The bill requires the New Jersey Department of Environmental Protection (DEP) and the New Jersey Infrastructure Bank (I-Bank) to prioritize principal forgiveness for loans issued to municipalities located in coastal areas for environmental infrastructure projects. This initiative is designed to assist these municipalities in financing essential projects related to wastewater and drinking water, which are vital for environmental sustainability and public health. The bill defines "coastal area" in accordance with existing law and aims to alleviate the financial burden on these communities by allowing for loan forgiveness.

Furthermore, the bill amends Section 9 of P.L.1985, c.334 (C.58:11B-9) to include provisions for principal forgiveness in loans made to local government units and public water utilities. It also establishes guidelines for short-term supplemental loans under the Interim Transportation Financing Program, stipulating that these loans cannot extend beyond the last day of the third succeeding fiscal year after the loan closing. Only projects listed in the Interim Transportation Financing Program Project Priority List are eligible for funding, which must be submitted to the Legislature annually, with the trust permitted to revise the list up to four times a fiscal year.

Statutes affected:
Introduced: 58:11B-9