This bill establishes a grant program within the Department of Environmental Protection (DEP) to support municipalities in planning and designing water infrastructure projects. The program aims to alleviate the upfront costs associated with these projects, thereby facilitating better access to federal and state funding. To qualify for a grant, a planning and design project must be linked to a water infrastructure project eligible for financing under the New Jersey Environmental Infrastructure Financing Program. The maximum grant amount is set at $2 million, and municipalities will not be required to provide matching funds. Additionally, priority will be given to projects located in overburdened communities.

The bill appropriates $100 million from the General Fund to fund this grant program. The DEP is tasked with developing guidelines for grant applications, establishing evaluation criteria, and monitoring compliance with grant conditions. Furthermore, the DEP is required to report annually to the Governor and the Legislature on the program's effectiveness in achieving its intended goals. The bill is designed to enhance municipal capabilities in upgrading water infrastructure, ultimately benefiting communities across New Jersey.