The bill authorizes the New Jersey Infrastructure Bank (NJIB) to allocate up to $2.73 billion for loans to local government units and public water utilities for environmental infrastructure projects during the fiscal year 2025. This funding is aimed at supporting the construction costs of various projects, including those related to clean and drinking water systems. The bill also allows for the inclusion of capitalized interest, accrued interest from short-term loans, and administrative expenses in the total loan amounts, thereby increasing the financial resources available for these initiatives. Additionally, it permits the transfer of funds from various trust funds to ensure adequate support for drinking water and clean water projects.

Moreover, the bill outlines provisions for supplemental loans to project sponsors, prioritizing funding based on project compliance and available resources. It establishes eligibility criteria for local government units to access funding from the "Pinelands Infrastructure Trust Fund" and includes specific allocations for projects related to "Storm Sandy" recovery efforts. The NJIB is granted the authority to transfer funds between State accounts to meet federal funding requirements under the Clean Water Act and Safe Drinking Water Act, while also allowing for the allocation of funds to cover its operating expenses. Overall, the bill emphasizes the importance of maintaining and improving environmental standards in New Jersey through effective financial mechanisms and regulatory compliance.