Bill

Bill > S1411


NJ S1411

NJ S1411
Requires stress testing on State's ability to provide services in various economic conditions.


summary

Introduced
01/09/2024
In Committee
01/30/2025
Crossed Over
01/30/2025
Passed
Dead
01/12/2026

Introduced Session

2024-2025 Regular Session

Bill Summary

This bill requires the Department of the Treasury to, once every third year, conduct and report on a stress test analysis of the State's ability to maintain services and provide necessary assistance to residents in various economic conditions. The stress test analyses required by this bill would include: (1) long- and short-term projections of major funding sources, including revenues from major taxes and funding from the federal government; (2) a comparison between projections of major funding sources and historical trends for each of those funding sources; (3) an analysis of expenditures that are likely to increase or decrease in various economic conditions; (4) an accounting of the State's reserves, including amounts deposited into the "Surplus Revenue Fund"; and (5) options that the State has to respond to, and lessen the negative impact of, economic recessions. Under the bill, the Department of the Treasury is required to make the stress test analyses publicly accessible on its website, and include it as part of the Governor's annual budget message.

AI Summary

This bill mandates that the Department of the Treasury conduct a "stress test" every three years to assess the State's capacity to continue providing essential services and aid to its residents during different economic scenarios, such as recessions. This analysis will involve projecting both immediate and future income from key sources like major taxes and federal funding, comparing these projections to past trends, and examining how government spending might change under various economic conditions. It will also detail the State's financial reserves, including funds in the "Surplus Revenue Fund," and outline potential strategies the State can employ to manage and mitigate the effects of economic downturns. The findings of these stress tests will be made publicly available on the Treasury Department's website and included in the Governor's annual budget proposal.

Committee Categories

Business and Industry, Government Affairs

Sponsors (5)

Last Action

Received in the Assembly, Referred to Assembly State and Local Government Committee (on 01/30/2025)

bill text


bill summary

Loading...

bill summary

Loading...
Loading...