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 part of the New Jersey Environmental Infrastructure Financing Program (NJEIFP) and includes provisions for supplemental loans aimed at improving water discharge and treatment systems, as well as drinking water systems. The bill also appropriates up to $1.5 billion for short-term loans to project sponsors on specific priority lists and allows the NJIB to provide debt service reserves or guarantees to enhance loan eligibility.

Additionally, the bill grants the NJIB the authority to transfer funds between various State accounts to support the NJEIFP and ensure compliance with federal funding requirements under laws such as the Clean Water Act and Safe Drinking Water Act. It establishes specific requirements for loans, allowing the NJIB to adjust loan amounts based on certain conditions and allocate funds for its operating expenses. Overall, the legislation aims to enhance New Jersey's environmental infrastructure, emphasizing the importance of these improvements for public health and environmental sustainability.