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

A2029

ASSEMBLY, No. 2029

STATE OF NEW JERSEY

222nd LEGISLATURE

�

PRE-FILED FOR INTRODUCTION IN THE 2026 SESSION

Sponsored by:

Assemblywoman SHAMA A. HAIDER

District 37 (Bergen)

Assemblyman CLINTON CALABRESE

District 36 (Bergen and Passaic)

Assemblyman ROY FREIMAN

District 16 (Hunterdon, Mercer, Middlesex and Somerset)

Co-Sponsored by:

Assemblyman Inganamort and Assemblywoman Flynn

SYNOPSIS

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

CURRENT VERSION OF TEXT

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

��

An Act
requiring annual analyses
of the State�s ability
to provide services in various economic conditions, supplementing
Title 52 of the Revised Statutes.

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

���� 1.��� a.�
The Department of the Treasury shall once every third year conduct and report a
stress test analysis on the State�s ability to maintain services and provide
necessary assistance to residents in various economic conditions.

����� b.�
The stress test analyses required pursuant to this section shall include:

����� (1)�
long- and short-term projections of major funding sources in various economic
conditions, including revenues from major taxes and funding from the federal
government;

����� (2)�
a comparison between projections of major funding sources and historical trends
for each of those funding sources in various economic conditions;

����� (3)�
an analysis of expenditures that are likely to increase or decrease in various
economic conditions;

����� (4)�
an accounting of the State�s reserves, including amounts deposited into the
�Surplus Revenue Fund,� established pursuant to P.L.1990, c.44 (C.52:9H-14 et
seq.); and

����� (5)�
options that the State has to respond to, and lessen the negative impact of,
economic recessions.

����� c.�� The
Department of the Treasury shall make the stress test analyses required
pursuant to this section publicly accessible on its website, and shall include
it as part of the Governor�s budget message required pursuant to section 11 of
article 3 of P.L.1944, c.112 (C.52:27B-20).

���� 2.��� This act shall take
effect immediately.

STATEMENT

����� This bill requires the Department of the Treasury to,
once every third year, conduct and report on a stress test analysis of the
State�s ability to maintain services and provide necessary assistance to
residents in various economic conditions.� Stress tests analyses can be used to
help governments better prepare for future economic recessions.

����� The stress test analyses required by this bill will
include: (1) long- and short-term projections of major funding sources,
including revenues from major taxes and funding from the federal government;
(2) a comparison between projections of major funding sources and historical
trends for each of those funding sources; (3) an analysis of expenditures that
are likely to increase or decrease in various economic conditions; (4) an
accounting of the State�s reserves, including amounts deposited into the �Surplus
Revenue Fund�; and (5) options that the State has to respond to, and lessen the
negative impact of, economic recessions.