Sponsored by:
Assemblyman ROY FREIMAN
District 16 (Hunterdon, Mercer, Middlesex and Somerset)
SYNOPSIS
Prohibits certain State appropriations for Fiscal Years 2026 and 2027 from exceeding State appropriations for Fiscal Year 2025.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning limitations on certain State appropriations for Fiscal Years 2026 and 2027 and supplementing Title 52 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. Except as otherwise provided in subsection b. of this section, for State Fiscal Years 2026 and 2027 respectively, the total amounts appropriated from the State General Fund, Casino Control Fund, Casino Revenue Fund, and Gubernatorial Elections Fund shall not exceed the total appropriations from those funds in State Fiscal Year 2025.
b. The limitations set forth in subsection a. of this section shall not apply to any amounts appropriated:
(1) as State aid for school districts, municipalities and counties;
(2) from money received or reasonably anticipated to be received by the State from the federal government;
(3) for such State government payments as may be required by law for the State-administered retirement systems;
(4) for the payment of State capital construction projects, including, but not limited to, appropriations of State revenue credited to the Transportation Trust Fund Account, established pursuant to section 20 of P.L.1984, c.73 (C.27:1B-20), and appropriations for the planning, acquisition, engineering, construction, reconstruction, repair, and rehabilitation of the transportation system in this State;
(5) for the payment of interest and principal due on any general obligation bonds or appropriations-backed bonds;
(6) for purposes of war, to repel an invasion, to suppress an insurrection, or to meet an emergency caused by disaster or act of God, but not including money for routine personnel costs and operations historically funded as part of the annual appropriations act for the support of the State government; and
(7) from the Property Tax Relief Fund established by N.J.S.54A:9-25.
2. This act shall take effect immediately.
STATEMENT
This bill would institute a cap on total State appropriations for Fiscal Years 2026 and 2027 based on the amounts appropriated for Fiscal Year 2025.
Specifically, the bill provides that the total amounts appropriated from the State General Fund, Casino Control Fund, Casino Revenue Fund, and Gubernatorial Elections Fund in Fiscal Years 2026 and 2027 may not exceed the total appropriations for Fiscal Year 2025.
The bill provides exemptions from the appropriations cap for any amounts appropriated:
(1) for State aid to school districts, municipalities and counties;
(2) from federal funds;
(3) for such State government payments as may be required by law for the State-administered retirement systems;
(4) for State capital construction projects, including the appropriation of monies from the Transportation Trust Fund;
(5) for the payment of debt service on any general obligation or appropriations-backed bonds;
(6) for purposes of war, to repel an invasion, to suppress an insurrection, or to meet an extraordinary emergency caused by a disaster or act of God, excluding routine personnel costs and operations; and
(7) from the Property Tax Relief Fund.