Bill > S750

This bill extends the oversight period for municipalities deemed to be in need of stabilization and recovery under the Municipal Stabilization and Recovery Act (P.L.2016, c.4) for an additional six years, meaning such municipalities will be subject to these provisions until December 1, 2031. It also revises and expands the powers of the Local Finance Board, a state-level body that oversees local government finances, to provide greater oversight and intervention capabilities in financially distressed municipalities. The bill takes effect immediately and is retroactive to December 1, 2025, meaning any actions taken by a municipality during this retroactive period will be subject to review and approval by the Director of the Division of Local Government Services. Key changes include extending the duration of a municipality's recovery plan from nine to fifteen years and increasing the time frame for the director to provide a final report on the municipality's recovery from ten to sixteen years after the initial determination of need. The bill also grants the director expanded authority to manage municipal affairs, including the ability to dissolve or transfer municipal entities, veto governing body actions, control litigation, dispose of municipal assets, and modify or terminate contracts and collective negotiations agreements, with specific provisions for the Casino Reinvestment Development Authority and redevelopment processes.

Housing and Urban Affairs

https://www.njleg.state.nj.us/bill-search/2026/S750