LEGISLATIVE FISCAL ESTIMATE
SENATE, No. 2452
STATE OF NEW JERSEY
218th LEGISLATURE
DATED: AUGUST 22, 2018
SUMMARY
|
Synopsis: |
Provides for increase in allowance paid to veterans with certain wartime service-connected disabilities. |
|
Type of Impact: |
Expenditure increase to the State General Fund. |
|
Agencies Affected: |
Department of Military and Veterans Affairs. |
|
Fiscal Impact |
FY 2019 |
FY 2020 |
FY 2021 |
|
|
State Cost |
108,150* |
216,300 |
216,300 |
|
|
|
|
|||
* With a January 1, 2019 effective date.
· This bill increases from $750 to $1,800 the annual allowance paid to veterans with certain wartime service-connected disabilities.
· As of July 2018, there were 206 blind and otherwise disabled veterans receiving an allowance under the Blind Veterans’ Allowance Program, the Paraplegic and Hemiplegic Veterans’ Allowance Program, or both. Veterans may be eligible for both allowance payments. Five of the 206 are receiving both allowances.
· The total cost to provide 206 annual allowances at a $1,800 level to eligible blind and disabled veterans is estimated to be $370,800. The increase in the allowance as provided for in this bill is $1,050 ($1,800 - $750) per eligible veteran. Thus, this bill would increase the State’s cost to provide an annual allowance to veterans with certain wartime service-connected disabilities by $216,300, assuming 206 allowances. Costs would be higher or lower each year depending upon the number of veterans who are eligible to receive the allowance.
BILL DESCRIPTION
This bill would increase the annual payments by the State to veterans with certain wartime service-connected disabilities to $1,800. Currently, a blind veteran receives $750 annually under the Blind Veterans’ Allowance Program. This amount has not been changed since 1971. A veteran with certain other disabilities also receives $750 annually under the Paraplegic and Hemiplegic Veterans’ Allowance Program. This amount has not been changed since 1981. This bill would increase the annual payments to $1,800.
FISCAL ANALYSIS
EXECUTIVE BRANCH
None received
OFFICE OF LEGISLATIVE SERVICES
This bill would increase the annual payments by the State to veterans with certain wartime service-connected disabilities to $1,800.
As of July 2018, there were 206 blind and otherwise disabled veterans receiving an allowance under the Blind Veterans’ Allowance Program, the Paraplegic and Hemiplegic Veterans’ Allowance Program, or both. Veterans may be eligible for both allowance payments and five of the 206 are receiving both allowances.
The total cost to provide 206 annual allowances at a $1,800 level to eligible blind and disabled veterans is estimated to be $370,800. The increase in the allowance as provided for in this bill is $1,050 ($1,800 - $750) per eligible veteran. Thus, this bill would increase the State’s cost to provide an annual allowance to veterans with certain wartime service connected disabilities by $216,300.
Costs would be higher or lower each year depending upon the number of veterans who are eligible to receive the allowance. The OLS notes although there have been fewer blind and disabled veterans receiving these allowances over the past year, depending on military activity, the downward trend could change in the future.
|
Section: |
|
|
Analyst: |
Lead Counsel |
|
Approved: |
Frank W. Haines III Legislative Budget and Finance Officer |
This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).