LEGISLATIVE FISCAL ESTIMATE
[Second Reprint]
SENATE, No. 2857
STATE OF NEW JERSEY
220th LEGISLATURE
DATED: JULY 6, 2023
SUMMARY
Synopsis: Establishes “Sustainable New Jersey Fund” in DEP to support certain
sustainability initiatives; appropriates $1 million.
Type of Impact: Annual State expenditure increases. Annual revenue and cost
increases to public institutions of higher education.
Agencies Affected: Department of Environmental Protection; Public institutions of higher
education.
Office of Legislative Services Estimate
Fiscal Impact Year 1 Annually Thereafter
State Cost Increase Up to $1 million Indeterminate
Public Institution of Higher Education
Revenue Increase Up to $1 million Indeterminate
Public Institution of Higher Education
Cost Increase Up to $1 million Indeterminate
 The Office of Legislative Services (OLS) concludes that the bill may result in a State
expenditure increase of up to $1 million in the first year the bill is in effect. The Department
of Environmental Protection will incur costs relating to the Sustainable New Jersey Fund
established by the bill. If the full $1 million is not expended in the first year, the residual
amount will be spent in subsequent fiscal years until the full $1 million is exhausted.
 The bill requires the moneys from the Sustainable New Jersey Fund to be distributed to a public
institution of higher education which has a partnership with a qualified nonprofit organization
and then requires the public institution of higher education to distribute the moneys to the
qualified nonprofit organization, resulting in both a revenue and cost increase to the public
institution of higher education.
 The bill also requires the Legislature to annually appropriate an unspecified amount to the
Sustainable New Jersey Fund in subsequent fiscal years, which amount the OLS is unable to
predict.
Office of Legislative Services Legislative Budget and Finance Office
State House Annex Phone (609) 847-3105
P.O. Box 068 Fax (609) 777-2442
Trenton, New Jersey 08625 www.njleg.state.nj.us
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BILL DESCRIPTION
The bill establishes the Sustainable New Jersey Fund in the Department of Environmental
Protection, makes an appropriation of $1 million to the fund for the current fiscal year, and directs
the Legislature to annually appropriate additional moneys to the fund.
Under the bill, the Department of Environmental Protection is required to annually distribute
money in the fund to a public institution of higher education that has an existing contractual
relationship with a qualified nonprofit organization, as defined in the bill, that offers certifications
and grants to municipalities and public schools across the State in support of efforts to realize
environmental, economic, and social sustainability. The public institution of higher education is
to be required to distribute the funds to the qualified nonprofit organization to support the provision
of the certification and grants. Under the bill, the fund is required to be annually credited with
money appropriated by the Legislature, which moneys are required to be disbursed to the public
institution of higher education partnered with a qualified nonprofit organization.
Under the bill, the qualified nonprofit organization that receives moneys pursuant to the
provisions of the bill is to be treated as that a public institution of higher education for the purposes
of complying with the public bidding requirements of the Local Public Contracts Law or the Public
School Contracts Law, when contracting with a municipality, school, school district, and other
State or local government contracting agency for services, certification processes, support
initiatives, or grants under the bill.
FISCAL ANALYSIS
EXECUTIVE BRANCH
None received.
OFFICE OF LEGISLATIVE SERVICES
The OLS concludes that the bill may result in a State expenditure increase of up to $1 million
in the first year the bill is in effect. The Department of Environmental Protection will incur costs
relating to the Sustainable New Jersey Fund established by the bill. If the full $1 million is not
expended in the first year, the residual amount will be spent in subsequent fiscal years until the
full $1 million is exhausted. The bill requires the moneys from the Sustainable New Jersey Fund
to be distributed to a public institution of higher education which has a partnership with a qualified
nonprofit organization and then requires the public institution of higher education to distribute the
moneys to the qualified nonprofit organization, resulting in both a revenue and cost increase to the
public institution of higher education. The bill also requires the Legislature to annually appropriate
an unspecified amount to the Sustainable New Jersey Fund in subsequent fiscal years, which
amount the OLS is unable to predict.
Municipalities and public schools may also see an increase in revenue in the form of receipt of
grant assistance through the qualified nonprofit organization. This assistance may result in cost
decreases to the municipalities and public schools due to sustainability gains or reduced consulting
costs through the qualified nonprofit organization.
The Department of Environmental Protection is also expected to incur costs associated with
administering the Sustainable New Jersey Fund.
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Section: Local Government
Analyst: Abigail Stoyer
Associate Fiscal Analyst
Approved: Thomas Koenig
Legislative Budget and Finance Officer
This legislative fiscal estimate has been produced by the Office of Legislative Services due to the
failure of the Executive Branch to respond to our request for a fiscal note.
This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).