ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

ASSEMBLY, No. 2183

with Assembly committee amendments

STATE OF NEW JERSEY

DATED: DECEMBER 9, 1996

      The Assembly Appropriations Committee reports favorably Assembly Bill No. 2183, with committee amendments.

      Assembly Bill No. 2183, as amended, establishes the American Red Cross-NJ Fund and provides for a checkoff on the State gross income tax return to permit taxpayers to make voluntary contributions to the fund to support its services.

      The American Red Cross is a worthy organization which helps advance living standards in modern society as well as preventing disasters and assisting in disaster relief. The American Red Cross also collects and distributes much needed blood for people harmed by natural disasters. It serves food and gives shelter and clothing where needed. Net contributions from this fund will be distributed to the Red Cross chapters throughout the State by the NJ Capital Area Chapter.

FISCAL IMPACT:

      In fiscal notes on similar legislation, it was stated that the donations made are voluntary and will have no impact on the General Fund. Current law provides for a tax checkoff for the Endangered Wildlife Fund, the Childrens' Trust Fund, the Vietnam Veterans' Memorial Fund, The Breast Cancer Research Fund, and the Battleship New Jersey Memorial Fund. According to departmental sources, the checkoff provisions resulted in the following amounts of contributions for tax returns filed in 1996 for tax year 1995: $367,632 for Endangered Wildlife; $305,690 for the Children's Trust Fund; and $162,223 for the Vietnam Veterans' Memorial. The Breast Cancer Fund and Battleship New Jersey Memorial checkoffs will appear for the first time on the 1996 gross income tax return to be filed in 1997.

COMMITTEE AMENDMENTS:

      The amendments make clarifying changes to the name of the fund and to the specific Red Cross chapter which will distribute the contributions made to this fund.