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 treatment systems, water supply, and stormwater management, which are vital for maintaining environmental standards and public health in coastal regions. The bill defines "coastal area" in accordance with existing law and aims to enhance financial support through the State's Water Bank program, which typically offers low-interest loans with potential principal forgiveness.

To facilitate this support, the bill amends Section 9 of P.L.1985, c.334 (C.58:11B-9) to allow the trust to provide loans and assistance to local government units and consortia for various environmental and infrastructure projects. It establishes special funds, including the "Interim Environmental Financing Program Fund" and the "Interim Transportation Financing Program Fund," to enable short-term loans for these projects. The bill also outlines the procedures for supplemental loans under the Interim Transportation Financing Program, specifying eligibility criteria and the process for maintaining an updated Project Priority List, which must be submitted to the Legislature annually.

Statutes affected:
Introduced: 58:11B-9