The bill amends existing law regarding the appropriation of funds for environmental infrastructure projects in New Jersey, specifically under the FY2025 environmental infrastructure funding program. It authorizes the Department of Environmental Protection (DEP) to utilize various funding sources, including the "Clean Water State Revolving Fund" and the "Drinking Water State Revolving Fund," for clean water and drinking water project loans and technical assistance. Key provisions include the DEP's ability to transfer funds between the Clean Water and Drinking Water State Revolving Funds to address public health threats, as well as the option to charge interest on loans made with invested funds. The bill also allows for zero-interest and principal-forgiveness loans to local government units or public water utilities, particularly focusing on assisting disadvantaged communities.

Additionally, the bill outlines significant financial support for various environmental infrastructure projects, including combined sewer overflow (CSO) projects and drinking water systems. It allocates up to $20 million in principal forgiveness for CSO projects aimed at reducing discharges and designates up to $30 million for projects meeting affordability criteria. The legislation emphasizes the importance of affordability and prioritizes high-ranking projects, while also establishing eligibility lists and setting a deadline for project sponsors to execute loan agreements. Overall, the bill aims to enhance financial support for critical water infrastructure projects while ensuring compliance with federal guidelines and existing laws.