This bill authorizes the New Jersey Infrastructure Bank (NJIB) to allocate up to $13,093,000 for low-interest loans to local government units for specific hazard mitigation and resilience projects under the Community Hazard Assistance Mitigation Program (CHAMP) for fiscal year 2027. The funding is part of the implementation of the CHAMP program, which was established to align with the federal Safeguarding Tomorrow through Ongoing Risk Mitigation Act (STORM Act). The NJIB is also permitted to utilize loan repayments and accrued interest from previous loans to support the CHAMP program, as well as various funds generated from its operations to cover its operating expenses for FY2027.

Additionally, the bill outlines the conditions under which loans will be made, including compliance certifications, repayment terms, and the ability for the NJIB to adjust loan amounts based on project costs. The eligibility for loans and the authorization for their issuance will expire on July 1, 2027, ensuring that project sponsors must execute loan agreements by that date to secure funding. The bill aims to enhance the financial support available for local governments undertaking critical hazard mitigation projects, thereby promoting resilience against future risks.