Bill > A4001

Introduced Session

This bill authorizes the State to withhold State payments to the federal government when the federal government is found by a court of competent jurisdiction to be in noncompliance with an order or decision requiring the federal government to make payments to the State. The bill requires all State agencies, including agencies in the legislative and judicial branches of State government, to submit a report to the State Treasurer, not more than 15 days following enactment of bill, and on the first day of each month thereafter, setting forth: (1) any federal funds owed to the State by the federal government and for which the nonpayment of those funds by the federal government is in contravention of a decision or order issued by a court of competent jurisdiction; (2) and any funds the State agency anticipates will be due and owing by the State agency to the federal government in the 12 months following enactment of the bill. The bill requires the State Treasurer to submit, to the Governor and the Legislature, a report containing all of the information submitted by State agencies not more than 30 days following the deadline for submittal of the report by State agencies. The bill directs the State Treasurer to provide updated information to the Governor and the Legislature on a monthly basis. Following submittal of the report, the Governor may direct the State Treasurer, in consultation with the Director of the Division of Budget and Accounting, now also known as the Office of Management and Budget, to withhold payments to the federal government. The total amount withheld shall not exceed the amount of federal funds owed to the State in contravention of a decision or order issued by a court of competent jurisdiction. The bill requires any moneys withheld from the federal government to be held in reserve and lapse to the General Fund upon the conclusion of the State fiscal year in which the moneys are appropriated. The total amount cannot exceed the total amount of funding owed to the State by the federal government.

AI Summary

Committee Categories

Katie Brennan (D)*,  Chigozie Onyema (D)*, 

Introduced, Referred to Assembly Oversight, Reform and Federal Relations Committee (on 01/13/2026)

Official Document