ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

[First Reprint]

ASSEMBLY, No. 5444

with committee amendments

STATE OF NEW JERSEY

DATED:  MARCH 17, 2021

      The Assembly Appropriations Committee reports favorably Assembly Bill No. 5444 (1R), with committee amendments.

      As amended, this bill makes $35 million in federal funds available to the Economic Development Authority (EDA) to award grants to restaurants and bars with 50 or fewer employees and who are in need of support as a result of the public health crisis.  The EDA may use up to five percent of these funds to support administrative expenses.

      The bill also allows the EDA to transfer the uncommitted balance of these funds to certain other programs administered by the authority using federal COVID-19 response funding.  However, the EDA would be required to submit notice of the transfer to the Joint Budget Oversight Committee.

COMMITTEE AMENDMENTS:

      The committee amended the bill to:

      (1)  reduce from 100 to 50 the maximum number of employees who may be employed by an eligible food and beverage establishment;

      (2)  allow the EDA to use up to five percent of the federal funds to support administrative expenses incurred in the implementation of the bill; and

      (3)  allow the EDA to transfer the uncommitted balance of federal funds to certain other programs administered by the authority using federal COVID-19 response funding, provided that the EDA submit notice to the Joint Budget Oversight Committee.

FISCAL IMPACT:

      This bill is not certified as requiring a fiscal note.