Restores Department of Public Advocate as principal department in Executive Branch.

A1997

ASSEMBLY, No. 1997

STATE OF NEW JERSEY

222nd LEGISLATURE

�

PRE-FILED FOR INTRODUCTION IN THE 2026 SESSION

Sponsored by:

Assemblywoman ANNETTE QUIJANO

District 20 (Union)

Assemblywoman VERLINA REYNOLDS-JACKSON

District 15 (Hunterdon and Mercer)

Co-Sponsored by:

Assemblywomen Murphy and Brennan

SYNOPSIS

���� Restores Department of Public Advocate as principal
department in Executive Branch.

CURRENT VERSION OF TEXT

���� Introduced Pending Technical Review by Legislative
Counsel.

��

An Act
restoring the Department of the Public Advocate as a
principal department in ����������� the Executive Branch of State government, revising
various parts of the statutory law and supplementing Title 52 of the Revised
Statutes.

����
Be It
Enacted
by the Senate and General Assembly of
the State of New Jersey:

���� 1.��� Section 1 of P.L.1982,
c.79 (C.2A:4A-60) is amended to read as follows:

���� 1.��� Disclosure of juvenile
information; penalties for disclosure.

���� a.���� Social, medical,
psychological, legal and other records of the court and probation division, and
records of law enforcement agencies, pertaining to juveniles charged as a
delinquent or found to be part of a juvenile-family crisis, shall be strictly
safeguarded from public inspection.� Such records shall be made available only
to:

���� (1)�� Any court or probation
division;

���� (2)�� The Attorney General or
county prosecutor;

���� (3)�� The parents or guardian
and to the attorney of the juvenile;

���� (4)�� The Department of Human
Services or Department of Children and Families, if providing care or custody
of the juvenile;

���� (5)�� Any institution or
facility to which the juvenile is currently committed or in which the juvenile
is placed;

���� (6)�� Any person or agency
interested in a case or in the work of the agency keeping the records, by order
of the court for good cause shown, except that information concerning
adjudications of delinquency, records of custodial confinement, payments owed
on assessments imposed pursuant to section 2 of P.L.1979, c.396 (C.2C:43-3.1)
or restitution ordered following conviction of a crime or adjudication of
delinquency, and the juvenile's financial resources, shall be made available
upon request to the Victims of Crime Compensation
[
Agency
]

Office
established
pursuant to section 2 of P.L.2007, c.95 (C.52:4B-3.2), which shall keep such
information and records confidential;

���� (7)�� The Juvenile Justice
Commission established pursuant to section 2 of P.L.1995, c.284 (C.52:17B-170);

���� (8)�� Law enforcement agencies
for the purpose of reviewing applications for a permit to purchase a handgun or
firearms purchaser identification card;

���� (9)�� Any potential party in a
subsequent civil action for damages related to an act of delinquency committed
by a juvenile, including the victim or a member of the victim's immediate
family, regardless of whether the action has been filed against the juvenile;
provided, however, that records available under this paragraph shall be limited
to official court documents, such as complaints, pleadings and orders, and that
such records may be disclosed by the recipient only in connection with
asserting legal claims or obtaining indemnification on behalf of the victim or
the victim's family and otherwise shall be safeguarded from disclosure to other
members of the public.� Any potential party in a civil action related to the
juvenile offense may file a motion with the civil trial judge seeking to have
the juvenile's social, medical or psychological records admitted into evidence
in a civil proceeding for damages;

���� (10) Any potential party in a
subsequent civil action for damages related to an act of delinquency committed
by a juvenile, including the victim or a member of the victim's immediate
family, regardless of whether the action has been filed against the juvenile;
provided, however, that records available under this paragraph shall be limited
to police or investigation reports concerning acts of delinquency, which shall
be disclosed by a law enforcement agency only with the approval of the County
Prosecutor's Office or the Division of Criminal Justice.� Prior to disclosure,
all personal information regarding all individuals, other than the requesting
party and the arresting or investigating officer, shall be redacted.� Such
records may be disclosed by the recipient only in connection with asserting
legal claims or obtaining indemnification on behalf of the victim or the
victim's family, and otherwise shall be safeguarded from disclosure to other
members of the public;

���� (11) The Office of the Child
Advocate established pursuant to
[
P.L.2005,
c.155 (C.52:27EE-1 et al.)
]

P.L.��� , c.��� (C.������� ) (pending before the Legislature as this bill)
.�
Disclosure of juvenile information received by the Child Advocate pursuant to
this paragraph shall be in accordance with the provisions of
[
section 98 of
P.L.2005, c.155 (C.52:27EE-76)
]

P.L.��� , c.��� (C.������� ) (pending before the Legislature as this bill)
;

���� (12) Law enforcement agencies
with respect to information available on the juvenile central registry
maintained by the courts pursuant to subsection g. of this section, including,
but not limited to: records of official court documents, such as complaints,
pleadings and orders for the purpose of obtaining juvenile arrest information;
juvenile disposition information; juvenile pretrial information; and
information concerning the probation status of a juvenile; and

���� (13) A Court Appointed Special
Advocate as defined in section 1 of P.L.2009, c.217 (C.2A:4A-92).

���� b.��� Records of law
enforcement agencies may be disclosed for law enforcement purposes, or for the
purpose of reviewing applications for a permit to purchase a handgun or a
firearms purchaser identification card to any law enforcement agency of this
State, another state or the United States, and the identity of a juvenile under
warrant for arrest for commission of an act that would constitute a crime if
committed by an adult may be disclosed to the public when necessary to
execution of the warrant.

���� c.���� At the time of charge,
adjudication or disposition, information as to the identity of a juvenile
charged with an offense, the offense charged, the adjudication and disposition
shall, upon request, be disclosed to:

���� (1)�� The victim or a member
of the victim's immediate family;

���� (2)�� (Deleted by amendment,
P.L.2005, c.165).

���� (3)�� On a confidential basis,
the principal of the school where the juvenile is enrolled for use by the
principal and such members of the staff and faculty of the school as the
principal deems appropriate for maintaining order, safety or discipline in the
school or to planning programs relevant to the juvenile's educational and
social development, provided that no record of such information shall be
maintained except as authorized by regulation of the Department of Education;
or

���� (4)�� A party in a subsequent
legal proceeding involving the juvenile, upon approval by the court.

���� d.��� A law enforcement or
prosecuting agency shall, at the time of a charge, adjudication or disposition,
send written notice to the principal of the school where the juvenile is
enrolled of the identity of the juvenile charged, the offense charged, the
adjudication and the disposition if:

���� (1)�� The offense occurred on
school property or a school bus, occurred at a school-sponsored function or was
committed against an employee or official of the school; or

���� (2)�� The juvenile was taken
into custody as a result of information or evidence provided by school
officials; or

���� (3)�� The offense, if
committed by an adult, would constitute a crime, and the offense:

���� (a)�� resulted in death or
serious bodily injury or involved an attempt or conspiracy to cause death or
serious bodily injury; or

���� (b)�� involved the unlawful
use or possession of a firearm or other weapon; or

���� (c)�� involved the unlawful
manufacture, distribution or possession with intent to distribute a controlled
dangerous substance or controlled substance analog; or

���� (d)�� was committed by a
juvenile who acted with a purpose to intimidate an individual or group of
individuals because of race, color, religion, sexual orientation or ethnicity;
or

���� (e)�� would be a crime of the
first, second, or third degree.

���� Information provided to the
principal pursuant to this subsection shall be maintained by the school and
shall be treated as confidential but may be made available to such members of
the staff and faculty of the school as the principal deems appropriate for
maintaining order, safety or discipline in the school or for planning programs
relevant to a juvenile's educational and social development.

���� e.���� Nothing in this section
prohibits a law enforcement or prosecuting agency from providing the principal
of a school with information identifying one or more juveniles who are under
investigation or have been taken into custody for commission of any act that
would constitute an offense if committed by an adult when the law enforcement
or prosecuting agency determines that the information may be useful to the
principal in maintaining order, safety or discipline in the school or in
planning programs relevant to the juvenile's educational and social
development.� Information provided to the principal pursuant to this subsection
shall be treated as confidential but may be made available to such members of
the staff and faculty of the school as the principal deems appropriate for
maintaining order, safety or discipline in the school or for planning programs
relevant to the juvenile's educational and social development.� No information
provided pursuant to this section shall be maintained.

���� f.���� Information as to the
identity of a juvenile adjudicated delinquent, the offense, the adjudication
and the disposition shall be disclosed to the public where the offense for
which the juvenile has been adjudicated delinquent if committed by an adult,
would constitute a crime of the first, second or third degree, or aggravated
assault, destruction or damage to property to an extent of more than
[
$500.00
]

$500
,
unless upon application at the time of disposition the juvenile demonstrates a
substantial likelihood that specific and extraordinary harm would result from
such disclosure in the specific case.� Where the court finds that disclosure
would be harmful to the juvenile, the reasons therefor shall be stated on the
record.

���� g. (1) Nothing in this section
shall prohibit the establishment and maintaining of a central registry of the
records of law enforcement agencies relating to juveniles for the purpose of
exchange between State and local law enforcement agencies and prosecutors of
this State, another state, or the United States.� These records of law
enforcement agencies shall be available on a 24-hour basis.

���� (2)�� Certain information and
records relating to juveniles in the central registry maintained by the courts,
as prescribed in paragraph (12) of subsection a. of this section, shall be
available to State and local law enforcement agencies and prosecutors on a 24-hour
basis.

���� h.��� Whoever, except as
provided by law, knowingly discloses, publishes, receives, or makes use of or
knowingly permits the unauthorized use of information concerning a particular
juvenile derived from records listed in subsection a. or acquired in the course
of court proceedings, probation, or police duties, shall, upon conviction
thereof, be guilty of a disorderly persons offense.

���� i.���� Juvenile delinquency
proceedings.

���� (1)�� Except as provided in
paragraph (2) of this subsection, the court may, upon application by the
juvenile or his parent or guardian, the prosecutor or any other interested
party, including the victim or complainant or members of the news media, permit
public attendance during any court proceeding at a delinquency case, where it
determines that a substantial likelihood that specific harm to the juvenile
would not result.� The court shall have the authority to limit and control
attendance in any manner and to the extent it deems appropriate;

���� (2)�� The court or, in cases
where the county prosecutor has entered an appearance, the county prosecutor
shall notify the victim or a member of the victim's immediate family of any
court proceeding involving the juvenile and the court shall permit the attendance
of the victim or family member at the proceeding except when, prior to
completing testimony as a witness, the victim or family member is properly
sequestered in accordance with the law or the Rules Governing the Courts of the
State of New Jersey or when the juvenile or the juvenile's family member shows,
by clear and convincing evidence, that such attendance would result in a
substantial likelihood that specific harm to the juvenile would result from the
attendance of the victim or a family member at a proceeding or any portion of a
proceeding and that such harm substantially outweighs the interest of the
victim or family member to attend that portion of the proceeding;

���� (3)�� The court shall permit a
victim, or a family member of a victim to make a statement prior to ordering a
disposition in any delinquency proceeding involving an offense that would
constitute a crime if committed by an adult.

���� j.���� The Department of
Education, in consultation with the Attorney General, shall adopt, pursuant to
the �Administrative Procedure Act,� P.L.1968, c.410 (C.52:14B-1 et seq.), rules
and regulations concerning the creation, maintenance and disclosure of pupil
records including information acquired pursuant to this section.

(cf: P.L.2009, c.217, s.2)

���� 2.
N.J.S.3B:15-1 is amended to read as follows:

����
3B:15-1.� The court or surrogate appointing a
fiduciary in any of the instances enumerated below shall secure faithful
performance of the duties of the office by requiring the fiduciary thereby
authorized to act to furnish bond to the Superior Court in a sum and with
proper conditions and sureties, having due regard to the value of the estate
and the extent of the fiduciary's authority, as the court shall approve:

���� a.���� When an appointment is
made upon failure of the will, or other instrument creating or continuing a
fiduciary relationship, to name a fiduciary;

���� b. �� When a person is
appointed in the place of the person named as fiduciary in the will, or other
instrument creating or continuing the fiduciary relationship;

���� c.���� When the office to
which the person is appointed is any form of administration, except: (1)
administration ad litem which may be granted with or without bond; or (2)
administration granted to a surviving spouse where the decedent's entire estate
is payable to the surviving spouse;

���� d.��� When the office to which
the person is appointed is any form of guardianship of a minor or a person who
is incapacitated, except as otherwise provided in N.J.S.3B:12-16 or
N.J.S.3B:12-33 with respect to a guardian appointed by will;

���� e.���� When letters are
granted to a nonresident executor, except in cases where the will provides that
no security shall be required of the person named as executor therein;

���� f.���� When an additional or
substituted fiduciary is appointed;

���� g.��� When an appointment is
made under chapter 26 of this title, of a fiduciary for the estate or property,
or any part thereof, of an absentee;

���� h.��� When a fiduciary moves
from the State, in which case the court may require the fiduciary to give such
security as the court determines; or

���� i. (1) When an appointment is
made, regardless of any direction in a last will and testament relieving a
personal representative, testamentary guardian, or testamentary trustee or
their successors from giving bond, that person shall, before receiving letters
or exercising any authority or control over the property, provide bond to
secure performance of the person's duties with respect to property to which a
person with a developmental disability as defined in section 3 of P.L.1985,
c.145 (C.30:6D-25) is, or shall be entitled, if:

���� (a)�� the testator has
identified that a devisee or beneficiary of property of the decedent's estate
is a person with a developmental disability; or

���� (b)�� the person seeking
appointment has actual knowledge that a devisee or beneficiary of property of
the decedent's estate is a person with a developmental disability.

���� (2)�� No bond shall be
required pursuant to paragraph (1) of this subsection if:

���� (a)�� the court has appointed
another person as guardian of the person or guardian of the estate for the
person with a developmental disability;

���� (b)�� the person seeking the
appointment is a family member within the third degree of consanguinity of the
person with a developmental disability; or

���� (c)�� the total value of the
real and personal assets of the estate or trust does not exceed $25,000.

���� (3)�� A personal
representative, testamentary guardian, or testamentary trustee who is required
to provide bond pursuant to paragraph (1) of this subsection shall file with
the Superior Court an initial inventory and a final accounting of the estate in
that person's charge containing a true account of all assets of the estate.�
That person shall file an interim accounting every five years, or a lesser
period of time if so ordered by the Superior Court, in the case of an extended
estate or trust administration.
A copy of the accountings shall be served on
the Public Advocate.� The Public Advocate, on behalf of the developmentally
disabled person or that person's estate, may file exceptions and objections to
interim or final accountings and may initiate an action to compel the person to
file an accounting of the trust or estate.

���� (4)�� A personal
representative, testamentary guardian, or testamentary trustee who is required
to provide bond pursuant to paragraph (1) of this subsection may make
application to the court to waive the bond or reduce the amount of bond for
good cause shown, including the need to preserve assets of the estate.

���� This subsection shall not
apply to qualified financial institutions pursuant to section 30 of P.L.1948,
c.67 (C.17:9A-30) or to non-profit community trusts organized pursuant to
P.L.1985, c.424 (C.3B:11-19 et seq.).

���� Nothing contained in this
section shall be construed to require a bond in any case where it is
specifically provided by law that a bond need not be required.

(cf: P.L.2013, c.103, s.46)

���� 3. Section 3 of P.L.1994,
c.119 (C.9:6-8.76) is amended to read as follows:

���� 3.��� The task force shall
consist of
[
30
]

31

members as follows:� the Commissioners of Human Services, Children and
Families, Education, Community Affairs, Corrections, and Health
[
and Senior
Services
]
,
the Attorney General, two judges of the Superior Court involved in both civil
and criminal court proceedings related to child abuse and neglect as appointed
by the Chief Justice of the Supreme Court, the Public Defender,
the Child
Advocate,
and the Superintendent of State Police, or their designees, as ex
officio members; two members of the Senate and the General Assembly,
respectively, no more than one of whom in each case shall be of the same
political party; and a county prosecutor appointed by the Attorney General. The
14 public members shall be appointed by the Governor as follows:� one member
who is a director of a regional diagnostic and treatment center for child abuse
and neglect; one member who represents the Advocates for Children of New
Jersey; one member who represents Foster and Adoptive Family Services; one
member� who represents the Child Placement Advisory Council; one member who
represents a faith-based organization; one member who is a director of a county
department of human services; one member who is a youth 21 years of age or
younger who is or has been placed under the care and custody of the Division of
Child Protection and Permanency because of an allegation of child abuse or
neglect; two members who represent service providers under contract with the
Division of Child Protection and Permanency; and five members of the public who
have an interest or expertise in issues concerning child welfare.� The public
members shall reflect the diversity of the residents of the State and the
children and families served by the State's child welfare system.�

���� The task force membership
shall comply with the multidisciplinary requirements set forth in the �Child
Abuse Prevention and Treatment Act,� Pub.L.93-247 (42 U.S.C. s.5101 et seq.).�

���� The task force shall be
co-chaired
[
,
]
;
one
co-chair shall be the Commissioner of Children and Families and the other shall
be appointed by the Governor with the advice and consent of the Senate.� The
second co-chair shall be selected from among the public members and shall serve
at the pleasure of the Governor.� The public members shall serve for a term of
three years.

(cf: P.L.2019, c.395)

���� 4. Section 7 of P.L.1997,
c.175 (C.9:6-8.89) is amended to read as follows:

���� 7. a. The board shall consist
of
[
13
]

14

members as follows: the Commissioner of Children and Families, the Commissioner
of Health
[
and
Senior Services
]
,
the Director of the Division of Child Protection and Permanency in the
Department of Children and Families, the Attorney General,
the Child
Advocate
and the Superintendent of State Police, or their designees, the
State Medical Examiner, and the Chairperson or Executive Director of the New
Jersey Task Force on Child Abuse and Neglect, who shall serve ex officio; and
six public members appointed by the Governor, one of whom shall be a
representative of the New Jersey Prosecutors' Association, one of whom shall be
a Law Guardian, one of whom shall be a pediatrician with expertise in child
abuse and neglect, one of whom shall be a psychologist with expertise in child
abuse and neglect, one of whom shall be a social work educator with experience
and expertise in the area of child abuse or a related field and one of whom
shall have expertise in substance abuse.

���� b.��� The public members of
the board shall serve for three-year terms.� Of the public members first
appointed, three shall serve for a period of two years, and three shall serve
for a term of three years.� They shall serve without compensation but shall be
eligible for reimbursement for necessary and reasonable expenses incurred in
the performance of their official duties and within the limits of funds
appropriated for this purpose.� Vacancies in the membership of the board shall
be filled in the same manner as the original appointments were made.

���� c.���� The Governor shall
appoint a public member to serve as chairperson of the board who shall be
responsible for the coordination of all activities of the board and who shall
provide the technical assistance needed to execute the duties of the board.

���� d.��� The board is entitled to
call to its assistance and avail itself of the services of employees of any
State, county, or municipal department, board, bureau, commission, or agency as
it may require and as may be available for the purposes of reviewing a case
pursuant to the provisions of P.L.1997, c.175 (C.9:6-8.83 et al.).� The board
may also seek the advice of experts, such as persons specializing in the fields
of pediatric, radiological, neurological, psychiatric, orthopedic, and forensic
medicine; nursing; psychology; social work; education; law enforcement; family
law; substance abuse; child advocacy; or other related fields, if the facts of
a case warrant additional expertise.

(cf: P.L.2023, c.177, s.20)

���� 5. Section 14 of P.L.1944,
c.27 (C.17:29A-14) is amended to read as follows:

���� 14. a. With regard to all
property and casualty lines, a filer may, from time to time, alter, supplement,
or amend its rates, rating systems, or any part thereof, by filing with the
commissioner copies of such alterations, supplements, or amendments, together
with a statement of the reason or reasons for such alteration, supplement, or
amendment, in a manner and with such information as may be required by the
commissioner. If such alteration, supplement, or amendment shall have the
effect of increasing or decreasing rates, the commissioner shall determine
whether the rates as altered thereby are reasonable, adequate, and not unfairly
discriminatory. If the commissioner shall determine that the rates as so
altered are not unreasonably high, or inadequate, or unfairly discriminatory,
he shall make an order approving them. If he shall find that the rates as
altered are unreasonable, inadequate, or unfairly discriminatory, he shall
issue an order disapproving such alteration, supplement or amendment.

���� b.��� (Deleted by amendment,
P.L.1984, c.1.)

���� c.���� If an insurer or rating
organization files a proposed alteration, supplement or amendment to its
private passenger automobile insurance rating system, or any part thereof, the
commissioner shall transmit the filing to the appropriate office in the Division
of Insurance, which office shall issue a preliminary determination within 90
days of receipt of a rate filing, except that the commissioner may, for good
cause, extend the time for a preliminary determination by not more than 30
days. The preliminary determination shall set forth the basis for accepting,
rejecting or modifying the rates as filed. A copy of the preliminary
determination shall be provided to the filer and other interested parties.
Unless the filer or other interested party, including the Director of the
Division of Rate Counsel
[
in,
but not of, the Department of the Treasury
]

in the Department of the Public Advocate
, requests a hearing, the
commissioner may adopt the preliminary determination as final within 30 days of
the preliminary determination. If a hearing is requested, it shall proceed on
an expedited basis in accordance with the provisions of this section. If a
preliminary determination is not made within the time provided, a filing shall
be transmitted to the Office of Administrative Law for a hearing and the
commissioner shall adopt the determination of the administrative law judge as a
final decision on the filing.

���� For filings other than private
passenger automobile, if an insurer or rating organization files a proposed
alteration, supplement or amendment to its rating system, or any part thereof,
which would result in a change in rates, the commissioner may, or upon the
request of the filer or the appropriate office in the Division of Insurance
shall, certify the matter for a hearing. The hearing shall, at the
commissioner's discretion, be conducted by himself, by a person appointed by
the commissioner pursuant to section 26 of P.L.1944, c.27 (C.17:29A-26), or by
the Office of Administrative Law, created by P.L.1978, c.67 (C.52:14F-1 et
seq.), as a contested case. The following requirements shall apply to the
hearing:

���� (1)�� The hearing shall
commence within 30 days of the date of the request or decision that a hearing
is to be held. The hearing shall be held on consecutive working days, except
that the commissioner may, for good cause, waive the consecutive working day
requirement. If the hearing is conducted by an administrative law judge, the
administrative law judge shall submit his findings and recommendations to the
commissioner within 30 days of the close of the hearing. The commissioner may,
for good cause, extend the time within which the administrative law judge shall
submit his findings and recommendations by not more than 30 days. A decision
shall be rendered by the commissioner not later than 60 days, or, if he has
granted a 30-day extension, not later than 90 days, from the close of the
hearing. A filing shall be deemed to be approved unless rejected or modified by
the commissioner within the time period provided herein.

���� (2)�� The commissioner, or the
Director of the Office of Administrative Law, as appropriate, shall notify all
interested parties, including the Director of the Division of Rate Counsel
in
the Department of the Public Advocate
on behalf of insurance consumers, of
the date set for commencement of the hearing, on the date of the filing of the
request for a hearing, or within 10 days of the decision that a hearing is to
be held.

���� (3)�� The insurer or rating
organization making a filing on which a hearing is held shall bear the costs of
the hearing.

���� (4)�� The commissioner may
promulgate rules and regulations (a) to establish standards for the submission
of proposed filings, amendments, additions, deletions and alterations to the
rating system of filers, which may include forms to be submitted by each filer;
and (b) making such other provisions as he deems necessary for effective
implementation of this act.

���� d.��� (Deleted by amendment,
P.L.1984, c.1.)

���� e.���� (Deleted by amendment,
P.L.2003, c.89.)

���� f.���� The notice provisions
set forth in section 51 of P.L.2005, c.155 (C.52:27EE-51), shall apply to this
section.

(cf: P.L.2010, c.34, s.4)

���� 6. Section 66 of P.L.1998,
c.21 (C.17:29A-46.8) is amended to read as follows:

���� 66. a. For the purposes of
this section:

���� �Qualified person� means a
person qualified by the Commissioner of Banking and Insurance to intervene in
public hearings pursuant to this section, who shall be deemed a �public servant�
within the meaning of N.J.S.2C:30-2;

���� �Rate filing� means a filing
for a rate increase by an automobile insurer writing private passenger
automobile insurance in this State, other than an expedited prior approval rate
filing made pursuant to section 34 of P.L.1997, c.151 (C.17:29A-46.6) and other
than a rate filing made pursuant to any statutory change in coverage provided
under a policy of private passenger automobile insurance.

���� b.��� The Commissioner of
Banking and Insurance shall establish standards for qualifying persons to
intervene in rate filings pursuant to this section.� The standards shall
include, but shall not necessarily be limited to, requiring that any person
intervening in a rate filing demonstrate:� (1) expertise in the insurance laws
of this State; (2) an understanding of the actuarial principles employed in
establishing rates and rating systems; (3) sufficient access to a qualified
actuary and sufficient expertise to conduct a technical examination of a rate
filing; (4) sufficient resources to intervene in the rate filing process as
provided herein; and (5) that the person represents the interest of consumers
and accepts a duty of fidelity to do so.

���� c.���� The commissioner shall
require such documentation as he determines is necessary to qualify a person to
intervene in a rate filing, and may charge a fee for registration with the
department as an intervenor, which fee shall be payable annually.

���� d.��� The commissioner may
remove the registration of an intervenor if he determines that (1) the
intervenor no longer meets the qualifications, or (2) if the intervenor is
convicted of a crime or loses a professional license for misconduct.

���� e.���� If an insurer or rating
organization files for a rate increase for private passenger automobile
insurance, the commissioner shall notify the public of the proposed rate change
in a newspaper or newspapers of general circulation throughout the State.� A qualified
person may request, and shall receive, a copy of the rate filing and any
amendments and supplements thereto and shall pay the expenses in connection
therewith.� The qualified person may request that the commissioner certify the
rate filing for a hearing pursuant to section 14 of P.L.1944, c.27
(C.17:29A-14).

���� f.���� The commissioner shall
establish by regulation the terms and conditions under which the proceedings
under this section shall be conducted, including, but not limited to the
supporting material which shall accompany the intervention.

���� g.��� Upon determining that
the intervenor has demonstrated that the qualified person has made a
substantial contribution to the adoption of any order or decision by the
commissioner or a court in connection with a rate filing made pursuant to this
section, the commissioner shall award reasonable advocacy and witness fees and
expenses.

���� h.��� A person commits a crime
of the third degree if he solicits, accepts or agrees to accept any benefits as
consideration for knowingly violating or agreeing to violate a duty of fidelity
to which he is subject pursuant to this section.� In addition to any disposition
authorized by law, the Commissioner of Banking and Insurance shall forever bar
from registration as an intervenor any person convicted under this subsection.

���� i.���� A person commits a
crime of the third degree if he confers, or offers or agrees to confer, any
benefit the acceptance of which would be criminal under this section.� In
addition to any disposition authorized by law, the Commissioner of Banking and
Insurance shall deny the rate filing of any person convicted under this
subsection and the person shall be barred from filing for any rate increase for
a period of one year.

���� j.���� Nothing herein shall be
construed to preclude a prosecution or conviction for a violation of any other
law.

���� k.��� This section shall
expire 180 days after the effective date of the Public Advocate Restoration Act

[
of 2005,
P.L.2005, c.155 (C.52:27EE-1 et al.)
]
,
P.L.��� , c.��� (C.������� ) (pending before the Legislature as this bill)
.

(cf: P.L.2005, c.155, s.92)

���� 7. Section 1 of P.L.1986,
c.205 (C.30:1A-4) is amended to read as follows:

���� 1. a. There is established in,
but not of, the Department of Human Services the New Jersey Boarding Home
Advisory Council. The council shall consist of
[
14
]

15
members, to be
appointed by the Commissioner of Human Services in consultation with the
Commissioners of Community Affairs and Health
[
and
Senior Services
]
,
the Public Defender,
the Public Advocate,
the
Office of the
Public
Guardian
[
for
Elderly Adults
]

and the
[
Ombudsperson
for the Institutionalized Elderly
]

New Jersey Long-Term Care
Ombudsman
, as follows: two persons who own or operate a boarding
house as defined in P.L.1979, c.496 (C.55:13B-1 et al.); two persons who own or
operate a residential health care facility as defined in section 1 of P.L.1953,
c.212 (C.30:11A-1) or licensed pursuant to P.L.1971, c.136 (C.26:2H-1 et seq.);
two persons who currently reside in a boarding house or a residential health
care facility; one person who is a member of the organization which represents
operators of boarding houses or residential health care facilities, or both;
one person who represents the health care professions; one person who
represents a county office on aging; one person who represents a municipal
building code department; one person who represents an organization or agency
which advocates for mentally ill persons in this State; one person who
represents an organization or agency which advocates for physically disabled
persons in this State; and two other members who shall be chosen from among
persons whose work, knowledge or interest relates to boarding houses or
residential health care facilities and the residents thereof, including but not
limited to municipal and county elected officials, county prosecutors, social
workers, and persons knowledgeable about fire prevention standards and measures
needed to assure safety from structural, mechanical, plumbing and electrical
deficiencies in boarding houses and residential health care facilities. In
addition, the Chairman of the General Assembly Standing Reference Committee on
[
Health
]

Aging
and
Human Services and the Chairman of the Senate Standing Reference Committee on
Health, Human Services and Senior Citizens or their designees shall serve as ex
officio members of the council.

���� b.��� The terms of office of
each appointed member shall be three years, but of the members first appointed,
two shall be appointed for a term of one year, five for terms of two years, and
seven for terms of three years. All vacancies shall be filled for the balance
of the unexpired term in the same manner as the original appointment. The
members of the council shall not receive any compensation for their services,
but shall be reimbursed for the actual and necessary expenses incurred in the
performance of their duties as members of the council.

(cf: P.L.2010, c.34, s.5)

���� 8.
Section 4 of P.L.2009, c.329 (C.30:1B-6.3) is amended
to read as follows:

���� 4. a. The Commissioner of
Corrections shall designate a staff member as Coordinator for Reentry and
Rehabilitative Services. The coordinator shall be qualified by training and
experience to perform the duties of this position. The coordinator may be chosen
by the commissioner from among the current employees of the department and the
chosen employee may continue the duties and responsibilities of the current
position in addition to the duties and responsibilities of the coordinator
position as provided in this section.

���� b.��� The coordinator shall
compile and disseminate to inmates information concerning organizations and
programs, whether faith-based or secular programs, which provide assistance and
services to inmates reentering society after a period of incarceration. In compiling
this information, the coordinator shall consult with non-profit entities,
including but not limited to the New Jersey Institute for Social Justice, that
provide informational services concerning reentry,
[
and
]
the Executive Director of the
Office of
[
Faith-based
]

Faith
Based
Initiatives in the Department of State, and the Corrections
Ombudsperson in
[
,
but not of, the Department of the Treasury
]

the Department of the Public Advocate
.

���� c.���� The coordinator shall
ensure that inmates are made aware of and referred to organizations which
provide services in the county where the inmate is to reside after being
released from incarceration. The coordinator shall assist inmates in gaining
access to programs and procuring the appropriate services.

���� d.��� The coordinator may
employ professional and clerical staff as necessary within the limits of
available appropriations.

(cf: P.L.2010, c.34, s.6)

���� 9. Section 3 of P.L.2009,
c.161 (C.30:4-3.25) is amended to read as follows:

���� 3.��� The department shall
notify the Division of Mental Health Advocacy in the Office of the Public
[
Defender
]

Advocate
within 24
hours after an unexpected death occurs at a State psychiatric hospital and
shall promptly notify the Division of Mental Health Advocacy of any death of
which the department has knowledge that occurs within seven days after a
patient was discharged from a State psychiatric hospital.

(cf: P.L.2010, c.34, s.7)

���� 10. Section 4 of P.L.1992,
c.111 (C.30:4C-69) is amended to read as follows:

���� 4. The Commissioner of
Children and Families shall develop an interdepartmental plan for the
implementation of an individualized, appropriate child and family driven care
system for children with special emotional needs and for the reduction of
inappropriate use of out-of-home placements of these children. The plan shall
first address children ready to be returned from in-State and out-of-State
residential facilities, and those at imminent risk of extended out-of-home
placement. The commissioner shall consult with appropriate representatives from
the State departments of Education, Human Services, Corrections, Health
[
and Senior
Services
]
and
Community Affairs, the
[
Office
of the Public Defender
]

Public Advocate, the Child Advocate
,
[
the
Statewide Children's Coordinating Council in the Department of Children and
Families,
]

the Administrative Office of the Courts, and Statewide family advocacy groups,
in the development of the plan.

(cf: P.L.2010, c.34, s.9)

���� 11. Section 3 of P.L.1976,
c.120 (C.30:13-3) is amended to read as follows:

���� 3.��� Every nursing home shall
have the responsibility for:

���� a. (1) Maintaining a complete
record of all funds, personal property and possessions of a nursing home
resident from any source whatsoever, which have been deposited for safekeeping
with the nursing home for use by the resident. This record shall contain a
listing of all deposits and withdrawals transacted, and these shall be
substantiated by receipts given to the resident or his guardian. A nursing home
shall provide to each resident or his guardian a quarterly statement which
shall account for all of such resident's property on deposit at the beginning
of the accounting period, all deposits and withdrawals transacted during the
period, and the property on deposit at the end of the period. The resident or
his guardian shall be allowed daily access to his property on deposit during
specific periods established by the nursing home for such transactions at a
reasonable hour. A nursing home may, at its own discretion, place a limitation
as to dollar value and size of any personal property accepted for safekeeping.

���� (2)�� Offering an incoming
resident or the resident's guardian, in accordance with current law, at the
time of admission to a nursing home on or after the effective date of P.L.2015,
c.230, a form designating the beneficiary of any remaining balance in the resident's
personal needs allowance account that does not exceed $1,000 upon the
resident's death.� In the case of a person residing in a nursing home prior to
the effective date of P.L.2015, c.230, the nursing home shall have the
responsibility for offering the resident or the resident's guardian, in
accordance with current law, whenever possible, a form designating the
beneficiary of any remaining balance in the resident's personal needs allowance
account that does not exceed $1,000 upon the resident's death.� Funds remaining
in a personal needs allowance account at the time of a resident's death shall
be included in that resident's estate and shall, consistent with N.J.S.3B:22-2,
be subject to claims made by estate creditors prior to distribution to a designated
beneficiary.

���� b.��� Providing for the
spiritual needs and wants of residents by notifying, at a resident's request, a
clergyman of the resident's choice and allowing unlimited visits by such
clergyman. Arrangements shall be made, at the resident's expense, for
attendance at religious services of his choice when requested. No religious
beliefs or practices, or any attendance at religious services, shall be imposed
upon any resident.

���� c.���� Admitting only that
number of residents for which it reasonably believes it can safely and
adequately provide nursing care. Any applicant for admission to a nursing home
who is denied such admission shall be given the reason for such denial in
writing.

���� d.��� Ensuring that an
applicant for admission or a resident is treated without discrimination as to
age, race, religion, sex or national origin. However, the participation of a
resident in recreational activities, meals or other social functions may be
restricted or prohibited if recommended by a resident's attending physician in
writing and consented to by the resident.

���� e.���� Ensuring that no
resident shall be subjected to physical restraints except upon written orders
of an attending physician for a specific period of time when necessary to
protect such resident from injury to himself or others. Restraints shall not be
employed for purposes of punishment or the convenience of any nursing home
staff personnel. The confinement of a resident in a locked room shall be
prohibited.

���� f.���� Ensuring that drugs and
other medications shall not be employed for purposes of punishment, for
convenience of any nursing home staff personnel or in such quantities so as to
interfere with a resident's rehabilitation or his normal living activities.

���� g.��� Permitting citizens,
with the consent of the resident being visited, legal services programs,
employees of the
[
Office
of Public Defender
]

Department of the Public Advocate
and employees and volunteers of the
[
Office of the
Ombudsman for the Institutionalized Elderly
]

New Jersey Long-Term Care
Ombudsman
, whose purposes include rendering assistance without
charge to nursing home residents, full and free access to the nursing home in
order to visit with and make personal, social and legal services available to
all residents and to assist and advise residents in the assertion of their
rights with respect to the nursing home, involved governmental agencies and the
judicial system.

���� (1)�� Such access shall be
permitted by the nursing home at a reasonable hour.

���� (2)�� Such access shall not
substantially disrupt the provision of nursing and other care to residents in
the nursing home.

���� (3)�� All persons entering a
nursing home pursuant to this section shall promptly notify the person in
charge of their presence. They shall, upon request, produce identification to
substantiate their identity. No such person shall enter the immediate living area
of any resident without first identifying himself and then receiving permission
from the resident to enter. The rights of other residents present in the room
shall be respected. A resident shall have the right to terminate a visit by a
person having access to his living area pursuant to this section at any time.
Any communication whatsoever between a resident and such person shall be
confidential in nature, unless the resident authorizes the release of such
communication in writing.

���� h.��� Ensuring compliance with
all applicable State and federal statutes and rules and regulations.

���� i.���� Ensuring that every
resident, prior to or at the time of admission and during his stay, shall
receive a written statement of the services provided by the nursing home,
including those required to be offered by the nursing home on an as-needed
basis, and of related charges, including any charges for services not covered
under Title XVIII and Title XIX of the Social Security Act, as amended, or not
covered by the nursing home's basic per diem rate. This statement shall further
include the payment, fee, deposit and refund policy of the nursing home.

���� j.���� Ensuring that a
prospective resident or the resident's family or guardian receives a copy of
the contract or agreement between the nursing home and the resident prior to or
upon the resident's admission.

(cf: P.L.2015, c.230, s.1)

���� 12. Section 3 of P.L.1971,
c.223 (C.46:8-21.1) is amended to read as follows:

���� 3.��� Within 30 days after the
termination of the tenant's lease or licensee's agreement, the owner or lessee
shall return by personal delivery, registered or certified mail the sum so
deposited plus the tenant's portion of the interest or earnings accumulated
thereon, less any charges expended in accordance with the terms of a contract,
lease, or agreement, to the tenant or licensee, or, in the case of a lease
terminated pursuant to P.L.1971, c.318 (C.46:8-9.1), the executor or
administrator of the estate of the tenant or licensee or the surviving spouse
of the tenant or licensee so terminating the lease. The interest or earnings
and any such deductions shall be itemized and the tenant, licensee, executor,
administrator or surviving spouse notified thereof by personal delivery,
registered or certified mail. Notwithstanding the provisions of this or any
other section of law to the contrary, no deductions shall be made from a
security deposit of a tenant who remains in possession of the rental premises.

���� Within five business days
after:

���� a.���� the tenant is caused to
be displaced by fire, flood, condemnation, or evacuation, and

���� b.��� an authorized public
official posts the premises with a notice prohibiting occupancy; or

���� c.���� any building inspector,
in consultation with a relocation officer, where applicable, has certified
within 48 hours that displacement is expected to continue longer than seven
days and has so notified the owner or lessee in writing, the owner or lessee shall
have available and return to the tenant or the tenant's designated agent upon
his demand the sum so deposited plus the tenant's portion of the interest or
earnings accumulated thereon, less any charges expended in accordance with the
terms of the contract, lease or agreement and less any rent due and owing at
the time of displacement.

���� Within 15 business days after
a lease terminates as described in section 3 of P.L.2008, c.111 (C.46:8-9.6),
the owner or lessee shall have available and return to the tenant or the
tenant's designated agent upon his demand any money or advance of rent deposited
as security plus the tenant's portion of the interest or earnings accumulated
thereon, including the portion of any money or advance of rent due to a victim
of domestic violence terminating a lease pursuant to section 3 of P.L.2008,
c.111 (C.46:8-9.6), less any charges expended in accordance with the terms of
the contract, lease or agreement and less any rent due and owing at the time of
the lease termination.

���� Such net sum shall continue to
be available to be returned upon demand during normal business hours for a
period of 30 days at a location in the same municipality in which the subject
leased property is located and shall be accompanied by an itemized statement of
the interest or earnings and any deductions. The owner or lessee may, by mutual
agreement with the municipal clerk, have the municipal clerk of the
municipality in which the subject leased property is located return said net
sum in the same manner. Within three business days after receiving notification
of the displacement, the owner or lessee shall provide written notice to a
displaced tenant by personal delivery or mail to the tenant's last known
address. In the event that a lease terminates as described in section 3 of
P.L.2008, c.111 (C.46:8-9.6), within three business days after the termination,
the owner or lessee shall provide written notice to the victim of domestic
violence by personal delivery or mail to the tenant's last known address. Such
notice shall include, but not be limited to, the location at which and the
hours and days during which said net sum shall be available to him. The owner
or lessee shall provide a duplicate notice in the same manner to the relocation
officer. Where a relocation officer has not been designated, the duplicate
notice shall be provided to the municipal clerk. When the last known address of
the tenant is that from which he was displaced and the mailbox of that address
is not accessible during normal business hours, the owner or lessee shall also
post such notice at each exterior public entrance of the property from which
the tenant was displaced. Notwithstanding the provisions of P.L.1963, c.73
(C.47:1A-1 et seq.), or any other law to the contrary, the municipal clerk, and
any designee, agent or employee of the municipal clerk, shall not knowingly
disclose or otherwise make available personal information about any victim of
domestic violence that the clerk or any designee, agent or employee has
obtained pursuant to the procedures described in section 3 of P.L.1971, c.223
(C.46:8-21.1).

���� Any such net sum not demanded
by and returned to the tenant or the tenant's designated agent within the
period of 30 days shall be redeposited or reinvested by the owner or lessee in
an appropriate interest bearing or dividend yielding account in the same
investment company, State or federally chartered bank, savings bank or savings
and loan association from which it was withdrawn. In the event that said
displaced tenant resumes occupancy of the premises, said tenant shall redeliver
to the owner or lessee one-third of the security deposit immediately, one-third
in 30 days and one-third 60 days from the date of reoccupancy. Upon the failure
of said tenant to make such payments of the security deposit, the owner or
lessee may institute legal action for possession of the premises in the same
manner that is authorized for nonpayment of rent.

���� The Commissioner of Community
Affairs, the Attorney General,
the Public Advocate,
or any State entity
which made deposits on behalf of a tenant may impose a civil penalty against an
owner or lessee who has willfully and intentionally withheld deposits in
violation of section 1 of P.L.1967, c.265 (C.46:8-19), when the deposits were
made by or on behalf of a tenant who has received financial assistance through
any State or federal program, including welfare or rental assistance. An owner
or lessee of a tenant on whose behalf deposits were made by a State entity and
who has willfully and intentionally withheld such deposits in violation of this
section shall be liable for a civil penalty of not less than $500 or more than
$2,000 for each offense. The penalty prescribed in this paragraph shall be
collected and enforced by summary proceedings pursuant to the �Penalty
Enforcement Law of 1999,� P.L.1999, c.274 (C.2A:58-10 et seq.). The State
entity which made such deposits on behalf of a tenant shall be entitled to any
penalty amounts recovered pursuant to such proceedings.

���� In any action by a tenant,
licensee, executor, administrator or surviving spouse, or other person acting
on behalf of a tenant, licensee, executor, administrator or surviving spouse,
for the return of moneys due under this section, the court upon finding for the
tenant, licensee, executor, administrator or surviving spouse shall award
recovery of double the amount of said moneys, together with full costs of any
action and, in the court's discretion, reasonable attorney's fees.

(cf: P.L.2010, c.34, s.11)

���� 13. Section 7 of P.L.2003,
c.64 (C.46:10B-28) is amended to read as follows:

���� 7. a. The department shall
conduct examinations and investigations and issue subpoenas and orders to
enforce the provisions of this act with respect to a person licensed or subject
to the provisions of the �New Jersey Residential Mortgage Lending Act,�
sections 1 through 39 of P.L.2009, c.53 (C.17:11C-51 et seq.).

���� b.��� The department shall
examine any instrument, document, account, book, record, or file of a person
originating or brokering a high-cost home loan under this act. The department
shall recover the cost of examinations from the person. A person originating or
brokering high-cost home loans shall maintain its records in a manner that will
facilitate the department in determining whether the person is complying with
the provisions of this act and the regulations promulgated thereunder. The
department shall require the submission of reports by persons originating or
brokering high-cost home loans which shall set forth such information as the
department shall require by regulation.

���� c.���� In the event that a
person fails to comply with a subpoena for documents or testimony issued by the
department, the department may request an order from a court of competent
jurisdiction requiring the person to produce the requested information.

���� d.��� If the department
determines that a person has violated the provisions of this act, the
department may do any combination of the following that it deems appropriate:

���� (1)�� Impose a civil penalty
of up to $10,000 for each offense, 40% of which penalty shall be dedicated for
and used by the department for consumer education through nonprofit
organizations which can establish to the satisfaction of the department that
they have sufficient experience in credit counseling and financial education.
In determining the penalty to be assessed, the commissioner shall consider the
following criteria: whether the violation was willful; whether the violation
was part of a pattern and practice; the amount of the loan; the points and fees
charged; the financial condition of the violator; and other relevant factors.
The department may require the person to pay investigative costs, if any.

���� (2)�� Suspend, revoke, or
refuse to renew any license issued by the department.

���� (3)�� Prohibit or permanently
remove an individual responsible for a violation of this act from working in
his present capacity or in any other capacity related to activities regulated
by the department.

���� (4)�� Order a person to cease
and desist any violation of this act and to make restitution for actual damages
to borrowers.

���� (5)�� Pending completion of an
investigation or any formal proceeding instituted pursuant to this act, if the
commissioner finds that the interests of the public require immediate action to
prevent undue harm to borrowers, the commissioner may enter an appropriate
temporary order to be effective immediately and until entry of a final order.
The temporary emergent order may include: a temporary suspension of the
creditor's authority to make high-cost home loans under this act; a temporary
cease and desist order; a temporary prohibition against a creditor transacting
high-cost home loan business in this State, or such other order relating to
high-cost home loans as the commissioner may deem necessary to prevent undue
harm to borrowers pending completion of an investigation or formal proceeding.
Orders issued pursuant to this section shall be subject to an application to
vacate upon two days' notice, and a preliminary hearing on the temporary
emergent order shall be held, in any event, within five days after it is issued,
in accordance with the provisions of the �Administrative Procedure Act,�
P.L.1968, c.410 (C.52:14B-1 et seq.).

���� (6)�� Impose such other
conditions as the department deems appropriate.

���� e.���� Any person aggrieved by
a decision of the department and who has a direct interest in the decision may
appeal the decision of the department to the commissioner. The appeal shall be
conducted in accordance with the provisions of the �Administrative Procedure
Act,� P.L.1968, c.410 (C.52:14B-1 et seq.).

���� f.���� The department may
maintain an action for an injunction or other process against any person to
restrain and prevent the person from engaging in any activity violating this
act.

���� g.��� A decision of the
commissioner shall be a final order of the department and shall be enforceable
in a court of competent jurisdiction. The department shall publish the final
adjudication issued in accordance with this section, subject to redaction or
modification to preserve confidentiality.

���� h.��� The provisions of this
section shall not limit the authority of the Attorney General
or the Public
Advocate, as established pursuant to P.L.��� , c.��� (C.������� ) (pending
before the Legislature as this bill)
from instituting or maintaining any
action within the scope of
[
the
Attorney General's
]

their
authority with respect to the practices prohibited under this act.

(cf: P.L.2010, c.34, s.12)

���� 14. Section 2 of P.L.1991,
c.428 (C.48:2-21.17) is amended to read as follows:

���� 2.��� As used in this act:

���� �Alternative form of
regulation� means a form of regulation of telecommunications services other
than traditional rate base, rate of return regulation to be determined by the
board and may include, but not be limited to, the use of an index, formula,
price caps, or zone of rate freedom.

���� �Assess� means, in relation to
the Director of the Division of Rate Counsel
[
in, but not of, the
Department of the Treasury
]

in the Department of the
Public Advocate
, the making of any assessment or statement of the
compensation and expense of counsel, experts and assistants employed by rate
counsel and billed by the Director of the Division of Rate Counsel
[
in,
but not of, the Department of the Treasury
]

in the Department of the
Public Advocate
as a final agency order or determination to a local
exchange telecommunications company or an interexchange telecommunications
carrier filing a petition with the Board of Regulatory Commissioners pursuant
to the provisions of this act.

���� �Board� means the Board of
Regulatory Commissioners or its predecessor agency.

���� �Competitive service� means
any telecommunications service determined by the board to be competitive prior
to the effective date of this act or determined to be competitive pursuant to
section 4 or 5 of this act, or any telecommunications service not regulated by
the board.

���� �Interexchange
telecommunications carrier� means a carrier, other than a local exchange
telecommunications company, authorized by the board to provide long-distance
telecommunications services.

���� �LATA� means Local Access
Transport Area as defined by the board in conformance with applicable federal
law.

���� �Local exchange
telecommunications company� means a carrier authorized by the board to provide
local telecommunications services.

���� �Protected telephone services�
means any of the following telecommunications services provided by a local
exchange telecommunications company, unless the board determines, after notice
and hearing, that any of these services is competitive or should no longer be a
protected telephone service: telecommunications services provided to business
or residential customers for the purpose of completing local calls; touch-tone
service or similar service; access services other than those services that the
board has previously found to be competitive; toll service provided by a local
exchange telecommunications company; and the ordering, installation and
restoration of these services.

���� �Rate counsel� means the
Division of Rate Counsel
[
in, but not of, the Department of
the Treasury
]

in the Department of the Public
Advocate
acting pursuant to sections 46 through 54 of P.L.2005,
c.155 (C.52:27EE-46 through C.52:27EE-54), as amended and supplemented by
[
P.L.2010, c.34
(C.52:27EE-86 et al.)
]

P.L.��� , c.��� (C.������� ) (pending before the Legislature as this bill)
.

���� �Telecommunications service�
means any telecommunications service which is subject to regulation by the
board pursuant to Title 48 of the Revised Statutes.

(cf: P.L.2010, c.34, s.13)

���� 15. Section 1 of P.L.1995,
c.180 (C.48:2-21.24) is amended to read as follows:�

���� 1.�� The Legislature finds and
declares that it is the policy of the State to foster the production and
delivery of electricity and natural gas in such a manner as to lower costs and
rates and improve the quality and choices of service for all of the State's
consumers and to thereby ensure that New Jersey remains economically
competitive on a regional, national and international basis; to implement
programs which effectuate the economic development goals of attracting and
retaining business, maintaining and creating jobs and enhancing the economic
vitality of the State; to achieve federal and State environmental objectives in
a cost effective manner; to promote secure energy supplies and service to end
users, and the efficient use, production and procurement of energy; to maintain
universal access to reliable electric and gas utility service; and to reduce
unnecessary and costly regulatory oversight.�

���� �The Legislature further finds
and declares that competitive market forces can produce improved quality and
choices of energy services at lower costs, as well as promote efficiency,
reduce regulatory delay, foster productivity and innovation; that in a fully
competitive marketplace, traditional utility regulation may not be required to
protect the public interest; and that to varying degrees, competitive forces
now pervade the wholesale electric power and natural gas markets and some
segments of the retail markets in these industries.�

The Legislature
further finds and declares that the Division of
[
the Ratepayer Advocate
]

Rate
Counsel in the Department of the Public Advocate
has the authority,
pursuant to
[
Reorganization
Plan No. 001-1994,
]

P.L.��� , c.��� (C.������� ) (pending before the Legislature as this bill)

to appear before the Board of Public Utilities in any matters that affect the
rates of public utility customers; that this act does not modify that
authority; and that the Division of
[
the
Ratepayer Advocate
]

Rate Counsel
therefore has full authority to intervene in matters filed
with the Board of Public Utilities that are authorized by
[
this act
]

P.L.1995,
c.180 (C.48:2-21.24 to
48:2‑21.30
).
�

���� �The Legislature therefore
determines that, whenever practicable, in the interests of ratepayers and
otherwise consistent with the policy goals of this act, the Board of Public
Utilities should implement programs that promote a transition to a market-based,
competitive environment for the production and delivery of natural gas and
electricity; that during a transitional phase aimed at achieving the long-term
goal of lower electricity and natural gas costs to consumers, it may be
necessary for the Board of Public Utilities to implement short-term measures to
promote and enhance economic development and employment in the State and
otherwise permit utilities to compete for customers with competitive
alternatives; that transitional programs that align ratepayer and utility
interests in cost management and foster greater innovation and productivity
gains within the utility can help achieve the policy goals of this act; that
during the transition to a market-based, competitive environment, the Board of
Public Utilities must adopt guidelines that ensure that the transitional
regulation produces tangible benefits for ratepayers as compared to the
traditional form of regulation and that no cross-subsidization exists between
or among classes of customers; and that the Board of Public Utilities should,
subject to the provisions of this act, continue to regulate the price and
quality of electricity and natural gas service under traditional rate base,
rate of return regulation in those segments of the marketplace where full and
effective competition does not exist or whenever the board determines that
energy consumers are better served thereby.�

���� �The Legislature further
determines that alternative forms of regulation shall be designed to achieve
the State's objective of lowering rates for New Jersey consumers.�

(cf: P.L.1995, c.180, s.1)

���� 16. Section 3 of P.L.1995,
c.180 (C.48:2-21.26) is amended to read as follows:

���� 3.� a.� No later than October
18, 1995 and notwithstanding any provision of the �Administrative Procedure
Act,� P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the Board of Public
Utilities shall initiate a proceeding and shall adopt, after notice, provision
of the opportunity for comment, and public hearing, specific standards
regarding minimum prices, confidentiality standards, maximum contract duration,
filing requirements, and such other standards as the board may determine are
necessary for off-tariff rate agreements consistent with this act.� Any
subsequent modification of the standards that is adopted by the board shall be
adopted pursuant to the �Administrative Procedure Act,� P.L.1968, c.410
(C.52:14B-1 et seq.).� �����

���� b.��� After the adoption by
the board of specific standards pursuant to subsection a. of this section, an
electric public utility may, within seven years of July 20, 1995, enter into an
off-tariff rate agreement with an individual retail customer pursuant to the
provisions of sections 3 and 4 of P.L.1995, c.180 (C.48:2-21.26 and
48:2-21.27).� The provisions of sections 3 and 4 shall not apply to an
off-tariff rate agreement entered into by an electric public utility after that
seven-year period, except as otherwise provided by the board.� Notwithstanding
the seven-year limitation imposed pursuant to this subsection, an off-tariff
rate agreement that is entered into during that seven-year period shall remain
in effect until its expiration pursuant to the terms of the agreement.

���� c.���� An off-tariff rate
agreement shall be filed with the board a minimum of 30 days prior to its
effective date along with sufficient information to demonstrate that the
off-tariff rate agreement meets the conditions established in subsection d. of
this section and the standards established pursuant to subsection a. of this
section.� The entire agreement shall be available to the public, except that a
public utility may petition the board to keep confidential certain parts of the
agreement or supporting documentation that are competitively sensitive.� Upon
petition by the public utility, the board may classify as confidential any part
of the agreement that is found to contain competitively sensitive information
that, if revealed, would harm the competitive position of either party to the
agreement.� A copy of the off-tariff rate agreement and supporting information
shall be served simultaneously upon the
[
Director
of the
]

Division of
[
the
Ratepayer Advocate
]

Rate Counsel in the Department of the Public Advocate
, or its
successor agency.� The staff of the board and the division shall have full
access to all portions of the agreement and to any supporting documentation,
subject to a standard non-disclosure agreement to be approved by the board. The
board or its staff shall review the agreement, and upon review the board may
delay its implementation if it requires additional time to review the agreement
or shall disapprove the agreement upon a finding that it does not meet the
conditions established in subsection d. of this section and the standards
established pursuant to subsection a. of this section.� If the board does not
issue notice that it is delaying implementation for further review or that it
disapproves the agreement, the utility may implement the off-tariff rate
agreement.

���� An off-tariff rate agreement
implemented pursuant to this subsection shall not include any reduction in the
gross receipts and franchise tax or a successor tax pursuant to P.L.1997, c.162
(C.54:30A-100 et seq.).

���� d.��� An off-tariff rate
agreement implemented pursuant to this section prior to the effective date of
retail competition as provided in subsection a. of section 5 of P.L.1999, c.23
(C.48:3-53) may establish a price for electricity to a retail customer that is
different from, but in no case higher than, that specified in the utility's
current cost-of-service based tariff rate otherwise applicable to that
customer.� An off-tariff rate agreement implemented pursuant to this section on
or after the effective date of retail competition as provided in subsection a.
of section 5 of P.L.1999, c.23 (C.48:3-53) may establish a price for the
transmission or distribution of electricity to a retail customer that is
different from, but in no case higher than, that specified in the electric
public utility's current cost-of-service based tariff rate for transmission or
distribution service otherwise applicable to that customer.� An off-tariff rate
agreement shall be subject to the following conditions:�

���� (1)�� There shall be no
retroactive recovery by the utility from its general ratepayer base of any
revenue erosion that occurs prior to the conclusion of the utility's next base
rate case.� Subsequent to the conclusion of the utility's next base rate case,
any such recovery shall be prospective only and in accordance with section 4 of
P.L.1995, c.180 (C.48:2-21.27).�

���� (2)�� In no event shall any
customer be required to enter into an off-tariff rate agreement.�

���� (3)�� An off-tariff rate for
electricity at a minimum shall equal the sum of the following:

���� (a)�� the electric public
utility's marginal cost to provide transmission or distribution service to the
customer over the term of the off-tariff rate agreement,

���� (b)�� the per kilowatt hour
contribution to the societal benefits charge, market transition charge, and
transition bond charge, as established pursuant to P.L.1999, c.23 (C.48:3-49 et
al.) and otherwise chargeable under the standard applicable rate schedule, and

���� (c)�� a floor margin to be
specified by the board pursuant to subsection a. of this section, which shall
constitute the minimum contribution by an off-tariff customer toward a public
utility's fixed transmission and distribution costs.

���� (4)�� Evidence of a
comprehensive energy audit of the customer's facility must be submitted to the
utility prior to the effective date of the off-tariff rate agreement, in order
to ensure that the customer has evaluated cost-effective energy efficiency and
demand side management measures at its facility as part of its efforts to
reduce electricity costs.

���� (5)�� The term of the
off-tariff rate agreement shall not exceed a maximum number of years, to be
specified by the board pursuant to subsection a. of this section, except that
the term of an off-tariff rate agreement may exceed the maximum contract term
established by the board, only with the prior review and approval of the board
on a case by case basis.

���� (6)�� The electric public
utility shall not make the provision of any competitive service or basic
generation service offered by the public utility or its related competitive
business segment to the customer a pre-condition to the offering of or
agreement to an off-tariff rate agreement.

���� (7)�� The utility shall submit
any information required by the filing requirements established pursuant to
subsection a. of this section.

���� e.���� Each electric public
utility shall file with the board and the
[
Director
of the
]

Division of
[
the
Ratepayer Advocate
]

Rate Counsel in the Department of the Public Advocate
, on a
periodic basis to be determined by the board, a report, which shall be made
available to the public, that includes the number of off-tariff rate contracts
implemented, the aggregate expected revenues and margins derived thereunder,
and an estimate of the aggregate differential between the revenues produced
under the off-tariff rate agreements and the revenues that would have been
produced under a standard board-approved tariff rate, so that the board can
evaluate the total impact of off-tariff rate agreements on the financial
integrity of the utility and on its ratepayers.

���� f.���� Upon notice and
hearing, the board may suspend an electric public utility's implementation of
additional off-tariff rate agreements based upon information in the report
filed pursuant to subsection e. of this section or with other good cause.� The
board may suspend additional off-tariff rate agreements during the pendency of
any such hearings.

(cf: P.L.1999, c.23, s.53)

���� 17. Section 5 of P.L.1995,
c.180 (C.48:2-21.28) is amended to read as follows:

���� 5.� a.� An electric or gas
public utility may petition the Board of Public Utilities to be regulated under
an alternative form of regulation for its distribution system only, for the
setting of prices for all or a portion of its retail customer base, or for the
purpose of creating incentives consistent with the provisions of this act
without changing the rate reductions for the sustained period as set forth
under section 4 of P.L.1999, c.23 (C.48:3-52), no earlier than 12 months after
the starting date of retail competition as provided in subsection� a. of
section 5 of P.L.1999, c.23 (C.48:3-53).� The public utility shall submit its
plan for an alternative form of regulation with its petition.� The public
utility shall also file its petition and plan concurrently with
[
the Director
of
]

the Division of
[
the
Ratepayer
]

Rate Counsel in the Department of the Public
Advocate, or its
successor.� The public utility shall provide, within 15 days of the filing of
its petition and plan, notice of the specific filing to the clerk of each
municipality, to the clerk of each board of Chosen Freeholders, and to each
county executive, in the service territory of the public utility.� The public
utility shall also provide, within 15 days of the filing, public notice to its
customers of the filing, either by notice in a newspaper that has a general
circulation in its service territory or by bill inserts as directed by the
board.� The board shall review the plan and may approve the plan, or approve it
with modifications, if the board finds, after notice and hearing, that the plan
will provide benefits to customers of the public utility, and that the plan
meets the following standards:

���� (1)�� Will further the State's
objective of producing lower rates for New Jersey consumers;

���� (2)�� Will provide incentives
for the utility to lower its costs and rates;

���� (3)�� Will provide incentives
to improve utility efficiency and productivity;

���� (4)�� Will foster the
long-term delivery of electricity or natural gas in a manner that will improve
the quality and choices of service;

���� (5)�� Includes a mechanism for
the board to monitor and review the plan on a periodic basis over its term and
to take appropriate actions if it is found that the plan is not achieving its
intended results;

���� (6)�� Will maintain or improve
pre-existing service quality standards, except that an individual customer may
agree to accept lower quality service. A public utility shall continue to
provide safe, adequate and proper service pursuant to R.S.48:2-23;

���� (7)�� Will not result in
cross-subsidization among or between groups of utility customers, or between
the portion of the utility's business or operations subject to the alternative
form of regulation and the portion of the utility's business or operations that
is not subject to the alternative form of regulation;

���� (8)�� Will reduce regulatory
delay and cost;

���� (9)�� Is in the public
interest and will produce just and reasonable rates;

���� (10)� Will enhance economic
development in the State;

���� (11) Will not discourage
energy efficiency or distributed generation as alternatives to distribution
plant investment and will explore ways to remove the linkage between retail
throughput and the recovery of fixed and stranded costs; and

���� (12)� Is otherwise consistent
with the provisions of P.L.1999, c.23 (C.48:3-49 et al.).

���� In preparation for the
development of such plans, each electric public utility shall begin to collect
distribution cost data that will be needed to evaluate accurately alternatives
to traditional infrastructure investments.

���� b.��� Consistent with the
provisions of P.L.1995, c.180 (C.48:2-21.24 et seq.), and provided that the
plan meets the standards established in subsection a. of this section, the
board may approve a plan for an alternative form of regulation that permits a
gas or electric public utility to establish a rate for a group of retail
customers without a finding of rate base and reasonable rate of return pursuant
to the pre-existing provisions of Title 48 of the Revised Statutes, if the
board determines that the rate being charged by the utility to a retail
customer is no lower than a minimum price that is determined by the board to
prevent anti-competitive pricing and that:

���� (1)�� The group of customers
has access to a competitive market for supply of power to its site and that
market pricing of delivery services for that group of customers is thereby
appropriate; or

���� (2)�� The group of customers
has otherwise voluntarily agreed in writing to accept a price that has not been
established based upon rate base and reasonable rate of return standards
pursuant to Title 48 of the Revised Statutes; or

���� (3)�� At the time of the
plan's approval, the level of retail prices of the utility for the group of
customers is determined to be reasonably reflective of the level necessary to
produce a fair and reasonable rate of return pursuant to a current evaluation
under pre-existing standards of Title 48 of the Revised Statutes, and that the
plan provides mechanisms for prospective adjustments to rates that will track
trends in utility rates.

���� c.���� (Deleted by amendment,
P.L.1999, c.23).

���� d.��� An alternative
regulation plan as provided for in this section shall not include any mechanism
for:

���� (1)�� Recovery of revenue
erosion from other ratepayers; or

���� (2)�� A reduction in the gross
receipts and franchise tax or a successor tax pursuant to P.L.1997, c.162
(C.54:30A-100 et seq.).

���� e.���� The board may require
an independent audit or such accounting and reporting systems from electric and
gas utilities as are necessary to allow a proper allocation of investments,
costs or expenses for all services provided under the provisions of P.L.1995,
c.180 (C.48:2-21.24 et seq.) that are subject to the jurisdiction of the board.

���� f.���� Consistent with the
provisions of this section, the Legislature hereby authorizes and directs the
New Jersey Economic Development Authority, in conjunction with the Board of
Public Utilities, to establish the New Jersey Senior and Alternate Vital Energy
(NJ SAVE) program for the purpose of funding capital improvements of natural
gas distribution facilities, and for purchase and installation of natural gas
heating equipment and appliances located on the premises of homeowners, where
those homeowners reside in all-electric homes in age-restricted communities.

���� The authority may issue bonds
on behalf of gas public utilities, the proceeds of which may be used for the
purpose of distributing in the form of loans to eligible customers for the
purpose of allowing such customers to pay home heating and appliance conversion
costs and the customer's contribution, to the extent applicable, to gas
distribution system extension costs required to serve those customers.

���� The gas public utility shall
be permitted to assess a meter charge, as approved by the board, to recover the
funds to repay loan principal and interest.� Monies collected by the gas public
utility as a result of such meter charge shall be utilized by the gas public
utility to repay the bonds issued by the authority.� Nothing in this section
shall be construed to relieve the gas public utility of its obligation to repay
any bonds issued by the authority.

(cf: P.L.1999, c.23, s.55)

���� 18. Section 7 of P.L.1995,
c.180 (C.48:2-21.30) is amended to read as follows:�

���� 7. Nothing in
[
this act
]

P.L.1995,
c.180 (C.48:2-21.24 to
48:2‑21.30
)
shall be construed to alter or diminish in any way the authority of the
Division of
[
the
Ratepayer Advocate
]

Rate Counsel in the Department of the Public Advocate
to
participate in any proceeding before the Board of Public Utilities that may
affect the rates that are charged to customers of an electric public utility.�

(cf: P.L.1995, c.180, s.7)

���� 19. Section 67 of P.L.1997,
c.162 (C.48:2-21.34) is amended to read as follows:�

���� 67. a. As used in this
section:

���� �Base rates� means the rates,
including minimum bills, charged for utility commodities or service subject to
the board's jurisdiction, other than the rates charged under a utility's
levelized energy adjustment clause, hereinafter �LEAC,� or levelized gas
adjustment clause, hereinafter �LGAC,� or equivalent rate provision;

���� �Base year� means the calendar
year 1996;

���� �Board� means the Board of
Public Utilities;

���� �Manufacturing facility� means
a facility:

���� (1)�� with respect to which
the owner of the facility shall have entered into an off-tariff rate agreement
with an electric public utility, pursuant to the provisions of P.L.1995, c.180
(C.48:2-21.24 et seq.);

���� (2)�� that manufactures
products made from using �postconsumer material,� as that term is defined in
section 247.3 of title 40, Code of Federal Regulations, and other recovered
material feedstocks that meet the requirements of the Comprehensive Procurement
Guideline For Products Containing Recovered Materials as promulgated by the
United States Environmental Protection Agency in section 247.1 et seq. of title
40, Code of Federal Regulations, pursuant to the �Resource Conservation and
Recovery Act,� Pub.L.94-580 (42 U.S.C. s.6901 et seq.) and Executive Order No.
13101, issued by the President of the United States on September 14, 1998,
provided that at least 75 percent of the manufacturing facility's total annual
sales dollar volume of such products that are produced in New Jersey meet the
recycled content standards within such guidelines;

���� (3)�� for which a �comprehensive
energy audit,� as that term is defined in section 2 of P.L.1995, c.180
(C.48:2-21.25), shall have been undertaken within 90 days after the effective
date of P.L.2007, c.94 (C.48:2-21.36 et al.), which audit shall have evaluated
cost-effective energy efficiency and conservation measures as part of the
efforts to reduce energy costs;

���� (4)�� that has been in
operation in this State for at least 25 years as of the effective date of
P.L.2007, c.94 (C.48:2-21.36 et al.); and

���� (5)�� at which at least 800
employees are employed on the first business or work day after the expiration
of such off-tariff rate agreement;

���� �Postconsumer material
manufacturing facility� means a facility that:

���� (1)�� received service under
an electric public utility rate schedule that applied only to the owner of the
facility on January 1, 2004;

���� (2)�� manufactures products
made from �postconsumer material,� as that term is defined in 40 C.F.R.
s.247.3; provided however, that not less than 75 percent of the facility's
total annual sales dollar volume of such products produced in this State meet
the definition of �postconsumer material�;

���� (3)�� completed a �comprehensive
energy audit,� as that term is defined pursuant to section 2 of P.L.1995, c.180
(C.48:2-21.25), not more than 48 months before but not later than 90 days after
the effective date of P.L.2009, c.90 (C.52:27D-489a et al.); and

���� (4)�� employed, individually
or collectively with affiliated facilities, not less than 150 employees in this
State on April 1, 2009;

���� �Sales and use tax� means the
sales and use tax liability computed on sales and use of energy and utility
service as defined in section 2 of P.L.1966, c.30 (C.54:32B-2);

���� �Utility� means a public
utility subject to regulation by the board pursuant to Title 48 of the Revised
Statutes; and

���� �Utility service� means the
supply, transmission, distribution or transportation of electricity, natural
gas or telecommunications services or any combination of such commodities,
processes or services.

���� b.��� No later than 60 days
after the date this act is enacted, each electric, gas and telecommunications
utility subject to the provisions of this act shall file with the board, and
shall simultaneously provide copies to the
[
Director
of the
]
Division
of
[
the
Ratepayer Advocate
]

Rate Counsel in the Department of the Public Advocate
,
revised tariffs and such other supporting schedules, narrative and
documentation required by this act, as set forth in this section, to reflect in
the utility's rates the changes in tax liability effected pursuant to this
act.� No later than 90 days after the date of the utility's filing, and after
determining that the filing and the rate changes provided for therein are in
compliance with the provisions of this act, the board shall approve the
utility's filing and associated rates for billing to the utility's customers,
effective for utility service rendered on and after January 1, 1998.� If the
board determines that the utility's filing and the associated rate changes
provided for therein are not in compliance with the provisions of this act, the
board shall require the utility to amend or otherwise modify its filing to
render it in compliance.� The board may also permit the rates provided for in
the utility's filing to be implemented on an interim basis pending the board's
final determination in the event the board, in its discretion, determines that
due to the filing's complexity, or for other valid reasons, including but not
limited to the enactment of this act after June 30, 1997, additional time is
needed for the board to complete its review of the filing.� If the rates
approved by the board upon its final determination are less than the rates
implemented on an interim basis, the difference shall be refunded to the
utility's customers with interest computed in accordance with
N.J.A.C.14:3-7.5(c).� The rate adjustments implemented pursuant to this act
shall not constitute a fixing of rates pursuant to R.S.48:2-21 and shall not be
subject to the hearing requirements set forth in that section.

���� c.���� As of the effective
date of the rate changes implemented pursuant to this act, and except for rates
applicable to sales that were or are currently exempt from the unit-based
energy taxes formerly imposed pursuant to P.L.1940, c.5 (C.54:30A-49 et seq.)
and rates applicable to sales to which section 59 of P.L.1997, c.162
(C.48:2-21.31) applies, the board shall remove from the base rates of each
electric public utility and gas public utility the unit tax rates included
therein for the recovery of those unit-based energy taxes, and include therein
provision for the recovery of corporation business tax imposed pursuant to
P.L.1945, c.162 (C.54:10A-1 et seq.), and additionally shall authorize the
collection of the sales and use tax imposed pursuant to P.L.1966, c.30
(C.54:32B-1 et seq.), as follows:

���� (1)�� The base rates of each
gas and electric utility shall be reduced by the amount of the unit-based
energy taxes per kilowatthour or per therm included therein.

���� (2)�� The provision for
corporation business tax initially included in the base rates of each gas and
electric utility shall be based on the utility's after-tax net income earned in
the base year as booked, unless the board determines, in its discretion, that such
income as booked is unusually high or low or otherwise unrepresentative of the
utility's prospective net income, in which case the utility's base year net
income shall be adjusted as determined by the board.

���� To permit the board to make
this determination, in addition to including in its filing schedules showing
its net income earned in the base year as booked, the utility shall include
adjustments to such booked income to eliminate the effect of revenues, expenses
and extraordinary or other charges that are non-recurring, atypical, or both,
including, but not limited to an adjustment to eliminate the effect of
unusually hot or cold weather, and that would otherwise make the utility's base
year net income unusually high or low or otherwise unrepresentative of the
utility's prospective net income.� If the adjustment is being made to eliminate
the effect of unusually hot or cold weather, associated revenue and expense
adjustments shall also be made.� Subject to the board's approval, such adjusted
income shall be the basis for the calculation of the initial provision for
corporation business tax to be included in the utility's base rates.

���� The utility shall also include
a calculation of its rate of return on common equity achieved in the base year,
both as booked and as adjusted in accordance with the foregoing.� The
calculation shall be made employing the methodology set forth in N.J.A.C.14:12-4.2(b)1,
and shall separately show the effect of reflecting adjustments to the
calculation, if any, that may have been employed historically in establishing
the utility's rate of return on common equity allowed for ratemaking purposes.�
The utility's filing shall also include copies of its audited financial
statements for the base year and associated quarterly and other reports filed
with the Securities and Exchange Commission.

���� To reflect the provision for
corporation business tax in base rates, the demand charges, or charges per
kilowatt, decatherm or million cubic feet; the energy charges, or charges per
kilowatthour or per therm; and the customer charges, or charges other than
demand and energy charges, set forth in each base rate schedule, and the floor
price employed in parity rate schedules, included in the utility's tariff filed
with and approved by the board shall be increased by amounts determined by
multiplying such charges by the adjustment factor, �A e, g� derived below:

����������� A e, g =���������� ������
((I e, g) x (Rs/(1-Re))

���� ��� �������������������������� -------------------------------------

����������������������������������������������� ��������
(Br e, g)

���� where:

���� �A e, g� means the adjustment
factor applicable to electric base rates (e), gas base rates (g), or both,
other than rates applicable to sales that were exempt from unit-based energy
taxes formerly imposed pursuant to P.L.1940, c.5 (C.54:30A-49 et seq.) or to
which section 59 of P.L.1997, c.162 (C.48:2-21.31) applies;

���� �I e, g� means the utility's
base year after-tax net income from electric or gas sales, or both, and
transportation service subject to the board's jurisdiction and other operating
revenue if such revenue is reflected in the utility's cost of service for
ratemaking purposes, adjusted as approved by the board;

���� �Br e, g� means the utility's
base year revenue from base rates applicable to electric or gas sales, or both,
and transportation service subject to the board's jurisdiction, but excluding
sales that were exempt from unit-based energy taxes formerly imposed pursuant
to P.L.1940, c.5 (C.54:30A-49 et seq.) or to which section 59 of P.L.1997,
c.162 (C.48:2-21.31) applies;

���� �Rs� means the corporation
business tax rate, expressed as a decimal;

���� �Rf� means the applicable
federal corporation income tax rate expressed as a decimal; and

���� �Re� equals Rs + Rf(1-Rs).

���� The utility shall account for
the changes in tax liability provided for by this act effective January 1,
1998.� Such accounting shall include the recording on the utility's income
statement and balance sheet of deferred corporation business tax defined, for
book accounting purposes, as differences in corporation business tax expense
arising from timing differences in the recognition of revenue and expenses for
book and tax purposes.

���� (3)�� When billed to the
utility's customers, the adjusted base rate charges determined pursuant to
paragraphs (1), (2), and (4) of this subsection, and the charges determined
pursuant to the utility's levelized energy adjustment clause, levelized gas
adjustment clause, or both, as determined both upon the effective date of the
rate changes authorized by this act and as revised prospectively in accordance
with the utility's tariff filed with and approved by the board, and the
transitional energy facility assessment unit rate surcharges, hereinafter, �TEFA
unit rate surcharges,� determined in accordance with subsection d. of this
section, shall be increased by an amount determined by multiplying such charges
by the sales and use tax rate imposed under P.L.1966, c.30 (C.54:32B-1 et
seq.).� In addition to the utility's rates for service included in its tariff,
for informational purposes the tariff shall include such rates after
application of the sales and use tax authorized by this section.

���� (4)�� The utility's filing
with the board to implement the rate changes provided for by this act shall
include an analysis, description, and quantification of the effect of the
changes in rates and tax payments implemented pursuant to this act on the
utility's requirement for cash working capital, and if such requirement is less
than the cash working capital allowed for the collection and payment of
unit-based energy taxes formerly imposed pursuant to P.L.1940, c.5 (C.54:30A-49
et seq.) in determining the utility's base rates in effect prior to the rate
changes implemented pursuant to this act, and to the extent the working capital
reduction is not offset by a reduction in net deferred taxes as provided for
below, such base rates shall be reduced by the reduction in the utility's
revenue requirement associated with the remaining reduction in the working
capital requirement not so offset, if any.� The reduction in working capital
shall be determined by using the same methodology employed in establishing the
working capital allowance related to unit-based energy taxes reflected in the
utility's base rates in effect prior to the rate changes implemented pursuant
to this act.� The reduction in the utility's revenue requirement associated
with the reduced working capital requirement shall be calculated using the
utility's last overall rate of return allowed by the board, including provision
for federal income taxes and the corporation business tax implemented pursuant
to this act payable on the equity portion of the return, and shall be
implemented on the effective date of the rate changes provided for, and in the
manner set forth in paragraph (2) of this subsection.

���� If the utility's requirement
for cash working capital is increased as a result of the changes in rates and
tax payments implemented pursuant to this act, the utility may accrue carrying
costs, calculated at its last overall rate of return allowed by the board and
applied on a simple annual interest basis without compounding, on the increased
working capital requirement and request recovery of such carrying costs in a
rate proceeding before the board.

���� The working capital-related
base rate changes and carrying cost accruals shall be subject to the board's
approval, and shall not be included in the determination of the TEFA unit tax
surcharges provided for in subsection d. of this section.

���� The utility's filing with the
board to implement the rate changes provided for by this act shall also include
an analysis, description and quantification of net deferred taxes.� For the
purposes of this section, �net deferred taxes� means deferred corporation
business taxes, net of federal deferred income taxes, associated with the tax
and rate changes implemented pursuant to this act, including deferred
corporation business tax recorded in accordance with section 4 of P.L.1945, c.162
(C.54:10A-4), projected for the calendar year in which this act takes effect
and for each year of the tax life of the asset giving rise to the deferred
corporation business taxes pursuant to section 4 of P.L.1945, c.162
(C.54:10A-4).

���� If the change in such net
deferred taxes projected for the calendar year in which the rate changes
implemented pursuant to this act take effect is negative and if the utility's
requirement for working capital is reduced as a result of the changes in rates
and tax payments implemented pursuant to this act, the working capital-related
rate reduction that otherwise would have been implemented pursuant to this
subsection shall be treated as set forth in subparagraph (a) or (b) of this
paragraph.� For the purposes of this act, a change in net deferred taxes is
considered negative when it reduces an existing deferred tax liability or
creates a deferred tax asset on the utility's balance sheet.� An appropriate
rate adjustment for the working capital impacts of this act, reflecting all
relevant facts and circumstances at the time of the adjustment, shall be made
in the year when the earlier of the following events occur:

���� (a)�� The year in which the
reduction in carrying costs assumed for the rate reduction for working capital
that would have been made but for this paragraph is no longer required to
offset, on a present value basis, the annual carrying costs calculated on the accumulated
balance of negative net deferred taxes projected to be recorded by the utility,
its successors and assigns, over the tax life of the single asset account
giving rise to such net deferred taxes pursuant to section 4 of P.L.1945, c.162
(C.54:10A-4).� For the purposes of this subparagraph (a):

���� (i)��� Carrying costs and
present values are to be computed using the weighted average after-tax rate of
return approved by the board in the utility's last base rate proceeding.

���� (ii) The accumulated balance
of such negative net deferred taxes shall include net deferred taxes associated
with all assets and liabilities originally placed in service by the utility and
held by the utility or a company affiliated with the utility regardless of
whether or not such assets continue to be subject to regulation by the New
Jersey Board of Public Utilities.

���� (b)�� The year in which both
an appropriate working capital adjustment and the accumulated balance of
negative deferred taxes, as described in sub-subparagraph (ii) of subparagraph
(a) of this paragraph (4), are reflected in the utility's rate base in a rate proceeding
before the board.� It is the intent of this section to fully compensate
utilities on a present value basis, for the carrying costs associated with
negative net deferred taxes arising as a result of this act, and to remit to
ratepayers any credit due them as a result of any overcompensation as may have
occurred due to the treatment of working capital and deferred taxes as set
forth herein or in subparagraph (a) of this paragraph (4). At the time the
above base rate adjustment is made, an analysis shall be made to determine if
such carrying costs have been or will be fully recovered pursuant to the intent
of this provision and any additional credit or charge to ratepayers to adjust
for ratepayer overpayments or underpayments, if any shall be addressed.

���� If the change in net deferred
taxes is positive, the increase shall be added to, or increase, the reduction
in the utility's requirement for working capital if the requirement is reduced
as a result of the rate and tax payment changes implemented pursuant to this
act, or subtracted from the working capital requirement if it is increased, and
the resultant net working capital requirement shall be reflected in rates or
accrue carrying costs in the same manner as prescribed for changes in the
utility's requirement for working capital above.

���� The deferred tax-related rate
changes or carrying cost accruals shall be subject to the board's approval and
shall not be included in the determination of the TEFA unit rate surcharges
provided for in subsection d. of this section.

���� d. (1) Electric and gas
utilities shall file, for the board's review and approval, initial TEFA unit
rate surcharges determined by deducting from each unit-based energy tax unit
tax rate effective January 1, 1997 the following:

���� (a)�� An amount per
kilowatthour or per therm determined by multiplying the total revenue received
in the base year from sales to which that unit tax rate would have been
applicable by the factor Ru/(1 + Ru), where Ru is the sales and use tax rate
imposed under P.L.1966, c.30 (C.54:32B-1 et seq.) expressed as a decimal, and
dividing the result by the kilowatthours or therms billed in that unit tax rate
class in the base year; and

���� (b)�� An amount per
kilowatthour or per therm determined by dividing the revenue that would have
been received in the base year from the inclusion, in the manner prescribed in
paragraph (2) of subsection c. of this section, of the corporation business tax
in the rates applicable to sales billed in that unit tax rate class by the
kilowatthours or therms billed in that rate class. In each case, the
determination shall reflect the effect of adjustments that affect the level of
sales and revenue, if any, as provided in subsection c. of this section.� Of
the resultant rate per kilowatthour or per therm, the portion for recovery of
the utility's transitional energy facilities assessment liability shall be
determined by multiplying such rate by the factor (1 - Rs), where Rs is the
corporation business tax rate expressed as a decimal.

���� The TEFA unit rate surcharges
shall constitute non-bypassable wires and/or mains charges of the utility, and
shall be applied to all sales within the customer classes to which they apply,
regardless of whether such customers are purchasing bundled or unbundled
services from the utility, but shall not be applied to sales:

���� (i)��� that were or are
currently exempt from unit-based energy taxes formerly imposed pursuant to
P.L.1940, c.5 (C.54:30A-49 et seq.) or to which section 59 of P.L.1997, c.162
(C.48:2-21.31) applies,

���� (ii)�� for a period of seven
years commencing on the first day after the expiration of an off-tariff rate
agreement, entered into or negotiated pursuant to the provisions of P.L.1995,
c.180 (C.48:2-21.24 et seq.), to a manufacturing facility for use or consumption
directly and primarily in the production of tangible personal property, other
than energy, and

���� (iii) for a period of seven
years beginning on January 1, 2010, to a postconsumer material manufacturing
facility for use or consumption directly and primarily in the production of
tangible personal property, other than energy.

���� Notwithstanding the provisions
of the exemption provided in� sub-subparagraph (ii) and sub-subparagraph (iii)
of subparagraph (b) of paragraph (1) of subsection d. of this section, the TEFA
unit rate surcharge shall be applied to the sales to the owner of the
manufacturing facility or the postconsumer material manufacturing facility and
the owner shall be refunded an amount equal to the TEFA unit rate surcharge
paid by the filing, within 30 days following the close of a calendar quarter in
which the exemption applies, of a claim with the� Director of the Division of
Taxation in the Department of the Treasury for a refund of the TEFA unit rate
surcharge paid, which refund shall be paid within� 60 days of the refund claim
being filed.� Proof of claim for refund shall be made by the submission of such
records and other documentation as the� director may require.� If the owner of
the manufacturing facility or the postconsumer material manufacturing facility
at any time during the exemption period provided in sub-subparagraph (ii) or
sub-subparagraph (iii) of subparagraph (b) of paragraph (1) of subsection d. of
this section relocates the manufacturing facility to a location outside of this
State, the owner shall pay to the� director the amount of TEFA unit rate
surcharge for which an exemption shall have been allowed and refund obtained
under this section.� The State Treasurer shall notify the director of the
relocation of a manufacturing facility or a postconsumer material manufacturing
facility to a location outside of this State, and the director shall issue a
tax assessment for the recapture of tax, equal to the amount of TEFA unit rate
surcharge for which an exemption shall have been allowed and refund obtained
under this section.� The recapture of tax shall be a State tax subject to the
State Uniform Tax Procedure Law, R.S.54:48-1 et seq., and shall be deposited in
the General Fund.

���� If, following the effective
date of this act, a customer taking bundled service from the utility shall
elect to obtain its requirements from another supplier and take transportation
or wheeling service from the utility, the TEFA unit rate surcharge applicable
to the bundled service shall continue to apply to the transportation or
wheeling service.� The TEFA components of the unit rate surcharges determined
pursuant to this subsection (the components of the surcharges remaining after
deducting the provision for corporation business tax included therein) shall be
used to determine the transitional energy facility assessment liability
pursuant to sections 36 through 49 of P.L.1997, c.162 (C.54:30A-100 through
C.54:30A-113).

���� (2)�� Unless reduced pursuant
to paragraphs (3) and (4) of this subsection, the initial TEFA unit rate
surcharges are to be reduced annually on January 1, 1999 through January 1,
2001 by the following percentages:

����������������������������������������������� January
1, 1999,�������� 20%

����������������������������������������������� January
1, 2000,�������� 40%

����������������������������������������������� January
1, 2001,�������� 60%

���� (3)�� For each year beginning
with calendar year 1998 and ending with calendar year 2001, the TEFA surcharge
adjustment shall be determined as the difference between:

���� (a)�� The sum of the
estimated, or actual when known, (i) TEFA liabilities, as defined in section 43
of P.L.1997, c.162 (C.54:30A-107), and sales and use taxes collected and
corporation business taxes booked for the year 1998 by the gas and electric
utilities and other entities subject to the TEFA provisions of this act (the
year 1998 liability), and (ii) the TEFA liabilities of those utilities and
entities in all years following the year 1998 through the year in which a
determination is being made pursuant to this subsection (the determination
year); and

���� (b)�� The sum of (i) the total
of each remitter's base year liability, as defined in section 37 of P.L.1997,
c.162 (C.54:30A-101), and (ii) the cumulative TEFA obligation, defined as the
sum through the determination year of the amounts calculated by multiplying,
for the applicable year, the percentage in the second column of the following
table:

����������������������������������������������� Determination
Year�������������� % of

����������������������������������������������������������������������������������������������� Year
1998

����������������������������������������������������������������������������������������������� TEFA

����������������������������������������������� -----------------------------------------------

����������������������������������������������� 1999��������������������������������������� 80%

����������������������������������������������� 2000��������������������������������������� 60%

by the Year 1998 TEFA,

where the Year 1998 TEFA is
calculated as the total of each remitter's base year liability less the sales
and use taxes collected and the corporation business taxes booked for the
privilege period ending in calendar year 1998 by the gas and electric utilities
and other entities subject to the TEFA provisions of this act.� For purposes of
this subsection, the amounts assumed for the determination year, including the
year 1998 liability when first determined for the purposes of this subsection,
shall be estimates based on nine months of actual data through and including
the month of September, and three months of data forecast for the months of
October through December.

���� (4)�� If the TEFA surcharge
adjustment determined for the determination year is positive (that is, if the
amount determined pursuant to subparagraph (a) of paragraph (3) of this
subsection is greater than the amount determined pursuant to subparagraph (b)
of paragraph (3) of this subsection), no reduction shall be made in the
reduction in the TEFA unit rate surcharges provided for in paragraph (2) of
this subsection for the year following the determination year.� If the TEFA
surcharge adjustment is negative, the reduction in the TEFA unit rate
surcharges that otherwise would have been implemented on January 1 of the year
following the determination year pursuant to paragraph (2) of this subsection
shall be reduced by an amount (by percentage points) equal to the percentage
the TEFA surcharge adjustment is of the total of the base year transitional
energy facility assessment of all remitters, as defined in section 37 of
P.L.1997, c.162 (C.54:30A-101), provided however, that such reduction in the
reduction in the TEFA unit rate surcharges shall not exceed the percentage
shown in paragraph (2) of this subsection for that year; and provided further
that in the first two years, that such reduction shall not exceed 10 percentage
points for each year.

���� (5)�� (a) The TEFA unit rate
surcharges for calendar years 2002 through� 2011 shall be the same as the TEFA
unit rate surcharges in effect for calendar year 2001.

���� (b)�� The TEFA unit rate
surcharges in effect for calendar year�� 2011 shall be reduced on January 1,
2012 and January 1, 2013 by the following percentages:

����������������������������������� January
1, 2012��������������������� � 25%

����������������������������������� January
1, 2013��������������������� � 50%

���� e.���� The utility's filing
with the board to implement the rate changes provided for by this act shall
include proof of revenue schedules that show for each rate schedule included in
the utility's tariff, aggregated by unit-based energy tax unit tax classes, the
number of customers billed under the rate schedule, the billing determinants of
such customers (i.e. the kilowatts of billing demand and kilowatthours of
electric energy consumed, and the million cubic feet/decatherm subject to gas
capacity-related charges and decatherm of gas consumed) and the associated
revenue, both as booked in the base year and on a pro forma basis reflecting
the rate changes implemented pursuant to this act.� The proof of revenue shall
additionally show the amount of unit-based energy taxes included in the base
year revenue as booked, the unit-based energy taxes that would have been
collected at the unit-based energy tax unit tax rates effective January 1,
1997, if different, as well as the corporation business tax, sales and use tax
and transitional energy facility assessment revenue that would have been
collected or received on a pro forma basis if the rates implemented pursuant to
this act had been in effect in the base year.

���� f.���� The board may, in its
discretion, permit the rate changes provided for in this act to be implemented
as part of a pending base rate case or other proceeding in which the utility's
rates are to be changed, provided that the effective date of the changes is not
delayed beyond the date on which the changes would have been implemented under
subsection c. of this section.� The board may also, pursuant to its powers
provided by law, permit or require further modifications in the implementation
of this section to address unforeseen consequences arising out of the
implementation of this act.

���� g.��� Customers of the utility
who are exempt from the sales and use tax imposed on sales of gas and/or
electricity or as a result of rate changes occurring prior to the effective
date of this act or for other valid reasons are due a refund of sales or use
tax inadvertently imposed on such customers as a result of implementing the
rate changes provided for by this act shall file with the State Treasurer to
obtain such refunds.� The State Treasurer shall promptly notify the utility of
customers granted refunds under this provision in order to prevent additional
collections of the sales and use tax from such customers.

���� h.��� Public utilities
providing telecommunications service regulated by the board shall file for the
board's review and approval revised tariffs that eliminate from the rates
applicable to such service the excise tax liability included therein pursuant
to P.L.1940, c.4 (C.54:30A-16 et seq.), and shall include therein the
corporation business tax calculated using the methodology used in calculating
the adjustment factor set forth in paragraph (2) of subsection c. of this
section.� Subsection d. of this section shall not apply to telecommunication
utilities, and telecommunication utilities subject to a plan of regulation
other than rate base/rate of return shall additionally not be required to file
the rate of return information required by paragraph (2) of subsection c.� Such
utilities shall, however, include a narrative and/or other documentation as
required by the board to support the reasonableness of the after-tax income,
which may be adjusted to eliminate the effect of non-recurring or other
atypical events, on which the corporate business tax inclusion in rates is
based. Telecommunications utilities shall comply with all other applicable
provisions of this section.

���� i. (1) The board shall not
adjust the rates of a public utility, as provided in subsections c. and d. of
this section, for a purchase by a cogenerator of natural gas and the
transportation of that gas, that is exempt from sales and use tax pursuant to
paragraph (2) of subsection b. of section 26 of P.L.1997, c.162
(C.54:32B-8.46).� The board shall not allocate, in any future rate case, any
sales and use tax, corporation business tax, or transitional energy facility
assessment to rates for this purpose.

���� (2)�� The board shall adjust
the rates, as provided in subsection c. of this section, for a purchase by a
cogenerator of any quantity of natural gas and the transportation of that gas
that is not exempt from sales and use tax pursuant to paragraph (2) of subsection
b. of section 26 of P.L.1997, c.162 (C.54:32B-8.46).

���� (3)�� For the purposes of this
section, �cogenerator� means a person or business entity that owns or operates
a cogeneration facility in the State of New Jersey, which facility is a plant,
installation or other structure whose primary purpose is the sequential
production of electricity and steam or other forms of useful energy which are
used for industrial, commercial, heating or cooling purposes, and which is
designated by the Federal Energy Regulatory Commission, or its successor, as a �qualifying
facility� pursuant to the provisions of the �Public Utility Regulatory Policies
Act of 1978,� Pub.L.95-617.

(cf: P.L.2009, c.90, s.51)

���� 20. Section 3 of P.L.2007,
c.94 (C.48:2-21.36) is amended to read as follows:

���� 3. a. As used in this section,
�manufacturing facility� means a facility:

���� (1)�� with respect to which
the owner of the facility shall have entered into an off-tariff rate agreement
with an electric public utility, pursuant to the provisions of P.L.1995, c.180
(C.48:2-21.24 et seq.);

���� (2)�� that manufactures
products made from using �postconsumer material,� as that term is defined in 40
C.F.R. s.247.3, and other recovered material feedstocks that meet the
requirements of the Comprehensive Procurement Guideline For Products Containing
Recovered Materials as promulgated by the United States Environmental Protection
Agency in 40 C.F.R. s.247.1 et seq., pursuant to the �Resource Conservation and
Recovery Act,� Pub.L.94-580 (42 U.S.C. s.6901 et seq.) and Executive Order No.
13101, issued by the President of the United States on September 14, 1998,
provided that at least 75 percent of the manufacturing facility's total annual
sales dollar volume of such products that are produced in New Jersey meet the
recycled content standards within such guidelines;

���� (3)�� for which a �comprehensive
energy audit,� as that term is defined in section 2 of P.L.1995, c.180
(C.48:2-21.25), shall have been undertaken within 90 days after the effective
date of P.L.2007, c.94 (C.48:2-21.36 et al.), which audit shall have evaluated
cost-effective energy efficiency and conservation measures as part of the
efforts to reduce energy costs;

���� (4)�� that has been in
operation in this State for at least 25 years as of the effective date of
P.L.2007, c.94 (C.48:2-21.36 et al.); and

���� (5)�� at which at least 800
employees are employed on the first business or work day after the expiration
of such off-tariff rate agreement.

���� b.��� An electric public
utility or a gas public utility may enter into an agreement with the owner of a
manufacturing facility that establishes a price for the transmission or
distribution of electricity or natural gas, as appropriate, to that
manufacturing facility that is different from, but in no case higher than, that
specified in the electric public utility's or gas public utility's current
cost-of-service based tariff rate for transmission or distribution service
otherwise applicable to the manufacturing facility.

���� c.���� The board shall approve
the agreement if such agreement meets all of the following conditions:

���� (1)�� The agreement shall be
filed with the board and the Division of Rate Counsel in the Department of the
[
Treasury
]

Public
Advocate
;

���� (2)�� The agreement shall
contain a provision that the owner of the manufacturing facility would have
relocated the facility outside of the State to a location where electric power
or natural gas supply could be obtained at a lower cost, had it not entered into
the agreement;

���� (3)�� There shall be no
retroactive recovery by the electric public utility or gas public utility, as
appropriate, from its general ratepayer base of any revenue erosion that occurs
prior to the conclusion of the utility's next base rate case. Subsequent to the
conclusion of the utility's next base rate case, any such recovery shall be
prospective only. The board may require the utility to provide proof that there
shall be no such retroactive recovery;

���� (4)�� There shall be no undue
transfer of cost allocation or revenue recovery responsibility by the electric
public utility or gas public utility, as appropriate, from the utility to its
general ratepayer base. The utility agrees to be subject to an independent
audit or such accounting and reporting systems the board may deem as necessary
to ensure that costs are allocated properly and that revenue recovery
responsibility is not transferred; and

���� (5)�� The term of the rate
agreement shall begin within one year of the effective date of P.L.2007, c.94
(C.48:2-21.36 et al.) and shall not exceed seven years in duration.

(cf: P.L.2010, c.34, s.14)

���� 21. Section 38 of P.L.1999,
c.23 (C.48:3-87) is amended to read as follows:

���� 38. a. The board shall require
an electric power supplier or basic generation service provider to disclose on
a customer's bill or on customer contracts or marketing materials, a uniform,
common set of information about the environmental characteristics of the energy
purchased by the customer, including, but not limited to:

���� (1)�� Its fuel mix, including
categories for oil, gas, nuclear, coal, solar, hydroelectric, wind and biomass,
or a regional average determined by the board;

���� (2)�� Its emissions, in pounds
per megawatt hour, of sulfur dioxide, carbon dioxide, oxides of nitrogen, and
any other pollutant that the board may determine to pose an environmental or
health hazard, or an emissions default to be determined by the board; and

���� (3)�� Any discrete emission
reduction retired pursuant to rules and regulations adopted pursuant to
P.L.1995, c.188.

���� b.��� Notwithstanding any
provisions of the "Administrative Procedure Act," P.L.1968, c.410
(C.52:14B-1 et seq.) to the contrary, the board shall initiate a proceeding and
shall adopt, in consultation with the Department of Environmental Protection, after
notice and opportunity for public comment and public hearing, interim standards
to implement this disclosure requirement, including, but not limited to:

���� (1)�� A methodology for
disclosure of emissions based on output pounds per megawatt hour;

���� (2)�� Benchmarks for all
suppliers and basic generation service providers to use in disclosing emissions
that will enable consumers to perform a meaningful comparison with a supplier's
or basic generation service provider's emission levels; and

���� (3)�� A uniform emissions
disclosure format that is graphic in nature and easily understandable by
consumers.� The board shall periodically review the disclosure requirements to
determine if revisions to the environmental disclosure system as implemented
are necessary.

���� Such standards shall be
effective as regulations immediately upon filing with the Office of
Administrative Law and shall be effective for a period not to exceed 18 months,
and may, thereafter, be amended, adopted or readopted by the board in
accordance with the provisions of the "Administrative Procedure Act."

���� c. (1) The board may adopt, in
consultation with the Department of Environmental Protection, after notice and
opportunity for public comment, an emissions portfolio standard applicable to
all electric power suppliers and basic generation service providers, upon a
finding that:

���� (a)�� The standard is
necessary as part of a plan to enable the State to meet federal Clean Air Act
or State ambient air quality standards; and

���� (b)�� Actions at the regional
or federal level cannot reasonably be expected to achieve the compliance with
the federal standards.

���� (2)�� By July 1, 2009, the
board shall adopt, pursuant to the "Administrative Procedure Act,"
P.L.1968, c.410 (C.52:14B-1 et seq.), a greenhouse gas emissions portfolio
standard to mitigate leakage or another regulatory mechanism to mitigate
leakage applicable to all electric power suppliers and basic generation service
providers that provide electricity to customers within the State.� The
greenhouse gas emissions portfolio standard or any other regulatory mechanism
to mitigate leakage shall:

���� (a)�� Allow a transition
period, either before or after the effective date of the regulation to mitigate
leakage, for a basic generation service provider or electric power supplier to
either meet the emissions portfolio standard or other regulatory mechanism to
mitigate leakage, or to transfer any customer to a basic generation service
provider or electric power supplier that meets the emissions portfolio standard
or other regulatory mechanism to mitigate leakage.� If the transition period
allowed pursuant to this subparagraph occurs after the implementation of an
emissions portfolio standard or other regulatory mechanism to mitigate leakage,
the transition period shall be no longer than three years; and

���� (b)�� Exempt the provision of
basic generation service pursuant to a basic generation service purchase and
sale agreement effective prior to the date of the regulation.

���� Unless the Attorney General or
the Attorney General's designee determines that a greenhouse gas emissions
portfolio standard would unconstitutionally burden interstate commerce or would
be preempted by federal law, the adoption by the board of an electric energy
efficiency portfolio standard pursuant to subsection g. of this section, a gas
energy efficiency portfolio standard pursuant to subsection h. of this section,
or any other enhanced energy efficiency policies to mitigate leakage shall not
be considered sufficient to fulfill the requirement of this subsection for the
adoption of a greenhouse gas emissions portfolio standard or any other
regulatory mechanism to mitigate leakage.

���� d.��� Notwithstanding any
provisions of the "Administrative Procedure Act," P.L.1968, c.410
(C.52:14B-1 et seq.) to the contrary, the board shall initiate a proceeding and
shall adopt, after notice, provision of the opportunity for comment, and public
hearing, renewable energy portfolio standards that shall require:

���� (1)�� that two and one-half
percent of the kilowatt hours sold in this State by each electric power
supplier and each basic generation service provider be from Class II renewable
energy sources;

���� (2)�� beginning on January 1,
2020, that 21 percent of the kilowatt hours sold in this State by each electric
power supplier and each basic generation service provider be from Class I
renewable energy sources.� The board shall increase the required percentage for
Class I renewable energy sources so that by January 1, 2025, 35 percent of the
kilowatt hours sold in this State by each electric power supplier and each
basic generation service provider shall be from Class I renewable energy
sources, and by January 1, 2030, 50 percent of the kilowatt hours sold in this
State by each electric power supplier and each basic generation service
provider shall be from Class I renewable energy sources.� Notwithstanding the
requirements of this subsection, the board shall ensure that the cost to
customers of the Class I renewable energy requirement imposed pursuant to this
subsection shall not exceed nine percent of the total paid for electricity by
all customers in the State for energy year 2019, energy year 2020, and energy year
2021, respectively, and shall not exceed seven percent of the total paid for
electricity by all customers in the State in any energy year thereafter;
provided that, if in energy years 2019 through 2021 the cost to customers of
the Class I renewable energy requirement is less than nine percent of the total
paid for electricity by all customers in the State, the board may increase the
cost to customers of the Class I renewable energy requirement in energy years
2022 through 2024 to a rate greater than seven percent, as long as the total
costs to customers for energy years 2019 through 2024 does not exceed the sum
of nine percent of the total paid for electricity by all customers in the State
in energy years 2019 through 2021 and seven percent of the total paid for
electricity by all customers in the State in energy years 2022 through 2024.�
In calculating the cost to customers of the Class I renewable energy
requirement imposed pursuant to this subsection, the board shall not include
the costs of the offshore wind energy certificate program established pursuant
to paragraph (4) of this subsection.� In calculating the cost to customers of
the Class I renewable energy requirement, the board shall reflect any energy
and environmental savings attributable to the Class I program in its
calculation, which shall include, but not be limited to, the social cost of
carbon dioxide emissions at a value no less than the most recently published
three percent discount rate scenario of the United States Government Interagency
Working Group on Social Cost of Greenhouse Gases.� The board shall take any
steps necessary to prevent the exceedance of the cap on the cost to customers
including, but not limited to, adjusting the Class I renewable energy
requirement.

���� An electric power supplier or
basic generation service provider may satisfy the requirements of this
subsection by participating in a renewable energy trading program approved by
the board in consultation with the Department of Environmental Protection;

���� (3)�� that the board establish
a multi-year schedule, applicable to each electric power supplier or basic
generation service provider in this State, beginning with the one-year period
commencing on June 1, 2010, and continuing for each subsequent one-year period
up to and including, the one-year period commencing on June 1, 2033, that
requires the following number or percentage, as the case may be, of
kilowatt-hours sold in this State by each electric power supplier and each
basic generation service provider to be from solar electric power generators
connected to the distribution system or transmission system in this State:

���� EY 2011���������������� 306
Gigawatthours (Gwhrs)

���� EY 2012���������������� 442
Gwhrs

���� EY 2013���������������� 596
Gwhrs

���� EY 2014���������������� 2.050%

���� EY 2015���������������� 2.450%

���� EY 2016���������������� 2.750%

���� EY 2017���������������� 3.000%

���� EY 2018���������������� 3.200%

���� EY 2019���������������� 4.300%

���� EY 2020���������������� 4.900%

���� EY 2021���������������� 5.100%

���� EY 2022���������������� 5.100%

���� EY 2023���������������� 5.100%

���� EY 2024���������������� 4.900%

���� EY 2025���������������� 4.800%

���� EY 2026���������������� 4.500%

���� EY 2027���������������� 4.350%

���� EY 2028���������������� 3.740%

���� EY 2029���������������� 3.070%

���� EY 2030���������������� 2.210%

���� EY 2031���������������� 1.580%

���� EY 2032���������������� 1.400%

���� EY 2033���������������� 1.100%

���� No later than 180 days after
the date of enactment of P.L.2018, c.17 (C.48:3-87.8 et al.), the board shall
adopt rules and regulations to close the SREC program to new applications upon
the attainment of 5.1 percent of the kilowatt-hours sold in the State by each
electric power supplier and each basic generation provider from solar electric
power generators connected to the distribution system.� The board shall
continue to consider any application filed before the date of enactment of
P.L.2018, c.17 (C.48:3-87.8 et al.).� The board shall provide for an orderly
and transparent mechanism that will result in the closing of the existing SREC
program on a date certain but no later than June 1, 2021.

���� No later than 24 months after
the date of enactment of P.L.2018, c.17 (C.48:3-87.8 et al.), the board shall
complete a study that evaluates how to modify or replace the SREC program to
encourage the continued efficient and orderly development of solar renewable
energy generating sources throughout the State.� The board shall submit the
written report thereon to the Governor and, pursuant to section 2 of P.L.1991,
c.164 (C.52:14-19.1), to the Legislature.� The board shall consult with public
utilities, industry experts, regional grid operators, solar power providers and
financiers, and other State agencies to determine whether the board can modify
the SREC program such that the program will:

���� -����� continually reduce,
where feasible, the cost of achieving the solar energy goals set forth in this
subsection;

���� -����� provide an orderly
transition from the SREC program to a new or modified program;

���� -����� develop megawatt
targets for grid connected and distribution systems, including residential and
small commercial rooftop systems, community solar systems, and large scale
behind the meter systems, as a share of the overall solar energy requirement,
which targets the board may modify periodically based on the cost, feasibility,
or social impacts of different types of projects;

���� -����� establish and update
market-based maximum incentive payment caps periodically for each of the above
categories of solar electric power generation facilities;

���� -����� encourage and
facilitate market-based cost recovery through long-term contracts and energy
market sales; and

���� -����� where cost recovery is
needed for any portion of an efficient solar electric power generation facility
when costs are not recoverable through wholesale market sales and direct
payments from customers, utilize competitive processes such as competitive procurement
and long-term contracts where possible to ensure such recovery, without
exceeding the maximum incentive payment cap for that category of facility.

���� The board shall approve,
conditionally approve, or disapprove any application for designation as
connected to the distribution system of a solar electric power generation
facility filed with the board after the date of enactment of P.L.2018, c.17
(C.48:3-87.8 et al.), no more than 90 days after receipt by the board of a
completed application.� For any such application for a project greater than 25
kilowatts, the board shall require the applicant to post a notice escrow with
the board in an amount of $40 per kilowatt of DC nameplate capacity of the
facility, not to exceed $40,000.� The notice escrow amount shall be reimbursed
to the applicant in full upon either denial of the application by the board or
upon commencement of commercial operation of the solar electric power
generation facility.� The escrow amount shall be forfeited to the State if the
facility is designated as connected to the distribution system pursuant to this
subsection but does not commence commercial operation within two years following
the date of the designation by the board.

���� For all applications for
designation as connected to the distribution system of a solar electric power
generation facility filed with the board after the date of enactment of
P.L.2018, c.17 (C.48:3-87.8 et al.), the SREC term shall be 10 years.

���� (a)�� The board shall
determine an appropriate period of no less than 120 days following the end of
an energy year prior to which a provider or supplier must demonstrate
compliance for that energy year with the annual renewable portfolio standard;

���� (b)�� No more than 24 months
following the date of enactment of P.L.2012, c.24, the board shall complete a
proceeding to investigate approaches to mitigate solar development volatility
and prepare and submit, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1),
a report to the Legislature, detailing its findings and recommendations.� As
part of the proceeding, the board shall evaluate other techniques used
nationally and internationally;

���� (c)�� The solar renewable
portfolio standards requirements in this paragraph shall exempt those existing
supply contracts which are effective prior to the date of enactment of
P.L.2018, c.17 (C.48:3-87.8 et al.) from any increase beyond the number of
SRECs mandated by the solar renewable energy portfolio standards requirements
that were in effect on the date that the providers executed their existing
supply contracts.� This limited exemption for providers' existing supply
contracts shall not be construed to lower the Statewide solar sourcing
requirements set forth in this paragraph. Such incremental requirements that
would have otherwise been imposed on exempt providers shall be distributed over
the providers not subject to the existing supply contract exemption until such
time as existing supply contracts expire and all providers are subject to the
new requirement in a manner that is competitively neutral among all providers
and suppliers.� Notwithstanding any rule or regulation to the contrary, the
board shall recognize these new solar purchase obligations as a change required
by operation of law and implement the provisions of this subsection in a manner
so as to prevent any subsidies between suppliers and providers and to promote
competition in the electricity supply industry.

���� An electric power supplier or
basic generation service provider may satisfy the requirements of this
subsection by participating in a renewable energy trading program approved by
the board in consultation with the Department of Environmental Protection, or
compliance with the requirements of this subsection may be demonstrated to the
board by suppliers or providers through the purchase of SRECs.

���� The renewable energy portfolio
standards adopted by the board pursuant to paragraphs (1) and (2) of this
subsection shall be effective as regulations immediately upon filing with the
Office of Administrative Law and shall be effective for a period not to exceed
18 months, and may, thereafter, be amended, adopted or readopted by the board
in accordance with the provisions of the "Administrative Procedure
Act."

���� The renewable energy portfolio
standards adopted by the board pursuant to this paragraph shall be effective as
regulations immediately upon filing with the Office of Administrative Law and
shall be effective for a period not to exceed 30 months after such filing, and
shall, thereafter, be amended, adopted or readopted by the board in accordance
with the "Administrative Procedure Act"; and

���� (4)�� within 180 days after
the date of enactment of P.L.2010, c.57 (C.48:3-87.1 et al.), that the board
establish an offshore wind renewable energy certificate program to require that
a percentage of the kilowatt hours sold in this State by each electric power
supplier and each basic generation service provider be from offshore wind
energy in order to support at least 3,500 megawatts of generation from
qualified offshore wind projects.

���� The percentage established by
the board pursuant to this paragraph shall serve as an offset to the renewable
energy portfolio standard established pursuant to paragraph (2) of this
subsection and shall reduce the corresponding Class I renewable energy requirement.

���� The percentage established by
the board pursuant to this paragraph shall reflect the projected OREC
production of each qualified offshore wind project, approved by the board
pursuant to section 3 of P.L.2010, c.57 (C.48:3-87.1), for 20 years from the
commercial operation start date of the qualified offshore wind project which
production projection and OREC purchase requirement, once approved by the
board, shall not be subject to reduction.

���� An electric power supplier or
basic generation service provider shall comply with the OREC program
established pursuant to this paragraph through the purchase of offshore wind
renewable energy certificates at a price and for the time period required by the
board.� In the event there are insufficient offshore wind renewable energy
certificates available, the electric power supplier or basic generation service
provider shall pay an offshore wind alternative compliance payment established
by the board.� Any offshore wind alternative compliance payments collected
shall be refunded directly to the ratepayers by the electric public utilities.

���� The rules established by the
board pursuant to this paragraph shall be effective as regulations immediately
upon filing with the Office of Administrative Law and shall be effective for a
period not to exceed 18 months, and may, thereafter, be amended, adopted or
readopted by the board in accordance with the provisions of the
"Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.).

���� e.���� Notwithstanding any
provisions of the "Administrative Procedure Act," P.L.1968, c.410
(C.52:14B-1 et seq.) to the contrary, the board shall initiate a proceeding and
shall adopt, after notice, provision of the opportunity for comment, and public
hearing:

���� (1)�� net metering standards
for electric power suppliers and basic generation service providers.� The
standards shall require electric power suppliers and basic generation service
providers to offer net metering at non-discriminatory rates to industrial, large
commercial, residential and small commercial customers, as those customers are
classified or defined by the board, that generate electricity, on the
customer's side of the meter, using a Class I renewable energy source, for the
net amount of electricity supplied by the electric power supplier or basic
generation service provider over an annualized period.� Systems of any sized
capacity, as measured in watts, are eligible for net metering.� If the amount
of electricity generated by the customer-generator, plus any kilowatt hour
credits held over from the previous billing periods, exceeds the electricity
supplied by the electric power supplier or basic generation service provider,
then the electric power supplier or basic generation service provider, as the case
may be, shall credit the customer-generator for the excess kilowatt hours until
the end of the annualized period at which point the customer-generator will be
compensated for any remaining credits or, if the customer-generator chooses,
credit the customer-generator on a real-time basis, at the electric power
supplier's or basic generation service provider's avoided cost of wholesale
power or the PJM electric power pool's real-time locational marginal pricing
rate, adjusted for losses, for the respective zone in the PJM electric power
pool.� Alternatively, the customer-generator may execute a bilateral agreement
with an electric power supplier or basic generation service provider for the
sale and purchase of the customer-generator's excess generation.� The
customer-generator may be credited on a real-time basis, so long as the
customer-generator follows applicable rules prescribed by the PJM electric
power pool for its capacity requirements for the net amount of electricity
supplied by the electric power supplier or basic generation service provider.�
The board may authorize an electric power supplier or basic generation service
provider to cease offering net metering to customers that are not already net
metered whenever the total rated generating capacity owned and operated by net
metering customer-generators Statewide equals 5.8 percent of the total annual
kilowatt-hours sold in this State by each electric power supplier and each
basic generation service provider during the prior one-year period;

���� (2)�� safety and power quality
interconnection standards for Class I renewable energy source systems used by a
customer-generator that shall be eligible for net metering.

���� Such standards or rules shall
take into consideration the goals of the New Jersey Energy Master Plan,
applicable industry standards, and the standards of other states and the
Institute of Electrical and Electronics Engineers.� The board shall allow electric
public utilities to recover the costs of any new net meters, upgraded net
meters, system reinforcements or upgrades, and interconnection costs through
either their regulated rates or from the net metering customer-generator;

���� (3)�� credit or other
incentive rules for generators using Class I renewable energy generation
systems that connect to New Jersey's electric public utilities' distribution
system but who do not net meter; and

���� (4)�� net metering aggregation
standards to require electric public utilities to provide net metering
aggregation to single electric public utility customers that operate a solar
electric power generation system installed at one of the customer's facilities
or on property owned by the customer, provided that any such customer is a
State entity, school district, county, county agency, county authority,
municipality, municipal agency, or municipal authority.� The standards shall
provide that, in order to qualify for net metering aggregation, the customer
must operate a solar electric power generation system using a net metering
billing account, which system is located on property owned by the customer,
provided that: (a) the property is not land that has been actively devoted to
agricultural or horticultural use and that is valued, assessed, and taxed
pursuant to the "Farmland Assessment Act of 1964," P.L.1964, c.48
(C.54:4-23.1 et seq.) at any time within the 10-year period prior to the
effective date of P.L.2012, c.24, provided, however, that the municipal
planning board of a municipality in which a solar electric power generation
system is located may waive the requirement of this subparagraph (a), (b) the
system is not an on-site generation facility, (c) all of the facilities of the
single customer combined for the purpose of net metering aggregation are
facilities owned or operated by the single customer and are located within its
territorial jurisdiction except that all of the facilities of a State entity engaged
in net metering aggregation shall be located within five miles of one another,
and (d) all of those facilities are within the service territory of a single
electric public utility and are all served by the same basic generation service
provider or by the same electric power supplier.� The standards shall provide
that, in order to qualify for net metering aggregation, the customer's solar
electric power generation system shall be sized so that its annual generation
does not exceed the combined metered annual energy usage of the qualified
customer facilities, and the qualified customer facilities shall all be in the
same customer rate class under the applicable electric public utility tariff.�
For the customer's facility or property on which the solar electric generation
system is installed, the electricity generated from the customer's solar
electric generation system shall be accounted for pursuant to the provisions of
paragraph (1) of this subsection to provide that the electricity generated in
excess of the electricity supplied by the electric power supplier or the basic
generation service provider, as the case may be, for the customer's facility on
which the solar electric generation system is installed, over the annualized
period, is credited at the electric power supplier's or the basic generation
service provider's avoided cost of wholesale power or the PJM electric power
pool real-time locational marginal pricing rate.� All electricity used by the
customer's qualified facilities, with the exception of the facility or property
on which the solar electric power generation system is installed, shall be
billed at the full retail rate pursuant to the electric public utility tariff
applicable to the customer class of the customer using the electricity.� A customer
may contract with a third party to operate a solar electric power generation
system, for the purpose of net metering aggregation.� Any contractual
relationship entered into for operation of a solar electric power generation
system related to net metering aggregation shall include contractual
protections that provide for adequate performance and provision for
construction and operation for the term of the contract, including any
appropriate bonding or escrow requirements.� Any incremental cost to an electric
public utility for net metering aggregation shall be fully and timely recovered
in a manner to be determined by the board.� The board shall adopt net metering
aggregation standards within 270 days after the effective date of P.L.2012,
c.24.

���� Such rules shall require the
board or its designee to issue a credit or other incentive to those generators
that do not use a net meter but otherwise generate electricity derived from a
Class I renewable energy source and to issue an enhanced credit or other
incentive, including, but not limited to, a solar renewable energy credit, to
those generators that generate electricity derived from solar technologies.

���� Such standards or rules shall
be effective as regulations immediately upon filing with the Office of
Administrative Law and shall be effective for a period not to exceed 18 months,
and may, thereafter, be amended, adopted or readopted by the board in accordance
with the provisions of the "Administrative Procedure Act."

���� f.���� The board may assess,
by written order and after notice and opportunity for comment, a separate fee
to cover the cost of implementing and overseeing an emission disclosure system
or emission portfolio standard, which fee shall be assessed based on an electric
power supplier's or basic generation service provider's share of the retail
electricity supply market.� The board shall not impose a fee for the cost of
implementing and overseeing a greenhouse gas emissions portfolio standard
adopted pursuant to paragraph (2) of subsection c. of this section.

���� g.��� The board shall adopt,
pursuant to the "Administrative Procedure Act," P.L.1968, c.410
(C.52:14B-1 et seq.), an electric energy efficiency program in order to ensure
investment in cost-effective energy efficiency measures, ensure universal access
to energy efficiency measures, and serve the needs of low-income communities
that shall require each electric public utility to implement energy efficiency
measures that reduce electricity usage in the State pursuant to section 3 of
P.L.2018, c.17 (C.48:3-87.9).� Nothing in this subsection shall be construed to
prevent an electric public utility from meeting the requirements of this
subsection by contracting with another entity for the performance of the
requirements.

���� h.��� The board shall adopt,
pursuant to the "Administrative Procedure Act," P.L.1968, c.410
(C.52:14B-1 et seq.), a gas energy efficiency program in order to ensure
investment in cost-effective energy efficiency measures, ensure universal
access to energy efficiency measures, and serve the needs of low-income
communities that shall require each gas public utility to implement energy
efficiency measures that reduce natural gas usage in the State pursuant to
section 3 of P.L.2018, c.17 (C.48:3-87.9).� Nothing in this subsection shall be
construed to prevent a gas public utility from meeting the requirements of this
subsection by contracting with another entity for the performance of the
requirements.

���� i.���� After the board
establishes a schedule of solar kilowatt-hour sale or purchase requirements
pursuant to paragraph (3) of subsection d. of this section, the board may
initiate subsequent proceedings and adopt, after appropriate notice and
opportunity for public comment and public hearing, increased minimum solar
kilowatt-hour sale or purchase requirements, provided that the board shall not
reduce previously established minimum solar kilowatt-hour sale or purchase
requirements, or otherwise impose constraints that reduce the requirements by
any means.

���� j.���� The board shall
determine an appropriate level of solar alternative compliance payment, and
permit each supplier or provider to submit an SACP to comply with the solar
electric generation requirements of paragraph (3) of subsection d. of this
section.� The value of the SACP for each Energy Year, for Energy Years 2014
through 2033 per megawatt hour from solar electric generation required pursuant
to this section, shall be:

���� EY 2014���� $339

���� EY 2015���� $331

���� EY 2016���� $323

���� EY 2017���� $315

���� EY 2018���� $308

���� EY 2019���� $268

���� EY 2020���� $258

���� EY 2021���� $248

���� EY 2022���� $238

���� EY 2023���� $228

���� EY 2024���� $218

���� EY 2025���� $208

���� EY 2026���� $198

���� EY 2027���� $188

���� EY 2028���� $178

���� EY 2029���� $168

���� EY 2030���� $158

���� EY 2031���� $148

���� EY 2032���� $138

���� EY 2033���� $128.

���� The board may initiate
subsequent proceedings and adopt, after appropriate notice and opportunity for
public comment and public hearing, an increase in solar alternative compliance
payments, provided that the board shall not reduce previously established
levels of solar alternative compliance payments, nor shall the board provide
relief from the obligation of payment of the SACP by the electric power
suppliers or basic generation service providers in any form.� Any SACP payments
collected shall be refunded directly to the ratepayers by the electric public
utilities.

���� k.��� The board may allow
electric public utilities to offer long-term contracts through a competitive
process, direct electric public utility investment and other means of
financing, including but not limited to loans, for the purchase of SRECs and
the resale of SRECs to suppliers or providers or others, provided that after
such contracts have been approved by the board, the board's approvals shall not
be modified by subsequent board orders.� If the board allows the offering of
contracts pursuant to this subsection, the board may establish a process, after
hearing, and opportunity for public comment, to provide that a designated
segment of the contracts approved pursuant to this subsection shall be
contracts involving solar electric power generation facility projects with a
capacity of up to 250 kilowatts.

���� l.���� The board shall
implement its responsibilities under the provisions of this section in such a
manner as to:

���� (1)�� place greater reliance
on competitive markets, with the explicit goal of encouraging and ensuring the
emergence of new entrants that can foster innovations and price competition;

���� (2)�� maintain adequate
regulatory authority over non-competitive public utility services;

���� (3)�� consider alternative
forms of regulation in order to address changes in the technology and structure
of electric public utilities;

���� (4)�� promote energy
efficiency and Class I renewable energy market development, taking into
consideration environmental benefits and market barriers;

���� (5)�� make energy services
more affordable for low and moderate income customers;

���� (6)�� attempt to transform the
renewable energy market into one that can move forward without subsidies from
the State or public utilities;

���� (7)�� achieve the goals put
forth under the renewable energy portfolio standards;

���� (8)�� promote the lowest cost
to ratepayers; and

���� (9)�� allow all market
segments to participate.

���� m.�� The board shall ensure
the availability of financial incentives under its jurisdiction, including, but
not limited to, long-term contracts, loans, SRECs, or other financial support,
to ensure market diversity, competition, and appropriate coverage across all
ratepayer segments, including, but not limited to, residential, commercial,
industrial, non-profit, farms, schools, and public entity customers.

���� n.��� For projects which are
owned, or directly invested in, by a public utility pursuant to section 13 of
P.L.2007, c.340 (C.48:3-98.1), the board shall determine the number of SRECs
with which such projects shall be credited; and in determining such number the
board shall ensure that the market for SRECs does not detrimentally affect the
development of non-utility solar projects and shall consider how its
determination may impact the ratepayers.

���� o.��� The board, in
consultation with the Department of Environmental Protection, electric public
utilities, the Division of Rate Counsel
[
in,
but not of, the Department of the Treasury
]

in the Department of the Public Advocate
, affected members of the solar
energy industry, and relevant stakeholders, shall periodically consider
increasing the renewable energy portfolio standards beyond the minimum amounts
set forth in subsection d. of this section, taking into account the cost
impacts and public benefits of such increases including, but not limited to:

���� (1)�� reductions in air
pollution, water pollution, land disturbance, and greenhouse gas emissions;

���� (2)�� reductions in peak
demand for electricity and natural gas, and the overall impact on the costs to
customers of electricity and natural gas;

���� (3)�� increases in renewable
energy development, manufacturing, investment, and job creation opportunities
in this State; and

���� (4)�� reductions in State and
national dependence on the use of fossil fuels.

���� p.��� Class I RECs and ORECs
shall be eligible for use in renewable energy portfolio standards compliance in
the energy year in which they are generated, and for the following two energy
years.� SRECs shall be eligible for use in renewable energy portfolio standards
compliance in the energy year in which they are generated, and for the
following four energy years.

���� q. (1) During the energy years
of 2014, 2015, and 2016, a solar electric power generation facility project
that is not: (a) net metered; (b) an on-site generation facility; (c) qualified
for net metering aggregation; or (d) certified as being located on a
brownfield, on an area of historic fill or on a properly closed sanitary
landfill facility, as provided pursuant to subsection t. of this section may
file an application with the board for approval of a designation pursuant to
this subsection that the facility is connected to the distribution system.� An
application filed pursuant to this subsection shall include a notice escrow of
$40,000 per megawatt of the proposed capacity of the facility.� The board shall
approve the designation if: the facility has filed a notice in writing with the
board applying for designation pursuant to this subsection, together with the
notice escrow; and the capacity of the facility, when added to the capacity of
other facilities that have been previously approved for designation prior to
the facility's filing under this subsection, does not exceed 80 megawatts in
the aggregate for each year. The capacity of any one solar electric power
supply project approved pursuant to this subsection shall not exceed 10
megawatts.� No more than 90 days after its receipt of a completed application
for designation pursuant to this subsection, the board shall approve,
conditionally approve, or disapprove the application.� The notice escrow shall
be reimbursed to the facility in full upon either rejection by the board or the
facility entering commercial operation, or shall be forfeited to the State if
the facility is designated pursuant to this subsection but does not enter
commercial operation pursuant to paragraph (2) of this subsection.

���� (2)�� If the proposed solar
electric power generation facility does not commence commercial operations
within two years following the date of the designation by the board pursuant to
this subsection, the designation of the facility shall be deemed to be null and
void, and the facility shall not be considered connected to the distribution
system thereafter.

���� (3)�� Notwithstanding the
provisions of paragraph (2) of this subsection, a solar electric power
generation facility project that as of May 31, 2017 was designated as
"connected to the distribution system," but failed to commence
commercial operations as of that date, shall maintain that designation if it
commences commercial operations by May 31, 2018.

���� r. (1) For all proposed solar
electric power generation facility projects except for those solar electric
power generation facility projects approved pursuant to subsection q. of this
section, and for all projects proposed in energy year 2019 and energy year
2020, the board may approve projects for up to 50 megawatts annually in
auctioned capacity in two auctions per year as long as the board is accepting
applications.� If the board approves projects for less than 50 megawatts in
energy year 2019 or less than 50 megawatts in energy year 2020, the difference
in each year shall be carried over into the successive energy year until 100
megawatts of auctioned capacity has been approved by the board pursuant to this
subsection.� A proposed solar electric power generation facility that is
neither net metered nor an on-site generation facility, may be considered
"connected to the distribution system" only upon designation as such
by the board, after notice to the public and opportunity for public comment or
hearing.� A proposed solar� electric power generation facility seeking board
designation as "connected to the distribution system" shall submit an
application to the board that includes for the proposed facility: the nameplate
capacity; the estimated energy and number of SRECs to be produced and sold per
year; the estimated annual rate impact on ratepayers; the estimated capacity of
the generator as defined by PJM for sale in the PJM capacity market; the point
of interconnection; the total project acreage and location; the current land
use designation of the property; the type of solar technology to be used; and
such other information as the board shall require.

���� (2)�� The board shall approve
the designation of the proposed solar electric power generation facility as
"connected to the distribution system" if the board determines that:

���� (a)�� the SRECs forecasted to
be produced by the facility do not have a detrimental impact on the SREC market
or on the appropriate development of solar power in the State;

���� (b)�� the approval of the
designation of the proposed facility would not significantly impact the
preservation of open space in this State;

���� (c)�� the impact of the
designation on electric rates and economic development is beneficial; and

���� (d)�� there will be no
impingement on the ability of an electric public utility to maintain its
property and equipment in such a condition as to enable it to provide safe,
adequate, and proper service to each of its customers.

���� (3)�� The board shall act
within 90 days of its receipt of a completed application for designation of a
solar electric power generation facility as "connected to the distribution
system," to either approve, conditionally approve, or disapprove the application.
If the proposed solar electric power generation facility does not commence
commercial operations within two years following the date of the designation by
the board pursuant to this subsection, the designation of the facility as
"connected to the distribution system" shall be deemed to be null and
void, and the facility shall thereafter be considered not "connected to
the distribution system."

���� s.���� In addition to any
other requirements of P.L.1999, c.23 or any other law, rule, regulation or
order, a solar electric power generation facility that is not net metered or an
on-site generation facility and which is located on land that has been actively
devoted to agricultural or horticultural use that is valued, assessed, and
taxed pursuant to the "Farmland Assessment Act of 1964," P.L.1964,
c.48 (C.54:4-23.1 et seq.) at any time within the 10-year period prior to the
effective date of P.L.2012, c.24, shall only be considered "connected to
the distribution system" if (1) the board approves the facility's
designation pursuant to subsection q. of this section; or (2) (a) PJM issued a
System Impact Study for the facility on or before June 30, 2011, (b) the
facility files a notice with the board within 60 days of the effective date of
P.L.2012, c.24, indicating its intent to qualify under this subsection, and (c)
the facility has been approved as "connected to the distribution
system" by the board.� Nothing in this subsection shall limit the board's
authority concerning the review and oversight of facilities, unless such
facilities are exempt from such review as a result of having been approved
pursuant to subsection q. of this section.

���� t. (1) No more than 180 days
after the date of enactment of P.L.2012, c.24, the board shall, in consultation
with the Department of Environmental Protection and the New Jersey Economic
Development Authority, and, after notice and opportunity for public comment and
public hearing, complete a proceeding to establish a program to provide SRECs
to owners of solar electric power generation facility projects certified by the
board, in consultation with the Department of Environmental Protection, as
being located on a brownfield, on an area of historic fill or on a properly
closed sanitary landfill facility, including those owned or operated by an
electric public utility and approved pursuant to section 13 of P.L.2007, c.340
(C.48:3-98.1).� Projects certified under this subsection shall be considered
"connected to the distribution system", shall not require such
designation by the board, and shall not be subject to board review required
pursuant to subsections q. and r. of this section.� Notwithstanding the provisions
of section 3 of P.L.1999, c.23 (C.48:3-51) or any other law, rule, regulation,
or order to the contrary, for projects certified under this subsection, the
board shall establish a financial incentive that is designed to supplement the
SRECs generated by the facility in order to cover the additional cost of
constructing and operating a solar electric power generation facility on a
brownfield, on an area of historic fill or on a properly closed sanitary
landfill facility.� Any financial benefit realized in relation to a project
owned or operated by an electric public utility and approved by the board
pursuant to section 13 of P.L.2007, c.340 (C.48:3-98.1), as a result of the
provision of a financial incentive established by the board pursuant to this
subsection, shall be credited to ratepayers.� The issuance of SRECs for all
solar electric power generation facility projects pursuant to this subsection
shall be deemed "Board of Public Utilities financial assistance" as
provided under section 1 of P.L.2009, c.89 (C.48:2-29.47).

���� (2)�� Notwithstanding the
provisions of the "Spill Compensation and Control Act," P.L.1976,
c.141 (C.58:10-23.11 et seq.) or any other law, rule, regulation, or order to
the contrary, the board, in consultation with the Department of Environmental
Protection, may find that a person who operates a solar electric power
generation facility project that has commenced operation on or after the
effective date of P.L.2012, c.24, which project is certified by the board, in
consultation with the Department of Environmental Protection pursuant to
paragraph (1) of this subsection, as being located on a brownfield for which a
final remediation document has been issued, on an area of historic fill or on a
properly closed sanitary landfill facility, which projects shall include, but
not be limited to projects located on a brownfield for which a final
remediation document has been issued, on an area of historic fill or on a
properly closed sanitary landfill facility owned or operated by an electric
public utility and approved pursuant to section 13 of P.L.2007, c.340
(C.48:3-98.1), or a person who owns property acquired on or after the effective
date of P.L.2012, c.24 on which such a solar electric power generation facility
project is constructed and operated, shall not be liable for cleanup and
removal costs to the Department of Environmental Protection or to any other
person for the discharge of a hazardous substance provided that:

���� (a)�� the person acquired or
leased the real property after the discharge of that hazardous substance at the
real property;

���� (b)�� the person did not
discharge the hazardous substance, is not in any way responsible for the
hazardous substance, and is not a successor to the discharger or to any person
in any way responsible for the hazardous substance or to anyone liable for
cleanup and removal costs pursuant to section 8 of P.L.1976, c.141
(C.58:10-23.11g);

���� (c)�� the person, within 30
days after acquisition of the property, gave notice of the discharge to the
Department of Environmental Protection in a manner the Department of
Environmental Protection prescribes;

���� (d)�� the person does not
disrupt or change, without prior written permission from the Department of
Environmental Protection, any engineering or institutional control that is part
of a remedial action for the contaminated site or any landfill closure or post-closure
requirement;

���� (e)�� the person does not
exacerbate the contamination at the property;

���� (f)�� the person does not
interfere with any necessary remediation of the property;

���� (g)�� the person complies with
any regulations and any permit the Department of Environmental Protection
issues pursuant to section 19 of P.L.2009, c.60 (C.58:10C-19) or paragraph (2)
of subsection a. of section 6 of P.L.1970, c.39 (C.13:1E-6);

���� (h)�� with respect to an area
of historic fill, the person has demonstrated pursuant to a preliminary
assessment and site investigation, that hazardous substances have not been
discharged; and

���� (i)��� with respect to a
properly closed sanitary landfill facility, no person who owns or controls the
facility receives, has received, or will receive, with respect to such
facility, any funds from any post-closure escrow account established pursuant
to section 10 of P.L.1981, c.306 (C.13:1E-109) for the closure and monitoring
of the facility.

���� Only the person who is liable
to clean up and remove the contamination pursuant to section 8 of P.L.1976,
c.141 (C.58:10-23.11g) and who does not have a defense to liability pursuant to
subsection d. of that section shall be liable for cleanup and removal costs.

���� u.��� No more than 180 days
after the date of enactment of P.L.2012, c.24, the board shall complete a
proceeding to establish a registration program.� The registration program shall
require the owners of solar electric power generation facility projects connected
to the distribution system to make periodic milestone filings with the board in
a manner and at such times as determined by the board to provide full
disclosure and transparency regarding the overall level of development and
construction activity of those projects Statewide.

���� v.��� The issuance of SRECs
for all solar electric power generation facility projects pursuant to this
section, for projects connected to the distribution system with a capacity of
one megawatt or greater, shall be deemed "Board of Public Utilities financial
assistance" as provided pursuant to section 1 of P.L.2009, c.89
(C.48:2-29.47).�

���� w.�� No more than 270 days
after the date of enactment of P.L.2012, c.24, the board shall, after notice
and opportunity for public comment and public hearing, complete a proceeding to
consider whether to establish a program to provide, to owners of solar electric
power generation facility projects certified by the board as being three
megawatts or greater in capacity and being net metered, including facilities
which are owned or operated by an electric public utility and approved by the
board pursuant to section 13 of P.L.2007, c.340 (C.48:3-98.1), a financial
incentive that is designed to supplement the SRECs generated by the facility to
further the goal of improving the economic competitiveness of commercial and
industrial customers taking power from such projects.� If the board determines
to establish such a program pursuant to this subsection, the board may
establish a financial incentive to provide that the board shall issue one SREC
for no less than every 750 kilowatt-hours of solar energy generated by the certified
projects.� Any financial benefit realized in relation to a project owned or
operated by an electric public utility and approved by the board pursuant to
section 13 of P.L.2007, c.340 (C.48:3-98.1), as a result of the provisions of a
financial incentive established by the board pursuant to this subsection, shall
be credited to ratepayers.

���� x.��� Solar electric power
generation facility projects that are located on an existing or proposed
commercial, retail, industrial, municipal, professional, recreational, transit,
commuter, entertainment complex, multi-use, or mixed-use parking lot with a
capacity to park 350 or more vehicles where the area to be utilized for the
facility is paved, or an impervious surface may be owned or operated by an
electric public utility and may be approved by the board pursuant to section 13
of P.L.2007, c.340 (C.48:3-98.1).

(cf: P.L.2021, c.169, s.10)

���� 22. Section 45 of P.L.1999,
c.23 (C.48:3-94) is amended to read as follows:

���� 45. a. (1) A government
aggregator that is a municipality or a county may operate a government energy
aggregation program that provides for the aggregation of� residential electric
generation service or gas supply service, non-residential electric generation
service or gas supply service on a voluntary basis, and appliance repair
services for residential and non- residential customers on a voluntary basis,
either separately or bundled, in accordance with the provisions of this
section.

���� (2)�� Electric generation
service or gas supply service for residential customers within the municipality
or county and for non-residential customers on a voluntary basis, and for
appliance repair services for residential and non-residential customers on a
voluntary basis, may be aggregated together with electric generation service,
electric related service, gas supply service or gas related service, either
separately or bundled, for the government aggregator's own facilities or with
other government aggregators,� provided that� each governing body adopts an
ordinance in the case of a municipality, or resolution in the case of a county,
after notice and public hearing, indicating its intent to solicit bids for the
provision of electric generation service or gas supply service, either
separately or bundled, and for appliance repair services on a voluntary basis
at a separate price and by separate bid solicitation, as the case may be, which
approval shall require passage by a majority vote of the full membership of the
governing body.

���� (3)�� If an ordinance or
resolution adopted pursuant to paragraph (2) of this subsection would include
non-residential customers in a government energy aggregation program on a
voluntary basis, the adoption of the ordinance or resolution shall be
accompanied by a public notice that non-residential customers will be included
in the government energy aggregation program if they contact the appropriate
governing body within 30 days of the adoption of the ordinance or resolution
stating their affirmative choice to be included in the government energy
aggregation program.

���� (4) (a) If an ordinance or
resolution adopted pursuant to paragraph (2) of this subsection would include
appliance repair services for residential or non-residential customers on a
voluntary basis at a separate price and by separate bid solicitation, the
adoption of the ordinance or resolution shall be accompanied by a public notice
that residential or non-residential customers may receive appliance repair
services if they contact the appropriate governing body within 30 days of the
adoption of the ordinance or resolution stating their affirmative choice to
receive appliance repair services under the government energy aggregation
program.

���� (b)�� The Board of Public
Utilities shall adopt, pursuant to the �Administrative Procedure Act,�
P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations determining the
manner in which electric related services and gas related services, other than
appliance repair services, shall be included in government energy aggregation
programs.

���� (5)�� A government energy
aggregation program shall be structured to provide that each residential or non
residential customer, as the case may be, shall receive electric generation
service or gas supply service from one licensed electric power supplier or one
licensed gas supplier, as the case may be.

���� (6)�� Any residential or�
non-residential customer receiving electric generation service or gas supply
service from a licensed electric power supplier or a licensed gas supplier
prior to the establishment of a government energy aggregation program pursuant
to this section shall be exempt from a government energy aggregation program
established pursuant to this section.� Under no circumstance shall a
residential or non-residential customer's affirmative choice to be included in
a government energy aggregation program abrogate the existing terms of an�
electric power or gas supply contract between a non-residential customer and a
licensed electric power supplier or licensed gas supplier.

���� b. (1)� The governing body
shall commence public bidding pursuant to the provisions of the �Local Public
Contracts Law,� P.L.1971, c.198 (C.40A:11-1 et seq.) to receive bids from a
licensed electric power supplier or licensed gas supplier, as appropriate, for�
electric generation service or gas supply service at one or more projected load
levels, either separately or bundled, for customers within the municipality or
county, and if appropriate, for any appliance repair services at a separate
price and by separate bid solicitation, and for electric generation service,
electric related service, gas supply service or gas related service, either
separately or bundled, for the government aggregator's own facilities.� Thirty
days prior to the commencement of public bidding the governing body shall
transmit the bid notice and all bidding documents to the board and the Division
of
[
the
Ratepayer Advocate
]

Rate Counsel in the Department of the Public Advocate
for
review.� The board and the Division of
[
the
Ratepayer Advocate
]

Rate Counsel
shall have 15 days to review the bid notice and
bidding documents and provide comments to the governing body, which may accept
or reject the comments.

���� (2)�� Upon receipt of the
bids, the governing body shall evaluate the proposals.� The governing body
shall select a licensed electric power supplier or licensed gas supplier, or
both, based on the most advantageous proposal, price and other factors
considered.�� The governing body shall only select a licensed electric power
supplier or licensed gas supplier to be awarded a contract for service where
the rate is the same as or lower than the price of basic generation service
pursuant to section 9 of P.L.1999, c.23 (C.48:3-57) plus the pro-rata value of
the cost of compliance with the renewable energy portfolio standards imposed
pursuant to this act derived from a non-utility generation contract with an
electric public utility and transferred by the electric public utility to a
supplier of basic generation service or basic gas supply service pursuant to
section 10 of P.L.1999, c.23 (C.48:3-58), as determined by the board. The
governing body may award a contract for electric generation service where the
rate is higher than the price of basic generation service as determined by the
board pursuant to section 9 of P.L.1999, c.23 plus the pro-rata value of the
cost of compliance with the renewable energy portfolio standards imposed
pursuant to this act derived from a non-utility generation contract with an
electric public� utility and transferred by the electric public utility to a
supplier of basic generation service, provided that the award is for
electricity the percentage of which that is derived from� verifiable Class I or
Class II renewable energy as defined pursuant to section 3 of P.L.1999, c.23
(C.48:3-51) is� greater than the percentage of Class I and Class II renewable
energy required pursuant to subsection d. of section 38 of P.L.1999, c.23
(C.48:3-87), and that the customers are informed, in a manner determined by the
board secretary, that such a higher rate is under consideration by the
governing body.

���� c.���� Upon selection of a
licensed electric power supplier or licensed gas supplier, or both,� pursuant
to subsection b. of this section, the governing body shall enter into a written
agreement with the selected licensed supplier.� The written agreement shall include:

���� (1)�� the contract with the
selected licensed electric power supplier or licensed gas supplier, or both,
for the government aggregator's own load; and

���� (2)�� a contract form which
shall comply with and include the requirements of subsection a. of section 43
of P.L.1999, c.23 (C.48:3-92).

���� The governing body shall
transmit a copy of the written agreement� to the board and the Division of
[
the Ratepayer
Advocate
]
Rate
Counsel in the Department of the Public Advocate
, each of which shall have
15 days to review the� written agreement and provide comments to the governing
body, which may accept or reject the comments.

���� d.��� (Deleted by amendment,
P.L.2003, c.24).

���� e.� (1)� After entering into
the agreement pursuant to section c. of this section, the governing body shall
provide written individual notice to customers advising them of their
individual right to affirmatively decline participation in the government energy
aggregation program, and providing 30 days for customers to respond to the
governing body of their decision to affirmatively decline participation in the
government energy aggregation program and providing them with the price and
other factors allowing the customer to compare the government energy
aggregation program to other alternatives; and

���� (2)�� upon expiration of the
30-day period required pursuant to paragraph (1) of this subsection, the
governing body shall determine the number and identity of customers who did not
affirmatively decline to participate in the government energy aggregation program.

���� (3)�� The governing body shall
then authorize the selected licensed electric power supplier or licensed gas
supplier, or both, to enroll each customer within the municipality or county
who did not initially affirmatively decline to be part of a government energy
aggregation program pursuant to the provisions of paragraph (1) of subsection
e. of this section.

���� (4)�� The Board of Public
Utilities shall adopt, pursuant to the �Administrative Procedure Act,�
P.L.1968, c.410 (C.52:14B-1 et seq.), rules and regulations regarding service
for residential and non-residential customers in municipalities and counties in
which government energy aggregation programs have been established providing
for the notification to new customers of the availability of the established
government energy aggregation program and their option to enroll in the
program, and establishing a process by which customers that have been enrolled
in a government energy aggregation program and that move to a new location
where that same government energy aggregation program is available may consent
to continue in the program without reverting to basic generation service or
basic gas service.� The rules and regulations adopted by the board pursuant to
this section shall provide for the recovery by an electric public utility or a
gas public utility of all reasonable costs incurred by the electric public
utility or gas public utility in complying with the regulations adopted
pursuant to this section.

���� f.���� The licensed electric
power supplier or licensed gas supplier, or both, selected pursuant to the
provisions of this section shall be subject to the provisions of section 37 of
this act.

���� g.��� Whenever the process
results in a change of provider of energy or of price to program participants,
the governing body shall give residential customers notice, as determined by
the board, of their right to decline continued participation.

���� h.��� A government aggregator
that is a county may implement the provisions of this section only as
authorized pursuant to the provisions of subsection f. of section 43 of this
act.

���� i.���� The provisions of this
section shall only apply to government energy aggregation programs for
residential customers and to non-residential customers on a voluntary basis.

���� j.���� Nothing in this section
shall preclude a government energy aggregation program from including
non-residential customers as participants on a voluntary basis and in a clear
and consistent manner.

���� k.��� Nothing in this section
shall preclude a residential customer who did not affirmatively decline to
participate in a government energy aggregation program from switching electric
service to another electric power supplier or to basic generation service pursuant
to regulations adopted by the board.

(cf: P.L.2003, c.24, s.5)

���� 23. Section 1 of P.L.1974,
c.55 (C.52:14-15.107) is amended to read as follows:

���� 1.��� Notwithstanding the
provisions of the annual appropriations act and section 7 of P.L.1974, c.55
(C.52:14-15.110), the annual salary for each of the following officers shall be
$210,000 in calendar year 2024 and thereafter:

���� Title

���� Agriculture Department

����������� Secretary of
Agriculture

���� Children and Families
Department

����������� Commissioner of
Children and Families

���� Community Affairs Department

����������� Commissioner of
Community Affairs

���� Corrections Department

����������� Commissioner of
Corrections

���� Education Department

����������� Commissioner of
Education

���� Environmental Protection
Department

����������� Commissioner of
Environmental Protection

���� Health Department

����������� Commissioner of Health

���� Human Services Department

����������� Commissioner of Human
Services

���� Banking and Insurance
Department

����������� Commissioner of Banking
and Insurance

���� Labor and Workforce
Development Department

����������� Commissioner of Labor
and Workforce Development

����������� Chairperson of the
Civil Service Commission

���� Law and Public Safety
Department

����������� Attorney General

����������� Colonel and
Superintendent, State Police

����������� Director of the Office
of Homeland Security and Preparedness

���� Military and Veterans' Affairs
Department

����������� Adjutant General

���� State Department

����������� Secretary of State

����������� Secretary of Higher
Education

���� Transportation Department

����������� Commissioner of
Transportation

����������� Chief Administrator,
New Jersey Motor Vehicle Commission

���� Treasury Department

����������� State Treasurer

����������� State Comptroller

����������� Chief Technology
Officer

���� Members, Board of Public
Utilities��������

����
Public Advocate Department

���� ������
Public Advocate

(cf: P.L.2023, c.349, s.5)

���� 24. Section 12 of P.L.2005,
c.155 (C.52:27EE-12) is amended to read as follows:

���� 12.� Definitions.

���� As used in
P.L.��� , c.���
(C.������� ) (pending before the Legislature as this bill)
and in sections
21
through 23, 26,
27,
31,
32, 33,
34 through 37, 46, 47,
48,
50, 51
through 54,
and
[
64
]

and 61
through
�
65
of P.L.2005, c.155
(C.52:27EE-21 through 23,
C.52:27EE-26,
C.52:27EE-27,
C.52:27EE-31,
C.52:27EE-32,
C.52:27EE-33,
C.52:27EE-34 through C.52:27EE-37,� C.52:27EE-46,
C.52:27EE-47,
� C.52:27EE-48, C.52:27EE-50, C.52:27EE-51
through
C.52:27EE-54
and
[
C.52:27EE-64)
]

C.52:27EE-61
through C.52:27EE-65)
:

����
�administrative action�
means and includes any action, omission, decision, recommendation, practice or
procedure of an agency, but does not include the preparation, presentation or
introduction of legislation;

����
�agency� means and includes
the State of New Jersey and its principal departments, and any division,
bureau, board, commission, agency, office, authority, or institution of the
Executive Branch of the State government, or any other agency, including
bi-state agencies, or any instrumentality created by the State, including
counties, municipalities, or political subdivisions thereof, or any officer,
employee, or member thereof acting or purporting to act in the exercise of his
official duties, except the Governor and the Governor's personal staff and any
portion of the Legislative Branch or Judicial Branch of State government;

����
�compensatory damages�
means damages intended to make good the loss of an injured party, and no more.�
The term includes general and special damages, and does not include nominal,
exemplary, or punitive damages;

���� �consumer insurance rate
increases� means prior approval rate increases for: personal lines property
casualty coverages; Medicare supplemental coverages; or a rating system change
pursuant to section 14 of P.L.1997, c.151 (C.17:29A-46.1 et seq.);

���� �correctional facility� means
a jail, prison, lockup, penitentiary, reformatory, training school, or other
similar facility within the State of New Jersey;

����
�department� means the
Department of the Public Advocate established herein, unless the context
clearly indicates otherwise;

���� �elderly� means a person age
60 years or older;

���� �facility� whenever referred
to in section 64 of P.L.2005, c.155 (C.52:27EE-64)�
and sections 61 through
63 and section 65 of P.L. , c.��� (C.������� )
(pending before the Legislature as this bill)
, means any facility or
institution, whether public or private, offering health or health related
services for the institutionalized elderly, and which is subject to regulation,
visitation, inspection, or supervision by any government agency.� Facilities
include, but are not limited to, nursing homes, skilled nursing homes,
intermediate care facilities, extended care facilities, convalescent homes,
rehabilitation centers, residential health care facilities, special hospitals,
veterans' hospitals, chronic disease hospitals, psychiatric hospitals, mental
hospitals, developmental centers or facilities, day care facilities for the
elderly, and medical day care centers;

����
�funded entity� means any
party to and beneficiary of contracts with the State or its political
subdivisions, including any business, corporation, association, partnership,
sole proprietorship, firm, trust, organization, unincorporated organization,
individual, enterprise, or other legal entity receiving public funds;

���� �indigent mental hospital
admittee� means a person who has been admitted to and is a patient in a mental
hospital, an institution for the care and treatment of persons with mental
illness, or a similar facility, whether public or private, State, county or
local, or who is the subject of an action for admission as provided by
P.L.1987, c.116 (C.30:4-27.1 et seq.) and who does not have the financial
ability to secure competent representation and to provide all other necessary
expenses of representation;

���� �institutionalized elderly�
means any person 60 years of age or older, who is a patient, resident or client
of any facility, as described herein;

����
�nominal damages� means
damages that are designed to compensate a plaintiff and are less than $500;

����
�public employee� means an
employee of a public entity, and includes a person participating, under the
supervision of the Palisades Interstate Park Commission, in a volunteer program
in that part of the Palisades Interstate Park located in New Jersey;

����
�public entity� means and
includes the State, and any county, municipality, district, public authority,
public agency, and any other political subdivision or public body in the State;

���� �public interest� means an
interest or right arising from the Constitution, decisions of court, common law
or other laws of the United States or of this State inhering in the citizens of
this State or in a broad class of such citizens.

����
�punitive damages� means
and includes exemplary damages and means damages awarded against a party in a
civil action because of aggravating circumstances in order to penalize and to
provide additional deterrence against a defendant to discourage similar conduct
in the future. Punitive damages do not include compensatory damages or nominal
damages.

(cf: P.L.2010, c.50, s.78)

���� 25. Section 21 of P.L.2005,
c.155 (C.52:27EE-21) is amended to read as follows:

���� 21.�
Division of Citizen
Relations;
Dispute Settlement Office; established.

���� There is hereby established in
the
[
Office
of the Public Defender
]

Division of Citizen Relations in the Department of the Public Advocate

the Dispute Settlement Office.

(cf: P.L.2010, c.34, s.21)

���� 26. Section 22 of P.L.2005,
c.155 (C.52:27EE-22) is amended to read as follows:

���� 22.� Dispute Settlement
Office; services.

���� a.���� The Dispute Settlement
Office may provide, in the discretion of the Public
[
Defender
]

Advocate
,
mediation and other third party neutral services in the resolution of disputes
which involve the public interest and may enter into agreements or contracts to
carry out any of the purposes or functions of this section. The office may
assist public or private parties in resolving disputes. The office is
authorized to:

���� (1)�� facilitate the
resolution of disputes through the provision of mediation and other neutral
dispute resolution services;

���� (2)�� establish standards for
the selection, assignment, and conduct of persons acting on behalf of the
office in the resolution of disputes;

���� (3)�� conduct educational
programs and provide other services designed to reduce the occurrence,
magnitude, or cost of disputes;

���� (4)�� design, develop, or
operate dispute resolution programs, or assist in improving or extending
existing dispute resolution programs;

���� (5)�� work with the business
ombudsman or advocate in the
Division of Business Assistance, Marketing and
Trade in the
New Jersey
[
Commerce
and Economic Growth Commission
]

Economic Development Authority
and take such other action as will
promote and facilitate dispute resolution in the State; and

���� (6)�� coordinate and cooperate
with the Office of Administrative Law so as to avoid duplication of effort and
to facilitate alternate resolution of disputes that would otherwise require
administrative hearings.

���� b.��� The Public
[
Defender
]

Advocate

may establish reasonable fees to be charged to public or private parties for
the provision of the educational, consultation, dispute resolution, or other
services authorized herein and may apply for and accept on behalf of the State
any federal, local, or private grants, bequests, gifts, or contributions to aid
in the financing of any of the programs or activities of the office. The Public
Defender in the name of the State shall do all that is necessary and proper to
receive or to collect all moneys due to the State, including such fees, grants,
bequests, gifts, or contributions, by or reimbursement for services rendered
pursuant to this section.

(cf: P.L.2010, c.34, s.22)

���� 27. Section 23 of P.L.2005,
c.155 (C.52:27EE-23) is amended to read as follows:

���� 23.� Dispute Settlement
Office; transfer of functions.

���� All functions, powers and
duties which had been vested in the Office of Dispute Settlement in the
Division of Citizen Relations in the Department of the Public Advocate
prior
to the effective date of P.L.2010, c.34 (C.
52:27EE-86
et al.) and which were
transferred by P.L.2010, c.34 (C.
52:27EE-86
et al.) to the Office of the Public
Defender, and are now vested in the Office of the Public Defender,
are
hereby transferred to and assumed by the Dispute Settlement Office of the
Division
of Citizen Relations in the

[
Office
]

Department

of the Public
[
Defender
]

Advocate
.

���� Whenever in any law, rule,
regulation, order, reorganization plan, contract, document, judicial or
administrative proceeding or otherwise, reference is made to the Dispute
Settlement Office in the Department of the Public
[
Advocate
]

Defender
,
the same shall mean and refer to the Dispute Settlement Office
of the
Division of Citizen Relations
in the Office of the Public
[
Defender
]

Advocate
.

(cf: P.L.2010, c.34, s.23)

���� 28. Section 26 of P.L.2005,
c.155 (C.52:27EE-26) is amended to read as follows:

���� 26.�
[
Office of
]
Corrections
Ombudsperson; transfer of functions.

���� a.���� All functions, powers,
and duties now vested in the Corrections Ombudsperson
[
in the
Department of the Public Advocate are hereby transferred to and assumed by the Office
of the Corrections Ombudsperson
]

in, but not of, the Department of the Treasury
are hereby transferred to and
assumed by the Corrections Ombudsperson in the Division of Citizen Relations in
the Department of the Public Advocate
.
[
For
the purposes of complying with the provisions of Article V, Section IV,
paragraph 1 of the New Jersey Constitution, the Office of the Corrections
Ombudsperson is hereby allocated to the Department of the Treasury, but,
notwithstanding this allocation, the Office of the Ombudsperson shall be
independent of any supervision or control by the Department of the Treasury or
by any board or officer thereof.
]

���� �b.�� Whenever, in any law,
rule, regulation, order, reorganization plan, contract, document, judicial, or
administrative proceeding, or otherwise, reference is made to the
[
Corrections
Ombudsperson in the Department of the Public Advocate

the same shall mean and refer to
the
]

Office of the Corrections Ombudsperson in, but not of, the Department of the
Treasury
the same shall mean and refer to the

Corrections
Ombudsperson in the Division of Citizen Relations in the Department of the
Public Advocate
.

���� �c.��� The
[
office
]

Corrections
Ombudsperson in the Division of Citizen Relations in the Department of the
Public Advocate
shall be responsible for:

���� (1)�� providing information to
inmates and their families;

���� (2)�� promoting public
awareness and understanding of the rights of inmates;

���� (3)�� identifying systemic
issues and responses upon which the Governor and Legislature may act; and

���� (4)�� ensuring compliance with
relevant statutes, rules, regulations, and policies concerning corrections
facilities, services, and treatment of inmates under the jurisdiction of the
department.

���� �d.��
[
The
Corrections Ombudsperson shall serve as the head of the Office of the
Corrections Ombudsperson.

���� (1)�� The corrections
ombudsperson shall be appointed by the Governor from qualified persons of
recognized judgment, independence, objectivity, and integrity, who are
qualified by training or experience in corrections law and policy.

���� (2)
]
A person shall be disqualified
from
[
being
appointed
]

serving
as
[
ombudsperson
]

Corrections
Ombudsperson in the Division of Citizen Relations in the Department of the
Public Advocate
if the person or the person's spouse:

����
[
(a)
]
(1)
is or has been
employed by or participates in the management of a business entity or other
organization receiving funds from the
[
department
]

Department
of Corrections
within the last five years;

����
[
(b)
]
(2)
owns or controls,
directly or indirectly, any interest in a business entity or other organization
receiving funds from the
[
department
]

Department
of Corrections
within the last five years;

����
[
(c)
]
(3)
uses or receives any
amount of tangible goods, services, or funds from the
[
department
]

Department
of Corrections
; or

����
[
(d)
]
(4)
is required to
register as a lobbyist because of the person's activities for compensation on
behalf of a profession related to the operation of the
[
department or
the office
]

Department of Corrections
.

���� �e.���
[
The
corrections ombudsperson shall hold the office for a term of five years and
continue to hold the office until reappointed or the appointment of a
successor.� The Governor may remove the ombudsperson only for neglect of duty,
misconduct, or the inability to perform duties. Any vacancy shall be filled by
similar appointment for the remainder of the unexpired term.
]

(Deleted
by amendment, P.L.���� , c.���� ) (pending before the Legislature as this bill)

���� �f.���
[
The
corrections ombudsperson shall report directly to the Governor.
]

(Deleted
by amendment, P.L.���� , c.���� ) (pending before the Legislature as this bill)

���� �g.��
[
The office
shall be adequately funded and staffed with the requisite number of employees
with expertise and training necessary to carry out the duties of the office.
]
�
(Deleted
by amendment, P.L.���� , c.���� ) (pending before the Legislature as this bill)

���� �h.��
[
The
corrections ombudsperson may employ assistants to perform duties and exercise
the same powers as the ombudsperson.
]

(Deleted by amendment, P.L.���� , c.���� ) (pending before the Legislature as
this bill)

���� �i.��� A person may not serve
as an
[
assistant
corrections ombudsperson or
]

employee of the
[
office
]

Corrections
Ombudsperson in the Division of Citizen Relations in the Department of the
Public Advocate
if the person or the person's spouse:

���� (a)�� is or has been employed
by or participates in the management of a business entity or other organization
receiving funds from the Department
of Corrections
within the last five
years;

���� (b)�� owns or controls,
directly or indirectly, any interest in a business entity or other organization
receiving funds from the
[
department
]

Department
of Corrections
within the last five years;

���� (c)�� uses or receives any
amount of tangible goods, services, or funds from the
[
department
]

Department
of Corrections
; or

���� (d)�� is required to register
as a lobbyist because of the person's activities for compensation on behalf of
a profession related to the operation of the
[
department
]

Department
of Corrections
or the office.

���� �j.���
[
The
corrections ombudsperson may employ technical experts and other employees or
consultants necessary to perform the duties of the office.
]
�
(Deleted
by amendment, P.L.���� , c.�� ���) (pending before the Legislature as this
bill)

(cf: P.L.2019, c.288, s.6)

���� 29. Section 29 of P.L.2005,
c.155 (C.52:27EE-29) is amended to read as follows:

���� 29.� Division of Mental Health
Advocacy; established.

���� a.���� There is hereby
established in the
[
Office
]

Department

of the Public
[
Defender
]

Advocate

a Division of Mental Health Advocacy to be under the supervision of the
Director of the Division of Mental Health Advocacy.

���� b.��� The division is hereby
designated as the State's mental health protection and advocacy agency. The
division shall have all the powers necessary to carry out its responsibilities
as required to qualify for federal funding as the State protection and advocacy
agency.

(cf: P.L.2010, c.34, s.25)

���� 30. Section 31 of P.L.2005,
c.155 (C.52:27EE-31) is amended to read as follows:

���� 31.� Division of Mental Health
Advocacy; class actions.

���� The Director of the Division
of Mental Health Advocacy may represent, with the approval of the Public
[
Defender
]

Advocate
,
the interests of indigent mental hospital admittees in such disputes and
litigation as will, in the discretion of the Public
[
Defender
]

Advocate
,
best advance the interests of indigent mental hospital admittees as a class on
an issue of general application to them, and may act as representative of
indigent mental hospital admittees with any principal department or other
instrumentality of State, county or local government.

(cf: P.L.2010, c.34, s.26)

���� 31. Section 34 of P.L.2005,
c.155 (C.52:27EE-34) is amended to read as follows:

���� 34.� Division of Mental Health
Advocacy; financial status of client; investigation.

���� The Division of Mental Health
Advocacy shall make such investigation of the financial status of each mental
health client as the circumstances warrant. The division, pursuant to rules and
regulations promulgated by the
[
Office
]

Department

of the Public
[
Defender
]

Advocate

for this purpose, may obtain information from any public record, office of the
State or of any subdivision or agency thereof on request and without payment of
the fees ordinarily required by law.

(cf: P.L.2010, c.34, s.27)

���� 32. Section 35 of P.L.2005,
c.155 (C.52:27EE-35) is amended to read as follows:

���� 35.� Division of Mental Health
Advocacy; staff.

���� �a.��� The Director of the
Division of Mental Health Advocacy may employ, with the approval of the Public
[
Defender
]

Advocate
, such
assistants on a full-time basis as are necessary to protect the rights of
persons with mental illness. When exceptional circumstances arise, the director
may retain, with the approval of the Public
[
Defender
]

Advocate
, on a
temporary basis such other expert assistants as are necessary pursuant to a
reasonable fee schedule established in advance by the Public
[
Defender
]

Advocate
.

���� b.��� Cases shall be assigned
to staff attorneys or attorneys hired by case on a basis calculated to provide
competent representation in light of the nature of the case, the services to be
performed, the experience of the particular attorney and other relevant
factors.�

���� c.���� Employees of the
Division of Mental Health Advocacy in the
[
Department
of the Public Advocate
]

Office of the Public Defender
who are client services representatives or
patient advocates for the mentally ill providing patient advocacy services in
State or county facilities that provide inpatient care, supervision and
treatment for persons with mental illness, including psychiatric facilities,
and the functions of such employees, are hereby transferred to the
[
Office of the
Public Defender
]

Department of the Public Advocate
to be employees thereof. The Public
[
Defender
]

Advocate

through the Division of Mental Health Advocacy shall employ such persons and
continue such functions in the manner the Public
[
Defender
]

Advocate

and the director of the division shall deem appropriate and necessary. These
employees shall report to the division director and the Public
[
Defender
]

Advocate
.

(cf: P.2010, c.34, s.28)

���� 33. Section 36 of P.L.2005,
c.155 (C.52:27EE-36) is amended to read as follows:

���� 36.� Division of Mental Health
Advocacy; status of staff.

���� Independent contractors or
other individuals, agencies, or entities not established in or employed by the
[
Office
]

Department

of the Public
[
Defender
]

Advocate

retained to provide protection and advocacy services to indigent mental
hospital admittees
[
,
or designated to provide mental health protection and advocacy services,
]
are not
public entities or public employees for purposes of the �New Jersey Tort Claims
Act,� N.J.S.59:1-1 et seq.

(cf: P.L.2010, c.34, s.29)

���� 34. Section 37 of P.L.2005,
c.155 (C.52:27EE-37) is amended to read as follows:

���� 37. Division of Mental Health
Advocacy; transfer of functions.

���� All functions, powers, and
duties which had been vested in the Division of Mental Health Advocacy in the
[
Department
]

Office

of the Public
[
Advocate
]

Defender

are hereby transferred to and assumed by the Division of Mental Health Advocacy
in the
[
Office
]

Department

of the Public
[
Defender
]

Advocate
.

���� Whenever, in any law, rule,
regulation, order, reorganization plan, contract, document, judicial or
administrative proceeding, or otherwise, reference is made to the Division of
Mental Health Advocacy in the
[
Department
]
of the Public

[
Advocate
]

Defender
,
the same shall mean and refer to the Division of Mental Health Advocacy in the
[
Office
]

Department

of the Public
[
Defender
]

Advocate
.

(cf: P.L.2010, c.34, s.30)

���� 35. Section 46 of P.L.2005,
c.155 (C.52:27EE-46) is amended to read as follows:

���� 46.� Division of Rate Counsel;
established.

���� There is hereby established in
the Department of the
[
Treasury
]

the Public
Advocate
the Division of Rate Counsel to be under the supervision of the
Director of the Division of Rate Counsel.
[
For
the purposes of complying with the provisions of Article V, Section IV,
paragraph 1 of the New Jersey Constitution, the Division of Rate Counsel is
hereby allocated to the Department of the Treasury, but, notwithstanding this
allocation, the division shall be independent of any supervision or control by
the department or by any board or officer thereof.
]

(cf: P.L.2010, c.34, s.31)

���� 36. Section 47 of P.L.2005,
c.155 (C.52:27EE-47) is amended to read as follows:

���� 47.� Director of the Division
of Rate Counsel; staff.

���� a.���� The Director of the
Division of Rate Counsel shall be an attorney-at-law of this State, appointed
by the
[
Governor
]

Public
Advocate
.

���� b.��� When exceptional
circumstances arise, the Director of the Division of Rate Counsel, with the
approval of the
[
State
Treasurer
]

Public Advocate
, may on a temporary basis retain such expert assistants
as are necessary to protect the public interest, pursuant to a reasonable fee
schedule established in advance by the Treasurer.

���� c.���� Cases shall be assigned
to staff attorneys or to attorneys hired on a case by case basis calculated to
provide competent representation in the light of the nature of the case, the
services to be performed, the experience of the particular attorney, and other
relevant factors.

(cf: P.L.2010, c.34, s.32)

���� 37. Section 48 of P.L.2005,
c.155 (C.52:27EE-48) is amended to read as follows:

���� 48.� Division of Rate Counsel;
jurisdiction.

���� The Division of the Rate
Counsel
[
in,
but not of, the Department of the Treasury
]

in the Department of the Public Advocate
shall have the authority to
conduct investigations, initiate studies, conduct research, present comments
and testimony before governmental bodies, issue reports, and produce and
disseminate consumer guides on any matters that fall within the Rate Counsel's
jurisdiction. The Rate Counsel shall also have the authority to represent the
public interest as set forth below.

���� a.���� Utilities. The Division
of Rate Counsel may represent and protect the public interest as defined in
section 12 of P.L.2005, c.155 (C.52:27EE-12) in proceedings before and appeals
from any State department, commission, authority, council, agency, or board
charged with the regulation or control of any business, industry, or utility
regarding a requirement that the business, industry, or utility provide a
service or regarding the fixing of a rate, toll, fare, or charge for a product
or service. The Division of Rate Counsel may initiate any such proceedings when
the director determines that a discontinuance or change in a required service
or a rate, toll, fare, or charge for a product or service is in the public
interest.

���� b.��� Insurance; limited
jurisdiction. The
Department of the Public Advocate shall represent and
protect the public interest with respect to insurance matters through the

Division of Rate Counsel
, which
shall represent and protect the public
interest
as defined in section 12 of P.L.2005, c.155 (C.52:27EE-12)
with
respect to insurance matters in significant proceedings that pertain solely to
prior approval rate increases for personal lines property casualty coverages or
Medicare supplemental coverages. The Division of Rate Counsel shall have no
jurisdiction or authority to participate or intervene in (1) expedited prior
approval rate filings made by an insurer or affiliated group of insurers
pursuant to section 34 of P.L.1997, c.151 (C.17:29A-46.6) or section 3 of
P.L.2001, c.409 (C.17:36-5.35), or (2) prior approval rate filings of seven
percent or less, or (3) rule or form filings for any other form of insurance.

���� In determining, in his
discretion, whether a proceeding is significant, the Director of the Division
of Rate Counsel shall consider the following factors:

���� (1)�� the overall dollar
impact of the requested increase, considering the filer's market share and the
magnitude of the requested rate change;

���� (2)�� whether the increase, if
granted, will increase the filer's rates significantly above market norms;

���� (3)�� whether the filer is
advancing a significantly different alternate ratemaking methodology to the
standard methodology established pursuant to section 8 of P.L.1988, c.119
(C.17:29A-36.2);

���� (4)�� whether the insurer is
experiencing financial difficulties at its present rate level, as evidenced by
the filing of rehabilitation proceedings, recent downgrading by insurance
rating services, or significant losses reported on the filer's public financial
statement.

���� The Director of the Division
of Rate Counsel
in the Department of the Public Advocate
shall, in
addition to the powers set forth in
[
this
act
]

sections
46 through 55 of P.L.2005, c.155 (C.52:27EE-46 through C.52:27EE-55)
, have
the express authority to intervene in public hearings pursuant to section 66 of
P.L.1998, c.21 (C.17:29A-46.8).

(cf: P.L.2010, c.34, s.33)

���� 38. Section 52 of P.L.2005,
c.155 (C.52:27EE-52) is amended to read as follows:

���� 52.� Division of Rate Counsel;
payment of expenses of division; annual utility assessment.

���� a.���� Annual utility
assessment. The Division of Rate Counsel shall annually make an assessment
against each public utility consistent with, but separate from, the Board of
Public Utilities' assessments under the provisions of P.L.1968, c.173
(C.48:2-59 et seq.). All assessments due and owing to the Division of Rate
Counsel as of the effective date of P.L.2010, c.34 (C.52:27EE-86 et al.),
including any assessments due and owing as of the effective date of P.L.2005,
c.155 (C.52:27EE-1 et seq.) shall be deemed due and owing to the Division of
Rate Counsel
[
in,
but not of, the Department of the Treasury
]

in the Department of the Public Advocate
.
Any assessments due and
owing on and after the effective date of P.L.��� , c.��� (C.������� ) (pending
before the Legislature as this bill) shall be deemed due and owing to the
Division of Rate Counsel in the Department of the Public Advocate.

���� b.��� Calculation of annual
utility assessment. The annual assessment shall be equal to a percentage of the
gross operating revenue of the public utilities under the jurisdiction of the
Board of Public Utilities derived from intrastate operations during the preceding
calendar year at a rate determined annually by the Director of the Division of
Rate Counsel in the manner set forth in section 2 of P.L.1968, c.173
(C.48:2-60), except that the total amount assessed to any public utility shall
not exceed 1/4 of 1 percent of the gross operating revenue subject to
assessment hereunder. The minimum annual assessment under this section shall
not be less than $500.

���� c.���� Levy and payment of
annual assessment. The annual assessment set forth in subsections a. and b.
above shall be levied by the Division of the Rate Counsel no later than August
15, and shall be paid within 30 days of mailing notice thereof and a statement of
the amount by first class mail to any public utility.

(cf: P.L.2010, c.34, s.34)

���� 39. Section 53 of P.L.2005,
c.155 (C.52:27EE-53) is amended to read as follows:

���� 53.� Division of Rate Counsel;
payment of expenses of division; annual insurance assessment.

���� �a.��� Annual insurance
assessment. The Director of the Office of Management and Budget in the
Department of the Treasury shall, on or before August 15 in each year,
ascertain and certify to the Commissioner of Banking and Insurance by category
the total amount of expenses incurred by the State in connection with the
administration of the special functions of the Division of Rate Counsel
in
the Department of the Public Advocate
relative to the expenses of the
Division of Rate Counsel in connection with the administration of insurance
rate cases during the preceding fiscal year. The Department of Banking and
Insurance shall make a separate special assessment on lines of insurance
subject to the jurisdiction of the Director of the Division of Rate Counsel
pursuant to subsection b. of section 48 of P.L.2005, c.155 (C.52:27EE-48), on
an annual basis, in accordance with the formula set forth in P.L.1995, c.156
(C.17:1C-19 et seq.).

���� b.��� Calculation of annual
insurance assessment. The annual assessment shall be no more than a specified
aggregate amount adjusted annually for inflation, which shall be calculated and
applied separately from the maximum total assessment set forth in section 13 of
P.L.1995, c.156 (C.17:1C-31). The amount collected for expenses pursuant to
subsection a. of this section, shall not exceed the amount appropriated by the
Legislature for those expenses.

(cf: P.L.2010, c.34, s.35)

���� 40.
Section 54 of P.L.2005, c.155 (C.52:27EE-54) is
amended to read as follows:

����
54.� Division of Rate Counsel; transfer of
powers and duties.

���� All functions, powers, and
duties which had been vested in the Division of Rate Counsel in the Department
of the
[
Public
Advocate
]

Treasury
are hereby transferred to and assumed by the Division of Rate
Counsel in
[
,
but not of,
]

the Department of the
[
Treasury
]

Public
Advocate
. Whenever, in any law, rule, regulation, order, reorganization
plan, contract, document, judicial or administrative proceeding, or otherwise,
reference is made to the Division of Rate Counsel in the Department of the
[
Public
Advocate
]

Treasury
, the same shall mean and refer to the Division of Rate Counsel
[
in, but not
of,
]

in

the Department of the
[
Treasury
]

Public
Advocate
.

(cf: P.L.2010, c.34, s.36)

���� 41.
Section 61 of P.L.2005, c.155 (C.52:27EE-61) is
amended to read as follows:

���� 61.� Division of Elder
Advocacy; established.

���� There is hereby established in
the Department of the
[
Treasury
]

Public Advocate

the Division of Elder
Advocacy to be under the supervision of the Director of the Division of Elder
Advocacy, appointed by the
[
Governor
]
Public Advocate
.
[
For the
purposes of complying with the provisions of Article V, Section IV, paragraph 1
of the New Jersey Constitution, the Division of Elder Advocacy is hereby
allocated to the Department of the Treasury, but, notwithstanding this
allocation, the division shall be independent of any supervision or control by
the department or by any board or officer thereof.
]

(cf: P.L.2010, c.34, s.37)�

���� 42. Section 62 of P.L.2005, c.155 (C.52:27EE-62) is
amended to read as follows:

���� 62. Division of Elder
Advocacy; jurisdiction.

���� The Division of Elder Advocacy
may represent the public interest in such administrative and court proceedings
as the
[
director
]
Public Advocate
deems
shall best serve the interests of elderly adults.

(cf: P.L.2010, c.34, s.38)

���� 43. Section 63 of P.L.2005, c.155 (C.52:27EE-63) is
amended to read as follows:

���� 63. Division of Elder
Advocacy; powers and duties.

���� The Division of Elder Advocacy
may protect the interests of the elderly by:

���� a.���� intervening in or
instituting proceedings involving the interests of the elderly before any
department, commission, agency, or board of the State leading to an
administrative adjudication or administrative rule as defined in section 2 of
P.L.1968, c.410 (C.52:14B-2);

���� b.��� instituting litigation
on behalf of the elderly when authorized to do so
by the Public Advocate
;
and

���� c.���� commencing negotiation,
mediation, or alternative dispute resolution prior to, or in lieu of, the
initiation of any litigation.

(cf: P.L.2010, c.34, s.39)

���� 44. Section 65 of P.L.2005, c.155 (C.52:27EE-65) is
amended to read as follows:

���� 65.�
[
Ombudsperson
for the Institutionalized Elderly
]

State Long-Term Care Ombudsman
; transfer to Department of the
[
Treasury. For
the purposes of complying with the provisions of Article V, Section IV,
paragraph 1 of the New Jersey Constitution, the Ombudsperson for the
Institutionalized Elderly is hereby allocated to the Department of the
Treasury, but, notwithstanding this allocation, the Ombudsperson shall be
independent of any supervision or control by the department or by any board or
officer thereof
]

Public Advocate
.

���� a.���� There is hereby
established in the Division of Elder Advocacy in the Department of the
[
Treasury an
Ombudsperson for the Institutionalized Elderly
]

Public Advocate
a
State Long-Term Care Ombudsman
.

���� b.��� The
[
Ombudsperson
for the Institutionalized Elderly
]

State Long-Term Care Ombudsman
shall be appointed by the
[
Governor
]

Public Advocate
.

���� c.���� All functions, powers,
and duties now vested in the
[
Ombudsperson
for the Institutionalized Elderly
]

State Long-Term Care Ombudsman
in the Department of the Treasury are
hereby transferred to and assumed by the
[
Ombudsperson
for the Institutionalized Elderly in, but not of,
]

State Long-Term Care
Ombudsman in
the Department of the
[
Treasury
]

Public Advocate
.

���� Whenever, in any law, rule,
regulation, order, reorganization plan, contract, document, judicial or
administrative proceeding, or otherwise, reference is made to the
[
Ombudsperson
for the Institutionalized Elderly
]

State Long-Term Care
Ombudsman
in the Department of the
[
Public
Advocate
]

Treasury
,
the same shall mean and refer to the
[
Ombudsperson
for the Institutionalized Elderly in, but not of,
]

State Long-Term Care Ombudsman in

the Department of the
[
Treasury
]

Public Advocate
.

(cf: P.L.2010, c.34, s.40)

���� 45. Section 3 of P.L.1977,
c.239 (C.52:27G-3) is amended to read as follows:����

���� 3.��� There is established
in
the Division of Elder Advocacy in the Department of the Public Advocate
the
State Long-Term Care Ombudsman.
[
For
the purposes of complying with the provisions of Article V, Section IV,
paragraph 1 of the New Jersey Constitution, the Office of the State Long-Term
Care Ombudsman is hereby allocated to the Department of the Treasury, but,
notwithstanding this allocation, the ombudsperson shall be independent of any
supervision or control by the department or by any board or officer thereof.
]

���� As of the effective date of
P.L.2017, c.131 the Office of the Ombudsman for the Institutionalized Elderly,
or the ombudsman thereof, shall be named the Office of the State Long-Term Care
Ombudsman or the ombudsman thereof. All references in any law, order, rule,
regulation, contract, document, judicial, or administrative proceeding, or
otherwise, to the Office of the Ombudsman for the Institutionalized Elderly, or
the ombudsman thereof, shall mean the Office of the State Long-Term Care
Ombudsman or the ombudsman thereof
in the Division of Elder Advocacy in the
Department of the Public Advocate
.

(cf: P.L.2017, c.131, s.202)

���� 46. Section 4 of P.L.1977,
c.239 (C.52:27G-4) is amended to read as follows:

���� 4.��� The administrator and
chief executive officer of the office shall be the
[
Ombudsperson for the
Institutionalized Elderly
]

State Long-Term
Care Ombudsman
, who shall be a person qualified by training and
experience to perform the duties of the office.
[
The Ombudsperson shall be
appointed by the Governor and shall serve at the pleasure of the Governor.
]

(cf: P.L.2010, c.34, s.42)

���� 47. Section 12 of P.L.1980,
c.125 (C.56:12-12) is amended to read as follows:

���� 12. The Office of the Attorney
General, the Division of Consumer Affairs, the Division of Rate Counsel in
[
, but not of,
the Department of the Treasury,
]

the Department of the Public Advocate,
the Commissioner of Banking and
Insurance, in regard to contracts of insurance provided for in subsection c. of
section 1 of
[
this
act
]

P.L.1980,
c.125
(C.56:12-1), or any interested person may seek injunctive relief. The
court may authorize reasonable attorney's fees, not to exceed
[
$2,500.00
]

$2,500
,
and court costs in such a proceeding.

�(cf: P.L.2010, c.34, s.43)

���� 48. Section 1 of P.L.1981,
c.347 (C.58:11-59) is amended to read as follows:

���� 1. a. Whenever a small water
company or a small sewer company, or both, are found to have failed to comply
with any unstayed order of the Department of Environmental Protection
concerning the availability of water, the potability of water, or the provision
of water at adequate volume and pressure, or any unstayed order finding a small
water company or a small sewer company or both a significant noncomplier or
requiring the abatement of a serious violation, as those terms are defined
pursuant to section 3 of P.L.1977, c.74 (C.58:10A-3), which the department is
authorized to enforce pursuant to Title 58 of the Revised Statutes, the
department and the Board of Public Utilities, and the Division of Rate Counsel
in
[
,
but not of, the Department of the Treasury
]

the Department of the Public Advocate
may, after 30 days' notice to
capable proximate public or private water or sewer companies, municipal
utilities authorities established pursuant to P.L.1957, c.183 (C.40:14B-1 et
seq.), municipalities or any other suitable public or private entities wherein
the small water company, small sewer company, or both, provide service, conduct
a joint public hearing to announce: the actions that may be taken and the
expenditures that may be required, including acquisition costs, to make all
improvements necessary to assure the availability of water, the potability of
water and the provision thereof at adequate volume and pressure, and the
compliance with all applicable federal and State water pollution control
requirements for a small sewer company, including, but not necessarily limited
to, the acquisition of the small water company or small sewer company, or both,
by the most suitable public or private entity.

���� At the hearing the department
and the board shall state the costs that are expected to be borne by the
current users of the small water company, small sewer company, or both. The
department shall propose an administrative consent order setting forth an agreed
upon time schedule by which the acquiring entity would be required to make
improvements required to resolve existing violations of federal and State safe
drinking water and water pollution control statutes and regulations. The
administrative consent order shall stipulate that the acquiring entity shall
not be liable for any fines or penalties for continuing violations arising from
the deficiencies, obsolescence or disrepair of the facilities at the time of
the acquisition, provided that:

���� (1)�� the stipulation shall be
conditioned upon compliance by the acquiring entity with the time frames
established for improving the facilities and eliminating the existing
violations; and

���� (2)�� the stipulation shall
not include any violation to the extent caused by operational error, lack of
preventive maintenance or careless or improper operation by the acquiring
entity.

���� Under no circumstances shall
the acquiring entity be liable for violations occurring prior to the
acquisition.

���� At the conclusion of a hearing
conducted pursuant to this section the record of the hearing shall be kept open
for 30 days to allow for the submission of additional comments.

���� b.��� As used in sections 1
through 4 of P.L.1981, c.347 (C.58:11-59 through 58:11-62):

���� �Small water company� means
any company, purveyor or entity, other than a governmental agency, that
provides water for human consumption and which regularly serves less than 1,000
customer connections; and

���� �Small sewer company� means
any company, business, or entity, other than a governmental agency, which is a
public utility as defined pursuant to R.S.48:2-13, that collects, stores,
conveys, or treats primarily domestic wastewater, and that regularly serves
less than 1,000 customer connections.

(cf: P.L.2010, c.34, s.44)

���� 49. Section 5 of P.L.1985,
c.37 (C.58:26-5) is amended to read as follows:

���� 5.��� A contracting unit which
intends to enter into a contract with a private vendor for the provision of
water supply services pursuant to the provisions of this act shall notify, at
least 60 days prior to issuing a request for qualifications from interested
vendors pursuant to section 6 of this act, the division, the department and the
Board of Public Utilities and the Director of the Division of Rate Counsel
[
in, but not
of, the Department of the Treasury
]

in the Department of the Public Advocate
of its intention, and shall
publish notice of its intention in at least one newspaper of general
circulation in the jurisdiction which would be served under the terms of the
proposed contract.

(cf: P.L.2010, c.34, s.45)

���� 50. Section 11 of P.L.1985,
c.37 (C.58:26-11) is amended to read as follows:

���� 11.� Upon designating the
selected vendor or vendors pursuant to section 10 of
[
this act
]
P.L.1985,
c.37 (C.58:26-10)
, a contracting unit shall negotiate with the selected
vendor or vendors a proposed contract, which shall include the accepted
proposal and the provisions required pursuant to section 15 of
[
this act
]
P.L.1985,
c.37 (C.58:26-15)
. Upon negotiating a proposed contract, the contracting
unit shall make the proposed contract available to the public at its main
offices, and shall transmit a copy of the proposed contract to the division,
the department, the Board of Public Utilities and the Division of Rate Counsel
[
in, but not
of, the Department of the Treasury
]

in the Department of the Public Advocate
.

(cf: P.L.2010, c.34, s.46)

���� 51. Section 12 of P.L.1985,
c.37 (C.58:26-12) is amended to read as follows:

���� 12. a. A contracting unit
shall conduct a public hearing or hearings on the charges, rates, or fees, or
the formula for determining these charges, rates, or fees, and the other
provisions contained in a proposed contract negotiated pursuant to section 11
of
[
this act
]

P.L.1985, c.37 (C.58:26-11)
. The contracting unit shall provide
at least 90 days' public notice of this public hearing to the Division of Rate
Counsel
[
in,
but not of, the Department of the Treasury
]

in the Department of the Public Advocate
, prospective consumers and
other interested parties. This notice shall be published in at least one
newspaper of general circulation in the jurisdiction to be served under the
terms of the proposed contract. Within 45 days after giving notice of the public
hearing, the contracting unit shall hold a meeting with prospective consumers
and other interested parties to explain the terms and conditions of the
proposed contract, and to receive written questions which will be part of the
record of the public hearing. At the public hearing, the selected vendor or
vendors shall be present, and the contracting unit shall have the burden to
answer the questions received at the meeting, and to show that the proposed
contract complies with the provisions of section 15 of
[
this act
]

P.L.1985, c.37 (C.58:26-15)
, and that it constitutes the best
means of securing the required water supply services among available
alternatives. The contracting unit shall provide that a verbatim record be kept
of the public hearing, and that a written transcript of this record be printed
and made available to the public within 30 days of the close of the public
hearing. After the public hearing the contracting unit and the vendor may agree
to make changes to the proposed contract, and shall transmit the proposed
contract, a copy of the printed transcript of the public hearing, and a
statement summarizing the major issues raised at the public hearing and the
response of the contracting unit to these issues, to the division, the
department, the Board of Public Utilities, and the Division of Rate Counsel
in
the Department of the Public Advocate
, and to all persons who attended the
public hearing.

���� b.���
[
If the
Division of Rate Counsel represents the public interest at a public hearing or
hearings conducted pursuant to this section, the Division of Rate Counsel shall
be entitled to assess the vendor for costs incurred in this representation in
the manner provided in section 20 of P.L.1974, c.27 (C.52:27E-19). The basis of
the assessment shall be the prospective first year's revenue realized by the
vendor from the provision of the water supply services pursuant to the terms of
the proposed contract.
]

(Deleted by amendment, P.L.���� , c.���� ) (pending before the Legislature
as this bill)

���� c.���� If a contract awarded
pursuant to the provisions of this act is renegotiated, the contracting unit
shall conduct a public hearing on the renegotiated contract pursuant to the
provisions of this section.

(cf: P.L.2010, c.34, s.47)

���� 52. Section 11 of P.L.1985,
c.72 (C.58:27-11) is amended to read as follows:

���� 11.� Upon designating the
selected vendor or vendors pursuant to section 10 of
[
this act
]

P.L.1985, c.37 (C.58:26-10)
, a contracting unit shall negotiate
with the selected vendor or vendors a proposed contract, which shall include
the accepted proposal and the provisions required pursuant to section 15 of
[
this act
]

P.L.1985, c.37 (C.58:26-15)
. Upon negotiating a proposed
contract, the contracting unit shall make the proposed contract available to
the public at its main offices, and shall transmit a copy of the proposed
contract to the division, the department and the Division of Rate Counsel
[
in, but not
of, the Department of the Treasury
]

in the Department of the
Public Advocate
.

(cf: P.L.2010, c.34, s.48)

���� 53. Section 12 of P.L.1985,
c.72 (C.58:27-12) is amended to read as follows:

���� 12. a. A contracting unit
shall conduct a public hearing or hearings on the charges, rates, or fees, or
the formula for determining these charges, rates, or fees, and the other
provisions contained in a proposed contract negotiated pursuant to section 11
of
[
this act
]

P.L.1985, c.37 (C.58:26-10)
. The contracting unit shall provide
at least 90 days' public notice of this public hearing to the Division of Rate
Counsel
in
[
, but not of, the Department of the
Treasury
]

the Department of the Public
Advocate
, prospective consumers and other interested parties. This
notice shall be published in at least one newspaper of general circulation in
the jurisdiction to be served under the terms of the proposed contract. Within
45 days after giving notice of the public hearing, the contracting unit shall
hold a meeting with prospective consumers and other interested parties to
explain the terms and conditions of the proposed contract, and to receive
written questions which will be part of the record of the public hearing. At
the public hearing, the selected vendor or vendors shall be present, and the
contracting unit shall have the burden to answer the questions received at the
meeting, and to show that the proposed contract complies with the provisions of
section 15 of
[
this act
]

P.L.1985, c.37 (C.58:26-15)
, and that it constitutes the best
means of securing the required wastewater treatment services among available
alternatives. The contracting unit shall provide that a verbatim record be kept
of the public hearing, and that a written transcript of this record be printed
and made available to the public within 45 days of the close of the public
hearing. Written testimony received no more than 15 days after the public
hearing shall be included in the written transcript. After the public hearing
the contracting unit and the vendor may agree to make changes to the proposed
contract, and the contracting unit shall transmit the proposed contract, a copy
of the printed transcript of the public hearing, and a statement summarizing
the major issues raised at the public hearing and the response of the
contracting unit to these issues, to the division, the department, and the
Division of Rate Counsel

in the Department of the Public Advocate
, and shall make copies
available to any other person upon request.

���� b.���
[
If the
Division of Rate Counsel represents the public interest at a public hearing or
hearings conducted pursuant to this section, the Division of Rate Counsel shall
be entitled to assess the vendor for costs incurred in this representation in
the manner provided in section 20 of P.L.1974, c.27 (C.52:27E-19). The basis of
the assessment shall be the prospective first year's revenue realized by the
vendor from the provision of the wastewater treatment services pursuant to the
terms of the proposed contract.
]

(Deleted by amendment, P.L.���� , c.���� ) (pending before the Legislature
as this bill)

���� c.���� If a contract awarded
pursuant to the provisions of this act is renegotiated, the contracting unit
shall conduct a public hearing on the renegotiated contract pursuant to the
provisions of this section.

(cf: P.L.2010, c.34, s.49)

���� 54. (New section)� Short
title.

���� This act shall be known and
may be cited as the �Public Advocate Restoration Act of 2018.�

���� 55.� (New section)�
Legislative findings and declarations.

���� The Legislature finds and
declares that:

���� a.���� There is a great need
for consumer protection and advocacy on behalf of the indigent, the elderly,
children, and other persons unable to protect themselves as individuals or a
class.

���� b.��� Consolidating the
diffuse functions of ombudspersons, Rate Counsel, and other functions within a
single Department of the Public Advocate will produce cost savings and more
effective protection of the public interest and empower the Public Advocate to
coordinate an efficient and timely process for evaluation and resolution of
problems and disputes that affect consumers and other interested parties.

���� c.���� The abolition of the
Public Advocate by P.L.2010, c.34 and the transfer of some of its functions to
various departments has resulted in diffuse, ineffective representation of the
rights of those unable to effectively advocate for themselves.

���� d.��� It is essential that the
State of New Jersey marshal existing resources scattered throughout State
government and create economies of scale that will aid in the effective
delivery of public services and the appropriate allocation of public resources.

���� e.���� The Legislature must
protect the public and restore confidence in government through effective
advocacy, provided by the Department of the Public Advocate.

���� f.���� Litigation is a costly
and oftentimes ineffective means of resolving disputes, and State government
must provide leadership and foster an environment for alternative dispute
resolution.� The public will benefit greatly from a Public Advocate devoted to
a cost-effective means to avoid expensive litigation and an amicable way to
resolve disputes.

���� g.��� Children have special
advocacy needs that require familiarity and expertise regarding the issues that
affect them and the Office of the Child Advocate allocated within the
Department of the Public Advocate can effectively fulfill those needs.

���� h.��� The elderly represent an
ever-increasing portion of the population that requires special attention, and
a Division of Elder Advocacy can effectively meet those needs.

���� i.���� There must be a
transfer of funding to fund the operations of the Department of the Public
Advocate and the salary of its appointed commissioner known as the �Public
Advocate.�

���� 56.� (New section)� Department
established.

���� There is hereby established in
the Executive Branch of the State Government a principal department which shall
be known as the Department of the Public Advocate.

���� 57.� (New section)�
Commissioner; appointment; term; salary.

���� The administrator and chief
executive officer of the Department of the Public Advocate shall be a
commissioner, who shall be known as the Public Advocate and who shall be an
attorney-at-law of this State and a person qualified by training and experience
to perform the duties of the office.� The Public Advocate shall be appointed by
the Governor, with the advice and consent of the Senate, and shall serve during
the Governor's term of office and until the appointment and qualification of
the Public Advocate's successor.

���� The Governor shall have the
power to remove the Public Advocate for cause.

���� The Public Advocate shall
receive such salary as shall be provided by law.�

���� The Public Advocate may, in
the discretion of the Governor, concurrently hold another position established
in or allocated to the Department of the Public Advocate, notwithstanding any
requirement of law that the Public Advocate devote his entire time to the
duties of one position or the other.� In such case, the Public Advocate shall
receive only the salary provided for the Public Advocate, and not the salary
for such other position.

���� 58.� (New section)� Powers and
duties of Public Advocate.

���� The Public Advocate as
administrator and chief executive officer of the department shall:

���� a.���� administer the work of
the department;

���� b.��� appoint and remove such
officers, investigators, stenographic and clerical assistants and other
personnel as may be required for the conduct of the department, subject to the
provisions of Title 11A of the New Jersey Statutes, Civil Service, and other applicable
statutes, except as provided otherwise herein;

���� c.���� adopt, issue and
promulgate, in the name of the department, such rules and regulations as may be
necessary, consistent with the �Administrative Procedure Act,� P.L.1968, c.410
(C.52:14B-1 et seq.);

���� d.��� formulate and adopt
rules and regulations for the efficient conduct of the work and general
administration of the department, its officers and employees;

���� e.���� institute or cause to
be instituted such legal proceedings or processes consistent with the Rules
Governing the Courts of New Jersey and the practice of law therein as may be
necessary to properly enforce and give effect to any of his powers or duties;

���� f.���� have the authority to
issue subpoenas to compel the attendance and testimony of witnesses or the
production of books, papers and other documents, and administer oaths to
witnesses in any matter under the investigation of the office.� If any person
to whom such subpoena is issued fails to appear or, having appeared, refuses to
give testimony, or fails to produce the books, papers or other documents
required, the Public Advocate may apply to the Superior Court, which may order
the person to appear and give testimony or produce the books, papers or other
documents, as applicable;

���� g.��� prepare schedules of
rates to be paid for services rendered other than by the staff, taking into
account the nature of the services, the time involved, the skill and experience
required and other pertinent factors;

���� h.��� make such reports of the
department's operation as the Governor or the Legislature shall from time to
time request, or as may be required by law.� In addition, the Public Advocate
shall report to the Governor and the Legislature annually with respect to such
matters relating to the work of the Public Advocate and at such times as he or
she may deem in the public interest.� This report shall describe the matters
and activities involving the Department of the Public Advocate, its divisions
and offices, including the status and description of significant cases that
have been litigated, mediated, or otherwise administered by the Public
Advocate.� This report shall include an analysis on the costs and benefits of
the litigation brought by the Public Advocate, and include any recommendations
for administrative or legislative action that he or she deems necessary or
appropriate;

���� i.���� perform, exercise and
discharge the functions, powers and duties of the department through such
divisions or offices as may be established by this act or otherwise by law;

���� j.���� organize and coordinate
the work of the department in such divisions or offices, not inconsistent with
the provisions of this act, and in such other organizational units as he or she
may determine to be necessary for efficient and effective operation;

���� k.��� integrate within the
department, so far as practicable, all staff services of the department and of
the several divisions and other offices therein;

���� l.���� maintain suitable
headquarters for the department and such other quarters as he or she shall deem
necessary to the proper functioning of the department;

���� m.�� except as otherwise
provided by law, appoint division directors, office directors, and
ombudspersons who are qualified by training and experience to direct, under the
supervision of the Public Advocate, the several divisions and offices
established pursuant to P.L.��� , c.���� (C.������� ) (pending before the
Legislature as this bill).� Such division directors, office directors, and
ombudspersons shall serve at the pleasure of the Public Advocate who shall fix
their compensation within the limits of available appropriations;

���� n.��� adopt policies and
procedures to manage any litigation so that the Public Advocate may reasonably
ensure that all litigation matters are effectively managed by the relevant
division overseeing such actions;

���� o.��� solicit and accept
grants of funds from the federal government and from private foundations, and
allocate or restrict the use of such funds as may be required by the grantor;

���� p.��� be the request officer
for the department within the meaning of such term as defined in P.L.1944,
c.112 (C.52:27B-1 et seq.);

���� q.��� hire independent counsel
on a case-by-case basis to provide competent representation in light of the
nature of the case, the services to be performed, the experience of the
particular attorney and other relevant factors, notwithstanding the provisions
of section 11 of P.L.1944, c.20 (C.52:17A-11) to the contrary;

���� r.���� consult with the Child
Advocate prior to the exercise of the Public Advocate's duties, or those of a
division, office or ombudsperson, by commencing an investigation, legal
proceeding or other matter, or taking an action, that may be co-extensive with
the duties of the Child Advocate.� The purpose of the consultation shall be to
provide the Child Advocate with an opportunity to assist or collaborate with
the Public Advocate on such investigation, legal proceeding, matter or action
if the extent of the assistance or collaboration is within the powers and
duties of the Child Advocate as those powers and duties are provided in this
act. This requirement to consult the Child Advocate or the failure to do so in
a timely manner shall not preclude or serve to restrict the Public Advocate in
the performance of his duties, or those of a division, office or ombudsperson,
at the Public Advocate's discretion; and

���� s.���� perform such other
functions as may be prescribed in this act or by any other law.

���� 59.� (New section)�
Appointment of Assistant Public Advocate.

���� The Public Advocate may
appoint an Assistant Public Advocate to serve at the pleasure of the Public
Advocate.� Such appointment shall be in writing and filed with the Secretary of
State.� The Assistant Public Advocate shall have and shall exercise the powers
and perform the functions and duties of the Public Advocate during the absence
or disability of the Public Advocate.� The Assistant Public Advocate shall also
have and exercise such of the powers and perform such of the functions and
duties of the Public Advocate as he shall be authorized and directed by the
Public Advocate.� Any such authorization and direction shall be in writing,
signed by the Public Advocate and filed with the Secretary of State, and shall
include a designation of the period during which it shall be and remain in
force. No such authorization and direction shall be deemed to preclude the
Public Advocate from himself exercising the powers and the performance of the
duties included in the authorization and direction. In the event that the
Public Advocate shall die, resign or be removed from office, or become
disqualified to execute the duties of the office, or a vacancy shall occur in
the office of the Public Advocate for any cause whatsoever, the person then
holding the office of Assistant Public Advocate shall continue to hold such
office and shall have and shall exercise the powers and perform the functions
and duties of the Public Advocate until the successor of the Public Advocate
shall be appointed and shall qualify.

���� The Assistant Public Advocate
shall receive such salary as shall be provided by law.

���� 60.� (New section)� Deputy
public advocates and other assistants.

���� The Public Advocate shall
appoint deputy public advocates and other expert assistants in such number as
he or she shall require to assist him in the performance of the duties of the
office. Deputies shall be attorneys-at-law of this State.� Deputies and other
expert assistants shall serve at the pleasure of the Public Advocate and shall
receive such salaries as the Public Advocate shall from time to time designate.

���� 61. (New section)�
Professional responsibilities.

���� �The primary duty of all staff
members and of others engaged by the department on a temporary or case basis
shall be to the individual client, with like effect and to the same purpose as
though privately engaged by the client and without regard to the use of public
funds to provide the service. This responsibility shall not preclude the
designation or assignment of different individuals to perform various parts of
the service from time to time, the duty in such cases to be the same as would
exist in the case of a privately engaged law firm.

���� 62.� (New section)�
Attorney-client and work product privileges.

���� a.���� All communications
between the individual client and any attorney in or engaged by the Department
of the Public Advocate shall be fully protected by the attorney-client
privilege to the same extent and degree as though counsel has been engaged
privately, and the work product of such attorneys shall be fully protected by
the work product privilege to the same extent and degree as though counsel has
been engaged privately.� These privileges shall in no way preclude the use by
the department of material in its files, otherwise privileged, for the
preparation and disclosure of statistical, case study and other sociological
data, provided always that in any such use there shall be no disclosure of the
identity or the means for discovering the identity of particular clients.

���� b.��� Any record held by the
department which includes information about the identity, care or treatment of
any person seeking or receiving services from the department, or the identity
of any person seeking services from the department on behalf of another person,
shall not be a government record as defined in section 1 of P.L.1995, c.23
(C.47:1A-1.1) and shall not be available for public inspection, copying, or the
purchase of copies.

���� c.���� Any person acting
reasonably and in good faith who seeks assistance from the department on behalf
of another person shall be immune from civil or criminal liability that might
otherwise be incurred or imposed and shall have the same immunity with respect
to testimony given in any judicial proceeding resulting from that request for
assistance.

���� 63. (New section)� Standard of
performance.

���� In providing legal services to
clients pursuant to this act, every attorney, whether a member of the staff or
engaged by the department on a temporary or case basis, shall adhere to the
standards of performance established from time to time by the Supreme Court of
New Jersey in the execution of its duty to supervise the practice of law.

���� 64. (New section)�
Organization of department.

���� a.���� There are hereby
established seven divisions and one office within the Department of the Public
Advocate.

���� The divisions within the
department shall be the: Division of Administration; Division of Citizen
Relations; Division of Mental Health Advocacy; Division of Advocacy for the
Developmentally Disabled; Division of Rate Counsel; Division of Public Interest
Advocacy; and Division of Elder Advocacy.

���� The office within the
department shall be the Office of Public Advocate.

���� b.��� The Office of the Child
Advocate shall be an office allocated within the Department of the Public
Advocate, but shall be independent of supervision and control by the department
and its officers and divisions, as provided in this act.

���� 65. (New section)� Office of
Public Advocate; established.

���� The Public Advocate may
establish an Office of Public Advocate and appoint to such office those persons
necessary to the supervision and efficient operations of the department.

�

���� 66. (New section)� Division of
Administration; established.

���� There is hereby established in
the Department of the Public Advocate the Division of Administration to be
under the supervision of the Director of the Division of Administration.

���� 67. (New section)� Division of
Administration; duties.

���� It shall be the duty of the
Division of Administration, at the direction of the Public Advocate, to prepare
a budget for the department, fulfill personnel requirements, provide public
information concerning department activities, and conduct such research as the
Public Advocate determines to be relevant and necessary to the department's
functions.

���� 68. (New section)� Division of
Citizen Relations; established.

���� There is hereby established in
the Department of the Public Advocate the Division of Citizen Relations to be
under the supervision of the Director of the Division of Citizen Relations.

���� 69. (New section)� Division of
Citizen Relations; powers and duties.

���� The Division of Citizen
Relations shall, under the direction and supervision of the Director of the
Division of Citizen Relations, in addition to other powers and duties vested in
it by this act, or any other law:

���� a.���� receive and forward to
appropriate agencies of the State for determination complaints from any citizen
relating to the administrative action or inaction of agencies;

���� b.��� investigate any
complaint from any citizen relating to the administrative action or inaction of
any agency, whether or not such action or inaction is final, where the
complaint indicates that the action or inaction may have been:

���� (1)�� unreasonable, unfair,
oppressive, or potentially discriminatory, although in accordance with law;

���� (2)�� unaccompanied by an
adequate explanation; or

���� (3)�� performed in an
inefficient manner; and

���� c.���� maintain records
indicating the final disposition of any complaint forwarded by the division to
an agency.

���� 70. (New section)� Division of
Citizen Relations; notice to complainant and agency.

���� The Division of Citizen
Relations shall determine whether a complaint is or is not an appropriate
subject for investigation under this act, and shall inform the complainant of
that decision, stating its reasons therefor. If the division decides to investigate
a complaint, it shall also notify the affected agency of its decision.

���� 71. (New section)� Division of
Citizen Relations; procedure after investigation.

���� If, after investigation, the
Division of Citizen Relations finds that:

���� a.���� a matter should be
further considered by the agency,

���� b.��� an administrative action
or inaction should be modified or canceled,

���� c.���� a statute or regulation
on which an administrative action or inaction is based should be altered,

���� d.��� reasons or more complete
reasons should be given for an administrative action or inaction, or

���� e.���� any other action should
be taken by the agency, it shall report its findings and recommendations to the
Public Advocate who may request the agency to notify him or her, within a
specified time, of the action taken on such recommendations.� The division is
also authorized to conduct public hearings on such an issue if it determines
that such hearings are necessary.� The Public Advocate may refer the findings
and recommendations of the Division of Citizen Relations to the Division of
Public Interest Advocacy or, if appropriate, to the Division of Rate Counsel.

���� 72. (New section)� Division of
Citizen Relations; notice to the complainant.

���� After a reasonable time has
elapsed, the Division of Citizen Relations shall notify the complainant of the
action taken by the Division of Citizen Relations and by the agency which was
the subject of the complaint.

���� 73. (New section)� Corrections
Ombudsperson; established.

���� There is hereby established in
the Division of Citizen Relations in the Department of the Public Advocate a
Corrections Ombudsperson.

���� 74. (New section)� Corrections
Ombudsperson; appointment.

���� The Corrections Ombudsperson
shall be appointed by the Public Advocate and shall serve at the pleasure of
the Public Advocate during the Public Advocate's term of office.

���� 75. (New section) Division of
Advocacy for the Developmentally Disabled; established; appointment.

���� a.���� There is hereby
established in the Department of the Public Advocate the Division of Advocacy
for the Developmentally Disabled to be under the supervision of the Director of
the Division of Advocacy for the Developmentally Disabled, appointed by the
Public Advocate.

���� �b.�� The division is hereby
designated as the State's protection and advocacy agency for persons with
developmental disabilities.� The intent of sections 75 through 82 of P.L.�� ,
c.��� (C.������� ) (pending before the Legislature as this act) is that the division
shall have all the powers necessary to carry out its responsibilities as
required to qualify for federal funding as the State protection and advocacy
agency. Until such designation is effectuated, the division may take such
action as it deems appropriate for the purpose of coordinating with the private
entity designated the State's protection and advocacy agency for persons with
developmental disabilities pursuant to subsection i. of section 1 of P.L.2010,
c.34 (C.52:27EE-86).

���� 76. (New section) Division of
Advocacy for the Developmentally Disabled; objective; duties.

���� a.���� The Division of
Advocacy for the Developmentally Disabled shall promote, advocate, and ensure
the adequacy of the care received, and the quality of life experienced, by
persons with developmental disabilities, including patients, residents, and
clients within the developmental disabilities facilities and programs operated,
funded, or licensed by the State.� In determining what elements are essential
to ensure adequate care and quality of life, the division shall consider the
unique medical, social, and economic needs and problems of persons with
developmental disabilities as patients, residents, and clients of facilities
and as citizens and community members.

���� b.��� The director shall
establish and implement procedures to elicit, receive, process, respond, and
resolve complaints from patients, their families, other interested citizens,
public officials, and government agencies concerning conditions in the State�s
developmental disabilities facilities.

���� 77. (New section) Division of
Advocacy for the Developmentally Disabled; services.

���� The Division of Advocacy for
the Developmentally Disabled may receive and investigate complaints and provide
such legal representation and other advocacy services on an individual or class
basis as the Public Advocate deems appropriate to protect and advocate the
rights of developmentally disabled persons.� The division may also, within the
limits of available funding, provide services to other handicapped persons or
classes of persons found by the Public Advocate to have needs similar to
developmentally disabled people.

���� 78. (New section) Division of
Advocacy for the Developmentally Disabled; eligibility for services.

���� Eligibility for services for
the developmentally disabled shall be determined on the basis of the need of
the client and in a manner consistent with the conditions of any grant obtained
by the Public Advocate to assist in implementing P.L.��� , c.��� (C.������� )
(pending before the Legislature as this bill).

���� 79. (New section) Division of
Advocacy for the Developmentally Disabled; staff.

���� The Director of the Division
of Advocacy for the Developmentally Disabled may employ, with the approval of
the Public Advocate, such assistants on a full time basis as are necessary to
protect the rights of developmentally disabled persons.� When exceptional
circumstances arise, the director may retain, with the approval of the Public
Advocate, on a temporary basis such other expert assistants as are necessary
pursuant to a reasonable fee schedule established in advance by the Public
Advocate.

���� Cases shall be assigned to
staff attorneys or attorneys hired by case on a basis calculated to provide
competent representation in light of the nature of the case, the services to be
performed, the experience of the particular attorney and other relevant
factors.

���� 80. (New section) Division of
Advocacy for the Developmentally Disabled; status of staff.

���� Independent contractors or
other individuals, agencies, or entities not established in or employed by the
Department of the Public Advocate retained or designated to provide protection
and advocacy services to persons with a developmental disability as the term is
defined in section 3 of the �Developmentally Disabled Rights Act,� P.L.1977,
c.82 (C.30:6D-3), are not public entities or public employees for purposes of
the �New Jersey Tort Claims Act,�� N.J.S.59:1-1 et seq.

���� 81. (New section) Division of
Advocacy for the Developmentally Disabled; definition.

���� For purposes of this act, a
developmentally disabled person is a person with a developmental disability as
that term is defined in section 3 of the �Developmentally Disabled Rights Act,�
P.L.1977, c.82 (C.30:6D-3).

���� 82. (New section) Division of
Advocacy for the Developmentally Disabled; transfer of functions.

���� All functions, powers, and
duties which had been vested in a private entity pursuant to designation by the
Governor as the State�s protection and advocacy agency for persons with
developmental disabilities are hereby transferred to and assumed by the Division
of Advocacy for the Developmentally Disabled in the Department of the Public
Advocate, except that the private entity shall continue to exercise the
functions, powers and duties as the State's protection and advocacy agency for
persons with developmental disabilities until the designation of the division
as the State's protection and advocacy agency for persons with developmental
disabilities is effectuated. ��

���� Whenever, in any law, rule,
regulation, order, reorganization plan, contract, document, judicial or
administrative proceeding, or otherwise, reference is made to the private
entity designated by the Governor as the State's protection and advocacy agency
for persons with developmental disabilities concerning functions, powers, and
duties which now vested in the private entity, the same shall mean and refer to
the Division of Advocacy for the Developmentally Disabled in the Department of
the Public Advocate, except that with regard to the private entity the
reference shall be effective when the designation of the division as the
State�s protection and advocacy agency for persons with developmental
disabilities is effectuated.

���� 83. (New section) Division of
Public Interest Advocacy; established.

���� There is hereby established in
the Department of the Public Advocate the Division of Public Interest Advocacy
to be under the supervision of the Director of the Division of Public Interest
Advocacy, who shall be an attorney-at-law of this State, appointed by the
Public Advocate.

���� 84. (New section) Division of
Public Interest Advocacy; jurisdiction.

���� The Division of Public
Interest Advocacy may represent the public interest in such administrative and
court proceedings, other than those under the jurisdiction of the Division of
Rate Counsel pursuant to sections 46 through 55 of P.L.2005, c.155 (C.52:27EE-46
through C.52:27EE-55), as the Public Advocate deems shall best serve the public
interest.

���� 85. (New section) Division of
Public Interest Advocacy; decision to represent particular public interest.

���� The Public Advocate shall have
sole discretion to represent or refrain from representing the public interest
in any proceeding.� The Public Advocate shall consider in exercising his
discretion the importance and the extent of the public interest involved and
whether that interest would be adequately represented without the action of the
department.� If the Public Advocate determines that there are inconsistent
public interests involved in a particular matter, the Public Advocate may
choose to represent one such interest based on the considerations in this
section, to represent no interest in that matter, or to represent one such
interest through the Division of Public Interest Advocacy and another or others
through other divisions of the department or through outside counsel engaged on
a case by case basis. The Public Advocate has the authority to use his
discretion to refer potential litigation or other matters to the Dispute
Settlement Office in the Division of Citizen Relations for mediation and resolution.

���� 86. (New section) Division of
Public Interest Advocacy; power.

���� The Division of Public
Interest Advocacy may represent and protect the public interest by:

���� a.���� intervening in or
instituting proceedings before any department, commission, agency, or board
leading to an administrative adjudication or administrative rule as defined in
section 2 of P.L.1968, c.410 (C.52:14B-2), or intervening in any matter
involving the grant or denial of a permit issued by an agency; and

���� b.��� instituting litigation
on behalf of a broad public interest when authorized to do so by the Public
Advocate.� Such litigation or representation may include, but is not limited
to, litigation on behalf of, or representation of, consumers, the indigent, the
elderly, senior citizens, people with disabilities, persons with mental illness
and developmental disabilities, or any other group or interest deemed
appropriate by the Public Advocate.

���� 87. (New section) Division of
Public Interest Advocacy; additional powers.

���� a.���� The Division of Public
Interest Advocacy may receive and investigate complaints and provide such legal
representation and other advocacy services as the Public Advocate deems
appropriate to protect and advocate the rights of any group or interest deemed appropriate
by the Public Advocate, except, however, the provisions of this act shall not
be construed to authorize the Division of Public Interest Advocacy, or any
other division within the Department of the Public Advocate, to represent any
individual in any matters involving incarceration, except as expressly set
forth as the duties of the Corrections Ombudsperson in the Division of Citizen
Relations.

���� b.��� The Division of Public
Interest Advocacy may, in its discretion, commence negotiation, mediation, or
alternative dispute resolution prior to, or in lieu of, the initiation of any
litigation.

���� 88.
(New section)
Office of the Child Advocate;
established.

���� There is established the
Office of the Child Advocate in the Executive Branch of the State Government.
For purposes of complying with Article V, Section IV, paragraph 1 of the New
Jersey Constitution, the office is allocated within the Department of the Public
Advocate, but notwithstanding the allocation, the office shall be independent
of any supervision or control by the department, or a division, office or
officer thereof, in the performance of its duties.

���� 89.
(New section)
Office of the Child Advocate;
qualifications; appointment; term.

���� a.���� The administrator and
chief executive officer of the office shall be the Child Advocate, who shall be
an attorney admitted to practice law in New Jersey and be qualified by training
and experience to perform the duties of the office.

���� b.��� The Child Advocate shall
be appointed by the Governor and shall serve for a term of five years and until
the appointment and qualification of his successor.� The Governor shall have
the power to remove the Child Advocate for cause.� The Child Advocate shall
devote his entire professional time to the duties of this position and receive
such salary as shall be provided by law.� A vacancy occurring in the position
of Child Advocate shall be filled in the same manner as the original
appointment, except that if the Child Advocate dies, resigns, becomes
ineligible to serve for any reason or is removed from office, the Governor
shall appoint an acting Child Advocate who shall serve until the appointment
and qualification of the Child Advocate's successor.

���� 90.
(New section)
Office of Child Advocate;
purpose; consultation.

���� a.���� The Child Advocate
shall seek to ensure the provision of effective, appropriate and timely
services for children at risk of abuse and neglect in the State, and that
children under State supervision due to abuse or neglect are served adequately
and appropriately by the State.

���� b.��� The Office of the Child
Advocate shall be deemed a child protective agency for the purposes of section
1 of P.L.1977, c.102 (C.9:6 8.10a).

���� c.���� The Child Advocate
shall consult with the Public Advocate prior to exercising his duties by
commencing an investigation, legal proceeding, inspection, evaluation or other
matter that may be co-extensive with the duties of the Public Advocate or of a
division of the Department of the Public Advocate.� The purpose of the
consultation shall be to provide the Public Advocate with an opportunity to
assist or collaborate with the Child Advocate on such investigation, legal
proceeding, inspection, evaluation or other matter if the extent of the
assistance or collaboration is within the powers and duties of the Public
Advocate or of a division as those powers and duties are provided in this act.
This requirement to consult the Public Advocate or the failure to do so in a
timely manner shall not preclude or serve to restrict the Child Advocate in the
performance of his duties at his discretion.

���� 91.
(New section)
Office of the Child Advocate;
duties.

���� a.���� The Child Advocate
shall:

���� (1)�� administer the work of
the Office of the Child Advocate;

���� (2)�� appoint and remove such
officers, investigators, stenographic and clerical assistants and other
personnel, in the career or unclassified service, as may be required for the
conduct of the office, subject to the provisions of Title 11A of the New Jersey
Statutes (Civil Service), and other applicable statutes, except as provided
otherwise herein;

���� (3)�� formulate and adopt
rules and regulations for the efficient conduct of the work and general
administration of the office, its officers and employees, in accordance with
the �Administrative Procedure Act,� P.L.1968, c.410 (C.52:14B 1 et seq.); and

���� (4)�� institute or cause to be
instituted such legal proceedings or processes consistent with the Rules
Governing the Courts of New Jersey as may be necessary to properly enforce and
give effect to any of the Child Advocate's powers or duties.

���� b.��� Consistent with the
provisions of federal and State law,

���� (1)�� the Child Advocate shall
have access to, and the right to inspect and copy, any records, including pupil
records in accordance with the provisions of N.J.S.18A:36-19, necessary to
carry out the responsibilities under this act; and

���� (2)�� the Child Advocate shall
have reasonable access to, and the right to copy any records from, the Division
of Child Protection and Permanency necessary to carry out its responsibilities
under this act, and only with regard to individuals who are or may be the
subject of an investigation by the Child Advocate, or to assess the status of
an individual complaint or inquiry to determine whether further action by the
Child Advocate is appropriate; except that, access provided to the successor
system, including the Statewide Automated Child Welfare Information System,
shall be limited to information available through the Service Information
System, unless otherwise agreed to by the Child Advocate and the Department of
Human Services.�

���� c.���� The Child Advocate may
issue subpoenas to compel the attendance and testimony of witnesses or the
production of books, papers and other documents, and administer oaths to
witnesses in any matter under the investigation of the office.

���� If any person to whom such
subpoena is issued fails to appear or, having appeared, refuses to give
testimony, or fails to produce the books, papers or other documents required,
the Child Advocate may apply to the Superior Court, which may order the person
to appear and give testimony or produce the books, papers or other documents,
as applicable.

���� d.��� The Child Advocate shall
disseminate information to the public on the objectives of the office, the
services the office provides and the methods by which the office may be
contacted.

���� e.���� The Child Advocate
shall aid the Governor in proposing methods of achieving increased coordination
and collaboration among State agencies to ensure maximum effectiveness and
efficiency in the provision of services to children.

���� 92.
(New section)
Office of the Child Advocate;
powers.

���� The Child Advocate may:

���� a.���� investigate, review,
monitor or evaluate any State agency response to, or disposition of, an
allegation of child abuse or neglect in this State;

���� b.��� inspect and review the
operations, policies and procedures of:

���� (1)�� juvenile detention
centers operated by the counties and all juvenile justice facilities operated
by or under contract with the Juvenile Justice Commission, including, but not
limited to, secure correctional facilities and residential and day treatment programs;

���� (2)�� resource family homes,
group homes, residential treatment facilities, shelters for the care of abused
or neglected children, shelters for the care of juveniles considered as
juvenile family crisis cases, shelters for the care of homeless youth, or
independent living arrangements operated, licensed, or approved for payment, by
the Department of Human Services, Department of Community Affairs or Department
of Health; and

���� (3)�� any other public or
private setting in which a child has been placed by a State or county agency or
department;

���� c.���� review, evaluate,
report on and make recommendations concerning the procedures established by any
State agency providing services to children who are at risk of abuse or
neglect, children in State or institutional custody, or children who receive
child protective or permanency services;

���� d.��� review, monitor and
report on the performance of State funded private entities charged with the
care and supervision of children due to abuse or neglect by conducting research
audits or other studies of case records, policies, procedures and protocols, as
deemed necessary by the Child Advocate to assess the performance of the
entities;

���� e.���� receive, investigate
and make referrals to other agencies or take other appropriate actions with
respect to a complaint received by the office regarding the actions of a State,
county or municipal agency or a State funded private entity providing services
to children who are at risk of abuse or neglect;

���� f.���� hold a public hearing
on the subject of an investigation or study underway by the office, and receive
testimony from agency and program representatives, the public and other
interested parties, as the Child Advocate deems appropriate;

���� g.��� establish and maintain a
24-hour toll free telephone hotline to receive and respond to calls from
citizens referring problems to the Child Advocate, both individual and
systemic, in how the State, through its agencies or contract services, protects
children;

���� �h.�� in exercising the
authority provided in subsection a. of this section, the Child Advocate may
conduct unannounced site visits to any institution or facility to which
children are committed, placed or otherwise disposed if the Child Advocate,
prior to conducting an unannounced site visit, has initiated a project or
investigation into the response or disposition of an allegation of abuse or
neglect and there is a reasonable basis to believe that an unannounced site
visit is necessary to carry out the Child Advocate�s responsibilities under
this act, provided, however, that any unannounced site visit shall be conducted
at a reasonable time and in a reasonable manner;

���� i.���� in exercising the
authority provided under subsections a. through e. of this section, the Child
Advocate shall consult with any appropriate State, county or municipal agency
or a State funded private entity providing services to children, and may
request from any such entity, and the entity is hereby authorized and directed
to provide, such cooperation and assistance as will enable the Child Advocate
to properly perform its responsibilities under this act; and

���� j.���� notwithstanding the
provisions of section 11 of P.L.1944, c.20 (C.52:17A-11) to the contrary, hire
independent counsel on a case-by-case basis to provide competent representation
in light of the nature of the case, the services to be performed, the experience
of the particular attorney and other relevant factors.

���� 93.
(New section)
Office of the Child Advocate;
findings; recommendations.

���� a.���� If the Child Advocate
identifies a systemic problem in how the State, through its agencies or
contract services, protects children, the Child Advocate shall meet with the
State agency or agencies with jurisdiction to provide a reasonable opportunity
to discuss the problem and identify possible responses the agency may
consider.� Taking into account any information provided during the meeting and
discussion, the Child Advocate shall provide its findings and recommendations
to the agency affected by the findings and recommendations, and, except as
provided in subsections b. and c. of section 98 of this act, make those
findings and recommendations available to the public.

���� b.��� Within 30 days from the
receipt of the Child Advocate's findings and recommendations, the agency shall
develop a corrective action response that addresses the findings and
recommendations of the Child Advocate and specifies what actions, if any, the
agency will take in response to the systemic problem identified by the Child
Advocate, which response may be developed in conjunction with the Child
Advocate.

���� c.���� The agency shall submit
its corrective action response to the head of the relevant department or
departments with jurisdiction over the agency and simultaneously provide a copy
to the Child Advocate.�

���� d.��� The Child Advocate shall
monitor an agency's implementation of its corrective action response.� An
agency implementing a corrective action response shall provide the Child
Advocate with periodic reports on the status of the actions taken by the agency
pursuant to its corrective action response. The Child Advocate shall monitor
the agency�s implementation of its corrective action response for a period of
one year, during which time the agency shall provide the Child Advocate with
periodic reports, except that the Child Advocate may determine that the
monitoring and periodic reports are required for a period of less than one
year. The agency�s obligation to provide periodic reports on the implementation
of its corrective action response may exceed a period of one year if the Child
Advocate and the agency jointly agree that an extended reporting period is
appropriate.

���� e.���� If an agency fails to
promptly and adequately implement a corrective action response, the Child
Advocate shall take such action as the Child Advocate deems necessary.

���� f.���� An agency shall make
public the corrective action responses and periodic status reports required by
this section, except that the agency may provide to the Child Advocate an
additional response or report containing confidential information.

���� 94.
(New section)
Office of the Child Advocate;
additional powers.

���� a.���� In addition to the
powers granted in section 92 of P.L.��� , c.��� (C.������� ) (pending before
the Legislature as this bill), the Child Advocate may:

���� (1)�� intervene in or
institute litigation, including appearing in the capacity of an amicus curiae,
as appropriate, or

���� (2)�� intervene in or
institute administrative proceedings before any department, commission, agency
or State board, to assert the broad public interest of the State in the welfare
of children and to protect and promote the rights of children.

���� In taking such actions, the
Child Advocate shall consider whether a child or family may be in need of
assistance from the Child Advocate or whether there is a systemic issue in the
State's provision of services to children that should be addressed.� The Child
Advocate shall make a good faith effort to resolve issues or problems, and
shall have the authority to commence negotiations, mediation or alternative
dispute resolution in its advocacy efforts prior to, or in lieu of, the
initiation of any action brought pursuant to this section.

���� b.��� The Child Advocate shall
have discretion to decide whether to intervene in any particular matter or to
represent or refrain from representing the public interest in a proceeding.�
The Child Advocate shall consider, in exercising his discretion, the resources
available, the importance and extent of the public interest involved, and
whether that interest would be adequately represented without the action of the
office.

���� 95.
(New section)
Office of the Child Advocate;
communication.

���� a.���� The Child Advocate
shall seek the approval of a parent, guardian or law guardian, as applicable,
or obtain the approval of a court of competent jurisdiction so as to
communicate directly with a child who is the subject of a complaint or
allegation of child abuse or neglect, if necessary to conduct an investigation
authorized under the provisions of this act.� The communications with the child
shall be conducted under such terms and conditions that protect the best
interests of the child.

���� b.��� If court approval is
sought, the court, in reviewing an application for approval, shall consider:
(1) the best interests of the child, so as to minimize any detrimental effects
on the child that may occur as a result of the communication; and (2) the investigative
needs of the Child Advocate and law enforcement authorities, when applicable.�
Upon consideration of the factors in this subsection, the court may order any
alternative methods for obtaining the required information.

���� 96.
(New section)
Office of the Child Advocate;
protection; resource.

���� The Child Advocate shall seek
to ensure the protection of children who are in an institution or resource
family care by reviewing, evaluating and monitoring the operation and
activities of the Institutional Abuse Investigation Unit in the Department of Human
Services.

���� a.���� In order to enable the
Child Advocate to carry out the Child Advocate's responsibilities under this
section, the Institutional Abuse Investigation Unit shall:

���� (1)�� promptly notify the
Child Advocate of any allegations of abuse or neglect made against an
institution or resource family home serving children in this State;

���� (2)�� promptly provide the
Child Advocate with a copy of the unit's response to the complaint and the
actions taken by the unit to address the complaint;

���� (3)�� provide the Child
Advocate with monthly updates of the status of actions proposed by the unit
regarding an existing complaint that has not been resolved; and

���� (4)�� provide the Child
Advocate with such other information as the Child Advocate may deem necessary
to carry out the Child Advocate's responsibilities to review, evaluate and
monitor the operation and activities of the unit.

���� b.��� As used in this section,
�institution� means a public or private facility, in this State or out of
State, that provides children with out of home care, supervision or
maintenance.� Institution includes, but is not limited to:� a correctional
facility, detention facility, treatment facility, child care center, group
home, public and nonpublic elementary or secondary school and school bus or
other similar vehicle used to transport students to and from school,
residential school, shelter, psychiatric hospital and developmental center.

���� 97. (New section) Office of
the Child Advocate; reports.

���� The Child Advocate shall
report annually to the Governor, the Public Advocate, the Commissioner of Human
Services, and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the
Legislature, on: the activities of the office; priorities for children's
services that have been identified by the Child Advocate; and recommendations
for improvement or needed changes concerning the provision of services to
children who are at risk of abuse or neglect, and are in State or institutional
custody or receive child protective or permanency services by State agencies
and State funded private entities.

���� The annual report shall be
made available to the public.

���� 98. (New section) Office of
the Child Advocate; disclosure; confidentiality.

���� a.���� The Child Advocate
shall make public its findings of investigation reports or other studies
undertaken by the office, including its investigatory findings to complaints
received pursuant to section 92 of P.L.��� , c.��� (C.������� ) (pending before
the Legislature as this bill), and shall forward any publicly reported findings
to the Governor, the Legislature, the Public Advocate, the Commissioner of
Human Services, and the affected public agencies.

���� b.��� The Child Advocate shall
not disclose:

���� (1)�� any information that
would likely endanger the life, safety, or physical or emotional wellbeing of a
child or the life or safety of a person who filed a complaint or which may
compromise the integrity of a State or county department or agency investigation,
civil or criminal investigation or judicial or administrative proceeding; and

���� (2)�� the name of or any other
information identifying the person who filed a complaint with, or otherwise
provided information to, the office without the written consent of that person.

���� The information subject to the
provisions of this subsection shall not be considered a public record pursuant
to the provisions of P.L.1963, c.73 (C.47:1A-1 et seq.) and P.L.2001, c.404
(C.47:1A-5 et al.).

���� c.���� The Child Advocate
shall not disclose any information that may be deemed confidential by federal
or State law, except when necessary to allow the Department of the Public
Advocate, Department of Human Services, Attorney General, Juvenile Justice
Commission and other State or county department or agency to perform its duties
and obligations under the law.

���� 99. (New section) Actions;
name of party; prior communication to public entity.

���� a.���� Any action brought by
the Public Advocate or any persons authorized herein to institute or
participate in actions before the courts or agencies of this State shall be
brought in the name of the person serving as the Public Advocate or in the name
of an affected individual or group, but shall not be brought in the name of the
State or the people thereof.

���� b.��� Prior to initiating
litigation, the Public Advocate shall communicate, in writing, with a public
entity against which the Public Advocate anticipates filing adversarial
action.� The Public Advocate shall state unequivocally in its written
transmittal to the public entity that the Public Advocate anticipates filing
litigation to resolve the matter in controversy.� The purpose of this
requirement is to clearly provide the potential litigants with a final
opportunity to resolve the matters in controversy outside the court system.

���� 100. (New section) Suits or
causes of action against Legislature or officers thereof.

���� The provisions of this act in
and of themselves shall not be construed so as to create any new causes of
action, or to authorize any suit against the Legislature or either House or the
officers thereof.

���� 101. (New section) No award of
punitive or exemplary damages against public entities or employees.

���� No punitive or exemplary
damages shall be awarded against a public entity or public employee in any
action brought by the Public Advocate.

���� 102.� (New section)
Applicability of State Agency Transfer Act.

���� This act shall be subject to
the provisions of the �State Agency Transfer Act,� P.L.1971, c.375 (C.52:14D-1
et seq.).

���� 103. (New section)
Preservation of rights and terms.

���� This act shall not:

���� a.���� affect the tenure,
compensation, and pension rights, if any, of the lawful holder thereof, in any
position not specifically abolished herein, upon the effective date of this
act; or

���� b.��� alter the term of any
member of any board, commission, or public body, not specifically abolished or
repealed herein, lawfully in office on the effective date of this act, or
require the reappointment thereof.

���� 104. (New section) Supersedure
and repeal of inconsistent acts.

���� All acts and parts of acts
inconsistent with any of the provisions of this act are, to the extent of such
inconsistency, superseded and repealed.

���� 105. (New section) Assertion
of claim against spill compensation fund for class by Public Advocate.

���� The Department of the Public
Advocate may act to assert claims as alleged against the Spill Compensation
Fund established pursuant to the �Spill Compensation and Control Act,�
P.L.1976, c.141 (C.58:10-23.11 et seq.).

���� 106. (New section)
Severability.

���� If any section, subsection,
paragraph, sentence, or other part of P.L.��� , c.��� (C.������� ) (pending
before the Legislature as this bill) is adjudged unconstitutional or invalid,
such judgment shall not affect, impair, or invalidate the remainder of P.L.���
, c.��� (C.������� ) (pending before the Legislature as this bill), but shall
be confined in its effect to the section, subsection, paragraph, sentence, or
other part of this act directly involved in the controversy in which the
judgment shall have been rendered.

���� 107. (New section) Such sums
as may be required for the costs of the Department of the Public Advocate shall
be transferred from existing appropriations, subject to the approval of the
Director of the Division of Budget and Accounting and such further approval as
required pursuant to the transfer provisions of the annual appropriations act,
to the Department of the Public Advocate for the purposes of implementing this
act.

���� 108. The following are
repealed:

���� Section 37 of P.L.1994, c.58
(C.52:27E-75); and

���� Section 1 of P.L.2010, c.34
(C.52:27EE-86).

���� 109. This act shall take
effect on the 180
th
day following enactment.

STATEMENT

���� This bill would restore the
Department of the Public Advocate as a principal department in the Executive
Branch.

���� The Department of the Public
Advocate was first established in 1974 by P.L.1974, c.27. The department�s
mission was to protect the interest of the residents of New Jersey by
advocating and litigating on issues involving the public interest. The Public
Advocate operated for 20 years until it was abolished by P.L.1994, c.58. Nine
years later, the Department of the Public Advocate was restored by P.L.2005,
c.155. The restored Department of the Public Advocate was abolished again by
P.L.2010, c.34.

���� This bill is based on
P.L.2005, c.155.

���� Under the bill, the Department
of the Public Advocate would consist of the following:

��� The Division of Administration;

��� The Division of Citizen
Relations, which would include the Corrections Ombudsperson and the Dispute
Settlement Office;

��� The Division of Mental Health
Advocacy;

��� The Division of Advocacy for
the Developmentally Disabled;

��� The Division of Rate Counsel;

��� The Division of Public Interest
Advocacy;

��� The Division of Elder Advocacy;
and

��� The Office of the Child
Advocate (in, but independent of, the Public Advocate).

���� Under the bill, the
administrator and chief executive officer of the department would be known as
the Public Advocate. The Public Advocate would be appointed by the Governor and
serve during the Governor�s term of office.�

���� Divisions:

�

The Division of Administration would prepare the Department�s
budget, fulfill personnel requirements, and conduct such research as the Public
Advocate deems relevant and necessary.�

�

The Division of Citizen Relations would receive complaints from
citizens relating to the administrative action or inaction of agencies,
investigate those complaints, and report findings and recommendations to the
Public Advocate. The division would also be authorized to conduct public
hearings on issues.

�

The bill would transfer the Corrections Ombudsperson, currently
located in, but independent of, the Department of the Treasury, to the Division
of Citizen Relations.

�

The bill would also transfer the Dispute Settlement Office,
currently located in the Office of the Public Defender, to the Division of
Citizen Relations. The Dispute Settlement Office would be authorized to provide
mediation and other third party neutral services in the resolution of disputes
which involve the public interest.

�

The Division of Advocacy for the Developmentally Disabled would
promote, advocate, and ensure the adequacy of the care received by persons with
developmental disabilities, including persons within facilities and programs
operated, funded, or licensed by the State.� The division would be authorized
to receive and investigate complaints and provide legal representation and
other advocacy services on an individual or class basis.

�

The Division of Rate Counsel would represent and protect the
public interest in proceedings before and appeals from any State department,
commission, authority, council, agency, or board charged with the regulation or
control of any business, industry, or utility regarding a requirement that the
business, industry, or utility provide a service or regarding the fixing of a
rate, toll, fare, or charge for a product or service.

�

The Division of Public Interest Advocacy would represent the
public interest in such administrative and court proceedings, other than those
under the jurisdiction of the Division of Rate Counsel, as the Public Advocate would
deem shall best serve the public interest.

�

The Division of Elder Advocacy would represent the public
interest in such administrative and court proceedings as the Public Advocate would
deem shall best serve the interests of elderly adults.� The division would also
include the New Jersey Long-Term Care Ombudsman, which would be transferred to
the division from its current location in the Department of the Treasury.

�

The Office of the Child Advocate would be in, but independent of,
the Department of the Public Advocate. The office would be authorized to
investigate, review, monitor or evaluate any State agency response to, or
disposition of, an allegation of child abuse or neglect in this State, and
inspect and review the operations, policies and procedures of� juvenile justice
facilities, group homes, residential treatment facilities, and shelters for the
care of abused or neglected children.