ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

SENATE, No. 3501

STATE OF NEW JERSEY

DATED:  DECEMBER 13, 2021

      The Assembly Appropriations Committee reports favorably Senate Bill No. 3501.

      This bill exempts from coverage under the "unemployment compensation law," R.S.43:21-1 et seq., any services provided by a commercial fisherman whose compensation is comprised solely of a percentage of fish caught or a percentage of the proceeds from the sale of the catch.  The exempted commercial fisherman would not be subject to unemployment insurance (UI) taxes and not be eligible for UI benefits.

      As reported by the committee, Senate Bill No. 3501 is identical to Assembly Bill No. 5531 which was also reported by the committee on this date.

FISCAL IMPACT:

      The Office of Legislative Services (OLS) notes that the bill will result in annual indeterminate, likely marginal, decreases in revenues and expenditures to the Unemployment Compensation (UI) Fund.  The revenue and expenditure decreases will be realized by exempting commercial fishermen, whose compensation is comprised solely of a percentage of fish caught or a percentage of the proceeds from the sale of the catch, from UI compensation benefits and also exempting them from liability to UI taxes.  The OLS also notes that the bill may potentially decrease revenues and expenditures to the State Disability Benefit Fund by an indeterminate and nominal amount.