This bill establishes a Rent Control Enforcement Unit (RCEU) within the New Jersey Department of Community Affairs (DCA) to oversee and enforce local rent restrictions. It allows residential tenants to petition the RCEU to investigate and potentially modify rent increases they believe violate these restrictions. The RCEU will be responsible for receiving these petitions, enforcing penalties against landlords for violations, and providing resources such as a dedicated helpline and an online portal for tenants to report issues. The penalties that the RCEU can impose include mandatory rent reductions, financial penalties up to four months of rent, or allowing tenants to terminate their leases early.

Additionally, the bill creates a special nonlapsing fund, the "Rent Control Enforcement Fund," to support the administration and enforcement of the RCEU's activities, with an initial appropriation of $3 million from the General Fund. The legislation mandates that the Commissioner of Community Affairs appoint the director of the RCEU and adopt necessary rules and regulations within five months of enactment. The bill emphasizes that tenants must first exhaust other administrative challenges available through their municipality before approaching the RCEU. Overall, the bill aims to enhance tenant protections and ensure compliance with local rent control laws.