consider patterns of violations in determining whether a municipality is meeting its obligations under the compliance certification established by section 3 of P.L.2024, c.2 (C.52:27D-304.1).
(6) Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, the department may adopt, immediately, upon filing with the Office of Administrative Law, regulations to implement the provisions of this subsection, which shall be effective for a period not to exceed one year from the date of the filing. The department shall thereafter amend, adopt, or readopt the regulations in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:27D-321.1** Allocation of low-income tax credits. {#sec-52-27d-321.1 omnilex-key=us-nj-statutes--title-52--52:27D-321.1}
19. Notwithstanding any rules of the New Jersey Housing and Mortgage Finance Agency to the contrary, the allocation of low-income tax credits shall be made by the agency to the full extent such credits are permitted to be allocated under federal law, including allocations of four percent or nine percent federal low-income tax credits and including allocations allowable for partial credits. The affordable portion of any mixed income or mixed-use development that is part of a fair share housing plan that has obtained compliance certification, including a court-approved judgment of repose or compliance, including, but not limited to, a development that has received a density bonus, shall be permitted to receive allocations of low-income tax credits, provided that the applicant can conclusively demonstrate that the market rate residential or commercial units are unable to internally subsidize the affordable units, and the affordable units are developed contemporaneously with the commercial or market rate residential units.
##### **§ 52:27D-321.2** Maintenance, publishing of annual report by NJHMFA. {#sec-52-27d-321.2 omnilex-key=us-nj-statutes--title-52--52:27D-321.2}
20. The New Jersey Housing and Mortgage Finance Agency shall maintain on its website and publish annually a report concerning its activities during the year in promotion of affordable housing, including any activity pursuant to section 21 of P.L.1985, c.222 (C.52:27D-321). The report shall detail the number and amounts of grants, loans, the average loan amount made, the amounts of low income tax credits allocated by the agency, by location, and the number of proposed units, and any additional information which the agency deems informative to the public.
##### **§ 52:27D-321.3** Findings, declarations relative to online marketing of affordable housing units. {#sec-52-27d-321.3 omnilex-key=us-nj-statutes--title-52--52:27D-321.3}
1. The Legislature finds and declares that:
a. In recent years, housing costs in New Jersey have increased dramatically at rates that have outpaced rises in income, making the State the sixth most expensive in the United States and growing the number of renters and homeowners that are housing cost-burdened, spending a disproportionate percentage of their income on high rent or mortgage payments;
b. To address the Statewide shortage in affordable housing, tens of thousands of affordable housing units have been and will be made available to very low-, low-, and moderate-income families, the elderly, and persons with disabilities in New Jersey through a wide variety of federal and State programs, including those implemented under the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.);
c. Current rules designed to implement the "Fair Housing Act" require that the developer or administrative agent of the affordable units affirmatively market their units through newspaper and radio or television, but digital marketing is not explicitly required;
d. Due to the fragmentation of information consumption and the advent of housing search websites, an increasing number of residents are conducting their housing searches online;
e. The manner in which residents are searching for affordable housing and the existing rules for affirmatively marketing affordable units are no longer compatible due to changes in technology and, therefore, necessitate an update to facilitate more effective, streamlined, and fair searches of affordable housing for very low-, low-, and moderate-income residents of New Jersey in the furtherance of the "Fair Housing Act";
f. An infrastructure for hosting the increased postings already exists as the New Jersey Housing Resource Center, an affordable housing listing portal overseen by the New Jersey Housing and Mortgage Finance Agency; and
g. It is, therefore, in the interest of the residents of the State, and necessary for ensuring that the State's municipalities are compliant with their constitutional responsibility to affirmatively afford a reasonable opportunity for low- and moderate-income families to reside in their boundaries, that the agency, developers, and municipalities comply with P.L.2020, c.51 (C.52:27D-321.3 et seq.).
##### **§ 52:27D-321.4** Definitions relative to online marketing of affordable housing units. {#sec-52-27d-321.4 omnilex-key=us-nj-statutes--title-52--52:27D-321.4}
2. As used in P.L.2020, c.51 (C.52:27D-321.3 et seq.):
"Affirmative marketing plan" means a regional marketing strategy designed to attract buyers, renters, or both to housing units which are being marketed by a developer or sponsor of affordable housing. An affirmative marketing plan shall target eligible persons who are least likely to apply for affordable units in the region.
"Agency" means the Housing and Mortgage Finance Agency established pursuant to section 4 of the "New Jersey Housing and Mortgage Finance Agency Law of 1983," P.L.1983, c.530 (C.55:14K-4).
"Development" means any residential development in which housing for very low-, low-, or moderate-income households is required, including developments receiving credit in a municipal housing element and fair share plan or otherwise approved by the council or court, or in which such housing is required via land use approvals from any municipal land use board.
##### **§ 52:27D-321.5** Administration of online portal. {#sec-52-27d-321.5 omnilex-key=us-nj-statutes--title-52--52:27D-321.5}
3. The agency shall administer the Housing Resource Center, or a designated successor, as an online portal for income-restricted housing listings and searches.
##### **§ 52:27D-321.6** Requirements for implementing marketing plan. {#sec-52-27d-321.6 omnilex-key=us-nj-statutes--title-52--52:27D-321.6}
4. a. (1) The owner, developer, property manager, or other administrative entity required to implement the affirmative marketing plan of a newly constructed development where affordable housing units will be leased or sold for the first time shall be required to post a listing on the Housing Resource Center of the available affordable housing units, on or before the earlier of: (1) at least 60 days prior to conducting a lottery of the applicants; or (2) within one day following when the owner, developer, property manager, or other administrative entity provides any information regarding how to apply for units to prospective applicants or solicits any applications from potential applicants through any other means. The posting shall include, at a minimum, the date that the affordable housing units are expected to be completed, the date of the lottery, the number of affordable housing units, an accounting of how many of the affordable housing units will be available to very low-, low-, and moderate-income households, and each bedroom size that will be available.
(2) A lottery shall not take place less than 60 days following posting on the Housing Resource Center. Any posting on the Housing Resource Center shall provide a link to an online fillable form or Portable Document Format (PDF) form of the application for the affordable housing units on the website of the owner, developer, property manager, or other administrative entity and information on how to request a paper copy of the application from the owner, developer, property manager, or other administrative entity.
b. The owner, developer, property manager, or other administrative entity required to implement the affirmative marketing plan of an existing development where one or more affordable housing units becomes available shall post vacancies and waitlist openings for any such unit on the Housing Resource Center and the requirements set forth in the affirmative marketing plan of the municipality where the development is located. The posting shall be made within one day of accepting applications and shall include, at a minimum, the expected date that the affordable housing units will become available, the number of affordable housing units, an accounting of how many of the affordable housing units will be available to very low-, low-, and moderate-income households, and each bedroom size that will be available.
c. (1) From time to time the owner, developer, property manager, or administrative entity required to implement the affirmative marketing plan of an existing development may elect to conduct a new lottery to generate or expand the pool of applicants, provided that applicants already on a waitlist for a particular unit type are not displaced from their place in the queue in the lottery. In such cases, the owner, developer, property manager, or other administrative entity shall be required to post a listing on the Housing Resource Center website at least 60 days prior to conducting the lottery of the applicants, or within one day of when the owner, developer, property manager, or other administrative entity provides any information regarding how to apply for the lottery to prospective applicants or solicits any applications from potential applicants through any other means, whichever is earlier.
(2) A lottery shall not take place less than 60 days following posting on the Housing Resource Center. Any posting on the Housing Resource Center shall provide a link to an online fillable form or Portable Document Format (PDF) form of the application for the affordable housing units on the website of the owner, developer, property manager, or other administrative entity and information on how to request a paper copy of the application from the owner, developer, property manager, or other administrative entity.
d. The owner, developer, property manager, or other administrative entity shall submit evidence of the listing of their available units and waitlist openings, as required by this section, to the administrative agent for the municipality.
e. (1) The administrative agent for the municipality and the municipal housing liaison shall ensure compliance with the provisions of this section.
(2) The administrative agent for the municipality and the municipal housing liaison shall have the authority to levy fines against the owner of the development for instances of noncompliance, following written notice to the owner. The fine for the first offense of noncompliance shall be $5,000, the fine for the second offense of noncompliance shall be $10,000, and the fine for each subsequent offense of noncompliance shall be $15,000.
(3) The Executive Director of the agency may adjust the fine schedule, but shall not adjust the fine schedule until at least 60 months after the effective date of P.L.2020, c.51 (C.52:27D-321.3 et seq.).
(4) All revenue generated from the fines levied pursuant to this section shall be deposited into the municipality's affordable housing trust fund.
(5) A fine shall not be issued pursuant to this subsection unless the administrative agent for the municipality or the municipal housing liaison first provides the owner with written notice no less than two months prior to the date the fine is levied. A fine shall only be issued if the offense has not been cured within that two-month timeframe. Issuance of a written notice or a fine shall not provide exemption to the requirement of conducting a lottery no less than 60 days following posting on the Housing Resource Center.
(6) The administrative agent and the municipal housing liaison shall have the authority to require the owner, developer, property manager, or administrative entity to conduct a new lottery if the provisions of this section are not implemented properly.
f. If a municipality fails to comply with the provisions of this section, then the municipality shall be considered non-compliant with the affirmative marketing plan requirements, except in cases in which the municipality takes appropriate corrective action pursuant to this section that such corrective action shall be construed as remaining in compliance.
g. With respect to the affirmative advertising required through newspaper and radio or television, or other affirmative marketing provisions currently required, such advertising shall not be eliminated under the provisions of P.L.2020, c.51 (C.52:27D-321.3 et seq.), and shall continue as required, including the provisions of the Uniform Housing Affordability Controls promulgated by the New Jersey Housing and Mortgage Finance Agency.
##### **§ 52:27D-321.7** Municipalities to submit information, affordable, veteran, senior citizen housing; definitions. {#sec-52-27d-321.7 omnilex-key=us-nj-statutes--title-52--52:27D-321.7}
1. a. As used in this section:
“Administrative agent” means the entity responsible for the administration of affordable units in accordance with P.L.1985, c.222 (C.52:27D-301 et seq.) and any related regulations adopted pursuant thereto.
“Affordable housing unit” means a housing unit that constitutes very low-income, low-income, or moderate-income housing as those terms are defined pursuant to section 4 of P.L.1985, c.222 (C.52:27D-304).
“Affordable senior citizen housing unit” means an affordable housing unit located in a senior citizen housing project as that term is defined pursuant to section 1 of P.L.1990, c.55 (C.2A:42-103).
“Affordable veteran housing unit” means an affordable housing unit reserved for occupancy by a person who served on federal active duty in the United States Armed Forces, National Guard, or a reserve component thereof and who was discharged or released therefrom under conditions other than dishonorable.
b. Each municipality shall submit information, in a manner prescribed by the Department of Community Affairs, on a quarterly basis to the Commissioner of Community Affairs concerning the affordable housing units, affordable veteran housing units, and affordable senior citizen housing units located within the municipality.
The information shall include: (1) the name and address of each building, complex, or development in which an affordable housing unit, affordable veteran housing unit, or affordable senior citizen housing unit is located; (2) the name of the administrative agent who manages the placement of occupants in the property; (3) whether applications are being accepted for tenancy or purchase in any identified housing unit; (4) whether there is a waitlist for tenancy or purchase in any identified housing unit; (5) instructions on how to apply for placement in any identified housing unit, including a link to apply online if applicable; and (6) any other information useful to the public as determined by the commissioner.
c. The information submitted pursuant to subsection b. of this section shall be published on the Internet website of: (1) the Department of Community Affairs; and (2) the New Jersey Housing Resource Center of the New Jersey Housing and Mortgage Finance Agency.
d. Each municipality that maintains an Internet website shall provide links on the municipality’s Internet website to the Internet websites of the State government entities set forth in subsection c. of this section.
2. This act shall take effect on February 15, 2027, except that the Department of Community Affairs and the New Jersey Housing and Mortgage Finance Agency may take anticipatory action prior thereto as may be necessary to effectuate the provisions of this act.
##### **§ 52:27D-324** Agency administration of controls, agreements to provide services {#sec-52-27d-324 omnilex-key=us-nj-statutes--title-52--52:27D-324}
24. The agency shall establish procedures for entering into, and shall enter into, contractual agreements with willing municipalities or developers of inclusionary developments whereby the agency will administer resale controls and rent controls in municipalities where no appropriate administrative agency exists. The contractual agreements shall be for the duration of the controls and shall involve eligibility determinations, determination of initial occupants, the marketing of units, maintenance of eligibility lists for subsequent purchasers or renters, and determination of maximum resale prices or rents. The agency may charge the municipality or inclusionary developer a reasonable per unit fee for entering into such an agreement, or may charge a reasonable fee to a low or moderate income household at the time the home is sold subject to the resale control or both. Agency fees shall be established according to methods or schedules approved by the State Treasurer.
Neither the agency nor any other entity entering into an agreement to provide services to a municipality under this section shall require, as a condition of that agreement, that these services be provided for all eligible housing units in the municipality. A municipality, at its discretion, may enter into an agreement for the provision of services for any reasonable portion of its eligible housing units.
##### **§ 52:27D-325** Municipal powers {#sec-52-27d-325 omnilex-key=us-nj-statutes--title-52--52:27D-325}
Notwithstanding any other law to the contrary, a municipality may purchase, lease or acquire by gift or through the exercise of eminent domain, real property and any estate or interest therein, which the municipal governing body determines necessary or useful for the construction or rehabilitation of low and moderate income housing or conversion to low and moderate income housing.
The municipality may provide for the acquisition, construction and maintenance of buildings, structures or other improvements necessary or useful for the provision of low and moderate income housing, and may provide for the reconstruction, conversion or rehabilitation of those improvements in such manner as may be necessary or useful for those purposes.
Notwithstanding the provisions of any other law regarding the conveyance, sale or lease of real property by municipalities, the municipal governing body may, by resolution, authorize the private sale and conveyance or lease of a housing unit or units acquired or constructed pursuant to this section, where the sale, conveyance or lease is to a low or moderate income household or nonprofit entity and contains a contractual guarantee that the housing unit will remain available to low and moderate income households for a period of at least 30 years.
##### **§ 52:27D-329** Prior law applicable {#sec-52-27d-329 omnilex-key=us-nj-statutes--title-52--52:27D-329}
Until August 1, 1988, any municipality may continue to regulate development pursuant to a zoning ordinance in accordance with section 49 of the "Municipal Land Use Law," P.L. 1975, c. 291 (C. 40:55D-62) as same read before the effective date of this act.
##### **§ 52:27D-329.1** Coordination, review of housing elements. {#sec-52-27d-329.1 omnilex-key=us-nj-statutes--title-52--52:27D-329.1}
7. Housing elements and fair share plans adopted pursuant to section 3 of P.L.2024, c.2 (C.52:27D-304.1) shall ensure that at least 13 percent of the housing units made available for occupancy by low-income and moderate-income households to address a municipality's prospective need obligation will be reserved for occupancy by very low income households, as that term is defined pursuant to section 4 of P.L.1985, c.222 (C.52:27D-304), with at least half of such units made available for families with children. The 13 percent shall count towards the minimum 50 percent of the housing units required to be made available for occupancy by low-income households to address a municipality's prospective need obligation. Nothing in this section shall require that a specific percentage of the units in any specific project be reserved as very low-income housing; provided, however, that a municipality shall not receive bonus credits for the provision of housing units reserved for occupancy by very low-income households unless the 13 percent target has been exceeded within that municipality, and that the agency shall update the regulations adopted pursuant to section 21 of P.L.1985, c.222 (C.52:27D-321) to replace any requirements for very low-income housing inconsistent with the percentages and definitions established pursuant to P.L.2024, c.2 (C.52:27D-304.1 et al.) with the percentage and definition specified in this section.
##### **§ 52:27D-329.2** Authorization of municipality to impose, collect development fees. {#sec-52-27d-329.2 omnilex-key=us-nj-statutes--title-52--52:27D-329.2}
8. a. (1) A municipality that is in the process of seeking compliance certification, has obtained compliance certification, is a qualified urban aid municipality, as determined pursuant to paragraph (1) of subsection c. of section 7 of P.L.2024, c.2 (C.52:27D-304.3), or that has been so authorized by a court of competent jurisdiction, and which has adopted a municipal development fee ordinance shall be authorized to impose and collect development fees from developers of residential property, in accordance with rules promulgated by the department. Each amount collected shall be deposited and shall be accounted for separately, by payer and date of deposit.
(2) No later than 180 days following the enactment of P.L.2024, c.2 (C.52:27D-304.1 et al.), any municipality that is or has been authorized to impose and collect development fees from developers of residential property, or payments in lieu of constructing affordable housing, shall provide the Department of Community Affairs with a detailed accounting of all such fees that have been collected and expended since the inception of the municipal authorization to collect the fees.
(3) Beginning with the year after the enactment of P.L.2024, c.2 (C.52:27D-304.1 et al.), by February 15, every municipality that is or has been authorized to impose and collect development fees from developers of residential property, or payments in lieu of constructing affordable housing, shall provide the Department of Community Affairs with a detailed accounting of all such fees that have been collected and expended the previous year.
(4) A municipality may not spend or commit to spend any affordable housing development fees, including Statewide non-residential fees collected and deposited into the municipal affordable housing trust fund, without first obtaining the approval of the expenditure as part of its compliance certification or by the department. A municipality shall include in its housing element and fair share plan adopted pursuant to section 3 of P.L.2024, c.2 (C.52:27D-304.1) (pending before the Legislature as this bill) a spending plan for current funds in the municipal affordable housing trust fund and projected funds through the current round. Review of that spending plan for consistency with applicable law and the municipality's housing element and fair share plan shall be part of the process specified in section 3 of P.L.2024, c.2 (C.52:27D-304.1). The department shall promulgate updated regulations no later than nine months following the effective date of P.L.2024, c.2 (C.52:27D-304.1 et al.) regarding the establishment, administration, reporting, and enforcement of the expenditure of affordable housing development fees by municipalities, which shall include establishing an expedited process for approving spending plan expenditures for emergent opportunities to create affordable housing after a municipality has obtained compliance certification and procedures for monitoring the collection and expenditure of trust funds. The department shall develop and publish on the department's Internet website a detailed summary of the municipal affordable housing trust fund expenditures for each municipality and shall update each summary on an annual basis. As part of the regulations adopted pursuant to this section and section 10 of P.L.2008, c.46 (C.52:27D-329.4), the department shall adopt reporting requirements applicable to municipal affordable housing trust funds to facilitate fulfillment of the department's obligations pursuant to this section. Municipalities may continue to rely on regulations on development fees and spending plans previously adopted by the council until new rules and regulations are adopted by the department. The department shall have jurisdiction regarding the enforcement of these regulations, provided that any municipality which is not in compliance with the regulations adopted by the department may be subject to forfeiture of any or all funds remaining within its municipal trust fund. Any funds so forfeited shall be deposited into the "New Jersey Affordable Housing Trust Fund" established pursuant to section 20 of P.L.1985, c.222 (C.52:27D-320).
(5) The governing body of a municipality which is spending or committing to spend affordable housing development fees may provide, by ordinance , that the units of affordable housing being developed or preserved pursuant to a housing project or program being funded, in whole or in part, through affordable housing development fees shall be exempt from real property taxation if the housing sponsor enters into an agreement with the municipality for payments to the municipality in lieu of taxes for municipal services. Any such agreement may require the housing sponsor to pay to the municipality an amount up to 20 percent of the annual gross revenue from each housing project situated on such real property for each year of operation of the agreement following the substantial completion of the housing project. Any such agreement shall require the housing sponsor to pay the municipality an amount not less than the greater of four percent of the annual gross revenue or the amount of the taxes attributable to the land value component of the property comprising the project site for the year preceding the recording of the mortgage, if applicable. In the case of a property assessed under the "Farmland Assessment Act of 1964," P.L.1964, c.48 (C.54:4-23.1 et seq.), the minimum amount the housing sponsor shall be required to pay to the municipality shall be four percent of the annual gross revenue. For the purpose of this subsection, "annual gross revenue" means the total annual gross rental or carrying charge and other income of a housing sponsor from a housing project. If an agreement is entered into from the date of recording the mortgage on the housing project to the date of substantial completion of the housing project, the annual amount payable to the municipality as taxes or as payments in lieu of taxes in respect of the project site shall not be in excess of the amount of taxes on the project site for the year preceding the recording of the mortgage. Within 30 calendar days following: the effective date of an ordinance adopted by a municipal governing body approving a tax exemption under this subsection, or the execution of a financial agreement between a housing sponsor and a municipality entered into pursuant to this subsection, whichever is later, the municipal clerk shall electronically transmit a certified copy of the ordinance and the agreement to the Director of the Division of Local Government Services in such a manner as may be specified by the director. An exemption from taxation provided in accordance with this subsection shall not extend beyond the date on which an eligible loan made for the project is paid in full.
(6) Notwithstanding the provisions of any law or regulation to the contrary, the governing body of a municipality may agree to continue or grant a new tax exemption for a State, federally, or municipally subsidized housing project beyond the date on which an eligible loan made for the project is fully paid, or beyond the date upon which a tax exemption expires, for any period the project remains subject to affordability controls pursuant to:
(a) project-based federal rental assistance, authorized pursuant to section 8 of the United States Housing Act of 1937 (42 U.S.C. s.1437f), or other federal or State project-based assistance;
(b) the Uniform Housing Affordability Controls promulgated by the New Jersey Housing and Mortgage Finance Agency; or
(c) the rent and income limits established by the federal Low Income Housing Tax Credit program pursuant to section 42 of the Internal Revenue Code (26 U.S.C. s.42).
b. A municipality shall deposit all fees collected, whether or not such collections were derived from fees imposed upon non-residential or residential construction into a trust fund dedicated to those purposes as required under this section, and such additional purposes as may be approved by the department.
c. (1) A municipality, other than a qualified urban aid municipality, as determined pursuant to paragraph (1) of subsection c. of section 7 of P.L.2024, c.2 (C.52:27D-304.3) may only spend development fees for an activity approved by the department to address the municipal fair share obligation or approved as part of compliance certification.
(2) Municipal development trust funds shall not be expended unless the municipality has immunity from exclusionary zoning litigation at the time of the expenditure or said municipality has previously collected such funds while under the protection of presumptive validity or immunity from exclusionary zoning litigation and in accordance with an approved spending plan. However, municipal development trust funds may be expended by a municipality if the municipality is a qualified urban aid municipality, as determined pursuant to paragraph (1) of subsection c. of section 7 of P.L.2024, c.2 (C.52:27D-304.3), with a development fee ordinance and spending plan approved by the department or a court of competent jurisdiction, regardless of whether this approval occurs prior to or subsequent to the effective date of P.L.2024, c.2 (C.52:27D-304.1 et al.). Municipal development fee trust funds shall not be expended:
(a) to reimburse municipalities for activities which occurred prior to the authorization of a municipality to collect development fees; or
(b) (i) on administrative costs, attorney fees or court costs to obtain a judgment of repose; (ii) to contest a determination of the municipality's fair share obligation; or (iii) on costs of any challenger in connection to a challenge to the municipality's obligation, housing element, or fair share plan.
(3) A municipality shall set aside a portion of its development fee trust fund for the purpose of providing affordability assistance to low- and moderate-income households in affordable units included in a municipal fair share plan, in accordance with rules of the department.
(a) Affordability assistance programs may include down payment assistance, security deposit assistance, low-interest loans, common maintenance expenses for units located in condominiums, rental assistance, and any other program authorized by the department.
(b) Affordability assistance to households earning 30 percent or less of median income may include buying down the cost of low-income units in a municipal fair share plan to make them affordable to households earning 30 percent or less of median income. The use of development fees in this manner shall not entitle a municipality to bonus credits except as may otherwise be allowed by applicable precedent.
(4) A municipality may contract with a private or public entity to administer any part of its housing element and fair share plan, including the requirement for affordability assistance, or any program or activity for which the municipality expends development fee proceeds, in accordance with rules of the department.
(5) Not more than 20 percent of the revenues collected from development fees shall be expended on administration, in accordance with rules of the department. Such administration may include expending a portion of its affordable housing trust fund on actions and efforts reasonably related to the determination of its fair share obligation and the development of its housing element and fair share plan pursuant to paragraphs (1) and (2) of subsection f. of section 3 of P.L.2024, c.2 (C.52:27D-304.1) and for expenses that are reasonably necessary for compliance with the processes of the program, including, but not limited to, the costs to the municipality of resolving a challenge under the program.
d. The department shall establish a time by which all development fees collected within a calendar year shall be expended; provided, however, that all fees shall be committed for expenditure within four years from the date of collection. A municipality that fails to commit to expend the balance required in the development fee trust fund by the time set forth in this section shall be required by the council to transfer the remaining unspent balance at the end of the four-year period to the "New Jersey Affordable Housing Trust Fund," established pursuant to section 20 of P.L.1985, c.222 (C.52:27D-320), as amended by P.L.2008, c.46 (C.52:27D-329.1 et al.), to be used in the housing region of the transferring municipality for the authorized purposes of that fund.
e. Notwithstanding any provision of this section, or regulations of the department, a municipality shall not collect a development fee from a developer whenever that developer is providing for the construction of affordable units, either on-site or elsewhere within the municipality.
This section shall not apply to the collection of a Statewide development fee imposed upon non-residential development pursuant to sections 32 through 38 of P.L.2008, c.46 (C.40:55D-8.1 through 40:55D-8.7) by the State Treasurer, when such collection is not authorized to be retained by a municipality.
##### **§ 52:27D-329.4** Maintenance, publication of up-to-date municipal status report. {#sec-52-27d-329.4 omnilex-key=us-nj-statutes--title-52--52:27D-329.4}
10. a. The department shall maintain on its Internet website, and also publish on an annual basis, an up-to-date municipal status report based on its collection and publication of information concerning the number affordable of housing units actually constructed, construction starts, certificates of occupancy granted, the start and expiration dates of deed restrictions, and residential and non-residential development fees collected and expended, including purposes and amounts of such expenditures, along with the current balance in the municipality's affordable housing trust funds. With respect to units actually constructed, the information shall specify the characteristics of the housing, including housing type, tenure, affordability level, number of bedrooms, date and expiration of affordability controls, and whether occupancy is reserved for families, senior citizens, or other special populations.
b. (1) No later than 180 days following the enactment of P.L.2024, c.2 (C.52:27D-304.1 et al.), each municipality shall provide the department with the information necessary to comply with this section.
(2) Beginning with the year after the enactment of P.L.2024, c.2 (C.52:27D-304.1 et al.), by February 15, each municipality shall provide the department with the information necessary to comply with this section.
c. The department may adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations as may be necessary to effectuate the provisions of this section, including rules and regulations to ensure that municipalities and developers report any information as may be necessary for the department to fulfill its obligations pursuant to this section.
##### **§ 52:27D-329.5** Short title. {#sec-52-27d-329.5 omnilex-key=us-nj-statutes--title-52--52:27D-329.5}
11. Sections 11 through 14 of P.L.2008, c.46 (C.52:27D-329.5 through C.52:27D-329.8) shall be known and may be cited as the "Housing Rehabilitation and Assistance Program Act."
##### **§ 52:27D-329.6** Findings, declarations relative to housing rehabilitation and assistance. {#sec-52-27d-329.6 omnilex-key=us-nj-statutes--title-52--52:27D-329.6}
12. The Legislature finds and declares that:
a. The transfer of a portion of the fair share obligations among municipalities has proven to not be a viable method of ensuring that an adequate supply and variety of housing choices are provided in municipalities experiencing growth. Therefore, the use of a regional contribution agreement shall no longer be permitted under P.L.1985, c.222 (C.52:27D-301 et al.).
b. Although the elimination of the regional contribution agreement as a tool for the production of affordable housing pursuant to P.L.1985, c.222 (C.52:27D-301 et al.), will impact on some proposed agreements awaiting approval, it is for a public purpose and for the public good that such contracts be declared void for the current and future housing obligation rounds.
c. There is a need to assist municipalities in the rehabilitation of housing for occupancy by low and moderate income households. To this end, a specific program for housing rehabilitation by municipalities would best serve this need. It is the intent of the Legislature that this program, as well as funds earmarked for the purposes of the program, will be utilized, especially in urban areas which were the main recipients of regional contribution agreements, to continue to upgrade housing stock in order to provide a wide variety and choice of housing for persons living in those areas.
d. There is also a need to provide funding to municipalities to create additional incentives and assistance for the production of safe, decent, and affordable rental and other housing.
##### **§ 52:27D-329.7** Urban Housing Assistance Program, "Urban Housing Assistance Fund"; rules, regulations. {#sec-52-27d-329.7 omnilex-key=us-nj-statutes--title-52--52:27D-329.7}
13. a. There is established within the Department of Community Affairs an Urban Housing Assistance Program for the purposes of assisting certain municipalities in the provision of housing through the rehabilitation of existing buildings or the construction of affordable housing.
b. Within the program there shall be established a trust fund to be known as the "Urban Housing Assistance Fund," into which may be deposited:
(1) monies which may be available to the fund from any other programs established for the purposes of housing rehabilitation, other than monies from the "New Jersey Affordable Housing Trust Fund," established pursuant to section 20 of P.L.1985, c.222 (C.52:27D-320);
(2) monies appropriated by the Legislature to the fund; and
(3) any other funds made available through State or federal housing programs for the purposes of producing affordable housing, other than monies from the "New Jersey Affordable Housing Trust Fund," established pursuant to section 20 of P.L.1985, c.222 (C.52:27D-320).
c. The Commissioner of Community Affairs shall develop a strategic five-year plan for the program aimed at developing strategies to assist municipalities in creating rehabilitation programs and other programs to produce safe, decent housing within the municipality.
d. The commissioner may award a housing rehabilitation grant to a municipality that qualifies for aid pursuant to P.L.1978, c.14 (C.52:27D-178 et seq.) and that has submitted a valid application to the Department of Community Affairs which details the manner in which the municipality will utilize funding in order to meet the municipality's need to rehabilitate or create safe, decent, and affordable housing.
e. The commissioner shall promulgate rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of P.L.2008, c.46 (C.52:27D-329.1 et al.); provided that the regulations shall permit a municipality broad discretion in shaping its housing rehabilitation and construction program, but shall not permit a municipality to provide assistance to any household having an income greater than 120% of median household income for the housing region. The department may require a return of a grant upon its determination that a municipality is not performing in accordance with its grant or with the regulations.
##### **§ 52:27D-329.8** Annual appropriation. {#sec-52-27d-329.8 omnilex-key=us-nj-statutes--title-52--52:27D-329.8}
14. a. There shall be appropriated annually from the amounts collected by the State Treasurer from the imposition of Statewide non-residential development fees and retained by the State pursuant to P.L.2008, c.46 (C.52:27D-329.1 et al.), the sum of $20,000,000 for deposit into the "Urban Housing Assistance Fund," established pursuant to section 13 of P.L.2008, c.46 (C.52:27D-329.7), to be used for the purposes authorized under that section. Any surplus amounts remaining after crediting the "Urban Housing Assistance Fund," in the amount required under this section from the collection of Statewide non-residential development fees, shall be annually appropriated to the "New Jersey Affordable Housing Trust Fund," established pursuant to section 20 of P.L.1985, c.222 (C.52:27D-320).
b. In the event the full amount required to be transferred pursuant to subsection a. of this section is not transferred in any fiscal year, the Legislature shall subsequently appropriate in the same fiscal year from the General Fund an amount equal to the difference between the amount actually transferred and the amount required to be transferred pursuant to subsection a. of this section, so that the total funds made available to the "Urban Housing Assistance Fund" annually shall be equal to the amount established pursuant to subsection a. of this section.
##### **§ 52:27D-329.9** Developments, certain, in certain regional planning entities. {#sec-52-27d-329.9 omnilex-key=us-nj-statutes--title-52--52:27D-329.9}
18. a. Notwithstanding any rules to the contrary, for developments consisting of newly-constructed residential units located, or to be located, within the jurisdiction of any regional planning entity required to adopt a master plan or comprehensive management plan pursuant to statutory law, including the New Jersey Meadowlands Commission pursuant to subsection (i) of section 6 of P.L.1968, c.404 (C.13:17-6), the Pinelands Commission pursuant to section 7 of the "Pinelands Protection Act," P.L.1979, c.111 (C.13:18A-8), the Fort Monmouth Economic Revitalization Planning Authority pursuant to section 5 of P.L.2006, c.16 (C.52:27I-5), or its successor, and the Highlands Water Protection and Planning Council pursuant to section 11 of P.L.2004, c.120 (C.13:20-11), but excluding joint planning boards formed pursuant to section 64 of P.L.1975, c.291 (C.40:55D-77), there shall be required to be reserved for occupancy by low- or moderate-income households at least 20 percent of the residential units constructed with affordability controls as required pursuant to the rules and regulations of the agency.
b. Subject to the provisions of subsection d. of this section, a developer of a project consisting of newly-constructed residential units being financed in whole or in part with State funds, including, but not limited to, transit villages designated by the Department of Transportation and units constructed on State-owned property, shall be required to reserve at least 20 percent of the residential units constructed for occupancy by low- or moderate-income households, as those terms are defined in section 4 of P.L.1985, c.222 (C.52:27D-304), with affordability controls as required under the rules of the agency.
c. (Deleted by amendment, P.L.2024, c.2)
d. Notwithstanding the provisions of subsection b. of this section, or any other law or regulation to the contrary, for purposes of mixed-use projects or qualified residential projects in which a business receives a tax credit pursuant to P.L.2007, c.346 (C.34:1B-207 et seq.) or a tax credit pursuant to section 35 of P.L.2009, c.90 (C.34:1B-209.3), or both, an "eligible municipality," as defined in section 2 of P.L.2007, c.346 (C.34:1B-208), shall have the option of deciding the percentage of newly-constructed residential units within the project, up to 20 percent of the total, required to be reserved for occupancy by low- or moderate-income households. For a mixed-use project or a qualified residential project that has received preliminary or final site plan approval prior to the effective date of P.L.2011, c.89, the percentage shall be deemed to be the percentage, if any, of units required to be reserved for low- or moderate-income households in accordance with the terms and conditions of such approval.
##### **§ 52:27D-329.20** Multigenerational Family Housing Continuity Commission. {#sec-52-27d-329.20 omnilex-key=us-nj-statutes--title-52--52:27D-329.20}
1. a. The Multigenerational Family Housing Continuity Commission is created and established in the Executive Branch of the State Government. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the commission is allocated within the Department of Community Affairs, but notwithstanding this allocation, the commission shall be independent of any supervision or control by the department except as expressly authorized under P.L.2021, c.273 (C.52:27D-329.20 et al.). The commission shall consist of nine members as follows:
(1) The Commissioner of Community Affairs, and the Commissioner of Human Services, or their designees, each of whom shall be nonvoting, ex-officio members of the commission.
(2) Seven public members shall be appointed by the Governor with the advice and consent of the Senate.
b. The Governor shall designate a public member to preside over the commission until a chair and vice-chair are elected by the members of the commission. The commission shall hold an organizational meeting within 30 days of the appointment of a majority of its authorized membership.
c. (1) Each public member of the commission shall serve for a term of three years, except that of the initial members so appointed: two members shall serve for terms of one year; three members shall serve for terms of two years; and the remaining appointees shall serve for terms of three years. Public members shall be eligible for reappointment. They shall serve until their successors are appointed and qualified, and the term of the successor of any incumbent shall be calculated from the expiration of the term of that incumbent. A vacancy occurring other than by expiration of term shall be filled in the same manner as the original appointment, but for the unexpired term only.
(2) The members of the commission shall serve without compensation, but shall be entitled to reimbursement for all necessary expenses incurred in the performance of their duties. Each member of the commission may be removed from office by the Governor, for cause, upon notice and opportunity to be heard.
d. The commission shall elect annually a chair and vice-chair from among the public members of the commission, who shall serve for one year and until a successor is elected.
e. Four of the voting members of the commission shall constitute a quorum and a vote of the majority of the members present shall be necessary for any action taken by the commission.
f. The duties of the commission shall be as follows:
(1) To prepare and adopt recommendations on how State government, local government, community organizations, private entities, and community members may most effectively advance the goal of enabling senior citizens to reside at the homes of their extended families, thereby preserving and enhancing multigenerational family continuity, through the modification of State and local laws and policies in the areas of housing, land use planning, parking and streetscape planning, and other relevant areas.
(2) To hold such public hearings and other activities as may be desirable to ensure adequate public input into the preparation of recommendations, and increase public awareness of the strategies and activities contained in the recommendations.
g. The department shall provide such staff services as may be needed for the commission to carry out its responsibilities, including assembly of necessary information and statistics, and preparation of draft reports, analyses, and recommendations.
h. The commission shall report annually to the Governor and to each house of the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), its activities, as well as its findings and recommendations, if any, for State and local government.
i. As used in this section:
"Commission" means the Multigenerational Family Housing Continuity Commission.
"Department" means the Department of Community Affairs.
##### **§ 52:27D-330** Short title {#sec-52-27d-330 omnilex-key=us-nj-statutes--title-52--52:27D-330}
This act shall be known and may be cited as the "Continuing Care Retirement Community Regulation and Financial Disclosure Act."
##### **§ 52:27D-331** Findings, declarations. {#sec-52-27d-331 omnilex-key=us-nj-statutes--title-52--52:27D-331}
2. The Legislature finds and declares that: continuing care retirement communities are becoming an important and increasingly preferred alternative for the long-term residential, social and health care needs of New Jersey's senior citizens; because senior citizens often expend a significant portion of their savings in order to purchase care in the retirement community and thereby expect to receive care at the retirement community for the rest of their lives, tragic consequences can result to senior citizens when a continuing care provider becomes insolvent or unable to provide responsible care; and there is a need for full disclosure concerning the terms of agreements made between prospective residents and the continuing care providers and the operations of the providers; therefore, it is the policy of this State that providers of continuing care shall register with and be monitored by the State Department of Community Affairs.
##### **§ 52:27D-332** Definitions. {#sec-52-27d-332 omnilex-key=us-nj-statutes--title-52--52:27D-332}
3. As used in this act and P.L.2013, c.167 (C.52:27D-360.1 et al.), unless the context clearly requires a different meaning:
a. "Application fee" means the fee an individual is charged, in addition to an entrance fee or any other fee, to cover the provider's reasonable cost for processing the individual's application to become a resident at the facility. A reasonable application fee shall be established pursuant to regulations adopted by the department.
b. "Commissioner" means the Commissioner of Community Affairs.
c. "Continuing care" means the provision of lodging and nursing, medical, or other health related services at the same or another location to an individual pursuant to an agreement effective for the life of the individual or for a period greater than one year, including mutually terminable contracts, and in consideration of the payment of an entrance fee with or without other periodic charges. An individual who is provided continuing care is not related by consanguinity or affinity to the person who provides the care.
d. "Department" means the Department of Community Affairs.
e. "Entrance fee" means a transfer to a provider of a sum of money or other property made or promised to be made as full or partial consideration for acceptance of a specified person as a resident in a facility and includes a fee which is refundable upon the death or departure of the resident.
A fee which is less than the sum of the regular periodic charges for one year of residency is not considered an entrance fee for the purposes of this act. A transfer of a sum of money or other property, by or on behalf of a resident, to a trust account which is managed by the facility or an independent trustee for the benefit of the resident is not considered an entrance fee for the purposes of this act if the transfer is not a condition of admission or of continued stay, and the principal amount and any interest thereon are the exclusive and sole property of the resident or the individual acting on behalf of the resident.
f. "Facility" means the place or places in which a person undertakes to provide continuing care to an individual.
g. "Living unit" means a room, apartment, cottage, or other area within a facility set aside for the exclusive use or control of one or more persons.
h. "Operator or administrator" means a person who operates or manages a facility for the provider.
i. "Provider" means a person who undertakes to provide continuing care in a facility.
j. "Resident" means a person entitled to receive continuing care in a facility.
##### **§ 52:27D-333** Certificate of authority {#sec-52-27d-333 omnilex-key=us-nj-statutes--title-52--52:27D-333}
a. A person shall not establish, operate or administer a continuing care facility in this State without obtaining and maintaining a certificate of authority pursuant to this act. A certificate of authority granted pursuant to this act is not transferable.
b. A person shall file an application for a certificate of authority with the department on forms prescribed by the commissioner. The application shall include a disclosure statement prepared pursuant to section 7 of this act and other information as required by the commissioner.
c. Upon receipt of the application for a certificate of authority, the department shall, within 10 business days, issue a notice of filing to the applicant. Within 90 days of the notice of filing, the commissioner shall issue the certificate of authority or reject the application pursuant to subsection d. of this section.
d. If the commissioner determines that any of the requirements of this act has not been met, the commissioner shall notify the applicant in writing and specify those particulars which need to be corrected. The applicant has 30 days from the date of notification to correct the application as specified by the commissioner. If the requirements are not met within the time allowed, the commissioner may reject the application and notify the applicant in writing of the reason for the rejection. The rejection shall be effective 20 days after the foregoing 30 day period. During the 20 day period, the applicant may request reconsideration of the commissioner's action and is entitled to a hearing conducted pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.).
e. In the case of a provider who has offered continuing care agreements to existing or prospective residents in a facility established prior to the effective date of this act and which has one or more residents living there pursuant to agreements entered into prior to the effective date of this act, if the provider is unable to comply with section 10 of this act within the time required, the commissioner may, upon the written request of the provider, issue a temporary certificate of authority to the provider. The provider may then enter into continuing care agreements which are in compliance with all other applicable provisions of this act until the permanent certificate is issued. The temporary certificates shall be issued only to those existing providers who shall be able to comply with the provisions of section 10 of this act within a period of time determined by the commissioner but which does not exceed two years.
If a provider is not in compliance on or before the expiration date of the temporary certificate, the provider may request an extension from the commissioner. The commissioner may grant an extension of up to three years to a provider who shall be able to comply with section 10 of this act in that time period. f. If an existing provider is granted a permanent certificate of authority, the provider shall give a resident who entered into an agreement before the certificate of authority was granted, a copy of the initial disclosure statement and any amendments thereto.
g. If a facility is accredited by a process approved by the commissioner as equivalent to or more stringent than the requirements of this section, the facility is deemed to have met the requirements of this section and the commissioner shall issue a certificate of authority to the facility.
h. A person who establishes, operates or administers a continuing care facility in this State without obtaining or maintaining a certificate of authority pursuant to this act is guilty of a crime of the third degree.
##### **§ 52:27D-334** Revocation of certificates {#sec-52-27d-334 omnilex-key=us-nj-statutes--title-52--52:27D-334}
a. The certificate of authority or temporary certificate of authority of a provider shall remain in effect until revoked, after notice and hearing conducted pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.), upon the commissioner's written findings of fact that the provider has:
(1) Repeatedly failed to correct violations of this act or any regulation adopted hereunder;
(2) Failed to file an annual disclosure statement or resident agreement pursuant to this act;
(3) Failed to deliver to a prospective resident the disclosure statement required pursuant to this act;
(4) Delivered to a prospective resident a disclosure statement which makes an untrue statement or omits a material fact and the provider at the time of the delivery of the disclosure statement had actual knowledge of the misstatement or omission;
(5) Failed to comply with the terms of a cease and desist order; or
(6) Committed serious violations of any other State or federal law.
b. The commissioner shall include with the findings of fact in support of revocation a concise and explicit statement of the underlying facts supporting the findings.
c. If the commissioner has cause to believe that the provider is guilty of a violation for which revocation may be ordered, the commissioner may issue an order directing the provider or operator to cease and desist from engaging in any practice in violation of this act.
d. If the cease and desist order is not or may not be effective in remedying the violation, the commissioner, after notice and hearing conducted pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.), may revoke the certificate of authority or temporary certificate of authority and order that it be surrendered to the commissioner.
##### **§ 52:27D-335** Acquisition of ownership interest {#sec-52-27d-335 omnilex-key=us-nj-statutes--title-52--52:27D-335}
a. A person who desires to acquire an ownership interest in a continuing care facility shall so notify the department in writing at least 60 days in advance of the acquisition. The person shall obtain the approval of the commissioner for the acquisition prior to the completion of the sale or transfer of the facility's ownership interest.
b. For the purposes of this act, an acquisition of an ownership interest in a continuing care facility shall be deemed to take place if:
(1) The facility is a corporation and there is an acquisition by or a transfer of ownership to an individual, partnership or corporation through purchase, contract, donation, gift or stock option of 25% or more of the corporation's outstanding stock, either preferred or common, or there is acquisition of the physical assets of the facility by a newly formed or existing corporation;
(2) The facility is a partnership and there is an acquisition by or a transfer of ownership to an individual, partnership, or corporation of 10% or more of the existing partnership's total capital interest or there is acquisition of the physical assets of the facility by a newly formed or existing partnership; and
(3) The facility is individually owned and there is a purchase of the physical assets of the facility.
##### **§ 52:27D-336** Initial disclosure statement {#sec-52-27d-336 omnilex-key=us-nj-statutes--title-52--52:27D-336}
The provider shall provide a disclosure statement to a prospective resident of a continuing care facility or the person with whom the provider shall enter into a contract to provide continuing care, prior to the execution of the contract or at the time of or prior to the transfer of any money or other property to the provider by or on behalf of the prospective resident, whichever occurs first. The cover page of the disclosure statement shall state in a prominent location and type face, the date of the disclosure statement. The disclosure statement shall be written in plain English and in language understandable by a layperson.
The provider shall attach a copy of the standard form of contract for continuing care used by the provider as an exhibit to each disclosure statement.
The disclosure statement shall contain the following information unless the information is contained in the contract:
a. The name and business address of the provider and a statement of whether the provider is a partnership, corporation or other type of legal entity.
b. The names and business addresses of the officers, directors, trustees, managing or general partners and any person having a 10% or greater equity or beneficial interest in the provider and a description of that person's interest in or occupation with the provider.
c. With respect to the provider, any person named in response to subsection b. of this section and the proposed operator, if the facility is managed on a day-to-day basis by a person other than an individual directly employed by the provider:
(1) A description of the person's business experience, if any, in the operation or management of similar facilities;
(2) The name and address of any professional service firm, association, trust, partnership or corporation in which the person has a 10% or greater interest and which may provide goods, leases or services to the facility of a value of $500.00 or more, within any year;
(3) A description of the goods, leases or services provided pursuant to paragraph (2) of this subsection and the probable or anticipated cost thereof to the facility or provider;
(4) A description of any matter in which the person has been convicted of a felony or pleaded nolo contendere to a felony charge, or has been held liable or enjoined in a civil action which involved fraud, embezzlement, fraudulent conversion or misappropriation of property; and
(5) A description of any matter in which the person is subject to a currently effective injunctive or restrictive court order or, within the past five years, had a State or federal license or permit suspended or revoked as a result of an action brought by a governmental agency or department, which arose out of or related to business activity or health care, including actions affecting a license to operate a residential health care facility, nursing home, retirement home, home for the aged or facility registered under this act or a similar act in another state.
d. A statement whether the provider is or ever has been affiliated with a religious, charitable or other nonprofit organization, the nature of the affiliation, if any, the extent to which the affiliate organization is responsible for the financial and contractual obligations of the provider, and the provision of the federal Internal Revenue Code, if any, under which the provider or affiliate is exempt from the payment of income tax.
e. The location and description of the physical property of the facility, both existing and proposed, and with respect to proposed property, the estimated completion date, the date construction began or shall begin and the contingencies subject to which construction may be deferred.
f. The services provided or proposed to be provided under contracts for continuing care at the facility, including the extent to which medical care and other services are furnished under the basic contract and which other care or services are available at or by the facility at extra charge.
g. A description of all fees required of residents, including the application fee, entrance fee and periodic charges, if any, the manner by which the provider may adjust periodic charges or other recurring fees and the limitation on the adjustments, if any, and if the facility is already in operation or if the provider or operator operates one or more similar facilities within this State, tables showing the frequency and average dollar amount of each increase in periodic rates at each facility for the previous five years or as many years as the facility has been operated by the provider or operator, whichever is less.
h. The provisions that have been made or will be made, if any, to provide reserve funding or security which will enable the provider to fully perform its obligation under contracts to provide continuing care at the facility, including the establishment of escrow accounts, trusts or reserve funds, the manner in which the funds shall be invested and the names and experience of persons who will make the investment decisions.
i. Certified financial statements of the provider, which include balance sheets and income statements for the two most recently completed fiscal years or for as long as the provider has been in existence, whichever is less.
j. If operation of the facility has not yet commenced, a statement of the anticipated source and application of the funds used or to be used in the purchase or construction of the facility, including:
(1) An estimate of the cost of purchasing or construction and equipping the facility, which includes related costs such as financing expenses, legal expenses, land costs, marketing and development costs and other similar costs the provider expects to incur or become obligated for prior to the commencement of operations;
(2) A description of any mortgage loan or other long-term financing intended to be used for the financing of the facility and the anticipated terms and costs of the financing;
(3) An estimate of the total amount of entrance fees to be received from or on behalf of residents at or prior to commencement of operation of the facility;
(4) An estimate of the funds, if any, which are anticipated to be necessary to fund start-up losses and provide reserve funds to assure full performance of the obligations of the provider under contracts for the provision of continuing care;
(5) A projection of estimated income from fees and charges other than entrance fees, a description of individual rates anticipated to be charged, the assumptions used for calculating the estimated occupancy rate of the facility and the effect on the income of the facility of government subsidies, if any, for health care services provided pursuant to the contracts for continuing care;
(6) A projection of estimated operating expenses of the facility, including a description of the assumptions used in calculating the expenses and separate allowances, if any, the replacement of equipment and furnishings and any anticipated major structural repairs or additions;
(7) Identification of assets pledged as collateral for any purpose; and
(8) An estimate of annual payments of principal and interest required by any mortgage loan or other long-term financing.
k. Other material information concerning the facility or the provider as required by the department or as the provider wishes to include.
l. The provider shall designate and make knowledgeable personnel available to prospective residents to answer questions about any information contained in the disclosure statement or contract. The provider shall also advise prospective residents to seek the independent advice of an attorney and financial advisor of their choice concerning the disclosure statement or contract. The disclosure statement and the contract shall each state on the cover or top of the first page in bold print the following: "This matter involves a substantial financial investment and a legally binding contract. In evaluating the disclosure statement and the contract prior to any commitment, it is recommended that you consult with an attorney and financial advisor of your choice, if you so elect, who can review these documents with you."
##### **§ 52:27D-337** Annual disclosure statement {#sec-52-27d-337 omnilex-key=us-nj-statutes--title-52--52:27D-337}
a. The provider shall file an annual disclosure statement with the commissioner, which contains the information required for the initial disclosure statement pursuant to section 7 of this act. The annual disclosure statement also shall include a narrative describing any material differences between the pro forma income statement filed pursuant to this act either as part of the initial application for a certificate of authority or the most recent annual disclosure statement and the actual results of operations during the fiscal year. The statement also shall contain a revised pro forma income statement for the next fiscal year. The commissioner may request additional income statements if necessary.
The provider shall file the annual disclosure statement within six months following the end of the provider's fiscal year.
b. Prior to the provider's acceptance of part or all of any application or entrance fee or the execution of the continuing care agreement by the resident, whichever occurs first, the provider shall deliver the most current annual disclosure statement to the current or prospective resident and to any other person with whom the continuing care agreement is or may be entered into.
c. A provider shall amend its currently filed annual disclosure statement at any time if, in the opinion of the provider or the department, an amendment is necessary to prevent the disclosure statement from containing any material misstatement of fact or omission to state a material fact as required pursuant to this act. The provider shall file an amendment or amended disclosure statement with the commissioner before the provider provides it to a resident or prospective resident.
##### **§ 52:27D-338** False, misleading statements {#sec-52-27d-338 omnilex-key=us-nj-statutes--title-52--52:27D-338}
a. No provider or person acting on behalf of the provider shall make, publish, disseminate, circulate or place before the public, or cause, directly or indirectly, to be made, published, disseminated, circulated or placed before the public in a newspaper or other publication, or in the form of a notice, circular, pamphlet, letter or poster, or over any radio or television station, or in any other way, an advertisement, announcement or statement of any sort containing an assertion, representation or statement which is untrue, deceptive or misleading.
b. No provider or person acting on behalf of the provider shall file with the department or make, publish, disseminate, circulate or deliver to any person or place before the public, or cause, directly or indirectly, to be made, published, disseminated, circulated or delivered to any person, or placed before the public, any disclosure statement, financial statement or continuing care agreement that contains an assertion, representation, or statement which is untrue, deceptive or misleading.
c. A person who willfully and knowingly violates the provisions of this section is guilty of a crime of the third degree.
##### **§ 52:27D-339** Liquid reserves {#sec-52-27d-339 omnilex-key=us-nj-statutes--title-52--52:27D-339}
a. Each provider shall establish and maintain liquid reserves in an amount equal to or exceeding the greater of:
(1) The total of all principal and interest payments due during the next 12 months on account of any mortgage loan or other long-term financing of the facility; or
(2) 15% of the projected annual operating expenses of the facility, exclusive of depreciation.
b. A provider shall notify the commissioner in writing at least 10 days prior to reducing the amount of funds available to satisfy the applicable liquid reserve requirement. A provider may not expend more than %p1/12%p of the required balance each calendar month.
c. In a facility where some residents are not under continuing care agreements, the reserve shall be computed only on the proportional share of financing or operating expenses that is applicable to residents under continuing care agreements at the end of the provider's most recent fiscal year.
d. A provider may use funds in an endowment fund or escrow account, including an escrow account established by or pursuant to a mortgage loan, bond indenture or other long-term financing, to satisfy the reserve requirements of this section, if the funds are available to make payments when operating funds are insufficient for these purposes.
##### **§ 52:27D-340** Escrow account {#sec-52-27d-340 omnilex-key=us-nj-statutes--title-52--52:27D-340}
a. The commissioner may require a provider to establish and maintain in escrow, on a current basis with a bank, trust company or other escrow agent approved by the department, a portion of all entrance fees received by the provider in an aggregate amount not to exceed the total of all principal and interest payments due during the next 12 months on account of any first mortgage loan or other long-term financing of the facility. The provider may invest the funds in the escrow account, with the earnings thereon payable to the provider. If the provider so requests in writing, the escrow agent shall release up to 1/12 of the original principal balance of the escrow account. The escrow agent shall not so release funds more than once during any calendar month, and then only after the escrow agent has given written notice to the commissioner at least 10 days prior to the release. The amount of this escrow fund shall be included in satisfying the reserves required pursuant to section 10 of this act.
b. This section is applicable only when the commissioner has cause to believe that additional protection is necessary to secure the provider's performance of the terms of all resident agreements.
##### **§ 52:27D-341** Filing of lien {#sec-52-27d-341 omnilex-key=us-nj-statutes--title-52--52:27D-341}
Prior to the issuance of a certificate of authority pursuant to this act, or at any other time the commissioner determines it is in the best interest of residents of a facility, the commissioner may file a lien on the real and personal property of the provider or facility to secure the obligations of the provider pursuant to existing and future contracts for continuing care. A lien filed under this section is effective for a period of 10 days following its filing and may be extended by the commissioner, if the commissioner finds that the extension is advisable for the protection of residents of the facility.
The commissioner may foreclose on the lien upon the liquidation of the facility or the insolvency or bankruptcy of the provider. In this event, the commissioner shall use the proceeds thereof for full or partial satisfaction of obligations of the provider pursuant to contracts for continuing care in effect at that time.
The lien provided for in this section is subordinate to the lien of any first mortgage on the real property of the facility, and if the commissioner determines and so states in writing that it is advisable for the efficient operation of the facility, the lien may be subordinated to the claims of other persons.
##### **§ 52:27D-342** Release from escrow {#sec-52-27d-342 omnilex-key=us-nj-statutes--title-52--52:27D-342}
The commissioner shall require a provider to establish an interest bearing escrow account with a bank, trust company or other escrow agent approved by the commissioner, as a condition of issuing a certificate of authority. The provider shall place in the escrow account any entrance fees or payments in excess of 5% of the then existing entrance fee for the living unit that are received by the provider prior to the date the resident is permitted to occupy the living unit in the facility. The fees or payments are subject to release from the escrow account in the following manner:
a. If the entrance fee gives the resident the right to occupy a living unit which has been previously occupied, the entrance fee and any interest earned thereon shall be released to the provider when the living unit becomes available for occupancy by the new resident.
b. If the entrance fee applies to a living unit which has not been previously occupied, the entrance fee and any interest earned thereon shall be released to the provider when the commissioner is satisfied that:
(1) Aggregate entrance fees received or receivable by the provider pursuant to executed continuing care agreements equal at least 50% of the sum of the entrance fees due at full occupancy of the portion of the facility under construction, except that entrance fees receivable pursuant to an agreement shall be counted only if the facility has received a deposit of 35% or more of the entrance fee due from the individual signing the contract;
(2) The aggregate entrance fees received or receivable pursuant to the preceding paragraph plus anticipated proceeds of any first mortgage loan or other long-term financing commitment and funds from other sources in the actual possession of the provider are equal to at least 50% of the aggregate cost of constructing or purchasing, equipping and furnishing the facility plus at least 50% of the funds necessary to fund start-up losses as estimated by the provider in the statement of anticipated source and application of funds submitted pursuant to subsection j. of section 7 of this act; and
(3) The provider has received a preliminary commitment for any permanent mortgage loan or other long-term financing described pursuant to subsection j. of section 7 of this act and any conditions of the commitment prior to disbursement of funds thereunder, other than completion of the construction or closing of the purchase of the facility, are substantially satisfied.
c. If the funds in the escrow account established pursuant to this section and any interest earned thereon are not released within 36 months, or a greater time if so specified by the provider with the consent of the commissioner, the escrow agent shall return the funds to the individuals who made payments to the provider.
d. Nothing in this section shall require the provider to place any nonrefundable application fees charged to prospective residents in escrow.
e. In lieu of any escrow required pursuant to this section, a provider is entitled to post a letter of credit from a financial institution, negotiable securities or a bond by a surety authorized to do business in this State, in a form approved by the commissioner and in an amount not to exceed the amount required by paragraph (1) of subsection b. of this section. The provider shall execute the letter of credit, negotiable securities or bond in favor of the commissioner on behalf of individuals who are entitled to a refund of entrance fees from the provider.
f. A provider may apply to the commissioner for a waiver of the applicable escrow requirements of this section when a provider constructs additional living units in an amount that does not exceed 10% of the facility's existing living units for continuing care residents.
The provider shall apply for the waiver in writing to the commissioner. The commissioner may grant the waiver, which may be effective for a period of one year or longer, at the discretion of the commissioner, if the construction of additional units meets the requirements of this subsection.
g. Upon receipt of a notice from the provider that an individual is entitled to a refund of an entrance fee, the escrow agent shall return the funds held in the escrow account to the individuaL.
##### **§ 52:27D-343** Collateral {#sec-52-27d-343 omnilex-key=us-nj-statutes--title-52--52:27D-343}
A provider shall pledge only the unencumbered assets of a continuing care facility as collateral for the purpose of securing loans for other continuing care facilities, whether proposed or existing.
##### **§ 52:27D-344** Continuing care agreement {#sec-52-27d-344 omnilex-key=us-nj-statutes--title-52--52:27D-344}
a. A continuing care agreement executed on or after the effective date of this act shall be written in plain English and in language understandable by a layperson and shall include, but not be limited to, the following:
(1) A provision for the continuing care of one resident, or two or more residents occupying space designed for multiple occupancy under appropriate procedures established by the provider, and a statement showing the value of all property transferred, including donations, subscriptions, fees and any other amounts payable by, or on behalf of, the resident;
(2) A statement on a form provided by the commissioner specifying all services which are to be provided to the resident by the provider, including, in detail, all items which the resident will receive, such as food, shelter, nursing care, pharmaceuticals and burial, and whether the items will be provided for a designated period of time or for life;
(3) A description of the health and financial conditions upon which the provider may have the resident relinquish his space in the designated facility;
(4) A description of the health and financial conditions required for a person to continue as a resident;
(5) A description of the circumstances under which the resident shall be permitted to remain in the facility in the event of financial difficulties of the resident. The stated policy may not be less than the terms stated in subsection e. of this section;
(6) A statement of the fees that will be charged if the resident marries a person who is not a resident of the facility, the terms concerning the entry of a spouse into the facility and the consequences if the spouse does not meet the requirements for entry;
(7) A statement providing that the agreement may be canceled upon giving at least 60 days' notice by the provider or the resident, except that if an agreement is canceled by the provider because there has been a good faith determination in writing, signed by the medical director and the administrator of the facility, that a resident is a danger to himself or others, only notice that is reasonable under the circumstances is required;
(8) A statement providing in clear and understandable language, in print no smaller than the largest type used in the body of the agreement, the terms governing the refund of any portion of the entrance fee;
(9) A statement of the terms under which an agreement is canceled by the death of the resident, which statement may contain a provision stating that upon the death of the resident the moneys paid for the continuing care of the resident shall be considered earned and become the property of the provider; and
(10) A statement providing for at least 30 days' advance notice to the resident before any change in fees or changes in the scope of care or services are effective, except for changes required by State or federal assistance programs. b. A resident has the right to rescind a continuing care agreement without penalty or forfeiture, except those costs specifically incurred by the facility at the request of the resident and set forth in writing in a separate addendum signed by both parties to the agreement, within 30 days after making an initial deposit or executing the agreement. A resident shall not be required to move into the facility designated in the agreement before the expiration of the 30 day period.
c. If a resident dies before the occupancy date, or through illness, injury or incapacity is precluded from becoming a resident under the terms of the continuing care agreement, the agreement shall be automatically rescinded and the resident or the resident's legal representative shall receive a full refund of all moneys paid to the facility, except those costs specifically incurred by the facility at the request of the resident and set forth in writing in a separate addendum signed by both parties to the agreement.
d. No agreement for care shall permit dismissal or discharge of the resident from the facility prior to the expiration of the agreement without just cause for the removaL. For the purposes of this act, "just cause" means but is not limited to a good faith determination in writing, signed by the medical director and the administrator of the facility, that a resident is a danger to himself or others while remaining in the facility. The written determination shall state: (1) that the determination is made in good faith; (2) the reasons supporting the determination that the resident is a danger to himself or others; (3) the basis for the conclusion that there is no less restrictive alternative to dismissal, discharge or cancellation, as the case may be, for abating the dangerousness of the resident; and (4) the basis for the conclusion that the danger is such that a notice period of less than 60 days is appropriate.
If a facility dismisses a resident for just cause, the resident shall be entitled to a refund of his unearned entrance fee, if any, in the same manner as provided in subsection e. of this section. A resident may request a hearing to contest a facility's decision to dismiss or discharge the resident. The hearing shall be held pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.).
e. It shall not be deemed just cause if the resident is unable to pay monthly maintenance fees until the entire unearned entrance fee plus, where applicable, any third-party insurance benefits received, are earned by the facility. For the purpose of this subsection, the unearned portion shall be the difference between the entrance fee paid by, or on behalf of, the resident and the cost of caring for the resident based upon the per capita cost to the facility. In lieu of calculating the actual per capita cost of caring for a resident, a facility may provide, in the agreement for continuing care, that the per capita cost of caring for the resident shall be calculated as follows:
(1) No more than 2% of the entrance fee for each month the resident occupies, or is entitled to occupy, a bed in the residential unit of the facility;
(2) No more than 4% of the entrance fee for each month the resident occupies, or is entitled to occupy, a bed in the nursing unit of the facility; and (3) No more than 10% of the entrance fee as a one-time charge for processing and refurbishment.
If these entrance fees are exhausted within 90 days of the date of failure to pay, the facility may not require the resident to leave before 90 days from the date of failure to pay, during which time the resident shall continue to pay the facility a reduced fee based upon the resident's current income.
f. No act, agreement or statement of a resident or of an individual purchasing care for a resident under any agreement to furnish care to the resident shall constitute a valid waiver of any provision of this act intended for the benefit or protection of the resident or the individual purchasing care for the resident.
g. An agreement entered into prior to the effective date of this act or prior to the issuance of a certificate of authority to the provider is valid and binding upon both parties in accordance with the terms of the agreement.
h. The provider shall designate and make knowledgeable personnel available to prospective residents to answer questions about any information contained in the agreement for continuing care. The provider shall also advise prospective residents to seek the independent advice of an attorney or financial advisor of their choice concerning the agreement. The agreement shall state on the cover or top of the first page in bold print the following: "This matter involves a substantial financial investment and a legally binding contract. In evaluating the disclosure statement and the contract prior to any commitment, it is recommended that you consult with an attorney and financial advisor of your choice, if you so elect, who can review these documents with you."
##### **§ 52:27D-345** Residents' organizations; quarterly meeting. {#sec-52-27d-345 omnilex-key=us-nj-statutes--title-52--52:27D-345}
16. a. Residents living in a facility which holds a certificate of authority issued pursuant to this act have the right of self-organization. No retaliatory conduct shall be permitted against a resident for organization or membership or participation in a residents' organization; for the resident's lawful efforts to secure or enforce his rights under the continuing care agreement, the laws of the State of New Jersey or its governmental subdivisions, or of the United States; or for the resident's good faith complaint to a governmental authority of the provider's alleged violation of any health or safety law, regulation, code or ordinance or State law or regulation which has as its objective the regulation of the facility or the delivery of health care services.
b. The board of directors or other governing body, or a designated representative who is not the chief executive officer or other staff member, of a continuing care facility shall hold quarterly meetings with the residents or their elected representatives of the facility, for the purpose of free discussion of subjects which may include income, expenditures and financial matters as they apply to the facility and proposed changes in policies, programs and services. Any questions on these subjects may be raised at each quarterly meeting, except for confidential personnel matters, and shall be answered or explained promptly when possible, or within a reasonable period of time. Residents shall be given at least seven days' notice of each quarterly meeting.
c. The provider shall designate and make knowledgeable personnel available to address resident complaints about the operation and management of the facility.
d. The board of directors or other governing body of a facility shall consult and discuss with the representatives of the residents any proposed action that might significantly affect the well-being of the residents or the financial stability of the facility, before taking the proposed action.
e. The board of directors or other governing body of a facility shall include at least one resident as a full voting member of the board or body. Resident members shall be nominated by the elected representatives of the residents and selected by the board of directors or other governing body. If the board of directors or other governing body governs more than one facility, the occupancy of each seat on that body that is reserved for a resident member shall rotate among the facilities governed by that body on a term-by-term basis.
##### **§ 52:27D-346** Bankruptcy proceedings {#sec-52-27d-346 omnilex-key=us-nj-statutes--title-52--52:27D-346}
a. The commissioner may apply to a court of competent jurisdiction or to the federal bankruptcy court, if that court had previously taken jurisdiction over the provider or facility, for an order authorizing the commissioner to appoint a trustee to rehabilitate or to liquidate the facility if, after notice and hearing pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.), the commissioner determines that:
(1) A portion of a provider's reserve fund escrow as required pursuant to this act has been or is proposed to be released;
(2) A provider is or will be unable to meet the pro forma income or cash flow projections filed pursuant to section 7 of this act, except in a manner that may endanger the ability of the provider to fully meet its continuing care contract obligations;
(3) A provider has failed to maintain the reserves required under this act; or
(4) A provider is bankrupt or insolvent, or in imminent danger of becoming bankrupt or insolvent.
b. An order to rehabilitate a facility shall direct the commissioner or trustee to take possession of the property of the provider and to conduct the business thereof, including the employment of managers or agents that the commissioner or trustee deems necessary and to take those steps the court directs toward removal of the causes and conditions which have made rehabilitation necessary.
c. If the court finds, upon petition of the commissioner, trustee or provider, or on its own motion, that the objectives of an order to rehabilitate a facility have been accomplished and that the facility may be returned to the provider's management without further jeopardy to the residents, creditors and owners of the facility, and to the public, the court may, upon a full report and accounting of the conduct of the facility's affairs during the rehabilitation and the facility's current financial condition, terminate the rehabilitation and order return of the facility and its assets and affairs to the provider's management.
d. If the commissioner determines that further efforts to rehabilitate the provider would be useless, the commissioner may apply to the court for an order of liquidation.
e. The court may issue an order of liquidation upon application to the commissioner, whether or not a prior order to rehabilitate the facility had been issued. The order shall act as a revocation of the certificate of authority issued to the facility pursuant to this act. The order shall direct the commissioner or a trustee to marshal and liquidate all of the provider's assets located within the State.
f. In applying for an order to rehabilitate or liquidate a facility, the commissioner shall give due consideration in the application to the manner in which the welfare of persons who have previously contracted with the provider for continuing care may be best served.
In furtherance of this objective, the proceeds of any lien obtained by the commissioner pursuant to this act may be:
(1) Used in full or partial payment of entrance fees;
(2) Used on behalf of residents of a facility that is being liquidated; or
(3) Paid, on behalf of those persons, to other facilities operated by providers who hold a certificate of authority issued pursuant to this act.
g. The court shall refuse or vacate an order for rehabilitation if the provider posts a bond by a surety authorized to do business in this State and executed in favor of the commissioner on behalf of persons who may be found entitled to a refund of entrance fees from the provider or other damages in the event the provider is unable to fulfill the terms of its contracts to provide continuing care at the facility. The amount of the bond shall be equal to the reserve funding which would otherwise need to be available to fulfill the provider's obligations, as determined by the court.
h. The commissioner or his designee shall attempt to keep residents of the community informed about his actions to rehabilitate or liquidate the facility and, when appropriate, the commissioner or his designee shall meet with residents of the facility.
##### **§ 52:27D-347** Liability for damages {#sec-52-27d-347 omnilex-key=us-nj-statutes--title-52--52:27D-347}
a. A provider or person acting on behalf of the provider is liable to the person who contracts for the continuing care for damages, including repayment of all fees paid to the provider, facility or person who violates this act plus interest thereon at the legal rate, court costs and reasonable attorney's fees, if the provider or person acting on behalf of the provider:
(1) Enters into a contract for continuing care at a facility which does not have a certificate of authority issued pursuant to this act;
(2) Enters into a contract for continuing care at a facility without having first delivered a disclosure statement to a person contracting for continuing care pursuant to this act; or
(3) Enters into a contract for continuing care at a facility with a person who has relied on a disclosure statement which omits a material fact required to be stated therein pursuant to this act.
The reasonable value of care and lodging provided to the resident by or on whose behalf the contract for continuing care was entered into prior to discovery of the violation, misstatement or omission or the time the violation, misstatement or omission should reasonably have been discovered shall be deducted from the amount of repayment due the person.
b. A provider is liable under this section whether or not the provider has actual knowledge of the violation, misstatement or omission. A person acting on behalf of the provider is liable under this section only if the person has actual knowledge of the violation, misstatement or omission.
c. A person may not file or maintain an action under this section if before filing the action, the person received an offer to refund all amounts paid to the provider, facility or person violating this act plus interest from the date of payment, less the reasonable value of care and lodging provided prior to receipt of the offer, and the person failed to accept the offer within 30 days of its receipt. At the time a provider makes a written offer of rescission, the provider shall file a copy with the commissioner and obtain the approval of the commissioner for the offer. The offer shall be written in clear and understandable language and shall explain the limitation on court action provided pursuant to this subsection. Subject to the provisions of this subsection, nothing in this act shall prohibit any person from seeking injunctive or other relief from the provider in a court of law or equity in this State. d. A person shall not institute an action to enforce a liability created under this act more than six years after the violation is discovered or could have been discovered in the exercise of due diligence.
e. Except as expressly provided in this act, civil liability in favor of a private party shall not arise against a person by implication from or as a result of the violation of this act or an order issued pursuant to this act. This act shall not limit a liability which may exist by virtue of any other law if this act were not in effect.
##### **§ 52:27D-348** Investigatory powers {#sec-52-27d-348 omnilex-key=us-nj-statutes--title-52--52:27D-348}
a. The commissioner or his designee may, as often as he reasonably deems necessary, conduct an investigation to determine whether any person has violated or is about to violate any provision of this act or to aid in the enforcement of this act or in the prescribing of rules and forms hereunder.
b. For the purpose of any investigation or proceeding under this act, the commissioner or his designee may administer oaths and affirmations, subpena witnesses, compel their attendance, take evidence and require the production of any books, papers, correspondence, memoranda, agreements or other documents or records which the commissioner deems relevant or material to the inquiry.
##### **§ 52:27D-349** Examination of records {#sec-52-27d-349 omnilex-key=us-nj-statutes--title-52--52:27D-349}
The commissioner or his designee shall visit each facility offering continuing care in this State to examine its books and records at least once every four years.
##### **§ 52:27D-350** Consumers' guide; residents' rights booklet {#sec-52-27d-350 omnilex-key=us-nj-statutes--title-52--52:27D-350}
a. The commissioner shall prepare and cause to be distributed to the public a consumers' guide to continuing care facilities and an annual directory of continuing care facilities in the State.
b. The commissioner shall prepare and cause to be distributed to the public a residents' rights booklet that describes the rights of residents and obligations of providers under this act.
##### **§ 52:27D-351** Violations, enforcement; penalties. {#sec-52-27d-351 omnilex-key=us-nj-statutes--title-52--52:27D-351}
22. a. If the commissioner determines or has cause to believe that a person has engaged in any act or practice which constitutes a violation of P.L.1986, c.103 (C.52:27D-330 et seq.) or P.L.2013, c.167 (C.52:27D-360.1 et al.), the commissioner may take any or all of the following actions, as appropriate:
(1) Issue a temporary cease and desist order upon the determination by the commissioner in writing, and based upon a finding of fact that the public interest will be irreparably harmed by delay in issuing an order, including therein a provision that, upon written request made within five business days following issuance of the order, a hearing will be held within 10 days of that request to determine whether or not the temporary cease and desist order shall become permanent. A copy of any temporary or permanent cease and desist order shall be sent to the person by certified mail;
(2) Bring an action in the Superior Court to enjoin the act or practice and to enforce compliance with P.L.1986, c.103 (C.52:27D-330 et seq.) and P.L.2013, c.167 (C.52:27D-360.1 et al.) if it appears that a person has engaged or is about to engage in an act or practice constituting a violation of a provision of P.L.1986, c.103 (C.52:27D-330 et seq.) or P.L.2013, c.167 (C.52:27D-360.1 et al.), or a rule or order of the department. Upon a proper showing, the court may grant a permanent or temporary injunction, restraining order, or writ of mandamus and may appoint a receiver or conservator for the defendant or the defendant's assets. The commissioner shall not be required to post a bond; or
(3) Levy and collect civil penalties in the amount of not less than $250, and not more than $50,000, for each violation of P.L.1986, c.103 (C.52:27D-330 et seq.) or P.L.2013, c.167 (C.52:27D-360.1 et al.), or any rule adopted pursuant thereto or order issued thereunder, and compromise and settle any claim for a penalty in such amount in the discretion of the commissioner as may appear appropriate and equitable under the circumstances of the violation. Each day during which a violation continues after the effective date of a notice to terminate issued by the commissioner shall constitute an additional, separate, and distinct violation. If an administrative order levying a civil penalty is not satisfied within 30 days of its issuance, the commissioner may sue for and recover the penalty with costs in a summary proceeding under the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.) in the Superior Court.
(a) Except as set forth in subparagraph (b) of this paragraph, the initial penalty levied for any violation shall not exceed $250 per violation, or $250 per unit in the case of any violation of department rules for facility certification, and a subsequent penalty for the same act or omission shall not exceed 10 times the amount of the last previous penalty or the statutory maximum, whichever is less.
(b) The limitations set forth in subparagraph (a) of this paragraph shall not apply to any violation involving either dishonesty in dealings with residents or prospective residents, or willful disregard of the rights of residents.
b. For the purposes of actions that the commissioner may take under subsection a. of this section, the following shall have the same effect as a violation of P.L.1986, c.103 (C.52:27D-330 et seq.) or sections 1 through 7 of P.L.2013, c.167 (C.52:27D-360.1 et seq.):
(1) Directly, or through an agent or employee, knowingly engaging in false, deceptive, or misleading advertising, promotional, or sales methods to offer or dispose of a unit;
(2) Making any material change in the plan of disposition of the continuing care retirement community subsequent to the certificate of authority without obtaining prior approval from the department;
(3) Disposing of any unit, which is capable of being certified, or interest in a continuing care retirement community which has not been certified with the department; and
(4) Violating any lawful order or rule of the department.
c. The commissioner shall promulgate regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), regarding the implementation of this section.
##### **§ 52:27D-352** Criminal violations {#sec-52-27d-352 omnilex-key=us-nj-statutes--title-52--52:27D-352}
a. The commissioner may refer any available evidence concerning criminal violations of this act to the Attorney General or the appropriate county prosecutor.
b. The Attorney General or a county prosecutor may institute appropriate criminal proceedings either in response to a referral from the commissioner or on their own initiative.
c. Nothing in this act limits the power of the State to punish any person for any conduct which constitutes a crime under any other law.
##### **§ 52:27D-353** Fees {#sec-52-27d-353 omnilex-key=us-nj-statutes--title-52--52:27D-353}
The commissioner shall determine reasonable fees for filing an application for a certificate of authority and other required documents pursuant to this act. The commissioner also may assess a provider for reasonable expenses incurred by the department in the investigation or rehabilitation of a provider or facility pursuant to this act.
##### **§ 52:27D-354** One year to comply {#sec-52-27d-354 omnilex-key=us-nj-statutes--title-52--52:27D-354}
A provider who is offering but not providing continuing care on the effective date of this act may be given a reasonable time, not to exceed one year from the date of promulgation of applicable regulations, within which to comply with the requirements of this act and obtain a certificate of authority.
##### **§ 52:27D-355** Exclusion {#sec-52-27d-355 omnilex-key=us-nj-statutes--title-52--52:27D-355}
A facility which has not entered into any agreements for continuing care pursuant to this act since 1965 is not subject to the provisions of this act; but this exclusion shall not apply if that facility enters into one or more agreements for continuing care on or after the effective date of this act.
##### **§ 52:27D-356** Fewer than 50 residents {#sec-52-27d-356 omnilex-key=us-nj-statutes--title-52--52:27D-356}
A facility which has less than 50 residents who are under continuing care agreements on the date of enactment of this act is not subject to the provisions of this act, but this exclusion shall not apply if that facility increases the number of its residents under continuing care agreements to 50 or more, after the date of enactment of this act.
##### **§ 52:27D-357** Continuing Care Advisory Council. {#sec-52-27d-357 omnilex-key=us-nj-statutes--title-52--52:27D-357}
28. a. There is created a Continuing Care Advisory Council which consists of 13 members as follows: the Commissioners of Human Services, Health, and Banking and Insurance, or their designees, who shall serve ex officio and shall be non-voting members; 10 public members appointed by the Governor, with the advice and consent of the Senate, who are residents of the State and two of whom are administrators of continuing care facilities in this State, one of whom is a representative of the business community and knowledgeable in the area of management, one of whom is a certified public accountant, one of whom is an attorney licensed to practice in this State, three of whom are residents of continuing care retirement communities in this State who are recommended by the Organization of Residents Associations of New Jersey, one of whom is a trustee or director of a continuing care retirement community in this State and one of whom is a representative of the New Jersey Association of Non-Profit Homes for the Aging.
b. The term of office for each public member is three years, or until the member's successor has been appointed; except that of the public members first appointed, two shall be appointed for a term of one year, two for a term of two years and three for a term of three years.
A vacancy in the membership of the council shall be filled in the same manner as the original appointment, but for the unexpired term. A member of the council is eligible for reappointment.
The members of the council shall serve without compensation, but the council shall reimburse the members for the reasonable expenses incurred in the performance of their duties.
c. The council shall hold an organizational meeting within 30 days after the appointment of its members. The members of the council shall elect from among them a chairperson, who shall be the chief executive officer of the council, and the members shall elect a secretary, who need not be a member of the council.
d. The council shall meet at least four times a year but may meet more frequently at the discretion of the chairperson or the commissioner.
e. The council may call to its assistance and avail itself of the services and assistance of any officials and employees of the Department of Community Affairs or other State agency and political subdivisions and their departments, boards, bureaus, commissions, and agencies as it requires and as is available to it for this purpose and may expend any funds that are appropriated or otherwise made available to it pursuant to this act.
f. The council shall:
(1) Advise and provide information to the commissioner on matters pertaining to the operation and regulation of continuing care retirement facilities, upon request of the commissioner;
(2) Review and comment upon, as appropriate, any proposed rules and regulations and legislation pertaining to continuing care retirement facilities;
(3) Make recommendations to the commissioner about any needed changes in rules and regulations and State and federal laws pertaining to continuing care retirement facilities; and
(4) Assist in the rehabilitation of a continuing care retirement facility, upon request of the commissioner.
g. The commissioner shall report annually to the Governor and the Legislature, the commissioner's and the council's findings and recommendations concerning continuing care retirement communities and the implementation of this act.
##### **§ 52:27D-358** Rules, regulations {#sec-52-27d-358 omnilex-key=us-nj-statutes--title-52--52:27D-358}
The commissioner shall adopt rules and regulations necessary to carry out the provisions of this act, pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.). The commissioner shall adopt the regulations within six months of the effective date of this act.
##### **§ 52:27D-359** Health Department authority {#sec-52-27d-359 omnilex-key=us-nj-statutes--title-52--52:27D-359}
Nothing in this act shall be construed to limit the licensing and regulatory authority of the Department of Health, pursuant to P.L. 1971, c. 136 (C. 26:2H-1 et seq.), concerning health care services provided by a facility subject to this act.
##### **§ 52:27D-360** Community Affairs authority {#sec-52-27d-360 omnilex-key=us-nj-statutes--title-52--52:27D-360}
Nothing in this act shall be construed to limit the authority of the Department of Community Affairs to enforce any otherwise applicable statute, code, or regulation in a facility subject to this act.
##### **§ 52:27D-360.1** Short title. {#sec-52-27d-360.1 omnilex-key=us-nj-statutes--title-52--52:27D-360.1}
1. Sections 1 through 7 of this act shall be known and may be cited as the "Bill of Rights for Continuing Care Retirement Community Residents in Independent Living."
##### **§ 52:27D-360.2** Receipt of disclosure statement, explanation by prospective resident. {#sec-52-27d-360.2 omnilex-key=us-nj-statutes--title-52--52:27D-360.2}
2. a. Each prospective resident is entitled to receive a copy of a disclosure statement from the facility, as well as an explanation written in clear and plain language of the rights and responsibilities of a resident, prior to the execution of a continuing care agreement. The prospective resident shall have up to 30 days to review the copy of the disclosure statement and the written explanation prior to executing the continuing care agreement.
b. Within 30 days after signing a continuing care agreement, the resident may cancel the agreement and receive a full refund, except for the application fee.
c. A resident may wait to occupy a unit until the end of the 30-day rescission period.
d. Each resident shall receive a copy of the rules and regulations regarding the resident's responsibilities and conduct acceptable to the facility.
##### **§ 52:27D-360.3** Rights of residents of community. {#sec-52-27d-360.3 omnilex-key=us-nj-statutes--title-52--52:27D-360.3}
3. a. Unless a resident has violated the continuing care agreement or facility rules, or the facility has cancelled the agreement with sufficient notice and cause, or if the facility for sound business reasons decides to raze or to otherwise cease operating the structure, or the part of it, in which the resident's unit is located, a resident may occupy the resident's chosen unit for as long as the resident can function independently, with or without the assistance of an aide or aides. Any determination that the resident can no longer function independently, with or without the assistance of an aide or aides, shall be made by the director of medical services of the facility and be subject to the requirements of section 4 of P.L.2013, c.167 (C.52:27D-360.4), and the facility shall notify the resident in writing of any right that the resident may have to appeal that determination.
b. Each resident shall have privacy within their unit, except that personnel must be admitted for contracted services or to respond to an emergency or complaint.
c. Any resident may serve or participate in a local, State, or national residents' association, or other similar organization without discrimination or reprisal.
d. Each resident shall retain and be able to exercise all constitutional, civil, and other rights to which they are entitled by law.
e. Each resident shall be treated with respect, courtesy, consideration, and dignity.
f. Any resident or legal representative of the resident may refuse medication or treatment after being fully informed of the possible benefits or risks.
g. Each resident has the right to express complaints without fear of interference, discharge, or reprisal, and the right to contact the Office of the Ombudsman for the Institutionalized Elderly, or any advocate or agency which provides health, social, legal, or other services to advocate on behalf of residents if the resident feels that their rights are being violated.
h. Each resident has the right to expect the facility to promptly investigate and try to resolve all concerns the resident expresses. A record shall be kept of all written complaints made to the facility's senior management concerning residents' rights. This record shall be available to only the particular resident or the resident's legal representative, immediate family members, the residents' physicians, and agents of the State of New Jersey. Each resident may file a complaint with an appropriate agency, including the appropriate State office, without fear of reprisal from the facility.
i. The facility shall not modify or reduce the scope of provided services, with the exception of modifications required by State or federal assistance programs, without providing the residents with a minimum of 30-days' prior notice of the modification or reduction. All services to be provided shall be listed in a form designated by the department pursuant to N.J.A.C.5:19-6.4(a)(2).
j. Each resident is entitled to 30-days' advance written notice prior to the increase of any fees.
k. A resident may choose any outside physician as their primary care physician.
l. A resident may hire a private caregiver or companion at the resident's own expense and responsibility, as long as the caregiver or companion complies with the facility's policies and procedures.
m. Each resident is entitled to view or receive a copy of their own medical record, free of charge.
n. Each resident may participate personally, or through a legal representative, in all decisions regarding their own health care.
o. Each resident or legal representative of the resident shall receive, upon request, a complete explanation of their medical condition, any recommended treatment, and the possible benefits or risks involved.
p. A resident may appoint a legal representative with a durable power of attorney to handle financial matters if the resident is unable to do so.
q. Pursuant to section 4 of the "New Jersey Advance Directives for Health Care Act," P.L.1991, c.201 (C.26:2H-56), a resident may execute an advance directive concerning the use of life-sustaining treatment, and may appoint a legal representative with a durable power of attorney to act on behalf of the resident with regard to health care decisions. The resident has the right to expect that the provisions of the advance directive will be executed to the fullest extent possible.
r. Each resident shall receive every service, as contracted in the continuing care agreement that was executed upon the resident's admission, unless waived in writing by the resident, with the exception of changes required by State or federal law or permitted in the continuing care agreement.
s. A resident shall have the right to receive guests and visitors at the facility, and the right to allow guests to stay for a reasonable temporary period of time in a guest apartment or unit in the facility, subject to reasonable policies and procedures of the facility.
t. A resident may leave and return to the resident's independent living unit at will, provided the resident informs the facility if the resident will be temporarily absent overnight, or for a longer period of time. The facility shall notify residents in writing as to whether they will be charged a per diem fee during any such time that they are absent from the facility.
u. A resident has the right to refuse to perform work or services for the facility without coercion, discrimination, or reprisal by the facility.
v. Each resident shall not be requested or required to accept any restriction of the rights or privileges of a resident as set forth herein.
w. A resident may request from the facility, and shall receive without undue delay or cost, a copy of the rights of nursing home residents, as provided in section 5 of P.L.1976, c.120 (C.30:13-5).
x. A resident may request from the facility, and shall receive without undue delay or cost, a copy of the rights of residents of assisted living facilities, as provided in section 1 of P.L.2011, c.58 (C.26:2H-128).
y. A resident may request from the facility, and shall receive without undue delay or cost, a copy of the "Bill of Rights for Continuing Care Retirement Community Residents in Independent Living," as provided in section 5 of P.L.2013, c.167 (C.52:27D-360.5).
z. A resident who is insured by a health maintenance organization has the right to be referred by their primary care physician to the nursing care unit that is part of the resident's facility instead of any other unit, provided that the unit has the capacity to provide the services needed and that it is in the best interests of the resident, and further provided that the facility accepts the applicable reimbursement rate. This right also applies to any resident being discharged from a hospital or similar facility.
##### **§ 52:27D-360.4** Transfer, reassignment of resident. {#sec-52-27d-360.4 omnilex-key=us-nj-statutes--title-52--52:27D-360.4}
4. a. A resident may be temporarily or permanently assigned to an assisted living unit or a licensed nursing unit if the facility determines that the resident's physical or mental health requires that level of care. The determination shall be made in consultation with the resident's attending physician if available, the medical director, a member of the resident's immediate family but only at the resident's request, and the resident or legal representative of the resident.
b. Transfer of a resident to a hospital of their choice may take place at the request of the resident or legal representative of the resident, or when deemed to be medically necessary by the director of medical services of the facility after consultation with both the resident's attending physician and the resident or legal representative of the resident.
##### **§ 52:27D-360.5** "Bill of Rights for Continuing Care Retirement Community Residents in Independent Living." {#sec-52-27d-360.5 omnilex-key=us-nj-statutes--title-52--52:27D-360.5}
5. Each continuing care retirement facility is required to distribute to each resident, and post in a conspicuous public place in the facility, a statement of residents' rights, entitled "Bill of Rights for Continuing Care Retirement Community Residents in Independent Living," as provided in P.L.2013, c.167 (C.52:27D-360.1 et al.), to each resident. The statement of residents' rights shall be prepared, distributed, and posted in a form approved by the department. The facility shall inform each resident, a member of the resident's immediate family but only at the resident's request, and the resident's legal representative, if applicable, of the resident's rights, provide explanations if needed, and ensure that each resident or legal representative of the resident has been encouraged to read the statement of residents' rights, and sign a copy of the statement to demonstrate that it has been read and understood. The facility shall also be responsible for making this statement available to any resident within a reasonable time upon request and without cost. The facility shall be responsible for undertaking the actions in this section with respect to all new and existing residents as of the effective date of P.L.2013, c.167 (C.52:27D-360.1 et al.).
##### **§ 52:27D-360.6** Information provided to resident. {#sec-52-27d-360.6 omnilex-key=us-nj-statutes--title-52--52:27D-360.6}
6. a. A resident shall receive, upon request, a fee schedule for any uncovered service before agreeing to the performance of that service.
b. Each resident shall have the right to receive a copy of the facility's annual disclosure statement, including certified financial statements, once they have been filed with the department.
c. A resident who is experiencing financial difficulties may thoroughly investigate with the facility any financial assistance which may be available to allow the resident to remain at the facility. The facility shall provide sustaining charitable assistance, unless the facility can demonstrate that:
(1) providing this assistance would adversely affect the financial health of the facility;
(2) the resident has violated the terms of the continuing care agreement or providing this assistance would violate the terms of the continuing care agreement; or
(3) providing this assistance would cause the facility to violate a covenant in a loan agreement.
d. A resident may remain in a facility despite financial difficulty until the facility demonstrates to the department that the entrance fee the resident paid, if applicable, has been fully earned by the facility, using the formula set forth under the department regulations for rescission and removal, pursuant to N.J.A.C.5:19-6.5(f). A resident shall not be permitted to remain at the facility if the financial difficulty is due to the resident's misrepresentation to the facility about the extent of the resident's assets or income or if the resident gives away significant assets while residing at the facility.
e. Each resident shall be informed of Medicare and Medicaid program benefits and shall receive assistance in accessing these benefits to the extent that they are available at the facility.
##### **§ 52:27D-360.7** Cancellation of agreement, returning of refundable entrance fee limited, disposition of personal property. {#sec-52-27d-360.7 omnilex-key=us-nj-statutes--title-52--52:27D-360.7}
7. a. (1) A resident may, upon 60-days' written notice of the intent to vacate, cancel the continuing care agreement for any reason.
(2) Upon vacating the unit, a resident or resident's estate cancelling a continuing care agreement also shall provide written notice to the owner or manager of that facility that the unit is vacated. The notice shall declare that all personal property of the resident or estate thereof has been removed.
(3) After a unit is vacated, the facility may restore the unit to its original condition. The facility may remove any personal property of the prior resident that remains in the unit beginning on the twenty-first day following the date upon which notice of vacancy was received.
(4) In the case of a continuing care agreement that provides for a refundable entrance fee, the facility shall assign the vacated unit a sequential refund number among all the available units with refundable entrance fees once the unit is restored pursuant to paragraph (3) of this subsection, but not later than 60 days after the date that all the conditions for issuing a sequential refund number, as provided in the continuing care agreement, are fulfilled.
b. Upon cancellation of the continuing care agreement by either the resident or the facility, the resident shall have the right to receive a refund of the amount of any entrance fee as provided in the continuing care agreement. The amount of the entrance fee shall be set forth in a clear and conspicuous manner in the continuing care agreement.
c. A resident shall be provided at least 60-days' written notice from the facility if the resident's continuing care agreement is being cancelled due to a violation of the facility's rules or regulations. Notification may be waived if the facility can demonstrate just cause for terminating the continuing care agreement in accordance with N.J.A.C.5:19-6.5(c). The resident may challenge the facility's notice of continuing care agreement cancellation by requesting a hearing in the same manner as for a hearing in a contested case pursuant to section 9 of P.L.1968, c.410 (C.52:14B-9).
d. In a continuing care agreement that provides for a refundable entrance fee, when a resident permanently vacates the facility, or, in the case of two residents occupying the same residence, when both vacate at the same time, the facility shall provide to the resident or residents or the legal representative of the resident's estate, whichever is applicable, a refund of the refundable entrance fee amount without interest, as set forth in the agreement. Any unpaid fees or charges incurred by the resident including unpaid monthly service fees, as well as the amount of any charitable assistance that the facility has provided to the resident, may also be deducted from the remaining balance of the refund of the entrance fee. Any balance to the resident shall be payable based upon the order of the sequential refund number assigned to a unit pursuant to paragraph (4) of subsection a. of this section and the availability of funds from the proceeds of the resale of all vacated units with refundable entrance fees.
e. When an entrance fee deposit is refundable, it shall be paid to either the resident, the resident's named beneficiary, or the legal representative of the resident's estate, whichever is applicable. A resident shall have the right to change, in writing, the named beneficiary for the entrance fee refund at any time.
f. Notwithstanding the provisions of subsection d. of this section to the contrary, a facility may apply to the Commissioner of Community Affairs for approval to implement an alternative methodology for making refund payments of refundable entrance fees, which approval shall not be granted unless the facility can demonstrate that the use of the alternative methodology is resident-focused and provides for a more equitable and timely payment of refundable entrance fees.
##### **§ 52:27D-360.8** Provision of information relative to the influenza vaccine for older adults. {#sec-52-27d-360.8 omnilex-key=us-nj-statutes--title-52--52:27D-360.8}
1. a. The Department of Health shall prepare and make available on the department's Internet website, in an easily printable format, information about the influenza vaccine for older adults, which shall include, but not be limited to:
(1) the role the influenza vaccine plays in the prevention of influenza in older adults;
(2) the availability and efficacy of the influenza vaccine;
(3) a recommendation for each person to consult with a physician to determine whether receiving the influenza vaccine is recommended and appropriate for that person.
The department may additionally provide such other information as it deems necessary and appropriate, including, but not limited to: the health risks and complications associated with, and the morbidity and mortality rates among older adults suffering from, influenza; the individual and community benefits of inoculating older adults living in close proximity to each other, especially those living in continuing care retirement communities; and influenza vaccination programs and health care providers providing influenza vaccinations to older adults.
b. As used in this section, "continuing care retirement community" means a continuing care facility that is operating under a certificate of authority issued by the Department of Community Affairs pursuant to P.L.1986, c.103 (C.52:27D-330 et seq.), and which is registered with the Department of Community Affairs as a retirement community pursuant to P.L.1977, c.419 (C.45:22A-21 et seq.).
c. Nothing in this section shall be deemed to require any person in a continuing care retirement community to receive an influenza vaccine.
##### **§ 52:27D-360.9** Posting of information. {#sec-52-27d-360.9 omnilex-key=us-nj-statutes--title-52--52:27D-360.9}
2. The Department of Community Affairs shall require each continuing care retirement community in this State to post the information made available by the Department of Health pursuant to section 1 of P.L.2015, c.115 (C.52:27D-360.8) in a conspicuous public place in the facility no later than August 1 of each year.
##### **§ 52:27D-360.10** Rules, regulations. {#sec-52-27d-360.10 omnilex-key=us-nj-statutes--title-52--52:27D-360.10}
3. The Commissioner of Health and the Commissioner of Community Affairs, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), may adopt rules and regulations to effectuate the purposes of this act.
##### **§ 52:27D-361** Findings, declarations {#sec-52-27d-361 omnilex-key=us-nj-statutes--title-52--52:27D-361}
The Legislature finds and declares that:
a. Volunteer emergency service organizations, such as fire companies, ambulance services and rescue squads, protect the lives and property of the citizens of New Jersey.
b. Funds are necessary for the purpose of establishing or modernizing facilities and for purchasing ambulances and rescue vehicles, protective and communications equipment, and other accessory equipment and apparatus necessary for the proper performance of the organizations' duties.
c. A fund should be established to provide low-interest loans to volunteer emergency service organizations for the purpose of modernizing or replacing outmoded or unsafe emergency vehicles, apparatus, equipment or facilities, or to establish facilities to meet an increasing demand for a higher level of service in the communities in which they serve.
##### **§ 52:27D-362** Definitions {#sec-52-27d-362 omnilex-key=us-nj-statutes--title-52--52:27D-362}
As used in this act:
a. "Department" means the Department of Community Affairs.
b. "Emergency equipment" means fire fighting, ambulance and rescue equipment used for fire fighting or emergency purposes, including communications and protective equipment.
c. "Emergency facilities" means buildings used to house emergency equipment and vehicles, including real property, but shall not include meeting halls, social rooms or other facilities not directly related to fire fighting or emergency purposes.
d. "Emergency vehicles" means trucks, ambulances and other rescue vehicles used for fire fighting and emergency purposes.
e. "Volunteer emergency service organization" means any non-profit corporation, association or organization located in this State which is regularly engaged in providing emergency medical care, rescue services, the transport of patients, or fire protection services, including part-paid fire departments and fire districts.
f. "Volunteer Emergency Service Organizations Loan Fund" means the fund established under this act.
##### **§ 52:27D-363** Loans authorized {#sec-52-27d-363 omnilex-key=us-nj-statutes--title-52--52:27D-363}
a. The department is authorized, upon application of any volunteer emergency service organization, to make loans for the following purposes:
(1) For establishing or modernizing emergency facilities. The amount of a loan for this purpose shall not exceed 50% of the total cost or $50,000.00, whichever is less. The notarized financial statement filed pursuant to subsection d. of this section shall show that the applicant has available 20% of the total cost of the emergency facilities in unobligated funds. Proceeds of the loan shall be used only for purposes of land acquisition or construction, and shall not be used for payment of fees for design, planning, preparation of applications, or any other cost not directly attributable to land acquisition or construction.
(2) For purchasing emergency vehicles. The amount of a loan for this purpose shall not exceed $50,000.00 for any individual item, or 50% of the total cost, whichever is less. The notarized financial statement filed pursuant to subsection d. of this section shall show that the applicant has available 20% of the total cost of the emergency vehicle in unobligated funds.
(3) For purchasing emergency equipment. The amount of a loan for this purpose shall not exceed $10,000.00. No volunteer emergency service organization shall receive a loan under this paragraph more than once in any five-year period.
(4) For refinancing of debt incurred or contracts entered into and used for the purchase or modernization of emergency facilities, emergency equipment or emergency vehicles. The amount of a loan under this paragraph shall be limited to the monetary limitations as provided in paragraphs (1), (2) and (3) of this subsection.
(5) For repair or rehabilitation of existing emergency vehicles or equipment when it has been determined that the standards of the National Fire Protection Association (NFPA) are no longer met, and that the repair or rehabilitation, or both, will bring the vehicle or equipment into compliance with NFPA standards. Loans for the repair or rehabilitation of emergency vehicles or equipment shall be for not less than $1,000.00 nor more than $35,000.00; nor shall a loan exceed 80% of the total cost of repair or rehabilitation.
(6) Purchasing of used emergency equipment or used emergency vehicles, provided, however, that the used equipment or vehicles shall meet the National Fire Protection Association's standards.
(7) Except as provided in paragraph (4) of this subsection, loan proceeds shall not be used for operating expenses.
b. The criteria on which the department shall base its determinations on loan applications shall include, but not be limited to, the following: the relative financial need and resources of the applicants, the information included in the application described in subsection d. of this section, and whether the purpose of the loan is consistent with the recommendations included in the National Fire Protection Association's "Fire Protection Handbook" regarding public fire protection, particularly the evaluation and planning of public fire protection, including demographic and geographical factors.
c. Any loan in excess of $10,000.00 shall be for a period of not more than 10 years, and any loan in the amount of $10,000.00 or less shall be for a period of not more than five years. Loans shall be subject to the payment of interest at 2% per annum and shall be subject to security as determined by the department. The total amount of interest earned by the investment or reinvestment of all or any part of the principal of any loan shall be returned to the department and transferred to the Volunteer Emergency Service Organizations Loan Fund, and shall not be credited as payment of principal or interest on the loan. The minimum amount of any loan shall be $1,000.00.
d. Every application for a loan under this act shall be accompanied by a notarized financial statement of the volunteer service organization and a financial plan showing the amount of assets and projected revenues for the repayment of the loan and any other obligations and operating expenses over the period of the loan. Every application shall show the total costs of the item to which the loan will be applied and how they are to be met by the emergency service organization. If a volunteer emergency service organization is unable to meet the 20% requirement of paragraphs (1) and (2) of subsection a., then a political subdivision which is served by the volunteer company may pledge its credit in the amount of funds necessary to satisfy the 20% requirement and, if it does so, shall cosign the application submitted by the volunteer emergency service organization.
e. A volunteer emergency service organization shall be eligible for a loan under this act regardless of legal ownership in whole or part by any political subdivision of any emergency facilities, equipment or vehicles used by the volunteer emergency service organization. Any emergency vehicles, equipment or facilities financed under this act may be transferred to a political subdivision served by the volunteer emergency service organization and shall be subject to security as shall be determined by the department.
##### **§ 52:27D-364** Volunteer Emergency Service Organization Loan Fund {#sec-52-27d-364 omnilex-key=us-nj-statutes--title-52--52:27D-364}
a. There is created a special fund in the Department of the Treasury to be known as the "Volunteer Emergency Service Organizations Loan Fund" to which shall be credited all appropriations as well as repayment of principal and interest on loans made pursuant to this act.
b. Upon approval of a loan, the department shall routinely requisition from the Volunteer Emergency Service Organizations Loan Fund amounts as shall be allocated by the department for loans to volunteer emergency service organizations. When the amounts so allocated by the department as loans are repaid to the department pursuant to the terms of the agreements made and entered into with the department, the department shall pay the amounts into the Volunteer Emergency Service Organizations Loan Fund.
##### **§ 52:27D-365** Rules, regulations {#sec-52-27d-365 omnilex-key=us-nj-statutes--title-52--52:27D-365}
The Commissioner of the Department of Community Affairs shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.) to further specify the loan criteria in subsection b. of section 3 of this act and to implement the other provisions of this act.
##### **§ 52:27D-366** Short title {#sec-52-27d-366 omnilex-key=us-nj-statutes--title-52--52:27D-366}
This act shall be known and may be cited as the "Neighborhood Housing Services Grant Fund Act."
##### **§ 52:27D-367** Findings {#sec-52-27d-367 omnilex-key=us-nj-statutes--title-52--52:27D-367}
The Legislature finds that:
a. A substantial number of housing units in New Jersey are in deteriorating condition, many residents are living in dwelling units which do not conform to applicable local codes and ordinances that are intended to ensure the health and safety of the occupants, and this condition impedes the development and conservation of healthy, safe, and viable communities in this State;
b. The rehabilitation of suitable housing will increase its economic life, is more economical and less disruptive than replacement of the housing and the relocation of its occupants, can better promote community development when conducted through organized housing rehabilitation programs, and is essential to promote sound community development in this State;
c. The amount of public resources currently available or likely to be available for the rehabilitation and maintenance of marginal or substandard residential units is grossly inadequate and if significant progress is to be made in reducing or eliminating the stock of substandard housing in this State, it is imperative that the resources of the private sector be utilized to their best effect;
d. A partnership of State and local public agencies with private residential financing institutions to coordinate and optimize their respective efforts is critical to any serious attempt to conserve and protect existing housing, and, in this regard, the neighborhood housing services program of the Neighborhood Reinvestment Corporation has distinguished itself as a highly effective mechanism for rehabilitating housing and revitalizing declining neighborhoods by combining both public and private resources; and
e. The creation and expansion of neighborhood housing services programs within New Jersey hold the promise of improving the quality of life in those neighborhoods beset with problems associated with substandard housing and can serve as a model of an effective and innovative approach to a remedy, which has traditionally been viewed as the exclusive responsibility of the public sector, and by so improving the quality of life throughout New Jersey and forging new methods of public-private cooperation will serve the interests of all of the citizens of this State.
##### **§ 52:27D-368** Determinations {#sec-52-27d-368 omnilex-key=us-nj-statutes--title-52--52:27D-368}
It is determined that it is the policy of this State to provide a necessary means to prevent the deterioration of housing, the decline of neighborhoods and surrounding areas, and the problems associated with deterioration and decline; that these conditions are detrimental not only to the health, safety, and welfare of the people of the State, but reduce economic values and impair private investments and public revenues; that the support of corporations hereinafter described is necessary and desirable to alleviate those problems, and the rehabilitation of substandard housing as proposed in this act is a public purpose and a public use for which public money may be borrowed, expended, loaned and granted; and that the necessity in the public interest for provisions hereinafter enacted is a matter of legislative determination.
##### **§ 52:27D-369** Definitions {#sec-52-27d-369 omnilex-key=us-nj-statutes--title-52--52:27D-369}
As used in this act:
a. "Commissioner" means the Commissioner of the Department of Community Affairs;
b. "Corporation" means a neighborhood housing services corporation or umbrella corporation, as defined hereinafter, unless the context indicates otherwise;
c. "Department" means the Department of Community Affairs;
d. "Fund" means the Neighborhood Housing Services Grant Fund established pursuant to section 5 of this act;
e. "Housing rehabilitation loan" means any loan made by a neighborhood housing services corporation or umbrella corporation to a homeowner pursuant to section 7 of this act;
f. "Neighborhood housing services corporation" means a private, nonprofit, community-based corporation organized under Title 15A of the New Jersey Statutes to develop and administer a local neighborhood housing services program, established in connection with the National Neighborhood Reinvestment Corporation or recognized by the commissioner as substantially the equivalent of a corporation so established;
g. "Neighborhood housing services program" means a program which is established and supervised by a neighborhood housing services corporation for the purpose of administering the corporation's goals and services within a specific neighborhood;
h. "Residential borrower" means any homeowner who has entered into a contract for a loan with a neighborhood housing services corporation or umbrella corporation as provided in section 7 of this act; and
i. "Umbrella corporation" means a neighborhood housing services corporation which establishes and supervises two or more neighborhood housing services corporations.
##### **§ 52:27D-370** Neighborhood Housing Services Grant Fund {#sec-52-27d-370 omnilex-key=us-nj-statutes--title-52--52:27D-370}
There is established a Neighborhood Housing Services Grant Fund to be administered by the Department of Community Affairs. The fund shall be maintained by the Department of the Treasury and may be invested by the Division of Investment in the Department of the Treasury in investments in which other State funds may be invested. There shall be deposited in the fund all moneys appropriated thereto by the Legislature and any other moneys made available for the purposes for which the fund is established. The goals which the fund are designed to realize are set forth in section 3 of this act, and the means by which the corporation will realize these goals must be set forth in a plan which the corporation is required to submit to the commissioner pursuant to subsection c. of section 8 of this act.
##### **§ 52:27D-371** Grants from fund {#sec-52-27d-371 omnilex-key=us-nj-statutes--title-52--52:27D-371}
The department is authorized to make grants to neighborhood housing services corporations which meet the qualifications set forth in section 8 of this act. The department is also authorized to grant moneys to umbrella corporations for each neighborhood housing services program under its supervision, provided that each constituent program fulfills the qualifications set forth in section 8, and provided further that no program shall qualify for more than one grant from the fund in any calendar year.
##### **§ 52:27D-372** Revolving loan fund. {#sec-52-27d-372 omnilex-key=us-nj-statutes--title-52--52:27D-372}
Each neighborhood housing services corporation or umbrella corporation which qualifies for a grant as provided in section 8 of this act shall establish and administer a revolving loan fund to make loans at below market interest rates and flexible terms of repayment to neighborhood homeowners who are unable to obtain mortgage financing on reasonable terms through normal lending channels for the purposes of preserving or revitalizing neighborhoods and to encourage home ownership.
##### **§ 52:27D-373** Qualifications for grants {#sec-52-27d-373 omnilex-key=us-nj-statutes--title-52--52:27D-373}
In order to qualify for a grant, a neighborhood housing services corporation or umbrella corporation shall:
a. Submit an application to the department on a form prescribed by the commissioner, which shall include the following information:
(1) A description of the geographic boundaries served by the neighborhood housing services corporation or neighborhood housing services program;
(2) Certification that the applicant is governed by a Board of Directors which is composed of neighborhood residents, representatives of local financial institutions and where not inconsistent with local law, representatives of local political subdivisions;
(3) Certification that the applicant is currently registered with the Neighborhood Reinvestment Corporation if appropriate;
(4) Certification of incorporation under Title 15A of the New Jersey Statutes;
(5) Certification of receipt of a current ruling from the Internal Revenue Service of the United States Department of the Treasury that the applicant is an organization which is exempt from federal income taxation; and
(6) Certification that the remaining two-thirds portion of the applicant's annual operating budget has been provided exclusively from political subdivisions or private sources pursuant to section 9 of this act;
b. Demonstrate, to the commissioner's satisfaction, the corporation's capacity to establish, and administer a revolving loan fund as provided in section 7 of this act; and
c. Provide the department with an outline of a plan to administer and establish, in cooperation with appropriate officials of the political subdivision, a housing program to bring neighborhood dwellings to acceptable levels of health and safety, indicating how the moneys are to be disbursed and at what terms and rates of interest. The plan shall include, but not be limited to: (1) criteria under which the credit worthiness of applicant homeowners shall be determined, consonant with the purposes of this act; (2) procedures for securing loans made to homeowners pursuant to this act; and (3) criteria to ensure that displacement of residential tenants is minimized, adequate tenant relocation assistance is provided and that the provisions of P.L. 1974, c. 49 (C. 2A:18-61.1 et al.), P.L. 1975, c. 311 (C. 2A:18-61.6 et al.), P.L. 1978, c. 139 (C. 2A:18-61.13 et seq.), P.L. 1971, c. 362 (C. 20:4-1 et seq.), P.L. 1967, c. 79 (C. 52:31B-1 et seq.) and P.L. 1981, c. 226 (C. 2A:18-61.22 et seq.) are complied with.
##### **§ 52:27D-374** Limitation on grants {#sec-52-27d-374 omnilex-key=us-nj-statutes--title-52--52:27D-374}
Each neighborhood housing services corporation or umbrella corporation which fulfills the qualifications set forth in section 8 of this act may apply for a grant in an amount not to exceed one-third of its annual operating budget or $50,000.00 for each neighborhood housing services program, whichever is less.
##### **§ 52:27D-375** Commissioner as member of board of directors {#sec-52-27d-375 omnilex-key=us-nj-statutes--title-52--52:27D-375}
The commissioner, or the commissioner's designee, shall be an ex officio and voting member of the board of directors of each neighborhood housing services corporation or umbrella corporation receiving grants from the department.
##### **§ 52:27D-376** Reduction of grants {#sec-52-27d-376 omnilex-key=us-nj-statutes--title-52--52:27D-376}
If in any fiscal year the total amount of grant applications received by the department exceeds the total amount of the fund, the commissioner shall reduce each qualifying applicant's grant on a pro rata basis in order to not exceed the total dollar amount of the fund appropriated for that fiscal year.
##### **§ 52:27D-377** Inspections by commissioner {#sec-52-27d-377 omnilex-key=us-nj-statutes--title-52--52:27D-377}
The commissioner shall be entitled to make inspections of any housing rehabilitation project funded pursuant to this act, to request and secure the submission of certifications, maps, documents, and other information by the municipality or the appropriate corporation, to audit and examine any books and records of the corporation and the political subdivisions which contribute to the corporation's annual operating budget, and to require such periodic reports as shall be necessary to ascertain the progress of any housing rehabilitation project assisted with a loan pursuant to this act and the extent of compliance with the contract for these loans.
##### **§ 52:27D-378** Default {#sec-52-27d-378 omnilex-key=us-nj-statutes--title-52--52:27D-378}
In the event of any default in connection with the terms and provisions of any contract to which the corporation and a residential borrower are party, the corporation shall not take any steps it may otherwise be entitled to take, until it has first notified the residential borrower and provided a reasonable opportunity, in light of the nature of the default and the available means to correct it to cure the same; but in any case shall allow not less than 30 days for that purpose. After this time, the corporation may institute any action or proceeding against any residential borrower who is in default on a housing rehabilitation loan in any court of competent jurisdiction.
##### **§ 52:27D-379** Additional funding {#sec-52-27d-379 omnilex-key=us-nj-statutes--title-52--52:27D-379}
The commissioner may seek, receive and make use of any funds which may be available from federal or other sources in order to augment any State funds appropriated for the purposes of this act, and shall make every effort to qualify the program for federal funding.
##### **§ 52:27D-380** Rules, regulations {#sec-52-27d-380 omnilex-key=us-nj-statutes--title-52--52:27D-380}
The commissioner is authorized to make and issue rules and regulations in accordance with the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.) for the effectuation of the provisions of this act.
##### **§ 52:27D-381** Local Government Education Program {#sec-52-27d-381 omnilex-key=us-nj-statutes--title-52--52:27D-381}
The Commissioner of the Department of Community Affairs shall establish and administer a program which shall be known as the "Local Government Education Program."
##### **§ 52:27D-382** Purpose {#sec-52-27d-382 omnilex-key=us-nj-statutes--title-52--52:27D-382}
The purpose of this program is to enable county colleges to establish noncredit courses, workshops and seminars to educate elected or appointed county and municipal officials concerning the performance of their public functions and responsibilities.
##### **§ 52:27D-383** Duties of commissioner {#sec-52-27d-383 omnilex-key=us-nj-statutes--title-52--52:27D-383}
The Commissioner of the Department of Community Affairs shall:
a. Establish procedures for county colleges to apply for funds under the Local Government Education Program;
b. Establish standards for the courses, workshops and seminars offered under the Local Government Education Program;
c. Coordinate activities offered under the Local Government Education Program with similar activities offered by other agencies and institutions;
d. Conduct a continuous review of the program; and
e. Prescribe any other rules and regulations necessary to effectuate the purposes of this act.
##### **§ 52:27D-384** Short title {#sec-52-27d-384 omnilex-key=us-nj-statutes--title-52--52:27D-384}
This act shall be known and may be cited as the "State Aid to Densely Populated Municipalities Act."
##### **§ 52:27D-385** Findings, declarations {#sec-52-27d-385 omnilex-key=us-nj-statutes--title-52--52:27D-385}
The Legislature finds and declares that customary demands on municipal services and infrastructure are amplified in municipalities having high population density. The deterioration of infrastructure is especially acute in high density areas when the use of roads and sewerage facilities far exceeds their planned specifications. Heavy concentrations of population place enormous strains on police, fire, and emergency services, health services, transportation systems, infrastructure, and sanitation facilities that cannot be adequately addressed in any municipal budget without excessively taxing already overburdened property owners. In order to maintain these systems and services at acceptable levels it is a proper State purpose to provide aid to municipalities with extreme population density to assure the health, welfare and safety of their residents.
##### **§ 52:27D-386** Definitions {#sec-52-27d-386 omnilex-key=us-nj-statutes--title-52--52:27D-386}
3. As used in this act, "qualifying municipality" means a municipality which:
a. does not receive aid under P.L.1978, c.14 (C.52:27D-178 et seq.);
b. has a population density that exceeds six times the State population density, according to the most recent State population and area estimates reported by the New Jersey Department of Labor, Division of Labor Market and Demographic Research, except that in the year of receipt by the Governor of a federal decennial census, the census figures shall be used;
c. has a population that exceeds 7,500 residents; and
d. is located in any of the five most densely populated counties, according to the most recent State population estimates reported by the New Jersey Department of Labor, Division of Labor Market and Demographic Research, except that in the year of receipt by the Governor of a federal decennial census, the census figures shall be used.
##### **§ 52:27D-387** Levels of qualifying municipalities {#sec-52-27d-387 omnilex-key=us-nj-statutes--title-52--52:27D-387}
Qualifying municipalities shall be grouped into three levels for the purposes of allocating funds pursuant to this act, as follows:
Level I - Qualifying municipalities having a population of 30,000 or more located in a first class county.
Level II - Qualifying municipalities having a population between 7,500 and 30,000 located in a first class county.
Level III - Qualifying municipalities located in a second class county.
##### **§ 52:27D-388** Allocation to qualifying municipalities {#sec-52-27d-388 omnilex-key=us-nj-statutes--title-52--52:27D-388}
There shall be allocated to each level of qualifying municipalities a portion of the funds appropriated for the purposes of this act, as follows:
Level I - 32.5% of the funds so appropriated;
Level II - 57.5% of the funds so appropriated; and
Level III - 10% of the funds so appropriated.
In allocating funds to Level II qualifying municipalities, there shall be additionally allocated any portion of the amount allocated to Level I qualifying municipalities which is not apportioned to those municipalities pursuant to section 6 of this act.
##### **§ 52:27D-389** Formula for allocation {#sec-52-27d-389 omnilex-key=us-nj-statutes--title-52--52:27D-389}
Within each level of qualifying municipalities, the share of each qualifying municipality of the funds allocated to that level shall be determined by the following formula:
MS = (RD / ARD) x F
Where:
MS is the share, not to exceed $3,900,000, to be received by the qualifying municipality of the amount allocated to that level;
F is the amount allocated to that level;
ARD is the aggregate of the residential densities of all qualifying municipalities included in that level; and
RD is residential density for a qualifying municipality which shall be determined as follows:
RD = P x D x R2
Where:
P is the population of the qualifying municipality;
D is the population density of the qualifying municipality; and
R is the percentage, multiplied by 100, of the aggregate assessed valuation of the qualifying municipality which is residential (Class 2) and apartments (Class 4c) property.
##### **§ 52:27D-390** Determination {#sec-52-27d-390 omnilex-key=us-nj-statutes--title-52--52:27D-390}
The State Treasurer shall annually, on or before November 1, make a determination of the qualifying municipalities and determine the amount of funds to be apportioned to each qualifying municipality for the next succeeding local budget year. The State Treasurer shall thereupon notify the Director of the Division of Local Government Services in the Department of Community Affairs and the chief financial officer of each qualifying municipality of the amount so determined.
##### **§ 52:27D-391** Payment {#sec-52-27d-391 omnilex-key=us-nj-statutes--title-52--52:27D-391}
The State Treasurer, upon the warrant of the State Comptroller, shall annually, on or before July 15, pay to each qualifying municipality the amount determined.
##### **§ 52:27D-392** Reduction in property tax level {#sec-52-27d-392 omnilex-key=us-nj-statutes--title-52--52:27D-392}
The funds to be received by a qualifying municipality pursuant to this act shall be appropriated by the municipality in compliance with the "Local Budget Law," N.J.S.40A:4-1 et seq. Notwithstanding any provisions of the "Local Budget Law," any qualifying municipality may anticipate in its budget for the next succeeding year the receipt of the amount determined by the State Treasurer pursuant to section 7 of this act and may file such amendments or corrections in its local budget as may be required to properly reflect the amount. A qualifying municipality shall apply all such revenues to the reduction of the local property tax levy. The chief financial officer of each qualifying municipality shall demonstrate in a written report, appended to the local budget submitted to the Director of the Division of Local Government Services, that the amount to be raised by property taxation for the local budget year in which funds are to be received has been reduced by an amount equal to the amount to be received pursuant to this act.
##### **§ 52:27D-393** Approval of budget {#sec-52-27d-393 omnilex-key=us-nj-statutes--title-52--52:27D-393}
The Director of the Division of Local Government Services shall not approve the budget of any qualifying municipality if the director determines that the funds received pursuant to this act have not been used to reduce the local property tax levy.
##### **§ 52:27D-394** Appropriation {#sec-52-27d-394 omnilex-key=us-nj-statutes--title-52--52:27D-394}
Commencing with State fiscal year 1992, the Legislature shall annually appropriate the sum of $33,000,000 for the purpose of reducing the local property tax levy in qualifying municipalities.
##### **§ 52:27D-395** Short title {#sec-52-27d-395 omnilex-key=us-nj-statutes--title-52--52:27D-395}
This act shall be known and may be cited as the "Community Action Agency Act."
##### **§ 52:27D-396** Findings, declarations {#sec-52-27d-396 omnilex-key=us-nj-statutes--title-52--52:27D-396}
The Legislature finds and declares that:
a. Although the economic well-being and prosperity of this State has surpassed most states in the United States and although these benefits are widely shared throughout the State, poverty continues to affect a substantial number of residents;
b. New Jersey can accomplish its full economic and social potential only if every individual has the opportunity to contribute to the full extent of each individual's capabilities and to participate in the workings of our society;
c. One method to achieve these goals is to combine the resources of the private, public, and social service sectors of this State through the efforts of community action agencies;
d. These community action agencies provide a range of services related to the needs of low-income persons and helping families and individuals overcome particular problems in order to develop self-sufficiency;
e. In addition, these agencies develop and implement programs and projects designed to ensure maximum participation by the residents of the communities served, so as to stimulate and take full advantage of the capabilities of the residents and assure that those programs and projects are otherwise meaningful and widely utilized by their intended beneficiaries;
f. It is, therefore, in the interest of this State to recognize and support the work of community action agencies as these agencies provide efficient and effective means to prevent and eliminate poverty, and so, promote the well-being and prosperity of this State.
##### **§ 52:27D-397** Definitions {#sec-52-27d-397 omnilex-key=us-nj-statutes--title-52--52:27D-397}
As used in this act:
a. "Commissioner" means the Commissioner of Community Affairs;
b. "Community" means a municipality, county or any part or combination thereof which represents a reasonable geographic area and sufficient population for community action programs;
c. "Community action agency" means any public, or private nonprofit, agency or organization which was officially designated as a community action agency or a community action program under the provisions of section 210 of the "Economic Opportunity Act of 1964," Pub.L.88-452 (42 U.S.C. s.2790; repealed, section 683(a), Pub.L.97-35 (42 U.S.C. s.9912(a))) for federal fiscal year 1981, or which came into existence during federal fiscal year 1982 as a direct successor in interest to such a community action agency or community action program, and meets all the requirements under section 675(c)(3) of the Community Services Block Grant Act (42 U.S.C. s.9904(c)(3)), unless such community action agency or community action program lost its designation under section 210 of the "Economic Opportunity Act of 1964," (42 U.S.C. s.9912(a)) as a result of a failure to comply with the provisions of that act. "Community action agency" also means an agency designated by the State in accordance with section 675(c)(4) of the Community Services Block Grant Act (42 U.S.C. s.9904(c)(4));
d. "Community action program" means any program or project conducted by an agency or organization as described in subsection c. of this section which uses funds: (1) to provide a range of services and activities having a measurable and potentially major impact on causes of poverty in the community or those areas of the community where poverty is a particularly acute problem;
(2) to provide activities designed to assist participating low-income persons, including the elderly poor, to secure and retain meaningful employment, to attain an adequate education, to make better use of available income, to obtain and maintain adequate housing in a suitable living environment, to obtain emergency assistance through loans or grants to meet immediate and urgent individual and family needs (including the need for health service, nutritious food, housing and employment-related assistance), to remove obstacles and solve problems which block the achievement of self-sufficiency, to achieve greater participation in the affairs of the community, and to make more effective use of other programs related to the needs of low-income persons;
(3) to provide on an emergency basis for the provision of such supplies and services, nutritious foodstuffs, and related services, as may be necessary to counteract conditions of starvation and malnutrition among the poor;
(4) to coordinate and establish linkages between governmental and other social services programs to assure the effective delivery of such services to low-income individuals; and
(5) to encourage the use of entities in the private sector of the community and efforts to ameliorate poverty in the community;
e. "Low-income persons" means any individual or family whose gross annual income is at or below the official poverty line as determined by the Director of the federal Office of Management and Budget;
f. "Federal Office of Community Services" means the federal office within the Federal Department of Health and Human Services which distributes Community Services Block Grant Act funds to states; and
g. "Community Services Block Grant Act" means section 671 et seq., subchapter B of chapter 8 of the "Omnibus Budget Reconciliation Act of 1981," Pub.L.97-35 (42 U.S.C. s.9901 et seq.), as amended.
##### **§ 52:27D-398** Establishment of community action board {#sec-52-27d-398 omnilex-key=us-nj-statutes--title-52--52:27D-398}
a. A community action agency shall establish a community action board to administer the agency and its functions. The agency shall promulgate bylaws which shall include the number of members to be appointed to the board, the length of each term, and the methods by which the board members shall be appointed. At least one-third of the board members shall be elected officials, including chief elected officials, or their designees. When the number of elected officials available and willing to serve equals less than one-third of the membership, appointed public officials may be appointed to meet the requirements. At least one-third of the board members shall be low-income persons appointed by democratic selection procedures. The remainder of the board shall be officials or members of business, industry, labor, religious, welfare, education groups or other community-interest groups. Any board member appointed to serve and represent a specific geographic area shall be a resident of that area. Any vacancy in a board position shall be filled in the same manner as the original appointment.
b. The agency may establish a subsidiary board, council or similar entity to be responsible for budget determinations for community action programs serving certain geographic areas and the members appointed to any such entity shall represent the various community interests of that geographic area.
##### **§ 52:27D-399** Purposes of community action agency {#sec-52-27d-399 omnilex-key=us-nj-statutes--title-52--52:27D-399}
A community action agency shall have the following purposes:
a. To research and collect information concerning the obstacles in the community that prevent the self-sufficiency of all residents, including, but not limited to, unemployment, lack of services, substandard housing and lack of resources;
b. To establish community action programs to eradicate these obstacles and improve the opportunities for low-income persons;
c. To develop, operate and evaluate cost-effective service models and innovative program approaches to address community problems;
d. To determine the level of assistance necessary to effectively fund the community action programs, coordinate the available resources in a cost-efficient manner, and assist community residents in securing available assistance;
e. To work with, and encourage the involvement of, neighborhood organizations, in the community action programs;
f. To involve low-income persons and other community residents in the development and implementation of community action programs; and
g. To encourage public and private organizations to cooperate and participate in community action programs and to stimulate these organizations to develop new employment opportunities and services for low-income persons in the community.
##### **§ 52:27D-400** Goals of community action programs. {#sec-52-27d-400 omnilex-key=us-nj-statutes--title-52--52:27D-400}
6. Community action programs shall have, but not be limited to, the following goals:
a. Securing and retaining employment, attaining adequate education and obtaining decent and affordable housing for community residents;
b. Assisting community residents in improving the allocation of available income;
c. Promoting family planning, consistent with personal and family goals;
d. Securing services for the prevention of substance use disorder and for the rehabilitation of persons with a substance use disorder;
e. Obtaining emergency assistance to meet individual and family needs including health, housing, employment and energy assistance services; and
f. Increasing the participation of community residents in community affairs.
##### **§ 52:27D-401** Powers of community action agency {#sec-52-27d-401 omnilex-key=us-nj-statutes--title-52--52:27D-401}
A community action agency shall have the following powers:
a. To adopt bylaws;
b. To implement and administer community action programs;
c. To enter into any agreement or contract with any public, private nonprofit or profit-making agency or organization to assist in fulfilling the agency's purposes and functions;
d. To receive and accept, from any public or private source, funds or real or personal property;
e. To appoint and employ personnel as deemed necessary;
f. To transfer funds and delegate powers to other organizations or agencies, as permitted by its community action board;
g. To carry out any requirement or power permitted by federal law; and
h. To take such other steps as may be necessary or appropriate to provide assistance or benefits to the low-income community it serves.
##### **§ 52:27D-402** Assurances of present or future funding {#sec-52-27d-402 omnilex-key=us-nj-statutes--title-52--52:27D-402}
a. Consistent with the Community Services Block Grant Act the State shall provide assurances that any eligible entity which received funding in the previous fiscal year under this act will not have its present or future funding terminated under this act or reduced below the proportional share of funding it received in the previous fiscal year unless after notice, and opportunity for hearing on the record, the State determines that cause existed for such termination or such reduction subject to review by the commissioner as provided in the Community Services Block Grant Act.
For the purpose of making a determination with respect to a funding reduction, the term "cause" includes:
(1) a Statewide redistribution of funds under the Community Services Block Grant Act to respond to:
(a) the results of the most recently available census or other appropriate data;
(b) the establishment of a new eligible entity;
(c) severe economic dislocation; and
(2) corrective measures to bring such agency or organization into compliance with the terms of its agreement to provide services under the Community Services Block Grant Act.
b. An agency's funds will only be withheld in the event that a corrective action plan's requirements for compliance are not accomplished within the specified compliance date.
c. An aggrieved community action agency shall be entitled to an administrative hearing in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), and the Uniform Administrative Procedure Rules, N.J.A.C. 1:1. In accordance with the "Administrative Procedure Act," the commissioner or his designee shall issue the final decision in all cases. The request for a hearing shall be filed with the commissioner within 15 days of the receipt of the Department of Community Affairs' decision.
If requested by the community action agency, the commissioner's decision regarding the termination or reduction of funding shall be subject to the review of the Secretary of the U.S. Department of Health and Human Services consistent with the Community Services Block Grant Act.
d. The Governor of the State of New Jersey may, at the Governor's discretion, determine to provide services with Community Services Block Grant Act funds in an area in which services have not previously been provided by a community action agency or delegate thereof. In the event the Governor so decides to serve an area, the Governor may initially request any community action agency which services any contiguous area to provide the services the Governor has decided to direct to that area or, if no community action agency accepts that request or there is no community action agency providing services contiguous to the area, the Governor may request any community action agencies nearby to the unserved area to provide services in the area. If no contiguous or nearby community action agency, upon request of the Governor, agrees to provide services in the area, the Governor may then select another entity at the Governor's discretion to provide those services.
##### **§ 52:27D-403** Approval of allocation of federal funds {#sec-52-27d-403 omnilex-key=us-nj-statutes--title-52--52:27D-403}
The commissioner shall approve the allocation of federal funds for community action agencies according to the requirements of federal law.
##### **§ 52:27D-404** Distribution of State Funds {#sec-52-27d-404 omnilex-key=us-nj-statutes--title-52--52:27D-404}
In the event that Community Services Block Grant Act funds are no longer available, and if State funds are then made available to the commissioner for the community action agencies, then those funds shall be distributed according to the provisions of the Community Services Block Grant Act State plan for distribution of funding resources to the community action agencies.
##### **§ 52:27D-405** Rules, regulations {#sec-52-27d-405 omnilex-key=us-nj-statutes--title-52--52:27D-405}
The commissioner shall adopt any rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as are deemed necessary to effectuate the purposes of this act, including the promulgation of fiscal control and fund accounting procedures to assure the proper management of, and accounting for, any federal and State funds received by a community action agency.
##### **§ 52:27D-406** Short title {#sec-52-27d-406 omnilex-key=us-nj-statutes--title-52--52:27D-406}
1. This act shall be known and may be cited as the "Adult Protective Services Act."
##### **§ 52:27D-407** Definitions. {#sec-52-27d-407 omnilex-key=us-nj-statutes--title-52--52:27D-407}
2. As used in this act:
"Abuse" means the willful infliction of physical pain, injury or mental anguish, unreasonable confinement, or the willful deprivation of services which are necessary to maintain a person's physical and mental health.
"Caretaker" means a person who has assumed the responsibility for the care of a vulnerable adult as a result of family relationship or who has assumed responsibility for the care of a vulnerable adult voluntarily, by contract, or by order of a court of competent jurisdiction, whether or not they reside together.
"Commissioner" means the Commissioner of Human Services.
"Community setting" means a private residence or any noninstitutional setting in which a person may reside alone or with others, but shall not include residential health care facilities, rooming houses or boarding homes or any other facility or living arrangement subject to licensure by, operated by, or under contract with, a State department or agency.
"County adult protective services provider" means a county Board of Social Services or other public or nonprofit agency with experience as a New Jersey provider of protective services for adults, designated by the county and approved by the commissioner. The county adult protective services provider receives reports made pursuant to this act, maintains pertinent records and provides, arranges, or recommends protective services.
"County director" means the director of a county adult protective services provider.
"Department" means the Department of Human Services.
"Emergency medical technician" means a person trained in basic life support services as defined in section 1 of P.L.1985, c.351 (C.26:2K-21) and who is certified by the Department of Health to provide that level of care.
"Exploitation" means the act or process of illegally or improperly using a person or his resources for another person's profit or advantage.
"Firefighter" means a paid or volunteer firefighter.
"Health care professional" means a health care professional who is licensed or otherwise authorized, pursuant to Title 45 or Title 52 of the Revised Statutes, to practice a health care profession that is regulated by one of the following boards or by the Director of the Division of Consumer Affairs: the State Board of Medical Examiners, the New Jersey Board of Nursing, the New Jersey State Board of Dentistry, the New Jersey State Board of Optometrists, the New Jersey State Board of Pharmacy, the State Board of Chiropractic Examiners, the Acupuncture Examining Board, the State Board of Physical Therapy, the State Board of Respiratory Care, the Orthotics and Prosthetics Board of Examiners, the State Board of Psychological Examiners, the State Board of Social Work Examiners, the State Board of Examiners of Ophthalmic Dispensers and Ophthalmic Technicians, the Audiology and Speech-Language Pathology Advisory Committee, the State Board of Marriage and Family Therapy Examiners, the Occupational Therapy Advisory Council, the Certified Psychoanalysts Advisory Committee, and the State Board of Polysomnography. "Health care professional" also means a nurse aide or personal care assistant who is certified by the Department of Health.
"Neglect" means an act or failure to act by a vulnerable adult or his caretaker which results in the inadequate provision of care or services necessary to maintain the physical and mental health of the vulnerable adult, and which places the vulnerable adult in a situation which can result in serious injury or which is life-threatening.
"Protective services" means voluntary or court-ordered social, legal, financial, medical or psychiatric services necessary to safeguard a vulnerable adult's rights and resources, and to protect a vulnerable adult from abuse, neglect or exploitation. Protective services include, but are not limited to: evaluating the need for services, providing or arranging for appropriate services, obtaining financial benefits to which a person is entitled, and arranging for guardianship and other legal actions.
"Vulnerable adult" means a person 18 years of age or older who resides in a community setting and who, because of a physical or mental illness, disability or deficiency, lacks sufficient understanding or capacity to make, communicate, or carry out decisions concerning his well-being and is the subject of abuse, neglect or exploitation. A person shall not be deemed to be the subject of abuse, neglect or exploitation or in need of protective services for the sole reason that the person is being furnished nonmedical remedial treatment by spiritual means through prayer alone or in accordance with a recognized religious method of healing in lieu of medical treatment, and in accordance with the tenets and practices of the person's established religious tradition.
##### **§ 52:27D-408** Comprehensive public awareness program; task force {#sec-52-27d-408 omnilex-key=us-nj-statutes--title-52--52:27D-408}
3. a. The commissioner shall establish a comprehensive public awareness program to inform the general public and social service agencies as to the nature of abuse, neglect and exploitation, the method for their reporting, and information about the protective services available for vulnerable adults who need them. This comprehensive public awareness program shall be a collaborative effort with existing public awareness and training efforts, including but not limited to, those mandated pursuant to the "Prevention of Domestic Violence Act of 1991," P.L.1991, c.261 (C.2C:25-17 et al.), the Safe Housing and Transportation program and the "Older Americans Act of 1965," Pub. L. 89-73 (42 U.S.C. s.3001 et seq.).
b. A task force shall be established in the department to facilitate the collaboration required for the public awareness program. The task force shall meet at least quarterly to develop initiatives. The task force shall include a representative from each of the following: the Department of Human Services, the Department of Community Affairs, the Administrative Office of the Courts, an agency funded to administer training initiatives under this act, an agency funded to administer training initiatives under the "Older Americans Act of 1965," an agency that delivers protective services and the New Jersey Association of Area Agencies on Aging.
##### **§ 52:27D-409** Report of suspected abuse, neglect, exploitation. {#sec-52-27d-409 omnilex-key=us-nj-statutes--title-52--52:27D-409}
4. a. (1) A health care professional, law enforcement officer, firefighter, paramedic or emergency medical technician who has reasonable cause to believe that a vulnerable adult is the subject of abuse, neglect or exploitation shall report the information to the county adult protective services provider.
(2) Any other person who has reasonable cause to believe that a vulnerable adult is the subject of abuse, neglect or exploitation may report the information to the county adult protective services provider.
b. The report, if possible, shall contain the name and address of the vulnerable adult; the name and address of the caretaker, if any; the nature and possible extent of the vulnerable adult's injury or condition as a result of abuse, neglect or exploitation; and any other information that the person reporting believes may be helpful.
c. A person who reports information pursuant to this act, or provides information concerning the abuse of a vulnerable adult to the county adult protective services provider, or testifies at a grand jury, judicial or administrative proceeding resulting from the report, is immune from civil and criminal liability arising from the report, information, or testimony, unless the person acts in bad faith or with malicious purpose.
d. An employer or any other person shall not take any discriminatory or retaliatory action against an individual who reports abuse, neglect or exploitation pursuant to this act. An employer or any other person shall not discharge, demote or reduce the salary of an employee because the employee reported information in good faith pursuant to this act. A person who violates this subsection is liable for a fine of up to $1,000.
e. A county adult protective services provider and its employees are immune from criminal and civil liability when acting in the performance of their official duties, unless their conduct is outside the scope of their employment, or constitutes a crime, actual fraud, actual malice, or willful misconduct.
##### **§ 52:27D-410** Access for reporting abuse, neglect, exploitation; evaluation {#sec-52-27d-410 omnilex-key=us-nj-statutes--title-52--52:27D-410}
5. a. A county adult protective services provider shall provide access for reporting abuse, neglect and exploitation. Information shall also be available to a person who reports abuse, neglect or exploitation on ways to access emergency assistance.
b. The county adult protective services provider upon receiving a report that a vulnerable adult is being or has been the subject of abuse, neglect or exploitation, shall initiate a prompt and thorough evaluation of the report within 72 hours.
c. If the county adult protective services provider is prevented from conducting an evaluation of a report of abuse, neglect or exploitation, the county adult protective services provider may petition a court of competent jurisdiction for an order to conduct the evaluation.
d. An evaluation conducted pursuant to this act shall be conducted by a person with appropriate training and experience as set forth by regulation. The evaluation shall be based upon a visit with the vulnerable adult about whom the report was made and upon consultation with others who have knowledge of the particular case to determine whether protective services are needed and what action, if any, is required.
e. Records of public agencies, private organizations, banks and other financial institutions, medical institutions and practitioners, which the county director or his designee reasonably believes to be necessary to complete the evaluation, shall be made available to the county adult protective services provider.
##### **§ 52:27D-411** Determination of need for protective services; referrals {#sec-52-27d-411 omnilex-key=us-nj-statutes--title-52--52:27D-411}
6. a. If a determination is made by the county adult protective services provider that there is reasonable cause to believe that the vulnerable adult has been the subject of abuse, neglect or exploitation, the county adult protective services provider shall determine the need for protective services. If the vulnerable adult or his legal guardian consents, the county adult protective services provider shall provide or arrange for appropriate protective services, as may be available. The county adult protective services provider shall also make formal referrals to State, county, and local agencies, hospitals and organizations, including county offices on aging for clients age 60 and over, for services which the county adult protective services provider is unable to provide directly. The county protective services provider shall follow up on referrals to determine whether services are being provided.
b. A county protective services provider may refer a person who needs protective services and who, because of a developmental disability or mental illness, is in need of specialized care, treatment or services, to the Division of Developmental Disabilities or the Division of Mental Health and Hospitals in the Department of Human Services, as appropriate. These divisions shall consider referrals from the county adult protective services providers on a priority basis and assist in providing the specialized services needed to protect abused, neglected, or exploited vulnerable adults, including those 60 years and over.
##### **§ 52:27D-412** Petition for order enjoining caretaker from interfering with provision of services {#sec-52-27d-412 omnilex-key=us-nj-statutes--title-52--52:27D-412}
7. a. If the vulnerable adult's caretaker or any other person interferes with the provision of protective services, the county adult protective services provider shall petition the court for an order enjoining the caretaker or other person from interfering with the provision of services. Any other party concerned with the welfare of the vulnerable adult may also petition the court for an order enjoining the caretaker or any other person from interfering with the provision of services.
b. The petition shall present facts to show that the vulnerable adult is in need of protective services, and that, although the vulnerable adult or his guardian consents to the receipt of services, the adult's caretaker or other person has interfered with the provision of services. If the judge finds that the vulnerable adult requires protective services and that the vulnerable adult, or his guardian, consents to the services, and the vulnerable adult has been prevented from receiving the protective services by his caretaker or other person, the judge shall issue an order enjoining the caretaker or other person from further interference.
##### **§ 52:27D-413** Petition for authorization to provide emergency protective services; hearing {#sec-52-27d-413 omnilex-key=us-nj-statutes--title-52--52:27D-413}
8. a. If the county director or his designee reasonably determines that an emergency exists and the vulnerable adult refuses or is unable to consent to the protective services, the county director or his designee shall petition a court of competent jurisdiction for an order authorizing the provision of protective services. The petition shall set forth the name, age and residence of the adult; the nature of the emergency; the proposed protective services; and facts sufficient to show that (1) the adult is a vulnerable adult in need of protective services as a result of abuse, neglect or exploitation; (2) the adult, without protective services, will incur a clear and substantial risk of death or immediate physical harm; (3) the adult refuses or is unable to consent to the protective services; and (4) no other person authorized by law or court order to give consent for the adult is available and willing to arrange for protective services.
b. The court shall set the case for hearing within 24 hours of receipt of a petition pursuant to this section. The adult has the right to an attorney of his choice, or the court shall appoint counsel. Every reasonable effort shall be made to provide notice of the hearing, including a copy of the petition, to the adult, his attorney, his legal guardian, his spouse or, if none, to his adult children or next of kin, and his caretaker, if any, prior to the hearing. A reasonable effort shall be made to provide for the participation of the adult at the hearing.
c. The court may waive the notice requirement and schedule an ex parte hearing immediately upon receipt of the petition if the court finds that there is a clear and substantial risk to the adult of death or irreparable injury if the order were delayed.
d. If at the hearing, the judge finds by clear and convincing evidence that (1) the adult is a vulnerable adult in need of protective services as a result of abuse, neglect or exploitation; (2) the adult, without protective services, will incur a clear and substantial risk of death or immediate physical harm; (3) the adult refuses or is unwilling to consent to services; and (4) no other person authorized by law or court order to give consent for the adult is available and willing to arrange for protective services; an order authorizing the provision of protective services shall be issued. The order may designate an individual or organization responsible for the provision or arrangement of protective services for the adult.
e. The court shall order only such protective services as are necessary to remove the conditions creating the emergency.
f. An emergency order entered under this section by the court may not exceed 72 hours. The county director or his designee, upon determining that continued services are necessary to prevent death or serious physical harm, may apply for continuation of the order for an additional 72-hour period, if a guardian has not been named. If an emergency order is entered ex parte, the vulnerable adult or any other party, on behalf of the vulnerable adult, may petition the court to have the order modified or vacated, and the court shall consider the petition on an emergent basis.
##### **§ 52:27D-414** Petition for order authorizing provision of protective services {#sec-52-27d-414 omnilex-key=us-nj-statutes--title-52--52:27D-414}
9. a. If the county director or his designee reasonably determines that a vulnerable adult will incur a substantial risk of physical harm or deterioration without protective services, and the adult refuses or is unable to consent to the services, the county director or his designee shall petition a court of competent jurisdiction for an order authorizing the provision of protective services. The petition shall set forth the name, age and residence of the adult; the proposed protective services; and facts sufficient to show that: (1) the adult is a vulnerable adult in need of the services as a result of abuse, neglect or exploitation; (2) the adult will incur a substantial risk of physical harm or deterioration without protective services; (3) the adult refuses or is unable to consent to the services; and (4) no other person authorized by law or court order to give consent for the adult is available and willing to arrange for protective services.
b. The court shall set the case for hearing within three court days after the filing of the petition. The adult has the right to an attorney of his choice or the court shall appoint counsel. If the vulnerable adult refuses protective services, the court may issue an order requiring a psychiatric or psychological assessment or examination to determine the vulnerable adult's understanding or capacity, and the nature of or reason for the refusal.
c. Every reasonable effort shall be made to provide notice of the hearing, including a copy of the petition to the adult, his attorney, his legal guardian, his spouse or, if none, to his adult children or next of kin, and his caretaker, if any. A reasonable effort shall be made to provide for the participation of the adult at the hearing. If there has been an assessment or an examination, the psychiatrist or the psychologist shall prepare and provide a report to the court and to the attorney for the vulnerable adult.
d. If, at the hearing, the judge finds by clear and convincing evidence that (1) the adult is a vulnerable adult in need of the services as a result of abuse, neglect or exploitation; (2) the adult will incur a substantial risk of physical harm or deterioration without protective services; (3) the adult refuses or is unable to consent to the services; (4) that no other person authorized by law or court order to give consent for the adult is available and willing to arrange for protective services; and (5) if there has been an assessment or an examination, that the report of the psychiatrist or psychologist states that the vulnerable adult lacks the understanding or capacity to refuse the protective services, an order authorizing the provision of protective services may be issued. The order may designate an individual or organization responsible for the provision of, arrangement for, or consent for protective services on behalf of the adult.
e. A protective services order shall not exceed 30 days but may be continued for an additional 30-day period upon application of the county director or his designee and proof that the vulnerable adult would suffer a substantial risk of physical harm or deterioration if the protective services were withdrawn. The court shall not grant any further renewal of the order.
##### **§ 52:27D-415** Permanent changes in living situation not authorized {#sec-52-27d-415 omnilex-key=us-nj-statutes--title-52--52:27D-415}
10. Permanent changes in the living situation of an abused, neglected or exploited vulnerable adult shall not be made under authority of this act. If a permanent change in the living situation or nonemergency medical treatment are necessary, the appropriate guardianship, conservatorship or civil commitment action shall be initiated by the county adult protective services provider pursuant to applicable State law.
##### **§ 52:27D-416** Legal action {#sec-52-27d-416 omnilex-key=us-nj-statutes--title-52--52:27D-416}
11. In order to protect a vulnerable adult, the county director or his designee may initiate appropriate legal action including, but not limited to, petitioning for guardianship or conservatorship.
##### **§ 52:27D-417** Motion for review of court order {#sec-52-27d-417 omnilex-key=us-nj-statutes--title-52--52:27D-417}
12. The vulnerable adult, or individual or organization designated responsible for the provision of protective services for the vulnerable adult, has the right to bring a motion for review of a court order issued pursuant to this act, notwithstanding a finding by the court of a lack of capacity to consent to protective services.
##### **§ 52:27D-418** Payments {#sec-52-27d-418 omnilex-key=us-nj-statutes--title-52--52:27D-418}
13. The court may order payments to be made by or on behalf of the vulnerable adult for protective services from his own estate.
##### **§ 52:27D-419** Report of alleged criminal act {#sec-52-27d-419 omnilex-key=us-nj-statutes--title-52--52:27D-419}
14. If the county director or his designee has reasonable cause to believe that a caretaker or other person has committed a criminal act against a vulnerable adult including, but not limited to, P.L.1989, c.23 (C.2C:24-8), he shall immediately report the information to local law enforcement officials or the prosecutor of the county in which the alleged criminal act was committed. If the report is made orally, a written report shall follow in a timely manner.
##### **§ 52:27D-420** Confidentiality of records, communications {#sec-52-27d-420 omnilex-key=us-nj-statutes--title-52--52:27D-420}
15. All records and communications pertaining to any report, evaluation, or service provided pursuant to this act are confidential. All third party information, together with the identities of the reporters, witnesses and the adults allegedly in need of protective services are confidential, except disclosures which may be necessary for the commissioner or the county adult protective services provider to perform his duties and to support any findings that may result from the evaluation of a report.
##### **§ 52:27D-421** Central registry {#sec-52-27d-421 omnilex-key=us-nj-statutes--title-52--52:27D-421}
16. The commissioner shall establish a central registry for the receipt and maintenance of all reports of suspected abuse, neglect and exploitation of vulnerable adults. The department shall compile and maintain in the central registry demographic data on vulnerable adults, Statewide statistics related to abuse, neglect and exploitation and other information submitted by county adult protective services providers.
##### **§ 52:27D-422** Training program {#sec-52-27d-422 omnilex-key=us-nj-statutes--title-52--52:27D-422}
17. The commissioner or his designee shall establish a training program for county protective services provider staff which shall be offered at least annually and shall include a minimum of 90 classroom hours. This training shall be required during the first year of employment with an adult protective services provider.
##### **§ 52:27D-423** Rules, regulations {#sec-52-27d-423 omnilex-key=us-nj-statutes--title-52--52:27D-423}
18. The commissioner shall adopt rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as may be deemed necessary to effectuate the purposes of this act. The rules and regulations shall include but, not be limited to:
a. Procedures for intervention and gaining access by a county protective services provider to a vulnerable adult who is the subject of a report of abuse, neglect or exploitation, including the safeguarding of that person's civil liberties;
b. Procedures for the reporting, collection, retention and use of information secured at the county and State levels to effectuate this act;
c. Procedures for maintaining confidentiality when required or when deemed necessary;
d. Procedures for the review and evaluation of the performance of a county protective services provider; and
e. Procedures for the reallocation of State funds by the director or his designee if programs and services do not meet the requirements of this act or rules established by the commissioner.
##### **§ 52:27D-424** Annual report {#sec-52-27d-424 omnilex-key=us-nj-statutes--title-52--52:27D-424}
19. The commissioner shall report annually to the Governor and the Legislature on the effectiveness of this act, and make recommendations for the prevention and alleviation of the abuse, neglect and exploitation of vulnerable adults.
##### **§ 52:27D-425** Nonapplicability of act {#sec-52-27d-425 omnilex-key=us-nj-statutes--title-52--52:27D-425}
20. Nothing in this act shall be deemed or construed to limit or preempt the provisions of P.L.1977, c.239 (C.52:27G-1 et seq.) regarding the institutionalized elderly.
##### **§ 52:27D-426** Transfer of funding, programs, positions. {#sec-52-27d-426 omnilex-key=us-nj-statutes--title-52--52:27D-426}
21. a. All funding, programs, and positions created to provide adult protective services are continued and shall be transferred to the Department of Human Services. The Department of Community Affairs shall provide the Department of Human Services with such information as the Department of Human Services requires to fulfill its federal funding and reporting requirements.
b. The transfers directed by this act shall be made in accordance with the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
##### **§ 52:27D-427** Definitions. {#sec-52-27d-427 omnilex-key=us-nj-statutes--title-52--52:27D-427}
14. As used in sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437):
"Business firm" means and includes any corporation, company, association, society, firm, partnership or joint stock company, or any sole proprietor, engaged in, advertising, or holding itself out to be in the business of lead evaluation or lead abatement.
"Commissioner" means the Commissioner of Community Affairs.
"Department" means the Department of Community Affairs.
"Interim controls" means a set of measures designed to reduce temporarily human exposure or likely exposure to lead-based paint hazards, including specialized cleaning, repairs, maintenance, painting, temporary containment, ongoing monitoring of lead-based paint hazards or potential hazards, and the establishment and operation of management and resident education programs, or as the term is defined under 42 U.S.C.s.4851b.
"Lead abatement" means a set of measures designed to permanently eliminate lead-based paint hazards in accordance with standards established by the commissioner in compliance with standards promulgated by the appropriate federal agencies. Such term includes:
a. the removal of lead-based paint and lead-contaminated dust, the permanent containment or encapsulation of lead-based paint, the replacement of lead-painted surfaces or fixtures, and the removal or covering of lead contaminated soil; and
b. all preparation, cleanup, disposal, and post-abatement clearance testing activities associated with such measures.
"Lead evaluation" means a surface-by-surface investigation to determine the presence of lead-based paint and the provision of a report explaining the results of the investigation.
"Lead hazard control work" means work to make housing lead-safe, or to mitigate, through the use of interim controls as permitted under federal law and as defined in 42 U.S.C.s.4851b, or to eliminate permanently lead-based paint hazards by abatement on a premises by a business firm certified to perform lead abatement work pursuant to sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 et al.).
"Lead-based paint" means paint or other surface coating material that contains lead in excess of 1.0 milligrams per centimeter squared or in excess of 0.5% by weight, or such other level as may be established by federal law.
"Lead-based paint hazard" means any condition that causes exposure to lead from lead-contaminated dust or soil or lead-contaminated paint that is deteriorated or present in surfaces, that would result in adverse human health effects.
"Lead-based paint hazard inspection" means an inspection of a housing unit and the structure's interior common areas and exterior surface for the presence of lead-based paint hazards.
"Lead safe maintenance work" means those maintenance activities which are necessary to maintain surfaces in a lead safe condition and to prevent lead-based paint hazards from occurring or reoccurring.
"Surface" means an area such as an interior or exterior wall, ceiling, floor, door, door frame, window sill, window frame, porch, stair, handrail and spindle, or other abradable surface, soil, furniture, a carpet, a radiator or a water pipe.
##### **§ 52:27D-428** Certification of business firms performing lead evaluation, abatement work. {#sec-52-27d-428 omnilex-key=us-nj-statutes--title-52--52:27D-428}
15. a. A business firm shall neither directly nor indirectly perform lead evaluation or abatement work without first obtaining certification from the department. Certification may be issued to perform lead evaluation or abatement work if the business firm employs or will employ sufficient numbers and types of personnel certified by the Department of Health pursuant to section 3 of P.L.1993, c.288 (C.26:2Q-3) to perform lead abatement work and meets all other requirements that the commissioner may establish pursuant to section 23 of P.L.1993, c.288 (C.52:27D-436). The certification shall be in writing, shall contain an expiration date, and shall be signed by the commissioner.
b. A person or business firm shall not undertake a project involving lead abatement work without first obtaining a construction permit for that project pursuant to section 12 of P.L.1975, c.217 (C.52:27D-130). No permit shall be issued for lead abatement work, except to:
(1) an owner undertaking work on his own premises using his own employees, if those employees are certified by the Department of Health pursuant to section 3 of P.L.1993, c.288 (C.26:2Q-3);
(2) a homeowner proposing to perform lead abatement work himself on a dwelling unit that he owns and occupies as a primary place of residence; or
(3) a business firm certified pursuant to this section to perform such work.
The issuance of a construction permit to an individual homeowner proposing to perform lead abatement work on a dwelling unit that he owns and occupies as a primary place of residence shall be accompanied by written information developed by the department explaining the dangers of improper lead abatement, procedures for conducting safe lead abatement, and the availability of certified lead abatement contractors, or of any available training for homeowners.
c. Nothing in this section shall be construed to restrict or otherwise affect the right of any business firm to engage in painting, woodworking, structural renovation, or other indoor or outdoor contracting services that may result in the disturbance of paint, or to engage in lead safe maintenance work or lead hazard control work, but a business firm shall not hold itself out as certified by the department or otherwise represent that it has specialized competency to perform lead evaluation or abatement work unless it has been certified or otherwise specifically authorized pursuant to this section.
A business firm that seeks to engage in lead safe maintenance work or lead hazard control work shall do so using only persons who, prior to engaging in such work, shall have completed such training courses as may be prescribed by the commissioner and provided by a training provider accredited by the Commissioner of Health.
A business firm that utilizes interim controls to reduce the risk of lead-based paint exposure shall utilize only those methods approved by the appropriate federal agencies, including specialized cleaning, repairs, maintenance, painting, temporary containment, ongoing monitoring of lead-based paint hazards or potential hazards, as may be set forth under 42 U.S.C.s.4851b, or those methods set forth in guidelines established by the commissioner, but shall not be required to be certified pursuant to this section unless performing lead abatement.
##### **§ 52:27D-429** Certification regulations {#sec-52-27d-429 omnilex-key=us-nj-statutes--title-52--52:27D-429}
16. The certification required pursuant to section 15 of P.L.1993, c.288 (C.52:27D-428) shall be for a period not to exceed two years and shall not be transferable. A business firm may apply for recertification during the 90-day period before the certification expiration date, or the 90-day period after the certification expiration date; except that if a business firm applies after the certification expiration date, the firm shall not perform any services for which certification is required until the certification is renewed. If a certification has expired for more than 90 days, the business firm is required to obtain a new certification.
A copy of the certification shall be conspicuously displayed for public review in the business office of a business firm engaged in the business of abating lead-based paint hazards or conducting lead evaluations. Additionally, the certification number shall be displayed on all business vehicles and at all lead abatement or lead evaluation jobs in progress.
A certification or recertification shall not be issued until a certification fee has been paid in full to the department. The commissioner shall establish application and certification fees by regulation pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), in an amount sufficient to cover the costs to the department of administering and enforcing the provisions of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437).
##### **§ 52:27D-430** Regulations, requirements, guidelines {#sec-52-27d-430 omnilex-key=us-nj-statutes--title-52--52:27D-430}
17. The commissioner may adopt regulations, including amendments to the Uniform Construction Code, N.J.A.C.5:23-1.1 et seq., prescribing standards, including appropriate training and certification requirements, governing safe practices for construction work that, although not a lead abatement, may create a lead hazard to an occupant of a building or structure. In addition, the commissioner may adopt any applicable requirements or guidelines established by federal law or regulation.
##### **§ 52:27D-431** Enforcement by commissioner, representative {#sec-52-27d-431 omnilex-key=us-nj-statutes--title-52--52:27D-431}
18. Sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437) shall be enforced by the commissioner or his representative who shall have the right of entry to all premises at which the department has reason to believe that lead abatement or evaluation activities may have taken place or are taking place or to any premises used or occupied by a business firm subject to sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437); and the right to review any records for the purposes of inspection or investigation.
##### **§ 52:27D-432** Denial, suspension, conditions upon, revocation, refusal to renew certification {#sec-52-27d-432 omnilex-key=us-nj-statutes--title-52--52:27D-432}
19. a. The department may deny, suspend, impose conditions upon, revoke, or refuse to renew a certification for good cause, including:
(1) violating, or abetting another to commit a violation of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437);
(2) making a false statement on an application for certification, or in providing other information required by the department;
(3) misrepresentation of qualifications, or fraudulently obtaining certification;
(4) engaging in practices during lead abatement work contrary to safe procedures established therefor; and
(5) employing persons to perform lead abatement or lead evaluation work who are not certified pursuant to section 3 of P.L.1993, c.288 (C.26:2Q-3) to perform such work.
b. A business firm whose application or certification is denied, suspended, conditionally issued, revoked, or not renewed is entitled to a hearing pursuant to the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
c. Denial of, suspension of, the imposition of conditions upon, revocation of, or refusal to renew a certification shall not limit the department from pursuing against the applicant or certificate holder any other lawful remedy available to the department.
d. A business firm whose certification has been revoked shall be ineligible to apply for certification for three years from the date of revocation. This ineligibility shall extend to any other business firm having any proprietor, officer, director, general partner, or shareholder or limited partner with at least a 10% interest, in common with the business firm whose certification was revoked.
##### **§ 52:27D-433** Civil actions for injunctive relief to enforce, prevent violations {#sec-52-27d-433 omnilex-key=us-nj-statutes--title-52--52:27D-433}
20. If the department has reason to believe that a condition exists that poses an imminent threat to the public health, safety or welfare, the department may initiate a civil action in a court of competent jurisdiction for injunctive relief to enforce or prevent a violation of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437). The court may proceed in the action in a summary manner.
##### **§ 52:27D-434** Violators guilty of disorderly persons offense, corporate liability {#sec-52-27d-434 omnilex-key=us-nj-statutes--title-52--52:27D-434}
21. Any person who knowingly or purposely:
a. hinders or delays the department in the enforcement of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437);
b. fails to obtain certification required by sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437);
c. refuses to make his certification accessible to the commissioner; or
d. otherwise violates any provision of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437); is guilty of a disorderly persons offense. If the person is a corporation, all officers, directors, and shareholders owning at least a 10% interest in the corporation may be held liable for any violation by the corporation pursuant to this section.
##### **§ 52:27D-435** Imposition of administrative civil penalty, violation defined {#sec-52-27d-435 omnilex-key=us-nj-statutes--title-52--52:27D-435}
22. As an alternative, or in addition to the provisions of section 21 of P.L.1993, c.288 (C.52:27D-434), the commissioner may, subject to notice and hearing, impose an administrative civil penalty for a violation set forth in this section not to exceed $1,000 for the first offense and $5,000 for each subsequent offense. If the violation is of a continuing nature, each day it continues constitutes an additional and separate violation.
The penalty may be sued for and recovered by and in the name of the commissioner in a civil action in a court of competent jurisdiction by a summary proceeding under "the penalty enforcement law," N.J.S.2A:58-1 et seq. For the purposes of this act, the Superior Court and the municipal court shall have jurisdiction to enforce the provisions of "the penalty enforcement law."
The department may compromise and settle a claim for a penalty under this section in such amount as the department determines to be appropriate and equitable.
a. As used in this section, a violation shall include the:
(1) obstructing, hindering, delaying or interfering by force or otherwise with the commissioner in the exercise of any power or the discharge of any function or duty pursuant to the provisions of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437);
(2) preparing, uttering or rendering of any false statements, reports, documents, plans or specifications permitted or required pursuant to sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437); or
(3) refusal or failure to comply with a ruling, action, order or notice of the commissioner pursuant to sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437).
b. A person shall be deemed to have violated or caused to be violated the provisions of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437) if an officer, agent or employee under his control has violated or caused to be violated any provision of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437).
c. If a person subject to sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437) is a corporation, all officers, directors and shareholders having at least a 10% interest shall be jointly and individually liable for any violation by the corporation.
##### **§ 52:27D-436** Regulations, requirements, guidelines {#sec-52-27d-436 omnilex-key=us-nj-statutes--title-52--52:27D-436}
23. The department, in consultation with the Department of Health, shall adopt regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to implement the provisions of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437), including regulations prescribing standards for the performance of lead abatement work. Additionally, the commissioner may adopt any applicable requirements or guidelines established by federal law or regulation, including any requirements or guidelines that apply to homeowners or other property owners, notwithstanding that the requirements or guidelines may be inconsistent with the provisions of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437).
##### **§ 52:27D-437** Delegation of administrative, enforcement duties, functions {#sec-52-27d-437 omnilex-key=us-nj-statutes--title-52--52:27D-437}
24. The department shall delegate, by rule or by interagency agreement pursuant to R.S.52:14-4, to the Department of Labor, its administrative and enforcement duties and functions pursuant to the provisions of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437) relating to the certification of business firms to perform lead evaluation or abatement work on public buildings, commercial buildings, bridges or any other buildings or structures that do not contain dwelling units. When the Department of Labor receives such a delegation, the Department of Labor shall be reimbursed by the department in an amount that is sufficient to cover the costs incurred by the Department of Labor in administering and enforcing the provisions of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437). The costs incurred by the Department of Labor in administering and enforcing this act shall be annually certified by the Director of the Office of Management and Budget in the Department of the Treasury. The Department of Community Affairs shall have ultimate responsibility for ensuring that lead evaluation and abatement work on all buildings and structures conforms to the requirements of sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 through C.52:27D-437).
##### **§ 52:27D-437.1** Short title. {#sec-52-27d-437.1 omnilex-key=us-nj-statutes--title-52--52:27D-437.1}
1. This act shall be known and may be cited as the "Lead Hazard Control Assistance Act."
##### **§ 52:27D-437.2** Findings, declarations relative to lead hazard control. {#sec-52-27d-437.2 omnilex-key=us-nj-statutes--title-52--52:27D-437.2}
2. The Legislature finds and declares:
a. Lead is an element that has been used over the years in many products. The toxicity of lead has been known for several decades, causing its inclusion in products such as gasoline and residential paint to be banned by the federal government.
b. All animals and people can be negatively affected by lead, depending upon the amount, duration, and promptness of treatment. The range of health effects includes reduced stature, miscarriage, hypertension, and, most notably, neurological damage, particularly in children whose brains are developing.
c. Although a number of sources of lead exposure have been brought under control, environmental and public health professionals believe that the toxic metal lead is the number one environmental hazard facing children today. A substantial majority of lead exposure is derived from lead-based paint and dust.
d. Because of the age of New Jersey's housing stock, our State is among the states with the most serious risk of exposure from previous residential use of lead-based paint. It is estimated that there are about two million homes which were constructed in New Jersey prior to 1978, the year in which the sale of lead in paint for residential use was banned.
e. A comprehensive program to identify lead hazards in residential housing and also to identify housing which is safe from exposure to lead hazards is necessary in order to eradicate the major source of lead exposure to our State's children. The Legislature further finds that children living in rental housing are particularly at risk to exposure from lead because tenants do not have the requisite control over rental units to abate lead hazards from the property. Therefore, the comprehensive program will emphasize methods to safeguard children residing in rental housing and require the State to track the progress of making all of New Jersey's rental housing stock more lead safe.
##### **§ 52:27D-437.3** Definitions relative to lead hazard control. {#sec-52-27d-437.3 omnilex-key=us-nj-statutes--title-52--52:27D-437.3}
3. As used in this act:
"Commissioner" means the Commissioner of Community Affairs;
"Department" means the Department of Community Affairs;
"Eligible loan" means a loan made for the purpose of financing lead hazard control work in housing located in the State;
"Financial assistance" means loans and loan guarantees and grants;
"Fund" means the Lead Hazard Contro1 Assistance Fund established pursuant to section 4 of P.L.2003, c.311 (C.52:27D-437.4);
"Interim controls" means a set of measures designed to reduce temporarily human exposure or likely exposure to lead-based paint hazards, including specialized cleaning, repairs, maintenance, painting, temporary containment, ongoing monitoring of lead-based paint hazards or potential hazards, and the establishment and operation of management and resident education programs, or the term as it is defined under 42 U.S.C.s.4851b;
"Lead abatement" means a set of measures designed to permanently eliminate lead-based paint hazards in accordance with standards established by the commissioner, provided that such standards shall be consistent with applicable federal standards. The term includes:
a. the removal of lead-based paint and lead-contaminated dust, the permanent containment or encapsulation of lead-based paint, the replacement of lead-painted surfaces or fixtures, and the removal or covering of lead contaminated soil; and
b. all preparation, cleanup, disposal, and post-abatement clearance testing activities associated with such measures;
"Lead-based paint" means paint or other surface coating material that contains lead in excess of 1.0 milligrams per centimeter squared or in excess of 0.5% by weight, or such other level as may be established by federal law;
"Lead-based paint hazard" means any condition that causes exposure to lead from lead-contaminated dust or soil or lead-contaminated paint that is deteriorated or present in surfaces, that would result in adverse human health effects;
"Lead-based paint hazard inspection" means an inspection of a housing unit and the structure's interior common areas and exterior surface for the presence of lead-based paint hazards;
"Lead-safe housing" means housing in which a lead-based paint hazard risk has been significantly reduced through the use of interim controls as permitted under federal law and as defined in 42 U.S.C. s.4851b, housing that is lead-free or housing in which lead abatement has been performed;
"Lead hazard control work" means work to make housing lead-safe, or to mitigate, through the use of interim controls as permitted under federal law and as defined in 42 U.S.C.s.4851b, or to eliminate permanently lead-based paint hazards on a premises by a business firm or person certified to perform lead abatement work pursuant to sections 1 through 12 of P.L.1993, c.288 (C.26:2Q-1 et seq.) and sections 14 through 24 of P.L.1993, c.288 (C.52:27D-427 et seq.) and the costs of temporary relocation, determined by the commissioner to be necessary pursuant to rules prescribed by the commissioner, while lead hazard control work is being performed. The determination of the commissioner shall be subject to review and appeal pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.);
"Multifamily housing" means a dwelling unit in a multiple dwelling as defined in section 3 of P.L.1967, c.76 (C.55:13A-3);
"Project" means a group of buildings subject to P.L.1967, c.76 (C.55:13A-1 et seq.), as defined in section 3 of P.L.1967, c.76 (C.55:13A-3).
##### **§ 52:27D-437.4** "Lead Hazard Control Assistance Fund." {#sec-52-27d-437.4 omnilex-key=us-nj-statutes--title-52--52:27D-437.4}
4. a. There is hereby established in the department the "Lead Hazard Control Assistance Fund" hereinafter referred to as the "fund," which shall be continuing and nonlapsing, for the purpose of funding loans and grants authorized pursuant to P.L.2003, c.311 (C.52:27D-437.1 et al.). Moneys in the fund not immediately required for payment or liquid reserves may be invested and reinvested by the department in the same manner in which other department funds may be invested.
b. There shall be paid into the fund:
(1) moneys deposited into the fund as repayment of principal and interest on outstanding loans made from the fund;
(2) any income earned upon investment of moneys in the fund by the department pursuant to subsection a. of this section; and
(3) any other funds that may be available to the fund through appropriation by the Legislature or otherwise.
c. Moneys in the fund shall be used exclusively for:
(1) funding loans and grants made by the department pursuant to section 5 of P.L.2003, c.311 (C.52:27D-437.5);
(2) public education for the prevention of lead poisoning; and
(3) defraying the administrative costs of the department in carrying out the purposes and provisions of P.L.2003, c.311 (C.52:27D-437.1 et al.) up to an amount not to exceed 5% of the total moneys appropriated to the fund during the fiscal year. The department shall determine the amounts to be made available from the fund for the purposes of grants and loans, respectively, on an annual basis.
d. All balances in the Lead Hazard Control Assistance Fund are appropriated for the purposes of the fund.
##### **§ 52:27D-437.5** Grants, loans. {#sec-52-27d-437.5 omnilex-key=us-nj-statutes--title-52--52:27D-437.5}
5. a. The department is hereby authorized to provide financial assistance in the form of grants or loans, or a combination thereof, with moneys available from the fund to eligible owners of multifamily housing and to eligible owners of single-family and two-family homes, whether or not utilized as rental housing, for lead hazard control work, in compliance with the terms of P.L.2003, c.311 (C.52:27D-437.1 et al.) and subject to the conditions set forth in this section. "Eligible owner" shall mean an owner who provides proof to the satisfaction of the department of the presence of a lead-based paint hazard on the owner's property.
b. Financial assistance in the form of a loan may be provided to an eligible owner of multifamily housing, a single-family home or a two-family home based on the owner's ability to repay the loan as determined by the department.
c. Financial assistance shall be provided for a period to be determined by the department.
d. The department may provide financial assistance, upon application therefor, for up to 100% of the costs of lead hazard control work, including associated lead evaluation costs, and for temporary relocation assistance, except that no award of financial assistance for a dwelling unit may exceed $150,000.
e. Financial assistance provided in the form of a loan shall be secured by a lien upon the real property on which the lead hazard control work is performed, with respect to which the financial assistance is made and other such collateral as the department may consider necessary to secure the interests of the fund in accordance with the provisions and purposes of P.L.2003, c.311 (C.52:27D-437.1 et al.). The department may, if it deems necessary, require the financial assistance to be secured by a personal loan guarantee by the owner of the property or by a lien upon other real property belonging to the person to whom the loan is made. The department may authorize a loan in conjunction with an award of a grant for a partial or the total amount of the costs of lead hazard control work.
f. The department shall establish a program to provide the grants authorized pursuant to this section, including grants to remediate lead-based paint hazards identified by a permanent local agency or lead evaluation contractor during an inspection conducted pursuant to P.L.2021, c.182 (C.52:27D-437.16 et al.). Grants shall not be made available to owners of multiple dwellings comprising more than four separate dwelling units. Priority shall not be granted to any applicant on the basis of the location of the housing. Priority may be given, however, to those residences in which children under the age of six reside, as well as for remediation for lead-based paint hazards identified by a permanent local agency or lead evaluation contractor during an inspection conducted pursuant to P.L.2021, c.182 (C.52:27D-437.16 et al.). The department may award the grants on a pro-rata basis to the applicants, if there is an insufficient amount in the fund to award grants for the full amount of the projected cost of the lead hazard control work.
##### **§ 52:27D-437.6** Rules, regulations. {#sec-52-27d-437.6 omnilex-key=us-nj-statutes--title-52--52:27D-437.6}
6. The Commissioner of Community Affairs shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations necessary to effectuate the provisions of P.L.2003, c.311 (C.52:27D-437.1 et al.), including, but not limited to: the issuance of loans and grants, lead-based paint hazard inspections and evaluations, lead hazard control work, and training courses for persons engaged in lead-safe maintenance work or lead hazard control work. These regulations shall allow for certified third party risk assessors to provide assurance that rental properties meet the standards established for subsection (w) of section 7 of P.L.1967, c.76 (C.55:13A-7) as added by P.L.2003, c.311. Property owners using such third party risk assessors shall provide evidence of compliance at the time of the cyclical inspection carried out under the "Hotel and Multiple Dwelling Law," P.L.1967, c.76 (C.55:13A-1 et seq.) or under section 1 of P.L.2007, c.251 (C.55:13A-12.2). Notwithstanding this intent the department shall maintain existing authority to respond to tenant complaints related to subsection (w) of section 7 of P.L.1967, c.76 (C.55:13A-7) as added by P.L.2003, c.311.
##### **§ 52:27D-437.7** Registry of loan, grant projects. {#sec-52-27d-437.7 omnilex-key=us-nj-statutes--title-52--52:27D-437.7}
7. Whenever a loan or grant is provided pursuant to P.L.2003, c.311 (C.52:27D-437.1 et al.), the address of the multifamily housing, single-family home or two-family home and the details concerning the project shall be entered into a registry which shall be maintained by the department. The department shall enter onto the registry information for any other housing which it may have concerning the lead-safe status of such housing. The housing shall be categorized as either:
a. lead-free, which shall include any housing constructed after 1977 and housing certified to be free of lead-based paint by a certified inspector;
b. lead-abated, including housing where lead-based paint hazards have been permanently abated;
c. lead-hazard controlled, including housing in which preventative maintenance practices and interim controls have been implemented; or
d. lead-free interior, which shall include housing certified to have a lead-free interior by a certified inspector.
The purpose of the registry shall be to supply a list from which lead-safe housing can be easily identified, and through which the State's progress in rendering housing lead hazard controlled may be tracked.
##### **§ 52:27D-437.8** Review of cases of immediate risk by commissioner; liability for relocation costs. {#sec-52-27d-437.8 omnilex-key=us-nj-statutes--title-52--52:27D-437.8}
8. a. The Commissioner of Community Affairs shall review any case referred to the department in which a lead hazard condition has been found to exist and which poses an immediate risk of continuing exposure to lead hazard for any children living in the housing. If the lead hazard has been found to exist in a rental housing unit, the commissioner shall determine whether the removal of the residents from the rental housing unit containing that lead hazard is warranted.
b. If the commissioner determines that the removal and relocation of the residents from such housing is warranted, then the commissioner shall authorize the payment of relocation assistance pursuant to P.L.2003, c.311 (C.52:27D-437.1 et al.), and shall assist in the relocation of such residents to lead-safe housing.
c. Whenever relocation assistance is authorized pursuant to this section, the commissioner may determine to seek reimbursement for payments made for relocation assistance from the owner of the rental housing from which the tenants were moved. The commissioner shall seek reimbursement if the owner of such rental housing had failed to maintain the housing in a lead-safe condition.
d. In the case of any displacement of a household from a unit of rental housing that has been found, in a final administrative or judicial determination, not to be maintained in lead-safe condition in accordance with standards established by rule of the Department of Community Affairs or by municipal ordinance, all relocation costs incurred by a public agency to relocate that household shall be paid by the owner of the rental housing to the public agency making relocation payments upon presentation to the owner by the public agency of a statement of those relocation costs and of the date upon which the relocation costs are due and payable.
e. In the event that the relocation costs to be paid to the public agency are not paid within ten days after the due date, interest shall accrue and be due to the public agency on the unpaid balance at the rate of 18% per annum until the costs, and the interest thereon, shall be fully paid to the public agency.
f. In the event that the relocation costs to be paid to a public agency shall not be paid within ten days after the date due, the unpaid balance thereof and all interest accruing thereon shall be a lien on the parcel in which the dwelling unit from which displacement occurred is located. To perfect the lien granted by this section, a statement showing the amount and due date of the unpaid balance and identifying the parcel, which identification shall be sufficiently made by reference to the municipal assessment map, shall be recorded with the clerk or register of the county in which the affected property is located and, upon recording, the lien shall have the priority of a mortgage lien. Whenever relocation costs with regard to the parcel and all interest accrued thereon shall have been fully paid to the public agency, the statement shall be promptly withdrawn or canceled by the public agency.
g. In the event that relocation costs to be paid to a public agency are not paid as and when due, the unpaid balance thereof and all interest accrued thereon, together with attorney's fees and costs, may be recovered by the public agency in a civil action as a personal debt of the owner of the property. If the owner is a corporation, the directors, officers and any shareholders who each control more than 5% of the total voting shares of the corporation, shall be personally liable, jointly and severally, for the relocation costs.
h. All rights and remedies granted by this section for the collection and enforcement of relocation costs shall be cumulative and concurrent.
##### **§ 52:27D-437.9** Emergency Lead Poisoning Relocation Fund. {#sec-52-27d-437.9 omnilex-key=us-nj-statutes--title-52--52:27D-437.9}
9. a. There is created in the State Treasury an account which shall be called the Emergency Lead Poisoning Relocation Fund. There is appropriated, from the funds in the "Catastrophic Illness in Children Relief Fund," established pursuant to section 3 of P.L.1987, c.370 (C.26:2-150), $1,000,000 for the purpose of emergency relocation assistance for lead poisoned children for deposit into the Emergency Lead Poisoning Relocation Fund.
b. Whenever a child who has tested positive for lead poisoning is removed from his dwelling unit in connection with an order to abate a lead-based paint hazard from a local or State health official, or upon the order of the Commissioner of Community Affairs, payments from the fund created pursuant to this section shall be authorized for the purpose of providing emergency relocation assistance to that child and the child's family.
c. All balances in the Emergency Lead Poisoning Relocation Fund are appropriated for the purposes of that fund.
d. Notwithstanding any other provision of law to the contrary, a payment made from the funds appropriated from the "Catastrophic Illness in Children Relief Fund" for the purposes in this section shall be authorized regardless of whether the relocation assistance is covered by any other State or federal program or any insurance contract and regardless of whether such expense will exceed 10% of the first $100,000 of annual income of a family plus 15% of the excess income over $100,000 provided that if reimbursement is received from the landlord, federal or State sources or from insurance proceeds, such reimbursement shall be directed to reimburse the fund for expenses paid under this section. Payment limitations set forth in the "Relocation Assistance Act," P.L.1971, c.362 (C.20:4-1 et seq.) shall not apply to payments under this section.
##### **§ 52:27D-437.10** Additional fee per unit inspected. {#sec-52-27d-437.10 omnilex-key=us-nj-statutes--title-52--52:27D-437.10}
10. In addition to the fees permitted to be charged for inspection of multiple dwellings pursuant to section 13 of P.L.1967, c.76 (C.55:13A-13) and the fees that the commissioner shall establish for the inspection of single-family and two-family rental housing pursuant to P.L.2007, c.251 (C.55:13A-12.2 et al.), the department shall assess an additional fee of $20 per unit inspected for the purposes of P.L.2003, c.311 (C.52:27D-437.1 et al.) concerning lead hazard control work. In a common interest community, any inspection fee charged pursuant to this section shall be the responsibility of the unit owner and not the homeowners' association unless the association is the owner of the unit. The fees collected pursuant to this section shall be deposited into the "Lead Hazard Control Assistance Fund" established pursuant to section 4 of P.L.2003, c.311 (C.52:27D-437.4).
##### **§ 52:27D-437.11** Credit to fund of certain sales tax on paint, etc. {#sec-52-27d-437.11 omnilex-key=us-nj-statutes--title-52--52:27D-437.11}
11. a. There shall be credited to the "Lead Hazard Control Assistance Fund," established pursuant to section 4 of P.L.2003, c.311 (C.52:27D-437.4), for each State fiscal year commencing on and after July 1, 2004, an amount equivalent to the greater of $7,000,000 or the amount of revenue required to be set aside pursuant to subsection b. of this section.
b. There shall be set aside from the State revenue collected from the State tax imposed under the "Sales and Use Tax Act," pursuant to P.L.1966, c.30 (C.54:32B-1 et seq.), as amended and supplemented, or any other subsequent law of similar effect, an amount equal to the lesser of $0.50 or the tax imposed on every retail sale of a container of paint, or other surface coating material, which shall include any pigmented, liquid substance to be applied to surfaces by brush, roller, spray or other means, including but not limited to, white base paint and colorants; provided, however, that the total amount set aside pursuant to this section shall not exceed $14,000,000 annually.
c. The Director of the Division of Taxation shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations necessary to implement the provisions of this section.
##### **§ 52:27D-437.12** Exemptions from inspection. {#sec-52-27d-437.12 omnilex-key=us-nj-statutes--title-52--52:27D-437.12}
12. a. Notwithstanding any other provisions of this act, a dwelling unit shall not be subject to inspection and evaluation or subject to any fees for the presence of lead-based paint hazards if the unit:
(1) has been certified to be free of lead-based paint;
(2) was constructed during or after 1978;
(3) is a seasonal rental unit which is rented for less than six months' duration each year;
(4) has been certified as having a lead-free interior by a certified inspector; or
(5) is occupied by the owner of the dwelling unit.
b. In a common interest community, any inspection fee charged shall be the responsibility of the unit owner and not the homeowners' association unless the association is the owner of the unit.
##### **§ 52:27D-437.13** Inapplicability of payment limitations. {#sec-52-27d-437.13 omnilex-key=us-nj-statutes--title-52--52:27D-437.13}
16. The payment limitations set forth in the "Relocation Assistance Act," P.L.1971, c.362 (C.20:4-1 et seq.) shall not apply to payments made from the "Catastrophic Illness in Children Relief Fund," established pursuant to section 3 of P.L. 1987, c. 370 (C.26:2-150) for the purposes of relocating a lead-poisoned child pursuant to P.L.2003, c.311 (C.52:27D-437.1 et al.).
##### **§ 52:27D-437.14** Report to Legislature. {#sec-52-27d-437.14 omnilex-key=us-nj-statutes--title-52--52:27D-437.14}
21. On or before the last day of the 24th month ending after the effective date of P.L.2003, c.311 (C.52:27D-437.1 et al.), and each two years thereafter, the Commissioner of Community Affairs shall issue a report to the Legislature on the effectiveness of the provisions of P.L.2003, c.311 (C.52:27D-437.1 et al.), which report shall include:
a. Details on the number and amounts of loans and grants provided and the households served;
b. Information obtained and entered on the housing registry created pursuant to P.L.2003, c.311 (C.52:27D-437.1 et al.); and
c. The costs incurred and the revenues derived by the department in administering P.L.2003, c.311 (C.52:27D-437.1 et al.), including information regarding any fees which may be authorized to be charged or increased pursuant to P.L.2003, c.311 (C.52:27D-437.1 et al.).
##### **§ 52:27D-437.15** Modification of regulations concerning lead hazards. {#sec-52-27d-437.15 omnilex-key=us-nj-statutes--title-52--52:27D-437.15}
24. The Commissioner of Banking and Insurance and the Commissioner of Health shall consult with the Commissioner of Community Affairs and shall modify all regulations concerning lead hazards in accordance with the provisions of P.L.2003, c.311 (C.52:27D-437.1 et al.), to recognize lead hazard control work as an authorized alternative method to lead abatement in control of lead hazards.
##### **§ 52:27D-437.16** Definitions relative to lead-based paint hazards. {#sec-52-27d-437.16 omnilex-key=us-nj-statutes--title-52--52:27D-437.16}
1. a. As used in this section:
"Common area" means the interior portions of a building used for residential rental purposes that are generally accessible to residential tenants, but not including the interior of individual dwelling units. Common areas shall include, but not be limited to, hallways, stairs, foyers, basements, laundry rooms, and the interior of attached or detached garages, if the areas are generally accessible to residential tenants and the areas are not located within the interior of an individual dwelling unit.
"Dust wipe sampling" means a sample collected by wiping a representative surface and tested in accordance with a method approved by the United States Department of Housing and Urban Development.
"Dwelling unit" means a single-family living space, including a single family home, or an apartment, room, or rooms within a two-family or multiple-family building, that is occupied or intended to be occupied for sleeping or dwelling purposes by one or more persons living independently of persons in similar dwelling units.
"Planned real estate development" means a planned real estate development, as defined by section 3 of P.L.1977, c.419 (C.45:22A-23).
"Tenant turnover" means the time at which all existing occupants vacate a dwelling unit and all new tenants move into the dwelling unit.
"Visual assessment" means a visual examination for deteriorated paint or visible surface dust, debris, or residue.
b. (1) Subject to subsection c. of this section, in a municipality that maintains a permanent local agency for the purpose of conducting inspections and enforcing laws, ordinances, and regulations concerning buildings and structures within the municipality, either:
(a) the permanent local agency shall inspect each rental dwelling unit, and, in a building consisting of two or three dwelling units, the common area within each building that contains a rental dwelling unit and that is located within the municipality for lead-based paint hazards; or
(b) to provide for the inspection of each rental dwelling unit and, in a building consisting of two or three dwelling units, the common area within each building that contains a rental dwelling unit located within the municipality, the governing body shall enter into a contract with a lead evaluation contractor, certified to provide lead paint inspection services by the Department of Community Affairs, or enter into a shared service agreement with a local unit to inspect those rental dwelling units and the common areas for lead-based paint hazards.
A municipality shall cause the inspection of rental dwelling units and, in a building consisting of two or three dwelling units, common areas for lead-based paint hazards at tenant turnover or within three years of the effective date of P.L.2021, c.182 (C.52:27D-437.16 et al.), whichever is earlier. Thereafter, all such units shall be inspected for lead-based paint hazards the earlier of every three years or upon tenant turnover, except that an inspection upon tenant turnover shall not be required if the owner has a valid lead-safe certification pursuant to this section. The municipality shall charge the dwelling owner or landlord a fee sufficient to cover the cost of the inspection.
(2) Subject to subsection c. of this section, in a municipality that does not maintain a permanent local agency for the purpose of conducting inspections and enforcing laws, ordinances, and regulations concerning buildings and structures within the municipality, the governing body shall either enter into: a contract with a lead evaluation contractor, certified to provide lead paint inspection services by the Department of Community Affairs, or a shared service agreement with a local unit to inspect each rental dwelling unit and, in a building consisting of two or three dwelling units, the common areas within each building that contains a rental dwelling unit and that is located within the municipality for lead-based paint hazards.
A municipality shall cause the inspection of rental dwelling units for lead-based paint hazards at tenant turnover or within three years of the effective date of P.L.2021, c.182 (C.52:27D-437.16 et al.), whichever is earlier. Thereafter, all such units shall be inspected for lead-based paint hazards the earlier of every three years or upon tenant turnover, except that an inspection upon tenant turnover shall not be required if the owner has a valid lead-safe certification pursuant to this section. The municipality shall charge the dwelling owner or landlord a fee sufficient to cover the cost of the inspection, including the cost of hiring the lead evaluation contractor.
(3) A municipality shall permit the dwelling owner or landlord to directly hire a lead evaluation contractor who is certified to provide lead paint inspection services by the Department of Community Affairs to satisfy the requirements of paragraph (1) or (2) of this subsection.
(4) A permanent local agency or lead evaluation contractor with the duty to inspect single-family, two-family, and multiple rental dwellings pursuant to this section may consult with the local health board, the Department of Health, or the Department of Community Affairs concerning the criteria for the inspection and identification of areas and conditions involving a high risk of lead poisoning in dwellings, methods of detection of lead in dwellings, and standards for the repair of dwellings containing lead paint.
(5) Fees established pursuant to this subsection shall be dedicated to meeting the costs of implementing and enforcing this subsection and shall not be used for any other purpose.
c. Notwithstanding subsection b. of this section to the contrary, a dwelling unit shall not be subject to inspection and evaluation for the presence of lead-based paint hazards if the unit:
(1) has been certified to be free of lead-based paint;
(2) was constructed during or after 1978;
(3) is in a multiple-family building that has been registered with the Department of Community Affairs as a multiple family building for at least 10 years, either under the current or a previous owner, and has no outstanding lead-based paint violations from the two most recent cyclical inspections performed under the "Hotel and Multiple Dwelling Law," P.L.1967, c.76 (C.55:13A-1 et seq.);
(4) is a single-family or two-family seasonal rental dwelling which is rented for less than six months duration each year by tenants that do not have consecutive lease renewals; or
(5) has a valid lead-safe certification issued in accordance with this section.
d. (1) If a lead evaluation contractor or permanent local agency finds that a lead-based paint hazard exists in a dwelling unit upon conducting an inspection pursuant to this section, then the owner of the dwelling unit shall remediate the lead-based paint hazard by using abatement or lead-based paint hazard control methods, approved in accordance with the provisions of the "Lead Hazard Control Assistance Act," P.L.2003, c.311 (C.52:27D-437.1 et al.). Upon the remediation of the lead-based paint hazard, the lead evaluation contractor or permanent local agency shall conduct an additional inspection of the unit to certify that the hazard no longer exists.
(2) If a lead evaluation contractor or permanent local agency finds that no lead-based paint hazards exist in a dwelling unit upon conducting an inspection pursuant to this section or following remediation of a lead-based paint hazard pursuant to paragraph (1) of this subsection, then the lead evaluation contractor or permanent local agency shall certify the dwelling unit as lead-safe on a form prescribed by the Department of Community Affairs as provided for in regulations or guidance promulgated pursuant to section 8 of P.L.2021, c.182 (C.52:27D-437.20). The lead-safe certification provided to the property owner by the lead evaluation contractor or permanent local agency pursuant to this paragraph shall be valid for three years.
e. Beginning on the effective date of P.L.2021, c.182 (C.52:27D-437.16 et al.), property owners shall:
(1) (Deleted by amendment, P.L.2024, c.74)
(2) provide evidence of a valid lead-safe certification obtained pursuant to this section to new tenants of the property at the time of tenant turnover unless not required to have had an inspection by a lead evaluation contractor or permanent local agency pursuant to paragraphs (1), (2), (3), or (4) of subsection c. of this section and shall affix a copy of such certification as an exhibit to the tenant's or tenants' lease; and
(3) maintain a record of the lead-safe certification which shall include the name or names of the unit's tenant or tenants, if the inspection was conducted during a period of tenancy, unless not required to have had an inspection by a lead evaluation contractor or permanent local agency pursuant to paragraphs (1), (2), (3), or (4) of subsection c. of this section.
f. Each municipality shall deliver to the Department of Community Affairs a list identifying each dwelling unit inspected pursuant to this section and each dwelling unit determined to contain a lead-based paint hazard. The department shall, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), submit an annual report to the Legislature indicating the number of inspected dwelling units identified to have lead-based paint hazards. The report shall list the number of inspected dwellings and dwelling units identified to have lead-based paint hazards within each county.
g. (1) If a dwelling is located in a municipality in which less than three percent of children tested, six years of age or younger, have a blood lead reference value greater than or equal to five ug/dL or any other blood lead level adopted by the Department of Health, according to the central lead screening database maintained by the Department of Health pursuant to section 5 of P.L.1995, c.328 (C.26:2-137.6), or according to other data deemed appropriate by the Commissioner of Community Affairs, then a lead evaluation contractor or permanent local agency may inspect for lead-based paint hazards through visual assessment. The Commissioner of Community Affairs may determine an appropriate blood lead reference value on the basis of multiple years of data.
(2) If a dwelling unit is located in a municipality in which at least three percent of children tested, six years of age or younger, have a blood lead reference value greater than or equal to five ug/dL or any other blood lead level adopted by the Department of Health, according to the central lead screening database maintained by the Department of Health pursuant to section 5 of P.L.1995, c.328 (C.26:2-137.6), or according to other data deemed appropriate by the Commissioner of Community Affairs, then a lead evaluation contractor or permanent local agency shall inspect for lead-based paint hazards through dust wipe sampling. The Commissioner of Community Affairs may determine an appropriate blood lead reference value on the basis of multiple years of data. The disclosure of this data for the purposes of this section shall not constitute the disclosure of the identity of a child pursuant to section 5 of P.L.1995, c.328 (C.26:2-137.6).
(3) If a lead hazard is identified in an inspection of one of the dwelling units in a building consisting of two- or three-dwelling units, then the lead evaluation contractor or permanent local agency shall inspect the remainder of the building's dwelling units for lead hazards, with the exception of dwelling units that have been certified to be lead-safe. The lead evaluation contractor or permanent local agency may charge fees in accordance with this section for such additional inspections.
(4) If a dwelling owner or landlord directly hires a lead evaluation contractor who is certified to provide lead paint inspection services by the Department of Community Affairs to complete the inspection required under paragraph (1) of this subsection, then the owner may elect to have the inspection performed through dust wipes in lieu of visual examination.
h. In addition to the fees permitted to be charged for inspection of rental housing pursuant to this section, each municipality shall assess an additional fee of $20 per unit inspected by a certified lead evaluation contractor or permanent local agency for the purposes of the "Lead Hazard Control Assistance Act," P.L.2003, c.311 (C.52:27D-437.1 et al.) concerning lead hazard control work, unless the unit owner demonstrates that the Department of Community Affairs has already assessed an additional inspection fee of $20 pursuant to the provisions of section 10 of P.L. 2003, c. 311 (C.52:27D-437.10). In a planned real estate development, any inspection fee charged pursuant to this subsection shall be the responsibility of the unit owner and not the homeowners' association, unless the association is the owner of the unit. The fees collected pursuant to this subsection shall be deposited into the "Lead Hazard Control Assistance Fund" established pursuant to section 4 of P.L.2003, c.311 (C.52:27D-437.4).
##### **§ 52:27D-437.17** Statewide multifaceted, ongoing educational program relative to lead-based paint hazards. {#sec-52-27d-437.17 omnilex-key=us-nj-statutes--title-52--52:27D-437.17}
2. a. The Department of Community Affairs, in consultation with the Department of Health, shall establish a Statewide educational program designed to meet the needs of tenants, property owners, realtors and real estate agents, insurers and insurance agents, and local building officials about the nature of lead-based paint hazards, the importance of lead-based paint hazard control and mitigation, and the responsibilities set forth in P.L.2021, c.182 (C.52:27D-437.16 et al.). In developing this program, the department shall:
(1) create an electronic version of the program which shall be available on the Internet. The program shall not exceed three hours;
(2) promulgate, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules for the dissemination of information about the requirements of P.L.2021, c.182 (C.52:27D-437.16 et al.) to all prospective owners of pre-1978 dwellings during the real estate transaction, settlement, or closing;
(3) provide updated educational materials regarding amendments to P.L.2021, c.182 or changes to the regulations adopted pursuant thereto; and
(4) solicit requests to enter into ongoing, funded partnerships to provide specific counseling information services to tenants and affected parties on their rights and responsibilities with regard to lead-based paint hazards and lead poisoning.
b. (Deleted by amendment, P.L.2024, c.74)
c. (Deleted by amendment, P.L.2024, c.74)
##### **§ 52:27D-437.18** Disclosure requirement prohibition for application for lead remediation funding. {#sec-52-27d-437.18 omnilex-key=us-nj-statutes--title-52--52:27D-437.18}
3. In association with an application for lead remediation funding provided pursuant to the "Lead Hazard Control Assistance Fund" established pursuant to section 4 of P.L.2003, c.311 (C.52:27D-437.4), or any other program administered for lead remediation purposes by the Department of Community Affairs, the department shall not request or require that a property owner disclose the social security number of any person renting the property or otherwise associated with the inspected property other than the property owner. This disclosure requirement prohibition shall apply to an application for assistance, funded and administered by the State, for lead remediation purposes.
##### **§ 52:27D-437.19** Investigations of complaint; penalties. {#sec-52-27d-437.19 omnilex-key=us-nj-statutes--title-52--52:27D-437.19}
4. a. Upon the filing of a complaint with the department or of the commissioner's own accord, the commissioner shall be authorized to conduct investigations and issue penalties against a municipality for its failure to comply with subsection b. of section 1 of P.L.2021, c.182 (C.52:27D-437.16).
b. A municipality or its permanent local agency shall be authorized to conduct investigations and issue penalties not inconsistent with this subsection to enforce a property owner's failure to comply with paragraph (1) of subsection d. of section 1, or subsection e. of section 1 of P.L.2021, c.182 (C.52:27D-437.16). If the municipality or permanent local agency determines that a property owner has failed to comply with a provision of P.L.2021, c.182 (C.52:27D-437.16 et al.) with respect to a rental dwelling unit owned by the property owner, the property owner shall first be given 30 days to cure any violation by conducting the required inspection or initiate any required remediation efforts. If the property owner has not cured the violation after 30 days, the property owner shall be subject to a penalty not to exceed $1,000 per week until the required inspection has been conducted or remediation efforts have been initiated.
##### **§ 52:27D-437.20** Rules, regulations. {#sec-52-27d-437.20 omnilex-key=us-nj-statutes--title-52--52:27D-437.20}
8. a. The Commissioner of Community Affairs, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations to effectuate the provisions of P.L.2021, c.182 (C.52:27D-437.16 et al.). Additionally, as soon as possible following the enactment of P.L.2021, c.182 (C.52:27D-437.16 et al.), the commissioner shall take steps necessary to ensure that municipal officials are informed of the responsibilities of municipalities established by P.L.2021, c.182 (C.52:27D-437.16 et al.).
b. Notwithstanding the limitations established in section 1 of P.L. 2011, c.215 (C.52:14B-3a) on the use of regulatory guidance documents, the commissioner shall prepare and disseminate regulatory guidance documents as defined in subsection d. of section 1 of P.L. 2011, c.215 (C.52:14B-3a), in advance of the adoption of regulations as necessary for the administration of P.L.2021, c.182 (C.52:27D-437.16 et al.), for purposes including but not limited to: (1) providing guidance on the procedures required for lead inspection and remediation, and (2) the existing certifications, or educational requirements, that shall qualify a person as a lead evaluation contractor.
##### **§ 52:27D-438** Short title. {#sec-52-27d-438 omnilex-key=us-nj-statutes--title-52--52:27D-438}
1. This act shall be known and may be cited as the "Energy Tax Receipts Property Tax Relief Act."
##### **§ 52:27D-439** "Energy Tax Receipts Property Tax Relief Fund." {#sec-52-27d-439 omnilex-key=us-nj-statutes--title-52--52:27D-439}
2. a. Commencing July 1, 1997 there is established the "Energy Tax Receipts Property Tax Relief Fund" as a special dedicated fund in the State Treasury into which there shall be credited annually, commencing in State fiscal year 1998, the sum of $740,000,000 or the amount determined pursuant to subsection e. of this section from the following: net payments under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.) from sales and use of energy or utility services, net payments under the Corporation Business Tax Act (1945), P.L.1945, c.162 (C.54:10A-1 et seq.) from gas, electric, and gas and electric public utilities, whether municipal or otherwise, that were subject to tax pursuant to the provisions of P.L.1940, c.5 (C.54:30A-49 et seq.) prior to January 1, 1998, net payments under the Corporation Business Tax Act (1945), P.L.1945, c.162 (C.54:10A-1 et seq.) from telecommunications public utilities that were subject to tax pursuant to the provisions of P.L.1940, c.4 (C.54:30A-16 et seq.) as of April 1, 1997, net payments under P.L.1940, c.5 (C.54:30A-49 et seq.) from sewerage and water corporations, net payments under the "Transitional Energy Facility Assessment Act," P.L.1997, c.162 (C.54:30A-100 through C.54:30A-113), and such sums from the General Fund as may be necessary to provide that the annual amount credited to the fund shall equal $740,000,000 or the amount determined pursuant to subsection e. of this section.
b. Notwithstanding the provisions of P.L.1940, c.4 (C.54:30A-16 et seq.), P.L.1940, c.5 (C.54:30A-49 et seq.) and any other provision of law concerning the apportionment and distribution by the State of taxes paid by public utilities,
(1) There shall be paid during the State fiscal year 1998 and during each fiscal year thereafter from the "Energy Tax Receipts Property Tax Relief Fund" to the municipalities of the State the sum of $740,000,000 or the amount determined pursuant to subsection e. of this section.
(2) A portion of the $740,000,000 or the amount determined pursuant to subsection e. of this section shall be allocated in a manner that provides that each municipality shall receive an amount not less than the largest annual amount received or to be received by the municipality from:
(a) the distribution of $685,000,000 from the proceeds of the public utilities franchise and gross receipts taxes under P.L.1940, c.4 (C.54:30A-16 et seq.) and P.L.1940, c.5 (C.54:30A-49 et seq.) in calendar year 1994, 1995 or 1996; or
(b) the distribution of $685,000,000 from the proceeds of the public utilities franchise and gross receipts taxes under P.L.1940, c.4 (C.54:30A-16 et seq.) and P.L.1940, c.5 (C.54:30A-49 et seq.) or from taxes and assessments collected in replacement of such taxes as released by the Division of Local Government Services in the Department of Community Affairs as fiscal year 1998 estimated franchise and gross receipts taxes State aid distributions by municipality prior to the certification of apportionment of such funds by the Director of the Division of Taxation and the amounts required pursuant to subsection d. of this section.
(3) A portion of the $740,000,000 or the amount determined pursuant to subsection e. of this section shall be allocated in a manner that provides that each municipality shall receive an amount equal to the difference, if any, between the amount it received pursuant to paragraph (2) of this subsection and the sum of the amounts that the municipality received pursuant to the certification made in the 1997 calendar year released by the Division of Local Government Services in the Department of Community Affairs as the fiscal year 1998 estimated franchise and gross receipts taxes State aid distribution of $685,000,000 and the certification of the 1997 fiscal year distribution of $45,000,000.
(4) The portion of the $740,000,000 or the amount, not more than $755,000,000, determined pursuant to subsection e. of this section remaining after the allocations pursuant to paragraphs (2) and (3) of this subsection shall be distributed in proportion to the amounts distributed pursuant to paragraph (2) of this subsection.
c. (1) The funds distributed pursuant to paragraphs (2) and (4) of subsection b. of this section shall be distributed annually to municipalities on the following schedule: July 15, 35% of the total amount due; August 1, 10% of the total amount due; September 1, 30% of the total amount due; October 1, 15% of the total amount due; November 1, 5% of the total amount due; and December 1, 5% of the total amount due.
(2) The funds distributed pursuant to paragraph (3) of subsection b. of this section, prior to January 1, 2002 for all municipalities, and distributed after January 1, 2002 for municipalities operating on a State fiscal year basis, shall be distributed annually to those municipalities on or before June 30. The funds distributed after January 1, 2002 pursuant to paragraph (3) of subsection b. of this section to calendar year municipalities shall be distributed annually on or before July 15.
d. The allocation set forth in paragraph (2) of subsection b. of this section shall be adjusted to increase each appropriate municipal distribution by the amount necessary to:
(1) make corrections to apportionment valuations or distribution values made by the Director of the Division of Taxation in the Department of the Treasury pursuant to R.S.54:30-2; and
(2) correct equitable distortions, as determined by the State Treasurer, resulting from the application of section 2 of P.L.1980, c.10 (C.54:30A-24.1) and section 4 of P.L.1980, c.11 (C.54:30A-61.1).
The director shall report to the Legislature, on or before July 15, 1997, the amount and distribution of the corrections pursuant to paragraphs (1) and (2) of this subsection.
e. The amount credited to the "Energy Tax Receipts Property Tax Relief Fund" shall be $745,000,000 for State fiscal year 1999, $750,000,000 for each of State fiscal years 2000 and 2001, $755,000,000 for State fiscal year 2002, and for each fiscal year thereafter the amount equal to the amount credited in the prior fiscal year multiplied by the sum of 1.0 and the index rate or zero, whichever is greater. As used in this section, "index rate" means the rate of annual percentage increase, rounded to the nearest half-percent, in the Implicit Price Deflator for State and Local Government Purchases of Goods and Services, computed and published quarterly by the United States Department of Commerce, Bureau of Economic Analysis, calculating the annual increase therein at the second calendar quarter which occurred in the next preceding State fiscal year. The Director of the Division of Local Government Services shall promulgate annually the index rate to apply in the next following State fiscal year which shall be the same as the index rate determined pursuant to section 4 of P.L.1983, c.49 (C.40A:4-45.1a). Any amount of aid distributed to a municipality in excess of the amount distributed to the municipality from the "Energy Tax Receipts Property Tax Relief Fund" during the State fiscal year 2002 shall be used solely and exclusively by each municipality for the purpose of reducing the amount the municipality is required to raise by local property tax levy for municipal purposes.
f. Notwithstanding any other provision of this section or any other provision of law to the contrary, if any municipality paid a county for an amount for county purposes from the amount it received from its apportionment of taxes according to the limitations on the municipalities apportionment under section 4 of P.L.1980, c.11 (C.54:30A-61.1), the highest amount of that payment during calendar years 1994, 1995, and 1996 shall be paid annually directly to that county by the State Treasurer and be deducted from that municipality's distribution otherwise determined pursuant to paragraph (2) of subsection b. of this section.
##### **§ 52:27D-440** Excess of net tax payments credited to fund, additional aid. {#sec-52-27d-440 omnilex-key=us-nj-statutes--title-52--52:27D-440}
3. If, in any State fiscal year, net payments under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.) from sales and use of energy or utility services, net payments under the Corporation Business Tax Act (1945), P.L.1945, c.162 (C.54:10A-1 et seq.) from gas, electric, and gas and electric public utilities, whether municipal or otherwise, that were subject to tax pursuant to the provisions of P.L.1940, c.5 (C.54:30A-49 et seq.) prior to January 1, 1998, net payments under the Corporation Business Tax Act (1945), P.L.1945, c.162 (C.54:10A-1 et seq.) from telecommunications public utilities that were subject to tax pursuant to the provisions of P.L.1940, c.4 (C.54:30A-16 et seq.) as of April 1, 1997, net payments under P.L.1940, c.5 (C.54:30A-49 et seq.) from sewerage and water corporations, net payments under the "Transitional Energy Facility Assessment Act," P.L.1997, c.162 (C.54:30A-100 through C.54:30A-113) exceed $1,425,000,000, 75% of that amount of net payments in excess of $1,425,000,000 shall be credited to the "Energy Tax Receipts Property Tax Relief Fund" in addition to the amount credited pursuant to section 2 of P.L.1997, c.167 (C.52:27D-439), for distribution to municipalities as additional aid.
##### **§ 52:27D-441** Appropriation, distribution of amounts from fund, requirement; consequences of failure. {#sec-52-27d-441 omnilex-key=us-nj-statutes--title-52--52:27D-441}
4. a. The annual appropriations act for each State fiscal year commencing with fiscal year 1998 shall appropriate and distribute during the fiscal year an amount not less than $740,000,000 or the amount determined pursuant to subsection e. of section 2 of P.L.1997, c.167 (C.52:27D-439)from the "Energy Tax Receipts Property Tax Relief Fund" pursuant to the provisions of section 2 of P.L.1997, c.167 (C.52:27D-439), for the purposes of that fund.
b. If the provisions of subsection a. of this section are not met on the effective date of an annual appropriations act for the State fiscal year, or if an amendment or supplement to an annual appropriations act for the State fiscal year should violate the provisions of subsection a. of this section, the Director of the Division of Budget and Accounting in the Department of the Treasury shall, not later than five days after the enactment of the annual appropriations act, or an amendment or supplement thereto, that violates the provisions of subsection a. of this section, certify to the Director of the Division of Taxation that the requirements of subsection a. of this section have not been met.
c. The Director of the Division of Taxation shall, no later than five days after certification by the Director of the Division of Budget and Accounting in the Department of the Treasury pursuant to subsection b. of this section that the provisions of subsection a. of this section have not been met or have been violated by an amendment or supplement to the annual appropriations act, notify all taxpayers that have filed a return under the Corporation Business Tax (1946), P.L.1945, c.162 (C.54:10A-1 et seq.) during the previous calendar year, other than taxpayers that are gas, electric, and gas and electric, or telecommunications public utilities as defined pursuant to subsection (q) of section 4 of P.L.1945, c.162 (C.54:10A-4) pursuant to the amendment to that section 4 made in section 2 of P.L.1997, c.162, that the taxpayer shall have no liability pursuant to the provisions of P.L.1945, c.162 for any corporation business tax for the taxpayer's current privilege period, notwithstanding any other provision of law to the contrary.
##### **§ 52:27D-442** Distribution of Consolidated Municipal Property Tax Relief Aid {#sec-52-27d-442 omnilex-key=us-nj-statutes--title-52--52:27D-442}
2. a. In each State fiscal year, each municipality shall receive Consolidated Municipal Property Tax Relief Aid equal to the amount of Consolidated Municipal Property Tax Relief Aid received in the prior State fiscal year multiplied by the sum of 1.0 and the index rate or zero, whichever is greater. However, any municipality that did not receive a distribution of Consolidated Municipal Property Tax Relief Aid during fiscal year 1999 shall receive aid equal to the amount of Consolidated Municipal Property Tax Relief Aid received in the prior State fiscal year plus the product of the base year amount and the index rate or zero, whichever is greater. As used in this section, "base year amount" means the sum of aid received by the municipality in fiscal year 1995 under those State aid programs which were consolidated in P.L.1995, c.164, the fiscal year 1996 annual appropriations act, under the Consolidated Municipal Property Tax Relief Aid distribution. As used in this section, "index rate" means the rate of annual percentage increase, rounded to the nearest half-percent, in the Implicit Price Deflator for State and Local Government Purchases of Goods and Services, computed and published quarterly by the United States Department of Commerce, Bureau of Economic Analysis, calculating the annual increase therein at the second calendar quarter which occurred in the next preceding State fiscal year. The Director of the Division of Local Government Services shall promulgate annually the index rate to apply in the next following State fiscal year which shall be the same as the index rate determined pursuant to section 4 of P.L.1983, c.49 (C.40A:4-45.1a).
Any amount of aid distributed to a municipality in excess of the amount distributed to the municipality for Consolidated Municipal Property Tax Relief Aid during the State fiscal year 1999 shall be used solely and exclusively by each municipality for the purpose of reducing the amount the municipality is required to raise by local property tax levy for municipal purposes. If the amount of the increased distribution exceeds the amount required to be raised by local property tax levy for municipal purposes, the balance of the increased distribution shall be used to reduce the amount the municipality is required to collect for county purposes, notwithstanding the provisions of this or any other law to the contrary. The Director of the Division of Local Government Services in the Department of Community Affairs shall certify annually that each municipality has complied with the requirements set forth herein.
b. The amount appropriated for Consolidated Municipal Property Tax Relief Aid in a State fiscal year shall be sufficient to fully fund the distribution to municipalities as determined pursuant to subsection a. of this section.
##### **§ 52:27D-443** Short title. {#sec-52-27d-443 omnilex-key=us-nj-statutes--title-52--52:27D-443}
1. This act shall be known and may be cited as the "New Jersey Women's Micro-Business Credit Act."
##### **§ 52:27D-444** Findings, declarations relative to financial assistance to certain women's businesses. {#sec-52-27d-444 omnilex-key=us-nj-statutes--title-52--52:27D-444}
2. The Legislature finds and declares that:
a. Micro-business loans are usually granted to those businesses that are mostly sole proprietorships with five or fewer employees, that require an initial capital outlay of less than $35,000 to start a new business or expand an existing business, utilize loans in amounts of less than $15,000 with most loans being paid back on time, and experience a default rate that is often no higher than on commercial loans;
b. Experience in numerous other states and in certain urban areas in New Jersey has shown that "micro lending," or carefully underwriting small loans to individual entrepreneurs with well-developed, realistic business plans, has been successful in helping individuals, without regard to geographical location, to start micro-businesses;
c. Nonprofit community-based development corporations have the experience of providing the training and technical assistance that is necessary for prospective entrepreneurs to establish a viable business;
d. While the New Jersey Economic Development Authority currently manages several programs to promote the development of micro and small businesses in the State and the New Jersey Development Authority for Small Businesses, Minorities' and Women's Enterprises has a peer group micro-lending program in place which targets urban areas of the State, there is a need to establish a separate micro-business credit program to provide new and innovative ways to assist more unemployed women and underemployed women in all areas of the State to enter or reenter the marketplace and to recognize that nonprofit community-based development corporations and certain Statewide women's business organizations have the experience of providing the training and technical assistance that is necessary for prospective entrepreneurs to establish a viable business; and
e. It is appropriate to establish a micro-business credit program that would target only those potential female entrepreneurs who have little or no prior business experience, are self-motivated and are willing to undertake an extensive training program and receive other kinds of technical assistance in order to gain the necessary experience to start a successful business through grants given to certified nonprofit community development corporations and certain Statewide women's business organizations, and the Department of Community Affairs which has experience in evaluating and monitoring community development corporations is the appropriate State agency to accomplish these goals.
##### **§ 52:27D-445** Definitions relative to financial assistance to certain women's businesses. {#sec-52-27d-445 omnilex-key=us-nj-statutes--title-52--52:27D-445}
3. As used in this act:
"Act" means the "New Jersey Women's Micro-Business Credit Act."
"Certified nonprofit community development corporation" or "certified corporation" means a nonprofit community development corporation, established pursuant to Title 15 of the Revised Statutes, Title 15A of the New Jersey Statutes, or other law of this State, and certified by the department pursuant to section 6 of this act to receive grants for the purpose of issuing loans, loan guarantees, or both, and providing training and technical assistance to qualified recipients;
"Commissioner" means the Commissioner of Community Affairs;
"Department" means the Department of Community Affairs;
"Grant" means money given to a certified nonprofit community development corporation or a Statewide organization by the department for the purpose of issuing loans, loan guarantees, or both, pursuant to section 4 of this act;
"Loan" means a loan made or guaranteed to a qualified recipient under the terms and conditions set forth by a certified nonprofit community development corporation or a Statewide organization;
"Program" means the New Jersey Women's Micro-Business Credit Program established pursuant to section 4 of P.L.1999, c.239 (C.52:27D-446);
"Qualified recipient" means one or more women who intend to establish a business enterprise which is to be independently owned and operated solely by the woman or women, as appropriate, who have little or no prior business experience and each having a gross annual personal income of an amount less than 350 percent of the official poverty line, as determined by the Director of the federal Office of Management and Budget. A qualified recipient may conduct a business enterprise on a part-time basis, from a residence, or both; and
"Statewide organization" means an organization whose primary objective is to support and encourage business ownership by women and which maintains a visible Statewide presence.
##### **§ 52:27D-446** "New Jersey Women's Micro-Business Credit Program." {#sec-52-27d-446 omnilex-key=us-nj-statutes--title-52--52:27D-446}
4. a. There is created, in the department, a "New Jersey Women's Micro-Business Credit Program." The program shall be established by the department. The program shall consist of grants to certified corporations or a Statewide organization for the following purposes:
(1) issuing loans, loan guarantees, or both, to qualified recipients;
(2) providing training and technical assistance to qualified recipients; and
(3) payment of reasonable administrative expenses as approved by the commissioner, except that such expenses shall not amount to greater than 20 percent of the grant.
b. To implement the program, the department shall provide grants to certified corporations or a Statewide organization from such moneys that the department determines are necessary to effectively implement the program, in response to the demand for the program, and from other assistance programs administered by the department or by other State agencies or authorities, or from such other moneys as may be made available for the program pursuant to P.L.1999, c.239 (C.52:27D-443 et seq.).
c. The commissioner shall designate areas for the location of up to four certified corporations or a Statewide organization as part of the program. In selecting the areas for the certified corporations, the commissioner shall strive to allocate the areas in an equitable manner to achieve representation from the northern, central, southern and shore regions of the State. In selecting the areas in each region for the location of the certified corporations, the department shall consider the following factors: comparative unemployment or underemployment; an economic environment conducive to the establishment of businesses built around qualified businesses; the need for assistance in creating qualified businesses where such activity will protect or enhance a small business economy; the level of anticipated financial and other participation of county economic development agencies, municipal economic development agencies or business organizations, and county or municipal educational and nonprofit organizations; and their ability to provide the necessary services in each region. In selecting a Statewide organization, the department shall consider the following factors: comparative unemployment or underemployment in area served; an economic environment conducive to the establishment of businesses built around qualified businesses; the need for assistance in creating qualified businesses where such activity will protect or enhance a small business economy; the level of anticipated financial and other participation of county economic development agencies, municipal economic development agencies or business organizations, and county or municipal educational and nonprofit organizations; and their ability to provide the necessary services Statewide.
d. The department shall, to the greatest extent feasible, coordinate its efforts to implement the program with other State or federal agencies or authorities including, but not limited to, the New Jersey Development Authority for Small Businesses, Minorities' and Women's Enterprises established pursuant to P.L.1985, c.386 (C.34:1B-47 et seq.), the New Jersey Economic Development Authority established pursuant to P.L.1974, c.80 (C.34:1B-1 et seq.), and the Department of Human Services and shall enter into agreements to leverage the moneys in the program with moneys that may be available from other sources of financing including, but not limited to, the Fund for Community Economic Development and the Statewide Loan Pool for Business as established by the New Jersey Economic Development Authority.
e. The department shall, to the greatest extent feasible, advertise the program to community development organizations in the northern, central, southern and shore regions of the State or Statewide. In order to advertise and promote the program, the department is authorized to organize or participate in the organization of a nonprofit corporation, which is exempt from federal taxation under section 501(c)(3) of the Internal Revenue Code. Such nonprofit corporation must directly further the statutory mission of the department and the intent of P.L.1999, c.239 (C.52:27D-443 et seq.). Expenses incurred by such nonprofit corporations shall be payable from funds raised by the nonprofit corporation, and no liability or obligation, in tort or contract, shall be incurred by the department for the operation of the nonprofit corporation. The nonprofit corporation shall obtain private counsel and shall not be represented by the department or indemnified by the department.
##### **§ 52:27D-447** Use of program moneys. {#sec-52-27d-447 omnilex-key=us-nj-statutes--title-52--52:27D-447}
5. a. The department shall use the moneys in the program as established and for the purposes designated pursuant to section 4 of P.L.1999, c.239 (C.52:27D-446).
b. In determining the criteria for making grants to the certified corporations or the Statewide organization, the department shall, in addition to applying customary underwriting criteria, also consider:
(1) the plan and scope of business training and technical assistance to be provided to qualified recipients;
(2) the plan and scope of other services to be provided to qualified recipients;
(3) geographic representation among the regions chosen, pursuant to subsection b. of section 4 of P.L.1999, c.239 (C.52:27D-446);
(4) the ability of the certified corporation or the Statewide organization, with its plan, to monitor and provide financial oversight of recipients of loans, to administer a revolving loan fund, and to investigate and qualify financing proposals and to service credit accounts;
(5) the sources and the sufficiency of operating funds, other than those provided herein, for the certified corporation or the Statewide organization; and
(6) the intent of the certified corporation or the Statewide organization, as set forth in its plan and written indications of local institutional support, to provide services to qualified recipients in the region within which it is located.
c. Loan funds may be used by a certified corporation or the Statewide organization to:
(1) satisfy matching requirements for other State, federal, or private funding only if funding is intended and used for the purpose of providing or enhancing the certified corporation's or Statewide organization's ability to provide and administer loans, technical assistance, or business training to qualified recipients;
(2) establish a revolving loan fund from which the certified corporation or the Statewide organization may issue loans to qualified recipients, provided that a single loan amount, as part of a loan agreement, does not exceed $5,000, or issue additional loans to qualified recipients which have completed payments on an earlier loan, under terms and conditions of the certified corporation or the Statewide organization; or
(3) carry out the purposes of the provisions as provided in both paragraphs (1) and (2) of this subsection.
d. Loan funds created by a certified corporation or a Statewide organization shall not be:
(1) loaned for relending or investment in stocks, bonds, or other securities or for property not intended for use in production by the recipient of the loan; or
(2) used to refinance a nonperforming loan held by a financial institution or to pay the operating costs of a certified corporation or a Statewide organization; however, interest income earned from the proceeds of a loan may be used to pay operating expenses.
e. Certified corporations or the Statewide organization are required to contribute cash from other sources to leverage and secure loans from the program. Contributions provided by the certified corporation or a Statewide organization must be in a ratio of at least $1 from other sources for each $3 in loans from the program and at least $1 from other sources for each $4 for training, technical assistance and administrative expenses from the program. These contributions may come from a public or private source other than the program and may be in the form of loans or grants.
f. Loans made by a certified corporation or a Statewide organization to a qualified recipient shall be made pursuant to a loan agreement and may be amortization or term loans, bear interest at less than the market rate, be renewable, and contain other terms and conditions considered appropriate by the department that are consistent with the purposes of P.L.1999, c.239 (C.52:27D-443 et seq.) and with rules and regulations promulgated by the department to implement P.L.1999, c.239.
g. (1) Unless subject to federal law, rule or regulation, each certified corporation or the Statewide organization that receives a grant under P.L.1999, c.239 (C.52:27D-443 et seq.) shall undergo an audit, at its own expense, at least once every two years. The certified corporation or a Statewide organization shall submit a copy of the audit to the department.
(2) If an audit is performed under a requirement of federal law, rule or regulation, the department shall waive the audit required in this subsection with respect to all issues addressed by the federal audit report. However, the department may require an audit of matters that are not, in the department's judgment, addressed by the federal report including, but not limited to, verification of compliance with requirements specific to the program, such as job-generation standards and reporting.
h. The department may use up to five percent of the funds received from the General Fund for the purposes of implementing the program, as pursuant to P.L.1999, c.239 (C.52:27D-443 et seq.), for administrative costs.
##### **§ 52:27D-448** Certification of nonprofit community development corporation or Statewide organization. {#sec-52-27d-448 omnilex-key=us-nj-statutes--title-52--52:27D-448}
6. The department may certify a nonprofit community development corporation or a Statewide organization when it determines that the development corporation or the Statewide organization:
a. has developed a viable plan for providing training, access to financing, and technical assistance for qualified recipients;
b. has demonstrated an ability to successfully provide training and technical assistance to qualified recipients;
c. has broad-based community support within a region and has demonstrated support from other regional entities to provide assistance with service delivery and financial aspects; and
d. has an adequate source of operating capital.
##### **§ 52:27D-449** Additional powers of department. {#sec-52-27d-449 omnilex-key=us-nj-statutes--title-52--52:27D-449}
7. a. The department shall have, in addition to the powers enumerated in section 9 of P.L.1966, c.293 (C.52:27D-9), the power to enter into written agreements, including, but not limited to, limited partnership agreements with one or more professional investors or small business investment corporations, or inter-agency agreements with one or more State agencies or authorities for the purposes of establishing a pool of additional moneys which is to be used exclusively for grants to certified corporations or a Statewide organization for the sole purpose of providing loans to qualified recipients.
b. The department may also accept grants, donations, and other private and public funds, including payments of interest on loans made by the department and use such moneys received under this subsection for the purposes of the program.
##### **§ 52:27D-450** Preparation of reports on program. {#sec-52-27d-450 omnilex-key=us-nj-statutes--title-52--52:27D-450}
8. The department shall prepare a report within two years following the effective date of P.L.1999, c.239 (C.52:27D-443 et seq.), and not later than September 15 of each third year thereafter. The report shall include, but not be limited to: a description of the demand for the program from qualified recipients; the number of qualified recipients the program has assisted; the efforts made by the department and the certified corporations or the Statewide organization to promote the program; the efforts of the certified corporations or the Statewide organization to establish a pool of funds from private and public sources; the total amount of loans issued by the certified corporations or the Statewide organization; and an assessment of the effectiveness of the program in meeting the goals of this act. The department shall submit its reports to the Governor and the Legislature, along with any recommendations to improve the effectiveness of the program.
##### **§ 52:27D-451** Rules, regulations. {#sec-52-27d-451 omnilex-key=us-nj-statutes--title-52--52:27D-451}
9. The department shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations as may be necessary to effectuate the purposes of P.L.1999, c.239 (C.52:27D-443 et seq.) including, but not limited to: the criteria and procedures concerning certification of certified corporations or the Statewide organization; the criteria and procedures for selecting from competing grant applications and for awarding grants to certified corporations or the Statewide organization; the criteria and procedures to be followed by certified corporations or the Statewide organization in administering revolving loan funds supported by the program; the criteria for determining the terms and conditions of loans and loan repayments; the criteria for determining nonperformance and declaring default in the administration of loans; and the criteria and procedures to be followed by certified corporations or the Statewide organization in providing training and technical assistance to qualified recipients.
##### **§ 52:27D-452** "Main Street New Jersey" program; duties of DCA. {#sec-52-27d-452 omnilex-key=us-nj-statutes--title-52--52:27D-452}
1. a. There is created in the Division of Housing and Community Resources in the Department of Community Affairs the "Main Street New Jersey" program as a comprehensive revitalization program to promote the historic and economic redevelopment of traditional business districts in the State. The purpose of the program shall be to provide small business assistance services to local downtown communities, including business owners and entrepreneurs, with a long-term goal of revitalizing local downtown areas.
b. The Department of Community Affairs shall administer the "Main Street New Jersey" program created under subsection a. of this section. The duties of the department in implementing this program shall include, but not be limited to, the following:
1) employment, in the State classified service, of a State Coordinator and staff for the "Main Street New Jersey" program;
2) entering into contracts with the National Main Street Center and others to assist in accomplishing the program's objectives and provide technical assistance to the "Main Street New Jersey" program and local programs;
3) development of a plan, with the assistance of the Main Street New Jersey Advisory Board established pursuant to section 5 of P.L.2001, c.238 (C.52:27D-456), describing the objectives of the "Main Street New Jersey" program and detailing the methods by which the department shall coordinate the activities of the program with private and public sector revitalization of downtown business areas, solicit and use private sector funding for revitalization of downtown areas, and help municipalities engage in revitalization of their downtown business areas; and
4) coordination and cooperation with other State and local public and private entities that provide services to municipalities undertaking projects for the revitalization of downtown business areas.
##### **§ 52:27D-453** Rules, regulations. {#sec-52-27d-453 omnilex-key=us-nj-statutes--title-52--52:27D-453}
2. Pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the Commissioner of Community Affairs shall adopt rules and regulations governing the qualifications of applicants, the application procedures, and the criteria for providing assistance under the "Main Street New Jersey" program.
##### **§ 52:27D-454** Assistance provided to certain municipalities. {#sec-52-27d-454 omnilex-key=us-nj-statutes--title-52--52:27D-454}
3. The commissioner shall provide assistance under this program to municipalities selected through a competitive application process. A municipality shall have historic architectural resources in a defined downtown commercial district, a commitment to employ a full-time Executive Director for its "Main Street New Jersey" program, establishment of a volunteer board of directors, development of public-private partnerships and a program operating budget deemed adequate by the commissioner for not less than three years. A municipality having a population of not more than 20,000, according to the most recent federal decennial census, shall not be required to employ a full-time Executive Director for its program.
The commissioner may also provide limited assistance through the "Main Street New Jersey" program to any municipality through training, technical assistance and information on the revitalization of central business districts.
##### **§ 52:27D-454.1** UEZ funding assistance included for eligibility for "Main Street New Jersey" program. {#sec-52-27d-454.1 omnilex-key=us-nj-statutes--title-52--52:27D-454.1}
1. Notwithstanding the provisions of any law, rule or regulation to the contrary, a municipality designated as an urban enterprise zone pursuant to the provisions of P.L.1983, c.303 (C.52:27H-60 et seq.) shall be considered by the commissioner for assistance under the "Main Street New Jersey" program if such municipality includes financial assistance from its enterprise zone assistance fund account, established pursuant to section 29 of P.L.1983, c.303 (C.52:27H-88), for the purpose of having an operating budget deemed adequate by the commissioner for a period of not less than three years and if such municipality is otherwise eligible for assistance pursuant to the provisions of section 3 of P.L.2001, c.238 (C.52:27D-454). Any proposal by such municipality for financial assistance from its enterprise zone assistance fund account, for the purposes of consideration by the commissioner for assistance under the "Main Street New Jersey" program, shall follow the procedures for approval that are established pursuant to the provisions of section 29 of P.L.1983, c.303 (C.52:27H-88).
##### **§ 52:27D-455** Services provided to municipality selected for program. {#sec-52-27d-455 omnilex-key=us-nj-statutes--title-52--52:27D-455}
4. The commissioner shall provide services to each municipality selected to participate in the "Main Street New Jersey" program at no additional cost to the municipality. Those services shall include, but shall not be limited to:
a. In-depth volunteer and executive director training;
b. Advanced training on specific downtown issues, including but not limited to marketing, business recruitment, volunteer management and historic preservation;
c. Visits by professional consultants to help each municipality develop its strengths and plan for the success of its downtown area;
d. Small business development consulting services for local business owners;
e. Marketing and public relations consulting for local businesses and "Main Street New Jersey" organizations;
f. Architectural design consulting for business and property owners;
g. Educational materials, including manuals and slide programs;
h. Links to local, State and federal "Main Street" community networks.
##### **§ 52:27D-456** Main Street New Jersey Advisory Board. {#sec-52-27d-456 omnilex-key=us-nj-statutes--title-52--52:27D-456}
5. The Main Street New Jersey Advisory Board is established for the purposes of providing guidance and advocacy in formulating policy and assisting with the long-term planning and administration of the "Main Street New Jersey" program. The Main Street New Jersey Advisory Board shall consist of 23 members. Sixteen members shall serve in a voluntary capacity, to be appointed through a process to be determined by the commissioner and shall include a representative of the New Jersey State League of Municipalities. Each voluntary member shall have a demonstrated commitment to the goals of the "Main Street New Jersey" program. The voluntary members shall represent all geographic regions of the State.
The remaining seven advisory board members shall serve ex officio and shall be a representative of the Historic Preservation Program in the Department of Environmental Protection, to be appointed by the Commissioner of Environmental Protection, a representative of the New Jersey Economic Development Authority to be designated by the executive director, a representative of the Neighborhood Preservation Program in the Department of Community Affairs, to be appointed by the Commissioner of Community Affairs, a representative of the Housing and Mortgage Finance Agency, to be appointed by the executive director of that agency, a representative of the New Jersey Commerce Commission, to be appointed by the Executive Director of that commission, a representative of the Department of Transportation, to be appointed by the Commissioner of Transportation, and a representative of the Office of State Planning, to be appointed by the Director of the Office of State Planning.
The terms of the voluntary members so appointed, after the initial appointments, shall be three years, and each member may be reappointed. The terms of initial appointments of the voluntary members shall be staggered so that the terms of 1/3 of the advisory board's voluntary members shall expire annually. The advisory board members who are not State employees shall be entitled to reimbursement of their expenses incurred in connection with their duties on the advisory board.
##### **§ 52:27D-457** "Main Street New Jersey Program Fund." {#sec-52-27d-457 omnilex-key=us-nj-statutes--title-52--52:27D-457}
6. There is established in the Department of Community Affairs the "Main Street New Jersey Program Fund," which shall consist of all funds appropriated to the "Main Street New Jersey" program by the Legislature, and also any gifts, contributions, grants or bequests received from the federal government or any other source. Money in the "Main Street New Jersey Program Fund" shall be used to carry out the provisions of P.L.2001, c.238 (C.52:27D-452 et seq.) and for no other purposes. Any funds remaining in the fund at the end of any fiscal year shall not lapse to the General Fund, but shall remain in the fund.
##### **§ 52:27D-458** Continued provision of assistance to municipalities selected prior to law. {#sec-52-27d-458 omnilex-key=us-nj-statutes--title-52--52:27D-458}
7. The commissioner shall continue to provide the assistance required under P.L.2001, c.238 (C.52:27D-452 et seq.) to municipalities that were selected to participate in the "Main Street New Jersey" program prior to the effective date of P.L.2001, c.238 (C.52:27D-452 et seq.).
##### **§ 52:27D-459** Short title {#sec-52-27d-459 omnilex-key=us-nj-statutes--title-52--52:27D-459}
11. Sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.) shall be known and may be cited as the "Revenue Allocation District Financing Act."
##### **§ 52:27D-460** Findings, declaration relative to "Revenue Allocation District Financing Act" {#sec-52-27d-460 omnilex-key=us-nj-statutes--title-52--52:27D-460}
12. The Legislature finds and declares that:
a. There are areas within certain municipalities in this State that deter private capital investment because of the deteriorating condition of the land, buildings and infrastructure within those areas, or that have not experienced private capital investment due to inadequate infrastructure or adverse economic conditions.
b. These areas also create an economic burden for the municipality due to the limited tax base and underutilization of resources.
c. The scarcity of resources available to municipalities for redevelopment has severely hampered these municipalities' ability to rehabilitate these areas.
d. In order to redevelop these areas in a beneficial manner, municipalities should be provided the means to finance certain costs of redevelopment so as to open new avenues for private investment; stimulate commercial, industrial, recreational, cultural, entertainment, civic and educational enterprise; and create favorable conditions for increases in economic activity, property values, employment opportunities and the provision of affordable housing.
e. The use of new redevelopment tools as a catalyst for economic revitalization can be maximized if employed in conjunction with the redevelopment planning process established pursuant to P.L.1992, c.79 (C.40A:12A-1 et al.).
f. The State should consider, where appropriate, one or more of the following: whether the redevelopment project or plan promotes approaches and concepts to reduce congestion; enhance mobility; assist in the redevelopment of our municipalities; and otherwise improve the quality of life of our citizens.
g. It is, therefore, in the public interest to authorize the use of revenue allocation financing by municipalities and the dedication of payments in lieu of taxes toward the retirement of debt incurred in redevelopment, as set forth hereunder, to encourage private investment within areas that are blighted or in need of redevelopment or would otherwise remain unused.
##### **§ 52:27D-461** Definitions relative to the "Revenue Allocation District Financing Act." {#sec-52-27d-461 omnilex-key=us-nj-statutes--title-52--52:27D-461}
13. As used in sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.):
"Area in need of redevelopment" means a redevelopment area as defined pursuant to section 3 of P.L.1992, c.79 (C.40A:12A-3).
"Board" means the Local Finance Board established in the Division of Local Government Services in the Department of Community Affairs.
"Bonds" means the bonds, notes and bond anticipation notes issued to finance projects pursuant to the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.).
"District" means the area or areas within a municipality designated as a revenue allocation district pursuant to the provisions of the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.).
"District agent" means that entity designated by the municipal governing body pursuant to section 14 of P.L.2001, c.310 (C.52:27D-462) to administer a revenue allocation plan on behalf of the municipality.
"Eligible revenue" means the property tax increment and any other incremental revenues set forth in section 21 of P.L.2001, c.310 (C.52:27D-469).
"Municipality" means the municipal governing body or an entity acting on behalf of the municipality if permitted by the federal Internal Revenue Code of 1986 or, if a redevelopment agency or redevelopment entity is established in a municipality pursuant to P.L.1992, c.79 (C.40A:12A-1 et seq.) and the municipality so provides, the redevelopment agency or entity so established.
"Permitted investment obligations" means any securities permitted for purchase by local units of government pursuant to section 8 of P.L.1977, c.396 (C.40A:5-15.1).
"Plan" means the final revenue allocation plan developed by a district agent pursuant to section 22 of P.L.2001, c.310 (C.52:27D-470) and containing, among other elements, the proposed projects, estimated cost of the projects, sources of revenue, and the terms of any obligations, undertakings or commitments to be incurred by the district agent.
"Pledged revenues" means those eligible revenues designated in the plan for payment of project costs.
"Project" means the purchasing, leasing, condemning or otherwise acquiring of land or other property, or an interest therein, in the district or as necessary or convenient for the acquisition of any right-of-way or other easement to or from the revenue allocation district; the moving and relocation of persons or businesses displaced by the acquisition of land or property; the acquisition, construction, reconstruction or rehabilitation of land or property and the improvements thereon, or the financing thereof, including demolition, clearance, removal, relocation, renovation, alteration, construction, reconstruction, alteration or repair of any land, building, street, highway, alley, utility, mass transit facility, service or other structure, infrastructure or improvement in the district or necessary to effectuate the plan for the district, including infrastructure improvements outside the district, but only those which are integral to the effectuation of the district plan; the acquisition, construction, reconstruction, rehabilitation or installation of public facilities and improvements, and zero-emission vehicle fueling and charging infrastructure, or the financing thereof; acquisition, construction, reconstruction or rehabilitation of residential structures, or the conversion to residential use of structures previously designed or used for other purposes, or the financing thereof, nonprofit corporation or other suitable public or private person, firm, corporation or association, and which, to the extent economically feasible, shall constitute housing affordable to persons and families of low and moderate income pursuant to P.L.1985, c.222 (C.52:27D-301 et al.) or rules and regulations adopted pursuant thereto; and all costs associated with any of the foregoing, including the cost of administrative appraisals, legal, financial, economic and environmental analyses, engineering or cleanup, planning, design, architectural, surveying or other professional and technical services necessary to effectuate the purposes of the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.).
"Project cost" means the cost of the plan or project in all or any part of the district and of all and any property, rights, easements, privileges, agreements and franchises deemed by the district agent to be necessary or useful and convenient therefor or in connection therewith, including interest or discount on bonds; cost of issuance of bonds; engineering and inspection costs; legal expenses; costs of financial and other professional estimates and advice; organization, administrative, operating and other expenses of the district agent prior to and during the planning and implementation of a development, plan or project, including such provision as the district agent may determine for the payment, or security for payment, of principal of or interest on bonds during or after the implementation of any development, plan or project.
"Property tax increment" means the amount obtained by:
(1) multiplying the general tax rate levied each year by the taxable value of all the property assessed within a district in the same year, excluding any special assessments; and
(2) multiplying that product by a fraction having a numerator equal to the taxable value of all the property assessed within the district, minus the property tax increment base, and having a denominator equal to the taxable value of all property assessed within the district.
"Property tax increment base" means the aggregate taxable value of all property assessed which is located within a district as of October 1 of the year preceding the year in which the district is authorized pursuant to the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.).
"Redevelopment plan" means a redevelopment plan as the term is defined pursuant to section 3 of P.L.1992, c.79 (C.40A:12A-3).
"Revenue increment base" means the amount of any eligible revenues, other than the property tax increment, collected in the calendar year immediately preceding the adoption of the plan.
"Taxing entity" means the county, the school district or districts, and the municipality authorized to levy a tax on the taxable property within a municipality.
##### **§ 52:27D-462** Establishment of districts {#sec-52-27d-462 omnilex-key=us-nj-statutes--title-52--52:27D-462}
14. The governing body of any municipality may by ordinance establish a district or districts. In the case of a municipality whose redevelopment powers are assigned by law to a regional planning commission, the commission may, by resolution, establish a district or districts in the area within which the commission has jurisdiction.
A revenue allocation district shall consist of all lots and streets within the borders of an area within a municipality or within areas of the municipality designated in the plan. The lots and streets shall be contiguous unless the municipality determines that non-contiguous areas of the municipality should comprise one district because those areas are part of a common development project or plan. The total taxable value in all districts designated shall not exceed 15 percent of the total taxable property assessed within the municipality, as determined by the municipal assessor, except that, upon a request by the governing body, the board may approve for inclusion in the district up to 20 percent of the total taxable property assessed in the municipality, as determined by the municipal assessor. The lots and streets to be designated as part of the plan shall be designated as a revenue allocation district as part of a duly adopted redevelopment plan approved by the governing body.
The ordinance or resolution, as appropriate, shall be adopted as provided in section 17 of P.L.2001, c.310 (C.52:27D-465), and shall include or incorporate:
a. a map designating the area or areas within the municipality as a district or districts;
b. a certification by the municipal assessor that, upon the basis of property assessments as of October 1 of the year preceding the certification, the total taxable property value in all districts designated by the municipality, including the district being proposed in the ordinance, does not exceed 15 or 20 percent, as the case may be, of the total taxable property assessed in the municipality, as provided in the ordinance adopted in accordance with the provisions of this section;
c. the designation of a district agent, which may be a county, a county improvement authority, the New Jersey Redevelopment Authority, the New Jersey Economic Development Authority or a municipality; provided, however, that if a district is created in an area under the jurisdiction of a regional planning commission which has been assigned redevelopment powers pursuant to law, that commission shall serve as the district agent in connection with that district;
d. a designation of all or any percentage of any eligible revenue or revenues as pledged revenues;
e. a statement of whether or not the municipality intends that any of the bonds issued by the district agent, if other than a municipality, be guaranteed by the municipality, or be issued as qualified bonds pursuant to the "Municipal Qualified Bond Act," P.L.1976, c.38 (C.40A:3-1 et seq.), or both;
f. a proposed preliminary revenue allocation plan, as set forth in section 15 of the P.L.2001, c.310 (C.52:27D-463);
g. documentation that the district has been identified in the appropriate redevelopment plan; and
h. Such other conditions or limitations as shall be imposed on the district agent by the governing body.
##### **§ 52:27D-463** Proposed preliminary revenue allocation plan {#sec-52-27d-463 omnilex-key=us-nj-statutes--title-52--52:27D-463}
15. The proposed preliminary revenue allocation plan shall include:
a. a certification by the municipal tax assessor of the property tax increment base of the district;
b. a statement of the revenues, if any, to be pledged to support bonds of the district, the percentage of such revenues to be so pledged, and a certification by the chief financial officer of the municipality of the revenue increment base for each of the pledged revenues other than the property tax revenue base. If the amount of any such revenue base cannot be certified, then the chief financial officer shall estimate the amount and describe the basis for preparing the estimate and the manner in which the revenue increment base will be determined after adoption of the plan;
c. a description of the proposed project or projects, an estimate of their cost, a proposed construction schedule, the projected amount of bonds to be issued and whether interest on such bonds is exempt from taxation for federal income tax purposes and the projected debt service on the bonds issued to finance the project;
d. a description of the development expected or planned within the district, including the identification of the developers, if any, other than the district agent or the municipality, and their contractual relationship, if any, with the district agent or the municipality;
e. an estimate of the taxable value of the assessed property within a district upon completion of the projects;
f. a projection of the amount of the pledged revenues during the period in which any bond will be outstanding;
g. a statement of whether or not the district agent intends to create a reserve for payment of project costs prior to the adoption of the final revenue allocation plan;
h. a statement of whether or not tax abatements or exemptions or special assessments are expected to be granted in the district; and
i. a fiscal impact statement for the taxing entities involved.
##### **§ 52:27D-464** Submission of ordinance as application {#sec-52-27d-464 omnilex-key=us-nj-statutes--title-52--52:27D-464}
16. When an ordinance establishing or amending a district has passed first reading, it shall be submitted as an application, together with all included and incorporated certificates and documents and such additional documentation as the board may by rule prescribe, to the board.
The board shall approve the ordinance if it determines that:
a. the planned developments are likely to be realized and would not likely be accomplished by private enterprise without the creation of the district and the revenue allocation financing of the proposed project or projects;
b. the revenue increments and any other pledged revenues will be sufficient to pay debt service on bonds issued to effectuate the plan;
c. the credit of the municipality and its ability to pay the principal of and interest on its debts and to provide essential public services will not be impaired;
d. the creation of the district will contribute to the economic development of the municipality;
e. the size of the proposed district and the amount of the pledged revenues do not exceed the size and amount necessary to accomplish the purposes of the plan;
f. any insufficiency or shortfall in the amount of the revenue or guarantees pledged to pay debt service or bonds issued to effectuate the plan would not pose inappropriate risk or undue financial hardship to the taxpayers of the community;
g. there are no other factors which, in the determination of the board, will impair the credit of the municipality or reduce its ability to pay punctually the principal of and interest on its debts and supply other essential public improvements and services; and
h. the planned development does one or more of the following: promote approaches and concepts to reduce congestion; enhance mobility; assist in the redevelopment of our municipalities; and otherwise improve the quality of life of our citizens.
##### **§ 52:27D-465** Written recommendations by board {#sec-52-27d-465 omnilex-key=us-nj-statutes--title-52--52:27D-465}
17. a. The board may make written recommendations as to any aspect of the ordinance and the preliminary revenue allocation plan and any related fiscal matters of the municipality which in the opinion of the board shall be changed in order to effectuate the plan. The board may condition its approval of the ordinance upon the adoption of its recommendations by the municipality.
b. The board shall approve, approve with conditions, or disapprove the ordinance within 60 days of its receipt of an application which the board has deemed to be complete. If the board does not act within 60 days the ordinance shall be deemed approved. If the board disapproves the ordinance it shall, within 30 days of signifying its disapproval, set forth its reasons in writing. The municipality may amend the ordinance and resubmit it to the board.
c. Upon receipt of the approved ordinance from the board, the municipal governing body may adopt the ordinance at a meeting of the governing body by a majority of the authorized membership thereof.
##### **§ 52:27D-466** No alteration of established district without amending ordinance {#sec-52-27d-466 omnilex-key=us-nj-statutes--title-52--52:27D-466}
18. After adoption of the ordinance establishing a district there shall be no expansion or contraction of the boundaries of the district, the designation of the district agent, or the designation of the pledged revenues without adoption of an amending ordinance approved by the board as provided in section 17 of P.L.2001, c.310 (C.52:27D-465) .
##### **§ 52:27D-467** Property tax increment base for altered districts {#sec-52-27d-467 omnilex-key=us-nj-statutes--title-52--52:27D-467}
19. Whenever a district is expanded as permitted under section 18 of P.L.2001, c.310 (C.52:27D-466) the property tax increment base for any area added to the district shall be the aggregate taxable value of all property assessed which is located within the added area as of October 1 of the year preceding the year in which the area is added, as certified by the municipal assessor. The revenue increment base of all other eligible revenues shall include the amounts of all other eligible revenues from sources within the added area in the calendar year preceding the year in which the area is added, as certified by the chief financial officer of the municipality.
Whenever a district is contracted as permitted under section 18 of P.L.2001, c.310 (C.52:27D-466) the tax increment base and the increment base of all other eligible revenues of the district shall be adjusted as if that area had not been a part of the district at the time when it became part of the district.
##### **§ 52:27D-468** Powers, responsibilities of district agent {#sec-52-27d-468 omnilex-key=us-nj-statutes--title-52--52:27D-468}
20. The district agent shall have the following powers and responsibilities to the extent so designated by ordinance:
a. to make and enter into contracts or agreements with public agencies, nonprofit corporations or other suitable public or private persons, firms, corporations or associations, and to make loans or grants to, or guarantee the obligations of, any other public agency or corporation, as may be necessary, convenient or incidental to the execution of the plan and the exercise of the district agent's powers under the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.);
b. to enter into agreements or other transactions with, and accept grants, loans, appropriations or other assistance or cooperation from the United States or any agency thereof, or from the State or a county or municipal governing body or any agency thereof, or any nonprofit corporation or other suitable public or private person, firm, corporation or association in furtherance of the purposes of the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.);
c. to prepare and administer the plan according to the provisions of the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.);
d. to hire or consult with private consultants when preparing the plan, or to enter into agreements with public or nonprofit private agencies to prepare and administer the plan;
e. to issue bonds or cause bonds to be issued for any purpose of the district authorized by or pursuant to the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.), or to issue refunding bonds for the purpose of paying or retiring bonds previously issued by it, and to issue notes in anticipation of the issuance of bonds as provided in the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.);
f. to seek and receive funds from local, State and federal governments and from private sources for the purpose of implementing any authorized development or project or meeting any project cost;
g. to pay project costs, specifically including payments to a private developer, as reimbursement for project costs incurred by a private developer, in accordance with a redevelopment bond financing agreement entered into by the municipality or municipalities and the private developer; and
h. to include in the terms of any resolution, bond or contract a provision that the payments in lieu of taxes or special assessments shall constitute a municipal charge for the purposes of R.S.54:4-66.
Except as provided otherwise herein, nothing herein is intended to limit the powers granted under any other law or regulation to the entity acting as district agent under the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.).
##### **§ 52:27D-469** Eligible revenues {#sec-52-27d-469 omnilex-key=us-nj-statutes--title-52--52:27D-469}
21. The plan may include one or more of the following eligible revenues if the municipality is otherwise authorized by law to collect such revenues:
a. incremental payments in lieu of taxes, with respect to property located in the district, made pursuant to the "Five-Year Exemption and Abatement Law," P.L.1991, c.441 (C.40A:21-1 et seq.) or the "Long Term Tax Exemption Law," P.L.1991, c.431 (C.40A:20-1 et al.);
b. incremental revenues from payroll or wage taxes with respect to activities carried on within the district;
c. incremental revenue from lease payments made to the municipality or district agent with respect to property located in the district;
d. incremental revenue from payments in lieu of taxes or service charges with respect to property located within the district;
e. incremental revenue from parking taxes derived from parking facilities located within the district;
f. admissions and sales taxes received from the operation of a public facility which the district agent is authorized by law to retain;
g. sales and excise taxes which are derived from activities within the district and which are rebated to or retained by the municipality pursuant to the "New Jersey Urban Enterprise Zones Act," P.L.1983, c.303 (C.52:27H-60 et seq.) or any other law providing for such rebate or retention;
h. parking revenue from public parking facilities built as part of a project except for public parking facilities owned by parking authorities pursuant to the "Parking Authority Law," P.L.1948, c.198 (C.40:11A-1 et seq.);
i. assessments as allowed by law that are levied against properties in a district, if consented to by the governing body of the municipality in which the district is situated;
j. the property tax increment.
The incremental revenue for the revenues listed in subsections b., c., d. and e. of this section shall be calculated as the difference between the amount collected in any calendar year from any eligible revenue source included in the plan, less the revenue increment base for that eligible revenue.
##### **§ 52:27D-470** Adoption of final revenue allocation plan {#sec-52-27d-470 omnilex-key=us-nj-statutes--title-52--52:27D-470}
22. Before pledging any revenues, issuing any bonds, incurring any obligations or guaranteeing the obligations of any other entity with respect to the project costs of any project, the district agent shall adopt a final revenue allocation plan for that project. That plan shall include:
a. a description of the project or projects to be financed, including the projected cost and construction schedule;
b. a description of any development to be undertaken by any developer in connection with the project, including an estimate of the eligible revenues anticipated from the development;
c. a description of the eligible revenues to be pledged to the support of the project, or to the bonds or other obligations to be issued or incurred by the district agent;
d. a description of other anticipated projects for the district and the anticipated means of financing those projects;
e. a copy of any proposed bond resolution, contract, lease or other agreement to be adopted or authorized by the district agent. Any proposed bond resolution shall include a description of the security features of the bonds, including reserve funds or other security enhancements, if any, such as a municipal guarantee, qualified bond authorization, bond insurance or letter of credit; the maturity schedule for the bonds; the estimated interest rate; the period of capitalized interest, if any; an estimate of the costs of issuance, with identification of bond counsel, financial advisers, underwriters and other professionals engaged to assist in the issuance of bonds; lien priorities among projects, if any; and such other information as the board may require; and
f. a certification by the chief financial officer of the property tax increment base, if property tax increment revenue is to be pledged, and of the revenue increment base for each other pledged revenue. If the amount of any such revenue increment base cannot be certified, then the chief financial officer shall estimate the amount and describe the basis for preparing the estimate and the manner in which the revenue increment base will be determined after adoption of the final plan.
##### **§ 52:27D-471** Submissions of final revenue allocation plan {#sec-52-27d-471 omnilex-key=us-nj-statutes--title-52--52:27D-471}
23. A final revenue allocation plan shall be submitted to the governing body of the municipality for approval by ordinance. When an ordinance embodying a final revenue allocation plan has been introduced in writing at a meeting of the governing body and approved on first reading, which may be by title, by a majority of the authorized membership thereof, it shall be submitted, together with all included and incorporated certificates and documents and such additional supporting documentation as the board may by rule prescribe, to the board.
The board shall approve the plan if it determines that:
a. the planned developments are likely to be realized and would not be accomplished by private enterprise without the creation of the district and the financing of the proposed project or projects;
b. the pledged revenues will be sufficient to pay debt service on bonds and discharge any obligations undertaken by the district agent to effectuate the plan;
c. the credit of the municipality and its ability to pay the principal of and interest on its debts and to provide essential public services will not be impaired;
d. any insufficiency or shortfall in the amount of the revenues or guarantees pledged to pay debt service or bonds issued to effectuate the plan would not pose inappropriate risk or undue financial hardship to the taxpayers of the community;
e. there are no other factors which, in the determination of the board, will impair the credit of the municipality or reduce its ability to pay punctually the principal of and interest on its debts and supply other essential public improvements and services; and
f. the planned development does one or more of the following: promote approaches and concepts to reduce congestion; enhance mobility; assist in the redevelopment of our municipalities; and otherwise improve the quality of life of our citizens.
##### **§ 52:27D-472** Written recommendations by board {#sec-52-27d-472 omnilex-key=us-nj-statutes--title-52--52:27D-472}
24. a. The board may make written recommendations as to any aspect of the plan and any related fiscal matters of the municipality or the district agent which, in the determination of the board, must be changed in order to effectuate the plan, and the board may condition its approval of the plan upon the adoption of its recommendations.
b. The board shall approve, approve with conditions, or disapprove the plan within 60 days of its receipt of an application which the board has deemed to be complete. If the board does not act within 60 days the plan shall be deemed approved. If the board disapproves the plan it shall set forth its reasons in writing within 30 days of its disapproval. The governing body, upon recommendation of the district agent, may amend the ordinance and resubmit it to the board.
c. Upon receipt of the approved ordinance from the board the municipal governing body may adopt the ordinance at a meeting of the governing body by a majority of the authorized membership thereof. Any changes to the plan as embodied in the ordinance, including the pledge or utilization of eligible revenues subject, however, to any rights of bondholders shall be by amendment of the ordinance adopted and approved by the same method as prescribed in section 17 of P.L.2001, c.310 (C.52:27D-465) in connection with the proposed preliminary revenue allocation plan included in the ordinance establishing the district.
##### **§ 52:27D-473** Calculation of property tax increment {#sec-52-27d-473 omnilex-key=us-nj-statutes--title-52--52:27D-473}
25. If the preliminary revenue allocation plan has designated the property tax increment as a pledged revenue, the property tax increment shall be calculated and paid to the revenue allocation fund or the bond trustee, as appropriate, as provided hereunder.
a. Upon the striking of the tax rate in each year following the adoption of the ordinance creating the district, the chief financial officer of the municipality, with assistance provided by the assessor and collector, shall calculate the amount of property tax increment, if any, for each revenue allocation district within the municipality and shall certify to the district agent of each such district a copy of that calculation. Thereafter the chief financial officer shall, within 10 days after each date fixed by statute for the payment of property taxes, cause to be deposited in the revenue allocation fund of the district agent or paid to the trustees as provided in the resolution authorizing the issuance of bonds the percentage of the property tax increments certified in the plan as designated to be so deposited or paid. The calculation of the property tax increment shall be based on the amount to be billed at the quarterly payment date, regardless of whether or not the increment is actually collected from the taxpayers within the district.
b. Whenever an added assessment shall occur within a district, the chief financial officer of the municipality shall notify the district agent and thereafter shall, within 10 days of the date fixed by law for payment of property taxes on such added assessment, cause to be paid to the revenue allocation fund or the bond trustee, as appropriate, the property taxes, or a percentage thereof as designated in the plan, billed upon such added assessment, regardless of whether or not the tax or any portion thereof is actually collected.
c. Whenever an omitted assessment which if not omitted would have been included in the computation of the tax increment of a district occurs, the chief financial officer of the municipality shall notify the district agent and thereafter shall, within 10 days after the date fixed by statute for payment of taxes upon such omitted assessments, cause to be deposited to the revenue allocation fund or paid to the bond trustees of the district, as appropriate, the proportion of tax upon such omitted assessments designated in the plan for such deposit or payment, regardless of whether or not the tax or any portion thereof is actually collected.
d. In no event shall any changes in assessed valuation within a district due to appeals or correction of errors with respect to a tax year subsequent to the creation of the district alter the amount of property tax increment certified pursuant to this section for that tax year.
e. In no event shall any changes in assessed valuation within a district due to appeals or correction of errors alter the property tax increment base of the district.
f. Whenever a revaluation or general reassessment occurs in a municipality which has designated one or more districts, the property tax increment base for each district shall be adjusted to equal the absolute difference between the taxable value of the property in the district after revaluation or reassessment less the amount of the property tax increment base for the year immediately prior to the revaluation or reassessment divided by the adjusted tax rate. The adjusted tax rate shall be a fraction, the numerator of which is the total tax levy of the municipality before revaluation or reassessment and the denominator of which is the total taxable value of all taxable property in the municipality after revaluation or reassessment.
##### **§ 52:27D-474** Deposit of pledged revenues {#sec-52-27d-474 omnilex-key=us-nj-statutes--title-52--52:27D-474}
26. If the preliminary revenue allocation plan has designated any eligible revenues, in addition to or other than the property tax increment, as a pledged revenue, the other pledged revenues shall be deposited as provided in this section.
a. The collector of any pledged revenues shall certify to the municipal chief financial officer the amount of the eligible revenue collected in the preceding calendar year no later than January 30 of each year and shall pay to the municipality such amount, or the percentage thereof designated in the plan, beginning in the first calendar year after the creation of the district.
b. The municipality shall include in its budget the amount certified as collected in the preceding year and shall pay to the district agent for deposit in the revenue allocation financing fund the amount certified in the plan as designated for such payment.
c. Payments in lieu of taxes shall be deposited in four equal installments, regardless of the date or dates fixed for such payments by statute, agreement or otherwise.
##### **§ 52:27D-475** Submission of operating budget {#sec-52-27d-475 omnilex-key=us-nj-statutes--title-52--52:27D-475}
27. The district agent shall submit its operating budget for the district annually to the Director of the Division of Local Government Services in the Department of Community Affairs. If the district agent certifies that the budget is in compliance with a preliminary or final financing plan and all other relevant statutes and rules, the director shall approve the budget within 45 days of receipt. If the director disapproves the budget he shall state the reasons therefor, in writing. The district agent may then make the necessary changes and resubmit the budget for approval. The director may adopt rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to ensure the fiscal integrity of districts and effectuate the intent of the "Revenue Allocation District Financing Act,"P.L.2001, c.310 (C.52:27D-459 et seq.).
##### **§ 52:27D-476** Revenue allocation fund for district {#sec-52-27d-476 omnilex-key=us-nj-statutes--title-52--52:27D-476}
28. The district agent shall establish and maintain a special fund called the "(Name of district agent) Revenue Allocation Fund," and herein referred to as "district fund" or "fund."
The fund shall be used by the district agent for purposes of the "Revenue Allocation District Financing Act,"P.L.2001, c.310 (C.52:27D-459 et seq.), including but not limited to:
a. paying the project costs;
b. paying the principal of and interest on bonds or other obligations issued or guaranteed pursuant to the "Revenue Allocation District Financing Act,"P.L.2001, c.310 (C.52:27D-459 et seq.);
c. prepaying the principal of and interest on the bonds or other obligations;
d. paying additional property tax increment revenue, if any, to taxing entities, as provided for in subsections b. and c. of section 29 of P.L.2001, c.310 (C.52:27D-477) or in the final revenue allocation plan; and
e. reimbursing the municipality for any payments made by the State pursuant to the "Municipal Qualified Bond Act," P.L.1976, c.38 (C.40A:3-1 et seq.) to pay debt service on any qualified bonds issued pursuant to section 35 of P.L.2001, c.310 (C.52:27D-483).
##### **§ 52:27D-477** Payment of project costs; distribution of moneys {#sec-52-27d-477 omnilex-key=us-nj-statutes--title-52--52:27D-477}
29. a. Prior to the adoption of a final revenue allocation plan, the district agent may draw money from the revenue allocation fund for purposes of paying all project costs incurred in connection with the development of the final revenue allocation plan as provided in the approved operating budget, including a reserve for project costs if such reserve is part of the preliminary plan.
b. At the end of each calendar year, any moneys in the fund not pledged to bondholders or otherwise required by the district agent for development of the plan shall be distributed to the appropriate taxing or revenue collecting entities that shall forgo the pledged revenues. The revenues shall be distributed by the district agent in proportion to the taxing effort of each taxing or revenue collecting entity in the year of distribution; except that no revenues deposited in the fund shall be included in the calculation of any adjustment payments payable to an intermunicipal account pursuant to statute.
c. After the adoption of the final revenue allocation plan the district agent may decide to distribute to the taxing or revenue collecting entities that shall forgo the revenues pursuant to the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.) a portion of the revenue increments received by the district agent not pledged to the payment of debt service or necessary to pay project costs. The revenues shall be distributed in proportion to the taxing or revenue collecting effort of each such taxing or revenue collecting entity in the year of distribution.
d. Moneys in the fund may be invested in the State of New Jersey Cash Management Fund established pursuant to section 1 of P.L.1977, c.281 (C.52:18A-90.4) or in any securities that a local government is permitted to purchase pursuant to section 8 of P.L.1977, c.396 (C.40A:5-15.1).
##### **§ 52:27D-478** Termination, dissolution of district {#sec-52-27d-478 omnilex-key=us-nj-statutes--title-52--52:27D-478}
30. Subject to the limitations contained in the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.), each district shall remain in existence until obligations for any project in that district cease to be outstanding; provided, however, the district may be terminated if sufficient moneys have been deposited in the revenue allocation fund, which, when invested in obligations of or guaranteed by the United States government, will be sufficient to pay when due the principal of and interest on the bonds at maturity or any redemption date or full payment of any other obligations, and if the board approves the dissolution of the district. The Division of Local Government Services in the Department of Community Affairs may recommend to the municipality the dissolution of a district which has not taken substantial steps to implement the plan, so long as there are no bonded obligations outstanding or contractual obligations to pay any part of project costs.
##### **§ 52:27D-479** Calculation of general tax rate. {#sec-52-27d-479 omnilex-key=us-nj-statutes--title-52--52:27D-479}
31. a. In calculating the general tax rate levied each year, the aggregate amount of the ratable increments of the revenue allocation districts that have been pledged to bondholders or are otherwise required by the district agent for the development of the plan shall not be considered a part of the total taxable value of land and improvements within the municipality.
b. In calculating the net valuation on which school district taxes and county taxes are apportioned, the aggregate amount of the ratable increments in the revenue allocation district shall be excluded.
c. For purposes of this section, "ratable increment" means the taxable value of all property assessed within a revenue allocation district for the tax year, minus the property tax increment base.
##### **§ 52:27D-480** Powers of district agent following adoption of ordinance {#sec-52-27d-480 omnilex-key=us-nj-statutes--title-52--52:27D-480}
32. Upon approval of the resolution by the board and adoption of an ordinance approving or adopting: a. the final revenue allocation plan by the municipal governing body, or b. a determination regarding a particular project for which there exist sufficient eligible revenues within the district to pay the principal of and interest on obligations issued to finance such project, the district agent shall have the power to incur indebtedness, borrow money and issue its bonds or notes for purposes of financing a project or funding or refunding its bonds or notes. If the district agent is the municipal governing body, any pledge of revenues or funds and obligations incurred shall be limited to the revenues and property accruing to the municipality as district agent and shall not be deemed to include any other municipal revenue or property unless such revenues are pledged or obligations are incurred pursuant to the "Revenue Allocation District Financing Act,"P.L.2001, c.310 (C.52:27D-459 et seq.). The district agent may from time to time issue its bonds or notes in such principal amounts as in the opinion of the district agent are necessary to provide sufficient funds for all or any portion of project costs, including the payment, funding or refunding of the principal of or interest or redemption premiums on any bonds or notes issued by it, whether the bonds or notes or interest to be funded or refunded has or has not become due; the establishment or increase of such reserves to secure or to pay the bonds or notes or interest thereon; and all other costs or expenses of the district agent incident to and necessary to carrying out its corporate purposes and powers.
Any provisions of law to the contrary notwithstanding, a bond issued pursuant to the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.) shall be fully negotiable within the meaning and for all purposes of Title 12A of the New Jersey Statutes, and each holder of the bond, or a coupon appurtenant thereto, by accepting the bond or coupon shall be conclusively deemed to have agreed that the bond or coupon is and shall be fully negotiable within the meaning and for the purposes of that title.
##### **§ 52:27D-481** Issuance of bonds, notes {#sec-52-27d-481 omnilex-key=us-nj-statutes--title-52--52:27D-481}
33. Bonds or notes of the district agent shall be authorized by a resolution or resolutions of the district agent and may be issued in one or more series and shall bear such dates, mature at such times, bear interest at such rates of interest per annum, be in such denominations, be in such form, either coupon or registered, carry such conversion or registration privileges, have such rank or priority, be executed in such manner, be payable from such sources and in such medium of payment at such places within or without the State, and be subject to such terms of redemption, with or without premium, as the resolution or resolutions may provide.
Nothwithstanding the provisions of any other law to the contrary related to such district agent, bonds or notes of the district agent may be sold at public or private sale at such price and in such manner as the district agent shall determine. Every bond shall mature and be paid not later than 35 years from the date thereof.
Bonds or notes may be issued under the provisions of the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.) without any other proceeding or the occurrence of any other conditions or other things than those proceedings, conditions or things which are specifically required by the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.).
Bonds or notes of the district agent issued under the provisions of the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.) shall contain a statement to the effect that they are issued pursuant to the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.) and entitled to the provisions of the "Revenue Allocation District Financing Act," sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 et seq.).
##### **§ 52:27D-482** Bonds, notes considered general obligations {#sec-52-27d-482 omnilex-key=us-nj-statutes--title-52--52:27D-482}
34. Each issue of bonds or notes of the district may, if it is determined by the district agent, be general obligations thereof payable out of any revenues, receipts or funds held by the district agent, subject only to any agreements with the holders of particular bonds or notes pledging any particular revenues or funds, and may be secured by one or more of the following:
a. pledge of eligible revenues and any other revenues derived from leases, sales agreements, service contracts or similar contractual arrangements with one or more persons, firms, partnerships or corporations, whether or not the same relate to the project or part thereof financed with the bonds or notes;
b. pledge of grants, subsidies, contributions or other payments to be received from the United States of America or any instrumentality thereof, or from any State, county or municipal governmental body or agency;
c. a first mortgage on all or any part of the property, real or personal, of the district agent then owned or thereafter to be acquired; or
d. pledge of any moneys, funds, accounts, securities and other funds, including the proceeds of the bonds or notes.
##### **§ 52:27D-483** Guarantee of bonds {#sec-52-27d-483 omnilex-key=us-nj-statutes--title-52--52:27D-483}
35. The municipal governing body may provide for the guarantee of any such bonds and may issue general obligation bonds to provide for the funding of such guarantee which shall be authorized pursuant to the provisions of the "Local Bond Law," N.J.S.40A:2-1 et seq. Such guarantees shall be set forth in the final revenue allocation plan approved pursuant to section 23 of P.L.2001, c.310 (C.52:27D-471). To the extent that the municipality provides for a full faith and credit guarantee of any loan to a redeveloper or any bonds but determines not to authorize the issuance of bonds or notes to provide for the funding source thereof, it may do so by resolution approved by a majority of the full governing body. To the extent that bonds or notes are authorized as provided above, such bonds or notes shall be authorized pursuant to the provisions of the "Local Bond Law," N.J.S.40A:2-1 et seq., and shall be deductible from the gross debt of the municipality until such time as such bonds or notes are actually issued, and only up to the amount actually issued, to fund such guarantee.
The district agent may file an application with the board to qualify an issue of its bonds pursuant to the "Municipal Qualified Bond Act," P.L.1976, c.38 (C.40A:3-1 et seq.) provided, however, that only municipal qualified bonds issued by a municipality, as defined in the "Municipal Qualified Bond Act," P.L.1976, c.38 (C.40A:3-1 et seq.) shall constitute debt of such municipality and be secured by the full faith and credit of such municipality. Intention to file such an application shall be set forth in the final revenue allocation plan approved pursuant to section 23 of P.L.2001, c.310 (C.52:27D-471). Bonds may be issued by the district agent as municipal qualified bonds upon the review and approval of the board as provided in the "Municipal Qualified Bond Act," P.L.1976, c.38 (C.40A:3-1 et seq.). In considering the ordinance, the board may require the governing body to adopt resolutions restricting or limiting any future issuance of bonds for any purpose.
Upon the issuance of such bonds and certification to the State Treasurer of the name and address of the paying agent, the maturity schedule, interest rates and dates of payment of debt service, the State Treasurer shall withhold municipal qualified revenues payable to the municipality in amounts sufficient to pay debt service on such bonds as the same shall mature and become due. The State Treasurer shall on or before each principal and interest payment date forward such withheld amounts to the paying agent for the sole purpose of paying debt service on such bonds. As such withheld amounts are forwarded to the paying agent, the district agent shall return a like amount of eligible revenues received by the district agent, if any, which may be applied to the payment of municipal operating expenses.
Any financial instrument issued by a district agent that is secured in whole or in part by eligible revenues shall be subject to the review and approval of the board. That review and approval shall be made prior to approval of a resolution or agreement authorizing the financing. The board shall be entitled to receive from the applicant an amount sufficient to provide for all reasonable professional and other fees and expenses incurred by it for the review, analysis and determination with respect thereto. As part of its review, the board shall specifically solicit comments from the Office of State Planning in addition to comments from the public. As part of the board's review and approval, it shall consider where appropriate one or more of the following: whether the redevelopment project or plan promotes approaches and concepts to reduce congestion; enhance mobility; assist in the redevelopment of our municipalities; and otherwise improve the quality of life our citizens.
##### **§ 52:27D-484** Power of district agent to secure payment {#sec-52-27d-484 omnilex-key=us-nj-statutes--title-52--52:27D-484}
36. In any resolution of the district agent authorizing or relating to the issuance of any bonds or notes, the district agent, in order to secure the payment of the bonds or notes and in addition to its other powers, shall have power by provisions in that resolution, which shall constitute covenants by the district agent and contracts with the holders of the bonds or notes, to:
a. secure the bonds or notes as provided in section 35 of P.L.2001, c.310 (C.52:27D-483);
b. covenant against pledging all or any part of its revenues or receipts from its lease, sales arrangement, service contracts or other security instruments, of the revenues or receipts under any of the foregoing or the proceeds thereof, or against mortgaging or leasing all or any part of its real or personal property then owned or thereafter acquired, or against permitting or suffering any of the foregoing;
c. covenant with respect to limitations on any right to sell, mortgage, lease or otherwise dispose of any project or any part thereof or any property of any kind;
d. covenant as to any bonds and notes to be issued and the limitations thereon and the terms and conditions thereof and as to the custody, application, investment, and disposition of the proceeds thereof;
e. covenant as to the issuance of additional bonds or notes or as to limitations on the issuance of additional bonds or notes and on the incurring of other debts by it;
f. covenant as to the payment of the principal of or interest on the bonds or notes, or any other obligations, as to the sources and methods of the payment, as to the rank or priority of the bonds, notes or obligations with respect to any lien or security or as to acceleration of the maturity of the bonds, notes or obligations;
g. provide for the replacement of lost, stolen, destroyed or mutilated bonds or notes;
h. covenant against extending the time for the payment of bonds or notes or interest thereon;
i. covenant as to the redemption of bonds or notes and privileges of exchange thereof for other bonds or notes of the district agent;
j. covenant as to the fixing and collection of rents, fees, rates and other charges, the amount to be raised each year or other period of time by rents, fees, rates and other charges and as to the use and disposition to be made thereof;
k. covenant to create or authorize the creation of special funds or moneys to be held in pledge or otherwise for construction, operating expenses, tax rebate, payment or redemption of bonds or notes; reserves or other purposes and as to the use, investment, and disposition of the moneys held in these funds;
l. establish the procedure, if any, by which the terms of any contract or covenant with or for the benefit of the holders of bonds or notes may be amended or abrogated, the amount of bonds or notes the holders of which must consent thereto, and the manner in which the consent may be given;
m. covenant as to the construction, improvement, operation or maintenance of any project and its other real and personal property, the replacement thereof, the insurance to be carried thereon, and the use and disposition of insurance moneys;
n. provide for the release of property, leases or other agreements, or revenues and receipts from any pledge or mortgage and to reserve rights and powers in, or the right to dispose of, property which is subject to a pledge or mortgage;
o. provide for the rights and liabilities, powers and duties arising upon the breach of any covenant, condition or obligation and prescribe the events of default and the terms and conditions upon which any or all of the bonds, notes or other obligations of the district agent shall become or may be declared due and payable before maturity and the terms and conditions upon which the declaration and its consequences may be waived;
p. vest in a trustee or trustees within or without the State such property rights, powers and duties in trust as the district agent may determine, including the right to foreclose any mortgage, which may include any or all of the rights, powers and duties of any trustee appointed by the holders of any bonds or notes issued pursuant to this section and to limit or abrogate the right of the holders of any bonds or notes of the district agent to appoint a trustee under the "Revenue Allocation District Financing Act," P.L.2001, c.310 (C.52:27D-459 et seq.), and to limit the rights, duties and powers of the trustee;
q. execute all mortgages, leases, sales agreements, service contracts, bills of sale, conveyances, deeds of trust and other instruments necessary or convenient in the exercise of its powers or in the performance of its covenants or duties;
r. pay the costs or expenses incident to the enforcement of the bonds or notes or of the provisions of the resolution or of any covenant or agreement of the district agent with the holders of its bonds or notes;
s. limit the rights of the holders of any bonds or notes to enforce any pledge or covenant securing bonds or notes; and
t. make covenants other than or in addition to the covenants authorized by the "Revenue Allocation District Financing Act," P.L.2001, c.310 (C.52:27D-459 et seq.) of like or different character, and to make such covenants to do or refrain from doing such acts and things as may be necessary, or convenient and desirable, in order to better secure bonds or notes or which, in the absolute discretion of the district agent will tend to make bonds or notes more marketable, notwithstanding that the covenants, acts or things may not be enumerated herein.
##### **§ 52:27D-485** Pledge of district agent valid, binding {#sec-52-27d-485 omnilex-key=us-nj-statutes--title-52--52:27D-485}
37. Any pledge of revenues, receipts, moneys, funds, levies, sales agreements, service contracts or other property or instruments made by the district agent shall be valid and binding from the time when the pledge is made. The revenues, receipts, moneys, funds or other property so pledged and thereafter received by the district agent or a subsidiary shall immediately be subject to the lien of the pledge without any physical delivery thereof or further act, and the lien of any pledge shall be valid and binding as against all parties having claims of any kind in tort, contract or otherwise against the district agent irrespective of whether the parties have notice thereof. Neither the resolution nor any other instrument by which a pledge under this section is created need be filed or recorded except in the records of the district agent.
##### **§ 52:27D-486** Immunity from personal liability {#sec-52-27d-486 omnilex-key=us-nj-statutes--title-52--52:27D-486}
38. Neither the directors of the district agent nor any person executing bonds or notes issued pursuant to the "Revenue Allocation District Financing Act," P.L.2001, c.310 (C.52:27D-459 et seq.) shall be liable personally on the bonds or notes by reason of the issuance thereof.
##### **§ 52:27D-487** Establishment of reserves, funds, account {#sec-52-27d-487 omnilex-key=us-nj-statutes--title-52--52:27D-487}
39. The district agent may establish such reserves, funds or account as may be, in its discretion, necessary or desirable to further the accomplishment of the purposes of the district agent or to comply with the provisions of any agreement made by or any resolution of the district agent.
The State and all public officers, governmental units and agencies thereof, all banks, trust companies, savings banks and institutions, building and loan associations, savings and loan associations, investment companies, and other persons carrying on a banking business, all insurance companies, insurance associations and other persons carrying on an insurance business, and all executors, administrators, guardians, trustees and other fiduciaries may legally invest any sinking funds, moneys or other funds belonging to them or within their control in any bonds or notes issued pursuant to the "Revenue Allocation District Financing Act," P.L.2001, c.310 (C.52:27D-459 et seq.), and such bonds or notes shall be authorized security for any and all public deposits.
##### **§ 52:27D-488** Bonds exempt from taxation {#sec-52-27d-488 omnilex-key=us-nj-statutes--title-52--52:27D-488}
40. Bonds, notes or other obligations issued pursuant to the "Revenue Allocation District Financing Act," P.L.2001, c.310 (C.52:27D-459 et seq.) are for an essential public and governmental purpose, and the bonds, notes or other obligations, their transfer and the interest and premium, if any, thereon and the income therefrom, including any profit made on the sale thereof, and all assessments, charges, funds, revenues, income and other moneys pledged or available to pay or secure the payments of the bonds, or interest thereon, shall be exempt from taxation of every kind by the State and the municipality, except transfer inheritance and estate taxes unless exemptions from those taxes have been provided under other laws.
##### **§ 52:27D-489** Severability {#sec-52-27d-489 omnilex-key=us-nj-statutes--title-52--52:27D-489}
41. If any section, part, phrase, or provision of the "Revenue Allocation District Financing Act," P.L.2001, c.310 (C.52:27D-459 et seq.) of the application thereof to any person, project or circumstances, be adjudged invalid by any court of competent jurisdiction, such judgment shall be confined in its operation to the section, part, phrase, provision or application directly involved in the controversy in which such judgment shall have been rendered and shall not affect or impair the validity of the remainder of the "Revenue Allocation District Financing Act," P.L.2001, c.310 (C.52:27D-459 et seq.) or the application thereof to other persons, projects or circumstances.
##### **§ 52:27D-489a** Short title. {#sec-52-27d-489a omnilex-key=us-nj-statutes--title-52--52:27D-489a}
1. This act shall be known and may be cited as the "New Jersey Economic Stimulus Act of 2009."
##### **§ 52:27D-489b** Findings, declarations relative to economic stimulus. {#sec-52-27d-489b omnilex-key=us-nj-statutes--title-52--52:27D-489b}
2. The Legislature finds and declares:
a. The State of New Jersey is confronting a fiscal and economic crisis more severe than any experienced since the Great Depression. Counties and municipalities are likewise witnessing dramatic reductions in local revenues as a consequence of the global economic recession. As part of an ongoing, coordinated attempt to spur economic improvement and reverse this deflationary cycle, the Legislature and the Governor recently enacted a number of laws designed to minimize the impact of current conditions on New Jersey businesses and residents, including legislation providing incentives to create jobs and make business investments in this State.
b. America has seen two economic changes since the birth of our nation over two hundred years ago. The initial change from an agrarian based economy to an industrial based economy in the revolution of the mid to late 1800s caused a realignment of our culture and population and brought prosperity to millions of our hardworking citizens. Much more recently, during those years culminating in the end of the 20th century, the rise of technology and financial services was our second change and increased that prosperity manyfold.
c. As a consequence of the current world-wide financial crisis, opportunities for New Jersey residents to achieve prosperity have now shrunk. Many of our citizens are facing economic hardships not seen since the Great Depression. The financial crisis has diminished the ability of the private sector to create economic development on its own. The worldwide drop in available capital along with a self-fulfilling drop in consumer confidence has created a downward spiral that can be overcome with the assistance of a partnership - a public-private partnership that targets tax cuts to drive economic development and job creation.
d. The poor economic climate continues to pose particular challenges for private sector entities desiring to engage in job creation and economic development activities. In order to spur economic growth and improve the quality of life for all New Jersey residents, it is appropriate for the Legislature to revisit, modify, and supplement several of the current statutes governing economic development and related activities in this State, including but not limited to job creation, economic growth, tax credits, state and local taxation of manufacturing and other activities, higher education, redevelopment, and affordable housing. Each of the facets of P.L.2009, c.90 (C.52:27D-489a et al.) represents a direct response to the unique economic development challenges currently facing the State and local units. It is the belief of the Legislature that each of the individual components of P.L.2009, c.90 (C.52:27D-489a et al.) will serve to combat one or more aspects of the current economic crisis and that these complementary components will promote economic development and job creation activities immediately upon enactment.
e. Current economic conditions compel bold and timely action to create a third economic change that will enhance our prosperity and build confidence in our future. That prosperity must be extended to all areas of New Jersey, urban, suburban, and rural, and include all sectors of the State's economy.
f. Through the use of tax increment financing, tax credits, development fee suspensions, and dedicated economic development revenues, along with a more efficient redevelopment process, New Jersey will be able to restore its economy to economic health and create good-paying jobs for its residents; assist the private development of affordable housing; assist institutions of higher education to develop needed classrooms, laboratories, dormitory rooms, and other educational facilities; and generate revenues for necessary State and local governmental services.
##### **§ 52:27D-489c** Definitions relative to economic stimulus. {#sec-52-27d-489c omnilex-key=us-nj-statutes--title-52--52:27D-489c}
3. As used in sections 3 through 18 of P.L.2009, c.90 (C.52:27D-489c et al.):
"Applicant" means a developer proposing to enter into a redevelopment incentive grant agreement.
"Ancillary infrastructure project" means structures or improvements that are located within the incentive area but outside the project area of a redevelopment project, including, but not limited to, docks, bulkheads, parking garages, public electric vehicle charging stations, freight rail spurs, roadway overpasses, and train station platforms, provided a developer or municipal redeveloper has demonstrated that the redevelopment project would not be economically viable or promote the use of public transportation without such improvements, as approved by the State Treasurer.
"Authority" means the New Jersey Economic Development Authority established under section 4 of P.L.1974, c.80 (C.34:1B-4).
"Aviation district" means all areas within the boundaries of the "Atlantic City International Airport," established pursuant to section 24 of P.L.1991, c.252 (C.27:25A-24), and the Federal Aviation Administration William J. Hughes Technical Center and the area within a one-mile radius of the outermost boundary of the "Atlantic City International Airport" and the Federal Aviation Administration William J. Hughes Technical Center.
"Deep poverty pocket" means a population census tract having a poverty level of 20 percent or more, and which is located within the incentive area and has been determined by the authority to be an area appropriate for development and in need of economic development incentive assistance.
"Developer" means any person who enters or proposes to enter into a redevelopment incentive grant agreement pursuant to the provisions of section 9 of P.L.2009, c.90 (C.52:27D-489i), or its successors or assignees, including but not limited to a lender that completes a redevelopment project, operates a redevelopment project, or completes and operates a redevelopment project. A developer also may be a municipal redeveloper as defined herein or Rutgers, the State University of New Jersey.
"Director" means the Director of the Division of Taxation in the Department of the Treasury.
"Disaster recovery project" means a redevelopment project located on property that has been wholly or substantially damaged or destroyed as a result of a federally-declared disaster, and which is located within the incentive area and has been determined by the authority to be in an area appropriate for development and in need of economic development incentive assistance.
"Distressed municipality" means a municipality that is qualified to receive assistance under P.L.1978, c.14 (C.52:27D-178 et seq.), a municipality under the supervision of the Local Finance Board pursuant to the provisions of the "Local Government Supervision Act (1947)," P.L.1947, c.151 (C.52:27BB-1 et seq.), a municipality identified by the Director of the Division of Local Government Services in the Department of Community Affairs to be facing serious fiscal distress, a SDA municipality, or a municipality in which a major rail station is located.
"Electric vehicle charging station" means an electric component assembly or cluster of component assemblies designed specifically to charge batteries within electric vehicles by permitting the transfer of electric energy to a battery or other storage device in an electric vehicle.
"Eligibility period" means the period of time specified in a redevelopment incentive grant agreement for the payment of reimbursements to a developer, which period shall not exceed 20 years, with the term to be determined solely at the discretion of the applicant.
"Eligible revenue" means the property tax increment and any other incremental revenues set forth in section 11 of P.L.2009, c.90 (C.52:27D-489k), except in the case of a Garden State Growth Zone, in which the property tax increment and any other incremental revenues are calculated as those incremental revenues that would have existed notwithstanding the provisions of the "New Jersey Economic Opportunity Act of 2013," P.L.2013, c.161 (C.52:27D-489p et al.).
"Garden State Growth Zone" or "growth zone" means the four New Jersey cities with the lowest median family income based on the 2009 American Community Survey from the US Census, (Table 708. Household, Family, and Per Capita Income and Individuals, and Families Below Poverty Level by City: 2009); a municipality which contains a Tourism District as established pursuant to section 5 of P.L.2011, c.18 (C.5:12-219) and regulated by the Casino Reinvestment Development Authority; or an aviation district.
"Highlands development credit receiving area or redevelopment area" means an area located within an incentive area and designated by the Highlands Council for the receipt of Highlands Development Credits under the Highlands Transfer Development Rights Program authorized under section 13 of P.L.2004, c.120 (C.13:20-13).
"Incentive grant" means reimbursement of all or a portion of the project financing gap of a redevelopment project through the State or a local Economic Redevelopment and Growth Grant program pursuant to section 4 or section 5 of P.L.2009, c.90 (C.52:27D-489d or C.52:27D-489e).
"Infrastructure improvements in the public right-of-way" mean public structures or improvements, including public electric vehicle charging stations, located in the public right-of-way that are located within a project area or that constitute an ancillary infrastructure project, either of which are dedicated to or owned by a governmental body or agency upon completion, or any required payment in lieu of the structures, improvements or projects, or any costs of remediation associated with the structures, improvements or projects, and that are determined by the authority, in consultation with applicable State agencies, to be consistent with and in furtherance of State public infrastructure objectives and initiatives.
"Low-income housing" means housing affordable according to federal Department of Housing and Urban Development or other recognized standards for home ownership and rental costs and occupied or reserved for occupancy by households with a gross household income equal to 50 percent or less of the median gross household income for households of the same size within the housing region in which the housing is located.
"Major rail station" means a railroad station located within a qualified incentive area which provides access to the public to a minimum of six rail passenger service lines operated by the New Jersey Transit Corporation.
"Mixed-use parking project" means a redevelopment project, the parking component of which shall constitute 51 percent or more of any of the following:
a. the total square footage of the entire mixed-use parking project;
b. the estimated revenues of the entire mixed-use parking project; or
c. the total construction cost of the entire mixed-use parking project.
"Moderate-income housing" means housing affordable, according to United States Department of Housing and Urban Development or other recognized standards for home ownership and rental costs, and occupied or reserved for occupancy by households with a gross household income equal to more than 50 percent but less than 80 percent of the median gross household income for households of the same size within the housing region in which the housing is located.
"Municipal redeveloper" means an applicant for a redevelopment incentive grant agreement, which applicant is:
a. a municipal government, a municipal parking authority, or a redevelopment agency acting on behalf of a municipal government as defined in section 3 of P.L.1992, c.79 (C.40A:12A-3); or
b. a developer of a mixed-use parking project, provided that the parking component of the mixed-use parking project is operated and maintained by a municipal parking authority for the term of any financial assistance granted pursuant to P.L.2015, c.69.
"Municipal Revitalization Index" means the 2007 index by the Office of Planning Advocacy within the Department of State measuring or ranking municipal distress.
"Non-parking component" means that portion of a mixed-use parking project not used for parking, together with the portion of the costs of the mixed-use parking project, including but not limited to the footings, foundations, site work, infrastructure, and soft costs that are allocable to the non-parking use.
"Parking component" means that portion of a mixed-use parking project used for parking, together with the portion of the costs of the mixed-use parking project, including but not limited to the footings, foundations, site work, infrastructure, and soft costs that are allocable to the parking use. The parking component, which may include enclosed pedestrian walkways or a skybridge, may be in the same structure as all the non-parking components or may be in a structure with some non-parking components with the remaining non-parking components in an adjacent or nearby structure that is no more than one third of a mile from the parking components.
"Project area" means land or lands located within the incentive area under common ownership or control including through a redevelopment agreement with a municipality, or as otherwise established by a municipality or a redevelopment agreement executed by a State entity to implement a redevelopment project.
"Project cost" means the costs incurred in connection with the redevelopment project by the developer until the issuance of a permanent certificate of occupancy, or until such other time specified by the authority, for a specific investment or improvement, including the costs relating to: receiving Highlands Development Credits under the Highlands Transfer Development Rights Program authorized pursuant to section 13 of P.L.2004, c.120 (C.13:20-13), lands, buildings, improvements, real or personal property, or any interest therein, including leases discounted to present value, including lands under water, riparian rights, space rights and air rights acquired, owned, developed or redeveloped, constructed, reconstructed, rehabilitated or improved, and any environmental remediation costs, capitalized interest paid to third parties, which for purposes of this definition shall be deemed to be costs directly related to construction, the funding of a debt service reserve fund, the cost of infrastructure improvements, including ancillary infrastructure projects, and an amount not to exceed 20 percent of the total project cost for costs not directly related to construction, and, for projects located in a Garden State Growth Zone only, the cost of infrastructure improvements, including any ancillary infrastructure project and the amount by which total project cost exceeds the cost of an alternative location for the redevelopment project, but excluding any particular costs for which the project has received federal, State, or local funding. In the case of a mixed-use parking project that is undertaken by a municipal redeveloper and that did not commence construction before the declaration of the COVID-19 public health emergency on March 9, 2020, project costs may include, in the discretion of the chief executive officer of the authority consistent with applicable law, the cost or value of land, demolition, and equity contributions, as well as any particular costs for which the project has received State or local funding.
"Project financing gap" means:
a. the part of the total project cost, including return on investment, that remains to be financed after all other sources of capital have been accounted for, including, but not limited to, developer-contributed capital, which shall not be less than 20 percent of the total project cost, which may include the value of any existing land and improvements in the project area owned or controlled by the developer, and the cost of infrastructure improvements in the public right-of-way, subject to review by the State Treasurer, and investor or financial entity capital or loans for which the developer, after making all good faith efforts to raise additional capital, certifies that additional capital cannot be raised from other sources on a non-recourse basis; and
b. the amount by which total project cost exceeds the cost of an alternative location for the out-of-State redevelopment project.
"Project revenue" means all rents, fees, sales, and payments generated by a project, less taxes or other government payments.
"Property tax increment" means the amount obtained by:
a. multiplying the general tax rate levied each year by the taxable value of all the property assessed within a project area in the same year, excluding any special assessments; and
b. multiplying that product by a fraction having a numerator equal to the taxable value of all the property assessed within the project area, minus the property tax increment base, and having a denominator equal to the taxable value of all property assessed within the project area.
For the purpose of this definition, "property tax increment base" means the aggregate taxable value of all property assessed which is located within the redevelopment project area as of October 1st of the year preceding the year in which the redevelopment incentive grant agreement is authorized.
"Public electric vehicle charging station" means an electric vehicle charging station located at a publicly available parking space.
"Public hydrogen fueling station" means publicly available equipment to store and dispense hydrogen fuel to vehicles according to industry codes and standards.
"Publicly available parking space" means a parking space that is available to, and accessible by, the public and may include on-street parking spaces and parking spaces in surface lots or parking garages, but shall not include: a parking space that is part of, or associated with, a private residence; or a parking space that is reserved for the exclusive use of an individual driver or vehicle or for a group of drivers or vehicles, such as employees, tenants, visitors, residents of a common interest development, or residents of an adjacent building.
"Qualified incubator facility" means a commercial building located within an incentive area: which contains 100,000 or more square feet of office, laboratory, or industrial space; which is located near, and presents opportunities for collaboration with, a research institution, teaching hospital, college, or university; and within which, at least 75 percent of the gross leasable area is restricted for use by one or more technology startup companies during the commitment period.
"Qualified residential project" means a redevelopment project that is predominantly residential and includes multi-family residential units for purchase or lease, or dormitory units for purchase or lease, having a total project cost of at least $17,500,000, if the project is located in any municipality with a population greater than 200,000 according to the latest federal decennial census, or having a total project cost of at least $10,000,000 if the project is located in any municipality with a population less than 200,000 according to the latest federal decennial census, or is a disaster recovery project, or having a total project cost of $5,000,000 if the project is in a Garden State Growth Zone.
"Qualifying economic redevelopment and growth grant incentive area" or "incentive area" means:
a. an aviation district;
b. a port district;
c. a distressed municipality; or
d. an area (1) designated pursuant to the "State Planning Act," P.L.1985, c.398 (C.52:18A-196 et seq.), as:
(a) Planning Area 1 (Metropolitan);
(b) Planning Area 2 (Suburban); or
(c) Planning Area 3 (Fringe Planning Area);
(2) located within a smart growth area and planning area designated in a master plan adopted by the New Jersey Meadowlands Commission pursuant to subsection (i) of section 6 of P.L.1968, c.404 (C.13:17-6) or subject to a redevelopment plan adopted by the New Jersey Meadowlands Commission pursuant to section 20 of P.L.1968, c.404 (C.13:17-21);
(3) located within any land owned by the New Jersey Sports and Exposition Authority, established pursuant to P.L.1971, c.137 (C.5:10-1 et seq.), within the boundaries of the Hackensack Meadowlands District as delineated in section 4 of P.L.1968, c.404 (C.13:17-4);
(4) located within a regional growth area, rural development area zoned for industrial use as of the effective date of P.L.2016, c.75, town, village, or a military and federal installation area designated in the comprehensive management plan prepared and adopted by the Pinelands Commission pursuant to the "Pinelands Protection Act," P.L.1979, c.111 (C.13:18A-1 et seq.);
(5) located within the planning area of the Highlands Region as defined in section 3 of P.L.2004, c.120 (C.13:20-3) or in a highlands development credit receiving area or redevelopment area;
(6) located within a Garden State Growth Zone;
(7) located within land approved for closure under any federal Base Closure and Realignment Commission action; or
(8) located only within the following portions of the areas designated pursuant to the "State Planning Act," P.L.1985, c.398 (C.52:18A-196 et al.), as Planning Area 4A (Rural Planning Area), Planning Area 4B (Rural/Environmentally Sensitive) or Planning Area 5 (Environmentally Sensitive) if Planning Area 4A (Rural Planning Area), Planning Area 4B (Rural/Environmentally Sensitive) or Planning Area 5 (Environmentally Sensitive) is located within:
(a) a designated center under the State Development and Redevelopment Plan;
(b) a designated growth center in an endorsed plan until the State Planning Commission revises and readopts New Jersey's State Strategic Plan and adopts regulations to revise this definition as it pertains to Statewide planning areas;
(c) any area determined to be in need of redevelopment pursuant to sections 5 and 6 of P.L.1992, c.79 (C.40A:12A-5 and C.40A:12A-6) or in need of rehabilitation pursuant to section 14 of P.L.1992, c.79 (C.40A:12A-14);
(d) any area on which a structure exists or previously existed including any desired expansion of the footprint of the existing or previously existing structure provided the expansion otherwise complies with all applicable federal, State, county, and local permits and approvals;
(e) the planning area of the Highlands Region as defined in section 3 of P.L.2004, c.120 (C.13:20-3) or a highlands development credit receiving area or redevelopment area; or
(f) any area on which an existing tourism destination project is located.
"Qualifying economic redevelopment and growth grant incentive area" or "incentive area" shall not include any property located within the preservation area of the Highlands Region as defined in the "Highlands Water Protection and Planning Act," P.L.2004, c.120 (C.13:20-1 et al.).
"Redevelopment incentive grant agreement" means an agreement between:
a. the State and the New Jersey Economic Development Authority and a developer; or
b. a municipality and a developer, or a municipal ordinance authorizing a project to be undertaken by a municipal redeveloper, under which, in exchange for the proceeds of an incentive grant, the developer agrees to perform any work or undertaking necessary for a redevelopment project, including the clearance, development or redevelopment, construction, or rehabilitation of any structure or improvement of commercial, industrial, residential, or public structures or improvements within a qualifying economic redevelopment and growth grant incentive area or a transit village.
"Redevelopment project" means a specific construction project or improvement, including lands, buildings, improvements, real and personal property or any interest therein, including lands under water, riparian rights, space rights and air rights, acquired, owned, leased, developed or redeveloped, constructed, reconstructed, rehabilitated or improved, undertaken by a developer, owner or tenant, or both, within a project area and any ancillary infrastructure project including infrastructure improvements in the public right-of-way, as set forth in an application to be made to the authority. The use of the term "redevelopment project" in sections 3 through 18 of P.L.2009, c.90 (C.52:27D-489c et al.) shall not be limited to only redevelopment projects located in areas determined to be in need of redevelopment pursuant to sections 5 and 6 of P.L.1992, c.79 (C.40A:12A-5 and C.40A:12A-6) but shall also include, but not be limited to, any work or undertaking in accordance with the "Redevelopment Area Bond Financing Law," sections 1 through 10 of P.L.2001, c.310 (C.40A:12A-64 et seq.) or other applicable law, pursuant to a redevelopment plan adopted by a State entity, or as described in the resolution adopted by a public entity created by State law with the power to adopt a redevelopment plan or otherwise determine the location, type and character of a redevelopment project or part of a redevelopment project on land owned or controlled by it or within its jurisdiction, including but not limited to, the New Jersey Meadowlands Commission established pursuant to P.L.1968, c.404 (C.13:17-1 et seq.), the New Jersey Sports and Exposition Authority established pursuant to P.L.1971 c.137 (C.5:10-1 et seq.) and the Fort Monmouth Economic Revitalization Authority created pursuant to P.L.2010, c.51 (C.52:27I-18 et seq.). A redevelopment project may include the development of zero-emission vehicle fueling and charging infrastructure.
"Redevelopment utility" means a self-liquidating fund created by a municipality pursuant to section 12 of P.L.2009, c.90 (C.52:27D-489l) to account for revenues collected and incentive grants paid pursuant to section 11 of P.L.2009, c.90 (C.52:27D-489k), or other revenues dedicated to a redevelopment project.
"Revenue increment base" means the amounts of all eligible revenues from sources within the redevelopment project area in the calendar year proceeding the year in which the redevelopment incentive grant agreement is executed, as certified by the State Treasurer for State revenues, and the chief financial officer of the municipality for municipal revenues.
"SDA district" means an SDA district as defined in section 3 of P.L.2000, c.72 (C.18A:7G-3).
"SDA municipality" means a municipality in which an SDA district is situated.
"Technology startup company" means a for profit business that has been in operation fewer than five years and is developing or possesses a proprietary technology or business method of a high-technology or life science-related product, process, or service which the business intends to move to commercialization.
"Tourism destination project" means a redevelopment project that will be among the most visited privately owned or operated tourism or recreation sites in the State, and which is located within the incentive area and has been determined by the authority to be in an area appropriate for development and in need of economic development incentive assistance.
"Transit project" means a redevelopment project located within a 1/2-mile radius, or one-mile radius for projects located in a Garden State Growth Zone, surrounding the mid-point of a New Jersey Transit Corporation, Port Authority Transit Corporation, or Port Authority Trans-Hudson Corporation rail, bus, or ferry station platform area, including all light rail stations.
"Transit village" means a community with a bus, train, light rail, or ferry station that has developed a plan to achieve its economic development and revitalization goals and has been designated by the New Jersey Department of Transportation as a transit village.
"University infrastructure" means any of the following located on the campus of Rutgers, the State University of New Jersey:
a. buildings and structures, such as academic buildings, recreation centers, indoor athletic facilities, public works garages, and water and sewer treatment and pumping facilities;
b. open space with improvements, such as athletic fields and other outdoor athletic facilities, planned commons, and parks; and
c. transportation facilities, such as bus shelters and parking facilities.
"Urban transit hub" means an urban transit hub, as defined in section 2 of P.L.2007, c.346 (C.34:1B-208), that is located within an eligible municipality, as defined in section 2 of P.L.2007, c.346 (C.34:1B-208), or all light rail stations and property located within a one-mile radius of the mid-point of the platform area of such a rail, bus, or ferry station if the property is in a qualified municipality under the "Municipal Rehabilitation and Economic Recovery Act," P.L.2002, c.43 (C.52:27BBB-1 et al.).
"Vacant commercial building" means any commercial building or complex of commercial buildings having over 400,000 square feet of office, laboratory, or industrial space that is more than 70 percent unoccupied at the time of application to the authority or is negatively impacted by the approval of a "qualified business facility," as defined pursuant to section 2 of P.L.2007, c.346 (C.34:1B-208), or any vacant commercial building in a Garden State Growth Zone having over 35,000 square feet of office, laboratory, or industrial space, or over 200,000 square feet of office, laboratory, or industrial space in Atlantic, Burlington, Camden, Cape May, Cumberland, Gloucester, Ocean, or Salem counties available for occupancy for a period of over one year.
"Vacant health facility project" means a redevelopment project where a health facility, as defined by section 2 of P.L.1971, c.136 (C.26:2H-2), currently exists and is considered vacant. A health facility shall be considered vacant if at least 70 percent of that facility has not been open to the public or utilized to serve any patients at the time of application to the authority.
"Zero-emission vehicle" means a vehicle certified as a zero emission vehicle pursuant to the California Air Resources Board zero emission vehicle standards for the applicable model year, including but not limited to, battery electric-powered vehicles and hydrogen fuel cell vehicles.
"Zero-emission vehicle fueling and charging infrastructure" means infrastructure to charge or fuel zero-emission vehicles, including but not limited to, public electric vehicle charging stations and public hydrogen fueling stations.
##### **§ 52:27D-489d** Establishment of local Economic Development and Growth Grant program. {#sec-52-27d-489d omnilex-key=us-nj-statutes--title-52--52:27D-489d}
4. a. The governing body of a municipality wherein is located a qualifying economic redevelopment and growth grant incentive area may adopt an ordinance to establish a local Economic Redevelopment and Growth Grant program for the purpose of encouraging redevelopment projects in that area through the provision of incentive grants to reimburse developers for all or a portion of the project financing gap for such projects. No local Economic Redevelopment and Growth Grant program shall take effect until the Local Finance Board approves the ordinance.
b. A developer shall submit an application for a local incentive grant prior to July 1, 2019. A developer that submits an application for a local incentive grant shall indicate on the application whether it is also applying for a State incentive grant. An application by a developer applying for a local incentive grant only shall not require approval by the authority. A municipal redeveloper may only apply for local incentive grants for the construction of: (1) infrastructure improvements in the public right-of-way, (2) publicly owned facilities, or (3) public electric vehicle charging stations.
c. No local incentive grant shall be finally approved by a municipality until approved by the Local Finance Board. The Local Finance Board shall not approve a local incentive grant unless the application was submitted prior to July 1, 2019.
d. In deciding whether or not to approve a local incentive grant agreement the Local Finance Board shall consider the following factors:
(1) the economic feasibility of the redevelopment project;
(2) the extent of economic and related social distress in the municipality and the area to be affected by the redevelopment project;
(3) the degree to which the redevelopment project will advance State, regional, and local development and planning strategies;
(4) the likelihood that the redevelopment project shall, upon completion, be capable of generating new tax revenue in an amount in excess of the amount necessary to reimburse the developer for project costs incurred as provided in the redevelopment incentive grant agreement;
(5) the relationship of the redevelopment project to a comprehensive local development strategy, including other major projects undertaken within the municipality;
(6) the need for the redevelopment incentive grant agreement to the viability of the redevelopment project;
(7) compliance with the provisions of P.L.2009, c.90 (C.52:27D-489a et al.); and
(8) the degree to which the redevelopment project enhances and promotes job creation and economic development.
e. A developer shall not be required to purchase pinelands development credits under the "Pinelands Protection Act," P.L.1979, c.111 (C.13:18A-1 et seq.), the pinelands comprehensive management plan, or any other rule or regulation adopted pursuant to that act in connection with any approval or relief obtained related to a redevelopment project located in an aviation district on or after the effective date of P.L.2018, c.120, except if seeking to develop in permanently protected open space pursuant to the Pinelands Protection Act. The provisions of this subsection shall not apply to a developer of a qualified residential project.
##### **§ 52:27D-489e** Economic Redevelopment and Growth Grant Program. {#sec-52-27d-489e omnilex-key=us-nj-statutes--title-52--52:27D-489e}
5. a. The New Jersey Economic Development Authority, in consultation with the State Treasurer, shall establish an Economic Redevelopment and Growth Grant program for the purpose of encouraging redevelopment projects in qualifying economic redevelopment and growth grant incentive areas that do not qualify as such areas solely by virtue of being a transit village, through the provision of incentive grants to reimburse developers for certain project financing gap costs.
b. (1) A developer shall submit an application for a State incentive grant prior to July 1, 2019, except: (a) a developer of a qualified residential project or a mixed use parking project seeking an award of credits toward the funding of its incentive grant for a project restricted under category (viii) of subparagraph (b) of paragraph (3) of subsection b. of section 6 of P.L.2009, c.90 (C.52:27D-489f) shall submit an incentive grant application prior to December 31, 2021; (b) a developer of a qualified residential project seeking an award of credits toward the funding of its incentive grant under subparagraph (g) of paragraph (3) of subsection b. of section 6 of P.L.2009, c.90 (C.52:27D-489f) shall submit an incentive grant application prior to December 31, 2021; and (c) a developer of a commercial project seeking a State incentive grant under subparagraph (b) of paragraph (1) of subsection b. of section 6 of P.L.2009, c.90 (C.52:27D-489f) shall submit an incentive grant application prior to December 31, 2021. A developer that submits an application for a State incentive grant shall indicate on the application whether it is also applying for a local incentive grant. Tax credits awarded to developers who apply after the effective date of P.L.2020, c.156 (C.34:1B-269 et al.) under subparagraph (g) of paragraph (3) of subsection b. of section 6 of P.L.2009, c.90 (C.52:27D-489f) shall not exceed $125,000,000. Incentive grants awarded to developers who apply after the effective date of P.L.2020, c.156 under subparagraph (b) of paragraph (1) of subsection b. of section 6 of P.L.2009, c.90 (C.52:27D-489f) shall not exceed $75,000,000.
(2) When an applicant indicates it is also applying for a local incentive grant, the authority shall forward a copy of the application to the municipality wherein the redevelopment project is to be located for approval by municipal ordinance.
c. An application for a State incentive grant shall be reviewed and approved by the authority. The authority shall not approve an application for a State incentive grant unless the application was submitted prior to July 1, 2019, except: (1) the authority shall not approve an application for a State incentive grant by a developer of a qualified residential project or a mixed use parking project seeking an award of credits toward the funding of its incentive grant for a project restricted under category (viii) of subparagraph (b) of paragraph (3) of subsection b. of section 6 of P.L.2009, c.90 (C.52:27D-489f) unless the application was submitted prior to December 31, 2021 and (2) the authority shall not approve an application for a State incentive grant by a developer under subparagraph (g) of paragraph (3) and subparagraph (b) of paragraph (1) of subsection b. of section 6 of P.L.2009, c.90 (C.52:27D-489f) unless the application was submitted prior to December 31, 2021.
d. A developer shall not be required to purchase pinelands development credits under the "Pinelands Protection Act," P.L.1979, c.111 (C.13:18A-1 et seq.), the pinelands comprehensive management plan, or any other rule or regulation adopted pursuant to that act in connection with any approval or relief obtained related to a redevelopment project located in an aviation district on or after the effective date of P.L.2018, c.120, except if seeking to develop in permanently protected open space pursuant to the Pinelands Protection Act. The provisions of this subsection shall not apply to a developer of a qualified residential project.
##### **§ 52:27D-489f** Payment to developer from State. {#sec-52-27d-489f omnilex-key=us-nj-statutes--title-52--52:27D-489f}
6. a. Up to the limits established in subsection b. of this section and in accordance with a redevelopment incentive grant agreement, beginning upon the receipt of occupancy permits for any portion of the redevelopment project, or upon any other event evidencing project completion as set forth in the incentive grant agreement, the State Treasurer shall pay to the developer incremental State revenues directly realized from businesses operating at the site of the redevelopment project from the following taxes: the Corporation Business Tax Act (1945), P.L.1945, c.162 (C.54:10A-1 et seq.), the tax imposed on marine insurance companies pursuant to R.S.54:16-1 et seq., the tax imposed on insurers generally, pursuant to P.L.1945, c.132 (C.54:18A-1 et seq.), the public utility franchise tax, public utilities gross receipts tax and public utility excise tax imposed on sewerage and water corporations pursuant to P.L.1940, c.5 (C.54:30A-49 et seq.), those tariffs and charges imposed by electric, natural gas, telecommunications, water and sewage utilities, and cable television companies under the jurisdiction of the New Jersey Board of Public Utilities, or comparable entity, except for those tariffs, fees, or taxes related to societal benefits charges assessed pursuant to section 12 of P.L.1999, c.23 (C.48:3-60), any charges paid for compliance with the "Global Warming Response Act," P.L.2007, c.112 (C.26:2C-37 et seq.), transitional energy facility assessment unit taxes paid pursuant to section 67 of P.L.1997, c.162 (C.48:2-21.34), and the sales and use taxes on public utility and cable television services and commodities, the tax derived from net profits from business, a distributive share of partnership income, or a pro rata share of S corporation income under the "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq., the tax derived from a business at the site of a redevelopment project that is required to collect the tax pursuant to the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), the tax imposed pursuant to P.L.1966, c.30 (C.54:32B-1 et seq.) from the purchase of furniture, fixtures and equipment, or materials for the remediation, the construction of new structures at the site of a redevelopment project, the hotel and motel occupancy fee imposed pursuant to section 1 of P.L.2003, c.114 (C.54:32D-1), or the portion of the fee imposed pursuant to section 3 of P.L.1968, c.49 (C.46:15-7) derived from the sale of real property at the site of the redevelopment project and paid to the State Treasurer for use by the State, that is not credited to the "Shore Protection Fund" or the "Neighborhood Preservation Nonlapsing Revolving Fund" ("New Jersey Affordable Housing Trust Fund") pursuant to section 4 of P.L.1968, c.49 (C.46:15-8). Any developer shall be allowed to assign their ability to apply for the tax credit under this subsection to a non-profit organization with a mission dedicated to attracting investment and completing development and redevelopment projects in a Garden State Growth Zone. The non-profit organization may make an application on behalf of a developer which meets the requirements for the tax credit, or a group of non-qualifying developers, such that these will be considered a unified project for the purposes of the incentives provided under this section.
b. (1) (a) Up to an average of 75 percent of the projected annual incremental revenues or 85 percent of the projected annual incremental revenues in a Garden State Growth Zone may be pledged towards the State portion of an incentive grant.
(b) State incentive grants not to exceed an aggregate total value of $75,000,000 shall be made available by the authority for applications submitted after the effective date of P.L.2020, c.156, but prior to December 31, 2021, for projects that are predominantly commercial and contain 100,000 or more square feet of office and retail space, or industrial space for purchase or lease, and may include a parking component. The developer of a project seeking an award of credits for a project restricted under this subparagraph shall submit an incentive grant application prior to December 31, 2021, and if approved after the effective date of P.L.2020, c.156, shall submit a temporary certificate of occupancy for the project no later than December 31, 2024. In addition to the requirements for an incentive award set forth in P.L.2009, c.90 (C.52:27D-489a et al.), a developer shall be eligible to receive an award of credits for a project restricted under this subparagraph only if the developer demonstrates to the authority at that time of application that: (i) the project shall comply with minimum environmental and sustainability standards; (ii) the project shall comply with the authority's affirmative action requirements, adopted pursuant to section 4 of P.L.1979, c.303 (C.34:1B-5.4); (iii) each worker employed by the developer, or subcontractor of a developer working at the project, shall be paid not less than $15 per hour or 120 percent of the minimum wage fixed under subsection a. of section 5 of P.L.1966, c.113 (C.34:11-56a4), whichever is higher; and (iv) during the eligibility period, each worker employed to perform construction work or building services work at the project shall be paid not less than the prevailing wage rate for the worker's craft or trade, as determined by the Commissioner of Labor and Workforce Development pursuant to P.L.1963, c.150 (C.34:11-56.25 et seq.) and P.L.2005, c.379 (C.34:11-56.58 et seq.).
(2) In the case of a qualified residential project or a project involving university infrastructure, if the authority determines that the estimated amount of incremental revenues pledged towards the State portion of an incentive grant is inadequate to fully fund the amount of the State portion of the incentive grant, then in lieu of an incentive grant based on the incremental revenues, the developer shall be awarded tax credits equal to the full amount of the incentive grant.
(3) In the case of a mixed-use parking project, if the authority determines that the estimated amount of incremental revenues pledged towards the State portion of an incentive grant is inadequate to fully fund the amount of the State portion of the incentive grant, then, in lieu of an incentive grant based on the incremental revenues, the developer shall be awarded tax credits equal to the full amount of the incentive grant.
The value of all credits approved by the authority pursuant to paragraphs (2) and (3) of this subsection shall not exceed $993,000,000, of which:
(a) $250,000,000 shall be restricted to qualified residential projects within Atlantic, Burlington, Camden, Cape May, Cumberland, Gloucester, Ocean, and Salem counties, of which $175,000,000 of the credits shall be restricted to the following categories of projects: (i) qualified residential projects located in a Garden State Growth Zone located within the aforementioned counties; and (ii) mixed-use parking projects located in a Garden State Growth Zone or urban transit hub located within the aforementioned counties; (iii) and $75,000,000 of the credits shall be restricted to qualified residential projects in municipalities with a 2007 Municipal Revitalization Index of 400 or higher as of the date of enactment of the "New Jersey Economic Opportunity Act of 2013," P.L.2013, c.161 (C.52:27D-489p et al.) and located within the aforementioned counties;
(b) $440,000,000 shall be restricted to the following categories of projects: (i) qualified residential projects located in urban transit hubs that are commuter rail in nature that otherwise do not qualify under subparagraph (a) of this paragraph; (ii) qualified residential projects located in Garden State Growth Zones that do not qualify under subparagraph (a) of this paragraph; (iii) mixed-use parking projects located in urban transit hubs or Garden State Growth Zones that do not qualify under subparagraph (a) of this paragraph, provided however, an urban transit hub shall be allocated no more than $25,000,000 for mixed-use parking projects; (iv) qualified residential projects which are disaster recovery projects that otherwise do not qualify under subparagraph (a) of this paragraph; (v) qualified residential projects in SDA municipalities located in Hudson County that were awarded State Aid in State Fiscal Year 2013 through the Transitional Aid to Localities program and otherwise do not qualify under subparagraph (a) of this paragraph; (vi) $25,000,000 of credits shall be restricted to mixed-use parking projects in Garden State Growth Zones which have a population in excess of 125,000 and do not qualify under subparagraph (a) of this paragraph; (vii) $40,000,000 of credits shall be restricted to qualified residential projects that include a theater venue for the performing arts and do not qualify under subparagraph (a) of this paragraph, which projects are located in a municipality with a population of less than 100,000 according to the latest federal decennial census, and within which municipality is located an urban transit hub and a campus of a public research university, as defined in section 1 of P.L.2009, c.308 (C.18A:3B-46); and (viii) $150,000,000 of credits shall be restricted to qualified residential projects and mixed-use parking projects in Garden State Growth Zones having a population in excess of 125,000 and do not qualify under subparagraph (a) of this paragraph;
(c) $87,000,000 shall be restricted to the following categories of projects: (i) qualified residential projects located in distressed municipalities, deep poverty pockets, highlands development credit receiving areas or redevelopment areas, otherwise not qualifying pursuant to subparagraph (a) or (b) of this paragraph; and (ii) mixed-use parking projects that do not qualify under subparagraph (a) or (b) of this paragraph, and which are used by an independent institution of higher education, a school of medicine, a nonprofit hospital system, or any combination thereof; provided, however, that $20,000,000 of the $87,000,000 shall be allocated to mixed-use parking projects that do not qualify under subparagraph (a) or (b) of this paragraph;
(d) (i) $16,000,000 shall be restricted to qualified residential projects that are located within a qualifying economic redevelopment and growth grant incentive area otherwise not qualifying under subparagraph (a), (b), or (c) of this paragraph; and
(ii) an additional $50,000,000 shall be restricted to qualified residential projects which, as of the effective date of P.L.2016, c.51, are located in a city of the first class with a population in excess of 270,000, are subject to a Renewal Contract for a Section 8 Mark-Up-To-Market Project from the United States Department of Housing and Urban Development, and for which an application for the award of tax credits under this subsection was submitted prior to January 1, 2016;
(e) $25,000,000 shall be restricted to projects involving university infrastructure; and
(f) (Deleted by amendment, P.L.2021, c.160)
(g) $125,000,000 shall be restricted to applications submitted after the effective date of P.L.2020, c.156 (C.34:1B-269 et al.) for residential projects in any county of the State.
(h) For subparagraphs (a) through (d) of this paragraph, not more than $40,000,000 of credits shall be awarded to any qualified residential project in a deep poverty pocket or distressed municipality and not more than $20,000,000 of credits shall be awarded to any other qualified residential project. The developer of a qualified residential project seeking an award of credits towards the funding of its incentive grant shall submit an incentive grant application prior to July 1, 2016 and if approved after September 18, 2013, the effective date of P.L.2013, c.161 (C.52:27D-489p et al.) shall submit a temporary certificate of occupancy for the project no later than December 31, 2023. The developer of a mixed-use parking project seeking an award of credits towards the funding of its incentive grant pursuant to subparagraph (c) of this paragraph and if approved after the effective date of P.L.2015, c.217, shall submit a temporary certificate of occupancy for the project no later than December 31, 2023. The developer of a qualified residential project or a mixed-use parking project seeking an award of credits toward the funding of its incentive grant for a project restricted under categories (vi) and (viii) of subparagraph (b) of this paragraph shall submit an incentive grant application prior to July 1, 2019 or, in the case of a project restricted under category (viii) of subparagraph (b) of this paragraph, December 31, 2021, and if approved after the effective date of P.L.2017, c.59, shall submit a temporary certificate of occupancy for the project no later than June 30, 2028, provided that the municipality in which the project is located shall have submitted to the chief executive officer of the authority a letter of support identifying up to six projects prior to July 1, 2018. The letter of support is to contain a project scope for each of the projects and may be supplemented or amended from time to time until July 1, 2019 or, in the case of a project restricted under categories (vi) and (viii) of subparagraph (b) of this paragraph, December 31, 2022. A developer may amend the application, or assign the application to a municipal redeveloper, for a project restricted under categories (vi) and (viii) of subparagraph (b) of this paragraph that is described in subparagraph (c) of paragraph (2) of subsection b. of section 3 of P.L.2022, c.75 (C.52:27D-489i1) by excluding the visitor center, youth center, or both from the application, provided that the project otherwise qualifies as a mixed-use parking project, and, notwithstanding any provisions of section 3 of P.L.2022, c.75 (C.52:27D-489i1) or any law or rule to the contrary, the maximum amount of any redevelopment incentive grant for the modified project shall be as set forth for projects described in subparagraph (c) of paragraph (2) of subsection b. of section 3 of P.L.2022, c.75 (C.52:27D-489i1). Applications for tax credits pursuant to this subsection relating to an ancillary infrastructure project or infrastructure improvement in the public right-of-way, or both, shall be accompanied with a letter of support relating to the project or improvement by the governing body or agency in which the project is located. Credits awarded to a developer pursuant to this subsection shall be subject to the same financial and related analysis by the authority, the same term of the grant, and the same mechanism for administering the credits, and shall be utilized or transferred by the developer as if the credits had been awarded to the developer pursuant to section 35 of P.L.2009, c.90 (C.34:1B-209.3) for qualified residential projects thereunder. No portion of the revenues pledged pursuant to the "New Jersey Economic Opportunity Act of 2013," P.L.2013, c.161 (C.52:27D-489p et al.) shall be subject to withholding or retainage for adjustment, in the event the developer or taxpayer waives its rights to claim a refund thereof.
(i) The developer of a project seeking an award of credits for a project restricted under subparagraph (g) of this paragraph shall submit an incentive grant application prior to December 31, 2021, and if approved after the effective date of P.L.2020, c.156 (C.34:1B-269 et al.), shall submit a temporary certificate of occupancy for the project no later than December 31, 2024. In addition to the requirements for an award of credits set forth in P.L.2009, c.90 (C.52:27D-489a et al.), a developer shall be eligible to receive an award of credits for a project restricted under subparagraph (g) of this paragraph only if the developer demonstrates to the authority at that time of application that: (i) the project shall comply with minimum environmental and sustainability standards; (ii) the project shall comply with the authority's affirmative action requirements, adopted pursuant to section 4 of P.L.1979, c.303 (C.34:1B-5.4); (iii) each worker employed by the developer or subcontractor of a developer working at the project shall be paid not less than $15 per hour or 120 percent of the minimum wage fixed under subsection a. of section 5 of P.L.1966, c.113 (C.34:11-56a4), whichever is higher; and (iv) during the eligibility period, each worker employed to perform construction work or building services work at the project shall be paid not less than the prevailing wage rate for the worker's craft or trade, as determined by the Commissioner of Labor and Workforce Development pursuant to P.L.1963, c.150 (C.34:11-56.25 et seq.) and P.L.2005, c.379 (C.34:11-56.58 et seq.).
Prior to the board considering an application submitted by a developer for a project restricted under subparagraph (g) of this paragraph, the authority shall confirm with the Department of Labor and Workforce Development, the Department of Environmental Protection, and the Department of the Treasury whether the developer is in substantial good standing with the respective department, or has entered into an agreement with the respective department that includes a practical corrective action plan for the developer. The developer, or an authorized agent of the developer, shall certify to the authority that all factual assertions made in the developer's application are true under the penalty of perjury. If at any time the authority determines that the developer made a material misrepresentation on the developer's application, the developer shall forfeit the award of credits and the authority shall recapture any tax credits awarded to the developer.
(4) A developer may apply to the Director of the Division of Taxation in the Department of the Treasury and the chief executive officer of the authority for a tax credit transfer certificate, if the developer is awarded a tax credit pursuant to paragraph (2) or paragraph (3) of this subsection, covering one or more years, in lieu of the developer being allowed any amount of the credit against the tax liability of the developer. The tax credit transfer certificate, upon receipt thereof by the developer from the director and the chief executive officer of the authority, may be sold or assigned, in full or in part, to any other person who may have a tax liability pursuant to section 5 of P.L.1945, c.162 (C.54:10A-5), sections 2 and 3 of P.L.1945, c.132 (C.54:18A-2 and C.54:18A-3), section 1 of P.L.1950, c.231 (C.17:32-15), or N.J.S.17B:23-5. The certificate provided to the developer shall include a statement waiving the developer's right to claim that amount of the credit against the taxes that the developer has elected to sell or assign. The sale or assignment of any amount of a tax credit transfer certificate allowed under this paragraph shall not be exchanged for consideration received by the developer of less than 75 percent of the transferred credit amount before considering any further discounting to present value that may be permitted. Any amount of a tax credit transfer certificate used by a purchaser or assignee against a tax liability shall be subject to the same limitations and conditions that apply to the use of the credit by the developer who originally applied for and was allowed the credit.
c. All administrative costs associated with the incentive grant shall be assessed to the applicant and be retained by the State Treasurer from the annual incentive grant payments.
d. The incremental revenue for the revenues listed in subsection a. of this section shall be calculated as the difference between the amount collected in any fiscal year from any eligible revenue source included in the State redevelopment incentive grant agreement, less the revenue increment base for that eligible revenue.
e. The municipality is authorized to collect any information necessary to facilitate grants under this program and remit that information in order to assist in the calculation of incremental revenue.
##### **§ 52:27D-489g** Payment to developers from municipalities. {#sec-52-27d-489g omnilex-key=us-nj-statutes--title-52--52:27D-489g}
7. a. Up to the limits established in subsection b. of this section, and in accordance with a redevelopment incentive grant agreement, the municipality shall pay to the developer incremental eligible revenues directly realized from activities or business operations on the redevelopment project premises and may also pay eligible revenues derived from the project area.
b. Up to 75 percent of the incremental local revenues collected pursuant to subsection d. of section 11 of P.L.2009, c.90 (C.52:27D-489k) may be pledged towards the municipal portion, if any, of an incentive grant.
c. All administrative costs associated with the local incentive grant shall be assessed to the applicant and be retained by the municipality from its annual payments to the developer.
##### **§ 52:27D-489h** Incentive grant application form, procedures. {#sec-52-27d-489h omnilex-key=us-nj-statutes--title-52--52:27D-489h}
8. a. (1) The authority, in consultation with the State Treasurer, shall promulgate an incentive grant application form and procedure for the Economic Redevelopment and Growth Grant program.
(2) (a) The Local Finance Board, in consultation with the authority, shall develop a minimum standard incentive grant application form for municipal Economic Redevelopment and Growth Grant programs.
(b) Through regulation, the authority shall establish standards for redevelopment projects seeking State or local incentive grants based on the green building manual prepared by the Commissioner of Community Affairs pursuant to section 1 of P.L.2007, c.132 (C.52:27D-130.6), regarding the use of renewable energy, energy-efficient technology, and non-renewable resources in order to reduce environmental degradation and encourage long-term cost reduction.
b. Within each incentive grant application, a developer shall certify information concerning:
(1) the status of control of the entire redevelopment project site;
(2) all required State and federal government permits that have been issued for the redevelopment project, or will be issued pending resolution of financing issues;
(3) local planning and zoning board approvals, as required, for the redevelopment project;
(4) estimates of the revenue increment base, the eligible revenues for the project, and the assumptions upon which those estimates are made.
c. (1) With regard to State tax revenues proposed to be pledged for an incentive grant the authority and the State Treasurer shall review the project costs, evaluate and validate the project financing gap estimated by the developer, and conduct a State fiscal impact analysis to ensure that the overall public assistance provided to the project, except with regards to a qualified residential project, a mixed use parking project, or a project involving university infrastructure, will result in net benefits to the State including, without limitation, both direct and indirect economic benefits and non-financial community revitalization objectives, including but not limited to, the promotion of the use of public transportation in the case of the ancillary infrastructure project portion of any transit project.
(2) With regard to local incremental revenues proposed to be pledged for an incentive grant the authority and the Local Finance Board shall review the project costs, and except with respect to an application by a municipal redeveloper, evaluate and validate the project financing gap projected by the developer, and conduct a local fiscal impact analysis to ensure that the overall public assistance provided to the project, except with regards to a qualified residential project, a mixed use parking project, or a project involving university infrastructure, will result in net benefits to the municipality wherein the redevelopment project is located including, without limitation, both direct and indirect economic benefits and non-financial community revitalization objectives, including but not limited to, the promotion of the use of public transportation in the case of the ancillary infrastructure project portion of any transit project.
(3) The authority, State Treasurer, and Local Finance Board may act cooperatively to administer and review applications, and shall consult with the Office of State Planning on matters concerning State, regional, and local development and planning strategies.
(4) The costs of the aforementioned reviews shall be assessed to the applicant as an application fee, except for applications submitted on or after January 1, 2018, but before June 30, 2019, which are amended after the effective date of P.L.2020, c.156 (C.34:1B-269 et al.), the authority may waive fees.
(5) A developer who has already applied for an incentive grant award prior to the effective date of the "New Jersey Economic Opportunity Act of 2013," P.L.2013, c.161 (C.52:27D-489p et al.), but who has not yet been approved for the grant, or has not executed an agreement with the authority, may proceed under that application or seek to amend the application or reapply for an incentive grant award for the same project or any part thereof for the purpose of availing himself or herself of any more favorable provisions of the Economic Redevelopment and Growth Grant program established pursuant to the "New Jersey Economic Opportunity Act of 2013," P.L.2013, c.161 (C.52:27D-489p et al.), except that projects with costs exceeding $200,000,000 shall not be eligible for revised percentage caps under subsection d. of section 19 of P.L.2013, c.161 (C.52:27D-489i).
##### **§ 52:27D-489i** Certain grant agreements permitted. {#sec-52-27d-489i omnilex-key=us-nj-statutes--title-52--52:27D-489i}
9. a. The authority is authorized to enter into a redevelopment incentive grant agreement with a developer for any redevelopment project located within a qualifying economic redevelopment and growth grant incentive area that does not qualify as such an area solely by virtue of being a transit village.
b. The decision of whether to enter into a redevelopment incentive grant agreement is solely within the discretion of the authority and the State Treasurer, provided that they both agree to enter into an agreement.
c. The Chief Executive Officer of the authority, in consultation with the State Treasurer shall negotiate the terms and conditions of any redevelopment incentive grant agreement on behalf of the State.
d. (1) The redevelopment incentive grant agreement shall specify the maximum amount of project costs, the amount of the incentive grant to be awarded the developer, the frequency of payments, and the eligibility period, which shall not exceed 20 years, during which reimbursement will be granted, and for a project receiving an incentive grant in excess of $50 million, the amount of the negotiated repayment amount to the State, which may include, but not be limited to, cash, equity, and warrants. Except for redevelopment incentive grant agreements with a municipal redeveloper, or with the developer of a redevelopment project solely with respect to the cost of infrastructure improvements in the public right-of-way including any ancillary infrastructure project in the public right-of-way, in no event shall the base amount of the combined reimbursements under redevelopment incentive grant agreements with the State or municipality exceed 20 percent of the total project cost, except in a Garden State Growth Zone, which shall not exceed 30 percent.
(2) The authority shall be permitted to increase the amount of the reimbursement under the redevelopment incentive grant agreement with the State by up to 10 percent of the total project cost if the project is:
(a) located in a distressed municipality which lacks adequate access to nutritious food in the judgment of the Chief Executive Officer of the authority and will include either a supermarket or grocery store with a minimum of 15,000 square feet of selling space devoted to the sale of consumable products or a prepared food establishment selling only nutritious ready to serve meals;
(b) located in a distressed municipality which lacks adequate access to health care and health services in the judgment of the Chief Executive Officer of the authority and will include a health care and health services center with a minimum of 10,000 square feet of space devoted to the provision of health care and health services;
(c) located in a distressed municipality which has a business located therein that is required to respond to a request for proposal to fulfill a contract with the federal government as set forth in subsection f. of section 3 of P.L.2011, c.149 (C.34:1B-244);
(d) a transit project;
(e) a qualified residential project in which at least 10 percent of the residential units are constructed as and reserved for moderate income housing;
(f) located in a highlands development credit receiving area or redevelopment area;
(g) located in a Garden State Growth Zone;
(h) a disaster recovery project;
(i) an aviation project;
(j) a tourism destination project; or
(k) substantial rehabilitation or renovation of an existing structure or structures.
(3) The maximum amount of any redevelopment incentive grant shall be equal to up to 30 percent of the total project costs, except for projects located in a Garden State Growth Zone, in which case the maximum amount of any redevelopment incentive grant shall be equal to up to 40 percent of the total project costs. Notwithstanding anything to the contrary contained within this section, the maximum amount of any redevelopment incentive grant with respect to a mixed use parking project shall be up to 100 percent of the total project costs allocable to the parking component of the project, and shall be up to 40 percent of the total project costs allocable to the non-parking component of the project. In addition, notwithstanding anything to the contrary contained in this section, the maximum amount of any redevelopment incentive grant for a qualified residential project described in (i) below shall be up to 80 percent of the total project costs, and for a mixed use parking project described in (i) through (iv) below shall be up to 100 percent of the total project costs allocable to the parking component and up to 80 percent of the total project costs allocable to the non-parking component , provided that if the amount of the redevelopment incentive grant exceeds 40 percent of the total project costs for projects developed by non-public, for-profit entities, the authority shall consider the effect of the increased grant amount in determining the project financing gap, which shall include utilizing a rate of return on a developer's contributed capital, when used to determine the project financing gap, reflective of the reduced financial risk of the project, as set by the authority : (i) with respect to a mixed use parking project or qualified residential project constructed upon all or a portion of a project site which project site was previously the subject of an award of tax credits pursuant to the "Urban Transit Hub Tax Credit Act," P.L.2007, c.346 (C.34:1B-207 et seq.), as amended by P.L.2009, c.90 (C.52:27D-489a et al.), but those tax credits were not issued, (ii) for entertainment venues with seating capacity in excess of 5,000, (iii) a visitor center within or adjacent to a national historic park, or (iv) a youth center in or adjacent to a national historic park.
e. Except in the case of a qualified residential project, a mixed use parking project, or a project involving university infrastructure, the authority and the State Treasurer may enter into a redevelopment incentive grant agreement only if they make a finding that the State revenues to be realized from the redevelopment project will be in excess of the amount necessary to reimburse the developer for its project financing gap. This finding may be made by an estimation based upon the professional judgment of the Chief Executive Officer of the authority and the State Treasurer.
f. In deciding whether to recommend entering into a redevelopment incentive grant agreement and in negotiating a redevelopment agreement with a developer, the Chief Executive Officer of the authority shall consider the following factors:
(1) the economic feasibility of the redevelopment project;
(2) the extent of economic and related social distress in the municipality and the area to be affected by the redevelopment project or the level of site specific distress to include dilapidated conditions, brownfields designation, environmental contamination, pattern of vacancy, abandonment, or under-utilization of the property, rate of foreclosures, or other site conditions as determined by the authority;
(3) the degree to which the redevelopment project will advance State, regional, and local development and planning strategies;
(4) the likelihood that the redevelopment project shall, upon completion, be capable of generating new tax revenue in an amount in excess of the amount necessary to reimburse the developer for project costs incurred as provided in the redevelopment incentive grant agreement, provided, however, that any tax revenue generated by a redevelopment project that is a disaster recovery project shall be considered new tax revenue even if the same or more tax revenue was generated at or on the site prior to the disaster;
(5) the relationship of the redevelopment project to a comprehensive local development strategy, including other major projects undertaken within the municipality;
(6) the need of the redevelopment incentive grant agreement to the viability of the redevelopment project or the promotion of the use of public transportation; and
(7) the degree to which the redevelopment project enhances and promotes job creation and economic development or the promotion of the use of public transportation.
g. (1) A developer who has entered into a redevelopment incentive grant agreement with the authority and the State Treasurer pursuant to this section may, upon notice to and consent of the authority and the State Treasurer, pledge, assign, transfer, or sell any or all of its right, title and interest in and to the agreements and in the incentive grants payable thereunder, and the right to receive same, along with the rights and remedies provided to the developer under the agreement. Any such assignment shall be an absolute assignment for all purposes, including the federal bankruptcy code.
(2) Any pledge of incentive grants made by the developer shall be valid and binding from the time the pledge is made and filed in the records of the authority. The incentive grants pledged and thereafter received by the developer shall immediately be subject to the lien of the pledge without any physical delivery thereof or further act, and the lien of any pledge shall be valid and binding against all parties having claims of any kind in tort, contract, or otherwise against the developer irrespective of whether the parties have notice thereof. Neither the redevelopment incentive grant agreement nor any other instrument by which a pledge under this section is created need be filed or recorded except with the authority.
##### **§ 52:27D-489i1** Provisions applied to mixed-used parking project. {#sec-52-27d-489i1 omnilex-key=us-nj-statutes--title-52--52:27D-489i1}
3. Notwithstanding any provision of the "New Jersey Economic Stimulus Act of 2009," P.L.2009, c.90 (C.52:27D-489a et al.) to the contrary, the following provisions shall apply to a mixed-use parking project that is restricted under categories (vi) or (viii) of subparagraph (b) of paragraph (3) of subsection b. of section 6 of P.L.2009, c.90 (C.52:27D-489f) and undertaken by a municipal redeveloper after the effective date of P.L.2022, c.75 (C.52:27D-489i1 et al.), for which a redevelopment incentive grant is awarded:
a. A municipal redeveloper shall submit a temporary certificate of occupancy for such proposed mixed-use parking project no later than June 30, 2028.
b. (1) Except as provided in paragraph (2) of this subsection, a redevelopment incentive grant award shall be equal to 100 percent of the total project costs allocated to the parking component of the project and 40 percent of the total project costs allocated to the non-parking component of a proposed mixed-use parking project.
(2) A redevelopment incentive grant award shall be equal to 100 percent of the total project costs allocated to the parking component of the project and 80 percent of the total project costs allocated to the non-parking component of the mixed-use parking project if the mixed-use parking project is:
(a) constructed upon all or a portion of a project site that was previously the subject of an award of tax credits pursuant to the "Urban Transit Hub Tax Credit Act," P.L.2007, c. 346 (C.34:1B-207 et seq.) or the "New Jersey Economic Stimulus Act of 2009," P.L.2009, c. 90 (C.52:27D-489a et al.), but the tax credits were not issued;
(b) an entertainment venue with seating capacity in excess of 5,000; or
(c) constructed to be utilized by a visitor center or youth center within or adjacent to a national historic park.
c. The terms of any approval, granted by the authority, for a proposed mixed-use parking project undertaken by a municipal redeveloper, which has not yet commenced construction activities other than demolition or site work, may be modified to reflect the terms established pursuant to P.L.2022, c.75 (C.52:27D-489i1 et al.), upon application to the authority for review and approval; provided, however, the developer shall not be required to pay any fee that may be established under law or regulation related to the application for modification. All dates of required action by a municipal redeveloper contained in an approval, granted by the authority, shall be automatically extended by the thirty-month period corresponding to the temporary certificate of occupancy submission date established by subsection a. of this section.
d. All proposed mixed-use parking projects shall comply with Leadership in Energy and Environmental Design (LEED) standards, to the extent that the United States Green Building Council shall have promulgated standards for the project type proposed.
##### **§ 52:27D-489j** Assistance to developer to enhance credit. {#sec-52-27d-489j omnilex-key=us-nj-statutes--title-52--52:27D-489j}
10. The New Jersey Economic Development Authority, or any other State agency, may provide assistance to a developer in order to enhance its credit for the purpose of securing private project financing on more favorable terms.
##### **§ 52:27D-489k** Agreement between developer and municipality. {#sec-52-27d-489k omnilex-key=us-nj-statutes--title-52--52:27D-489k}
11. a. The governing body of a municipality is authorized to enter into a redevelopment incentive grant agreement with a developer, which shall not be effective until adopted by ordinance, for any redevelopment project located within a qualifying economic redevelopment and growth grant incentive area.
b. The redevelopment incentive grant agreement shall specify the maximum amount of project costs, the amount of the incentive grant to be awarded the developer, the frequency of payments, and the eligibility period. The maximum amount of any municipal redevelopment incentive grant shall be equal to:
(1) 100 percent of the project costs in the case of a municipal redeveloper, or
(2) for all other developers, the maximum amount of any redevelopment incentive grant agreement shall be 30 percent of the total project costs, or 40 percent if located in a Garden State Growth Zone.
c. Except in the case of a qualified residential project, the municipality may enter into a redevelopment incentive grant agreement only if the chief financial officer of the municipality makes a finding that the incremental revenues to be realized from the redevelopment project will be in excess of the amount necessary to reimburse the developer for its project financing gap. Such finding shall be based upon appropriate documentation and calculations supporting the decision.
d. Within a qualifying economic redevelopment and growth grant incentive area a municipality that has entered into a local redevelopment incentive grant agreement may pledge eligible revenues it is authorized to collect as follows:
(1) incremental payments in lieu of taxes, with respect to property located in the district, made pursuant to the "Five-Year Exemption and Abatement Law," P.L.1991, c.441 (C.40A:21-1 et seq.), or the "Long Term Tax Exemption Law," P.L.1991, c.431 (C.40A:20-1 et al.);
(2) incremental revenues collected from payroll taxes, with respect to business activities carried on within the area, pursuant to section 15 of P.L.1970, c.326 (C.40:48C-15);
(3) incremental revenue from lease payments made to the municipality, the developer, or the developer's successors with respect to property located in the area;
(4) incremental revenue collected from parking taxes derived from parking facilities located within the area pursuant to section 7 of P.L.1970, c.326 (C.40:48C-7);
(5) incremental admissions and sales taxes derived from the operation of a public facility within the area pursuant to section 1 of P.L.2007, c.302 (C.40:48G-1);
(6) (a) incremental sales and excise taxes which are derived from activities within the area and which are rebated to or retained by the municipality pursuant to the "New Jersey Urban Enterprise Zones Act," P.L.1983, c.303 (C.52:27H-60 et seq.) or any other law providing for such rebate or retention;
(b) within Planning Area 1 (Metropolitan) under the State Development and Redevelopment Plan adopted pursuant to the "State Planning Act," sections 1 through 12 of P.L.1985, c.398 (C.52:18A-196 et seq.), a municipality may impose the entire State sales tax on business activities within a redevelopment project located in an urban enterprise zone that would ordinarily be entitled to collect reduced rate revenues under section 21 of P.L.1983, c.303 (C.52:27H-80), and pledge the excess revenues to a local redevelopment incentive grant agreement;
(7) incremental parking revenue collected, pursuant to section 7 of P.L.1970, c.326 (C.40:48C-7), from public parking facilities built as part of a redevelopment project, except for public parking facilities owned by parking authorities pursuant to the "Parking Authority Law," P.L.1948, c.198 (C.40:11A-1 et seq.);
(8) incremental revenues collected, pursuant to section 3 of P.L.2003, c.114 (C.40:48F-1), P.L.1981, c.77 (C.40:48E-1 et seq.), or P.L.1947, c.71 (C.40:48-8.15 et seq.), from hotel and motel taxes;
(9) upon approval by the Local Finance Board, other incremental municipal revenues that may become available;
(10) the property tax increment, except in the case of a Garden State Growth Zone, in which such property tax increment and any other incremental revenues are calculated as those incremental revenues that would have existed notwithstanding the provisions of the "New Jersey Economic Opportunity Act of 2013," P.L.2013, c.161 (C.52:27D-489p et al.).
The incremental revenue for the revenues listed in this subsection, when applicable, shall be calculated as the difference between the amount collected in any fiscal year from any eligible revenue source included in the local redevelopment incentive grant agreement, less the revenue increment base for that eligible revenue.
e. (1) In calculating the general tax rate of a municipality each year, the aggregate amount of the incremental ratable value over the property tax increment base in the redevelopment project area that is pledged as part of a redevelopment incentive grant agreement shall be excluded from the ratable base of a municipality.
(2) The amount of property tax increment not pledged toward a redevelopment incentive grant agreement shall be allocated pursuant to the normal tax rate distribution.
The full incremental value of a project area shall be included in the value used for county and regional school tax apportionment until such time that the Director of the Division of Taxation in the Department of the Treasury can certify that property tax management systems are capable of handling the technical and legal requirements of treating parcels in areas of redevelopment as exempt from county and regional school apportionment.
f. In addition to the incremental revenues that may be pledged in subsection d. of this section, any amount of tax proceeds collected from the tax on the rental of motor vehicles pursuant to section 20 of P.L.2009, c.90 (C.40:48H-2), may be included in a redevelopment incentive grant agreement with a developer, regardless of whether or not the redevelopment project area is within or outside of the designated industrial zone from which the tax on the rental of motor vehicles is collected.
g. (1) A developer that has entered into a redevelopment incentive grant agreement with a municipality pursuant to this section may, upon notice to and consent of the municipality, pledge, assign, transfer, or sell any or all of its right, title and interest in and to such agreements and in the incentive grants payable thereunder, and the right to receive same, along with the rights and remedies provided to the developer under such agreement. Any such assignment shall be an absolute assignment for all purposes, including the federal bankruptcy code.
(2) Any pledge of incentive grants made by the developer shall be valid and binding from the time when the pledge is made and filed in the office of the municipal clerk. The incentive grants so pledged and thereafter received by the developer shall immediately be subject to the lien of the pledge without any physical delivery thereof or further act, and the lien of any pledge shall be valid and binding as against all parties having claims of any kind in tort, contract, or otherwise against the developer irrespective of whether the parties have notice thereof. Neither the redevelopment incentive grant agreement nor any other instrument by which a pledge under this section is created need be filed or recorded except with the municipality.
##### **§ 52:27D-489k1** Short title. {#sec-52-27d-489k1 omnilex-key=us-nj-statutes--title-52--52:27D-489k1}
1. Sections 1 through 11 of this act shall be known and may be cited as the "Economic Redevelopment and Growth Grant Bond Financing Act."
##### **§ 52:27D-489k2** Definitions. {#sec-52-27d-489k2 omnilex-key=us-nj-statutes--title-52--52:27D-489k2}
2. As used in sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.):
"Authority" means the New Jersey Economic Development Authority established pursuant to P.L.1974, c.80 (C.34:1B-1 et seq.), the New Jersey Redevelopment Authority established pursuant to section 4 of P.L.1996, c.62 (C.55:19-23), a county improvement authority established pursuant to P.L.1960, c.183 (C.40:37A-44 et seq.), or other instrumentality created by law of the State with the power to incur debt and issue bonds and other obligations. The issuance of debt in accordance herewith is hereby deemed an essential public, governmental, and corporate purpose of all such authorities.
"Board" means the Local Finance Board established in the Division of Local Government Services in the Department of Community Affairs.
"Bonds" mean bonds, notes, or other obligations issued by an authority or a municipality to finance or refinance economic redevelopment and growth grant projects, and in connection therewith, to finance or refinance any other cost or expense of an authority or a municipality pursuant to sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.), the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et al.), or other applicable law.
"Developer" means any person who enters or proposes to enter into a redevelopment incentive grant agreement pursuant to the provisions of section 9 of P.L.2009, c.90 (C.52:27D-489i), or its successors or assigns, including but not limited to a lender that completes an economic redevelopment and growth grant project, operates an economic redevelopment and growth grant project, or completes and operates an economic redevelopment and growth grant project. A developer also may be a municipal redeveloper as defined herein.
"Economic redevelopment and growth grant project" means a project for which an incentive grant has been approved pursuant to section 4 or section 5 of P.L.2009, c.90 (C.52:27D-489d or C.52:27D-489e).
"Incentive grant" means reimbursement of all or a portion of the project financing gap of an economic redevelopment and growth grant project through the State or a local Economic Redevelopment and Growth Grant program pursuant to section 4 or section 5 of P.L.2009, c. 90 (C.52:27D-489d or C.52:27D-489e). The amount of reimbursements for a State economic redevelopment and growth grant project is subject to appropriation by the Legislature and to availability of funds.
"Incentive grant pledge" means an agreement that pledges a developer's right to collect incremental revenues from an incentive grant as repayment for bonds, which pledge may be part of a bond indenture or other agreement related to the issuance of the bonds. The pledge of a State incentive grant shall be made only upon notice to and consent of the New Jersey Economic Development Authority and the State Treasurer in accordance with section 9 of P.L.2009, c.90 (C.52:27D-489i).
"Municipal redeveloper" means an applicant for a redevelopment incentive grant agreement, which applicant is:
a. a municipal government, a municipal parking authority, or a redevelopment agency acting on behalf of a municipal government as defined in section 3 of P.L.1992, c.79 (C.40A:12A-3); or
b. a developer of a mixed use parking project, provided that the parking component of the mixed use parking project is operated and maintained by a municipal parking authority for the term of any financial assistance granted pursuant to P.L.2015, c.69.
"Municipality" means the municipal governing body or an entity acting on behalf of the municipality if permitted by the federal Internal Revenue Code of 1986, or, if a redevelopment agency or redevelopment entity is established in the municipality pursuant to P.L.1992, c.79 (C.40A:12A-1 et seq.) and the municipality so provides, the redevelopment agency or entity so established.
"Redevelopment incentive grant agreement" means an agreement between:
a. the State and the New Jersey Economic Development Authority and a developer; or
b. a municipality and a developer, or a municipal ordinance authorizing a project to be undertaken by a municipal redeveloper, under which, in exchange for the proceeds of an incentive grant, the developer agrees to perform any work or undertaking necessary for an economic redevelopment and growth grant project, including the clearance, development or redevelopment, construction, or rehabilitation of any structure or improvement of commercial, industrial, residential, or public structures or improvements within a qualifying economic redevelopment and growth grant incentive area or a transit village.
"Special assessment" means an assessment upon the lands or improvements on such lands, or both, on the real property benefitted by improvements undertaken pursuant to sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.) and assessed pursuant to chapter 56 of Title 40 of the Revised Statutes, R.S.40:56-1 et seq., except as otherwise provided in subsection b. of section 3 of P.L.2018, c.97 (C.52:27D-489k3).
"State entity" means the New Jersey Sports and Exposition Authority established pursuant to P.L.1971, c.137 (C.5:10-1 et seq.) or any other entity created by State law which undertakes an economic redevelopment and growth grant project and which has the power to determine the location, type, and character of projects on land owned or controlled by it.
##### **§ 52:27D-489k3** Issuance of bonds by municipality. {#sec-52-27d-489k3 omnilex-key=us-nj-statutes--title-52--52:27D-489k3}
3. a. In connection with any economic redevelopment and growth grant project, the municipality in which the project is located may issue bonds itself in the manner provided for herein or pursuant to the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et al.) or may apply to an authority to issue bonds, regardless of whether the economic redevelopment and growth grant project is undertaken pursuant to section 4 or section 5 of P.L.2009, c.90 (C.52:27D-489d or C.52:27D-489e), which, in any case, may be secured by an incentive grant pledge, and may be further secured by a municipal lien, by special assessments, or both a municipal lien and special assessments, by the adoption of a resolution or ordinance, as applicable, of the governing body of the municipality or the authority to that effect. The term of any bond secured in whole or in part by an incentive grant pledge shall not exceed the eligibility period of the redevelopment incentive grant agreement that provides for the incentive grant that is pledged.
Nothing contained in sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.) shall be construed as preventing the pledge, assignment, transfer, or sale of any or all of a developer's right, title, and interest in and to a redevelopment incentive grant agreement and in the incentive grants payable thereunder, and the right to receive same, along with the rights and remedies provided to a developer under a redevelopment incentive grant agreement in accordance with subsection g. of section 9 of P.L.2009, c.90 (C.52:27D-489i) or subsection g of section 11 of P.L.2009, c.90 (C.52:27D-489k), as applicable, or shall purport to limit the use of such pledge, assignment, transfer, or sale with respect to the issuance of bonds hereunder or under other applicable law. Furthermore, nothing contained in sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.) shall prevent a State entity from financing an economic redevelopment and growth grant project in accordance with the State entity's enabling legislation and section 9 of P.L.2009, c.90 (C.52:27D-489i), which financing shall not be subject to the provisions of sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.).
b. A municipality may provide by ordinance for one or more special assessments on the economic redevelopment and growth grant project in accordance with chapter 56 of Title 40 of the Revised Statutes, R.S.40:56-1 et seq.; provided, however, the local improvements for which such special assessments may be made may include any improvement in the economic redevelopment and growth grant project whether or not listed at R.S.40:56-1 and, provided further, that the provisions of R.S.40:56-35 shall be applied so that if any installment of a special assessment shall remain unpaid for 30 days after the time at which it shall become due, the municipality may provide, by ordinance, either that: (1) the whole assessment or balance due thereon shall become and be immediately due; or, (2) any subsequent installments which would not yet have become due except for the default shall be considered as not in default and that the lien for the installments not yet due shall continue; and provided, further, that the ordinance may require that the assessments be payable in quarterly, semi-annual, or yearly installments, with legal interest thereon, over a period of years up to but in no event exceeding the period of years for which the bonds were issued. In levying a special assessment on the lands or improvements, or both, on which the economic redevelopment and growth grant project is located, the municipality may provide that the amount of the special assessment shall be a specific amount, not to exceed the cost of the improvements, plus any out-of-pocket costs or expenses incurred in connection with such improvements, including, but not limited to, architectural, engineering, financing, legal, and other professional fees, paid with respect to property benefitted by the improvements. That specific amount shall, to the extent accepted by the owner of the property benefitted, be deemed the conferred benefit, in lieu of the amount being determined by the procedures otherwise applicable to determining the actual benefit conferred on the property. Special assessments levied pursuant to an ordinance adopted under this subsection shall constitute a municipal lien under R.S.40:56-33.
c. Upon adoption, a copy of the ordinance shall be filed for public inspection in the office of the municipal clerk, and there shall be published in a newspaper, published or circulating in the municipality, a notice stating the fact and the date of adoption and the place where the ordinance is filed and a summary of the contents of the ordinance. The notice shall state that any action or proceeding of any kind or nature in any court questioning the validity or proper authorization of the ordinance or the actions authorized to be taken as set forth in the ordinance shall be commenced within 20 days after the publication of the notice. If no action or proceeding questioning the validity of the ordinance providing for special assessments or other actions authorized by the ordinance shall be commenced or instituted within 20 days after the publication of the notice, the county and the school district and all other municipalities within the county and all residents and taxpayers and owners of property therein shall be forever barred and foreclosed from instituting or commencing any action or proceeding in any court questioning the validity or enforceability of the ordinance or the validity or enforceability of acts authorized under the ordinance, and the ordinance and acts authorized by the ordinance shall be conclusively deemed to be valid and enforceable in accordance with their terms and tenor.
d. The municipality may include in the terms of a bond or contract, including an incentive grant pledge, a provision that the pledge of an incentive grant or special assessments shall constitute a municipal charge for the purposes of R.S.54:4-66.
e. The incentive grant pledge or special assessments, or both, may be assigned directly by the municipality or the authority to the trustee for the bonds as payment or security for the bonds, provided that the assignment of the pledge of a State incentive grant shall be made only upon notice to and consent of the New Jersey Economic Development Authority and the State Treasurer. Notwithstanding any law to the contrary, the assignment shall be an absolute assignment of all the municipality's right, title, and interest in the incentive grant pledge or special assessments, or both, or portion thereof, along with the rights and remedies provided to the municipality under the agreement including, but not limited to, the right of collection of payments due. Any interest that is subject to a lien established under this section shall not be transferred, conveyed, assigned, disposed of, or sold, whether by tax sale or otherwise, free and clear of the redevelopment incentive grant agreement and any incentive grant pledges due thereunder while bonds are secured thereby, regardless of the consent of the parties or order of any court, whether in law or in equity, unless any such transfer or conveyance is provided for under the terms and conditions set forth in the bond resolution or bond ordinance, as applicable. Any purchaser, transferee, successor, grantee, or assignee of such interest, whether at a tax sale or otherwise, shall take title to such interest subject to the obligations imposed by the redevelopment incentive grant agreement. Notwithstanding any provision in this section or in any other law to the contrary, no purchaser, transferee, successor, grantee, or assignee shall be assigned a State redevelopment incentive grant agreement or have any of the rights, duties, or obligations of a State redevelopment incentive grant agreement without notice to and consent of the New Jersey Economic Development Authority and the State Treasurer. Incentive grant pledges and special assessments assigned as provided hereunder shall not be included in the general funds of the municipality, nor shall they be subject to any laws regarding the receipt, deposit, investment, or appropriation of public funds and shall retain such status notwithstanding enforcement of the payment or assessment by the municipality or assignee as provided herein. The municipality shall be a "person" within the meaning of that term as defined in section 3 of P.L.1974, c.80 (C.34:1B-3); and the purpose described in this section shall be a "project" within the meaning of that term as defined in section 3 of P.L.1974, c.80 (C.34:1B-3).
f. Notwithstanding the provisions of subsection g. of section 37 of P.L.1992, c.79 (C.40A:12A-37), the bonds issued pursuant to this section shall be issued as non-recourse obligations, and shall not be considered to be direct and general obligations of the municipality, and the municipality shall not be obligated to levy and collect a tax sufficient in an amount to pay the principal and interest on the bonds when the same become due and payable. The provisions of the "Local Government Supervision Act (1947)," P.L.1947, c.151 (C.52:27BB-1 et seq.) shall not apply to any bonds issued or authorized pursuant to this section and those bonds shall not be considered gross debt of the municipality on any debt statement filed in accordance with the "Local Bond Law," N.J.S.40A:2-1 et seq., and the provisions of chapter 27 of Title 52 of the Revised Statutes shall not apply to such bonds.
g. The proceeds from the sale of bonds and any funds provided by any department of the State, authority created by the State, or bi-state authority, for the purposes described in sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.),or for the purpose of financing or refinancing an economic redevelopment and growth grant project pursuant to section 5 of P.L.2009, c.90 (C.52:27D-489e), shall not require compliance with public bidding laws, including the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.), or any other statute where the developer shall undertake the economic redevelopment and growth grant project. The use of these funds shall be subject to public accountability and oversight by the issuer of those bonds, regardless of whether the municipality, agency, or authority provides the funds.
h. A bond, whether issued by a municipality or an authority, shall be subject to the review and approval of the Local Finance Board. That review and approval shall be made prior to approval of an ordinance or a resolution, as may be required by the law pursuant to which the bonds are issued. The board shall be entitled to receive from the applicant an amount sufficient to provide for all reasonable professional and other fees and expenses incurred by it for the review, analysis, and determination with respect thereto. As part of its review, the board shall specifically solicit comments from the New Jersey Economic Development Authority in addition to comments from the public. As part of the board's review and approval, it shall consider comments submitted, and whether the issuance of the bond will adversely impact the financial stability of the municipality or the service area of the authority.
i. A municipality that has assigned any portion of the incentive grant pledge it receives as payment or security for bonds, may, with the consent of the developer, the New Jersey Economic Development Authority, and the State Treasurer, also pledge a portion of the incentive grant pledge as payment or security for bonds in order to finance or refinance any cost or expense of the municipality or authority.
j. In the case of a municipality which is otherwise subject to tax or revenue sharing pursuant to law and which assigns a portion of the incentive grant pledge or special assessments to secure bonds issued by the municipality or the authority, the assigned portion of the incentive grant pledge or special assessments shall not be considered part of the tax or revenue sharing formula or calculation of municipal revenues for the purpose of determining whether that municipality is obligated to make payment to, or receive a credit from, any tax sharing or revenue sharing pool.
k. Notwithstanding any law to the contrary, in the event that bonds shall be issued that are secured by incentive grant pledges pursuant to a redevelopment incentive grant agreement, the redevelopment incentive grant agreement shall not be terminated for any reason after such bonds are issued and during the period that the bonds are outstanding, except solely in the instances where the economic redevelopment and growth grant project has not been completed within the period of time required by the redevelopment incentive grant agreement, or the economic redevelopment and growth grant project has materially changed without prior approval of the New Jersey Economic Development Authority and the State Treasurer, in which cases the New Jersey Economic Development Authority and the State Treasurer may terminate the redevelopment incentive grant agreement in accordance with its terms. Nothing herein shall preclude the New Jersey Economic Development Authority or State Treasurer from exercising its rights under the redevelopment incentive grant agreement to compel specific performance or terminating the redevelopment incentive grant agreement prior to the issuance of bonds for any reason in accordance with its terms.
##### **§ 52:27D-489k4** Payments continuous lien. {#sec-52-27d-489k4 omnilex-key=us-nj-statutes--title-52--52:27D-489k4}
4. a. If authorized by ordinance of a municipality adopted pursuant to subsection a. of section 3 of P.L.2018, c.97 (C.52:27D-489k3), payments required to be made in accordance with an incentive grant pledge entered into pursuant to sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.) shall be a continuous lien on the land or improvements thereon, or both, or a continuous lien on any leasehold interests in the land or improvements thereon, or both, against which the ordinance is recorded on and after the date of recordation of both the ordinance and the agreement, whether simultaneously or not, or the date of confirmation of the special assessments, whichever is earlier. All subsequent payments of the incentive grant pledge thereunder, interest, penalties, and costs of collection which thereafter fall due or accrue shall be added and relate back to and be a part of the initial lien. Upon recordation of the ordinance and agreement, the incentive grant pledge shall constitute an automatic, enforceable, and perfected statutory municipal lien for all purposes, including the federal bankruptcy code, regardless of whether the amount of the incentive grant pledge has been determined at the time the lien attaches to any interest in the land, leasehold estate, or improvements, as applicable. A confirmation hearing process to determine the amount due shall not affect the commencement or validity of a lien established pursuant to subsection a. of section 3 of P.L.2018, c.97 (C.52:27D-489k3). Notwithstanding any other applicable law, for the purposes of subsection a. of section 3 of P.L.2018, c.97 (C.52:27D-489k3), a municipal lien on a leasehold estate shall constitute a lien against such leasehold estate only, unless the redevelopment incentive grant agreement specifically provides for a lien on the underlying fee interest in the land. In any case, enforcement of a municipal lien on a leasehold estate shall be limited to an in rem proceeding only. No municipal lien shall attach to any interest of an authority or any entity created by the State unless the authority or entity shall have expressly consented to such lien in the redevelopment incentive grant agreement.
b. If bonds are issued, the municipality or the developer, as the case may be, may record, either simultaneously or at different times, any ordinance adopted by the municipality relating to the incentive grant pledge or special assessments and, either simultaneously with the ordinance or at different times, a copy of the agreement or agreements. The ordinance, when recorded, shall contain a legend at the top of the front page substantially as follows:
THIS ORDINANCE SECURES BONDS OR OTHER OBLIGATIONS ISSUED IN ACCORDANCE WITH THE PROVISIONS OF THE "ECONOMIC REDEVELOPMENT AND GROWTH GRANT BOND FINANCING ACT" AND THE LIEN HEREOF IN FAVOR OF THE OWNERS OF SUCH BONDS OR OTHER OBLIGATIONS IS A MUNICIPAL LIEN SUPERIOR TO ALL OTHER NON-MUNICIPAL LIENS HEREAFTER RECORDED.
c. Notwithstanding any law to the contrary, upon recordation of both the ordinance and any accompanying agreement, the lien thereof shall be perfected for all purposes in accordance with law and the lien shall thereafter be superior to (1) all non-municipal liens thereafter recorded or otherwise arising, and, (2) each prior lien where the lienholder consents, without any additional notice, recording, filing, continuation filing, or action, until the payment in full of the bonds. The lien thereby established shall apply not only to the bonds initially issued, but also to any refinancing or refunding thereof, as well as to any additional bonds thereafter issued on a parity therewith in accordance with the provisions of the original documents securing the initial bonds; provided, however, that in the event any ordinance or agreement is amended or supplemented in a way which increases the amount of an incentive grant pledge or special assessments, the lien as to that increase shall be perfected and apply upon the recordation of the amended or supplemented ordinance and agreement (including the above-recited legend). Except as set forth in this section, no amendment or supplement to the ordinance or agreement thereafter recorded shall affect the perfection or priority of the lien established upon original recordation thereof.
d. Upon the final payment in full of any bonds secured as provided in sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.), the lien established hereby shall terminate, and the trustee shall record a notice to that effect.
##### **§ 52:27D-489k5** Incentive grant pledge may be secured by a mortgage. {#sec-52-27d-489k5 omnilex-key=us-nj-statutes--title-52--52:27D-489k5}
5. a. In lieu of, or in addition to, the provisions of section 4 of P.L.2018, c.97 (C.52:27D-489k4), the municipality may provide in the agreement that the incentive grant pledge, if any, is to be secured by a mortgage. In that event the mortgage may also be assigned and pledged to the repayment of the bonds authorized herein.
b. The assignment of any mortgage that secures an incentive grant pledge, if any, may also be an absolute assignment of all or part of the municipality's right, title, and interest in the mortgage and, to the extent assigned, any moneys realized from the foreclosure of the mortgaged property shall not be included in the general funds of the municipality.
c. After the bonds are paid and no longer deemed to be outstanding, the assignment of the mortgage shall terminate.
##### **§ 52:27D-489k6** Bonds exempt from taxation. {#sec-52-27d-489k6 omnilex-key=us-nj-statutes--title-52--52:27D-489k6}
6. All bonds issued pursuant to sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.), are hereby declared to be issued by a political subdivision of this State and for an essential public and governmental purpose and the bonds, and the interest thereon and the income therefrom, and all facility charges, funds, revenues, and other moneys pledged or available to pay or secure the payment of the bonds, or interest thereon, shall at all times be exempt from taxation except for transfer inheritance and estate taxes.
##### **§ 52:27D-489k7** Pledge, covenant, agreement by State with bondholders. {#sec-52-27d-489k7 omnilex-key=us-nj-statutes--title-52--52:27D-489k7}
7. The State of New Jersey does hereby pledge to and covenant and agree with the holders of any bonds issued pursuant to sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.) that the State will not limit or alter the terms of any agreement, ordinance, or resolution made in connection with the security for and the issuance and sale of any bonds, so as to in any way impair the rights or remedies of such holders, and will not modify in any way the exemption from taxation provided for in sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.) until the bonds, together with interest thereon, with interest on any unpaid installments of interest, and all costs and expenses in connection with any action or proceeding by or on behalf of such holders, are fully met and discharged or provided for.
##### **§ 52:27D-489k8** Severability. {#sec-52-27d-489k8 omnilex-key=us-nj-statutes--title-52--52:27D-489k8}
8. If any section, subsection, clause or provision of the "Economic Redevelopment and Growth Grant Bond Financing Act," sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.), shall be adjudged to be unconstitutional or ineffective in whole or in part, to the extent that it is not adjudged unconstitutional or is not ineffective, it shall be valid and effective and no other section, subsection, clause or provision of the "Economic Redevelopment and Growth Grant Bond Financing Act," sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.), shall on account thereof be deemed invalid or ineffective, and the inapplicability or invalidity of any section, subsection, clause or provision of the "Economic Redevelopment and Growth Grant Bond Financing Act," sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.), in any one or more instances or under any one or more circumstances shall not be taken to affect or prejudice in any way its applicability or validity in any other instance or under any other circumstance.
##### **§ 52:27D-489k9** Filing of bond resolution, ordinance for public inspection. {#sec-52-27d-489k9 omnilex-key=us-nj-statutes--title-52--52:27D-489k9}
9. An authority or municipality, as applicable, shall cause a copy of any bond resolution or bond ordinance, as applicable, adopted by it to be filed for public inspection in the office of the municipal clerk of the municipality wherein the project financed by the bonds is located. In the case of an authority, the resolution also shall be filed for public inspection in its office. The authority or municipality may cause to be published, at least once in a newspaper published or circulating in the municipality, if there be one, and if not, in a newspaper published and circulating in the county, a notice stating the fact and date of the adoption and the places where the bond resolution or bond ordinance, as applicable, has been so filed for public inspection along with the date of the first publication of the notice and also stating that any action or proceeding of any kind or nature in any court questioning the validity or proper authorization of bonds provided for by the bond resolution or bond ordinance, as applicable, or the validity of any covenants, agreements or contracts provided for by the bond resolution or bond ordinance, as applicable, shall be commenced within 20 days after the first publication of that notice. If any such notice shall at any time be published and if no action or proceeding questioning the validity or proper authorization of bonds provided for by the bond resolution or bond ordinance, as applicable, referred to in said notice, or the validity of any covenants, agreements, or contracts provided for by said bond resolution or bond ordinance, as applicable, shall be commenced or instituted within 20 days after the first publication of the notice, then all persons shall be forever barred and foreclosed from instituting or commencing any action or proceeding in any court, or from pleading any defense to any action or proceeding, questioning the validity or proper authorization of such bonds, or the validity of such covenants, agreements, or contracts, and said bonds, covenants, agreements, and contracts shall be conclusively deemed to be valid and binding obligations in accordance with their terms and tenor.
##### **§ 52:27D-489k10** Powers of municipality relative to local improvements. {#sec-52-27d-489k10 omnilex-key=us-nj-statutes--title-52--52:27D-489k10}
10. Any municipality may undertake, as a local improvement; the investigation, analysis, planning, monitoring, acquisition, removal, containment, remediation, construction, or improvement of any real property or facility necessary or desirable for the cleanup of actual, potential, or perceived environmental contamination or pollution, including without limitation, water pollution, air pollution, pollution caused by solid waste disposal, thermal pollution, radiation contamination, or other general environmental contamination or pollution which is or may become injurious to the environment or to the public health, safety, or welfare.
The governing body of a municipality undertaking a local improvement under this section may make, amend, repeal, and enforce ordinances for carrying into effect the powers granted in this section. Whenever convenient, one or more of the works provided for in R.S.40:56-1 may be undertaken together with the local improvement authorized under this section as one improvement.
##### **§ 52:27D-489k11** Municipality may undertake local improvements on behalf of a redeveloper. {#sec-52-27d-489k11 omnilex-key=us-nj-statutes--title-52--52:27D-489k11}
11. Whenever a municipality issues bonds in accordance with sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.), or a municipality applies to an authority to issue bonds pursuant to sections 1 through 11 of P.L.2018, c.97 (C.52:27D-489k1 et seq.), the municipality by ordinance may cause local improvements to be undertaken, or otherwise agree to acknowledge the undertaking of local improvements, by or on behalf of a redeveloper, for the powers granted under R.S.40:56-1 et seq., including section 10 of P.L.2018, c.97 (C.52:27D-489k10).
##### **§ 52:27D-489l** Creation of municipal redevelopment utility permitted. {#sec-52-27d-489l omnilex-key=us-nj-statutes--title-52--52:27D-489l}
12. a. A municipality may adopt an ordinance creating a municipal redevelopment utility under the name and style of "the __________ redevelopment utility," with all or any significant part of the name of the municipality inserted. The redevelopment utility shall be a municipal public utility for the purposes of Title 40A of the New Jersey Statutes.
b. The purpose of every redevelopment utility shall be to receive revenues collected pursuant to section 11 of P.L.2009, c.90 (C.52:27D-489k) and to use those revenues as payment of incentive grants, and for other local purposes that may be approved by the Local Finance Board, as that board deems necessary or useful.
c. If a municipality does not create a municipal redevelopment utility, then any revenues collected pursuant to section 11 of P.L.2009, c.90 (C.52:27D-489k) and any grants received to pay incentive grants shall be treated as riders in the municipal budget pursuant to N.J.S.40A:4-36.
##### **§ 52:27D-489m** Certain laws inoperative, without effect relative to certain applications. {#sec-52-27d-489m omnilex-key=us-nj-statutes--title-52--52:27D-489m}
13. Sections 11 through 41 of P.L.2001, c.310 (C.52:27D-459 through C.52:27D-489) shall be inoperative and without effect for applications submitted after the effective date of P.L.2009, c.90; provided, however, those sections shall remain in effect for revenue allocation districts for which financing has been approved prior to the effective date of P.L.2009, c.90. Any revenue allocation district that has been approved prior to the effective date of P.L.2009, c.90, but for which financing has not been approved prior to that date, shall fall under the provisions of sections 3 through 18 of P.L.2009, c.90 (C.52:27D-489c et al.).
##### **§ 52:27D-489n** Implementation guidelines, directives, rules, regulations. {#sec-52-27d-489n omnilex-key=us-nj-statutes--title-52--52:27D-489n}
18. The Local Finance Board in the Department of Community Affairs, the State Treasurer, and the Economic Development Authority may adopt implementation guidelines or directives, and adopt such administrative rules, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), as are necessary for the implementation of those agencies' respective responsibilities under sections 3 through 18 of P.L.2009, c.90 (C.52:27D-489c et al.), except that notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the Local Finance Board, the State Treasurer, and the Economic Development Authority may adopt, immediately upon filing with the Office of Administrative Law, such rules and regulations as they deem necessary to implement the provisions of sections 3 through 18 of P.L.2009, c.90 (C.52:27D-489c et al.) which shall be effective for a period not to exceed 12 months and shall thereafter be amended, adopted, or re-adopted in accordance with the provisions of P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:27D-489o** Ordinance for payment to municipal redeveloper for certain projects. {#sec-52-27d-489o omnilex-key=us-nj-statutes--title-52--52:27D-489o}
11. a. The governing body of a municipality may, by ordinance, agree that certain eligible revenues in a project area may be paid for a period, not to exceed 20 years, to a municipal redeveloper to undertake and fund up to 100 percent of the construction of infrastructure improvements in a public right-of-way, publicly owned facilities, or public electric vehicle charging stations.
b. An ordinance adopted pursuant to subsection a. of this section shall set forth in detail the proposed construction, the proposed redevelopment project, the estimated project costs, and the projected eligible incremental revenues to be paid. No ordinance shall be finally approved by the municipality unless approved by the Local Finance Board. In deciding whether or not to approve such ordinance, the Local Finance Board shall determine whether the proposed redevelopment project consists of public electric vehicle charging stations, publicly owned facilities, or infrastructure improvements in the public right-of-way. It also shall consider the factors listed at paragraphs (1) through (8) of subsection d. of section 4 of P.L.2009, c.90 (C.52:27D-489d), provided that with respect to infrastructure improvements in the public right-of-way, it shall not consider paragraph (4) of subsection d. of section 4 of P.L.2009, c.90 (C.52:27D-489d). Such proposed redevelopment project shall conform to the requirements of sections 7, 8, and 11 of P.L.2009, c.90 (C.52:27D-489g, C.52:27D-489h, and C.52:27D-489k), except as set forth therein.
##### **§ 52:27D-489p** Short title. {#sec-52-27d-489p omnilex-key=us-nj-statutes--title-52--52:27D-489p}
1. This act shall be known and may be cited as the "New Jersey Economic Opportunity Act of 2013."
##### **§ 52:27D-489q** Findings, declarations relative to the "New Jersey Economic Opportunity Act of 2013." {#sec-52-27d-489q omnilex-key=us-nj-statutes--title-52--52:27D-489q}
22. The Legislature finds and declares that:
a. Healthy, thriving municipalities are vital to the health, safety, and economic well-being of the State.
b. Municipalities that are economically distressed adversely impact not only that municipality, but also affect the county and region where they are located as well as the whole State.
c. Numerous programs have been previously established to assist municipalities in economic and fiscal distress to enable them to regain health and vitality, including programs to provide increasing degrees of oversight and to provide substantial amounts of financial aid and incentives.
d. While these existing programs have proven successful in aiding a number of municipalities, others are in such difficult straits that such measures have not proven sufficient. Thus, extraordinary measures are required now to turn around the fate of such municipalities.
e. The new programs provided herein will have a substantial likelihood of achieving success where prior programs have not, and employing these programs now is crucial to the economic well-being of the county, region, and State.
f. Accordingly, the municipalities identified as Garden State Growth Zones are hereby declared blighted areas and areas in need of rehabilitation, provided however, that this declaration alone shall not be used to allow any property to be taken or acquired.
##### **§ 52:27D-489r** Definitions relative to the "New Jersey Economic Opportunity Act of 2013." {#sec-52-27d-489r omnilex-key=us-nj-statutes--title-52--52:27D-489r}
23. As used in section 24 of P.L.2013, c.161 (C.52:27D-489s):
"Aviation district" means all areas within the boundaries of the "Atlantic City International Airport," established pursuant to section 24 of P.L.1991, c.252 (C.27:25A-24), and the Federal Aviation Administration William J. Hughes Technical Center and the area within a one-mile radius of the outermost boundary of the "Atlantic City International Airport" and the Federal Aviation Administration William J. Hughes Technical Center.
"Director" means the Director of the Division of Taxation.
"Division of Codes and Standards" means the Division of Codes and Standards located in the Department of Community Affairs.
"Eligible person" means any individual purchasing or renting an eligible residential residence within a growth zone after the enactment of P.L.2013, c.161 (C.52:27D-489p et al.). For the purpose of this definition, an eligible person is limited to those who establish a permanent residency at the eligible residential residence, are subject to the "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq., and are current with all State and local tax obligations.
"Eligible property" means any residential, commercial, industrial, or other business property, located in a Garden State Growth Zone, that receives a Certificate of Occupancy or is transferred in a legal sale on or after July 1, 2013. Purchasers of newly constructed homes are not the applicant.
"Exemption" means that portion of the assessor's full and true value of any improvement, conversion, alteration, redevelopment, rehabilitation, or construction not regarded as increasing the taxable value of a property pursuant to P.L.2013, c.161 (C.52:27D-489p et al.) for the purposes of encouraging the construction, conversion, improvement, and redevelopment of real property conducted by eligible businesses or residents within a growth zone pursuant to P.L.2013, c.161 (C.52:27D-489p et al.).
"Garden State Growth Zone" or "growth zone" means the four New Jersey cities with the lowest median family income based on the 2009 American Community Survey from the US Census, (Table 708. Household, Family, and Per Capita Income and Individuals, and Families Below Poverty Level by City: 2009); a municipality which contains a Tourism District as established pursuant to section 5 of P.L.2011, c.18 (C.5:12-219) and regulated by the Casino Reinvestment Development Authority; an aviation district; or a government-restricted municipality.
"Garden State Growth Zone Development Entity" means a private corporation incorporated pursuant to Title 14A of the New Jersey Statutes, or established pursuant to Title 42 of the Revised Statutes, for which the profits of the entity are limited as follows. The allowable net profits of the entity shall be determined by applying the allowable profit rate to the total project cost, and all capital costs, determined in accordance with generally accepted accounting principles, of any other entity whose revenue is included in the computation of excess profits, for the period commencing on the date on which the construction of the project is completed, and terminating at the close of the fiscal year of the entity preceding the date on which the computation is made, where:
"Allowable profit rate" means the greater of 12 percent or the percentage per annum arrived at by adding one and 1/4 percent to the annual interest percentage rate payable on the entity's initial permanent mortgage financing. If the initial permanent mortgage is insured or guaranteed by a governmental agency, the mortgage insurance premium or similar charge, if payable on a per annum basis, shall be considered as interest for this purpose. If there is no permanent mortgage financing the allowable profit rate shall be the greater of 12 percent or the percentage per annum arrived at by adding one and 1/4 percent per annum to the interest rate per annum which the municipality determines to be the prevailing rate on mortgage financing on comparable improvements in the county.
"Government-restricted municipality" means a municipality in this State that has:
(1) a municipal revitalization index distress score of at least 75;
(2) met the criteria for designation as an urban aid municipality in the 2019 State fiscal year; and
(3) on the effective date of P.L.2021, c.232 is either:
(a) subject to financial restrictions imposed pursuant to the "Municipal Stabilization and Recovery Act," P.L.2016, c.4 (C.52:27BBBB-1 et seq.), or
(b) restricted in its ability to levy property taxes on property in that municipality as a result of:
(i) the State of New Jersey owning or controlling property representing at least 25 percent of the total land area of the municipality, or
(ii) the federal government of the United States owning or controlling at least 50 acres of the total land area of the municipality, which land area is dedicated as a national natural landmark.
"Improvements" means any repair, construction, or reconstruction, including alterations and additions, having the effect of rehabilitating a deteriorated property so that it becomes habitable or attains higher standards of safety, health, economic use or amenity, or is brought into compliance with laws, ordinances or regulations governing such standards. Ordinary upkeep and maintenance shall not be deemed an improvement.
##### **§ 52:27D-489s** Authority of development entity. {#sec-52-27d-489s omnilex-key=us-nj-statutes--title-52--52:27D-489s}
24. a. A Garden State Growth Zone Development Entity is authorized to undertake clearance, re-planning, development, or redevelopment of property within a Garden State Growth Zone.
b. (1) Notwithstanding any other law to the contrary, every Garden State Growth Zone Development Entity that owns real property, or leases real property for a period of not less than 30 years, within a Garden State Growth Zone and that undertakes the clearance, re-planning, development, or redevelopment of such property is hereby granted an exemption on improvements to such eligible property for any new construction, improvements, or substantial rehabilitation of structures on real property for a period of 20 years from receiving a final Certificate of Occupancy, provided however, that a municipality located within the Garden State Growth Zone shall, by ordinance, opt-in to such program within 90 calendar days of the enactment of P.L.2013, c.161 (C.52:27D-489p et al.). The exemption allowed by this paragraph shall be dependent upon: (a) the owner, or lessee, of the real property making improvements to the real property after the enactment of P.L.2013, c.161 (C.52:27D-489p et al.); and (b) the Division of Codes and Standards, in consultation with the eligible municipality, issuing a final Certificate of Occupancy within 15 years of the date of enactment of P.L.2013, c.161 (C.52:27D-489p et al.) in the case of real property that is located in a government-restricted municipality, and within 10 years of the date of enactment of P.L.2013, c.161 (C.52:27D-489p et al.) in the case of real property that is not located in a government-restricted municipality.
(2) If a government-restricted municipality located within a Garden State Growth Zone did not opt-in to the program within 90 calendar days of the enactment of P.L.2013, c.161 (C.52:27D-489p et al.) pursuant to paragraph (1) of this subsection, then the government-restricted municipality located within a Garden State Growth Zone may, by ordinance, opt-in to such program within 90 calendar days of the enactment of P.L.2021, c.232. A Garden State Growth Zone Development Entity that owns real property, or leases real property for a period of not less than 30 years, within a government-restricted municipality that adopts an ordinance to opt-in pursuant to this paragraph, and that undertakes the clearance, re-planning, development, or redevelopment of such property is hereby granted an exemption on improvements to such eligible property for any new construction, improvements, or substantial rehabilitation of structures on real property for a period of 30 years from receiving a final Certificate of Occupancy. The exemption allowed by this paragraph shall be dependent upon: (a) the owner, or lessee, of the real property making improvements to the real property after the enactment of P.L.2013, c.161 (C.52:27D-489p et al.); and (b) the Division of Codes and Standards, in consultation with the eligible municipality, issuing a final Certificate of Occupancy within 15 years of the date of enactment of P.L.2013, c.161 (C.52:27D-489p et al.).
(3) Notwithstanding any other law to the contrary, the municipal assessor of a government-restricted municipality may extend the exemption period authorized pursuant to paragraph (1) of this subsection so that such exemption is granted for a period of 30 years from receiving a final Certificate of Occupancy. The extension allowed by this paragraph shall be dependent upon: (a) the government-restricted municipality having adopted an ordinance to opt-in to the program within 90 calendar days of the enactment of P.L.2013, c.161 (C.52:27D-489p et al.) pursuant to paragraph (1) of this subsection; (b) the municipal assessor authorizing an extension of the existing exemption to a period of 30 years as provided for in this paragraph; and (c) the Division of Codes and Standards, in consultation with the eligible municipality, issuing a final Certificate of Occupancy within 15 years of the date of enactment of P.L.2013, c.161 (C.52:27D-489p et al.). Upon authorization of an extension by the municipal assessor pursuant to this paragraph, the exemption schedule set forth in subsection d. of this section shall apply.
(4) For purposes of this section, a lessee of real property shall include a Garden State Growth Zone Development Entity that is a lessee that is subject to a statutory obligation to make a payment in lieu of taxes on the improvements equal to the taxes on real and personal property.
c. The exemption granted by paragraph (1) of subsection b. of this section shall be for a period of 20 years. For the first 10 years immediately subsequent to the issuance of a Certificate of Occupancy, the Garden State Growth Zone Development Entity shall be exempt from the payment of taxes on the improvements to the eligible property. Thereafter, the Garden State Growth Zone Development Entity shall pay to the municipality in lieu of full property tax payments an amount equal to a percentage of taxes otherwise due, according to the following schedule:
(1) In the eleventh year after completion, 10 percent of taxes otherwise due;
(2) In the twelfth year after completion, 20 percent of taxes otherwise due;
(3) In the thirteenth year after completion, 30 percent of taxes otherwise due;
(4) In the fourteenth year after completion, 40 percent of taxes otherwise due;
(5) In the fifteenth year after completion, 50 percent of taxes otherwise due;
(6) In the sixteenth year after completion, 60 percent of taxes otherwise due;
(7) In the seventeenth year after completion, 70 percent of taxes otherwise due;
(8) In the eighteenth year after completion, 80 percent of taxes otherwise due;
(9) In the nineteenth full year after completion, 90 percent of taxes otherwise due;
(10) In the twentieth year after completion, and each year thereafter, 100 percent of taxes.
d. The exemption granted by paragraph (2) of subsection b. of this section and an extended exemption period authorized by the municipal assessor of a government-restricted municipality pursuant to paragraph (3) of subsection b. of this section shall be for a period of 30 years. For the first 10 years immediately subsequent to the issuance of a Certificate of Occupancy, the Garden State Growth Zone Development Entity shall be exempt from the payment of taxes on the improvements to the eligible property. Thereafter, the Garden State Growth Zone Development Entity shall pay to the municipality in lieu of full property tax payments an amount equal to a percentage of taxes otherwise due, according to the following schedule:
(1) In the eleventh year after completion, five percent of taxes otherwise due;
(2) In the twelfth year after completion, 10 percent of taxes otherwise due;
(3) In the thirteenth year after completion, 15 percent of taxes otherwise due;
(4) In the fourteenth year after completion, 20 percent of taxes otherwise due;
(5) In the fifteenth year after completion, 25 percent of taxes otherwise due;
(6) In the sixteenth year after completion, 30 percent of taxes otherwise due;
(7) In the seventeenth year after completion, 35 percent of taxes otherwise due;
(8) In the eighteenth year after completion, 40 percent of taxes otherwise due;
(9) In the nineteenth year after completion, 45 percent of taxes otherwise due;
(10) In the twentieth year after completion, and each year thereafter, 50 percent of taxes;
(11) In the twenty-first year after completion, 55 percent of taxes otherwise due;
(12) In the twenty-second year after completion, 60 percent of taxes otherwise due;
(13) In the twenty-third year after completion, 65 percent of taxes otherwise due;
(14) In the twenty-fourth year after completion, 70 percent of taxes otherwise due;
(15) In the twenty-fifth year after completion, 75 percent of taxes otherwise due;
(16) In the twenty-sixth year after completion, 80 percent of taxes otherwise due;
(17) In the twenty-seventh year after completion, 85 percent of taxes otherwise due;
(18) In the twenty-eighth year after completion, 90 percent of taxes otherwise due;
(19) In the twenty-ninth year after completion, 95 percent of taxes otherwise due;
(20) In the thirtieth year after completion, and each year thereafter, 100 percent of taxes.
e. An amount not less than five percent of all payments pursuant to subsections c. and d. of this section shall be paid to the county in which the municipality is located.
f. Upon the termination of the exemption granted pursuant to subsections c. and d. of this section, the project, all affected parcels, land, and all improvements made thereto shall be assessed and subject to taxation as are other taxable properties in the municipality. After the date of termination, all restrictions and limitations upon the Garden State Growth Zone Development Entity shall terminate and be at an end upon the entity's rendering its final accounting to and with the municipality.
g. Notwithstanding subsection b. of this section, the owner of any property located within a Garden State Growth Zone, that does not qualify as a Garden State Growth Zone Development Entity, that performs any new construction, improvements, or substantial rehabilitation improvements to property, shall be entitled to an exemption from taxation regarding such improvements as provided herein. For purposes of such exemption, the municipality shall consider the assessor's full and true value of the improvements as not increasing the value of the property for a period of five years, notwithstanding that the value of the property to which the improvements are made is increased thereby.
h. Any exemption obtained under this section shall be fully transferable upon the sale of real property, as long as the new owner meets all requirements for exemption set forth pursuant to this section, or, for the sale of a residential unit, as long as the new owner occupies the unit as a primary residence.
i. A Garden State Growth Zone Development Entity shall not be required to purchase pinelands development credits under the "Pinelands Protection Act," P.L.1979, c.111 (C.13:18A-1 et seq.), the pinelands comprehensive management plan, or any other rule or regulation adopted pursuant to that act, in connection with any approval or relief obtained related to property located in an aviation district on or after the effective date of P.L.2018, c.120, except if seeking to develop in permanently protected open space pursuant to the Pinelands Protection Act. The provisions of this subsection shall not apply to an eligible property that is residential property.
##### **§ 52:27D-489t** Severability. {#sec-52-27d-489t omnilex-key=us-nj-statutes--title-52--52:27D-489t}
27. The provisions of this act shall be severable, and if any of its provisions shall be held to be unconstitutional, the decision of the court shall not affect the validity of the remaining provisions of P.L.2013, c.161 (C.52:27D-489p et al.).
##### **§ 52:27D-489u** Appeal after property tax exemption terminated. {#sec-52-27d-489u omnilex-key=us-nj-statutes--title-52--52:27D-489u}
3. Notwithstanding any other law to the contrary, a Garden State Growth Zone Development Entity that is granted a property tax exemption on improvements to eligible property pursuant to section 24 of P.L.2013, c.161 (C.52:27D-489s) may not appeal the assessed value of such improvements until after the property tax exemption is terminated.
##### **§ 52:27D-490** Short title. {#sec-52-27d-490 omnilex-key=us-nj-statutes--title-52--52:27D-490}
1. This act shall be known and may be cited as the "Neighborhood Revitalization State Tax Credit Act."
##### **§ 52:27D-491** Definitions relative to the "Neighborhood Revitalization State Tax Credit Act." {#sec-52-27d-491 omnilex-key=us-nj-statutes--title-52--52:27D-491}
2. As used in P.L.2001, c.415 (C.52:27D-490 et seq.):
"Assistance" means the contribution of moneys to aid in the provision of neighborhood preservation and revitalization services or community services.
"Business entity" means any business firm or individual which is authorized to conduct or operate a trade or business in the State and is subject to taxes on business related income.
"Certificate for neighborhood revitalization State tax credits" means the certificate in the form prescribed by the Treasurer and issued by the commissioner to a business entity that specifies the dollar amount of neighborhood preservation and revitalization State tax credits that business entity may take as an annual credit against certain State taxes pursuant to P.L.2001, c.415 (C.52:27D-490 et seq.).
"Commissioner" means the Commissioner of Community Affairs.
"Department" means the Department of Community Affairs.
"Eligible neighborhood" means: a. a contiguous area located in one or more municipalities that, at the time of the application to the department for approval of a neighborhood preservation and revitalization plan, shall be designated by the commissioner based on factors including, but not limited to, population change, non-seasonal housing vacancy rates, total household and child recipients of the Temporary Assistance for Needy Families or a successor program, poverty levels, unemployment rates, high school completion rates, median household income, property tax rates, and equalized property valuation per capita; or b. an area that (1) is adjacent to a neighborhood that fulfills the requirements of subsection a. of this definition, and has received approval of a neighborhood preservation and revitalization plan pursuant to section 5 of P.L.2001, c.415 (C.52:27D-494); (2) increases the area of the adjacent eligible neighborhood by no more than 25 percent; and (3) shares similar characteristics as determined by the commissioner or the commissioner's designee.
"Housing and economic development activities" means those activities carried out in furtherance of a neighborhood preservation and revitalization plan in an eligible neighborhood approved pursuant to P.L.2001, c.415 (C.52:27D-490 et seq.), to improve the housing and economic conditions of the neighborhood; and shall include, without limitation, measures to foster the rehabilitation and construction of housing affordable to low and moderate income households within the neighborhood, including planning, design, rehabilitation, construction, and management of low and moderate income housing, home buyer counseling, and related activities needed to effectuate the rehabilitation and construction of housing affordable to low and moderate income households; measures to increase business activity within the neighborhood, including the rehabilitation and construction of commercial facilities and the provision of assistance to small business entities; and measures to increase the income and labor force participation of neighborhood residents, including provision of education, training, child care and transportation assistance to enable low income neighborhood residents to obtain or retain employment.
"Low income household" means a household whose gross household income is less than 50 percent of the median gross household income for the region in which the neighborhood is located for households of similar size as determined by the department.
"Moderate income household" means a household whose gross household income is greater than or equal to 50 percent but less than 80 percent of the median gross household income of the region in which the neighborhood is located for households of similar size as determined by the department.
"Neighborhood preservation and revitalization activities" means housing and economic development activities and other neighborhood preservation and revitalization activities.
"Neighborhood Revitalization Plan" means a plan for the preservation or revitalization of an eligible neighborhood.
"Nonprofit organization" means a private nonprofit corporation that has been determined by the Internal Revenue Service of the United States Department of the Treasury to be exempt from income taxation under 26 U.S.C.s.501(c)(3).
"Other Neighborhood Revitalization Activities" means those activities, other than housing and economic development activities, carried out in furtherance of a State-approved neighborhood preservation and revitalization plan in a qualified low and moderate income neighborhood, and may include, without limitation, improvements to infrastructure, street scape, public open space, and transportation systems; provision of social and community services, health care, crime prevention, recreation activities, community and environmental health services; and community outreach and organizing activities.
"Qualified nonprofit organization" means a nonprofit organization that has demonstrated a commitment to the neighborhood for which it is submitting a plan or project, as reflected in its past activities or proposed activities in a preservation and revitalization plan.
"Qualified project" means one or more housing and economic development activities and which may also include one or more other neighborhood revitalization activities to be carried out in accordance with a neighborhood revitalization plan as approved by the commissioner with funds provided by a business entity eligible to receive a certificate for neighborhood revitalization State tax credits.
"Similar characteristics" means comparable socioeconomic qualities as determined by the commissioner or his designee, using the smallest Census unit for which data are available.
##### **§ 52:27D-492** Eligibility of business entity for certificate for neighborhood revitalization tax credits. {#sec-52-27d-492 omnilex-key=us-nj-statutes--title-52--52:27D-492}
3. A business entity shall be eligible for a certificate for neighborhood revitalization State tax credits if it has provided funding for a qualified project that has been approved in accordance with sections 4 and 5 of P.L.2001, c.415 (C.52:27D-493 and C.52:27D-494).
a. Credits may be granted in an amount up to 100 percent of the approved assistance provided to a nonprofit organization to implement a qualified neighborhood preservation and revitalization project.
b. The credit may be applied by the business entity receiving the certificate as credit against tax imposed on business related income including, but not limited to, business income subject to the provisions of the Corporation Business Tax Act (1945), P.L.1945, c.162 (C.54:10A-1 et al.), "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq., the tax imposed on marine insurance companies pursuant to R.S.54:16-1 et seq., the tax imposed on insurers generally, pursuant to P.L.1945, c.132 (C.54:18A-1 et seq.), the sewer and water utility excise tax imposed pursuant to section 6 of P.L.1940, c.5 (C.54:30A-54) and the petroleum products gross receipts tax imposed pursuant to section 3 of P.L.1990, c.42 (C.54:15B-3).
For a taxpayer applying credit to liability due pursuant to the "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq., the credit allowed pursuant to this section shall only be applied to the amount of gross income tax liability for the taxable year, which as a percentage of gross income tax liability, is equal to the percentage of the taxpayer's gross income that is attributable to the taxpayer's business entity through which the taxpayer provided the funding for the qualified project. For purposes of determining the amount of gross income tax liability to which a credit allowed pursuant to this section may be applied, gross income shall be calculated without the application of exclusions or deductions.
c. The credit allowed to a business entity under this section may not exceed for any taxable year $1,000,000 or the total amount of tax otherwise payable by the business entity for the taxable year and, in addition, shall not exceed limitations placed on the amounts of credits or carryforward credits allowed, if any, under the relevant statute as enumerated in subsection b. of this section concerning the tax for which a credit is being claimed.
d. Credit shall not be allowed for activities for which the business entity is receiving credit under any other provision against any tax on business related income including, but not limited to, the corporation business tax, New Jersey gross income tax, corporate income tax, insurance premiums tax, petroleum products gross receipts tax, public utilities franchise tax, public utilities gross receipts tax, public utility excise tax, railroad franchise tax, and the saving institution tax.
e. The tax credit shall be awarded only for assistance provided within the same year in which the commissioner issued the certificate, or if the commissioner approved assistance for more than one year, within the year in which payment was scheduled and made. The provisions of this subsection may be waived for good cause shown.
f. The total tax credits certified for all qualified projects proposed in a fiscal year shall not exceed $15,000,000.
##### **§ 52:27D-493** Neighborhood preservation and revitalization plan required for eligibility. {#sec-52-27d-493 omnilex-key=us-nj-statutes--title-52--52:27D-493}
4. In order for an entity to be eligible to receive a tax credit pursuant to P.L.2001, c.415 (C.52:27D-490 et seq.), the nonprofit organization which is the recipient of funding provided by the entity shall submit a neighborhood preservation and revitalization plan to the department for approval, and shall submit a proposed project which defines the elements of the plan to be implemented with the funds provided. Two or more nonprofit organizations may submit a plan to the department jointly. Any such plans shall designate one nonprofit organization as the lead organization with responsibility for the plan.
##### **§ 52:27D-494** Approval of plan by department; standards. {#sec-52-27d-494 omnilex-key=us-nj-statutes--title-52--52:27D-494}
5. a. The department shall determine whether a neighborhood preservation and revitalization plan should be approved. The department shall approve a neighborhood preservation and revitalization plan if it satisfies the following standards:
(1) the plan designates an eligible neighborhood; and
(2) The plan was developed through a process that
(a) gave written notice to the municipality in which the neighborhood is located of its intention to develop a plan and utilized reasonable means to inform residents, property owners, and businesses in the neighborhood of its intention to develop a plan and provided opportunities for them to participate in the development of the plan;
(b) gave written notice to the municipality in which the neighborhood is located of the proposed plan and provided an opportunity for it to comment upon it orally and in writing, complied with all of the requirements of the "Municipal Land Use Law," P.L.1975, c.291 (C.40:55D-1 et seq.) concerning the plan, utilized reasonable means to inform residents, property owners, and businesses in the neighborhood of the proposed plan and provided an opportunity for them to comment upon it orally and in writing; and
(c) involved consultation with nonprofit organizations located within the neighborhood or providing services to residents of the neighborhood;
(3) The plan is not inconsistent with any redevelopment plan adopted pursuant to the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et seq.), and currently being implemented;
(4) The plan sets forth an overall concept of the future of the neighborhood; one or more strategies to foster preservation and revitalization of the neighborhood in accordance with that concept; one or more activities, including housing and economic development activities and other preservation and revitalization activities proposed within the neighborhood to foster preservation and revitalization of the neighborhood in furtherance of those strategies, including a description of funding sources obtained or to be sought for the planned activities and a timetable for the conduct of those activities; and
(5) The plan covers a period of no more than ten years.
b. A nonprofit organization may, in submitting a proposed plan pursuant to P.L.2001, c.415 (C.52:27D-490 et seq.), adopt a redevelopment plan adopted pursuant to the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et seq.), and currently being implemented, as its neighborhood preservation and revitalization plan or a neighborhood preservation and revitalization plan previously approved by the department.
c. A nonprofit organization that has submitted a neighborhood preservation and revitalization plan to the department may seek to amend it at any time. The department shall approve amendments if they comply with the standards set forth in subsection a. of this section.
##### **§ 52:27D-495** Project proposed by nonprofit organization, determination as to qualification. {#sec-52-27d-495 omnilex-key=us-nj-statutes--title-52--52:27D-495}
6. a. The department shall determine in accordance with law and regulation whether a project proposed by a nonprofit organization is qualified for assistance for which a tax credit certificate will be granted pursuant to P.L.2001, c.415 (C.52:27D-490 et seq.).
b. The department shall determine that a project proposed by a nonprofit organization or jointly by two or more nonprofit organizations is qualified for assistance if it meets all the following standards:
(1) The project consists of neighborhood preservation and revitalization activities within an eligible low and moderate income neighborhood. If two or more nonprofits propose a project jointly, all the proposed activities are within the same eligible low and moderate income neighborhood. The department may establish standards for waiver of compliance with this paragraph for activities located outside an eligible neighborhood but which particularly benefit residents of that neighborhood or for activities that benefit more than one eligible neighborhood.
(2) The project is reasonably designed to accomplish its intended purpose and it would further the purposes of a neighborhood preservation and revitalization plan approved in accordance with section 5 of this act.
(3) The nonprofit organization demonstrates that it has the capacity to carry out the activities.
(4) The nonprofit organization provides adequate assurances that the assistance will be expended exclusively for the proposed activities.
(5) "Housing and economic development activities" make up at least 60 percent of the total cost of the neighborhood preservation and revitalization activities in the proposed project. If two or more nonprofit organizations jointly propose a project, the total cost shall include the aggregate cost of all the activities included in the joint proposal.
c. The department shall establish by regulation the standards and procedures for determining which projects shall be determined to be qualified if the total tax credits certified under P.L.2001, c.415 (C.52:27D-490 et seq.) will exceed, or appears likely to exceed, $10,000,000 for the year, so as to remain within that annual limit. Such standards shall establish criteria for rating projects which shall take into account, among other things, the following factors:
(1) The extent to which the project is addressing urban distress, as measured by existing levels of poverty and unemployment within the neighborhood;
(2) The extent to which the project is likely to attract private or public investment to the subject project or other projects in the neighborhood; and
(3) The extent to which the nonprofit organization has demonstrated the capacity to carry out the project.
Such standards shall focus exclusively on the relative merits of the project (including the capacity of the nonprofit to carry out the project) and shall not include any consideration of whether the project has, or does not yet have, a proposed source of assistance by a business entity.
##### **§ 52:27D-495.1** Microenterprise programs, certain, emphasis on project applications. {#sec-52-27d-495.1 omnilex-key=us-nj-statutes--title-52--52:27D-495.1}
3. a. In its determination of qualified projects proposed by nonprofit organizations, pursuant to section 6 of P.L.2001, c.415 (C.52:27D-495), the Department of Community Affairs shall give emphasis to project applications that involve the development or expansion of a microenterprise, benefit low and moderate income neighborhoods, and improve the quality of life for neighborhood residents.
b. As used in this section, "microenterprise" means a commercial enterprise that has five or fewer employees, one or more of whom owns the enterprise.
##### **§ 52:27D-496** Issuance of certificate. {#sec-52-27d-496 omnilex-key=us-nj-statutes--title-52--52:27D-496}
7. a. The commissioner shall determine, in accordance with law and regulation, whether to issue a certificate based upon proposed assistance by a business entity to a nonprofit organization to implement a qualified project.
b. The commissioner shall issue a certificate if the proposed assistance satisfies the following standards:
(1) The assistance is to be used for a qualified neighborhood preservation and revitalization project;
(2) The assistance is not less than $25,000 in each tax year for which credit is sought. Assistance may be approved for the current tax year and up to four additional years in the future. If assistance is approved for years other than the current tax year, the approval shall include a schedule showing the amount of assistance to be provided in each year;
(3) Neither the business entity nor any wholly owned subsidiary has previously failed to provide assistance to a nonprofit organization for which approval was granted. This requirement may be waived by the department upon a showing of good cause; and
(4) The total of all assistance approved on behalf of a nonprofit organization per project does not exceed $1,000,000.
c. Within 30 days from the date of issuance of the certificate, the business entity shall pay the amount specified in the certificate that is due in the current tax year to the department for deposit into the Neighborhood Revitalization Non-lapsing Trust Fund created pursuant to section 5 of P.L.2003, c.59 (C.52:27D-500). In the case of assistance approved for years other than the current tax year, the business entity shall pay the amount specified no later than the anniversary of the date on which the first payment is due. The commissioner may extend the date payment is due for good cause shown, but no extension shall be granted where the business entity did not submit a written request for the extension at least seven days prior to the date payment is due.
d. The commissioner shall issue certificates to business entities applying for certificates and meeting the requirements of this section, up to the maximum amount of tax credits permitted under section 3 of P.L.2001, c.415 (C.52:27D-492), in the following order:
(1) those business entities specifying a project which has been approved by the department and providing assistance which is equal to the amount requested by the nonprofit organization submitting the project.
(2) those business entities not specifying a particular project, but which are willing to provide assistance for approved projects seeking assistance. The commissioner shall issue each business entity providing assistance with a certificate specifying the project to which the assistance will be provided and shall pool applications by business entities in order to provide the amount of assistance requested by each nonprofit organization submitting each project.
(3) those business entities not specifying a particular project, but which are willing to provide assistance, and for which no project approved by the department is available. The commissioner shall issue the certificate without specifying the project to which the assistance will be provided, and will deposit the amount set forth in the certificate in the Neighborhood Revitalization Non-lapsing Trust Fund created pursuant to section 5 of P.L.2003, c.59 (C.52:27D-500) in accordance with the provisions of this section.
e. In any year that the dollar amount of assistance sought by approved projects shall exceed the amount of assistance available, the department shall allocate any funds in the trust fund for which no project has been specified to provide assistance to such projects. At such time the department will issue the business entity an amended certificate specifying the project for which the assistance is being provided.
f. The department shall use any interest earnings on the funds in the trust fund in any manner that lawfully furthers the purposes of P.L.2001, c.415 (C.52:27D-490 et seq.), including, but not limited to, providing funds to qualified entities to provide training and technical assistance to nonprofit organizations eligible to prepare plans and submit projects under P.L.2001, c.415 (C. 52:27D-490 et seq.).
##### **§ 52:27D-497** Monitoring of projects carried out by nonprofit organizations. {#sec-52-27d-497 omnilex-key=us-nj-statutes--title-52--52:27D-497}
8. a. The commissioner shall monitor the carrying out by nonprofit organizations of projects for which assistance has been received and tax credits awarded pursuant to P.L.2001, c.415 (C.52:27D-490 et seq.) to ascertain whether the assistance is being used for the activities for which it was approved. The commissioner may require the submission of reports, the audit of financial records, the conduct of investigations, the posting of bonds or security and the inspection of activities whether carried out on the premises of the nonprofit organization or elsewhere. In furtherance of this function, the commissioner, or his or her designee, may issue subpoenas, hold evidentiary hearings, and administer oaths.
b. If, after notice and hearing, the commissioner determines that assistance is not being used for the activities for which it was approved, the commissioner may impose sanctions, including but not limited to:
(1) Requiring corrective actions by the nonprofit organization;
(2) Requiring that assistance or its cash value be paid back to the department. The department shall account for such funds to the Treasurer and may expend them in any manner that lawfully furthers the purposes of P.L.2001, c.415 (C.52:27D-490 et seq.).
(3) Revoking the department's determination that the project was qualified; or
(4) Barring the nonprofit for a period of time from approval of future projects.
c. No sanction imposed by the commissioner against the nonprofit organization shall affect the validity of the credits for assistance already contributed allowed to a business entity that was not on notice of the wrongful actions of the nonprofit at the time it made the contribution.
d. In the event a project proposed by a nonprofit cannot be completed, the department may take whatever action necessary to ensure that the funds earmarked for the failed project are reallocated to a project which is proceeding.
##### **§ 52:27D-498** Forms, procedures, rules; reports. {#sec-52-27d-498 omnilex-key=us-nj-statutes--title-52--52:27D-498}
9. a. In order to administer the neighborhood preservation and revitalization tax credit program, the department shall establish any necessary forms, procedures or rules to effectuate P.L.2001, c.415 (C.52:27D-490 et seq.), in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.). The department shall seek to foster use of the tax credit and to make the tax credit simple to apply for and simple to use.
b. The department shall act as a clearinghouse. It shall maintain lists of qualified projects and of business entities that have expressed a desire to provide assistance to qualified projects. The department shall pool applications from business entities in order to provide assistance to qualified projects as provided in section 7 of P.L.2001, c.415 (C.52:27D-496).
c. The department shall give priority in processing to applications that demonstrate a multi-year commitment by the business entity to implementation of the neighborhood preservation and revitalization plan.
d. The department shall submit to the Governor and Legislature an annual report which shall include at least:
(1) the purpose and effectiveness of the credit;
(2) the benefits of the credit to the State;
(3) any recommendations by the department as to changes in legislation needed to better carry out the purposes of P.L.2001, c.415 (C.52:27D-490 et seq.).
e. For each application by, or on behalf of, a business entity to approve assistance for a project, the department may charge a fee of up to five percent of the amount of assistance proposed, or approved, whichever is less, to pay for the administration of this program. The department may require that up to one third of this amount be paid at the time of submission of the application or declaration of intent, and that the balance be taken from the amount deposited into the trust fund upon deposit therein.
##### **§ 52:27D-499** Copy of certificate to taxpayers of the entity. {#sec-52-27d-499 omnilex-key=us-nj-statutes--title-52--52:27D-499}
10. a. If a partnership, an S corporation, or a limited liability company qualifies for the credit, it shall provide a copy of the certificate to the taxpayers of the entity.
b. A taxpayer shall attach a copy of the certificate to any return upon which a credit is claimed under this section.
c. Any credit taken in this section may be subject to audit by the department or the State Treasurer.
##### **§ 52:27D-500** Neighborhood Revitalization Non-lapsing Trust Fund. {#sec-52-27d-500 omnilex-key=us-nj-statutes--title-52--52:27D-500}
5. A non-lapsing trust fund is hereby established in the State treasury to be known as the Neighborhood Revitalization Non-lapsing Trust Fund, into which all assistance from business entities receiving certificates under the provisions of P.L.2001, c.415 (C.52:27D-490 et seq.) shall be deposited by the department and from which all assistance for projects approved by the department shall be drawn. All interest earned on the funds deposited in the trust fund shall be retained in the trust fund to be used in accordance with sections 7 and 8 of P.L.2001, c.415 (C.52:27D-496 and C.52:27D-497).
##### **§ 52:27D-501** Findings, declarations relative to municipal consolidation and efficiency. {#sec-52-27d-501 omnilex-key=us-nj-statutes--title-52--52:27D-501}
1. The Legislature finds and declares:
a. The State of New Jersey currently has 566 municipalities, 616 school districts, and 186 fire districts, each with its own layers of local bureaucracy that contribute to the high property tax burden suffered by New Jersey residents.
b. Consolidating local units, structurally and administratively streamlining county and municipal government, and transferring services to the most appropriate level of government for delivery would help to alleviate the property tax crisis by reducing the administrative costs of local government and making the delivery of local services more efficient due to economies of scale.
c. Due to legal obstacles, conflicting interests, and local concerns about sacrificing community identity, current laws permitting consolidation of municipalities and sharing of services between local units are seldom used.
d. Tough political decisions are often most expeditiously made through the use of bipartisan commissions, as demonstrated by the success of the federal base realignment and closure (BRAC) procedure.
e. Municipalities and other taxing districts are creatures of the Legislature; however, due to the pervasive notion of "home rule" and the political conflicts inherent in mandatory consolidation, it is necessary and proper to establish a bipartisan commission to fairly examine the allocation of responsibilities among local units in order to determine: (1) which level of government is best suited to deliver a given local government service, and (2) when consolidation will reduce the property tax burden for pairs or groups of local units, and to make those recommendations to the Legislature for approval by the affected voters in order to make a serious effort to reduce the number of municipalities and other local units in the State.
f. Consolidation and mandates for increased efficiency in the delivery of services are complementary processes, as the former reduces the administrative costs of local government on an external level and the latter does so on an internal level.
g. Local governments must be trained to use performance measures for decision making, strategic planning, performance improvement, accountability, and communication, and rewarded for increased efficiencies that result from their use.
##### **§ 52:27D-502** "Commission," "local unit" defined. {#sec-52-27d-502 omnilex-key=us-nj-statutes--title-52--52:27D-502}
2. For the purposes of this act:
"Commission" means the "Local Unit Alignment, Reorganization, and Consolidation Commission" established pursuant to section 3 of P.L.2007, c.54 (C.52:27D-503).
"Local unit" means a municipality or fire district, and shall not include a school district, regional school district, or county.
##### **§ 52:27D-503** "Local Unit Alignment, Reorganization, and Consolidation Commission." {#sec-52-27d-503 omnilex-key=us-nj-statutes--title-52--52:27D-503}
3. a. There is established in but not of the Department of Community Affairs, the "Local Unit Alignment, Reorganization, and Consolidation Commission."
b. The commission shall consist of nine voting members: the Commissioner of Community Affairs (or a designee) and the State Treasurer (or a designee), who shall both serve ex-officio; and seven public members, and shall be appointed as follows: one member appointed by the President of the Senate, one member appointed by the Minority Leader of the Senate, one member appointed by the Speaker of the General Assembly, one member appointed by the Minority Leader of the General Assembly, and three members, no more than two of whom shall be of the same political party, appointed by the Governor, with the advice and consent of the Senate. Of the three public members appointed by the Governor, one member shall reside in a northern county (Bergen, Essex, Hudson, Morris, Passaic, Union, Sussex, or Warren), one member shall reside in a central county (Hunterdon, Mercer, Middlesex, Monmouth, or Somerset), and one member shall reside in a southern county (Atlantic, Burlington, Camden, Cape May, Cumberland, Gloucester, Ocean, or Salem). No appointee shall be an elected official of a local unit or county unless that person has significant experience in shared service initiatives and demonstrated success at having implemented such agreements at the local level.
c. Members of the commission shall serve without compensation, but shall be reimbursed for expenses actually incurred in the performance of their duties.
d. The members shall be appointed within 60 days following the effective date of this act. The public members shall serve for terms of five years and until the appointment and qualification of a successor; except that in making the first appointments to the commission, one person shall be appointed to serve for one year, one for two years, one for three years, one for four years, and four for five years. The length of the respective term of each member of the first commission shall be determined by lot at the organization of the first commission. A public member may be reappointed. Any vacancy in the membership of the commission shall be filled in the same manner as the original appointment was made for the unexpired term only.
##### **§ 52:27D-504** Organization of commission, executive director and staff, meetings. {#sec-52-27d-504 omnilex-key=us-nj-statutes--title-52--52:27D-504}
4. a. The "Local Unit Alignment, Reorganization, and Consolidation Commission" shall organize as soon as practicable after the appointment of its members and annually shall select a chair from among its members and a secretary, who need not be a member of the commission. The commission shall appoint an executive director, who shall serve at the pleasure of the commission and who shall have expertise in one or more local government subjects, such as planning, local finance, geography, taxation, or other relevant fields. The executive director shall appoint professional staff qualified by training and experience to serve the commission. The executive director and professional staff shall serve at the pleasure of the commission.
b. The commission may meet and hold hearings at the places it designates throughout the State.
##### **§ 52:27D-505** Duties of commission. {#sec-52-27d-505 omnilex-key=us-nj-statutes--title-52--52:27D-505}
5. a. (1) The commission shall study and report on the structure and functions of county and municipal government, including local taxing districts, their statutory bases, including the fiscal relationship between local governments, and the appropriate allocation of service delivery responsibilities from the standpoint of efficiency. The study of the transfer of the municipal tax assessment function to the county through the appointment of a county assessor and deputy county assessors in a pilot county pursuant to the "Property Assessment Reform Act," sections 1 through 15 of P.L.2009, c.118 (C.54:1-86 et seq.), shall be conducted in consultation with the Director of the Division of Taxation in the Department of the Treasury.
(2) The commission shall recommend legislative changes which would encourage the more efficient operation of local government. These changes may include the structural and administrative streamlining of county and municipal government functions, including but not limited to, the transfer of functions from one level of government to another, and the use or establishment of regional service delivery entities.
(3) The commission shall also consider optimal service levels, ratios of employees to population served, cost structures for service delivery, and other best practices.
Within two years following the effective date of P.L.2007, c.54 (C.52:27D-501 et al.), the commission shall report its findings to the Governor, the President of the Senate, and the Speaker of the General Assembly; provided, however, that findings concerning the transfer of the municipal tax assessment function to the county through the appointment of a county assessor and deputy county assessors shall be reported on or before February 1 of the sixth year next following the effective date of P.L.2009, c.118 (C.54:1-86 et al.).
b. Based on its findings pursuant to paragraph (3) of subsection a. of this section, the commission shall develop criteria to serve as the basis for recommending the consolidation of specific municipalities, the merger of specific existing autonomous agencies into the parent municipal or county government, or the sharing of services between municipalities or between municipalities and other public entities. Recommendations for sharing services may result from a study focusing exclusively on the sharing of services or may result from a study examining potential consolidation. Municipalities to be considered for consolidation shall be within the same county and shall also be situated within the same legislative district.
The criteria to govern a study to examine consolidation or the sharing of services shall include, but need not be limited to:
(1) a consideration of geographic factors, such as a shared boundary, or in the case of the recommended consolidation of more than two local units, that the consolidated local unit will have a contiguous boundary;
(2) an analysis of the economic costs and benefits of consolidation or the sharing of services, as the case may be, including potential tax savings and reductions in government costs through economies of scale;
(3) measures to ensure that costs and benefits of consolidation or service sharing are distributed equitably across the entire community; and
(4) measures to safeguard the interests of communities in the municipalities for which consolidation is recommended.
The commission shall give priority to local units that volunteer to be studied.
c. When a municipal consolidation is recommended by the commission, the commission shall substitute for a joint municipal consolidation study commission that would be formed pursuant to section 7 of the "Municipal Consolidation Act," P.L.1977, c.435 (C.40:43-66.41) or any other statute governing municipal consolidation, and no voter approval shall be required to create the study commission.
d. When a consolidation or shared service is recommended by the commission, the commission shall recommend State funding for any extraordinary expenses necessitated by the consolidation plan or shared service agreement. The commission shall recommend that this funding be provided either by funds made available to the commission for that purpose or by the Legislature or State Treasurer as part of the annual State budget process.
##### **§ 52:27D-506** Local entities to cooperate with commission. {#sec-52-27d-506 omnilex-key=us-nj-statutes--title-52--52:27D-506}
6. a. The "Local Unit Alignment, Reorganization, and Consolidation Commission" shall work in conjunction with the Local Finance Board and the Division of Local Government Services in the Department of Community Affairs. To the extent possible, the commission shall be entitled to the assistance and services of the employees of any State department, board, bureau, commission, or agency, as it may require and as may be available to it for its purposes.
b. The commission shall be entitled to the cooperation of the officials and employees of every county and municipality as it may require.
c. The commission may incur traveling and other miscellaneous expenses necessary to perform its duties, within the limits of funds available to it for its purposes.
##### **§ 52:27D-507** Annual report to Governor, Legislature; consolidation proposals. {#sec-52-27d-507 omnilex-key=us-nj-statutes--title-52--52:27D-507}
7. a. The "Local Unit Alignment, Reorganization, and Consolidation Commission" shall annually, by January 31st, submit to the Governor and the Legislature a report summarizing the commission's activities over the course of the previous calendar year.
b. In the event that the commission proposes consolidation of local units or a shared services agreement, the commission shall submit a consolidation or shared services proposal to the Governor and the Legislature no later than May 1st of the year in which the proposed consolidation is to be put before the voters pursuant to subsection a. of section 8 of P.L.2007, c.54 (C.52:27D-508). A municipal consolidation proposal shall include, but not be limited to, a description of the form of government, the election of officers, the apportionment of debts, and other issues between pairs or groups of municipalities which the commission proposes should consolidate or share services.
c. A consolidation or shared services proposal shall take effect at the end of a period of 30 calendar days after the date on which the proposal is transmitted to the Senate and General Assembly, on a day on which both thereof shall be meeting in the course of a regular or special session, unless, between the date of transmittal and the end of the 30-day period, the Legislature passes a concurrent resolution stating in substance that the Legislature does not favor the consolidation proposal.
##### **§ 52:27D-508** Recommendations put before voters; adoption. {#sec-52-27d-508 omnilex-key=us-nj-statutes--title-52--52:27D-508}
8. a. Upon the taking effect of a consolidation or shared services proposal pursuant to subsection b. of section 7 of P.L.2007, c.54 (C.52:27D-507), each recommendation included therein shall be put before the affected voters at the next general election and shall become effective only upon its adoption by a majority of the voters of each affected municipality.
b. In order to effectuate the provisions of subsection a. of this section, the Secretary of State shall forward to the clerk of each county in which the affected local units are located a public question to be included on the ballots at the next general election for the election districts encompassing those affected local units.
(1) The question with respect to consolidation shall read as follows:
"Shall (insert the names of the participating local units) be consolidated into a single local unit to be known as (insert the name proposed for the consolidated local unit)?"
(2) The question with respect to shared services shall read as follows:
"Shall (insert the services to be shared) be jointly undertaken between (insert the names of the entities between which sharing is to occur)?"
c. The consolidation of pairs or groups of local units recommended for consolidation under subsection a. of this section shall be accomplished within 14 months following the voter approval of the consolidation recommendation.
d. The adoption of a form of government, the election of officers, the apportionment of debts, and other issues between pairs or groups of municipalities required to consolidate pursuant to an approved consolidation recommendation under subsection c. of this section shall be determined by the commission, as far as practicable, in accordance with the procedures set forth in the "Municipal Consolidation Act," P.L.1977, c.435 (C.40:43-66.35 et al.) or any other statute governing municipal consolidation.
e. For a period of 10 years from the consolidation of a pair or group of municipalities pursuant to a consolidation recommendation approved under subsection c. of this section, and notwithstanding any law to the contrary, the residents of those municipalities, or portions thereof, shall not have the right to secede to form a new municipality, or to consolidate with, or annex themselves to, any other municipality.
##### **§ 52:27D-508.1** Definitions. {#sec-52-27d-508.1 omnilex-key=us-nj-statutes--title-52--52:27D-508.1}
1. As used in P.L.2025, c.377 (C.52:27D-508.1 et seq.):
"Local government unit" means a municipality, county, or other political subdivision of the State, or any agency, board, commission, utilities authority or other authority, or other entity thereof.
"Management enhancement review consultant" means an individual or firm that has a demonstrated track record of successfully completed operational reviews and assessments.
##### **§ 52:27D-508.2** Local government unit management enhancement review grant program established. {#sec-52-27d-508.2 omnilex-key=us-nj-statutes--title-52--52:27D-508.2}
2. a. The Director of the Division of Local Government Services in the Department of Community Affairs shall establish a local government unit management enhancement review grant program. The purpose of the program shall be to provide grants to local government units to contract with management enhancement review consultants to conduct local government unit efficiency reviews and to make recommendations to streamline operations and reduce costs. An individual management enhancement review consultant, or at least one member of the management enhancement review consultant team, that is contracted to complete a review pursuant to the program shall hold a professional license with the State of New Jersey as a certified municipal finance officer, qualified purchasing agent, certified public works manager, certified municipal clerk, certified tax collector, or another professional certification approved by the Director of the Division of Local Government Services in the Department of Community Affairs.
b. To participate in the grant program established pursuant to subsection a. of this section, a local government unit shall submit an application to the division in a manner and on such forms as determined by the director. An application submitted pursuant to this subsection shall include information detailing the local government unit’s proposed plans for the grant funding, including, but not limited to:
(1) the amount of grant funding being sought by the local government unit;
(2) a description of how the grant funding will be used to conduct an efficiency review, including, but not limited to, plans to identify opportunities for shared services, identify cost savings through operating efficiencies, or improve the delivery of services; and
(3) the proposed sources of matching funding to be used by the local government unit to conduct the efficiency review, pursuant to subsection c. of this section.
c. (1) After reviewing the applications submitted pursuant to subsection b. of this section, the director shall select local government units to receive a management enhancement review grant. In selecting grant recipients, the director shall consider factors including, but not limited to: the local government unit’s contribution to the management enhancement review; and the cost effectiveness of any specifically identified opportunities for shared services, cost savings through operating efficiencies, or improvements to the delivery of services.
(2) The maximum grant award under the program shall be $150,000 for a county-based local government unit and $100,000 for a municipal-based local government unit. A local government unit that receives a grant under the program shall contribute 25 percent of the grant award amount to the management enhancement review.
##### **§ 52:27D-508.3** Submission of reports to the director, Governor, Legislature. {#sec-52-27d-508.3 omnilex-key=us-nj-statutes--title-52--52:27D-508.3}
3. a. Within one year of receiving a grant pursuant to section 2 of P.L.2025, c.377 (C.52:27D-508.2), each participating local government unit shall submit a report to the Director of the Division of Local Government Services in the Department of Community Affairs, in a manner and on such forms as determined by the director, detailing:
(1) the expenditures of the grant funds under the program;
(2) the specific shared services, operating efficiencies, or improved delivery of services achieved as a result of the management enhancement review; and
(3) the specific cost savings achieved as a result of the shared services, operating efficiencies, or improved delivery of services pursuant to paragraph (2) of this subsection.
b. The director shall compile the reports submitted pursuant to subsection a. of this section for inclusion in a comparative profile of the participating local government units and shall post the profile for public inspection on the division’s Internet website in an easily accessible location.
c. Within one year of posting the comparative profile required pursuant to subsection b. of this section, the director shall submit a report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature. The report shall contain information on the implementation of the grant program, including, but not limited to: the total number of applications received under the program; the total number of applications which were awarded grants, including the amounts of those grant awards; and a list of best practices concerning the streamlining of operations and reduction of costs for achieving local government unit efficiency. The director shall post the report required pursuant to this subsection for public inspection on the division’s Internet website in an easily accessible location.
##### **§ 52:27D-509** Short title. {#sec-52-27d-509 omnilex-key=us-nj-statutes--title-52--52:27D-509}
1. This act shall be known and may be cited as the "Propane Gas Customer Protection Act."
##### **§ 52:27D-510** Definitions relative to propane gas service contracts. {#sec-52-27d-510 omnilex-key=us-nj-statutes--title-52--52:27D-510}
2. As used in this act:
"Act" means the "Propane Gas Customer Protection Act."
"Department" means the Department of Community Affairs.
"Propane" means any of the forms of liquefied petroleum products, including propane, propylene, butane, isobutane, and butylene, or any mixture of these hydrocarbons, that is utilized for residential and commercial heating purposes and for various appliances and fixtures, including, but not limited to, clothes washers and dryers, grills, lighting and electricity-producing fuel cells.
"Propane gas supplier or marketer" or "supplier or marketer" means a duly licensed business that takes title to propane gas and then assumes the contractual and legal obligation to provide propane gas to an end-user customer or customers.
"Propane services" or "services" means the performing of safety and leak testing of, and the performing of installation, maintenance, repair, removal, adjustment and other services to, propane appliances including, without limitation, ranges, water heaters, heaters, furnaces, containers and other propane fueled systems, for residential and commercial applications.
##### **§ 52:27D-511** Rules, regulations; information provided to customers, required contents. {#sec-52-27d-511 omnilex-key=us-nj-statutes--title-52--52:27D-511}
3. a. Within 180 days following the effective date of this act, the department shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) requiring that propane gas suppliers or marketers distribute to each customer a description of the terms of their plans or contracts for the sale of propane and propane services in a plain and conspicuous manner and providing for certification of persons as qualified to engage in the sale of propane and to perform propane services pursuant to subsection c. of this section.
b. The description required by subsection a. of this section shall contain the following information:
(1) The supplier's or marketer's charges and pricing policies for propane and propane services that are disclosed in a format including a price conversion chart that will assist a customer to compare price offers from different propane suppliers or marketers on a uniform basis which an average person can understand and use to do comparative shopping for propane, propane services and for a supplier or marketer;
(2) Notification of the right of customers to obtain the supplier's or marketer's current prices of propane and propane services over the telephone, by facsimile transmission or by any other electronic or written means including any additional charges that may be included in the plan or contract for any other items related to the purchase of propane and propane services;
(3) Whether the supplier's or marketer's price of propane and propane services may vary depending on non-scheduled or irregular deliveries of propane, or the provision of propane services on weekends, nights, holidays or at other times outside of the normal weekday hours, the criteria for determining what constitutes a non-scheduled or irregular delivery, or outside of normal weekday hours, and the cost of non-scheduled or irregular delivery if propane is provided outside of regular delivery, or if propane services are provided outside of normal weekday hours;
(4) The amount of any additional charges that may be charged by that supplier or marketer to install a container or any other related equipment that may be needed to store and utilize propane, the amount of any container rental fees that may be charged by that supplier or marketer, notice of the customer's right to use the customer's own container and regulator provided that the container and regulator have been verified by the supplier or marketer to meet current safety and licensing standards, and the cost charged by the supplier or marketer to verify whether the customer's container and regulator meet current standards and regulations;
(5) Criteria used to determine that supplier's or marketer's pricing structure for propane or propane services, including such criteria as annual usage, the area where the customer lives, the quantity or time of the delivery or other factors;
(6) Notice of the right to be contacted by that supplier or marketer at least seven business days before the propane supplier or marketer may discontinue further propane deliveries due to nonpayment;
(7) Notice of the customer's right to receive written verification that the propane supplier or marketer is licensed by the New Jersey Department of Community Affairs;
(8) Notice of the customer's right to change propane suppliers or marketers, consistent with the terms of the customer's plan or contract, if the customer is dissatisfied with price or services or for any other reason;
(9) Notice of whether a customer is required to call for delivery of propane or if the deliveries are automatic, how often the automatic delivery will be made, whether the deliveries will be made on weekends and holidays and, if so, whether there are additional charges to make deliveries on weekends and holidays, and if the customer is to receive automatic delivery, whether the customer should inform the supplier or marketer of any changes in the customer's circumstances that might change the rate at which the customer uses propane;
(10) Notice of whether there is any minimal amount of propane per delivery, how many days a customer has to pay a bill after the delivery of propane is made or propane services are provided, as the case may be, and how many days before late fees are charged to a customer and what the supplier's or marketer's policy is for the delivery of propane or the provision of propane services, if needed, during the winter when a customer may have outstanding debt;
(11) Notice of the provisions contained within subsection c. of this section;
(12) If desired by the supplier or marketer, a statement that nothing in this description is a waiver or amendment of the contract or plan between the supplier or marketer and the customer, but is merely a summary of the department's regulations for the convenience of the customer; and
(13) Any other information that the department considers appropriate to ensure that customers of propane suppliers or marketers are fully informed of the terms of their plans or contracts.
c. To ensure the safety of this State's propane customers, any customer who desires to cause propane services to be performed should ensure that any such propane services are performed only by persons certified by the department pursuant to the regulations to be adopted pursuant to paragraph (1) of this subsection or by: (1) a licensed master plumber, or journeyman plumber working under the supervision of a master plumber, who has had appropriate training in the performance of propane services as required by the State Board of Examiners of Master Plumbers; or (2) a licensed master HVACR contractor, or HVACR journeyperson working under the supervision of a master HVACR contractor, who has had appropriate training in the performance of propane services as required by the State Board of Examiners of Heating, Ventilating, Air Conditioning and Refrigeration Contractors.
(1) The department, in consultation with and upon the advice and recommendation of the Liquefied Petroleum Gas Education and Safety Board, shall promulgate rules and regulations for the certification and competency testing of all persons engaged in the sale of propane and performing propane services, other than the performing of propane services by a master plumber or a journeyman plumber working under the supervision of a master plumber or master HVACR contractor or HVACR journeyperson working under the supervision of a master HVACR contractor, and for the dissemination to the public of information regarding the current certification, or the lack thereof, of persons offering to perform propane services in this State.
(2) Within 180 days of the effective date of P.L.2011, c.43, the State Board of Examiners of Master Plumbers, in consultation with and upon the advice and recommendation of the Liquefied Petroleum Gas Education and Safety Board, shall promulgate rules and regulations for the certification and competency testing of all licensed master plumbers engaged in performing propane services.
(3) Within 180 days of the effective date of P.L.2011, c.43, the State Board of Examiners of Heating, Ventilating, Air Conditioning and Refrigeration Contractors, in consultation with and upon the advice and recommendation of the Liquefied Petroleum Gas Education and Safety Board, shall promulgate rules and regulations for the certification and competency testing of all licensed master HVACR contractors engaged in performing propane services.
(4) All persons who are certified by the department, a master HVACR contractor or HVACR journeyperson working under the supervision of a master HVACR contractor, or a master plumber or a journeyman plumber working under the supervision of a master plumber shall be legally responsible for the propane services they perform.
d. Propane gas suppliers or marketers shall provide the information required by subsection b. of this section to a customer prior to entering into any contract with a customer for the delivery of propane or propane services, upon renewal of an existing contract and in response to a request from a customer.
e. The department shall adopt rules and regulations directing propane suppliers and marketers to publish the information required by subsection b. of this section in a format that is clear, uniform and designed to ensure that customers may accurately compare the true cost of services among different suppliers or marketers.
f. The department shall also require propane suppliers and marketers to meet the disclosure requirements in subsection b. of this section in advertising to the extent allowed by the advertising medium.
##### **§ 52:27D-512** Violations, penalties. {#sec-52-27d-512 omnilex-key=us-nj-statutes--title-52--52:27D-512}
4. Any propane gas supplier or marketer who neglects or knowingly fails to comply with the requirements of this act or of the regulations issued thereunder shall be subject to a penalty not to exceed $1,000 per violation, which penalty may be imposed by the department and recovered in a civil action by a summary proceeding pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). Payment of any such penalty shall be remitted to the department.
##### **§ 52:27D-513** Severability. {#sec-52-27d-513 omnilex-key=us-nj-statutes--title-52--52:27D-513}
5. The provisions of this act are severable. If any phrase, clause, sentence, provision or section is declared to be invalid or preempted by federal law or regulation, the validity of the remainder of this act shall not be affected thereby.
##### **§ 52:27D-514** Board of Landscape Irrigation Contractors, continued, transferred to DCI. {#sec-52-27d-514 omnilex-key=us-nj-statutes--title-52--52:27D-514}
1. The Landscape Irrigation Contractors Examining Board created by P.L.1991, c.27 (C:45:5AA-1 et seq.) within the Department of Environmental Protection, together with all of its functions, powers, and duties, are hereby continued as the Board of Landscape Irrigation Contractors in the Department of Community Affairs.
Whenever in any law, rule, regulation, order, reorganization plan, contract, document, judicial or administrative proceeding, or otherwise, reference is made to the Landscape Irrigation Contractors Examining Board, the same shall mean and refer to the Board of Landscape Irrigation Contractors.
Whenever any law grants the Department of Environmental Protection, or the commissioner thereof, review, control, or power over or relating to the Landscape Irrigation Contractors Examining Board, that review, control, or power shall be exercised by the Department of Community Affairs, or the commissioner thereof.
##### **§ 52:27D-515** Provisions of C.52:14D-1 et seq. applicable. {#sec-52-27d-515 omnilex-key=us-nj-statutes--title-52--52:27D-515}
3. This act shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.). All records, equipment and other personal property, appropriations, and any balances of funds shall be transferred to the Department of Community Affairs pursuant to the "State Agency Transfer Act."
##### **§ 52:27D-516** Short title. {#sec-52-27d-516 omnilex-key=us-nj-statutes--title-52--52:27D-516}
1. This act shall be known and may be cited as the "New Jersey Housing Assistance for Veterans Act."
##### **§ 52:27D-517** Definitions relative to housing for certain veterans. {#sec-52-27d-517 omnilex-key=us-nj-statutes--title-52--52:27D-517}
2. As used in this act:
"Director" means the Director of the Division of Housing and Community Resources in the Department of Community Affairs.
"Disability" means the same as that term is defined pursuant to section 3 of the "Americans with Disabilities Act of 1990," 42 U.S.C. s.12102.
"Division" means the Division of Housing and Community Resources in the Department of Community Affairs.
"Eligible veteran" means a veteran who is low-income or has a disability, or both.
"Energy efficient features or equipment" means features or equipment within a primary residence that help to reduce the amount of electricity used to heat, cool, or ventilate the residence, including but not limited to insulation, weatherstripping, air sealing, repaired heating systems, or duct sealing.
"Family member" means a spouse, child, parent, sibling, aunt, uncle, niece, nephew, first cousin, grandparent, grandchild, father-in-law, mother-in-law, son-in-law, daughter-in-law, stepparent, stepchild, stepbrother, stepsister, half-brother, or half-sister, whether the individual is related by blood, marriage, or adoption.
"Homeless veteran" means a veteran who is living outside, or in a building not meant for human habitation or which the veteran has no legal right to occupy, in an emergency shelter, or in a temporary housing program which may include a transitional and supportive housing program if habitation time limits exist, or temporarily in the home of another household, or in a motel.
"Low-income veteran" means a veteran occupying a household with a gross household income equal to 50 percent or less of the median gross household income for households of the same size, and within the same housing region, as defined by subsection b. of section 4 of P.L.1985, c.222 (C.52:27D-304).
"Primary residence" means a dwelling unit that is owned by the eligible veteran or by a family member of the eligible veteran, and occupied by the eligible veteran as his or her principal residence.
"Qualified organization" means a nonprofit veterans' organization that qualifies as a section 501(c)(3) or 501(c)(19) tax exempt organization under the Internal Revenue Code.
"Rehabilitation" means the repair, renovation, alteration, or reconstruction of any building or structure.
"Veteran" means any resident of the State now or hereafter who has been discharged honorably or under general honorable conditions in any branch of the Armed Forces of the United States, or a Reserve component thereof, or the National Guard of this State or another state as defined in section 1 of P.L.1963, c.109 (C.38A:1-1), or any honorably discharged member of the American Merchant Marine who served during World War II and is declared by the United States Department of Defense to be eligible for federal veterans' benefits.
##### **§ 52:27D-518** Pilot program. {#sec-52-27d-518 omnilex-key=us-nj-statutes--title-52--52:27D-518}
3. The director shall establish a pilot program to award grants to qualified organizations to rehabilitate the primary residences of eligible veterans and to purchase and rehabilitate abandoned homes for occupancy by homeless veterans. The director shall manage the pilot program in consultation with the Adjutant General of the Department of Military and Veterans' Affairs to most effectively advance the needs of eligible veterans. The director shall administer the pilot program for five years following the operative date of P.L.2017, c.258 (C.52:27D-516 et seq.). Grant awards totaling $1 million shall be awarded during each year the pilot program is in operation.
a. In addition to any additional information required by the director, a qualified organization seeking a grant under the pilot program shall submit an application to the division that shall include the following information:
(1) the approximate number of veterans the qualified organization has the capacity to serve through grant funding; and
(2) a description of the type of work to be completed, such as interior home modifications, energy efficiency improvements, and other similar categories of work.
b. In order to receive a grant award under the pilot program, a qualified organization shall:
(1) demonstrate expertise in providing housing rehabilitation services for the purpose of making homes accessible, functional, and safe;
(2) have experience in successfully carrying out accountability and reporting requirements involved in the proper administration of grant funds; and
(3) commit to paying workers employed through the pilot program no less than the prevailing wage rate for the worker's craft or trade, as determined by the Commissioner of Labor and Workforce Development pursuant to P.L.1963, c.150 (C.34:11-56.25 et seq.).
c. In awarding grants under the pilot program,
(1) the director shall give preference to:
(a) qualified organizations that employ workers from an apprenticeable trade participating in the Helmets to Hardhats Program, as certified by the New Jersey State Building and Construction Trades Council, such that not less than five percent of projected labor hours shall be completed by such participating organizations; and
(b) qualified organizations that serve communities that the director determines have the greatest need for homeless services; and
(2) the director may give preference to qualified organizations to achieve a fair distribution, as determined by the director, among homeless veterans in different geographical regions.
d. Low-income veterans who also have a disability shall receive preference over other eligible veterans in selection for assistance under the pilot program.
e. Grant awards under the pilot program shall be used to rehabilitate the primary residences of eligible veterans, to purchase and rehabilitate abandoned homes, including homes that have been foreclosed, and for other purposes necessary to advance these goals, as permitted by the director. Permitted uses of grant funding shall include, but shall not be limited to:
(1) installing wheelchair ramps, widening exterior and interior doors, reconfigurating and re-equipping bathrooms to enhance accessibility, removing doorway thresholds, and installing appropriate floor coverings to accommodate the functional limitations that result from having a disability;
(2) rehabilitating homes that are in a state of interior or exterior disrepair; and
(3) installing energy efficient features or equipment if the eligible veteran's monthly residential utility costs are greater than five percent of monthly household income, and an energy audit of the residence indicates that the installation of energy efficient features or equipment would reduce utility costs by 10 percent or more.
f. No qualified organization shall be awarded more than $400,000 through the pilot program in any one fiscal year. A qualified organization receiving a grant shall contribute a matching contribution in an amount not less than 50 percent of the grant award. This matching requirement may be met through cash contributions, or in-kind contributions, as permitted by the director. Eligible veterans benefitting from the pilot program shall not pay an application fee or any other cost for the work completed on their residence, unless a modest fee can be charged, as permitted by the director, without forcing the veteran's total monthly housing costs to exceed 30 percent of total household income.
g. (1) The director shall provide an annual report to the Governor, and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), presenting the following information with respect to the associated year of the pilot program:
(a) the number of eligible veterans provided assistance under the pilot program;
(b) the socioeconomic characteristics of the benefited veterans;
(c) the total number, types, and locations of qualified organizations offered grant funding under the pilot program;
(d) the amount of matching funds, and form of in-kind contributions raised with each grant;
(e) a description of the housing rehabilitation services provided, costs saved, and actions taken under the pilot program;
(f) a description of the outreach initiatives implemented to educate the general public and qualified organizations about the pilot program, and to identify eligible veterans and their families; and
(g) a description of compensation offered to workers employed through the pilot program, and a certification that workers have not been paid less than the prevailing wage rate for the worker's craft or trade, as determined by the Commissioner of Labor and Workforce Development pursuant to P.L.1963, c.150 (C.34:11-56.25 et seq.).
(h) any other information that the director considers relevant in assessing the pilot program.
(2) Not later than six months following completion of the pilot program, the director shall provide another report to the Governor, and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), presenting information necessary to assess the success of the pilot program as a whole.
##### **§ 52:27D-519** Rules, regulations. {#sec-52-27d-519 omnilex-key=us-nj-statutes--title-52--52:27D-519}
4. The Director of the Division of Local Government Services in the Department of Community Affairs shall promulgate rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the provisions of P.L.2017 , c.258 (C.52:27D-516 et seq.), on or before the first day of the fifth month next following enactment.
##### **§ 52:27D-520** "Recovery Infrastructure Fund." {#sec-52-27d-520 omnilex-key=us-nj-statutes--title-52--52:27D-520}
79. a. The authority shall establish a dedicated fund to be known as the "Recovery Infrastructure Fund." Money in the fund shall be dedicated to the purpose of funding local infrastructure, which shall include:
(1) buildings and structures, such as schools, fire houses, police stations, recreation centers, public works garages, and water and sewer treatment and pumping facilities;
(2) sidewalks, streets, roads, ramps, and jug handles;
(3) open space with improvements such as athletic fields, playgrounds, and planned parks;
(4) open space without improvements;
(5) public transportation facilities such as train stations and public parking facilities; and
(6) the purchase of equipment considered vital to public safety.
b. The fund shall be credited with money remitted by eligible businesses pursuant to paragraph (2) of subsection b. of section 71 of P.L.2020, c.156 (C.34:1B-339).
c. Money remitted to the fund by an eligible business pursuant to paragraph (2) of subsection b. of section 71 of P.L.2020, c.156 (C.34:1B-339) shall be earmarked for use on local infrastructure projects in the municipality in which the eligible business's project is located.
d. A municipality shall apply to the authority, in a form and manner prescribed by the authority, for disbursements from the Recovery Infrastructure Fund. The authority, in consultation with the Department of Community Affairs, shall review and approve applications for disbursements of money from the fund pursuant to the provisions of this section and the rules and regulations promulgated by the authority pursuant to paragraph (1) of subsection f. of this section.
e. The Department of Community Affairs shall coordinate with the authority and other boards, commissions, institutions, departments, agencies, State officers, and employees to carry out the local infrastructure projects funded through the Recovery Infrastructure Fund.
f. (1) Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, the chief executive officer of the authority may adopt, immediately upon filing with the Office of Administrative Law, rules and regulations that the chief executive officer deems necessary to effectuate the purposes of subsections a. through d. of this section, which rules and regulations shall be effective for a period not to exceed 360 days from the date of the filing. The chief executive officer shall thereafter amend, adopt, or readopt the rules and regulations in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).
(2) Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, the Commissioner of the Department of Community Affairs may adopt, immediately upon filing with the Office of Administrative Law, rules and regulations that the commissioner deems necessary to effectuate the purposes of subsection e. of this section, which rules and regulations shall be effective for a period not to exceed 360 days from the date of the filing. The commissioner shall thereafter amend, adopt, or readopt the rules and regulations in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:27D-521** "Boardwalk Preservation Fund" established, functions; annual report, Governor, Legislature. {#sec-52-27d-521 omnilex-key=us-nj-statutes--title-52--52:27D-521}
1. a. There is established a "Boardwalk Preservation Fund" in the Department of Community Affairs for the purpose of providing grants to counties and municipalities for boardwalk construction, maintenance, reconstruction, and repair projects, including construction, maintenance, reconstruction, and repair projects related to ancillary or appurtenant structures.
b. (1) The department shall develop an application process and promulgate criteria for a county or municipality, individually or jointly, to qualify for a grant. This information shall be disseminated to coastal counties and municipalities in a form and manner to be determined by the department.
(2) The department shall accept and review applications submitted by counties and municipalities and determine whether the application has met the criteria established by the department pursuant to paragraph (1) of this subsection to qualify for a grant.
c. The department shall approve in advance any projects proposed to be funded with grants and enter into an agreement with the county or municipality, as negotiated by the department, for the expenditure or allocation of grant funds and for reporting on expenditures and project outcomes. The award of grants to a county or municipality, individually or jointly, pursuant to this section shall be conditioned upon compliance with the provisions of an agreement approved pursuant to this section, and as determined by the department. As part of an agreement, the department shall require a county, municipal, or joint contribution or expenditure to the project of not less than five percent of the project cost, provided, however, that a grant applicant that has one of the highest 50 distress scores on the 2020 Municipal Revitalization Index shall not be required to make a contribution or expenditure as a condition of receiving a grant from the fund. The department shall award grants based on criteria established by the department pursuant to paragraph (1) of subsection b. of this section. With respect to applicants for which the department requires a county, municipal, or joint contribution or expenditure, criteria shall include a preference for applicants that include a contribution or expenditure that exceeds five percent of the project cost.
d. The department shall submit annual reports to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, related to the awarding of grants pursuant to this section, and related to the expenditure of grant funds and project outcomes.
## **Chapter 27E**
##### **§ 52:27E-54** Communications, records; confidentiality protected {#sec-52-27e-54 omnilex-key=us-nj-statutes--title-52--52:27E-54}
5. All communications between the individual client and any attorney in or engaged by the former Department of the Public Advocate shall remain fully protected by the attorney-client privilege subsequent to the effective date of P.L.1994, c.58 (C.52:27E-50 et al.). The confidentiality of medical records and other documents maintained as confidential by the former Department of the Public Advocate shall likewise be protected subsequent to the effective date of P.L.1994, c.58 (C.52:27E-50 et al.).
##### **§ 52:27E-55** Office of the Public Defender continued, transferred to the Department of the Treasury. {#sec-52-27e-55 omnilex-key=us-nj-statutes--title-52--52:27E-55}
6. a. The Office of the Public Defender created by P.L.1967, c.43 (C.2A:158A-1 et seq.), together with all its functions, powers and duties is continued and transferred to and constituted as the Office of the Public Defender in, but not of, the Department of the Treasury. Notwithstanding this allocation, the office shall not be subject to the supervision or control of the Department of the Treasury or any of its officers or employees.
b. Whenever, in any law, rule, regulation, order, reorganization plan, contract, document, judicial or administrative proceeding or otherwise, reference is made to the Office of the Public Defender, the same shall mean and refer to the Office of the Public Defender in, but not of, the Department of the Treasury.
##### **§ 52:27E-56** Preservation of rights, duties as result of allocation to Department of State {#sec-52-27e-56 omnilex-key=us-nj-statutes--title-52--52:27E-56}
8. Allocation of the Office of the Public Defender to the Department of State as provided herein shall not alter or change the term, tenure of office, rights, obligations, duties or responsibilities otherwise provided by law for the Public Defender.
##### **§ 52:27E-57** Appropriated funds {#sec-52-27e-57 omnilex-key=us-nj-statutes--title-52--52:27E-57}
10. Funds appropriated to the Office of the Public Defender shall be available for the expenses associated with the defense of pool attorneys hired by the Office of the Public Defender for the representation of indigent clients if these pool attorneys are sued by Office of the Public Defender clients for services rendered to those clients. Funds appropriated to the fund established pursuant to N.J.S.59:12-1 shall be available for the indemnification of these pool attorneys.
##### **§ 52:27E-75** Access to client records, files by designated agencies. {#sec-52-27e-75 omnilex-key=us-nj-statutes--title-52--52:27E-75}
37. Any agency designated by the Governor to serve as the State's protection and advocacy agency for the mentally ill and for the developmentally disabled shall have the same access to client records and files, to agency records and to the premises of State or private institutions as the Division of Mental Health Advocacy in the Office of the Public Defender. The intent of this section is that any private protection and advocacy agency designated by the Governor have all of the powers necessary to carry out its responsibilities as required to qualify for federal funding as the protection and advocacy agency.
##### **§ 52:27E-76** Public Defender's actions {#sec-52-27e-76 omnilex-key=us-nj-statutes--title-52--52:27E-76}
65. Any action brought by the Public Defender or any persons authorized herein to institute or participate in actions before the courts or agencies of this State shall be brought in the name of the person serving as the Public Defender or in the name of an affected individual or group, but shall not be brought in the name of the State or the people thereof.
##### **§ 52:27E-77** Rights, terms preserved {#sec-52-27e-77 omnilex-key=us-nj-statutes--title-52--52:27E-77}
66. This act shall not:
a. affect the tenure, compensation, and pension rights, if any, of the lawful holder thereof, in any position not specifically abolished herein, upon the effective date of P.L.1994, c.58 (C.52:27E-50 et al.);
b. alter the term of any member of any board, commission, or public body, not specifically abolished herein, lawfully in office on the effective date of P.L.1994, c.58 (C.52:27E-50 et al.), or require the reappointment thereof.
##### **§ 52:27E-78** No new causes of action {#sec-52-27e-78 omnilex-key=us-nj-statutes--title-52--52:27E-78}
67. The provisions of P.L.1994, c.58 (C.52:27E-50 et al.) in and of themselves shall not be construed so as to create any new causes of action, or to authorize any suit against the Legislature or either House or the officers thereof.
##### **§ 52:27E-80** Severability {#sec-52-27e-80 omnilex-key=us-nj-statutes--title-52--52:27E-80}
69. If any section, subsection, paragraph, sentence or other part of P.L.1994, c.58 (C.52:27E-50 et al.) is adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder of P.L.1994, c.58 (C.52:27E-50 et al.), but shall be confined in its effect to the section, subsection, paragraph, sentence or other part of P.L.1994, c.58 (C.52:27E-50 et al.) directly involved in the controversy in which said judgment shall have been rendered.
## **Chapter 27EE**
##### **§ 52:27EE-12** Definitions. {#sec-52-27ee-12 omnilex-key=us-nj-statutes--title-52--52:27EE-12}
12. Definitions.
As used in sections 27, 32, 33, 48, 50, 51 and 64 of P.L.2005, c.155 (C.52:27EE-27, C.52:27EE-32, C.52:27EE-33, C.52:27EE-48, C.52:27EE-50, C.52:27EE-51 and C.52:27EE-64):
"consumer insurance rate increases" means prior approval rate increases for: personal lines property casualty coverages; Medicare supplemental coverages; or a rating system change pursuant to section 14 of P.L.1997, c.151 (C.17:29A-46.1 et seq.);
"correctional facility" means a jail, prison, lockup, penitentiary, reformatory, training school, or other similar facility within the State of New Jersey;
"elderly" means a person age 60 years or older;
"facility" whenever referred to in section 64 of P.L.2005, c.155 (C.52:27EE-64), means any facility or institution, whether public or private, offering health or health related services for the institutionalized elderly, and which is subject to regulation, visitation, inspection, or supervision by any government agency. Facilities include, but are not limited to, nursing homes, skilled nursing homes, intermediate care facilities, extended care facilities, convalescent homes, rehabilitation centers, residential health care facilities, special hospitals, veterans' hospitals, chronic disease hospitals, psychiatric hospitals, mental hospitals, developmental centers or facilities, day care facilities for the elderly, and medical day care centers;
"indigent mental hospital admittee" means a person who has been admitted to and is a patient in a mental hospital, an institution for the care and treatment of persons with mental illness, or a similar facility, whether public or private, State, county or local, or who is the subject of an action for admission as provided by P.L.1987, c.116 (C.30:4-27.1 et seq.) and who does not have the financial ability to secure competent representation and to provide all other necessary expenses of representation;
"institutionalized elderly" means any person 60 years of age or older, who is a patient, resident or client of any facility, as described herein;
"public interest" means an interest or right arising from the Constitution, decisions of court, common law or other laws of the United States or of this State inhering in the citizens of this State or in a broad class of such citizens.
##### **§ 52:27EE-21** Dispute settlement office; established. {#sec-52-27ee-21 omnilex-key=us-nj-statutes--title-52--52:27EE-21}
21. Dispute Settlement Office; established.
There is hereby established in the Office of the Public Defender the Dispute Settlement Office.
##### **§ 52:27EE-22** Dispute settlement office; services. {#sec-52-27ee-22 omnilex-key=us-nj-statutes--title-52--52:27EE-22}
22. Dispute Settlement Office; services.
a. The Dispute Settlement Office may provide, in the discretion of the Public Defender, mediation and other third party neutral services in the resolution of disputes which involve the public interest and may enter into agreements or contracts to carry out any of the purposes or functions of this section. The office may assist public or private parties in resolving disputes. The office is authorized to:
(1) facilitate the resolution of disputes through the provision of mediation and other neutral dispute resolution services;
(2) establish standards for the selection, assignment, and conduct of persons acting on behalf of the office in the resolution of disputes;
(3) conduct educational programs and provide other services designed to reduce the occurrence, magnitude, or cost of disputes;
(4) design, develop, or operate dispute resolution programs, or assist in improving or extending existing dispute resolution programs;
(5) work with the business ombudsman or advocate in the New Jersey Commerce and Economic Growth Commission and take such other action as will promote and facilitate dispute resolution in the State; and
(6) coordinate and cooperate with the Office of Administrative Law so as to avoid duplication of effort and to facilitate alternate resolution of disputes that would otherwise require administrative hearings.
b. The Public Defender may establish reasonable fees to be charged to public or private parties for the provision of the educational, consultation, dispute resolution, or other services authorized herein and may apply for and accept on behalf of the State any federal, local, or private grants, bequests, gifts, or contributions to aid in the financing of any of the programs or activities of the office. The Public Defender in the name of the State shall do all that is necessary and proper to receive or to collect all moneys due to the State, including such fees, grants, bequests, gifts, or contributions, by or reimbursement for services rendered pursuant to this section.
##### **§ 52:27EE-23** Dispute settlement office; transfer of functions. {#sec-52-27ee-23 omnilex-key=us-nj-statutes--title-52--52:27EE-23}
23. Dispute Settlement Office; transfer of functions.
All functions, powers and duties which had been vested in the Office of Dispute Settlement in the Division of Citizen Relations in the Department of the Public Advocate are hereby transferred to and assumed by the Dispute Settlement Office of the Office of the Public Defender.
Whenever in any law, rule, regulation, order, reorganization plan, contract, document, judicial or administrative proceeding or otherwise, reference is made to the Dispute Settlement Office in the Department of the Public Advocate, the same shall mean and refer to the Dispute Settlement Office in the Office of the Public Defender.
##### **§ 52:27EE-26** Office of Corrections Ombudsperson; transfer of functions. {#sec-52-27ee-26 omnilex-key=us-nj-statutes--title-52--52:27EE-26}
26. Office of Corrections Ombudsperson; transfer of functions.
a. All functions, powers, and duties now vested in the Corrections Ombudsperson in the Department of the Public Advocate are hereby transferred to and assumed by the Office of the Corrections Ombudsperson in, but not of, the Department of the Treasury. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the Office of the Corrections Ombudsperson is hereby allocated to the Department of the Treasury, but, notwithstanding this allocation, the Office of the Ombudsperson shall be independent of any supervision or control by the Department of the Treasury or by any board or officer thereof.
b. Whenever, in any law, rule, regulation, order, reorganization plan, contract, document, judicial, or administrative proceeding, or otherwise, reference is made to the Corrections Ombudsperson in the Department of the Public Advocate the same shall mean and refer to the Office of the Corrections Ombudsperson in, but not of, the Department of the Treasury.
c. The office shall be responsible for:
(1) providing information to inmates and their families;
(2) promoting public awareness and understanding of the rights of inmates;
(3) identifying systemic issues and responses upon which the Governor and Legislature may act; and
(4) ensuring compliance with relevant statutes, rules, regulations, and policies concerning corrections facilities, services, and treatment of inmates under the jurisdiction of the department.
d. The Corrections Ombudsperson shall serve as the head of the Office of the Corrections Ombudsperson.
(1) The corrections ombudsperson shall be appointed by the Governor from qualified persons of recognized judgment, independence, objectivity, and integrity, who are qualified by training or experience in corrections law and policy.
(2) A person shall be disqualified from being appointed as ombudsperson if the person or the person's spouse:
(a) is or has been employed by or participates in the management of a business entity or other organization receiving funds from the department within the last five years;
(b) owns or controls, directly or indirectly, any interest in a business entity or other organization receiving funds from the department within the last five years;
(c) uses or receives any amount of tangible goods, services, or funds from the department; or
(d) is required to register as a lobbyist because of the person's activities for compensation on behalf of a profession related to the operation of the department or the office.
e. The corrections ombudsperson shall hold the office for a term of five years and continue to hold the office until reappointed or the appointment of a successor. The Governor may remove the ombudsperson only for neglect of duty, misconduct, or the inability to perform duties. Any vacancy shall be filled by similar appointment for the remainder of the unexpired term.
f. The corrections ombudsperson shall report directly to the Governor.
g. The office shall be adequately funded and staffed with the requisite number of employees with expertise and training necessary to carry out the duties of the office.
h. The corrections ombudsperson may employ assistants to perform duties and exercise the same powers as the ombudsperson.
i. A person may not serve as an assistant corrections ombudsperson or employee of the office if the person or the person's spouse:
(a) is or has been employed by or participates in the management of a business entity or other organization receiving funds from the Department within the last five years;
(b) owns or controls, directly or indirectly, any interest in a business entity or other organization receiving funds from the department within the last five years;
(c) uses or receives any amount of tangible goods, services, or funds from the department; or
(d) is required to register as a lobbyist because of the person's activities for compensation on behalf of a profession related to the operation of the department or the office.
j. The corrections ombudsperson may employ technical experts and other employees or consultants necessary to perform the duties of the office.
##### **§ 52:27EE-27** Corrections Ombudsperson; jurisdiction. {#sec-52-27ee-27 omnilex-key=us-nj-statutes--title-52--52:27EE-27}
27. Corrections Ombudsperson; jurisdiction.
Any person, over the age of 18 years, who is convicted of a crime under the laws of the State of New Jersey and sentenced to a correctional facility for more than 364 days is a "State-sentenced" inmate and considered to be among the individuals who may properly seek redress from the Corrections Ombudsperson concerning the conditions of their confinement.
##### **§ 52:27EE-28** Corrections Ombudsperson; duties. {#sec-52-27ee-28 omnilex-key=us-nj-statutes--title-52--52:27EE-28}
28. Corrections Ombudsperson; duties.
a. The Corrections Ombudsperson shall establish and implement procedures for eliciting, receiving, processing, responding, and resolving complaints from inmates, their families, other interested citizens, public officials, and government agencies concerning conditions in the correctional facilities noted in section 27 of P.L.2005, c.155 (C.52:27EE-27).
b. To implement the provisions of P.L.2019, c.288, the ombudsperson shall:
(1) establish priorities for use of the resources available to the ombudsperson;
(2) maintain a Statewide toll-free telephone number, a collect telephone number, a website, and a mailing address for the receipt of complaints and inquiries;
(3) provide information, as appropriate, to inmates, family members and representatives of inmates, department employees, and others regarding the rights of inmates;
(4) provide technical assistance to support inmate participation in self-advocacy;
(5) monitor compliance with applicable federal, State, county, and municipal laws, rules, regulations, and policies related to the health, safety, welfare, and rehabilitation of inmates;
(6) monitor and participate in legislative and policy developments affecting correctional facilities;
(7) establish a Statewide uniform reporting system to collect and analyze data related to complaints received by the ombudsperson regarding the department;
(8) establish procedures to receive, investigate, and resolve complaints;
(9) establish procedures to gather stakeholder input into the ombudsperson's activities and priorities, which shall include holding public meetings at least quarterly;
(10) by November 1st of each year, annually submit to the Governor's office and the Legislature, and make publicly available, a report that is both aggregated and disaggregated by each facility and includes, at a minimum, the following information:
(a) the budget and expenditures of the ombudsperson;
(b) the number of complaints received and resolved by the ombudsperson;
(c) a description of significant systemic or individual investigations or outcomes achieved by the ombudsperson in the preceding year;
(d) any outstanding or unresolved concerns or recommendations of the ombudsperson; and
(e) input and comments from stakeholders regarding the ombudsperson's activities during the preceding year.
(11) promote awareness among department employees, inmates, and family members and other members of the public regarding:
(a) how the Office of Corrections Ombudsperson may be contacted;
(b) the purpose of the office; and
(c) the services provided by the office.
(l2) provide assistance to an inmate or family member whom the ombudsperson determines is in need of assistance, including advocating with an agency, provider, or other person in the best interests of the inmate;
(13) make appropriate referrals under any of the powers and duties of the office, including to appropriate law enforcement authorities when criminal complaints by inmates are received by the office;
(14) attend any relevant training provided to correctional officers and participate in other appropriate professional training;
(15) notwithstanding any other provision of law to the contrary, review criminal investigations to ensure the investigations were accurate, unbiased, and thorough without investigating alleged criminal behavior; and
(16) adopt and comply with rules, policies, and procedures necessary to implement the provisions of P.L.2019, c.288.
##### **§ 52:27EE-28.1** Investigations of inmate complaints. {#sec-52-27ee-28.1 omnilex-key=us-nj-statutes--title-52--52:27EE-28.1}
8. The corrections ombudsperson shall conduct investigations of inmate complaints in accordance with the provisions of this section.
a. The ombudsperson may initiate and attempt to resolve an investigation upon the ombudperson's own initiative, or upon receipt of a complaint from an inmate, a family member, a representative of an inmate, a department employee, or any other person, including but not limited to any of the following that may adversely affect the health, safety, welfare, or rights of inmates:
(1) abuse or neglect;
(2) department decisions or administrative actions;
(3) inactions or omissions;
(4) policies, rules, or procedures; or
(5) alleged violations of law by the department that may adversely affect the health, safety, welfare, or rights of inmates.
b. If the ombudsperson does not investigate a complaint, the ombudsperson shall notify the complainant of the decision not to investigate and the reasons for the decision.
c. The ombudsperson shall not investigate any complaints relating to an inmate's underlying criminal conviction.
d. The ombudsperson shall not investigate a complaint from a department employee that relates to the employee's employment relationship with the department or the administration of the department, unless the complaint is related to the health, safety, welfare, and rehabilitation of inmates.
e. The ombudsperson shall attempt to resolve any complaint at the lowest possible level.
f. The ombudsperson may refer complainants and others to appropriate resources, agencies, or departments.
g. The ombudsperson shall not impose any fee for the submission or investigation of complaints.
h. The ombudsperson shall remain neutral and impartial and shall not act as an advocate for the complainant or for the department.
i. At the conclusion of an investigation of a complaint, the ombudsperson shall render a public decision on the merits of each complaint, except that the documents supporting the decision are subject to relevant confidentiality provisions. The ombudsperson shall communicate the decision to the inmate, if appropriate, and to the department. The ombudsperson shall state its recommendations and reasoning if, in the ombudsperson's opinion, the department or any employee should:
(1) further consider the matter;
(2) modify or cancel any action;
(3) alter a rule, practice, or ruling;
(4) explain in detail the administrative action in question; or
(5) rectify an omission.
j. At the ombudsperson's request, the department shall, within the time specified, inform the ombudsperson about any action taken on the recommendations or the reasons for not complying with the recommendations.
k. If the ombudsperson concludes, based on the investigation, that there has been, or continues to be, a significant issue regarding an inmate's health, safety, welfare, or rehabilitation, the ombudsperson shall report the finding to the Governor and the Legislature.
l. Before announcing a conclusion or recommendation that expressly, or by implication, criticizes a person or the department, the ombudsperson shall consult with that person or the department. The ombudsperson may request to be notified by the department, within a specified time, of any action taken on any recommendation presented. The ombudsperson shall notify the inmate, if appropriate, of the actions taken by the department in response to the ombudsperson's recommendations.
m. The ombudsperson shall make available to inmates confidential means by which to report concerns or otherwise submit complaints to the ombudsperson, which may include electronic means or a locked box, accessible only by the ombudsperson and the employees of the ombudsperson. All measures shall be taken to ensure there is no risk or credible fear of retaliation against inmates for submitting complaints to the ombudsperson.
n. Submission of complaints to the ombudsperson shall not be part of the department administrative grievance or appeal process, and the ombudsperson's decisions shall not constitute agency action. Nothing in this section shall be deemed to constitute part of the administrative exhaustion process. The ombudsperson shall not require inmates to file grievances or other inquiries as part of the department's system to be considered ripe for review by the ombudsperson.
##### **§ 52:27EE-28.2** Inspections of State correctional facilities. {#sec-52-27ee-28.2 omnilex-key=us-nj-statutes--title-52--52:27EE-28.2}
9. The corrections ombudsperson shall conduct inspections of State correctional facilities in accordance with the provisions of this section.
a. The ombudsperson shall conduct regular inspections of all department facilities and issue public reports of all inspections.
b. Except for ongoing criminal investigations, Prison Rape Elimination Act (PREA) investigations, or other information, records, or investigations deemed confidential by the Special Investigations Division of the department, and with the exception of Special Investigations Division evidence rooms, the ombudsperson may inspect, examine, or assess all aspects of a facility's operations and conditions including, but not limited to:
(1) staff recruitment, training, supervision, and discipline;
(2) inmate deaths or serious injuries;
(3) incidences of physical and sexual assault;
(4) medical and mental health care;
(5) use of force;
(6) inmate violence;
(7) conditions of confinement;
(8) inmate disciplinary processes;
(9) inmate grievance processes;
(10) substance use disorder treatment;
(11) educational, vocational, and other programming;
(12) family visitation and communication practices; and
(13) rehabilitation, reentry, and integration practices.
c. Except as provided in subsection b. of this section, the ombudsperson shall utilize a range of methods to gather and substantiate facts, including observations, interviews with inmates, inmate surveys, document and record reviews, reports, statistics, and performance-based outcome measures.
d. Facility and other governmental officials are authorized and shall be required to cooperate fully and promptly with inspections.
e. Except as provided in subsection b. of this section, the ombudsperson shall be vested with the authority to conduct both scheduled and unannounced inspections of any part or all of the facility at any time. The ombudsperson shall adopt procedures to ensure that unannounced inspections are conducted in a reasonable manner.
f. Facility administrators shall be provided an opportunity to review reports and provide feedback about them to the ombudsperson before their dissemination to the public, but the release of the reports is not subject to approval from any entity or person outside the office.
g. Reports shall apply legal requirements, best correctional practices, and other criteria to objectively and accurately review and assess a facility's policies, procedures, programs, and practices; identify systemic problems and the reasons for them; and proffer possible solutions to those problems.
h. Subject to reasonable privacy and security requirements, or as may be necessary to protect the safety or privacy of persons or the safe, secure, and orderly operation of State correctional facilities, as determined by the department or the Special Investigations Division, the ombudsperson's reports shall be public, accessible through the Internet, and distributed to the media, Legislature, Attorney General, and Governor.
i. Facility administrators shall publicly respond to monitoring reports; develop and implement in a timely fashion action plans to rectify problems identified in those reports; and semi-annually inform the public of their progress in implementing these action plans.
j. The ombudsperson shall continue to assess and report on previously identified problems and the progress made in resolving them until the problems are resolved.
##### **§ 52:27EE-28.3** Access to facilities, records. {#sec-52-27ee-28.3 omnilex-key=us-nj-statutes--title-52--52:27EE-28.3}
10. The corrections ombudsperson shall be provided access to correctional facilities and inmate records in accordance with the provisions of this section.
a. Subject to the provisions of subsection b. of this section, and except as provided in subsection b. of section 9 of P.L.2019, c.288 (C.52:27EE-28.2), the ombudsperson shall have reasonable access to correctional facilities at all times necessary to ensure that a full investigation of an incident of abuse or neglect has been conducted.
b. Except as provided in subsection b. of section 9 of P.L.2019, c.288 (C.52:27EE-28.2), access to investigate a complaint shall be afforded when:
(1) an incident is reported or a complaint is made to the office;
(2) the ombudsperson reasonably determines there is cause to believe that an incident has or may have occurred;
(3) the ombudsperson determines that there is or may be imminent danger of serious abuse or neglect of an inmate;
(4) the ombudsperson has referred the incident or complaint to the department for investigation; and
(5) the department has declined to investigate the incident or complaint.
c. Except as provided in subsection b. of section 9 of P.L.2019, c.288 (C.52:27EE-28.2), the ombudsperson shall have reasonable access to all department facilities, including all areas which are used by inmates, all areas which are accessible inmates, and to programs for inmates for the purpose of:
(1) providing information about person's rights and the services available from the office, including the name, address, and telephone number of the office; and
(2) monitoring compliance with respect to the rights and safety of inmates.
d. Except as provided in subsection b. of section 9 of P.L.2019, c.288 (C.52:27EE-28.2), the ombudsperson shall be vested with the authority to regularly meet, interview, and privately and confidentially communicate with any person, including staff and inmates, both formally and informally, by telephone, mail, and in person.
e. Except as provided in subsection b. of section 9 of P.L.2019, c.288 (C.52:27EE-28.2), the ombudsperson has the right to access, inspect, and copy all relevant information, records, or documents in the possession or control of the department that the ombudsperson considers necessary in an investigation of a complaint or the inspection of a facility. Except as provided in subsection b. of section 9 of P.L.2019, c.288 (C.52:27EE-28.2), the department may, upon the request of the ombudsperson, assist the ombudsperson in obtaining releases for those documents which are specifically restricted or privileged for use by the ombudsperson, provided however, the department shall not be liable in the case of a refusal to execute a release.
f. Except as provided in subsection b. of section 9 of P.L.2019, c.288 (C.52:27EE-28.2), following notification from the ombudsperson with a written demand for access to agency records, the delegated department staff shall provide the ombudsperson with access to the requested documentation not later than 20 business days after the ombudsperson's request.
g. Upon notice and request by the ombudsperson, a State, county, or municipal government agency or entity that has records relevant to a complaint or an investigation conducted by the ombudsperson shall provide the ombudsperson with access to the records.
h. The ombudsperson shall work with the department to minimize disruption to the department's operations due to ombudsperson activities and shall comply with the department's security clearance processes, provided those processes do not impede the ombudsperson from carrying out the responsibilities set forth in this section.
i. The ombudsperson shall be authorized to hold public hearings, to subpoena witnesses and documents, and to require that witnesses testify under oath.
j. The ombudsperson shall enact procedures to enable facility administrators, line staff, inmates, and others to transmit information confidentially to the monitoring entity about the facility's operations and conditions. Adequate safeguards shall be established to protect persons who transmit information to the monitoring entity from retaliation and threats of retaliation.
k. Facility and other governmental officials shall be authorized and required to cooperate fully and promptly with the ombudsperson. To the greatest extent possible and consistent with the ombudsperson's duties and responsibilities under P.L.2019, c.288 (C.30:1B-6.5 et al.), the ombudsperson shall collaboratively and constructively work with administrators, legislators, and other appropriate persons to improve the facility's operations and conditions.
##### **§ 52:27EE-28.4** Correspondence, communication confidential, protected. {#sec-52-27ee-28.4 omnilex-key=us-nj-statutes--title-52--52:27EE-28.4}
11. Correspondence and communication with the corrections ombudsperson shall be confidential and protected as privileged correspondence in the same manner as legal correspondence or communication.
a. The ombudsperson shall establish confidentiality rules and procedures for all information maintained by the office.
b. The ombudsperson shall treat all matters under investigation, including the identities of recipients of ombudsperson services, complainants, and persons from whom information is acquired, as confidential, except as far as disclosures may be necessary to enable the ombudsperson to perform the duties of the office and to support any recommendations resulting from an investigation. Upon receipt of information that, by law, is confidential or privileged, the ombudsperson shall maintain the confidentiality of the information and shall not further disclose or disseminate the information except as provided by applicable federal or State law or as authorized by this section.
c. To the extent the ombudsperson reasonably believes necessary, the ombudsperson:
(1) shall reveal information obtained in the course of providing services to prevent reasonably certain death or substantial bodily harm; and
(2) may reveal information obtained in the course of providing ombudsperson services to prevent the commission of a crime.
d. If the ombudsperson believes it is necessary to reveal investigative records pursuant to subsection c. of this section, the ombudsperson shall provide a copy of what is intended to be disclosed to the department for review and application of legal exemptions prior to releasing the records to any other person. If the ombudsperson personally receives identifying information concerning a member of the corrections staff during the course of an investigation that the ombudsperson determines is unrelated or unnecessary to the subject of the investigation or recommendation for action, the ombudsperson shall not further disclose the information. If the ombudsperson determines that the disclosure is necessary to an investigation or recommendation, the ombudsperson shall contact the staff member, as well as the bargaining unit representative before any disclosure.
##### **§ 52:27EE-28.5** Prohibited actions. {#sec-52-27ee-28.5 omnilex-key=us-nj-statutes--title-52--52:27EE-28.5}
12. A civil action shall not be brought against any employee of the Office of the Ombudsperson for the good faith performance of responsibilities under P.L.2019, c.288.
a. A discriminatory, disciplinary, or retaliatory action shall not be taken against a department employee, subcontractor, or volunteer, an inmate, or a family member or representative of an inmate for any communication made, or information given or disclosed, to aid the office in carrying out its responsibilities, unless the communication or information is made, given, or disclosed maliciously or without good faith.
b. This section is not intended to infringe on the rights of an employer to supervise, discipline, or terminate an employee for other reasons.
##### **§ 52:27EE-28.6** Advisory board. {#sec-52-27ee-28.6 omnilex-key=us-nj-statutes--title-52--52:27EE-28.6}
13. An advisory board shall be established to advise the Office of the Corrections Ombudsperson. The Governor shall appoint three positions, the President of the Senate shall appoint three positions, and the Speaker of the General Assembly shall appoint three positions. The advisory board shall designate positions for representatives of the following areas of expertise: investigations, health care, sexual assault victims' advocacy, social work, occupational safety and health, and research and data analysis. At least one position on the advisory board shall be filled by a family member of an inmate or by a formerly incarcerated person.
##### **§ 52:27EE-29** Division of Mental Health Advocacy; established. {#sec-52-27ee-29 omnilex-key=us-nj-statutes--title-52--52:27EE-29}
29. Division of Mental Health Advocacy; established.
a. There is hereby established in the Office of the Public Defender a Division of Mental Health Advocacy to be under the supervision of the Director of the Division of Mental Health Advocacy.
b. The division is hereby designated as the State's mental health protection and advocacy agency. The division shall have all the powers necessary to carry out its responsibilities as required to qualify for federal funding as the State protection and advocacy agency.
##### **§ 52:27EE-30** Division of Mental Health Advocacy; objective; duties. {#sec-52-27ee-30 omnilex-key=us-nj-statutes--title-52--52:27EE-30}
30. Division of Mental Health Advocacy; objective; duties.
a. The Division of Mental Health Advocacy shall promote, advocate, and ensure the adequacy of the care received, and the quality of life experienced, by persons with mental illness, including patients, residents, and clients within the mental health facilities and programs operated, funded, or licensed by the State. In determining what elements are essential to ensure adequate care and quality of life, the division shall consider the unique medical, social, and economic needs and problems of persons with mental illness as patients, residents, and clients of facilities and as citizens and community members.
b. The director shall establish and implement procedures to elicit, receive, process, respond, and resolve complaints from patients, their families, other interested citizens, public officials, and government agencies concerning conditions in the State's mental health facilities.
##### **§ 52:27EE-31** Division of Mental Health Advocacy; class actions. {#sec-52-27ee-31 omnilex-key=us-nj-statutes--title-52--52:27EE-31}
31. Division of Mental Health Advocacy; class actions.
The Director of the Division of Mental Health Advocacy may represent, with the approval of the Public Defender, the interests of indigent mental hospital admittees in such disputes and litigation as will, in the discretion of the Public Defender, best advance the interests of indigent mental hospital admittees as a class on an issue of general application to them, and may act as representative of indigent mental hospital admittees with any principal department or other instrumentality of State, county or local government.
##### **§ 52:27EE-32** Division of Mental Health Advocacy; legal representation; medical consultation. {#sec-52-27ee-32 omnilex-key=us-nj-statutes--title-52--52:27EE-32}
32. Division of Mental Health Advocacy; legal representation; medical consultation.
The Division of Mental Health Advocacy may provide such legal representation and medical consultation as the director deems appropriate for any indigent mental hospital admittee in any proceeding concerning the admittee's admission to, and retention in, or release from confinement in such a hospital, institution or facility.
##### **§ 52:27EE-33** Division of Mental Health Advocacy; eligibility for services. {#sec-52-27ee-33 omnilex-key=us-nj-statutes--title-52--52:27EE-33}
33. Division of Mental Health Advocacy; eligibility for services.
Eligibility for mental health advocacy services shall be determined on the basis of the need of the client. Need shall be measured according to the financial ability of the client to engage and compensate competent private counsel and to provide all other necessary expenses of representation. Such ability shall be recognized to be a variable depending on the nature, extent and liquidity of assets and on the disposable net income of the client as compared with the nature of the case, the effort and skill required to gather pertinent information, render advice, conduct trial or render other legal services, and probable expenses to be incurred. In the event that a determination of eligibility cannot be made before the time when the first services are to be rendered, or if an initial determination is found to be erroneous, the division shall undertake the same provisionally, and if it is determined subsequently that the client is ineligible, the division shall so inform the client, and the client shall thereupon, with the approval of the court, be obliged to engage his or her own counsel and to reimburse the division for the cost of the services rendered to that time.
##### **§ 52:27EE-34** Division of Mental Health Advocacy; financial status of client; investigation. {#sec-52-27ee-34 omnilex-key=us-nj-statutes--title-52--52:27EE-34}
34. Division of Mental Health Advocacy; financial status of client; investigation.
The Division of Mental Health Advocacy shall make such investigation of the financial status of each mental health client as the circumstances warrant. The division, pursuant to rules and regulations promulgated by the Office of the Public Defender for this purpose, may obtain information from any public record, office of the State or of any subdivision or agency thereof on request and without payment of the fees ordinarily required by law.
##### **§ 52:27EE-35** Division of Mental Health Advocacy; staff. {#sec-52-27ee-35 omnilex-key=us-nj-statutes--title-52--52:27EE-35}
35. Division of Mental Health Advocacy; staff.
a. The Director of the Division of Mental Health Advocacy may employ, with the approval of the Public Defender, such assistants on a full-time basis as are necessary to protect the rights of persons with mental illness. When exceptional circumstances arise, the director may retain, with the approval of the Public Defender, on a temporary basis such other expert assistants as are necessary pursuant to a reasonable fee schedule established in advance by the Public Defender.
b. Cases shall be assigned to staff attorneys or attorneys hired by case on a basis calculated to provide competent representation in light of the nature of the case, the services to be performed, the experience of the particular attorney and other relevant factors.
c. Employees of the Division of Mental Health Advocacy in the Department of the Public Advocate who are client services representatives or patient advocates for the mentally ill providing patient advocacy services in State or county facilities that provide inpatient care, supervision and treatment for persons with mental illness, including psychiatric facilities, and the functions of such employees, are hereby transferred to the Office of the Public Defender to be employees thereof. The Public Defender through the Division of Mental Health Advocacy shall employ such persons and continue such functions in the manner the Public Defender and the director of the division shall deem appropriate and necessary. These employees shall report to the division director and the Public Defender.
##### **§ 52:27EE-36** Division of Mental Health Advocacy; status of staff. {#sec-52-27ee-36 omnilex-key=us-nj-statutes--title-52--52:27EE-36}
36. Division of Mental Health Advocacy; status of staff.
Independent contractors or other individuals, agencies, or entities not established in or employed by the Office of the Public Defender retained to provide protection and advocacy services to indigent mental hospital admittees, or designated to provide mental health protection and advocacy services, are not public entities or public employees for purposes of the "New Jersey Tort Claims Act," N.J.S.59:1-1 et seq.
##### **§ 52:27EE-37** Division of Mental Health Advocacy; transfer of functions. {#sec-52-27ee-37 omnilex-key=us-nj-statutes--title-52--52:27EE-37}
37. Division of Mental Health Advocacy; transfer of functions.
All functions, powers, and duties which had been vested in the Division of Mental Health Advocacy in the Department of the Public Advocate are hereby transferred to and assumed by the Division of Mental Health Advocacy in the Office of the Public Defender.
Whenever, in any law, rule, regulation, order, reorganization plan, contract, document, judicial or administrative proceeding, or otherwise, reference is made to the Division of Mental Health Advocacy in the Department of the Public Advocate, the same shall mean and refer to the Division of Mental Health Advocacy in the Office of the Public Defender.
##### **§ 52:27EE-46** Division of Rate Counsel; established. {#sec-52-27ee-46 omnilex-key=us-nj-statutes--title-52--52:27EE-46}
46. Division of Rate Counsel; established.
There is hereby established in the Department of the Treasury the Division of Rate Counsel to be under the supervision of the Director of the Division of Rate Counsel. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the Division of Rate Counsel is hereby allocated to the Department of the Treasury, but, notwithstanding this allocation, the division shall be independent of any supervision or control by the department or by any board or officer thereof.
##### **§ 52:27EE-47** Director of the Division of Rate Counsel; staff. {#sec-52-27ee-47 omnilex-key=us-nj-statutes--title-52--52:27EE-47}
47. Director of the Division of Rate Counsel; staff.
a. The Director of the Division of Rate Counsel shall be an attorney-at-law of this State, appointed by the Governor.
b. When exceptional circumstances arise, the Director of the Division of Rate Counsel, with the approval of the State Treasurer, may on a temporary basis retain such expert assistants as are necessary to protect the public interest, pursuant to a reasonable fee schedule established in advance by the Treasurer.
c. Cases shall be assigned to staff attorneys or to attorneys hired on a case by case basis calculated to provide competent representation in the light of the nature of the case, the services to be performed, the experience of the particular attorney, and other relevant factors.
##### **§ 52:27EE-48** Division of Rate Counsel; jurisdiction. {#sec-52-27ee-48 omnilex-key=us-nj-statutes--title-52--52:27EE-48}
48. Division of Rate Counsel; jurisdiction.
The Division of the Rate Counsel in, but not of, the Department of the Treasury shall have the authority to conduct investigations, initiate studies, conduct research, present comments and testimony before governmental bodies, issue reports, and produce and disseminate consumer guides on any matters that fall within the Rate Counsel's jurisdiction. The Rate Counsel shall also have the authority to represent the public interest as set forth below.
a. Utilities. The Division of Rate Counsel may represent and protect the public interest as defined in section 12 of P.L.2005, c.155 (C.52:27EE-12) in proceedings before and appeals from any State department, commission, authority, council, agency, or board charged with the regulation or control of any business, industry, or utility regarding a requirement that the business, industry, or utility provide a service or regarding the fixing of a rate, toll, fare, or charge for a product or service. The Division of Rate Counsel may initiate any such proceedings when the director determines that a discontinuance or change in a required service or a rate, toll, fare, or charge for a product or service is in the public interest.
b. Insurance; limited jurisdiction. The Division of Rate Counsel shall represent and protect the public interest with respect to insurance matters in significant proceedings that pertain solely to prior approval rate increases for personal lines property casualty coverages or Medicare supplemental coverages. The Division of Rate Counsel shall have no jurisdiction or authority to participate or intervene in (1) expedited prior approval rate filings made by an insurer or affiliated group of insurers pursuant to section 34 of P.L.1997, c.151 (C.17:29A-46.6) or section 3 of P.L.2001, c.409 (C.17:36-5.35), or (2) prior approval rate filings of seven percent or less, or (3) rule or form filings for any other form of insurance.
In determining, in his discretion, whether a proceeding is significant, the Director of the Division of Rate Counsel shall consider the following factors:
(1) the overall dollar impact of the requested increase, considering the filer's market share and the magnitude of the requested rate change;
(2) whether the increase, if granted, will increase the filer's rates significantly above market norms;
(3) whether the filer is advancing a significantly different alternate ratemaking methodology to the standard methodology established pursuant to section 8 of P.L.1988, c.119 (C.17:29A-36.2);
(4) whether the insurer is experiencing financial difficulties at its present rate level, as evidenced by the filing of rehabilitation proceedings, recent downgrading by insurance rating services, or significant losses reported on the filer's public financial statement.
The Director of the Division of Rate Counsel shall, in addition to the powers set forth in this act, have the express authority to intervene in public hearings pursuant to section 66 of P.L.1998, c.21 (C.17:29A-46.8).
##### **§ 52:27EE-49** Division of Rate Counsel; intent. {#sec-52-27ee-49 omnilex-key=us-nj-statutes--title-52--52:27EE-49}
49. Division of Rate Counsel; intent.
It is the intent of the Legislature that the resources of the Division of Rate Counsel be devoted to the maximum extent possible to ensuring adequate representation of the interests of those consumers whose interests would otherwise be inadequately represented in matters within the jurisdiction of the Division of Rate Counsel.
When the interests of consumers differ, the Director of the Division of Rate Counsel shall give priority to representing the interests of consumers whose interests the Director of the Division of Rate Counsel finds to be inadequately represented.
This section does not require the Division of Rate Counsel to represent the interests of a consumer or group of consumers if the Director of the Division of Rate Counsel determines that such representation is adverse to the overall interests of the using and consuming public.
##### **§ 52:27EE-50** Division of Rate Counsel; required notices to the division. {#sec-52-27ee-50 omnilex-key=us-nj-statutes--title-52--52:27EE-50}
50. Division of Rate Counsel; required notices to the division.
The Division of Rate Counsel shall receive a copy from the filer of any prior approval rate filing seeking consumer insurance rate increases, including any amendments or supplements thereto. A copy of such rate filing shall be received by the Division of Rate Counsel concurrent with any rate filing with the Commissioner of Banking and Insurance; except, however, the filer is not required to provide a copy of such rate filing with the Division of Rate Counsel if: (a) the filing is an expedited prior approval rate filing made pursuant to either section 34 of P.L.1997, c.151 (C.17:29A-46.6) or section 3 of P.L.2001, c.409 (C.17:36-5.35); or (b) the filing is made pursuant to any statutory change in coverage provided under a policy of private passenger automobile insurance; or (c) the filing is a prior approval rate filing of seven percent or less.
##### **§ 52:27EE-51** Division of Rate Counsel; public notices of certain consumer insurance rate increases. {#sec-52-27ee-51 omnilex-key=us-nj-statutes--title-52--52:27EE-51}
51. Division of Rate Counsel; public notices of certain consumer insurance rate increases.
The Division of Rate Counsel and the Department of Banking and Insurance may publish on their respective official websites, to the extent practicable, as the case may be: (a) notice of all filings for consumer insurance rate increases; (b) all requests for hearing dates for such increases; and (c) the date or dates a hearing is to be held. The Division of Rate Counsel and the Department of Banking and Insurance, pursuant to regulations established by the Division of Rate Counsel, shall establish operational links such that each respective website may be accessed from the other. Publication on the applicable website shall take place within three business days of the applicable notice of filing, request for hearing, and date or dates of hearings.
If an insurer or rating organization files for a personal lines prior approval rate increase, excluding rating system changes made pursuant to P.L.1997, c.151 (C.17:29A-46.1 et seq.), the insurer or ratings organization shall, in conjunction with such filing, notify the public of the proposed rate change; except, however, the filer is not required to notify the public of the proposed rate change if the rate increase pertains to: (a) an expedited prior approval rate filing made pursuant to either section 34 of P.L.1997, c.151 (C.17:29A-46.6) or section 3 of P.L.2001, c.409 (C.17:36-5.35); or (b) a rate filing made pursuant to any statutory change in coverage provided under a policy of private passenger automobile insurance; or (c) a prior approval rate filing of seven percent or less.
Such notice shall be communicated through regular or electronic mail to the named policy holders who use the products and services subject to the rate increase, within seven business days of the applicable filing and shall conform to a form prescribed by the Department of Banking and Insurance pursuant to regulations established in conjunction with the Rate Counsel.
##### **§ 52:27EE-52** Division of Rate Counsel; payment of expenses of division; annual utility assessment. {#sec-52-27ee-52 omnilex-key=us-nj-statutes--title-52--52:27EE-52}
52. Division of Rate Counsel; payment of expenses of division; annual utility assessment.
a. Annual utility assessment. The Division of Rate Counsel shall annually make an assessment against each public utility consistent with, but separate from, the Board of Public Utilities' assessments under the provisions of P.L.1968, c.173 (C.48:2-59 et seq.). All assessments due and owing to the Division of Rate Counsel as of the effective date of P.L.2010, c.34 (C.52:27EE-86 et al.), including any assessments due and owing as of the effective date of P.L.2005, c.155 (C.52:27EE-1 et seq.) shall be deemed due and owing to the Division of Rate Counsel in, but not of, the Department of the Treasury.
b. Calculation of annual utility assessment. The annual assessment shall be equal to a percentage of the gross operating revenue of the public utilities under the jurisdiction of the Board of Public Utilities derived from intrastate operations during the preceding calendar year at a rate determined annually by the Director of the Division of Rate Counsel in the manner set forth in section 2 of P.L.1968, c.173 (C.48:2-60), except that the total amount assessed to any public utility shall not exceed 1/4 of 1 percent of the gross operating revenue subject to assessment hereunder. The minimum annual assessment under this section shall not be less than $500.
c. Levy and payment of annual assessment. The annual assessment set forth in subsections a. and b. above shall be levied by the Division of the Rate Counsel no later than August 15, and shall be paid within 30 days of mailing notice thereof and a statement of the amount by first class mail to any public utility.
##### **§ 52:27EE-53** Division of Rate Counsel; payment of expenses of division; annual insurance assessment. {#sec-52-27ee-53 omnilex-key=us-nj-statutes--title-52--52:27EE-53}
53. Division of Rate Counsel; payment of expenses of division; annual insurance assessment.
a. Annual insurance assessment. The Director of the Office of Management and Budget in the Department of the Treasury shall, on or before August 15 in each year, ascertain and certify to the Commissioner of Banking and Insurance by category the total amount of expenses incurred by the State in connection with the administration of the special functions of the Division of Rate Counsel relative to the expenses of the Division of Rate Counsel in connection with the administration of insurance rate cases during the preceding fiscal year. The Department of Banking and Insurance shall make a separate special assessment on lines of insurance subject to the jurisdiction of the Director of the Division of Rate Counsel pursuant to subsection b. of section 48 of P.L.2005, c.155 (C.52:27EE-48), on an annual basis, in accordance with the formula set forth in P.L.1995, c.156 (C.17:1C-19 et seq.).
b. Calculation of annual insurance assessment. The annual assessment shall be no more than a specified aggregate amount adjusted annually for inflation, which shall be calculated and applied separately from the maximum total assessment set forth in section 13 of P.L.1995, c.156 (C.17:1C-31). The amount collected for expenses pursuant to subsection a. of this section, shall not exceed the amount appropriated by the Legislature for those expenses.
##### **§ 52:27EE-54** Division of Rate Counsel; transfer of powers and duties. {#sec-52-27ee-54 omnilex-key=us-nj-statutes--title-52--52:27EE-54}
54. Division of Rate Counsel; transfer of powers and duties.
All functions, powers, and duties which had been vested in the Division of Rate Counsel in the Department of the Public Advocate are hereby transferred to and assumed by the Division of Rate Counsel in, but not of, the Department of the Treasury. Whenever, in any law, rule, regulation, order, reorganization plan, contract, document, judicial or administrative proceeding, or otherwise, reference is made to the Division of Rate Counsel in the Department of the Public Advocate, the same shall mean and refer to the Division of Rate Counsel in, but not of, the Department of the Treasury.
##### **§ 52:27EE-55** Division of Rate Counsel; right to intervene in federal proceedings. {#sec-52-27ee-55 omnilex-key=us-nj-statutes--title-52--52:27EE-55}
55. Division of Rate Counsel; right to intervene in federal proceedings.
The Division of Rate Counsel shall have the right to represent the public interest in any federal proceeding, including but not limited to proceedings before the Federal Communications Commission, the Federal Energy Regulatory Commission, and the Federal Trade Commission.
##### **§ 52:27EE-61** Division of Elder Advocacy; established. {#sec-52-27ee-61 omnilex-key=us-nj-statutes--title-52--52:27EE-61}
61. Division of Elder Advocacy; established.
There is hereby established in the Department of the Treasury the Division of Elder Advocacy to be under the supervision of the Director of the Division of Elder Advocacy, appointed by the Governor. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the Division of Elder Advocacy is hereby allocated to the Department of the Treasury, but, notwithstanding this allocation, the division shall be independent of any supervision or control by the department or by any board or officer thereof.
##### **§ 52:27EE-62** Division of Elder Advocacy; jurisdiction. {#sec-52-27ee-62 omnilex-key=us-nj-statutes--title-52--52:27EE-62}
62. Division of Elder Advocacy; jurisdiction.
The Division of Elder Advocacy may represent the public interest in such administrative and court proceedings as the director deems shall best serve the interests of elderly adults.
##### **§ 52:27EE-63** Division of Elder Advocacy; powers and duties. {#sec-52-27ee-63 omnilex-key=us-nj-statutes--title-52--52:27EE-63}
63. Division of Elder Advocacy; powers and duties.
The Division of Elder Advocacy may protect the interests of the elderly by:
a. intervening in or instituting proceedings involving the interests of the elderly before any department, commission, agency, or board of the State leading to an administrative adjudication or administrative rule as defined in section 2 of P.L.1968, c.410 (C.52:14B-2);
b. instituting litigation on behalf of the elderly when authorized to do so; and
c. commencing negotiation, mediation, or alternative dispute resolution prior to, or in lieu of, the initiation of any litigation.
##### **§ 52:27EE-64** Division of Elder Advocacy; additional powers and duties. {#sec-52-27ee-64 omnilex-key=us-nj-statutes--title-52--52:27EE-64}
64. Division of Elder Advocacy; additional powers and duties.
a. The Division of Elder Advocacy shall report to the Governor and the Legislature on recommendations that will further the State's ability to secure, preserve, and promote the health, safety, and welfare of New Jersey's elderly.
b. The Division of Elder Advocacy shall have the authority to hold a public hearing on the subject of any investigation or study. The division shall hear testimony from agency and program representatives, the public in general, and such others as may be deemed appropriate.
c. The Division of Elder Advocacy shall have access to the records and facilities of every agency, funded entity, or other recipient of public funds to the extent that any such records and facilities are related to the expenditure of public funds, provided that the division complies with all privacy and confidentiality protections applicable to those records and facilities, notwithstanding any contrary provision of law. Notwithstanding the foregoing, the Division of Elder Advocacy shall have access to any facility or institution, whether public or private, offering health or health-related services for the institutionalized elderly which is subject to regulation, visitation, inspection or supervision by any government agency, provided such access is permitted by State or federal law. All agencies shall cooperate with the Division of Elder Advocacy and, when requested, shall provide specific information in the form requested.
##### **§ 52:27EE-65** Ombudsperson for the Institutionalized Elderly; transfer to Department of the Treasury. {#sec-52-27ee-65 omnilex-key=us-nj-statutes--title-52--52:27EE-65}
65. Ombudsperson for the Institutionalized Elderly; transfer to Department of the Treasury. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the Ombudsperson for the Institutionalized Elderly is hereby allocated to the Department of the Treasury, but, notwithstanding this allocation, the Ombudsperson shall be independent of any supervision or control by the department or by any board or officer thereof.
a. There is hereby established in the Division of Elder Advocacy in the Department of the Treasury an Ombudsperson for the Institutionalized Elderly.
b. The Ombudsperson for the Institutionalized Elderly shall be appointed by the Governor.
c. All functions, powers, and duties now vested in the Ombudsperson for the Institutionalized Elderly in the Department of the Public Advocate are hereby transferred to and assumed by the Ombudsperson for the Institutionalized Elderly in, but not of, the Department of the Treasury.
Whenever, in any law, rule, regulation, order, reorganization plan, contract, document, judicial or administrative proceeding, or otherwise, reference is made to the Ombudsperson for the Institutionalized Elderly in the Department of the Public Advocate, the same shall mean and refer to the Ombudsperson for the Institutionalized Elderly in, but not of, the Department of the Treasury.
##### **§ 52:27EE-86** Department of the Public Advocate abolished. {#sec-52-27ee-86 omnilex-key=us-nj-statutes--title-52--52:27EE-86}
1. a. The Department of the Public Advocate created by P.L.2005, c.155 (C.52:27EE-1 et al.) is abolished as a principal department in the Executive Branch of State Government and all of its functions, powers and duties, except as otherwise provided in this act, are hereby terminated.
b. The offices and terms of the Public Advocate, and of the assistants, deputies, and directors of the various divisions and offices of the Department of the Public Advocate, except as otherwise provided in this act, are hereby terminated.
c. Regulations of the Department of the Public Advocate concerning its organization, function, practice, and procedure are void. Except as otherwise provided in this act, whenever in any law, rule, regulation, order, reorganization plan, contract, document, judicial or administrative proceeding, or otherwise, reference is made to the Department of the Public Advocate, the same shall mean and refer to the Office of the Public Defender in, but not of, the Department of the Treasury.
d. All communications between an individual client and an attorney in or engaged by the Department of the Public Advocate shall remain fully protected by the attorney-client privilege subsequent to the effective date of this act. The confidentiality of medical records and other documents maintained as confidential by the Department of the Public Advocate shall likewise be protected subsequent to the effective date of this act. Any record held by the department that includes information about the identity, care, or treatment of any person seeking or receiving services from the department, or the identity of any person seeking services from the department on behalf of another person, shall not be a government record as defined in section 1 of P.L.1995, c.23 (C.47:1A-1.1) and shall not be available for public inspection, copying, or the purchase of copies. Any person acting reasonably and in good faith who sought assistance from the department on behalf of another person shall be immune from civil or criminal liability that might otherwise be incurred or imposed and shall have the same immunity with respect to testimony given in any judicial proceeding resulting from that request for assistance.
e. This act shall not affect the tenure, compensation, and pension rights, if any, of the holder of a position not specifically abolished herein in office upon the effective date of this act, nor alter the term of a member of a board, commission, or public body, not specifically abolished herein, in office on the effective date of this act, or require the reappointment thereof.
f. The provisions of this act in and of themselves shall not be construed to create any new cause of action, or to authorize any suit against any public entity or employee.
g. Acts and parts of acts inconsistent with any of the provisions of this act are, to the extent of such inconsistency, superseded and repealed.
h. This act shall be subject to the provisions of the "State Agency Transfer Act," P.L.1971, c.375 (C.52:14D-1 et seq.).
i. The Governor may take such action by Executive Order, or other formal redesignation document, for the purpose of designating a private entity as the State's protection and advocacy agency for persons with mental illness or developmental disabilities.
j. The responsibility for all cases pending on the effective date of this act in which the Department of the Public Advocate is a party handled by divisions or offices being abolished shall be assumed by the Office of the Public Defender, unless the Public Defender, exercising discretion, determines that there are not sufficient resources to continue any particular litigation. In assuming responsibility for such cases, the Public Defender shall be bound by the terms of any orders, judgments, determinations, or settlements in the same manner as its predecessor the Department of the Public Advocate.
k. The Office of the Public Defender may take such actions as the Governor may by Executive Order, or other formal redesignation document, authorize for the purpose of coordinating and cooperating with any private entity designated by the Governor as the State's mental health protection and advocacy agency and protection and advocacy agency for persons with developmental disabilities.
## **Chapter 27F**
##### **§ 52:27F-3** Definitions {#sec-52-27f-3 omnilex-key=us-nj-statutes--title-52--52:27F-3}
As used in this act:
a. "Commissioner" means the Commissioner of the Department of Energy;
b. "Department" means the Department of Energy established by this act;
c. "Distributor" means and includes each person, wherever resident or located, who imports into this State fuels for use, distribution, storage, or sale in this State after the same shall reach this State; and also each person who produces, refines, manufactures, blends, or compounds fuels and sells, uses, stores, or distributes the same within this State. In no case, however, shall a retail dealer be construed to be a distributor;
d. "Energy" means all power derived from, or generated by, any natural or man-made agent, including, but not limited to, petroleum products, gases, solar radiation, atomic fission or fusion, mineral formations, thermal gradients, wind, or water.
e. "Energy facility" means any plant or operation which produces, converts, distributes or stores energy or converts one form of energy to another; in no case, however, shall an operation conducted by a person acting only as a retail dealer be construed as an energy facility;
f. "Energy information" means any statistic, datum, fact, or item of knowledge and all combinations thereof relating to energy;
g. "Energy information system" means the composite of energy information collected by the office;
h. "Energy industry" means any person, company, corporation, business, institution, establishment or other organization of any nature engaged in the exploration, extraction, transportation, transmission, refining, processing, generation, distribution, sale or storage of energy;
i. "Fuel" means coal, petroleum products, gases and nuclear fuel, including enriched uranium, U235 and U238, and plutonium, U239;
j. "Gases" means natural gas, methane, liquefied natural gas, synthetic natural gas, coal gas and other manufactured gases;
k. "Person" means natural persons, partnerships, firms, associations, joint stock companies, syndicates and corporations, and any receiver, trustee, conservator or other officer appointed pursuant to law or by any court, State or Federal; "person" also means the State of New Jersey, counties, municipalities, authorities, other political subdivisions, and all departments and agencies within the aforementioned governmental entities;
l . "Petroleum products" means and includes motor gasoline, middle distillate oils, residual fuel oils, aviation fuel, propane, butane, natural gasoline, naphtha, gas oils, lubricating oils and any other similar or dissimilar liquid hydrocarbons;
m. "Public building" means any building, structure, facility or complex used by the general public, including, but not limited to, theaters, concert halls, auditoriums, museums, schools, libraries, recreation facilities, public transportation terminals and stations, factories, office buildings, business establishments, passenger vehicle service stations, shopping centers, hotels or motels and public eating places, owned by any State, county or municipal government agency or instrumentality or any private individual, partnership, association or corporation;
n. "Purchase" means and includes, in addition to its ordinary meaning, any acquisition of ownership or possession, including, but not limited to, condemnation by eminent domain proceedings;
o . "Retail dealer" means any person who engages in the business of selling fuels from a fixed location such as a service station, filling station, store, or garage directly to the ultimate users of said fuel;
p. "Sale" means and includes, in addition to its ordinary meaning, any exchange, gift, theft, or other disposition. In such case where fuels are exchanged, given, stolen, or otherwise disposed of, they shall be deemed to have been sold;
q. "Supplier of fuel" means any refiner, importer, marketer, jobber, distributor, terminal operator, firm, corporation, wholesaler, broker, cooperative or other person who supplies, sells, consigns, transfers, or otherwise furnishes fuel. In no case, however, shall a retail dealer be construed to be a supplier of fuel;
r. "Trade secret" means the whole or any portion or phase of any scientific, technical or otherwise proprietary information, design, process, procedure, formula or improvement which is used in one's business and is secret and of value; and a trade secret shall be presumed to be secret when the owner takes measures to prevent it from becoming available to persons other than those selected by the owner to have access thereto for limited purposes;
s. "Wholesale dealer" means any person who engages in the business of selling fuels to other persons who resell the said fuel. In no case shall a retail dealer be considered as a wholesale dealer.
t. "Cogeneration" means the simultaneous production in one facility of electric power and other useful forms of energy such as heating or process steam.
##### **§ 52:27F-4.1** Department of Energy abolished {#sec-52-27f-4.1 omnilex-key=us-nj-statutes--title-52--52:27F-4.1}
The Department of Energy is abolished as a principal department in the Executive Branch of State Government and all of its functions, powers and duties, except as herein otherwise provided, are terminated.
##### **§ 52:27F-4.2** Termination of offices {#sec-52-27f-4.2 omnilex-key=us-nj-statutes--title-52--52:27F-4.2}
The offices and terms of the Commissioner of Energy, the assistant commissioner and the directors of the various divisions and offices of the Department of Energy, except as herein otherwise provided, shall terminate upon the effective date of this act.
##### **§ 52:27F-11** Division of energy planning and conservation; powers of BPU. {#sec-52-27f-11 omnilex-key=us-nj-statutes--title-52--52:27F-11}
9. The Board of Public Utilities shall through the Division of Energy Planning and Conservation:
a. Be the central repository within the State Government for the collection of energy information;
b. Collect and analyze data relating to present and future demands and resources for all forms of energy;
c. Have authority to require all persons, firms, corporations or other entities engaged in the production, processing, distribution, transmission or storage of energy in any form or in the use of steam in quantities greater than 50,000 pounds per hour to submit reports setting forth such information as shall be required to carry out the provisions of this act;
d. Have authority to require any person to submit information necessary for determining the impact of any construction or development project on the energy and fuel resources of this State;
e. Charge other State Government departments and agencies involved in energy-related activities with specific information gathering goals and require that said goals be fulfilled;
f. Establish an energy information system which will provide all data necessary to insure a fair and equitable distribution of available energy, to permit a more efficient and effective use of available energy, and to provide the basis for long-term planning related to energy needs;
g. Design, implement, and enforce a program for the conservation of energy in commercial, industrial, and residential facilities, which program shall provide for the evaluation of energy systems as they relate to lighting, heating, refrigeration, air-conditioning, building design and operation, elective cogeneration and process steam production associated with cogeneration facilities, and appliance manufacturing and operation; and may include, but shall not be limited to, the requiring of an annual inspection and adjustment, if necessary, of oil-fired heating systems in residential, commercial and industrial buildings so as to bring such systems into conformity with efficiency standards therefor prescribed by law; the setting of lighting efficiency standards for public buildings; the establishment of mandatory thermostat settings and the use of seven-day, day-night thermostats in public buildings; the development of standards for efficient boiler operation; consider the establishment of cogeneration facilities to simultaneously produce electricity and steam to conserve fuel; and, the preparation of a plan to insure the phased retrofitting of existing gas furnaces with electric ignition systems and to require that new gas ranges and dryers be equipped with electric ignition systems, and new gas furnaces with electric ignition systems and automatic vent-dampers. The program for the conservation of energy in new home construction shall include a provision for down payment assistance to purchasers of new homes meeting the enhanced energy subcode requirements adopted pursuant to section 5 of P.L.1975, c.217 (C.52:27D-123). The down payment assistance portion of the program shall be designed in consultation with the Department of Community Affairs and the New Jersey Housing and Mortgage Finance Agency. The assistance shall be limited to those purchasers whose household income does not exceed 110 percent of county median income, as adjusted for household size. The total down payment to be made by the purchaser, including the amount of the down payment assistance, shall not exceed 20 percent of the purchase price of the new home. The down payment assistance shall not exceed the lesser of (1) the additional cost of construction required in order to make a building, which otherwise would conform to the edition of the International Energy Conservation Code in effect at the time of the offering of down payment assistance, also conform to the enhanced energy conservation construction requirements established by the Commissioner of Community Affairs pursuant to section 5 of P.L.1975, c.217 (C.52:27D-123) or (2) the additional down payment required in order to qualify the purchaser or purchasers for mortgage financing without the requirement of private mortgage insurance;
h. Conduct and supervise a State-wide program of education including the preparation and distribution of information relating to energy conservation;
i. Monitor prices charged for energy within the State, evaluate policies governing the establishment of rates and prices for energy, and make recommendations for necessary changes in such policies to other concerned Federal and State agencies, and to the Legislature;
j. Have authority to conduct and supervise research projects and programs for the purpose of increasing the efficiency of energy use, developing new sources of energy, evaluating energy conservation measures, and meeting other goals consistent with the intent of this act;
k. Have authority to distribute and expend funds made available for the purpose of research projects and programs;
l. Have authority to enter into interstate compacts in order to carry out energy research and planning with other states or the Federal Government where appropriate;
m. Have authority to apply for, accept, and expand grants-in-aid and assistance from private and public sources for energy programs; notwithstanding any other law to the contrary, the President of the Board of Public Utilities is designated as the State official to apply for, receive, and expend Federal and other funding made available to the State for the purposes of this act;
n. Require the annual submission of energy utilization reports and conservation plans by State Government departments and agencies, evaluate said plans and the progress of the departments and agencies in meeting these plans, and order changes in the plans or improvement in meeting the goals of the plans;
o. Carry out all duties given to the Board of Public Utilities under other sections of this act or any other acts;
p. Have authority to conduct hearings and investigations in order to carry out the purposes of this act and to issue subpoenas in furtherance of such power. Such power to conduct investigations shall include, but not be limited to, the authority to enter without delay and at reasonable times the premises of any energy industry in order to obtain or verify any information necessary for carrying out the purposes of this act;
q. Have authority to adopt, amend or repeal, pursuant to the "Administrative Procedure Act" (C.52:14B-1 et seq.) such rules and regulations necessary and proper to carry out the purposes of this act;
r. Administer such Federal energy regulations as are applicable to the states, including, but not limited to, the mandatory petroleum allocation regulations and State energy conservation plans;
s. Have authority to sue and be sued;
t. Have authority to acquire by purchase, grant, contract or eminent domain title to real property for the purpose of demonstrating facilities which improve the efficiency of energy use, conserve energy or generate energy in new and efficient ways;
u. Have authority to construct and operate, on an experimental or demonstration basis, facilities which improve the efficiency of energy use, conserve energy or generate power in new and efficient ways;
v. Have authority to contract with any other public agency or corporation incorporated under the laws of this or any other state for the performance of any function under this act;
w. Determine the effect of energy and fuel shortages upon consumers, and formulate proposals designed to encourage the lowest possible cost of energy and fuels consumed in the State consistent with the conservation and efficient use of energy;
x. Keep complete and accurate minutes of all hearings held before the Board of Public Utilities or any member of the Division of Energy Planning and Conservation pursuant to the provisions of this act. All such minutes shall be retained in a permanent record and shall be available for public inspection at all times during the office hours of the board; and
y. Provide consultation to an institution of higher education as pursuant to subsection b. of section 5 of P.L.1975, c.217 (C.52:27D-123), in order to assist the institution with the preparation of a report to the Department of Community Affairs on the projected cost of energy, to be used by that department when analyzing the cost and payback of energy conservation measures and requirements being considered for inclusion in the energy subcode of the State Uniform Construction Code.
##### **§ 52:27F-14** Energy Master Plan Committee {#sec-52-27f-14 omnilex-key=us-nj-statutes--title-52--52:27F-14}
a. There is established an Energy Master Plan Committee (hereinafter "Committee") which shall be composed of the heads of the following principal departments or their designees: Commerce, Energy and Economic Development; Community Affairs; Environmental Protection; Health; Human Services; Transportation; and Treasury. The Commissioner of Commerce, Energy and Economic Development or his designee shall be the chairperson of the committee. The committee shall be responsible for the preparation, adoption and revision of master plans regarding the production, distribution, and conservation of energy in this State.
b. The committee within one year of the effective date of this act shall prepare or cause to be prepared, and, after public hearings as hereinafter provided, adopt a master plan for a period of 10 years on the production, distribution, consumption and conservation of energy in this State. Such plan shall be revised and updated at least once every three years. The plan shall include long-term objectives but shall provide for the interim implementation of measures consistent with said objectives. The committee may from time to time and after public hearings amend the master plan. In preparing the master plan or any portion thereof or amendment thereto the department shall give due consideration to the energy needs and supplies in the several geographic areas of the State, and shall consult and cooperate with any federal or State agency having an interest in the production, distribution, consumption or conservation of energy.
c. Upon preparation of such master plan, and each revision thereof, the committee shall cause copies thereof to be printed, shall transmit sufficient copies thereof to the Governor and the Legislature, for the use of the members thereof, and shall advertise, in such newspapers as the commissioner determines appropriate to reach the greatest possible number of citizens of New Jersey, the existence and availability of such draft plan from the offices of the committee for the use of such citizens as may request same. In addition, the department shall:
(1) Fix dates for the commencement of a series of public hearings, at least one of which shall be held in each geographical area delineated in the master plan. Each such public hearing shall concern the overall content of the plan and those aspects thereof that have relevance to the specific geographical area in which each such public hearing is being held;
(2) At least 60 days prior to each public hearing held pursuant to this section, notify each energy industry and each State department, commission, authority, council, agency, or board charged with the regulation, supervision or control of any business, industry or utility engaged in the production, processing, distribution, transmission, or storage of energy in any form of the time and place for the hearing and shall publish such notice in a newspaper of general circulation in the region where the hearing is to be held, and in such newspapers of general circulation in the State as the commissioner determines appropriate to reach the greatest possible number of citizens of New Jersey.
d. Upon the completion of the requirements of subsection c. of this section, the committee shall consider the testimony presented at all such public hearings and adopt the energy master plan, together with any additions, deletions, or revisions it shall deem appropriate.
e. Upon the adoption of the energy master plan, and upon each revision thereof, the committee shall cause copies thereof to be printed and shall transmit sufficient copies thereof to the Governor and the Legislature, for the use of the members thereof, and to each State department, commission, authority, council, agency, or board charged with the regulation, supervision or control of any business, industry or utility engaged in the production, processing, distribution, transmission, or storage of energy in any form. In addition, the committee shall advertise in the manner provided in subsection c. of this section the existence and availability of the energy master plan from the offices of the committee for the use of such citizens of New Jersey as may request same; provided, however, that the committee may charge a fee for such copies of the energy master plan sufficient to cover the costs of printing and distributing same.
##### **§ 52:27F-15** Intervention in proceedings of state instrumentalities which regulate energy producers or distributors; notice; guidelines for energy master plan; siting of energy facilities; jurisdiction; fees {#sec-52-27f-15 omnilex-key=us-nj-statutes--title-52--52:27F-15}
a. The Division of Energy Planning and Conservation is empowered and directed to intervene in any proceedings before, and appeals from, any State department, division, commission, authority, council, agency or board (hereinafter referred to as "State instrumentalities" ) including the Board of Public Utilities charged with the regulation, supervision or control of any business, industry or utility engaged in the production, processing, distribution, transmission or storage of energy in any form, when, in the discretion of the commissioner, such intervention is necessary to insure the proper consideration by such State instrumentalities of the State energy master plan, or any part or aspect thereof, adopted by the department pursuant to section 12 of this act, or any rule or regulation promulgated by the department pursuant to the provisions of this act. To facilitate the intervention provisions of this section, each such State instrumentality shall consider the department a party of interest in any proceedings before such instrumentality with respect to energy and shall give the same notice to the department as is given to every other party of interest in such proceedings of any meeting, public hearing or other proceeding of such instrumentality in implementing its regulatory, supervisory or control powers, responsibilities and duties with respect to such businesses, industries or utilities.
b. It being the intention of the Legislature that the actions, decisions, determinations and rulings of the State Government with respect to energy shall to the maximum extent practicable and feasible conform with the energy master plan adopted by the department pursuant to section 12 of this act, the department shall prepare, periodically revise and distribute to each State instrumentality charged with the regulation, supervision or control of any business, industry or utility engaged in the production, processing, distribution, transmission or storage of energy in any form, such guidelines as the department determines to be relevant to assist each such instrumentality in conforming with said energy master plan in implementing its regulatory, supervisory or control powers, responsibilities and duties with respect to such businesses, industries or utilities.
c. With respect to the siting of any energy facility in any part of New Jersey, the department shall, the provisions of any law to the contrary notwithstanding, have jurisdiction coextensive with that of any other State instrumentality, and to that end, no State instrumentality with the power to grant or deny any permit for the construction or location of any energy facility shall exercise its powers without referring to the Division of Energy Planning and Conservation, for its review and comments, a copy of such application and all papers, documents and materials appurtenant thereto filed by the applicant with such State instrumentality. Prior to making a final decision with respect to any such application, the State instrumentality with power of approval over such application shall solicit the views of the department thereupon. Such views shall be communicated to the State instrumentality with the power of approval over such application in the form of a report describing the findings of the department with respect to such application. Such report shall be prepared by the Director of the Division of Energy Planning and Conservation and shall be signed by said director and by the commissioner. In the event that such report is not prepared and transmitted to the State instrumentality with power of approval over such application within 90 days after the department's receipt of such application, such State instrumentality shall act upon such application pursuant to the law providing its power of approval thereof. In the event that the views of the department, as contained in its report, with respect to any such application differ from the views of the State instrumentality with the power of approval over such application, there shall be established an Energy Facility Review Board which shall consist of the Director of the Division of Energy Planning and Conservation, the director or chief executive officer of the State instrumentality with the power of approval over such application, and a designee of the Governor. The decision of the Energy Facility Review Board created with respect to a specific energy facility application shall be binding with respect to such facility and shall be implemented forthwith by the State instrumentality with the power of approval over such application.
In implementing its responsibilities pursuant to this subsection, the department shall have the power to adopt, by regulation, a fee schedule for reviewing applications for the construction or location of energy facilities; provided, however, that fees shall be charged to applicants for permits to construct or locate energy facilities only in those instances where the nature and extent of the proposed energy facility are such as to necessitate the employment of consultants or other expert personnel from without the department before the department can make its determination with respect to any such application, and that such fees shall in any event be the minimum amount necessary to permit the department to fulfill its responsibilities under this section.
The provisions of this section shall not be regarded as to be in derogation of any powers now existing and shall be regarded as supplemental and in addition to powers conferred by other laws, including municipal zoning authority.
##### **§ 52:27F-16** Emergency allocation plan in event of impending shortage of energy {#sec-52-27f-16 omnilex-key=us-nj-statutes--title-52--52:27F-16}
The commissioner shall prepare and adopt an emergency allocation plan specifying actions to be taken in the event of an impending serious shortage of energy which poses grave threats to the public health, safety, or welfare. The commissioner shall direct all State Government departments and agencies, including the Board of Public Utilities, to develop, subject to his approval, contingency plans for dealing with said emergencies.
##### **§ 52:27F-16.1** Legislative findings and declarations {#sec-52-27f-16.1 omnilex-key=us-nj-statutes--title-52--52:27F-16.1}
The Legislature finds and determines that the prospects of the occurrence of periodic energy emergencies due to the volatility and unpredictability of energy markets necessitates the systematic preparation for such emergencies; that the Department of Energy possesses the expertise and ability to plan for such emergencies; and that formulation of energy emergency preparedness plans will contribute to the security of the State of New Jersey in energy matters.
The Legislature, therefore, declares it to be in the best interest of the citizens of this State to require the Department of Energy to periodically review the situation with regard to the energy preparedness of the State and to prepare and submit a report thereon to the Governor and the Legislature.
##### **§ 52:27F-16.2** Energy emergency preparedness; report {#sec-52-27f-16.2 omnilex-key=us-nj-statutes--title-52--52:27F-16.2}
In order to evaluate the energy preparedness of the State, the commissioner shall, within 1 year of the effective date of this act and at least once every 3 years thereafter, prepare and submit to the Governor and the Legislature a comprehensive report on the status of the emergency allocation plan adopted pursuant to section 14 of P.L.1977, c. 146 (C. 52:27F-16). The report shall provide for:
a. A means to identify, monitor and evaluate situations and conditions which may give rise to a critical energy shortage, which shall include but not be limited to methods of evaluating supply and demand conditions which may trigger a critical energy shortage;
b. The evaluation of various emergency response measures, based on the relative technical and economic impact and effectiveness of each;
c. The evaluation of existing emergency response plans of other agencies and instrumentalities of the State government, including the Board of Public Utilities. The commissioner shall have the authority to require these plans to conform with the conclusions and recommendations of the report, and to require the development or modification of those plans or portions thereof which do not comply with the report;
d. A means for establishing a comprehensive energy information service to function during an energy emergency;
e. The development, in advance of and during an energy emergency, of a coordinated public and private sector plan to mitigate the effects of an energy emergency.
##### **§ 52:27F-16.3** Review and evaluation of state programs and policies; hearings {#sec-52-27f-16.3 omnilex-key=us-nj-statutes--title-52--52:27F-16.3}
In order to implement the responsibilities required by section 2 of this act, the commissioner shall:
a. Review and evaluate, every 3 years, existing State programs and policies concerning energy emergency preparedness; and
b. Hold public hearings, as the commissioner deems necessary, concerning energy supply shortages, energy emergency preparedness and related matters.
##### **§ 52:27F-17** State of energy emergency; proclamation by executive order of governor; powers of commissioner; review of order; termination {#sec-52-27f-17 omnilex-key=us-nj-statutes--title-52--52:27F-17}
a. Upon a finding by the commissioner that there exists or impends an energy supply shortage of a dimension which endangers the public health, safety, or welfare in all or any part of the State, the Governor is authorized to proclaim by executive order a state of energy emergency for a period of up to 6 months. The Governor may limit the applicability of any such state of emergency to specific kinds of energy forms or to specific areas of the State in which such a shortage exists or impends.
b. During the duration of a state of energy emergency the commissioner to the extent not in conflict with applicable Federal law or regulation but notwithstanding any State or local law or contractual agreement, shall be empowered to:
(1) Order any person to reduce by a specified amount the use of any energy form; to make use of an alternate energy form, where possible; or to cease the use of any energy form;
(2) Order any person engaged in the distribution of any energy form to reduce or increase by a specified amount or to cease the distribution of such energy form; to distribute a specified amount and type of energy form to certain users as specified by the commissioner; or to share supplies of any energy form with other distributors thereof;
(3) Establish priorities for the distribution of any energy form;
(4) Regulate and control the distribution and sale of any energy form by:
(a) Establishing such limitations, priorities, or rationing procedures as shall be necessary to insure a fair and equitable distribution of available supplies;
(b) Establishing minimum and maximum quantities to be sold to any purchaser;
(c) Fixing the days and hours of access to retail dealers;
(d) Compelling sales to members of the general public during times when a retail dealer is open for the sale of an energy form;
(e) Establishing methods for notifying the public by flags, symbols, or other appropriate means whether such retail dealers are open and selling the subject energy form;
(5) Direct the heads of those departments and agencies within State Government that were ordered to develop contingency plans pursuant to section 14 of this act to implement said plans;
(6) Adopt and promulgate such rules and regulations as are necessary and proper to carry out the purposes of this section.
c. During the existence of a state of energy emergency, the Governor may order the suspension of any laws, rules, regulations, or orders of any department or agency in State Government or within any political subdivision which deal with or affect energy and which impede his ability to alleviate or terminate a state of energy emergency.
d. Any aggrieved person, upon application to the commissioner shall be granted a review of whether the continuance of any order issued by the commissioner pursuant to this section is unreasonable in light of then prevailing conditions of emergency.
e. During a state of energy emergency the commissioner may require any other department or other agency within State Government to provide such information, assistance, resources, and personnel as shall be necessary to discharge his functions and responsibilities under this act, rules and regulations adopted hereunder, or applicable Federal law and regulations.
f. The powers granted to the Governor and the commissioner under this section shall be in addition to and not in limitation of any emergency powers now or hereafter vested in the Governor, the commissioner, or any other State Government department or agency pursuant to any other laws, including but not limited to any power vested in the Board of Public Utilities to require utility companies to allocate available supplies of energy; provided, however, that upon declaring a state of energy emergency, the Governor may supersede any other such emergency powers.
g. The state of energy emergency declared by the Governor pursuant to this section shall remain in effect until the Governor declares by a subsequent executive order that the state of energy emergency has terminated.
##### **§ 52:27F-18** Periodic reports by energy industries; rules and regulations; analysis by commissioner; report; disclosure of information; hearings {#sec-52-27f-18 omnilex-key=us-nj-statutes--title-52--52:27F-18}
a. The commissioner shall adopt rules and regulations requiring the periodic reporting by energy industries of energy information which shall include but not be limited to the following:
(1) Electrical generating capacity in the State; long-range plans for additions to said capacity; efficiency of electrical generation; price and cost factors in electrical generation; types and quantities of fuels used; projections of future demand, consumption of electricity by sectors; times, duration, and levels of peak demand;
(2) Petroleum refining capacity; amount and type of fuel produced; amount and type of fuel sold; interstate transfers of fuel; price and cost factors in refining, production, and sale; long-term plans for alterations or additions to refining capacity; location, amount, and type of fuel storage;
(3) Storage capacity for gases; amount and end uses of gases sold; price and cost factors in the sale and use of gases; and
(4) Such other information as the commissioner may determine necessary for carrying out the purposes of this act.
b. The commissioner shall at least annually publish a report analyzing all energy information collected.
c. The commissioner shall have the discretion to obtain energy information from an affiliate of any energy industry or from an association or organization of industries of which any such energy industry is a member. Whenever energy information supplied by an energy industry is so obtained by the commissioner, the energy industry to which such information pertains shall be promptly notified of the energy information so obtained and shall be given an opportunity to correct or amplify such information.
d. Trade secrets collected under this section shall be exempt from the requirements of P.L.1963, c. 73 (C. 47:1A-1 et seq.). The commissioner shall promulgate rules and regulations for the conduct of administrative hearings on the issue of whether certain energy information should not be disclosed to the public.
##### **§ 52:27F-20** Subpenas; power to issue; enforcement {#sec-52-27f-20 omnilex-key=us-nj-statutes--title-52--52:27F-20}
The commissioner may issue subpenas requiring the attendance and testimony of witnesses and the production of books, documents, papers, statistics, data, information, and records for the purpose of carrying out any of his responsibilities under this act. Whenever there arises a refusal to honor his subpena, the commissioner may petition a court of competent jurisdiction for an order requiring the attendance and testimony of a witness or the production of the requested books, documents, papers, statistics, data, information, and records. Any failure to obey such an order issued by a court shall be punished by the court as a contempt thereof.
##### **§ 52:27F-21** Violations; injunctions; penalties; compromise and settlement of claim for penalty {#sec-52-27f-21 omnilex-key=us-nj-statutes--title-52--52:27F-21}
a. Upon a violation of this act or of any rules, regulations, or orders promulgated hereunder, the commissioner, the county prosecutor of the county in which the violation occurs if he has the approval of the commissioner, or any aggrieved person shall be entitled to institute a civil action in a court of competent jurisdiction for injunctive relief to restrain such violation and for such other relief as the court shall deem proper. The court may proceed in a summary manner.
b. Except as otherwise specifically provided, any person who violates the provisions of this act or any rule, regulation or order adopted pursuant to this act shall be liable to a penalty of not more than $300.00 for the first offense and not more than $3,000.00 for the second or any subsequent offense, to be collected in a civil action by a summary proceeding under "the penalty enforcement law" (N.J.S. 2A:58-1 et seq.), or in any case before a court of competent jurisdiction wherein injunctive relief has been requested. The Superior Court shall also have jurisdiction to enforce "the penalty enforcement law." If the violation is of a continuing nature, each day during which it continues shall constitute an additional, separate and distinct offense.
c. The department may compromise and settle any claim for a penalty under this section in such amount in the discretion of the department as may appear appropriate and equitable under all of the circumstances.
##### **§ 52:27F-23** Unauthorized disclosure of confidential energy information {#sec-52-27f-23 omnilex-key=us-nj-statutes--title-52--52:27F-23}
Any officer or employee of the State who, having obtained by reason of his employment and for official use, any confidential energy information, publishes or communicates such information for reasons not authorized by this or any other act shall be fined not more than $2,000.00 or imprisoned not more than 2 years or both.
##### **§ 52:27F-24** Violations; penalties; suspension or revocation of license; collection of penalties {#sec-52-27f-24 omnilex-key=us-nj-statutes--title-52--52:27F-24}
a. Any person who violates any provision of section 15 (C. 52:27F-17) of this act, or any rule, regulation or order adopted pursuant thereto, shall be liable to a penalty of not more than $500.00 for the first offense and not more than $5,000.00 for the second or any subsequent offense.
b. In addition to any other penalties provided under this or any other act, the commissioner may recommend to the appropriate agency the suspension or revocation of the license of any retail dealer, gasoline jobber, wholesale dealer, distributor, or supplier of fuel, who has violated this act or any rules, regulations, or orders promulgated hereunder.
c. All penalties imposed pursuant to this section shall be collected in a civil action by a summary proceeding under the "penalty enforcement law" (N.J.S. 2A:58-1 et seq.). If the violation is of a continuing nature, each day during which it continues shall constitute an additional and separate offense. In addition to the jurisdiction conferred by N.J.S. 2A:58-2, the municipal court and the Superior Court shall have jurisdiction of proceedings initiated on or after June 20, 1979 for the enforcement of the penalties provided by this section.
d. The department may compromise and settle any claim for a penalty under this section in such amount in the discretion of the department as may appear appropriate and equitable under all of the circumstances.
##### **§ 52:27F-31** Severability {#sec-52-27f-31 omnilex-key=us-nj-statutes--title-52--52:27F-31}
If any section, part, phrase, or provision of this act or the application thereof to any person be adjudged invalid by any court of competent jurisdiction, such judgment shall be confined in its operation to the section, part, phrase, provision, or application directly involved in the controversy in which such judgment shall have been rendered and it shall not affect or impair the validity of the remainder of this act or the application thereof to other persons.
##### **§ 52:27F-32** Liberal construction of act {#sec-52-27f-32 omnilex-key=us-nj-statutes--title-52--52:27F-32}
The object and design of this act being the protection of the public health, safety and welfare by means of the coordination of State planning, regulation and authority in energy related matters, this act shall be liberally construed.
## **Chapter 27G**
##### **§ 52:27G-1** Legislative findings and declarations {#sec-52-27g-1 omnilex-key=us-nj-statutes--title-52--52:27G-1}
The Legislature hereby finds that in recognition of the different health and health related problems experienced by the various age groups in the general population, numerous health care facilities have been constructed and placed in operation to provide specialized health and health related services to particular such groups; that in providing such services to the elderly it is essential to recognize that while the members of this age group possess the same civil and human rights as members of every other age group, such rights may be far more difficult for certain of the elderly to secure since such persons may be afflicted with physical and mental infirmities, deprived of the comfort and counsel of family and friends, and forced to exist with minimum economic resources, all of which may preclude them from defending and acting in their own best interests; and, that to the degree that certain of the elderly may experience difficulty in securing their civil and human rights as patients, residents and clients of the health care facilities created to serve their specialized needs and problems, it is the obligation of the State to take appropriate action through the creation of an adequate legal framework by which those difficulties may be eliminated.
The Legislature, therefore, declares that it is the public policy of this State to secure for elderly patients, residents and clients of health care facilities serving their specialized needs and problems, the same civil and human rights guaranteed to all citizens; and that to this end there should be established as an agency of the State Government the Office of the Ombudsman for the Institutionalized Elderly, to receive, investigate and resolve complaints concerning certain health care facilities serving the elderly, and to initiate actions to secure, preserve and promote the health, safety and welfare, and the civil and human rights, of the elderly patients, residents and clients of such facilities.
##### **§ 52:27G-2** Definitions. {#sec-52-27g-2 omnilex-key=us-nj-statutes--title-52--52:27G-2}
2. As used in this act, unless the context clearly indicates otherwise:
a. "Abuse" means the willful infliction of physical pain, injury, or mental anguish; unreasonable confinement; or the willful deprivation of services which are necessary to maintain a person's physical and mental health. However, no person shall be deemed to be abused for the sole reason he is being furnished nonmedical remedial treatment by spiritual means through prayer alone, in accordance with a recognized religious method of healing, in lieu of medical treatment;
b. An "act" of any facility or government agency shall be deemed to include any failure or refusal to act by such facility or government agency;
c. "Administrator" means any person who is charged with the general administration or supervision of a facility, whether or not such person has an ownership interest in such facility, and whether or not such person's functions and duties are shared with one or more other persons;
d. "Caretaker" means a person employed by a facility to provide care or services to an elderly person, and includes, but is not limited to, the administrator of a facility;
e. "Exploitation" means the act or process of using a person or his resources for another person's profit or advantage without legal entitlement to do so;
f. "Facility" means any facility or institution, whether public or private, offering health or health related services for the institutionalized elderly, and which is subject to regulation, visitation, inspection, or supervision by any government agency. Facilities include, but are not limited to, nursing homes, skilled nursing homes, intermediate care facilities, extended care facilities, convalescent homes, rehabilitation centers, residential health care facilities, dementia care homes, special hospitals, veterans' hospitals, chronic disease hospitals, psychiatric hospitals, mental hospitals, developmental centers or facilities, continuing care retirement communities, including independent living sections thereof, day care facilities for the elderly and medical day care centers;
g. "Government agency" means any department, division, office, bureau, board, commission, authority, or any other agency or instrumentality created by the State or to which the State is a party, or by any county or municipality, which is responsible for the regulation, visitation, inspection, or supervision of facilities, or which provides services to patients, residents, or clients of facilities;
h. "Guardian" means any person with the legal right to manage the financial affairs and protect the rights of any patient, resident, or client of a facility, who has been declared an incapacitated person by a court of competent jurisdiction;
i. "Long-term care resident," "elderly" or "elderly person" means any person 60 years of age or older, who is a patient, resident, or client of any facility;
j. "Office" means the Office of the State Long-Term Care Ombudsman established herein;
k. "State Long-Term Care Ombudsman" means the administrator and chief executive officer of the Office of the State Long-Term Care Ombudsman;
l. "Patient, resident or client" means any elderly person who is receiving treatment or care in any facility in all its aspects, including, but not limited to, admission, retention, confinement, commitment, period of residence, transfer, discharge, and any instances directly related to such status.
##### **§ 52:27G-3** Office of the State Long-Term Care Ombudsman. {#sec-52-27g-3 omnilex-key=us-nj-statutes--title-52--52:27G-3}
3. There is established the State Long-Term Care Ombudsman. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the Office of the State Long-Term Care Ombudsman is hereby allocated to the Department of the Treasury, but, notwithstanding this allocation, the ombudsperson shall be independent of any supervision or control by the department or by any board or officer thereof.
As of the effective date of P.L.2017, c.131 the Office of the Ombudsman for the Institutionalized Elderly, or the ombudsman thereof, shall be named the Office of the State Long-Term Care Ombudsman or the ombudsman thereof. All references in any law, order, rule, regulation, contract, document, judicial, or administrative proceeding, or otherwise, to the Office of the Ombudsman for the Institutionalized Elderly, or the ombudsman thereof, shall mean the Office of the State Long-Term Care Ombudsman or the ombudsman thereof.
##### **§ 52:27G-4** Ombudsperson, qualifications, appointment. {#sec-52-27g-4 omnilex-key=us-nj-statutes--title-52--52:27G-4}
4. The administrator and chief executive officer of the office shall be the Ombudsperson for the Institutionalized Elderly, who shall be a person qualified by training and experience to perform the duties of the office. The Ombudsperson shall be appointed by the Governor and shall serve at the pleasure of the Governor.
##### **§ 52:27G-5** Duties and powers {#sec-52-27g-5 omnilex-key=us-nj-statutes--title-52--52:27G-5}
5. The ombudsman, as administrator and chief executive officer of the office, shall:
a. Administer and organize the work of the office and establish therein such administrative subdivisions as necessary, proper, and expedient. He or she may formulate and adopt rules and regulations and prescribe duties for the efficient conduct of the business, work, and general administration of the office. He or she may delegate to subordinate officers or employees in the office such power as may be desirable to be exercised under his or her supervision and control;
b. Appoint and remove such stenographic, clerical, and other secretarial assistants as may be required for the proper conduct of the office, subject to the provisions of Title 11 (Civil Service) of the Revised Statutes, and other applicable statutes, and within the limits of funds appropriated or otherwise made available therefor. In addition, and within such funding limits, the ombudsman may appoint, retain, or employ, without regard to the provisions of the said Title 11 (Civil Service), or any other statutes, such officers, investigators, experts, consultants, or other professionally qualified personnel on a contract basis or otherwise as necessary.
c. Appoint and employ, notwithstanding the provisions of P.L.1944, c.20 (C.52:17A-1 et seq.), a general counsel and such other attorneys or counsel as he or she may require, for the purpose, among other things, of providing legal advice on such matters as the ombudsman may from time to time require, of attending to and dealing with all litigation, controversies, and legal matters in which the office may be a party or in which its rights and interests may be involved, and of representing the office in all proceedings or actions of any kind which may be brought for or against it in any court of this State. With respect to all of the foregoing, such counsel and attorneys shall be independent of any supervision or control by the Attorney General or by the Department of Law and Public Safety, or by any division or officer thereof;
d. Have authority to adopt and promulgate pursuant to law such rules and regulations as necessary to carry out the purposes of this act;
e. Maintain suitable headquarters for the office and such other quarters as necessary to the proper functioning of the office;
f. Solicit and accept grants of funds from the federal government and from other public and any private sources for any of the purposes of this act; provided, however, that any such funds shall be expended only pursuant to an appropriation made by law;
g. Perform such other functions as may be prescribed in this act or by any other law; and
h. Establish, in consultation with the Department of Health, an annual long-term care training program in a manner to be determined by the ombudsman. At a minimum, the program shall address the following subjects: the rights of residents of long-term care facilities; fostering choice and independence among residents of long-term care facilities; identifying and reporting abuse, neglect, or exploitation of residents of long-term care facilities; long-term care facility ownership; updates on State and federal guidelines, laws, and regulations that pertain to long-term care facilities; and issues, trends, and policies that impact the rights of long-term care residents. The annual training program shall be completed by the ombudsman's investigative and advocacy staff, the ombudsman's volunteer advocates, and Department of Health long-term care facility surveyors, inspectors, and complaint investigators. Subject to the availability of staff and funding, the training program shall be offered to residents of long-term care facilities, those residents' family members, advocacy organizations, government agencies, and long-term care facility employees. To develop and implement the training program, the ombudsman may contract or consult with a non-profit organization that possesses expertise on the rights of residents in long-term care settings.
##### **§ 52:27G-5.1** Office of the State Long-Term Care Ombudsman; duties. {#sec-52-27g-5.1 omnilex-key=us-nj-statutes--title-52--52:27G-5.1}
26. The Office of the State Long-Term Care Ombudsman shall conform and implement procedures necessary to comply with the requirements of P.L.1991, c.201 (C.26:2H-53 et al.), and shall make a written statement of its obligations under that act available to the public.
##### **§ 52:27G-5.2** Annual report of facilities' payroll-based journal. {#sec-52-27g-5.2 omnilex-key=us-nj-statutes--title-52--52:27G-5.2}
1. a. Notwithstanding the provisions of any law, rule, or regulation to the contrary, veterans' facilities, as that term is defined in section 1 of P.L.1989, c.162 (C.38A:3-6.3), shall provide an annual report of such facilities' payroll-based journal. The Office of the State Long-Term Care Ombudsman shall establish and implement procedures for receiving, processing, and responding to such annual reports.
b. A veterans' facility shall make an annual report to the Ombudsman on or before the last day of the State fiscal year and such additional reports as the Ombudsman may from time to time request.
c. As used in this section, "payroll-based journal" means an auditable and accessible database of staffing records.
##### **§ 52:27G-6** Objective of the Office of the State Long-Term Care Ombudsman. {#sec-52-27g-6 omnilex-key=us-nj-statutes--title-52--52:27G-6}
6. The Office of the State Long-Term Care Ombudsman shall have as its basic objective that of promoting, advocating and insuring, as a whole and in particular cases, the adequacy of the care received, and the quality of life experienced, by elderly patients, residents and clients of facilities within this State. In determining what elements are essential to adequate care and quality of life, the ombudsman shall consider the unique medical, social and economic needs and problems of the elderly as patients, residents and clients of facilities and as citizens and community members.
##### **§ 52:27G-7** Procedures for receiving, responding to complaints. {#sec-52-27g-7 omnilex-key=us-nj-statutes--title-52--52:27G-7}
7. a. The office shall establish and implement procedures for eliciting, receiving, processing, responding to, and resolving complaints from patients, residents, or clients of facilities, the relatives or guardians of such persons, or from interested citizens, public officials, or government agencies having an interest in the matter. The office shall ensure that a system is in place to receive complaints 24 hours per day, seven days per week, whether or not live staff members are available to receive the complaint.
b. When the office receives a complaint or otherwise encounters a deficiency that pertains to a violation of a resident's rights or compliance with State or federal laws or regulations or rules administered by any government agency, it shall make referral thereof directly to the appropriate government agency for action pursuant to applicable federal law and regulations.
c. When the complaint received or the investigation conducted by the office discloses facts that it determines constitute a violation of a resident's rights or warrant the institution of civil proceedings by a government agency against any person or government agency, the matter shall be referred to the government agency with authority to institute such proceedings pursuant to applicable federal law and regulations.
d. When the complaint received or the investigation conducted by the office reveals information in relation to a violation of a resident's rights or the misconduct or breach of duty of any officer or employee of a facility or a government agency, it shall refer the matter to the appropriate authorities for such action as may be necessary pursuant to applicable federal law and regulations.
e. When the complaint received or the investigation conducted by the office discloses information or facts indicating the commission of criminal offenses or violations of standards of professional conduct, it shall refer the matter, as appropriate, to the Attorney General, county prosecutor, or any other law enforcement official that has jurisdiction to prosecute the crime, or to the professional licensing board concerned.
f. The government agency, prosecuting agency, or professional licensing board, as the case may be in this section, shall report to the office on its findings and actions with respect to all such referrals within 30 days after receipt thereof and every 30 days thereafter until final action on each such referral. The office shall monitor all such referrals and responses and maintain a record thereof. The office shall be authorized to make disclosure of such information as appropriate and as may be necessary to resolve the matter referred.
g. In the event that the complaint of a patient, resident, or client or class of patients, residents, or clients of a facility or facilities cannot be resolved satisfactorily through negotiation with the facility or the appropriate government agency or that an act, practice, policy, or procedure of a facility or government agency does or may adversely affect the health, safety, welfare, or civil or human rights of a patient, resident, or client or class of patients, residents, or clients of a facility or facilities the office may recommend to the appropriate authorities civil litigation on behalf of such patient, resident, or client or class of patients, residents, or clients as it deems appropriate. The office may institute actions for injunctive relief or civil damages.
##### **§ 52:27G-7.1** Report of suspected abuse. {#sec-52-27g-7.1 omnilex-key=us-nj-statutes--title-52--52:27G-7.1}
2. a. Any caretaker, social worker, physician, registered or licensed practical nurse, or other professional or staff member employed at a facility, and any representative of a managed care entity, who, as a result of information obtained in the course of that individual's employment, has reasonable cause to suspect or believe that an institutionalized elderly person is being or has been abused or exploited, shall report such information to the ombudsman or to the person designated by the ombudsman to receive such report. If an individual reporting suspected abuse or exploitation pursuant to this subsection has reasonable cause to suspect or believe that the institutionalized elderly person is or has been the victim of a crime, the individual shall additionally report such information to the local law enforcement agency and to the health administrator of the facility.
(1) If the events that cause the suspicion or belief result in serious bodily injury, the individual shall report the suspicion or belief immediately, but not later than two hours after forming the suspicion or belief.
(2) If the events that cause the suspicion or belief do not result in serious bodily injury, the individual shall report the suspicion or belief immediately, but not later than 24 hours after forming the suspicion or belief.
b. Such report shall contain the name and address of the elderly person, information regarding the nature of the suspected abuse or exploitation and any other information which might be helpful in an investigation of the case and the protection of such elderly person.
c. Any other person having reasonable cause to suspect or believe that an elderly person is being or has been abused or exploited may report such information to the local law enforcement agency and to the ombudsman or the person designated by the ombudsman to receive such report.
d. The name of any person who reports suspected abuse or exploitation pursuant to this act shall not be disclosed, unless the person who reported the abuse or exploitation specifically requests such disclosure or a judicial proceeding results from such report.
e. Any person who reports suspected abuse or exploitation pursuant to this act or who testifies in any administrative or judicial proceeding arising from such report or testimony shall have immunity from any civil or criminal liability on account of such report or testimony, unless such person has acted in bad faith or with malicious purpose.
f. Any person required to report suspected abuse or exploitation pursuant to this act who fails to make such report shall be fined not more than $500, and the facility employing the individual shall be fined not more than $2,500. Such penalty shall be collected and enforced by summary proceedings pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). Each violation of this act shall constitute a separate offense.
g. No provision of this act shall be deemed to require the disclosure of, or penalize the failure to disclose, any information which would be privileged pursuant to the provisions of sections 18 through 23 inclusive of P.L. 1960, c. 52 (C. 2A:84A-18 through 2A:84A-23).
h. When a person has been penalized under this section, a letter making note of the penalty shall immediately be sent by the court to the licensing authority or the professional board, if any, having jurisdiction over the person who has been penalized.
i. The office may bring suit in a court of competent jurisdiction to enforce any of the powers enumerated in this section.
##### **§ 52:27G-7.2** Investigation by ombudsman. {#sec-52-27g-7.2 omnilex-key=us-nj-statutes--title-52--52:27G-7.2}
3. a. Upon receiving a report that an elderly person may be or may have been abused or exploited, the ombudsman shall conduct a prompt and thorough investigation pursuant to section 8 of P.L.1977, c.239 (C.52:27G-8). Within 24 hours of receipt of the report, the ombudsman shall notify the Commissioner of Health and Senior Services, or the Commissioner of Human Services in the case of a facility regulated or operated by the Department of Human Services, and any other governmental agency which regulates or operates the facility that the report has been received.
b. The investigation shall include a visit with the elderly person and consultation with others who have knowledge of the particular case. When the investigation is completed, findings and recommended action shall be prepared in a written report and submitted to the Commissioner of Health and Senior Services or the Commissioner of Human Services, as appropriate, and any other governmental agency which regulates or operates the facility.
c. The person who reported the suspected abuse or exploitation shall be promptly notified that action is being taken.
d. If a determination is made that an elderly person may have been criminally abused or exploited, the ombudsman shall refer such findings, in writing, to the county prosecutor.
e. Notwithstanding the provisions of any other statute or regulation to the contrary, upon completion of an investigation, the ombudsman shall furnish a copy of the written report prepared pursuant to subsection b. of this section to the resident and shall send a copy by certified and regular mail to the legal guardian or other person named on the consent form pursuant to section 2 of P.L.2001, c.7 (C.52:27G-7.3), as applicable.
f. The ombudsman shall make all reasonable effort to obtain the name and address of the person named on the consent form, either from their own records or information or those of the facility.
g. The ombudsman shall have the discretion to withhold notification upon evidence that said person was a party to the abuse or exploitation of the elderly.
##### **§ 52:27G-7.3** Preparation, distribution of consent form for release of reports. {#sec-52-27g-7.3 omnilex-key=us-nj-statutes--title-52--52:27G-7.3}
2. The ombudsman shall prepare and distribute to each facility a written consent form which sets forth that in the event of an elderly abuse investigation, the patient, resident or client of the facility consents to the release of the investigative report to the legal guardian or other person named on the consent form. The ombudsman shall not be required to disclose the results of any investigation or furnish a copy of the written report prepared pursuant to subsection b. of section 3 of P.L.1983, c.43 (C.52:27G-7.2) to any person other than the resident, legal guardian or named person on the consent form.
This written consent form shall be given to every patient, resident or client upon admission to the facility.
##### **§ 52:27G-8** Investigations {#sec-52-27g-8 omnilex-key=us-nj-statutes--title-52--52:27G-8}
a. The office shall establish and implement procedures for conducting investigations.
b. Acting on complaint, the office may, notwithstanding any referral pursuant to section 7. b. of this act, investigate any act, practice, policy or procedure of any facility or government agency that does or may adversely affect the health, safety, welfare or civil or human rights of any patient, resident or client of a facility.
c. Acting on its own initiative, the office may investigate any act, practice, policy or procedure of any facility or government agency which it determines does or may adversely affect the health, safety, welfare or civil or human rights of any patient, resident or client in a facility.
d. In an investigation the office may:
(1) Make the necessary inquiries and obtain such information as it deems necessary;
(2) Hold private hearings or public hearings;
(3) Enter, without notice, and, after notifying the person in charge of its presence, inspect the premises of a facility or government agency and inspect there any books, files, medical records or other records that pertain to patients, residents or clients and are required by law to be maintained by the facility or government agency;
(4) Compel at a specific time and place, by subpena, the appearance and sworn testimony of any person who the office reasonably believes may be able to give information relating to a matter under investigation; or
(5) Compel any person to produce at a specific time and place, by subpena any documents, books, records, papers, objects, or other evidence which the office reasonably believes may relate to a matter under investigation.
e. The office need not investigate any complaint where it determines that:
(1) The complaint is trivial, frivolous, vexatious or not made in good faith;
(2) The complaint has been too long delayed to justify present investigation;
(3) The resources available, considering the established priorities, are insufficient for an adequate investigation; or
(4) The matter complained of is not within the investigatory authority of the office.
##### **§ 52:27G-8.1** Registry of reports {#sec-52-27g-8.1 omnilex-key=us-nj-statutes--title-52--52:27G-8.1}
The ombudsman shall maintain a central registry of all reports of suspected abuse or exploitation and all investigations, findings and recommended action. No information received and compiled in such registries shall be construed as a public record.
##### **§ 52:27G-9** Duties, recommendations and annual report of office {#sec-52-27g-9 omnilex-key=us-nj-statutes--title-52--52:27G-9}
The office shall acknowledge complaints, report its findings, make recommendations, gather and disseminate information and other material, and publicize its existence, all as herein provided:
a. If a complaint identifies the complainant, the office shall acknowledge the receipt of such complaint and advise the complainant of any action taken or opinions and recommendations made by it in connection with the matter complained of.
b. Following an investigation the office may report its opinions or recommendations to the party involved. The office may request the party affected by such opinions or recommendations to notify it within a specified time of any action taken by such party on its recommendations. The office, may make public the complaint, the act, practice, policy or procedure of a facility or government agency that does or may adversely affect the health, safety, welfare or civil or human rights of a patient, resident or client, its opinions or recommendations, the response of the facility or government agency to such opinions or recommendations or any further opinions or recommendations of the office.
c. The office may recommend to the relevant government agency changes in the rules and regulations adopted or proposed by such government agency, which do or may adversely affect the health, safety, welfare or civil or human rights of any patient, resident or client in a facility.
d. The office may propose regulations to and petition any government agency to adopt such regulations, or regulations similar in content, that affect the health, safety, welfare or civil or human rights of any patient, resident or client in a facility.
e. The office may recommend to the relevant government agency that a facility shall no longer be permitted to receive patients or residents or payments under the New Jersey Medical Assistance and Health Services Act, P.L.1968, c. 413 (C. 30:4D-1 et seq.).
f. The office may recommend to the relevant government agency that it initiate procedures for assessment of penalties, revocation, suspension, the placing on probationary or provisional license or denial of a license against a facility or a proposed facility as appropriate.
g. The office may publicize its existence, function and activities through public relations with government and private organizations and groups and the public at large in general and with patients, residents and clients in facilities in particular.
h. The office shall report to the Governor and the Legislature on or before September 30 of each year, which report shall summarize its activities for the preceding fiscal year, document the significant problems in the systems of care and services for the elderly, indicate and analyze the trends in such systems of care and services, and set forth any opinions or recommendations which will further the State's capacity in resolving complaints, encouraging quality care and ensuring the health, safety, welfare or civil and human rights of elderly patients, residents and clients of facilities, including suggestions or recommendations for legislative consideration and for changes in the policy or rules and regulations of government agencies. The annual report shall be available to the public.
##### **§ 52:27G-10** Volunteers and volunteer programs; councils or other forums for discussion on development and use of facilities {#sec-52-27g-10 omnilex-key=us-nj-statutes--title-52--52:27G-10}
a. The office shall promote community contact and involvement with patients, residents and clients of facilities through the use of volunteers and volunteer programs. The volunteers, as private citizens, may exercise, but need not be limited to, such functions as visitation, consultation, problem solving, eliciting complaints, and, generally serving as advocates on behalf of the institutionalized elderly.
The office shall develop and propose programs for use, training, and coordination of volunteers and may:
(1) Establish and conduct recruitment programs for volunteers;
(2) Establish and conduct training seminars, meetings and other programs for volunteers and supply personnel, written materials and such other reasonable assistance including publicizing their activities as may be deemed necessary;
(3) Elicit the support of, and cooperate with, appropriate private, nonprofit and voluntary agencies and community groups in the development and coordination of volunteer programs and activities;
(4) Establish a reporting system volunteers can use to document the major problems and concerns affecting the patients, residents or clients of facilities;
(5) Reimburse volunteers for some or all their actual expenses, including, but not limited to, telephone and mileage incurred in performance of their duties under this act;
(6) Encourage, cooperate with and assist the development and operation of referral services where current, valid and reliable information on facilities and alternatives to institutionalization can be secured by elderly persons in need of these services and the general public;
(7) Request the participation and advice of such government agencies and other entities or persons as the office may deem appropriate or necessary to the development of volunteer programs and the effective use of volunteers;
(8) Establish and conduct meetings and other programs for administrators, professional personnel, and other personnel employed by or in contract with the facilities.
b. The office may assist in the development and use, by patients, residents or clients of facilities, of councils and other forums which permit such patients, residents or clients to discuss and communicate, on a continuing basis, their views on the strengths and weaknesses of the operations of the facility and on the quality of care provided and quality of life fostered. Memberships on such councils shall be determined by the patients, residents or clients of the particular facility and may include, but shall not be limited to, such patients, residents or clients, interested relatives, friends or community persons. Assistance by the office may include, but shall not be limited to, conference with administrators, operators or managers of facilities on the purpose and function of such councils and, upon request, participation in the formation of a council which the office deems appropriate to the individual needs of the facility and its patients, residents or clients.
In implementing the provisions of this section the ombudsman shall coordinate the efforts of the office concerning volunteers and councils with all relevant government agencies, and with the administrators of such private facilities as he may deem appropriate, to insure coordination and avoid duplication of effort, so that the volunteer programs and councils developed and supported by the office may genuinely serve the interests of the institutionalized elderly without in any way disrupting the legitimate functioning of any facility in this State.
##### **§ 52:27G-11** Procedure for handling correspondence; written notice, information relative to rights, entitlements. {#sec-52-27g-11 omnilex-key=us-nj-statutes--title-52--52:27G-11}
11. a. Any correspondence or written communication from any patient, resident, or client of a facility to the office shall, if delivered to or received by the facility, be promptly forwarded, unopened, by the facility to the office. Any correspondence or written communication from the office to any patient, resident, or client of a facility shall, if delivered to or received by the facility, be promptly forwarded, unopened, by the facility to such patient, resident, or client.
b. The office shall prepare and distribute to each facility written notices, in English and Spanish, which set forth the address and telephone number of the office, a brief explanation of the function of the office, the procedure to follow in filing a complaint, and other pertinent information. The notice shall also indicate the option to call 9-1-1.
The administrator of each facility shall ensure that such written notice is given to every patient, resident, or client or the patient's, resident's, or client's guardian upon admission to the facility and to every person already in residence or the person's guardian. The administrator shall also post such written notice in a conspicuous, public place in the facility in the number and manner set forth in the guidelines adopted by the office.
c. The facility shall inform patients, residents, or clients, and their guardians, resident representatives, or families, of their rights and entitlements under State and federal laws and rules and regulations in a format and language that the recipient understands, by means of the distribution of educational materials as provided in subsection b. of this section.
d. The office shall facilitate the filing of complaints with the office concerning matters within the authority of the office. The measures taken in connection therewith shall include, but need not be limited to, maintenance of a toll-free telephone, either by the office or in conjunction with another appropriate State agency, at least during regular working hours of the office for the filing of complaints.
e. The administrator of each facility shall annually provide all caretakers, social workers, physicians, registered or licensed practical nurses, and other professionals and staff members employed at the facility with a notice explaining the requirements of section 2 of P.L.1983, c.43 (C.52:27G-7.1) concerning the reporting of suspected abuse or exploitation of an institutionalized elderly person, and require, as a condition of employment at the facility, that the employee acknowledge in writing receipt of the notice. The signed acknowledgement shall be retained in the employee's personnel file.
##### **§ 52:27G-12** Cooperation and assistance from government agencies {#sec-52-27g-12 omnilex-key=us-nj-statutes--title-52--52:27G-12}
The office may request from any government agency, and said agency is hereby authorized and directed to provide, such cooperation and assistance, services and data as will enable the office properly to perform or exercise any of its functions, duties and powers under the provisions of this act.
##### **§ 52:27G-13** Confidentiality of information; exceptions; violations; penalty; privileged communications {#sec-52-27g-13 omnilex-key=us-nj-statutes--title-52--52:27G-13}
a. The office shall maintain confidentiality with respect to all matters in relation to any complaint or investigation together with identities of the complainants, witnesses or patients, residents or clients involved, unless such persons authorize, in writing, the release of such information, except for such disclosures as may be necessary to enable the office to perform its duties and to support any opinions or recommendations that may result from a complaint or investigation. The investigatory files of the office, including all complaints and responses of the office to complaints, shall be maintained as confidential information. Release of pertinent records shall be at the discretion of the ombudsman. Nothing herein contained shall preclude the use by the office of material in its files, otherwise confidential, for the preparation and disclosure of statistical, case study and other pertinent data, provided that in any such use there shall be no disclosure of the identity or the means for discovering the identity of particular persons.
b. Any person conducting or participating in any examination of a complaint or an investigation who shall disclose to any person other than the office, or those authorized by the ombudsman to receive it, the name of any witness examined, or any information obtained or given upon such examination or investigation is a disorderly person.
c. Any statement or communication made by the office relevant to a complaint received by, proceedings before, or investigative activities of, the office, and any complaint or information made or provided in good faith by any person, shall be absolutely privileged and such privilege shall be a complete defense in any action which shall allege libel or slander.
d. The office shall not be required to testify in any court with respect to matters held to be confidential in this section except as the court may deem necessary to enforce the provisions of this act.
##### **§ 52:27G-14** No reprisals {#sec-52-27g-14 omnilex-key=us-nj-statutes--title-52--52:27G-14}
a. No discriminatory, disciplinary or retaliatory action shall be taken against any officer or employee of a facility or government agency by such facility or government agency or against any patient, resident, or client of a facility or guardian or family member thereof, or volunteer, for any communication by him with the office or for any information given or disclosed by him in good faith to aid the office in carrying out its duties and responsibilities. Any person who knowingly or willfully violates the provisions of this subsection by instituting discriminatory, disciplinary or retaliatory action against any officer or employee of a facility or government agency or against any patient, resident or client of a facility or guardian or family member thereof, or volunteer, for any communication by him with the office or for any information given or disclosed by him in good faith to aid the office in carrying out its duties and responsibilities is guilty of a crime of the fourth degree.
b. Any person who willfully hinders the lawful actions of the office or willfully refuses to comply with its lawful demands, including the demand of immediate entry into and inspection of a facility or government agency or the demand of immediate access to a patient, resident or client thereof, or who offers any compensation, gratuity, or promise thereof to the office in an effort to affect the outcome of any matter which is being investigated, or is likely to be investigated shall be subject to a penalty of not more than $5,000.00. Such penalty shall be collected and enforced by summary proceedings pursuant to "the penalty enforcement law" (N.J.S. 2A:58-1 et seq.) upon complaint of the office or any other person. Each violation of this act shall constitute a separate offense.
c. The office may bring suit in any court of competent jurisdiction to enforce any of the powers enumerated in this act.
d. When a person has been penalized under this section, a letter making note of the penalty shall immediately be sent by the court to the licensing authority or the professional board, if any, having jurisdiction over the person who has been penalized.
##### **§ 52:27G-15** Review of office by legislature {#sec-52-27g-15 omnilex-key=us-nj-statutes--title-52--52:27G-15}
The Legislature through the Senate and Assembly Standing Committees on Institutions, Health and Welfare, or such other committee or committees as may be designated from time to time by the President of the Senate and Speaker of the General Assembly, respectively shall review, on a continuous basis, the development, administration and operation of the office provided for in this act. To facilitate this review and oversight, the office shall submit to the committees the reports required by this act, and such other reports as shall be called for by the committees from time to time.
##### **§ 52:27G-16** Severability {#sec-52-27g-16 omnilex-key=us-nj-statutes--title-52--52:27G-16}
If any section, subsection, paragraph, sentence or other part of this act is adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder of this act, but shall be confined in its effect to the section, subsection, paragraph, sentence or other part of this act directly involved in the controversy in which said judgment shall have been rendered.
##### **§ 52:27G-20** Short title {#sec-52-27g-20 omnilex-key=us-nj-statutes--title-52--52:27G-20}
This act shall be known and may be cited as the "Public Guardian for Elderly Adults Act."
##### **§ 52:27G-21** Findings, declarations. {#sec-52-27g-21 omnilex-key=us-nj-statutes--title-52--52:27G-21}
2. The Legislature finds and declares that private guardianship for an elderly adult who is incapacitated may not be feasible where there are no willing and responsible family members or friends to serve as guardian, that P.L.1985, c.298 (C.52:27G-20 et seq.)establishes a public guardianship program for elderly adults for the purpose of furnishing guardianship services to elderly persons at reduced or no cost when appropriate, and that P.L.1985, c.298 intends to promote the general welfare by establishing a public guardianship system that permits elderly persons to determinatively participate as fully as possible in all decisions that affect them.
##### **§ 52:27G-22** Definitions {#sec-52-27g-22 omnilex-key=us-nj-statutes--title-52--52:27G-22}
As used in this act:
a. "Court" means the Superior Court.
b. "Elderly adult" means a person aged 60 years or older.
##### **§ 52:27G-23** Office of the Public Guardian for Elderly Adults. {#sec-52-27g-23 omnilex-key=us-nj-statutes--title-52--52:27G-23}
4. There is created in the Executive Branch of the State Government the Office of the Public Guardian for Elderly Adults. For the purpose of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the Office of the Public Guardian for Elderly Adults is allocated to the Department of Human Services, but notwithstanding this allocation, the office shall be independent of any supervision or control by the department or any board or officer thereof.
##### **§ 52:27G-24** Appointment of public guardian {#sec-52-27g-24 omnilex-key=us-nj-statutes--title-52--52:27G-24}
The administrator and chief executive officer of the office is the public guardian, who shall be a person qualified by training and experience to perform the duties of the office. The public guardian shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve at the pleasure of the Governor during the Governor's term of office and until the appointment and qualification of the public guardian's successor. The public guardian shall devote his entire time to the duties of the position and shall receive a salary as determined by law. Any vacancy occurring in the position of the public guardian shall be filled in the same manner as the original appointment; except that if the public guardian dies, resigns, becomes ineligible to serve for any reason, or is removed from office, the Governor shall appoint an acting public guardian, who shall serve until the appointment and qualification of the public guardian's successor, but in no event longer than six months from the occurrence of the vacancy, and who shall exercise during this period all the powers and duties of the public guardian pursuant to the provisions of this act.
##### **§ 52:27G-25** Public guardian as administrator and chief executive officer; powers and duties {#sec-52-27g-25 omnilex-key=us-nj-statutes--title-52--52:27G-25}
The public guardian, as administrator and chief executive officer:
a. Shall administer and organize the work of the office and establish therein any administrative divisions he may deem necessary, proper and expedient. The public guardian may delegate to subordinate officers or employees of the office any of his powers as he may deem desirable to be exercised under his supervision and control;
b. Shall adopt rules and regulations in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to effectuate the purposes of this act;
c. Shall appoint and remove stenographic, clerical and other secretarial assistants as may be required for the proper conduct of the office, subject to the provisions of Title 11A of the New Jersey Statutes, and other applicable statutes, and within the limits of funds appropriated or otherwise made available therefor. In addition, and within funding limits, the public guardian may appoint, retain or employ, without regard to the provisions of Title 11A of the New Jersey Statutes or any other statutes, any officers, financial managers, social workers or other professionally qualified personnel on a contract basis or otherwise as the public guardian deems necessary;
d. Shall maintain suitable headquarters for the office and other quarters as the public guardian may deem necessary to the proper functioning of the office;
e. May accept the services of volunteer workers or consultants at no compensation, at nominal or token compensation, or at full compensation, as appropriate, and reimburse them for their proper and necessary expenses;
f. Shall keep and maintain proper financial and statistical records concerning all cases in which the public guardian provides guardianship or conservatorship services, provided that the privacy and confidentiality of these records for each ward are preserved;
g. May serve as guardian and conservator or either of these, after appointment by a court pursuant to the provisions of Title 3B of the New Jersey Statutes, and with the same powers and duties of a private guardian or conservator, except as otherwise limited by law or court order;
h. May intervene in any guardianship or conservatorship proceeding involving a ward, by appropriate motion by the court, if the public guardian or the court deems the intervention to be justified because an appointed guardian or conservator is not fulfilling his duties, the estate is subject to disproportionate waste because of the costs of the guardianship or conservatorship, or the best interests of the ward require intervention;
i. Shall perform any other function which may be prescribed by this act or by any other law;
j. Shall appoint and employ, notwithstanding the provisions of P.L.1944, c.20 (C.52:17A-1 et seq.), a general counsel and such other attorneys or counsel as the public guardian may require, for the purpose, among other things, of providing legal advice on such matters as the public guardian may from time to time require, of attending to and dealing with all litigation, controversies, and legal matters in which the public guardian or any ward of the public guardian may be a party or in which these rights and interests may be involved, and of representing the public guardian and any ward in all proceedings or actions of any kind which may be brought for or against them in any court of this State. With respect to all of the foregoing, the counsel and attorneys shall be independent of any supervision or control by the Attorney General or by the Department of Law and Public Safety, or by any division or officer thereof.
##### **§ 52:27G-25.1** Office of the Public Guardian for Elderly Adults, duties {#sec-52-27g-25.1 omnilex-key=us-nj-statutes--title-52--52:27G-25.1}
27. The Office of the Public Guardian for Elderly Adults shall conform and implement procedures necessary to comply with the requirements of P.L.1991, c.201 (C.26:2H-53 et al.), and shall make a written statement of its obligations under that act available to the public.
##### **§ 52:27G-26** Eligibility for services; petition for appointment by person with responsibility for eligible elderly person; limitation of powers in order {#sec-52-27g-26 omnilex-key=us-nj-statutes--title-52--52:27G-26}
Any elderly person residing in the State who may be found by a court to require a guardian or conservator, pursuant to the provisions of Title 3B of the New Jersey Statutes, and who does not have a willing and responsible family member or friend to serve as guardian is eligible for the services of the public guardian. However, the public guardian shall not be appointed for the sole reason that the proposed ward relies upon treatment by spiritual means through prayer alone in lieu of medical treatment, in accordance with the ward's religious tenets and practices.
In addition to the classes of persons entitled pursuant to Title 3B of the New Jersey Statutes, a county welfare agency, the Ombudsman for the Institutionalized Elderly, or any other agency, public or private, having a responsibility towards the eligible elderly person, may petition the court to have the public guardian appointed as guardian or conservator for the eligible elderly person with the powers and duties ordinarily conferred by law on guardians and conservators or for certain limited purposes described in the petition. If the petition requests that only limited powers be granted, the court shall incorporate these limitations into its order of appointment to the extent it deems appropriate. The court shall ensure beyond a reasonable doubt that the petition is not the product of mistake, fraud, or duress. The filing of the petition will not be the basis for any inference concerning the competence of the petitioner or for any loss of civil rights or benefits.
##### **§ 52:27G-27** Administrative costs, commissions and fees of public guardian's services and costs of appointment procedure {#sec-52-27g-27 omnilex-key=us-nj-statutes--title-52--52:27G-27}
a. If the public guardian is appointed guardian or conservator for an eligible elderly person, the administrative costs, commissions and fees of the public guardian's services and the costs incurred in the appointment procedure shall be charged against the income or the estate of the person pursuant to the provisions of Title 3B of the New Jersey Statutes. The reasonable value of all the services rendered by the public guardian, including the costs incurred in the appointment procedure, less any amounts paid from the income of the person, shall be charged against the estate of the person in accordance with the provisions of section 6 of P.L.1989, c.248 (C.52:27G-27.1).
b. (Deleted by amendment, P.L.1989, c.248.)
##### **§ 52:27G-27.1** Lien on estate of elderly person for services of public guardian {#sec-52-27g-27.1 omnilex-key=us-nj-statutes--title-52--52:27G-27.1}
a. The reasonable value of the services rendered by the public guardian may in all cases be a lien on the estate of the elderly person on whose behalf the services have been rendered, pursuant to a court order appointing the public guardian. This lien shall be deemed a preferred claim against the estate of the elderly person and shall have a priority as a debt under subsection c. of N.J.S.3B:22-2.
The lien may be filed against the real or personal property, or an interest or estate in property, whether vested or contingent, of a third party.
b. In order to effectuate a lien, the public guardian shall file a notice with the clerk of the Superior Court in the county in which the elderly person resides, setting forth the services rendered and the reasonable value thereof. Upon the filing of the notice, the lien shall immediately attach to, and become binding upon all of the property, whether real or personal, of the estate against whom the lien is filed.
(1) If the clerk finds that the estate against whom a lien is filed pursuant to this act is possessed of any goods, rights, credits, chattels, monies or effects which are held by a person, firm or corporation for the present or future use of the estate, the clerk shall forward notice of the lien by registered or certified mail to that person, firm or corporation; and the lien shall be binding upon those goods, rights, credits, chattels, monies or effects. Upon receipt of notice of the lien, the person, firm or corporation shall be precluded from disposing of those goods, rights, credits, chattels, monies or effects until the lien is satisfied or until the public guardian consents to that disposition.
A person, firm or corporation who disposes of those goods, rights, credits, chattels, monies or effects after receipt of notice of the lien is liable to the public guardian for the value of the goods, rights, credits, chattels, monies or effects disposed of, or the amount of the lien, whichever is less.
(2) The clerk shall provide suitable books in which he shall enter a lien filed pursuant to this act and shall properly index the lien in the name of the estate against whom the lien has been filed. The public guardian shall not be required to pay filing or recording fees.
c. The public guardian may compromise, settle or waive, in whole or in part, a lien filed pursuant to this act. The public guardian may discharge the lien by filing a certificate or warrant with the clerk of the Superior Court in the county in which the elderly person resides, notifying the clerk of the public guardian's desire to discharge the lien.
##### **§ 52:27G-28** Consideration of ward's beliefs {#sec-52-27g-28 omnilex-key=us-nj-statutes--title-52--52:27G-28}
The public guardian shall consider the religious and ethical beliefs of the ward when making decisions on the ward's behalf. The public guardian shall consider nonmedical remedial treatment in accordance with a recognized method of healing when this choice would be consistent with the beliefs held by the ward while competent.
##### **§ 52:27G-29** Grants of authority {#sec-52-27g-29 omnilex-key=us-nj-statutes--title-52--52:27G-29}
a. If it is determined that the public guardian should be appointed for a proposed ward, the court shall enter an order that makes findings of fact on the basis of clear, unequivocal, and convincing evidence supporting each grant of authority to the public guardian and that:
(1) Establishes whether the public guardian has authority over the person, or the property, or both person and property, of the ward;
(2) Establishes whether, and to what extent, the authority over person or property or both is partial; and
(3) Sets the term of appointment.
b. No grant of authority to the public guardian will be more than the least restrictive alternative warranted under the facts, and the public guardian shall employ the form of assistance that least interferes with the capacity of a ward to act in his own behalf.
c. There will be no liability by physicians for failure to obtain consent from a ward or proposed ward of the public guardian in an emergency that threatens death or serious bodily harm.
##### **§ 52:27G-29.1** Maximum caseload {#sec-52-27g-29.1 omnilex-key=us-nj-statutes--title-52--52:27G-29.1}
The public guardian shall determine the maximum caseload that the office can maintain based on the amount of funds appropriated or otherwise made available to the office. When a maximum caseload is reached, the public guardian may decline appointment as guardian or conservator. The public guardian shall establish procedures for informing each of the assignment judges of the Superior Court when the office's maximum caseload has been reached, and when the office is able to accept additional cases.
##### **§ 52:27G-30** Discharge by court; petition {#sec-52-27g-30 omnilex-key=us-nj-statutes--title-52--52:27G-30}
The public guardian may be discharged by a court with respect to any of the authority granted over each ward upon petition of the elderly person, any interested person, or the public guardian, or upon the court's own motion, when it appears that the services of the public guardian are no longer necessary, despite the fact that the individual has not been, and may never be, restored to competency.
##### **§ 52:27G-31** Cost, fee waiver permitted {#sec-52-27g-31 omnilex-key=us-nj-statutes--title-52--52:27G-31}
In any proceeding for appointment of a public guardian, or in any proceeding involving the estate of an eligible elderly person for whom a public guardian has been appointed conservator or guardian, the court may waive any court costs or filing fees.
##### **§ 52:27G-32** Findings, declarations relative to elderly, incapacitated adults. {#sec-52-27g-32 omnilex-key=us-nj-statutes--title-52--52:27G-32}
1. The Legislature finds and declares that:
a. As the elderly and other incapacitated adult populations in the State continue to grow, the need for an increasing number of qualified individuals to be available to serve as court-appointed guardians for this population increases;
b. New Jersey has established the Office of the Public Guardian for Elderly Adults to perform guardian services for adults age 60 years or older who do not have family or friends willing or able to furnish guardian services. The registration of professional guardians, to be available when family, friends or the Office of the Public Guardian for Elderly Adults are unable to act, will enhance the quality of care given to vulnerable adults;
c. To the extent that many elderly and other incapacitated adults in the State do not have family or friends available to serve as guardians, it is prudent, after giving first consideration for guardianship of elderly adults to the Office of the Public Guardian for Elderly Adults, or when that office is not available, to develop other qualified individuals who can serve as professional guardians; and
d. The establishment of standards for professional guardians will help protect adults who are adjudicated mentally incapacitated and need guardianship services.
##### **§ 52:27G-33** Requirements for service as guardian. {#sec-52-27g-33 omnilex-key=us-nj-statutes--title-52--52:27G-33}
2. a. A person shall not serve as a professional guardian of five or more wards who are incapacitated adults unless that person has been granted letters of guardianship under N.J.S.3B:12-25 and is:
(1) a spouse, domestic partner as defined in section 3 of P.L.2003, c.246 (C.26:8A-3), heir or friend of the incapacitated adult;
(2) the public guardian appointed pursuant to section 5 of P.L.1985, c.298 (C.52:27G-24); or
(3) a registered professional guardian.
b. A person shall not serve as a registered professional guardian for any incapacitated adult who is a resident or confined to any facility or institution where the registered professional guardian is employed by, or has any duties or responsibilities in connection with, the facility or institution, with the exception of an employee who has duties and responsibilities at the facility or institution and is a relative of the ward.
c. Nothing herein shall affect the authority of the court to appoint a financial institution qualified pursuant to section 28 of P.L. 1948, c.67 (C.17:9A-28) as a fiduciary, or a person designated as a testamentary guardian.
d. A person may serve as a professional guardian of an incapacitated adult if that person has been registered by the Office of the Public Guardian for Elderly Adults as a professional guardian pursuant to this act. The Office of the Public Guardian for Elderly Adults shall not register a person as a professional guardian unless that person:
(1) is a full-time New Jersey resident or maintains an office in New Jersey;
(2) has, prior to the effective date of this act, had a minimum of five years of work experience as a court-appointed guardian of five or more persons not related to the guardian; or, on or after the effective date of this act, has received a bachelor's degree and has two years of work experience in the field of care management, case management or other relevant work experience involving the management and care of elderly adults;
(3) has supplied proof of current professional liability insurance coverage to the Office of the Public Guardian for Elderly Adults;
(4) has submitted a credit check to the Office of the Public Guardian for Elderly Adults from one national credit reporting agency, which has been issued within one month of the date of the application for registration as a professional guardian;
(5) has satisfied the criminal history record background, child abuse registry and domestic violence central registry check requirements of this act;
(6) is not subject to any outstanding warrants for arrest;
(7) has completed approved initial training and biennial continuing education courses, as provided for in section 5 of this act, relating to guardianship law, procedures and ethics; and
(8) is not otherwise ineligible as set forth in section 3 of this act.
e. Except for legal services authorized by a court, a person serving as a registered professional guardian: (1) shall only provide guardianship services to a ward and shall not bill the ward for other professional or licensed services while serving as guardian; and (2) shall not contract for professional or licensed services with a person, organization or agency with which the guardian has a vested interest.
##### **§ 52:27G-34** Ineligiblity for registration as professional guardian. {#sec-52-27g-34 omnilex-key=us-nj-statutes--title-52--52:27G-34}
3. a. In addition to the disqualification from registration as a professional guardian pursuant to section 6 of this act, a person is ineligible for registration as a professional guardian or, if registered, may have his registration suspended or revoked pursuant to section 12 of this act, if the person:
(1) is an attorney who has been disbarred or suspended from the practice of law;
(2) was engaged in a profession or occupation for which the person was licensed, certified or registered by a board or other authorized entity in the State and his license, certification or registration was suspended or revoked by the applicable board or other authorized entity of the profession or occupation;
(3) has a criminal conviction or has been found to be civilly liable for any matter involving moral turpitude, abuse, neglect, fraud, misappropriation, misrepresentation, theft or conversion;
(4) lacks financial responsibility to serve as a registered professional guardian, as determined by the Office of the Public Guardian for Elderly Adults;
(5) is found to have committed abuse, neglect or exploitation of another person;
(6) is the subject of any other disciplinary decision or civil adjudication that would prohibit the person by law from providing services to children or vulnerable adults;
(7) fails to fulfill the initial training or biennial continuing education courses pursuant to this act;
(8) misrepresents, conceals or falsifies information on the registered guardian application form or annual renewal form;
(9) is found to have committed any act which results in a substantial change in the registered guardian's qualifications to serve as a guardian;
(10) engages in conduct which demonstrates unfitness to work as a registered professional guardian, including, but not limited to, persistent or repeated violations of a court order or engaging in any impropriety involving dishonesty, fraud, deceit or misrepresentation;
(11) fails to cooperate during the course of an investigation by the Office of the Public Guardian for Elderly Adults or any law enforcement agency;
(12) repeatedly fails to accept pro bono cases when assigned by the court; or
(13) is the subject of a court order, finding of fact or conclusion of law that indicates:
(a) a finding that the professional guardian has violated the guardian's duties to an incapacitated person or his estate;
(b) a failure to comply with an order of the court;
(c) knowingly or negligently engaging in misconduct which: benefits the professional guardian or another; operates to deceive the court; causes serious or potentially serious injury to a party, the public or the legal system; or causes serious or potentially serious interference with a legal proceeding;
(d) endangering an incapacitated person;
(e) conduct outside the powers or role of a guardian;
(f) a repeated or significant failure to perform guardian responsibilities or a dereliction of fiduciary duties;
(g) a failure to file required reports and forms;
(h) having engaged in inappropriate billing or fee payment; or
(i) malfeasance, nonfeasance or misfeasance.
b. A registered professional guardian shall maintain records of all transactions and reports associated with an incapacitated adult in his care and shall be subject to audit or spot-check inspection at any reasonable time, at the discretion of the public guardian and his authorized agents, to enable the public guardian to verify satisfactory operational, fiscal and care management compliance by professional guardians.
##### **§ 52:27G-35** Existing agreements, void, exceptions. {#sec-52-27g-35 omnilex-key=us-nj-statutes--title-52--52:27G-35}
4. a. An inter vivos gift, contract, conveyance, disposition, transfer, trust, change in beneficiary designation, appointment, or re-titling of an account or property, or a testamentary instrument affecting an incapacitated adult's money or property in favor of a registered professional guardian or a family member or business associate of the registered professional guardian, made or executed, as appropriate, during the two-year period before the establishment of a guardianship in which the registered professional guardian is appointed as guardian shall be void, unless the court determines that:
(1) the registered professional guardian or a family member or business associate of the registered professional guardian who benefits from the inter vivos transaction or testamentary instrument described in this subsection is a spouse, domestic partner as defined in section 3 of P.L. 2003, c.246 (C.26:8A-3) or heir at law of the incapacitated adult; or
(2) the registered professional guardian has proved by a preponderance of the evidence that the inter vivos transaction or testamentary instrument described in this subsection:
(a) was not made or executed, as appropriate, when the incapacitated adult was under the disability that caused the incapacitated adult to be subsequently declared incapacitated;
(b) was authorized and not the result of undue influence, fraud, coercion, duress, deception or misrepresentation; and
(c) was reviewed by an independent attorney, who is not associated with the registered professional guardian or a family member or business associate of the registered professional guardian, donee, contracting party, transferee, beneficiary, title holder or devisee, and that:
(i) the independent attorney counseled the incapacitated adult about the nature and consequences of the intended inter vivos transaction or testamentary instrument described in this subsection; and
(ii) the independent attorney certified that the intended inter vivos transaction or testamentary instrument described in this subsection was not the result of undue influence, fraud, coercion, duress or misrepresentation.
The provisions of this subsection shall not be construed to affect any other right or remedy that may be available to the incapacitated adult or the estate of the incapacitated adult with respect to an inter vivos transaction or testamentary instrument described in this subsection that benefits a registered professional guardian or a family member or business associate of the registered professional guardian.
The provisions of this subsection shall not be construed to invalidate a subsequent transfer for value to a bona fide transferee from a registered professional guardian or a family member or business associate of the registered professional guardian.
b. A registered professional guardian, unless authorized by a court order after notice to all interested persons, shall not:
(1) loan an incapacitated adult's property or funds to himself or an affiliate;
(2) make, revoke or change an incapacitated adult's beneficiary designation to himself or an affiliate;
(3) purchase or participate in the purchase of property from an incapacitated adult's estate for the professional guardian's own or an affiliate's account or benefit;
(4) transfer an incapacitated adult's property or funds by inter vivos transaction to himself or an affiliate, or receive by operation of survivorship rights any of an incapacitated adult's property or funds for himself or an affiliate;
(5) engage in any transaction involving self-dealing or a conflict of interest concerning an incapacitated adult's property or funds; or (6) make any renovation to the ward's real property in an amount greater than $10,000, except that in extraordinary circumstances involving a catastrophic situation, the guardian may apply ex parte to the Superior Court for an order permitting the renovation.
##### **§ 52:27G-36** Application, annual registration fees. {#sec-52-27g-36 omnilex-key=us-nj-statutes--title-52--52:27G-36}
5. a. The Office of the Public Guardian for Elderly Adults shall charge each professional guardian an initial application fee and an annual registration fee. The initial application fee shall be in addition to the cost of a credit history report and child abuse registry and criminal history record background checks. Annual registration shall be made on forms furnished by the office and accompanied by the applicable fee, as established by the office. The initial application and annual registration fees shall not exceed $300. Such fees shall be retained by the office for the implementation of this act.
b. The Office of the Public Guardian for Elderly Adults shall approve a vendor to provide initial training and continuing education courses biennially in accordance with procedures to be established by the office. In order to administer this program efficiently, the office may limit the number of vendors providing this service.
##### **§ 52:27G-37** Criminal background checks for professional guardians. {#sec-52-27g-37 omnilex-key=us-nj-statutes--title-52--52:27G-37}
6. a. Upon receipt of an application for registration as a professional guardian, the Office of the Public Guardian for Elderly Adults is authorized to determine whether criminal history record information exists on file in the Federal Bureau of Investigation, Identification Division or in the State Bureau of Identification in the Division of State Police that would disqualify the person from being registered as a professional guardian.
The Office of the Public Guardian for Elderly Adults is authorized to access the child abuse registry in the Department of Children and Families and the domestic violence central registry in the Administrative Office of the Courts.
A person shall be disqualified from registration if the person's criminal history record background check reveals a record of conviction of any of the following crimes and offenses:
(1) In New Jersey, any crime or disorderly persons offense:
(a) involving danger to the person, meaning those crimes and disorderly persons offenses set forth in N.J.S.2C:11-1 et seq., N.J.S.2C:12-1 et seq., N.J.S.2C:13-1 et seq., N.J.S.2C:14-1 et seq. or N.J.S.2C:15-1 et seq.;
(b) against the family, children or incompetents, meaning those crimes and disorderly persons offenses set forth in N.J.S.2C:24-1 et seq.;
(c) involving theft as set forth in chapter 20 of Title 2C of the New Jersey Statutes, or fraud relating to any health care plan or program as set forth in section 15 of P.L.1989, c.300 (C.2C:21-4.1), sections 2 and 3 of P.L.1997, c.353 (C.2C:21-4.2 and 2C:21-4.3), P.L.1999, c.162 (C.2C:21-22.1) or section 17 of P.L.1968, c.413 (C.30:4D-17); or
(d) involving any controlled dangerous substance or controlled substance analog as set forth in chapter 35 of Title 2C of the New Jersey Statutes except paragraph (4) of subsection a. of N.J.S.2C:35-10.
(2) In any other state or jurisdiction, of conduct which, if committed in New Jersey, would constitute any of the crimes or disorderly persons offenses described in paragraph (1) of this subsection.
A person shall also be disqualified from registration if a check of the child abuse registry reveals that the person has a history of child abuse.
In a case in which a check of the domestic violence central registry reveals that the person has a history of domestic violence, the public guardian shall review the record with respect to the type and date of the criminal offense or the provisions and date of the final domestic violence restraining order and make a determination as to the suitability of the person to be a registered professional guardian.
b. Notwithstanding the provisions of subsection a. of this section to the contrary, no person shall be disqualified from registration on the basis of any conviction disclosed by a criminal history record background check performed pursuant to this act if the person has affirmatively demonstrated to the public guardian clear and convincing evidence of the applicant's rehabilitation. In determining whether a person has affirmatively demonstrated rehabilitation, the following factors shall be considered:
(1) the nature and responsibility of the position which the person would hold, has held or currently holds, as the case may be;
(2) the nature and seriousness of the offense;
(3) the circumstances under which the offense occurred;
(4) the date of the offense;
(5) the age of the person when the offense was committed;
(6) whether the offense was an isolated or repeated incident;
(7) any social conditions which may have contributed to the offense; and
(8) any evidence of rehabilitation, including good conduct in prison or in the community, counseling or psychiatric treatment received, acquisition of additional academic or vocational schooling, work history, or the recommendation of those who have had the person under their supervision.
c. If a person refuses to consent to, or cooperate in, the securing of a criminal history record background check, the public guardian shall not register that person as a professional guardian and shall notify the person of that denial.
##### **§ 52:27G-38** Information provided for background checks. {#sec-52-27g-38 omnilex-key=us-nj-statutes--title-52--52:27G-38}
7. a. A person who is required to undergo a criminal history record background, child abuse registry and domestic violence central registry check pursuant to section 6 of this act shall submit to the public guardian his name, address and fingerprints, in accordance with the applicable State and federal laws, rules and regulations. The Office of the Public Guardian is authorized to exchange fingerprint data with and receive criminal history record information from the Federal Bureau of Investigation and the Division of State Police for use in making the determinations required pursuant to this act.
b. Upon receipt of the criminal history record information for a person from the Federal Bureau of Investigation or the Division of State Police, the public guardian shall, within a reasonable time, notify the person in writing of his qualification or disqualification for registration under this act. If the person is disqualified, the conviction or convictions which constitute the basis for the disqualification shall be identified in the notice to the person.
c. Upon receipt of the information for a person from the child abuse registry in the Department of Children and Families or the domestic violence central registry in the Administrative Office of the Courts, the public guardian shall, within a reasonable time, notify the person in writing of his qualification or disqualification for registration under this act. If the person is disqualified, the incident or incidents which constitute the basis for the disqualification shall be identified in the notice to the person.
d. The person has a right to be heard by the Office of the Public Guardian for Elderly Adults, within 30 days from the date of the written notice of disqualification, on the accuracy of his criminal history record, child abuse registry or domestic violence central registry information or to establish his rehabilitation under subsection b. of section 6 of this act. Upon the issuance of a final decision by the public guardian, pursuant to this subsection, the Office of the Public Guardian for Elderly Adults shall notify the person as to whether he remains disqualified. A person disputing an adverse determination by the Office of the Public Guardian for Elderly Adults may file with the Office of Administrative Law for an administrative hearing.
##### **§ 52:27G-39** Applicant to assume cost of background checks. {#sec-52-27g-39 omnilex-key=us-nj-statutes--title-52--52:27G-39}
10. A person seeking registration as a professional guardian shall assume the cost of the criminal history record background and child abuse registry checks conducted pursuant to this act, in accordance with regulations as may be adopted by the public guardian.
##### **§ 52:27G-40** Statewide registry of registered professional guardians; information included. {#sec-52-27g-40 omnilex-key=us-nj-statutes--title-52--52:27G-40}
11. a. The Office of the Public Guardian for Elderly Adults shall maintain a Statewide registry of registered professional guardians and make all information in the registry available to the Administrative Director of the Courts for the use of the Superior Court, or to other interested parties upon request. The registry shall include the following information for each registered guardian:
(1) full name used within the past 10 years;
(2) date of birth;
(3) business address;
(4) business telephone number;
(5) educational background and professional experience, including work in any related field germane to furnishing of guardianship services; and
(6) the insurance company issuing the registered guardian's professional liability insurance coverage;
b. In addition to the information listed in subsection a. of this section, if known to the public guardian, the registry shall include the following information for each registered guardian:
(1) whether that person has ever been removed for cause or resigned as guardian in a specific case, the circumstances of the removal or resignation, and the case names, court locations and case numbers;
(2) any judgment entered against the person as a result of the performance of services as a guardian;
(3) any finding by a court that the person is accountable for malfeasance, nonfeasance or misfeasance;
(4) any finding by a court that the person has violated the guardian's duties to the incapacitated adult, his estate or his insurance policy; and
(5) any known pending or final licensing or disciplinary actions.
##### **§ 52:27G-41** Suspension, revocation of registration as professional guardian. {#sec-52-27g-41 omnilex-key=us-nj-statutes--title-52--52:27G-41}
12. The public guardian may suspend or revoke a person's registration as a professional guardian and remove the person from the Statewide registry established pursuant to section 11 of this act if: the public guardian has reasonable cause to suspect the trustworthiness or capability of that person to perform the duties of a professional guardian; or the person is no longer in compliance with the requirements of section 2 of this act or becomes ineligible for registration as a professional guardian as provided for in subsection a. of section 3 of this act. Notice of the suspension or revocation of the registration and removal from the registry shall be sent, within 30 days,to the Administrative Office of the Courts and the known local Surrogates on behalf of the Superior Court, Chancery Division, Probate Part having jurisdiction over the professional guardian's wards.
##### **§ 52:27G-42** Registered Professional Guardian Fund. {#sec-52-27g-42 omnilex-key=us-nj-statutes--title-52--52:27G-42}
15. a. There is established in the Department of Human Services a special non-lapsing fund to be known as the Registered Professional Guardian Fund, which shall be a dedicated fund to serve as a depository for monies collected from the estate of an incapacitated adult pursuant to this section. The fund shall be administered by the Office of the Public Guardian for Elderly Adults, and all interest on monies in the fund shall be credited to the fund. The monies in the fund shall be made available to the Office of the Public Guardian for Elderly Adults to be used exclusively for the implementation of this act.
b. Sixty days after receiving plenary letters of guardianship or letters of guardianship of property, a guardian appointed by the Superior Court of New Jersey, with the exception of the appointment of the public guardian pursuant to P.L.1985, c.298 (C.52:27G-20 et seq.), a guardian for a veteran pursuant to N.J.S.3B:13-1 et seq. and guardianship services provided by the Bureau of Guardianship Services in the Division of Developmental Disabilities in the Department of Human Services pursuant to P.L.1965, c.59 (C.30:4-165.1 et seq.), shall pay out of the estate of the incapacitated adult a fee of $150 to the Office of the Public Guardian for Elderly Adults for deposit into the fund, except that no such charge shall be made to an incapacitated adult's estate for an incapacitated adult whose income is less than 150% of the federal poverty level and whose assets are less than $50,000.
c. If the guardian seeks an exemption from the fee based on the ward's income or assets, as set forth in subsection b. of this section, the guardian shall make an application to the Office of the Public Guardian for Elderly Adults on forms adopted by that office.
d. If a guardian who is obligated to pay an assessment imposed pursuant to subsection b. of this section fails to pay the assessment, upon application by the Office of the Public Guardian for Elderly Adults, the court shall afford the guardian notice and an opportunity to be heard on the issue of default. Failure to make the assessed payment when due shall be considered a default. The standard of proof shall be by a preponderance of the evidence, and the burden of establishing good cause for a default shall be on the guardian who has defaulted. If the court finds that the guardian has defaulted without good cause, the court may:
(1) compel the guardian of the estate to account and ascertain the financial condition of the incapacitated adult's estate;
(2) remove the guardian;
(3) enter judgment against the guardian of the estate for the amount of the assessment; or
(4) take such other action as may be permitted by law.
##### **§ 52:27G-43** Rules, regulations, Rules of Court. {#sec-52-27g-43 omnilex-key=us-nj-statutes--title-52--52:27G-43}
16. a. The Commissioner of Human Services, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), may adopt rules and regulations necessary for the implementation of this act.
b. The Supreme Court may adopt Rules of Court for the implementation of this act.
## **Chapter 27H**
##### **§ 52:27H-1** Short title {#sec-52-27h-1 omnilex-key=us-nj-statutes--title-52--52:27H-1}
This act shall be known and may be cited as the "Department of Commerce and Economic Development Act" .
##### **§ 52:27H-2** Findings, determinations; declarations {#sec-52-27h-2 omnilex-key=us-nj-statutes--title-52--52:27H-2}
The Legislature finds and determines that the well-being of the people of New Jersey, and of their institutions, including government, is directly related to the well-being of New Jersey's business and industrial enterprises, including the housing industry and small business enterprises, which provide the economic base of employment and taxes upon which all other institutions of society depend.
The Legislature further finds and determines that a secure, stable and adequate supply of energy at reasonable prices is vital to the State's economy and for the promotion of economic opportunity in the State, as well as for ensuring the public health, safety and welfare. The Legislature further finds that reducing energy costs is essential to reducing the costs of doing business in this State, which in turn will promote and maximize economic growth, speed business development, promote employment and ensure general prosperity in the State.
The Legislature further finds and determines that the principal methods for achieving the goals of this act include: the widespread use of alternative energy sources, including electric cogeneration of energy, with independent power producers selling excess power to utilities; the fullest possible cost-effective implementation of energy conservation programs; and the introduction of market-based pricing principles and competition in the setting of rates for electricity, natural gas and other energy forms.
The Legislature further finds that the original mission of a separate Department of Energy--to address and solve the problems caused by threatened catastrophic loss of near-and-long-term energy sources--no longer justifies retaining a separate Department of Energy as a principal department within the Executive Branch. The Legislature further finds that it is in the best interests of the citizens of this State that a single principal department within the Executive Branch of this State coordinate the promotion of the State's economy and serve as a focus for business and industrial concerns, promote the availability of energy at reasonable prices to all consumers and integrate the State's economic, business and energy policies and programs to retain and to enhance this State's economic health and to ensure that the State's economy remains competitive. The Legislature further finds and determines that an important method to achieve these goals is to promote and assist the development and utilization of cogeneration of energy and programs of energy conservation.
The Legislature further finds and determines that New Jersey's economy has deteriorated in recent years from its one-time position of national prominence and leadership in many fields of business and industry, a trend particularly evident in the almost continuous decline of manufacturing employment over a span of a decade or more, a fact which has had significant and deleterious effects upon the economy of the State, impacting adversely upon a broad cross-section of New Jersey's citizenry.
The Legislature further finds and determines that the variety and magnitude of New Jersey's economic development programs have now reached a level that warrants their consolidation into a separate cabinet-level administrative department devoted exclusively to monitoring the interests and concerns of business and industry, maintaining continuous liaison with the business community and its leadership for the purpose of assisting in the formulation and direction of economic policy so as to provide business and industry the optimum climate within which enterprises may grow and prosper to the benefit of society as a whole. The Legislature also finds that the variety and complexity of programs which serve to protect the occupational health and safety of workers at the work place, to provide skill development and training programs, to provide employability development and employment placement programs, to administer the programs designed to protect the income security of our workers, to assist in the development and preservation of sound labor management relations and to maintain continuing liaison with organized labor and its leadership for the purpose of assisting in the formulation and direction of policy so as to provide the optimum climate within which organized labor can serve the needs of New Jersey's working men and women, warrants a cabinet level department devoted exclusively to this purpose which shall be known as the Department of Labor.
The Legislature, therefore, declares it to be in the best interest of the citizens of this State to establish a principal department within the Executive Branch to serve as a focus for business and industrial problems and concerns; as a center for gathering and disseminating appropriate data and information of significance to the business community; to continually analyze such data and to help formulate economic policies of the State on the basis thereof; to serve as a major focal point for economic development activities in cooperation with other entities, public and private, active in this field; to serve as a voice for and advocate of the interests of the business sector, not only within the highest councils of the Executive Branch but also before the Legislature and the general public; to assist in translating input it receives into programs and policies of the State itself to the end that New Jersey citizens shall enjoy optimum economic security and the highest possible standard of living; to assist in coordinating authority, regulation and planning by the State in matters related to the economy.
##### **§ 52:27H-3** Definitions {#sec-52-27h-3 omnilex-key=us-nj-statutes--title-52--52:27H-3}
As used in this act:
a. "Commissioner" means the Commissioner of the Department of Commerce, Energy and Economic Development.
b. "Department" means the Department of Commerce, Energy and Economic Development established by this act.
##### **§ 52:27H-4** Department of Commerce, Energy and Economic Development {#sec-52-27h-4 omnilex-key=us-nj-statutes--title-52--52:27H-4}
There is established in the Executive Branch of the State Government a principal department which shall be known as the Department of Commerce, Energy and Economic Development.
##### **§ 52:27H-5** Commissioner {#sec-52-27h-5 omnilex-key=us-nj-statutes--title-52--52:27H-5}
The administrator and chief executive officer of the department shall be a commissioner, who shall be known as the Commissioner of Commerce, Energy and Economic Development, and who shall be a person qualified by training and experience to perform the duties of his office. The commissioner shall be appointed by the Governor, with the advice and consent of the Senate, and shall serve at the pleasure of the Governor during the Governor's term of office and until the appointment and qualification of the commissioner's successor. He shall devote his entire time to the duties of the office and shall receive such salary as shall be provided by law. Any vacancy occurring in the office of the commissioner shall be filled in the same manner as the original appointment.
##### **§ 52:27H-6** Duties and powers {#sec-52-27h-6 omnilex-key=us-nj-statutes--title-52--52:27H-6}
The commissioner shall:
a. Administer the work of the department;
b. Appoint and remove officers and other personnel employed within the department, subject to the provisions of Title 11 of the Revised Statutes, and other applicable statutes, except as herein otherwise specifically provided;
c. Have authority to organize and maintain an administrative division and to assign to employment therein such secretarial, clerical and other assistants in the department as his office and the internal operations of the department may require in accordance with Title 11 of the Revised Statutes;
d. Perform, exercise and discharge the functions, powers and duties of the department through such divisions as may be established by this act or otherwise by law;
e. Organize the work of the department in such divisions, not inconsistent with the provisions of this act, and in such bureaus and other organizational units as he may determine to be necessary for efficient and effective operation;
f. Adopt, issue and promulgate, in the name of the department, pursuant to the "Administrative Procedure Act," P.L.1968, c. 410 (C. 52:14B-1 et seq.), such rules and regulations as may be authorized by law;
g. Formulate and adopt rules and regulations for the efficient conduct of the work and general administration of the department, its officers and employees;
h. Institute or cause to be instituted such legal proceedings or processes as may be necessary to properly enforce and give effect to any of his powers or duties;
i. Make an annual report to the Governor and to the Legislature of the department's operations, and render such other reports as the Governor shall from time to time request or as may be required by law;
j. Coordinate the activities of the department, and the several divisions and other agencies therein, in a manner designed to eliminate overlapping and duplicative functions;
k. Integrate within the department, so far as practicable, all staff services of the department and of the several divisions and other agencies therein;
l . Have access to all relevant files and records of other State agencies and require any officer or employee therein to provide such information as he may deem necessary in the performance of the functions of the department;
m. Maintain suitable headquarters for the department and such other quarters as he shall deem necessary to the proper functioning of the department; and
n. Perform such other functions as may be prescribed in this act or by any other law.
##### **§ 52:27H-6.1** Functions, powers, duties continued and transferred {#sec-52-27h-6.1 omnilex-key=us-nj-statutes--title-52--52:27H-6.1}
All of the functions, powers and duties heretofore exercised by the Department of Energy and the commissioner thereof pursuant to P.L.1980, c. 68; P.L.1981, c. 302 (C. 26:2D-37 et seq.); section 15 of P.L.1971, c. 198 (C. 40A:11-15) as amended by P.L.1981, c. 551; P.L.1983, c. 115 (C. 48:7-16 et seq.); P.L.1983, c. 559 (C. 52:27F-16.1 et seq.); and N.J.S. 18A:18A-42 and N.J.S. 18A:18A-5 as amended by P.L.1984, c. 49 are transferred to and vested in the Department of Commerce, Energy and Economic Development and the commissioner thereof.
##### **§ 52:27H-7** Deputy commissioner; appointment; powers, functions and duties; qualifications {#sec-52-27h-7 omnilex-key=us-nj-statutes--title-52--52:27H-7}
The commissioner shall appoint a deputy commissioner, who shall be designated to perform all of the powers, functions and duties of the commissioner during the absence or disability of the commissioner, and who shall perform such other duties as are assigned by the commissioner. Such appointment shall be subject to the approval of the Governor and shall be filed with the Secretary of State. The deputy commissioner shall be a person qualified by training and experience to perform the duties of the office.
##### **§ 52:27H-8** Responsibility for support and development of business and industry, and research, statistics and business information service {#sec-52-27h-8 omnilex-key=us-nj-statutes--title-52--52:27H-8}
The department and the commissioner, through the councils, divisions, offices and bureaus shall be responsible for the activities of the State Government in the support and development of business and industry through aid, promotion and advertising of resort facilities, convention bureaus, domestic and foreign commerce and business and industrial growth and related programs. It shall also be responsible for research and statistics in the fields of commerce and industry and maintenance of a business information service.
##### **§ 52:27H-9** Economic development council; transfer to department; members; continuance in office; duties; advisory committees {#sec-52-27h-9 omnilex-key=us-nj-statutes--title-52--52:27H-9}
The Economic Development Council created by P.L.1965, c. 21 (C. 13:1B-15.75 et seq.), shall be transferred to the department. The chairperson and other members of the Economic Development Council in office on the effective date of this act shall continue in office respectively as members of the council for the duration of the terms for which they were appointed. The council shall provide advice to the commissioner and assist the commissioner in the recommendation of comprehensive policies for the implementation of the functions, powers and duties assigned to the department for the promotion of a healthy business and industrial climate in New Jersey. The council shall consult with and advise the commissioner with respect to the work of the department, hold hearings with respect thereto and report to the commissioner annually, and at such other times as it deems to be in the public interest, with respect to its findings, conclusions and recommendations. The council may, in its discretion, create advisory committees.
##### **§ 52:27H-10** Division of economic development in department of labor and industry; abolishment; transfer of employees to division of economic development in department {#sec-52-27h-10 omnilex-key=us-nj-statutes--title-52--52:27H-10}
The Division of Economic Development in the Department of Labor and Industry established pursuant to P.L.1965, c. 21 (C. 13:1B-15.75 et seq.) is abolished and the employees of this division as it was originally constituted are transferred, pursuant to the "State Agency Transfer Act" , P.L.1971, c. 375 (C. 52:14D-1 et seq.) to the new Division of Economic Development in the Department of Commerce and Economic Development established pursuant to this act.
##### **§ 52:27H-12** New Jersey economic development authority in department of labor and industry with its functions, powers and duties to department {#sec-52-27h-12 omnilex-key=us-nj-statutes--title-52--52:27H-12}
The New Jersey Economic Development Authority in the Department of Labor and Industry, established pursuant to P.L.1974, c. 80 (C. 34:1B-1 et seq.), together with all its functions, powers, and duties, is continued and transferred to the Department of Commerce and Economic Development. This shall not affect the terms of office of the present members of the authority.
##### **§ 52:27H-13** South Jersey Port Corporation; continuance and transfer from department of labor and industry to department {#sec-52-27h-13 omnilex-key=us-nj-statutes--title-52--52:27H-13}
The South Jersey Port Corporation in the Department of Labor and Industry, established pursuant to P.L.1968, c. 60 (C. 12:11A-1 et seq.), together with all its functions, powers and duties, is continued and transferred to the Department of Commerce and Economic Development. This shall not affect the terms of office of the present members of the corporation. The members of the corporation shall continue to be appointed as provided by existing law.
##### **§ 52:27H-14** New Jersey motion picture and television development commission in department of labor and industry; continuance and transfer to department {#sec-52-27h-14 omnilex-key=us-nj-statutes--title-52--52:27H-14}
The New Jersey Motion Picture and Television Development Commission in the Department of Labor and Industry, established pursuant to P.L.1977, c. 44 (C. 34:1B-22 et seq.), together with all its powers, functions and duties, is continued and transferred to the Department of Commerce and Economic Development. This act shall not affect the terms of office of the present members of the commission. The members of the commission shall continue to be appointed as provided by existing law, except that the Commissioner of Commerce and Economic Development shall also serve as an ex officio member of the commission.
##### **§ 52:27H-15** Division of travel and tourism in department of labor and industry; continuance and transfer to department {#sec-52-27h-15 omnilex-key=us-nj-statutes--title-52--52:27H-15}
The Division of Travel and Tourism in the Department of Labor and Industry, established pursuant to P.L.1977, c. 225 (C. 34:1A-45 et seq.), together with all its powers, functions and duties, is continued and transferred to the Department of Commerce and Economic Development. This act shall not affect the terms of office of the present members of the Tourism Advisory Council in the Division of Travel and Tourism and the members of the commission shall continue to be appointed as provided by existing law.
##### **§ 52:27H-16** Office for promoting technical innovation in department of labor and industry; continuance and transfer to department {#sec-52-27h-16 omnilex-key=us-nj-statutes--title-52--52:27H-16}
The Office for Promoting Technical Innovation in the Department of Labor and Industry, established pursuant to P.L.1977, c. 429 (C. 34:1A-64 et seq.), together with all its powers, functions and duties, is continued and transferred to the Department of Commerce and Economic Development. This act shall not affect the terms of office of the present members of the Technical Advisory Board in the Office for Promoting Technical Innovation and the members of the board shall continue to be appointed as provided by existing law.
##### **§ 52:27H-17** Establishment of office of economic research, division of economic development and division of international trade {#sec-52-27h-17 omnilex-key=us-nj-statutes--title-52--52:27H-17}
There is established in the department an Office of Economic Research, a Division of Economic Development, and a Division of International Trade.
##### **§ 52:27H-18** Office of economic research; powers and duties; economic development research activity in office of economic research in division of planning and research in department of labor and industry; transfer {#sec-52-27h-18 omnilex-key=us-nj-statutes--title-52--52:27H-18}
The Office of Economic Research shall:
a. Study trends and developments in the industries of the State and analyze the reasons underlying such trends; study costs and other factors affecting successful operation of businesses within the State; and make recommendations regarding circumstances promoting or hampering business and industrial development;
b. Investigate and study conditions affecting New Jersey business, industry, and commerce, and collect and disseminate information, and engage in technical studies, statistical research, and educational activities necessary or useful in promoting and developing New Jersey business, industry, and commerce, both within and outside the State;
c. Develop an effective business information service both for the direct assistance of industry of the State and for the encouragement of industries outside the State to use business facilities within the State;
d. Serve as a clearinghouse for business and industrial problems of the State;
e. Collect and disseminate information related to population, housing trends and needs and serve as a clearinghouse for the exchange of information on the condition and needs of the housing industry of the State;
f. Provide information to existing and proposed small business ventures relative to organization, financing, regulation and compliance with government regulations;
g. Develop and make available, periodically, indices and other information relating to current business conditions;
h. Make recommendations to the Economic Development Council from time to time, for the remedy or improvement of any conditions, and for the elimination of any restrictions and burdens imposed by law, or otherwise existing, which adversely affect or retard the development and expansion of business and industry.
i. The functions, duties, records, property and personnel of the economic development research activity, now located in the Office of Economic Research in the Division of Planning and Research in the Department of Labor and Industry, are transferred to the Office of Economic Research in the Department of Commerce and Economic Development.
##### **§ 52:27H-19** Office of economic research; director; qualifications; appointment; terms; duties {#sec-52-27h-19 omnilex-key=us-nj-statutes--title-52--52:27H-19}
The Office of Economic Research shall be under the immediate supervision of a director, who shall be a person qualified by training and experience to direct the work of such division. The director of such division shall be appointed by the commissioner and shall serve at the pleasure of the commissioner.
The director shall administer the work of such division under the direction and supervision of the commissioner, and shall perform such other functions of the department as the commissioner may prescribe.
##### **§ 52:27H-20** Division of Economic Development; powers and duties {#sec-52-27h-20 omnilex-key=us-nj-statutes--title-52--52:27H-20}
21. The Division of Economic Development shall:
a. Promote and encourage the location and development of new business, industry, and commerce in the State as well as the maintenance and expansion of existing business, industry, and commerce;
b. Promote and encourage the expansion and development of markets for products and services of New Jersey businesses and industries. In promoting and encouraging the expansion and development of those markets, the division shall place a priority on using any business directories developed pursuant to section 4 of P.L.1995, c.210 (C.34:1B-104) to stimulate the purchase of goods and services produced by New Jersey businesses and industries and shall, to the extent feasible, seek to coordinate the "New Jersey Purchase First Program" established pursuant to section 3 of P.L.1995, c.210 (C.34:1B-103) with partnership campaigns which are privately funded or otherwise supported to promote the purchase of goods and services produced in the State;
c. Conduct or encourage research designed to further new and more extensive uses of the resources of the State, and designed to develop new products and industrial processes;
d. Cooperate with business service organizations, utility companies, railroads, financial institutions and similar groups and agencies actively engaged in economic development within the State and plan its program of work to supplement and support the programs of such voluntary private organizations and agencies;
e. Advise and cooperate with municipal, county, regional and other local agencies and officers within the State, to provide guidance and assistance, when requested, in their efforts toward economic development of their respective areas, and to assist them to make an effective selection of economic promotional activities best suited to their potentialities and needs;
f. Cooperate with other State and interstate agencies engaged in formulating and promoting the adoption of interstate compacts and agreements helpful to business, industry and commerce; and
g. Investigate, study, and undertake ways and means of promoting or encouraging the prosperous development and protection of the legitimate interests and welfare of New Jersey business and industry within and outside the State.
##### **§ 52:27H-20.1** Division of Energy Planning and Conservation {#sec-52-27h-20.1 omnilex-key=us-nj-statutes--title-52--52:27H-20.1}
a. The Division of Energy Planning and Conservation in the Department of Energy, together with all its functions, powers and duties, except as herein otherwise provided, is continued and this division is transferred to and constituted the Division of Energy Planning and Conservation in the Department of Commerce, Energy and Economic Development.
b. The Division of Energy Planning and Conservation shall be under the immediate supervision of a director who shall be appointed by the Commissioner of Commerce, Energy and Economic Development and shall serve at the pleasure of the commissioner.
The director shall administer the work of the division under the direction and supervision of the commissioner and shall perform such other functions of the department as the commissioner may prescribe.
c. The commissioner shall organize the work of the Division of Energy Planning and Conservation and establish therein such administrative subdivisions as he may deem necessary, proper and expedient.
d. Whenever in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the Division of Energy Planning and Conservation in the Department of Energy, the same shall mean and refer to the Division of Energy Planning and Conservation in the Department of Commerce, Energy and Economic Development.
##### **§ 52:27H-20.2** Advisory Council on Energy Planning and Conservation {#sec-52-27h-20.2 omnilex-key=us-nj-statutes--title-52--52:27H-20.2}
a. The Advisory Council on Energy Planning and Conservation in the Division of Energy Planning and Conservation in the Department of Energy, together with all its functions, powers and duties, is continued and transferred to and constituted the Advisory Council on Energy Planning and Conservation in the Division of Energy Planning and Conservation in the Department of Commerce, Energy and Economic Development.
b. Whenever, in any law, rule, regulation, order, contract, document, judicial or administrative proceeding or otherwise, reference is made to the Advisory Council on Energy Planning and Conservation in the Department of Energy, the same shall mean and refer to the Advisory Council on Energy Planning and Conservation in the Department of Commerce, Energy and Economic Development.
##### **§ 52:27H-21** Division of economic development; director; qualifications; appointment; term; duties {#sec-52-27h-21 omnilex-key=us-nj-statutes--title-52--52:27H-21}
The Division of Economic Development shall be under the immediate supervision of a director, who, prior to his appointment, shall be qualified by responsible work in economic development activities or its equivalent in training and experience. The director of such division shall be appointed by the commissioner and shall serve at the pleasure of the commissioner.
The director shall administer the work of such division under the direction and supervision of the commissioner, and shall perform such other functions of the department as the commissioner may prescribe.
##### **§ 52:27H-21.7** Findings, declarations {#sec-52-27h-21.7 omnilex-key=us-nj-statutes--title-52--52:27H-21.7}
The Legislature finds and declares:
a. That small businesses play a major role in the economy of this State; and
b. That small businesses, and businesses owned by minorities and women in particular, are often in need of financial and technical assistance which may be unavailable to them through traditional sources; and
c. That it is the public policy of this State to provide a source of technical assistance and financial assistance in order to encourage the establishment and the growth of small businesses and businesses owned by minorities and women; and
d. That, in the interest of efficiency, the services now provided by the State to these businesses should be combined into a single division within the Department of Commerce and Economic Development; and
e. That it is the intention of this Legislature that the division, in concert with the New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises created pursuant to the provisions of P.L. 1985, c. 386 (C. 34:1B-47 et seq.), provide a full range of financial and technical assistance to small businesses and businesses owned by minorities and women in order to ensure their success and their growth.
##### **§ 52:27H-21.8** Definitions {#sec-52-27h-21.8 omnilex-key=us-nj-statutes--title-52--52:27H-21.8}
For the purposes of this act:
a. "Authority" means the New Jersey Development Authority for Small Businesses, Minorities and Women's Enterprises established pursuant to the provisions of P.L. 1985, c. 386 (C. 34:1B-47 et seq.);
b. "Commissioner" means the Commissioner of the Department of Commerce and Economic Development;
c. "Division" means the Division of Development for Small Businesses and Women's and Minority Businesses;
d. "Eligible business" means a small business or a minority or women's business certified by the division and determined to be eligible to receive assistance and to participate in programs according to the standards established pursuant to this act;
e. "Minority" means a person who is:
(1) Black, which is a person having origins in any of the black racial groups in Africa;
(2) Hispanic, which is a person of Spanish or Portuguese culture, with origins in Mexico, South or Central America, or the Caribbean islands, regardless of race;
(3) Asian American, which is a person having origins in any of the original people of the Far East, Southeast Asia, the Indian Subcontinent, Hawaii, or the Pacific Islands; or
(4) American Indian or Alaskan native, which is a person having origins in any of the original peoples of North America;
f. "Minority business" means a business which is:
(1) A sole proprietorship, owned and controlled by a minority;
(2) A partnership or joint venture owned and controlled by minorities in which at least 51% of the ownership interest is held by minorities and whose management and daily business operations are controlled by one or more of the minorities who own it; or
(3) A corporation or other entity the management and daily business operations of which are controlled by one or more minorities who own it, and which is at least 51% owned by one or more minorities, or, if stock is issued, at least 51% of the stock of which is owned by one or more minorities;
g. "Small business" means a sole proprietorship, partnership or corporation which is a size and type defined by the commissioner;
h. "Women's business" means a business which is:
(1) A sole proprietorship owned and controlled by a woman; or
(2) A partnership or joint venture owned and controlled by women in which at least 51% of the ownership is held by women; or
(3) A corporation or other entity the management and daily business operations of which are controlled by one or more women who own it, and which is at least 51% owned by women, or, if stock is issued, at least 51% of the stock of which is owned by one or more women.
##### **§ 52:27H-21.9** Division of Development for Small Businesses and Women's and Minority Businesses {#sec-52-27h-21.9 omnilex-key=us-nj-statutes--title-52--52:27H-21.9}
There is established within the Department of Commerce and Economic Development a Division of Development for Small Businesses and Women's and Minority Businesses. The administrative head of the division shall be a division director, who shall be appointed by the commissioner and who shall serve at the pleasure of the commissioner during the commissioner's term of office and until a successor is appointed and qualified. Any vacancy occurring in the office of division director shall be filled in the same manner as the original appointment. The position of division director shall be a full-time position and the salary shall be as provided by law. The division director may employ professional, technical, research and clerical staff as necessary within the limits of available appropriations. The provisions of Title 11 (Civil Service) of the Revised Statutes shall be construed to extend to all those personnel.
##### **§ 52:27H-21.11** Powers of division. {#sec-52-27h-21.11 omnilex-key=us-nj-statutes--title-52--52:27H-21.11}
5. The division shall have the power to:
a. Establish a loan referral program and loan packaging program for eligible businesses, using criteria for eligibility which meet the standards established by the authority or which meet the standards established by private sources or by other State or federal programs;
b. Compile lists of qualified professionals, including women and minorities in specific areas of expertise, to be disseminated to eligible businesses and to be used in making referrals;
c. Use available resources within the State, including, but not limited to, small business development centers, business organizations, academic institutions with business programs, and minority business development offices, to coordinate managerial and technical assistance;
d. Establish, in cooperation with institutions of higher education, an internship program for candidates for undergraduate and graduate degrees in business administration and related fields for the purpose of providing assistance to the division, the authority and to businesses which are eligible to receive assistance under this act;
e. Provide, consistent with the provisions of this act and in conjunction with, or at the request of, the authority, assistance to eligible businesses, including, but not limited to:
(1) Assistance in researching markets or in market analysis;
(2) Advice in advertising and marketing;
(3) Advice in selecting sales or other distribution channels;
(4) Providing information and training with respect to bidding on government contracts;
(5) Serving as liaison with the Department of the Treasury and other departments and agencies of State, federal and local government to promote the procurement of contracts for eligible businesses;
(6) Assistance in obtaining legal counsel;
(7) Providing financial analysis and accounting assistance;
(8) Assistance in obtaining appropriate insurance, including benefit packages for employees;
(9) Assistance in arranging contracts with franchisers;
(10) Assistance in arranging commercial loans made by a State or federally chartered bank, savings bank, or savings and loan association, if, with respect to loans made by State chartered institutions, the loans are made in accordance with the powers conferred on those institutions pursuant to Title 17 of the Revised Statutes, including bridge loans and cash flow loans;
(11) Assistance in negotiating license agreements;
(12) Assistance in procuring bonding or substitutes therefor;
(13) Making referrals to private consultants, institutions, and other providers of services, according to the specific needs of an eligible business;
(14) Assistance in finding sources of financing from federal, State, and local sources;
(15) Assistance in gaining information about employee training and development programs; and
f. Provide a central resource for eligible businesses in their dealing with federal, State, and local governments, including information regarding government regulations or laws which affect eligible businesses;
g. Initiate and encourage education programs for eligible businesses;
h. Notwithstanding any other provision of law, exercise exclusive authority within the State to establish a uniform procedure for departments, agencies and authorities of the State and of its political subdivisions to certify the eligibility of a business to bid on contracts, or otherwise represent itself as a minority or women's business. The division shall be the certifying authority for departments, agencies and authorities of the State, except that when the division's procedure for certification of a business as a minority business or women's business conflicts with a federal certification procedure that affects a State project in which the federal government participates, the federal certification procedure shall take precedence. Public agencies shall identify those projects and shall notify the division. A political subdivision shall have the responsibility of certifying the eligibility of a women's business or minority business to bid on contracts or otherwise represent itself as a women's business or minority business within the political subdivision, except that, if the business is certified by the division to represent itself as being a minority or women's business under State programs, the political subdivision may accept that certification for eligibility of the business under programs of the political subdivision. A political subdivision shall utilize the uniform certification procedure formulated by the division;
i. Submit to the Governor and the Legislature an annual report regarding its activities and setting forth recommendations of methods which might be utilized to more efficiently and effectively carry out the purposes of this act, and submit to the commissioner periodic reports on the condition of small businesses, and women's and minority businesses in the State; and
j. Provide any other services which it deems necessary or which may be requested by the authority.
##### **§ 52:27H-21.12** Fees {#sec-52-27h-21.12 omnilex-key=us-nj-statutes--title-52--52:27H-21.12}
The division may charge any fees to eligible businesses as are reasonable and necessary for the provision of technical or other assistance under this act. The division may contract with any person to provide technical or other assistance to eligible businesses on a discounted fee basis or otherwise, or it may provide these services directly.
##### **§ 52:27H-21.13** Advertising, promotional campaigns {#sec-52-27h-21.13 omnilex-key=us-nj-statutes--title-52--52:27H-21.13}
The division shall conduct advertising and promotional campaigns to increase awareness of the services provided by the division to eligible businesses and shall prepare, compile, and disseminate research and other information useful to eligible businesses. The division shall sponsor seminars and programs directed toward eligible businesses to provide information which is useful to persons seeking practical information on business management, marketing, and other matters, and shall compile lists of qualified professionals in specific areas of expertise, which shall be disseminated to eligible businesses or used by the division in making referrals.
##### **§ 52:27H-21.14** Assistance {#sec-52-27h-21.14 omnilex-key=us-nj-statutes--title-52--52:27H-21.14}
The division may, in order to carry out the purpose of this act, request from any department, division, board, bureau, commission or other agency of the State or from any public corporation or district, and the same are authorized to provide, any assistance, services and data as will enable the division properly to carry out its functions, powers, and duties hereunder.
##### **§ 52:27H-21.14a** Toll-free telephone information line providing assistance to small businesses {#sec-52-27h-21.14a omnilex-key=us-nj-statutes--title-52--52:27H-21.14a}
1. a. The Division of Development for Small Businesses and Women's and Minority Businesses in the Department of Commerce and Economic Development , in consultation with the New Jersey small business development centers, shall establish a toll-free telephone information line which shall be readily accessible to the public and shall provide information regarding entrepreneurial or business assistance programs available to small businesses, including sources of financing for training, micro-loans and venture capital, from the following entities:
(1) The Department of Commerce and Economic Development;
(2) The New Jersey Economic Development Authority;
(3) The Department of Labor;
(4) The New Jersey small business development centers; and
(5) Private organizations, individuals or corporations that provide technical assistance and services to small businesses in this State.
b. The telephone information line shall provide information regarding the nature of the assistance and benefits available from the programs provided by the entities set forth in subsection a. of this section, and shall provide information on how to access and apply for these programs.
c. To pay for the assistance provided to small businesses pursuant to this act the division shall make use of any available State or federal funding and shall solicit contributions from any private business organizations, individuals or corporations that provide technical assistance or services to small businesses.
d. The division may assess a fee, to be determined by the division, upon any private business organization, individual or corporation that wishes to have information regarding its small business assistance programs available through the telephone information line. The fee shall not exceed the cost of providing the information regarding the business organization, individual or corporation to the public through the telephone information line. The fees collected pursuant to this subsection shall be used to pay for the services provided pursuant to this act.
##### **§ 52:27H-21.15** Rules, regulations {#sec-52-27h-21.15 omnilex-key=us-nj-statutes--title-52--52:27H-21.15}
The commissioner may promulgate rules and regulations necessary to effectuate the purposes of this act.
##### **§ 52:27H-21.16** Functions transferred {#sec-52-27h-21.16 omnilex-key=us-nj-statutes--title-52--52:27H-21.16}
The functions of the Office of Small Business Assistance and the Office of Minority Business Enterprises are transferred to the Division of Development for Small Businesses and Women's and Minority Businesses and the provisions of the "State Agency Transfer Act," P.L. 1971, c. 375 (C. 52:14D-1 et seq.) shall apply to the transfer.
##### **§ 52:27H-21.17** Findings, declarations {#sec-52-27h-21.17 omnilex-key=us-nj-statutes--title-52--52:27H-21.17}
The Legislature finds and declares that:
a. Historically, businesses owned by minorities and women have been small establishments offering products and services and their participation in the nation's business community has been disproportionate to their numbers in society as a whole.
b. The opportunity for full participation in our free enterprise system by minorities and women is essential if social and economic justice for them is to be attained, and the functioning of our economy improved.
c. The role of government at the national, State and local levels in encouraging the development of businesses owned by minorities and women has been recognized and is developing at a rapid pace, with technical and financial assistance, contract procurement, contract set-asides and other programs designed to encourage development.
d. As a result, each year entrepreneurs in New Jersey spend an average of $5,000.00 to demonstrate that they qualify for these programs designed to foster the growth and development of their businesses, so that the public agencies administering the programs can be certain that the businesses which benefit are bona fide minority or women's businesses.
e. A unified procedure for the certification of businesses owned by minorities and women, administered by the State, for the purpose of certifying the eligibility of the businesses for various State programs will eliminate duplication of effort and improve efficiency, thereby increasing productivity and reducing costs in the public and the private sectors.
##### **§ 52:27H-21.18** Definitions. {#sec-52-27h-21.18 omnilex-key=us-nj-statutes--title-52--52:27H-21.18}
2. As used in this act:
a. "Control" means authority over the affairs of a business, including, but not limited to, capital investment, property acquisition, employee hiring, contract negotiations, legal matters, officer and director selection, operating responsibility, financial transactions and the rights of other shareholders or joint partners; except that control shall not include absentee ownership, nor shall it be deemed to exist where an owner or employee who is not a minority, in the case of a minority business; or a male owner or employee, in the case of a women's business, is disproportionately responsible for the operation of the business or for policy and contractual decisions.
b. "Commissioner" means the Treasurer of the State of New Jersey.
c. "Director" means the Director of the Division of Revenue and Enterprise Services in the New Jersey Department of the Treasury.
d. "Division" means the Division of Revenue and Enterprise Services in the New Jersey Department of the Treasury.
e. "Minority" means a person who is:
(1) Black, which is a person having origins in any of the black racial groups in Africa; or
(2) Hispanic, which is a person with origins in Mexico, South or Central America, or the Caribbean Islands, regardless of race; or
(3) Asian American, which is a person having origins in any of the original peoples of the Far East, Southeast Asia, Indian subcontinent, Hawaii, or the Pacific Islands; or
(4) American Indian or Alaskan native, which is a person having origins in any of the original peoples of North America.
f. "Minority business" means a business which is:
(1) A sole proprietorship owned and controlled by a minority;
(2) A partnership or joint venture owned and controlled by minorities in which at least 51% of the ownership interest is held by minorities and the management and daily business operations of which are controlled by one or more of the minorities who own it; or
(3) A corporation or other entity whose management and daily business operations are controlled by one or more minorities who own it, and of which at least 51% of the legal beneficial ownership is held by one or more minorities.
g. "Public agency" means the State or any department, division, agency, authority, board, commission or committee thereof.
h. "Woman" or "women" means a female or females, regardless of race.
i. "Women's business" means a business which is:
(1) A sole proprietorship owned and controlled by a woman; or
(2) A partnership or joint venture owned and controlled by women in which at least 51% of the ownership is held by women and the management and daily business operations of which are controlled by one or more women who own it; or
(3) A corporation or other entity whose management and daily business operations are controlled by one or more women who own it, and of which at least 51% of the legal beneficial ownership is held by women.
j. "Applicant" means an individual or individuals, a sole proprietor, partnership, joint venture or corporation that applies for certification as a minority business or women's business, in accordance with the provisions of P.L.1986, c.195 (C.52:27H-21.17 et seq.).
##### **§ 52:27H-21.19** Certification by division {#sec-52-27h-21.19 omnilex-key=us-nj-statutes--title-52--52:27H-21.19}
Notwithstanding the provisions of any law, rule or regulation to the contrary, the division shall have the exclusive authority within State government to certify to public agencies the eligibility of a business to bid on contracts as a "minority business" or "women's business" under any program conducted by the public agency for which such certification is so required. That certification by the division shall be binding on the public agency.
##### **§ 52:27H-21.20** Procedure for certification {#sec-52-27h-21.20 omnilex-key=us-nj-statutes--title-52--52:27H-21.20}
The division shall establish a unified procedure for the certification of a business as a minority business or women's business, for the purpose of establishing eligibility to bid on public contracts.
In establishing and administering the procedure required by this section, the director shall insure that the application and certification process is clear, concise, and, to the extent practicable, does not require duplication of effort on the part of the applicant or the division or the public agency administering the program. In furtherance of these objectives, the director shall:
a. Establish criteria to be used to determine the status of a business as a minority business or women's business, as defined by section 2 of this act, which criteria, to the extent not inconsistent with this act, shall conform to federal law or regulations and criteria used by the division;
b. Provide a single form for application for certification, which form shall be written in a simple, clear, understandable and easily readable way, andˆinclude instructions as to the certification procedure and any additional documents or information required to be separately supplied by the applicant forˆa particular program;
c. Have the authority to require the payment of a single fee, to be established by the director, to compensate the division for its cost in administering the certification process;
d. Screen applicants to insure that businesses seeking certification are not misrepresenting their status as minority businesses or women's businesses, as the case may be, and that the minority or women's business applicants are, inˆfact, in the control of members of minority groups or women, and are not merely "fronts" for businesses controlled by persons other than minorities or women;
e. Monitor the status of certified businesses to insure continued compliance with the criteria for certification and control by the appropriate persons;
f. Compile, maintain and make available to the public agencies lists of businesses certified as minority businesses or women's businesses; and
g. Provide for dissemination of information to interested parties, and theˆpublic at large, concerning the certification of businesses as minority businesses or women's businesses, as required by this act.
##### **§ 52:27H-21.21** Precedence to federal certification procedure {#sec-52-27h-21.21 omnilex-key=us-nj-statutes--title-52--52:27H-21.21}
When the division's procedure for certification of a business as a minority business or women's business conflicts with a federal certification procedure that affects a State project in which the federal government participates, the federal certification procedure shall take precedence. Public agencies shall identify those projects and shall notify the division.
##### **§ 52:27H-21.22** Determining eligibility. {#sec-52-27h-21.22 omnilex-key=us-nj-statutes--title-52--52:27H-21.22}
6. The director may require of a first-time applicant for certification as a minority business or women's business the documentation that is necessary to determine the applicant's eligibility for certification. Such documentation may include, but not be limited to:
a. Names and addresses of the owner, partners or shareholders, as applicable, and their representative shares of ownership;
b. Names and addresses of members of the board of directors, in the case of corporations;
c. Names and addresses of the officers of the business;
d. Number of shares of stock issued and outstanding, in the case of a corporation;
e. Articles of incorporation, bylaws, partnership agreements, or joint venture agreements, as applicable;
f. Organizational charts;
g. An applicant's certificate of birth and motor vehicle driver's license; and
h. An affidavit certifying that the applicant is a minority business or women's business, as defined pursuant to section 2 of P.L.1986, c.195 (C.52:27H-21.18).
The director shall not require an applicant to provide any personal federal or personal State income tax returns.
##### **§ 52:27H-21.22a** Application for recertification for first-time applicant. {#sec-52-27h-21.22a omnilex-key=us-nj-statutes--title-52--52:27H-21.22a}
4. The director shall require a first-time applicant to apply for recertification as a minority business or women's business one year after the original certification was issued. The director may require of the applicant the documentation that is necessary to determine the applicant's eligibility for recertification, including but not limited to:
a. Names and addresses of the owner, partners or shareholders, as applicable, and their representative shares of ownership;
b. Names and addresses of members of the board of directors, in the case of corporations;
c. Names and addresses of the officers of the business;
d. Names and addresses of capital investors;
e. Number of shares of stock issued and outstanding, in the case of a corporation;
f. Articles of incorporation, bylaws, partnership agreements, or joint venture agreements, as applicable;
g. The capacity of the business to be bonded;
h. The affiliation of the business or any of its owners, officers or directors with any other business entity;
i. A representative list of prior and current clients;
j. Major real and personal property holdings of the business;
k. Financial statements and balance sheets;
l. Banking institutions with which the business is affiliated; and
m. Organizational charts;
n. An applicant's certificate of birth and motor vehicle driver's license;
o. Personal or corporate federal or State income tax returns;
p. An affidavit certifying that the applicant is a minority business or women's business, as defined in section 2 of P.L.1986, c.195 (C.52:27H-21.18); and
q. Any other information the director deems necessary to effectuate the purposes of this act.
##### **§ 52:27H-21.22b** Application for recertification every five years; required. {#sec-52-27h-21.22b omnilex-key=us-nj-statutes--title-52--52:27H-21.22b}
5. After a minority business or women's business has been recertified after first receiving initial certification, the director shall require the certified minority business or certified women's business to apply for recertification every five years. The director may require of the applicant the documentation that is necessary to determine the applicant's eligibility for recertification, including but not limited to:
a. Names and addresses of the owner, partners or shareholders, as applicable, and their representative shares of ownership;
b. Names and addresses of members of the board of directors, in the case of corporations;
c. Names and addresses of the officers of the business;
d. Names and addresses of capital investors;
e. Number of shares of stock issued and outstanding, in the case of a corporation;
f. Articles of incorporation, bylaws, partnership agreements, or joint venture agreements, as applicable;
g. (Deleted by amendment, P.L.2023, c.217)
h. The affiliation of the business or any of its owners, officers or directors with any other business entity;
i. A representative list of prior and current clients;
j. Major real and personal property holdings of the business;
k. Financial statements and balance sheets;
l. Banking institutions with which the business is affiliated; and
m. Organizational charts;
n. An applicant's certificate of birth and motor vehicle driver's license;
o. Personal or corporate federal or State income tax returns;
p. An affidavit certifying that the applicant is a minority business or women's business, as defined in section 2 of P.L.1986, c.195 (C.52:27H-21.18); and
q. Any other information the director deems necessary to effectuate the purposes of this act.
##### **§ 52:27H-21.22c** Supplying false information, fourth degree crime. {#sec-52-27h-21.22c omnilex-key=us-nj-statutes--title-52--52:27H-21.22c}
6. Any applicant who knowingly supplies false information or has been awarded a contract to which the business would not otherwise have been entitled under P.L.2003, c.189 (C.52:27H-21.22a et al.) shall, upon conviction, be guilty of a crime of the fourth degree.
##### **§ 52:27H-21.23** Annual report {#sec-52-27h-21.23 omnilex-key=us-nj-statutes--title-52--52:27H-21.23}
The commissioner shall report to the Governor and the Legislature annually as to the status of the uniform certification procedure required by this act, including any recommendations for legislation which would enable the division to more efficiently and effectively carry out its duties and responsibilities under this act.
##### **§ 52:27H-21.24** Rules, regulations {#sec-52-27h-21.24 omnilex-key=us-nj-statutes--title-52--52:27H-21.24}
The commissioner shall promulgate the rules and regulations he deems necessary to effectuate the purposes of this act, pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.).
##### **§ 52:27H-21.25** Findings, declarations {#sec-52-27h-21.25 omnilex-key=us-nj-statutes--title-52--52:27H-21.25}
The Legislature finds and declares that:
a. The economy of our State is vitally dependent upon the health and stability of the small and independent businesses in the State. The Legislature finds further that the future welfare of the State depends on the continued existence and development of these same small and independent businesses. It is, therefore, the declared policy of the Legislature to assist, counsel, aid and protect small and independent business development in the furtherance of the general welfare.
b. Historically, businesses owned by minority group members and women have been small establishments offering products and services, and their participation in the nation's business community has been disproportionate to their numbers in society as a whole.
c. The opportunity for full participation in our free enterprise system by minority group members and women is essential if social and economic justice for them is to be attained, and the functioning of our economy improved.
d. The role of government at the national and State levels in encouraging the development of small businesses, as well as businesses owned by minority group members and women, has been recognized and is developing at a rapid pace with technical and financial assistance, contract procurement, contract set-asides and other programs designed to encourage development.
e. In addition to the national and State governments' role in providing assistance, local levels of government have a unique opportunity and responsibility in encouraging the development of such businesses within their jurisdictions, and for coordinating local assistance with assistance and certification procedures provided at the national and State levels of government.
f. The Legislature, therefore, declares that in order to aid local units of government in establishing pilot projects to provide development and coordination assistance to small, minority and women-owned businesses within their jurisdictions, the Commissioner of the Department of Commerce and Economic Development shall be authorized to make grants of financial assistance to county and municipal units of government; that the making of those grants to county and municipal governments shall be regarded as a complement to the State's program to directly assist small, minority and women's businesses; that the authority and powers conferred hereunder and the expenditure of public moneys as provided herein are in service of a valid public purpose; and that the enactment of the provisions hereinafter set forth is in the public interest and for the public benefit and good and is so declared as a matter of express legislative determination.
##### **§ 52:27H-21.26** Definitions {#sec-52-27h-21.26 omnilex-key=us-nj-statutes--title-52--52:27H-21.26}
2. As used in this act:
a. "Commissioner" means the Treasurer of the State of New Jersey.
b. "Minority" means a person who is:
(1) Black, which is a person having origins in any of the black racial groups in Africa; or
(2) Hispanic, which is a person with origins in Mexico, South or Central America, or the Caribbean Islands regardless of race; or
(3) Asian American, which is a person having origins in any of the original peoples of the Far East, Southeast Asia, Indian Subcontinent, Hawaii, or the Pacific Islands; or
(4) American Indian or Alaskan native, which is a person having origins in any of the original peoples of North America.
c. "Minority business" means a business which is:
(1) A sole proprietorship, owned and controlled by a minority;
(2) A partnership or joint venture owned and controlled by minorities in which at least 51% of the ownership interest is held by minorities and the management and daily business operations of which are controlled by one or more of the minorities who own it; or
(3) A corporation or other entity whose management and daily business operations are controlled by one or more minorities who own it, and of which at least 51% of the legal beneficial ownership is held by one or more minorities.
d. "Small business" means a business which is of a size and type defined by the commissioner.
e. "Women's business" means a business which is:
(1) A sole proprietorship owned and controlled by a woman;
(2) A partnership or joint venture owned and controlled by women in which at least 51% of the ownership is held by women and the management and daily business operations of which are controlled by one or more women who own it; or
(3) A corporation or other entity whose management and daily business operations are controlled by one or more women who own it, and of which at least 51% of the legal beneficial ownership is held by women.
f. "Grantee" means a county or municipality who has received a grant under this act.
g. "Technical assistance" means aiding the establishment, development and promotion of small, minority and women's businesses operating within the grantee's jurisdiction by means that will be defined by the commissioner under the provisions of the act.
h. "Certification assistance" means aiding minority and women's businesses within the grantee's jurisdiction in becoming certified, under State regulations, to be eligible to bid on public contracts or otherwise represent themselves as a "minority business" or "women's business" under any program conducted by public agencies for which such certification is so required. Certification assistance also covers the cost to the grantee of integrating and standardizing existing local government certification procedures with State certification standards and procedures.
##### **§ 52:27H-21.27** Application for financial assistance grants {#sec-52-27h-21.27 omnilex-key=us-nj-statutes--title-52--52:27H-21.27}
The commissioner is authorized to consider and approve an application for a financial assistance grant of State funds from any county or municipality for the purpose of paying up to 50 percent of the cost of a pilot program to provide technical or certification assistance to small, minority and women-owned businesses within the grantee's jurisdiction. The commissioner may approve any one or more of the applications based on such criteria as he deems appropriate and shall not be required to provide a grant to every applicant. Any application for a grant shall include such information and documentation as the commissioner may require to insure that any financial assistance approved pursuant to the provisions of this section will further the purpose and intent of this act.
Any application to the commissioner for a financial assistance grant pursuant to the provisions of this section shall include the following:
a. A detailed budget for the services for which grant support is being applied;
b. Evidence of the availability to the grantee of otherwise unencumbered and uncommitted funds sufficient to finance that portion of the services which is not to be funded from the grant;
c. Any other information and documentation as the commissioner may require to insure that any grant approved pursuant to the provisions of this section will as effectively as possible further the purpose and intent of this act.
##### **§ 52:27H-21.28** Report on pilot programs {#sec-52-27h-21.28 omnilex-key=us-nj-statutes--title-52--52:27H-21.28}
The commissioner is authorized to require any periodic reports necessary to ascertain the progress of any activity supported directly or indirectly by a grant of financial assistance pursuant to the provisions of this act, and further to ascertain the extent of compliance with any contract for a grant. The commissioner shall submit to the Legislature, not more than 12 months following the effective date of this act, a report evaluating the effectiveness of the pilot programs which receive financial assistance pursuant to the provisions of this act. The report shall include recommendations concerning the appropriateness of continued State funding for the county and municipal programs of technical or certification assistance.
##### **§ 52:27H-21.29** Rules, regulations. {#sec-52-27h-21.29 omnilex-key=us-nj-statutes--title-52--52:27H-21.29}
5. The commissioner shall issue and promulgate rules and regulations in accordance with the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as are necessary and appropriate to carry out the purposes of this act, and may revise, repeal or amend them from time to time as he may deem necessary.
##### **§ 52:27H-22** Division of international trade; duties; director {#sec-52-27h-22 omnilex-key=us-nj-statutes--title-52--52:27H-22}
There is established in the department a Division of International Trade. The Division of International Trade shall:
a. Encourage and promote foreign investment in New Jersey by establishing and maintaining contact with representatives of foreign governments and businesses, and providing information on the benefits of investing in New Jersey;
b. Encourage and promote the expansion and development of foreign export markets for products and services of New Jersey businesses and industries by providing information and assistance to those New Jersey companies wishing to penetrate foreign markets;
c. The Division of International Trade shall be under the immediate supervision of a director, who prior to appointment shall be qualified by responsible work in economic development and international trade activities or its equivalent in training and experience. The director of such division shall be appointed by the commissioner and shall serve during the term of office of the appointing commissioner and until such time a successor is appointed.
##### **§ 52:27H-22.1** Findings, determinations {#sec-52-27h-22.1 omnilex-key=us-nj-statutes--title-52--52:27H-22.1}
The Legislature finds and determines that:
a. The expansion of international trade is vital to the maintenance and continued growth of a healthy New Jersey economy;
b. An increase in exports from New Jersey would benefit the State and ultimately the nation by improving the United States balance of trade;
c. The State of New Jersey boasts a comprehensive and efficient transportation system, including a major international airport, an inter- and intrastate railway and extensive port facilities in both the northern and southern New Jersey regions;
d. As a major northeastern industrial state, New Jersey has a skilled labor force whose members produce manufactured and agricultural goods, high technology and services, all of which are marketable to foreign consumers;
e. The Legislature established the Division of International Trade in the Department of Commerce and Economic Development for the express purpose of promoting New Jersey in international commerce and encouraging firms with foreign trade potential to locate in New Jersey;
f. In order to realize New Jersey's export potential and effectively promote the State in international trade, it is necessary to augment certain functions of the Division of International Trade, thus confirming it as the leading State agency in the field of international commerce, and to establish a bipartisan commission of trade experts.
##### **§ 52:27H-22.2** Duties of Division of International Trade {#sec-52-27h-22.2 omnilex-key=us-nj-statutes--title-52--52:27H-22.2}
In addition to duties otherwise prescribed by law, the Division of International Trade shall:
a. Conduct research and analysis of international markets, international business practices, specific business skills necessary to engage in international commerce and methods of stimulating reinvestment in New Jersey;
b. Establish a data center which provides information on commercial opportunities in international trade, resources for technical and financial trade assistance, and employment opportunities in international business, in cooperation with the Department of Education through the State Library and various agencies involved in international trade;
c. Regularly represent or assist in representing the interests of New Jersey-based firms in foreign market transactions through regularly scheduled trade delegations, missions and seminars;
d. Provide New Jersey-based firms with customized technical and other needed assistance in international trade;
e. Utilize sufficient funds for international travel by appropriate members of the division staff in order to promote New Jersey exports and publicize the advantages of the State of New Jersey as a location from which to engage in export trade; and
f. Recruit foreign capital investment in New Jersey to be applied toward economic development and job creation.
##### **§ 52:27H-22.2a** New Jersey State Trade Office in Asia {#sec-52-27h-22.2a omnilex-key=us-nj-statutes--title-52--52:27H-22.2a}
The Division of International Trade in the Department of Commerce and Economic Development shall establish a New Jersey State Trade Office located in Asia.
##### **§ 52:27H-22.2b** Purpose {#sec-52-27h-22.2b omnilex-key=us-nj-statutes--title-52--52:27H-22.2b}
The purpose of the New Jersey State Trade Office in Asia shall be to assist in creating higher levels of employment in the State by promoting the export of goods and services produced in New Jersey and by encouraging companies to invest in manufacturing and other employment generating facilities in the State. The office shall publicize the many advantages of investing in New Jersey, including the high quality of the State's work force, transportation facilities and government services for productive enterprises.
##### **§ 52:27H-22.2c** Report {#sec-52-27h-22.2c omnilex-key=us-nj-statutes--title-52--52:27H-22.2c}
The Department of Commerce and Economic Development shall submit a report to the Senate Revenue, Finance and Appropriations Committee and the Assembly Appropriations Committee on the projected costs and planned activities of the New Jersey State Trade Office established by this act, including an enumeration of costs by type, prior to expenditure of any funds appropriated by this act.
##### **§ 52:27H-22.4** Findings, declarations {#sec-52-27h-22.4 omnilex-key=us-nj-statutes--title-52--52:27H-22.4}
The Legislature finds and declares that:
a. The Sister Cities program both in concept and practice has been a valuable program for encouraging cultural, educational and trade relationships between cities in the United States and cities in other countries;
b. This same concept has been applied to a sister state-province relationship between New Jersey and Zhejiang Province in the Peoples Republic of China since May 11, 1981, and has resulted in a number of successful cultural, educational and economic exchanges; and
c. As a means of furthering cultural, educational and trade relationships between this State and similar jurisdictions in other countries, it is important to build upon existing knowledge concerning sister city and sister state relationships and to aggressively seek to establish other sister state relationships.
##### **§ 52:27H-22.5** Office for Sister State Relations {#sec-52-27h-22.5 omnilex-key=us-nj-statutes--title-52--52:27H-22.5}
a. There is established in the Division of International Trade in the Department of Commerce and Economic Development, an Office for Sister State Relations. This office shall have as its primary function, the development and implementation of a "Sister States Initiatives Program" to focus the attention and efforts of this State on particular jurisdictions in other countries with which to establish a sister state relationship.
b. The Director of the Division of International Trade may appoint and employ any persons, including accountants, attorneys, persons who are fluent in foreign languages, financial advisors, and any other individuals with expertise in foreign trade or marketing, whom the office may require within the limits of available appropriations.
c. This office shall work closely with the New Jersey Department of State and the U.S. Department of Commerce in determining jurisdictions in other countries with which to establish a sister state relationship.
d. This office shall work closely with the New Jersey Department of Education to develop programs to stimulate the interest of students in the schools of the State in the culture, history, art and languages of other jurisdictions with whom a sister state relationship is formed.
e. This office shall work closely with the New Jersey Department of Higher Education to develop programs or encourage existing programs, as the case may be, for undergraduate, graduate and professional students focusing on international relations generally, and international trade specifically.
f. This office shall work closely with the Dean of Cook College and the Director of the New Jersey Agricultural Experiment Station to develop ways in which Cook College and the agricultural experiment station can actively participate in New Jersey's sister state relationships.
g. This office shall actively encourage businesses in New Jersey to develop their export capabilities specifically in relation to those jurisdictions which are granted a sister state designation and it shall do so by carrying out those duties already given to the Division of International Trade pursuant to section 23 of P.L.1981, c. 122 (C. 52:27H-22) and section 2 of P.L.1985, c. 160 (C. 52:27H-22.2).
##### **§ 52:27H-22.6** Annual reports {#sec-52-27h-22.6 omnilex-key=us-nj-statutes--title-52--52:27H-22.6}
The office shall annually report on its activities and progress by submitting a written report to the Director of the Division of International Trade and the Commissioner of Commerce and Economic Development and through them to the Governor's Commission on International Development, to the presiding officer of each house of the State Legislature and to the appropriate committees of the Legislature.
##### **§ 52:27H-22.7** Findings, declarations relative to export trade {#sec-52-27h-22.7 omnilex-key=us-nj-statutes--title-52--52:27H-22.7}
1. The Legislature hereby finds and declares that:
a. The United States has significantly fallen behind other industrialized nations with respect to the volume of its exports in relation to its gross national product, and this trend will continue as the European economic community grows in strength as an economic competitor;
b. The advent of the North American Free Trade Agreement (NAFTA) and the opening of markets in Eastern Europe and the nations of the former Soviet Union present important opportunities to expand our markets abroad;
c. Export trade has a material impact in bringing about economic expansion and sustainable economic growth, having a particularly salutary effect upon manufacturing industries which have saturated their domestic markets;
d. Many small domestic industries have the potential for great expansion through the development of export trade, but lack the incentive, information, expertise, and financing to develop an effective export trade program;
e. In order to assist businesses with little or no export experience in establishing a relationship with an export agent which has the appropriate expertise and offers a full range of export services, the Legislature finds it appropriate to establish a voluntary State certification program for qualified export trading corporations organized solely to assist new entrants into the export market, in an effort to ensure a standard of proficiency and reliability in the export services provided.
##### **§ 52:27H-22.8** Definitions relative to export trade {#sec-52-27h-22.8 omnilex-key=us-nj-statutes--title-52--52:27H-22.8}
2. As used in this act:
"Board" means the board of directors of the corporation.
"Clients" mean eligible businesses which utilize the services of the corporation.
"Commissioner" means the Commissioner of Commerce and Economic Development.
"Corporation" means an export trading corporation certified pursuant to section 3 of this act.
"Department" means the Department of Commerce and Economic Development.
"Eligible business" means a business located in New Jersey which is a new entrant into an export market with little or no export experience and which can reasonably be determined to be able to sustain and expand its export capability after using the services of a corporation.
"Export trade" means trade or commerce in goods or services which are exported or in the course of being exported through any port in the United States directly to a foreign country.
##### **§ 52:27H-22.9** Voluntary certification program established {#sec-52-27h-22.9 omnilex-key=us-nj-statutes--title-52--52:27H-22.9}
3. The commissioner shall establish a voluntary certification program for export trading corporations which meet the standards established by this act. Each corporation seeking State certification shall make application therefor in the manner prescribed by the commissioner. Upon the granting of the certification, the corporation may use the title "New Jersey Certified Export Trading Corporation." The department shall cooperate and assist all export trading corporations certified pursuant to this act.
##### **§ 52:27H-22.10** Qualifications of corporations, reviewed by commissioner {#sec-52-27h-22.10 omnilex-key=us-nj-statutes--title-52--52:27H-22.10}
4. The commissioner shall review the qualifications of corporations certified pursuant to this act not less than once every five years. If the commissioner determines that the certified corporation no longer meets the qualification standards established pursuant to this act, or the corporation's business practices do not meet professional standards or are not in conformance with the provisions of this act, the commissioner shall notify the corporation in writing of the deficiencies. If the deficiencies are not corrected within a reasonable period of time to the satisfaction of the commissioner, the commissioner may revoke the corporation's certification. A corporation which has had its certification revoked may reapply for certification on terms and conditions established by the commissioner. No certification shall be granted to any export trading entity which does not meet the standards established by this act.
##### **§ 52:27H-22.11** Fees {#sec-52-27h-22.11 omnilex-key=us-nj-statutes--title-52--52:27H-22.11}
5. The following fees shall be assessed, in an amount to be determined by the commissioner, in connection with the voluntary certification provided for under this act: a. An initial application fee not to exceed $250; b. An annual renewal fee; and c. A reinstatement fee. Failure on the part of a corporation to pay the assessed certification fees shall result in the denial or revocation of its certification.
##### **§ 52:27H-22.12** Certification qualifications {#sec-52-27h-22.12 omnilex-key=us-nj-statutes--title-52--52:27H-22.12}
6. To qualify for certification under this act, the export trading corporation shall: a. Provide in its bylaws that its sole purpose and function is to serve as an incubator facility for eligible businesses; b. Demonstrate that (1) a majority of its board members have experience in the business of export trade for a period of at least five years; (2) the corporation is financially sound; and (3) the corporation has adequate resources to determine the viability of its clients' products or services in international markets; c. Provide a program designed to bring new entrants into the export market and develop their exporting self-sufficiency; d. Establish in connection with community colleges and other institutions of higher education, an internship or job training program or programs for students enrolled in a curriculum in a public or private institution of higher education for which knowledge of export trade will enhance the student's ability to find employment and for employees of a business which exports or intends to export, and may be eligible for funding under the terms of the Workforce Development Partnership Program established pursuant to P.L.1992, c.43 (C.34:15D-1 et seq.); and e. Provide at least the following services to new entrants into the export market:
(1) Provide or contract for assistance in researching foreign markets;
(2) Provide or contract for assistance in advertising, marketing, and participation in foreign trade fairs;
(3) Provide or contract for assistance in placing bids with foreign buyers;
(4) Provide or contract for legal assistance in arranging export trade transactions;
(5) Provide or contract for assistance in the pricing of goods to be exported, arranging the terms of sale, and facilitating foreign exchange transactions;
(6) Assist in arranging for loans or loan guarantees to clients, including loans or guarantees from the authority, commercial banking institutions, foreign banking institutions, or the Export-Import Bank of the United States;
(7) Provide or contract for translating, interpreting, or other services to facilitate communication between exporters and foreign purchasers;
(8) Assist in arranging for the training of employees or prospective employees of clients with respect to the conducting of export trade;
(9) Obtain, or assist in obtaining, bankers' acceptances pursuant to section 207 of Title II of the Export Trading Company Act of 1982, Pub.L.97-290 (12 U.S.C.372);
(10) Purchase or take title to the receivables of exporters, or arrange purchases through independent factoring houses;
(11) Assist in arranging for the packing, transportation, and shipment of goods;
(12) Assist in, or contract for assistance in, the preparation of appropriate shipping and collection documents;
(13) Assist in, or contract for assistance in, the purchase of appropriate insurance, including marine and export credit insurance, provided through private carriers, or at the discretion of the board, through an umbrella or blanket policy obtained by a corporation;
(14) Assist in, or contract for assistance in, the processing of foreign orders to and for exporters and foreign purchasers;
(15) Assist in arranging joint ventures with other exporters or with a foreign entity;
(16) Assist in, or contract for assistance in, negotiating license agreements with foreign firms;
(17) Assist in arranging financing through the New Jersey Economic Development Authority, the Export-Import Bank of the United States, through private sources, or a combination thereof; and
(18) Assist clients in applying for export trade-related job training assistance pursuant to the Workforce Development Partnership Program established pursuant to P.L.1992, c.43 (C.34:15D-1 et seq.).
##### **§ 52:27H-22.13** List of certified export trading corporations {#sec-52-27h-22.13 omnilex-key=us-nj-statutes--title-52--52:27H-22.13}
7. The commissioner shall maintain a list of certified export trading corporations which the commissioner shall make available to the business community and to community colleges and other institutions of higher education which conduct educational programs for businesses seeking information on exporting.
##### **§ 52:27H-22.14** Providing information to New Jersey businesses {#sec-52-27h-22.14 omnilex-key=us-nj-statutes--title-52--52:27H-22.14}
8. The department shall, through its business assistance programs, provide information to New Jersey businesses about the opportunities which may exist for exporting their goods and services.
##### **§ 52:27H-23** Utilization of consolidated statistical services and data processing facilities {#sec-52-27h-23 omnilex-key=us-nj-statutes--title-52--52:27H-23}
The department shall, to the maximum practicable extent, utilize consolidated statistical services and data processing facilities so that unnecessary duplication will be avoided. To that end, it is directed that the commissioner, the Commissioner of Labor and Industry and the Director of the Division of Budget and Accounting shall, from time to time, cooperatively determine and agree upon the nature and extent of assistance and services to be provided the department by the Division of Planning and Research and the Division of Systems and Communications in the Department of Labor and Industry so as to meet the requirements of the department necessary to the reasonable exercise of its powers and the fulfillment of its functions and duties as set forth in this act.
##### **§ 52:27H-24** Report to legislature and Governor {#sec-52-27h-24 omnilex-key=us-nj-statutes--title-52--52:27H-24}
Within 6 months of the effective date of this act, the commissioner, after consultation with all division directors, the State Treasurer and the commissioners of appropriate executive departments, including but not necessarily limited to the Departments of Labor and Industry and Environmental Protection shall prepare and submit a report to the Legislature and the Governor identifying (1) those functions and duties currently exercised by other departments, divisions, agencies, commissions, councils, boards or bureaus of State Government relating to commerce and economic development that might be appropriately transferred to the department; and (2) those functions and duties transferred to the department pursuant to the provisions of this act that might be appropriately transferred to other departments. Such transfers may be effectuated by executive order or law, as the case may be.
##### **§ 52:27H-25** Review of operations, personnel and staff organization transferred to department {#sec-52-27h-25 omnilex-key=us-nj-statutes--title-52--52:27H-25}
a. Within 6 months following the effective date of this act, the commissioner of the department in consultation with the Commissioner of Labor and Industry shall jointly review the operations, personnel and staff organization of those agencies transferred from the Department of Labor and Industry to the Department of Commerce and Economic Development and, with the approval of the Department of Civil Service and the Division of Budget and Accounting, establish a plan, if such is needed, for reorganization and transfer of personnel.
b. Nothing in this section shall be construed to deprive employees of any rights or protections provided by Civil Service (Title 11) or the pension and retirement laws of this State.
##### **§ 52:27H-26** Transfers in accordance with State Agency Transfer Act {#sec-52-27h-26 omnilex-key=us-nj-statutes--title-52--52:27H-26}
The transfers directed by this act, except as otherwise provided herein, shall be made in accordance with the "State Agency Transfer Act" , P.L.1971, c. 375 (C. 52:14D-1 et seq.).
##### **§ 52:27H-27** Appropriation from unemployment compensation auxiliary fund {#sec-52-27h-27 omnilex-key=us-nj-statutes--title-52--52:27H-27}
In addition to the funds transferred to the department by this act, there is appropriated the sum of $250,000.00, or so much thereof as may be necessary, from the Unemployment Compensation Auxiliary Fund established pursuant to R.S. 43:21-14(g) to be allocated for the implementation of this act, subject to the approval of the Director of the Division of Budget and Accounting in the Department of the Treasury.
##### **§ 52:27H-28** Supersedure of inconsistent acts {#sec-52-27h-28 omnilex-key=us-nj-statutes--title-52--52:27H-28}
All acts and parts of acts inconsistent with the provisions of this act are superseded.
##### **§ 52:27H-29** Findings, declarations. {#sec-52-27h-29 omnilex-key=us-nj-statutes--title-52--52:27H-29}
1. The Legislature finds that the tourist, resort and convention industry of Atlantic City has traditionally made an important contribution to the economic vitality of this State; that the recent revitalization of that industry as a result of the authorization of casino gaming in Atlantic City has resulted in significant economic benefits not only to the residents of the city and its immediate environs, but to all of the residents of the State in the form of increased business and employment opportunities and augmented State and local revenues; and that the future growth of this industry will depend in part upon the provision and operation of an attractive convention center in Atlantic City or the promotion and marketing of the city of Atlantic City and the provision of an adequate mechanism whereby the interests and efforts of the State, the city and the private sector may be effectively coordinated and the financial soundness of a convention center assured.
To this end, the Legislature declares the establishment of an authority having the requisite power to own, lease, promote, operate, maintain, transfer and sell a convention center project in Atlantic City and to promote and market the city of Atlantic City to be in the public interest of the citizens of this State.
The Legislature further finds that it is in the best interests of the State for the Atlantic City Convention and Visitors Authority established pursuant to the provisions of P.L.1981, c.459 (C.52:27H-29 et seq.), which is the entity most closely related to the facilities and operations of the Atlantic City convention center project, to acquire ownership of and assume responsibility and control over the daily operations of the project.
##### **§ 52:27H-30** Short title. {#sec-52-27h-30 omnilex-key=us-nj-statutes--title-52--52:27H-30}
2. This act shall be known and may be cited as the "Atlantic City Convention and Visitors Authority Act."
##### **§ 52:27H-31** "Atlantic City Convention and Visitors Authority." {#sec-52-27h-31 omnilex-key=us-nj-statutes--title-52--52:27H-31}
3. There is created a public body corporate and politic, with corporate succession, to be known as the "Atlantic City Convention and Visitors Authority." The authority is constituted as an instrumentality of the State exercising public and essential governmental functions, and the exercise by the authority of the powers conferred by this act shall be an essential government function of the State. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the authority is allocated within the Department of the Treasury, but, notwithstanding the allocation, the authority shall be independent of any supervision or control by the department or any officer or employee thereof.
##### **§ 52:27H-31.1** Short title. {#sec-52-27h-31.1 omnilex-key=us-nj-statutes--title-52--52:27H-31.1}
1. Sections 1 and 2, sections 12 through 19, sections 21 through 25, and section 27 of P.L.2008, c.47 (C.52:27H-31.1 et al.) shall be known and may be cited as the "Atlantic City Convention Center Transfer Act."
##### **§ 52:27H-31.2** Definitions used in C.52:27H-29 et seq. {#sec-52-27h-31.2 omnilex-key=us-nj-statutes--title-52--52:27H-31.2}
2. (a) As used in P.L.1981, c.459 (C.52:27H-29 et seq.):
"Atlantic City convention center project" or "convention center project" means the project authorized by paragraph (9) of subsection a. of section 6 of P.L.1971, c.137 (C.5:10-6).
"Convention authority" or "authority" means the Atlantic City Convention and Visitors Authority established pursuant to section 3 of P.L.1981, c.459 (C.52:27H-31).
"New Jersey Sports and Exposition Authority" means the public body established under section 4 of P.L.1971, c.137 (C.5:10-4).
(b) As used in P.L.2008, c.47 (C.52:27H-31.1 et al.), "Luxury Tax Bond Resolution" shall mean the authority's Convention Center Luxury Tax Bond Resolution adopted on October 28, 1992, as amended and supplemented.
##### **§ 52:27H-32** Membership; appointment. {#sec-52-27h-32 omnilex-key=us-nj-statutes--title-52--52:27H-32}
4. a. The authority shall consist of seven members as follows:
(1) Six public members, at least two of whom shall be representatives of the New Jersey casino industry, to be appointed by the Governor with the advice and consent of the Senate; and
(2) The Treasurer of the State of New Jersey, who shall be an ex officio member.
b. Vacancies in the membership of the authority shall be filled in the same manner as prescribed by law for the original appointment, but for the unexpired term only.
c. No more than four members of the authority shall be affiliated with the same political party. The public members of the authority shall serve for a term of five years and until a successor shall have been appointed and qualified; except that of the public members first appointed pursuant to the provisions of P.L.1991, c.375, the Governor shall designate upon appointment: two members for a term of five years, one for a term of four years, one for a term of three years, one for a term of two years and one for a term of one year.
##### **§ 52:27H-33** Members; removal; vacancies; oaths; record; expenses; inapplicability of conflicts of interest law {#sec-52-27h-33 omnilex-key=us-nj-statutes--title-52--52:27H-33}
a. Any public member of the authority may be removed by the appointing authority for cause. Any vacancy in the public membership shall be filled in the same manner as the appointment was made, but for the unexpired term.
b. Each member of the authority, before entering upon his duties, shall take and subscribe an oath to perform the duties of the office faithfully, impartially, and justly to the best of his ability. A record of the oaths shall be filed with the office of the Secretary of State.
c. The members of the authority shall serve without compensation, but the authority may reimburse its members for necessary expenses incurred in the discharge of their duties.
d. No member or employee of the authority shall be considered to be a State officer or employee or a special State officer or employee subject to the provisions of the "New Jersey Conflicts of Interest Law," P.L.1971, c. 182 (C. 52:13D-12 et seq.) solely by virtue of that membership or employment.
##### **§ 52:27H-34** Quorum; officers; president. {#sec-52-27h-34 omnilex-key=us-nj-statutes--title-52--52:27H-34}
6. a. The authority shall not be constituted and shall not take action or adopt motions or regulations until all original authorized members shall have been appointed and qualified. The powers of the authority shall be vested in the members thereof and a majority of the total authorized membership of the authority shall constitute a quorum at any meeting. Action may be taken and motions and resolutions adopted by the authority at any meeting by the affirmative vote of a majority of the quorum, unless in any case the bylaws of the authority or any of the provisions of this act shall require a larger number. The authority may designate one or more of its agents, officers or employees to exercise, under its supervision and control, such administrative functions, powers and duties as it may deem proper, consistent with the provisions of this act and with the bylaws of the authority. No vacancy in the membership of the authority shall affect the right of the quorum to exercise all the rights and perform all the duties of the authority.
b. The chairman of the authority shall be appointed by the Governor, and the authority shall designate one of its members to serve as the vice-chairman. The authority shall appoint a president who shall serve as its chief operating officer. The president shall serve at the pleasure of the authority and shall be a person qualified by training and experience to perform the duties of the president's office, as those duties shall be prescribed by the bylaws of the authority.
##### **§ 52:27H-35** Dissolution {#sec-52-27h-35 omnilex-key=us-nj-statutes--title-52--52:27H-35}
The authority may be dissolved by law on condition that the authority has no debts, obligations or contractual commitments, or on condition that provision has been made for the payment or retirement of debts and obligations and for the release from or satisfaction of contractual commitments. Upon dissolution of the authority all property, funds and assets thereof shall be vested in the political subdivision with which the authority is currently under contract pursuant to section 9 of this act at the time of dissolution.
##### **§ 52:27H-36** Minutes of meetings {#sec-52-27h-36 omnilex-key=us-nj-statutes--title-52--52:27H-36}
8. A true copy of the minutes of every meeting of the authority shall be forthwith transmitted to the Governor. No action taken at that meeting by the authority shall have force or effect until 15 days after the copy of the minutes shall have been so delivered unless during the 15-day period the Governor shall approve the same, in which case the action shall become effective upon that approval. If, in the 15-day period, the Governor returns the copy of the minutes with veto of any action taken by the authority or any member thereof at that meeting, that action shall be null and of no effect.
##### **§ 52:27H-37** Authority's powers relative to convention center project. {#sec-52-27h-37 omnilex-key=us-nj-statutes--title-52--52:27H-37}
9. The authority shall have the power to acquire, own, lease, operate, maintain, transfer and sell the convention center project in the city of Atlantic City and to promote and market the city of Atlantic City in such manner as it shall determine to be in furtherance of the purposes of P.L.1981, c.459 (C.52:27H-29 et seq.).
##### **§ 52:27H-40** Additional powers. {#sec-52-27h-40 omnilex-key=us-nj-statutes--title-52--52:27H-40}
12. In addition to the powers granted to the authority in P.L.1981, c.459 (C.52:27H-29 et seq.), the authority may:
a. Make and alter bylaws for its organization and internal management and make rules and regulations with respect to its operations;
b. Adopt an official seal and alter the same at its pleasure;
c. Sue and be sued in its own name;
d. Make and enter into all contracts or agreements necessary or incidental to the performance of its duties;
e. Enter into agreements or other transactions with and accept grants and the cooperation of the United States or any agency thereof or any State or local agency in furtherance of the purposes of P.L.1981, c.459 (C.52:27H-29 et seq.), and do anything necessary in order to avail itself of this aid and cooperation;
f. Solicit, receive and accept aid, loans or contributions from any source of money, property, labor or other things of value, to be held, used and applied to carry out the purposes of P.L.1981, c.459 (C.52:27H-29 et seq.) subject to the conditions upon which this aid, these loans and contributions shall be made, including but not limited to grants from any department or agency of the United States or any State or local agency for any purpose consistent with P.L.1981, c.459 (C.52:27H-29 et seq.);
g. Acquire, own, hold, sell, exchange, lease or otherwise dispose of real or personal property or any interest therein in the exercise of its powers and the performance of its duties under P.L.1981, c.459 (C.52:27H-29 et seq.);
h. Appoint such officers, employees, and agents as it may require for the performance of its duties, and fix their compensation, promote and discharge them, all without regard to the provisions of Title 11A of the New Jersey Statutes;
i. Provide advisory, consultative and technical assistance and advice to any person, firm, association, partnership or corporation, either public or private, in order to carry out the purposes of P.L.1981, c.459 (C.52:27H-29 et seq.);
j. Invest moneys of the authority not required for immediate use in those obligations, securities and other investments as the authority shall deem prudent;
k. Procure insurance coverage in such types and amounts and from such insurers as may be advisable;
l. Engage the services of attorneys, accountants, marketing analysts and financial experts and such other advisors, consultants and agents as may be necessary in its judgment, and fix their compensation;
m. Maintain an office at such place or places in the city of Atlantic City as it may designate;
n. Advertise and promote the tourist, resort, convention and casino gaming industries of the city of Atlantic City and for these purposes establish funds, adopt and collect fees and other charges and make expenditures consistent with the provisions of any contract for the operation of the convention center project; and
o. Do any act necessary to the exercise of these powers or reasonably implied therefrom.
##### **§ 52:27H-41.1** Power of authority relative to issuance of bonds, notes. {#sec-52-27h-41.1 omnilex-key=us-nj-statutes--title-52--52:27H-41.1}
12. a. The authority shall have the power and is hereby authorized from time to time to issue its bonds or notes in such principal amounts as in the opinion of the authority shall be necessary to provide sufficient funds for any of its corporate purposes, including the payment, funding or refunding of the principal of, or interest or redemption premiums on, any bonds or notes issued by it whether the bonds or notes or interest to be funded or refunded have or have not become due, and the establishment or increase of such reserves to secure or to pay such bonds or notes or interest thereon and all other costs or expenses of the authority incident to and necessary to carry out its corporate purposes and powers.
b. Whether or not the bonds and notes are of such form and character as to be negotiable instruments under the terms of Title 12A, Commercial Transactions, of the New Jersey Statutes, the bonds and notes are hereby made negotiable instruments within the meaning of and for all the purposes of that Title 12A, subject only to the provisions of the bonds and notes for registration.
c. Bonds or notes of the authority shall be authorized by a resolution or resolutions of the authority and may be issued in one or more series and shall bear such date, or dates, mature at such time or times, bear interest at such rate or rates of interest per annum which may be fixed or may change at such time and in accordance with a specified formula or method of determination, be in such denomination or denominations, be in such form, either coupon or registered, carry such conversion or registration privileges, have such rank or priority, be executed in such manner, be payable from such sources in such medium of payment at such place or places within or without the State, and be subject to such terms of redemption, with or without premium, as such resolution or resolutions may provide.
d. Bonds or notes of the authority may be sold at public or private sale at such price or prices and in such manner as the authority shall determine. Every bond shall mature and be paid not later than 35 years from the date thereof.
e. Bonds or notes may be issued under the provisions of P.L.2008, c.47 (C.52:27H-31.1 et al.) without obtaining the consent of any department, division, commission, board, bureau or agency of the State, and without any other proceeding or the happening of any other conditions or other things than those proceedings, conditions or things which are specifically required by the provisions of P.L.2008, c.47 (C.52:27H-31.1 et al.).
f. Bonds and notes of the authority issued under the provisions of P.L.2008, c.47 (C.52:27H-31.1 et al.) shall not be in any way a debt or liability of the State or of any political subdivision thereof other than the authority and shall not create or constitute any indebtedness, liability or obligation of the State or of any such political subdivision or be or constitute a pledge of the faith and credit of the State or of any such political subdivision but all such bonds and notes, unless funded or refunded by bonds or notes of the authority, shall be payable solely from revenues or funds pledged or available for their payment as authorized in P.L.2008, c.47 (C.52:27H-31.1 et al.). Each bond and note shall contain on its face a statement to the effect that the authority is obligated to pay the principal thereof or the interest thereon only from revenues, receipts or funds pledged or available for their payment as authorized in P.L.2008, c.47 (C.52:27H-31.1 et al.) and that neither the State nor any political subdivision thereof is obligated to pay such principal or interest and that neither the faith and credit nor the taxing power of the State or any political subdivision thereof is pledged to the payment of the principal of or the interest on such bonds or notes.
##### **§ 52:27H-41.2** Covenants, contracts between authority, holders of bonds, notes. {#sec-52-27h-41.2 omnilex-key=us-nj-statutes--title-52--52:27H-41.2}
13. In any resolution of the authority authorizing or relating to the issuance of any bonds or notes, the authority, in order to secure the payment of such bonds or notes and in addition to its other powers, shall have power by provisions therein which shall constitute covenants by the authority and contracts with the holders of such bonds or notes to:
a. Secure the bonds or notes as provided in section 24 of P.L.2008, c.47 (C.52:27H-41.12);
b. Covenant against pledging all or any part of its revenues or receipts or its leases, sales agreements, service contracts or other security instruments, or its mortgages or other agreements, or the revenues or receipts under any of the foregoing or the proceeds thereof, or against mortgaging or leasing all or any part of its real or personal property then owned or thereafter acquired, or against permitting or suffering any lien on any of the foregoing;
c. Covenant with respect to limitations on any right to sell, mortgage, lease or otherwise dispose of any project or any part thereof or any property of any kind;
d. Covenant as to any bonds and notes to be issued and the limitations thereon and the terms and conditions thereof and as to the custody, application, investment, and disposition of the proceeds thereof;
e. Covenant as to the issuance of additional bonds or notes or as to limitations on the issuance of additional bonds or notes and on the incurring of other debts by it;
f. Covenant as to the payment of the principal of or interest on the bonds or notes, or any other obligations, as to the sources and methods of such payment, as to the rank or priority of any such bonds, notes or obligations with respect to any lien or security or as to the acceleration of the maturity of any such bonds, notes or obligations;
g. Provide for the replacement of lost, stolen, destroyed or mutilated bonds or notes;
h. Covenant against extending the time for the payment of bonds or notes or interest thereon;
i. Covenant as to the redemption of bonds or notes and privileges of exchange thereof for other bonds or notes of the authority;
j. Covenant as to the fixing and collection of rents, fees, rates and other charges, the amount to be raised each year or other period of time by rents, fees, rates and other charges, and as to the use and disposition to be made thereof;
k. Covenant to create or authorize the creation of special funds or monies to be held in pledge or otherwise for construction, operating expenses, payment or redemption of bonds or notes, reserves or other purposes and as to the use, investment, and disposition of the monies held in such funds;
l. Establish the procedure, if any, by which the terms of any contract or covenant with or for the benefit of the holders of bonds or notes may be amended or abrogated, the amount of bonds or notes the holders of which must consent thereto, and the manner in which such consent may be given;
m. Covenant as to the construction, improvement, operation or maintenance of any project and its other real and personal property, the replacement thereof, the insurance to be carried thereon, and the use and disposition of insurance monies;
n. Provide for the release of property, leases or other agreements, or revenues and receipts from any pledge or mortgage and to reserve rights and powers in, or the right to dispose of, property which is subject to a pledge or mortgage;
o. Provide for the rights and liabilities, powers and duties arising upon the breach of any covenant, condition or obligation and to prescribe the events of default and the terms and conditions upon which any or all of the bonds, notes or other obligations of the authority shall become or may be declared due and payable before maturity and the terms and conditions upon which any such declaration and its consequences may be waived;
p. Vest in a trustee or trustees within or without the State such property, rights, powers and duties in trust as the authority may determine, including the right to foreclose any mortgage, which may include any or all of the rights, powers and duties of any trustee appointed by the holders of any bonds or notes pursuant to P.L.2008, c.47 (C.52:27H-31.1 et al.) and to limit or abrogate the right of the holders of any bonds or notes of the authority to appoint a trustee under P.L.2008, c.47 (C.52:27H-31.1 et al.) and to limit the rights, duties and powers of such trustee;
q. Execute all mortgages, leases, sales agreements, service contracts, bills of sale, conveyances, deeds of trust and other instruments necessary or convenient in the exercise of its powers or in the performance of its covenants or duties;
r. Pay the costs or expenses incident to the enforcement of such bonds or notes or of the provisions of such resolution or of any covenant or agreement of the authority with the holders of its bonds or notes;
s. Limit the rights of the holders of any bonds or notes to enforce any pledge or covenant securing bonds or notes; and
t. Make covenants other than, or in addition to, the covenants herein expressly authorized by P.L.2008, c.47 (C.52:27H-31.1 et al.), of like or different character, and to make such covenants to do or refrain from doing such acts and things as may be necessary, or convenient and desirable, in order to better secure bonds or notes or which, in the absolute discretion of the authority, will tend to make bonds or notes more marketable, notwithstanding that such covenants, acts or things may not be enumerated herein.
##### **§ 52:27H-41.3** Pledge by authority valid, binding. {#sec-52-27h-41.3 omnilex-key=us-nj-statutes--title-52--52:27H-41.3}
14. Any pledge of revenues, receipts, monies, funds, levies, sales agreements, service contracts or other property or instruments made by the authority shall be valid and binding from the time when the pledge is made; the revenues, monies, funds or other property so pledged and thereafter received by the authority or a subsidiary shall immediately be subject to the lien of such pledge without any physical delivery thereof or further act, and the lien of any such pledge shall be valid and binding as against all parties having claims of any kind in tort, contract or otherwise against the authority, irrespective of whether such parties have notice thereof. Neither the resolution nor any other instrument by which a pledge under this section is created need be filed or recorded except in the records of the authority.
##### **§ 52:27H-41.4** Establishment of reserves, funds, accounts. {#sec-52-27h-41.4 omnilex-key=us-nj-statutes--title-52--52:27H-41.4}
15. The authority may establish such reserves, funds or accounts as may be, in its discretion, necessary or desirable to further the accomplishment of the purposes of the authority or to comply with the provisions of any agreement made by or any resolution of the authority.
##### **§ 52:27H-41.5** Covenant between State, holders of bonds, notes. {#sec-52-27h-41.5 omnilex-key=us-nj-statutes--title-52--52:27H-41.5}
16. The State of New Jersey does hereby pledge to and covenant and agree with the holders of any bonds or notes issued pursuant to P.L.2008, c.47 (C.52:27H-31.1 et al.) that the State will not limit or alter the rights or powers hereby vested in the authority to acquire, construct, maintain, improve, renovate, preserve, repair and operate the Atlantic City convention center project in any way that would jeopardize the interest of such holders, or to perform and fulfill the terms of any agreement made with the holders of such bonds or notes, or to fix, establish, charge and collect such rents, fees, rates, payments or other charges as may be convenient or necessary to produce sufficient revenues to meet all expenses of the authority and fulfill the terms of any agreement made with the holders of such bonds and notes, together with interest thereon, with interest on any unpaid installments of interest, and all costs and expenses in connection with any action or proceedings by or on behalf of such holders, until the bonds and notes, together with interest thereon, are fully met and discharged or provided for.
##### **§ 52:27H-41.6** Immunity from liability. {#sec-52-27h-41.6 omnilex-key=us-nj-statutes--title-52--52:27H-41.6}
17. Neither the members of the authority nor any person executing bonds or notes issued pursuant to P.L.2008, c.47 (C.52:27H-31.1 et al.) shall be liable personally on such bonds or notes by reason of the issuance thereof.
##### **§ 52:27H-41.7** Investment permitted. {#sec-52-27h-41.7 omnilex-key=us-nj-statutes--title-52--52:27H-41.7}
18. The State and all public officers, governmental units and agencies thereof, all banks, trust companies, savings banks and institutions, building and loan associations, savings and loan associations, investment companies, and other persons carrying on a banking business, all insurance companies, insurance associations and other persons carrying on an insurance business, and all executors, administrators, guardians, trustees and other fiduciaries, may legally invest any sinking funds, monies or other funds belonging to them or within their control in any bonds or notes issued pursuant to P.L.2008, c.47 (C.52:27H-31.1 et al.), and such bonds or notes shall be authorized security for any and all public deposits.
##### **§ 52:27H-41.8** Proceeds deemed trust funds. {#sec-52-27h-41.8 omnilex-key=us-nj-statutes--title-52--52:27H-41.8}
19. All sums of money received pursuant to the authority of P.L.2008, c.47 (C.52:27H-31.1 et al.), whether as proceeds from the sale of bonds or notes or as revenues or receipts, shall be deemed to be trust funds to be held and applied solely as provided in the proceedings under which the bonds or notes are authorized. Any officer with whom or any bank or trust company with which such sums of money shall be deposited as trustee thereof shall hold and apply the same for the purposes thereof, subject to such provisions as P.L.2008, c.47 (C.52:27H-31.1 et al.) and the proceedings authorizing the bonds or the notes of any issue or the trust agreement securing the bonds or notes may provide.
##### **§ 52:27H-41.9** Powers of convention authority. {#sec-52-27h-41.9 omnilex-key=us-nj-statutes--title-52--52:27H-41.9}
21. a. Notwithstanding any other provision of law to the contrary, the convention authority shall have the power to issue bonds and refunding bonds, incur indebtedness and borrow money secured, in whole or in part, by money received pursuant to sections 23 and 25 of P.L.2008, c.47 (C.52:27H-41.11 and C.52:27H-41.13) for the purposes of: (1) replacing contingent State contract bonds; (2) providing funds to meet the payment obligations of the convention authority under the contingent state contract bonds or obligations of the convention authority under any replacements of the contingent State contract bonds; and (3) refunding any outstanding bonds or other obligations of the convention authority issued to finance or refinance any portion of the Atlantic City convention center project. For the purposes of P.L.2008, c.47 (C.52:27H-31.1 et al.), "contingent State contract bonds" means the New Jersey Sports and Exposition Authority State Contract Bond, Series B Standby Deficiency Agreement Series of 2000, State Contract Bond, Equity Termination Value Standby Deficiency Agreement Series of 2000 and State Contract Bond, Swap Payment Standby Deficiency Agreement of 2000.
b. The convention authority shall issue the bonds or refunding bonds in such manner as it shall determine in accordance with the provisions of P.L.2008, c.47 (C.52:27H-31.1 et al.); provided that notwithstanding any other law to the contrary, no resolution adopted by the convention authority authorizing the issuance of bonds or refunding bonds pursuant to this section shall be adopted or otherwise made effective without the approval in writing of the State Treasurer; and refunding bonds issued to refund bonds issued pursuant to this section shall be issued on such terms and conditions as may be determined by the convention authority and the State Treasurer. The convention authority may, in any resolution authorizing the issuance of bonds or refunding bonds issued pursuant to this section, pledge the contract with the State Treasurer provided for pursuant to section 24 of P.L.2008, c.47 (C.52:27H-41.12), or any part thereof, for the payment or redemption of the bonds or refunding bonds, and covenant as to the use and disposition of money available to the convention authority for payment of the bonds and refunding bonds. All costs associated with the issuance of bonds and refunding bonds by the convention authority for the purposes set forth in P.L.2008, c.47 (C.52:27H-31.1 et al.) may be paid by the convention authority from amounts it receives from the proceeds of the bonds or refunding bonds, and from amounts it receives pursuant to sections 23 and 25 of P.L.2008, c.47 (C.52:27H-41.11 and C.52:27H-41.13). The costs may include, but shall not be limited to, any costs relating to the issuance of the bonds or refunding bonds.
c. Each issue of bonds or refunding bonds of the convention authority shall be special obligations of the convention authority payable out of particular revenues, receipts or funds, subject only to any agreements with the holders of bonds or refunding bonds, and may be secured by other sources of revenue, including, but not limited to, one or more of the following:
(1) Pledge of all moneys, funds, accounts, securities and other funds, including the proceeds of the bonds;
(2) Pledge of the contract or contracts with the State Treasurer authorized pursuant to section 24 of P.L.2008, c.47 (C.52:27H-41.12).
d. The resolution authorizing the issuance of bonds or refunding bonds pursuant to this section may also provide for the convention authority to enter into any revolving credit agreement, agreement establishing a line of credit or letter of credit, reimbursement agreement, interest rate exchange agreement, currency exchange agreement, interest rate floor or cap, options, puts or calls to hedge payment, currency, rate, spread or similar exposure or similar agreements, float agreements, forward agreements, insurance contracts, surety bonds, commitments to purchase or sell bonds, purchase or sale agreements, or commitments or other contracts or agreements and other security agreements approved by the convention authority in connection with the issuance of the bonds or refunding bonds pursuant to this section. In addition, the convention authority may, in anticipation of the issuance of the bonds or the receipt of appropriations, grants, reimbursements or other funds, issue notes, the principal of or interest on which, or both, shall be payable out of the proceeds of notes, bonds or other obligations of the convention authority or appropriations, grants, reimbursements or other funds or revenues of the convention authority.
e. The convention authority is authorized to engage, subject to the approval of the State Treasurer and in such manner as the State Treasurer shall determine, the services of financial advisors and experts, placement agents, underwriters, appraisers, and other advisors, consultants and agents as may be necessary to effectuate the issuance of bonds authorized by this section.
f. Bonds and refunding bonds issued by the convention authority pursuant to this section shall be special and limited obligations of the convention authority payable from, and secured by, funds and moneys determined by the convention authority in accordance with this section. Neither the members of the convention authority nor any other person executing the bonds or refunding bonds shall be personally liable with respect to payment of interest and principal on these bonds or refunding bonds. Bonds or refunding bonds issued pursuant to this section shall not be a debt or liability of the State or any agency or instrumentality thereof, except as otherwise provided by this subsection, either legal, moral or otherwise, and nothing contained in P.L.2008, c.47 (C.52:27H-31.1 et al.) shall be construed to authorize the convention authority to incur any indebtedness on behalf of or in any way to obligate the State or any political subdivision thereof, and all bonds and refunding bonds issued by the convention authority shall contain a statement to that effect on their face.
##### **§ 52:27H-41.10** Pledge, covenant between State, holders of bonds, refunding bonds. {#sec-52-27h-41.10 omnilex-key=us-nj-statutes--title-52--52:27H-41.10}
22. The State hereby pledges and covenants with the holders of any bonds or refunding bonds issued pursuant to P.L.2008, c.47 (C.52:27H-31.1 et al.) that it will not limit or alter the rights or powers vested in the convention authority by P.L.2008, c.47 (C.52:27H-31.1 et al.) nor limit or alter the rights or powers of the State Treasurer in any manner which would jeopardize the interest of the holders or any trustee of the holders, or inhibit or prevent performance or fulfillment by the convention authority or the State Treasurer with respect to the terms of any agreement made with the holders of the bonds or refunding bonds or agreements made pursuant to this section; except that the failure of the Legislature to appropriate monies for any purpose of P.L.2008, c.47 (C.52:27H-31.1 et al.) shall not be deemed a violation of this section.
##### **§ 52:27H-41.11** Annual payment to convention authority. {#sec-52-27h-41.11 omnilex-key=us-nj-statutes--title-52--52:27H-41.11}
23. In each fiscal year, the State Treasurer shall pay from the General Fund to the convention authority, in accordance with a contract between the State Treasurer and the convention authority as authorized pursuant to section 24 of P.L.2008, c.47 (C.52:27H-41.12), an amount equal to the debt service amount due to be paid in the State fiscal year on the bonds or refunding bonds of the convention authority issued or incurred pursuant to section 12 of P.L.2008, c.47 (C.52:27H-41.1) and any additional costs authorized pursuant to that section; provided that all such payments from the General Fund shall be subject to and dependent upon appropriations being made from time to time by the Legislature for those purposes, and provided further that all payments shall be used only to pay for the costs of the Atlantic City convention center project and the costs of financing such project.
##### **§ 52:27H-41.12** Authority to enter into contracts to implement payment arrangement. {#sec-52-27h-41.12 omnilex-key=us-nj-statutes--title-52--52:27H-41.12}
24. The State Treasurer and the convention authority are authorized to enter into one or more contracts to implement the payment arrangement provided for in section 23 of P.L.2008, c.47 (C.52:27H-41.11). The contract shall provide for payment by the State Treasurer of the amounts required pursuant to section 23 of P.L.2008, c.47 (C.52:27H-41.11) and shall set forth the procedure for the transfer of money for the purpose of that payment. The contract shall contain terms and conditions as determined by the parties and shall, where appropriate, contain terms and conditions necessary and desirable to secure any bonds or refunding bonds of the convention authority issued or incurred pursuant to P.L.2008, c.47 (C.52:27H-31.1 et al.) provided that notwithstanding any other provision of law or regulation of the convention authority to the contrary, the convention authority shall be paid only such funds as shall be determined by the contract, and the incurrence of any obligation of the State under the contract, including any payments to be made thereunder from the General Fund, shall be subject to and dependent upon appropriations being made from time to time by the Legislature for the purposes of P.L.2008, c.47 (C.52:27H-31.1 et al.).
##### **§ 52:27H-41.13** Deposit, use of luxury tax revenues. {#sec-52-27h-41.13 omnilex-key=us-nj-statutes--title-52--52:27H-41.13}
25. a. Luxury tax revenues paid to the convention authority by the State Treasurer pursuant to paragraph 6 of subsection f. of section 6 of P.L.1971, c.137 (C.5:10-6) and section 14 of P.L.1991, c.375 (C.5:10-14.4) shall be deposited by the convention authority in a separate fund or account and applied to the following purposes and in the following order:
(1) To pay the principal, sinking fund installments and redemption premiums of and interest on any bonds or notes of the convention authority, including bonds or notes of the convention authority issued for the purpose of refunding bonds or notes, issued for purposes of (a) the initial acquisition of the existing properties which constitute part of the Atlantic City convention center project, if the bonds or notes shall be payable under the terms of the resolution of the convention authority relating thereto from luxury tax revenues; or (b) providing improvements, additions or replacements to the Atlantic City convention center project, if the bonds or notes shall be payable under the terms of the resolution of the convention authority relating thereto from luxury tax revenues; and to pay any amounts due from the convention authority under any credit agreement entered into by the convention authority in connection with the bonds or notes.
(2) To pay the costs of operation and maintenance of the Atlantic City convention center project.
(3) To establish and maintain a working capital and maintenance reserve fund for the Atlantic City convention center project in an amount as shall be determined by the convention authority to be necessary.
(4) To promote and market the city of Atlantic City.
(5) For such other uses as shall be approved in convention authority bond resolutions approved after the date of enactment of P.L.2008, c.47 (C.52:27H-31.1 et al.) or as may otherwise be provided by law.
(6) To pay the debt service for such other capital projects or for improvements to those capital projects within Atlantic City, such as expansions, renovations and amenities undertaken by the Atlantic City Convention and Visitors Authority, including, but not limited to, the Boardwalk Hall, or new parking facilities.
(7) To repay to the State those amounts paid by the State with respect to bonds or notes of the convention authority issued for the purposes of the Atlantic City convention center project.
The balance of any luxury tax revenues not required for any of the foregoing purposes and remaining at the end of any calendar year shall be paid to the State Treasurer for application to authorized purposes in the city of Atlantic City pursuant to section 5 of P.L.1981, c.461 (C.40:48-8.30a).
b. The convention authority may pledge the luxury tax revenues paid to it in accordance with the provisions of paragraph 6 of subsection f. of section 6 of P.L.1971, c.137 (C.5:10-6) and section 14 of P.L.1991, c.375 (C.5:10-14.4) as security for the payment of the principal of and interest or premium on its bonds or notes issued for the purposes set forth in subsection a. of this section, in the same manner, to the same extent and with the same effect as the pledge of any of its other revenues, receipts and funds authorized by P.L.2008, c.47 (C.52:27H-31.1 et al.).
##### **§ 52:27H-42** Annual budget. {#sec-52-27h-42 omnilex-key=us-nj-statutes--title-52--52:27H-42}
14. a. As soon as it is practicable after the appointment and qualification of the members of the authority, and annually thereafter, at least 20 days preceding the commencement of the authority's fiscal year on January 1 of each year, the authority shall prepare a proposed budget for its operations and activities for the ensuing fiscal year and introduce the budget by resolution. The budget shall become effective as provided in section 8 of P.L.1981, c.459 (C.52:27H-36), subject to the provisions of subsection d. of this section.
b. The budget shall set forth anticipated revenues for the ensuing fiscal year and the sources thereof, and appropriations for the same period, which appropriations shall not exceed the anticipated revenues. No revenue from any source shall be anticipated unless it can be reasonably expected to be realized during the fiscal year to which the budget applies. Appropriations shall be segregated as salaries and wages, contractual other expenses, and noncontractual other expenses.
c. An appropriation for "anticipated operating deficit of preceding year" shall appear in each annual budget in the amount by which the liabilities and disbursements of the authority for expenditures in the next preceding fiscal year exceed or are likely to exceed receipts and other revenue in that year, subtracting any expenditures provided for by surplus anticipated in the budget.
d. No proposed budget required pursuant to this section shall be approved by the authority unless it is in compliance with the terms of any bond resolution or trust agreement relating to the financing of facilities operated by the authority.
##### **§ 52:27H-44** Annual report; operating and financial statement; audit. {#sec-52-27h-44 omnilex-key=us-nj-statutes--title-52--52:27H-44}
16. On or before the last day of the third month following the close of each fiscal year, the convention authority shall submit an annual report of its activities for the preceding fiscal year to the Governor and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1). The report shall set forth a complete operating and financial statement covering its operations during the year. The president shall audit the books and accounts of the convention authority for each fiscal year, and a copy of that audit shall be filed with the Governor and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1).
##### **§ 52:27H-44.1** Certification of transfer. {#sec-52-27h-44.1 omnilex-key=us-nj-statutes--title-52--52:27H-44.1}
27. Not later than 12:01 PM of the day following the day on which the transfer of ownership of the Atlantic City convention center project from the New Jersey Sports and Exposition Authority to the Atlantic City Convention and Visitors Authority authorized under section 6 of P.L.1971, c.137 (C.5:10-6) is completed, the President of the New Jersey Sports and Exposition Authority shall certify in writing, to the Governor, the Secretary of State, the President of the Senate and the Speaker of the General Assembly, that such transfer has been completed.
##### **§ 52:27H-60** Short title {#sec-52-27h-60 omnilex-key=us-nj-statutes--title-52--52:27H-60}
This act shall be known and may be cited as the "New Jersey Urban Enterprise Zones Act."
##### **§ 52:27H-61** Legislative findings, determinations. {#sec-52-27h-61 omnilex-key=us-nj-statutes--title-52--52:27H-61}
2. The Legislature finds and determines:
a. That there persist in this State, particularly in its urban centers, areas of economic distress characterized by high unemployment, low investment of new capital, blighted conditions, obsolete or abandoned industrial or commercial structures, and deteriorating tax bases.
b. That the severe and persistent deterioration of these areas demands vigorous and coordinated efforts by private and public entities to restore their prosperity and enable them to resume significant contributions to the economic and social life of the State.
c. That the economic revitalization of these areas requires application of the skills and entrepreneurial vigor of private enterprise; and it is the responsibility of government to provide a framework within which encouragement be given to private capital investment in these areas, disincentives to investment be removed or abated, and mechanisms be provided for the coordination and cooperation of private and public agencies in restoring the economic viability and prosperity of these areas.
d. That certain urban areas which continue to experience high levels of unemployment should be able to continue to receive the aforementioned assistance and incentives necessary to promote economic revitalization of those areas.
e. That a business district with urban enterprise zones adjacent to it on two or more sides can be negatively impacted because the businesses in the adjacent enterprise zones are permitted to collect 50% less sales tax and thus have a significant advantage in competition for customers. The impacted business district can become economically distressed because there is a disincentive to businesses to invest in or stay in that business district.
##### **§ 52:27H-62** Definitions. {#sec-52-27h-62 omnilex-key=us-nj-statutes--title-52--52:27H-62}
3. As used in P.L.1983, c.303 (C.52:27H-60 et seq.):
a. "Enterprise zone" or "zone" means an urban enterprise zone designated by the authority pursuant to P.L.1983, c.303 (C.52:27H-60 et seq.);
b. "Authority" or "UEZ Authority" means the New Jersey Urban Enterprise Zone Authority created by P.L.1983, c.303 (C.52:27H-60 et seq.);
c. "Qualified business" means any entity authorized to do business in the State of New Jersey which, at the time of designation as an enterprise zone or a UEZ-impacted business district, is engaged in the active conduct of a trade or business in that zone or district; or an entity which, after that designation but during the designation period, becomes newly engaged in the active conduct of a trade or business in that zone or district and has at least 25 percent of its full-time employees employed at a business location in an eligible block group as defined under section 12 of P.L.2021, c.197 (C.52:27H-99), and which employees meet one or more of the following criteria:
(1) Residents within the zone, the district, within another zone or within a qualifying municipality; or
(2) Unemployed for at least six months prior to being hired and residing in New Jersey, and recipients of New Jersey public assistance programs for at least six months prior to being hired, or either of the aforesaid; or
(3) Determined to be low income individuals pursuant to the Workforce Investment Act of 1998, Pub.L.105-220 (29 U.S.C. s.2811);
Approval as a qualified business shall be conditional upon meeting all outstanding tax obligations, and may be withdrawn by the authority if a business is continually delinquent in meeting its tax obligations;
d. "Qualifying municipality" means any municipality that was previously designated as a qualifying municipality prior to the effective date of P P.L.2021, c.197;
e. "Public assistance" means income maintenance funds administered by the Department of Human Services or by a county welfare agency;
f. "Zone development corporation" means a nonprofit corporation or association created or designated by the governing body of a qualifying municipality to formulate and propose a preliminary zone development plan pursuant to section 9 of P.L.1983, c.303 (C.52:27H-68) and to prepare, monitor, administer and implement the zone development plan;
g. "Zone development plan" means a plan adopted by the governing body of a qualifying municipality for the development of an enterprise zone therein, and for the direction and coordination of activities of the municipality, zone businesses and community organizations within the enterprise zone toward the economic betterment of the residents of the zone and the municipality;
h. "Zone neighborhood association" means a corporation or association of persons who either are residents of, or have their principal place of employment in, a municipality in which an enterprise zone has been designated pursuant to P.L.1983, c.303 (C.52:27H-60 et seq.); which is organized under the provisions of Title 15 of the Revised Statutes or Title 15A of the New Jersey Statutes; and which has for its principal purpose the encouragement and support of community activities within, or on behalf of, the zone so as to (1) stimulate economic activity, (2) increase or preserve residential amenities, or (3) otherwise encourage community cooperation in achieving the goals of the zone development plan;
i. "Enterprise zone assistance fund" or "assistance fund" means the fund created by section 29 of P.L.1983, c.303 (C.52:27H-88);
j. "UEZ-impacted business district" or "district" means an economically-distressed business district classified by the authority as having been negatively impacted by two or more adjacent urban enterprise zones in which 50 percent less sales tax is collected pursuant to section 21 of P.L.1983, c.303 (C.52:27H-80);
k. "Block group" means statistical divisions of census tracts, that are generally defined by the United States Census Bureau to contain between 600 and 3,000 people and are used to present data and control block numbering;
l. "Municipal Revitalization Index" means the index developed, maintained, and updated from time to time, by the Department of Community Affairs ranking New Jersey's municipalities according to separate indicators that measure diverse aspects of social, economic, physical, and fiscal conditions in each locality;
m. "Qualified assistance fund expense" means any reasonable expense related to:
(1) a construction project improving, altering, or repairing the real property of a qualified business located in an enterprise zone;
(2) full or part time economic and community development positions in the municipality, other governmental, or not-for-profit organization, or marketing;
(3) loans, grants, and guarantees to businesses;
(4) payroll expenses, personnel, services, and equipment purchases primarily for the provision of law enforcement, fire protection, or emergency medical services within commercial and transportation corridors located exclusively in an enterprise zone;
(5) planning and other professional services related to economic and community development;
(6) cleaning and maintenance of commercial and transportation corridors;
(7) the improvement of public infrastructure in a commercial or transportation corridor and transportation infrastructure located within an enterprise zone, including, but not limited to, the payment of debt service related to the financing of a transportation infrastructure project, and the pledge of funds credited to the assistance fund toward the repayment of any loan issued by the State Transportation Infrastructure Bank pursuant to section 34 of P.L.2016, c.56 (C.58:11B-10.4) or any government agency, for a transportation infrastructure project, provided that up to 75 percent of any zone assistance funds may be used to pay debt service related to the financing of the cost of a transportation infrastructure project or pledged toward the repayment of any loan for the cost of a transportation infrastructure project if such use is detailed in that municipality's zone development plan certified by the UEZ Authority;
(8) the improvement of public infrastructure related to a commercial, industrial, mixed use, or multi-family residential property;
(9) employment and training programs; or
(10) events meant to support and draw activity into the enterprise zone, including fairs, festivals, and concerts.
n. "UEZ coordinator" means an individual designated by a qualified municipality or zone development corporation as the individual in charge of the activities related to the Urban Enterprise Zone program in that municipality;
o. "UZ-2 certification" means the UEZ Authority's certification of a qualified business, pursuant to section 21 of P.L.1983, c.303 (C.52:27H-80), allowing the qualified business an exemption to the extent of 50 percent of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), when the sales transaction physically occurs within an enterprise zone. The qualified business may deliver merchandise to the purchaser at a location outside an enterprise zone provided the sales transaction was physically made within the enterprise zone. The regular tax rate shall be charged for mail order, telephone, internet, and similar sales transactions delivered within the State;
p. "UZ-4 certification" means the UEZ Authority's certification of a qualified business, pursuant to section 8 of P.L.2021, c.197 (C.52:27H-79.1), allowing a contractor of the qualified business to make tax-free purchases of materials, supplies, and services for the exclusive use of erecting a structure or building on, or substantially improving, altering, or repairing, the real property of a qualified business located in an enterprise zone at the address indicated on the qualified business's application for certification to the UEZ Authority;
q. "UZ-5 certification" means the UEZ Authority's certification of a qualified business, as defined under section 20 of P.L.1983, c.303 (C.52:27H-79), allowing the qualified business to make tax-free purchases of office and business equipment and supplies, furnishings, trade fixtures, repair, or construction materials and all other tangible personal property (other than motor vehicles and motor vehicle parts and supplies) for the exclusive use or consumption on the premises of the qualified business within an enterprise zone at an address indicated on the qualified business's application for certification to the UEZ Authority. The exemption may be used only for personal property controlled by the qualified business. This exemption shall also apply to delivery charges and charges for services performed for a qualified business at its zone location, including repair, janitorial, and maintenance services;
r. "Economic Distress Index" means a standardized score developed and maintained by the Department of Community Affairs that equally incorporates the block group unemployment rate and median household income according to the most recent five-year estimate by the United States Census Bureau;
s. "Commercial corridor" means the land area with frontage on a State, county, local, or rail thoroughfare in an enterprise zone which is predominantly commercial or industrial;
t. "Transportation corridor" means a broad geographical band that follows a general directional flow or connects major sources of trips. It may contain a number of streets and highways and transit lines or routes;
u. "Improvement of transportation infrastructure" means the undertaking of a capital project for the construction, repair, upgrade, or maintenance of transportation infrastructure;
v. "Transportation infrastructure" includes, but is not limited to:
(1) all public highways, roads, bridges, and streets in the State, whether maintained by the State or by any county, municipality, or other political subdivision; and
(2) public transportation facilities used in connection with public transportation service, such as passenger stations, shelters, and terminals, automobile and bus parking facilities, ramps, track connections, signal systems, power systems, information and communication systems, roadbeds, transit lanes or rights-of-way, equipment storage and servicing facilities, bridges, grade crossings, rail cars, locomotives, motorbuses and other motor vehicles, maintenance and garage facilities, revenue handling equipment, and any other equipment, facility, or property useful or related to the provision of public transportation service;
w. "Public transportation service" means rail passenger service, motorbus regular route service, paratransit service, motorbus charter service, and ferry passenger service;
x. "Rail passenger service" means and includes the operations of a railroad, subway, street, traction, or electric railway for the purpose of carrying passengers in this State or between points in this State and points in other states;
y. "Motorbus regular route service" means and includes the operation of any motorbus or motorbuses on streets, public highways, or other facilities over a fixed route and between fixed termini on a regular schedule for the purpose of carrying passengers for hire or otherwise in this State or between points in this State and points in other states;
z. "Paratransit services" means and includes any service, other than motorbus regular route service and charter services, including, but not limited to, dial-a-ride, non-regular route, jitney or community minibus, and shared-ride services such as vanpools, limousines, or taxicabs which are regularly available to the public. Paratransit services shall not include limousine or taxicab service reserved for the private and exclusive use of individual passengers;
aa. "Motorbus charter service" means and includes subscription, tour, other special motorbus services, school bus services, or charter services as set forth in section 7 of P.L.1979, c.150 (C.27:25-7); and
bb. "Ferry passenger service" means any service which involves the carriage of persons for compensation or hire by waterborne craft in this State or between points in this State and points in other states.
##### **§ 52:27H-63** New Jersey Urban Enterprise Zone Authority. {#sec-52-27h-63 omnilex-key=us-nj-statutes--title-52--52:27H-63}
4. a. There is created the New Jersey Urban Enterprise Zone Authority, which shall consist of:
(1) The chief executive officer of the New Jersey Economic Development Authority;
(2) The Commissioner of the Department of Community Affairs, who shall be the chair of the UEZ Authority;
(3) The Commissioner of the Department of Labor and Workforce Development;
(4) The State Treasurer;
(5) The chief executive officer of the New Jersey Redevelopment Authority; and
(6) Four public members not holding any other office, position or employment in the State Government, nor any local elective office, who shall be appointed by the Governor with the advice and consent of the Senate, and who shall be qualified for their appointments by training and experience in the areas of local government finance, economic development and redevelopment, or volunteer civic service and community organization. No more than two public members shall be of the same political party. At least one public member of the authority shall reside within an enterprise zone; however, the provisions of this section shall apply only to members appointed or reappointed after the effective date of P.L.2001, c.347 (C.52:27H-66.2 et al.).
b. (Deleted by amendment, P.L.2021, c.197)
c. An ex officio member of the authority may, from time to time, designate in writing to the authority an official within his respective department to attend and represent the department at the meetings of the authority from which the ex officio member is absent, and that designated representative shall be entitled to vote and otherwise act for the ex officio member at those meetings.
d. A true copy of the minutes of every meeting of the authority shall be forthwith delivered by and under the certification of the secretary thereof to the Governor. No action taken at such meeting by the authority shall have force or effect until 10 days, Saturdays, Sundays, and public holidays excepted, after the copy of the minutes shall have been so delivered, unless during such 10-day period the Governor shall approve the same, in which case such action shall become effective upon such approval. If, in that 10-day period, the Governor returns such copy of the minutes with veto of any action taken by the authority or any member thereof at such meeting, such action shall be null and void and of no effect.
e. The UEZ Authority, reconstituted pursuant to P.L.2021, c.197 (C.52:27H-79.1 et al.), shall hold an initial meeting on the first business day of the third month following the date of enactment of P.L.2021, c.197 (C.52:27H-79.1 et al.). The public members of the UEZ Authority shall serve for terms of five years, except that of the members first appointed to the reconstituted UEZ Authority pursuant to P.L.2021, c.197 (C.52:27H-79.1 et al.), one shall serve for a term of two years, one shall serve for a term of three years, one shall serve for a term of four years, and one shall serve for a term of five years. Vacancies in the public membership shall be filled in the manner of the original appointments but for the unexpired terms.
##### **§ 52:27H-64** Authority allocated to Commerce and Economic Development {#sec-52-27h-64 omnilex-key=us-nj-statutes--title-52--52:27H-64}
5. For purposes of compliance with Article V, Section IV, paragraph 1 of the Constitution of the State of New Jersey, the authority created by this act is allocated to the Department of Commerce and Economic Development. All clerical and professional assistants, and all personnel, procurement, budgetary and other administrative services necessary or incidental to its proper functioning shall be provided by and through that department. The authority shall, subject to the availability of funds, reimburse the department for all administrative services provided to the authority pursuant to this section.
##### **§ 52:27H-65** Duties {#sec-52-27h-65 omnilex-key=us-nj-statutes--title-52--52:27H-65}
It shall be the duty of the authority to:
a. Promulgate criteria for the designation of zones pursuant to the provisions of this act;
b. Receive and evaluate applications of municipalities for the designation of zones;
c. Enter into discussions with applying municipalities regarding zone development proposals;
d. Act as agent of the State with respect to zone development plans, and in determining the State-furnished components to be included in those plans;
e. Designate zones in accordance with the provisions of this act and promulgate rules and regulations necessary to carry out its duties under this act;
f. Exercise continuing review and supervision of the implementation of zone development plans;
g. Receive and evaluate proposals of qualifying municipalities in which enterprise zones are designated for funding of projects and increased eligible municipal services from the enterprise zone assistance fund, and to certify annually to the State Treasurer amounts to be paid from the enterprise zone assistance fund to support approved projects and increased eligible municipal services in designated enterprise zones;
h. Assist and represent qualifying municipalities in any negotiations with, or proceedings before, other agencies of State Government or of the federal government, to secure necessary or appropriate assistance, support and cooperation of those agencies in the implementation of zone development plans in accordance with the provisions of this act and any other applicable State or federal law;
i. Upon request, assist agencies of municipal government in gathering, compiling and organizing data to support an application for designation of a zone, and in identifying and coordinating the elements of a zone development proposal suitable for the zone sought to be designated;
j. Provide assistance to State and local government agencies relating to application for the security of permits, licenses and other regulatory approvals required by those agencies, to assure consideration and expeditious handling of regulatory requirements of any zone business, zone business association or zone neighborhood association; regulatory agencies of the State and its agencies and instrumentalities may agree to any simplification, consolidation or other liberalization of procedural requirements which may be requested by the authority and which is not inconsistent with provisions of law;
k. Assist the State in applying to, or entering into negotiations or agreements with, the federal government, for federal enterprise zone designations; and
l . Exercise continuing review of the implementation of this act, and to report annually to the Governor and the Legislature on the effectiveness of enterprise zones in addressing the conditions cited in this act, including any recommendations for legislation to improve the effectiveness of operation of those zones. The report shall be submitted one year from the effective date of this act, and annually thereafter.
##### **§ 52:27H-65.1** Preparation of fiscal impact study {#sec-52-27h-65.1 omnilex-key=us-nj-statutes--title-52--52:27H-65.1}
11. In addition to the duties of the authority required under section 6 of P.L.1983, c.303 (C.52:27H-65), the authority shall also prepare a fiscal impact study of each additional enterprise zone designated pursuant to this 1993 amendatory and supplementary act and for each enterprise zone designated prior to this act. The study shall include, but not be limited to, an analysis of the effects of each enterprise zone on the local economy of the area in which the zone is located and an assessment of the effectiveness of these zones in addressing the goals of the "New Jersey Urban Enterprise Zones Act," P.L.1983, c.303 (C.52:27H-60 et seq.). The study shall be completed within a reasonable time after the end of one year following the designation of the additional zones by the authority pursuant to the priority consideration criteria set forth in this 1993 amendatory and supplementary act. The authority shall submit its study to the Governor and the Legislature, including any recommendations for legislation to improve the effectiveness of operation of these zones, within two years from the effective date of this 1993 amendatory and supplementary act. The authority shall use funds available from the account created in the name of the authority in the enterprise zone assistance fund for the administration of the program to pay for the cost of the study.
##### **§ 52:27H-66** Designation of enterprise zones. {#sec-52-27h-66 omnilex-key=us-nj-statutes--title-52--52:27H-66}
7. The authority shall designate enterprise zones from among those areas of qualifying municipalities determined to be eligible pursuant to P.L.1983, c.303 (C.52:27H-60 et seq.). No more than 32 enterprise zones shall be in effect at any one time. No more than one enterprise zone shall be designated in any one municipality. In designating enterprise zones the authority shall seek to avoid excessive geographic concentration of zones in any particular region of the State. At least six of the 10 additional enterprise zones authorized pursuant to section 3 of P.L.1993, c.367 shall be located in counties in which enterprise zones have not previously been designated and shall be designated within 90 days of the date of the submittal of an application and zone development plan. The authority shall accept applications within 90 days of the effective date of P.L.1993, c.367. Notwithstanding the provisions of P.L.1983, c.303 (C.52:27H-60 et seq.) to the contrary, the six additional enterprise zones to be designated by the authority pursuant to the criteria for priority consideration in this section shall be entitled to an exemption to the extent of 50 percent of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.). The following criteria shall be utilized in according priority consideration for designation of these zones by the authority:
a. One zone shall be located in a county of the second class with a population greater than 595,000 and less than 675,000 according to the latest federal decennial census and shall be located in the qualifying municipality in that county with the highest annual average number of unemployed persons and the highest average annual unemployment rate for the 1992 calendar year according to the estimate by the State Department of Labor and Workforce Development;
b. Two zones shall be located in a county of the second class with a population greater than 445,000 and less than 455,000 according to the latest federal decennial census, one of which shall be located in the qualifying municipality in that county with the highest annual average number of unemployed persons and the highest average annual unemployment rate for the 1992 calendar year according to the estimate by the State Department of Labor and Workforce Development, and one of which shall be located in the qualifying municipality in that county with the second highest annual average number of unemployed persons and the second highest average annual unemployment rate for the 1992 calendar year according to the estimate by the State Department of Labor and Workforce Development;
c. One zone shall be located in a county of the third class with a population greater than 84,000 and less than 92,000 according to the latest federal decennial census and shall be located in the qualifying municipality in that county with the highest annual average number of unemployed persons and the highest average annual unemployment rate for the 1992 calendar year according to the estimate by the State Department of Labor and Workforce Development;
d. One zone shall be located within two noncontiguous qualifying municipalities but comprised of not more than two noncontiguous areas each having a continuous border, if:
(1) both municipalities are located in the same county which shall be a county of the fifth class with a population greater than 500,000 and less than 555,000 according to the latest federal decennial census;
(2) the two municipalities submit a joint application and zone development plan; and
(3) each of the municipalities has a population greater than 16,000 and less than 30,000 and a population density of more than 5,000 persons per square mile, according to the latest federal decennial census; and
e. One zone shall be located within a municipality having a population greater than 38,000 and less than 46,000 according to the latest federal decennial census if the municipality is located within a county of the fifth class with a population greater than 340,000 and less than 440,000 according to the latest federal decennial census.
##### **§ 52:27H-66.1** Additional zones authorized. {#sec-52-27h-66.1 omnilex-key=us-nj-statutes--title-52--52:27H-66.1}
3. The additional seven zones authorized pursuant to P.L.1995, c.382 (C.52:27H-66.1 et al.), the additional zone authorized pursuant to P.L.2003, c.285, and the additional zone designated pursuant to P.L.2004, c.75, shall be designated within 90 days of the date of the submittal of an application and zone development plan. The authority shall accept applications within 90 days of the effective date of P.L.1995, c.382 (C.52:27H-66.1 et al.) or P.L.2003, c.285, as applicable, for those zones that fulfill the criteria set forth in this section. Notwithstanding the provisions of P.L.1983, c.303 (C.52:27H-60 et seq.) to the contrary, the nine additional enterprise zones to be designated by the authority pursuant to the criteria for priority consideration set forth in this section shall be entitled to an exemption to the extent of 50% of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.). The following criteria shall be utilized in according priority consideration for designation of the seven additional enterprise zones authorized pursuant to P.L.1995, c.382 (C.52:27H-66.1 et al.), the additional enterprise zone authorized pursuant to P.L.2003, c.285, and the additional zone designated pursuant to P.L.2004, c.75:
(1) One zone shall be located in a qualifying municipality with a population greater than 55,000 and less than 65,000 according to the latest federal decennial census in a county of the first class with a population density greater than 6,100 and less than 6,700 persons per square mile according to the latest federal decennial census provided that the qualifying municipality is contiguous to a municipality in which an enterprise zone is designated;
(2) One zone shall be located in a qualifying municipality with a population greater than 70,000 and less than 80,000 according to the latest federal decennial census;
(3) One zone shall be located in a qualifying municipality with a population greater than 38,000 and less than 39,500 according to the latest federal decennial census;
(4) One zone shall be located in a qualifying municipality with a population greater than 45,000 and less than 55,000 according to the latest federal decennial census;
(5) One zone shall be located in a qualifying municipality with a population greater than 21,000 and less than 22,000;
(6) One zone shall be located in a qualifying municipality with a population greater than 29,000 and less than 32,000 according to the latest federal decennial census;
(7) One zone shall be located within a qualifying municipality having a population greater than 7,000 and less than 9,000 according to the latest federal decennial census in a county of the first class with a population greater than 550,000 and less than 560,000 according to the latest federal decennial census;
(8) An additional zone shall be located within a qualifying municipality with a population greater than 11,400 and less than 11,600 according to the latest federal decennial census in a county of the second class with a population greater than 500,000 and less than 520,000 according to the latest federal decennial census; and
(9) An additional zone shall be located within a qualifying municipality with a population greater than 48,000 and less than 49,000 according to the latest federal decennial census in a county of the second class with a population of greater than 750,000 according to the latest federal decennial census.
##### **§ 52:27H-66.2** "UEZ-impacted business district." {#sec-52-27h-66.2 omnilex-key=us-nj-statutes--title-52--52:27H-66.2}
3. The authority shall designate a classification known as a "UEZ-impacted business district" for a municipality which can demonstrate to the authority that its business district is economically distressed and is being negatively impacted by the presence of two or more adjacent enterprise zones in which 50 percent less sales tax is collected pursuant to section 21 of P.L.1983, c. 303 (C.52:27H-80). Following the effective date of P.L.2021, c.197 (C.52:27H-79.1 et al.), the UEZ Authority shall not designate a business district as a UEZ-impacted business district. Any designation as a UEZ-impacted business district existing on the effective date of P.L.2021, c.197 (C.52:27H-79.1 et al.) shall expire on the first day of the third year next following the effective date of P.L.2021, c.197 (C.52:27H-79.1 et al.).
##### **§ 52:27H-66.4** UEZ-impacted business district, tax exemption for qualified businesses. {#sec-52-27h-66.4 omnilex-key=us-nj-statutes--title-52--52:27H-66.4}
5. a. A qualified business within a UEZ-impacted business district authorized pursuant to section 3 of P.L.2001, c.347 (C.52:27H-66.2) shall be entitled to an exemption to the extent of 50% from the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.) in accordance with section 21 of the "New Jersey Urban Enterprise Zones Act," P.L.1983, c.303 (C.52:27H-80) to the same extent as that granted to qualified businesses in the adjacent enterprise zones provided that the qualified business applies to the Director of the Division of Taxation in the Department of the Treasury for certification pursuant to section 21 of P.L.1983, c.303 (C.52:27H-80), meets the eligibility criteria of section 27 of P.L.1983, c.303 (C.52:27H-86), and satisfies the annual certification requirements of section 28 of P.L.1983, c.303 (C.52:27H-87).
b. The reduced rate revenues authorized by this section and received from the taxation of retail sales made by qualified businesses in the UEZ-impacted business district shall be deposited in the General Fund and not allocated in accordance with section 21 of the "New Jersey Urban Enterprise Zones Act," P.L.1983, c.303 (C.52:27H-80), to the enterprise zone assistance fund.
c. Other than the reduction in sales tax rate provided to qualified businesses pursuant to this section, no tax credits, incentives, programs or other benefits of the "New Jersey Urban Enterprise Zones Act," P.L.1983, c.303 (C.52:27H-60 et seq.), shall be available to businesses in the district as a result of a UEZ-impacted business district designation.
##### **§ 52:27H-66.6a** UEZ reimbursed for municipal account moneys {#sec-52-27h-66.6a omnilex-key=us-nj-statutes--title-52--52:27H-66.6a}
1. Notwithstanding the provisions of section 7 of P.L.1983, c.303 (C.52:27H-66), section 21 of P.L.1983, c.303 (C.52:27H-80), section 11 of P.L.2001, c.347 (C.52:27H-66.6) or any provision of law to the contrary, any designated enterprise zone that has a separate municipal account in the enterprise zone assistance fund that is reduced by the transfer from that fund made pursuant to section 69 of P.L.2002, c.38, shall have extended any designated five-year period under which it is operating on July 1, 2002 for such period of time as is necessary for the higher percentage rate of separate enterprise zone assistance fund deposits to yield such additional sums as is necessary to fully compensate for the amount transferred, except that any zone beginning an extension of designation pursuant to section 11 of P.L.2001, c.347 (C.52:27H-66.6) within twelve months following the effective date of this section shall have extended the first five-year period of its extension of designation for such period of time as is necessary to fully compensate for the amount transferred.
##### **§ 52:27H-66.7** Designation of three additional zones {#sec-52-27h-66.7 omnilex-key=us-nj-statutes--title-52--52:27H-66.7}
12. The three additional zones, authorized pursuant to P.L.2001, c.347 (C.52:27H-66.2 et al.), shall be designated within 90 days of the date of the submittal of an application and zone development plan, provided that the joint zone shall be designated within 90 days of the date of the submittal of a joint application and a joint zone development plan by the adjoining municipalities. The authority shall accept applications within 90 days of the effective date of P.L.2001, c.347 (C.52:27H-66.2 et al.). Notwithstanding the provisions of P.L.1983, c.303 (C.52:27H-60 et seq.) to the contrary, the additional enterprise zones to be designated by the authority pursuant to the criteria for priority consideration set forth in this section shall be entitled to an exemption to the extent of 50% of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.). The following criteria shall be utilized in according priority consideration for designation of the three additional enterprise zones authorized pursuant to P.L.2001, c.347 (C.52:27H-66.2 et al.):
a. (1) The joint zone shall be located in four municipalities which are adjacent to each other, one of which has a population greater than 5,000 and less than 5,500 according to the latest federal decennial census, one of which has a population greater than 4,500 and less than 5,000 according to the latest federal decennial census, one of which has a population greater than 3,000 and less than 4,000 according to the latest federal decennial census, and one of which has a population greater than 400 and less than 500 according to the latest federal decennial census; and
(2) The joint zone shall be located in a county of the sixth class according to the latest federal decennial census.
b. (1) The second zone shall be located in a municipality with a population greater than 60,000 and less than 65,000 according to the latest federal decennial census in a county of the first class with a population greater than 600,000 and less than 620,000 according to the latest federal decennial census; and
(2) The second zone shall be located in a municipality which is contiguous to at least one qualifying municipality which has a designated enterprise zone and which is in a county of the first class.
c. The third zone shall be located within a municipality that
(1) borders on another municipality having an urban enterprise zone;
(2) has a population greater than 20,000 and a population density greater than 7,500 persons per square mile according to the latest federal decennial census; and
(3) has a per capita retail sales rate that is less than $2,500, as reported by the U.S. Bureau of the Census, 1992 Census of Retail.
##### **§ 52:27H-67** Municipal zone development corporations, maintenance of Internet website, webpage; contents. {#sec-52-27h-67 omnilex-key=us-nj-statutes--title-52--52:27H-67}
8. a. The governing body of any qualifying municipality may, by ordinance, create or designate a nonprofit corporation established pursuant to the provisions of Title 15 of the Revised Statutes or Title 15A of the New Jersey Statutes to act as the zone development corporation for the municipality. Any zone development corporation so created or so designated shall include on its board of directors representatives of the government of the qualifying municipality, members of the business community thereof, and representatives of community organizations in the municipality, and the total membership of the board of directors shall be broadly representative of businesses and communities within the municipality.
b. Notwithstanding the provisions of any other law to the contrary, a zone development corporation shall be considered to be a local development corporation for the purpose of receiving any State financial or technical assistance as may be available, and the creation of a zone development corporation shall not preclude a qualifying municipality from creating another local development corporation for the municipality with responsibilities not related to the enterprise zone, nor preclude that other corporation from receiving State financial or technical assistance.
c. The zone development corporation shall develop and maintain either an Internet website or a webpage on the municipality's Internet website. The purpose of the website or webpage shall be to provide increased public access to the zone development corporation's operations and activities. The following information, if applicable, shall be posted on the zone development corporation's website or webpage:
(1) a description of the zone development corporation's mission and responsibilities;
(2) the budget once adopted for the current and immediately prior fiscal years. Commencing with the fiscal year next following the effective date of P.L.2011, c.167 (C.4:24-20.1 et al.), the budgets of at least three consecutive fiscal years shall be available on the website or webpage;
(3) The most recent Comprehensive Annual Financial Report or other similar financial information;
(4) the annual audit for the most recent and immediately prior fiscal years. Commencing with the fiscal year next following the effective date of P.L.2011, c.167 (C.4:24-20.1 et al.), the annual audits of at least three consecutive fiscal years shall be available on the website or webpage;
(5) the zone development corporation's bylaws, rules, regulations, and official policy statements deemed relevant by the corporation's board to the interests of the residents within the zone;
(6) notice, posted pursuant to the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.), of a meeting of the zone development corporation, setting forth the time, date, location, and agenda of the meeting;
(7) the minutes of each meeting of the zone development corporation including all resolutions of the board and its committees for the current fiscal year. Commencing with the fiscal year next following the effective date of P.L.2011, c.167 (C.4:24-20.1 et al.), the approved minutes of meetings for at least three consecutive fiscal years shall be available on the website;
(8) the name, mailing address, electronic mail address, if available, and phone number of every person who exercises day-to-day supervision or management over some or all of the operations of the zone development corporation; and
(9) a list of attorneys, advisors, consultants, and any other person, firm, business, partnership, corporation, or other organization which received any remuneration of $17,500 or more during the preceding fiscal year for any service whatsoever rendered to the zone development corporation.
##### **§ 52:27H-68** Preliminary zone development plan. {#sec-52-27h-68 omnilex-key=us-nj-statutes--title-52--52:27H-68}
9. a. Prior to the effective date of P.L.2021, c.197, the governing body of a qualifying municipality may apply for designation as an enterprise zone, the municipal governing body shall cause a preliminary zone development plan to be formulated, either by a zone development corporation or by the governing body, with the assistance of those officers and agencies of the municipality as the governing body may see fit. For a municipality with a zone development plan that was approved more than five years prior to the effective date of P.L.2021, c.197, the governing body of the municipality shall submit an updated preliminary zone development plan pursuant to this section. In formulating an updated preliminary zone development plan pursuant to this section, a zone development corporation or the governing body of the municipality shall consult with representatives of diverse Statewide or regional business organizations that represent the interests of minority businesses, as defined in section 2 of P.L.1986, c. 195 (C.52:27H-21.18), which organizations shall have no less than 30 days to review a proposed preliminary zone development plan and submit comments to the zone development corporation or governing body. Each preliminary zone development plan shall set forth the boundaries of the enterprise zone and include findings of fact concerning the economic and social conditions existing in the enterprise zone, and the municipality's policy and intentions for addressing these conditions, and may include proposals respecting:
(1) Utilizing the powers conferred on the municipality by law for the purpose of stimulating investment in and economic development of the zone;
(2) Utilizing State assistance through the provisions of P.L.1983, c.303 (C.52:27H-60 et seq.) relating to State tax benefits and enterprise zone assistance funds;
(3) Securing the involvement in, and commitment to, zone economic development by private entities, including zone neighborhood associations, voluntary community organizations supported by residents and businesses in the zone;
(4) Utilizing the powers conferred by law to revise municipal planning and zoning ordinances and other land use regulations as they pertain to the zone, in order to enhance the attraction of the zone to prospective developers;
(5) Increasing the availability and efficiency of support services, public and private, generally used by and necessary to the efficient functioning of commercial and industrial facilities in the area, and the extent to which the increase or improvement is to be provided and financed by the municipal government or by other entities.
b. (1) The governing body of a municipality may request from the UEZ Authority an amount not to exceed 10 percent of the municipality's zone assistance fund allocation or $125,000, whichever is greater, to fund, in whole or in part, the costs associated with formulating a preliminary zone development plan, which amount the governing body may use to pay employees, or to retain a consultant, to formulate the plan. Prior to soliciting a consultant to formulate the plan with these funds, the governing body of a municipality shall submit to the UEZ Authority the proposed solicitation.
(2) The UEZ Authority shall review the proposed solicitation and may provide recommended modifications to the proposed solicitation. The governing body of a municipality or a zone development corporation may incur expenses related to the preparation of the preliminary zone development plan for potential reimbursement at a later time by the UEZ Authority from the municipality zone assistance fund account, provided the authority determines the expenses are reasonable. The governing body of a municipality or a zone development corporation shall complete a preliminary zone development plan with assistance from the UEZ Authority, as needed, in accordance with a timeline established by the authority pursuant to rules, regulations, or guidelines adopted by the authority.
(3) Within 14 days of receipt, unless the authority finds material deficiencies in a preliminary zone development plan, the authority shall approve and certify the preliminary zone development plan as the zone development plan. The zone development plan shall be the plan according to which the Urban Enterprise Zone program shall be administered in that zone, and certification of the plan shall enable the municipality to access assistance from the enterprise zone assistance fund described in section 10 of P.L.2021, c.197 (C.52:27H-88). Should the authority find deficiencies with a preliminary zone development plan, it shall provide a corrective action plan to the municipality.
c. If no zone development plan is in place, upon petition of the zone development corporation or governing body of the municipality, the UEZ Authority may grant a distribution from that municipality's zone assistance fund account for an eligible project that responds to an impact of a public health emergency or state of emergency declared by the Governor. A zone development corporation or governing body of a municipality without a zone development plan in place, which can demonstrate to the UEZ Authority an actionable and feasible plan to carry out a project eligible for zone assistance funds, and which can demonstrate a reliance on zone assistance funding, may petition the authority for a distribution from that municipality's zone assistance fund account prior to the authority's approval of an updated preliminary zone development plan.
d. No zone development plan shall remain in force once it has been certified by the UEZ Authority for more than five years. The governing body of a municipality or zone development corporation shall follow the process enumerated in subsections a. and b. of this section to ensure a zone development plan remains current to protect against lapse of enterprise zone designation.
e. Notwithstanding the provisions of this section to the contrary, a qualified business in an enterprise zone having such qualified status immediately preceding the effective date of P.L.2021, c.197, and which is qualified under P.L.2021, c.197, shall remain eligible for the exemptions from the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), pursuant to sections 20 and 21 of P.L.1983, c.303 (C.52:27H-79 and C.52:27H-80), and shall be eligible for the exemption under section 8 of P.L.2021, c.197 (C.52:27H-79.1) even if the municipality in which the business is located fails to submit a zone development plan in accordance with this section; provided, however, a municipality failing to submit a zone development plan under this section shall not be eligible for loans, grants, and other assistance from the UEZ Authority, and shall not be allowed a distribution from that municipality's zone assistance fund, except as provided for in subsection c. of this section, until a revised zone development plan is submitted and approved by the UEZ Authority.
##### **§ 52:27H-69** Areas eligible for designation. {#sec-52-27h-69 omnilex-key=us-nj-statutes--title-52--52:27H-69}
10. An area defined by a continuous border within one qualifying municipality shall be eligible for designation as a zone if:
a. It has been designated an "area in need of rehabilitation" pursuant to Article VIII, Section I, paragraph 6 of the Constitution of the State of New Jersey; or is qualified for that designation in the judgment of the authority; and
b. It meets the criteria established by the authority pursuant to P.L.1983, c.303 (C.52:27H-60 et seq.) relating to the incidence of poverty, unemployment and general economic distress.
##### **§ 52:27H-69.1** Intermunicipal zone limitation {#sec-52-27h-69.1 omnilex-key=us-nj-statutes--title-52--52:27H-69.1}
Eligible zones having areas defined by a continuous border within two or more contiguous qualifying municipalities shall be limited to one located in the 10 southernmost counties of the State.
##### **§ 52:27H-70** First two enterprise zones; criteria for designation {#sec-52-27h-70 omnilex-key=us-nj-statutes--title-52--52:27H-70}
The first two areas and municipalities designated as enterprise zones by the authority shall meet all the following criteria:
a. A rate of unemployment among residents in the area and among residents of the municipality exceeding one and one-half times the national unemployment rate as determined by the most recently available data from the Bureau of Labor Statistics in the United States Department of Labor;
b. At least 20% of the population of the area and population of the municipality receive incomes below the poverty level, as defined by the United States Department of Labor;
c. At least 20% of the residents of the area and residents of the municipality depend upon public assistance as their primary source of income.
##### **§ 52:27H-71** Criteria for qualification of businesses and designation of enterprise zones; regulations to modify, replace or supplement {#sec-52-27h-71 omnilex-key=us-nj-statutes--title-52--52:27H-71}
After the designation of the first two enterprise zones, the authority may by regulation, from time to time modify, replace or supplement the criteria set forth in subsections c. and d. of section 3 and in sections 10 and 11 of this act so as to develop a complete set of criteria for the qualification of businesses for the benefits of this act, and for the designation of enterprise zones in qualifying municipalities.
No regulation to modify, replace or supplement a criterion shall be adopted by the authority unless the authority has prior to adoption issued a written report to the Governor and the Legislature setting forth: the text of the proposed modification, replacement or supplement; a statement of the authority's reasons for the proposal; the written statement of any authority member dissenting from the authority's proposal; and a statement of the manner in which the proposal will further the legislative intent of this act. Not less than 60 days after the authority report is placed upon the desk of each member of the Legislature, the authority shall hold a public hearing at which any interested person shall be heard. Upon the completion of the public hearing, the regulation may be adopted by the authority in the manner otherwise prescribed by law.
The authority may modify, replace or supplement criteria pursuant to this section, if it finds that:
a. The criteria set forth in this act do not accurately determine the relative burden of poverty, unemployment and general distress among and between areas under consideration for designation as enterprise zones;
b. The criteria do not utilize newly available data, or do utilize data not available or not complete and accurate;
c. The criteria would not assure the eligibility of designated zones for federal government assistance under programs now or hereafter undertaken by the federal government, for which those areas and the municipalities in which they are located would not be eligible in the absence of that designation.
##### **§ 52:27H-72** Designation of areas as enterprise zones. {#sec-52-27h-72 omnilex-key=us-nj-statutes--title-52--52:27H-72}
13. a. In designating eligible areas as enterprise zones, the authority shall approve zone development plans which:
(1) Have potential for success in stimulating primarily new economic activity in the area;
(2) Are designed to address urban distress, as measured by existing levels of unemployment, poverty, and property tax arrearages;
(3) Demonstrate substantial and reliable commitments of resources by zone businesses, zone neighborhood associations, voluntary community organizations and other private entities to the economic success of the zone;
(4) Demonstrate substantial effort and commitment by the municipality to encourage economic activity in the area and to remove disincentives for job creation compatible with the fiscal condition of the municipality.
b. In addition to the considerations set forth in subsection a. of this section, the authority in evaluating a zone development plan for designation purposes shall consider:
(1) The likelihood of attracting federal assistance to projects in the eligible area, and of obtaining federal designation of the area as an enterprise zone for federal tax purposes;
(2) The adverse or beneficial effects of an enterprise zone located at the proposed area upon economic development activities or projects of State or other public agencies which are in operation, or are approved for operation, in the qualifying municipality;
(3) The degree of commitment made by public and private entities to utilize minority contractors and assure equal opportunities for employment in connection with any construction or reconstruction to be undertaken in the eligible area;
(4) The impact of the zone development plan upon the social, natural and historic environment of the eligible area;
(5) The degree to which the implementation of the plan involves the relocation of residents from the eligible area, and the adequacy of commitments and provisions with respect thereto.
c. A designated zone that is operative on the effective date of P.L.2021, c.197 shall remain a designated zone until the end of the 10th State fiscal year next following the effective date of P.L.2021, c.197. The authority shall not designate new enterprise zones following the effective date of P.L.2021, c.197.
##### **§ 52:27H-73** Application for designation; grant or denial; adoption of ordinance of acceptance {#sec-52-27h-73 omnilex-key=us-nj-statutes--title-52--52:27H-73}
a. Any qualifying municipality may designate any area set forth in the zone development plan as an enterprise zone. The municipality may then make written application to the authority to have the area selected for State and federal assistance offered to enterprise zones or either type of assistance. The application shall include the zone development plan adopted for the area and any other information as the authority may require.
b. Upon receipt of an application from the qualifying municipality the authority shall review the application to determine whether the area described in the application qualifies for State assistance under the criteria of this act.
c. Upon organization the authority shall establish a date for the receipt of initial applications for designations under this act, which shall be within one year of the effective date of this act. Thereafter, the authority shall complete its review within 90 days of receipt of an application, but may extend this time period by an additional 60 days if necessary. If the authority denies the application, it shall inform the municipality of that fact in writing setting forth the reasons for the denial.
d. The designation of an enterprise zone by the authority shall take effect upon the adoption by the qualifying municipality of an ordinance accepting that designation.
##### **§ 52:27H-74** Benefits available to qualified business {#sec-52-27h-74 omnilex-key=us-nj-statutes--title-52--52:27H-74}
Except as otherwise specified in this act, a qualified business in an enterprise zone shall be eligible to receive from among those benefits authorized in sections 16 through 20 of this act as are determined by the authority. The authority shall state in writing to the qualifying municipality at the time of designation its determinations as to which of those benefits are to apply in an enterprise zone.
##### **§ 52:27H-76** Corporation business tax exemption {#sec-52-27h-76 omnilex-key=us-nj-statutes--title-52--52:27H-76}
Any qualified business subject to the provisions of the "Corporation Business Tax Act (1945)," P.L.1945, c. 162 (C. 54:10A-1 et seq.), as employing a larger number of persons at a place of business located within an enterprise zone designated pursuant to this act than at all other places of business of the taxpayer within the State, shall be exempt from the net worth tax imposed pursuant to subsection (a) of section 5 of P.L.1945, c. 162 (C. 54:10A-5(a)), and from the tax imposed by subsection (f) of that section (C. 54:10A-5(f)), for a period of 20 tax years from the date of designation of the enterprise zone, or for a period of 20 tax years from the date upon which the taxpayer is first subject to the provisions of the "Corporation Business Tax Act (1945)," P.L.1945, c. 162 (C. 54:10A-1 et seq.), whichever date is later. The termination of the designation of an enterprise zone at the end of a 20 year designation period shall not terminate the exemption provided under this section if the exemption was granted prior to the end of the designation period. The provisions of this section are subject to the phase-out provisions of P.L.1982, c. 55 (C. 54:10A-4 et seq.).
##### **§ 52:27H-77** Carry-forward permitted {#sec-52-27h-77 omnilex-key=us-nj-statutes--title-52--52:27H-77}
Enterprise zone employee tax credits or enterprise zone investment tax credits provided under section 19 of this act shall not reduce a taxpayer's tax liability under the "Corporation Business Tax Act (1945)," P.L. 1945, c. 162 (C. 54:10A-1 et seq.) in any tax year by more than 50% of the amount otherwise due, but either employee tax credits or investment tax credits remaining and unused in a tax year may be carried forward by the taxpayer to the next succeeding tax year and applied against 50% of the amount of tax otherwise due in that succeeding tax year.
##### **§ 52:27H-78** Tax credit {#sec-52-27h-78 omnilex-key=us-nj-statutes--title-52--52:27H-78}
Any qualified business subject to the provisions of the "Corporation Business Tax Act (1945)," P.L. 1945, c. 162 (C. 54:10A-1 et seq.), as actively engaged in the conduct of business from a location within an enterprise zone designated pursuant to this act, which business at that location consists primarily of manufacturing or other business which is not retail sales or warehousing oriented, shall receive an enterprise zone employee tax credit against the amount of tax imposed under the "Corporation Business Tax Act (1945)," P.L. 1945, c. 162 (C. 54:10A-1 et seq.), as hereinafter provided:
a. A one-time credit of $1,500.00 for each new full-time, permanent employee employed at that location who is a resident of the qualifying municipality in which the designated enterprise zone is located, or any other qualifying municipality in which an urban enterprise zone is located, and who immediately prior to employment by the taxpayer was unemployed for at least 90 days, or was dependent upon public assistance as the primary source of income;
b. A one-time credit of $500.00 for each new full-time, permanent employee employed at that location who is a resident of a qualifying municipality in which a designated enterprise zone is located, or any other qualifying municipality in which an urban enterprise zone is located, who does not meet the requirements of subsection a. of this section, and who was not, immediately prior to employment by the taxpayer, employed at a location within the qualifying municipality;
c. A qualified business which is not entitled to an employee tax credit under this section, but meets the eligibility criteria pursuant to the provisions of subsection c. of section 27 of P.L. 1983, c. 303 (C. 52:27H-86), shall receive a one-time credit in an amount equal to 8% of each new investment made by the qualified business in the enterprise zone under an agreement approved by the authority.
This credit shall be applied against the taxpayer's corporation business tax liability subject to the limitations and carry forward provisions set forth in section 18 of P.L. 1983, c. 303 (C. 52:27H-77); provided, however, that a qualified business shall not claim an employee tax credit and an investment tax credit authorized pursuant to this subsection in the same year regardless of whether those credits were earned for the tax year or carried forward from a previous year.
d. The enterprise zone employee tax credit shall be allowed in the tax year immediately following the tax year in which the new full-time, permanent employee was first employed by the taxpayer, and shall be permitted in any tax year of a 20 year period from the date of designation of the enterprise zone, or of a period of 20 tax years from the date within that designation period upon which the taxpayer is first subject to the provisions of the "Corporation Business Tax Act (1945)," P.L. 1945, c. 162 (C. 54:10A-1 et seq.), whichever date is later and the termination of the designation of an enterprise zone at the end of a 20 year designation period shall not terminate the eligibility period provided under this section;
e. A tax credit shall be permitted under this section only for those new full-time, permanent employees who have been employed for at least six continuous months by the taxpayer during the tax year for which the tax credit is claimed.
f. A newly employed employee shall not be deemed a new full-time, permanent employee for the purposes of this section unless the total number of full-time, permanent employees, including the newly employed employee, employed by the employer in the zone during the calendar year exceeds the greatest number of full-time, permanent employees employed in the zone by the employer during any prior calendar year during the period commencing with the date of zone designation.
##### **§ 52:27H-79** Certain tax exemptions. {#sec-52-27h-79 omnilex-key=us-nj-statutes--title-52--52:27H-79}
20. a. (1) Except as provided in subsection b. of section 11 of P.L.2021, c.197 (C.52:27H-98), receipts from the first $100,000 of annual retail sales of tangible personal property (except motor vehicles and energy) and sales of services (except telecommunications services and utility services) to a qualified business for the exclusive use or consumption of such business within an enterprise zone are annually exempt from the taxes imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.); provided, however, a supermarket or grocery store that meets the criteria set forth in paragraph (2) of this subsection shall be eligible for such tax exemption, notwithstanding the limit imposed pursuant to this subsection.
(2) The annual limitation imposed under paragraph (1) of this subsection shall not apply to any supermarket or grocery store that is:
(a) located in a food desert community; or
(b) located in an enterprise zone and received an annual certification of eligibility from the department pursuant to paragraph (3) of this subsection.
(3) A supermarket or grocery store that is located in an enterprise zone, but outside of a food desert community, may apply to the department for an annual certification of eligibility for the unlimited tax exemption provided under this section. The certification shall remain in effect for the 12-month period immediately following the date of approval by the department. To qualify for the annual certification, the supermarket or grocery store shall demonstrate to the department that during the 12-month period immediately preceding the date of application:
(a) not less than 30 percent of the employees hired by the supermarket or grocery store were comprised of any combination of the following: (i) persons who were unemployed for not less than three consecutive months immediately preceding the date of employment; or (ii) persons with a disability; or
(b) not less than 35 percent of the employees hired by the supermarket or grocery store are residents of a municipality in which the enterprise zone has been established, and the supermarket or grocery store actively participated with one or more One-Stop Career Centers in the recruitment of unemployed persons and persons with a disability, except that the One-Stop Career Centers shall provide written documentation to the department attesting to the actions of the supermarket or grocery store.
(4) Within 30 days of the effective date of P.L.2022, c.42, and annually thereafter, the department, in consultation with the Department of Labor and Workforce Development, shall provide written notice to each:
(a) supermarket or grocery store located in an enterprise zone concerning the requirements of this section, which notice shall include contact information for each One-Stop Career Center located in the State; and
(b) One-Stop Career Center located in the State concerning the requirements of subparagraph (b) of paragraph (3) of this subsection.
b. (Deleted by amendment, P.L.2011, c.28)
c. As used in this section:
"Department" means the Department of Community Affairs.
"Disability" means the same as that term is defined in subsection q. of section 5 of P.L.1975, c.169 (C.10:5-5).
"Food desert community" means the same as the term is defined in section 37 of P.L.2020, c.156 (C.34:1B-305).
"One-Stop Career Center" means the same as that term is defined in section 3 of P.L.1992, c.43 (C.34:15D-3).
"Qualified business" includes a person who is certified as a qualified business by the authority and provided a UZ-5 certification by the authority. A person who is certified as a qualified business may apply to the authority for a UZ-5 certification provided the person owns or leases and regularly operates a place of business located in an eligible block group, as defined in subsection a. of section 12 of P.L.2021, c.197 (C.52:27H-99). The Department of the Treasury shall provide to a qualified business a certificate evidencing its UZ-5 certification, which certificate shall indicate the location at which the sales tax exemption provided for in this section is available.
"Supermarket or grocery store" means a retail outlet with at least 16,000 square feet, of which at least 80 percent is occupied by food and related products.
d. (Deleted by amendment, P.L.2011, c.28)
e. (Deleted by amendment, P.L.2021, c.197)
##### **§ 52:27H-79.1** Exemption from taxation for certain receipts. {#sec-52-27h-79.1 omnilex-key=us-nj-statutes--title-52--52:27H-79.1}
8. a. Receipts from the first $100,000 of annual retail sales of materials, supplies, and services for the exclusive use of erecting structures or buildings on, or improving, altering or repairing the real property of a qualified business, or a contractor hired by the qualified business to make such improvements, alterations, or repairs, are annually exempt from the taxes imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.); provided, however, receipts from retail sales of materials, supplies, and services for the exclusive use of erecting new structures or buildings on, or substantially improving, altering or repairing the real property of a qualified business shall be eligible for such tax exemption notwithstanding the limit imposed pursuant to this subsection.
b. As used in this section:
"Qualified business" includes a person who is certified as a qualified business by the authority and provided a UZ-4 certification by the authority. A person who is certified as a qualified business may apply to the authority for a UZ-4 certification provided that the person owns or leases and regularly operates a place of business located in an eligible block group, as defined in subsection a. of section 12 of P.L.2021, c.197 (C.52:27H-99). The Department of the Treasury shall provide to a qualified business a certificate evidencing its UZ-4 certification, which certificate shall indicate the location at which the sales tax exemption provided for in this section is available.
"Substantially improving, altering, or repairing" means any reconstruction, rehabilitation, addition, or other improvement to a structure, of which the total cost equals to or exceeds 50 percent of the market value of the structure before the start of construction of the improvement. The UEZ Authority may, from time to time, alter this definition through regulation to respond to changing market conditions.
##### **§ 52:27H-80** Sales tax exemption for retail sales. {#sec-52-27h-80 omnilex-key=us-nj-statutes--title-52--52:27H-80}
21. a. (1) Receipts of retail sales, made by a seller located in an eligible block group, as defined in subsection a. of section 12 of P.L.2021, c.197 (C.52:27H-99) and provided a UZ-2 certification by the authority from a place of business owned or leased and regularly operated by the seller for the purpose of making retail sales, and located in a designated enterprise zone established pursuant to the "New Jersey Urban Enterprise Zones Act," P.L.1983, c.303 (C.52:27H-60 et seq.), or a UEZ-impacted business district established prior to the effective date of P.L.2021, c.197 pursuant to section 3 of P.L.2001, c.347 (C.52:27H-66.2), shall be exempt to the extent of 50 percent of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.).
(2) As used in this section, the term "retail sales" means all retail sales except retail sales of:
(1) motor vehicles;
(2) alcoholic beverages as defined in the "Alcoholic beverage tax law," R.S.54:41-1 et seq.;
(3) cigarettes as defined in the "Cigarette Tax Act," P.L.1948, c.65 (C.54:40A-1 et seq.);
(4) manufacturing machinery, equipment or apparatus;
(5) energy;
(6) medical cannabis and cannabis products sold under the "Jake Honig Compassionate Use Medical Cannabis Act," P.L.2009, c.307 (C.24:6I-1 et seq.); and
(7) recreational cannabis and cannabis products sold under the "New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act," P.L.2021, c.16 (C.24:6I-31 et seq.).
b. Any seller, which is a qualified business having a place of business located in a designated enterprise zone or in a designated UEZ-impacted business district, may apply to the UEZ Authority for a UZ-2 certification pursuant to this section provided the seller is located in an eligible block group, as defined in subsection a. of section 12 of P.L.2021, c.197 (C.52:27H-99). The UEZ Authority shall certify a seller if the UEZ Authority shall find that the seller owns or leases and regularly operates a place of business located in the designated enterprise zone or in the designated UEZ-impacted business district for the purpose of making retail sales, that items are regularly exhibited and offered for retail sale at that location, and that the place of business is not utilized primarily for the purpose of catalogue or mail order sales. The certification under this section shall remain in effect during the time the business retains its status as a qualified business meeting the eligibility criteria of section 27 of P.L.1983, c.303 (C.52:27H-86). However, the UEZ Authority may at any time revoke a certification granted pursuant to this section if the UEZ Authority shall determine that the seller no longer complies with the provisions of this section. The Department of the Treasury shall provide to a qualified business a certificate evidencing its UZ-2 certification, which certificate shall indicate the location at which the sales tax exemption provided for in this section is available.
c. Notwithstanding the provisions of P.L.1983, c.303 (C.52:27H-60 et seq.) to the contrary, except as may otherwise be provided by section 7 of P.L.1983, c.303 (C.52:27H-66), the authority may, in its discretion, determine if the provisions of this section shall apply to any enterprise zone designated after the effective date of P.L.1985, c.142 (C.52:27H-66 et al.); provided, however, that the authority may make such a determination only where the authority finds that the award of an exemption of 50 percent of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.) will not have any adverse economic impact upon any other urban enterprise zone.
d. Notwithstanding any other provision of law to the contrary, the gross amount of all revenues received from the taxation of retail sales to which the exemption under this section applies, except for amounts credited to the Property Tax Reform Account in the Property Tax Relief Fund pursuant to paragraph 7 of Section I of Article VIII of the New Jersey Constitution, shall be deposited immediately upon collection by the Department of the Treasury into the enterprise zone assistance fund created pursuant to section 29 of P.L.1983, c.303 (C.52:27H-88); provided, however, tax collected at the site of a redevelopment project which is the subject of a redevelopment agreement with the State pursuant to section 3 of P.L.1996, c.124 (C.13:1E-116.3) shall be credited to the Municipal Landfill Closure and Remediation Fund pursuant to subsection b. of section 6 of P.L.1996, c.124 (C.13:1E-116.6) and tax revenues on retail sales of cannabis items shall be credited to the Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Fund and the Underage Deterrence and Prevention Account pursuant to subsection a. of section 41 of P.L.2021, c.16 (C.24:6I-50).
##### **§ 52:27H-80.1** Extension of provisions {#sec-52-27h-80.1 omnilex-key=us-nj-statutes--title-52--52:27H-80.1}
In addition to those enterprise zones to which the provisions of section 21 of P.L. 1983, c. 303 (C. 52:27H-80) have been or may be extended by the authority, the provisions of that section shall be extended to that enterprise zone which is required by section 7 of P.L. 1983, c. 303 (C. 52:27H-66) to be designated among the first five and to be located in a municipality of not less than 45,000 nor more than 46,000 population located within the five counties next most northern to the 10 southernmost counties.
##### **§ 52:27H-81** Rules, regulations {#sec-52-27h-81 omnilex-key=us-nj-statutes--title-52--52:27H-81}
22. The Director of the Division of Taxation in the Department of the Treasury shall promulgate such rules and regulations as may be necessary to effectuate the provisions of sections 17 through 21 inclusive, and sections 27 and 29 of P.L.1983, c.303 (C.52:27H-76 to C.52:27H-80, inclusive, C.52:27H-86 and C.52:27H-88). The Commissioner of the Department of Commerce and Economic Development shall promulgate such rules and regulations as may be necessary to effectuate the provisions of section 16 of P.L.1983, c.303 (C.52:27H-75).
##### **§ 52:27H-82** Local development financing fund assistance; priority to project in municipality with enterprise zone {#sec-52-27h-82 omnilex-key=us-nj-statutes--title-52--52:27H-82}
Notwithstanding any provisions of the "New Jersey Local Development Financing Fund Act," P.L. 1983, c. 190 (C. 34:1B-36 et seq.), to the contrary, projects which are otherwise eligible under that act, but which are located in a municipality in which an enterprise zone is designated pursuant to the "New Jersey Urban Enterprise Zones Act," P.L. 1983, c. 303 (C. 52:27H-60 et seq.), shall, upon the written recommendation of the authority, be accorded priority in receiving assistance from the New Jersey Local Development Financing Fund, over eligible projects which are not so located.
##### **§ 52:27H-83** Skill training programs; delivery {#sec-52-27h-83 omnilex-key=us-nj-statutes--title-52--52:27H-83}
The New Jersey Department of Labor shall develop and coordinate the delivery of skill training programs necessary to meet the needs of qualifying businesses.
##### **§ 52:27H-84** Regulations of municipality or state agency; exemption of enterprise zones {#sec-52-27h-84 omnilex-key=us-nj-statutes--title-52--52:27H-84}
In order to carry out the purposes of this act, any municipality or State agency may exempt designated enterprise zones from the provisions of any regulation, in whole or in part, promulgated by that entity or agency, but enterprise zones shall not be exempted from the provisions of any regulation, except upon finding by the State or municipal agency, as appropriate, that the exemption would not endanger the health and safety of the citizens of the State.
##### **§ 52:27H-85** Review of state regulations by authority {#sec-52-27h-85 omnilex-key=us-nj-statutes--title-52--52:27H-85}
The authority shall conduct a continuing review of all State regulations and shall recommend to the appropriate administrative bodies the modification or waiver of regulations promulgated by that agency in order to contribute to the implementation of this act.
##### **§ 52:27H-86** Eligibility for incentives. {#sec-52-27h-86 omnilex-key=us-nj-statutes--title-52--52:27H-86}
27. To be eligible for any of the incentives provided under this act a qualified business must demonstrate to the satisfaction of the authority that:
a. The business will create new employment in the municipality;
b. The business will not create unemployment in other areas of the State, including the municipality in which the zone or UEZ-impacted business district is located.
c. For the purposes of eligibility for the incentives provided under sections 17, 19, 20, and 21 of P.L.1983, c.303 (C.52:27H-76, 52:27H-78, 52:27H-79, and 52:27H-80, respectively), a qualified business shall not be required to meet the requirements of subsection a. of this section, if:
(1) At the time of designation of the enterprise zone or at the time zone designation is extended by expansion to the location of a business or at the time of designation of the UEZ-impacted business district, the qualified business had been engaged in the active conduct of a trade or business in that zone or in the added area of that zone or in that district for at least one year prior to that designation or expansion;
(2) The qualified business employs fewer than 50 employees; and
(3) The qualified business has entered into an agreement, approved by the authority, with the governing body of the qualifying municipality in which the enterprise zone is located or the municipality where the UEZ-impacted business district is located, under which the qualified business agrees to undertake an investment in the enterprise zone or district in lieu of the employment of new employees. An investment permitted under an agreement shall be in an amount and of a nature which the municipal governing body and the authority find shall contribute substantially to the economic attractiveness of the enterprise zone or district, and may include, but shall not be limited to:
(a) The improvement of the exterior appearance or customer facilities of the property constituting the place of business of the qualified business within the zone or district; provided that the improvement is of a permanent nature and not required to meet existing ordinances or code regulations; or
(b) Monetary contributions to the municipality to undertake improvements to increase the safety or attractiveness of the zone or district to businesses which may wish to locate there or to consumer visitors to the zone or district, including, but not limited to litter clean-up and control, landscaping, parking areas and facilities, recreational and rest areas and facilities, repair or improvements to public streets, curbing, sidewalks and pedestrian thoroughfares, street lighting, or increased police, fire or sanitation services in the enterprise zone or UEZ-impacted business district.
In order to meet the requirements of paragraph (3) of this subsection, an investment shall be in an amount no less than $5,000.00 if the qualified business employs 10 or fewer employees, or if the qualified business employs more than 10 employees, not less than the amount produced by multiplying the number of employees employed by the qualified business by $500.00. A qualified business shall be required to make an investment for each year the qualified business does not meet the requirements of subsection a. of this section. In order to receive the incentives permitted by this section, the business shall provide written evidence of the investment to the authority.
##### **§ 52:27H-87** Qualified business recipient of benefits; annual certification {#sec-52-27h-87 omnilex-key=us-nj-statutes--title-52--52:27H-87}
Any firm that receives any benefits set forth in sections 16 through 24 of this act shall annually certify to the authority that it is a qualified business under subsection c. of section 3 of this act. Failure to supply the certification or willful falsification of data in the certification will result in a fine of not more than ten times the benefits received, nor more than two years in prison.
##### **§ 52:27H-87.1** Exemption for some retail sales of energy and utility service. {#sec-52-27h-87.1 omnilex-key=us-nj-statutes--title-52--52:27H-87.1}
23. a. Retail sales of energy and utility service to:
(1) a qualified business that employs at least 250 people within an enterprise zone, at least 50% of whom are directly employed in a manufacturing process, for the exclusive use or consumption of such business within an enterprise zone, and
(2) a group of two or more persons: (a) each of which is a qualified business that are all located within a single redevelopment area adopted pursuant to the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et al.); (b) that collectively employ at least 250 people within an enterprise zone, at least 50% of whom are directly employed in a manufacturing process; (c) are each engaged in a vertically integrated business, evidenced by the manufacture and distribution of a product or family of products that, when taken together, are primarily used, packaged and sold as a single product; and (d) collectively use the energy and utility service for the exclusive use or consumption of each of the persons that comprise a group within an enterprise zone; are exempt from the taxes imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.).
A qualified business will continue to be subject to applicable Board of Public Utilities tariff regulations except that its bills from utility companies and third party suppliers for energy and utility service shall not include charges for sales and use tax.
b. A business that meets the requirements of subsection a. of this section shall not be allowed the exemption granted pursuant to this section until it has complied with such requirements for obtaining the exemption as may be provided pursuant to P.L.1983, c.303 (C.52:27H-60 et al.) and P.L.1966, c.30 (C.54:32B-1 et seq.). The Executive Director of the New Jersey Commerce Commission shall provide prompt notice to the President of the Board of Public Utilities and to the Director of the Division of Taxation in the Department of the Treasury, of a qualified business that has qualified for the exemption under this subsection, and shall provide the president and the director an annual list of all businesses that qualify.
c. (1) Retail sales of energy and utility service to a business facility located within a county that is designated for the 50% tax exemption under section 1 of P.L.1993, c.373 (C.54:32B-8.45) are exempt from the taxes imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.); provided that the business certifies that it employs at least 50 people at that facility, at least 50% of whom are directly employed in a manufacturing process, and provided that the energy and utility services are consumed exclusively at that facility.
(2) A business facility that meets the requirements of paragraph (1) of this subsection may file an application for the energy and utility service sales tax exemption with the New Jersey Commerce Commission, and the commission shall promulgate regulations and forms for that purpose. The New Jersey Commerce Commission shall process an application submitted under this paragraph within 20 business days of receipt thereof. An exemption shall commence for a business upon notice of approval of its application and shall expire for any year in which the business fails to meet the requirements of paragraph (1) of this subsection. Upon approval, the Executive Director of the New Jersey Commerce Commission shall provide prompt notice to the applicant and also shall provide prompt notice to the President of the Board of Public Utilities and to the Director of the Division of Taxation in the Department of the Treasury. The Executive Director of the New Jersey Commerce Commission also shall provide the president and the director with an annual list of all businesses that have been approved under this subsection.
##### **§ 52:27H-88** Enterprise zone assistance fund. {#sec-52-27h-88 omnilex-key=us-nj-statutes--title-52--52:27H-88}
29. a. (1) There is created an enterprise zone assistance fund to be held by the State Treasurer, which shall be the repository for all moneys required to be deposited therein under section 21 of P.L.1983, c.303 (C.52:27H-80), as amended by this act, P.L.2023, c.282, and moneys appropriated annually to the fund. All moneys in the fund shall be held and disbursed in accordance with this section and section 11 of P.L.2021, c.197 (C.52:27H-98) as necessary to fulfill the purposes of this section and subject to the requirements hereinafter prescribed. The State Treasurer may invest and reinvest any moneys in the fund, or any portion thereof, to strengthen capital structures, leverage additional debt capital, and increase lending and investing in economically disadvantaged communities, and in any other manner that advances the goals of the Urban Enterprise Zone program, including, but not limited to, legal obligations of the United States or of the State or of any political subdivision thereof or government-sponsored enterprises. Any income from, interest on, or increment to moneys so invested or reinvested shall be included in the fund.
The amount in the enterprise zone assistance fund, which shall be available to fulfill the purposes of this section, shall be as follows:
(a) In the first five State fiscal years next following the effective date of P.L.2021, c.197, 100 percent of the amount determined pursuant to section 11 of P.L.2021, c.197 (C.52:27H-98) shall be available to fulfill the purposes of this section;
(b) In the sixth State fiscal year next following the effective date of P.L.2021, c.197, 95 percent of the amount determined pursuant to section 11 of P.L.2021, c.197 (C.52:27H-98) shall be available to fulfill the purposes of this section and five percent of such amount shall be deposited in the General Fund;
(c) In the seventh State fiscal year next following the effective date of P.L.2021, c.197, 90 percent of the amount determined pursuant to section 11 of P.L.2021, c.197 (C.52:27H-98) shall be available to fulfill the purposes of this section and 10 percent of such amount shall be deposited in the General Fund;
(d) In the eighth State fiscal year next following the effective date of P.L.2021, c.197, 85 percent of the amount determined pursuant to section 11 of P.L.2021, c.197 (C.52:27H-98) shall be available to fulfill the purposes of this section and 15 percent of such amount shall be deposited in the General Fund;
(e) In the ninth State fiscal year next following the effective date of P.L.2021, c.197, 80 percent of the amount determined pursuant to section 11 of P.L.2021, c.197 (C.52:27H-98) shall be available to fulfill the purposes of this section and 20 percent of such amount shall be deposited in the General Fund; and
(f) In the 10th State fiscal year next following the effective date of P.L.2021, c.197, 75 percent of the amount determined pursuant to section 11 of P.L.2021, c.197 (C.52:27H-98) shall be available to fulfill the purposes of this section and 25 percent of such amount shall be deposited in the General Fund.
(2) The State Treasurer shall maintain separate accounts for each enterprise zone designated under P.L.1983, c.303 (C.52:27H-60 et seq.) that is in good standing with the UEZ Authority in accordance with rules adopted by the UEZ Authority, and one in the authority's name for the administration of the Urban Enterprise Zone program, and for providing grants, including planning grants, investments, loans, or other guaranties related to qualified assistance fund expenses. The State Treasurer shall credit to each account an amount of the moneys deposited in the fund and available to fulfill the purposes of this section, which amount shall be determined by a weighted formula that applies 50 percent weight to a zone municipality's number of commercial and industrial parcels as recorded by the municipal tax assessor, its Municipal Revitalization Index Distress Score, as determined by the Department of Community Affairs, and the average number of unemployed persons in the municipality according to data provided by the New Jersey Department of Labor and Workforce Development, and 50 percent weight to the gross taxable sales in the municipality subject to reduced sales tax pursuant to section 21 of P.L.1983, c.303 (C.52:27H-80), as determined by the State Treasurer. The data used in the formula, developed under this section, shall be the most recent data that has been made available by the Department of Community Affairs, the Department of Labor and Workforce Development, and the State Treasurer. When funds are received by a qualifying municipality pursuant to this subsection, the funds shall be placed in a new trust or, for a qualifying municipality that has a trust for an enterprise zone on the effective date of P.L.2021, c.197, in the existing trust. The Division of Local Government Services in the Department of Community Affairs shall promulgate regulations, policies, or procedures as necessary to implement the provisions of this section.
(3) Beginning in State Fiscal Year 2022, $2,500,000 shall be appropriated annually from the account in the authority's name for the administration of the Urban Enterprise Zone program, and for providing grants, investments, loans, or other guaranties related to qualified assistance fund expenses. This amount shall be adjusted annually by the percentage change in the 12-month Consumer Price Index from June 30 to July 1.
(4) The State Treasurer shall promulgate the rules and regulations necessary to govern the administration of the fund for the purposes of this section, which shall include, but not be limited to, regulations requiring the establishment of separate bank accounts for funds credited to the enterprise zone account of each municipality from the enterprise zone assistance fund, commonly known as "first generation funds," and funds generated from the repayments of loans to individuals and businesses from the enterprise zone account of each municipality and the proceeds from the sale of properties and equipment acquired through the enterprise zone program, commonly known as "second generation funds," and the review, compilation, and monitoring of second generation fund quarterly reports submitted by each enterprise zone.
Any individual, including an individual who is not directly employed by a municipality, with the authority to administer, allocate or approve the use of zone assistance funds is subject to the "Local Government Ethics Law," P.L.1991, c.29 (C.40A:9-22.1 et seq.), unless the individual is a State employee or a special State officer.
b. The enterprise zone assistance fund shall be used for the purpose of assisting qualifying municipalities in which enterprise zones are designated in undertaking economic development projects in designated enterprise zones by funding qualified assistance fund expenses. However, a municipality shall not appropriate or expend: more than 25 percent of the amount annually credited to its enterprise zone assistance fund for public safety purposes, as described in paragraph (4) of subsection m. of section 3 of P.L.1983, c.303 (C.52:27H-62); or more than 10 percent of the amount annually credited to its enterprise zone assistance fund for administrative expenses.
c. The governing body of a qualifying municipality in which an enterprise zone is designated and the zone development corporation created or designated by the municipality for that enterprise zone may, by resolution jointly adopted after public hearing, propose to undertake an economic development project in the enterprise zone, and to fund that project from moneys deposited in the enterprise zone assistance fund and credited to the account maintained by the State Treasurer for the enterprise zone.
The proposal so adopted shall set forth a plan for the project and shall include:
(1) A description of the proposed project;
(2) An estimate of the total project costs, and an estimate of the amounts of funding necessary annually from the enterprise zone account;
(3) A statement of any other revenue sources to be used to finance the project;
(4) A statement of the time necessary to complete the project;
(5) A statement of the manner in which the proposed project furthers the municipality's policy and intentions for addressing economic development in the enterprise zone as set forth in the zone development plan approved by the authority; and
(6) A description of the financial and programmatic controls and reporting mechanisms to be used to guarantee that the funds will be spent in accordance with the plan and that the project will accomplish its purpose.
As used in this section, "project" means an activity that satisfies the requirements of a qualified assistance fund expense, as that term is defined in subsection m. of section 3 of P.L.1983, c.303 (C.52:27H-62), and which will lead to the creation of new jobs and increased economic activity within the zone.
d. (Deleted by amendment, P.L.2021, c.197)
e. (Deleted by amendment, P.L.2021, c.197)
f. (Deleted by amendment, P.L.2021, c.197)
g. (Deleted by amendment, P.L.2021, c.197)
h. At the end of a State fiscal year, if a municipality has not encumbered a portion of its allocation, such amount may be carried forward to the next State fiscal year and the State fiscal year thereafter. If at the end of the third State fiscal year any of those unencumbered funds remain, then the funds shall be transferred to the UEZ Authority's account in the enterprise zone assistance fund.
i. At the end of a State fiscal year, if a municipality has not expended or otherwise committed a portion of its encumbered funds, then such amount may be carried forward to the next three succeeding State fiscal years. If at the end of the third State fiscal year any unexpended funds remain, then the funds shall be transferred to the UEZ Authority's account in the enterprise zone assistance fund.
j. At the end of a State fiscal year, the Department of Community Affairs shall review an enterprise zone's expenditures of funds received from the zone assistance fund. If the department finds that an enterprise zone expended such funds in a manner inconsistent with the provisions of P.L.1983, c.303 (C.52:27H-60 et seq.) and P.L.2021, c.197, then the enterprise zone shall repay such funds to the department through the forfeiture of future zone assistance fund disbursements. The department shall withhold future funding from the enterprise zone until the enterprise zone enters into and complies with a corrective action plan developed by the department.
k. If in a State fiscal year the amount allocated to the enterprise zone assistance fund is less than the amount required to be allocated to fulfill the purposes of this section pursuant to section 11 of P.L.2021, c.197 (C.52:27H-98) and paragraph (1) of subsection a. of this section, the Legislature shall appropriate to the enterprise zone assistance fund the amount that was not allocated in such State fiscal year in a succeeding State fiscal year along with the funds required to be allocated in that State fiscal year.
##### **§ 52:27H-90** Legislative findings and declarations {#sec-52-27h-90 omnilex-key=us-nj-statutes--title-52--52:27H-90}
The Legislature finds and declares that:
a. In 1981 the Legislature enacted the "Worker Owned Corporation Study Act" (P.L.1981, c. 82) which mandated a study to determine the best means to encourage and assist the formulation of employee stock ownership plans for the purpose of averting the closure of places of employment.
b. In March 1982, the Department of Labor, in accordance with that act, issued a report which included a thoughtful analysis and cogent recommendations for legislative action on the issue.
c. The report noted that in certain cases, employee stock ownership plans offer an indispensable vehicle for the retention of employment threatened by the pending closure of business facilities and stated that often there is no alternate viable technique of job maintenance in the case of a complete shutdown.
d. The report also indicated that while State policy should include the encouragement and assistance of employee stock ownership plans, great care should be taken to avoid the waste of public and private resources and the bitter disappointment of the employees that might result from the employee acquisition of an obsolete, overpriced or otherwise undesirable facility.
e. The report recommended that the State also publicize the potential value of employee stock ownership plans as tools to aid the refinancing of presently successful businesses.
f. The public interest will be best served by implementing a State policy to assist employee stock ownership plans which is in accord with the recommendations of the report.
##### **§ 52:27H-91** Commissioner defined {#sec-52-27h-91 omnilex-key=us-nj-statutes--title-52--52:27H-91}
For the purposes of sections 1 through 7 of this act, "commissioner" means the Commissioner of Commerce and Economic Development.
##### **§ 52:27H-92** Short title {#sec-52-27h-92 omnilex-key=us-nj-statutes--title-52--52:27H-92}
Sections 1 through 7 of this act shall be known and may be cited as the "Employee Stock Ownership Plan Act."
##### **§ 52:27H-93** Employee stock ownership plans; dissemination of information {#sec-52-27h-93 omnilex-key=us-nj-statutes--title-52--52:27H-93}
The commissioner shall take any action which he deems appropriate to disseminate information on the advantages and disadvantages of employee stock ownership plans to employers and employee groups. This may include, but need not be limited to, the publication and distribution of suitable pamphlets, brochures and other literature, and the organization of seminars and other informational meetings on employee stock ownership plans. In conducting these activities, the commissioner may seek the collaboration and assistance of any State department, agency or institution of higher education.
b. The information shall include an explanation of the potential usefulness of employee stock ownership plans for averting the closing of places of employment in certain instances and the use of employee stock ownership plans in the refinancing of successful enterprises.
##### **§ 52:27H-94** Advice upon request to employer or employee groups {#sec-52-27h-94 omnilex-key=us-nj-statutes--title-52--52:27H-94}
a. The commissioner, upon request, shall advise any employer or employee group as to:
(1) The procedures for establishing an employee stock ownership plan;
(2) The availability of federal, State and local assistance; and,
(3) The availability of private sector consultants or associations who are capable of performing a satisfactory analysis of the potential profitability of a proposed employee stock ownership plan and any other relevant studies or surveys.
b. The commissioner may, in his discretion, assist in reviewing and evaluating materials produced by private consultants pursuant to paragraph (3) of subsection a. of this section.
##### **§ 52:27H-95** Closure or pending closure of facility in municipality suffering significant economic distress; grant of funds analysis and study {#sec-52-27h-95 omnilex-key=us-nj-statutes--title-52--52:27H-95}
In the event of the closure or pending closure of a facility which would cause or has caused a significant loss of employment to any municipality the commissioner determines to be already suffering significant economic distress, he may, upon the request of the municipality and subject to the availability of funds, grant funds to assist in conducting a cost-benefit analysis of the potential profitability of the establishment of an employee stock ownership plan and a study of economic effects of the closure.
##### **§ 52:27H-96** Review and evaluation; assistance in purchase of business by employee stock ownership trust {#sec-52-27h-96 omnilex-key=us-nj-statutes--title-52--52:27H-96}
The commissioner shall assist in reviewing and evaluating materials from studies for which he has granted funds under the provisions of section 6 of this act. If, following that review and evaluation, the commissioner determines that the purchase of 100% of a business by the employees through an employee stock ownership trust would have a reasonable chance of creating benefits to the public interest greater than the total costs and risks, he may provide whatever assistance he deems appropriate, subject to the availability of funds and to the provisions of federal, State and local law. That assistance may include, but need not be limited to, loan guarantees, direct interest subsidies or below market interest rate loans for the purpose of reducing the cost of financing the purchase.
##### **§ 52:27H-97** Annual report {#sec-52-27h-97 omnilex-key=us-nj-statutes--title-52--52:27H-97}
The commissioner shall annually submit to the Legislature a report concerning the formation of new employee stock ownership trusts and the operation of existing employee stock ownership trusts in this State, and shall include in the report an account of State activity, during the previous year, in connection with these trusts.
This section supersedes the annual reporting requirements previously assigned to the Commissioner of Labor under section 6 of P.L.1981, c. 82 (C. 34:1B-35).
##### **§ 52:27H-98** Tax expenditures for State fiscal years. {#sec-52-27h-98 omnilex-key=us-nj-statutes--title-52--52:27H-98}
11. a. The combined State tax expenditures in State Fiscal Year 2022 for the Urban Enterprise Zone Special Sales Tax Rate and Urban Enterprise Zone Exempt Business Purchases, as expressed in the Fiscal Year 2022 State of New Jersey Tax Expenditure Report, shall be the "ZAF base fund amount."
In State Fiscal Year 2023, the amount to be appropriated to the enterprise zone assistance fund and made available to fulfill the purposes set forth in section 29 of P.L.1983, c.303 (C.52:27H-88) shall be determined as follows: The State Treasurer, in consultation with the UEZ Authority, shall determine the combined State tax expenditures for the Urban Enterprise Zone Special Sales Tax Rate and Urban Enterprise Zone Exempt Business Purchases in the six-month period beginning January 1, 2022 and ending June 30, 2022. The combined State tax expenditures for the Urban Enterprise Zone Special Sales Tax Rate and Urban Enterprise Zone Exempt Business Purchases for the six-month period beginning January 1, 2022 and ending June 30, 2022, shall be multiplied by two and then subtracted from the ZAF base fund amount. The difference shall be the amount to be appropriated to the enterprise zone assistance fund and made available to fulfill the purposes set forth in section 29 of P.L.1983, c.303 (C.52:27H-88) in State Fiscal Year 2023.
Beginning in State Fiscal Year 2024, and in each State fiscal year thereafter, the amount to be appropriated to the enterprise zone assistance fund and made available to fulfill the purposes set forth in section 29 of P.L.1983, c.303 (C.52:27H-88) shall be determined as follows: After January 1 but prior to June 30, the State Treasurer, in consultation with the UEZ Authority, shall develop a methodology to compare the combined State tax expenditures for the Urban Enterprise Zone Special Sales Tax Rate and Urban Enterprise Zone Exempt Business Purchases in the prior State fiscal year with the ZAF base fund amount to calculate the savings achieved by P.L.2021, c.197. The savings determined shall be the amount appropriated to the enterprise zone assistance fund to fulfill the purposes set forth in section 29 of P.L.1983, c.303 (C.52:27H-88) for the State fiscal year.
b. Notwithstanding the provisions of subsection a. of this section, for State Fiscal Year 2023 and thereafter, the amount appropriated to the enterprise zone assistance fund and made available to fulfill the purposes set forth in section 29 of P.L.1983, c.303 (C.52:27H-88) shall not exceed $82,500,000, and in Fiscal Year 2024, and in each year thereafter, $82,500,000 as adjusted annually based on the percentage change in the 12-month Consumer Price Index from June 30 to July 1 of each year, and shall be no less than $60,000,000. Should the balance of the enterprise zone assistance fund be in excess of the amount appropriated annually to fulfill the purposes set forth in section 29 of P.L.1983, c.303 (C.52:27H-88), such excess amount shall be deposited in the General Fund. If the application of the formulas set forth in subsection a. of this section will result in an appropriation to the enterprise zone assistance fund that is less than $60,000,000 and made available to fulfill the purposes set forth in section 29 of P.L.1983, c.303 (C.52:27H-88) in any State fiscal year, then the State Treasurer, in consultation with the UEZ Authority, shall impose a limit on the receipts from retail sales of tangible personal property and sales of services to a qualified business that are exempt from the sales and use tax pursuant to section 20 of P.L.1983, c.303 (C.52:27H-79); provided, however, that no less than the receipts from the first $50,000 of retail sales of tangible personal property and sales of services to a qualified business shall be exempt from the sales and use tax in accordance with section 20 of P.L.1983, c.303 (C.52:27H-79).
##### **§ 52:27H-99** Definitions, designation of qualified business. {#sec-52-27h-99 omnilex-key=us-nj-statutes--title-52--52:27H-99}
12. a. As used in this section:
"Eligible block group" means a block group that is located in an enterprise zone on the effective date of P.L.2021, c.197.
b. The UEZ Authority shall notify each qualified municipality of each eligible block group within the municipality no later than 14 days after the effective date of P.L.2021, c.197. The UEZ Authority shall then certify the final eligible block groups to each municipality and shall post a link to a list of eligible block groups on the UEZ Authority's Internet homepage on the Department of Community Affair's Internet website.
c. A qualified business shall be located in an eligible block group. The certification of a qualified business that was certified as a qualified business on the effective date of P.L.2021, c.197 shall expire at the end of the 10th State fiscal year following the effective date of P.L.2021, c.197. However, the UEZ Authority may at any time revoke a certification if the UEZ Authority shall determine that the seller no longer complies with the provisions of P.L.1983, c.303 (C.52:27H-60 et seq.).
d. The certification of a qualified business located in an eligible block group after the effective date of P.L.2021, c.197 shall expire at the end of the 10th State fiscal year following the State fiscal year in which the business was first certified as a qualified business. A business whose certification has expired shall not be eligible to seek a new certification.
##### **§ 52:27H-100** Annual report. {#sec-52-27h-100 omnilex-key=us-nj-statutes--title-52--52:27H-100}
13. On or before June 30 of each year next following the effective date of P.L.2021, c.197, the State Treasurer shall provide to the UEZ Authority an annual report of the aggregate amount, expressed in dollars, of the incentives provided under P.L.1983, c.303 (C.52:27H-60 et seq.) to all qualified businesses and municipalities. The report shall include aggregate data on gross revenues, retail sales taxes collected, and shall also include information on the address, municipality, and industry of each business. All data from participating businesses shall be collected through an online application and consumer access portal, where possible.
##### **§ 52:27H-101** Annual review. {#sec-52-27h-101 omnilex-key=us-nj-statutes--title-52--52:27H-101}
14. The UEZ Authority shall conduct an annual review that determines the number of participating businesses, unemployment rate, median household income, and number of jobs in each enterprise zone to assess the program's progress. The review shall also include the total tax expenditures by zone and total zone assistance funds expended as the requisite data becomes available from the annual report from the Department of the Treasury required pursuant to section 13 of P.L.2021, c.197 (C.52:27H-100). The UEZ Authority shall review the status of any projects that were approved by participating enterprise zones, overall enterprise zone performance, and adherence to the zone development plans. Each review shall include a detailed listing of deliverables by each enterprise zone and the State that are to be implemented and subsequently evaluated in the future.
##### **§ 52:27H-102** Memorandum of understanding. {#sec-52-27h-102 omnilex-key=us-nj-statutes--title-52--52:27H-102}
15. The UEZ Authority and the Department of Labor and Workforce and Development shall enter into a memorandum of understanding to assist in substantial and comprehensive data gathering and information sharing between the two agencies to further the UEZ Authority's ability to evaluate enterprise zone performance and compliance, and to initiate enforcement actions.
##### **§ 52:27H-103** Certain new applications not accepted. {#sec-52-27h-103 omnilex-key=us-nj-statutes--title-52--52:27H-103}
16. Following the effective date of P.L.2021, c.197, no new applications for the enterprise zone employee tax credit, pursuant to section 19 of P.L.1983, c.303 (C.52:27H-78), or for the corporation business tax exemption, pursuant to section 17 of P.L.1983, c.303 (C.52:27H-76), shall be accepted.
## **Chapter 27I**
##### **§ 52:27I-8.1** Additional powers of authority. {#sec-52-27i-8.1 omnilex-key=us-nj-statutes--title-52--52:27I-8.1}
1. In addition to the powers granted the authority pursuant to section 8 of P.L.2006, c.16 (C.52:27I-8), the authority shall have the power to enter into any legally binding agreements with representatives of persons who are homeless that are necessary in order to comply with and implement the requirements of 32 CFR 176.30 and 24 CFR 586.30. On or before December 31 of each year, the authority shall report each agreement entered into by the authority pursuant to this section to the Office of Homelessness Prevention in the Department of Community Affairs.
##### **§ 52:27I-8.2** Actions required prior to submission of plan for closure of Fort Monmouth. {#sec-52-27i-8.2 omnilex-key=us-nj-statutes--title-52--52:27I-8.2}
2. Prior to the submission to the appropriate agency or agencies of the federal government of the comprehensive plan for the conversion and revitalization of Fort Monmouth prepared and adopted by the authority pursuant to section 14 of P.L.2006, c.16 (C.52:27I-14), the Governor shall designate an agency with appropriate expertise and experience to assume responsibility for the homeless assistance submission required under the "Defense Base Closure and Realignment Act of 1990," Pub.L. 101-510 (10 U.S.C. s.2687). The power granted to the authority pursuant to section 1 of this act is also hereby granted to the designated agency. The designated agency shall have the same rights and responsibilities of the authority under any legally binding agreements with representatives of the homeless to which the authority and the designated agency are parties. The designated agency is authorized, after the submission of the comprehensive conversion and revitalization plan, to comply with and implement the requirements of 32 CFR 176.30 and 24 CFR 586.30. Further, if the authority is dissolved pursuant to subsection g. of section 6 of P.L.2006, c.16 (C.52:27I-6), the designated agency is authorized to assume all rights, responsibilities, and powers of the authority pursuant to section 1 of this act until a successor local redevelopment authority is recognized by the Secretary of Defense as the entity responsible for directing the implementation of the comprehensive conversion and revitalization plan, in the event the designated agency is not proposed to and recognized by the Secretary of Defense as the successor local redevelopment authority.
##### **§ 52:27I-14** Preparation of comprehensive conversion and revitalization plan for Fort Monmouth. {#sec-52-27i-14 omnilex-key=us-nj-statutes--title-52--52:27I-14}
14. a. The authority shall prepare a comprehensive conversion and revitalization plan for Fort Monmouth, which may be periodically revised and updated. The plan shall be approved by no fewer than six of the nine voting members of the authority.
The plan shall generally comprise a report or statement and land use and development proposals, including plans for the development, redevelopment or rehabilitation of the project area with maps, diagrams and text, presenting:
(1) A statement of objectives, principles, assumptions, policies and standards upon which the constituent proposals for the physical, economic and social development of the project area are based;
(2) The relationship of the plan to Statewide, county and municipal objectives as to appropriate land uses, density of population, and traffic and public transportation, public utilities, recreational and community facilities and other public improvements;
(3) Proposed land uses in the project area, taking into account and stating the relationship thereof to the statement provided for in paragraph (1) of this subsection, and other plan elements as the authority deems appropriate, including, but not necessarily limited to, topography, soil conditions, water supply, drainage, flood plain areas, marshes, and woodlands; showing the existing and proposed location, extent and intensity of development of land to be used in the future for varying types of residential, commercial, industrial, agricultural, recreational, educational and other public and private purposes or combination of purposes; and including a statement of the standards of population density and development intensity recommended for the project area. The plan shall not include any proposed State or federal correctional institutions to be located in whole or in part in the project area; and
(4) Any significant relationship of the plan to (a) the master plans of constituent municipalities, (b) the master plan of the county in which the municipalities are located, and (c) the State Development and Redevelopment Plan adopted pursuant to the "State Planning Act," P.L.1985, c.398 (C.52:18A-196 et al.).
b. The plan shall supersede applicable provisions of the development regulations of the constituent municipalities or constitute an overlay district within the project area.
c. Prior to the adoption of such plan by the authority, the authority shall hold at least three public hearings, one within each of the host communities of Eatontown, Oceanport and Tinton Falls.
##### **§ 52:27I-17** Submission of adopted plan to federal agencies. {#sec-52-27i-17 omnilex-key=us-nj-statutes--title-52--52:27I-17}
17. Upon the final adoption thereof, the authority shall submit the comprehensive plan for the conversion and revitalization of Fort Monmouth and the economic revitalization plan to the appropriate agency or agencies of the federal government. The authority shall also submit the plan to the Governor, to the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the clerks of the constituent municipalities, and to the clerk of Monmouth County.
##### **§ 52:27I-18** Short title. {#sec-52-27i-18 omnilex-key=us-nj-statutes--title-52--52:27I-18}
1. This act shall be known and may be cited as the "Fort Monmouth Economic Revitalization Authority Act."
##### **§ 52:27I-19** Findings, declarations relative to Fort Monmouth economic revitalization. {#sec-52-27i-19 omnilex-key=us-nj-statutes--title-52--52:27I-19}
2. The Legislature finds and declares that:
a. The closure and revitalization of Fort Monmouth is a matter of great concern for the host municipalities of Eatontown, Oceanport, and Tinton Falls; for Monmouth County; and for the State of New Jersey.
b. The economies, environment, and quality of life of the host municipalities, Monmouth County, and the State will benefit from the efficient, coordinated, and comprehensive redevelopment and revitalization of Fort Monmouth. The Fort Monmouth Economic Revitalization Planning Authority was established pursuant to P.L.2006, c.16 (C.52:27I-1 et seq.) to plan for the comprehensive conversion and revitalization of Fort Monmouth, so as to encourage enlightened land use and to create employment and other business opportunities for the benefit of the host municipalities, of that county and the entire State. On September 4, 2008, the Fort Monmouth Economic Revitalization Planning Authority submitted a comprehensive conversion and revitalization plan for Fort Monmouth, known as the "Fort Monmouth Reuse and Redevelopment Plan," and a homeless assistance submission to the United States Department of Defense and the United States Department of Housing and Urban Development, as required under the applicable federal Base Closure and Realignment law and regulations. The Fort Monmouth Reuse and Redevelopment Plan is the result of an extensive, coordinated, and collaborative process conducted by the Fort Monmouth Economic Revitalization Planning Authority, and reflects input from the host municipalities, Monmouth County, State departments and agencies and the general public as to the future of Fort Monmouth.
c. Upon acceptance by the United States Department of Defense and the United States Department of Housing and Urban Development as required under applicable federal Base Closure and Realignment law and regulations, the Fort Monmouth Reuse and Redevelopment Plan will constitute the plan for the redevelopment and revitalization of Fort Monmouth to be implemented pursuant to and in accordance with the provisions of this act.
d. A coordinated and comprehensive redevelopment and revitalization of Fort Monmouth will be facilitated by establishing and empowering a new authority, to be known as the "Fort Monmouth Economic Revitalization Authority," to implement the Fort Monmouth Reuse and Redevelopment Plan, including the adoption of any modifications or amendments to the Fort Monmouth Reuse and Redevelopment Plan and the adoption of development and design guidelines and land use regulations in furtherance thereof, as provided in this act.
e. The New Jersey Economic Development Authority (EDA) has substantial and significant experience with partnering with local communities and leveraging public-private partnerships. The EDA manages large scale, redevelopment projects, utilizes a system of internal controls and procedures to ensure the integrity of redevelopment activities, and maintains a staff with a wide range of experience in redevelopment projects, real estate, finance, and job creation. To this end, an office is to be created within the EDA staffed by such EDA employees on a part or full time basis as the EDA determines necessary to carry out the functions of the office.
f. Furthermore, because of the experience and expertise of the EDA in redevelopment projects, it is appropriate to authorize the authority established by this act to enter into a designated redevelopment agreement with the EDA for the redevelopment of Fort Monmouth. The activities of the EDA as a designated redeveloper pursuant to the designated redevelopment agreement are to be accounted for, managed and supervised separately and apart from the activities of the office established by this act, notwithstanding the possible sharing of staff between the EDA's activities as a designated redeveloper and EDA's activities in staffing the office.
g. The host municipalities have an ongoing interest in the implementation of the plan, and the planning boards of the host municipalities have knowledge, expertise, and experience as well as procedures in place for reviewing and approving proposed subdivisions and site plans as provided in this act.
##### **§ 52:27I-20** Definitions relative to Fort Monmouth economic revitalization. {#sec-52-27i-20 omnilex-key=us-nj-statutes--title-52--52:27I-20}
3. The following words or terms as used in this act shall have the following meaning unless a different meaning clearly appears from the context:
"Act" means the "Fort Monmouth Economic Revitalization Authority Act."
"Authority" means the Fort Monmouth Economic Revitalization Authority established by section 4 of this act.
"Conditional use" means a use permitted within the project area only upon a showing that such use in a specified location will comply with the conditions and standards for the location or operation of such use as contained in the development and design guidelines or land use regulations adopted by the authority, and upon the issuance of an authorization therefor by the planning board.
"County" means Monmouth County.
"County planning board" means the Monmouth County planning board.
"Density" means the permitted number of dwelling units per gross area of land to be developed.
"Designated redevelopment agreement" means the redevelopment agreement to be entered into by and between the authority and the EDA as provided in this act for properties within the project area acquired by the authority.
"Development and design guidelines" means the development and design guidelines to be adopted by the authority pursuant to this act, as revised or amended as provided in this act, which when adopted shall apply to all applications for subdivision or site plan approval within the project area and shall supersede the zoning ordinances and land use regulations of the host municipalities and the county with respect to the project area.
"EDA" means the New Jersey Economic Development Authority, established pursuant to section 4 of P.L.1974, c.80 (C.34:1B-4).
"Federal government" means the United States of America, and any officer, department, board, commission, bureau, division, corporation, agency or instrumentality thereof, including, but not limited to, the United States Department of Defense and the United States Department of Housing and Urban Development.
"Floor area ratio" means the sum of the area of all floors of buildings or structures compared to the total area of the site.
"Fort Monmouth" means the federally owned or operated military installation located in the municipalities of Eatontown, Oceanport, and Tinton Falls in the county that, as of May 13, 2005, was functioning, but was scheduled for closure by recommendation of the federal Base Realignment and Closure Commission issued on that date, including any facilities, real property and improvements, infrastructure and appurtenances and personal property.
"Homeless assistance submission" means the homeless assistance submission submitted to the United States Department of Defense and the United States Department of Housing and Urban Development on September 4, 2008 required under the Defense Base Closure and Realignment Act of 1990, Pub.L.101-510 (10 U.S.C. s.2687).
"Host municipality" means the municipality of Eatontown, Oceanport or Tinton Falls.
"Land use regulations" means the regulations to be adopted by the authority pursuant to this act, revised or amended as provided in this act, which when adopted shall apply to all applications for subdivision or site plan approval within the project area and shall supersede the zoning ordinances and land use regulations of the host municipalities and the county with respect to the project area.
"Master plan" or "plan" or "revitalization plan" means the comprehensive conversion and revitalization plan and the homeless assistance submission prepared and adopted by the predecessor authority and entitled "Fort Monmouth Reuse and Redevelopment Plan" submitted to the United States Department of Defense and the United States Department of Housing and Urban Development on September 4, 2008, pursuant to section 14 of P.L.2006, c.16 (C.52:27I-14), as accepted by the federal government, and as may be amended, revised, or modified as provided in this act.
"Minor subdivision" means "minor subdivision" as defined in section 3.2 of P.L.1975, c.291 (C.40:55D-5).
"Nonconforming use" means a legal or pre-existing use or activity which fails to conform to the development and design guidelines or land use regulations adopted by the authority.
"Planning board" means the planning board of a host municipality.
"Predecessor authority" means the Fort Monmouth Economic Revitalization Planning Authority established pursuant to section 4 of P.L.2006, c.16 (C.52:27I-4), repealed by this act.
"Project area" means that area encompassed by the metes and bounds of Fort Monmouth.
"Project parcel" means a portion of the project area that is the subject of a development or redevelopment project.
"Redevelopment" means clearance, replanning, development and redevelopment; the conservation and rehabilitation of any structure or improvement; the construction and provision for construction of residential, commercial, industrial, public or other structures or infrastructure; and the grant or dedication of spaces as may be appropriate or necessary in the interest of the general welfare for streets, utilities, parks, playgrounds, or other public purposes, including recreational and other facilities incidental or appurtenant thereto, in accordance with the approved Fort Monmouth Reuse and Redevelopment Plan submitted to the federal government, with the intent of supporting the economic revitalization of the region.
"Revitalization" means a comprehensive program of planning, conservation, rehabilitation, clearance, development and redevelopment, preservation, and historic restoration.
"Site Plan" means "site plan" as defined in section 3.4 of P.L.1975, c.291 (C.40:55D-7).
"Subdivision" means "subdivision" as defined in section 3.4 of P.L.1975, c.291 (C.40:55D-7).
"Variance" means permission to depart from the literal requirements of the master plan, the development and design guidelines adopted by the authority or the land use regulations adopted by the authority.
##### **§ 52:27I-21** Fort Monmouth Economic Revitalization Authority. {#sec-52-27i-21 omnilex-key=us-nj-statutes--title-52--52:27I-21}
4. There is hereby established in, but not of, the Department of the Treasury a public body corporate and politic, with corporate succession, to be known as the Fort Monmouth Economic Revitalization Authority as the successor to the predecessor authority. The authority is hereby constituted as an instrumentality of the State exercising public and essential governmental functions to provide for the public safety, convenience, benefit, and welfare. The exercise by the authority of the powers conferred by this act shall be deemed and held to be an essential governmental function of the State. For the purposes of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the authority is allocated within the Department of the Treasury, but notwithstanding that allocation, the authority shall be independent of any supervision or control by the Department of the Treasury or any board or officer thereof, except as may be provided in this act.
##### **§ 52:27I-22** Powers, rights, assets, duties assumed by authority. {#sec-52-27i-22 omnilex-key=us-nj-statutes--title-52--52:27I-22}
5. Effective and automatically upon the first meeting of the authority:
a. The authority shall assume all of the powers, rights, assets, and duties of the predecessor authority to the extent provided by this act, and such powers shall then and thereafter be vested in and shall be exercised by the authority.
b. The terms of office of the members of the predecessor authority shall terminate, the officers having custody of the funds of the predecessor authority shall deliver those funds into the custody of the person having charge of the financial affairs of the authority, the property and assets of the predecessor authority shall, without further act or deed, become the property and assets of the authority, and the predecessor authority shall cease to exist.
c. All debts, liabilities, obligations and contracts of the predecessor authority, except to the extent specifically provided or established to the contrary in this act, are imposed upon the authority, and all creditors of the predecessor authority and persons having claims against or contracts with the predecessor authority of any kind or character may enforce those debts, claims and contracts against the authority as successor to the predecessor authority in the same manner as they might have had against the predecessor authority, and the rights and remedies of those holders, creditors and persons having claims against or contracts with the predecessor authority shall not be limited or restricted in any manner by this act.
d. In continuing the functions, contracts, obligations and duties of the predecessor authority, the authority is authorized to act in its own name or in the name of the predecessor authority as may be convenient or advisable under the circumstances from time to time.
e. Any references to the predecessor authority in any other law or regulation shall be deemed to refer and apply to the authority.
f. All operations of the predecessor authority shall continue as operations of the authority until altered by the authority as may be permitted pursuant to this act.
g. The powers vested in the authority by this act shall be construed as being in addition to and not in diminution of the powers heretofore vested by law in the predecessor authority to the extent not otherwise altered or provided for in this act.
##### **§ 52:27I-23** Office established in the EDA. {#sec-52-27i-23 omnilex-key=us-nj-statutes--title-52--52:27I-23}
6. a. There is hereby established in the EDA an office which shall be staffed by employees of the EDA which shall remain under the supervision and control of the EDA. The office shall be responsible for carrying out the policies set forth by the authority, in a collaborative manner with the host municipalities and the county. The office shall be administered by a director whose hiring shall be reviewed and approved by a subcommittee of the members of the authority to be appointed and convened at the direction of the chairperson of the authority for the purposes of this action.
b. The authority will rely solely on the office for all support services it requires to carry out its mission under this act, including, but not limited, to administrative, procurement, budgetary, clerical, and other similar types of services.
c. The authority and the EDA may enter into any agreements necessary to provide for the establishment, operation, and financial support of the office.
d. The costs of the office shall be paid for by the authority. The EDA shall on an annual basis submit to the authority a budget for review and approval by the authority for the anticipated costs of the office for the succeeding calendar year. If, during the course of the calendar year, it is necessary to amend the budget, the EDA shall submit an amendment or amendments to the authority for review and approval by the authority. All costs and expenses of the office shall be accounted for separately and apart from the costs and expenses of the EDA in its capacity as redeveloper pursuant to the designated redevelopment agreement. In the event the authority does not have adequate monies to fund the budget, the EDA may make a loan to the authority in the amount of the unfunded portion of the budget on terms and conditions acceptable to the EDA and the authority.
e. When it is necessary for the authority to engage the services of professional consultants, including registered architects, licensed professional engineers, planners, attorneys, accountants, or other professional consultants, the office shall assist the authority in the procurement process.
##### **§ 52:27I-24** Purpose of authority. {#sec-52-27i-24 omnilex-key=us-nj-statutes--title-52--52:27I-24}
7. It shall be the purpose of the authority to oversee, administer, and implement the plan as provided in this act, in a manner that will promote, develop, encourage, and maintain employment, commerce, economic development, and the public welfare; to conserve the natural resources of the State; to provide housing, including housing to address identified needs related to homelessness; and to advance the general prosperity and economic welfare of the people in the host municipalities, the county, and the entire State by cooperating and acting in conjunction with other organizations, public and private, to promote and advance the economic use of the facilities located at Fort Monmouth.
##### **§ 52:27I-25** Members, appointment, terms. {#sec-52-27i-25 omnilex-key=us-nj-statutes--title-52--52:27I-25}
8. a. The authority shall consist of 13 members to be appointed and qualified as follows:
(1) Three voting members appointed by the Governor with the advice and consent of the Senate, for staggered terms of five years, one of whom shall be a representative of the private sector with relevant business experience or background; one of whom shall be an individual who is knowledgeable in environmental issues, conservation, or land use issues; and one of whom shall have appropriate experience in workforce development and job training. Preference shall be given to professionals with a background in technology, finance, energy industry, or real estate. One of the members appointed under this paragraph shall be a resident of the county selected from a list of five candidates recommended by the Monmouth County Board of Chosen Freeholders and submitted to the Governor; the list of candidates for the initial selection of this member shall be so submitted within 45 days after the date of enactment of this act. In the event the Governor rejects all five candidates for the member to be selected upon the recommendation of the Monmouth County Board of Chosen Freeholders, the Monmouth County Board of Chosen Freeholders may submit an additional list of five different candidates within 30 days of the Governor's rejection of the prior list. If the Monmouth County Board of Chosen Freeholders does not submit a list of five candidates within either of the aforementioned time periods, within ten days after the expiration of such time period, the Governor shall inform the Monmouth County Board of Chosen Freeholders in writing that the Governor, at the Governor's discretion, will make such appointment. Not more than two of the members appointed by the Governor pursuant to this paragraph shall be members of the same political party, but the provisions of this paragraph regarding the selection of one such member from among candidates recommended by the Monmouth County Board of Chosen Freeholders shall not be construed to prohibit the appointment of a resident of the county for either or both of the memberships under this paragraph that are not filled from among candidates so recommended;
(2) The Chairperson of the New Jersey Economic Development Authority, ex officio and voting;
(3) Another member of the Executive Branch appointed by the Governor to serve on the authority, ex officio and voting;
(4) One voting member, who shall be a member of the Monmouth County Board of Chosen Freeholders to be appointed by the Monmouth County Board of Chosen Freeholders;
(5) The mayors of Eatontown, Oceanport, and Tinton Falls, ex officio and voting;
(6) The Commissioner of Labor and Workforce Development, who shall serve as an ex officio, non-voting member;
(7) The Commissioner of Environmental Protection, who shall serve as an ex officio, non-voting member;
(8) The Commissioner of Community Affairs, who shall serve as an ex officio, non-voting member; and
(9) The Commissioner of Transportation, who shall serve as an ex officio, non-voting member.
Each member appointed by the Governor shall hold office for the term of that member's appointment and until a successor shall have been appointed and qualified. The member appointed by the Monmouth County Board of Chosen Freeholders shall hold office for the term of that member's service on the board. In the event that a member appointed by the Monmouth County Board of Chosen Freeholders ceases to serve on that board, that member shall no longer hold office on the authority and the board shall appoint a member of the board to serve as a new member of the authority. A member shall be eligible for reappointment. Any vacancy in the membership occurring other than by expiration of term shall be filled in the same manner as the original appointment but for the unexpired term only.
b. Each ex officio member of the authority and the member appointed by the Monmouth County Board of Chosen Freeholders may designate an employee of the member's department or office to represent the member at meetings of the authority. The mayors of Eatontown, Oceanport, and Tinton Falls may designate a council member of their respective municipality, in lieu of an employee of the mayor's department or office, to represent them as a member at meetings of the authority. The designee may act on behalf of the member. The designation shall be in writing and shall be delivered to the authority and shall be effective until revoked or amended in writing to the authority.
c. Each member appointed by the Governor may be removed from office by the Governor for cause, after a public hearing, and may be suspended by the Governor pending the completion of that hearing. Each such member, before entering the duties of membership, shall take and subscribe an oath to perform those duties faithfully, impartially, and justly to the best of the person's ability. A record of those oaths shall be filed in the office of the Secretary of State.
d. The Governor shall appoint the chairperson of the authority. The members of the authority shall annually elect a vice-chairperson from among their members. The chairperson shall appoint a secretary and treasurer. The powers of the authority shall be vested in the voting members thereof in office from time to time; five voting members of the authority shall constitute a quorum, and the affirmative vote of five voting members shall be necessary for any action taken by the authority, except as otherwise provided in subsection e. of this section, or unless the bylaws of the authority shall require a larger number. No vacancy in the membership of the authority shall impair the right of a quorum to exercise all the rights and perform all the duties of the authority.
e. The affirmative vote of seven members shall be required for the following actions taken by the authority:
(1) any action to adopt or revise the plan, as provided in section 18 of this act, or to adopt or revise the development and design guidelines or land use regulations adopted by the authority as provided in section 17 of this act; (2) any action to enter into a designated redevelopment agreement with the EDA as provided in subsection a. of section 16 of this act; (3) any action to adopt any amendment to the plan pursuant to paragraph (1) of subsection e. of section 17 of this act; (4) any action to approve any project undertaken by the EDA; (5) any action to acquire easements, rights of way, or fee title to properties pursuant to subsection g. of section 9 of this act; (6) in any year that the authority is anticipated to receive no funding from the federal government, any action to approve the budget of the office for that year or any amendment to the budget pursuant to subsection d. of section 6 of this act; and (7) consent to the designation of any portion of the project area as an area in need of redevelopment or any area in need of rehabilitation pursuant to the provisions of the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et al.), as provided in subsection o. of section 9 of this act.
f. The members of the authority shall serve without compensation, but the authority may, within the limits of funds appropriated or otherwise made available for such purposes, reimburse its members for necessary expenses incurred in the discharge of their official duties.
g. (1) No member, officer, employee or agent of the authority or office shall have a personal interest, either directly or indirectly, in any project, employment agreement or any contract, sale, purchase, lease, or transfer of real or personal property to which the authority or office is a party.
(2) The authority, as well as any business entity performing or seeking to perform a contract for the authority, shall be subject to the provisions of P.L.2005, c.51 (C.19:44A-20.13 et seq.).
(3) The members, officers, and employees of the authority shall be subject to the same financial disclosure requirements as the members, officers, and employees of State authorities subject to executive orders of the Governor with respect to financial disclosure.
h. The authority may be dissolved by act of the Legislature on condition that the authority has no debts or obligations outstanding or provision has been made for the payment, retirement, termination, or assumption of its debts and obligations. Upon dissolution of the authority, all property, funds, and assets thereof shall be vested in the State, unless the Legislature directs otherwise.
i. A true copy of the minutes of every meeting of the authority shall be forthwith delivered by and under the certification of the secretary thereof to the Governor. No action taken at such meeting by the authority shall have force or effect until 10 days, Saturdays, Sundays, and public holidays excepted, after the copy of the minutes shall have been so delivered, unless during such 10-day period the Governor shall approve the same, in which case such action shall become effective upon such approval. If, in that 10-day period, the Governor returns such copy of the minutes with veto of any action taken by the authority or any member thereof at such meeting, such action shall be void.
j. Any and all proceedings, hearings or meetings of the authority shall be conducted in conformance with the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.).
k. Records of minutes, accounts, bills, vouchers, contracts or other papers connected with or used or filed with the authority or with any officer or employee acting for or in its behalf are declared to be public records, and shall be open to public inspection in accordance with P.L.1963, c.73 (C.47:1A-1 et seq.).
##### **§ 52:27I-26** Powers of authority. {#sec-52-27i-26 omnilex-key=us-nj-statutes--title-52--52:27I-26}
9. The authority shall have the following powers:
a. To enter into a designated redevelopment agreement as set forth in subsection a. of section 16 of this act;
b. As designated and empowered as the "local redevelopment authority" for Fort Monmouth for all purposes of the Defense Base Closure and Realignment Act of 1990, Pub.L.101-510 (10 U.S.C. s.2687), and, in that capacity, to enter into agreements with the federal government, State departments, agencies or authorities, the county, the host municipalities, or private parties;
c. To adopt development and design guidelines and land use regulations consistent with and in furtherance of the plan; and to adopt, revise, adjust, and implement (1) any aspect of the plan or the development and design guidelines and land use regulations adopted in furtherance thereof, or to grant variances therefrom; (2) the economic revitalization study prepared pursuant to section 16 of P.L.2006, c.16 (C.52:27I-16); and (3) if designated as the designated agency pursuant to section 2 of P.L.2008, c.28 (C.52:27I-8.2), any aspect of the homeless assistance submission required under the Defense Base Closure and Realignment Act of 1990, Pub.L.101-510 (10 U.S.C. s.2687);
d. To undertake redevelopment projects pursuant to the plan;
e. To acquire or contract to acquire, and to dispose of the project area or any portion, tract or subdivision of the project area, or any utility system or infrastructure servicing the project area;
f. To lease as lessee, lease as lessor whether as a titleholder or not, own, rent, use, and take and hold title to, and to convey title of, and collect rent from, real property and personal property or any interest therein, in the exercise of its powers and the performance of its duties under this act;
g. To acquire, including by condemnation where necessary pursuant to the provisions of the "Eminent Domain Act of 1971," P.L.1971, c.361 (C.20:3-1 et seq.), easements, rights of way, or fee title to properties within the project area where necessary in connection with the provision of utilities, streets, roads or other infrastructure required for implementation of the plan;
h. To arrange for the clearance of any parcel owned or acquired, and for the installation, construction or reconstruction of streets, facilities, utilities, and site improvements essential to the preparation of sites for use in accordance with the plan;
i. To contract for the provision of professional services, including, but not limited to, the preparation of plans for the carrying out of redevelopment projects by registered architects, licensed professional engineers or planners, or other consultants;
j. To issue requests for proposals or requests for qualifications; to arrange or contract with other public agencies or public or private redevelopers, including but not limited to nonprofit entities, for the planning, replanning, construction, or undertaking of any project or redevelopment work, or any part thereof; to negotiate and collect revenue from a redeveloper to defray the costs of the authority, and to secure payment of such revenue; as part of any such arrangement or contract, to negotiate financial or in-kind contributions from a redeveloper to the authority or to the host municipalities to offset or mitigate impacts of the project; as part of any such arrangement or contract, to require the posting of performance guarantees in connection with any redevelopment project; as part of any such arrangement or contract, to facilitate the extension of credit, or making of loans, by the EDA, by other public agencies or funding sources, or by private entities to redevelopers to finance any project or redevelopment work, or upon a finding that the project or redevelopment work would not be undertaken but for the provision of financial assistance, or would not be undertaken in its intended scope without the provision of financial assistance, to facilitate as part of an arrangement or contract for capital grants to redevelopers; and to arrange or contract with public agencies or redevelopers for the opening, grading or closing of streets, roads, roadways, alleys, or other places or for the furnishing of facilities or for the acquisition by such agency of property options or property rights or for the furnishing of property or services in connection with the project area;
k. To participate in, conduct, or contract for the performance of environmental assessment or remediation activities or restoration arising out of or relating to environmental conditions within the project area, including but not limited to insurance or bonds related to such activities;
l. To enter upon any building or property in the project area in order to conduct investigations or make surveys, sounding or test borings necessary to carry out the purposes of the plan;
m. To arrange or contract with the EDA or other public agencies to facilitate or provide relocation assistance, of the types and in the amounts provided for businesses in the "Relocation Assistance Law of 1967," P.L.1967, c.79 (C.52:31B-1 et seq.) and the "Relocation Assistance Act," P.L.1971, c.362 (C.20:4-1 et seq.), to businesses operating within the project area who are displaced as a result of the closure and who request such assistance within a period to be determined by the authority;
n. To make, consistent with the plan: (1) plans for carrying out a program of voluntary repair and rehabilitation of buildings and improvements; and (2) plans for the enforcement of laws, codes, and regulations relating to the use and occupancy of buildings and improvements, and to the compulsory repair, rehabilitation, demolition, or removal of buildings and improvements;
o. Notwithstanding any other law to the contrary, to consent to a request by a host municipality for, or request that the host municipality consider, the designation of portions of the project area as being in need of redevelopment or rehabilitation in accordance with the provisions of the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et al.);
p. To publish and disseminate information concerning the plan or any project within the project area;
q. To adopt and from time to time amend and repeal bylaws for the regulation of its affairs and the conduct of its business;
r. To adopt and use an official seal and alter it at its pleasure;
s. To maintain an office at a place or places within the State as it may designate;
t. To sue and be sued in its own name;
u. To provide that any revenues collected shall be available to the authority for use in furtherance of any of the purposes of this act;
v. Pursuant to an adopted cash management plan, to invest any funds held in reserve or sinking funds, or any funds not required for immediate disbursement, in property or securities in which governmental units may legally invest funds subject to their control;
w. To enter into mortgages as mortgagee;
x. To apply for, receive, and accept from any federal, State, or other public or private source, grants or loans for, or in aid of, the authority's authorized purposes;
y. To consent to the modification of any contract, mortgage, or other instrument entered into by it or on its behalf;
z. To pay or compromise any claim arising on, or because of any agreement, mortgage, or instrument;
aa. To acquire or contract to acquire from any person, firm, or corporation, public or private, by contribution, gift, grant, bequest, devise, purchase, or otherwise, real or personal property or any interest therein, including such property as it may deem necessary or proper, although temporarily not required for such purposes, in the project area or in any area outside the project area designated by the authority as necessary for carrying out the relocation of the businesses displaced from the project area as a result of the closure of Fort Monmouth or other acquisitions needed to carry out the master plan;
bb. To subordinate, waive, sell, assign or release any right, title, claim, lien or demand however acquired, including any equity or right of redemption, foreclosure, sell or assign any mortgage held by it, or any interest in real or personal property; and to purchase at any sale, upon such terms and at such prices as it determines to be reasonable, and take title to the property, real, personal, or mixed, so acquired and similarly sell, exchange, assign, convey or otherwise dispose of any property;
cc. To complete, administer, operate, obtain, and pay for insurance on, and maintain, renovate, repair, modernize, lease or otherwise deal with any property;
dd. To retain attorneys, planners, engineers, architects, managers, financial experts, and other types of consultants as may be necessary;
ee. To arrange or contract with any public agency, to the extent that it is within the scope of that agency's functions, to cause the services customarily provided by that agency to be rendered for the benefit of the occupants of the project area, and have that agency provide and maintain parks, recreation centers, schools, sewerage, transportation, water and other municipal facilities adjacent to or in connection with the project area;
ff. To conduct examinations and investigations, hear testimony and take proof, under oath at public or private hearings of any material matter, compel witnesses and the production of books and papers and issue commissions for the examination of witnesses who are out of State, unable to attend, or excused from attendance; and to authorize a committee designated by it consisting of one or more members, or counsel, or any officer or employee to conduct the examination or investigation, in which case it may authorize in its name the committee, counsel, officer or employee to administer oaths, take affidavits and issue subpoenas or commissions;
gg. To make and enter into all contracts and agreements necessary or incidental to the performance of the duties authorized in this act;
hh. After thorough evaluation and investigation, to bring an action on behalf of a tenant within the project area to collect or enforce any violation of subsection g. or h. of section 11 of the "Law Against Discrimination," P.L.1945, c.169 (C.10:5-12);
ii. To designate members or employees, who shall be knowledgeable of federal and State discrimination laws, and who shall be available during all normal business hours, to evaluate a complaint made by a tenant within the project area pursuant to section 11 of the "Law Against Discrimination," P.L.1945, c.169 (C.10:5-12);
jj. To borrow monies from the EDA to fund an approved budget on terms and conditions acceptable to the EDA;
kk. To adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations necessary to implement this act; and
ll. To do all things necessary or convenient to carry out its purposes and exercise the powers given and granted in this act.
##### **§ 52:27I-27** Appointment of committees. {#sec-52-27i-27 omnilex-key=us-nj-statutes--title-52--52:27I-27}
10. The authority shall appoint an historical preservation advisory committee and an environmental advisory committee to assist in its activities in such areas, and any other advisory committee as it deems appropriate. The membership of the committees shall be determined by the authority. The historical preservation committee and the environmental committee shall for all intents and purposes be the exclusive "historic preservation commission," as established pursuant to section 21 of P.L.1985, c.516 (C.40:55D-107), and the "environmental commission," as established pursuant to P.L.1968, c.245 (C.40:56A-1 et seq.), for all land use matters and approvals within the project area.
##### **§ 52:27I-28** Cooperation with State departments, agencies. {#sec-52-27i-28 omnilex-key=us-nj-statutes--title-52--52:27I-28}
11. All State departments and agencies, to the extent not inconsistent with law and within budget constraints, shall cooperate with the authority and respond to requests for such information and assistance as are necessary to accomplish the purposes of this act.
To the extent not inconsistent with law and within budget constraints, and to the extent necessary to ensure a coordinated and comprehensive redevelopment and revitalization of Fort Monmouth, upon the recommendation of the EDA that a project be prioritized, a State department, agency or authority shall supersede existing priority setting or ranking systems to place applications that would benefit that project within the project area in the highest priority or ranking category for award or approval of grants, benefits, loans, projects, including highways, roads, sewer, or other infrastructure projects, or other considerations that would benefit the project area. Funding from State sources shall augment, and not replace, any funding from the federal government or as authorized by sections 22 through 24 of this act.
##### **§ 52:27I-29** Property exempt from levy, sale. {#sec-52-27i-29 omnilex-key=us-nj-statutes--title-52--52:27I-29}
12. All property of the authority or EDA shall be exempt from levy and sale by virtue of an execution and no execution or other judicial process shall issue against the same nor shall any judgment against the authority or EDA be a charge or lien upon its property; provided, that nothing herein contained shall apply to or limit the rights of the holder of any bonds to pursue any remedy for the enforcement of any pledge or lien given by the authority or EDA on or with respect to any project or any revenues or other moneys.
##### **§ 52:27I-30** Taxes, assessments, payment not required; payments in lieu of taxes. {#sec-52-27i-30 omnilex-key=us-nj-statutes--title-52--52:27I-30}
13. a. The authority and the EDA shall not be required to pay any taxes or assessments upon or in respect of a project or any property or moneys of the authority and the EDA, and the authority and EDA, their projects, property, and moneys, their transfer and the income therefrom, including any profit made on the sale thereof, shall at all times be free from taxation of every kind by the State except for transfer, inheritance, and estate taxes and by any political subdivision of the State; provided, that any person occupying a project whether as lessee, vendee or otherwise shall, as long as title thereto shall remain in the authority or EDA, pay to the political subdivision in which such project is located a payment in lieu of taxes which shall equal the taxes on real and personal property, whether for municipal, county, fire, or school purposes, as applicable, including water and sewer service charges or assessments, which such person would have been required to pay had it been the owner of such property during the period for which such payment is made and neither the authority nor the EDA nor their projects, property, money or bonds and notes shall be obligated, liable or subject to lien of any kind for the enforcement, collection or payment thereof. If and to the extent provided by contract, the authority or EDA may agree to cooperate with such person occupying a project, in connection with any administrative or judicial proceedings for determining the validity or amount of such payments and may agree to appoint or designate and reserve the right in and for such person to take all action which the authority may lawfully take in respect of such payments and all matters relating thereto, provided such person shall bear and pay all costs and expenses of the authority thereby incurred at the request of such person or by reason of any such action taken by such person in behalf of the authority. If such person occupying a project has paid the amounts in lieu of taxes required by this section to be paid, such person shall not be required to pay any such taxes as to which a payment in lieu thereof has been made to the State or to any political subdivision, any other statute to the contrary notwithstanding.
b. Except as provided in subsection a. of this section, a host municipality is authorized to assess and collect taxes on real and personal property within the project area as provided by law for municipal, county, fire, or school purposes, as applicable.
##### **§ 52:27I-31** Prevailing wage rate. {#sec-52-27i-31 omnilex-key=us-nj-statutes--title-52--52:27I-31}
14. Each worker employed on any project to which the authority is a party, shall be paid not less than the prevailing wage rate for the worker's craft or trade, as determined by the Commissioner of Labor and Workforce Development pursuant to P.L.1963, c.150 (C.34:11-56.25 et seq.).
##### **§ 52:27I-32** Awarding of purchases, contracts, agreements. {#sec-52-27i-32 omnilex-key=us-nj-statutes--title-52--52:27I-32}
15. a. All purchases, contracts, or agreements made pursuant to this act shall be made or awarded directly by the authority, except as otherwise provided in this act, only after public advertisement for bids therefor in the manner provided by the authority and notwithstanding the provisions of any other laws to the contrary.
b. Any purchase, contract, or agreement may be made, negotiated, or awarded by the authority without public bid or advertising under the following circumstances:
(1) When the aggregate amount involved does not exceed the amount set forth in, or the amount calculated by the Governor pursuant to, section 2 of P.L.1954, c.48 (C.52:34-7);
(2) To acquire subject matter which is described in section 4 of P.L.1954, c.48 (C.52:34-9);
(3) To make a purchase or award or make a contract or agreement under the circumstances described in section 5 of P.L.1954, c.48 (C.52:34-10);
(4) When the contract to be entered into is for the furnishing or performing of services of a professional or technical nature, including legal services, provided that the contract shall be made or awarded directly by the authority;
(5) When the authority has advertised for bids and has received no bids in response to its advertisement, or received no responsive bids. Any purchase, contract, or agreement may then be negotiated and may be awarded to any contractor or supplier determined to be responsible, as "responsible" is defined in section 2 of P.L.1971, c.198 (C.40A:11-2), provided that the terms, conditions, restrictions, and specifications set forth in the negotiated contract or agreement are not substantially different from those which were the subject of competitive bidding;
(6) When a purchase is to be made through or by the Director of the Division of Purchase and Property pursuant to section 1 of P.L.1959, c.40 (C.52:27B-56.1), or through a contract made by any of the following: the New Jersey Sports and Exposition Authority established under section 4 of P.L.1971, c.137 (C.5:10-4); the New Jersey Meadowlands Commission established under section 5 of P.L.1968, c.404 (C.13:17-5); the New Jersey Turnpike Authority established under section 3 of P.L.1948, c.454 (C.27:23-3); the New Jersey Water Supply Authority established under section 4 of P.L.1981, c.293 (C.58:1B-4); the Port Authority of New York and New Jersey established under R.S.32:1-4; the Delaware River Port Authority established under R.S.32:3-2; or the Higher Education Student Assistance Authority established under N.J.S.18A:71A-3.
##### **§ 52:27I-33** Designated redeveloper. {#sec-52-27i-33 omnilex-key=us-nj-statutes--title-52--52:27I-33}
16. a. Upon the acceptance by the federal government of the revitalization plan adopted by the predecessor authority pursuant to section 14 of P.L.2006, c.16 (C.52:27I-14), the EDA is hereby designated as a designated redeveloper for any property acquired by or conveyed to the authority. The authority and EDA shall enter into a designated redevelopment agreement detailing the terms and conditions of the designated redeveloper relationship, including, but not limited to, the tasks and scope of powers and authorities delegated to the EDA as a designated redeveloper, which may include the power and authority to perform all acts and do all things that the authority is empowered to do pursuant to this act, except for the powers enumerated in subsections b., c., o., q., r., s., t., ff., hh., ii., jj., kk., and ll. of section 9 of this act and the ability to adopt or amend the plan or the development and design guidelines and land use regulations adopted by the authority as provided in this act. In addition to such delegated power and authority, in order to carry out and effectuate the purposes of this act and the terms of the plan, the designated redeveloper may do and perform any acts and things authorized by the "New Jersey Economic Development Authority Act," P.L.1974, c.80 (C.34:1B-1 et seq.) necessary or convenient to carry out the purposes of this act.
b. No municipality shall modify or change the drawings, plans, or specifications for the construction, reconstruction, rehabilitation, alteration, or improvement of any project of the authority, or of the EDA, or the construction, plumbing, heating, lighting, or other mechanical branch of work necessary to complete the work in question, or require that any person, firm or corporation employed on any such work shall perform the work in any other or different manner than that provided by the drawings, plans, and specifications, or require that any person, firm or corporation obtain any other or additional authority, approval, permit, or certificate from the municipality in relation to the work being done, and the doing of the work by any person, firm, or corporation in accordance with the terms of the drawings, plans, specifications, or contracts shall not subject the person, firm, or corporation to any liability or penalty, civil or criminal, other than as may be stated in the contracts or incidental to the proper enforcement thereof; nor shall any municipality require the authority, the EDA, or any person, firm, partnership or corporation which leases or purchases the project for lease or purchase to a State agency, to obtain any other or additional authority, approval, permit, certificate, or certificate of occupancy from the municipality as a condition of owning, using, maintaining, operating, or occupying any project acquired, constructed, reconstructed, rehabilitated, altered, or improved by the authority or by the EDA. Notwithstanding the provisions of subsections b. and d. of section 17 of this act, municipal site plan approval and municipal subdivision approval shall not be required for any project undertaken by the authority or the EDA, but a project undertaken by the EDA shall require the affirmative vote of seven members of the authority. The foregoing provisions shall not preclude any municipality from exercising the right of inspection for the purpose of requiring compliance by any project with local requirements for operation and maintenance affecting the health, safety, and welfare of the occupants thereof, provided that the compliance does not require changes, modifications or additions to the original construction of the project.
##### **§ 52:27I-34** Development and design guidelines, land use regulations; variances. {#sec-52-27i-34 omnilex-key=us-nj-statutes--title-52--52:27I-34}
17. a. The authority shall propose and adopt development and design guidelines and land use regulations consistent with and in furtherance of the plan. Provisions may be made by the authority for the waiver, according to definite criteria, of strict compliance with the standards promulgated, where necessary to alleviate hardship. The plan and the development and design guidelines and land use regulations adopted by the authority shall supersede the master plans, the zoning and land use ordinances and regulations, and the zoning maps of the host municipalities adopted pursuant to the "Municipal Land Use Law," P.L.1975, c.291 (C.40:55D-1 et seq.) insofar as the same may pertain to the project area, except with respect to the procedures to be followed for submitting and processing applications for subdivision or site plan approvals.
b. Applications for subdivision approval, site plan approval, and redevelopment within the project area shall utilize the development and design guidelines and land use regulations adopted by the authority, and shall be submitted to the planning board of the host municipality in which the project parcel is located for review and approval, and where required by law to the county planning board. The procedures for the approval of subdivisions and site plans within the project area shall be the procedures adopted by such host municipality pursuant to the "Municipal Land Use Law," P.L.1975, c.291 (C.40:55D-1 et seq.) (including, but not limited to, notice provisions and the payment of application fees and the posting of escrow deposits, if any). The authority shall by regulation provide for mandatory conceptual review by or on behalf of the authority; provided, however, that unless accompanied by a request for a variance to be granted by the authority pursuant to subsection e. of this section, any such mandatory conceptual review shall be completed within 45 days of the authority's receipt of the application, or within such later time period if agreed to by the applicant.
c. Whenever an application pursuant to subsection b. of this section is filed with a planning board, a copy of the application shall be submitted simultaneously to the authority, and notice of all public hearings in connection therewith shall be provided to the authority. The authority shall be deemed an interested party entitled to notice of all applications for properties within the project area or within 200 feet of the project area's boundaries, irrespective of whether the authority owns the portion of the project area within 200 feet.
d. In connection with subdivision and site plan approval, the planning boards shall have the authority to grant variances from the requirements of the development and design guidelines and land use regulations adopted by the authority to the extent such variances are permitted pursuant to subsection c. of section 57 of P.L.1975, c.291 (C.40:55D-70).
e. (1) The provisions of subsection d. of section 57 of P.L.1975, c.291 (C.40:55D-70) notwithstanding and except as provided in paragraph (2) of this subsection, the authority shall have sole and exclusive jurisdiction to grant for special reasons shown, a variance from the requirements of the master plan, development and design guidelines or land use regulations adopted by the authority to permit: (a) a use or principal structure in a district restricted against such use or principal structure, (b) a continuation or an expansion of a nonconforming use, (c) deviation from a specification or standard pursuant to land use regulations adopted by the authority pertaining solely to a conditional use, (d) an increase in the permitted floor area ratio as established by the land use regulations adopted by the authority, (e) an increase in the permitted density as established by the land use regulations adopted by the authority or (f) a height of a principal structure which exceeds by 10 feet or 10 percent the maximum height permitted in the district for a principal structure. Such variances shall not be granted unless the applicant demonstrates to the satisfaction of the authority that special reasons exist for the granting of such variance, that the granting of the requested variance will not substantially impair the intent and purpose of the plan, and that the variance can be granted without substantial detriment to the public good. Application for such a variance shall be submitted together with or prior to an application for mandatory conceptual review pursuant to subsection b. of this section, and the authority shall approve or deny the application within 120 days of a complete submission unless the applicant agrees to extend the time. In lieu of granting a variance, the authority in its discretion may require the adoption of a plan amendment.
(2) Variances granted pursuant to subparagraphs (a) through (f) of paragraph (1) of this subsection shall require the affirmative vote of seven members of the authority, except that variances granted pursuant to subparagraph (e) shall be heard and decided by the zoning boards of the host municipalities. If the zoning board of the host municipality hearing such variance request does not vote in favor of the variance request, the authority shall not be permitted to grant such variance.
f. Notwithstanding any other provision of this act or law to the contrary, the host municipalities shall not designate the project area or any portion thereof as an area in need of redevelopment or an area in need of rehabilitation, or adopt a redevelopment plan for any property within the project area pursuant to the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et al.) without the consent of the authority.
##### **§ 52:27I-35** Adoption of amendment to plan. {#sec-52-27i-35 omnilex-key=us-nj-statutes--title-52--52:27I-35}
18. Prior to the adoption of any amendment to the plan, the authority shall transmit a copy of the proposed plan amendment to the governing body of each host municipality. Within 45 days after referral, each governing body may transmit to the authority a report containing its recommendation concerning the proposed plan amendment. The authority, when considering the adoption of the plan amendment, and in taking into account a decision by a zoning board of an affected host municipality as to whether a request for a variance to increase the permitted density is granted, as provided in subsection e. of section 17 of this act, shall review all reports received from the host municipalities and may accept or not accept any recommendations of the host municipalities; provided, however, that the authority shall record in its minutes its reasons for not accepting any such recommendations.
##### **§ 52:27I-36** Procedure relative to changing location of public highway, public utility facility. {#sec-52-27i-36 omnilex-key=us-nj-statutes--title-52--52:27I-36}
19. a. If the authority or the EDA, as a designated redeveloper, shall find it necessary in connection with the undertaking of any of its projects to change the location of any portion of any public highway, or road, it may contract with any government agency, or public or private corporation which may have jurisdiction over the public highway or road to cause the public highway or road to be constructed at such location as the authority or the EDA, as a designated redeveloper, shall deem most favorable. The cost of the reconstruction and any damage incurred in changing the location of the highway shall be ascertained and paid by the authority or the EDA, as applicable, as a part of the cost of the project. Any public highway affected by the construction of any project may be vacated or relocated by the authority or the EDA, as a designated redeveloper, in the manner now provided by law for the vacation or relocation of public roads, and any damages awarded on account thereof shall be paid by the authority or the EDA, as applicable, as a part of the cost of the project. In all undertakings authorized by this subsection, the authority or the EDA, as a designated redeveloper, shall consult and obtain the approval of the Commissioner of Transportation.
b. In addition to the foregoing powers, the authority or the EDA, as a designated redeveloper and their respective authorized agents and, with respect to EDA, its employees, may enter upon any lands, waters, and premises for the purpose of making surveys, soundings, drillings and examinations as it may deem necessary or convenient for the purposes of this act, all in accordance with due process of law, and this entry shall not be deemed a trespass nor shall an entry for this purpose be deemed an entry under any condemnation proceedings which may be then pending. The authority or the EDA, as applicable, shall make reimbursement for any actual damages resulting to the lands, waters, and premises as a result of these activities.
c. The authority or the EDA, as a designated redeveloper, shall also have power to make regulations, based on the appropriate national model code, for the installation, construction, maintenance, repair, renewal, relocation, and removal of tracks, pipes, mains, conduits, cables, wires, towers, poles and other equipment and appliances, herein called "public utility facilities," of any public utility as defined in R.S.48:2-13, in, on, along, over or under any project. Whenever the authority or the EDA, as a designated redeveloper, shall determine that it is necessary that any public utility facilities which now are, or hereafter may be, located in, on, along, over or under any project shall be relocated in the project, or should be removed from the project, the public utility owning or operating the facilities shall relocate or remove the same in accordance with the order of the authority or the EDA, as a designated redeveloper. The cost and expenses of the relocation or removal, including the cost of installing the facilities in a new location, or new locations, and the cost of any lands, or any rights or interests in lands, and any other rights, acquired to accomplish the relocation or removal, shall be ascertained and paid by the authority or the EDA, as applicable, as a part of the cost of the project. In case of any relocation or removal of facilities, as aforesaid, the public utility owning or operating the same, its successors or assigns, may maintain and operate the facilities, with the necessary appurtenances, in the new location or new locations, for as long a period, and upon the same terms and conditions, as it had the right to maintain and operate the facilities in their former location or locations. In all undertakings authorized by this subsection the authority or the EDA, as a designated redeveloper, shall consult with the affected utilities in an attempt to come to agreement on the proposed undertaking. If the authority or the EDA, as a designated redeveloper, are not able to come to an agreement on such undertakings, the authority or the EDA, as a designated redeveloper, shall petition the Board of Public Utilities to obtain approval for such undertakings. The provisions of this subsection shall not affect the Board of Public Utilities' jurisdiction over any public utility as defined in R.S.48:2-13.
##### **§ 52:27I-37** Business plan. {#sec-52-27i-37 omnilex-key=us-nj-statutes--title-52--52:27I-37}
20. The authority is directed to prepare and complete a business plan which comprises all issues related to the closure, conversion, revitalization, and future use of Fort Monmouth. Further, this business plan shall: include a validation review of any extant studies on the perceived economic impact of this project on the State, the county, and the boroughs of Eatontown, Oceanport and Tinton Falls; refine existing market analyses and develop an absorption schedule; develop a short and long term job creation schedule; include a detailed fiscal analysis that considers cash flow, annual revenue and costs, cumulative revenue and costs, off-site infrastructure costs, and product absorption by year; include an investment and financing strategy that includes grants, local funding options such as the tax allocation district, bonds, taxation, licensing, permitting and fees, and private investment; include a determination of fair market value of property by parcel and overall, and propose an appropriate and feasible strategy for using available BRAC transfer tools.
##### **§ 52:27I-38** Redevelopment agreement. {#sec-52-27i-38 omnilex-key=us-nj-statutes--title-52--52:27I-38}
21. Redevelopment within the project area shall be implemented pursuant to a redevelopment agreement between the authority and the redeveloper, or between the authority and the EDA as a designated redeveloper, or between the EDA as a designated redeveloper and the redeveloper, as the case may be. All redevelopment agreements from or between the authority or the designated redeveloper and to or with a redeveloper shall contain, without being limited to, the following provisions: a. a provision limiting the use of the property to the uses permitted pursuant to the plan; b. a provision requiring the redeveloper to commence and complete the project within a period of time that the authority or the designated redeveloper fixes as reasonable; c. any lease to a redeveloper may provide that all improvements shall become the property of the authority; and d. such other covenants, provisions, and continuing controls as may be deemed necessary to effectuate the purposes of this act.
##### **§ 52:27I-39** Fort Monmouth special improvement district. {#sec-52-27i-39 omnilex-key=us-nj-statutes--title-52--52:27I-39}
22. a. For the purposes of this section:
"Affected municipality" means a municipality that is located within, in whole or in part, a Fort Monmouth special improvement district established pursuant to subsection b. of this section.
"Fort Monmouth special improvement district" means an area within the project area designated by resolution of the authority and by concurring ordinance of an affected municipality as an area in which a special assessment on property within the project area shall be imposed for the purposes of promoting the economic and general welfare of the project area. The resolution shall exempt residential properties, residential portions of mixed use properties, or parcels with any number of residential units located within the Fort Monmouth special improvement district from special assessment. The resolution may exempt vacant properties within the Fort Monmouth special improvement district from special assessment.
b. A Fort Monmouth special improvement district resolution may be adopted if the authority finds: (1) that an area within the project area, as described by lot and block numbers and by street addresses in the enabling resolution, would benefit from being designated as a Fort Monmouth special improvement district; (2) that the authority would provide administrative and other services to benefit the businesses, employees, residents and consumers in the Fort Monmouth special improvement district; (3) that a special assessment shall be imposed and collected by the affected municipality or municipalities with the regular property tax payment or payment in lieu of taxes or otherwise, and that all or a portion of these payments shall be transferred to the authority to effectuate the purposes of this act and to exercise the powers given to it by resolution; and (4) that it is in the best interest of the public to create a Fort Monmouth special improvement district. If the authority determines that the imposition and collection of the special assessment will involve annual costs to an affected municipality in addition to the initial cost of the imposition and collection of the regular property tax payment or payment in lieu of taxes or otherwise, and that such annual costs relate to property tax payment imposition and collection activities peculiar to the Fort Monmouth special improvement district, and distinguished from property tax payment imposition and collection activities normally provided by the municipality outside of the Fort Monmouth special improvement district, the authority shall provide that the property tax payment imposition and collection activities of the affected municipality be conducted pursuant to the provisions of this act and provide that no more than 25 percent of the funds generated from the proceeds of the collection of the special assessment be retained by the affected municipality to cover the costs of the property tax payment imposition and collection activities of the affected municipality conducted pursuant to the provisions of this act. The percentage amount of funds to be retained by the affected municipality for such purpose shall be established by agreement with the authority and by concurring ordinance of the affected municipality prior to the collection of the special assessment, and such percentage amount shall not be changed throughout the duration of the agreement.
c. The authority may, by resolution, authorize the commencement of studies and the development of preliminary plans and specifications relating to the creation and maintenance of a Fort Monmouth special improvement district, including, whenever possible, estimates of construction and maintenance, and costs and estimates of potential gross benefit assessment. These studies and plans may include criteria to regulate the construction and alteration of facades of buildings and structures in a manner which promotes unified or compatible design.
d. Upon review of the reports and recommendations submitted, a resolution may be adopted authorizing and directing the establishment and maintenance of a Fort Monmouth special improvement district. In addition to other requirements for the consideration and adoption of resolutions, at least 10 days prior to the date fixed for a public hearing thereon, a copy of the proposed resolution and notice of the date, time, and place of the hearing shall be mailed to the owners of the lots or parcels of land abutting or included in the Fort Monmouth special improvement district proposed by the resolution.
e. A Fort Monmouth special improvement district resolution may provide that a Fort Monmouth special improvement district shall be deemed a local improvement in accordance with this act and the provisions of chapter 56 of Title 40 of the Revised Statutes, R.S.40:56-1 et seq.; that all costs of development, construction, and acquisition relating to the provision of improvements for a Fort Monmouth special improvement district, as the case may be, shall be financed by the authority and assessed by the affected municipality or municipalities, as the case may be, to properties especially benefited thereby as provided generally by R.S.40:56-1 et seq., and the resolution shall list and describe, by lot and block numbers and by street addresses, all properties to be assessed for the Fort Monmouth special improvement district improvements. The affected municipality or municipalities, as the case may be, may provide by ordinance or parallel ordinance for one or more special assessments within the Fort Monmouth special improvement district in accordance with chapter 56 of Title 40 of the Revised Statutes, R.S.40:56-1 et seq.; provided that the special assessment carried out pursuant to this section shall be deemed an assessment for benefits and shall be as nearly as may be in proportion to and not in excess of the peculiar benefit, advantage, or increase in value which the respective lots and parcels of real estate shall be deemed to receive by reason of such improvement.
f. If the authority determines that the improvements will involve annual costs to an affected municipality, in addition to the initial cost of constructing and making the improvements, and that such annual costs relate to maintenance services peculiar to the Fort Monmouth special improvement district, and distinguished from maintenance services normally provided by the municipality outside of the Fort Monmouth special improvement district, and will provide benefits primarily to property included in the district, rather than to the municipality as a whole, the resolution shall provide that the improvements and facilities thereof shall be operated and maintained pursuant to the provisions of this act and the municipality shall be authorized to provide that the costs thereof be assessed or taxed to benefited properties or businesses pursuant to the provisions of section 16 of P.L.1972, c.134 (C.40:56-80). At any time after the Fort Monmouth special improvement district resolution has been adopted or lands have been acquired or improved for a Fort Monmouth special improvement district, the authority may upon such determination provide, by separate resolution or by amendment to the resolution, that the improvements and facilities thereof shall be so operated and maintained and the costs so assessed to benefited properties or businesses. In any such case, such resolution shall describe the properties to be assessed, or in which any businesses may be contained which may be assessed, for such annual costs, which area may be given the name "(name of Fort Monmouth Special Improvement District) Fort Monmouth Improvement District."
##### **§ 52:27I-40** Fort Monmouth Transportation Planning District. {#sec-52-27i-40 omnilex-key=us-nj-statutes--title-52--52:27I-40}
23. a. There is established the Fort Monmouth Transportation Planning District which shall consist of those lands which comprise the project area. The authority shall administer and manage the transportation planning district and carry out such additional functions as provided herein.
b. In furtherance of the development of a coherent and sustainable transportation system for the project area, the authority shall initiate a joint planning process with participation by: State departments and agencies, corporations, commissions, boards, and authorities; metropolitan planning organizations, and counties and municipalities with jurisdiction in the district; and private representatives. The authority shall oversee the development and updating of a comprehensive, future-oriented district transportation plan.
c. The district transportation plan shall establish goals, policies, needs, and improvement priorities for all modes of transportation, including walking and bicycling, within the district and shall be consistent with the revitalization plan. The district transportation plan shall be based on a reasonable assessment of likely future growth reflected in the revitalization plan.
d. The district transportation plan shall quantify transportation needs arising from anticipated future traffic passing within or through the district based upon future development anticipated to occur within or through the district, and reflected in the revitalization plan. The district transportation plan shall set forth proposed transportation projects designed to address that future development, prioritized over increments of five years, the allocation of public and private shares of project costs and allowable administrative costs, and the amount, schedule, and collection of development fees. If new developments are proposed in the district which are not considered in the district transportation plan which is currently in effect, that plan shall be reevaluated, notwithstanding the five-year increment provision.
e. The district transportation plan shall be in accordance with the State transportation master plan adopted under section 5 of P.L.1966, c.301 (C.27:1A-5), the applicable county master plans adopted under R.S.40:27-2, and the applicable regional transportation plan or plans adopted by a metropolitan planning organization pursuant to 23 C.F.R.s.450.322.
f. The district transportation plan shall include a financial element setting forth a statement of projected revenue and expenses, including all project costs. The financial element of the district transportation plan shall identify public and private financial resources which may be available to fund, in whole or in part, those transportation projects set forth in that plan. The financial element shall make recommendations for the types and rates of development fees to be assessed under subsection i. of this section, formulas to govern the assessment of those fees, and the projected annual revenue to be derived therefrom.
g. The authority staff shall make copies of the district transportation plan available to the public for inspection no less than 14 days prior to any formal action by the authority to adopt the plan. In addition, the authority staff shall take steps to notify members of the business community and other interested parties of the district transportation plan and shall hold a public hearing thereon after having given public notice of the hearing.
h. The authority may, by resolution adopt the district transportation plan as recommended by the staff or with modifications.
i. After the adoption of the district transportation plan by the authority pursuant to subsection h. of this section, the authority may, by resolution, provide for the assessment and collection of development fees on developments within the transportation planning district as provided hereunder.
j. Development fees assessed by the authority shall be based upon the growth and development forecasts contained in the district transportation plan and shall be levied in order to raise only those amounts needed to accomplish the transportation projects set forth in the district transportation plan and allowable administrative costs. Those fees shall be assessed based upon the formula or formulas contained in the resolution adopted pursuant to subsection i. of this section and shall be uniformly applied, with such exceptions as are authorized or required herein.
k. A formula or formulas adopted by the authority by resolution shall reflect a methodology which relates the use of land to the impact of the proposed development on the transportation system, including, but not limited to: vehicle trips generated by the development; the square footage of an occupied structure; the number of employees regularly employed at the development; or the number of parking spaces located at the development; or any combination thereof.
l. The resolution may provide for credits against assessed development fees for payments made or expenses incurred which have been determined by the authority to be in furtherance of the district transportation plan, including, but not limited to, contributions to transportation improvements other than those required for safe and efficient highway access to a development, and costs attributable to the promotion of public transit, walking, bicycling, or ridesharing.
m. The resolution may either exempt or reduce the development fee for specified land uses which have been determined by the authority to have a beneficial, neutral, or comparatively minor adverse impact on the transportation needs of the transportation planning district.
n. The resolution may provide for a reduced rate of development fees for developers submitting a peak-hour automobile trip reduction plan approved by the authority under standards adopted by the authority. Standards for the approval of peak-hour automobile trip reduction plans may include, but need not be limited to, physical design for improved transit, ridesharing, and pedestrian access; design of developments which include a mix of residential and nonresidential uses; and proximity to potential labor pools.
o. The assessment of a development fee shall be reasonably related to the impact of the proposed development on the transportation system of the transportation planning district and shall not exceed the development's fair share of the cost of the transportation improvement necessary to accommodate the additional burden on the district's transportation system that is attributable to the proposed development and related allowable administrative costs.
p. A resolution shall be sufficiently certain and definitive to enable every person who may be required to pay a fee to know or calculate the limit and extent of the fee which is to be assessed against a specific development.
q. Upon the adoption by the authority of a resolution pursuant to subsection i. of this section, no separate assessment for off-site transportation improvements within the transportation planning district shall be made by the State, a county, or municipality except as permitted pursuant to this act.
r. A resolution adopted by the authority pursuant to subsection i. of this section shall provide for the establishment of a transportation planning district fund under the control of the authority and administered by the New Jersey Economic Development Authority. All monies collected from development fees shall be deposited into the fund, which shall be invested in an interest-bearing account. Monies deposited in the fund shall be used to defray project costs and allowable administrative costs.
s. Every transportation project funded, in whole or in part, by funds from a transportation planning district fund shall be subject to a project agreement to which the relevant entities are parties. The expenditure of funds for this purpose shall not be made from a transportation planning district fund, except by approval of the project budget by the authority and upon certification of the chief fiscal officer of the New Jersey Economic Development Authority that the expenditure is in accordance with a project agreement or is otherwise a project cost and has the approval of the authority.
t. Notwithstanding any other law to the contrary, no development fees shall be assessed for any low and moderate income housing units which are constructed pursuant to the "Fair Housing Act," P.L.1985, c.222 (C.52:27D-301 et al.) or under court order or settlement.
u. (1) The payments due to the authority, whether as a lump sum or as balances due when a series of payments is to be made, shall be enforceable by the authority as a lien on the land and any improvements thereon. The lien shall be recorded by the county officer in the record book of the county office.
(2) When the fee is paid in full on the development or portion thereof, the lien on the development or portion thereof, as appropriate, shall be removed. When a series of payments is to be made, failure to make any one payment within 30 days after receipt of a notice of late payment shall constitute a default and shall obligate the person owing the unpaid balance to pay that balance in its entirety.
(3) All amounts assessed as a lien pursuant to this section shall be a lien upon the land against which they are assessed in the same manner that taxes are made a lien against land pursuant to Title 54 of the Revised Statutes, and the payment thereof shall be enforced within the same time and in the same manner and by the same proceedings as the payment of taxes is otherwise enforced under Title 54 of the Revised Statutes.
v. (1) Any fees collected, plus earned interest, not committed to a transportation project under a project agreement entered into under subsection s. of this section within 10 years of the date of collection, or not used for other allowable administrative costs within 10 years of the date of collection, shall be refunded to the fee-payer under a procedure prescribed by the authority; provided, however, that if the fee-payer transfers the development or any portion thereof, the fee-payer shall enter into an agreement with the grantee in such form as shall be provided by the authority which shall indicate who shall be entitled to receive any refund, and that agreement shall be filed with the chief fiscal officer of the EDA.
(2) Any person who has been assessed a development fee may request in writing a reconsideration of the assessment and a hearing by an employee so delegated by the authority within 90 days of the receipt of notification of the amount of the assessment on the grounds that the authority or its officers or employees in issuing the assessment did not abide by the provisions of this section or the provisions of the resolution adopted by the authority pursuant to this section.
w. A person may appeal to the authority any decision made in connection with the reconsideration of an assessment as authorized pursuant to subsection v. of this section. The authority shall review the record of the hearing and render its decision, which shall constitute an administrative action subject to review by the Appellate Division of the Superior Court. Nothing contained herein shall be construed as limiting the ability of any person so assessed from filing an appeal based upon an agreement to pay or actual payment of the fee.
x. If the authority, in conjunction with the New Jersey Transit Corporation, shall cause a passenger rail station to be designed, constructed and operated within the project area, prior to taking any such action, the authority shall receive written approval by resolution from the governing body of the host municipality in which the passenger rail station is to be located.
y. For the purposes of this section:
"Allowable administrative costs" means expenses incurred by the authority in developing a district transportation plan, including a financial element, and in managing a transportation planning district.
"Developer" means the legal or beneficial owner or owners of a lot or of any land proposed to be included in a proposed development, including the holder of an option or contract to purchase, or other person having an enforceable proprietary interest in such land.
"Development" means "development" in the meaning of section 3.1 of the "Municipal Land Use Law," P.L.1975, c.291 (C.40:55D-4).
"Development fee" means a fee assessed on a development pursuant to a resolution of the authority adopted under subsection i. of this section.
"District" or "transportation planning district" means the Fort Monmouth Transportation Planning District established pursuant to subsection a. of this section.
"Project agreement" means an agreement between the authority and a developer providing the terms and conditions under which the developer agrees to perform any work or undertaking necessary for a transportation project.
"Project costs" means expenses incurred in the planning, design, engineering and construction of any transportation project, and shall include debt service.
"Public highways" means public roads, streets, expressways, freeways, parkways, motorways, and boulevards including bridges, tunnels, overpasses, underpasses, interchanges, rest areas, express bus roadways, bus pullouts and turnarounds, park-ride facilities, traffic circles, grade separations, traffic control devices, the elimination or improvement of crossings of railroads and highways, whether at grade or not at grade, bicycle and pedestrian pathways, pedestrian and bicycle bridges traversing public highways, and any facilities, equipment, property, rights-of-way, easements and interests therein needed for the construction, improvement, and maintenance of highways.
"Public transportation project" means, in connection with public transportation service or regional ridesharing programs, passenger stations, shelters and terminals, automobile parking facilities, ferries and ferry facilities including capital projects for ferry terminals, approach roadways, pedestrian accommodations, parking, docks, and other necessary land-side improvements, ramps, track connections, signal systems, power systems, information and communication systems, roadbeds, transit lands or rights-of-way equipment storage and servicing facilities, bridges, grade crossings, rail cars, locomotives, motorbus and other motor vehicles, maintenance and garage facilities, revenue handling equipment and any other equipment, facility or property useful for or related to the provision of public transportation service or regional ridesharing programs.
"Transportation project" or "transportation improvement" means, in addition to public highways and public transportation projects, any equipment, facility, or property useful or related to the provision of any ground, waterborne, or air transportation for the movement of people and goods within or through the district, including rail freight infrastructure.
##### **§ 52:27I-41** Creation of infrastructure district. {#sec-52-27i-41 omnilex-key=us-nj-statutes--title-52--52:27I-41}
24. a. The authority may adopt a resolution creating an infrastructure district whenever the authority determines that the improvement of the infrastructure of the property within the infrastructure district will promote the health and general welfare of the residents of the project area, the host municipalities, and the infrastructure district. An infrastructure district created pursuant to this subsection may be comprised of any or all lands which comprise the project area. The authority may create, by separate resolution, more than one infrastructure district.
b. (1) If so determined by the authority, the receipts of retail sales, except retail sales of motor vehicles, of alcoholic beverages as defined in the "Alcoholic beverage tax law," R.S.54:41-1 et seq., of cigarettes as defined in the "Cigarette Tax Act," P.L.1948, c.65 (C.54:40A-1 et seq.), and of energy, made by a certified vendor from a place of business owned or leased and regularly operated by the vendor for the purpose of making retail sales, and which place of business is located within an infrastructure district created pursuant to subsection a. of this section, will be exempt to the extent of 50 percent of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.); and the authority for the purpose of increasing public revenue may adopt a resolution to levy and collect, within an infrastructure district created pursuant to subsection a. of this section, a franchise assessment not to exceed an amount equivalent to 50 percent of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.) and to devote the proceeds from those assessments to purposes as provided in this section.
Any vendor having a place of business located within an infrastructure district may apply to the Executive Director of the EDA for certification pursuant to this paragraph. The executive director shall certify a vendor if the executive director shall find that the vendor owns or leases and regularly operates a place of business located in an infrastructure district for the purposes of making retail sales, that items are regularly exhibited and offered for retail sale at that location, and that the place of business is not utilized primarily for the purpose of catalogue, Internet or mail order sales. The executive director may at any time revoke a certification granted pursuant to this paragraph. The executive director shall immediately notify the Director of the Division of Taxation in the Department of the Treasury of any such certification or revocation.
(2) The rate of the franchise assessment shall be uniform throughout the infrastructure district. The franchise assessment shall apply only within the territorial limits of the infrastructure district and shall be in addition to any other assessments, taxes, and excises.
(3) The resolution adopted pursuant to subsection a. of this section shall continue in force and effect until repealed by the authority.
(4) No franchise assessment shall be imposed on gross receipts which a municipality or the State is prohibited from taxing under New Jersey law, or the Constitution and laws of the United States of America.
(5) Upon adoption, the authority shall immediately transmit a copy of the resolution to the Director of the Division of Local Government Services in the Department of Community Affairs and to the Director of the Division of Taxation in the Department of the Treasury. Every resolution levying a franchise assessment pursuant to this section shall provide for reporting assessments due and for the collection thereof, and all franchise assessments pursuant to such a resolution shall be remitted to the chief financial officer of the EDA. A resolution levying a franchise assessment shall take effect only on the first day of any month in any year. The resolution shall provide for the allocation and distribution of the proceeds of the franchise assessments collected.
(6) The resolution shall set forth the person or persons subject to the franchise assessment payment and collection procedures, and any other matters deemed relevant by the authority with the authority having discretion as to the mechanism to be utilized. The resolution shall also contain findings that the imposition of the franchise assessment is necessary because of the substantial risks undertaken to develop an infrastructure district.
(7) The resolution shall provide for the collection of the franchise assessment by an officer of the authority who shall be designated in the resolution; shall provide methods for enforcement; shall provide the permitted uses of the franchise assessment; and may provide penalties for the violation of any of the provisions of the resolution. "Permitted uses" may include the provision of loans, grants, or debt service for financing or refinancing the construction, reconstruction, repair, alteration, improvement, and development of any on-site or off-site infrastructure improvements, or parking or transportation facilities, or work that reduces, abates, or prevents environmental pollution, or other improvements that provide a public benefit within or to an infrastructure district.
c. For the purposes of effective administration of the franchise assessment, the authority shall have the authority to:
(1) Collect the franchise assessment, interest, and penalties imposed by a resolution adopted pursuant to paragraph (1) of subsection b. of this section which shall from the time due be a debt of the person by whom payable to the authority, recoverable in a court of competent jurisdiction in a civil action in the name of the authority to be instituted within three years of the date due.
(2) Authorize, as an additional remedy, the chief financial officer of the EDA to issue a certificate to the clerk of the Superior Court that any person is indebted under the resolution in an amount stated in the certificate. Thereupon, the clerk to whom the certificate is issued shall immediately enter upon the record of documented judgments the name of the person, the address of the place of business where the franchise assessment liability was incurred, the amount of the debt so certified, and the date of making of the entry. The making of the entry shall have the same force and effect as the entry of a documented judgment in the office of the clerk, and the chief financial officer of the EDA shall have all the remedies and may take all the proceedings for the collection of the debt which may be had or taken upon the recovery of a judgment in an action, but without prejudice to the person's right of appeal.
(3) Provide that, if for any reason the franchise assessment is not paid when due, interest at the rate of 12% per annum on the amount of the franchise assessment due, and an additional penalty of one-half of 1% of the amount of the unpaid assessment for each month or fraction thereof during which the franchise assessment remains unpaid, shall be added and collected. When action is brought for the recovery of any franchise assessment, the person liable therefor shall, in addition, be liable for the reasonable costs of collection and the interest and penalties imposed.
Any aggrieved person may, within 90 days of the entry of the decision, order, finding, assessment or action of the chief financial officer of the EDA under this section, file an appeal in the Superior Court, upon payment of the amount stated by the chief financial officer of the EDA to be due. The appeal provided by this section shall be the exclusive remedy available to any person for review of a determination of the chief financial officer of the EDA with respect to a liability for the franchise assessment imposed.
For the purposes of this section, "franchise assessment" means an assessment on the amount of the sales price of all tangible personal property and specified digital products, sold by a business, valued in money, whether received in money or otherwise, in the amount of 50 percent of the tax imposed pursuant to the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.); "sales price," "tangible personal property," and "specified digital products" have the meanings given those terms by section 2 of P.L.1966, c.30 (C.54:32B-2).
## **Chapter 27J**
##### **§ 52:27J-1** Findings, declarations relative to food insecurity. {#sec-52-27j-1 omnilex-key=us-nj-statutes--title-52--52:27J-1}
1. The Legislature finds and declares that:
(a) Over one million people are estimated to be food insecure in New Jersey and more than one-third of them are children;
(b) The coronavirus disease 2019 pandemic is projected to cause a disproportionate increase in the rate of food insecurity in this State compared to the national rate and neighboring states;
(c) Several departments are responsible for administering different food insecurity programs in the State: the Department of Human Services administers the New Jersey Supplemental Nutrition Assistance Program; the Department of Health administers the New Jersey Supplemental Nutrition Program for Women Infants and Children; and the Department of Agriculture administers the United States Department of Agriculture's school nutrition program in New Jersey;
(d) The State's food insecurity programs are currently operating in silos and, in some cases, they may all cover the same families, yet not all eligible families are enrolled into each program; and
(e) Establishing an Office of the Food Security Advocate by statute will help coordinate the administration of the State's food insecurity programs, advocate for the food insecure, and develop new policy initiatives to combat hunger and facilitate greater access to food relief programs.
##### **§ 52:27J-2** Definitions. {#sec-52-27j-2 omnilex-key=us-nj-statutes--title-52--52:27J-2}
2. As used in P.L.2021, c.242 (C.52:27J-1 et seq.):
"Emergency food organization" means a food bank which receives funding for Food and Hunger Programs pursuant to an annual State appropriations act.
"Food insecurity program" means a nutrition program in this State that provides nutrition assistance to individuals without reliable access to a sufficient quantity of affordable, nutritious food and includes, but is not limited to, the New Jersey Supplemental Nutrition Assistance Program, the New Jersey Supplemental Nutrition Program for Women Infants and Children, the Commodity Supplemental Food program, the Senior Farmers Market Nutrition Program, the Child and Adult Care Program, and the United States Department of Agriculture's school nutrition program.
##### **§ 52:27J-3** Office of the Food Security Advocate created; duties of office. {#sec-52-27j-3 omnilex-key=us-nj-statutes--title-52--52:27J-3}
3. There is created in the Executive Branch of the State Government the Office of the Food Security Advocate. For the purpose of complying with the provisions of Article V, Section IV, paragraph 1 of the New Jersey Constitution, the Office of the Food Security Advocate is allocated to the Department of Agriculture, but notwithstanding this allocation, the office shall be independent of any supervision or control by the department, or by any board or officer thereof, in the performance of its duties. The office shall have the duty to collaborate with the appropriate State agency to:
(a) coordinate outreach for food insecurity programs, including developing new initiatives and outreach campaigns and identifying best practices to increase enrollment in the State's food insecurity programs;
(b) establish a 24-hour toll-free hunger hotline to assist in making information about the State's food insecurity programs as widely available as possible;
(c) support grant application processes related to food insecurity for in-state providers and State departments by monitoring available grants, recommending grant applications, and assisting with the grant application process;
(d) coordinate communication with and between food banks;
(e) establish best practices for food banks to reduce food waste and to distribute more fresh produce and proteins to food insecurity programs and food banks;
(f) cooperate with research organizations and universities to monitor ongoing gap analysis that identifies areas that are underserved by current food insecurity programs;
(g) work with State and community partners to develop a strategic plan to address identified gaps in areas that are underserved by current food insecurity programs;
(h) oversee the development and implementation of public-private partnerships to address food insecurity;
(i) provide support in coordinating assistance to address food insecurity during federal or State declared states of emergency;
(j) coordinate food insecurity programming and initiatives for institutions of higher education with the Office of the Secretary of Higher Education;
(k) develop new initiatives, establish an outreach campaign, and identify best practices to reach senior citizens, persons with disabilities, and other vulnerable populations; and
(l) coordinate outreach efforts for the newly unemployed who might be eligible for food insecurity programs.
##### **§ 52:27J-4** Appointment of food security advocate. {#sec-52-27j-4 omnilex-key=us-nj-statutes--title-52--52:27J-4}
4. The administrator and chief executive officer of the office is the food security advocate, who shall be a person qualified by training and experience to perform the duties of the office. The food security advocate shall be appointed by the Governor and shall serve at the pleasure of the Governor during the Governor's term of office and until the appointment and qualification of the food security advocate's successor. The food security advocate shall devote time entirely to the duties of the position and shall receive a salary as determined by law. Any vacancy occurring in the position of the food security advocate shall be filled in the same manner as the original appointment; except that if the food security advocate dies, resigns, becomes ineligible to serve for any reason, or is removed from office, the Governor shall appoint an acting food security advocate, who shall serve until the appointment and qualification of the food security advocate's successor, but in no event longer than six months from the occurrence of the vacancy, and who shall exercise during this period all the powers and duties of the food security advocate pursuant to the provisions of this act.
##### **§ 52:27J-5** Duties of food security advocate. {#sec-52-27j-5 omnilex-key=us-nj-statutes--title-52--52:27J-5}
5. The food security advocate, as administrator and chief executive officer of the office, shall:
a. administer and organize the work of the office and establish therein such administrative subdivisions as the food security advocate may deem necessary, proper and expedient. The food security advocate may formulate and adopt rules and regulations and prescribe duties for the efficient conduct of the business, work and general administration of the office. The food security advocate may delegate to subordinate officers or employees in the office such power as the food security advocate may deem desirable to be exercised under the food security advocate's supervision and control;
b. appoint and remove stenographic, clerical, and other secretarial assistants as may be required for the proper conduct of the office, subject to the provisions of Title 11A of the New Jersey Statutes, and other applicable statutes, and within the limits of funds appropriated or otherwise made available therefor. In addition, and within funding limits, the food security advocate may appoint, retain, or employ, without regard to the provisions of Title 11A of the New Jersey Statutes or any other statutes, any officers, financial managers, social workers, or other professionally qualified personnel on a contract basis or otherwise as the food security advocate deems necessary;
c. maintain suitable headquarters for the office and such other quarters as the food security advocate shall deem necessary to the proper functioning of the office;
d. solicit and accept grants of funds from the federal government and from other public and any private sources for any of the purposes of this act; provided, however, that any such funds shall be expended only pursuant to an appropriation made by law;
e. serve as the liaison between the Office of the Food Security Advocate and the Departments of Agriculture, Education, Health, and Human Services; and
f. perform such other functions as may be prescribed in this act or by any other law.
##### **§ 52:27J-6** Rules, regulations. {#sec-52-27j-6 omnilex-key=us-nj-statutes--title-52--52:27J-6}
6. Pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the food security advocate and the Commissioners of Agriculture, Education, Health, and Human Services may adopt any rules and regulations necessary to effectuate the purposes of this act.
##### **§ 52:27J-7** Monies appropriated, emergency food organizations, funding allocations; report, Office of the Food Security Advocate. {#sec-52-27j-7 omnilex-key=us-nj-statutes--title-52--52:27J-7}
2. a. Notwithstanding any other law, rule, or regulation to the contrary, of the monies appropriated to emergency food organizations pursuant to an annual appropriations act:
(1) 10 percent of each emergency food organization's funding allocation shall be expended on New Jersey agricultural products, and may include expenditures related to agricultural capital investment and innovation;
(2) up to 30 percent of each emergency food organization's funding allocation may be used for administrative and staffing costs and the purchase of capital investments or infrastructure, including for the purchase of necessary technology, vehicles, and storage requirements including refrigeration or dry space; and
(3) no less than 60 percent of each emergency food organization's State funding allocation shall be used to support local distribution agencies. Support for local distribution agencies includes the purchasing of food that fulfills local distribution agencies' stated needs, the awarding of cash funds to local distribution agencies, or the reimbursement of local distribution agencies based on costs incurred by each agency. Emergency food organizations shall be permitted to apply to the Office of the Food Security Advocate for a waiver to utilize these funds to fill a demonstrated need for a program that supports local distribution agencies.
b. The Office of the Food Security Advocate, in consultation with the emergency food organizations, shall develop a process for eliciting and gathering data about local distribution agencies' food and capacity needs. Each emergency food organization, shall use the identified process and the resulting data to develop a data-informed plan for the equitable support of local distribution agencies. Each plan shall be tailored to the service area and needs of the emergency food organization, and shall provide for purchasing on behalf of local distribution agencies based on a stated need, the awarding of cash funds to local distribution agencies, or reimbursements to local distribution agencies based on costs incurred by each agency.
c. Each emergency food organization shall provide a written report, on a monthly basis, to the Office of the Food Security Advocate, which details the following expenditures of State funds:
(1) the aggregate total of financial support provided to local distribution agencies;
(2) the name of each of local distribution agency that received funding or other assistance in the specific month and the amount of funding and assistance received; and
(3) an aggregated list summarizing the capital purchases made by emergency food organizations and local distribution agencies in the month.
d. The allotment of funding to emergency food organizations shall be contingent upon the successful implementation of the plan developed pursuant to subsection b. of this section and the satisfaction, by such emergency food organizations, of the fiscal and programmatic requirements and other contractual obligations detailed in their contracts.
## **Chapter 28**
##### **§ 52:28-1** Preamble {#sec-52-28-1 omnilex-key=us-nj-statutes--title-52--52:28-1}
Whereas, commissioners duly appointed on the part of the state of New York, and commissioners duly appointed on the part of New Jersey, for the purpose of agreeing upon, and settling the jurisdiction and territorial limits of the two states, have executed certain articles, two copies for each state, which are contained in the following words:
Agreement made and entered into, by and between Benjamin F. Butler, Peter Augustus Jay and Henry Seymour, commissioners duly appointed on the part and behalf of the state of New York, in pursuance of an act of the legislature of the said state entitled "An act concerning the territorial limits and jurisdiction of the state of New York, and the state of New Jersey," passed January eighteenth, eighteen hundred and thirty-three, of the one part, and Theodore Frelinghuysen, James Parker and Lucius Q. C. Elmer, commissioners duly appointed on the part and behalf of the state of New Jersey, in pursuance of an act of the legislature of the said state, entitled "An act for the settlement of the territorial limits and jurisdiction between the states of New Jersey and New York," passed February sixth, eighteen hundred and thirty-three, of the other part.
Rev.1877, p. 1178, Preamble (C.S. p. 5358, Preamble).
##### **§ 52:28-2** Location of boundary line {#sec-52-28-2 omnilex-key=us-nj-statutes--title-52--52:28-2}
Article I. The boundary line between the states of New York and New Jersey, from a point in the middle of Hudson river, opposite the point on the west shore thereof, in the forty-first degree of north latitude, as heretofore ascertained and marked, to the main sea, shall be the middle of the said river, of the bay of New York, of the water between Staten island and New Jersey, and of Raritan bay, to the main sea, except as hereinafter otherwise particularly mentioned.
Rev.1877, p. 1178, s. 3 (C.S. p. 5359, s. 5).
##### **§ 52:28-3** Islands subject to New York {#sec-52-28-3 omnilex-key=us-nj-statutes--title-52--52:28-3}
Article II. The state of New York shall retain its present jurisdiction of and over Bedloe's and Ellis' islands, and shall also retain exclusive jurisdiction of and over the other islands lying in the waters above-mentioned, and now under the jurisdiction of that state.
Rev.1877, p. 1178, s. 4 (C.S. p. 5359, s. 6).
##### **§ 52:28-4** Hudson river and bay of New York {#sec-52-28-4 omnilex-key=us-nj-statutes--title-52--52:28-4}
Article III. The state of New York shall have and enjoy exclusive jurisdiction of and over all the waters of the bay of New York, and of and over all the waters of Hudson river, lying west of Manhattan island, and to the south of the mouth of Spuyten Duyvel creek, and of and over the lands covered by the said waters to the low-water mark on the westerly or New Jersey side thereof, subject to the following rights of property and jurisdiction of the state of New Jersey, that is to say:
1. The state of New Jersey shall have the exclusive right of property in and to the land under water, lying west of the middle of the bay of New York and west of the middle of that part of the Hudson river which lies between Manhattan island and New Jersey.
2. The state of New Jersey shall have the exclusive jurisdiction of and over the wharves, docks and improvements made and to be made on the shore of the said state, and of and over all vessels aground on said shore, or fastened to any such wharf or dock, except that the said vessels shall be subject to the quarantine or health laws, and laws in relation to passengers of the state of New York, which now exist or which may hereafter be passed.
3. The state of New Jersey shall have the exclusive right of regulating the fisheries on the westerly side of the middle of the said waters; provided, that the navigation be not obstructed or hindered.
Rev.1877, p. 1178, s. 5 (C.S. p. 5359, s. 7).
##### **§ 52:28-5** Kill von Kull {#sec-52-28-5 omnilex-key=us-nj-statutes--title-52--52:28-5}
Article IV. The state of New York shall have exclusive jurisdiction of and over the waters of the Kill von Kull, between Staten island and New Jersey, to the westernmost end of Shooter's island, in respect to such quarantine laws and laws relating to passengers as now exist, or may hereafter be passed under the authority of that state, and for executing the same; and the said state shall also have exclusive jurisdiction, for the like purposes, of and over the waters of the sound from the westernmost end of Shooter's island to Woodbridge creek, as to all vessels bound to any port in the said state of New York.
Rev.1877, p. 1178, s. 6 (C.S. p. 5359, s. 8).
##### **§ 52:28-6** Sound between Staten island and New Jersey; Raritan bay {#sec-52-28-6 omnilex-key=us-nj-statutes--title-52--52:28-6}
Article V. The state of New Jersey shall have and enjoy exclusive jurisdiction of and over all the waters of the sound between Staten island and New Jersey, lying south of Woodbridge creek, and of and over all the waters of Raritan bay, lying westward of a line drawn from the lighthouse at Prince's bay to the mouth of Matavan creek, subject to the following rights of property and jurisdiction of the state of New York, that is to say:
1. The state of New York shall have the exclusive right of property in and to the land under water lying between the middle of the said waters and Staten island.
2. The state of New York shall have the exclusive jurisdiction of and over the wharves, docks and improvements made and to be made on the shore of Staten island, and of and over all vessels aground on said shore, or fastened to any such wharf or dock, except that the said vessels shall be subject to the quarantine or health laws and laws in relation to passengers of the state of New Jersey, which now exist or which may hereafter be passed.
3. The state of New York shall have the exclusive right of regulating the fisheries between the shore of Staten island and the middle of the said waters; provided, that the navigation of the said waters be not obstructed or hindered.
Rev.1877, p. 1179, s. 7 (C.S. p. 5360, s. 9).
##### **§ 52:28-7** Process of New Jersey {#sec-52-28-7 omnilex-key=us-nj-statutes--title-52--52:28-7}
Article VI. Criminal process issued under the authority of the state of New Jersey against any person accused of an offense committed within that state, or on board of any vessel being under the exclusive jurisdiction of that state, as aforesaid, or committed against the regulations made or to be made by that state, in relation to the fisheries mentioned in the third article; and also civil process issued under the authority of the state of New Jersey against any person domiciled in that state, or against property taken out of that state to evade the laws thereof, may be served upon any of the said waters within the exclusive jurisdiction of the state of New York, unless such person or property shall be on board a vessel aground upon or fastened to the shore of the state of New York, or fastened to a wharf adjoining thereto, or unless such person shall be under arrest, or such property shall be under seizure, by virtue of process or authority of the state of New York.
Rev.1877, p. 1179, s. 8 (C.S. p. 5360, s. 10).
##### **§ 52:28-8** Process of New York {#sec-52-28-8 omnilex-key=us-nj-statutes--title-52--52:28-8}
Article VII. Criminal process issued under the authority of the state of New York against any person accused of an offense committed within that state, or committed on board of any vessel being under the exclusive jurisdiction of that state as aforesaid, or committed against the regulations made or to be made by that state in relation to the fisheries mentioned in the fifth article; and also civil process issued under the authority of the state of New York against any person domiciled in that state, or against property taken out of that state to evade the laws thereof, may be served upon any of the said waters within the exclusive jurisdiction of the state of New Jersey, unless such person or property shall be on board a vessel aground upon or fastened to the shore of the state of New Jersey, or fastened to a wharf adjoining thereto, or unless such person shall be under arrest, or such property shall be under seizure by virtue of process or authority of the state of New Jersey.
Rev.1877, p. 1179, s. 9 (C.S. p. 5360, s. 11).
##### **§ 52:28-9** When agreement binding {#sec-52-28-9 omnilex-key=us-nj-statutes--title-52--52:28-9}
Article VIII. This agreement shall become binding on the two states when confirmed by the legislatures thereof, respectively, and when approved by the congress of the United States. Done in four parts (two of which are retained by the commissioners of New York, to be delivered to the governor of that state, and the other two of which are retained by the commissioners of New Jersey, to be delivered to the governor of that state) at the city of New York, this sixteenth day of September, in the year of our Lord one thousand eight hundred and thirty-three, and of the independence of the United States the fifty-eighth.
heodore Frelinghuysen, B. F. Butler,
James Parker, Peter Augustus Jay,
Lucius Q. C. Elmer, Henry Seymour.
Rev.1877, p. 1179, s. 10 (C.S. p. 5360, s. 12).
##### **§ 52:28-10** Agreement confirmed by New Jersey {#sec-52-28-10 omnilex-key=us-nj-statutes--title-52--52:28-10}
The aforesaid agreement, and every article, clause, matter and thing therein contained, shall be and the same is hereby fully and amply ratified and confirmed on the part of the state of New Jersey.
Rev.1877, p. 1179, s. 10 (C.S. p. 5361, s. 13).
##### **§ 52:28-11** Preamble {#sec-52-28-11 omnilex-key=us-nj-statutes--title-52--52:28-11}
Whereas, Henry R. Pierson, Elias W. Leavenworth and Chauncey M. Depew, commissioners duly appointed on the part of the state of New York, and Abraham Browning, Thomas N. McCarter and George H. Cook, commissioners duly appointed on the part of the state of New Jersey, for the purpose of negotiating and agreeing upon the true location of the northern boundary line between the states of New York and New Jersey, and also of replacing any monuments that may have become dilapidated or been removed on said boundary line, and of erecting new ones, have executed a certain agreement in duplicate, which is contained in the words following:
An agreement, made the seventh day of June, in the year one thousand eight hundred and eighty-three, between Henry R. Pierson, Elias W. Leavenworth and Chauncey M. Depew, commissioners on the part of the state of New York, and Abraham Browning, Thomas N. McCarter and George H. Cook, commissioners on the part of the state of New Jersey.
Whereas, by the first section of chapter CCCXL of the laws of the state of New York, for the year one thousand eight hundred and eighty, it was recited, among other things, that whereas by an act of the legislature, passed the twenty-sixth day of May, eighteen hundred and seventy-five, the regents of the university of the state of New York were authorized and directed, in connection with the authorities of Pennsylvania and New Jersey, respectively, to replace any monuments which have become dilapidated or been removed on the boundary lines of those states, and it was thereby declared that the lines originally laid down and marked with monuments by the several joint commissioners duly appointed for that purpose, and which have since been acknowledged and legally recognized by the several states interested, as the limits of their territory and jurisdiction, are the boundary lines of said states, irrespective of want of conformity to the verbal descriptions thereof; and, by the second section of the same chapter of the laws of the state of New York, the said regents were authorized and empowered to designate and appoint three of their number as commissioners to meet such commissioners as may have been or may be appointed on the part of the states of Pennsylvania and New Jersey, or either of them, and with such last-named commissioners, as soon as may be, to proceed to ascertain and agree upon the location of said lines as originally established and marked with monuments; and in case any monuments are found dilapidated or removed from their original location, said commissioners are authorized to replace them in a durable manner in their original positions, and to erect such additional monuments at such places on said lines as they may deem necessary for the proper designation of the boundary lines of said states;
And whereas, also, the above-named Henry R. Pierson, Elias W. Leavenworth and Chauncey M. Depew have been duly designated and appointed by the said regents of the university of the state of New York, commissioners on the part of said state for the purposes mentioned in the said act;
And whereas, also, by an act of the legislature of the state of New Jersey entitled "An act appointing commissioners to locate the northern boundary line between the states of New York and New Jersey, and to replace or erect monuments thereon," approved April thirteenth, one thousand eight hundred and seventy-six, the governor of the state of New Jersey was authorized to appoint three commissioners, with power, on the part of said state of New Jersey, to meet any authorities on the part of the state of New York who may be duly authorized, and with them to negotiate and agree upon the true location of the said boundary line between the states of New York and New Jersey, and also to replace any monuments which may have become dilapidated or been removed on said boundary lines, and to erect new ones which agreement it was thereby enacted should be in writing, and signed and sealed by the authorities of the state of New York and the commissioners of the state of New Jersey;
And whereas, the above-named Abraham Browning, Thomas N. McCarter and George H. Cook have been duly appointed commissioners on the part of the state of New Jersey under said act;
And whereas, by a supplement to the last said act, approved on the twenty-fifth day of March, 1881, the commissioners under the last said act were, in addition to the authority conferred by the last said act, also authorized, in their discretion, to proceed to ascertain and agree upon the location of the northern boundary line between the states of New York and New Jersey, as originally established and marked with monuments; and in case any monuments are found dilapidated or removed from their original location, said commissioners were authorized to renew and replace them in a durable manner in their original positions, and to erect such additional monuments at such places on said line as they may deem necessary for the proper designation of the boundary line of said states;
And whereas, the said commissioners acting for and on behalf of their respective states, have entered upon the performance of the duties imposed upon them by the said acts, and have, in pursuance of the authority to them severally given as aforesaid, agreed, and hereby do agree, as follows:
##### **§ 52:28-12** Location of boundary line {#sec-52-28-12 omnilex-key=us-nj-statutes--title-52--52:28-12}
First. The line extending from the Hudson river on the east to the Delaware on the west, as the same was laid down and marked with monuments in seventeen hundred and seventy-four, by William Wickham and Samuel Cale, commissioners on the part of the then colony of New York, duly appointed for that purpose in pursuance of an act of the assembly of the colony of New York, passed on the sixteenth day of February, seventeen hundred and seventy-one, entitled "An act for establishing the boundary or partition line between the colonies of New York and Nova Caesarea, or New Jersey, and for confirming titles and possession," and John Stevens and Walter Rutherford, commissioners on the part of the then colony of New Jersey, duly appointed in pursuance of an act of the assembly of the colony of New Jersey, passed on the twenty-third day of September, seventeen hundred and seventy-two, entitled "An act for establishing the boundary or partition line between the colonies of New York and Nova Caesarea, or New Jersey, and for confirming titles and possession," which said line has since been acknowledged and recognized by the two states as the limit of their respective territory and jurisdiction, shall, notwithstanding its want of conformity to the verbal description thereof, as recited by said commissioners, continue to be the boundary or partition line between the said two states; provided, that wherever upon said line the location of one or more of the monuments erected by said commissioners in seventeen hundred and seventy-four, has been lost, and cannot otherwise be definitely fixed and determined, then in that case, and in every case where it is required to establish intervening points on said line, a straight line drawn between the nearest adjacent monuments, whose localities are ascertained, shall be understood to be, and shall be, the true boundary line.
##### **§ 52:28-13** Monumental marks of boundary line {#sec-52-28-13 omnilex-key=us-nj-statutes--title-52--52:28-13}
Second. The monumental marks by which said boundary line shall hereafter be known and recognized are hereby declared to be; first, the original monuments of stone erected in seventeen hundred and seventy-four, along said line by the commissioners aforesaid, as the same have been restored and re-established in their original positions by Edward A. Bowser, surveyor on the part of New Jersey, and Henry W. Clarke, surveyor on the part of New York, duly appointed by the parties hereto; second, the new monuments of granite erected by the aforesaid surveyors at intervals of one mile, more or less, along said line, and numbered consecutively, beginning from the Hudson river, and severally marked on the northerly side with the letters N. Y., and on the southerly side with the letters N.J.; third, the monuments of granite erected by the aforesaid surveyors at intervening points on said line at its intersection with public roads, railroads and rivers, and severally marked by them on the northerly side with the letters N. Y., and on the southerly side with the letters N. J.; and fourth, the terminal monuments erected at the western terminus of said line at the confluence of the Delaware and Navesink rivers, and the terminal monument erected on the brow of the rock called the Palisades, near the eastern terminus, and the rock lying and being at the foot of the Palisades on the bank of the Hudson river, and marked as the original terminal monument of said line established in seventeen hundred and seventy-four, as the same are described in a joint report made to the parties hereto by Elias W. Leavenworth, commissioner on the part of New York, and George H. Cook, commissioner on the part of New Jersey.
##### **§ 52:28-14** Permanent and authentic record of boundary line {#sec-52-28-14 omnilex-key=us-nj-statutes--title-52--52:28-14}
Third. The field-books of said surveyors, containing the descriptions of the locations of the several monuments erected by them, and of the witness marks thereto, the report of said surveyors containing the account of their work in ascertaining and marking said line, together with the topographical map of said line and the vicinity thereof, and the several documents and books of record containing the transactions of the parties aforesaid, having been duly authenticated and attested by the signatures of the said commissioners, and placed on file in the offices of the secretaries of state of the two states, shall constitute the permanent and authentic records of said boundary line, and are hereby adopted by the parties hereto, and made part of this agreement.
##### **§ 52:28-15** Agreement binding when confirmed by legislatures of both states and by congress {#sec-52-28-15 omnilex-key=us-nj-statutes--title-52--52:28-15}
Fourth. This agreement shall become binding on the two states when confirmed by the legislatures thereof, respectively, and when confirmed by the congress of the United States.
"In witness whereof, the said commissioners have hereto set their hands and seals, in duplicate, this seventh day of June, in the year of our Lord one thousand eight hundred and eighty-three.
Henry R. Pierson, [L.S.]
E. W. Leavenworth, [L.S.]
Chauncey M. Depew, [L.S.]
A. Browning, [L.S.]
Thomas N. McCarter, [L.S.]
Geo. H. Cook. [L.S.]
Executed in the presence of--
Witness as to H. R. Pierson,
A. C. Judson, Albany.
As to commissioners of New Jersey,
B. Williamson.
Witness to the signature of E. W. Leavenworth,
A. F. Lewis.
As to Chauncey M. Depew,
W. I. Vanarsdale."
##### **§ 52:28-16** Agreement ratified by New Jersey {#sec-52-28-16 omnilex-key=us-nj-statutes--title-52--52:28-16}
The aforesaid agreement, and every article, clause, matter and thing therein contained, shall be and the same are hereby ratified and confirmed on the part of the state of New Jersey.
##### **§ 52:28-17** Preamble {#sec-52-28-17 omnilex-key=us-nj-statutes--title-52--52:28-17}
Whereas, commissioners duly appointed on the part of the state of New York and commissioners duly appointed on the part of the state of New Jersey, for the purpose of locating and marking out by proper buoys the boundary line between the two states in lands under the water of Raritan bay, have executed certain articles, two copies for each state, which are contained in the following words:
An agreement, made the twelfth day of October, in the year one thousand eight hundred and eighty-seven, between Mayo W. Hazeltine, Robert Moore and Lieutenant G. C. Hanus, U. S. N., commissioners on the part of the state of New York, and George H. Cook, Robert C. Bacot and A. B. Stoney, commissioners on the part of the state of New Jersey;
Whereas, by chapter sixty-nine of the laws of the state of New York for the year one thousand eight hundred and eighty-seven, the governor was authorized to appoint three commissioners on the part of the state of New York, with full power to meet with the commissioners duly authorized on the part of the state of New Jersey, and with them locate and mark out by proper monuments and buoys the true boundary line between the two states in lands under water in Raritan bay; and
Whereas, the said Mayo W. Hazeltine, Robert Moore and Lieutenant G. C. Hanus, U. S. N., were duly appointed commissioners on the part of the state of New York, for the purposes mentioned in said act; and
Whereas, by an act of the legislature of the state of New Jersey, passed April twentieth, one thousand eight hundred and eighty-six, entitled "A joint resolution authorizing the appointment of a commission to locate and mark out the boundary line between the state of New Jersey and the state of New York in Raritan bay," the governor of the state of New Jersey was authorized to appoint three commissioners, with power on the part of the state to meet any authorities duly authorized on the part of the state of New York, and with them locate by proper buoys the boundary line between the two states of lands under water in Raritan bay; and
Whereas, the said George H. Cook, Robert C. Bacot and A. B. Stoney were duly appointed commissioners for the purpose of said act; and
Whereas, the said commissioners, acting for and on behalf of their respective states, have entered upon the performance of the duties imposed upon them by said act, and have, in pursuance of the authority to them severally given as aforesaid, agreed and hereby do agree upon a boundary line between the two states in lands under water in Raritan bay, and locate the same, as follows:
##### **§ 52:28-18** From Great Beds lighthouse north {#sec-52-28-18 omnilex-key=us-nj-statutes--title-52--52:28-18}
First. From the "Great Beds lighthouse" in Raritan bay, north, twenty degrees and sixteen minutes west, true, to a point in the middle of the waters of Arthur Kill or Staten Island sound, equi-distant between the southwesterly corner of the dwelling house of David C. Butler, at Ward's point, on Staten island, in the state of New York, and the southeasterly corner of the brick building on the lands of Cortland L. Parker, at the intersection of the westerly line of Water street with the northerly line of Lewis street, in Perth Amboy, in the state of New Jersey.
##### **§ 52:28-19** From Great Beds lighthouse south {#sec-52-28-19 omnilex-key=us-nj-statutes--title-52--52:28-19}
Second. From "Great Beds lighthouse" south, sixty-four degrees and twenty-one minutes east, true, in line with the center of Waackaack or Wilson's beacon, in Monmouth county, New Jersey, to a point at the intersection of said line with a line connecting "Morgan number two" triangulation point, United States coast and geodetic survey, in Middlesex county, New Jersey, with the granite and iron beacon marked on the accompanying map as "Romer stone beacon" , situated on the "Dry Romer shoal" ; and thence on a line bearing north, seventy-seven degrees and nine minutes east, true, connecting "Morgan number two" triangulation point, United States coast and geodetic survey, in Middlesex county, New Jersey, with said Romer stone beacon (the line passing through said beacon and continuing in the same direction), to a point at its intersection with a line drawn between the "Hook beacon" , on Sandy Hook, New Jersey, and the triangulation point of the United States geodetic survey, known as the Oriental hotel, on Coney island, New York; then southeasterly, at right angles with the last-mentioned line, to the main sea.
##### **§ 52:28-20** Monumental marks of boundary line {#sec-52-28-20 omnilex-key=us-nj-statutes--title-52--52:28-20}
Third. The monumental marks by which said boundary line shall be hereafter known and recognized are hereby declared to be as follows:
I. The "Great Beds lighthouse" ;
II. A permanent monument marked "state boundary line New York and New Jersey" , and to be placed at the intersection of the line drawn from the "Great Beds lighthouse" to "Waackaack or Wilson's beacon" , Monmouth county, New Jersey, and the line drawn from "Morgan's number two" triangulation point, United States coast and geodetic survey, in Middlesex county, New Jersey, to the "Romer stone beacon" ;
III. Eight buoys or spindles, to be marked like the permanent monuments above mentioned and placed at suitable intervening points along the line from the said permanent monument to the "Romer stone beacon" ;
IV. The Romer stone beacon.
##### **§ 52:28-21** Maps to furnish authentic records of boundary line {#sec-52-28-21 omnilex-key=us-nj-statutes--title-52--52:28-21}
Fourth. The maps accompanying and filed with this agreement, showing the location of the above-described boundary line between the state of New York and the state of New Jersey in Raritan bay to the main sea, and the monumental marks by which it is marked and to be marked, duly authenticated and attested by the signatures of the said commissioners, and placed on file in the offices of the secretaries of state of the respective states, shall constitute the permanent and authentic records of said boundary line, and are hereby adopted by the parties thereto and made a part of this agreement.
In witness whereof, the said commissioners have hereto set their hands and seals in duplicate, this twelfth day of October, in the year of our Lord one thousand eight hundred and eighty-seven.
M. W. Hazeltine, [L.S.]
Robert Moore, [L.S.]
G. C. Hanus, Lieut., U.S.N., [L.S.]
George H. Cook, [L.S.]
Robert C. Bacot, [L.S.]
A. B. Stoney. [L.S.]
Certified to--
Edward P. Boyle, Secretary of Joint Commission.
##### **§ 52:28-22** Agreement ratified by state of New Jersey {#sec-52-28-22 omnilex-key=us-nj-statutes--title-52--52:28-22}
The aforesaid agreement, and every article, clause, matter and thing therein contained, shall be and the same is hereby fully and amply ratified and confirmed on the part of the state of New Jersey.
##### **§ 52:28-23** Preamble {#sec-52-28-23 omnilex-key=us-nj-statutes--title-52--52:28-23}
Whereas, commissioners duly appointed on the part of the state of Pennsylvania, and commissioners, duly appointed on the part of the state of New Jersey, for the purpose of settling the jurisdiction of the river Delaware, and islands within the same, have executed two instruments of an agreement for the purposes aforesaid, one for each state, which agreement is contained in the following words:
An agreement made and concluded between George Bryan, George Gray, and William Bingham, commissioners appointed by the legislature of the state of Pennsylvania for settling the jurisdiction of the river Delaware, and islands within the same, and Abraham Clark, Joseph Cooper, and Thomas Henderson, commissioners appointed by the legislature of the state of New Jersey for the like purpose.
Whereas, inconveniences and mischiefs have arisen, and may hereafter arise, from the uncertainty of jurisdiction within and on the river Delaware; therefore, to prevent the same, and in order that law and justice may hereafter in all cases be executed, and take effect within and upon the said river from shore to shore, in all parts and places thereof where the same river is the boundary between the said states, the said commissioners do agree and establish, for and in behalf of their respective states, in manner following, that is to say:
Rev.1877, p. 1181, Preamble (C.S. p. 5368, Preamble).
##### **§ 52:28-24** Delaware river a common highway {#sec-52-28-24 omnilex-key=us-nj-statutes--title-52--52:28-24}
First. It is declared, that the river Delaware, from the station point or northwest corner of New Jersey, northerly, to the place upon the said river where the circular boundary of the state of Delaware touches upon the same, in the whole length and breadth thereof, is and shall continue to be and remain a common highway, equally free and open for the use, benefit and advantage of the said contracting parties; provided nevertheless, that each of the legislatures of said states shall hold and exercise the right of regulating and guarding the fisheries on the said river Delaware annexed to their respective shores, in such manner that the said fisheries may not be unnecessarily interrupted, during the season for catching shad, by vessels riding at anchor on the fishing ground, or by persons fishing under claim of a common right on said river.
Rev. 1877, p. 1181, s. 15 (C.S. p. 5368, s. 30).
##### **§ 52:28-25** Jurisdiction over Delaware river {#sec-52-28-25 omnilex-key=us-nj-statutes--title-52--52:28-25}
Secondly. That each state shall enjoy and exercise a concurrent jurisdiction within and upon the water, and not upon the dry land, between the shores of said river, but in such sort, nevertheless, that every ship and other vessel, while riding at anchor before any city or town in either state, where she hath last laded or unladed, or where it is intended she shall first thereafter either lade or unlade, shall be considered exclusively within the jurisdiction of such state; and every vessel fastened to or aground on the shore of either state, shall in like manner be considered exclusively within the jurisdiction of such state; but that all capital and other offenses, trespasses, or damages, committed on said river, the juridical investigation and determination thereof shall be exclusively vested in the state wherein the offender or person charged with such offense shall be first apprehended, arrested, or prosecuted.
Rev.1877, p. 1181, s. 16 (C.S. p. 5368, s. 31).
##### **§ 52:28-26** Annexation of islands {#sec-52-28-26 omnilex-key=us-nj-statutes--title-52--52:28-26}
Thirdly. That all islands, islets, and dry land within the bed and between the shores of the said river, and between the said station point, northerly, and the falls of Trenton, southerly, shall as to jurisdiction, be hereafter deemed and considered as parts and parcels of the state to which such insulated dry land doth lie nearest at the time of making and executing this agreement; and that from said falls of Trenton to the state of Delaware, southerly, Biles' island, near Trenton, Windmill island, opposite to Philadelphia, League island, Mud or Fort island, Hog island, and Little Tinnicum islands, shall be annexed to the state of Pennsylvania, and considered as parts and parcels thereof; and that Biddle's or Newbold's island, Burlington island, Petty's islands, Redbank island, Harmanus Helm's island, Chester island, and Shiverse's island, shall be annexed to the state of New Jersey, and considered as parts and parcels thereof; and that all other islands within said river, between the falls of Trenton and the state of Delaware, which are not hereinbefore particularly enumerated, shall be hereafter deemed and considered as parts and parcels of the state to which such island doth lie nearest, at the date hereof; and that all islands which may hereafter be formed within the said river shall be classed and annexed to the jurisdiction of either state, according to the same principle.
Rev. 1877, p. 1181, s. 17 (C.S. p. 5369, s. 32).
##### **§ 52:28-27** When agreement binding {#sec-52-28-27 omnilex-key=us-nj-statutes--title-52--52:28-27}
Fourthly. That this present agreement, and every article and clause therein contained, shall be suspended and take no effect until each of the legislatures of the states of Pennsylvania and New Jersey, respectively, shall have passed laws approving of and ratifying the same; which being done, the said agreement shall then be considered as a joint compact between the said states, and the citizens thereof, respectively, and be forever thereafter irrevocable by either of the said contracting states, without the concurrence of the other. In witness whereof, we, the commissioners of the aforesaid states, have set our hands and seals to two instruments of the agreement, one for each state, dated this twenty-sixth day of April, anno Domini one thousand seven hundred and eighty-three.
Abraham Clark, [L.S.]
Joseph Cooper, [L.S.]
Thomas Henderson, [L.S.]
George Bryan, [L.S.]
George Gray, [L.S.]
Wm. Bingham. [L.S.]
Rev.1877, p. 1182, s. 18 (C.S. p. 5369, s. 33).
##### **§ 52:28-28** Agreement ratified {#sec-52-28-28 omnilex-key=us-nj-statutes--title-52--52:28-28}
The aforesaid agreement and every article, clause, matter and thing therein contained, shall be and the same is hereby fully and amply ratified and confirmed, and shall be and ever hereafter remain in force, agreeably to the true tenor and extent thereof.
Rev.1877, p. 1182, s. 18 (C.S. p. 5369, s. 34).
##### **§ 52:28-29** Preamble {#sec-52-28-29 omnilex-key=us-nj-statutes--title-52--52:28-29}
Whereas, commissioners duly appointed on the part of the state of Pennsylvania, and a commissioner duly appointed on the part of the state of New Jersey, for the purpose of dividing the islands in the river Delaware, between the falls of Trenton, and the station point, or northwest corner of the state of New Jersey, have executed two articles of agreement, one for each state, which is contained in the following words:
An agreement made and concluded upon, between George Wall, John Okely, and Jonas Hartzell, commissioners appointed by the supreme executive council of the state of Pennsylvania, for dividing the islands and insulated dry land in the river Delaware, with the state of New Jersey, from the falls at Trenton to the station point, or northwest corner of the said state, and Moore Furman, commissioner appointed by the said state of New Jersey, for the like purpose.
Rev.1877, p. 1182, Preamble (C.S. p. 5369, Preamble).
##### **§ 52:28-30** Division of islands between states {#sec-52-28-30 omnilex-key=us-nj-statutes--title-52--52:28-30}
First. The parties aforesaid, in pursuance of the authority to them severally given, and in behalf of the respective states aforesaid, do agree, that from the said falls of Trenton, to the station point, or northwest corner of the state of New Jersey, aforesaid, the following islands, opposite to the county of Bucks, and the townships hereafter named, that is to say, opposite to the Falls township, Bird's island; opposite to Lower Makefield township, Slack's three islands, Duer's island, and Harvey's lower island; opposite to Upper Makefield township, Harvey's upper island and Lowne's island; opposite to Solebury township, Smith's island and bar, and Paxton's island and bar; opposite to Tinnicum township, Pratt's two islands, Wall's island, Resolution island, Marshall's island, Wall's two islands, Fishing island, and Pennington's island; opposite to Nockamixon township, Loughley's island; and opposite the county of Northampton, and the townships hereafter named, that is to say, Williams township, Pohatcung island, Shoemaker's island, and Loor's island; opposite to the Forks township, Easton island, opposite to Mount Bethel, Mason's island and bar, Mason's island, Foulrift island, McElhany's island, and Attin's two islands; opposite to Lower Smithfield, Handy's island and bar, Goodwin's two islands, Shawanagh, or I. and B. Van Campen's island, N. Depew's island and two bars, Chambers' island and Van Oken's island; opposite to Delaware township, Swartwood's island and Isaac Van Campen's island; opposite Upper Smithfield township, Punkey's island and five bars, shall be annexed to the state of Pennsylvania, and considered as parts and parcels thereof.
And that the following islands, opposite to the county of Hunterdon, in the state of New Jersey, and the townships hereafter named, that is to say, opposite to the township of Trenton, Yard's island, Mott's two islands, and Gould's two islands; opposite to the township of Hopewell, Stout's island; opposite to the township of Amwell, Smith's Mill island, Coryell's island, Holcombe's two islands, Eagle island, and Bull's island; opposite to the township of Kingwood, Rush island, Ridge's island, Shyhawk's three islands, Pinkerton's island, and Man-of-War island; opposite to the township of Alexandria, Stull's island, Lowrey's island, and Loughley's island and bar; and opposite to the county of Sussex, and the townships hereafter named, that is to say, opposite to the township of Greenwich, Rope's island, Champman's island, Stout's island and bar, and Bar island; opposite to the township of Oxford, Capush island, Foulrift island, and Mack's island; opposite to the township of Knowlton, Mack's island and three bars, and Gap island; opposite to the township of Walpack, Hoops' two islands, Chambers' island, A. Van Campen's fishing island, Opaughanaugh island, and Necesseas island; opposite to the township of Sandyston, Nominack island, and Westfall's island; opposite to the township of Montague, Minisink island, Quick's two islands and bar, Shabbacung Great island and bar, and Westfall's two islands, shall be annexed to the state of New Jersey, and hereafter be considered as parts and parcels thereof, agreeably to a map or chart of the said river, and description of the several islands and insulated dry land therein, made under our direction, by Mr. Reading Howell, surveyor, and herewith exhibited to each state.
Rev.1877, p. 1182, s. 19 (C.S. p. 5370, s. 35).
##### **§ 52:28-31** Islands subsequently formed {#sec-52-28-31 omnilex-key=us-nj-statutes--title-52--52:28-31}
Secondly. That all other islands which may hereafter be formed within said river, between the falls of Trenton and the station point, or northwest corner of the state of New Jersey aforesaid, shall hereafter be deemed and considered as parts and parcels of the state to which such island may be nearest. In witness whereof, we the commissioners of the states aforesaid, have set our hands and seals to two instruments of writing, one for each state, dated this second day of December, anno Domini one thousand seven hundred and eighty-five.
George Wall, [L.S.]
John Okely, [L.S.]
Jonas Hartzell, [L.S.]
Moore Furman. [L.S.]
Rev.1877, p. 1183, s. 20 (C.S. p. 5370, s. 36).
##### **§ 52:28-32** Agreement ratified {#sec-52-28-32 omnilex-key=us-nj-statutes--title-52--52:28-32}
The aforesaid agreement, and every article, clause, matter and thing therein contained, shall be and the same is hereby fully and amply ratified and confirmed, and shall be and ever hereafter remain in force, agreeably to the true tenor and extent thereof.
Rev.1877, p. 1183, s. 20 (C.S. p. 5371, s. 37).
##### **§ 52:28-33** Jurisdiction of offenses committed on the river Delaware {#sec-52-28-33 omnilex-key=us-nj-statutes--title-52--52:28-33}
The judicial investigation and determination of any capital or other offense, trespass or damage committed within and upon the water of the river Delaware, which this State is entitled to enjoy and exercise, by virtue of sections 52:28-23 to 52:28-28 of this Title, shall belong to and be exercised by the Superior Court or the courts and officers in the county lying and being nearest to the place where such offense, trespass or act was committed, as fully as if said place was within the body of such county, and it shall be lawful to describe said offense, trespass or act as having been committed in or upon the water of the river Delaware in the said county.
##### **§ 52:28-34** Preamble {#sec-52-28-34 omnilex-key=us-nj-statutes--title-52--52:28-34}
Whereas, by joint resolution of the legislature of the state of New Jersey, approved February fourteenth, one thousand nine hundred and five, Edward C. Stokes, governor; Robert H. McCarter, attorney general; Franklin Murphy and Chauncey G. Parker were appointed and constituted commissioners of the state of New Jersey to confer with like commissioners representing the state of Delaware for the purpose of framing a compact or agreement between the said states and legislation consequent thereon, to be submitted to the legislatures of the said two states for action thereon looking to the amicable termination of the suit between said two states now pending in the supreme court of the United States, and the final adjustment of all controversies relating to the boundary line between said states and to their respective rights in the Delaware river and bay; and
Whereas, by like joint resolution of the general assembly of the state of Delaware, approved February thirteenth, one thousand nine hundred and five, Preston Lea, governor; Robert H. Richards, attorney general; Herbert H. Ward and George H. Bates were appointed to represent the said state as commissioners to confer with the commissioners of the state of New Jersey for the purpose before recited; and
Whereas, the commissioners of the said two states, having duly conferred as directed by said resolutions, have framed and submitted to this legislature a proposed compact or agreement between the said states; and
Whereas, the compact or agreement so framed and submitted is in the words following, that is to say:
Compact between the state of New Jersey and the state of Delaware relating to the boundary controversy between said states.
Whereas, a controversy hath heretofore existed between the states of New Jersey and Delaware relative to the jurisdiction of such portion of the Delaware river as is included within the circle of twelve miles radius, an arc of which constitutes the northern boundary of the state of Delaware, and it is the mutual desire of said states to so settle and determine such controversy as to prevent future complications arising therefrom; and
Whereas, there is now pending in the supreme court of the United States a cause wherein the said state of New Jersey is the complainant and the said state of Delaware is the defendant, in which cause an injunction has been issued against the state of Delaware restraining the execution of certain statutes of the state of Delaware relating to fisheries in said river, which said litigation hath been pending for twenty-seven years and upwards; and
Whereas, for the purpose of adjusting the differences between the said two states arising out of said conflict of jurisdiction, Edward C. Stokes, Robert H. McCarter, Franklin Murphy and Chauncey G. Parker have been appointed commissioners on the part of the state of New Jersey by joint resolution of the legislature of said state, and Preston Lea, Robert H. Richards, Herbert H. Ward and George H. Bates have been appointed commissioners on the part of the state of Delaware, by joint resolution of the general assembly of said state, to frame a compact or agreement between the said states and legislation consequent thereon, to be submitted to the legislatures of said two states for action thereon, looking to the amicable termination of the said suit between said states now pending in the supreme court of the United States and the final adjustment of all controversies relating to the boundary line between said states, and to their respective rights in the Delaware river and bay;
Now, therefore, the said state of New Jersey by its commissioners above named and the said state of Delaware, by its commissioners above named, do hereby make and enter into a compact or agreement between said states as follows:
##### **§ 52:28-35** Serving criminal process issued by New Jersey {#sec-52-28-35 omnilex-key=us-nj-statutes--title-52--52:28-35}
Article I. Criminal process issued under the authority of the state of New Jersey against any person accused of an offense committed upon the soil of said state, or upon the eastern half of said Delaware river, or committed on board of any vessel being under the exclusive jurisdiction of that state, and also civil process issued under the authority of the state of New Jersey against any person domiciled in that state, or against property taken out of that state to evade the laws thereof, may be served upon any portion of the Delaware river between said states from low-water mark on the New Jersey shore to low-water mark on the Delaware shore, except upon Reedy and Pea Patch islands, unless said person or property shall be on board a vessel aground upon or fastened to the shore of the state of Delaware, or the shores of said islands, or fastened to a wharf adjoining thereto, or unless such person shall be under arrest or such property shall be under seizure by virtue of process or authority of the state of Delaware.
##### **§ 52:28-36** Serving criminal process issued by Delaware {#sec-52-28-36 omnilex-key=us-nj-statutes--title-52--52:28-36}
Article II. Criminal process issued under the authority of the state of Delaware against any person accused of an offense committed upon the soil of said state, or upon the western half of said Delaware river, or committed on board of any vessel being under the exclusive jurisdiction of that state, and also civil process issued under the authority of the state of Delaware against any person domiciled in that state, or against property taken out of that state to evade the laws thereof, may be served upon any portion of the Delaware river between said states from low-water mark on the Delaware shore to low-water mark on the New Jersey shore, unless said person or property shall be on board a vessel aground upon or fastened to the shore of the state of New Jersey, or fastened to a wharf adjoining thereto or unless such person shall be under arrest or such property shall be under seizure by virtue of process or authority of the state of New Jersey.
##### **§ 52:28-37** Common fishing rights {#sec-52-28-37 omnilex-key=us-nj-statutes--title-52--52:28-37}
Article III. The inhabitants of the said states of Delaware and New Jersey shall have and enjoy a common right of fishery throughout, in and over the waters of said river between the low-water marks on each side of said river between the said states, except so far as either state may have heretofore granted valid and subsisting private rights of fishery.
##### **§ 52:28-38** Joint commission to draft laws relative to fishing and ascertain dividing line {#sec-52-28-38 omnilex-key=us-nj-statutes--title-52--52:28-38}
Article IV. Immediately upon the execution hereof the legislature of the state of New Jersey shall appoint three commissioners to confer with three commissioners to be immediately appointed by the general assembly of the state of Delaware for the purpose of drafting uniform laws to regulate the catching and taking of fish in the Delaware river and bay between said two states, which said commissioners for each state respectively shall, within two years from the date of their appointment, report to the legislature of each of said states the proposed laws so framed and recommended by said joint commission. Upon the adoption and passage of said laws so recommended by the respective legislatures of said two states, said laws shall constitute the sole laws for the regulation of the taking and catching of fish in the said river and bay between said states. Said laws shall remain in force until altered, amended or repealed by concurrent legislation of the said two states. Said commissioners shall also ascertain the dividing line between said river and bay, and upon each of the shores of said two states, where said dividing line extended shall intersect the same, shall, at the joint expense of said states, erect a suitable monument to mark the said dividing line. Said dividing line between said monuments shall be the division line between the said river and bay for the interpretation of and for all purposes of this compact, and of the concurrent legislation provided for therein.
The faith of the said contracting states is hereby pledged to the enactment of said laws so recommended by said commissioners, or to such concurrent legislation as may seem judicious and proper in the premises to the respective legislatures thereof.
Each state shall have and exercise exclusive jurisdiction within said river to arrest, try and punish its own inhabitants for violations of the concurrent legislation relating to fishery herein provided for.
##### **§ 52:28-39** Continuance of existing laws {#sec-52-28-39 omnilex-key=us-nj-statutes--title-52--52:28-39}
Article V. All laws of said states relating to the regulation of fisheries in the Delaware river not inconsistent with the right of common fishery herein above mentioned shall continue in force in said respective states until the enactment of said concurrent legislation as herein provided.
##### **§ 52:28-40** Shellfish industry not affected {#sec-52-28-40 omnilex-key=us-nj-statutes--title-52--52:28-40}
Article VI. Nothing herein contained shall affect the planting, catching or taking of oysters, clams or other shellfish, or interfere with the oyster industry as now or hereafter carried on under the laws of either state.
##### **§ 52:28-41** Riparian jurisdiction {#sec-52-28-41 omnilex-key=us-nj-statutes--title-52--52:28-41}
Article VII. Each state may, on its own side of the river, continue to exercise riparian jurisdiction of every kind and nature, and to make grants, leases and conveyances of riparian lands and rights under the laws of the respective states.
##### **§ 52:28-42** Rights in Delaware river preserved {#sec-52-28-42 omnilex-key=us-nj-statutes--title-52--52:28-42}
Article VIII. Nothing herein contained shall affect the territorial limits, rights or jurisdiction of either state of, in or over the Delaware river, or the ownership of the subaqueous soil thereof, except as herein expressly set forth.
##### **§ 52:28-43** Execution of agreement and submission to congress; suit discontinued {#sec-52-28-43 omnilex-key=us-nj-statutes--title-52--52:28-43}
Article IX. This agreement shall be executed by the said commissioners when authorized to do so by the legislature of the said states. It shall thereupon be submitted to congress for its consent and approval. Upon the ratification thereof by congress it shall be and become binding in perpetuity upon both of said states; and thereupon the suit now pending in the supreme court of the United States, in which the state of New Jersey is complainant and the state of Delaware is defendant, shall be discontinued, without costs to either party and without prejudice. Pending the ratification hereof by congress said suit shall remain in statu quo.
Done in two parts (one of which is retained by the commissioners of Delaware, to be delivered to the governor of that state, and the other one of which is retained by the commissioners of New Jersey, to be delivered to the governor of that state) this day of , in the year of our Lord one thousand nine hundred and five.
##### **§ 52:28-44** Compact ratified {#sec-52-28-44 omnilex-key=us-nj-statutes--title-52--52:28-44}
The foregoing compact or agreement, and every clause, matter and thing therein contained, be and the same is hereby adopted, ratified and confirmed as and for the act and deed of the state of New Jersey, and the commissioners of the said state are hereby authorized and empowered on its behalf to execute the same in duplicate, and to deliver one copy thereof to the commissioners of the state of Delaware.
##### **§ 52:28-45** Governor to transmit copy to the president {#sec-52-28-45 omnilex-key=us-nj-statutes--title-52--52:28-45}
It shall be the duty of the governor, at or before the next session of the legislature, to transmit, a duly certified copy of this act to the president of the United States, with the request that it be communicated to congress for its action thereon.
##### **§ 52:28-46** Appointment of commissioners to enter into agreement respecting boundary and jurisdiction {#sec-52-28-46 omnilex-key=us-nj-statutes--title-52--52:28-46}
L.1935, c. 160, p. 387, entitled "An act concerning boundary and jurisdiction in Delaware river between this state and the state of Delaware," approved April fifteenth, one thousand nine hundred and thirty-five, saved from repeal. [This act provides for the appointment of three commissioners for New Jersey with authority to enter into an agreement with similar commissioners from Delaware relating to boundary and jurisdiction of the two states in the Delaware river, which agreement is not to be binding until ratified by legislatures of the two states and consented to by congress. One thousand dollars is appropriated to defray the expenses of the commissioners.]
## **Chapter 29**
##### **§ 52:29-2** Triennial inspection and replacement or repair of monuments; setting of monuments where wanting {#sec-52-29-2 omnilex-key=us-nj-statutes--title-52--52:29-2}
The Department of Conservation and Economic Development shall cause to be made an examination of all the monuments marking the State boundary lines at least once in every 3 years and if any of them shall be found to have been injured, displaced or removed it shall, with persons duly authorized by the adjoining State, cause the same to be repaired, restored or replaced and cause suitable monuments to be set wherever they are wanting at points where the State boundary is intersected by the boundary of any municipalities or counties of this State or by any highway.
##### **§ 52:29-3** Expenses {#sec-52-29-3 omnilex-key=us-nj-statutes--title-52--52:29-3}
The department may expend such sums as may be necessary to defray the expenses of such examination, repair, restoration or furnishing of such monuments with the incidental expenses connected therewith as shall from time to time be appropriated to the department for such purposes.
##### **§ 52:29-4** Defacing, injuring, destroying or removing monuments; penalty {#sec-52-29-4 omnilex-key=us-nj-statutes--title-52--52:29-4}
Any person who defaces, injures, destroys or removes a State boundary monument shall be liable to a penalty of $250.00 which shall be collected and enforced in a summary proceeding by the department in the name of the State in a court of competent jurisdiction in accordance with the procedure prescribed in the Penalty Enforcement Law (N.J.S. 2A:58) and the rules of the Supreme Court applicable thereto and all sums so collected shall be paid into the State treasury.
##### **§ 52:29-5** Repeal {#sec-52-29-5 omnilex-key=us-nj-statutes--title-52--52:29-5}
Section 52:29-1 of the Revised Statutes is repealed.
## **Chapter 30**
##### **§ 52:30-1** Consent to acquisition of land by United States {#sec-52-30-1 omnilex-key=us-nj-statutes--title-52--52:30-1}
The consent of this state is hereby given, pursuant to the provisions of article one, section eight, paragraph seventeen, of the constitution of the United States, to the acquisition by the United States, by purchase, condemnation or otherwise, of any land within this state, for the erection of dockyards, custom houses, courthouses, post offices or other needful buildings.
##### **§ 52:30-2** Jurisdiction over lands acquired {#sec-52-30-2 omnilex-key=us-nj-statutes--title-52--52:30-2}
Exclusive jurisdiction in and over any land so acquired by the United States is hereby ceded to the United States for all purposes except the service of process issued out of any of the courts of this state in any civil or criminal proceeding.
Such jurisdiction shall not vest until the United States shall have actually acquired ownership of said lands, and shall continue only so long as the United States shall retain ownership of said lands.
##### **§ 52:30-4** Action to adjudge value of and acquire rights and easements {#sec-52-30-4 omnilex-key=us-nj-statutes--title-52--52:30-4}
Whenever the United States or any officer thereof has or hereafter shall have, in pursuance of law, leased or purchased any lands within this State for government purposes, and it may be desirable that any street, highway or public places laid out upon any map of said lands should be vacated, or that any rights, ways, easements or servitudes in or upon said lands should be acquired and extinguished, the Attorney-General, by direction of the Governor, shall on request of said lessee, owner, officer or proper authority of the United States, bring a civil action in the Superior Court to adjudge the true value of any rights, ways, easements or servitudes in or upon said lands, and provide for such acquisition and extinguishment. The court may proceed in the action in a summary manner or otherwise.
##### **§ 52:30-6** Commissioners to fix value of rights and easements when unable to agree with owners {#sec-52-30-6 omnilex-key=us-nj-statutes--title-52--52:30-6}
If the commissioners shall be unable to agree with the persons holding or entitled to encumbrances, rights, ways, easements or servitudes in, upon or over said land or any part thereof, for the purchase, conveyance or extinguishment thereof, or cannot satisfactorily ascertain such owners or persons, or if such owners or persons cannot execute valid conveyances for the same, the commissioners shall examine into and adjudge the true value of said rights, ways, easements or servitudes.
##### **§ 52:30-7** Parties defendant {#sec-52-30-7 omnilex-key=us-nj-statutes--title-52--52:30-7}
The action shall be brought against all persons having or claiming to have any such right, way, easement or servitude or any interest therein.
##### **§ 52:30-9** Determination of value; orders; judgment {#sec-52-30-9 omnilex-key=us-nj-statutes--title-52--52:30-9}
The court shall without a jury try and adjudge the value of each said right, way, easement or servitude and make such orders and render judgment with respect thereto and the payment of any amount found to be payable to any party as shall be just and proper.
##### **§ 52:30-10** Governor to take possession for United States; vacation of streets, etc.; use prohibited {#sec-52-30-10 omnilex-key=us-nj-statutes--title-52--52:30-10}
As soon as said judgment has been rendered by the court and subject to the provisions thereof the Governor shall take possession of all said private rights, ways, easements or servitudes for the public use of the United States.
Upon such taking, all roads, streets, ways and public places embraced within the limits of said tract of land shall be vacated and made void.
It shall be unlawful for any public or municipal body or any person to open or use the same, and the land when so taken shall be held free from any and every right, way, easement or servitude over the same.
##### **§ 52:30-11** Acceptance by governor of retrocession of jurisdiction over lands acquired by or ceded to federal government {#sec-52-30-11 omnilex-key=us-nj-statutes--title-52--52:30-11}
Notwithstanding any other provision of law, the Governor, whenever he deems it desirable and in the public interest, may accept on behalf of the State the retrocession of all or part of jurisdiction in and over lands heretofore or hereafter acquired by or ceded to the Federal Government.
The transfer of such jurisdiction shall be effective upon the written acceptance by the Governor of a notice of retrocession signed by the secretary or head of the appropriate department of the Federal Government, having authority to send such notice. Said notice and a copy of the written acceptance thereof shall be filed in the office of the Secretary of State.
##### **§ 52:30-12** Concurrent criminal jurisdiction over certain federal properties {#sec-52-30-12 omnilex-key=us-nj-statutes--title-52--52:30-12}
1. a. The State cedes to the United States concurrent criminal jurisdiction over lands and waters within the boundaries of units of the National Park System administered by the United States Department of the Interior, National Park Service, that are within the State, including those owned, leased, or administratively controlled, and those hereafter acquired, leased, or administratively controlled, by the National Park Service.
b. The existing National Park Service units affected by this cession are as follows:
(1) Delaware Water Gap National Recreation Area;
(2) The Sandy Hook Unit of Gateway National Recreation Area;
(3) Morristown National Historic Park;
(4) Thomas Edison National Historic Site; and
(5) Ellis Island.
##### **§ 52:30-13** Cession of jurisdiction, when effective {#sec-52-30-13 omnilex-key=us-nj-statutes--title-52--52:30-13}
2. Cession of jurisdiction pursuant to section 1 of P.L.1995, c.212 (C.52:30-12) shall become effective upon acceptance thereof in writing by an authorized official of the United States on behalf of the United States, which shall be transmitted to, and filed in , the office of the Secretary of State of New Jersey, and a copy thereof shall be published in the New Jersey Register.
##### **§ 52:30-14** Acceptance of jurisdiction relinquished {#sec-52-30-14 omnilex-key=us-nj-statutes--title-52--52:30-14}
3. Whenever the United States relinquishes all or part of its jurisdiction theretofore held by it over lands and waters within the State, ceded to the United States pursuant to sections 1 and 2 of P.L.1995, c.212 (C.52:30-12 and 52:30-13), the Governor may accept, on behalf of the State, the jurisdiction so relinquished. The acceptance shall be in writing and shall be transmitted to the authorized official of the United States, and a copy thereof shall be filed with the office of the Secretary of State of New Jersey and published in the New Jersey Register.
## **Chapter 31**
##### **§ 52:31-1.1** Sale, conveyance of State's interest; terms; conditions; public hearing; proceeds {#sec-52-31-1.1 omnilex-key=us-nj-statutes--title-52--52:31-1.1}
1. The head or principal executive of any State department, with the written approval of the Governor, is hereby authorized to sell and convey all or any part of the State's interest in any real property and the improvements thereon held by the department or to grant an easement in or across such property if he shall find that his department does not require such property or interest for any public purpose and that such sale is in the best interests of the State or that a grant of such easement is in the best interests of the State.
The sale or grant shall be upon such terms and conditions as the State House Commission shall determine to be in the best interests of the State and shall be by public auction to the highest bidder unless the commission shall otherwise direct.
In the case of lands subject to the provisions of P.L.1993, c.38 (C.13:1D-51 et al.), the State House Commission shall conduct a public hearing at least 90 days in advance of determining the terms and conditions of the sale or conveyance. In addition to any other applicable requirements of law, rule, or regulation concerning notice for public hearings, the State House Commission shall provide notice of the public hearing at least 30 days in advance of the date of the hearing in the same manner and according to the same procedures prescribed for the Department of Environmental Protection pursuant to sections 3 and 4 of P.L.1993, c.38 (C.13:1D-53 and C.13:1D-54). Any meeting at which the State House Commission is to determine the terms and conditions of the sale or conveyance or to decide to approve or disapprove a conveyance of lands subject to the provisions of P.L.1993, c.38 (C.13:1D-51 et al.) shall be open to the public, and the commission shall provide public notice of any such meeting at least 30 days prior thereto.
The proceeds from the sale of any property or interest in property sold pursuant to the provisions of this section or from the grant of an easement shall be paid into the General Treasury of the State, except, in the case of lands subject to the provisions of P.L.1993, c.38 (C.13:1D-51 et al.), the proceeds shall be deposited, appropriated, and utilized as prescribed pursuant to section 7 of P.L.1993, c.38 (C.13:1D-57).
##### **§ 52:31-1.1a** Advertisement for bids for contracting with State entity for display of advertisement. {#sec-52-31-1.1a omnilex-key=us-nj-statutes--title-52--52:31-1.1a}
11. Notwithstanding the provisions of any other law to the contrary, a State entity, as defined in section 1 of P.L.2004, c.42 (C.27:5-27), shall not enter into any contract or agreement for the sale, lease or license of real property owned or controlled by it, or of any interest therein, with any person, firm, partnership or corporation for the purpose of displaying any advertisement, as defined in section 3 of P.L.1991, c.413 (C.27:5-7), without publicly advertising for bids. Notwithstanding the foregoing, any State entity may enter into such a contract or agreement with any of its current contractors, tenants or licensees with respect to the current real property on which they are a contractor, tenant or licensee for the purpose of displaying advertisement, for a period of time not to exceed five years, without publicly advertising for bids. Where, pursuant to the foregoing, a State entity enters into a contract or agreement with such a current contractor, tenant or licensee for a period not exceeding five years, after the completion of that contract or agreement, any future contract or agreement for the same purposes shall be done by publicly advertising for bids.
##### **§ 52:31-1.2** Signing deed or grant; certification of terms and conditions; attestation {#sec-52-31-1.2 omnilex-key=us-nj-statutes--title-52--52:31-1.2}
Any deed or grant executed pursuant to the provisions of this act shall be signed by the head or principal executive of the department in the name of the State of New Jersey. The secretary of the State House Commission shall certify that the terms and conditions established by the State House Commission have been met and satisfied and the Governor shall indicate thereon his approval. The signatures of these officials shall be attested to by the Secretary of State. Any deed or grant so signed and attested to shall be deemed to be acceptable for recording and indexing in the office of the register of deeds and mortgages and, in counties not having such office, in the office of the county clerk or in any other public office in which such deed is required to be recorded or indexed.
##### **§ 52:31-1.3** Application, construction of act {#sec-52-31-1.3 omnilex-key=us-nj-statutes--title-52--52:31-1.3}
3. (a) The provisions of this act shall apply to real property or interests therein that have a value of $500,000 or less and to easements that have a value of $100,000 or less.
(b) The provisions of this act shall be deemed to be additional and supplemental to any existing authority to sell property of the State and shall not be deemed to be in derogation of such existing authority. Nothing in this act, P.L.1962, c.220 (C.52:31-1.1 et seq.), as amended and supplemented, shall be construed to affect, amend, alter or repeal any provision of any other law relating to the disposition of public lands for recreation and conservation, farmland preservation, or any other public purpose.
##### **§ 52:31-1.3a** Approval of State House Commission required for sale, conveyance of real property; exceptions {#sec-52-31-1.3a omnilex-key=us-nj-statutes--title-52--52:31-1.3a}
4. Notwithstanding any other provision of law to the contrary, the sale or conveyance by the head or principal executive of any State department of all or part of the State's interest in any real property and the improvements thereon or the grant of an easement in or across such property shall require the approval of the State House Commission without regard to the value of the property or easement or to the means by which the property was acquired by the State, unless the sale or conveyance or grant is a disposition of public lands for recreation and conservation, farmland preservation, or any other public purpose.
##### **§ 52:31-1.3b** Fund for proceeds from sale of certain State-owned real property; uses restricted. {#sec-52-31-1.3b omnilex-key=us-nj-statutes--title-52--52:31-1.3b}
1. a. There is established in the Department of the Treasury a special, non-lapsing fund into which shall be deposited the proceeds of the sale of any surplus State-owned real property which has been approved for sale or conveyance by the State House Commission pursuant to section 4 of P.L.1997, c.135 (C.52:31-1.3a) after the effective date of P.L.2007, c.108, unless another disposition of such proceeds is specified by statute. The monies in the fund are dedicated and shall be used only to carry out the purposes described in subsection b. of this section. The fund shall be credited with all interest received from the investment of monies in the fund, and any monies which, from time to time, may otherwise become available for the purposes of the fund. Pending the use thereof pursuant to the provisions of subsection b. of this section, the monies deposited in the fund shall be held in interest-bearing accounts in public depositories, as defined pursuant to section 1 of P.L.1970, c.236 (C.17:9-41), and may be invested or reinvested in such securities as are approved by the State Treasurer.
b. Monies deposited in the fund shall be used only for the relief of State debt or to assist in funding capital improvement projects undertaken by the State. The allocation of such money from the fund shall be made upon the recommendation of the Governor for the annual appropriations act, together with a detailed description of the purpose for which the monies will be used. The money shall be expended only upon appropriation in the annual appropriations act and only for the specified purposes.
##### **§ 52:31-1.4** Right of first refusal {#sec-52-31-1.4 omnilex-key=us-nj-statutes--title-52--52:31-1.4}
The State shall, prior to public auction to dispose of any land and improvements which it has acquired within 10 years of the final decision to dispose of the land and improvements at issue, or any interest therein or option therefor, notify and provide the owners of record of the property at the time of the acquisition the right to repurchase their interest at the current fair market value of that interest, as assembled to the former owner's property. The State shall notify the previous owner of record by certified mail to the most current address of record of that owner and by public notice in two newspapers of general circulation in the area wherein the land is located. The State Treasurer shall have the authority, through rules and regulations, to establish the period of time by which the previous owner of record must respond, following receipt of notice to the most current address of record of that owner. If the previous owner of record does not respond within the period of time established by the State Treasurer, the previous owner's right to repurchase the interest before it is disposed of at public auction shall expire. The owner of record shall not include the heirs or devisees of the owner of record.
##### **§ 52:31-1.5** Repurchase at fair market value {#sec-52-31-1.5 omnilex-key=us-nj-statutes--title-52--52:31-1.5}
Nothing in this act shall preclude an owner of record from repurchasing his interest at the current fair market value even if the property at issue is not assembled to his property.
##### **§ 52:31-1.6** Findings, declarations {#sec-52-31-1.6 omnilex-key=us-nj-statutes--title-52--52:31-1.6}
The Legislature finds and declares that:
a. The Department of Human Services and the Department of Corrections possess real property, all of which is to be maintained and used in furtherance of department goals and functions.
b. Pursuant to P.L.1962, c.220 (C.52:31-1.1 et seq.), the department heads, with the approval of the Governor and the State House Commission, may dispose of the State's interest in real property if it is deemed appropriate by the department head.
c. Unused property held by the departments and considered surplus property is often transferred from one department to another and sold without adequate legislative oversight and review.
d. The resultant lack of guidelines and directives for the use and control of real property in the Department of Human Services and the Department of Corrections precludes any coherent, long-range planning and policy formation for the use of real property in those departments and by the Department of the Treasury.
e. Consequently, to centralize and organize the real property inventory of each of these departments and to provide for the maintenance of general legislative oversight for the efficient functioning of these departments, it is in the State's best interests to require these departments to develop and promulgate a master plan which shall be updated annually in a report to the Legislature.
f. Furthermore, it is in the best interests of the Department of the Treasury to assist in the development and promulgation of such a master plan and annual update.
##### **§ 52:31-1.7** Master plan; submission, updating {#sec-52-31-1.7 omnilex-key=us-nj-statutes--title-52--52:31-1.7}
a. The Commissioners of the Department of Human Services and the Department of Corrections shall each, in conjunction with the Department of the Treasury, develop and promulgate, and update annually, a comprehensive master plan listing property held by the department and its control and usage by the department. The plan shall: (1) specify the current use of all real property held by the department; (2) provide a five-year projection of the department's use of the property, including anticipated sales, transfers to other departments and changes in intradepartmental use; and (3) provide a five-year projection of any anticipated acquisitions of additional property by the department.
b. The Department of Human Services and the Department of Corrections shall submit the master plan and each annual update thereto concurrently to the General Assembly State Government Committee, the Senate State Government Committee, the General Assembly Appropriations Committee, and the Senate Revenue, Finance and Appropriations Committee. The master plan shall be submitted no longer than one year after the effective date of this act and each update shall be submitted annually on or before July 1.
c. The Department of Human Services and the Department of Corrections, in conjunction with the Department of the Treasury, shall also report to the committees described in subsection b. of this section the transfer or sale of any surplus real property prior to the transfer or sale.
The departments shall provide such notification to the committees simultaneous with any scheduled action by the State House Commission to authorize the sale of the surplus State properties, or in the case of a transfer, 30 days prior to the transfer, whether or not that sale or transfer is identified in or contemplated by the master plan or the most recently submitted update thereof.
##### **§ 52:31-1.8** Notification to municipality of State's determination to sell, convey interest in real property {#sec-52-31-1.8 omnilex-key=us-nj-statutes--title-52--52:31-1.8}
3. When a determination is made by the head or principal executive of any State department to sell and convey all or any part of the State's interest in any real property held by the department and the improvements thereon or to grant an easement in or across such property, without regard to the value of the property or easement, upon a finding that the department does not require such property or interest for any public purpose and that such sale is in the best interests of the State or that a grant of such easement is in the best interests of the State, the department shall notify in writing the governing body of each municipality in which the property is located that the determination has been made by the department for the sale or conveyance of the State's interest or the grant of an easement. The notice shall be made regardless of the value of the property and also shall state whether approval by the State House Commission is required prior to the sale or conveyance or grant. The notice shall be sent at least 14 days prior to any further action taken by the department after the determination in order to permit a municipal review and formulation of a response, if any. This notification shall apply to all property to be sold or conveyed or for which an easement is to be granted pursuant to the authorization granted by P.L.1962, c.220 (C.52:31-1.1 et seq.) or pursuant to any other statute or authority.
##### **§ 52:31-2** State insurance fund; payment into general state fund; sale of securities {#sec-52-31-2 omnilex-key=us-nj-statutes--title-52--52:31-2}
The moneys and income remaining in the fund created by an act entitled "An act creating a fund for the restoration or repairing of property owned by the state of New Jersey destroyed or damaged by fire or earthquake," approved March twenty-fifth, one thousand nine hundred and thirteen, shall be paid by the treasurer of this state into the general state fund.
Such securities as shall form a part of such fund shall be sold by the state treasurer at the best price obtainable and the moneys obtained from such sale shall be deposited in the general state fund.
##### **§ 52:31-5** Disposition of moneys received by state agencies from insurance {#sec-52-31-5 omnilex-key=us-nj-statutes--title-52--52:31-5}
All moneys received by any department, institution, commission, board, committee or official of this state from any source whatever, in payment for or on account of any loss sustained by reason of the loss, destruction, or damage, by fire, earthquake, cyclone, burglary or otherwise, of any state institution, buildings or property, in the custody or control of such department, institution, commission, board, committee or official shall be deposited with the state treasurer and may be credited to the appropriation made to such department, institution, commission, board, committee or official to be used for the purpose of repairing and restoring the institutions, buildings or property so lost, destroyed or damaged.
##### **§ 52:31-8** Claims barred; proceeds of sale covered in treasury {#sec-52-31-8 omnilex-key=us-nj-statutes--title-52--52:31-8}
All claims and interest in such property other than that provided for in section 52:31-7 of this title, shall be forever barred. The sum realized from the sale shall, after the expiration of the period of one year, be covered into the state treasury.
##### **§ 52:31-12** Products of labor of inmates of institutions excepted {#sec-52-31-12 omnilex-key=us-nj-statutes--title-52--52:31-12}
Nothing contained in sections 52:31-9 to 52:31-11 of this title shall be construed to affect any provision of any law of this state relating to the purchase, sale, use or disposition of the products of the labor of the inmates of any charitable, reformatory or penal institution of this state.
##### **§ 52:31-13** Vehicles required to be marked {#sec-52-31-13 omnilex-key=us-nj-statutes--title-52--52:31-13}
Any automobile or other vehicle purchased with funds appropriated by the state for the use of any officer, department or institution of the state, shall be plainly marked or lettered, "state of New Jersey, for official use," together with the title of the officer, or abbreviated name of the department or institution for the use of which the automobile or other vehicle is purchased, which marking or lettering shall be in letters at least one inch in height and conspicuously placed on each side of the automobile or vehicle.
##### **§ 52:31-14** Application of article; vehicles excepted {#sec-52-31-14 omnilex-key=us-nj-statutes--title-52--52:31-14}
The provisions of this article shall apply to all automobiles or other vehicles purchased with moneys appropriated by the state, or from funds in the custody of any officer, institution or department.
The provisions of this article shall not apply to any automobile or vehicle in the service of the commissioner of motor vehicles and the governor nor to any automobile or vehicle in the service of the board of fish and game commissioners in use for the enforcement of the fish and game laws.
##### **§ 52:31-15** Using vehicle not marked; misdemeanor {#sec-52-31-15 omnilex-key=us-nj-statutes--title-52--52:31-15}
Any person using any such automobile or vehicle without the same being so marked, and any person or officer upon whose authority such automobile or vehicle not so marked is used, shall be guilty of a misdemeanor, and upon conviction thereof shall be subject to a fine of not exceeding one hundred dollars.
##### **§ 52:31-23** Residential housing management board; members; employees {#sec-52-31-23 omnilex-key=us-nj-statutes--title-52--52:31-23}
There is established in the Department of the Treasury the Residential Housing Management Board. The board shall consist of the State Treasurer, as chairman, the President of the Civil Service Commission, the Commissioner of Corrections, the Commissioner of Environmental Protection, the Chancellor of Higher Education, the Commissioner of Education, the Commissioner of Human Services and the Commissioner of Community Affairs, or such designee as each member may appoint. The State Treasurer shall assign such employees of the Department of the Treasury to assist the board as he shall deem necessary.
##### **§ 52:31-24** Responsibility for management of state-owned residential housing and establishment of housing program; jurisdiction of housing for state employees; exceptions {#sec-52-31-24 omnilex-key=us-nj-statutes--title-52--52:31-24}
The board shall be responsible for the management of all State-owned residential housing and shall establish policies and procedures for an equitable, coordinated and uniform housing program. The board shall have jurisdiction over residential housing located in every State agency available for State employees; except that the board shall have no jurisdiction with respect to and this act shall not apply to armories or military housing in the Department of Defense, State college student housing, housing for State college presidents, housing for the Chancellor of Higher Education, the Commissioner of Education, the Commissioner of Corrections and the superintendents of State correctional facilities and residential housing acquired by the Department of Transportation in the course of acquiring land for highway rights-of-way or for use by any other transportation facilities pursuant to Title 27 of the Revised Statutes and which may be rented temporarily to comply with the requirements of the "Relocation Assistance Act," P.L.1971, c. 362 (C. 20:4-1 et seq.).
##### **§ 52:31-25** Policies to be established {#sec-52-31-25 omnilex-key=us-nj-statutes--title-52--52:31-25}
The board shall establish policies concerning the following:
a. The necessity and desirability for maintaining State-owned residential housing units and the conditions and purposes under which State agencies shall construct, acquire, continue in use, convert to other use, sell or dispose of the units;
b. The rental rates, utility charges, and maintenance fees;
c. Eligibility standards for occupancy;
d. Procedures for the application and selection of occupants;
e. The necessity and desirability for requiring mandatory occupancy as a condition of employment and the criteria for placing a job title in this category;
f. The respective landlord-tenant rights and responsibilities of an occupant and the State;
g. An appeals procedure by which an aggrieved person may contest any administrative decision regarding housing occupancy, rents, evictions or other matters.
In establishing its policies, the board shall assure that State employees are treated fairly and uniformly where appropriate with recognition that differences in their responsibilities, the nature of their work and the type of housing may on occasion generate rules and procedures unique to those situations.
##### **§ 52:31-26** Annual survey and continuous inventory of housing units; notice to board of change in status of unit or occupant {#sec-52-31-26 omnilex-key=us-nj-statutes--title-52--52:31-26}
The board shall conduct an annual survey of all housing units and shall maintain an inventory of each unit, including such information as its agency, purpose or reason for acquisition, location, environmental setting, type of unit, size, facilities, physical condition, fair market value, rental rate, utility charges, maintenance fee, name of occupant and, if a State employee, job title, salary and whether occupancy is a mandatory condition of employment. Each agency shall notify the board within 15 days of any change in the status of a unit or occupant.
##### **§ 52:31-27** Establishment and annual review of schedule of rental rates, utility charges and maintenance fee {#sec-52-31-27 omnilex-key=us-nj-statutes--title-52--52:31-27}
The board shall establish and review annually a schedule of housing rental rates, utility charges and maintenance fees.
a. The rental rates shall be based on the fair market rental value of the premises and shall take into account the fact that the housing is located on institutional grounds.
b. All utility charges directly attributable to a State owned housing unit shall be charged to the occupant, either separately if it is feasible or practicable to do so, or by reflecting these charges in a fair market rental.
c. All maintenance charges customarily paid by tenants shall be paid by tenants occupying State owned housing.
##### **§ 52:31-28** Sale of unneeded housing unit located off grounds of state institution or facility {#sec-52-31-28 omnilex-key=us-nj-statutes--title-52--52:31-28}
With the approval of the cabinet officer in whose department the housing unit is situated and the State House Commission, the board shall order the sale of any employee housing unit located off the grounds of a State institution or facility which it finds unneeded for State use. The terms and conditions of the sale shall be fixed by the State House Commission.
##### **§ 52:31-29** Reduction or waiver of rental rate, utility charge or maintenance fee; application; grounds {#sec-52-31-29 omnilex-key=us-nj-statutes--title-52--52:31-29}
Upon application of an interested cabinet officer, the board may authorize a reasonable reduction or waiver of a rental rate, utility charge or maintenance fee for any of the following reasons: (a) that residency in the State housing unit is a condition of employment; (b) that the housing unit is located on institutional grounds; and (c) that the fair market rental value of the housing is substantially disproportionate to the salary of the employee.
##### **§ 52:31-30** Subletting or permitting additional persons; prohibition; ineligibility to be tenant; vacation of premises {#sec-52-31-30 omnilex-key=us-nj-statutes--title-52--52:31-30}
No tenant of a State-owned housing unit shall sublet the unit or shall permit additional persons, other than members of the tenant's immediate family, to occupy the unit without the approval of the board. A tenant who becomes ineligible to occupy a unit shall vacate the unit within 30 days, unless granted an extension by the board for reasons of hardship.
##### **§ 52:31-31** Discrimination in rental; prohibition {#sec-52-31-31 omnilex-key=us-nj-statutes--title-52--52:31-31}
No person shall be denied occupancy of a State-owned residential housing unit on account of race, religion, creed, sex, age, political affiliation or marital status.
##### **§ 52:31-32** Housing advisory committee {#sec-52-31-32 omnilex-key=us-nj-statutes--title-52--52:31-32}
The board may create a housing advisory committee, to consist equally of management representatives of State agencies with housing responsibilities, tenants who reside in State-owned housing and representatives of municipalities in which State housing is located.
##### **§ 52:31-33** Residential property management fund {#sec-52-31-33 omnilex-key=us-nj-statutes--title-52--52:31-33}
There is created a Residential Property Management Fund to which the receipts derived from rent, charges and fees for residential housing shall be transferred or credited by the Director of Budget and Accounting. The receipts shall be annually appropriated to the General State Fund, except that an amount not to exceed 5% of the total receipts shall be appropriated annually to the board for the administration of this act.
##### **§ 52:31-34** Short title {#sec-52-31-34 omnilex-key=us-nj-statutes--title-52--52:31-34}
1. This act shall be known and may be cited as the "State Capitol Joint Management Commission Act."
##### **§ 52:31-35** Findings {#sec-52-31-35 omnilex-key=us-nj-statutes--title-52--52:31-35}
2. The Legislature finds that the State House Complex, consisting of the State House, the State House Annex, and the adjacent environs, embodies and exemplifies a rich and valued resource of historical, architectural, cultural and artistic significance; that it is of singular importance that this heritage, and the traditions and values it represents, be identified, displayed and protected; that this historic complex, as the home of the State Legislature and the Office of the Governor, must also be maintained in a state of modern repair so as to ensure the safe, efficient and effective conduct of official business and public functions; and that restoration and preservation of the State House Complex can be best met through the establishment of a governing structure with equal representation from both the legislative and executive branches.
##### **§ 52:31-36** Definitions {#sec-52-31-36 omnilex-key=us-nj-statutes--title-52--52:31-36}
3. As used in this act:
a. "State capitol complex" means the State House, the State House Annex, any ancillary structures, facilities or components that are integral to the operation or use of the State House or State House Annex, and the adjacent public grounds, walkways, driveways and parking areas;
b. "Common facility" means any building, office, facility or component within the State capitol complex that serves the offices or employees of the executive and the legislative branches in common, or that serves the visiting public, or that houses non-governmental entities;
c. "Executive branch facility" means any building, office, facility or component within the complex that predominantly houses or exclusively serves the Office of the Governor or any agency or employee of the executive branch; and
d. "Legislative branch facility" means any building, office, facility or component within the complex that predominantly houses or exclusively serves the Legislature or any agency or employee of the legislative branch.
##### **§ 52:31-37** State Capitol Joint Management Commission established {#sec-52-31-37 omnilex-key=us-nj-statutes--title-52--52:31-37}
4. a. There is established the State Capitol Joint Management Commission to consist of four members of the executive branch of State government and four members of the legislative branch of State government, as follows: the Director of the Division of Budget and Accounting, the General Services Administrator, and two other members of the executive branch of State government to be appointed by and serve at the pleasure of the Governor; four members of the legislative branch of State government who may either be legislators or employees, two of whom shall be appointed by the President of the Senate, one of whom shall be of a different political party than the President of the Senate, and two of whom shall be appointed by the Speaker of the General Assembly, one of whom shall be of a different political party than the Speaker of the General Assembly. Each appointed member of the legislative branch shall serve during the two-year legislative term in which the appointment is made. All initial appointments shall be made within 30 days after the effective date of this act. Vacancies shall be filled in the same manner as the original appointments.
b. The four members of the commission from the executive branch shall constitute a subcommittee on executive branch facility management and the four members of the commission from the legislative branch shall constitute a subcommittee on legislative branch facility management.
##### **§ 52:31-38** Organization of commission {#sec-52-31-38 omnilex-key=us-nj-statutes--title-52--52:31-38}
5. a. The commission and each subcommittee shall organize as soon as practical after the appointment of the initial members, and shall reorganize as soon as practical after the organization of each Legislature, at which times the commission and each subcommittee shall select a chairman and vice-chairman to serve until the organization of the next Legislature.
b. No motion to take any action by the commission shall be valid except upon the affirmative vote of a majority of the authorized membership of the commission. No motion to take any action by a subcommittee shall be valid except upon the affirmative vote of a majority of the authorized membership of the subcommittee.
c. The commission or any subcommittee may call upon the assistance of any office or employee within the executive or legislative branch, and may delegate to any office or employee specific authority to act on behalf of the commission or subcommittee.
##### **§ 52:31-39** Duties of commission. {#sec-52-31-39 omnilex-key=us-nj-statutes--title-52--52:31-39}
6. a. It shall be the duty of the commission and its respective subcommittees to:
(1) maintain, monitor, and preserve the architectural, historical, cultural, and artistic integrity of any completed project for the restoration, preservation, and improvement of the State capitol complex and to safeguard any related artifacts, documents, and objects;
(2) maintain custody of the State capitol complex, with exclusive jurisdiction with respect to its management and operation and with consideration for the environmental sustainability thereof, including maintenance, repair, renovation, improvement, security, parking, furnishing, artifact displays, and space utilization;
(3) consult with the Capital City Redevelopment Corporation, established pursuant to P.L.1987, c.58 (C.52:9Q-9 et seq.), regarding matters of common concern; and
(4) (a) adopt and implement, and revise as necessary at least every four years, an environmental sustainability plan for the State capitol complex in accordance with the requirements of section 2 of P.L.2025, c.286 (C.52:31-39.2); and
(b) issue an annual progress report on the implementation of the environmental sustainability plan, which shall be provided to the public upon request and free of charge, and shall be posted on the internet websites of the Governor and the Legislature.
b. The exclusive responsibility to carry out these duties shall repose with the commission with respect to common facilities; the subcommittee on executive branch facility management with respect to executive branch facilities; and the subcommittee on legislative branch facility management with respect to legislative branch facilities.
##### **§ 52:31-39.1** "Governor Richard J. Codey Welcome Center." {#sec-52-31-39.1 omnilex-key=us-nj-statutes--title-52--52:31-39.1}
1. The State Capitol Joint Management Commission shall designate the State House Complex Welcome Center as the "Governor Richard J. Codey Welcome Center." The commission shall erect appropriate signs bearing that designation.
##### **§ 52:31-39.2** Environmental sustainability plan components. {#sec-52-31-39.2 omnilex-key=us-nj-statutes--title-52--52:31-39.2}
2. The environmental sustainability plan for the State capitol complex, adopted and implemented by the commission pursuant to paragraph (4) of subsection a. of section 6 of P.L.1992, c.67 (C.52:31-39), shall include:
a. Initiatives to improve energy savings and efficiency, including alternative electric energy, increase use of Energy Star products, and make other technology upgrades;
b. Water conservation techniques;
c. Applicable principles set forth in the Leadership in Energy and Environmental Design Green Building Rating System established by the United States Green Building Council, or a comparable nationally recognized, accepted, and appropriate sustainable development rating system;
d. Involvement of State capitol complex food services, including the consideration of locally produced foods and sustainable serviceware products, such as Jersey Fresh food products and compostable utensils and other serviceware products;
e. Consideration of methods to lower the level of carbon emissions and reduce the carbon footprint of the State capitol complex, including alternatives such as planting trees and purchasing carbon credits to offset emissions;
f. Establishment of performance measures to track the progress of each aspect of the environmental sustainability plan, including the management and operation of the State capitol complex in consideration of the plan as required pursuant to paragraph (2) of subsection a. of section 6 of P.L.1992, c.67 (C.52:31-39); and
g. An estimate of any expenditure increases needed to implement the environmental sustainability plan, and an identification of potential funding sources for the expenditure increases.
##### **§ 52:31-40** Commission may enter into agreements. {#sec-52-31-40 omnilex-key=us-nj-statutes--title-52--52:31-40}
7. a. The commission or any subcommittee may enter into agreements with other State agencies or private vendors for the performance of any function or the provision of any service relating to the custody, management, or operation of the State capitol complex.
b. The commission or any subcommittee may enter into agreements with any State agency with respect to the joint management and use of facilities or systems which serve both the capitol complex and buildings under the custody of the agency.
c. The commission shall be subject to the provisions of subtitle 5 of Title 52 of the Revised Statutes with respect to contracting and, as appropriate, shall consider the environmental sustainability plan adopted pursuant to paragraph (4) of subsection a. of section 6 of P.L.1992, c.67 (C.52:31-39) prior to entering into any contract.
d. The commission shall appoint an advisory committee of experts in environmental sustainability, which shall include, but not be limited to, a representative of the Department of Environmental Protection, to assist the commission in the preparation and implementation of the environmental sustainability plan to be adopted pursuant to paragraph (4) of subsection a. of section 6 of P.L.1992, c.67.
##### **§ 52:31-41** Approval required for alteration of completed project. {#sec-52-31-41 omnilex-key=us-nj-statutes--title-52--52:31-41}
8. Upon completion of any project for the restoration, preservation, improvement, and environmental sustainability of the State capitol complex, no alteration of any element of the project shall be made without the approval of the commission or the appropriate subcommittee.
##### **§ 52:31-42** Acceptance of gifts permitted {#sec-52-31-42 omnilex-key=us-nj-statutes--title-52--52:31-42}
9. The commission is authorized to accept gifts, donations and grants from any public or private source for the purposes of any project.
##### **§ 52:31-43** Necessary appropriations {#sec-52-31-43 omnilex-key=us-nj-statutes--title-52--52:31-43}
10. The Legislature shall ensure that the appropriate State agency to maintain and preserve the State Capitol complex or undertake or contract for any project for repair or alteration of any element of the complex, annually is appropriated such sums as are necessary to protect, preserve and maintain the complex to the highest standards.
## **Chapter 31A**
##### **§ 52:31A-15** Repeals {#sec-52-31a-15 omnilex-key=us-nj-statutes--title-52--52:31A-15}
"An act creating the State Capitol Building Commission; authorizing said commission to acquire lands and to erect buildings in order to provide adequate space and facilities for the administration of the State Government, and making an appropriation therefor," approved May 23, 1945 (P.L.1945, c. 310), is repealed.
## **Chapter 31B**
##### **§ 52:31B-1** Short title {#sec-52-31b-1 omnilex-key=us-nj-statutes--title-52--52:31B-1}
This act shall be known as, and may be cited as, the "Relocation Assistance Law of 1967."
##### **§ 52:31B-2** Declaration of necessity; liberal construction {#sec-52-31b-2 omnilex-key=us-nj-statutes--title-52--52:31B-2}
This act being deemed and hereby declared necessary for the protection of the health and welfare of the residents of this State in order to assure the uniform, fair and equitable relocation of persons, businesses and nonprofit organizations displaced by State and local activities, programs or projects, shall be liberally construed to effectuate the purposes and intent thereof.
##### **§ 52:31B-3** Definitions {#sec-52-31b-3 omnilex-key=us-nj-statutes--title-52--52:31B-3}
The following terms whenever used or referred to in this act shall have the following respective meanings for the purposes of this act, unless the context clearly indicates otherwise:
(a) The term "act" shall mean this act, any amendments or supplements thereto, and any rules and regulations promulgated thereunder.
(b) The term "business concern" means any person, association, corporation or nonprofit organization not engaged in the business of acquiring, retaining and selling property for the production of income.
(c) The term "commissioner" shall mean the Commissioner of the Department of Community Affairs.
(d) The term "department" shall mean the Department of Community Affairs.
(e) The term "displaced" shall mean required to vacate any real property, or any tenancy therein, pursuant to any lawful order or notice of any State agency or unit of local government on account of the acquisition of any real property for a public use, or on account of a program of law enforcement, or on account of a program or project for the voluntary rehabilitation of dwelling units.
(f) The term "farm operation" shall mean any activity conducted, whether in whole or in part, for the production of one or more agricultural products or commodities for sale or home use, and customarily producing such products or commodities in sufficient quantity to contribute materially to the support of the person, association or corporation so conducting such activity.
(g) The term "nonprofit organization" shall mean any association or corporation organized not for profit pursuant to the provisions of Title 15 of the Revised Statutes, Corporations and Associations Not for Profit.
(h) The term "person" shall mean any individual or family or owner of a business concern or farm operation.
(i) The term "real property or any tenancy therein" shall mean any real property, and any building, structures, or fixtures appurtenant thereto, and any housing, dwelling or working space therein.
(j) The term "State agency" shall mean any department, division, office, agency or bureau of this State, or any authority of instrumentality created or chartered thereby.
(k) The term "unit of local government" shall mean any political subdivision of this State, or any 2 or more such political subdivisions acting jointly pursuant to law, and any department, division, office, agency or bureau thereof or any authority or instrumentality created or chartered thereby.
##### **§ 52:31B-4** Relocation assistance payments; limitations {#sec-52-31b-4 omnilex-key=us-nj-statutes--title-52--52:31B-4}
(a) Whenever any State agency or any unit of local government displaces, or causes to be displaced, any person or business concern from any real property on account of the acquisition of real property for a public use, or on account of a program of law enforcement, or on account of a program or project for the voluntary rehabilitation of dwelling units, any such State agency or unit of local government shall make fair and reasonable relocation assistance payments to any such displaced person or business concern as hereinafter provided in this section.
(b) Any relocation assistance payment to a displaced person or business concern shall be (1) a payment for the actual and reasonable expenses of moving said person, his family, business concern, farm operation, or other personal property; provided, that in the case of a farm operation, such payment may include the actual and reasonable expenses incurred by said person in searching for a replacement farm; or (2) a fixed payment in accordance with a schedule of fixed amounts approved by the commissioner.
(c) No relocation assistance payment made pursuant to this section shall exceed $200.00 in the case of any individual or family, $3,000.00 in the case of a business concern or nonprofit organization, or $4,000.00 in the case of a farm operation.
(d) No relocation assistance payment pursuant to this section, shall be made to any displaced person or business concern which has received, or is entitled to receive, payment for the actual and reasonable expenses of moving said person, his family, business concern, farm operation, or other personal property, pursuant to any other law of this State or of the United States.
##### **§ 52:31B-5** Relocation assistance program; determinations; formulation and execution of program {#sec-52-31b-5 omnilex-key=us-nj-statutes--title-52--52:31B-5}
(a) Whenever any State agency or any unit of local government acquires or seeks to acquire any real property for public use, or implements or intends to implement a program of law enforcement, or initiates or intends to initiate a program or project for the voluntary rehabilitation of dwelling units, the chief executive officer of any such State agency or unit of local government shall certify to the commissioner that a workable relocation assistance program for displaced persons and business concerns, offering the services prescribed by subsection (b) of this section, is available to reduce hardship to those affected. If the commissioner or the chief executive officer of any such State agency or unit of local government shall determine, in the exercise of their discretion, that the acquisition of real property for a public use or implementation of a program of law enforcement or the initiation of a program or project for the voluntary rehabilitation of dwelling units by any such State agency or unit of local government will cause substantial economic injury to persons and business concerns other than those persons or business concerns actually displaced, then any such State agency or unit of local government may provide such other persons or business concerns with relocation services pursuant to a workable relocation assistance program.
(b) Every workable relocation assistance program required by subsection (a) of this section shall include such measures, facilities, techniques or services as the commissioner may prescribe by rules and regulations issued and promulgated pursuant to this act, including, but not limited to, such measures, facilities, techniques or services as may be necessary or appropriate (1) to determine the needs of displaced persons and business concerns for relocation assistance to supply information concerning programs offering assistance to displaced persons and business concerns and to assist in minimizing hardships to displaced persons in adjusting to relocation; (2) to assist each displaced person to secure decent, safe and sanitary dwelling units at prices or rents within his means and in areas reasonably accessible to his place of employment and not generally less desirable in regard to public utilities and public and commercial facilities; (3) to assist owners of displaced business concerns in obtaining and becoming established in suitable business locations; (4) to provide any displaced person or business concern a reasonable time from the date of displacement within which to apply for a relocation assistance payment required by section 4 of this act, and to encourage the prompt transmittal of any such relocation assistance payment upon proper application therefor; (5) and to provide for fair and reasonable relocation assistance payments pursuant to section 4 of this act; (6) to secure to the greatest extent practicable, the co-ordination of relocation activities with other project activities and other planned or proposed governmental actions in the community or nearby areas which may affect the execution of the workable relocation program.
(c) Within 60 days of the effective late of this act, any State agency or unit of local government which reasonably contemplates that any person or business concern may be displaced by the acquisition of real property for public use or the implementation of a program of law enforcement or the initiation of a program or project for the voluntary rehabilitation of dwelling units, shall designate or appoint an officer or employee thereof who shall be charged with the formulation and execution of any workable relocation assistance program required by subsection (a) of this section. Any such State agency or unit of local government, acting through the officer or employee so designated or appointed, may utilize the facilities, personnel or services of any other officer or employee of said State agency or unit of local government, or may enter into appropriate contracts or agreements with any officer of the United States or any other State agency or unit of local government, or with any nonprofit organization, for the purpose of implementing any workable relocation assistance program.
##### **§ 52:31B-6** Emergency or imminent hazard to public health, safety and welfare {#sec-52-31b-6 omnilex-key=us-nj-statutes--title-52--52:31B-6}
(a) No State agency or unit of local government shall, except in the case of an emergency or an imminent hazard to the health, safety and welfare of the public, displace or remove, or cause to be displaced or removed, any person or business concern on account of the acquisition of any real property for public use or on account of a program of law enforcement or on account of a program or project for the voluntary rehabilitation of dwelling units, unless (1) any workable relocation assistance program required by subsection (a) of section 5 of this act shall have been submitted to, and approved by, the commissioner; (2) the chief executive officer of said State agency or unit of local government shall have filed with the commissioner the certification required by subsection (a) of section 5 of this act; (3) an alternate dwelling unit as described in section 5(b)(2) of this act is available for each person displaced or removed, or caused to be displaced or removed; and (4) the commissioner shall have certified to the chief executive officer of said State agency or unit of local government that the provisions of this act have been complied with.
(b) Any State agency or unit of local government which, in the case of an emergency or an imminent hazard to the health, safety and welfare of the public, displaces or removes, or causes to be displaced or removed, any person or business concern on account of the acquisition of any real property for public use or on account of a program of law enforcement or on account of a program or project for the voluntary rehabilitation of dwelling units, shall do any and all things necessary and appropriate to provide, that, as soon after the displacement or removal of any such person or business concern as possible, (1) any workable relocation assistance program required by subsection (a) of section 5 of this act will be submitted to the commissioner for his approval; (2) the chief executive officer of said State agency or unit of local government will file with the commissioner the certification required by subsection (a) of section 5 of this act; (3) an alternate dwelling unit as described in subsection (b)(2) of section 5 of this act is available for each person displaced or removed, or caused to be displaced or removed; and (4) the commissioner will certify to the chief executive officer of said State agency or unit of local government that the provisions of this act have been complied with.
##### **§ 52:31B-7** Funds; financial assistance {#sec-52-31b-7 omnilex-key=us-nj-statutes--title-52--52:31B-7}
(a) Notwithstanding the provisions of any law of this State to the contrary, any funds appropriated or otherwise made available to any State agency or unit of local government for the acquisition of real property, or any interest therein, for a particular program or project, or for the conduct and administration of any program of building or housing code enforcement or the voluntary rehabilitation of housing units, shall be available also for obligation and expenditure to carry out the provisions of this act as applied to that acquisition, program or project.
(b) If any State financial assistance in any manner whatsoever is available to pay the cost, in whole or part, to any unit of local government of the acquisition of real property for public use or the implementation of a program of law enforcement or the initiation of a program or project for the voluntary rehabilitation of dwelling units, then the cost to any such unit of local government of providing the payments and services prescribed by this act shall be included as part of the costs of any such acquisition, program or project for which State financial assistance is available to any such unit of local government, and shall be eligible for State financial assistance in the same manner and to the same extent as any other cost of any such acquisition, program or project.
##### **§ 52:31B-8** Aggrieved persons; hearing {#sec-52-31b-8 omnilex-key=us-nj-statutes--title-52--52:31B-8}
Any person or business concern aggrieved by any final action, ruling, notice or order of any State agency or unit of local government in the discharge of any duty imposed by this act on any such State agency or unit of local government, shall be entitled to a hearing before the commissioner. The application for such hearing must be filed with the commissioner within 15 days of the receipt by the applicant therefor of notice of the action, ruling, notice or order complained of. No such hearing shall be held except upon 7 days' written notice to all interested parties, and each such hearing shall be held within 15 days of the receipt of the application therefor. Within 10 days after the completion of such hearing, the commissioner shall issue an appropriate order approving, modifying, and approving as so modified, or setting aside in whole or in part the action, ruling, notice or order complained of, a copy of which order shall be served on all interested parties. Pending the determination by the commissioner, and upon application therefor, the commissioner may grant a stay of the action, ruling, notice or order complained of; provided, that no such stay shall be granted except upon such terms and conditions as will insure compliance with the provisions of this act.
##### **§ 52:31B-9** Application of act to State department of transportation {#sec-52-31b-9 omnilex-key=us-nj-statutes--title-52--52:31B-9}
The provisions of this act shall not apply to the State Department of Transportation; provided, however, that the State Department of Transportation shall formulate and implement a relocation assistance program designed to minimize the hardships of persons and business concerns displaced as a result of the acquisition by said State Department of Transportation of any real property for a public use. For the purpose of formulating the relocation assistance program of the State Department of Transportation, the Commissioner of Transportation shall consult with the commissioner in order that said relocation assistance program will be in general conformity with any rules and regulations promulgated by the commissioner pursuant to section 5 of this act.
##### **§ 52:31B-10** Rules and regulations; filing {#sec-52-31b-10 omnilex-key=us-nj-statutes--title-52--52:31B-10}
The commissioner shall issue and promulgate such rules and regulations as are necessary and appropriate to carry out the provisions of this act, and may revise, repeal or amend said rules and regulations from time to time as the commissioner may deem necessary. Any rules and regulations issued and promulgated pursuant to this act shall be filed with the Secretary of State.
##### **§ 52:31B-11** Inconsistent acts {#sec-52-31b-11 omnilex-key=us-nj-statutes--title-52--52:31B-11}
All acts or parts of acts inconsistent herewith are hereby superseded.
##### **§ 52:31B-12** Partial invalidity {#sec-52-31b-12 omnilex-key=us-nj-statutes--title-52--52:31B-12}
If any section, subsection, paragraph, sentence or other part of this act is adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder of this act, but shall be confined in the effect to the section, subsection, paragraph, sentence or other part of this act directly involved in the controversy in which said judgment shall have been rendered.
## **Chapter 31C**
##### **§ 52:31C-1** Short title. {#sec-52-31c-1 omnilex-key=us-nj-statutes--title-52--52:31C-1}
1. This act shall be known and may be cited as the "Structured Financing Act."
##### **§ 52:31C-2** Findings, declarations relative to structured financing transactions. {#sec-52-31c-2 omnilex-key=us-nj-statutes--title-52--52:31C-2}
2. The Legislature finds and declares that:
a. In this era of limited sources of State and local revenues coupled with the increasing demands placed on State and local government to fulfill its governmental functions, the need exists to maximize the value of their assets;
b. One possible way of maximizing such value is to utilize new and innovative financing structures which take advantage of the existing assets;
c. A new and innovative financing structure that has been developed is the structured financing transaction whereby a governmental entity can obtain additional revenues by conveying its interest in its assets to other parties and by so conveying such interests, transfer certain benefits which the State or local government unit enjoys in connection with its assets, which would have value to the other party but of which the State or local government unit cannot take advantage;
d. Entry into such structured financing transactions is not intended to interfere with the governmental unit's ownership, occupation or use of its assets, although under the terms of a structured financing transaction, upon the occurrence of certain events, the other party may have the right to exercise certain rights and remedies and to acquire certain interests which may interfere with the governmental unit's ownership, occupation or use of its assets;
e. By the State or local government unit entering into such structured financing transactions, the State or local government unit can obtain additional revenues required to carry out its governmental functions without affecting the use by the State or local government unit of its assets for its governmental functions;
f. It is in the best interests of the State or local government unit to be able to enter into structured financing transactions.
##### **§ 52:31C-3** Definitions relative to structured financing transactions. {#sec-52-31c-3 omnilex-key=us-nj-statutes--title-52--52:31C-3}
3. As used in this act,
"Assets" means all property, both real, personal or mixed, tangible or intangible, of any type and all rights, easements, privileges or interests of any kind or description in, relating to, or connected with property, including but not limited to, land, buildings, plants, structures, institutions, water supply facilities, resource recovery facilities, sewage treatment facilities, wastewater treatment facilities, transportation facilities, highways, parking facilities, equipment, motor vehicles, rolling stock, machinery, furniture, leasehold improvements, fixtures, space rights, development rights, and air rights.
"Benefits" means benefits, including but not limited to tax benefits, which the State enjoys as a result of its ownership, use or occupancy of its assets of which the State cannot take advantage but which would have value to an investor if those assets were transferred to the investor.
"Investor" means a person who enters into a structured financing transaction pursuant to which the investor agrees to pay consideration to the State in return for the transfer to the investor of the State's benefits enjoyed in connection with certain State assets.
"Land" means real property, including improvements thereof or thereon, rights-of-way, lands under water, water, riparian and other rights, easements, privileges and all other rights or interest of any kind or description in, relating to or connected with real property.
"Net receipt" means the State receipt less the amount deposited into the State payment account.
"Payment bank" means a bank, trust company, savings bank, investment company, financial institution or any other person carrying on a banking or financial business which may be selected by the State to hold the State payment account in connection with a structured financing transaction.
"State asset" means any asset that the State owns, or leases, operates or otherwise has a property interest therein in conjunction with other State agencies and State authorities.
"State receipt" means an amount of money paid to the State by the investor representing the consideration paid by the investor to the State pursuant to a structured financing agreement.
"State payment account" means an account to be established with a payment bank by the State and used to pay the State's payment obligations under a structured financing agreement.
"State authority" means a public body established by statute as an instrumentality of the State exercising public and essential governmental functions.
"State agency" means a department, division, commission, board, bureau or agency of the State.
"Structured financing agreement" means an agreement, contract or action taken to authorize, implement and finance a structured financing transaction including, but not limited to, lease and sublease agreements, State payment account agreements, escrow deposit agreements, mortgages, security agreements, pledge agreements, trust agreements, service agreements, letter of credit agreements, operating agreements, financing agreements including credit agreements, line of credit agreements, revolving credit agreements, interest rate exchange agreements, insurance contracts, surety bonds, purchase or sale agreement, or commitments or other contracts or agreements entered into in connection with a structured financing transaction.
"Structured financing transaction" means a transaction, or series of transactions, evidenced by one or more structured financing agreements, pursuant to which the State conveys to an investor in return for a State receipt all or a portion of its interest in State assets, including but not limited to the conveyance of the State's property interests in State assets, in order that the investor receives all or a portion of the benefits in the State assets. A structured financing transaction shall not include the conveyance of fee simple title interest to real property, nor entail or permit a change in the operation or name of a State asset.
##### **§ 52:31C-4** Authority to enter into structured financing transaction {#sec-52-31c-4 omnilex-key=us-nj-statutes--title-52--52:31C-4}
4. Notwithstanding any other provisions of law to the contrary:
a. The State Treasurer is authorized to enter into a structured financing transaction, on such terms, covenants and conditions and at such times as the State Treasurer may determine, to enter into, execute and deliver a structured financing agreement, and to do any act necessary or convenient to carrying out a structured financing transaction; provided that the State Treasurer shall not enter into a structured financing transaction relating to any State assets that are otherwise restricted by law, regulation or contract with respect to the transfer of the State's interest in those assets. A structured financing transaction shall not result in a change in the use or occupancy by the State of the assets that are the subject of a structured financing transaction; provided however, that the structured financing transaction may permit that, upon the occurrence of certain events, the investor may have the right to exercise certain rights and remedies and to acquire certain interests which may interfere with or terminate the State's ownership, occupation or use of the assets.
b. No consent or approval of any State agency or State authority, other than the approval as required by subsection a. and subsection c. of this section, shall be required to effectuate a structured financing transaction and to enter into, execute, deliver and perform a structured financing agreement.
c. If with respect to assets that are the subject of a structured financing agreement, the participation of a State agency or State authority is required, the State Treasurer shall not enter into that structured financing agreement without the consent of the participating State agency or State authority, as the case may be, and upon such consent if given, such State agency or State authority is hereby authorized, notwithstanding any other law to the contrary, to enter into, execute, deliver and perform a structured financing agreement upon such terms and conditions as such State agency, State authority and the State Treasurer shall determine; and no consent or approval of any other State agency or State authority, except as otherwise required by this section, shall be required to authorize entry into, execution, delivery and performance of a structured financing agreement. Notwithstanding anything to the contrary, the entry into, execution, delivery and performance of a structured financing agreement by the New Jersey Building Authority established pursuant to the "New Jersey Building Authority Act," P.L.1981, c.120 (C.52:18A-78.1 et seq.) shall not constitute a "project" for the purposes of the "New Jersey Building Authority Act."
d. The State Treasurer is authorized to select the investors for structured financing transactions through a public bidding procedure.
e. The State Treasurer is authorized to engage, in such manner as the State Treasurer may determine, the services of financial advisors and experts, placement agents, underwriters, appraisers, and such other advisors, consultants and agents as may be necessary in the State Treasurer's judgment to assist the State Treasurer in carrying out a structured financing transaction.
f. An obligation of the State to make payments pursuant to a structured financing transaction shall not constitute a general obligation of the State or a debt or a liability within the meaning of the State Constitution. An obligation of the State to make payments pursuant to a structured financing agreement shall be subject to and dependent upon appropriations being made by the Legislature for the purposes of this act. The net receipt made in connection with a structured financing transaction and received by the State Treasurer shall be deposited in the General Fund of the State.
g. A structured financing agreement may, upon the determination of the State Treasurer, provide that an entity taking part in a structured financing transaction shall be immune from liability in the same manner and to the same extent as is the State under the provisions of the "New Jersey Tort Claims Act," N.J.S.59:1-1 et seq., and the "New Jersey Contractual Liability Act," N.J.S.59:13-1 et seq.
h. A structured financing agreement may provide that an entity taking part in a structured financing transaction, and the officers, directors and employees of that entity, shall have a right of indemnification from the State or the State agency or State authority with which the agreement is made for any claim or judgment arising out of assets that are the subject of the structured financing agreement, except that the State, State agency or State authority, as appropriate, shall not indemnify or agree to indemnify such an entity, officer, director or employee for any act or omission to act that constitutes gross negligence, actual malice, actual fraud, willful misconduct or a crime, or that relates to any financial decisions made by the entity and its officers, directors and employees in connection with the structured financing transaction. The State or State agency or State authority may agree to indemnify any entity taking part in a structured financing transaction, and the officers, directors and employees of that entity, for punitive damages for a violation of civil law if such damages do not arise from actions that constitute gross negligence, actual malice, actual fraud or willful misconduct. The State Treasurer may set forth a provision for indemnity under this subsection in the structured financing agreement upon such terms and conditions as the State Treasurer shall determine.
##### **§ 52:31C-5** Establishment of State payment account for structured financing transaction. {#sec-52-31c-5 omnilex-key=us-nj-statutes--title-52--52:31C-5}
5. a. The State Treasurer may establish a State payment account for a structured financing transaction. If the State Treasurer determines that a State payment account should be established, the State Treasurer is authorized to:
(1) Select the payment bank in such manner as the State Treasurer may determine to be appropriate;
(2) Direct the deposit of moneys to the payment bank to fund the State payment account; and
(3) Take any actions necessary or convenient in connection with the establishment of the State payment account.
b. There are appropriated such moneys as are required to be deposited in a State payment account for the purposes specified in the related structured financing agreement.
##### **§ 52:31C-6** Reports, JBOC approval. {#sec-52-31c-6 omnilex-key=us-nj-statutes--title-52--52:31C-6}
6. a. Prior to entering into a structured financing transaction, the State Treasurer shall transmit to the Joint Budget Oversight Committee, or its successor, a preliminary report that a decision to enter a structured financing transaction has been made, reciting the basis on which the decision was made, including an estimate of the State receipt and net receipt related to the transaction upon which the State Treasurer relied when making the decision to enter into a structured financing transaction.
b. The Joint Budget Oversight Committee, or its successor, shall have authority to approve or disapprove of the structured financing transaction as included in each preliminary report submitted in accordance with subsection a. of this section. The committee shall approve or disapprove the transaction within 10 business days after physical receipt of the report. The committee shall notify the State Treasurer in writing of the approval or disapproval as expeditiously as possible.
c. No structured financing transaction shall be entered into unless the preliminary report has been submitted to and approved by the Joint Budget Oversight Committee, or its successor, as set forth in subsection b. of this section.
d. The State Treasurer shall, within 60 days after completing a structured financing agreement, submit a final report prepared pursuant to this section to the Joint Budget Oversight Committee and a copy of the final report to the Director of the Division of Budget and Accounting in the Department of the Treasury.
e. A final report for a structured financing agreement shall include a detailed explanation of the terms of the structured financing agreement including, but not limited to, the investor's obligations, the State assets, the amount of the State receipt, transaction charges and service agreements entered into as part of the structured financing transaction and the names of the parties to those agreements and those persons providing the services of counsel, financial advisors, payment bank, rating agencies, trustee, credit enhancement, liquidity facility; and the fees charged for those services.
##### **§ 52:31C-7** Construction of act as to State obligations. {#sec-52-31c-7 omnilex-key=us-nj-statutes--title-52--52:31C-7}
7. Nothing in this act shall be deemed or construed as to limit, alter or impair in any way the rights and obligations of the State, a State agency or a State authority under the provisions of contracts made with the holders from time to time of bonds, notes and other obligations heretofore or hereafter issued by the State, a State agency or a State authority with respect to assets that are the subject of a structured financing transaction.
##### **§ 52:31C-8** Immunity from personal liability. {#sec-52-31c-8 omnilex-key=us-nj-statutes--title-52--52:31C-8}
8. No State Treasurer or any officer, director or employee of any State agency or State authority executing a structured financing agreement pursuant to this act shall be personally liable for any debt, obligation or other liability of the State, State agency, or State authority incurred by or on behalf of the State, State agency or State authority arising from a structured financing agreement.
##### **§ 52:31C-9** Powers constitute performance of essential governmental function; tax exemption. {#sec-52-31c-9 omnilex-key=us-nj-statutes--title-52--52:31C-9}
9. The exercise of the powers granted by this act shall constitute the performance of an essential governmental function and no person shall be required to pay taxes or assessments upon or in respect of a State asset. The entry into, filing, and performance of a structured financing transaction and a structured financing agreement shall be free from taxation by any unit of local government including, without limitation, taxation imposed upon the filing of a structured financing agreement. No person shall be deemed to be doing business, or employing or owning capital or property in this State, for purposes of P.L.1945, c.162 (C.54:10A-1 et seq.), by reason of the entry into and performance of a structured financing agreement.
##### **§ 52:31C-10** Procedures for undertaking structured financing agreements by public agencies other than the State {#sec-52-31c-10 omnilex-key=us-nj-statutes--title-52--52:31C-10}
10. Notwithstanding any law to the contrary, the State Treasurer shall establish procedures under which a county or municipal governing board, a board of education, a sewerage authority created pursuant to the "sewerage authorities law," P.L.1946, c.138 (C.40:14A-1 et seq.), a utilities authority created pursuant to the "municipal and county utilities authorities law," P.L.1957, c.183 (C.40:14B-1 et seq.), or the Passaic Valley Sewerage Commissioners, continued pursuant to R.S.58:14-2 may undertake structured financing agreements involving local assets in a manner similar to that provided for State assets, including procedures for the incorporation in such agreements of provisions that accord entities participating in structured financing transactions such rights of immunity and indemnification as the State Treasurer, under subsections g. and h. of section 4 of P.L.1999, c.157 (C.52:31C-4), may deem appropriate to be established for entities participating in a structured financing transaction with the State.
##### **§ 52:31C-11** Structured Financing Act to supplement, supersede other laws. {#sec-52-31c-11 omnilex-key=us-nj-statutes--title-52--52:31C-11}
11. This act shall be deemed to provide an additional, alternative and complete method for the doing of the things authorized hereby and shall be deemed and construed to be supplemental and additional to any powers conferred by other laws on public entities and not in derogation of any such powers now existing, provided that, it is the intent of the Legislature that in the event of any conflict or inconsistency in this act and any other law, general, special, or local now in existence or hereafter (unless with specific reference to this act) adopted, pertaining to matters herein established or provided, to the extent of the conflict or inconsistency, the provisions of this act shall be enforced and the provisions of the other acts shall be of no effect.
##### **§ 52:31C-12** Severability. {#sec-52-31c-12 omnilex-key=us-nj-statutes--title-52--52:31C-12}
12. If any clause, sentence, paragraph, section or part of this act shall be adjudged by any court of competent jurisdiction to be invalid, the judgment shall not affect, impair or invalidate the remainder thereof, but shall be confined in its operation to the clause, sentence, paragraph, section or part thereof directly involved in the controversy in which the judgment shall have been rendered.
##### **§ 52:31C-13** Liberal construction. {#sec-52-31c-13 omnilex-key=us-nj-statutes--title-52--52:31C-13}
13. This act shall be construed liberally to effectuate the legislative intent and the purposes of this act as complete and independent authority for the performance of each and every act and thing herein authorized and all powers herein granted shall be broadly interpreted to effectuate such intent and purposes and not as a limitation of powers.
## **Chapter 32**
##### **§ 52:32-1** American goods and products to be used in state work {#sec-52-32-1 omnilex-key=us-nj-statutes--title-52--52:32-1}
The state shall make provisions in the specifications for all contracts for state work and for work for which the state pays any part of the cost, that only such manufactured and farm products of the United States, whenever available, be used in such work.
##### **§ 52:32-1a** U.S., State flags, U.S. manufacture; required. {#sec-52-32-1a omnilex-key=us-nj-statutes--title-52--52:32-1a}
1. Any flag of the United States or flag of the State of New Jersey purchased with State funds shall be manufactured in the United States.
##### **§ 52:32-1b** Use of unit concrete products that utilize carbon footprint-reducing technology. {#sec-52-32-1b omnilex-key=us-nj-statutes--title-52--52:32-1b}
9. a. Any person or entity that purchases unit concrete products, or that undertakes any construction or improvement that requires the use of unit concrete products, including the replacement of impervious surface with permeable pavement, the cost or contract price of which is financed, in whole or in part, by State funds, shall, as a condition of receiving State funds, use unit concrete products that utilize carbon footprint-reducing technology, provided that such utilization does not conflict with federal funding conditions.
b. As used in this section:
"Permeable pavement" means a concrete product that allows rainwater to penetrate the pavement and percolate into the supporting soils and includes, but is not limited to, pervious concrete, permeable interlocking concrete pavers, and concrete grid pavers.
"Unit concrete product" means a concrete building product that is fabricated under controlled conditions separate and remote from the intended point of use and is produced in a wet cast or dry cast method in a factory setting and then transported to the location of intended use for installation, including, but not limited to, all concrete pavers, whether permeable or non-permeable, and concrete block. "Unit concrete product" shall not include ready mix concrete, sand, stone, gravel, or bituminous concrete or asphalt.
"Unit concrete product that utilizes carbon footprint-reducing technology" means a unit concrete product that is certified by the Department of Environmental Protection, or any independent third party authorized by the department, pursuant to section 10 of P.L.2021, c.278 (C.52:27D-141.17), as generating at least 50 percent less carbon dioxide emissions in the production and utilization of the unit concrete product than conventional unit concrete products made with ordinary Portland cement. Such products shall also conform with the relevant requirements of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) that incorporate by reference TMS 402/602 Building Code Requirements and Specification for Masonry Structures.
##### **§ 52:32-1.3** "Public contract" defined {#sec-52-32-1.3 omnilex-key=us-nj-statutes--title-52--52:32-1.3}
As used in this act, "public contract" means any contract or agreement entered into by a state or any instrumentality of that state to purchase goods, services or both.
##### **§ 52:32-1.4** Retaliatory discrimination {#sec-52-32-1.4 omnilex-key=us-nj-statutes--title-52--52:32-1.4}
Any bidder with its principal place of business located in another state which has provisions of state law, rules or regulations causing disadvantage to any bidder for a public contract to provide like goods, services or both to that state because the bidder's principal place of business is located outside of that state shall have like conditions applied to it in a manner pursuant to regulations issued by the State Treasurer when bidding for a public contract in this State. The provisions of this act may be waived with respect to a bidder, if the State Treasurer, on the basis of economic or other circumstances, determines it to be in the best interest of the State.
##### **§ 52:32-1.5** Rules, regulations {#sec-52-32-1.5 omnilex-key=us-nj-statutes--title-52--52:32-1.5}
The State Treasurer shall adopt rules and regulations to implement the provisions of this act pursuant to the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.).
##### **§ 52:32-1.6** Review, modification of bid, product specifications relative to "Jersey Fresh," "Jersey Grown," "Made with Jersey Fresh" products or commodities; enhanced visibility; rules, regulations. {#sec-52-32-1.6 omnilex-key=us-nj-statutes--title-52--52:32-1.6}
1. a. The Director of the Division of Purchase and Property in the Department of the Treasury shall, upon consultation with the Department of Agriculture, review and modify all bid and product specifications relating to the purchase of agricultural and horticultural products and commodities, so that the specifications do not discriminate against, but encourage, the maximum purchase of "Jersey Fresh," "Jersey Grown," other agricultural food products and commodities grown or raised in New Jersey, and "Made With Jersey Fresh" baked goods or other food products baked or made with "Jersey Fresh" products. In purchasing any agricultural or horticultural products, commodities, or goods for use by the various agencies and departments of the State government, for the entities defined in section 1 of P.L.1959, c.40 (C.52:27B-56.1), or for any county, municipality or school district pursuant to P.L.1969, c.104 (C.52:25-16.1 et al.), the Director of the Division of Purchase and Property, to the maximum extent possible, shall make contracts available for "Jersey Fresh," "Jersey Grown," other agricultural food products and commodities grown or raised in New Jersey, and "Made With Jersey Fresh" baked goods or other food products baked or made with "Jersey Fresh" products, unless the director determines it to be inconsistent with the public interest or the cost to be unreasonable. The Department of Agriculture shall provide information regarding the location and time of year "Jersey Fresh," "Jersey Grown," "Made With Jersey Fresh," and other agricultural food products and commodities grown or raised in New Jersey are available to the Division of Purchase and Property.
b. To the extent any agency or department of State government purchases agricultural or horticultural products or commodities other than through or by the Division of Purchase and Property, the agency or department shall follow guidelines therefor to be developed and issued by the Division of Purchase and Property in consultation with the Department of Agriculture. These guidelines shall encourage and promote to the maximum extent practicable the purchase of "Jersey Fresh," "Jersey Grown," other agricultural food products and commodities grown or raised in New Jersey, and "Made With Jersey Fresh" baked goods or other food products baked or made with "Jersey Fresh" products.
c. In implementing subsections a. and b. of this section for any agency or department of State government, when entering into or renewing a contract for the purchase of goods or related services, the agency or department shall whenever possible provide enhanced visibility and accessibility to "Jersey Fresh," "Jersey Grown," other agricultural food products and commodities grown or raised in New Jersey, and "Made With Jersey Fresh" baked goods or other food products baked or made with "Jersey Fresh" products.
In preparing the specifications for any contract for the purchase of goods and services, the Director of the Division of Purchase and Property or any State agency having authority to contract for the purchase of goods or services shall include in the invitation to bid, where relevant, language providing for the enhanced visibility of and accessibility to "Jersey Fresh," "Jersey Grown," other agricultural food products and commodities grown or raised in New Jersey, and "Made With Jersey Fresh" baked goods or other food products baked or made with "Jersey Fresh" products.
d. The Department of the Treasury, in consultation with the Department of Agriculture, shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), any rules and regulations necessary for the implementation of this section.
##### **§ 52:32-2** Separate plans, specifications for alteration, repair of public buildings. {#sec-52-32-2 omnilex-key=us-nj-statutes--title-52--52:32-2}
a. When the entire cost of the erection, construction, alteration or repair by the State of any public buildings in this State will exceed $2,000.00, the person preparing the plans and specifications for such work may prepare separate plans and specifications for: (1) the plumbing and gas fitting and all work kindred thereto; (2) the steam and hot water heating and ventilating apparatus, steam power plants and all work kindred thereto; (3) electrical work; (4) structural steel and ornamental iron work; and (5) general construction, which shall include all other work and materials required for the completion of the project.
b. The board, body or person authorized by law to award contracts for such work shall advertise for, in the manner provided by law, and receive (1) separate bids for each of the branches of work specified in subsection a. of this section; or (2) bids for all the work and materials required to complete the project to be included in a single over-all contract, in which case there shall be set forth in the bid the name or names of all subcontractors to whom the bidder will subcontract for the furnishing of any of the work and materials specified in branches (1) through (4) in subsection a. of this section, each of which subcontractors shall be qualified in accordance with chapter 35 of Title 52 of the Revised Statutes; or (3) both.
c. Contracts shall be awarded to the lowest responsible bidder in each branch of work in the case of separate bids and to the single lowest responsible bidder in the case of single bids. In the event that a contract is advertised in accordance with paragraph (3) of subsection b. of this section, the contract shall be awarded in the following manner: If the sum total of the amounts bid by the lowest responsible bidder for each such branch is less than the amount bid by the lowest responsible bidder for all of the work and materials, the board, body or person authorized to award contracts for such work shall award separate contracts for each of such branches to the lowest responsible bidder therefor, but if the sum total of the amount bid by the lowest responsible bidder for each such branch is not less than the amount bid by the lowest responsible bidder for all the work and materials, the board, body or person authorized to award the contract shall award a single over-all contract to the lowest responsible bidder for all of such work and materials.
In every case in which a contract is awarded under paragraph (2) or (3) of subsection b. of this section, all payments required to be made by the board, body or person awarding the contract under such contract for work and materials supplied by a subcontractor may, upon the certification of the contractor of the amount due to the subcontractor, be paid directly to the subcontractor. Payments to a subcontractor for work and materials supplied in connection with the contract shall be made within 10 calendar days of the receipt of payment for that work or the delivery of those materials by the subcontractor in accordance with the provisions of P.L.1991, c.133 (C.2A:30A-1 et seq.), and any regulations promulgated thereunder.
##### **§ 52:32-2.1** Public building construction projects {#sec-52-32-2.1 omnilex-key=us-nj-statutes--title-52--52:32-2.1}
The Legislature finds that there are projects for the construction, renovation or restoration of public buildings a. that require a unique application of specialized planning, management and operational strategies, skills and techniques, and b. where the public exigency requires that they be completed in the most efficient and timely manner.
##### **§ 52:32-2.2** Historic buildings designated for purposes of special public contracts {#sec-52-32-2.2 omnilex-key=us-nj-statutes--title-52--52:32-2.2}
2. a. The Legislature further finds that there are projects for the construction, renovation or restoration of public buildings that must employ construction management personnel, engineers, architects and contractors whose skills and expertise will identify, display and protect the historical, architectural, cultural and artistic significance of those public buildings; and that buildings of this nature have the highest priority in being constructed, renovated and restored in the most timely manner and with the highest managerial, professional and technical expertise when they house the seat of the State Government and are to provide for its continuous operation and when these buildings are some of the most architecturally or historically significant of the State's structures. The Legislature declares that the State House, the State House Annex and ancillary structures, the War Memorial, the Old Barracks, the Kelsey Building and the townhouses adjacent to the Kelsey Building are the buildings or constitute the project which are subject to the provisions of subsection b. of this section.
b. Notwithstanding the provisions of R.S.52:32-2 and section 11 of P.L.1981, c.120 (C.52:18A-78.11) to the contrary, in the case of the erection, construction, alteration or repair of the State House, State House Annex and ancillary structures, the War Memorial, the Old Barracks, the Kelsey Building and the townhouses adjacent to the Kelsey Building, as public buildings or a project of the New Jersey Building Authority, if the board, body or person authorized by law to award contracts for the work on the public building, or the authority for the work on the project, finds that such a building or project:
(1) requires a unique application of specialized planning, management and operational strategies, skills and techniques;
(2) requires that construction management personnel, engineers, architects and contractors whose skills and expertise will best identify, display and protect the historical, architectural, cultural and artistic significance of the building or project be employed for its planning, design and construction, renovation or restoration; and
(3) must be completed in the most efficient and timely manner, then the board, body or person authorized by law to award the contracts, or the authority, may (a) by advertising and receiving bids in the form of a single contract, multiple branch contracts, or both, award the contract to the lowest responsible bidder or bidders, as determined by the board, body, person, or authority; or (b) in order to further the purposes of this section, by inviting bids for the single contract, multiple branch contracts, or both, from among a list of qualified bidders, in a manner that will promote full and free competition whenever practicable, award the contract or contracts to that responsible bidder from among the invited bidders whose bid, conforming to the invitation for bids, will be most advantageous to the State, price and other factors considered.
##### **§ 52:32-2.3** Correctional facilities {#sec-52-32-2.3 omnilex-key=us-nj-statutes--title-52--52:32-2.3}
a. The Legislature further finds that the "Correctional Facilities Construction Bond Act of 1987" provides for projects for the construction of correctional facilities that are required because of a critical public need or legal constraint, with respect to which there are similar needs to employ construction management personnel, engineers, architects and contractors of special skills and expertise; and that these projects will provide for buildings for the immediate housing or care of their residents or inmates.
b. Notwithstanding the provisions of R.S. 52:32-2 and section 11 of P.L. 1981, c. 120 (C. 52:18A-78.11) to the contrary, in the case of the erection or construction of a public building or project of the New Jersey Building Authority, if the board, body or person authorized by law to award contracts for the work on the public building, or the authority for the work on the project, finds that such building or project:
(1) requires a unique application of specialized planning, management and operational strategies, skills and techniques; and
(2) requires that construction management personnel, engineers, architects and contractors whose skills and expertise will ensure the completion of the building or project in the most efficient and timely manner be employed for its planning, design and construction; then the board, body or person authorized by law to award the contracts, or the authority, may, by advertising and receiving bids in the form of a single contract, multiple branch contracts, or both, award the contract to the lowest responsible bidder or bidders, as determined by the board, body, person, or authority. There shall be set forth in the bid the name or names of, and evidence of performance security from, all subcontractors to whom the bidder will subcontract the furnishing of plumbing and gas fitting, and all kindred work, and of the steam and hot water heating and ventilating apparatus, steam power plants and kindred work, and electrical work, structural steel and ornamental iron work, each of which subcontractors shall be qualified in accordance with Title 52 of the Revised Statutes.
##### **§ 52:32-3** Building plans and specifications to be authenticated before filing {#sec-52-32-3 omnilex-key=us-nj-statutes--title-52--52:32-3}
No department in the State created for the purpose of filing plans and specifications for buildings under the several laws shall receive or file any plans or specifications unless the same bear the seal of a licensed professional engineer or a licensed architect of the State, or in lieu thereof an affidavit sworn to by the person who drew or prepared the same.
##### **§ 52:32-4** Facilities for persons with physical disabilities. {#sec-52-32-4 omnilex-key=us-nj-statutes--title-52--52:32-4}
1. Except as otherwise provided by law, all plans and specifications for the construction or remodeling of any public building in the State shall provide facilities for persons with physical disabilities.
##### **§ 52:32-5** Regulations relative to access for persons with physical disabilities. {#sec-52-32-5 omnilex-key=us-nj-statutes--title-52--52:32-5}
2. The Department of Community Affairs shall promulgate regulations which shall prescribe the kinds, types, and quality of facilities in public buildings as defined in section 3 of P.L.1975, c.220 (C.52:32-6) required to provide access for persons with physical disabilities. The regulations shall differentiate between small public buildings, defined as those with a total gross enclosed floor area of less than 10,000 square feet, and large public buildings, defined as those with a total gross enclosed floor area of 10,000 square feet or more. Small public buildings shall be required to have accessible entrances servicing the first or ground floor areas and facilities for persons with physical disabilities on all accessible floors, however, the provisions for small public buildings shall not apply to the conversion of a small public building to another use or to renovations or modifications of a small public building if there is insufficient space between the building and its lot lines or between the building and the public way to allow for the installation of an entrance ramp which meets the criteria of the "State Uniform Construction Code" adopted pursuant to the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.). Large public buildings shall be required to have accessible entrances, facilities for persons with physical disabilities on all accessible floors, and elevators or other means of access for persons with physical disabilities between floors, except floors which contain only mechanical equipment or floors which contain less than 3,000 square feet of total floor area.
##### **§ 52:32-5.1** Use of stroller in public buildings; conditions {#sec-52-32-5.1 omnilex-key=us-nj-statutes--title-52--52:32-5.1}
1. A person with a permanent disability or limited mobility who holds an identification card issued by the Division of Motor Vehicles in the Department of Transportation pursuant to either P.L.1949, c.280 (C.39:4-204 et seq.) or P.L.1980, c.47 (C.39:3-29.2 et seq.) and who, due to that disability or limited mobility, needs to transport his child in a stroller is entitled to the use of a public building, notwithstanding the building's prohibition on the use of strollers, subject to the following conditions:
a. The person shall not leave the stroller unattended;
b. The person who transports a child in a stroller shall not be charged any extra fee or payment for admission to or use of a public building ;
c. The person who transports a child in a stroller shall be liable for any damages done to the premises of a public building by the stroller.
As used in this section, "public building" means a public building as defined in section 3 of P.L.1975, c.220 (C.52:32-6), and "stroller" means a non-motorized, wheeled vehicle designed to push or otherwise transport a young child, including, but not limited to, a carriage, a folding-type umbrella stroller, or a full-size stroller.
##### **§ 52:32-5.2** Display of advertisement, public bidding required. {#sec-52-32-5.2 omnilex-key=us-nj-statutes--title-52--52:32-5.2}
12. Notwithstanding the provisions of any other law to the contrary, a State entity, as defined in section 1 of P.L.2004, c.42 (C.27:5-27 et al.), shall not enter into any contract or agreement for the construction on, or development or maintenance of, real property owned or controlled by it, with any person, firm, partnership or corporation for the purpose of displaying any advertisement, as defined in section 3 of P.L.1991, c.413 (C.27:5-7), without publicly advertising for bids. Notwithstanding the foregoing, any State entity may enter into a contract or agreement for the maintenance of (but not the construction on or development of) such real property for the purposes of displaying any advertisement, with any of its current contractors, tenants or licensees with respect to the current real property on which they are a contractor, tenant or licensee for the purpose of displaying any advertisement, for a period of time not to exceed five years, without publicly advertising for bids. Where, pursuant to the foregoing, the State enters into a contract or agreement with a current contractor, tenant or licensee for a period not exceeding five years, after the completion of that contract or agreement, any future contract or agreement for the same purposes shall be done by publicly advertising for bids.
##### **§ 52:32-5.3** Definitions relative to energy savings for construction of certain State buildings. {#sec-52-32-5.3 omnilex-key=us-nj-statutes--title-52--52:32-5.3}
1. As used in this act:
"High performance green building" means a building that is designed and constructed in a manner that achieves at least:
a. a silver rating according to the Leadership in Energy and Environmental Design Green Building Rating System as adopted by the United States Green Building Council;
b. a two globe rating according to the Green Globes Program as adopted by the Green Building Initiative; or
c. a comparable numeric rating according to a nationally recognized, accepted, and appropriate numeric sustainable development rating system, guideline, or standard as the Commissioner of Community Affairs, in consultation with the Commissioner of Environmental Protection, the Director of Energy Savings established pursuant to Executive Order No.11 of 2006, and the Board of Public Utilities, may designate by regulation.
A "high performance green building" shall not mean any free-standing parking facility, multiple use maintenance facility or storage facility.
"State governmental entity" means the Executive, Legislative and Judicial branches of the State government, any agency or instrumentality of the State, including any board, bureau, commission, corporation, department, or division, any independent State authority, and any State institution of higher education. A county, municipality, or school district, or any agency or instrumentality thereof, shall not be deemed a State governmental entity.
##### **§ 52:32-5.4** Standards for certain energy savings for new State buildings. {#sec-52-32-5.4 omnilex-key=us-nj-statutes--title-52--52:32-5.4}
2. Any new building having at least 15,000 square feet in total floor area that is to be constructed for the sole use of a State governmental entity after the effective date of this act shall be designed and managed to meet standards for a high performance green building. The Director of the Division of Property Management and Construction in the Department of the Treasury, in cooperation with the New Jersey Building Authority where appropriate, shall enforce the provisions of this act. All plans, specifications and bid proposal documents for any building to which the provisions of this section apply shall identify all the requirements for meeting the appropriate certification level standard as provided in subsection a., b. or c. of section 1 of this act, as appropriate. The requirements of this act shall not apply to any building for which a request for proposal for entering into a contract to design the building has been issued prior to the effective date of this act.
##### **§ 52:32-6** Definitions. {#sec-52-32-6 omnilex-key=us-nj-statutes--title-52--52:32-6}
3. As used in this act, P.L.1975, c.220 (C.52:32-4 et seq.):
a. "Public building" means any building, structure, facility or complex used by the general public, including, but not limited to, theaters, concert halls, auditoriums, museums, schools, libraries, recreation facilities, public transportation terminals and stations, factories, office buildings, business establishments, passenger vehicle service stations, shopping centers, hotels or motels, and public eating places, constructed by any State, county, or municipal government agency or instrumentality or any private individual, partnership, association, or corporation, with the following exceptions: warehouse storage areas and all buildings classified as hazardous occupancies. As used herein, "hazardous occupancy" means the occupancy or use of a building or structure or any portion thereof that involves highly combustible, highly flammable, or explosive material, or which has inherent characteristics that constitute a special fire hazard. As used in P.L.1975, c.220 (C.52:32-4 et seq.), the term shall not include residential buildings, but shall include hotels and motels. Any facility requirements for residential buildings concerning persons with physical disabilities shall be governed by the barrier free subcode promulgated pursuant to section 5 of P.L.1975, c.217 (C.52:27D-123).
b. "Physical disability" means a physical impairment for which a person uses a wheelchair; or which causes a person to walk with difficulty or walk insecurely; affects the sight or hearing of a person to the extent that a person functioning in public areas is insecure or exposed to danger; causes a person to have faulty coordination; or reduces mobility, flexibility, coordination, and perceptiveness of a person to the extent that facilities are needed to provide for the safety of that person.
c. "Remodel" means, with respect to an existing public building as defined in P.L.1975, c.220 (C.52:32-4 et seq.), to construct an addition, alter the design or layout of said public building so that a change or modification of the entrance facilities, toilet facilities, or vertical access facilities is achieved, or make substantial repairs or alterations.
d. "Office building" means a building or structure which is used for the transaction of business; for the rendering of professional service; for other services that involve stocks of goods, wares, or merchandise in limited quantities for use incidental to office uses or sample purposes; or for display and sale purposes involving stocks of goods, wares, or merchandise incidental to these purposes. This definition is intended to include those buildings or structures classified in Use Groups "B" and "M" of the State Uniform Construction Code within the scope of section 5:23-3.14 of the New Jersey Administrative Code pertaining to building subcodes.
e. (Deleted by amendment, P.L.1981, c.35.)
f. "Enforcing agency" means the municipal construction official and subcode officials provided for in the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.).
##### **§ 52:32-7** Administration and enforcement {#sec-52-32-7 omnilex-key=us-nj-statutes--title-52--52:32-7}
The administration and enforcement of this act shall be in accord with the "State Uniform Construction Code Act" (P.L.1975, c. 217; C. 52:27D-119 et seq.) and regulations promulgated thereunder.
##### **§ 52:32-8** Exceptions from specific requirements. {#sec-52-32-8 omnilex-key=us-nj-statutes--title-52--52:32-8}
5. In cases of practical difficulty, the enforcing agency may grant exceptions from the specific requirements of the standards and specifications required by P.L.1975, c.220 (C.52:32-4 et seq.) or permit the use of other methods or materials, but only when it is clearly evident that equivalent facilitation and protection for persons with physical disabilities are thereby secured.
##### **§ 52:32-9** Limitation on exceptions {#sec-52-32-9 omnilex-key=us-nj-statutes--title-52--52:32-9}
Exceptions based on practical difficulty or unnecessary hardship shall apply to the specific requirement in question, and shall not extend to all requirements of the standards and specifications mandated by this act.
##### **§ 52:32-10** Certificate of use or occupancy; issuance; compliance with requirements for physically handicapped {#sec-52-32-10 omnilex-key=us-nj-statutes--title-52--52:32-10}
No certificate of use or occupancy shall be issued by any enforcing agency for any public building constructed or remodeled in the State unless and until said public building complies with the requirements of this act, except as provided in sections 5 and 6 hereof.
##### **§ 52:32-11** Parking facilities, spaces for persons with physical disabilities. {#sec-52-32-11 omnilex-key=us-nj-statutes--title-52--52:32-11}
1. The State, every board or body having control and regulation of parking facilities in every county and municipality, and every parking authority created pursuant to the "Parking Authority Law," P.L.1948, c.198 (C.40:11A-1 et seq.), is hereby authorized, empowered, and directed to provide parking spaces for persons with physical disabilities in all parking facilities under the jurisdiction of the State or any such board, body, or parking authority.
##### **§ 52:32-12** Parking spaces for persons with physical disabilities; guidelines. {#sec-52-32-12 omnilex-key=us-nj-statutes--title-52--52:32-12}
2. The State and every such board, body, or parking authority shall use the following guidelines when providing said parking spaces for persons with physical disabilities:
a. A minimum of one percent of the total number of parking spaces, but not less than two parking spaces, shall be provided in an area of the parking facility which is most accessible and approximate to the building or buildings which the facility serves;
b. Each space or group of spaces shall be identified with a clearly visible sign displaying the International Symbol of Access along with the following wording: "These spaces reserved for drivers with physical disabilities."
c. Each space shall be 12 feet wide to allow room for persons using wheelchairs, braces, or crutches to get in and out of either side of an automobile onto a level, paved surface suitable for wheeling and walking;
d. Where possible, such spaces shall be located so that persons using wheelchairs, braces, or crutches are not compelled to wheel or walk behind parked cars; and
e. Where applicable, curb ramps shall be provided to permit people with physical disabilities access from parking area to sidewalk.
##### **§ 52:32-13** Enforcement {#sec-52-32-13 omnilex-key=us-nj-statutes--title-52--52:32-13}
The State and the board of chosen freeholders of every county and the governing body of every municipality in this State shall be responsible for the enforcement of the provisions of this act within their respective jurisdictions.
##### **§ 52:32-14** Sidewalk constructed to facilitate use by persons with disabilities. {#sec-52-32-14 omnilex-key=us-nj-statutes--title-52--52:32-14}
1. A sidewalk hereafter constructed or reconstructed on public or private property for public use within this State, whether constructed by a public agency or a person, firm, corporation, nonprofit corporation, or association, shall be constructed in a manner that will facilitate use by persons with physical disabilities. At points of intersection between pedestrian and motorized lines of travel, and at other points where necessary to avoid abrupt changes in grade, a sidewalk shall slope gradually to street level so as to provide an uninterrupted line of travel.
##### **§ 52:32-15** Standards established for accommodation of persons with disabilities. {#sec-52-32-15 omnilex-key=us-nj-statutes--title-52--52:32-15}
2. To carry out the purpose of section 1 of P.L.1975, c.224 (C.52:32-14) the Department of Transportation shall, within 30 days of the enactment of P.L.1975, c.224 (C.52:32-14 et seq.), and periodically thereafter as necessary, after consultation with the Director of the Division of Vocational Rehabilitation Services of the Department of Labor and the Director of the Division of Disability Services and the Executive Director of the State Commission for the Blind and Visually Impaired of the Department of Human Services, prescribe standards, which shall include, but not be limited to, standards of drainage, slope gradient, width, and slip-resistant qualities which will assure that a sidewalk will accommodate a person using a wheelchair or other persons with disabilities. All agencies and instrumentalities of State and local government, and every other person, firm, corporation or association shall comply with these standards and the provisions of P.L.1975, c.224 (C.52:32-14 et seq.) when undertaking construction or reconstruction of streets, curbs, or sidewalks.
##### **§ 52:32-16** Access facilities; nonapplication of act {#sec-52-32-16 omnilex-key=us-nj-statutes--title-52--52:32-16}
Nothing in section 2 of this act shall be construed to supersede the functions of the Department of the Treasury and the State Board of Education with respect to the design and construction of access facilities to school buildings and other public buildings pursuant to P.L.1971, c. 42 (C. 18A:18-2.1 et seq.) and P.L.1971, c. 269 (C. 52:32-4 et seq.).
##### **§ 52:32-17** Short title {#sec-52-32-17 omnilex-key=us-nj-statutes--title-52--52:32-17}
This act shall be known and may be cited as the "Set-Aside Act for Small Businesses, Female Businesses, and Minority Businesses."
##### **§ 52:32-18** Declaration; finding {#sec-52-32-18 omnilex-key=us-nj-statutes--title-52--52:32-18}
The Legislature declares that the existence of a strong and healthy free enterprise system is directly related to the well-being and competitive strength of small business, female business and minority business concerns and to the opportunity for small business, female business and minority business to have free entry into business, to grow and to expand; and finds that the State must ensure that a fair proportion of the State's total purchases and contracts for construction, property and services is placed with small business, female business and minority business concerns.
##### **§ 52:32-18.1** Chief Diversity Officer. {#sec-52-32-18.1 omnilex-key=us-nj-statutes--title-52--52:32-18.1}
1. There is established in the Division of Purchase and Property in the State Department of the Treasury a Chief Diversity Officer. It shall be the duty of the Chief Diversity Officer to monitor the State's public contracting process for the purpose of compiling information on the awarding of contracts to minority-owned and women-owned business enterprises, the total value of all contracts and the percentage of the value of those contracts awarded to minority-owned and women-owned business enterprises.
##### **§ 52:32-19** Definitions {#sec-52-32-19 omnilex-key=us-nj-statutes--title-52--52:32-19}
As used in this act:
a. "Contracting agency" means the State or any board, commission, committee, authority or agency of the State.
b. "Chief" means the Chief of the Office of Small Business Assistance when used in conjunction with the small business and female business set-aside programs, or the Chief of the Office of Minority Business Enterprise when used in conjunction with the minority business set-aside program.
c. "Department" means the Department of Commerce and Economic Development.
d. "Office" means the Office of Small Business Assistance in the Department of Commerce and Economic Development when used in conjunction with the small business and female business set-aside programs, or the Office of Minority Business Enterprise when used in conjunction with the minority business set-aside program.
e. "Small business" means a business which has its principal place of business in the State, is independently owned and operated and meets all other qualifications as may be established in accordance with P.L. 1981, c. 283 (C. 52:27H-21.1 et seq.).
f. "Small business set-aside contract" means (1) a contract for goods, equipment, construction or services which is designated as a contract with respect to which bids are invited and accepted only from small businesses, or (2) a portion of a contract when that portion has been so designated.
g. "Minority business" means a business which has its principal place of business in the State, is independently owned and operated and at least 51% of which is owned and controlled by persons who are black, Hispanic, Portuguese, Asian-American, American Indian or Alaskan natives.
h. "Minority business set-aside contract" means (1) a contract for goods, equipment, construction or services which is designated as a contract with respect to which bids are invited and accepted only from minority businesses; or (2) a portion of a contract when that portion is so designated.
i. "Female business" means a business which has its principal place of business in the State, is independently owned and operated and at least 51% of which is owned and controlled by women.
j. "Female business set-aside contract" means (1) a contract for goods, equipment, construction or services which is designated as a contract with respect to which bids are invited and accepted only from female businesses; or (2) a portion of a contract when that portion is so designated.
##### **§ 52:32-20** Set-aside contracts {#sec-52-32-20 omnilex-key=us-nj-statutes--title-52--52:32-20}
a. Notwithstanding the provisions of any State bidding or public contracts laws to the contrary, but subject to any supervening federal statutes or rules, contracting agencies, in consultation with the department, may designate a contract, or a portion thereof, for goods, equipment, construction or services to be awarded by a contracting agency as a small business, female business or minority business set-aside contract pursuant to the goals and procedures established by this 1985 amendatory act, whenever there is a reasonable expectation that bids may be obtained from at least three qualified small businesses, female businesses or minority businesses capable of furnishing the desired goods, equipment, construction or services at a fair and reasonable price. The designation shall be made prior to the advertisement for bids.
b. Where application of the goals and procedures established under this act would jeopardize the State's participation in a program from which the State receives federal funds or other benefits, the contracting agency may, in consultation with the department, withdraw the affected contracts from consideration or calculation.
##### **§ 52:32-21** Goals {#sec-52-32-21 omnilex-key=us-nj-statutes--title-52--52:32-21}
a. There are established the goals that contracting agencies award at least 15% of their contracts for small businesses, at least 7% of their contracts for minority businesses and at least 3% of their contracts for female businesses. These goals may, where appropriate, be attained by the direct designation of prime contracts for small business, minority business or female business or, in the case of a prime contract not directly designated for small business, minority business or female business, by requiring that a portion of such a prime contract be subcontracted to a small business, minority business or female business. Each contracting agency shall make a good faith effort to attain the goals established in this section.
b. The goals established in subsection a. of this section shall be attained independently of each other, and any given contract may be counted for purposes of attaining the small business goal, the minority business goal, or the female business goal, but not towards more than one goaL. Pursuant to the goals established by this act, a total of at least 25% of the State's procurement contracts shall be awarded to small businesses, minority businesses, and female businesses.
c. For purposes of attaining these goals, contracting agencies shall, when necessary, specifically set aside contracts or portions of contracts for which only small businesses, minority businesses or female businesses may bid.
##### **§ 52:32-22** Dispute over designation {#sec-52-32-22 omnilex-key=us-nj-statutes--title-52--52:32-22}
If the department and the contracting agency disagree as to whether a set-aside is appropriate for a contract or a portion of a contract, the dispute shall, within seven days, be submitted to the State Treasurer, or his designee, for final determination.
##### **§ 52:32-22.1** Minority, women's business set-asides; compliance, calculation {#sec-52-32-22.1 omnilex-key=us-nj-statutes--title-52--52:32-22.1}
1. a. Whenever any obligation is imposed by law upon a contracting agency to set aside a percentage of State contracts awarded by that agency for minority businesses or women's businesses, compliance with that requirement shall be calculated based, according to objective and verifiable standards as promulgated pursuant to administrative regulation, upon the dollar value of payments actually made each year to, and received by, minority businesses and women's businesses pursuant to State contracts awarded by that agency, or subcontracts thereto, compared to the total of all payments made to, and received by, all parties awarded State contracts by that agency.
Compliance with any such set-aside requirement shall not be calculated using statements made by bidders with respect to the portion of a contract which the bidder intends to subcontract to minority businesses or women's businesses.
b. As used in this section:
"contracting agency" means the State or any board, commission, committee, authority or agency of the State; and
"State contract" means any purchase, contract or agreement the cost or contract price of which is to be paid, in whole or in part, with or out of State funds.
##### **§ 52:32-23** Advertisement for bids {#sec-52-32-23 omnilex-key=us-nj-statutes--title-52--52:32-23}
The advertisement for bids on a set-aside contract shall indicate the invitation to bid as a set-aside. The advertisement shall be in such newspaper or newspapers as will best give notice thereof to appropriate bidders and shall be sufficiently in advance of the purchase or contract to promote competitive bidding among those businesses for whom the contract is being set aside. The newspaper or newspapers in which the advertisement shall appear shall be selected by the contracting agency in consultation with the office. The advertisement shall designate the time and place at which sealed proposals shall be received and publicly opened and read, the amount of the cash or certified check, if any, which shall accompany each bid and such other items as the contracting agency may deem proper. The advertisement shall be made by that contracting agency pursuant to the procedure set forth in the law governing State contracts, where this act is inconsistent with that law.
##### **§ 52:32-23.1** Operation, continued development of Selective Assistance Vendor Information database {#sec-52-32-23.1 omnilex-key=us-nj-statutes--title-52--52:32-23.1}
1. a. The Department of Commerce and Economic Development shall be responsible for the operation and continued development of the central registry, known as the Selective Assistance Vendor Information (SAVI II) database, which lists businesses certified as eligible to perform contracts under any State set-aside program. The purpose of the database shall be to enable contracting agencies and persons bidding on, or performing, State contracts to have ready access to the names of businesses which are eligible to perform set-aside contracts and to allow the department and contracting agencies to monitor participation by these businesses in State contracting.
b. The department shall randomly monitor businesses certified as eligible for any State set-aside program, or seeking such certification, to ensure compliance with eligibility requirements.
c. A person applying for the certification of a business as eligible for participation in any State set-aside program shall certify in writing that the person believes that the business meets all of the requirements for eligibility for the program. Any person who makes a false statement in connection therewith shall be subject to the penalties provided by N.J.S.2C:28-2.
##### **§ 52:32-24** Lists of designated businesses {#sec-52-32-24 omnilex-key=us-nj-statutes--title-52--52:32-24}
a. The department shall establish reasonable regulations appropriate for controlling the designation of prospective small business bidders, minority business bidders and female business bidders and shall maintain lists of designated businesses.
b. The department shall establish a procedure whereby businesses may request inclusion on appropriate lists for small businesses, minority businesses and female businesses.
c. The department shall establish a procedure for annually reviewing the lists and determining whether the businesses on the lists shall continue to be designated as small businesses, minority businesses and female businesses.
d. The department shall establish a procedure whereby the designation of a business as a small business, minority business or female business may be challenged by a third party.
e. Any procedures established pursuant to subsections b., c., and d. of this section shall include notice to the business whose designation is at issue and an opportunity for a hearing at the department. The hearing shall not be considered a contested case under the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.).
##### **§ 52:32-24.1** Set-Aside program, small businesses, eligibility requirements. {#sec-52-32-24.1 omnilex-key=us-nj-statutes--title-52--52:32-24.1}
1. a. Pursuant to the “Set-Aside Act for Small Businesses, Female Businesses, and Minority Businesses,” P.L.1983, c.482 (C.52:32-17 et seq.), when eligibility criteria to qualify as a small business require a certain maximum number of employees in full-time positions, this requirement shall only apply to businesses without an applicable federal revenue standard established at 13 CFR s.121.201.
b. Calculations for gross revenues of a business that are established to qualify a business as a small business pursuant to the “Set-Aside Act for Small Businesses, Female Businesses, and Minority Businesses,” P.L.1983, c.482 (C.52:32-17 et seq.), shall require that:
(1) Gross revenues of a business that has been in business for five or more completed years shall mean the revenues of the business over its last five completed tax years divided by five.
(2) Gross revenues of a business that has been in business for less than five complete tax years shall mean the revenues for the period the business has been in business divided by the number of weeks in business, multiplied by 52.
(3) Gross revenues of a business that has been in business five or more complete tax years but has a short year as one of those years shall mean the revenue for the short year and the four full years divided by the number of weeks in the short year and the four full years, multiplied by 52.
##### **§ 52:32-25** Bidding restricted {#sec-52-32-25 omnilex-key=us-nj-statutes--title-52--52:32-25}
When a contract or portion thereof has been designated as a set-aside, invitations for bids shall be confined to businesses designated by the department as appropriate for the set-aside and bids from other bidders shall be rejected. The purchase, contract or expenditure of funds shall be awarded among the businesses, considering formality with specifications and terms, in accordance with the statutes and rules governing purchases by the contracting agency. The award shall be made with reasonable promptness by the contracting agency with written notice to the department.
##### **§ 52:32-26** Set-aside cancellation {#sec-52-32-26 omnilex-key=us-nj-statutes--title-52--52:32-26}
If the contracting agency determines that the acceptance of the lowest responsible bid on a set-aside contract will result either in the payment of an unreasonable price or in a contract otherwise unacceptable pursuant to the statutes and rules governing purchases by that agency, the contracting agency shall reject all bids and withdraw the designation of the set-aside contract. Bidders shall be notified of the set-aside cancellation, the reasons for the rejection and the State's intent to resolicit bids on an unrestricted basis. The canceled solicitation shall not be counted as a set-aside for the purpose of attaining established set-aside goals. Except in cases of emergency, prior to the final award of the contract, the contracting agency shall provide an opportunity for a hearing on the reasons for the rejection of the set-aside designation. This hearing shall not be considered a contested case under the "Administrative Procedure Act," P.L. 1968, c. 410 (C. 52:14B-1 et seq.).
##### **§ 52:32-27** Annual report {#sec-52-32-27 omnilex-key=us-nj-statutes--title-52--52:32-27}
Each contracting agency shall submit an annual report to the department according to a schedule announced by the department. This report shall include the following information:
a. The total dollar value and number of contracts awarded to small businesses, minority businesses and female businesses, including a separate accounting of any set-aside contracts, and the percentage of the total State procurements by the contracting agency the figure of total dollar value and the number of set-asides reflect;
b. The types and sizes of businesses receiving set-aside awards and the nature of the purchases and contracts; and
c. The efforts made to publicize and promote the program.
The department shall receive and analyze the reports submitted by the contracting agencies and, utilizing these data, submit an annual report to the Governor and the Legislature showing the progress being made toward the objectives and goals of this act during the preceding fiscal year.
##### **§ 52:32-28** Plan for achieving goals {#sec-52-32-28 omnilex-key=us-nj-statutes--title-52--52:32-28}
Each contracting agency shall annually develop, in consultation with the department, a plan for achieving its small business, minority business and female business goals.
##### **§ 52:32-29** Consultation {#sec-52-32-29 omnilex-key=us-nj-statutes--title-52--52:32-29}
The department and office shall consult regularly with representatives of the contracting industry for the purpose of implementing the provisions of this act. These consultations shall take place no less than once every six months.
##### **§ 52:32-30** Penalty for incorrect information {#sec-52-32-30 omnilex-key=us-nj-statutes--title-52--52:32-30}
Where the department determines that a business has been classified as a small business, minority business or female business on the basis of false information knowingly supplied by the business and has been awarded a contract to which it would not otherwise have been entitled under this act, the department shall:
a. Assess the business any difference between the contract amount and what the State's cost would have been if the contract had not been awarded in accordance with the provisions of this act;
b. In addition to the amount due under subsection a., assess the business a penalty in an amount of not more than 10% of the amount of the contract involved;
c. Order the business ineligible to transact any business with the State for a period of not less than three months and not more than 24 months; and
d. Prior to any final determination, assessment or order under this section, afford the business an opportunity for a contested case hearing pursuant to P.L. 1968, c. 410 (C. 52:14B-1 et seq.).
All payments to the State pursuant to subsection a. of this section shall be deposited in the fund out of which the contract involved was awarded. All payments to the State pursuant to subsection b. of this section shall be deposited in the General State Fund.
##### **§ 52:32-31** Regulations {#sec-52-32-31 omnilex-key=us-nj-statutes--title-52--52:32-31}
The Department of the Treasury shall develop such other regulations as may be necessary to interpret and implement all provisions of this act, including rules governing the determination of which type or class of contract is covered by this act.
##### **§ 52:32-31.1** Short title. {#sec-52-32-31.1 omnilex-key=us-nj-statutes--title-52--52:32-31.1}
1. This act shall be known and may be cited as the "Set-Aside Act for Disabled Veterans' Businesses."
##### **§ 52:32-31.2** Definitions relative to certain contracts as set-asides for businesses owned, operated by disabled veterans. {#sec-52-32-31.2 omnilex-key=us-nj-statutes--title-52--52:32-31.2}
2. As used in this act:
"Contracting agency" means the State or any board, commission, committee, authority or agency of the State.
"Department" means the Department of the Treasury.
"Disabled veteran" means a resident of this State who is certified by the federal Department of Veterans Affairs as having any degree of service-connected disability.
"Disabled veterans' business" means a business which has its principal place of business in the State, is independently owned and operated and at least 51% of which is owned and controlled by persons who are disabled veterans or a business which has its principal place of business in this State and has been officially verified by the United States Department of Veterans Affairs as a service disabled veteran-owned business for the purposes of department contracts pursuant to federal law.
"Disabled veterans' business set-aside contract" means a contract for goods, equipment, construction or services which is designated as a contract with respect to which bids are invited and accepted only from disabled veterans' businesses, or a portion of a contract when that portion has been so designated.
##### **§ 52:32-31.3** Disabled veterans' business set-aside program. {#sec-52-32-31.3 omnilex-key=us-nj-statutes--title-52--52:32-31.3}
3. The Department of the Treasury shall administer a disabled veterans' business set-aside program which shall be in addition to any other set-aside program established by law. The department shall require proof of disabled veteran status for all appropriate individuals.
##### **§ 52:32-31.4** Designation, withdrawal as disabled veterans' business set-aside contract. {#sec-52-32-31.4 omnilex-key=us-nj-statutes--title-52--52:32-31.4}
4. a. Notwithstanding the provisions of any State bidding or public contracts laws to the contrary, but subject to any supervening federal statutes or rules, contracting agencies, in consultation with the department, may designate a contract, or a portion thereof, for goods, equipment, construction or services to be awarded by a contracting agency as a disabled veterans' business set-aside contract pursuant to the goals and procedures established in this act, whenever there is a reasonable expectation that bids may be obtained from at least two qualified disabled veterans' businesses capable of furnishing the desired goods, equipment, construction or services at a fair and reasonable price. The designation shall be made prior to the advertisement for bids.
b. When application of the goals and procedures established under this act would jeopardize the State's participation in a program from which the State receives federal funds or other benefits, the contracting agency may, in consultation with the department, withdraw the affected contracts from consideration or calculation.
##### **§ 52:32-31.5** Goals established. {#sec-52-32-31.5 omnilex-key=us-nj-statutes--title-52--52:32-31.5}
5. a. There are established the goals that contracting agencies award at least 3% of their contracts to disabled veterans' businesses. These goals may, when appropriate, be attained by the direct designation of prime contracts for these business or, in the case of a prime contract not directly so designated, by requiring that a portion of such a prime contract be subcontracted to a disabled veterans' business. Each contracting agency shall make a good faith effort to attain the goals established in this subsection.
b. For purposes of attaining this goal, contracting agencies shall, when necessary, specifically set aside contracts or portions of contracts for which only these businesses may bid.
##### **§ 52:32-31.6** Determinations relative to disputes. {#sec-52-32-31.6 omnilex-key=us-nj-statutes--title-52--52:32-31.6}
6. If the department and the contracting agency disagree as to whether a set-aside is appropriate for a contract or a portion of a contract, the dispute shall, within seven days, be submitted to the State Treasurer, or his designee, for final determination.
##### **§ 52:32-31.7** Advertisement to indicate invitation to bid as a set-aside. {#sec-52-32-31.7 omnilex-key=us-nj-statutes--title-52--52:32-31.7}
7. The advertisement for bids on a disabled veterans' business set-aside contract shall indicate the invitation to bid as a set-aside. The advertisement shall be in such newspaper or newspapers as will best give notice thereof to appropriate bidders and shall be sufficiently in advance of the purchase or contract to promote competitive bidding among the businesses for which the contract is being set aside. The newspaper or newspapers in which the advertisement shall appear shall be selected by the contracting agency in consultation with the department. The advertisement shall designate the time and place at which sealed proposals shall be received and publicly opened and read, the amount of the cash or certified check, if any, which shall accompany each bid and such other items as the contracting agency may deem proper. The advertisement shall be made by that contracting agency pursuant to the procedure set forth in the law governing State contracts, when this act is inconsistent with that law.
##### **§ 52:32-31.8** Regulations, procedures; hearings. {#sec-52-32-31.8 omnilex-key=us-nj-statutes--title-52--52:32-31.8}
8. a. The department shall establish reasonable regulations appropriate for controlling the designation of prospective disabled veterans' business bidders and shall maintain lists of designated businesses.
b. The department shall establish a procedure whereby businesses may request inclusion on appropriate lists for disabled veterans' businesses.
c. The department shall establish a procedure for annually reviewing the lists and determining whether the businesses on the lists shall continue to be designated as disabled veterans' businesses.
d. The department shall establish a procedure whereby the designation of a business as a disabled veterans' business may be challenged by a third party.
e. Any procedures established pursuant to subsections b., c., and d. of this section shall include notice to the business whose designation is at issue and an opportunity for a hearing at the department. The hearing shall not be considered a contested case under the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:32-31.9** Confining of invitations for bids. {#sec-52-32-31.9 omnilex-key=us-nj-statutes--title-52--52:32-31.9}
9. When a contract or portion thereof has been designated as a disabled veterans' business set-aside, invitations for bids shall be confined to businesses designated by the department as appropriate for the set-aside and bids from other bidders shall be rejected. The purchase, contract or expenditure of funds shall be awarded among the businesses, considering conformity with specifications and terms, in accordance with the statutes and rules governing purchases by the contracting agency. The award shall be made with reasonable promptness by the contracting agency with written notice to the department.
##### **§ 52:32-31.10** Actions permitted by contracting agency. {#sec-52-32-31.10 omnilex-key=us-nj-statutes--title-52--52:32-31.10}
10. If the contracting agency determines that the acceptance of the lowest responsible bid on a disabled veterans' business set-aside contract will result either in the payment of an unreasonable price or in a contract otherwise unacceptable pursuant to the statutes and rules governing purchases by that agency, the contracting agency shall reject all bids and withdraw the designation of the set-aside contract. Bidders shall be notified of the set-aside cancellation, the reasons for the rejection and the State's intent to resolicit bids on an unrestricted basis. The canceled solicitation shall not be counted as a set-aside for the purpose of attaining established set-aside goals. Except in cases of emergency, prior to the final award of the contract, the contracting agency shall provide an opportunity for a hearing on the reasons for the rejection of the set-aside designation. This hearing shall not be considered a contested case under the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:32-31.11** Annual report to department. {#sec-52-32-31.11 omnilex-key=us-nj-statutes--title-52--52:32-31.11}
11. Each contracting agency shall submit an annual report to the department according to a schedule announced by the department. This report shall include the following information:
a. the total dollar value and number of contracts awarded to disabled veterans' businesses, including a separate accounting of any set-aside contracts, and the percentage of the total State procurements by the contracting agency that the figure of total dollar value and the number of set-asides reflect;
b. the types and sizes of businesses receiving set-aside awards and the nature of the purchases and contracts; and
c. the efforts made to publicize and promote the program.
The department shall receive and analyze the reports submitted by the contracting agencies and, utilizing these data, submit an annual report to the Governor, and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), showing the progress being made toward the objectives and goals of this act during the preceding fiscal year.
##### **§ 52:32-31.12** Annual plan. {#sec-52-32-31.12 omnilex-key=us-nj-statutes--title-52--52:32-31.12}
12. Each contracting agency shall annually develop, in consultation with the department, a plan for achieving its disabled veterans' business goals.
##### **§ 52:32-31.13** Consultations. {#sec-52-32-31.13 omnilex-key=us-nj-statutes--title-52--52:32-31.13}
13. The department shall consult regularly with representatives of the contracting industry for the purpose of implementing the provisions of this act. These consultations shall take place no less than once every six months.
##### **§ 52:32-31.14** Determination of classification due to false information. {#sec-52-32-31.14 omnilex-key=us-nj-statutes--title-52--52:32-31.14}
14. When the department determines that a business has been classified as a disabled veterans' business on the basis of false information knowingly supplied by the business and has been awarded a contract to which it would not otherwise have been entitled under this act, the department shall:
a. assess the business any difference between the contract amount and what the State's cost would have been if the contract had not been awarded in accordance with the provisions of this act;
b. in addition to the amount due under subsection a., assess the business a penalty in an amount of not more than 10% of the amount of the contract involved;
c. order the business ineligible to transact any business with the State for a period of not less than three months and not more than 24 months; and
d. prior to any final determination, assessment or order under this section, afford the business an opportunity for a contested case hearing pursuant to P.L.1968, c.410 (C.52:14B-1 et seq.).
All payments to the State pursuant to subsection a. of this section shall be deposited in the fund out of which the contract involved was awarded. All payments to the State pursuant to subsection b. of this section shall be deposited in the General Fund.
##### **§ 52:32-31.15** Definitions. {#sec-52-32-31.15 omnilex-key=us-nj-statutes--title-52--52:32-31.15}
1. As used in this act:
"Contracting agency" means the State or any board, commission, committee, authority, instrumentality, or agency of the State over which the Governor exercises executive authority.
"Department" means the Department of the Treasury.
"Economically disadvantaged" means that the owner or owners of a business enterprise:
demonstrate that the ability to compete for State contracts has been impaired due to diminished capital and credit opportunities, as compared to others in the same or similar line of business who are not socially disadvantaged; and
demonstrate a personal net worth that does not exceed a level established by the department, but does not include equity in any personal residence or business for which the person is applying for certification.
"Qualified business enterprise" means a business which has its principal place of business in the State, is independently owned and operated, meets all other qualifications as established in accordance with this act, and is certified for participation in the program by the department.
"Socially disadvantaged" means that the owner or owners of a business enterprise:
demonstrate membership in a racial minority group or show personal disadvantage due to color, ethnic origin, gender, sexual orientation, gender identity, physical disability including, but not limited to, a service-connected disability declared by the United States Department of Veterans Affairs, or its successor, long-term residence in an environment isolated from the mainstream of American society, or location in an area of high unemployment, with such demonstration creating a presumption that may be rebutted; or
demonstrate a business location in a qualified census tract having a poverty rate of 20 percent or more; or a census tract in which the median family income for the census tract does not exceed 80 percent of the greater of the Statewide median family income or the median family income of the metropolitan statistical area in which the census tract is situated.
##### **§ 52:32-31.16** Socially, economically disadvantaged business enterprise owners, program, Department of the Treasury; certification, qualifications. {#sec-52-32-31.16 omnilex-key=us-nj-statutes--title-52--52:32-31.16}
2. a. The department shall establish a program for qualified business enterprise owners that are socially and economically disadvantaged and certified as qualified in accordance with this act, P.L.2023, c.300 (C.52:32-31.15 et seq.). To establish and implement the program, the department shall:
(1) establish a procedure through which a socially and economically disadvantaged business owner may apply for certification as a qualified business enterprise under the program, which certification shall be supported by available data and information;
(2) establish a system for accepting State-approved third party certifications for the purpose of certifying qualified business enterprises;
(3) establish reasonable regulations appropriate for controlling the certification of socially and economically disadvantaged businesses as qualified business enterprises and for maintaining a list of such business enterprises;
(4) establish a procedure for annually reviewing the list of qualified business enterprises for the purpose of determining whether a business on the list is eligible to maintain its certification as a qualified business enterprise; and
(5) establish a procedure through which the certification of a business as a qualified business enterprise may be challenged by a third party.
b. Any procedures established pursuant to paragraphs (1), (4), and (5) of subsection a. of this section shall include notice to the business owner whose certification is at issue and an opportunity for a hearing before the department. The hearing shall not be considered a contested case pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:32-31.17** Contracting agency procurement goals, qualified business enterprises. {#sec-52-32-31.17 omnilex-key=us-nj-statutes--title-52--52:32-31.17}
3. a. (1) The department shall establish contracting agency procurement goals for contracting with qualified business enterprises in the awarding of contracts. These goals may, where appropriate, be attained by the direct designation of prime contracts for qualified business enterprises or by subcontracting, and in accordance with and supported by available data and information. Each contracting agency shall make a good faith effort to attain the goals established in this section.
(2) The department shall develop a process for evaluating and adjusting goals to determine what adjustments are necessary to achieve participation goals.
b. Each contracting agency shall annually develop, in consultation with the department, a plan for achieving its qualified business enterprise goals.
##### **§ 52:32-31.18** Contracting agencies, report, Department of the Treasury, content requirements; department report to Governor, Legislature. {#sec-52-32-31.18 omnilex-key=us-nj-statutes--title-52--52:32-31.18}
4. Each contracting agency shall submit an annual report to the department according to a schedule announced by the department. This report shall include the following information:
a. the total dollar value and number of contracts awarded to qualified business enterprises, and the percentage of the total State procurements by the contracting agency that the figure of total dollar value reflects;
b. the types and sizes of businesses receiving contracts and the nature of the purchases and contracts; and
c. the efforts made to publicize and promote the program.
The department shall receive and analyze the reports submitted by the contracting agencies and, utilizing these data, submit an annual report to the Governor, and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), showing the progress being made toward the objectives and goals of this act during the preceding fiscal year.
##### **§ 52:32-32** Short title {#sec-52-32-32 omnilex-key=us-nj-statutes--title-52--52:32-32}
This act shall be known and may be cited as the "New Jersey Prompt Payment Act."
##### **§ 52:32-33** Definitions {#sec-52-32-33 omnilex-key=us-nj-statutes--title-52--52:32-33}
As used in this act:
a. "Business concern" means any person engaged in a trade or business, including private nonprofit entities operating as independent contractors, providing goods or services directly to a using agency or to a designated third party and operating pursuant to a State contract which requires either a single payment or multiple payments, but shall not include any "public utility" as that term is defined under section 1 of P.L.1946, c.219 (C.48:2-13);
b. "Using agency" means the appropriate agency of the State, including the Office of Legislative Services and the legislative branch of State government, which receives or uses the goods or services provided under the contract between the State and a business concern or which contracts on behalf of the State with a business concern for goods or services to be provided to designated third parties;
c. "Director" means the Director of the Division of Budget and Accounting in the Department of the Treasury;
d. "Division" means the Division of Budget and Accounting in the Department of the Treasury;
e. "Properly executed State invoice" means a State invoice which contains all the information which the director may require by regulation;
f. "State" means the State of New Jersey and any office, department, division, bureau, board, commission, or agency of the State, the Office of Legislative Services, and the legislative branch of State government, but shall not include any entity which is statutorily authorized to sue and be sued.
##### **§ 52:32-33.1** State contractors encouraged to disseminate information relative to organ donation. {#sec-52-32-33.1 omnilex-key=us-nj-statutes--title-52--52:32-33.1}
2. The Department of the Treasury shall encourage all business concerns awarded contracts with the State, as defined in section 2 of P.L.1987, c.184 (C.52:32-33) to notify their employees, through information and materials or through an organ and tissue awareness program, of organ donation options. The information provided to employees shall be prepared in collaboration with the organ procurement organizations designated pursuant to 42 U.S.C.s.1320b-8 to serve in this State.
##### **§ 52:32-34** Interest payments due {#sec-52-32-34 omnilex-key=us-nj-statutes--title-52--52:32-34}
a. Interest shall be paid on the amount due to a business concern pursuant to a properly executed State invoice, when required, if the required payment is not made on or before the required payment date.
b. The required payment date shall be 60 calendar days from the date specified in the contract or if no required payment date is specified in the contract, then the required payment date shall be 60 calendar days from the receipt of a properly executed State invoice, or 60 calendar days from the receipt of goods or services, whichever is later. Interest shall not be paid unless goods and services are rendered.
c. Unless otherwise provided for in the contract, the using agency shall have 35 calendar days from the receipt of a properly executed State invoice or 35 calendar days from the receipt and acceptance of delivery of goods or services, whichever is later, to submit the request for payment to the division. The division shall have 25 calendar days from the date the request for payment is submitted by the using agency to make the required payment to a business concern.
##### **§ 52:32-35** Payment of interest, period, rate {#sec-52-32-35 omnilex-key=us-nj-statutes--title-52--52:32-35}
a. Interest on amounts due shall be paid to the business concern for the period beginning on the day after the required payment date and ending on the date on which the check for payment is drawn. The interest shall be paid at a rate which the State Treasurer shall specify as applicable on the 30th day after the enactment of this act and by the 30th day after the end of each fiscal year thereafter.
In determining the rate, the Treasurer shall take into consideration current private commercial rates of interest for new loans maturing in approximately five years. The Treasurer shall publish the rate.
b. No interest charge as required by this act shall become a debt of the State until its exceeds $5.00.
c. Interest may be paid by separate payment to a business concern, but shall be paid within 30 days of the late payment.
d. No appropriation of funds shall be made for the payment of interest required by this section. The division or using agency, whichever is responsible for the late payment, shall pay any interest charges required by this act out of the funds available for the administration of division or agency programs.
##### **§ 52:32-36** Rules, regulations {#sec-52-32-36 omnilex-key=us-nj-statutes--title-52--52:32-36}
a. The director shall adopt rules and regulations to effectuate the purposes of this act pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), except that any rules and regulations affecting payments under the "New Jersey Medical Assistance and Health Services Act," P.L.1968, c.413 (C.30:4D-1 et seq.) shall have the approval and consent of the Commissioner of Human Services.
b. The director shall by regulation provide that:
(1) Separate required payment dates shall exist for property or services provided in a series of partial executions or deliveries to the extent the contract provides for separate payment for each partial execution or delivery;
(2) The using agency shall notify the business concern within 30 calendar days of any defect or impropriety in any invoice submitted or of any defect or impropriety in goods or services provided which would prevent the running of the time period specified in section 3 of this act.
c. The director may by regulation provide that the required payment date shall be within a specified number of days after the date of delivery in the case of contracts for the provision of perishable goods.
##### **§ 52:32-36.1** Nonapplicability to certain programs {#sec-52-32-36.1 omnilex-key=us-nj-statutes--title-52--52:32-36.1}
The provisions of P.L.1987, c.184 (C.52:32-32 et seq.) shall not: a. apply to any program administered by the Division of Medical Assistance and Health Services in the Department of Human Services under contract with a fiscal agent until such time as the State Treasurer determines that the fiscal agent is fully operational and the Commissioner of Human Services receives notification from the federal Health Care Financing Administration that the Medicaid Management Information System is in compliance with all applicable federal certification requirements; or b. affect the authority of the Commissioner of Human Services to issue regulations necessary to secure for the State of New Jersey maximum federal financial participation or the commissioner's authority to promulgate regulations to administer programs pursuant to P.L.1968, c.413 (C.30:4D-1 et seq.).
##### **§ 52:32-37** Interest payments waived; conditions {#sec-52-32-37 omnilex-key=us-nj-statutes--title-52--52:32-37}
The State Treasurer shall have the right to waive the interest payment for delinquencies due to circumstances beyond the control of the using agency or the division, including but not limited to strikes and natural disasters, and for contracts entered into prior to the effective date of this act.
##### **§ 52:32-38** Report on interest payments {#sec-52-32-38 omnilex-key=us-nj-statutes--title-52--52:32-38}
a. Each using agency and the division shall file with the director a detailed report on any interest payments made for the 12-month period after the effective date of this act and for each 12-month period thereafter.
b. The report shall include the number, amounts, and frequency of interest payments and the reasons the interest payments were not avoided by prompt payment.
c. The report shall be delivered to the director within 90 days after the end of each 12-month period.
d. The director shall submit to the Senate Revenue, Finance and Appropriations Committee and the Assembly Appropriations Committee, within 150 days after the end of each 12-month period, a report on State compliance with the requirements of this act. The report shall include a summary of the report submitted by each using agency and the division and an analysis of the progress made in reducing interest payments by that agency or the division from previous years. Upon evaluating the director's report, the committees shall reassess the time provisions set forth in subsections b. and c. of section 3 of this act with the intent of reducing these time periods, if practicable.
##### **§ 52:32-39** Accrual of prejudgment interest not permitted {#sec-52-32-39 omnilex-key=us-nj-statutes--title-52--52:32-39}
Nothing in this act shall be construed as permitting the accrual of prejudgment interest in the case of a disputed contract for which a notice of claim has been filed under the "New Jersey Contractual Liability Act," N.J.S. 59:13-1 et seq., as provided in N.J.S. 59:13-8.
##### **§ 52:32-39.1** Payment of interest by independent State authority; definitions. {#sec-52-32-39.1 omnilex-key=us-nj-statutes--title-52--52:32-39.1}
1. An independent State authority shall pay interest on the amount due a business concern pursuant to a properly executed invoice, when required, if the required payment is not made on or before the required payment date.
Unless otherwise provided for in the contract, the required payment date shall be 60 calendar days from the date specified in the contract or if no required payment is specified in the contract, then the required payment date shall be 60 calendar days from the receipt of a properly executed invoice, or 60 calendar days from the receipt of goods or services, whichever is later. Interest shall not be paid unless goods and services are rendered.
Interest on amounts due shall be paid to the business concern for the period beginning on the day after the required payment date and ending on the date on which the check for payment is drawn.
Interest shall be paid at the rate specified by the State Treasurer for State late payments to business concerns pursuant to section 4 of P.L.1987, c.184 (C.52:32-35).
Interest may be paid by separate payment to a business concern, but shall be paid within 30 days of the late payment.
An independent State authority may waive the interest payment for a delinquency due to circumstances beyond the control of the authority, including but not limited to a strike or natural disaster.
As used in this section:
"business concern" means any person engaged in a trade or business, including a private nonprofit entity operating as an independent contractor, providing goods or services directly to an independent State authority or to a designated third party and operating pursuant to a contract with a contracting unit which requires either a single payment or multiple payments, but shall not include a "public utility" as defined in R.S.48:2-13; and
"independent State authority" means a public authority, board, commission, committee, council, instrumentality, or agency which is a body corporate and politic established by law having the power to sue or be sued and to issue bonds.
##### **§ 52:32-40** Definitions {#sec-52-32-40 omnilex-key=us-nj-statutes--title-52--52:32-40}
1. As used in this act:
"Prime contractor" means any person who has a construction contract with a State agency and who subcontracts all or a part of that contract.
"State agency" means any of the principal departments in the Executive Branch of the State Government, and any division, board, bureau, office, commission or other instrumentality within or created by such department, the Legislature of the State and any office, board, bureau or commission within or created by the Legislative Branch, and any independent State authority, commission, instrumentality or agency which is authorized by law to award construction contracts. A county or municipality shall not be deemed an agency or instrumentality of the State.
"Subcontractor" means any person who enters into a contract with a prime contractor to perform a specific part of the work for which the prime contractor is responsible under a construction contract with a State agency.
"Supplier" means any person who enters into a contract with a prime contractor to provide materials to that prime contractor in connection with a State construction contract.
##### **§ 52:32-41** Construction contracts, timely payment to subs and suppliers, procedure {#sec-52-32-41 omnilex-key=us-nj-statutes--title-52--52:32-41}
2. a. Prior to the issuance of a progress payment by a State agency to a prime contractor, the prime contractor shall certify to the State agency that a subcontractor or supplier has been paid any amount due from any previous progress payment and shall be paid any amount due from the current progress payment, or that there exists a valid basis under the terms of the subcontractor's or supplier's contract to withhold payment from the subcontractor or supplier and therefore payment is withheld.
b. If the prime contractor withholds payment from a subcontractor or supplier, the prime contractor shall provide to the subcontractor or supplier written notice of a withholding of payment. The notice shall detail the reason for withholding payment and state the amount of payment withheld. A copy of the notice shall be provided to the bonding company providing the performance bond for the general contractor and to the State agency.
c. In addition to any amount due, a subcontractor or supplier shall also receive from a prime contractor interest on the amount due at a rate equal to the prime rate plus 1% if a subcontractor or supplier is not paid within 10 calendar days after receipt by the prime contractor of payment by a State agency for completed work which is the subject of a subcontract or a material supply agreement and if no valid basis exists for withholding payment. This interest shall begin to accrue on the 10th calendar day after receipt of payment by the prime contractor. In addition, a subcontractor or supplier shall receive any court costs incurred by the subcontractor or supplier to collect payments withheld without a valid basis by the prime contractor.
d. If court action is taken by a subcontractor or supplier to collect payments withheld by a prime contractor and it is determined that a valid basis existed for the withholding of those payments, the subcontractor or supplier shall be liable for any court costs incurred by the prime contractor in connection with the action.
##### **§ 52:32-42** Bond regulations; definitions {#sec-52-32-42 omnilex-key=us-nj-statutes--title-52--52:32-42}
1. a. A contracting agency shall promulgate regulations, pursuant to the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), establishing uniform guidelines in establishing the amount of any bond required in connection with the performance of each type of contract commonly awarded by the contracting agency. The regulations shall include, for each type of contract, a method for determining the appropriate amount of a bond based upon an assessment of the risk to the contracting agency presented by the contract and other factors relevant to the performance of a particular type of contract. The bond percentage required shall be identified in the State contract bid documents prior to the contract bidding date. A contracting agency which seeks to deviate from the requirements of the regulations in a particular case shall obtain the prior approval of the Public Contract Oversight Office established pursuant to P.L. , c. (C. ) (now pending before the Legislature as Assembly Bill No. 1623) by establishing a demonstrable need for departure from the contracting agency guidelines.
b. As used in this section:
"contracting agency" means the State or any board, commission, committee, authority or agency of the State which possesses the legal authority to award and make contracts; and
"State contract" means any purchase, contract or agreement the cost or contract price of which is to be paid, in whole or in part, with or out of State or contracting agency funds.
##### **§ 52:32-43** Bond amount percentage; definitions {#sec-52-32-43 omnilex-key=us-nj-statutes--title-52--52:32-43}
1. The amount of any bond required under a State contract may be established at any percentage, not exceeding 100%, of the amount bid, based upon the contracting agency's assessment of the risk presented to the State by the type of contract and other relevant factors, and the contracting agency may waive the bond requirement of this section entirely if the contract is for a sum not exceeding $200,000. The bond percentage required shall be identified in the State contract bid documents prior to the contract bidding date.
As used in this section:
"contracting agency" means the State or any board, commission, committee, authority or agency of the State; and
"State contract" means any purchase, contract or agreement the cost or contract price of which is to be paid, in whole or in part, with or out of State funds.
##### **§ 52:32-44** Definitions relative to registration of certain businesses; registration requirements. {#sec-52-32-44 omnilex-key=us-nj-statutes--title-52--52:32-44}
1. a. For the purposes of this section:
"Bid" or "request for proposal" means a publicly advertised, formal process used by a contracting agency to receive offers to provide goods or services or construct a construction project. It is not the same as an informal, non-advertised process of requesting quotations from contractors.
"Bid threshold" means the statutory amount over which a contracting agency must seek bids.
"Business organization" means an individual, partnership, association, joint stock company, trust, corporation, or other legal business entity or successor thereof, but does not include a government agency or organization organized as a nonprofit entity under 26 U.S.C. sec. 501 (c);
"Business registration" means a business registration certificate issued by the Division of Revenue in the Department of the Treasury or such other form of verification or proof of registration as may be approved by the Division that a contractor or subcontractor is registered with the Department of the Treasury;
"Contract" means any agreement, including but not limited to a purchase order or a formal agreement for the provision of goods, performance of services, or construction of a construction project, which is a legally binding relationship enforceable by law, between a contractor and a contracting agency that agrees to compensate the contractor, as defined by and subject to the terms and conditions of the agreement; and where the goods that are received, services that are delivered, and construction is constructed is within the geographic borders of the State of New Jersey; and where:
(1) the value of a single contract with the contractor is in excess of 15 percent of the amount of the contracting agency's bid threshold; or
(2) when the aggregate amount of contracts with the contractor, during the fiscal year of the contracting agency, exceeds 15 percent of the amount of the contracting agency's bid threshold.
"Contractor" means a business organization that seeks to enter, or has entered into, a contract with a contracting agency;
"Contracting agency" means the principal departments in the Executive Branch of the State Government, and any division, board, bureau, office, commission or other instrumentality within or created by such department, or any independent State authority, commission, instrumentality or agency, or any State college or university, any county college, or any local unit;
"Local unit" means any contracting unit as defined pursuant to section 2 of P.L.1971, c.198 (C.40A:11-2), any board of education as defined pursuant to N.J.S.18A:18A-2, a private firm that has entered into a contract with a public entity for the provision of water supply services pursuant to P.L.1995, c.101 (C.58:26-19 et al.), a private firm or public authority that has entered into a contract with a public entity for the provision of wastewater treatment service pursuant to P.L.1995, c.216 (C.58:27-19 et al.), and a duly incorporated nonprofit association that entered into a contract with the governing body of a city of the first class for the provision of wastewater treatment services pursuant to P.L.1995, c.216 (C.58:27-19 et al.);
"Subcontractor" means any business organization that is not a contractor that knowingly enters into a contract, or constructs a construction project, with a contractor or another subcontractor in the fulfillment of a contract issued by a contracting agency. In the case of a construction contract, "subcontractor" shall mean only those subcontractors who are required by law to be named in the submission of a bid.
b. A contractor shall provide the contracting agency with the business registration of the contractor and that of any named subcontractor prior to the time a contract, purchase order, or other contracting document is awarded or authorized. At the sole option of the contracting agency, the requirement that a contractor provide proof of business registration may be fulfilled by the contractor providing the contracting agency sufficient information for the contracting agency to verify proof of registration of the contractor, or named subcontractors, through a computerized system maintained by the State.
c. A subcontractor named in a bid or other proposal made by a contractor to a contracting agency shall provide a copy of its business registration to any contractor who shall provide it to the contracting agency pursuant to the provisions of subsection b. of this section. No contract with a subcontractor shall be entered into by any contractor under any contract with a contracting agency unless the subcontractor first provides the contractor with proof of a valid business registration. For bids and requests for proposals, the contracting agency must retain the proof of business registration in the file where documents relating to the contract are maintained. For all other contracts, proofs of business registration shall be maintained in an alphabetical file.
d. The contractor shall maintain and submit to the contracting agency a list of subcontractors and their addresses that may be updated from time to time during the course of the contract performance. A complete and accurate list shall be submitted before final payment is made for goods provided or services rendered or for construction of a construction project under the contract. A contracting agency shall not be responsible for a contractor's failure to comply with this subsection.
e. The Department of the Treasury shall provide each contracting agency with appropriate language reflecting the obligations of contractors and subcontractors under this section that the contracting agency shall include in any contract document, bid specification, requests for proposals, or other documents notifying potential contractors of contract opportunities with a contracting agency.
f. Nothing in this section shall in any way alter the provisions or change the responsibilities or obligations of casino industry licensees as set forth in section 92 of P.L.1977, c.110 (C.5:12-92).
g. (1) A contractor or a contractor with a subcontractor that has entered into a contract with a contracting agency, and each of their affiliates, shall collect and remit to the Director of the Division of Taxation in the Department of the Treasury the use tax due pursuant to the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.) on all their taxable sales of tangible personal property delivered into this State.
(2) A contracting agency entering into a contract with a contractor, or a contractor with a subcontractor, shall include in its contract with that contractor, or a contractor with a subcontractor, for the term of the contract, a requirement that the contractor or subcontractor and each of their affiliates shall collect and remit to the Director of the Division of Taxation in the Department of the Treasury the use tax due pursuant to the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.) on all their sales of tangible personal property delivered into this State.
(3) For the purposes of this subsection, "affiliate" means any entity that (1) directly, indirectly, or constructively controls another entity, (2) is directly, indirectly, or constructively controlled by another entity, or (3) is subject to the control of a common entity. For purposes of this subsection an entity controls another entity if it owns, directly or individually, more than 50% of the ownership interest in that entity.
h. The State Treasurer may adopt regulations pursuant to the "Administrative Procedure Act", P.L.1968, c.410 (C.52:14B-1 et seq.) as are necessary to administer the provisions of this act.
i. If a contractor fails to provide proof of business registration upon request by the contracting agency for a contract that does not require bidding or a request for proposals, and the contracting agency determines that the purpose of that contract is of a proprietary nature with a contractor that does not have a business presence in New Jersey, the contracting agency shall provide the Division of Revenue, within 10 days of executing the contract, a copy of the contract, evidence of the contractor's taxpayer identification number, and a signed certification attesting to the proprietary nature of the contract and representing that the contracting agency made a diligent effort to obtain proof of a business registration from the contractor.
j. When a contracting agency enters into a contract with a contractor under a contract issued by State of New Jersey Cooperative Purchasing Program, or any other authorized cooperative purchasing system, the contracting agency awarding the initial contract shall receive and file the proof of business registration. Contract documents issued under a cooperative purchasing agreement shall identify the contract and the contracting agency awarding the contract.
k. In situations of an emergent nature, a contracting agency may enter into a contract with a business organization, provided that the contractor agrees to provide a business registration within two weeks of the execution of the contract. The contracting agency shall not pay the business organization for goods or services provided until such time as the organization provides proof of business registration as set forth in this section. Failure to pay the business organization until proof of business registration is received shall not be grounds for the agency being liable for payment.
##### **§ 52:32-44.1** Debarment of certain persons from contracting for public work; definitions. {#sec-52-32-44.1 omnilex-key=us-nj-statutes--title-52--52:32-44.1}
1. a. Any person that is debarred at the federal level from contracting with a federal government agency shall be debarred from contracting for any public work in this State.
b. Any affiliate of a person debarred at the federal level from contracting with a federal government agency shall be debarred from contracting for any public work in this State.
c. Prior to awarding any contract for public work, a person shall provide written certification to the contracting agency that neither the person nor the person's affiliates are debarred at the federal level from contracting with a federal government agency. The contracting agency shall not make, negotiate, or award a contract for public work to any person that does not provide such written certification as required by this subsection. The contracting agency shall verify the certification by consulting the federal System for Award Management, or its successor, prior to awarding a contract for public work.
d. In situations of an emergent nature, a contracting agency may enter into a contract with a person, provided that the person agrees to provide the written certification required pursuant to subsection c. of this section within two weeks of the execution of the contract. The contracting agency shall not make final payment to the person until such time as the person provides the written certification. Failure to pay the person until the written certification is received shall not be grounds for the agency being liable for payment.
e. As used in this section:
"Affiliate" means any entity that (1) directly, indirectly, or constructively controls another entity, (2) is directly, indirectly, or constructively controlled by another entity, or (3) is subject to the control of a common entity. An entity controls another entity if it owns, directly or individually, more than 50% of the ownership interest in that entity;
"Contracting agency" means the principal departments in the Executive Branch of the State Government, and any division, board, bureau, office, commission or other instrumentality within or created by such department, or any independent State authority, commission, instrumentality or agency, or any State college or university, any county college, or any local unit;
"Federal government agency" means any federal executive department, military department, or defense agency, or other agency or independent establishment of the executive branch of the United States;
"Local unit" means any contracting unit as defined pursuant to section 2 of P.L.1971, c.198 (C.40A:11-2), any board of education as defined pursuant to N.J.S.18A:18A-2, a private firm that has entered into a contract with a public entity for the provision of water supply services pursuant to P.L.1995, c.101 (C.58:26-19 et al.), a private firm or public authority that has entered into a contract with a public entity for the provision of wastewater treatment service pursuant to P.L.1995, c.216 (C.58:27-19 et al.), and a duly incorporated nonprofit association that entered into a contract with the governing body of a city of the first class for the provision of wastewater treatment services pursuant to P.L.1995, c.216 (C.58:27-19 et al.);
"Person" means any natural person, company, firm, association, corporation, or other entity;
"Public work" means any public building, public highway, bridge, or other public betterment, work or improvement of a permanent nature, constructed, reconstructed, repaired or improved wholly at the expense of the public.
##### **§ 52:32-45** Preference in contracts for wood, paper products derived from sustainably managed forests, procurement systems. {#sec-52-32-45 omnilex-key=us-nj-statutes--title-52--52:32-45}
1. a. Notwithstanding the provisions of any other law to the contrary, the Director of the Division of Purchase and Property in the Department of the Treasury, the Director of the Division of Property Management and Construction in the Department of the Treasury, or any State agency having authority to contract for the purchase of goods or services, shall whenever possible give preference to wood or paper products derived from sustainably managed forests or procurement systems when entering into or renewing a contract for the purchase of such goods or related services. Any preference provided pursuant to this subsection may not supersede any preference given to recycled paper and paper products pursuant to P.L.1987, c.102 (C.13:1E-99.11 et seq.).
In preparing the specifications for any contract for the purchase of goods and services the Director of the Division of Purchase and Property, the Director of the Division of Property Management and Construction, or any State agency having authority to contract for the purchase of goods or services shall include in the invitation to bid, where relevant, a statement that any response to the invitation that proposes or calls for the use of wood or paper products derived from sustainably managed forests or procurement systems shall receive preference whenever possible.
b. The provisions of subsection a. of this section shall not apply:
(1) To any binding contractual obligations for the purchase of goods or services entered into prior to the effective date of P.L.2005, c.367 (C.52:32-45 et seq.);
(2) To bid packages advertised and made available to the public, or to any competitive and sealed bids received by the State, prior to the effective date of P.L.2005, c.367 (C.52:32-45 et seq.); or
(3) To any amendment, modification, or renewal of a contract, which contract was entered into prior to the effective date of P.L.2005, c.367 (C.52:32-45 et seq.) where the application would delay timely completion of a project or involve an increase in the total moneys to be paid by the State under that contract.
c. For the purposes of P.L.2005, c.367 (C.52:32-45 et seq.), "derived from sustainably managed forests or procurement systems" means the source of the wood or paper product is a forest or system for procuring wood or paper products that is certified by the Department of Environmental Protection under the forest certification program established pursuant to section 4 of P.L.2009, c.256 (C.13:1L-32) or by an independent third party using one or more of the following certification programs or standards:
(1) The Sustainable Forestry Initiative program;
(2) The American Forest Foundation American Tree Farm System program;
(3) The sustainable forest management system standards of the Canadian Standards Association;
(4) The Forest Stewardship Council certification program;
(5) The Pan-European forest certification system;
(6) The Finnish Forest Certification System;
(7) The United Kingdom Woodland Assurance Standard;
(8) The International Organization for Standardization (ISO) standard 14001; or
(9) Any other certification program or standard that the State Treasurer or the Commissioner of Environmental Protection determines may be used to certify that wood or paper products are derived from sustainably managed forests or procurement systems.
##### **§ 52:32-46** Procedures conduct; rules, regulations. {#sec-52-32-46 omnilex-key=us-nj-statutes--title-52--52:32-46}
2. a. The State Treasurer, in consultation with the Commissioner of Environmental Protection, shall establish any procedures or conduct any review necessary to determine that wood or paper products are derived from sustainably managed forests or procurement systems for the purposes of implementing the provisions of section 1 of this act and ensuring proper compliance with the requirements therein.
b. The State Treasurer, in conjunction with the Commissioner of Environmental Protection, may adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), any rules and regulations necessary to implement the provisions of this act.
##### **§ 52:32-47** Business ethics guide posted on Internet site. {#sec-52-32-47 omnilex-key=us-nj-statutes--title-52--52:32-47}
16. a. The State Treasurer shall post on the official Internet site of the State for the Division of Purchase and Property in the Department of the Treasury a business ethics guide prepared in accordance with Executive Order No. 189 of 1988, or any other executive order that modifies, supplements or replaces Executive Order No. 189 of 1988.
b. A person or private entity covered by the executive order that seeks to submit a bid for a contract with a State agency covered by the executive order, or enter into negotiations for a contract with such a State agency, shall be required to submit to the contracting agency a certification that the person or entity has read the guide, understands its provisions and is in compliance with its provisions.
##### **§ 52:32-48** Qualified minority, women-owned financial institutions, service as senior managing underwriters, certain transactions; report; definitions. {#sec-52-32-48 omnilex-key=us-nj-statutes--title-52--52:32-48}
1. a. For each State fiscal year commencing after the effective date of P.L.2010, c.107, a State entity which engages in debt transactions shall examine the opportunity of qualified minority and women-owned financial institutions to serve as senior managing underwriters for such transactions. The State entity shall report the findings of the examination to the State Treasurer, and to the Legislature upon the explicit request thereof.
b. The report required by subsection a. of this section shall include:
(1) the total number of the State entity's debt transactions in which qualified minority and women-owned financial institutions served as senior managing underwriters;
(2) the total number of qualified minority and women-owned financial institutions which sought unsuccessfully to serve as senior managing underwriters for the State entity's debt transactions;
(3) the total number of qualified minority and women-owned financial institutions available to serve as senior managing underwriters for the State entity's debt transactions;
(4) the total number of qualified minority and women-owned financial institutions available to serve as senior managing underwriters for the State entity's debt transactions whose primary trading, underwriting or investment banking activities were located within the State;
(5) the total number of State entity debt transactions in which a qualified minority and women-owned financial institution served as senior managing underwriters, relative to the total number of debt transactions undertaken by the State entity;
(6) the total value of the State entity's debt transactions in which a qualified minority and women-owned financial institution served as senior managing underwriters, relative to the total value of debt transactions undertaken by the State entity; and
(7) the total and per transaction value of the compensation provided to qualified minority and women-owned financial institutions who serve as senior managing underwriters for the State entity's debt transactions relative to the total and per transaction value of compensation provided to financial institutions, other than qualified minority and women-owned financial institutions, who serve as senior managing underwriters for the State entity's debt transactions.
c. A report owed pursuant to this section shall be due on the first business day after the January 1 immediately following the end of the State fiscal year for which the report is due. The State Treasurer shall determine uniform methods of data collection and reporting to effectuate this section. The State Treasurer may provide for a reporting method in which the requirements of subsection b. of this section are reported within categories defined by intervals of debt transaction valuations.
d. The State Treasurer may establish an aspirational level of utilization and relative compensation of qualified minority and women-owned financial institutions serving as senior managing underwriters in the State entity's debt transactions if such an aspirational level of utilization and relative compensation can be established in a manner consistent with the responsibility to seek out the most economically optimal arrangements available for debt transactions, in accordance with the requirement that all persons shall have the full and equal benefit of all laws, and in the presence of a gross statistical disparity in the utilization and relative compensation of qualified minority and women-owned financial institutions serving as senior managing underwriters for a State entity's debt transactions as evidenced in a report due under subsection a. of this section. An aspirational level of utilization and relative compensation shall not be construed as a mandated quota and shall not be enforceable, but shall be considered as a goal that the State entity is encouraged to achieve. The State Treasurer shall suspend an aspirational level of utilization and relative compensation upon finding the conditions which lead to its establishment are no longer present.
e. A State entity, having been assigned an aspirational level of utilization and relative compensation of minority and women-owned financial institutions serving as senior managing underwriters in the State entity's debt transactions, shall include in its report due under subsection a. of this section a listing of impediments to the utilization and comparable compensation of minority and women-owned financial institutions serving as senior managing underwriters for the State entity's debt transactions and proposals to enhance the utilization and compensation of qualified minority and women-owned financial institutions serving as senior managing underwriters for the State entity's debt transactions.
f. In the event the State Treasurer finds and certifies that impediments to the utilization and comparable compensation of minority and women-owned financial institutions continue to exist six months before the initial expiration date of P.L.2010, c.107, the State Treasurer shall report such findings to the Legislature in accordance with section 2 of P.L.1991, c.164 (C.52:14-19.1) within 60 days thereof and P.L.2010, c.107 shall not expire but shall remain in effect for another five years, or until the State Treasurer finds and certifies that the impediments to the utilization and comparable compensation of minority and women-owned financial institutions cease to exist, whichever occurs first. P.L.2010, c.107 shall expire upon the State Treasurer notifying the Legislature that the impediments cease to exist or that the five-year period has ended, whichever occurs first.
g. As used in this section:
"Debt transaction" means the creation or refinancing of a bond, note or other financial instrument for which repayment is due.
"Qualified minority and women-owned financial institution" means a financial institution qualified to engage in State entity debt transactions that has a valid certification as a "minority business" or a "women's business" pursuant to P.L.1986, c.195 (C.52:27H-21.17 et seq.).
"Senior managing underwriter" means the lead and book running manager of the syndicate of underwriters of the State's or State entity's debt transactions.
"State entity" means a State department or agency, board, commission, corporation or authority.
h. If any section, subsection, paragraph, sentence or other part of this act is adjudged unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder of this act, but shall be confined in its effect to the section, subsection, paragraph, sentence or other part of this act directly involved in the controversy in which said judgment shall have been rendered.
##### **§ 52:32-49** Short title. {#sec-52-32-49 omnilex-key=us-nj-statutes--title-52--52:32-49}
1. This act shall be known and may be cited as the "Veteran-Owned Business Assistance Act."
##### **§ 52:32-50** Definitions relative to businesses owned, operated by veterans. {#sec-52-32-50 omnilex-key=us-nj-statutes--title-52--52:32-50}
2. As used in this act:
"Authority" means the New Jersey Economic Development Authority.
"Contracting agency" means the State or any board, commission, authority or agency of the State.
"Department" means the New Jersey Department of the Treasury.
"Veteran" means any resident of this State now or hereafter who has been discharged honorably or under general honorable conditions who served in any branch of the Armed Forces of the United States or a Reserve component thereof or the National Guard of this State or another state as defined in section 1 of P.L.1963, c.109 (C.38A:1-1), and shall include disabled veterans.
"Veteran-owned business" means a business that has its principal place of business in the State, is independently owned and operated and at least 51 percent of the business is owned and controlled by persons who are veterans.
##### **§ 52:32-51** Participation encouraged. {#sec-52-32-51 omnilex-key=us-nj-statutes--title-52--52:32-51}
3. The New Jersey Department of the Treasury shall encourage veteran-owned businesses to participate in State procurement and contracting.
##### **§ 52:32-52** Goal for contracts awarded to businesses owned, operated by veterans. {#sec-52-32-52 omnilex-key=us-nj-statutes--title-52--52:32-52}
4. There is established the goal that contracting agencies give due consideration to veteran-owned businesses in awarding contracts. This goal may be attained by the department's monitoring of policies, practices, and programs in consultation with the authority and the New Jersey Department of Military and Veterans' Affairs that will further the State's efforts in encouraging opportunities for veteran-owned businesses in State purchasing and procurement processes. In addition, the department, in consultation with the authority and the New Jersey Department of Military and Veterans' Affairs shall identify strategies to expand the number of veteran-owned businesses interested in and eligible to benefit from State procurement activity.
##### **§ 52:32-53** Annual report to department. {#sec-52-32-53 omnilex-key=us-nj-statutes--title-52--52:32-53}
5. Each contracting agency shall submit an annual report to the department according to a schedule announced by the department. This report shall include the following information:
a. the total dollar value and number of contracts awarded to veteran-owned businesses;
b. the types and sizes of businesses receiving awards and the nature of the purchases and contracts; and
c. the efforts made to publicize and promote the program.
The department shall receive and analyze the reports submitted by the contracting agencies and, utilizing these data, submit an annual report to the Governor, and the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), showing the progress being made toward the objectives and goals of this act during the preceding fiscal year.
##### **§ 52:32-54** Regular consultations with vendor community. {#sec-52-32-54 omnilex-key=us-nj-statutes--title-52--52:32-54}
6. The department shall consult regularly with representatives of the vendor community for the purpose of implementing the provisions of this act. These consultations shall take place no less than once every six months.
##### **§ 52:32-54.1** Definitions. {#sec-52-32-54.1 omnilex-key=us-nj-statutes--title-52--52:32-54.1}
1. As used in P.L.2023, c.165 (C.52:32-54.1 et seq.):
"Business Action Center" or "center" means the Business Action Center established in the New Jersey Department of State pursuant to Reorganization Plan No. 003-2011.
"Chief Diversity Officer" means the position established in the Division of Purchase and Property in the New Jersey Department of the Treasury pursuant to section 1 of P.L.2017, c.95 (C.52:32-18.1).
"Department" means the New Jersey Department of the Treasury.
"Matchmaking event" means an annual small business matchmaking event hosted pursuant to section 2 of P.L.2023, c.165 (C.52:32-54.2).
"Nonprofit corporation" means a private, not-for-profit corporation, determined by the federal Internal Revenue Service to be a tax exempt organization pursuant to section 501(c)(3) of the Internal Revenue Code of 1986, 26 U.S.C. s.501(c)(3), whose mission is to stimulate job creation within and attract capital investment to New Jersey.
"Small business" means a business engaged in the conduct of a trade or business in this State that qualifies as a "small business concern" within the meaning of the federal "Small Business Act," Pub.L.85-536 (15 U.S.C. s.631 et seq.) for the purpose of the small business's eligibility for receiving assistance from the United States Small Business Administration. "Small business" shall include, but not be limited to, a small business established and operating in this State that is certified, pursuant to federal law, under the United States Small Business Administration's 8(a) Business Development program or the HUBZone program, or as a small disadvantaged business, or as a business concern by the United States Department of Housing and Urban Development pursuant to section 3 of the Housing and Urban Development Act of 1968 (12 U.S.C. s.1701u).
##### **§ 52:32-54.2** "Annual Business Matchmaking Event", New Jersey Department of the Treasury Chief Diversity Officer, Business Action Center; report to Governor, Legislature. {#sec-52-32-54.2 omnilex-key=us-nj-statutes--title-52--52:32-54.2}
2. a. The Chief Diversity Officer and the department, in partnership with the Business Action Center, shall host an annual program, to be known as the "Annual Business Matchmaking Event," with the purpose of connecting small businesses with representatives of federal, State, and local government agencies and their government contractors seeking small businesses to provide the government contractor with subcontracting services. The matchmaking event shall be organized or structured to ensure that small businesses participating in the matchmaking event are informed of the government subcontracting service opportunities available to small businesses and that government contractors realize the potential of partnering with small businesses for subcontracting services. The Chief Diversity Officer and the department shall establish the terms and conditions by which a small business and government contractor may apply for participation in the matchmaking event. Prior to planning or scheduling the matchmaking event, the Chief Diversity Officer and the center shall coordinate to contact State and federal agencies to request that those agencies send any small business contact information, which shall be used by the Chief Diversity Officer and the center to solicit small businesses for participation in the matchmaking event.
b. The Chief Diversity Officer and the center are authorized to seek and accept gifts, grants, or donations from private or public sources for the costs of hosting the matchmaking event, except that the Chief Diversity Officer and the center may not accept a gift, grant, or donation that is subject to conditions that are inconsistent with any other law of this State. The Chief Diversity Officer and the center may enter into an agreement with a nonprofit corporation to allow the nonprofit corporation to host the matchmaking event. The Chief Diversity Officer and the center shall coordinate the scheduling and promotion of the matchmaking event in conjunction with the African American Chamber of Commerce of New Jersey, the Statewide Hispanic Chamber of Commerce of New Jersey, the New Jersey Association of Women Business Owners, the New Jersey State Veterans Chamber of Commerce, the New Jersey Chamber of Commerce, the New Jersey Business and Industry Association, and the National Federation of Independent Business in New Jersey.
c. The Chief Diversity Officer, in partnership with the center, shall report no later than one year following each annual matchmaking event to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature on the number and percentage of subcontracts awarded to small businesses and the types of government contracting services provided to small businesses as a result of their participation in the annual matchmaking event.
##### **§ 52:32-55** Findings, declarations relative to certain public contracts. {#sec-52-32-55 omnilex-key=us-nj-statutes--title-52--52:32-55}
1. The Legislature finds and declares that:
a. In imposing sanctions on Iran, the United States Congress and the President of the United States have determined that the illicit nuclear activities of Iran, combined with its development of unconventional weapons and ballistic missiles, and its support of international terrorism, represent a serious threat to the security of the United States and its allies around the world.
b. The International Atomic Energy Agency has repeatedly called attention to Iran's unlawful nuclear activities, and as a result, the United Nations Security Council has adopted four rounds of sanctions designed to compel the Government of Iran to cease those activities and comply with its obligations under the Treaty on the Non-Proliferation of Nuclear Weapons, commonly known as the Nuclear Non-Proliferation Treaty.
c. The human rights situation in Iran has steadily deteriorated since the fraudulent elections of 2009, as evidenced by the brutal repression, torture, murder and arbitrary detention of peaceful protestors, dissidents and minorities.
d. On July 1, 2010, President Obama signed into law the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010, which expressly authorizes state and local governments to prevent investment in, including prohibiting entry into or renewing contracts with, companies operating in Iran and includes provisions that preclude companies that do business in Iran from contracting with the U.S. Government.
e. It is the intention of the Legislature to implement this authority granted under Section 202 of the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010.
f. There are moral and reputational reasons for state and local governments to not engage in business with foreign companies that have business activities benefiting foreign states, such as Iran, that pursue illegal nuclear programs, support acts of terrorism and commit violations of human rights.
g. Short-term economic profits cannot be a justification to circumvent even in spirit those international sanctions designed to thwart Iran from developing nuclear weapons.
h. The concerns of this Legislature regarding Iran are strictly the result of the actions of the government of Iran and should not be construed as enmity toward the Iranian people.
##### **§ 52:32-56** Definitions relative to certain public contracts. {#sec-52-32-56 omnilex-key=us-nj-statutes--title-52--52:32-56}
2. As used in this act:
a. "State agency" means any of the principal departments in the Executive Branch of the State government, and any division, board, bureau, office, commission or other instrumentality within or created by such department, the Legislature of the State and any office, board, bureau or commission within or created by the Legislative Branch, and any independent State authority, commission, instrumentality or agency which is authorized by law to award public contracts.
b. "Energy sector" of Iran means activities to develop, invest in, explore for, refine, transfer, purchase or sell petroleum, gasoline, or other refined petroleum products, or natural gas, liquefied natural gas resources or nuclear power in Iran.
c. "Financial institution" means the term as used in Section 14 of the Iran Sanctions Act of 1996, Section 14 of Pub.L.104-172 (50 U.S.C. 1701 note).
d. "Iran" means the government of Iran, and includes the territory of Iran and any other territory or marine area, including the exclusive economic zone and continental shelf, over which the government of Iran claims sovereignty, sovereign rights, or jurisdiction, provided that the government of Iran exercises partial or total control over the area or derives a benefit from economic activity in the area pursuant to international arrangements.
e. "Person or entity" means any of the following:
(1) A natural person, corporation, company, limited partnership, limited liability partnership, limited liability company, business association, sole proprietorship, joint venture, partnership, society, trust, or any other nongovernmental entity, organization, or group.
(2) Any governmental entity or instrumentality of a government, including a multilateral development institution, as defined in Section 1701(c)(3) of the International Financial Institutions Act, 22 U.S.C. 262r(c)(3).
(3) Any parent, successor, subunit, direct or indirect subsidiary, or any entity under common ownership or control with, any entity described in paragraph (1) or (2).
f. For the purposes of this act, a person engages in investment activities in Iran, if:
the person provides goods or services of $20,000,000 or more in the energy sector of Iran, including a person that provides oil or liquefied natural gas tankers, or products used to construct or maintain pipelines used to transport oil or liquefied natural gas, for the energy sector of Iran; or
the person is a financial institution that extends $20,000,000 or more in credit to another person, for 45 days or more, if that person will use the credit to provide goods or services in the energy sector in Iran and is identified on a list created pursuant to subsection b. of section 3 of this act as a person engaging in investment activities in Iran as described in subsection a. of section 3 of this act.
The State Treasurer shall adopt regulations that reduce the amounts provided for in this subsection if the State Treasurer determines that such change is permitted or required under Section 202 of the Comprehensive Iran Sanctions, Accountability, and Divestment Act of 2010.
##### **§ 52:32-57** Certain persons, entities prohibited from bidding on certain public contracts, maintenance of list. {#sec-52-32-57 omnilex-key=us-nj-statutes--title-52--52:32-57}
3. a. A person or entity that, at the time of bid or proposal for a new contract or renewal of an existing contract, is identified on a list created pursuant to subsection b. of this section as a person or entity engaging in investment activities in Iran as described in subsection f. of section 2 of this act, shall be ineligible to, and shall not, bid on, submit a proposal for, or enter into or renew, a contract with a State agency for goods or services.
b. Within 90 days of the effective date of this act, the Department of the Treasury shall, using credible information available to the public, develop a list of persons or entities it determines engage in investment activities in Iran as described in subsection f. of section 2.
c. The department shall update the list every 180 days.
d. Before finalizing an initial list pursuant to subsection b. of this section or an updated list pursuant to subsection c. of this section, the department shall do the following before a person or entity is included on the list:
(1) Provide 90 days' written notice of its intent to include the person or entity on the list. The notice shall inform the person or entity that inclusion on the list would make the person or entity ineligible to bid on, submit a proposal for, or enter into or renew, a contract for goods or services with a State agency; and
(2) Provide a person or entity with an opportunity to comment in writing that it is not engaged in investment activities in Iran. If the person or entity demonstrates to the department that the person or entity is not engaged in investment activities in Iran as described in subsection f. of section 2 of this act, the person or entity shall not be included on the list, unless the person or entity is otherwise ineligible to bid on a contract as described in paragraph (3) of subsection a. of section 5 of this act.
(3) The department shall make every effort to avoid erroneously including a person or entity on the list.
##### **§ 52:32-58** Certification required. {#sec-52-32-58 omnilex-key=us-nj-statutes--title-52--52:32-58}
4. a. A State agency shall require a person or entity that submits a bid or proposal or otherwise proposes to enter into or renew a contract to certify, prior to the time a contract is awarded and at the time the contract is renewed, that the person or entity is not identified on a list created pursuant to subsection b. of section 3 of this act as a person or entity engaging in investment activities in Iran described in subsection f. of section 2 of this act.
b. The certification required shall be executed on behalf of the applicable person or entity by an authorized officer or representative of the person or entity.
c. In the event that a person or entity is unable to make the certification required because it or one of its parents, subsidiaries, or affiliates as defined in subsection e. of section 2 of this act has engaged in one or more of the activities specified in subsection f. of section 2 of this act, the person or entity shall provide to the State agency concerned, prior to the deadline for delivery of such certification, a detailed and precise description of such activities, such description to be provided under penalty of perjury.
d. The certifications provided under subsection a. of this section and disclosures provided under subsection c. of this section shall be disclosed to the public.
##### **§ 52:32-59** False certification, penalties. {#sec-52-32-59 omnilex-key=us-nj-statutes--title-52--52:32-59}
5. a. If the department determines, using credible information available to the public and after providing 90 days' written notice and an opportunity to comment in writing for the person or entity to demonstrate that it is not engaged in investment activities in Iran, that the person or entity has submitted a false certification pursuant to section 4 of this act, and the person or entity fails to demonstrate to the department that the person or entity has ceased its engagement in the investment activities in Iran within 90 days after the determination of a false certification, the following shall apply:
(1) Pursuant to an action under subsection b. of this section, a civil penalty in an amount that is equal to the greater of $1,000,000 or twice the amount of the contract for which the false certification was made.
(2) Termination of an existing contract with the State agency as deemed appropriate by the State agency.
(3) Ineligibility to bid on a contract for a period of three years from the date of the determination that the person or entity submitted the false certification.
b. The department shall report to the New Jersey Attorney General the name of the person or entity that the State agency determines has submitted a false certification under section 4 of this act, together with its information as to the false certification, and the Attorney General shall determine whether to bring a civil action against the person or entity to collect the penalty described in paragraph (1) of subsection a. of this section.
Only one civil action against the person or entity to collect the penalty described in paragraph (1) of subsection a. of this section may be brought for a false certification on a contract. A civil action to collect such penalty shall commence within three years from the date the certification is made.
##### **§ 52:32-60** Written notice to Attorney General. {#sec-52-32-60 omnilex-key=us-nj-statutes--title-52--52:32-60}
6. The Governor shall submit to the Attorney General of the United States a written notice describing this act within 30 days after its effective date.
##### **§ 52:32-60.1** List identifying entities that engage in prohibited activities in Russia, Belarus developed, maintained. {#sec-52-32-60.1 omnilex-key=us-nj-statutes--title-52--52:32-60.1}
1. a. A person that is identified on a list created pursuant to subsection b. of this section as a person that has been determined to engage in prohibited activities in Russia or Belarus shall be ineligible to and shall not:
(1) enter into or renew a contract with a State agency for the provision of goods or services or the purchase of bonds or other obligations;
(2) file or renew a Public Works Contractor Registration with the Department of Labor and Workforce Development;
(3) be approved for or continue to receive an economic development subsidy from the Economic Development Authority in but not of the Department of the Treasury, be awarded a municipal property tax abatement, or make or enter into a payment in lieu of property tax agreement;
(4) apply for or receive a tax clearance certificate from the Director of the Division of Taxation in the Department of the Treasury;
(5) be certified by the Department of Community Affairs as an urban renewal entity for purposes of the "Long Term Tax Exemption Law," P.L.1991, c.431 (C.40A:20-1 et seq.); and
(6) be designated as a redeveloper by a public agency for the purpose of planning, replanning, construction, or undertaking of any project or redevelopment work in accordance with the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et seq.).
b. Immediately upon the effective date of this section, the Department of the Treasury shall, using credible information available to the public, begin developing a list of persons it determines engage in prohibited activities in Russia or Belarus. The department is authorized to consult an independent research firm that specializes in global security risk for portfolio determinations, as selected by the State Treasurer, to develop the list. The department shall update the list on a rolling basis. Beginning after the 91st day next following the date of enactment of this section, the department shall be required to update the list at least every six months. Before including a person or entity on the initial list or an updated list, the department shall:
(1) provide notice of its intent to include the person on the list. The notice shall inform the person that inclusion on the list would make the person ineligible to engage in any of the enumerated activities specified by subsection a. of this section; and
(2) provide a person with an opportunity to comment in writing that the person is not engaged in prohibited activities in Russia or Belarus. If the person demonstrates to the department that the person is not engaged in prohibited activities in Russia or Belarus, the person or entity shall not be included on the list.
c. A State agency or local unit, as applicable, shall require a person seeking to engage in any of the enumerated activities specified by subsection a. of this section to certify, before the contract is awarded, renewed, amended, or extended, or before applying for certification as an urban renewal entity or designation as a redeveloper that the person is not identified on a list created pursuant to this section as a person engaging in prohibited activities in Russia or Belarus. The certification required shall be executed on behalf of the applicable person by an authorized officer or representative of the person. If a person is unable to make the certification required because the person or one of the person's parents, subsidiaries, or affiliates has engaged in prohibited activity in Russia or Belarus, the person shall provide to the State agency or local unit of government concerned, prior to the deadline for delivery of such certification, a detailed and precise description of such activities, such description to be provided under penalty of perjury. The certifications provided under this section and disclosures provided under this section shall be disclosed to the public.
d. (1) If the department determines, using credible information available to the public and after providing notice and an opportunity to comment in writing for the person to demonstrate that it is not engaged in prohibited activities in Russia or Belarus, that the person or entity has submitted a false certification pursuant to this section, and the person fails to demonstrate to the department that the person has ceased its engagement in the prohibited activities in Russia or Belarus within 90 days after the determination of a false certification, the following shall apply:
(a) pursuant to an action under paragraph (2) of this subsection, a civil penalty in an amount that is equal to the greater of $1,000,000 or twice the amount of the bid or application listed in subsection a. of this section for which the false certification was made.
(b) termination of an existing contract, registration, economic development subsidy, tax abatement, payment in lieu of property tax agreement, certification, or designation as deemed appropriate by the issuing agency or the application process for any of the foregoing.
(c) ineligibility to engage in any of the enumerated activities specified by subsection a. of this section for a period of three years from the date of the determination that the person submitted the false certification, provided that the person has ceased its engagement in the prohibited activities in Russia or Belarus.
(2) The department shall report to the Attorney General the name of the person that the State agency determines has submitted a false certification under this section, together with its information as to the false certification, and the Attorney General shall determine whether to bring a civil action against the person to collect the penalty described in this subsection. Only one civil action against the person to collect the penalty described in this subsection may be brought for a false certification on a bid or application listed in subsection a. of this section. A civil action to collect such penalty shall commence within three years from the date the certification is made.
e. For purposes of this section:
"Economic development subsidy" means the provision of an amount of funds to a recipient with a value of greater than $25,000 for the purpose of stimulating economic development in New Jersey, including, but not limited to, any investment, bond, grant, loan, loan guarantee, matching fund, tax credit, or other tax expenditure.
"Engaged in prohibited activities in Russia or Belarus" means (1) companies in which the Government of Russia or Belarus has any direct equity share; (2) having any business operations commencing after the effective date of this act that involve contracts with or the provision of goods or services to the Government of Russia or Belarus; (3) being headquartered in Russia or having its principal place of business in Russia or Belarus, or (4) supporting, assisting or facilitating the Government of Russia or Belarus in their campaigns to invade the sovereign country of Ukraine, either through in-kind support or for profit.
"Person or entity" means any of the following:
(1) A natural person, corporation, company, limited partnership, limited liability partnership, limited liability company, business association, sole proprietorship, joint venture, partnership, society, trust, or any other nongovernmental entity, organization, or group;
(2) Any governmental entity or instrumentality of a government, including a multilateral development institution, as defined in Section 1701(c)(3) of the International Financial Institutions Act, 22 U.S.C. 262r(c)(3); or
(3) Any parent, successor, subunit, direct or indirect subsidiary, or any entity under common ownership or control with, any entity described in paragraph (1) or (2).
"Russia" and "Belarus" mean, respectively, the governments of Russia and Belarus, and include the territories of those nations and any other territory or marine area that are recognized by the United States as part of either country.
"State agency" means any of the principal departments in the Executive Branch of the State government, and any division, board, bureau, office, commission or other instrumentality within or created by such department; the Legislature of the State and any office, board, bureau or commission within or created by the Legislative Branch; and any independent State authority, commission, instrumentality or agency that is authorized by law to award public contracts. "State agency" shall also include a public research university that is not a State college subject to the provisions of the "State College Contracts Law," P.L.1986, c.43 (C.18A:64-52 et seq.).
##### **§ 52:32-60.2** Prohibiting certain State entities from engaging in certain economic activities with Russia, Belarus. {#sec-52-32-60.2 omnilex-key=us-nj-statutes--title-52--52:32-60.2}
7. A State agency, local contracting unit, board of education, State college, or county college shall not bank with, have or hold stock, debt, or other equity investments of, or maintain insurance coverage through a policy issued by a financial institution that is included in the Department of the Treasury's list created pursuant to subsection b. of section 1 of P.L.2022, c.3 (C.52:32-60.1) for engaging in prohibited activities in Russia or Belarus.
##### **§ 52:32-60.3** Rules, regulations. {#sec-52-32-60.3 omnilex-key=us-nj-statutes--title-52--52:32-60.3}
8. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, the State Treasurer may adopt immediately upon filing with the Office of Administrative Law such rules and regulations as the State Treasurer determines to be necessary to effectuate the purposes of P.L.2022, c.3 (C.52:32-60.1 et al.), which rules and regulation shall be effective for a period not exceeding 360 days following the effective date of P.L.2022, c.3 (C.52:32-60.1 et al.) and may thereafter be amended, adopted, or readopted by the State Treasurer in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:32-60.4** Severability. {#sec-52-32-60.4 omnilex-key=us-nj-statutes--title-52--52:32-60.4}
9. The provisions of sections 1 through 8 of P.L.2022, c.3 (C.52:32-60.1, C.40A:11-2.2, C.18A:18A-49.5, C.18A:64-85.1, C.18A:64A-25.44, C.52:18A-89.16, C.52:32-60.2, and C.52:32-60.3) shall not apply in circumstances when their application would violate federal law or regulation or be inconsistent with the terms and conditions of federal funding.
##### **§ 52:32-61** Use by State departments, agencies. {#sec-52-32-61 omnilex-key=us-nj-statutes--title-52--52:32-61}
5. a. Every State department or agency that engages in landscaping or construction activities on State land, or for State projects or facilities, shall use, where technically feasible, environmentally sound, and competitively priced, compost, mulch, or other soil amendments produced from municipal solid waste, food waste, sludge, yard waste, clean wood waste, or other organic materials that the supplier has certified comply with applicable project standards and specifications. Such compost, mulch, or soil amendments shall be used in place of chemical fertilizers or soil amendments.
b. In purchasing compost, mulch, or other soil amendments for use by the various departments or agencies of State government, the Director of the Division of Purchase and Property in the Department of the Treasury, whenever the price is competitive and the quality satisfactory for the purpose intended, shall make contracts available for compost, mulch, or other soil amendments produced from municipal solid waste, food waste, sludge, yard waste, clean wood waste, or other organic materials.
c. As used in this section:
"Competitive" or "competitively priced" means a price of no more than 10% above the price of products which are manufactured or produced from virgin materials; except that the Director of the Division of Purchase and Property, upon consultation with the Department of Environmental Protection, may make contracts available for compost, mulch, or other soil amendments produced from municipal solid waste, food waste, sludge, yard waste, clean wood waste, or other organic materials at a price no more than 15% above the price of products manufactured or produced from virgin materials whenever the director determines that a 15% price differential is in the best interest of the State.
"Food waste" shall have the same meaning as provided in section 1 of P.L.2020, c.24 (C.13:1E-99.122).
##### **§ 52:32-62** Required use of unit concrete products that utilize carbon footprint-reducing technology. {#sec-52-32-62 omnilex-key=us-nj-statutes--title-52--52:32-62}
6. a. Notwithstanding the provisions of any other law, rule, or regulation to the contrary, the Director of the Division of Purchase and Property in the Department of the Treasury, the Director of the Division of Property Management and Construction in the Department of the Treasury, and any State agency having authority to contract for the purchase of goods or services, shall, whenever technically feasible, use or require the use of unit concrete products that utilize carbon footprint-reducing technology, which may include permeable pavement, when entering into a contract for the purchase of unit concrete products, or for any construction or improvement project that requires the use of unit concrete products, including the replacement of impervious surfaces with permeable pavement.
b. The Division of Purchase and Property and the Division of Property Management and Construction, in consultation with the Department of Environmental Protection, shall develop and publish guidelines for implementing the requirement established pursuant to subsection a. of this section. The guidelines shall conform to any standards or procedures established pursuant to section 10 of P.L.2021, c.278 (C.52:27D-141.17). Whenever any agency or department of State government purchases unit concrete products, or undertakes any construction or improvement project that requires the use of unit concrete products, the agency or department shall follow the guidelines therefor established by the director.
c. In preparing the specifications for any contract for the purchase of unit concrete products, or for any construction or improvement project that requires the use of unit concrete products, the Director of the Division of Purchase and Property, the Director of the Division of Property Management and Construction, or any State agency having authority to contract for the purchase of goods or services shall include in the invitation to bid, where relevant, a statement that any response to the invitation shall use unit concrete products that utilize carbon footprint-reducing technology whenever technically feasible. The State agency shall include in its project specifications a specific line item for each unit concrete product to be used in the project.
d. The provisions of this section shall not apply to:
(1) any binding contractual obligations for the purchase of goods or services entered into prior to the effective date of P.L.2021, c.278 (C.52:27D-141.15 et al.);
(2) bid packages advertised and made available to the public, or to any competitive and sealed bids received by the State, prior to the effective date of P.L.2021, c.278 (C.52:27D-141.15 et al.);
(3) any amendment, modification, or renewal of a contract, which contract was entered into prior to the effective date of P.L.2021, c.278 (C.52:27D-141.15 et al.) where the application would delay timely completion of a project or involve an increase in the total moneys to be paid by the State under that contract; or
(4) a contract when the Director of the Division of Purchase and Property, the Director of the Division of Property Management and Construction, or the head of any State agency having authority to contract for the purchase of goods or services determines, in their sole discretion, that the purchase and use of unit concrete products that utilize carbon footprint-reducing technology would increase the cost of the contract by an unreasonable amount.
e. As used in this section:
"Permeable pavement" means a concrete product that allows rainwater to penetrate the pavement and percolate into the supporting soils and includes, but is not limited to, pervious concrete, permeable interlocking concrete pavers, and concrete grid pavers.
"Unit concrete product" means a concrete building product that is fabricated under controlled conditions separate and remote from the intended point of use and is produced in a wet cast or dry cast method in a factory setting and then transported to the location of intended use for installation, including, but not limited to, all concrete pavers, whether permeable or non-permeable, and concrete block. "Unit concrete product" shall not include ready mix concrete, sand, stone, gravel, or bituminous concrete or asphalt.
"Unit concrete product that utilizes carbon footprint-reducing technology" means a unit concrete product that is certified by the Department of Environmental Protection, or any independent third party authorized by the department, pursuant to section 10 of P.L.2021, c.278 (C.52:27D-141.17), as generating at least 50 percent less carbon dioxide emissions in the production and utilization of the unit concrete product than conventional unit concrete products made with ordinary Portland cement. Such products shall also conform with the relevant requirements of the "State Uniform Construction Code Act," P.L.1975, c.217 (C.52:27D-119 et seq.) that incorporate by reference TMS 402/602 Building Code Requirements and Specification for Masonry Structures.
## **Chapter 33**
##### **§ 52:33-1** Definitions {#sec-52-33-1 omnilex-key=us-nj-statutes--title-52--52:33-1}
Wherever in this chapter the following words are used, they shall be held to have the meanings hereinafter given:
"Public work" : Any public building, public highway, bridge, or other public betterment, work or improvement of a permanent nature, constructed, reconstructed, repaired or improved wholly at the expense of the public.
"Domestic materials" : Articles, materials and supplies mined or produced in the United States, and manufactured articles, materials and supplies manufactured in the United States.
##### **§ 52:33-2** Only domestic materials to be used on public works; exception {#sec-52-33-2 omnilex-key=us-nj-statutes--title-52--52:33-2}
Notwithstanding any inconsistent provision of any law, and unless the head of the department, or other public officer charged with the duty by law, shall determine it to be inconsistent with the public interest, or the cost to be unreasonable, only domestic materials shall be acquired or used for any public work.
This section shall not apply with respect to domestic materials to be used for any public work, if domestic materials of the class or kind to be used are not mined, produced or manufactured, as the case may be, in the United States in commercial quantities and of a satisfactory quality.
##### **§ 52:33-3** Provision in contract; exception of particular materials {#sec-52-33-3 omnilex-key=us-nj-statutes--title-52--52:33-3}
Every contract for the construction, alteration or repair of any public work in this state shall contain a provision that in the performance of the work the contractor and all subcontractors shall use only domestic materials in the performance of the work; but if the head of the department or other public officer authorized by law to make the contract shall find that in respect to some particular domestic materials it is impracticable to make such requirement or that it would unreasonably increase the cost, an exception shall be noted in the specifications as to that particular material, and a public record made of the findings which justified the exception.
##### **§ 52:33-4** Failure to comply with provision in contract; contractor barred for three years {#sec-52-33-4 omnilex-key=us-nj-statutes--title-52--52:33-4}
If the head of a department or other public officer having jurisdiction shall find that in the performance of any such contract there has been a failure to comply with any such provision contained in the contract, he shall make public his finding, including therein the name of the contractor obligated under such contract, and no other contract for the construction, alteration or repair of any public work in this state shall be awarded to such contractor, or to any partnership, association or corporation with which such contractor is associated or affiliated, within a period of three years after such finding is made public.
##### **§ 52:33-4.1** Short title. {#sec-52-33-4.1 omnilex-key=us-nj-statutes--title-52--52:33-4.1}
1. This act shall be known and may be cited as the "New Jersey Buy American Act."
##### **§ 52:33-4.2** Definitions relative to surface highway or bridge contracts. {#sec-52-33-4.2 omnilex-key=us-nj-statutes--title-52--52:33-4.2}
2. As used in P.L.2021, c.119 (C.52:33-4.1 et seq.):
"Permanently incorporated" means an iron or steel product that is required to remain in place at the completion of the surface highway or bridge contract, in a fixed location, affixed to the surface highway or bridge to which it was incorporated. Iron and steel products that are capable of being moved from one location to another shall not be considered permanently incorporated into a surface highway or bridge.
"State contracting agency" or "agency" means any of the principal departments in the Executive Branch of State Government, any division, board, bureau, office, commission, or other instrumentality created by a principal department, and any independent State authority.
"Surface highway or bridge contract" means a contract entered into by a State contracting agency involving the construction, reconstruction, alteration, repair, maintenance, or improvement of any surface highway or bridge under the jurisdiction or control of that agency.
##### **§ 52:33-4.3** Contract provision, products used, produced in United States. {#sec-52-33-4.3 omnilex-key=us-nj-statutes--title-52--52:33-4.3}
3. Notwithstanding the provisions of any law, rule, regulation, or order to the contrary, any surface highway or bridge contract made and awarded by a State contracting agency, shall contain a provision requiring that any iron or steel product used or supplied in the performance of the surface highway or bridge contract, or any subcontract thereto, and permanently incorporated into the surface highway or bridge, including miscellaneous components, as determined pursuant to regulations adopted by the State contracting agency, such as nuts and bolts and iron and steel that is a component of other items such as reinforced steel within precast concrete items, shall be produced or made, in whole, or in substantial part as determined by the State contracting agency, in the United States. In the case of a structural iron or structural steel product, all manufacturing shall take place in the United States, from the initial melting stage through the application of coatings, except metallurgical processes involving the refinement of steel additives.
##### **§ 52:33-4.4** Inapplicability of act. {#sec-52-33-4.4 omnilex-key=us-nj-statutes--title-52--52:33-4.4}
4. The provisions of P.L.2021, c.119 (C.52:33-4.1 et seq.) shall not apply to a surface highway or bridge contract if the head of a State contracting agency constructing a surface highway or bridge, in the head of the agency's sole discretion, determines that:
a. complying with the provisions of P.L.2021, c.119 (C.52:33-4.1 et seq.):
(1) would not be in the public interest; or
(2) would result in the loss or reduction of federal funding for the surface highway or bridge contract, or the ability to obtain that federal funding would be limited or jeopardized by the agency's compliance with P.L.2021, c.119 (C.52:33-4.1 et seq.);
b. there is an immediate or emergency need existing for the structural iron or structural steel;
c. the structural iron or structural steel is not manufactured in the United States in sufficient and reasonably available quantities or of satisfactory quality or design to meet the State contracting agency's requirements;
d. obtaining the iron or steel product in the United States would increase the cost of the overall construction project contract by more than 25 percent;
e. the iron or steel is necessary for the operation of or repairs of critical infrastructure that is necessary to avoid a delay in the delivery of critical services that could compromise the public welfare;
f. a reciprocal trade agreement or treaty has been negotiated by the State or by the United States government on behalf of or including this State with a foreign nation or government providing for nondiscriminatory governmental procurement practices or policies with that foreign nation or government; or
g. the design and environmental studies for the surface highway or bridge project have commenced prior to the effective date of P.L.2021, c.119 (C.52:33-4.1 et seq.).
##### **§ 52:33-4.5** Contravening unintended. {#sec-52-33-4.5 omnilex-key=us-nj-statutes--title-52--52:33-4.5}
5. Nothing in P.L.2021, c.119 (C.52:33-4.1 et seq.) is intended to contravene any existing treaties, laws, trade agreements, or regulations of the United States or subsequent trade agreements entered into between any foreign countries and this State or the United States.
##### **§ 52:33-4.6** Rules, regulations. {#sec-52-33-4.6 omnilex-key=us-nj-statutes--title-52--52:33-4.6}
6. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, any State contracting agency subject to the provisions of P.L.2021, c.119 (C.52:33-4.1 et seq.) may adopt, immediately upon filing with the Office of Administrative Law, rules and regulations as necessary to implement the provisions of P.L.2021, c.119 (C.52:33-4.1 et seq.), which regulations shall be effective for a period not to exceed 365 days from the date of filing. The rules and regulations shall thereafter be amended, adopted, or readopted in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).
## **Chapter 34**
##### **§ 52:34-6** Purchases or contracts payable out of state funds; public advertisements for bids {#sec-52-34-6 omnilex-key=us-nj-statutes--title-52--52:34-6}
All purchases, contracts or agreements, the cost or contract price whereof is to be paid with or out of State funds shall, except as otherwise provided in this act, be made or awarded only after public advertisement for bids therefor, in the manner provided in this act.
##### **§ 52:34-6.1** Purchase of goods, services from Federal Supply Schedules for State agencies, federal procurement programs. {#sec-52-34-6.1 omnilex-key=us-nj-statutes--title-52--52:34-6.1}
1. Notwithstanding the provisions of P.L.1954, c.48 (C.52:34-6 et seq.) to the contrary, the Director of the Division of Purchase and Property in the Department of the Treasury shall promulgate the Federal Supply Schedules of the Federal General Services Administration or schedules from other federal procurement programs pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) as an alternate price guide for the purchase of goods and services for State agencies and for the entities defined in section 1 of P.L.1959, c.40 (C.52:27B-56.1), subject to the following conditions:
(1) the price of the goods or services being procured is no greater than the price offered to federal agencies;
(2) (Deleted by amendment, P.L.2005, c.336.);
(3) the State receives the benefit of federally mandated price reductions during the term of the contract; and
(4) the price of the goods or services being procured is no greater than the price of the same or equivalent goods or services under the State contract, unless the State determines that because of factors other than price, selection of a vendor from the Federal Supply Schedules or schedules from other federal procurement programs would be more advantageous to the State.
##### **§ 52:34-6.2** Cooperative purchasing agreements with other states for purchases of goods, services; rules, regulations. {#sec-52-34-6.2 omnilex-key=us-nj-statutes--title-52--52:34-6.2}
7. a. Notwithstanding the provisions of any other law to the contrary except the provisions of R.S.30:4-95, and as an alternative to the procedures concerning the awarding of public contracts provided in P.L.1954, c.48 (C.52:34-6 et seq.), the Director of the Division of Purchase and Property in the Department of the Treasury may enter into cooperative purchasing agreements with one or more other states, or political subdivisions thereof, for the purchase of goods and services. A cooperative purchasing agreement shall allow the jurisdictions which are parties thereto to standardize and combine their requirements for the purchase of a particular good or service into a single contract solicitation which shall be competitively bid and awarded by one of the jurisdictions on behalf of jurisdictions participating in the contract.
b. (1) The director may elect to purchase goods or services through a contract awarded pursuant to a cooperative purchasing agreement whenever the director determines this to be the most cost-effective method of procurement. Prior to entering into any contract to be awarded or already awarded through a cooperative purchasing agreement, the director shall review and approve the specifications and proposed terms and conditions of the contract.
(2) The director may also elect to purchase goods or services through a contract awarded pursuant to a nationally recognized and accepted cooperative purchasing agreement that has been developed utilizing a competitive bidding process, in which other states participate, whenever the director determines this to be the most cost-effective method of procurement. Prior to entering into any contract to be awarded through a nationally recognized and accepted cooperative purchasing agreement that has been developed utilizing a competitive bidding process, the director shall review and approve the specifications and proposed terms and conditions of the contract.
(3) Notwithstanding any other law to the contrary, any contracting unit authorized to purchase goods, or to contract for services, may make purchases and contract for services through the use of a nationally recognized and accepted cooperative purchasing agreement that has been developed utilizing a competitive bidding process by another contracting unit within the State of New Jersey, or within any other state, when available. A contracting unit may only purchase and contract for construction services for a public works project through a cooperative purchasing agreement competitively bid in compliance with P.L.2025, c.180 (C.52:34-6.2a et al.) and let by a contracting unit in the State of New Jersey. Public works projects undertaken by a contracting unit through a cooperative purchasing agreement are subject to the “Public Works Contractor Registration Act,” P.L.1999, c.238 (C.34:11-56.48 et seq.) and the “New Jersey Prevailing Wage Act,” P.L.1963, c.150 (C.34:11-56.25 et seq.). Prior to making purchases or contracting for services, the contracting unit shall determine that the use of the cooperative purchasing agreement shall result in cost savings after all factors, including charges for service, material, and delivery, have been considered. The use of nationally recognized and accepted cooperative purchasing agreements by a contracting unit as defined in the “Local Public Contracts Law,” P.L.1971, c.198 (C.40A:11-1 et seq.), a board of education as defined in the “Public School Contracts Law,” P.L.1977, c.114 (C.18A:18A-1 et seq.), or a county college as defined in the “County College Contracts Law,” P.L.1982, c.189 (C.18A:64A-25.1 et seq.) shall be subject to such rules and regulations as may be adopted and promulgated by the Director of the Division of Local Government Services in the Department of Community Affairs in consultation with the Director of the Division of Purchase and Property, the Commissioner of Education, and the Secretary of Higher Education.
(4) A contracting unit shall not utilize a time-and-materials contract available through a cooperative purchasing agreement for public works construction projects subject to the “New Jersey Prevailing Wage Act,” P.L.1963, c.150 (C.34:11-56.25 et seq.).
(5) For the purposes of prevailing wage enforcement, a contracting unit that awards a cooperative contract for public works construction shall verify and maintain an accurate copy of:
(a) the name, principal business address in the State, and telephone number of the contractor; or
(b) if the contractor's principal business address is not within the State, the name and address of the contractor's custodian of records and agent for service of process in this State.
(6) A contracting unit that establishes a cooperative purchasing agreement for public works construction shall require awarded contractors to submit copies of the certified payroll records for every public works construction project performed under the contract and retain those copies for a period of not less than three years. Contractors shall be prohibited from performing public works projects under a cooperative purchasing agreement if they:
(a) fail to provide copies of submitted certified payroll records on more than three occasions; or
(b) are found to have violated the “New Jersey Prevailing Wage Act,” P.L.1963, c.150 (C.34:11-56.25 et seq.) by the Department of Labor and Workforce Development.
(7) The contracting unit that lets a cooperative contract shall publicly post on its website upon award the following information for all public works construction projects:
(a) the contracting unit where the project will be completed;
(b) the contract number of the cooperative contract utilized;
(c) the contractor performing the public works construction project;
(d) the cost of the project; and
(e) confirmation certified payroll records are received.
(8) Contracting units implementing a cooperative purchasing agreement shall solicit from the Commissioner of Labor and Workforce Development the list produced and maintained pursuant to P.L.1963, c.150 (C.34:11-56.37) and shall:
(a) not award a cooperative contract to a contractor or subcontractor listed by the commissioner;
(b) verify on a monthly basis after the time of award and for the duration of the contract term that any contractor or subcontractor awarded a cooperative contract was not added to the list by the commissioner;
(c) terminate a contract with a contractor or subcontractor listed by the commissioner after the time of the cooperative contract award; and
(d) cause a contractor to terminate a subcontract with a subcontractor listed by the commissioner after the time of the cooperative contract award.
(9) The Director of the Division of Local Government Services in the Department of Community Affairs shall prohibit a contracting unit from serving as a lead agency for a cooperative purchasing agreement if the contracting unit fails to comply with the requirements of this section.
(10) If any provision of P.L.2025, c.180 (C.52:34-6.2a et al.) or its application to any person or circumstances is held invalid, the invalidity does not affect other provisions or applications of P.L.2025, c.180 (C.52:34-6.2a et al.) which can be given effect without the invalid provision or application, and to this end the provisions of P.L.2025, c.180 (C.52:34-6.2a et al.) are severable.
For purposes of this section, "contracting unit" means any county, municipality, special district, school district, fire district, State college or university, public research university, county college, or any board, commission, committee, authority, or agency, which is not a State board, commission, committee, authority, or agency, and which has administrative jurisdiction over any district, included or operating in whole or in part, within the territorial boundaries of any county or municipality which exercises functions which are appropriate for the exercise by one or more units of local government, and which has statutory power to make purchases and enter into contracts awarded by a contracting agent for the provision or performance of goods or services, and the New Jersey Transit Corporation created pursuant to P.L.1979, c.150 (C.27:25-1 et seq.).
For purposes of this section, “time-and-materials contract” means a contract for the actual costs for materials and acquiring services on the basis of direct labor hours at specified fixed hourly rates that include wages, overhead, general and administrative expenses, and profit.
c. The director may solicit bids and award contracts on behalf of this State and other jurisdictions which are parties to a cooperative purchasing agreement provided that the agreement specifies that each jurisdiction participating in a contract is solely responsible for the payment of the purchase price and cost of purchases made by it under the terms of any contract awarded pursuant to the agreement.
d. The director may promulgate rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), which are necessary to effectuate the purposes of this section.
##### **§ 52:34-6.2a** Indefinite delivery, indefinite quantity contracts without final plans, specifications for individual projects. {#sec-52-34-6.2a omnilex-key=us-nj-statutes--title-52--52:34-6.2a}
3. a. Notwithstanding any provision of law to the contrary, a contracting unit may award indefinite delivery, indefinite quantity contracts with a set term for goods or services, including public works, without final plans and specifications for an individual project, provided the contract advertisement promotes free, open, and competitive bidding and sets forth the process by which individual purchase orders may be issued. A contracting unit may issue purchase orders under an indefinite delivery, indefinite quantity contract, provided the items for delivery were specified in the contract advertisement and a process for adding items for delivery is provided in the contract advertisement.
b. The award of an indefinite delivery, indefinite quantity contract by a contracting unit as defined in the “Local Public Contracts Law,” P.L.1971, c.198 (C.40A:11-1 et seq.), a board of education as defined in the “Public School Contracts Law,” P.L.1977, c.114 (C.18A:18A-1 et seq.), or a county college as defined in the “County College Contracts Law,” P.L.1982, c.189 (C.18A:64A-25.1 et seq.) shall be subject to such rules and regulations as may be adopted and promulgated by the Director of the Division of Local Government Services in the Department of Community Affairs after consultation with the Commissioner of Education and the Secretary of Higher Education.
##### **§ 52:34-6.3** Purchase of goods, services by certain State authorities from Federal Supply Schedules. {#sec-52-34-6.3 omnilex-key=us-nj-statutes--title-52--52:34-6.3}
2. Notwithstanding the provisions of any other law to the contrary, the State authorities authorized to contract independently under various provisions of State law may also use, without advertising for bids, or having rejected all bids obtained pursuant to advertising, the Federal Supply Schedules of the General Services Administration or schedules from other federal procurement programs, promulgated by the Director of the Division of Purchase and Property in the Department of the Treasury pursuant to section 1 of P.L.1996, c.16 (C.52:34-6.1), subject to the following conditions:
(1) the price of the goods or services being procured is no greater than the price offered to federal agencies;
(2) (Deleted by amendment, P.L.2006, c.10);
(3) the authority receives the benefit of federally mandated price reductions during the term of the contract;
(4) the price of the goods or services being procured is no greater than the price of the same or equivalent goods or services under the State contract, unless the authority determines that because of factors other than price, selection of a vendor from the Federal Supply Schedules or schedules from other federal procurement programs would be more advantageous to the authority;
(5) a copy of the purchase order relating to any such contract, the requisition or request for purchase order, if applicable, and documentation identifying the price of the goods or services under the Federal Supply Schedules or schedules from other federal procurement programs shall be filed with the State Treasurer within five working days of the award of any such contract by the authority. The authority shall make available to the State Treasurer upon request any other documents relating to the solicitation and award of the contract.
##### **§ 52:34-6.4** State required to purchase "Energy Star" products; exceptions. {#sec-52-34-6.4 omnilex-key=us-nj-statutes--title-52--52:34-6.4}
1. Notwithstanding the provisions of any other law to the contrary, and unless the head of the department, or other public officer charged with the duty by law, shall determine it to be inconsistent with the public interest, or the cost to be unreasonable, the State, with respect to products procured for its own use under any contract paid with or out of State funds, shall acquire only products bearing the federal Environmental Protection Agency's Energy Star label.
##### **§ 52:34-6.5** Replacement of incandescent light bulbs with compact fluorescent light bulbs in State-owned buildings. {#sec-52-34-6.5 omnilex-key=us-nj-statutes--title-52--52:34-6.5}
1. a. Within three years after the date of enactment of this act, notwithstanding the provisions of any other law to the contrary, the Director of the Division of Purchase and Property in the Department of the Treasury, the Director of the Division of Property Management and Construction in the Department of the Treasury, or any State agency having authority to contract for the purchase of goods or services, as appropriate, shall, whenever possible, replace all incandescent light bulbs used in buildings owned by the State with compact fluorescent light bulbs.
b. Commencing three years after the date of enactment of this act, notwithstanding the provisions of any other law to the contrary, the Director of the Division of Purchase and Property in the Department of the Treasury, the Director of the Division of Property Management and Construction in the Department of the Treasury, or any State agency having authority to contract for the purchase of goods or services, as appropriate, shall purchase compact fluorescent light bulbs for use in buildings owned by the State to the maximum extent practicable.
##### **§ 52:34-6.6** Findings, declarations relative to biofuels. {#sec-52-34-6.6 omnilex-key=us-nj-statutes--title-52--52:34-6.6}
1. The Legislature finds and declares that:
a. New Jersey is one of the leading states in the nation in the advancement of alternative energy technologies.
b. Attaining independence from our traditional reliance on petroleum-based fossil fuels has been a long-standing objective for the State.
c. Reducing our fossil-fuel dependence by shifting to greater use of clean energy from indigenous renewable resources, such as biofuel, has the potential to significantly improve local air quality, reduce the State's dependence on foreign oil, and reduce Statewide greenhouse gas emissions.
d. It is in the public interest for the State to advance biofuel technologies by adopting policies that foster the production and purchase of biofuels as means to promote alternative energy technologies, reduce greenhouse gas emissions, and reduce reliance on petroleum-based fossil fuels.
##### **§ 52:34-6.7** Definitions relative to biofuels. {#sec-52-34-6.7 omnilex-key=us-nj-statutes--title-52--52:34-6.7}
2. As used in this act:
"Biofuel" means liquid or gaseous fuels produced from organic sources such as sustainably grown and harvested crops including native noninvasive energy crops, agricultural residues and non-recycled organic waste including waste cooking oil, grease and food wastes, sewage and algae.
"Energy crops" means crops grown exclusively for energy production, including switchgrass and poplar.
"State entity" means a department, agency, or office of State government, a State university or college, or an authority created by the State.
##### **§ 52:34-6.8** State agencies to consider use of biofuels. {#sec-52-34-6.8 omnilex-key=us-nj-statutes--title-52--52:34-6.8}
3. a. Notwithstanding the provisions of any law, rule, regulation or order to the contrary, State entities shall consider the use of biofuels to replace the use of petroleum-based fossil fuels in order to meet the State's goals of reducing dependence on fossil fuels, promoting the production and purchase of clean energy fuels, and reducing greenhouse gas emissions.
b. A State entity shall purchase and use biofuels to replace petroleum-based fossil fuels for heating equipment, or other similar combustion systems, motor vehicles, or other motorized equipment, if the State entity determines that the cost of biofuels for the purpose in question is the same or less than the cost of fossil fuels for that purpose, and if the State entity further determines that the use of biofuels to replace fossil fuels for that purpose is reasonable, prudent and cost effective.
##### **§ 52:34-6.9** State agency contracts, consideration of items powered by fuel cells. {#sec-52-34-6.9 omnilex-key=us-nj-statutes--title-52--52:34-6.9}
1. A State agency that seeks to purchase any item requiring the use of a power source, including but not limited to motor vehicles, material and cargo-handling equipment such as forklifts, harbor craft, generators, power systems, portable floodlights, microgrids, and telecommunications equipment, shall include in the request for proposals provisions that allow for the consideration of items that are powered by fuel cells.
As used in this section:
"fuel cell" means a device or system that is designed to provide heating or cooling, or electrical or mechanical power, by converting the chemical energy of a fuel and an oxidant into electricity through a non-combustive electrochemical process; and
"State agency" means any of the principal departments in the Executive Branch of the State Government, and any division, board, bureau, office, commission or other instrumentality within or created by such department and any independent State authority, commission, instrumentality or agency which is authorized by law to award contracts.
##### **§ 52:34-7** State bid advertising thresholds. {#sec-52-34-7 omnilex-key=us-nj-statutes--title-52--52:34-7}
2. a. Any such purchase, contract or agreement may be made, negotiated, or awarded by the Director of the Division of Purchase and Property or the Director of the Division of Building and Construction, as the case may be, without advertising, in any manner which the director may deem effective to promote full and free competition whenever competition is practicable, if: (1) in the case of purchases for goods or services, the aggregate amount involved does not exceed $150,000 beginning on the effective date of P.L.2021, c.412, $200,000 beginning on January 1, 2023, and $250,000 beginning on January 1, 2024 and thereafter, or the amount determined pursuant to subsection b. of this section, whichever is greater; or (2) (Deleted by amendment, P.L.1985, c.107) or (3) the aggregate amount involved including labor and construction materials does not exceed $25,000.00 or the amount determined pursuant to subsection b. of this section in the case of contracts or agreements for the erection, construction, alteration, or repair of any public building or facility.
When the aggregate amount involved does not exceed the amount specified in paragraph (1) of subsection a. of this section, or the amount specified in paragraph (3) of subsection a. of this section or the amount determined pursuant to subsection b. of this section, the Director of the Division of Purchase and Property or the Director of the Division of Building and Construction may, at the director's discretion, delegate to the appropriate State department or using agency the director's authority to make, negotiate, or award a contract or agreement without advertising.
The Director of the Division of Purchase and Property or the Director of the Division of Building and Construction, as the case may be, shall establish, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations concerning procedural requirements for the making, negotiating or awarding of purchases, contracts or agreements pursuant to this section, at the director's discretion.
b. The Governor, in consultation with the Department of the Treasury, shall, no later than March 1 of every fifth year beginning in the fifth year after the year in which P.L.1999, c.440 takes effect, adjust the threshold amount set forth in subsection a. of this section, or the threshold amount resulting from any adjustment under this subsection, in direct proportion to the rise or fall of the index rate as that term is defined in section 2 of P.L.1971, c.198 (C.40A:11-2), and shall round the adjustment to the nearest $1,000. The Governor shall, no later than June 1 of every fifth year, notify the Director of the Division of Purchase and Property and the Director of the Division of Building and Construction of the adjustment. The adjustment shall become effective on July 1 of the year in which it is made.
##### **§ 52:34-7.1** Adjustment by Governor {#sec-52-34-7.1 omnilex-key=us-nj-statutes--title-52--52:34-7.1}
The Governor shall adjust the threshold amounts set forth in subsection a. of section 2 of P.L. 1954, c. 48 (C. 52:34-7) immediately pursuant to subsection b. of that section, and thereafter pursuant to subsection b. This immediate adjustment shall become effective on the 30th day after the Governor notifies the Director of the Division of Purchase and Property and the Director of the Division of Building and Construction of the adjustment.
##### **§ 52:34-8** Advertisement unnecessary where amounts exceed those in s. 52:34-7 {#sec-52-34-8 omnilex-key=us-nj-statutes--title-52--52:34-8}
Any such purchase, contract or agreement where the cost or contract price exceeds the amounts specified in section 2 of this act may, with the written approval of the State Treasurer, be made, negotiated or awarded by the Director of the Division of Purchase and Property or the Director of the Division of Building and Construction, as the case may be, without advertising, when the subject matter thereof is that described in section 4 of this act or when the purchase, contract or agreement is made or awarded under the circumstances described in section 5 of this act, in any manner which the director may deem effective to promote full and free competition whenever competition is practicable.
##### **§ 52:34-9** Subject matter making advertising unnecessary under s. 52:34-8 {#sec-52-34-9 omnilex-key=us-nj-statutes--title-52--52:34-9}
Any such purchase, contract or agreement may be made, negotiated or awarded pursuant to section 3 of this act when the subject matter thereof consists of
(a) services to be performed by the contractor personally which are (a) of a technical and professional nature, or (b) to be performed under the supervision of the Director of the Division of Purchase and Property and paid for on a time basis; or
(b) the purchase of perishable foods or subsistence supplies; or
(c) the lease of such office space, office machinery, specialized equipment, buildings or real property as may be required for the conduct of the State's business; or
(d) the acquisition of any real property by gift, grant, purchase or any other lawful manner in the name of and for the use of the State for the purpose of the administration of the State's business in accordance with appropriations made therefor when moneys are required for the acquisition; or
(e) supplies or services as to which the bid prices after advertising therefor are not reasonable or have not been independently arrived at in open competition; provided, that no negotiated purchase, contract or agreement may be entered into under this paragraph after the rejection of all bids received unless (a) notification of the intention to negotiate and reasonable opportunity to negotiate shall have been given by the Director of the Division of Purchase and Property to each responsible bidder, (b) the negotiated price is lower than the lowest rejected bid price of a responsible bidder, and (c) such negotiated price is the lowest negotiated price offered by any responsible supplier.
##### **§ 52:34-9.1** Policy on certain State contracts for professional services. {#sec-52-34-9.1 omnilex-key=us-nj-statutes--title-52--52:34-9.1}
1. It is the policy of this State that State contracts for architectural, engineering and land surveying services shall be publicly announced prior to being awarded and that contracts for these services shall be negotiated on the basis of demonstrated competence and qualifications for the type of professional services required and at fair and reasonable compensation.
##### **§ 52:34-9.2** Definitions relative to contracting for certain professional services by State agencies. {#sec-52-34-9.2 omnilex-key=us-nj-statutes--title-52--52:34-9.2}
2. As used in this act:
"Agency" means any of the principal departments in the Executive Branch of State Government, and any division, board, bureau, office, commission or other instrumentality created by a principal department and any independent State authority, commission, instrumentality or agency, which is authorized by law to contract for professional architectural, engineering or land surveying services;
"Compensation" means the basis of payment by an agency for professional architectural, engineering or land surveying services;
"Professional firm" means any individual, firm, partnership, corporation, association or other legal entity permitted by law to provide professional architectural, engineering, or land surveying services in this State;
"Professional architectural, engineering and land surveying services" means those services, including planning, environmental, and construction inspection services required for the development and construction of projects, within the scope of the practice of architecture, professional engineering or professional land surveying as defined by the laws of this State or those performed by an architect, professional engineer or professional land surveyor in connection with his professional employment practice.
##### **§ 52:34-9.3** Filing of current statement of qualifications, supporting data with agency; fee. {#sec-52-34-9.3 omnilex-key=us-nj-statutes--title-52--52:34-9.3}
3. A professional firm which wishes to be considered qualified to provide professional architectural, engineering, or land surveying services to an agency seeking to negotiate a contract or agreement for the performance of such services shall file or shall have filed with the agency a current statement of qualifications and supporting data. Such a statement may be filed at any time during a calendar year, and a $100 fee shall be remitted to the State Treasurer by the professional firm at the time each statement is filed. The content of any such statement shall conform to such regulations with respect thereto as the State Treasurer, in accordance with the "Administrative Procedure Act," P.L.1968, c. 410 (C.52:14B-1 et seq.), shall promulgate. For the purposes of this section and section 5 of this act, no statement which shall have been filed more than two years prior to the publication of an advertisement pursuant to the provisions of section 4 of this act shall be deemed to be a current statement with respect to qualification of the firm which shall have filed the statement to provide professional architectural, engineering, or land surveying services under any contract or agreement of which notice is given through that advertisement.
A statement of qualifications and supporting data filed with an agency under this section shall be a public record for all purposes of P.L.1963, c.73 (C.47:1A-1 et seq.).
The fee prescribed hereunder shall not apply to any statements filed before the effective date of P.L.2003, c.117.
##### **§ 52:34-9.4** Public advertisement for proposals required. {#sec-52-34-9.4 omnilex-key=us-nj-statutes--title-52--52:34-9.4}
4. Notwithstanding the provisions of sections 2 through 4 of P.L.1954, c.48 (C.52:34-7 through 52:34-9), a contract or agreement with an agency for the procurement of professional architectural, engineering, or land surveying services shall be publicly advertised prior to the solicitation of proposals or expressions of interest from interested firms. To the extent consistent with the purposes and provisions of this section, the advertisement shall conform to the requirements applicable under subsections (a) and (b) of section 7 of P.L.1954, c.48 (C.52:34-12) or may be publicly advertised through electronic means. The advertisement shall include a statement of the criteria by which the agency seeking to procure those professional services shall evaluate the technical qualifications of professional firms and determine the order of preference to be used in designating the firms most highly qualified to perform the services; this statement shall either set forth explicitly and in full the terms of those criteria or identify them by reference to the regulation or regulations in which those criteria shall have been promulgated as required by subsection c. of section 5 of this act. In addition, the advertisement shall include notice that professional firms wishing to be considered for selection as a potential provider of such services in connection with a proposed project must have submitted to the agency a current statement of qualifications and supporting data as prescribed in section 3 of this act.
##### **§ 52:34-9.5** Filing of current statement of qualifications, supporting data necessary for awarding of contract, agreement. {#sec-52-34-9.5 omnilex-key=us-nj-statutes--title-52--52:34-9.5}
5. a. In the procurement of architectural, engineering and land surveying services, no agency shall make, negotiate, or award a contract or agreement for the performance of such services with or to any professional firm which has not filed with the agency a current statement of qualifications and supporting data as prescribed under section 3 of this act.
b. For each proposed project, an agency shall evaluate current statements of qualifications and supporting data on file with the agency. The agency may solicit proposals or expressions of interest unique to the specific project which would in narrative form outline design concepts and proposed methods of approach to the assignment. The agency shall select, in order of preference, based upon the criteria included in the advertisement required by section 4 of this act, at least three professional firms deemed to be the most highly qualified to provide the services required, except that the agency may select fewer professional firms if fewer such firms responded to the solicitation or meet the qualifications required for the project.
c. An agency which intends or expects to make, negotiate or award a contract or agreement for the procurement of professional architectural, engineering, or land surveying services shall, before publishing an advertisement of notice with respect to any such contract or agreement, have adopted by regulation and have promulgated, in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the criteria by which it shall with respect to any such contract or agreement make the selection of qualified firms as prescribed by subsection b. of this section. The provisions of this subsection shall not be construed to require the adoption by an agency of regulations regarding the selection criteria to be applicable with respect to a particular contract if such regulations were previously promulgated and remain in effect with respect to such a contract.
##### **§ 52:34-9.6** Submission of fee proposal. {#sec-52-34-9.6 omnilex-key=us-nj-statutes--title-52--52:34-9.6}
6. Once the top three or more ranked firms have been identified, each firm, at the request of the agency, shall submit a fee proposal. The firms shall not be told of their ranking position at that time. Using the three fee proposals to provide a general guideline, an agency shall negotiate a contract with the most technically qualified professional firm for architectural, engineering or land surveying services at compensation which the agency determines to be fair and reasonable to the State of New Jersey. In making this determination, the agency shall take into account the estimated value of the services to be rendered and the scope, complexity, and professional nature thereof. Should the agency be unable to negotiate a satisfactory contract with the professional firm considered to be the most qualified at a fee the agency determines to be fair and reasonable, negotiations with that professional firm shall be formally terminated. The agency shall then undertake negotiations with the second most qualified professional firm. Failing accord with the second most qualified professional firm, the agency shall formally terminate negotiations. The agency shall then undertake negotiations with the third most qualified professional firm. Should the agency be unable to negotiate a satisfactory contract with any of the selected professional firms, it shall select additional professional firms in order of their competence and qualifications and it shall continue negotiations in accordance with this section until an agreement is reached.
##### **§ 52:34-9.7** Applicability of act restricted to contracts for services in excess of $25,000; use of other procurement processes. {#sec-52-34-9.7 omnilex-key=us-nj-statutes--title-52--52:34-9.7}
7. Notwithstanding the provisions of section 2 of P.L.1954, c.48 (C.52:34-7) to the contrary, the provisions of this act shall only apply to contracts for architectural, engineering and land surveying services in excess of $25,000. Nothing in this act shall preclude a State agency from using procurement processes other than those prescribed herein if those processes have been approved by the federal government or other State statute or if an emergency has been declared by the chief executive officer of the agency.
##### **§ 52:34-10** Circumstances under which advertising is unnecessary under 52:34-8. {#sec-52-34-10 omnilex-key=us-nj-statutes--title-52--52:34-10}
5. Any such purchase, contract, or agreement may be made, negotiated, or awarded pursuant to section 3 of P.L.1954, c.48 (C.52:34-8) when:
(a) the purchase is to be made from, or the contract to be made with, the federal or any State government or any agency or political subdivision thereof, including the New Jersey Council of County Colleges;
(b) the public exigency requires the immediate delivery of the articles or performance of the service;
(c) only 1 source of supply is available;
(d) more favorable terms can be obtained from a primary source of supply;
(e) articles of wearing apparel are to be purchased which are styled or seasonal in character;
(f) commodities traded on a national commodity exchange are to be purchased and fluctuations of the market require immediate action; or
(g) the equipment to be purchased is of a technical nature and the procurement thereof without advertising is necessary in order to assure standardization of equipment and interchangeability of parts in the public interest.
##### **§ 52:34-10.1** Communications with bidders limited; records. {#sec-52-34-10.1 omnilex-key=us-nj-statutes--title-52--52:34-10.1}
1. A communication relative to any advertised procurement by a State agency, as defined in section 11 of P.L.2005, c.336 (C.52:34-10.11),shall be limited to the individual or entity designated by the agency as responsible for the procurement. An officer or employee of a State agency who communicates with a bidder, or potential bidder, or any person acting on behalf thereof, for a public contract regarding that contract shall maintain a written record of each communication from the date of the advertisement for bids to the date the contract is awarded. The State agency shall retain the record of each communication for the term of the contract and at least three years thereafter, or such longer period as may be established in the agency's record retention schedule.
##### **§ 52:34-10.2** Issuance of notice on Internet. {#sec-52-34-10.2 omnilex-key=us-nj-statutes--title-52--52:34-10.2}
2. A State agency, as defined in section 11 of P.L.2005, c.336 (C.52:34-10.11) that is authorized by law to engage in the procurement of goods or services may, when deemed appropriate, issue on the Internet a notice of the agency's intent to advertise specifications and invitations for bids preliminary to the awarding of a contract and request information thereto from potential bidders. The purpose of such notice shall be to solicit comments from potential bidders on the nature and content of the specifications and to answer such questions as the potential bidders may have prior to the advertisement for bids. If such a notice is issued, an officer or employee of the State agency who communicates with a potential bidder, or any person acting on behalf thereof, shall maintain a written record of each such communication from the date of the issuance of the notice on the Internet until the date of the advertisement for bids.
##### **§ 52:34-10.3** Regulations relative to evaluation committee. {#sec-52-34-10.3 omnilex-key=us-nj-statutes--title-52--52:34-10.3}
3. a. When a State agency, as defined in section 11 of P.L.2005, c.336 (C.52:34-10.11), is a contracting agency, the members of any evaluation committee shall have no personal interest, financial or familial, in any of the contract vendors, or principals thereof, to be evaluated. This provision shall apply whether the members of such committee are appointed by the Director of the Division of Purchase and Property or pursuant to any other procedure as appropriate to the contracting agency.
b. When a State agency is a contracting agency for a contract that includes, but is not limited to, the financing of a capital project, one member of any evaluation committee, whether appointed by the Director of the Division of Purchase and Property or pursuant to any other procedure as appropriate to the contracting agency, shall be a person proficient in the financing of public projects. When a contract encompasses a purchase of information technology goods or services, including the creation or modification of such technology, one member of any evaluation committee shall be a person proficient in such technology for public projects.
c. In all cases, persons appointed to an evaluation committee shall have the relevant experience necessary to evaluate the project. When the contract is awarded, the names of the members of any evaluation committee shall be made public and the members' names, educational and professional qualifications, and practical experience, that were the basis for the appointment, shall be reported to the State Treasurer.
##### **§ 52:34-10.4** Regulations for contract oversight and performance; complaint resolution. {#sec-52-34-10.4 omnilex-key=us-nj-statutes--title-52--52:34-10.4}
4. The Director of the Division of Purchase and Property in the Department of the Treasury shall promulgate regulations, applicable to all contracts for which the director is responsible, that establish procedures for (1) contract oversight and the monitoring of contract performance; and (2) complaint resolution. The director shall establish a vendor performance database.
##### **§ 52:34-10.5** Periodic report on value of goods and services purchased. {#sec-52-34-10.5 omnilex-key=us-nj-statutes--title-52--52:34-10.5}
5. Whenever a governmental entity in this State is authorized to purchase any goods or services under any contract or contracts entered into on behalf of the State by the Division of Purchase and Property in the Department of the Treasury, the contractor shall report periodically to the division the value of the goods and services, not including proprietary information, purchased by such governmental entities. The division shall by regulation provide for the content of such reports, how often they are to be made, and the form to be used for the making of such reports.
##### **§ 52:34-10.6** Purchase of equipment, goods or services related to homeland security, domestic preparedness. {#sec-52-34-10.6 omnilex-key=us-nj-statutes--title-52--52:34-10.6}
6. a. Notwithstanding the provisions of any law to the contrary, any purchase by the State or by a State agency or local government unit of equipment, goods or services related to homeland security and domestic preparedness, that is paid for or reimbursed by federal funds awarded by the U.S. Department of Homeland Security or other federal agency, may be made through the receipt of public bids or as an alternative to public bidding and subject to the provisions of this section, through direct purchase without advertising for bids or rejecting bids already received but not awarded.
b. The equipment, goods or services purchased by a local government unit shall be referred to in the grant agreement issued by the State administrative agency administering such funds and shall be authorized by resolution of the governing body of the local government unit entering into the grant agreement. Such resolution may, without subsequent action of the local governing body, authorize the contracting agent of the local government unit to procure the equipment, goods or services. A copy of such resolution shall be filed with the chief financial officer of the local government unit, the State administrative agency and the Division of Local Government Services in the Department of Community Affairs.
c. Purchases made without public bidding shall be from vendors that shall either (1) be holders of a current State contract for the equipment, goods or services sought, or (2) be participating in a federal procurement program established by a federal department or agency, or (3) have been approved by the State Treasurer in consultation with the New Jersey Domestic Security Preparedness Task Force. All homeland security purchases herein shall continue to be subject to all grant requirements and conditions approved by the State administrative agency.
d. The Director of the Division of Purchase and Property may enter into or participate in purchasing agreements with one or more other states, or political subdivisions or compact agencies thereof, for the purchase of such equipment, goods or services to meet the domestic preparedness and homeland security needs of this State. Such purchasing agreement may provide for the sharing of costs and the methods of payments relating to such purchases.
##### **§ 52:34-10.7** Responsibilities of State Contract Manager for a contract. {#sec-52-34-10.7 omnilex-key=us-nj-statutes--title-52--52:34-10.7}
7. The State Contract Manager shall be the State employee who shall be responsible for the overall management and administration of a State contract entered into on behalf of the State by the Division of Purchase and Property in the Department of the Treasury. The State agency using the contract shall designate the State Contract Manager for that contract and inform the Director of the Division of Purchase and Property of its designation, except that the director may designate the State Contract Manager when the director deems necessary.
The State Contract Manager for each contract shall be identified at the time of execution of the contract. At that time, the contractor shall be provided with the State Contract Manager's name, department, division, agency, address, telephone number, fax phone number, and E-mail address.
For a contract where only one State agency uses the contract, the State Contract Manager shall be responsible for engaging the contractor, assuring that purchase orders are issued to the contractor, directing the contractor to perform the work of the contract, approving the deliverables and approving payment vouchers. The State Contract Manager shall be the person that the contractor contacts after the contract is executed for answers to any questions and concerns about any aspect of the contract. The State Contract Manager shall be responsible for coordinating the use and resolving minor disputes between the contractor and the State agency.
If the contract has multiple users, the director may designate the State Contract Manager for that contract. The State Contract Manager shall be the central coordinator of the use of the contract for all using agencies, while other State employees engage and pay the contractor. All persons and agencies that use the contract shall notify and coordinate the use of the contract with the State Contract Manager.
The State Contract Manager shall have the following additional duties:
if the State Contract Manager determines that the contractor has failed to perform the required work and is unable to resolve that failure to perform directly with the contractor, the State Contract Manager shall file a formal complaint with the contract compliance unit in the Division of Purchase and Property and request that office to assist in the resolution of the contract performance problem with the contractor;
the State Contract Manager shall be responsible for arranging for contract extensions and preparing any re-procurement of the contract with the Purchase Bureau;
the State Contract Manager shall be responsible for obtaining permission from the director to reduce the scope of work, amend the contract or add work or special projects to the contract after contract award;
the State Contract Manager shall be responsible for completion of a project performance assessment form for submission to the division, with a copy to the Office of Management and Budget; and
the State Contract Manager shall be responsible for submitting the contractor final deliverables to the Associate Director of the Office of Management and Budget.
Any contract user that is unable to resolve disputes with a contractor shall refer those disputes to the State Contract Manager for resolution. Any questions related to performance of the work of the contract by contract users shall be directed to the State Contract Manager. The contractor may contact the State Contract Manager if the contractor cannot resolve a dispute with contract users.
##### **§ 52:34-10.8** Contracts for professional services. {#sec-52-34-10.8 omnilex-key=us-nj-statutes--title-52--52:34-10.8}
8. Contracts awarded for professional services by a State agency, as defined in section 11 of P.L.2005, c.336 (C.52:34-10.11),shall be contracts only for services rendered or performed by a person authorized by law to practice a recognized profession and whose practice is regulated by law or the performance of which services requires knowledge of an advanced type in a field of learning acquired by a prolonged formal course of specialized instruction and study as distinguished from general academic instruction or apprenticeship and training. Professional services contracts shall also include those services rendered in the provision of goods or performance of services that are original and creative in character in a recognized field of artistic endeavor. Professional services contracts shall also include contracts for extraordinary unspecifiable services if, after evaluation and assessment, such services are determined to be such that they cannot reasonably be described by written specifications.
##### **§ 52:34-10.9** Filing of disclosure statement of State officers or employees. {#sec-52-34-10.9 omnilex-key=us-nj-statutes--title-52--52:34-10.9}
9. A State officer or employee, or special State officer or employee, of a State agency, as defined in section 11 of P.L.2005, c.336 (C.52:34-10.11), shall file, in writing, with the head of the State agency and the Executive Commission on Ethical Standards, for the period covering five years prior to taking office or commencing employment to the date of filing, a disclosure statement in a form to be determined by the Executive Commission on Ethical Standards.
##### **§ 52:34-10.10** Investigation of vendor challenges. {#sec-52-34-10.10 omnilex-key=us-nj-statutes--title-52--52:34-10.10}
10. The Director of the Division of Purchase and Property shall institute a process whereby vendor challenges to the division's procurement process are investigated and considered by hearing officers appointed by the director and independent of the division's procurement process, and are resolved by written final agency determination of the director. Such challenges shall not be contested cases subject to the requirements of the "Administrative Procedure Act," P.L. 1968, c.410 (C.52:14B-1 et seq.), and the regulations promulgated pursuant to that act. A final agency determination shall be appealable to the Appellate Division of New Jersey Superior Court.
##### **§ 52:34-10.11** "State agency" defined, adoption of procurement practices by Judicial branch, legislative branch. {#sec-52-34-10.11 omnilex-key=us-nj-statutes--title-52--52:34-10.11}
11. a. As used in sections 1,2, 3, 8, and 9 of P.L.2005, c.336 (C.52:34-10.1, C.52:34-10.2, C.52:34-10.3, C.52:34-10.8, and C.52:34-10.9), "State agency" means any of the principal departments in the Executive Branch of State Government, and any division, board, bureau, office, commission or other instrumentality within or created by such principal department, and any independent State authority, commission, instrumentality or agency.
b. The Administrative Director of the Courts, in consultation and cooperation with the Director of the Division of Purchase and Property in the Department of the Treasury, shall adopt procurement and contracting processes for the Judicial Branch of the State that are consistent with the intent of sections 1, 2, 3, 8, and 9 of P.L.2005, c.336 (C.52:34-10.1, C.52:34-10.2, C.52:34-10.3, C.52:34-10.8, and C.52:34-10.9).
c. The Legislature, in consultation and cooperation with the Director of the Division of Purchase and Property, shall adopt procurement and contracting processes for the Legislative Branch of the State that are consistent with the intent of sections 1, 2, 3, 8, and 9 of P.L.2005, c.336 (C.52:34-10.1, C.52:34-10.2, C.52:34-10.3, C.52:34-10.8, and C.52:34-10.9).
##### **§ 52:34-11** Notice to State Auditor {#sec-52-34-11 omnilex-key=us-nj-statutes--title-52--52:34-11}
Notice of such purchases, contracts or agreements made, negotiated or awarded under section 3 of this act, and written approvals thereof, shall be given to the State Auditor.
##### **§ 52:34-12** State advertisement for bids. {#sec-52-34-12 omnilex-key=us-nj-statutes--title-52--52:34-12}
7. a. Whenever advertising is required: (a) specifications and invitations for bids shall permit such full and free competition as is consistent with the procurement of supplies and services necessary to meet the requirements of the using agency and shall, wherever practicable, include such factors as life-cycle costs, sliding percentage preference scales, or other similar analysis as shall be deemed effective by the Director of the Division of Purchase and Property, hereinafter referred to as the director, (b) the advertisement for bids shall be in such newspaper or newspapers and other medium or media selected by the State Treasurer as will best give notice thereof to bidders and shall be sufficiently in advance of the purchase or contract to promote competitive bidding; (c) the advertisement shall designate the time and secure location when and where proposals, which may be submitted in electronic or other format designated by the director, shall be received, opened and publicly announced, the amount of the cash or certified check, if any, which must accompany each bid, and such other terms as the State Treasurer may deem proper; (d) notice of revisions or addenda to advertisements or bid documents relating to bids shall be published in a newspaper or newspapers and other medium or media selected by the State Treasurer to give notice to bidders at least seven days, Saturdays, Sundays and holidays excepted, prior to the bid due date; (e) failure to advertise for the receipt of bids or to provide proper notification of revisions or addenda to advertisements or bid documents related to bids as prescribed by subsection (d) of this section shall prevent the acceptance of bids and require the readvertisement for bids; (f) for any procurement, other than a contract for the construction or maintenance of a public work procured by other than the director of the Division of Purchase and Property, the State Treasurer or the director may negotiate with bidders the final terms and conditions of any procurement, including price; such ability to so negotiate must be expressly set forth in the applicable invitation to bid and (i) such bids shall not be publicly accessible until after negotiations have been completed and the notice of intent to award the contract has been issued or (ii) notwithstanding subsubparagraph (i) of subparagraph (f), bids or portions thereof, may be publicly accessible if the State Treasurer or the director is procuring via a reverse auction process and the bids, or portions thereof, have been de-identified; (g) award shall be made with reasonable promptness, after negotiation with bidders where authorized, by written or electronic notice to that responsible bidder whose bid, conforming to the invitation for bids, will be most advantageous to the State, price and other factors considered; and (h) the Treasurer shall require, with respect to contracts for information technology goods and services, a limitation of liability determined by the Director of the Division of Purchase and Property. When negotiations occur pursuant to subparagraph f. of this section, a written record of the nature and content of the negotiations, as well as the dates and persons involved, shall become a public record when the notice of intent to award the contract is issued. Notwithstanding the provisions of this subsection, the Director of the Division of Purchase and Property may structure an advertisement for bids to include an auction or reverse auction procedure, related to the procurement of goods, services, or both, with the exception of contracts for the provision of hospital, surgical, obstetrical, and other covered health care services and benefits or for the provider network for those services in connection with the State Health Benefits Program, the School Employees' Health Benefits Program, and Medicaid Managed Care Program, except for a pharmacy benefit management contract, whereby pricing is revealed to all other qualified bidders during the course of the auction or reverse auction, whenever the director determines that the use of such procedure will result in bids being more advantageous to the State, price and other factors considered.
Any or all bids may be rejected when the State Treasurer or the Director of the Division of Purchase and Property determines that it is in the public interest so to do. The State Treasurer or designee may adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), such rules and regulations as may be necessary to implement the provisions of this section.
This section shall apply to all bids received on and after the date of enactment of P.L.1999, c.440.
b. Whenever by law a State independent authority may negotiate with bidders, after bid opening, the final terms and conditions of any procurement, including price, and such ability to so negotiate is expressly set forth in the applicable invitation to bid, a written record of the nature and content of the negotiations, as well as the dates and persons involved, shall not be publicly accessible until after the notice of intent to award the contract is issued.
##### **§ 52:34-12.1** Awarding of contracts to multiple bidders. {#sec-52-34-12.1 omnilex-key=us-nj-statutes--title-52--52:34-12.1}
1. a. When awarding contracts pursuant to section 7 of P.L.1954, c.48 (C.52:34-12), the Director of the Division of Purchase and Property may make awards to multiple bidders, to furnish the same or similar materials, supplies, services or equipment, where multiple bidders are necessary:
(1) to furnish the quantities required by using agencies;
(2) to provide expeditious and cost-efficient local deliveries to using agencies;
(3) to enable using agencies to purchase materials, supplies, services or equipment which are compatible with those previously purchased;
(4) to provide for standardization of equipment, interchangeability of parts or continuation of services;
(5) to provide using agencies or participants in cooperative purchasing arrangements with a diversity of product choices to meet the collective safety, environmental or technological needs of such agencies or cooperative purchasers; or
(6) when the director determines that multiple awards are necessary to serve the State's interests.
b. The director may determine whether the anticipated use of a contract by entities authorized by law to participate in cooperative purchasing arrangements with the State justifies awarding a contract to multiple bidders on the basis of any one or more of the criteria set forth in subsection a. of this section.
c. Where multiple contracts have been awarded pursuant to subsection a. of this section, a using agency shall make purchases from that contractor whose contract terms and conditions are most advantageous to the agency, price and other factors considered.
d. All purchases made by using agencies under subsection c. of this section shall be reported to the director, in a manner prescribed by the director. The report shall include the reasons for selecting a particular contractor under subsection c. of this section.
e. (Deleted by amendment, P.L.2005, c.336.)
##### **§ 52:34-12.2** State contracts to comply with MacBride principles and Northern Ireland Act of 1989 {#sec-52-34-12.2 omnilex-key=us-nj-statutes--title-52--52:34-12.2}
1. a. Notwithstanding the provisions of any law, rule or regulation to the contrary, whenever a purchase, contract or agreement is to be made, negotiated or awarded after public bidding pursuant to the provisions of P.L.1954, c.48 (C.52:34-6 et seq.) by the Director of the Division of Purchase and Property or the Director of the Division of Building and Construction, as the case may be, or pursuant to R.S.52:32-2, any responsible bidder whose bid would be most advantageous to the State pursuant to section 7 of P.L.1954,c.48 (C.52:34-12) or who is selected pursuant to R.S.52:32-2 shall certify that:
1) they have no business operations in Northern Ireland; or
2) they will take lawful steps in good faith to conduct any business operations they have in Northern Ireland in accordance with the MacBride principles of nondiscrimination in employment as set forth in section 2 of P.L.1987, c.177 (C.52:18A-89.5), and in conformance with the United Kingdom's Fair Employment (Northern Ireland) Act of 1989, and permit independent monitoring of their compliance with those principles.
b. If a bidder who would otherwise be awarded a purchase, contract or agreement does not agree to comply with the provisions of subsection a. of this section and another bidder who has agreed to stipulate to the conditions set forth therein has submitted a bid within five percent of the most advantageous bid for a purchase, contract or agreement to supply goods, services or construction of comparable quality, the contracting entity shall refer such bids to the Director of the Division of Purchase and Property or the Director of the Division of Building and Construction, as the case may be, who may determine, in accordance with applicable law and rules, that it is in the best interest of the State that the purchase, contract or agreement be awarded to the latter bidder.
c. Upon receiving information that a party to a purchase, contract or agreement to supply goods, services or construction is in violation of the principles required by subsection a. of this section, the contracting agency shall review the information and offer the party an opportunity to respond. If the contracting agency finds that a violation has occurred, it shall take such action as may be appropriate and provided for by law, rule or contract, including, but not limited to, imposing sanctions, seeking compliance, recovering damages, declaring the party in default and seeking debarment or suspension of the party.
d. The provisions of this section shall not apply to contracts in which the application of the provisions would jeopardize the receipt of federal funds.
For the purposes of this section, a corporation conducts business operations in Northern Ireland if the corporation has ongoing business activities in Northern Ireland and maintains a physical presence therein through the operation of offices, plants, factories, or similar facilities, either directly or indirectly through intermediaries, subsidiaries or affiliated companies over which the corporation maintains effective control.
##### **§ 52:34-13** Terms and conditions; rules and regulations {#sec-52-34-13 omnilex-key=us-nj-statutes--title-52--52:34-13}
The State Treasurer shall determine the terms and conditions of the various types of agreements or contracts, including provisions for adequate security, the time and amount or percentage of each payment thereon and the amount to be withheld pending completion of the contract, and he shall issue and publish rules and regulations concerning such terms and conditions, standard contract forms and such other rules and regulations concerning purchasing or procurement, not inconsistent with any applicable law, as he may deem advisable to promote competition and to implement this act.
##### **§ 52:34-13.1** Renegotiation of contract with State or independent State authority {#sec-52-34-13.1 omnilex-key=us-nj-statutes--title-52--52:34-13.1}
Any person entering into a contract with the State pursuant to the provisions of P.L.1954, c.48 (C.52:34-6 et seq.), or with an independent State authority, which contract requires the contractor to provide for the disposal of solid waste, shall have the right to renegotiate the contract to reflect any increase in solid waste disposal costs whenever:
a. the increase occurred as a result of compliance with an order issued by the Department of Environmental Protection, in conjunction with the Board of Public Utilities, directing the solid waste be disposed at a solid waste facility other than the facility previously utilized by the person to whom the contract has been awarded; or
b. the increase in solid waste disposal costs occurred as a result of lawful increases in the rates, fees or charges imposed on the disposal of solid waste at the solid waste facility utilized by the person to whom the contract has been awarded.
For the purposes of this section, "independent State authority" means an authority, board, bureau, office, commission, committee, council, instrumentality or agency of the State, which is a public body corporate and politic established pursuant to law, having the power to sue and be sued and to issue bonds, but shall not include the New Jersey Transit Corporation established pursuant to P.L.1979, c.150 (C.27:25-1 et seq.).
##### **§ 52:34-13.2** State contracts, services performed within U.S.; exceptions. {#sec-52-34-13.2 omnilex-key=us-nj-statutes--title-52--52:34-13.2}
1. a. Every State contract primarily for the performance of services shall include provisions which specify that all services performed under the contract or performed under any subcontract awarded under the contract shall be performed within the United States.
b. The provision of subsection a. of this section shall not apply whenever:
(1) the Director of the Division of Purchase and Property or the Director of the Division of Property Management and Construction, as appropriate, certifies in writing a finding that a service is required by the Executive Branch of the State and that the service cannot be provided by a contractor or subcontractor within the United States and the certification is approved by the State Treasurer;
(2) the contracting officer for the Legislature or for any office, board, bureau or commission within or created by the Legislative Branch certifies in writing a finding that a service is required by the Legislature or the office, board, bureau or commission within or created thereby and that the service cannot be provided by a contractor or subcontractor within the United States and the certification is approved by the appropriate legislative authority;
(3) the contracting officer of any independent State authority, commission, instrumentality or agency certifies in writing a finding that the service required by the independent State authority, commission, instrumentality or agency cannot be provided by a contractor or subcontractor within the United States and the certification is approved by the executive director or other equivalent authority of that authority, commission, instrumentality or agency; or
(4) any of the directors or contracting officers in paragraphs (1) through (3) of this subsection b., as may be applicable, certifies in writing a finding that inclusion in the State contract of a provision as described in subsection a. of this section with respect to the performance of a service required by their contracting entity under the State contract would violate the terms, conditions, or limitations of any grant, funding or financial assistance from the federal government or any agency thereof, and the certification is approved by the appropriate approval officer.
As used in this section, "State contract" means every contract entered into by (1) the Governor, the head of any of the principal departments in the Executive Branch of the State Government, and the head of any division, board, bureau, office, commission or other instrumentality within or created by such department, (2) the contracting officer of the Legislature of the State and any office, board, bureau or commission within or created by the Legislative Branch, and (3) the head or contracting officer of any independent State authority, commission, instrumentality or agency within or created by such an authority, who is authorized to enter into contracts that include the performance of services. A county, municipality or school district shall not be deemed an agency or instrumentality of the State for the purpose of this section.
##### **§ 52:34-14** State House Commission contracts {#sec-52-34-14 omnilex-key=us-nj-statutes--title-52--52:34-14}
Where the State House Commission is empowered to make, award or authorize the award of any agreement or contract, such agreement or contract may be made, awarded or authorized without publicly advertising for bids therefor when
(a) the cost or contract price involved does not exceed the amount set forth in, or the amount calculated by the Governor pursuant to, section 2 of P.L. 1954, c. 48 (C. 52:34-7); or
(b) the subject matter thereof is personal or professional services; or
(c) the purchase is to be made from, or the contract to be made with, the federal or any state government or any agency or political subdivision thereof; or
(d) the subject matter thereof is perishable food or subsistence supplies; or
(e) the commission first shall have adopted a resolution that the interest of the State will be best served by not so advertising.
##### **§ 52:34-15** Warranty by contractor of no solicitation on commission or contingent fee basis {#sec-52-34-15 omnilex-key=us-nj-statutes--title-52--52:34-15}
Every contract or agreement negotiated, awarded or made pursuant to this act shall contain a suitable warranty by the contractor that no person or selling agency has been employed or retained to solicit or secure such contract upon an agreement or understanding for a commission, percentage, brokerage or contingent fee, except bona fide employees or bona fide established commercial or selling agencies maintained by the contractor for the purpose of securing business, for the breach or violation of which warranty the State shall have the right to annul such contract without liability or in its discretion to deduct from the contract price or consideration the full amount of such commission, percentage, brokerage or contingent fee.
##### **§ 52:34-16** Deputy Director of Division of Purchase and Property {#sec-52-34-16 omnilex-key=us-nj-statutes--title-52--52:34-16}
The Director of the Division of Purchase and Property may, with the approval of the State Treasurer, designate a deputy to act during the absence of the director and to exercise the powers and duties of the director under this act during such absence. Such designation shall be in writing and shall be filed with the Secretary of State.
##### **§ 52:34-17** Contracts for printing of legal briefs, records and appendices {#sec-52-34-17 omnilex-key=us-nj-statutes--title-52--52:34-17}
Contracts or agreements for the printing of legal briefs, records and appendices to be used in any proceeding in which the State may be interested may be negotiated, awarded or made without advertising by the Attorney-General.
##### **§ 52:34-18** Violations; crime. {#sec-52-34-18 omnilex-key=us-nj-statutes--title-52--52:34-18}
13. Any person knowingly authorizing, consenting to, making or procuring to be made any purchase, contract or agreement in violation of any of the provisions of P.L.1954, c.48 (C.52:34-6 et seq.) or knowingly making or procuring to be made payment of State funds for or on account of any purchase, contract or agreement known to him to have been made or entered into in violation of any of the provisions of P.L.1954, c.48 (C.52:34-6 et seq.) shall be guilty of a crime of the fourth degree.
##### **§ 52:34-19** Payment of compensation or gratuity to State employee prohibited {#sec-52-34-19 omnilex-key=us-nj-statutes--title-52--52:34-19}
The payment of any fee, commission or compensation of any kind or the granting of any gift or gratuity of any kind, either directly or indirectly, whether or not in connection with any purchase, sale or contract, to any person employed by the State in the Department of the Treasury, or to any other person in the employ of the State having any duties or responsibilities in connection with the purchase or acquisition of any property or services by the State or any department, commission, authority, agency or instrumentality thereof, by or on behalf of any seller or supplier who has made, negotiated, solicited or offered to make any contract to sell or furnish real or personal property or services to the State or to any department, officer, commission, authority, agency or instrumentality thereof, is hereby prohibited. Any person offering, paying, giving, soliciting or receiving any fee, commission, compensation, gift or gratuity in violation of this section shall be guilty of a misdemeanor.
##### **§ 52:34-20** Repeal {#sec-52-34-20 omnilex-key=us-nj-statutes--title-52--52:34-20}
Sections 52:34-1, 52:34-2, 52:34-3, 52:34-4, and 52:34-5 of the Revised Statutes are repealed.
##### **§ 52:34-21** Legislative findings {#sec-52-34-21 omnilex-key=us-nj-statutes--title-52--52:34-21}
The Legislature finds that the industrial economy of the State requires a shift from a use and discard approach to a closed cycle of use and salvage of solid waste.
##### **§ 52:34-22** Survey of items required by state which are manufactured out of recycled materials; report {#sec-52-34-22 omnilex-key=us-nj-statutes--title-52--52:34-22}
The Division of Purchase and Property shall conduct a survey of those items customarily required by the State which are being manufactured in whole or in part out of recycled materials, and report its findings to the Legislature within 6 months of the effective date of this act.
##### **§ 52:34-23** Preference in purchase by state of items which are made from recycled materials {#sec-52-34-23 omnilex-key=us-nj-statutes--title-52--52:34-23}
In purchasing items which are made both with and without the use of any recycled materials, the Division of Purchase and Property, whenever the price is reasonably competitive and the quality adequate for the purpose intended, shall give preference to those items which are made in whole or in part from recycled materials.
##### **§ 52:34-24** Advertisements for bids; statement of preference for recycled materials {#sec-52-34-24 omnilex-key=us-nj-statutes--title-52--52:34-24}
In advertising for bids for items which are made both with and without the use of any recycled materials, the division shall state its preference for items made in whole or in part with the use of recycled materials whenever the price therefor is reasonably competitive and the quality satisfactory.
##### **§ 52:34-25** Implementation of energy savings improvement program by State contracting agency; definitions. {#sec-52-34-25 omnilex-key=us-nj-statutes--title-52--52:34-25}
9. a. (1) A State contracting agency, as defined in this section, may implement an energy savings improvement program in the manner provided by this section whenever it determines that the savings generated from reduced energy use from the program will be sufficient to cover the cost of the program's energy conservation measures as set forth in an energy savings plan. Under such a program, a contracting agency may enter into an energy savings services contract with an energy services company to implement the program or the contracting agency may authorize separate contracts to implement the program. The provisions of Title 52 of the Revised Statutes shall apply to any contracts awarded pursuant to this section to the extent that the provisions of such law are not inconsistent with any provision of this section.
(2) A State contracting agency facility alteration required to properly implement other energy efficiency or energy conservation measures, or both, may be included as part of an energy savings services contract, in which case, notwithstanding any other provision of law, rule, regulation, or order to the contrary, the facility alteration may be undertaken or supervised by the energy services company performing the energy savings services contract if:
(a) the total cost of the improvement does not exceed 15 percent of the total cost of the work to be performed under the energy savings services contract; and
(b) (i) the improvement is necessary to conform to a law, rule, or regulation, or order, or (ii) an analysis within an approved proposal, or the State contracting agency, at the time of the award of the proposal, demonstrates that there is an economic advantage to the State contracting agency implementing the improvement as part of the energy savings services contract, and the savings rationale for the improvement is documented and supported by reasonable justification.
b. (1) To be eligible to enter into an energy savings services contract, an energy services company shall be a commercial entity that is qualified to provide energy savings services in accordance with the provisions of this section. A State contracting agency may determine to enter into an energy savings services contract through public advertising for bids and the receipt of bids therefor.
(2) (a) Public works activities performed under an energy savings improvement program shall be subject to all requirements regarding public bidding, bid security, performance guarantees, insurance and other public contracting requirements that are applicable to public works contracts, to the extent not inconsistent with this section. A general contractor, energy services company serving as general contractor, or any subcontractor hired for the furnishing of plumbing and gas fitting and all kindred work, and of steam and hot water heating and ventilating apparatus, steam power plants and kindred work, and electrical work, structural steel and ornamental iron work, shall be classified by the Division of Property Management and Construction in the Department of the Treasury in order to perform public works activities under an energy savings improvement program. A general contractor, energy services company serving as general contractor, or any subcontractor hired for the furnishing of electrical work shall use only electrical contractors licensed by the State, pursuant to P.L.1962, c.162 (C.45:5A-1 et seq.), to perform electrical work under an energy savings improvement program. Electrical work shall include, but not be limited to, the wiring of temperature and energy management controls, the installation of control systems, and the retrofitting of any lighting equipment.
(b) Individuals or organizations performing energy audits, acting as commissioning agents, or conducting verification of energy savings plans, implementation of energy conservation measures, or verifying guarantees shall be prequalified by the Division of Property Management and Construction in the Department of the Treasury to perform their work under an energy savings improvement program.
(3) (a) An energy services company may be designated as the general contractor for improvements to be made pursuant to an energy savings plan, provided that the hiring of subcontractors that are required to be classified pursuant to subparagraph (a) of paragraph (2) of this subsection shall be performed in accordance with the procedures and requirements set forth pursuant to subparagraph (b) of this paragraph. A contract with an energy savings company shall include, but not be limited to: preparation of an energy savings plan, the responsibilities of the parties for project schedules, installations, performance and quality, payment of subcontractors, project completion, commissioning, savings implementation; a requirement that the savings to be achieved by energy conservation measures be verified upon commissioning of the improvements; allocation of State and federal rebates and tax credits; and any other provisions deemed necessary by the parties.
(b) Notwithstanding any other law or regulation to the contrary, an energy services company shall select, in accordance with the procedures and requirements set forth pursuant to the public bidding process of the State contracting agency, only those subcontractors that have been pre-qualified by the Division of Property Management and Construction as eligible to submit bids. In pre-qualifying subcontractors for eligibility, the division shall create one or more pools of subcontractors based on the value and complexity of the work to be undertaken under an energy savings improvement program. The pre-qualification pools shall include subcontractors having the following qualifications:
(i) the financial means and ability to complete the required work;
(ii) the experience, capability, and skills necessary to complete the work required of energy savings improvement program projects; and
(iii) a record of experience conducting similar work in a timely fashion.
Each subcontractor chosen by the energy services company shall certify that all employees have completed a registered apprenticeship program that provided each trainee with combined classroom and on-the-job training under the direct and close supervision of a highly skilled worker in an occupation recognized as an apprenticeable trade, registered by the Office of Apprenticeship of the United States Department of Labor and meeting the standards established by the office, or registered by a State apprenticeship agency recognized by the office. The energy services company shall then select from the eligible pools of prequalified subcontractors. All workers performing public works activities for subcontractors awarded contracts by an energy services company pursuant to this section shall be paid prevailing wages in accordance with the "New Jersey Prevailing Wage Act," P.L.1963, c.150 (C.34:11-56.25 et seq.). All subcontractors shall comply with the provisions of "The Public Works Contractor Registration Act," P.L.1999, c.238 (C.34:11-56.48 et seq.). Only firms appropriately classified as contractors by the Division of Property Management and Construction shall be eligible to be awarded a contract as a subcontractor of an energy services company under this section for performing public works activities pursuant to regulations adopted by the Division of Property Management and Construction.
(c) In order to expedite communications with an energy services company and facilitate the implementation of an energy savings improvement program, a State contracting agency may designate or appoint an employee of the State contracting agency with decision-making authority to coordinate with the energy services company and to address issues associated with the implementation of an energy savings improvement program as they arise, provided that any decision requiring a change order shall be made only upon the approval of the State contracting agency.
(4) A subsidiary or wholly-owned or partially-owned affiliate of the energy services company shall not be an eligible contractor or subcontractor under an energy savings services contract.
c. In addition to existing authorization of a State agency to enter into lease-purchase agreements or to issue obligations to finance the costs of an energy savings improvement program, a contracting agency is hereby authorized to finance the costs of an energy savings improvement program by entering into a lease purchase agreement. Any financing mechanism shall be administered in a manner consistent with this subsection insofar as it does not conflict with the provisions of other law that applies to the contracting agency.
(1) An energy savings improvement program may be financed through a lease-purchase agreement between a State contracting agency and an energy services company or other public or private entity. Under a lease-purchase agreement, ownership of the energy savings equipment or improved facilities shall pass to the contracting agency or the client agency responsible for the facility when all lease payments have been made. Notwithstanding the provisions of any other law to the contrary, the duration of such a lease-purchase agreement shall not exceed 15 years, except that the duration of a lease purchase agreement for a combined heat and power or cogeneration project shall not exceed 20 years. For the purposes of this paragraph, the duration of the repayment term of a lease-purchase agreement shall commence on the date upon which construction and installation of the energy savings equipment, "combined heat and power facility" or "cogeneration facility," as those terms are defined pursuant to section 3 of P.L.1999, c.23 (C.48:3-51), or other energy conservation measures undertaken pursuant to the energy savings plan, have been completed.
(2) Lease-purchase agreements and energy savings obligations shall not be used to finance maintenance, guarantees, or verification of guarantees of energy conservation measures. Lease-purchase agreements may be used to finance the cost of an energy audit or the cost of verification of energy savings as part of adopting an energy savings plan. Maturity schedules of lease-purchase agreements shall not exceed the estimated average useful life of the energy conservation measures.
d. (1) The energy audit component of an energy savings improvement program shall be conducted either by the contracting agency or by a qualified independent third party retained by the contracting agency for that purpose. It shall not be conducted by an energy services company subsequently hired to develop an energy savings improvement program. The energy audit shall identify the current energy use of any or all facilities and energy conservation measures that can be implemented in which the energy savings and energy efficiency could be realized and maximized.
(2) To implement an energy savings improvement program, a contracting agency shall develop an energy savings plan that consists of one or more energy conservation measures. The plan shall:
(a) contain the results of an energy audit;
(b) describe the energy conservation measures that will comprise the program;
(c) estimate greenhouse gas reductions resulting from those energy savings;
(d) identify all design and compliance issues that require the professional services of an architect or engineer and identify who will provide these services;
(e) include an assessment of risks involved in the successful implementation of the plan;
(f) identify the eligibility for, and costs and revenues associated with the PJM Independent System Operator for demand response and curtailable service activities;
(g) include schedules showing calculations of all costs of implementing the proposed energy conservation measures and the projected energy savings;
(h) identify maintenance requirements necessary to ensure continued energy savings, and describe how they will be fulfilled; and
(i) if developed by an energy services company, a description of, and cost estimates of an energy savings guarantee.
All professionals providing engineering services under the plan shall have errors and omissions insurance.
(3) Prior to the adoption of the plan, the contracting agency shall contract with a qualified third party to verify the projected energy savings to be realized from the proposed program have been calculated as required by subsection e. of this section.
(4) Upon adoption, the plan shall be submitted to the Board of Public Utilities, which shall post it on the Internet on a public webpage maintained for such purpose. If the contracting agency maintains its own website, it shall also post the plan on that site. The Board of Public Utilities may require periodic reporting concerning the implementation of the plan.
(5) Verification by a qualified third party shall be required when energy conservation measures are placed in service or commissioned, to ensure the savings projected in the energy savings plan shall be achieved.
(6) Energy-related capital improvements that do not reduce energy usage may be included in an energy savings improvement program but the cost of such improvements shall not be financed as a lease-purchase or through energy savings obligations authorized by subsection c. of this section. Nothing herein is intended to prevent financing of such capital improvements through otherwise authorized means.
(7) A qualified third party when required by this subsection may include an employee of the State contracting agency who is properly trained and qualified to perform such work.
e. (1) (a) The calculation of energy savings for the purposes of determining that the energy savings resulting from the program will be sufficient to cover the cost of the program's energy conservation measures, as provided in subsection a. of this section, shall involve determination of the dollar amount saved through implementation of an energy savings improvement program using the guidelines of the International Performance Measurement and Verification Protocol or other protocols approved by the Board of Public Utilities and standards adopted by the Board of Public Utilities pursuant to this section. The calculation shall include all applicable State and federal rebates and tax credits, but shall not include the cost of an energy audit and the cost of verifying energy savings. The calculation shall state which party has made application for rebates and credits and how these applications translate into energy savings.
(b) During the procurement phase of an energy savings improvement program, an energy services company's proposal submitted in response to a request for proposal shall not include a savings calculation that assumes, includes, or references capital cost avoidance savings, the current or projected value of a "solar renewable energy certificate," as defined pursuant to section 3 of P.L.1999, c.23 (C.48:3-51), or other environmental or similar attributes or benefits of whatever nature that derive from the generation of renewable energy, and any costs or discounts associated with maintenance services, an energy savings guarantee, or third party verification of energy conservation measures and energy savings. The calculation of energy savings shall utilize and specifically reference as a benchmark the actual demand and energy components of the public utility tariff rate applicable to the State contracting agency then in effect, and not a blended rate that aggregates, combines, or restates in any manner the distinct demand and energy components of the public utility tariff rate into a single combined or restated tariff rate. If an energy services company submits a proposal to a State contracting agency that does not calculate projected energy savings in the manner required by this subsection, such proposal shall be rejected by the State contracting agency.
(2) For the purposes of this section, the Board of Public Utilities shall adopt standards and uniform values for interest rates and escalation of labor, electricity, oil, and gas, as well as standards for presenting these costs in a life cycle and net present value format, standards for the presentation of obligations for carbon reductions, and other standards that the board may determine necessary.
f. (1) When an energy services company is awarded an energy savings services contract, it shall offer the contracting agency the option to purchase, for an additional amount, an energy savings guarantee. The guarantee, if accepted by the contracting agency, shall insure that the energy savings resulting from the energy savings improvement program, determined periodically over the duration of the guarantee, will be sufficient to defray all payments required to be made pursuant to the lease-purchase agreement or energy savings obligation, and if the savings are not sufficient, the energy services company will reimburse the contracting agency for any additional amounts. Annual costs of a guarantee shall not be financed or included as costs in an energy savings plan but shall be fully disclosed in an energy savings plan.
(2) When a guaranteed energy savings option is purchased, the contract shall require a qualified third party to verify the energy savings at intervals established by the parties.
(3) When an energy services company is awarded an energy savings services contract to provide or perform goods or services for the purpose of enabling a State contracting agency to conserve energy through energy efficiency equipment, including a "combined heat and power facility" as that term is defined pursuant to section 3 of P.L.1999, c.23 (C.48:3-51), on a self-funded basis, such contract shall extend for a term of up to 15 years for energy efficiency projects, and for up to 20 years for a combined heat and power facility after construction completion. If a State contracting agency shall elect to contract with an energy services company for an energy savings guarantee in connection with a contract awarded pursuant to this section, such guarantee may extend for a term of up to 15 years for energy efficiency projects, or up to 20 years for a combined heat and power facility after construction completion.
g. As used in this section:
"energy conservation measure" means an improvement that results in reduced energy use, including, but not limited to, installation of energy efficient equipment; demand response equipment; combined heat and power systems; facilities for the production of renewable energy; water conservation measures, fixtures or facilities; building envelope improvements that are part of an energy savings improvement program; and related control systems for each of the foregoing;
"energy related capital improvement" means a capital improvement that uses energy but does not result in a reduction of energy use;
"energy savings" means a measured reduction in fuel, energy, operating or maintenance costs resulting from the implementation of one or more energy conservation measures services when compared with an established baseline of previous fuel, energy, operating or maintenance costs, including, but not limited to, future capital replacement expenditures avoided as a result of equipment installed or services performed as part of an energy savings plan;
"energy savings improvement program" means an initiative of a State contracting agency to implement energy conservation measures in existing facilities, provided that the value of the energy savings resulting from the program will be sufficient to cover the cost of the program's energy conservation measures;
"energy savings plan" means the document that describes the actions to be taken to implement the energy savings improvement program;
"energy savings services contract" means a contract with an energy savings company to develop an energy savings plan, prepare bid specifications, manage the performance, provision, construction, and installation of energy conservation measures by subcontractors, to offer a guarantee of energy savings derived from the implementation of an energy savings plan, and may include a provision to manage the bidding process;
"energy services company" means a commercial entity that is qualified to develop and implement an energy savings plan in accordance with the provisions of this section;
"public works activities" means any work subject to the provisions of P.L.1963, c.150 (C.34:11-56.25 et seq.);
"State contracting agency" or "contracting agency" means any of the principal departments in the Executive Branch of State Government, and any division, board, bureau, office, commission or other instrumentality created by a principal department; and
"water conservation measure" means an alteration to a facility or equipment that reduces water consumption, maximizes the efficiency of water use, or reduces water loss.
h. (1) The State Treasurer and the Board of Public Utilities may take such action as is deemed necessary and consistent with the intent of this section to implement its provisions.
(2) The State Treasurer and the Board of Public Utilities may adopt implementation guidelines or directives, and adopt such administrative rules, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), as are necessary for the implementation of those agencies' respective responsibilities under this section, except that notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the State Treasurer, and the Board of Public Utilities may adopt, immediately upon filing with the Office of Administrative Law, such rules and regulations as deemed necessary to implement the provisions of this act which shall be effective for a period not to exceed 12 months and shall thereafter be amended, adopted or re-adopted in accordance with the provisions of P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:34-25.1** State contracting agency, competitive selection process. {#sec-52-34-25.1 omnilex-key=us-nj-statutes--title-52--52:34-25.1}
6. a. Notwithstanding the provisions to the contrary of R.S.52:32-2 or any other law, or any rule or regulation adopted pursuant thereto, where a State contracting agency implements an energy savings improvement program pursuant to section 9 of P.L.2009, c.4 (C.52:34-25), the State contracting agency, prior to entering into an energy savings services contract, shall use a competitive selection process that ensures that the award is made to the responsible bidder whose proposal is determined to be the most advantageous to the State.
b. Nothing in this section shall preclude a State contracting agency from using procurement processes other than those prescribed herein and in section 9 of P.L.2009, c.4 (C.52:34-25), if those processes have been approved by the federal government under section 801 of the "National Energy Conservation Policy Act" (42 U.S.C. s.8287).
c. The Division of Property Management and Construction in the Department of the Treasury shall not charge any fee for the review or approval of an energy savings improvement program implemented by a State contracting agency pursuant to section 9 of P.L.2009, c.4 (C.52:34-25).
##### **§ 52:34-26** Definitions relative to State partnerships with private entities. {#sec-52-34-26 omnilex-key=us-nj-statutes--title-52--52:34-26}
3. a. As used in this section:
"Authority" means the New Jersey Economic Development Authority established pursuant to section 4 of P.L.1974, c.80 (C.34:1B-4).
"Building project" means the construction, reconstruction, repair, alteration, improvement, or extension of any public building, structure, or facility constructed or acquired by a State government entity to house State government functions, including any infrastructure or facility used or to be used by the public or in support of a public purpose or activity.
"Bundling" means the use of a solicitation for multiple projects in one single contract, through a public-private partnership project delivery method, the result of which restricts competition.
"Department" means the Department of Transportation.
"Division" means the Division of Property Management and Construction within the Department of the Treasury.
"Highway project" means the construction, reconstruction, repair, alteration, improvement, or extension of public expressways, freeways, and parkways, including bridges, tunnels, overpasses, underpasses, interchanges, rest areas, express bus roadways, bus pullouts and turnarounds, and park and ride facilities, including any infrastructure or facility used or to be used by the public or in support of a public purpose or activity; provided that the project shall include an expenditure of at least $100 million in public funds, or any expenditure in solely private funds.
"Public-private partnership agreement" means an agreement entered into by a State government entity and a private entity pursuant to this section for the purpose of permitting a private entity to assume full financial and administrative responsibility for the construction, reconstruction, repair, alteration, improvement, extension, operation, and maintenance of a revenue-producing building project or a highway project of, or for the benefit of, the State government entity.
"State government entity" means the State or any department, agency, commission, or authority thereof subject to the public contracting provisions of P.L.1954, c.48 (C.52:34-6 et seq.), including the South Jersey Port Corporation created pursuant to "The South Jersey Port Corporation Act," P.L.1968, c.60 (C.12:11A-1 et seq.), and New Jersey Transit. State government entity shall not include any State institution of higher education.
b. (1) A State government entity may enter into a contract with a private entity, subject to subsection f. of this section, to be referred to as a public-private partnership agreement, that permits the private entity to assume full financial and administrative responsibility for the construction, reconstruction, repair, alteration, improvement, extension, operation, and maintenance of a building or highway of, or for the benefit of, the State government entity, provided that the building or highway project is financed in whole or in part by the private entity and the State government entity retains full ownership of the land upon which the project is located.
(2) A public-private partnership agreement may include an agreement under which a State government entity and a private entity enter into a lease of a revenue-producing public building or highway in exchange for up-front or structured financing by the private entity for the project. Under the lease agreement, the private entity shall be responsible for the management, operation, and maintenance of the building or highway. The private entity shall receive some or all, as per the agreement, of the revenue generated by the building or highway, and shall operate the building or highway in accordance with State government entity standards. At the end of the lease term, subsequent revenue generated by the building or highway, along with management, operation, and maintenance responsibility, shall revert to the State government entity. A lease agreement entered into pursuant to this section shall be limited in duration to a term of not more than 30 years, unless it includes a highway project component in which case the lease agreement shall be limited in duration to a term not more than 50 years. A lease agreement shall be subject to all applicable provisions of current law governing leases by a State government entity not inconsistent with the provisions of this section. For the purposes of this section, "revenue-producing" shall include leaseback arrangements.
(3) Bundling of projects shall be prohibited under this section.
(4) The total number of approved State highway projects developed through a public-private partnership shall not exceed eight projects at any given time.
c. (1) A private entity that assumes full financial and administrative responsibility for a building or highway project pursuant to this section, unless otherwise set forth herein, shall not be subject to the procurement and contracting requirements of all statutes applicable to the State government entity at which the project is completed, including, but not limited to, the public contracting provisions of P.L.1954, c.48 (C.52:34-6 et seq.).
(2) Notwithstanding any provision of law to the contrary, a State government entity shall be empowered to enter into contracts with a private entity and its affiliates without being subject to the procurement and contracting requirements, unless otherwise set forth herein, of any statute applicable to the public entity provided that the private entity has been selected by the public entity pursuant to a solicitation of proposals or qualifications from at least two private entities, or it has received an unsolicited proposal and followed the procedure set forth in paragraph (2) of subsection j. of this section. A State government entity shall be the owner or lessee of any project financed by a State entity.
(3) Prior to the commencement of work on a project, the private entity shall establish a construction account and appoint a third-party financial institution, who shall be prequalified by the State Treasurer, to act as a collateral agent, and manage the construction account. The construction account shall include the funding, financial instruments, or both, that shall be used to fully capitalize and fund the project, and the collateral agent shall maintain a full accounting of the funds and instruments in the account. The funds and instruments in the construction account shall be held in trust for the benefit of the contractor, construction manager, and design-build team involved in the project. The funds and instruments in the construction account shall not be the property of the private entity unless all amounts due to the construction account beneficiaries are paid in full. The construction account shall not be designated for more than one project.
d. Each worker employed in the construction, rehabilitation, or maintenance services of buildings or highways by a private entity that has entered into a public-private partnership agreement with a State government entity pursuant to this section shall be paid not less than the prevailing wage rate for the worker's craft or trade as determined by the Commissioner of Labor and Workforce Development pursuant to P.L.1963, c.150 (C.34:11-56.25 et seq.) and P.L.2005, c.379 (C.34:11-56.58 et seq.).
e. (1) All building construction projects under a public-private partnership agreement entered into pursuant to this section shall contain a project labor agreement. The project labor agreement shall be subject to the provisions of P.L.2002, c.44 (C.52:38-1 et seq.), and shall be in a manner that to the greatest extent possible enhances employment opportunities for individuals residing in the county of the project's location. The general contractor, construction manager, design-build team, architectural and engineering professionals and any subcontractor for a construction project proposed in accordance with this paragraph shall be registered pursuant to the provisions of P.L.1999, c.238 (C.34:11-56.48 et seq.), and shall be classified by the Division of Property Management and Construction, or shall be prequalified by the Department of Transportation, New Jersey Transit, or the New Jersey Turnpike Authority, as appropriate, to perform work on a public-private partnership project.
(2) All building projects proposed in accordance with this section shall be submitted to the State Treasurer for its review and approval in accordance with subsection f. of this section prior to the execution of the public-private partnership agreement in accordance with subsection j. of this section. When practicable, State government entities are encouraged to adhere to the Leadership in Energy and Environmental Design Green Building Rating System as adopted by the United States Green Building Council, the Green Globes Program adopted by the Green Building Initiative, or a comparable nationally recognized, accepted, and appropriate sustainable development rating system.
(3) The general contractor, construction manager, or design-build team shall be required to post a performance bond to ensure the completion of the project and a payment bond guaranteeing prompt payment of moneys due in accordance with and conforming to the requirements of N.J.S.2A:44-143 et seq.
f. (1) Prior to entering into a public -private partnership, the State government entity shall determine: (i) the benefits to be realized by the project; (ii) the cost of project if it is developed by the public sector supported by comparisons to comparable projects; (iii) the maximum public contribution that the State government entity will allow under the public -private partnership; (iv) a comparison of the financial and non-financial benefits of the public-private partnership compared to other options including the public sector option; (v) a list of risks, liabilities and responsibilities to be transferred to the private entity and those to be retained by the State government entity; and (vi) if the project has a high, medium or low level of project delivery risk and how the public is protected from these risks.
(2) Prior to entering into a public- private partnership, the State government entity at a public hearing or via notice to the public, shall find that the project is in the best interest of the public by finding that (i) it will cost less than the public sector option, or if it costs more there are factors that warrant the additional expense; (ii) there is a public need for the project and the project is consistent with existing long-term plans; (iii) there are specific significant benefits to the project; (iv) there are specific significant benefits to using the public-private partnership instead of other options including No-Build; (v) the private development will result in timely and efficient development and operation; and (vi) the risks, liabilities and responsibilities transferred to the private entity provide sufficient benefits to warrant not using other means of procurement.
(3) All projects proposed in accordance with this section shall be submitted to the State Treasurer for review and approval. The projects are encouraged, when practicable, to adhere to the green building manual prepared by the Commissioner of Community Affairs pursuant to section 1 of P.L.2007, c.132 (C.52:27D-130.6).
(4) All projects proposed in accordance with this section that have a transportation component or impact the transportation infrastructure shall be submitted to the State Treasurer, in consultation with the Commissioner of the Department of Transportation, for review and approval.
(5) (a) In order for an application to be complete and considered by the State Treasurer, the application shall include, but not be limited to: (i) a full description of the proposed public-private partnership agreement between the State government entity and the private developer, including all information obtained by and findings of the State government entity pursuant to paragraphs (1) and (2) of this subsection; (ii) a full description of the project, including a description of any agreement for the lease of a revenue-producing building or highway related to the project; (iii) the estimated costs and financial documentation for the project showing the underlying financial models and assumptions that determined the estimated costs. The financial documentation shall include at least three different projected estimated costs showing scenarios in which materially different economic circumstances are assumed and an explanation for how the estimated costs were determined based on the three scenarios; (iv) a timetable for completion of the construction of the project; (v) an analysis of all available funding options for the project, including an analysis of the financial viability and advisability of such project, along with evidence of the public benefit in advancing the project as a public-private partnership; and (vi) any other requirements that the State Treasurer deems appropriate or necessary.
(b) As part of the estimated costs and financial documentation for the project, the application shall contain a long-range maintenance plan and a long-range maintenance bond and shall specify the expenditures that qualify as an appropriate investment in maintenance. The long-range maintenance plan shall be approved by the State Treasurer pursuant to regulations promulgated by the State Treasurer and the authority that reflect national building or highway maintenance standards, as appropriate, and other appropriate maintenance benchmarks.
(6) The State Treasurer, in consultation with the authority, shall review all completed applications, and request additional information as is needed to make a complete assessment of the project. No public-private partnership agreement shall be executed until approval has been granted by the State Treasurer. Prior to a final decision by the State Treasurer on the application, the authority shall be afforded the opportunity to provide comments on the application that it deems appropriate, and the State Treasurer shall consider any comments submitted by the authority or relevant State government entity with respect to the application. The State Treasurer shall find that: (i) the State government entity's assumptions regarding the project's scope, its benefits, its risks and the cost of the public sector option were fully and reasonably developed; (ii) the design of the project is feasible; (iii) the experience and qualifications of the private entity are adequate; (iv) the financial plan is sound; (v) the long-range maintenance plan is adequate to protect the investment; (vi) the project is in the best interest of the public, using the criteria in paragraph (2) of this subsection; and (vii) the term sheet for any proposed procurement contains all necessary elements. The criteria for assessing the project shall include, but may not be limited to: (i) feasibility and design of the project; (ii) experience and qualifications of the private entity; (iii) soundness of the financial plan; (iv) adequacy of the required exhibits; (v) adequacy of the long-range maintenance plan; and (vi) the existence of a clear public benefit. The State Treasurer shall retain the right to revoke approval if the project has substantially deviated from the plan submitted pursuant to paragraph (2) of this subsection.
(7) The State Treasurer may promulgate any rules and regulations necessary to implement this subsection, including, but not limited to, provisions for fees to cover administrative costs and for the determination of minimum State government entity standards for the operation of the project, and for the qualification for professional services, construction contracting, and other relevant qualifications.
g. A project with an expenditure of under $50 million developed under a public-private partnership agreement shall include a requirement that precludes contractors from engaging in the project if the contractor has contributed to the private entity's financing of the project in an amount of more than 10% of the project's financing costs.
h. The power of eminent domain shall not be delegated to any private entity under the provisions of P.L.2018, c.90 (C.40A:11-52 et al.); however, the State Treasurer may dedicate any property interest, including improvements, and tangible personal property of the State for public use in a qualifying project if the State finds that so doing will serve the public purpose of the project by minimizing the cost of the project to the State government entity or reducing the delivery time of a project.
i. Any public-private partnership agreement, if appropriate, shall include provisions affirming that the agreement and any work performed under the agreement are subject to the provisions of the "Construction Industry Independent Contractor Act," P.L.2007, c.114 (C.34:20-1 et seq.). Any public-private partnership agreement shall also include, at a minimum: (i) the term of the agreement, (ii) the total project cost, (iii) a completion date guarantee, (iv) a provision for damages if the private entity fails to meet the completion date, and (v) a maximum rate of return to the private entity and a provision for the distribution of excess earnings to the local government unit or to the private party for debt reduction.
j. (1) A private entity seeking to enter into a public-private partnership agreement with the Department of the Treasury on behalf of a State government entity shall be qualified by the State government entity as part of the procurement process, provided such process ensures that the private entity, and its subcontractors and consultants, when relevant, are identified and meet at least the minimum State government entity standards for qualification for professional services, construction contracting, and other qualifications applicable to the project, prior to submitting a proposal under the procurement process.
(2) A request for qualifications for a public-private partnership agreement shall be advertised at least 45 days prior to the anticipated date of receipt. The advertisement of the request for qualifications shall be published on the official Internet website of the State government entity and at least one or more newspapers with Statewide circulation.
(3) After the State government entity determines the qualified respondents utilizing, at minimum, the qualification standards promulgated by the State Treasurer, the State government entity shall issue a request for proposals to each qualified respondent no less than 90 days prior to the date established for submission of the proposals. The request for proposals shall include relevant technical submissions, documents, and the evaluation criteria to be used in the selection of the designated respondent. The evaluation criteria shall be, at minimum, criteria promulgated by the State Treasurer, in consultation with the New Jersey Economic Development Authority.
(4) The State government entity may accept unsolicited proposals from private entities for public-private partnership agreements. If the State government entity receives an unsolicited proposal, determines that it meets the standards of this section, and the project meets the State government entity's needs, the State government entity shall publish a notice of the receipt of the proposal on the Internet site of the State government entity, or through at least one or more newspapers with Statewide circulation, and provide notice of the proposal at its next scheduled public meeting, if applicable, and to the State Treasurer. To qualify as an unsolicited proposal, the unsolicited proposal shall at a minimum include a description of the public-private project, the estimated construction and life-cycle costs, a timeline for development, proposed plan of financing, including projected revenues, public or private, debt, equity investment or availability payments, description of how the project meets needs identified in existing plans, the permits and approvals needed to develop the project from local, state and federal agencies and a projected schedule for obtaining such permits and approvals, and a statement of risks, liabilities and responsibilities to be assumed by the private entity. If a notice is published exclusively in newspapers, the notice shall appear in at least one or more newspapers with Statewide circulation. The notice shall provide that the State government entity may accept, for 120 days after the initial date of publication, proposals meeting the standards of this section from other private entities for eligible projects that satisfy the same basic purpose and need. A copy of the notice shall be mailed to each municipal and county local government body in the geographic area affected by the proposal.
(5) After the proposal or proposals have been received, and any public notification period has expired, the State government entity shall rank the proposals in order of preference. In ranking the proposals, the State government entity may consider factors that include, but may not be limited to, professional qualifications, general business terms, innovative engineering, architectural services, or cost-reduction terms, finance plans, and the need for State government entity funds to deliver the project and discharge the agreement and shall rely upon, at a minimum, the evaluation criteria promulgated by the State Treasurer, in consultation with the New Jersey Economic Development Authority. The Department of the Treasury may negotiate the final terms with the private entities submitting proposals, including price, term, and any other term or condition so as to make the project well-suited to the needs of the State government entity and commercially viable for the private entity. The State Treasurer shall select proposals that meet the standards of this section and that best meet the needs, price and other factors considered by the State Treasurer. The private entity selected shall comply with all laws and regulations required by the State government entity, including but not limited to section 1 of P.L.2001, c.134 (C.52:32-44), sections 2 through 8 of P.L.1975, c.127 (C.10:5-32 to 38), section 1 of P.L.1977, c.33 (C.52:25-24.2), P.L.2005, c.51 (C.19:44A-20.13 et al.); P.L.2005, c.271 (C.40A:11-51 et al.), Executive Order No. 117 of 2008, Executive Order No. 118 of 2008, Executive Order No. 189, prior to executing the public private partnership agreement. If only one proposal is received, the State government entity shall negotiate in good faith and, if not satisfied with the results of the negotiations, the State government entity may, at its sole discretion, terminate negotiations.
(6) The State government entity may, upon receipt of one or more proposals, require that the private entity assume responsibility for all costs incurred by the State government entity before execution of the public-private partnership agreement, including costs of retaining independent experts to review, analyze, and advise the State government entity with respect to the proposal.
(7) Stipends may be used on public private partnership projects when there is a substantial opportunity for innovation and the costs for developing a proposal are significant. The Department of the Treasury may elect to pay unsuccessful proposers for the work product they submit with their proposal in response to a request for proposals. The use by the State government entity of any design element contained in an unsuccessful proposal shall be at the sole risk and discretion of the Department of the Treasury and shall not confer liability on the recipient of the stipulated stipend amount. After payment of the stipulated stipend amount, the Department of the Treasury and the unsuccessful proposer shall jointly own the rights to, and may make use of any work product contained in the proposal, including the technologies, techniques, methods, processes, ideas, and information contained in the proposal, project design, and project financial plan. The use by the unsuccessful proposer of any part of the work product contained in the proposal shall be at the sole risk of the unsuccessful proposer and shall not confer liability on the State government entity. The State Treasurer, in consultation with the New Jersey Economic Development Authority, shall promulgate guidelines based upon which any stipends paid by a State government entity may be based.
(8) The State government entity shall set aside one percent of the total cost of each project and remit it to the Public Private Partnership Review fund established pursuant to P.L.2018, c.90 (C.40A:11-52 et al.), for purposes of plan review and analysis required under the bill.
(9) Nothing in this section shall be construed as or deemed a waiver of the sovereign immunity of the State, an affected locality or public entity or any officer or employee thereof with respect to the participation in or approval of all or any part of the public-private project.
##### **§ 52:34-27** Definitions. {#sec-52-34-27 omnilex-key=us-nj-statutes--title-52--52:34-27}
91. a. As used in this section:
"Personal protective equipment" means coveralls, face shields, gloves, gowns, masks, respirators, and other equipment designed to protect the wearer from the spread of infection or illness.
"State agency" means any principal department in the Executive Branch of State government, and any division, board, bureau, office, commission or other instrumentality within or created by such department, and any independent State authority, commission, instrumentality or agency, other than in the Legislative or Judicial Branches of State government, which is authorized by law to award public contracts.
b. Notwithstanding the provisions of any other law to the contrary, whenever the Director of the Division of Purchase and Property, or the head of any State agency shall consider bids on any contract for the purchase of personal protective equipment that is publicly advertised for bids, the director or the head of a State agency shall list the bidders in order based upon which bid, conforming to the invitation for bids, would be most advantageous to the State, price, and other factors considered. If the first bidder on the list has its principal place of business in this State it shall be awarded the contract. If no bidder having its principal place of business in this State has submitted a bid that is within five percent of the bid submitted by the bidder at the top of the list that has its principal place of business outside of this State, the contract shall be awarded to the bidder at the top of the list. If the first bidder on the list has its principal place of business outside of this State and a bidder that has its principal place of business in this State is on the list and has submitted a bid that is within five percent of the bid submitted by the bidder at the top of the list that has its principal place of business outside of this State, the contract shall be awarded to the highest listed in-State bidder.
Any specifications for the provision of personal protective equipment under this act shall be drafted in a manner to encourage free, open, and competitive bidding.
Any specification which knowingly excludes prospective bidders by reason of the impossibility of performance, bidding, or qualifications by any but one bidder shall be null and void and of no effect.
Nothing in this section shall limit the ability of the Director of the Division of Purchase and Property or the head of any State agency to make awards to multiple bidders, pursuant to section 1 of P.L.1986, c.26 (C.52:34-12.1) to furnish the same or similar materials, supplies, services or equipment, where multiple bidders are necessary.
c. The State Treasurer shall adopt such rules and regulations as may be necessary to implement the provisions of this section pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
## **Chapter 34A**
##### **§ 52:34A-1** Short title. {#sec-52-34a-1 omnilex-key=us-nj-statutes--title-52--52:34A-1}
1. Sections 1 through 8 of P.L.2020, c.59 (C.52:34A-1 through C.52:34A-8) shall be known and may be cited as the "Electronic Construction Procurement Act."
##### **§ 52:34A-2** Findings, declarations relative to use of electronic technology. {#sec-52-34a-2 omnilex-key=us-nj-statutes--title-52--52:34A-2}
2. The Legislature finds and declares that advances in electronic technology offer opportunities to enhance governmental efficiencies. In order to explore these avenues of improved government efficiency, it is in the best interests of the State to require public entities to implement proven electronic technologies for the procurement of public works construction, and to require the promulgation of standards for the use of these technologies that ensure the integrity and procedural protections of sealed public bidding and competitive contracting translated to an electronic environment.
##### **§ 52:34A-3** Definitions relative to use of electronic technology. {#sec-52-34a-3 omnilex-key=us-nj-statutes--title-52--52:34A-3}
3. As used in P.L.2020, c.59 (C.52:34A-1 et al.):
"Electronic construction procurement" means, for the purposes of public works construction projects, the use of computer technology and the Internet for the advertising and submission of public bids, providing notice of revisions or addenda to advertisements or bid documents, the receipt of proposals and quotations, and related practices to assist in determining the lowest responsible bidder or other agency-appropriate bid or proposal procurement standard.
"Local contracting unit" means a government entity that contracts for the procurement of goods, services, or the construction of public works pursuant to the "Public School Contracts Law," N.J.S.18A:18A-1 et seq.; the "County College Contracts Law," P.L.1982, c.189 (C.18A:64A-25.1 et seq.), or the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.).
"Public works construction" means any project that is subject to the "New Jersey Prevailing Wage Act," P.L.1963, c.150 (C.34:11-56.25 et seq.), and is contracted for by a State or local public contracting unit for the purposes of construction, reconstruction, demolition, alteration, custom fabrication, repair work, or maintenance work, including painting and decorating, done under contract and paid for, in whole or in part, out of the funds of a public body. Public works construction also means construction, reconstruction, demolition, alteration, custom fabrication, repair work, or maintenance work, done on any property or premises, whether or not the work is paid for from public funds if at the time of the entering into the contract, the property or premises is owned by the government entity.
"State contracting unit" means a government entity that contracts for the procurement of goods, services, or the construction of public works pursuant to the "State College Contracts Law," P.L.1986, c.43 (C.18A:64-52 et seq.); P.L.2007, c.137 (C.52:18A-235 et seq.); or chapter 32, 33, or 34 of Title 52 of the Revised Statutes.
##### **§ 52:34A-4** Local contracting unit may use electronic construction procurement process. {#sec-52-34a-4 omnilex-key=us-nj-statutes--title-52--52:34A-4}
4. A local contracting unit, as defined in section 3 of P.L.2020, c.59 (C.52:34A-3), may use an electronic construction procurement process for public works construction contracts. The electronic construction procurement process to be used by local contracting units pursuant to this section shall be the process developed by the Director of the Division of Local Government Services in the Department of Community Affairs by regulations promulgated for the electronic procurement practices authorized in the "Local Unit Electronic Procurement Act," P.L.2018, c.156 (C.40A:11-4.7 et al.).
##### **§ 52:34A-5** State contracting unit to use electronic construction procurement process. {#sec-52-34a-5 omnilex-key=us-nj-statutes--title-52--52:34A-5}
5. a. A State contracting unit, as defined in section 3 of P.L.2020, c.59 (C.52:34A-3), shall use an electronic construction procurement process for public works construction contracts whenever the project requires public advertisement, subject to the provisions of P.L.2020, c.59 (C.52:34A-1 et al.).
b. The State Treasurer, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall promulgate regulations to effectuate the electronic procurement of public works construction by the State. The regulations shall set forth procedures to be followed by each State contracting unit for contracts that meet those criteria as deemed appropriate by the State Treasurer. The regulations shall also set forth a procedure to be followed by a State contracting unit for the awarding of a contract for the administration of the electronic procurement process.
##### **§ 52:34A-6** Required bidding components. {#sec-52-34a-6 omnilex-key=us-nj-statutes--title-52--52:34A-6}
6. a. The regulations promulgated by the State Treasurer pursuant to section 5 of P.L.2020, c.59 (C.52:34A-5) shall require that contracts to be awarded for State construction projects pursuant to the provisions of P.L.2020, c.59 (C.52:34A-1 et al.) contain the following bidding components:
(1) general conditions of the contract;
(2) plans and specifications of the public works construction project;
(3) competitive bidding for the contract, if appropriate;
(4) classification of firms submitting bids;
(5) statement of corporate ownership of the entity or entities submitting bids;
(6) bid bond and performance bond security;
(7) execution of the contract;
(8) certification of financial ability to complete work;
(9) commencement of work;
(10) prevailing wage mandate;
(11) acknowledgement of addenda;
(12) naming of prime subcontractors;
(13) specified alternates;
(14) non-collusion affidavit; and
(15) political contribution disclosure.
b. The State Treasurer shall also promulgate a bid proposal form to be used by contractors or vendors bidding for work under P.L.2020, c.59 (C.52:34A-1 et al.).
c. The regulations shall require that a contractor or vendor seeking a contract for public works construction pursuant to P.L.2020, c.59 (C.52:34A-1 et al.) be classified with the Division of Property Management and Construction in the Department of the Treasury, or be prequalified by the Department of Transportation, New Jersey Transit, or the New Jersey Turnpike Authority, prior to submitting a bid.
##### **§ 52:34A-7** Criteria required for electronic procurement processes. {#sec-52-34a-7 omnilex-key=us-nj-statutes--title-52--52:34A-7}
7. The regulations promulgated by the State Treasurer pursuant to section 5 of P.L.2020, c.59 (C.52:34A-5) shall require that electronic procurement processes meet certain criteria, which may include, but shall not be limited to, the following requirements:
a. allow for a business or company that creates or provides software to effectuate electronic procurement to provide those services pursuant to P.L.2020, c.59 (C.52:34A-1 et al.), if the business or company has prior experience providing electronic procurement services to the State and to other public entities, including, but not limited to, experience prior to the effective date of P.L.2020, c.59 (C.52:34A-1 et al.);
b. allow public contracting units to advertise bids and distribute bidding documents including plans and specifications;
c. be a closed loop system that allows contractors, vendors, and bidders, to receive bid solicitations and documentation, as well as submit bids electronically;
d. provide a digital lockbox that ensures bid information cannot be accessed by a third party before the bid deadline, including an electronic bidding servicer or the State;
e. allow bids to be encrypted upon submission and when in the digital lockbox;
f. use digital signature technology and provide for identity verification;
g. allow for electronic bid validation;
h. allow bids to be withdrawn and resubmitted by the vendor or bidder at any point up to the published bid deadline;
i. allow addenda to be issued electronically with addenda automatically applied to the online bid form;
j. provide capabilities to create and edit templates of bid forms;
k. provide the means for the State to require data types, including but not limited to numeric prices;
l. alert contractors, vendors, and bidders of missing required data;
m. provide email notification to contractors, vendors, and bidders of issuance of bid advertisement and addenda;
n. provide commodity or classification codes as required by the contracting agency to allow for targeted notifications to contractors, vendors, and bidders;
o. provide system implementation services and training to public contracting units at no cost; and
p. offer scheduled training webinars for contractors, vendors, and bidders at no cost.
##### **§ 52:34A-8** Practices included in regulations. {#sec-52-34a-8 omnilex-key=us-nj-statutes--title-52--52:34A-8}
8. a. Notwithstanding any other law to the contrary, the regulations promulgated by the State Treasurer pursuant to section 5 of P.L.2020, c.59 (C.52:34A-5) shall include, but not be limited to, practices that, notwithstanding any other law to the contrary:
(1) convert the current statutory, regulatory, and policy procedures related to sealed bidding to an electronic procurement environment;
(2) authorize public contracting units to accept commercial standards for electronic forms of bid security; and
(3) establish minimum standards that shall be met by systems and services that provide and administer electronic procurement processes.
b. The State Treasurer shall also consult with: the Attorney General to develop safeguards to protect against collusion and bid rigging; the Division of Purchase and Property and the Division of Property Management and Construction in the Department of the Treasury to develop practices used for electronic procurement; and the Office of Information Technology in, but not of, the Department of the Treasury, to ensure the privacy and security of electronic transactions.
c. Notwithstanding any law, rule, or regulation to the contrary, plans and specifications for public works construction contracts that require the seal and signature of a professional engineer, architect, or land surveyor may be included in an electronic file used for electronic procurement as long as the original document from which the electronic file is derived contains a physical or electronic seal and signature as otherwise required by law. If the State Board of Engineers and Land Surveyors and the New Jersey State Board of Architects adopt rules to permit digital seals and signatures, those rules shall supersede this subsection.
##### **§ 52:34A-9** Use of electronic procurement processes for public works construction contracts. {#sec-52-34a-9 omnilex-key=us-nj-statutes--title-52--52:34A-9}
9. Notwithstanding any provisions of chapters 32, 33, and 34 of Title 52 of the Revised Statutes to the contrary, the State, and any agency or instrumentality of the State, shall use electronic procurement processes for public works construction contracts whenever the project requires public advertisement pursuant to section 7 of P.L.1954, c.48 (C.52:34-12), in accordance with the provisions of P.L.2020, c.59 (C.52:34A-1 et al.).
## **Chapter 35**
##### **§ 52:35-1** "Person", "official" and "officer defined." {#sec-52-35-1 omnilex-key=us-nj-statutes--title-52--52:35-1}
As used in this chapter:
"Person" means and includes any individual, copartnership, association, corporation or joint stock company, their lessees, trustees, assignees or receivers appointed by any court whatsoever.
"Official" and "officer" mean and include any official, officer, board, commission, committee, department or other branch of the state government."
##### **§ 52:35-2** Statement required from prospective bidders; contents; fee. {#sec-52-35-2 omnilex-key=us-nj-statutes--title-52--52:35-2}
Officials of the State shall require of all persons proposing to submit bids on public work to be furnished for or on behalf of the State or any officer, board, commission, committee, department or other branch of the State government, a statement under oath in response to a questionnaire, standardized for like classes of work, to be submitted to such persons by such State official. The statement shall develop fully the financial ability, adequacy of plant and equipment, organization and prior experience of the prospective bidder, and also such other pertinent and material facts as may seem desirable. All persons shall remit a $100 fee to the State Treasurer at the time each statement is filed. The fee shall not apply to any statements filed before the effective date of P.L.2003, c.117.
##### **§ 52:35-3** Bidders to be classified; notice {#sec-52-35-3 omnilex-key=us-nj-statutes--title-52--52:35-3}
The state officials shall classify all such prospective bidders as to the character and amount of public work on which they shall be qualified to submit bids, and bids shall be accepted only from persons qualified in accordance with such classification. The classification shall be made and an immediate notice thereof shall be sent to the prospective bidder or bidders by registered mail within a period of eight days after the date of receipt of the statement in response to the questionnaire.
##### **§ 52:35-4** Hearing before state official on classification of bidders; change of classification {#sec-52-35-4 omnilex-key=us-nj-statutes--title-52--52:35-4}
Any person after being notified of his classification by a state official and being dissatisfied therewith or with the classification of other bidders, may request in writing a hearing before such state official, and may present such further evidence with respect to the financial responsibility, organization, plant and equipment, or experience of himself or other bidders as might tend to justify a different classification.
Where request is made for the change of classification of another bidder, the applicant shall notify such bidder by registered mail of the time and place of hearing, and at the hearing shall present to the state official satisfactory evidence to the effect that the notice was served as herein required, before any matters pertaining to a change of classification of such bidder shall be taken up by the state official.
After hearing the additional evidence, the state official may, in his discretion, by appropriate ruling, change or retain the classification of any bidder.
No change in classification to be effective for any public work, the letting of which has been duly advertised, shall be made unless a written request as aforesaid shall have been received at least twenty days preceding the final day for submission of bids.
All such requests for change in classification and notice of any action sent by registered mail to the parties directly affected thereby, must be acted upon by the state official concerned at least twelve days prior to the date fixed for the next opening of bids on any contract or contracts for which such persons might be qualified to bid as a result of such reclassification.
##### **§ 52:35-5** Board of review; personnel; secretary {#sec-52-35-5 omnilex-key=us-nj-statutes--title-52--52:35-5}
The board of review upon classification and reclassification of bidders, established by the act entitled "An act to regulate bidding upon public work, providing for prequalification and classification of bidders, fixing penalties relating thereto, and repealing acts and parts of acts inconsistent herewith," approved April twentieth, one thousand nine hundred and thirty-one (L.1931, c. 165, p. 308), is continued.
The board shall consist of the state official concerned or one member of any board, commission, committee, department or other branch of the state government concerned, to be designated by it; the attorney general or one of his assistants or deputies designated by him; and the secretary of state or one of his assistants or deputies designated by him.
The secretary of state shall be the secretary of the board and shall keep a complete record of proceedings and decisions before the board. The members of the board shall serve without additional compensation.
##### **§ 52:35-6** Hearing before board of review; procedure {#sec-52-35-6 omnilex-key=us-nj-statutes--title-52--52:35-6}
If a prospective bidder is dissatisfied with the further ruling of a state official, or with his original classification, and notice of such classification shall have been sent to him not less than twelve nor more than twenty days prior to the letting of a contract or contracts for which he might be qualified to bid as reclassified, he may, upon receipt of notice of such ruling or classification, request in writing a hearing of the matter before the board of review, such request to be filed with the awarding official and the secretary of the board of review.
The board shall hold a hearing at which the prospective bidder shall be entitled to be heard and to submit any additional information to the board upon the matters and subjects covered by the questionnaire. The board shall be required to review the responsibility of all prospective bidders who have filed such statements, considering both the statement and any additional information given at the hearing, and shall certify to the state official concerned its decision, changing or retaining the classification made by the awarding official. The decision of a majority of the board shall be considered the decision of the board.
Requests under this section may only be made after hearing as provided in section 52:35-4 of this title before the state official concerned, except as hereinbefore expressly provided; and in order for any change in classification by the board to be effective for public work already advertised, the request must be filed not less than ten days prior to the final day for submission of bids, and the board shall hold a hearing and act upon the request not less than three days prior to the date fixed for the next opening of bids on any contract or contracts for which such persons might be qualified to bid as a result of such reclassification.
##### **§ 52:35-7** Rejection of bid upon subsequent developments affecting bidder's responsibility {#sec-52-35-7 omnilex-key=us-nj-statutes--title-52--52:35-7}
Nothing contained in this chapter shall be construed as depriving any state official of the right to reject a bidder at any time prior to the actual award of a contract, where there have been developments subsequent to the qualification and classification of such bidder, which in the opinion of the awarding official would affect the responsibility of the bidder. Before taking final action on any such bid, the state official concerned shall notify the bidder and give him an opportunity to present any additional information which might tend to substantiate the existing classification.
##### **§ 52:35-8** Submission of statement required for bidder. {#sec-52-35-8 omnilex-key=us-nj-statutes--title-52--52:35-8}
No person shall be qualified to bid on any contract, who shall not have submitted a statement as required by R.S.52:35-2 within a period of 24 months preceding the date of opening of bids for such contract.
##### **§ 52:35-9** False statements in questionnaire or at hearing; misdemeanor {#sec-52-35-9 omnilex-key=us-nj-statutes--title-52--52:35-9}
Any person who makes, or causes to be made, a false, deceptive or fraudulent statement in the questionnaire required to be submitted, or in the course of any hearing under this chapter shall be guilty of a misdemeanor, and upon conviction shall be sentenced to pay a fine of not less than one hundred dollars nor more than one thousand dollars and shall be permanently disqualified from bidding on all public work of the state; or, in the case of an individual or the officer or employee charged with the duty of making such questionnaire for a person, firm, copartnership, association or corporation, to pay such fine or undergo imprisonment, not exceeding six months, or both.
##### **§ 52:35-10** Forfeiture of deposit where false statements made {#sec-52-35-10 omnilex-key=us-nj-statutes--title-52--52:35-10}
Awarding officials shall cause the forfeiture as liquidated damages to the state of any certified check or certificate of deposit deposited by any person who makes or causes to be made any false, deceptive or fraudulent statement in the questionnaire required to be submitted, or in the course of any hearing under this chapter.
##### **§ 52:35-11** Regulations by state officials; when effective {#sec-52-35-11 omnilex-key=us-nj-statutes--title-52--52:35-11}
State officials may establish such reasonable regulations as to them may seem appropriate for controlling the qualifications of prospective bidders. The regulations may fix the qualification requirements for bidders according to available capital and equipment, and with due regard to experience and records of past performance, but the qualification rating of any bidder shall not be influenced by his nationality or place of residence. No regulations of any state official for controlling the qualifications of bidders shall become effective until at least thirty days after the regulations shall have been formally adopted and published in not less than ten newspapers of this state.
##### **§ 52:35-12** State officials not liable for damages {#sec-52-35-12 omnilex-key=us-nj-statutes--title-52--52:35-12}
No action for damages out of any court of competent jurisdiction shall lie against any state official because of any action taken by virtue of the provisions of this chapter.
## **Chapter 35A**
##### **§ 52:35A-1** Implementation of energy savings improvement by public agency; definitions. {#sec-52-35a-1 omnilex-key=us-nj-statutes--title-52--52:35A-1}
10. a. (1) A public agency, as defined in this section, may implement an energy savings improvement program in the manner provided by this section whenever it determines that the savings generated from reduced energy use from the program will be sufficient to cover the cost of the program's energy conservation measures as set forth in an energy savings plan. Under such a program, a public agency may enter into an energy savings services contract with an energy services company to implement the program or the public agency may authorize separate contracts to implement the program. The provisions of any other law applicable to a public agency shall apply to any contracts awarded pursuant to this section to the extent that the provisions of such law are not inconsistent with any provision of this section.
(2) A public agency facility alteration required to properly implement other energy efficiency or energy conservation measures, or both, may be included as part of an energy savings services contract, in which case, notwithstanding any other provision of law, rule, regulation, or order to the contrary, the facility alteration may be undertaken or supervised by the energy services company performing the energy savings services contract if:
(a) the total cost of the improvement does not exceed 15 percent of the total cost of the work to be performed under the energy savings services contract; and
(b) (i) the improvement is necessary to conform to a law, rule, or regulation, or order, or (ii) an analysis within an approved proposal, or the public agency, at the time of the award of the proposal, demonstrates that there is an economic advantage to the public agency implementing the improvement as part of the energy savings services contract, and the savings rationale for the improvement is documented and supported by reasonable justification.
b. (1) To be eligible to enter into an energy savings services contract, an energy services company shall be a commercial entity that is qualified to provide public agencies with energy savings services in accordance with the provisions of this section. A public agency may determine to enter into an energy savings services contract which shall be awarded through a procedure that results in the award of a contract to a vendor determined by the public agency to be the most advantageous, price and other factors considered.
(2) (a) Public works activities performed under an energy savings improvement program shall be subject to all requirements regarding public bidding, bid security, performance guarantees, insurance and other public contracting requirements that are applicable to public works contracts, to the extent not inconsistent with this section. A general contractor, energy services company serving as general contractor, or any subcontractor hired for the furnishing of plumbing and gas fitting and all kindred work, and of steam and hot water heating and ventilating apparatus, steam power plants and kindred work, and electrical work, structural steel and ornamental iron work shall be classified by the Division of Property Management and Construction in the Department of the Treasury in order to perform public works activities under an energy savings improvement program.
(b) Individuals or organizations performing energy audits, acting as commissioning agents, or conducting verification of energy savings plans, implementation of energy conservation measures, or verifying guarantees shall be prequalified by the Division of Property Management and Construction in the Department of the Treasury to perform their work under an energy savings improvement program.
(3) (a) An energy services company may be designated as the general contractor for improvements to be made pursuant to an energy savings plan, provided that the hiring of subcontractors that are required to be classified pursuant to subparagraph (a) of paragraph (2) of this subsection shall be performed in accordance with the procedures and requirements set forth pursuant to the public bidding requirements of the public agency. A contract with an energy savings company shall include, but not be limited to: preparation of an energy savings plan; the responsibilities of the parties for project schedules, installations, performance and quality, payment of subcontractors, project completion, commissioning, savings implementation; a requirement that the savings to be achieved by energy conservation measures be verified upon commissioning of the improvements; allocation of State and federal rebates and tax credits; and any other provisions deemed necessary by the parties.
(b) All workers performing public works activities for subcontractors awarded contracts by an energy services company pursuant to this section shall be paid prevailing wages in accordance with the "New Jersey Prevailing Wage Act," P.L.1963, c.150 (C.34:11-56.25 et seq.). All subcontractors shall comply with the provisions of "The Public Works Contractor Registration Act," P.L.1999, c.238 (C.34:11-56.48 et seq.). Only firms appropriately classified as contractors by the Division of Property Management and Construction shall be eligible to be awarded a contract as a subcontractor of an energy services company under this section for performing public works activities pursuant to regulations adopted by the Division of Property Management and Construction.
(c) In order to expedite communications with an energy services company and facilitate the implementation of an energy savings improvement program, a public agency may designate or appoint an employee of the public agency with decision-making authority to coordinate with the energy services company and to address issues associated with the implementation of an energy savings improvement program as they arise, provided that any decision requiring a change order shall be made only upon the approval of the public agency.
(4) Except as provided in paragraph (5) of this subsection, a subsidiary or wholly-owned or partially-owned affiliate of the energy services company shall not be an eligible contractor or subcontractor under an energy savings services contract.
(5) When the energy services company is the manufacturer of direct digital control systems and contracts with the public agency to provide a guaranteed energy savings option pursuant to subsection f. of this section, the specification of such direct digital control systems may be treated as proprietary goods and if so treated, the bid specification shall set forth an allowance price for its supply by the energy services company which shall be used by all bidders in the public bidding process. Direct digital controls shall be open protocol format and shall meet the interoperability guidelines established by the American Society of Heating, Refrigerating and Air-Conditioning Engineers. Each contract to be entered into pursuant to this section between a public agency and an energy services company that is the manufacturer of direct digital control systems where such direct digital control systems are treated as proprietary goods as part of the contract, shall first be reviewed and approved by the Board of Public Utilities for the purpose of affirming the reasonableness of such allowance price. If the board does not disapprove of the contract within 14 days of receipt thereof, the contract shall be deemed approved.
c. In addition to existing authorization of a public agency to enter into lease-purchase agreements or to issue obligations to finance the costs of an energy savings improvement program, a public agency is hereby authorized to finance the costs of an energy savings improvement program by entering into a lease purchase agreement or by issuing energy savings obligations pursuant to this subsection. Any financing mechanism shall be administered in a manner consistent with this subsection insofar as it does not conflict with the provisions of other law that applies to the public agency.
(1) An energy savings improvement program may be financed through a lease-purchase agreement between a public agency and an energy services company or other public or private entity. Under a lease-purchase agreement, ownership of the energy savings equipment or improved facilities shall pass to the public agency when all lease payments have been made. Notwithstanding the provisions of any other law to the contrary, the duration of such a lease-purchase agreement shall not exceed 15 years, except that the duration of a lease purchase agreement for a combined heat and power or cogeneration project shall not exceed 20 years. For the purposes of this paragraph, the duration of the repayment term of a lease-purchase agreement shall commence on the date upon which construction and installation of the energy savings equipment, "combined heat and power facility" or "cogeneration facility," as those terms are defined pursuant to section 3 of P.L.1999, c.23 (C.48:3-51), or other energy conservation measures undertaken pursuant to the energy savings plan, have been completed.
(2) A public agency may arrange for incurring energy savings obligations to finance an energy savings improvement program. Energy savings obligations may be funded through appropriations for utility services in the annual budget of the public agency and may be issued as refunding bonds, including the issuance of bond anticipation notes as may be necessary, provided that all such bonds and notes mature within the periods authorized for such energy savings obligations. Energy savings obligations may be issued either through the public agency or another public agency authorized to undertake financing on behalf of the public agency.
(3) Lease-purchase agreements and energy savings obligations shall not be used to finance maintenance, guarantees, or verification of guarantees of energy conservation measures. Lease-purchase agreements and energy savings obligations may be used to finance the cost of an energy audit or the cost of verification of energy savings as part of adopting an energy savings plan. Notwithstanding any law to the contrary, lease-purchase agreements and energy savings certificates shall not be excepted from any budget or tax levy limitation otherwise provided by law. Maturity schedules of lease-purchase agreements or energy savings obligations shall not exceed the estimated average useful life of the energy conservation measures.
d. (1) The energy audit component of an energy savings improvement program shall be conducted either by the public agency or by a qualified independent third party retained by the board for that purpose. It shall not be conducted by an energy services company subsequently hired to develop an energy savings improvement program. The energy audit shall identify the current energy use of any or all facilities and energy conservation measures that can be implemented in which the energy savings and energy efficiency could be realized and maximized.
(2) To implement a program, a public agency shall develop an energy savings plan that consists of one or more energy conservation measures. The plan shall: (a) contain the results of an energy audit;
(b) describe the energy conservation measures that will comprise the program;
(c) estimate greenhouse gas reductions resulting from those energy savings;
(d) identify all design and compliance issues that require the professional services of an architect or engineer and identify who will provide these services;
(e) include an assessment of risks involved in the successful implementation of the plan;
(f) identify the eligibility for, and costs and revenues associated with the PJM Independent System Operator for demand response and curtailable service activities;
(g) include schedules showing calculations of all costs of implementing the proposed energy conservation measures and the projected energy savings;
(h) identify maintenance requirements necessary to ensure continued energy savings, and describe how they will be fulfilled; and
(i) if developed by an energy services company, a description of, and cost estimates of an energy savings guarantee.
All professionals providing engineering services under the plan shall have errors and omissions insurance.
(3) Prior to the adoption of the plan, the public agency shall contract with a qualified third party to verify the projected energy savings to be realized from the proposed program have been calculated as required by subsection e. of this section.
(4) Upon adoption, the plan shall be submitted to the Board of Public Utilities, which shall post it on the Internet on a public webpage maintained for such purpose. If the public agency maintains its own website, it shall also post the plan on that site. The board may require periodic reporting concerning the implementation of the plan.
(5) Verification by a qualified third party shall be required when energy conservation measures are placed in service or commissioned, to ensure the savings projected in the energy savings plan shall be achieved.
(6) Energy-related capital improvements that do not reduce energy usage may be included in an energy savings improvement program but the cost of such improvements shall not be financed as a lease-purchase or through energy savings obligations authorized by subsection c. of this section. Nothing herein is intended to prevent financing of such capital improvements through otherwise authorized means.
(7) A qualified third party when required by this subsection may include an employee of the public agency who is properly trained and qualified to perform such work.
e. (1) (a) The calculation of energy savings for the purposes of determining that the energy savings resulting from the program will be sufficient to cover the cost of the program's energy conservation measures, as provided in subsection a. of this section, shall involve determination of the dollar amount saved through implementation of an energy savings improvement program using the guidelines of the International Performance Measurement and Verification Protocol or other protocols approved by the Board of Public Utilities and standards adopted by the Board of Public Utilities pursuant to this section. The calculation shall include all applicable State and federal rebates and tax credits, but shall not include the cost of an energy audit and the cost of verifying energy savings. The calculation shall state which party has made application for rebates and credits and how these applications translate into energy savings.
(b) During the procurement phase of an energy savings improvement program, an energy services company's proposal submitted in response to a request for proposal shall not include a savings calculation that assumes, includes, or references capital cost avoidance savings, the current or projected value of a "solar renewable energy certificate," as defined pursuant to section 3 of P.L.1999, c.23 (C.48:3-51), or other environmental or similar attributes or benefits of whatever nature that derive from the generation of renewable energy, and any costs or discounts associated with maintenance services, an energy savings guarantee, or third party verification of energy conservation measures and energy savings. The calculation of energy savings shall utilize and specifically reference as a benchmark the actual demand and energy components of the public utility tariff rate applicable to the public agency then in effect, and not a blended rate that aggregates, combines, or restates in any manner the distinct demand and energy components of the public utility tariff rate into a single combined or restated tariff rate. If an energy services company submits a proposal to a public agency that does not calculate projected energy savings in the manner required by this subsection, such proposal shall be rejected by the public agency.
(2) For the purposes of this section, the Board of Public Utilities shall adopt standards and uniform values for interest rates and escalation of labor, electricity, oil, and gas, as well as standards for presenting these costs in a life cycle and net present value format, standards for the presentation of obligations for carbon reductions, and other standards that the board may determine necessary.
f. (1) When an energy services company is awarded an energy savings services contract, it shall offer the public agency the option to purchase, for an additional amount, an energy savings guarantee. The guarantee, if accepted by a separate vote of the governing body of the public agency, shall insure that the energy savings of the public agency resulting from the energy savings improvement program, determined periodically over the duration of the guarantee, will be sufficient to defray all payments required to be made pursuant to the lease-purchase agreement or energy savings obligation, and if the savings are not sufficient, the energy services company will reimburse the public agency for any additional amounts. Annual costs of a guarantee shall not be financed or included as costs in an energy savings plan but shall be fully disclosed in an energy savings plan.
(2) When a guaranteed energy savings option is purchased, the contract shall require a qualified third party to verify the energy savings at intervals established by the parties.
(3) When a guaranteed energy savings option is not purchased, the energy savings services contract shall not include maintenance services provided by the energy services company.
(4) When an energy services company is awarded an energy savings services contract to provide or perform goods or services for the purpose of enabling a public agency to conserve energy through energy efficiency equipment, including a "combined heat and power facility" as that term is defined pursuant to section 3 of P.L.1999, c.23 (C.48:3-51), on a self-funded basis, such contract shall extend for a term of up to 15 years for energy efficiency projects, and for up to 20 years for a combined heat and power facility after construction completion. If a public agency shall elect to contract with an energy services company for an energy savings guarantee in connection with a contract awarded pursuant to this section, such guarantee may extend for a term of up to 15 years for energy efficiency projects, or up to 20 years for a combined heat and power facility after construction completion.
g. As used in this section:
"direct digital control systems" means the devices and computerized control equipment that contain software and computer interfaces that perform the logic that control a building's heating, ventilating, and air conditioning system. Direct digital controls shall be open protocol format and shall meet the interoperability guidelines established by the American Society of Heating, Refrigerating and Air-Conditioning Engineers;
"energy conservation measure" means an improvement that results in reduced energy use, including, but not limited to, installation of energy efficient equipment; demand response equipment; combined heat and power systems; facilities for the production of renewable energy; water conservation measures, fixtures or facilities; building envelope improvements that are part of an energy savings improvement program; and related control systems for each of the foregoing;
"energy related capital improvement" means a capital improvement that uses energy but does not result in a reduction of energy use;
"energy saving obligation" means a bond, note or other agreement evidencing the obligation to repay borrowed funds incurred in order to finance energy saving improvements;
"energy savings" means a measured reduction in fuel, energy, operating or maintenance costs resulting from the implementation of one or more energy conservation measures services when compared with an established baseline of previous fuel, energy, operating or maintenance costs, including, but not limited to, future capital replacement expenditures avoided as a result of equipment installed or services performed as part of an energy savings plan;
"energy savings improvement program" means an initiative of a public agency to implement energy conservation measures in existing facilities, provided that the value of the energy savings resulting from the program will be sufficient to cover the cost of the program's energy conservation measures;
"energy savings plan" means the document that describes the actions to be taken to implement the energy savings improvement program;
"energy savings services contract" means a contract with an energy savings company to develop an energy savings plan, prepare bid specifications, manage the performance, provision, construction, and installation of energy conservation measures by subcontractors, to offer a guarantee of energy savings derived from the implementation of an energy savings plan, and may include a provision to manage the bidding process;
"energy services company" means a commercial entity that is qualified to develop and implement an energy savings plan in accordance with the provisions of this section;
"public agency" means any government entity that is authorized to expend public funds and enter into contracts which is not otherwise authorized to implement an energy savings improvement program pursuant to section 1, 4, 6, or 9 of P.L.2009, c.4 (C.18A:18A-4.6, C.18A:65A-1, C.40A:11-4.6, or C.52:34-25).
"public works activities" means any work subject to the provisions of P.L.1963, c.150 (C.34:11-56.25 et seq.); and
"water conservation measure" means an alteration to a facility or equipment that reduces water consumption, maximizes the efficiency of water use, or reduces water loss.
h. (1) The State Treasurer and the Board of Public Utilities may take such action as is deemed necessary and consistent with the intent of this section to implement its provisions.
(2) The State Treasurer and the Board of Public Utilities may adopt implementation guidelines or directives, and adopt such administrative rules, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), as are necessary for the implementation of those agencies' respective responsibilities under this section, except that notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the Director of the Division of Local Government Services in the Department of Community Affairs, the State Treasurer, and the Board of Public Utilities may adopt, immediately upon filing with the Office of Administrative Law, such rules and regulations as deemed necessary to implement the provisions of this act which shall be effective for a period not to exceed 12 months and shall thereafter be amended, adopted or re-adopted in accordance with the provisions of P.L.1968, c.410 (C.52:14B-1 et seq.).
## **Chapter 35B**
##### **§ 52:35B-1** Short title. {#sec-52-35b-1 omnilex-key=us-nj-statutes--title-52--52:35B-1}
1. This act shall be known and may be cited as the "Design-Build Construction Services Procurement Act."
##### **§ 52:35B-2** Definitions. {#sec-52-35b-2 omnilex-key=us-nj-statutes--title-52--52:35B-2}
2. As used in sections 2 through 9 of P.L.2021, c.71 (C.52:35B-2 through C.52:35B-9):
"Acceptance" means the adoption of a law, ordinance, or resolution by the State of New Jersey, any of its political subdivisions, any authority created by the Legislature of the State of New Jersey and any instrumentality or agency of the State of New Jersey or of any of its political subdivisions, authorizing the execution of a design-build contract.
"Contracting unit" means a government entity that enters into contracts pursuant to P.L.2007, c.137 (C.52:18A-235 et seq.); or chapters 32, 33, or 34 of Title 52 of the Revised Statutes.
"Delivery system" means the procedure used to develop and construct a project.
"Design-bid-build" means the delivery system used in public projects in which a licensed and prequalified design professional develops the project design in its entirety; the contracting unit then solicits bids and awards the contract to the lowest responsible bidder that demonstrates the ability to complete the project specified in the design.
"Design-build contract" means a contract between a contracting unit and a design-builder to provide labor, materials, and other construction services for a public project. A design-build contract may be conditional upon subsequent refinements in scope and price, and may permit the contracting unit to make changes in the scope of the project without invalidating the design-build contract.
"Design-builder" means the entity, whether natural person, partnership, joint stock company, corporation, trust, professional corporation, business association, or other legal business entity or successor, that proposes to design and construct any public project, who is registered pursuant to the provisions of P.L.1999, c.238 (C.34:11-56.48 et seq.), and classified by the New Jersey Division of Property Management and Construction or the New Jersey Department of Transportation, where applicable, to perform work on a design-build project.
"Design professional" means the entity, whether natural person, partnership, joint stock company, corporation, trust, professional corporation, business association, or other legal business entity or successor that provides licensed and prequalified architectural, engineering, or surveying services in accordance with R.S.45:3-1 et seq., and P.L.1938, c.342 (C.45:8-27 et seq.), and that shall be responsible for planning, designing and observing the construction of the project or projects.
"Evaluation factors" means the requirements for the first phase of the selection process, and shall include, but not be limited to: specialized experience, training certification of professional and field workforce, technical competence, capacity to perform, safety modification rating, past performance and other appropriate factors. Price shall only be considered in the second phase of the selection process.
"Proposal" means an offer to enter into a design-build contract.
"Stipend" means the fee paid to a design-builder by the contracting unit to encourage competition.
##### **§ 52:35B-3** Design-build contracts permitted. {#sec-52-35b-3 omnilex-key=us-nj-statutes--title-52--52:35B-3}
3. a. If a contracting unit determines in its discretion that the design-build approach meets their needs better than the traditional design-bid-build approach established under New Jersey public procurement statutes for the project or projects under consideration, it shall be the public policy of this State to permit that contracting unit to enter into design-build contracts as defined in section 2 of P.L.2021, c.71 (C.52:35B-2), provided the following conditions are met:
(1) The contracting unit shall, prior to issuing solicitations, publish procedures consistent with regulations promulgated by the contracting unit, where applicable for the solicitation and award of design-build contracts, and shall adhere to sections 2 through 9 of P.L.2021, c.71 (C.52:35B-2 through C.52:35B-9) and those procedures; and
(2) The contracting unit shall, for each public project or projects under sections 2 through 9 of P.L.2021, c.71 (C.52:35B-2 through C.52:35B-9), make a determination based on the timeliness of the project or projects that it is in the best interest of the public to enter into a design-build contract to complete the public project or projects.
b. All workers employed in a design-build construction project shall be paid the prevailing wage determined by the Commissioner of Labor pursuant to the provisions of the "New Jersey Prevailing Wage Act," P.L.1963, c.150 (C.34:11-56.25 et seq.).
c. Except where the contracting unit is the Department of Transportation, all design-build construction projects shall be encouraged to adhere to the Leadership in Energy and Environmental Design Green Building Rating System as adopted by the United States Green Building Council, the Green Globes Program adopted by the Green Building Initiative, or a comparable nationally recognized, accepted, and appropriate sustainable development system.
d. Notwithstanding the provisions of sections 2 through 9 of P.L.2021, c.71 (C.52:35B-2 through C.52:35B-9) to the contrary, an independent State transportation authority which already has an established prequalification, project rating, or proposal process for design-build contracts as of the effective date of P.L.2021, c.71 (C.52:35B-1 et al.) may continue to award design-build contracts pursuant to that process.
e. Notwithstanding the provisions of any other law, rule, or regulation to the contrary, in the event that a government entity that enters a contract pursuant to P.L.2007, c.137 (C.52:18A:-235 et seq.) already has an established prequalification, project rating, or proposal process for design-build contracts as of the effective date of P.L.2021, c.71 (C.52:35B-1 et al.), that entity may continue to award design-build contracts pursuant to that process.
##### **§ 52:35B-4** Procedures for awarding design-build contracts. {#sec-52-35b-4 omnilex-key=us-nj-statutes--title-52--52:35B-4}
4. a. The contracting unit shall adopt the following procedures for awarding design-build contracts:
(1) The contracting unit shall either appoint a licensed and prequalified design professional, or designate an employee of the contracting unit licensed to provide architectural, engineering, or surveying services, to provide technical advice, construction review services, and professional expertise on behalf of the contracting unit;
(2) The contracting unit shall develop, with the assistance of the design professional or designated employee, performance criteria and a scope of work statement that defines the project and provides prospective design-builders with sufficient information regarding the contracting unit's requirements. The statement shall include: evaluation factor criteria and preliminary design documents, general budget parameters, and general schedule or delivery requirements to enable the design-builders to submit proposals which meet the contracting unit's needs. When the design-build selection procedure is used and the contracting unit contracts for development of the scope of work statement, the design-builder shall contract for architectural or engineering services as defined by and in accordance with R.S.45:3-1 et seq., P.L.1938, c.342 (C.45:8-27 et seq.), and all other applicable licensing statutes;
(3) Once the contracting unit has developed a scope of work statement which adequately defines the contracting unit's requirements for the project or projects, the contracting unit shall solicit proposals of qualification from design-builders. The contracting unit shall solicit proposals of qualification in accordance with the requirements of the applicable public procurement laws of the State of New Jersey.
(4) The contracting unit shall establish a technical review committee, which shall consist of a representative of the contracting unit, the contracting unit's project manager, and the contracting unit's authorized design professional. The contracting unit's attorney may advise the technical review committee. The technical review committee shall have the responsibility to evaluate bids based on rating and scoring proposals, and shall evaluate design-builders based on their qualifications. A member of the technical review committee shall not have a personal or financial interest in any of the design-builders submitting proposals.
b. The factors used to evaluate proposals of qualification shall be stated in the solicitation and shall include, but not be limited to: specialized experience and technical competence, training certification of professional and field workforce, principal location of the company, capability to perform, safety modification rating, past performance of the individual members of the design-builder's team in their respective capacities, including the architect-engineer and construction members of the team, and other appropriate technical and qualification factors as determined by the contracting unit, where applicable. Each solicitation for proposals of qualification shall establish the relative importance assigned to the evaluation factors and sub-factors to be considered.
c. A solicitation for proposals of qualification shall state the maximum number of design-builders that are to be selected to submit second proposals. The maximum number specified in the solicitation shall be at least two and shall not exceed six.
d. The contracting unit may offer a stipend, based upon the project size and type, which shall not exceed three percent of the project's estimated cost, to any design-builder providing design, construction information, or materials presented in response to a request for second proposals. This stipend is intended to encourage the submission of proposals and to increase competition.
e. On the basis of the proposal of qualification, the technical review committee shall select the most highly qualified number of design-builders specified in the solicitation and request the selected design-builders to submit a second proposal and sealed bid. Each solicitation for second proposals shall establish the relative importance assigned to the evaluation factors to be considered.
f. The technical review committee shall evaluate each second proposal based on the technical submission for the proposal, including design concepts or proposed solutions to requirements addressed within the scope of work, and the evaluation factors, including a minimum of 50 percent consideration based on the cost of the bid.
g. The contracting unit shall separately evaluate the submissions described above, and award the contract in accordance with section 8 of P.L.2021, c.71 (C.52:35B-8).
##### **§ 52:35B-5** Evaluation factors included in request for proposal. {#sec-52-35b-5 omnilex-key=us-nj-statutes--title-52--52:35B-5}
5. a. Each request for proposals shall contain evaluation factors prepared by a design professional or designated employee as defined in section 2 of P.L.2021, c.71 (C.52:35B-2). The design professional or designated employee that develops the evaluation factors shall be disqualified from submitting a proposal to enter into the design-build contract, and the design-builder shall not be permitted to delegate services under the design-build contract to the design professional or designated employee that developed the evaluation factors.
b. The design professional or designated employee that develops the evaluation factors shall be either an employee of the contracting unit or shall be engaged in compliance with applicable New Jersey public procurement laws, and to the extent allowed by law may delegate the development of specific aspects of the design criteria to other consultants.
c. The contracting unit, in consultation with the design professional or designated employee, shall determine the scope and level of detail required for the evaluation factors. The evaluation factors should be detailed enough to permit qualified persons to submit proposals in accordance with the solicitation, given the nature of the public project and the level of design to be provided in the proposal.
##### **§ 52:35B-6** Inclusions in solicitations for design-build contracts. {#sec-52-35b-6 omnilex-key=us-nj-statutes--title-52--52:35B-6}
6. a. Solicitations for each design-build contract shall include, but not be limited to, the following:
(1) The identity of the contracting unit which shall award the design-build contract;
(2) The procedures to be followed for submitting proposals, the criteria for evaluation of proposals and their relative weight, and the procedures for making awards, including a reference to the requirements of sections 2 through 9 of P.L.2021, c.71 (C.52:35B-2 through C.52:35B-9) and the regulations of the contracting unit;
(3) The proposed terms and conditions for the design-build contract;
(4) A description of the drawings, specifications, or other submittals to be submitted with the proposal, with guidance as to the form and level of completeness of the drawings, specifications, or submittals that shall be acceptable;
(5) A schedule for planned commencement and completion of the design-build contract;
(6) Budget limits for the design-build contract, if any;
(7) Affirmative action, disadvantaged business or set-aside goals or requirements for the design-build contract, in accordance with the requirements of all rules, regulations, standards, or policies adopted by the contracting unit;
(8) The required qualifications of the design-builder;
(9) Requirements for contractors and the design professional to have performance bonds, payment bonds, and insurance, and to meet all the qualifications of the Division of Property Management and Construction in the Department of the Treasury or the Department of Transportation where applicable; and
(10) A statement that the prospective design-builder is in compliance with all applicable laws, including the "New Jersey Prevailing Wage Act," P.L.1963, c.150 (C.34:11-56.25 et seq.), "The Public Works Contractor Registration Act," P.L.1999, c.238 (C.34:11-56.48 et seq.), and the "Construction Industry Independent Contractor Act," P.L.2007, c.114 (C.34:20-1 et seq.).
b. The solicitation may include any other information which the contracting unit in its discretion chooses to supply, including without limitation, surveys, soils reports, drawings or models of existing structures, environmental studies, photographs or references to public records.
c. Notice of solicitations shall be advertised in the same manner in which proposals generally are solicited for public projects.
##### **§ 52:35B-7** Required members of design-build team. {#sec-52-35b-7 omnilex-key=us-nj-statutes--title-52--52:35B-7}
7. a. Each design-build team shall include a licensed or prequalified design professional independent from the contracting unit's licensed architect or engineer. The licensed or prequalified design professional shall be named in any proposal submitted to the contracting unit.
b. Proposals shall be sealed and shall not be opened until expiration of the time established for making proposals as set forth in the solicitation.
c. Proposals shall identify each person to whom the design-builder proposes to delegate obligations under the design-build contract. Persons so identified shall not be replaced without the approval of the contracting unit.
d. Proposals shall establish the cost of the design-build contract which shall not be exceeded if the proposal is accepted without change. Afterward, the maximum cost in the proposal may be converted to fixed prices by negotiated agreement between the contracting unit and the design-builder.
e. All proposals shall be received and opened at a previously announced time, where a synopsis of each shall be publicly read and recorded consistent with the provisions of subsection f. of this section.
f. Unless and until a proposal is accepted, the drawings, specifications and other information in the proposal shall remain the property of the person making the proposal. The contracting unit shall make reasonable efforts to maintain the secrecy and confidentiality of all proposals, and all information contained in the proposals, and shall not disclose the proposals or the information contained therein to the design-builders' competitors or the public. Once a proposal is accepted, the disclosure of the proposal and the information in the proposal, and the ownership of the drawings, specifications, and information therein, shall be determined in accordance with existing law and the terms of the design-build contract.
##### **§ 52:35B-8** Submission of received proposals. {#sec-52-35b-8 omnilex-key=us-nj-statutes--title-52--52:35B-8}
8. a. Once received, proposals shall be submitted to the design professional or designated employee retained by the contracting unit. No proposal shall be considered until certification is issued by the design professional or designated employee retained by the contracting unit that the proposal is consistent with the evaluation factors. No proposal for a design-build contract may be accepted unless the contracting unit determines that there was adequate competition for such contract.
b. The technical review committee shall score the technical proposals using the criteria and methodology set forth in the request for proposals in accordance with paragraph (2) of subsection a. of section 6 of P.L.2021, c.71 (C.52:35B-6) and make an award recommendation to the head of the contracting unit. The head of the contracting unit shall make the design-build contract award decision, consistent with the award recommendation.
c. The contracting unit shall evaluate the received technical proposals and price bid against the published factors and weighting to arrive at a composite score. The contracting unit shall make public the design-builder to be awarded the contract for the project. After the award decision is made, the contracting unit shall make public the sealed price bid for each proposal submitted to the contracting unit by a design-builder.
d. Acceptance of a proposal shall be made by written notice to the design-builder which submitted the accepted proposal. At the same time notice of acceptance is delivered, the contracting unit shall also inform, in writing, the other design-builders that their proposals were not accepted.
e. The contracting unit shall have the right to reject any and all proposals, except for the purpose of evading the provisions and policies of sections 2 through 9 of P.L.2021, c.71 (C.52:35B-2 through C.52:35B-9). The contracting unit shall solicit new proposals using the same evaluation factors, budget constraints, or qualifications, unless there has been a material change in circumstances affecting the needs of the contracting unit, including but not limited to an environmental issue, natural disaster, state of emergency, or unforeseen fiscal constraint.
f. Proposals may be withdrawn for any reason at any time prior to acceptance.
g. When a design-builder receives notification from a public body that the proposal, which it has submitted, has not been accepted, the design-builder may, within 30 days, request to review the design-build proposals submitted, the technical review committee evaluation scores from the selection process, and the final recommendation of award document. The design-builder shall submit this request in writing.
##### **§ 52:35B-9** Regulations. {#sec-52-35b-9 omnilex-key=us-nj-statutes--title-52--52:35B-9}
9. Notwithstanding the provisions of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, a contracting unit shall adopt, immediately upon filing with the Office of Administrative Law, regulations that the contracting unit deems necessary to implement the provisions of sections 2 through 9 of P.L.2021, c.71 (C.52:35B-2 through C.52:35B-9), which regulations shall be effective for a period not to exceed 180 days from the date of the filing. The contracting unit shall thereafter amend, adopt, or readopt the regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).
##### **§ 52:35B-10** Proceedings, records, contracts accessible to public. {#sec-52-35b-10 omnilex-key=us-nj-statutes--title-52--52:35B-10}
42. All proceedings, records, contracts, and other public records relating to procurement transactions authorized under P.L.2021, c.71 (C.52:35B-1 et al.) shall be accessible to the public pursuant to P.L.1963, c.73 (C.47:1A-1 et seq.), except as otherwise may be provided under P.L.2021, c.71 (C.52:35B-1 et al.).
## **Chapter 36**
##### **§ 52:36-1** Powers and duties of division of purchase and property in department of treasury and its director {#sec-52-36-1 omnilex-key=us-nj-statutes--title-52--52:36-1}
All the powers vested in and all the duties imposed on the state printing board and the comptroller in and by chapter three hundred and thirty-three of the laws of one thousand eight hundred and ninety-five shall be vested in the Division of Purchase and Property in the Department of the Treasury, and the Director of the Division of Purchase and Property shall exercise all the powers and perform all the duties formerly exercised by or conferred and charged upon the state printing board and the comptroller by the aforesaid act.
The Division of Purchase and Property shall have the supervision and control of the printing of all such official reports and documents as the state librarian may require to be printed pursuant to R.S. 52:14-20 and such other State printing as it shall from time to time be directed to do.
##### **§ 52:36-3** Printing to be done within state; exceptions {#sec-52-36-3 omnilex-key=us-nj-statutes--title-52--52:36-3}
All work performed in fulfillment of any contract made under the provisions of this chapter shall be done within the limits of this State except for topographic, other types of maps printed from engraved lithographic stones, zinc plates and copper plates and such printing known as "continuous forms" and "carbon inserted snap-out" forms.
##### **§ 52:36-4** Laws and documents to be printed in English {#sec-52-36-4 omnilex-key=us-nj-statutes--title-52--52:36-4}
No laws or public documents shall be printed, published or advertised by the authority or at the cost of the state, except in the English language.
## **Chapter 38**
##### **§ 52:38-1** Findings, declarations relative to project labor agreements {#sec-52-38-1 omnilex-key=us-nj-statutes--title-52--52:38-1}
1. The Legislature finds and declares:
a. The United States Supreme Court held in Building & Const. Trades Council of Metropolitan Dist. v. Associated Builders & Contractors of Massachusetts/Rhode Island, Inc., 507 U.S. 218 (1993) that state and local governments, when acting as market participants, are permitted under the National Labor Relations Act (29 U.S.C. s. 151 et seq.) to enforce bid specifications requiring contractors to abide by project labor agreements with labor organizations for construction projects owned by those state and local governments;
b. The Supreme Court commented in that case that when a State or local governmental agency utilizes bid specifications containing a project labor agreement for a construction project owned by the agency, the agency "does not regulate the workings of market forces" in violation of National Labor Relations Act pre-emption of such regulation, but is acting as a market participant and "exemplifies" the workings of market forces, and therefore is not prevented from doing so by the National Labor Relations Act;
c. New Jersey has a compelling interest in carrying out public works projects at the lowest reasonable cost and the highest degree of quality;
d. New Jersey has a compelling interest in having labor disputes in connection with public works projects resolved without the disruptions of strikes, lock-outs, or slowdowns;
e. Project labor agreements make possible legally enforceable guarantees that projects will be carried out in an orderly and timely manner, without strikes, lock-outs, or slowdowns;
f. Project labor agreements also make it possible to provide for peaceful, orderly, and mutually binding procedures for resolving labor issues;
g. The State also has a compelling interest in guaranteeing that public works projects meet the highest standards of safety and quality;
h. A highly skilled workforce ensures lower costs for repairs and maintenance over the lifetime of the completed project;
i. Project labor agreements make it possible to provide the State with a guarantee that public works projects are completed with highly skilled workers;
j. Project labor agreements allow public agencies to more accurately predict the actual cost of projects;
k. Project labor agreements make it possible to provide the State with assurances that public works projects are completed with a diverse workforce;
l. Project labor agreements facilitate the efficient integration of work schedules among different trades on project sites;
m. Project labor agreements also promote harmonious and productive work environments in public works projects;
n. New Jersey can best accomplish these goals by encouraging, for suitable public works projects,project labor agreements between public works contractors and subcontractors and labor organizations concerning important issues of employment, including work hours, starting times, overtime rates, and procedures for resolving disputes; and
o. Project labor agreements, therefore, give the State an effective means to advance the interests of efficiency, quality, and timeliness of suitable public works projects.
##### **§ 52:38-2** Definitions relative to project labor agreements. {#sec-52-38-2 omnilex-key=us-nj-statutes--title-52--52:38-2}
2. For the purposes of P.L.2002, c.44 (C.52:38-1 et seq.):
"Apprenticeship program" means a registered apprenticeship program providing to each trainee combined classroom and on-the-job training under the direct and close supervision of a highly skilled worker in an occupation recognized as an apprenticeable trade, and registered by the Office of Apprenticeship of the U.S. Department of Labor and meeting the standards established by the office or registered by a State apprenticeship agency recognized by the office.
"Disadvantaged community" means a census block group, as determined in accordance with the most recent United States Census, in which:
(1) at least 35 percent of the households are low-income households;
(2) at least 40 percent of the residents are minority group members or members of a State-recognized tribal community; or
(3) at least 40 percent of the households have limited English proficiency.
"Labor organization" means, with respect to a contracted work on a public works project, an organization which represents, for purposes of collective bargaining, employees involved in the performance of public works contracts and eligible to be paid prevailing wages under the "New Jersey Prevailing Wage Act," P.L.1963, c.150 (C.34:11-56.25 et seq.), and has the present ability to refer, provide, or represent sufficient numbers of qualified employees to perform the contracted work in a manner consistent with the provisions of P.L.2002, c.44 (C.52:38-1 et seq.) and any plan mutually agreed upon by the labor organization and the public entity pursuant to subsection g. of section 5 of P.L.2002, c.44 (C.52:38-5).
"Low-income household" means a household that is at or below twice the poverty threshold as that threshold is determined annually by the United States Census Bureau.
"Political subdivision" means any county, municipality, school district, or other political subdivision of the State of New Jersey or any instrumentality or agency of the political subdivision.
"Project labor agreement" means a form of pre-hire collective bargaining agreement covering terms and conditions of a specific project.
"Public entity" means the State, any of its political subdivisions, any authority created by the Legislature, and any instrumentality or agency of the State or of any of its political subdivisions.
"Public works project" means any public works project for construction, reconstruction, demolition, or renovation for which:
(1) It is required by law that workers be paid the prevailing wage determined by the Commissioner of Labor and Workforce Development pursuant to the provisions of the "New Jersey Prevailing Wage Act," P.L.1963, c.150 (C.34:11-56.25 et seq.); and
(2) The public entity estimates that the total cost of the project, exclusive of any land acquisition costs, will equal or exceed $5 million. A municipality, county, school district, or fire district may enter into a project labor agreement for a public works project that does not meet the total project cost established in this definition pursuant to subsection b. of section 3 of P.L.2002, c.44 (C.52:38-3).
##### **§ 52:38-3** Public entity to include project labor agreements in certain public works projects. {#sec-52-38-3 omnilex-key=us-nj-statutes--title-52--52:38-3}
3. a. A public entity may include a project labor agreement in a public works project on a project-by-project basis, if the public entity determines, taking into consideration the size, complexity and cost of the public works project, that, with respect to that project, the project labor agreement will meet the requirements of section 5 of P.L.2002, c.44 (C.52:38-5), including promoting labor stability and advancing the interests of the public entity in cost, efficiency, skilled labor force, quality, safety, and timeliness, and, in the case of a public entity which is a political subdivision, promotes employment of residents of the political subdivision. If the public entity determines that a project labor agreement will meet those requirements with respect to a particular public works project, the public entity shall either: directly negotiate in good faith a project labor agreement with one or more labor organizations; or condition the award of a contract to a construction manager upon a requirement that the construction manager negotiate in good faith a project labor agreement with one or more labor organizations. Upon the request of the public entity, the Commissioner of Labor shall assist in facilitating the negotiation of the project labor agreement. The decision by the public entity to require the inclusion of a project labor agreement requirement shall not be deemed to unduly restrict competition if the public entity finds that the project labor agreement is reasonably related to the satisfactory performance and completion of the public works project, and any bidder for the public works project refusing to agree to abide by the conditions of the project labor agreement or the requirement to negotiate a project labor agreement shall not be regarded as a responsible bidder. Upon the request of the public entity, the Commissioner of Labor shall review the finalized project labor agreement and provide to the public entity, not more than 30 calendar days after the agreement is submitted to the commissioner by the public entity, a written advisory statement regarding whether the project labor agreement conforms with the provisions of P.L.2002, c.44 (C.52:38-1 et seq.).
b. Notwithstanding subsection a. of this section, a municipality, county, school district, or fire district may elect whether to include the use of a project labor agreement for a public works project that does not meet the total project cost established in section 2 of P.L.2002, c.44 (C.52:38-2). Nothing in P.L.2025, c.327 shall be construed to prohibit a municipality, county, school district, or fire district from voluntarily entering into a project labor agreement.
##### **§ 52:38-4** Project labor agreement binding, certain stipulations required. {#sec-52-38-4 omnilex-key=us-nj-statutes--title-52--52:38-4}
4. Any project labor agreement negotiated pursuant to this act between the public entity or its representative or a construction manager and one or more labor organizations shall be binding on all contractors and subcontractors working on the public works project and may include provisions that permit contractors and subcontractors working on the public works project to retain a percentage of their current workforce, and provisions that the successful bidder and any subcontractor of the bidder need not be a party to a labor agreement with the labor organizations other than for the public works project covered by the project labor agreement. Each project labor agreement shall stipulate that:
a. the provisions of the project labor agreement shall apply to work done at construction sites of the public works project and shall not apply to work done outside of those sites; and
b. if a union trust fund covered by the terms and conditions of the project labor agreement has not adopted the building and construction industry exemption authorized by subsection (b) of section 4203 of the Employee Retirement Income Security Act of 1974 (29 U.S.C. s.1383(b)), the signatory employers shall not be obligated to hire employees covered by that fund.
##### **§ 52:38-5** Requirements for project labor agreement. {#sec-52-38-5 omnilex-key=us-nj-statutes--title-52--52:38-5}
5. Each project labor agreement executed pursuant to the provisions of this act shall:
a. Advance the interests of the public entity, including the interests in cost, efficiency, quality, timeliness, skilled labor force, and safety;
b. Contain guarantees against strikes, lock-outs, or other similar actions;
c. Set forth effective, immediate, and mutually binding procedures for resolving jurisdictional and labor disputes arising before the completion of the work;
d. Be made binding on all contractors and subcontractors on the public works project through the inclusion of appropriate bid specifications in all relevant bid documents;
e. Require that each contractor and subcontractor working on the public works project have an apprenticeship program;
f. Fully conform to all statutes, regulations, executive orders and applicable local ordinances regarding the implementation of set-aside goals for women and minority owned businesses, the obligation to comply with which shall be expressly provided in the project labor agreement;
g. Include a publicly available plan regarding:
(1) the shares of employment and apprenticeship positions in the public works project for minority group members, members of disadvantaged communities, and women which are in full conformance with the requirements of all applicable statutes, regulations, executive orders and local ordinances and is mutually agreed upon by the participating labor organizations and the public entity which will own the facilities which are built, altered or repaired under the public works project, provided that any shares mutually agreed upon pursuant to this subsection shall equal or exceed the requirements of other statutes, regulations, executive orders or local ordinances; and
(2) all measures and programs to be undertaken to attain the goals of paragraph (1) of this subsection regarding minority group members, members of disadvantaged communities, and women, which may include measures giving them priority in referral and placement from the hiring halls of signatory unions, programs to provide on-the-job or off-the-job outreach and training, and programs to provide incentives for, or otherwise facilitate, their hiring and employment;
h. Require the contract for the public works project to provide whatever resources may be needed to prepare for apprenticeship a number of women, members of disadvantaged communities, and minority group members sufficient to enable compliance with the plan agreed upon pursuant to subsection g. of this section and provide that the use of those resources be administered jointly by the participating labor organizations and the public entity or community-based organizations selected by the public entity; and
i. Require the public body to monitor, or arrange to have a State agency monitor, the amount and share of work done on the project by minority group members, members of disadvantaged communities, and women and the progression of minority group members, members of disadvantaged communities, and women into apprentice and journey worker positions, and require the public body to make public, or have the State agency make public, all records of monitoring conducted pursuant to this subsection.
##### **§ 52:38-6** Annual report to Governor, Legislature {#sec-52-38-6 omnilex-key=us-nj-statutes--title-52--52:38-6}
6. The Commissioner of Labor shall make an annual report to the Governor and the Legislature on the effectiveness of all project labor agreements entered into pursuant to this act in advancing the purposes of this act and in meeting the requirements of this act, including any recommendations deemed necessary by the commissioner to better effectuate those purposes. The report shall include a reporting, review and analysis of the information obtained from the monitoring conducted pursuant to subsection i. of section 5 of this act, an analysis of the effectiveness of the project labor agreements in meeting the objectives of section 5 of this act, and a comparison of the performance of public works projects with project labor agreements to the performance of public works projects without project labor agreements.
The first report shall be made on or before December 31, 2003, and subsequent reports shall be made on December 31 of each year thereafter. The report issued on December 31, 2006 shall include an analysis of the overall effectiveness of the implementation of the act from the time of its enactment and any recommendations regarding legislation to make changes in the act deemed necessary by the commissioner to better effectuate those purposes.
##### **§ 52:38-7** Transfers, retained fund; use; reports. {#sec-52-38-7 omnilex-key=us-nj-statutes--title-52--52:38-7}
1. a. Notwithstanding the provisions of any law or regulation to the contrary, upon entering into any public works contract in excess of $1,000,000 which is funded, in whole or in part, by funds of a public body, or any public works contract of any size which is funded, in whole or in part, by funds provided to the public body pursuant to the "American Recovery and Reinvestment Act of 2009," Pub.L.111-5, the public body entering into the contract shall transfer an amount equal to one half of one percent of the portion of the contract amount funded by funds of the public body, or provided to the public body pursuant to the "American Recovery and Reinvestment Act of 2009," Pub.L.111-5, to the Department of Labor and Workforce Development, except that any Statewide authority which enters into the contract and administers a program which meets the requirements of this section may retain all or a portion of the one half of one percent share of the funds under the contract as is necessary for the operation of the program, but shall transfer to the department any portion of the funds not necessary for the program, and except that funds shall not be transferred or retained pursuant to this section if the transfer or retaining of the funds is contrary to any federal requirement and may result in the loss of federal funds. For a project in which federal and State funds are combined, the entire amount may be transferred or retained from the State portion of the funds if doing so is necessary to prevent any loss of federal funds. A political subdivision may elect, but is not required, to transfer to the department or retain, for any one or more of the purposes indicated in subsection b. of this section or for the purpose of providing incentives or otherwise facilitating a local hiring and employment program, an amount equal to one half of one percent of the portion of any public work contract of the political subdivision.
b. The department, political subdivision, or authority shall use the transferred or retained funds to provide on-the-job or off-the-job outreach and training programs for minority group members and women in construction trade occupations or other occupations, including engineering and management occupations, utilized in the performance of public works contracts. The programs funded pursuant to this subsection, shall include, but not be limited to, programs preparing minority group members and women for admission into registered apprenticeships with opportunities for long-term employment in construction trades providing economic self-sufficiency for the minority group members and women, with priority given, with respect to the funds from a contract used for apprenticeship programs or apprenticeship-related programs, to trades utilized in that contract, and shall include programs providing supportive services to help facilitate successful completion of any apprenticeship or other training assisted pursuant to this section. The department, political subdivision, or authority shall use funds transferred or retained pursuant to this section to provide grants to implement such programs to consortia which include those community-based organizations, faith-based organizations, labor organizations, employers, contractors and trade organizations, institutions of higher education, and schools and other local public agencies which the department, political subdivision, or authority determines are best able to facilitate entry and success of minority group members and women into training and long-term trade and professional employment in the construction industry, and may use a portion of the funds for initiatives to prepare minority group members and women for registered apprenticeship programs and related post-secondary education, such as grants to consortia provided pursuant to the "Youth Transitions to Work Partnership Act," P.L.1993, c. 268 (C.34:15E-1 et seq.), and for initiatives, such as those of the NJ PLACE program established pursuant to P.L.2009, c.200 (C.34:15D-24 et al.), to facilitate the coordination and articulation of registered apprenticeship programs with degree programs in institutions of higher education, including initiatives to articulate programs in a manner which may assist in providing transitions from trade occupations to professional occupations utilized in the construction industry. The department, political subdivision, or authority shall seek agreements and commitments from grant participants to provide long-term employment to successful applicants and trainees where possible. The department, political subdivision, or authority shall be reimbursed from the transferred or retained funds for any reasonable and necessary costs incurred by the department, political subdivision, or authority in administering those programs.
c. The Department of the Treasury, and the Division of Contract Compliance and Equal Employment Opportunities in Public Contracts in that department, shall provide, and make available to the public on the Internet, an annual report, not later than December 31 of 2010 and each year after that year, which shall list all public works contracts subject to this act and report, for each public works contract, the percentage and amount of funds withheld and provided to programs funded pursuant to this section and the numbers and percentages of apprentices and other workers under each contract who are of minority group members and women. The Department of Labor and Workforce Development shall, not later than December 31 of 2010 and each year after that year, provide an annual report, which shall also be made available to the public on the Internet, on all of the programs funded pursuant to this section, which shall include, for each program, data regarding the performance results of minority group members and women participating in the programs, including outcome measures detailing employment placement, increased earnings and employment retention, as those terms are used in the federal Workforce Investment Act of 1998, Pub.L.105-220 (29 U.S.C. s.2801 et seq.), and shall include data regarding enrollment into registered apprentice programs and results regarding their retention in long-term employment. Public bodies and political subdivisions entering into public works contracts subject to the provisions of this section, including Statewide authorities, and the Department of the Treasury shall provide such information to the Department of Labor and Workforce Development and the Department of the Treasury as the departments deem necessary for the purposes of this section.
d. For the purposes of this section: "political subdivision" means any county, municipality, school district or other political subdivision of the State of New Jersey or any instrumentality or agency of the political subdivision; "public body" means the State of New Jersey, any authority created by the Legislature of the State of New Jersey and any instrumentality or agency, but not any political subdivision, of the State of New Jersey; "public works contract" means public works contract as defined in section 1 of P.L.1975, c.127 (C.10:5-31); "registered apprenticeship" means apprenticeship in a program providing to each trainee combined classroom and on-the-job training under the direct and close supervision of a highly skilled worker in an occupation recognized as an apprenticeable trade, and registered by the Office of Apprenticeship of the United States Department of Labor and meeting the standards established by that office; and "Statewide authority" means any authority created by the Legislature which is authorized by law to enter into contracts for construction at locations throughout the State.
## **Chapter 39**
##### **§ 52:39-1** Short title. {#sec-52-39-1 omnilex-key=us-nj-statutes--title-52--52:39-1}
1. This act shall be known and may be cited as "The Development Subsidy Job Goals Accountability Act."
##### **§ 52:39-2** Findings, declarations relative to development subsidies. {#sec-52-39-2 omnilex-key=us-nj-statutes--title-52--52:39-2}
2. The Legislature finds and declares that:
a. Although the State has granted numerous tax incentives, grants and other economic development subsidies during the last 25 years, the inflation-adjusted wage level for a large portion of New Jersey workers has declined, as has the percentage of working families in New Jersey with health care coverage;
b. Some programs providing economic development subsidies lack measurable job creation goals, and in some cases, businesses have closed, relocated or outsourced facilities or jobs for which subsidies were provided to sites outside of the State;
c. Citizen participation in economic development has been impeded by a lack of readily accessible information regarding expenditures and outcomes; and
d. It is therefore appropriate, in order to improve the effectiveness of expenditures for economic development and to ensure that they achieve the goal of raising living standards for working families, that the State collect, analyze and make public information regarding those expenditures.
##### **§ 52:39-3** Definitions relative to development subsidies. {#sec-52-39-3 omnilex-key=us-nj-statutes--title-52--52:39-3}
3. For the purposes of this act:
"Corporate parent" means either: a person, association, corporation, joint venture, partnership, or other business entity, that owns or controls 50% or more of a recipient corporation; or the recipient corporation itself, if no other person, association, corporation, joint venture, partnership, or other entity, owns or controls 50% or more of the recipient corporation.
"Date of development subsidy" means the initial date that a granting body provides the monetary value of a development subsidy to a recipient corporation provided, however, that if the development subsidy is for the installation of new equipment, the date shall be the date the recipient corporation puts the equipment into service and provided, further, that if the development subsidy is for improvements to property, the date shall be the date the improvements are finished or the date the recipient corporation occupies the property, whichever is earlier.
"Development subsidy" means the authorizing of the provision or providing to a recipient corporation of an amount of funds by or from a public body with a value of not less than $25,000 for the purpose of stimulating economic development in New Jersey, including, but not limited to, any bond, grant, loan, loan guarantee, matching fund or any tax expenditure. "Development subsidy" does not refer to any contract under which a public body purchases or otherwise procures goods, services or construction on an unsubsidized basis, including any contract solely for the construction or renovation of a facility owned by a public body. "Development subsidy" does not mean any authorizing or providing of funds by or from a public body to a recipient corporation, including by means of a tax expenditure, for the exclusive purpose of the development or production of affordable housing, for the exclusive purpose of subsidizing site remediation, recycling, commuter transportation assistance, pollution reduction, energy conservation or other programs to improve the environment, or for the exclusive purpose of providing benefits to employees of the recipient corporation. "Development subsidy" does not mean any authorizing or providing of funds by or from a public body to a non-profit organization, including by means of a tax expenditure, for the exclusive purpose of subsidizing the development of facilities used to provide recreational, educational, arts or cultural programs or childcare or healthcare services.
"Employee benefits" means the average rate of benefit costs paid by a recipient corporation to or for its employees, including, but not limited to, the cost to the recipient corporation of health care benefits, pension benefits and apprenticeship or other training and education benefits, but excluding any costs to the recipient corporation of unemployment compensation, workers' compensation or temporary disability benefits, Social Security benefits, or any other employee benefits which the recipient corporation is required by State or federal law to pay. "Employee benefits" do not include any payroll deductions or other costs paid by employees for the benefits.
"Full-time job" means a job in which an individual is employed by a recipient corporation for at least 35 hours per week.
"Granting body" means a public body that provides or authorizes a development subsidy and, in the case of a tax expenditure related to any tax paid to the State, means the State Treasurer.
"Health benefits" means health benefits provided under a group health plan as defined in section 14 of P.L.1997, c.146 (C.17B:27-54), a health benefits plan as defined in section 1 of P.L.1992, c.162 (C.17B:27A-17), or a policy or contract of health insurance covering more than one person issued pursuant to Title 17B of the New Jersey Statutes.
"Part-time job" means a job in which an individual is employed by a recipient corporation for less than 35 hours per week.
"Project site" means the site of a project inside New Jersey for which any development subsidy is provided.
"Public body" or "State" means the State of New Jersey or any agency, instrumentality or authority of the State, but not a political subdivision of the State.
"Recipient corporation" means any non-governmental person, association, corporation, joint venture, partnership or other entity that receives a development subsidy.
"Tax expenditure" means the amount of foregone tax collections due to any abatement, reduction, exemption or credit against any State tax, including, but not limited to, taxes on raw materials, inventories or other assets, taxes on gross receipts, income or sales, and any use, excise or utility tax. "Tax expenditure" does not refer to any credit against any tax liability of an employee or any personal exemption, homestead rebate, credit or deduction for the expenses of a household or individual, or other reduction of the tax liability of an individual or household.
"Temporary job" means a job for which an individual is hired for a limited period of time, which shall include all jobs for construction at the project site.
"Value of a development subsidy" means the dollar value of the development subsidy provided to the recipient corporation. In the case of a loan or loan guarantee provided by a public body to a recipient corporation or tax-exempt financing authorized by a public body, the "value of a development subsidy" means the amount loaned.
##### **§ 52:39-4** Application for development subsidy, required information. {#sec-52-39-4 omnilex-key=us-nj-statutes--title-52--52:39-4}
4. a. Each applicant for a development subsidy shall submit to the granting body an application for the development subsidy on a form prepared by the State Treasurer. The information required on the application, or in supplements accompanying the application, shall include the following:
(1) An application tracking number provided by the granting body;
(2) The names, street and mailing addresses and phone numbers of the chief officer of the granting body, the chief officer of the applicant's corporate parent and the applicant and the street address and three-digit North American Industry Classification System number of the project site;
(3) The start date and the end date, if any, of the development subsidy;
(4) A list of all development subsidies that the applicant is requesting or receiving, the name of any other granting body from which development subsidies are sought or obtained, the value of each development subsidy and the aggregate value of all development subsidies requested or received from all sources;
(5) A signed certification by the chief officer of the recipient corporation that the application is accurate and meets the requirements of this act;
(6) The total number of individuals employed by the applicant at the project site on the date of the application, the anticipated number of jobs that will be retained as a result of the development subsidy and the number of new jobs to be created by the applicant at the project site if the development subsidy is granted, broken down by full-time, part-time and temporary jobs;
(7) The average annual wage and benefit rates of current employees and the anticipated average annual wage and benefit rates of new employees;
(8) The number of current employees provided health benefits, and the number of new employees anticipated to be provided health benefits;
(9) How many of the current employees and how many of the anticipated new employees are represented by a collective bargaining unit;
(10) The average total number of individuals employed in New Jersey during the calendar year preceding the submission of the application by the applicant's corporate parent and all subsidiaries thereof, broken down by full-time, part-time and temporary jobs;
(11) A statement as to whether the development subsidy may reduce employment at any other site controlled by the applicant or its corporate parent, inside the State, resulting from automation, merger, acquisition, corporate restructuring or other business activity;
(12) A statement as to whether or not the project involves the relocation of work from another address and if so, the number of jobs to be relocated and the address from which they are to be relocated; and
(13) Any other information deemed useful or necessary by the State Treasurer for the implementation of this act.
b. Any granting body, other than the State Treasurer approving the application, shall send a copy to the State Treasurer not more than 15 business days after approval. If the application is not approved, the granting body shall retain the application.
##### **§ 52:39-5** Progress report filed by recipient of development subsidy; violations, fines. {#sec-52-39-5 omnilex-key=us-nj-statutes--title-52--52:39-5}
5. a. Each recipient corporation of a development subsidy shall file with the granting body, on a form prepared by the State Treasurer, a progress report no later than 30 business days after the end of each State fiscal year, beginning with the end of the first full State fiscal year after the date of the development subsidy, for the duration of the development subsidy or for five years, whichever period is longer. The report shall include the following information for the State fiscal year just ended:
(1) The application tracking number, except in the case of a development subsidy which has no application tracking number because the development subsidy was in effect prior to the 180th day after the effective date of this act;
(2) The name, street and mailing addresses, phone number and chief officers of the granting body and the recipient corporation;
(3) A summary of the number of jobs created, retained or lost inside New Jersey, broken down by full-time, part-time and temporary jobs, and the average annual rates of pay and benefits;
(4) The number of current employees provided health benefits, and the number of new employees anticipated to be provided health benefits;
(5) The comparison of the total employment in New Jersey by the corporate parent of the recipient corporation on the date of the application and the date of the report, broken down by full-time, part-time and temporary jobs;
(6) A statement as to whether the use of the development subsidy during the previous fiscal year has reduced employment at any New Jersey site controlled by the recipient corporation or its corporate parent; and
(7) A signed certification by the chief officer of the recipient corporation that the progress report is accurate.
b. Not later than 30 days after the end of the second full State fiscal year after the date of the development subsidy, the recipient corporation shall file with the granting body a two-year progress report, certified by the chief officer of the recipient corporation, which shall include:
(1) The same information as required to be included in reports filed pursuant to subsection a. of this section;
(2) A statement of whether the recipient corporation has achieved the job creation and retention and wage and benefit rate goals projected in the recipient corporation's application; and
(3) If the goals are not met, a full disclosure of the amount of any shortfall in job creation and retention rates at the project site inside New Jersey and wage and benefit rates compared to the goals and compared to job creation and retention goals and wage and benefit rates projected in the recipient corporation's application.
c. The granting body shall review each report filed by the recipient corporation and conduct such further investigations as may be required to verify or correct the information in the report and submit the verified or corrected report to the State Treasurer not later than 30 business days after the report is filed by the recipient corporation.
d. The recipient corporation shall provide the granting body and the State Treasurer access to the project site and records at reasonable times as needed to monitor the project and verify the accuracy of the information provided in reports made by the recipient corporation. If a recipient corporation fails to file a report by the required due date, the granting body may impose an administrative fine of not more than $500 per day to commence upon the tenth working day after the due date, and not more than $1,000 per day to commence on the twentieth working day after the due date. If a recipient corporation fails to provide the required access, the granting body may impose an administrative fine of not more than $500 per day to commence upon the fifth working day that access is denied, and of not more than $1,000 per day to commence upon the tenth working day that access is denied.
e. A granting body may assess from recipient corporations whatever fees it determines to be necessary, but in no case fees greater than 0.25% of the value of a development subsidy if the development subsidy is a loan provided by the granting body, 0.1% of the value of the development subsidy if the development subsidy is a loan guarantee provided by the granting body or tax-exempt financing authorized by the granting body, or greater than 1.0% of the value if the development subsidy is not a loan, tax-exempt financing or loan guarantee, to pay for the costs of the granting body to carry out its responsibilities under this act, including the processing of applications for development subsidies, reviewing and verifying reports of recipient corporations and monitoring the compliance of recipient corporations with the requirements of this act, maintaining and making available records and, in the case of the State Treasurer, producing the annual Unified Economic Development Budget Report as provided in section 6 of this act and providing, as part of the annual budget request of the Governor, a comprehensive presentation of the costs of all development subsidies to the State.
##### **§ 52:39-6** Annual Unified Economic Development Budget Report. {#sec-52-39-6 omnilex-key=us-nj-statutes--title-52--52:39-6}
6. a. The State Treasurer shall, not more than four months after the end of each State fiscal year, compile and publish, in printed and electronic form, including on the Internet, an annual Unified Economic Development Budget Report with regard to the fiscal year just concluded. The report shall provide the following comprehensive information regarding the costs and benefits of all development subsidies of the State:
(1) Information regarding tax expenditures resulting from any development subsidy, including the name of each recipient corporation receiving one or more tax expenditures with a combined total value equal to or greater than $100,000, the value of all tax expenditures received by each recipient corporation and summaries of the number of full-time and part-time jobs created or retained, employee benefits provided and the degree to which job creation and retention, wage and benefit goals and requirements of recipient corporations and parent corporations have been met. Any tax expenditure received by a corporation receiving tax expenditures with a total value of less than $100,000 shall not be itemized. The report shall include aggregate dollar amounts for each category of tax expenditure, each geographical area, the number of companies for each category of tax expenditure, the number of full-time and part-time jobs created or retained, the employee benefits provided, and the degree to which job creation and retention, wage and benefit rate goals and requirements have been met for each category of tax expenditure; and
(2) The costs of all expenditures of development subsidies appropriated by any granting body, including, but not limited to, the Department of Labor and Workforce Development, the Department of Education, the New Jersey Economic Development Authority, the New Jersey Commerce, Economic Growth and Tourism Commission, the New Jersey Commission on Higher Education, the New Jersey Commission on Science and Technology, and research and business assistance programs of public institutions of higher education, together with the cost to the granting bodies and the value of the development subsidies received by each recipient corporation, and summaries of the number of full-time and part-time jobs created or retained, employee benefits provided, and the degree to which job creation and retention, wage and benefit rate goals and requirements of recipient corporations and parent corporations have been met.
b. The State Treasurer shall provide to the Legislature, as part of the annual budget request of the Governor, a comprehensive presentation of the costs of all development subsidies to the State during the prior fiscal year, an estimate of the anticipated costs of development subsidies for the then current fiscal year and an estimate of the costs of all development subsidies for the fiscal year of the requested budget, including, but not limited to:
(1) The total cost to the State of tax expenditures resulting from the development subsidies, the costs for each category of tax expenditure, and the amounts of tax expenditures by geographical area; and
(2) The cost to the State of all appropriated expenditures for development subsidies, including line-item budgets for every State-funded entity concerned with economic development, including, but not limited to, the Department of Labor and Workforce Development, the Department of Education, the New Jersey Economic Development Authority, the New Jersey Commerce, Economic Growth and Tourism Commission, the New Jersey Commission on Higher Education, the New Jersey Commission on Science and Technology, and research and business assistance programs of public institutions of higher education.
##### **§ 52:39-7** Availability of documents, records. {#sec-52-39-7 omnilex-key=us-nj-statutes--title-52--52:39-7}
7. All documents or records submitted to or maintained by the State Treasurer or any granting body pursuant to this act, including, but not limited to, applications, progress reports, recapture notices and any other related records or proceedings, shall be available in a manner consistent with the provisions of P.L.2001, c.404 (C.47:1A-5 et al.) for review by any member of the public, and copies of the records shall be provided upon request.
##### **§ 52:39-8** Information required from recipient corporation. {#sec-52-39-8 omnilex-key=us-nj-statutes--title-52--52:39-8}
8. Each granting body shall, not later than 60 days after the effective date of this act, provide, to every recipient corporation receiving a development subsidy from the granting body which was awarded during the three years prior to the effective date of this act, written notification that the recipient corporation is required to submit to the granting body, not less than 120 days after receiving the notification, the information required of applicants pursuant to section 4 of this act and that the recipient corporation is required to comply with the reporting requirements of section 5 of this act.
##### **§ 52:39-9** Withholding of payments to granting body. {#sec-52-39-9 omnilex-key=us-nj-statutes--title-52--52:39-9}
9. If a granting body fails to submit any report required by this act to the State Treasurer within the time prescribed by this act, the State Treasurer may, to the extent possible, withhold payments of any State-funded development subsidy to the granting body or any recipient corporation which has a project site located in the jurisdiction of the granting body until the public body submits the report with the State Treasurer.
##### **§ 52:39-10** False material misrepresentation by recipient, refund to granting body. {#sec-52-39-10 omnilex-key=us-nj-statutes--title-52--52:39-10}
10. Any recipient corporation that knowingly makes a false material misrepresentation in any application, report or other disclosure that the recipient corporation is required to make pursuant to this act shall refund any development subsidy to the granting body. The granting body may include provisions for the refund as part of an agreement to provide a development subsidy and may pursue an action to collect the amount of the refund plus any attorney fees and other costs of the action.
##### **§ 52:39-11** Construction of act. {#sec-52-39-11 omnilex-key=us-nj-statutes--title-52--52:39-11}
11. Nothing in this act shall be construed as requiring a recipient corporation to reduce wage or benefit rates of any employee or be construed as permitting a recipient corporation:
a. To reduce wage or benefit rates established by a collective bargaining agreement or required by any law or regulation; or
b. To provide, in return for a development subsidy, jobs with lower wage or benefit rates, a smaller number of jobs, or jobs for a shorter period of time, than is required with respect to the development subsidy by any other law or regulation.
##### **§ 52:39-12** Rules, regulations. {#sec-52-39-12 omnilex-key=us-nj-statutes--title-52--52:39-12}
12. The State Treasurer shall, in consultation with the Commissioner of Labor and Workforce Development, and pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), promulgate any rules and regulations necessary to implement the provisions of this act.
## **Chapter 39A**
##### **§ 52:39A-1** Findings, declarations relative to labor harmony agreements in connection with hospitality projects. {#sec-52-39a-1 omnilex-key=us-nj-statutes--title-52--52:39A-1}
1. The Legislature hereby finds and declares that:
a. the State, through its investment in development projects has a significant and ongoing economic interest in the financial viability and competitiveness of those projects;
b. development projects that include hospitality establishments provide essential services and jobs for local residents, stimulate local economies, are a vital economic engine that provides revenue for our communities and promotes vibrant downtowns and financial stability, and have a direct impact on the reputation of New Jersey as a viable tourism market;
c. there are labor organizations in New Jersey that currently represent thousands of hospitality workers, and actively engage in organizing activities to unionize additional hospitality establishments in the State which may include strikes, pickets, boycotts, and other economic activity during labor disputes;
d. New Jersey and other public bodies in the State have a compelling interest in preventing disruptive labor disputes in connection with projects in which the public bodies have proprietary interests as investors, owners or financiers; and
e. labor harmony agreements make possible legally enforceable guarantees that projects will be carried out in an orderly and timely manner, without strikes, lock-outs, or slowdowns, thus protecting the State's interest in these projects by promoting harmonious and productive work environments.
##### **§ 52:39A-2** Definitions relative to labor harmony agreements in connection with hospitality projects. {#sec-52-39a-2 omnilex-key=us-nj-statutes--title-52--52:39A-2}
2. As used in this act:
"Contractor" means a business entering into a contract or agreement to undertake a covered hospitality project, or to serve as the owner or operator of any facility, including but not limited to a hospitality establishment that is part of a covered hospitality project, or to provide services integral to the operations of the covered hospitality project or the facilities.
"Commissioner" means the Commissioner of Labor and Workforce Development.
"Covered hospitality project" or "covered project" means a project undertaken pursuant to an agreement entered into after the effective date of this act between a public body and a contractor in which:
(1) one or more hospitality establishments are part of the project;
(2) the public body has a proprietary interest in the project or in a hospitality establishment in the project; and
(3) the project includes not less than one hospitality establishment which will have more than 10 employees.
"Labor harmony agreement" means an agreement between a contractor and one or more labor organizations which represent hospitality employees, which requires, for the duration of the agreement: that any participating labor organization which represents hospitality employees and its members agree to refrain from picketing, work stoppages, boycotts, or other economic interference against the contractor.
"Labor organization which represents hospitality employees" means a labor organization that is the collective bargaining agent for employees at any hospitality establishment within a 50-mile radius of the covered hospitality project and is the collective bargaining agent for not less than 1,000 employees at hospitality establishments in the State of New Jersey, or if no such organization exists, any labor organization that is the collective bargaining agent for not less than 1,000 employees at hospitality establishments in the State of New Jersey.
"Proprietary interest" means an economic and non-regulatory interest of a public body in the economic or financial success of a covered hospitality project, or the success of any facility in the project, including a hospitality establishment, that could be adversely affected by labor-management conflict, including, but not limited to, the proprietary interest of the public body as a financier, investor, lessee, lessor, operator, or owner of the project, facility, or property on which the project or facility is located, or as the provider or facilitator of financial assistance to or for the project, facility, or property, whether by direct loan or grant, or by a guarantee, subsidy, deposit, credit enhancement or similar method, and any interest of a public body derived from the ongoing receipt by the public body of revenues from the project or facilities of the project.
"Public body" means the State of New Jersey, any of its political subdivisions, and any authority, instrumentality, or agency of the State of New Jersey or of any of its political subdivisions, or any other entity authorized to conduct economic development activity on behalf of a public body.
##### **§ 52:39A-3** Labor harmony agreement precondition of entry into certain contracts, agreements. {#sec-52-39a-3 omnilex-key=us-nj-statutes--title-52--52:39A-3}
3. a. Except as provided in subsection c. of this section, no public body shall enter into any contract or agreement under which the public body has a proprietary interest in a covered project unless the contract or agreement includes a precondition that the contractor and all subcontractors of the contractor enter into a labor harmony agreement with a labor organization which represents hospitality employees. The public body shall, prior to entering into the contract or agreement, provide written disclosure to the contractor and any subcontractors of all requirements of this act relevant to the contract or agreement. If it is required that contractors submit bids or other proposals to be considered for the agreement or contract, the public body shall provide the written disclosure to each prospective bidder or other contractor as part of the specifications for bidding or otherwise seeking the contract or agreement for the project. The contractor or subcontractor shall incorporate the terms of the labor harmony agreement in any contract, subcontract, lease, sublease, operating agreement, concessionaire agreement, franchise agreement or other agreement or instrument giving a right to any person or entity to own or operate a hospitality establishment in the covered project.
b. The duration of the labor harmony agreement shall be a period of not less than five years from the date on which the covered project becomes fully operational. The requirement to include a labor harmony agreement shall apply to any successor contractor, or any of its subcontractors, who takes the place of an initial contractor or subcontractor if the replacement occurs during the time in which a public body continues to have a proprietary interest in the project, and duration of the labor harmony agreement with the replacement contractor or subcontractor shall be a period of not less than five years commencing with the date of replacement or the date on which the covered project becomes fully operational, whichever is later.
c. A public body may enter into a contract or agreement with a contractor without entering into a labor harmony agreement only if the public body determines that the covered project would not be able to go forward if a labor harmony agreement is required. Such determination shall only be made after soliciting input from any labor organizations with which a labor harmony agreement would otherwise be required. The determination shall be supported by a written finding by the public body which provides documentation of the specific basis for the determination. The written determination shall be submitted to the commissioner, who shall review the determination and make public a finding on the determination within not more than 15 business days after the submission. If the commissioner approves the determination, the determination shall be, together with the commissioner's statement of approval, included in any public materials provided to any board or agency official in connection with the covered project and maintained and made available to the public by the public body. If the commissioner does not approve the determination, the contract or agreement shall be subject to the requirement of subsection a. of this section to include a precondition that the contractor and all subcontractors of the contractor enter into a labor harmony agreement.
d. The requirements of this act regarding the inclusion of a labor harmony agreement in any agreement or contract for a contractor to undertake a covered project shall not be deemed to unduly restrict competition, and any bidder refusing to comply with the requirements of this act regarding labor harmony agreements shall not be regarded as a responsible bidder. No agreement or contract to undertake a covered hospitality project entered into after the effective date of this act between a public body and a contractor shall be valid or enforceable if it does not comply with the requirements of this act regarding the inclusion of labor harmony agreements.
e. Labor harmony agreements shall not be required by this act with respect to any construction work undertaken in connection with a covered project.
##### **§ 52:39A-4** Submission of evidence to commissioner. {#sec-52-39a-4 omnilex-key=us-nj-statutes--title-52--52:39A-4}
4. Each public body which enters into a contract which is subject to the provisions of this act regarding labor harmony agreements shall submit to the commissioner evidence of an executed labor harmony agreement, and, if the public body determines that a labor harmony agreement will prevent a project from going forward, a copy of the determination and documentation supporting the finding. The public body shall provide, in a timely manner as required by the commissioner, up to date information regarding any changes in the information submitted. The commissioner shall make information submitted pursuant to this section available to the public, and shall provide to the Legislature, and make public, an annual report of all covered hospitality projects, and all instances of public bodies determining not to require labor harmony agreements.
##### **§ 52:39A-5** Rules, regulations. {#sec-52-39a-5 omnilex-key=us-nj-statutes--title-52--52:39A-5}
5. The commissioner shall adopt rules and regulations pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) to effectuate the purposes of this act. These rules and regulations shall provide a model labor harmony agreement, and shall provide remedies and procedures for public bodies to enforce compliance with the provisions of this act and any labor harmony agreement entered into pursuant to this act, including provisions for reimbursement of any costs or damages incurred by the public body in connection with any noncompliance with the provisions of this act or the agreements.
## **Chapter 40**
##### **§ 52:40-1** Findings, declarations relative to the "American Recovery and Reinvestment Act of 2009." {#sec-52-40-1 omnilex-key=us-nj-statutes--title-52--52:40-1}
1. The Legislature finds and declares that all members of the public should be afforded the opportunity to benefit from the federal economic recovery funds provided through the American Recovery and Reinvestment Act of 2009 and associated State spending, and every public contract, whether for construction services, goods, or other services, should provide equal employment opportunities for women and minorities.
##### **§ 52:40-2** Definitions relative to the "American Recovery and Reinvestment Act of 2009." {#sec-52-40-2 omnilex-key=us-nj-statutes--title-52--52:40-2}
2. For the purposes of this act, P.L.2009, c.335 (C.52:40-1 et seq.):
"ARRA" means the federal American Recovery and Reinvestment Act of 2009; and
"Reporting agencies" means the State entities whose performance is monitored by the Division of Public Contracts Equal Employment Opportunity Compliance in the Department of the Treasury.
##### **§ 52:40-3** Meetings. {#sec-52-40-3 omnilex-key=us-nj-statutes--title-52--52:40-3}
3. The Commissioners of the Departments of Community Affairs, Education, Environmental Protection, and Transportation, or their designees; the President of the Board of Public Utilities, or a designee; and the Chief Executive Officers of the Schools Development Authority and the Economic Development Authority, or their designees, shall meet with representatives of the Governor's office, the Department of the Treasury, and the United States Department of Labor's Office of Federal Contract Compliance Programs to ensure that those departments receiving the bulk of federal economic recovery funds provide the United States Department of Labor's Office of Federal Contract Compliance Programs their complete cooperation in complying with its mandates.
##### **§ 52:40-4** Determination of fair employment opportunities for minorities and women. {#sec-52-40-4 omnilex-key=us-nj-statutes--title-52--52:40-4}
4. The Division of Public Contracts Equal Employment Opportunity Compliance in the Department of the Treasury shall be the entity within the Executive Branch responsible for determining whether minorities and women have been offered a fair opportunity for employment on State contracts. Executive Branch departments and agencies, independent authorities, and State colleges and universities are directed to cooperate fully with the Division of Public Contracts Equal Employment Opportunity Compliance's enforcement efforts, consistent with law, and to award public contracts only to those businesses that agree to comply with equal employment opportunity and affirmative action requirements.
##### **§ 52:40-5** Cooperation. {#sec-52-40-5 omnilex-key=us-nj-statutes--title-52--52:40-5}
5. The Division of Public Contracts Equal Employment Opportunity Compliance shall work cooperatively with the United States Department of Labor's Office of Federal Contract Compliance Programs, including sharing its workforce data to the maximum extent permitted by law, to assist the United States Department of Labor's Office of Federal Contract Compliance Programs in its enforcement efforts.
##### **§ 52:40-6** Determination of compliance. {#sec-52-40-6 omnilex-key=us-nj-statutes--title-52--52:40-6}
6. When not restricted by any other State or federal law, the Division of Public Contracts Equal Employment Opportunity Compliance shall determine whether each of the State entities whose performance it monitors have properly allocated and released to the Department of Labor and Workforce Development, as authorized by law, one-half of one percent of the total cost of a construction contract of $1,000,000 or more, to be used by the department for the New Jersey Builders Utilization Initiative for Labor Diversity program to train minorities and women for employment in construction trades. This provision shall apply to those construction contracts when the funding for the contract consists entirely of appropriated funds or a combination of funds from appropriated funds and other sources.
##### **§ 52:40-7** Mandatory contract language. {#sec-52-40-7 omnilex-key=us-nj-statutes--title-52--52:40-7}
7. All construction contracts entered into and funded, in whole or in part, by the State shall include mandatory equal employment opportunity and affirmative action contract language that requires contractors to make a good faith effort to recruit and employ minorities and women as required by the provisions of the regulations promulgated in the New Jersey Administrative Code, including but not limited to N.J.A.C.17:27-3.6 to 3.8, and 17:27-7.3 and 7.4. As to the portion of each contract that is State funded, the language of the contract shall provide that payment may be withheld for failure of the contractor to demonstrate to the satisfaction of the reporting agency that the required good faith effort was made. Failure of a contractor to satisfy the good faith effort requirement of its contract may also subject it to assessments imposed pursuant to findings of the Division of Public Contracts Equal Employment Opportunity Compliance, in accordance with administrative regulation N.J.A.C. 17:27-10.
##### **§ 52:40-8** Posting of job openings, exceptions. {#sec-52-40-8 omnilex-key=us-nj-statutes--title-52--52:40-8}
8. Except as described in subsections a. and b. of this section, each Executive Branch agency that is a recipient of federal economic recovery funds pursuant to the American Recovery and Reinvestment Act of 2009 shall include in any contract, grant, or agreement funded in whole or in part with funds from the American Recovery and Reinvestment Act of 2009 a clause requiring subrecipients, contractors, subcontractors, local education agencies, and vendors to post all job openings created pursuant to the contract, grant, or agreement on the State's Job Bank at least 14 days before hiring is to commence. The clause shall state: "Since the funds supporting this contract, grant, or agreement are provided through the American Recovery and Reinvestment Act of 2009 (ARRA), the subrecipient, contractor, subcontractor, local education agency, or vendor will post any jobs that it creates or seeks to fill as a result of this contract, grant, or agreement. The subrecipient, contractor, subcontractor, local education agency, or vendor shall post jobs to the New Jersey State Job Bank by submitting a job order using the form available on the Internet, notwithstanding any other posting the subrecipient, contractor, subcontractor, local education agency, or vendor might make. Any advertisements posted by the subrecipient, contractor, subcontractor, local education agency, or vendor for positions pursuant to this contract, grant, or agreement must indicate that the position is funded with ARRA funds."
a. Posting shall not be required when the employer intends to fill the job opening with a present employee, a laid-off former employee, or a job candidate from a previous recruitment, when pre-existing, legally binding collective bargaining agreements provide otherwise, or when an exception has been granted to the reporting agency by the Department of Labor and Workforce Development.
b. Nothing in this act, P.L.2009, c.335 (C.52:40-1 et seq.), shall be interpreted to require the employment of apprentices if such employment may result in the displacement of journey workers employed by any employer, contractor or subcontractor.
##### **§ 52:40-9** Job postings encouraged for local government entities, education agencies, New Jersey employers. {#sec-52-40-9 omnilex-key=us-nj-statutes--title-52--52:40-9}
9. All local government entities and local education agencies that have received or will receive directly from a federal agency federal economic recovery funds are encouraged but not mandated to require their contractors and subcontractors to post job openings on the State's Job Bank at least 14 days before hiring is to commence.
All New Jersey employers that enter into contracts funded with funds from the American Recovery and Reinvestment Act of 2009 received by a local government entity or a local education agency directly from a federal agency are encouraged but not mandated to post job openings created pursuant to the American Recovery and Reinvestment Act of 2009.
##### **§ 52:40-10** Required contractual language. {#sec-52-40-10 omnilex-key=us-nj-statutes--title-52--52:40-10}
10. The Division of Development for Small Businesses, and Women's and Minority Businesses shall send to the reporting agencies required contractual language. The Division of Development for Small Businesses and Women's and Minority Businesses shall work with each reporting agency to ensure the reporting of and compliance with contract-specific contracting and subcontracting goals for the reporting agency that are consistent with the availability percentages set forth.
##### **§ 52:40-11** Responsibilities of reporting agency. {#sec-52-40-11 omnilex-key=us-nj-statutes--title-52--52:40-11}
11. Each reporting agency shall:
a. Inform the Division of Development for Small Businesses, and Women's and Minority Businesses of contracting opportunities at the same time that it advertises or otherwise posts public notices of such opportunities, via consistent and timely upload of all-inclusive information to the bid opportunities database services managed by the Division of Development for Small Businesses, and Women's and Minority Businesses. All pre-bid requirements shall be prominently advertised at the time of uploading to the Division of Development for Small Businesses, and Women's and Minority Businesses;
b. Actively and regularly use the databases and other on-line services managed and operated by the Division of Development for Small Businesses, and Women's and Minority Businesses to identify additional potential bidders. The ongoing use of these resources by buyers, procurement agents, and other purchasing staff shall be closely monitored by the reporting agency's senior management;
c. Contact the businesses identified in the Division of Development for Small Businesses, and Women's and Minority Businesses's databases and on-line services to provide them with notice of the contracting opportunities available through the reporting agency; and
d. Report to the Division of Development for Small Businesses, and Women's and Minority Businesses all payments and awards prime contractors have issued to subcontractors, identifying payments and awards to minority and women-owned businesses on at least a quarterly basis.
##### **§ 52:40-12** Incorporation of certain language into contracts. {#sec-52-40-12 omnilex-key=us-nj-statutes--title-52--52:40-12}
12. To the maximum extent practicable, and when not restricted by any other State or federal law, each reporting agency shall incorporate the substance of required contractual language regarding small businesses into its contracts, while continuing to follow the State and federal laws and regulations governing its contracting and procurement practices.
##### **§ 52:40-13** Policies relative to subcontractors, subconsultants, vendors. {#sec-52-40-13 omnilex-key=us-nj-statutes--title-52--52:40-13}
13. Each reporting agency shall, when substitution of subcontractors or sub-consultants is permitted, promulgate policies governing the circumstances under which contractors or consultants may substitute subcontractors or sub-consultants named in bid proposals or otherwise identified as small or women or minority-owned business subcontractors, sub-consultants, or vendors. The substitution policies shall provide that:
a. The contractor or consultant shall notify and obtain approval from a small or women or minority-owned business subcontractor, sub-consultant, or vendor before including that contractor in a bid proposal or similar contract-related submission;
b. The contractor or consultant shall notify and obtain authorization from the reporting agency before it substitutes a small or women or minority-owned business subcontractor, sub-consultant, or vendor named in a bid proposal or other contract-related submission; and
c. If the substitution is approved, the contractor or consultant shall make a good faith effort to utilize another small or women or minority-owned business subcontractor, sub-consultant, or vendor in place of the previous small or women or minority-owned business subcontractor, sub-consultant, or vendor.
##### **§ 52:40-14** Reports. {#sec-52-40-14 omnilex-key=us-nj-statutes--title-52--52:40-14}
14. Each reporting agency shall report to the Division of Development for Small Businesses, and Women's and Minority Businesses when it incorporates required language in its contracts. It shall also report to the Division of Development for Small Businesses, and Women's and Minority Businesses when it has adopted a substitution policy, when such policy is permitted. The Division of Development for Small Businesses, and Women's and Minority Businesses shall report on the number of reporting agencies that have modified their contracts and adopted a substitution policy at three-month intervals until all of the reporting agencies have completed incorporation of contractual language as may be required and promulgated and, when legally permitted, adoption of the substitution policy.
##### **§ 52:40-15** Cooperation with recipients of funding. {#sec-52-40-15 omnilex-key=us-nj-statutes--title-52--52:40-15}
15. The Department of Labor and Workforce Development shall work together with all other reporting agencies that will receive funding from the American Recovery and Reinvestment Act of 2009 and with the representatives of the United States Environmental Protection Agency, the Federal Departments of Labor, Energy, Transportation, and Housing and Urban Development, and any other federal agencies distributing funds from the American Recovery and Reinvestment Act of 2009 to:
a. Coordinate with labor unions that will aggressively recruit minorities and women for apprenticeships and training opportunities;
b. Increase outreach to and enrollment of minorities and women in apprenticeship, training, and related programs; and
c. Ensure that, to the greatest extent possible under the law, minorities and women apprentices and trainees are working on State and ARRA-funded work sites.
##### **§ 52:40-16** Increased engagement with certain banks, credit unions. {#sec-52-40-16 omnilex-key=us-nj-statutes--title-52--52:40-16}
16. The New Jersey Department of the Treasury and other departments, agencies, and independent authorities shall, consistent with law, take steps to increase their engagement of small, minority, or women-owned or controlled banks and credit unions to meet their financial services needs.
##### **§ 52:40-17** Interpretation as compliance with federal law. {#sec-52-40-17 omnilex-key=us-nj-statutes--title-52--52:40-17}
17. Nothing in P.L.2009, c.335 (C.52:40-1 et seq.) shall modify existing law, State or federal, or authorize a reporting agency to amend, modify, or otherwise alter pre-existing legal obligations. P.L.2009, c.335 (C.52:40-1 et seq.) shall be interpreted consistently with the American Recovery and Reinvestment Act of 2009, and the federal regulations and guidelines governing its implementation, and in the event of a conflict between P.L.2009, c.335 (C.52:40-1 et seq.) and federal law governing the American Recovery and Reinvestment Act of 2009, P.L.2009, c.335 (C.52:40-1 et seq.) shall be interpreted to comply with federal law.
##### **§ 52:40-18** Rules, regulations. {#sec-52-40-18 omnilex-key=us-nj-statutes--title-52--52:40-18}
18. The Division of Public Contracts Equal Employment Opportunity Compliance shall promulgate rules and regulations to effectuate the purposes of this act, P.L.2009, c.335 (C.52:40-1 et seq.), that are consistent with Executive Order No. 151 (2009) and its appendices.
##### **§ 52:40-19** Preparation of contracting guide. {#sec-52-40-19 omnilex-key=us-nj-statutes--title-52--52:40-19}
19. Within 90 days of the effective date of this act, P.L.2009, c.335 (C.52:40-1 et seq.), the Division of Development for Small Businesses and Women's and Minority Businesses shall prepare a contracting guide identifying the management practices that have the greatest success in: increasing the number of small and minority and women-owned businesses made aware of contracting opportunities with the State; and increasing the number of such businesses competing for contracts with the State or subcontracts with entities contracting with the State. As soon as practicable thereafter, the Division of Development for Small Businesses and Women's and Minority Businesses shall distribute the contracting guide to the reporting agencies.
##### **§ 52:40-20** Implementation of provisions. {#sec-52-40-20 omnilex-key=us-nj-statutes--title-52--52:40-20}
20. As soon as practicable after its receipt of the contracting guide, each reporting agency shall implement those provisions that it views as most likely to have the greatest impact in increasing contracting opportunities for small and minority and women-owned businesses.
##### **§ 52:40-21** Reports. {#sec-52-40-21 omnilex-key=us-nj-statutes--title-52--52:40-21}
21. Within 15 months of the effective date of this act, P.L.2009, c.335 (C.52:40-1 et seq.), the Division of Development for Small Businesses and Women's and Minority Businesses and the Division of Public Contracts Equal Employment Opportunity Compliance shall each prepare a report describing the reporting agencies' implementation of this act. The Division of Development for Small Businesses and Women's and Minority Businesses and the Division of Public Contracts Equal Employment Opportunity Compliance each shall prepare a second report within 12 months of issuing its first report.Continue your research in ChatGPT or Claude
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