LEGISLATIVE FISCAL ESTIMATE

[Second Reprint]

ASSEMBLY, No. 1663

STATE OF NEW JERSEY

219th LEGISLATURE

 

DATED: MAY 28, 2021

 

 

SUMMARY

 

Synopsis:

Establishes "New Jersey Nonprofit Security Grant Program."

Type of Impact:

State Expenditure Increase, General Fund.

Agencies Affected:

Department of Law and Public Safety.

 

Office of Legislative Services Estimate

Fiscal Impact

Year 1 

Year 2 

Year 3 

 

State Cost Increase

Indeterminate

 

 

 

 

·         The Office of Legislative Services (OLS) finds the cost of this legislation to be indeterminate.  While the bill requires the Office of Homeland Security and Preparedness (OHSP), in, but not of, the Department of Law and Public Safety to annually request an appropriation of at least $2 million to fund and administer the program, it is uncertain how many eligible nonprofit organizations will apply for funding and demonstrate certain security needs.

·         The OLS notes the bill would make permanent the New Jersey Nonprofit Security Grant Program (NJNSGP), a three-year pilot program established in the OHSP in 2017.  

·         The bill requires the OHSP to provide to eligible nonprofit organizations maximum grants of up to $10,000 to hire permanent or temporary security personnel and up to $50,000 to acquire target hardening equipment for the purpose of preparing against threats, attacks, or other violent acts.  Five percent of the appropriated funds are to be allocated to the OHSP for administration of the grant program.  The OLS notes these provisions are consistent with requirements in the expired three-year pilot program.

 

BILL DESCRIPTION

 

      This bill makes permanent the New Jersey Nonprofit Security Grant Program in the Office of Homeland Security and Preparedness, which pursuant to P.L.2017, c.246 expired in January 2020.

      This bill directs the NJNSGP to provide grants out of any annually appropriated funds to eligible nonprofit organizations at the greatest risk of attack (1) to hire certain permanent or temporary security personnel, and (2) for acquisition of certain target hardening equipment.

      The bill requires the OHSP to request annually as part of its budget proposal a minimum of $2,000,000 to fund the NJNSGP. The NJNSGP shall award grants of up to $10,000 for nonprofit organizations to hire permanent or temporary security personnel for the purpose of preparing against threats, attacks, or other violent acts.  Security personnel under the bill include federal, State, county, and municipal law enforcement officers, special law enforcement officers, and licensed security officers.  In addition, the bill authorizes awards grants of up to $50,000 for nonprofit organizations to acquire target hardening equipment.  The bill requires that any funds distributed under the program are not to be utilized for travel or security investments made outside the State.

      Applicants for grants from the program are permitted to apply for either security personnel or equipment grants, or both, in each year of the program, but OHSP may only award funds for either security personnel or equipment in a fiscal year.  The grant may be used by the applicant to hire security personnel for an event in the State primarily organized by the applicant away from the applicant’s physical location as recorded on the grant application and for which the applicant bears legal liability.  To receive a grant, the applicant is to be evaluated as to whether it is at high risk for a terrorist attack, threats, domestic extremism, and other violent acts.

      The OHSP is to assign a preference for applicants who have not received either a federal or State security grant in the last two grant cycles.

 

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      None received.

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS finds the cost of this legislation to be indeterminate. While the bill requires the OHSP to request annually an appropriation of at least $2 million to fund and administer the program, it is uncertain how many eligible nonprofit organizations will continue to apply for funding and demonstrate certain security needs.

      In the Governor’s FY 2022 Budget, a $2.750 million appropriation has been recommended toward New Jersey Nonprofit Security Grants.  In FY 2021, $1.153 million was allocated. According to the department, of the FY 2020 applicants there were 51 security personnel awardees totaling $508,000 and ten target hardening awardees totaling $492,000. It appears that the FY 2020 unexpended balance was carried forward into FY 2021.

 

 

Section:

Law and Public Safety

Analyst:

Kristin Brunner Santos

 

Lead Fiscal Analyst

Approved:

Thomas Koenig

Legislative Budget and Finance Officer

 

 

This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note.

 

This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).