Read the full stored bill text
A5180
ASSEMBLY, No. 5180
STATE OF NEW JERSEY
222nd LEGISLATURE
�
INTRODUCED JUNE 1, 2026
Sponsored by:
Assemblywoman� HEATHER SIMMONS
District 3 (Cumberland, Gloucester and Salem)
SYNOPSIS
���� Establishes Small Business Resiliency Project Loan
Program in EDA for certain small businesses implementing certain resiliency
projects.
CURRENT VERSION OF TEXT
���� As introduced.
��
An Act
establishing the Small Business Resiliency
Project Loan Program for certain small businesses implementing certain
resiliency projects and supplementing P.L.1974, c.80 (C.34:1B-1 et seq.).
����
Be It
Enacted
by the Senate and General Assembly of
the State of New Jersey:
���� 1.��� As used in P.L.���� ,
c.��������� (C.������������ ) (pending before the Legislature as this bill):
���� �Authority� means the New
Jersey Economic Development Authority established pursuant to section 4 of
P.L.1974, c.80 (C.34:1B-4).
���� �Department� means the
Department of Environmental Protection.
���� �Fund� or �revolving loan
fund� means the �Small Business Resiliency Project Loan Fund� established
pursuant to section 3 of P.L.������ , c.������� (C.����������� ) (pending
before the Legislature as this bill).
���� �Program� means the Small
Business Resiliency Project Loan Program established pursuant to section 2 of
P.L.���� , c.������ (C. )
(pending before the Legislature as this bill).
���� �Qualified business� means a
business that:
���� a.���� is registered to do
business in this State with the Director of the Division of Revenue and
Enterprise Services in the Department of the Treasury;
���� b.��� intends to maintain its
principal business operations in the State after receiving assistance from the
authority under the program; and
���� c.���� employs not more than
50 full-time employees at the time of approval of financial assistance to the
business.
���� �Resiliency project� means
projects or activities, which may include, but not be limited to, projects or
activities that improve or support the treatment or management of drinking
water, wastewater, and storm water; enhance the reliability and resiliency of
the electrical grid and public utility infrastructure; expand access to
broadband internet; or utilize technology, infrastructure improvements, and
other materials that mitigate against or protect the business in the event of
climate change-related natural hazards, including, but not limited to,
increased temperatures, drought, flooding, hurricanes, and sea-level rise.
���� 2.��� a.� The New Jersey
Economic Development Authority shall establish and maintain the Small Business
Resiliency Project Loan Program for the purpose of providing financial
assistance from the Small Business Resiliency Project Loan Fund, established
pursuant to section 3 of P.L.���� , c.�� (C.������� ) (pending before the
Legislature as this bill), to qualified businesses that are engaging in or have
completed resiliency projects to mitigate the risk of future storm damage and
improve environmental resiliency against climate change-related natural
hazards.
���� b.��� Under the program, the
authority shall provide financial assistance in the form of low-interest loans
for qualified businesses that are engaging in or have completed resiliency
projects, with priority consideration, as determined by the authority in
consultation with the Department of Environmental Protection, given to a
qualified business based on the long-term impact of the qualified business on
the State economy, the type of resiliency project, and whether the principal
business operations of the qualified business are located in a municipality of
the State that has incorporated a climate change-related hazard vulnerability
assessment into the land use plan element of the municipality�s master plan. ��
���� c.���� A qualified business
that seeks assistance under the loan program shall submit an application to the
authority in a form and manner prescribed by the authority.� In addition to any
other information that the authority may deem appropriate, the application shall
require the qualified business applicant to submit:
���� (1)�� proof that it is a
qualified business engaging in or has completed a resiliency project, as
defined in section 1 of P.L.��� , c.���� (C.������ ) (pending before the
Legislature as this bill); and
���� (2)�� an outline of the
anticipated use of loan proceeds.�
���� d.��� The authority may
approve applications for the loan program on a rolling basis or on one or more
dates set by the authority, subject to the availability of funds in the
revolving loan fund.� Upon approval of an application, the authority shall
enter into a loan agreement with the qualified business and provide a
low-interest loan to the qualified business. �Each loan issued under the
program shall bear interest at rates lower than and provide more flexible
repayment terms than are customarily made available through conventional
business loans issued by private lenders.
���� e.���� A qualified business
that receives financial assistance under the loan program shall submit an
annual report to the authority until such time as the full balance of the loan
has been repaid to the authority.� The annual report shall be submitted in a
form and manner prescribed by the authority.� At a minimum, the annual report
shall include information outlining the expenses supported by the loan and the
financial information of the qualified business, audited by a certified public
accountant, which shall include a consolidated summary of the performance of
the qualified business.� Any information about the performance of a qualified
business shall be considered confidential and not subject to P.L.1963, c.73
(C.47:1A-1 et seq.), known commonly as the open public records act, or
P.L.2001, c.404 (C.47:1A-5 et al.).
���� 3.��� a.� The authority shall
establish and maintain a dedicated, non-lapsing fund to be known as the Small
Business Resiliency Project Loan Fund.� The authority may credit the fund with any
monies received from State, federal, or private sources and may use those funds
to provide financial assistance to qualified businesses in a manner consistent
with federal law or the private source of funds.
���� b.��� All loans provided under
section 2 of P.L. ,
c. (C. )
(pending before the Legislature as this bill) shall be issued from monies held
in the revolving loan fund.� All monies received by the authority from the
repayment of a loan provided under section 2 of P.L. ,
c. (C. )
(pending before the Legislature as this bill) shall be deposited into the
revolving loan fund.
���� c.���� Any interest collected
from loans provided under section 2 of P.L. ,
c. (C. )
(pending before the Legislature as this bill) may be used by the authority to
offset the costs of the administration of the loan program, or shall otherwise
be deposited in the revolving loan fund.
���� 4.��� Notwithstanding any
provision of the �Administrative Procedure Act,� P.L.1968, c.410 (C.52:14B-1 et
seq.), or any other law to the contrary, the authority may adopt, immediately
upon filing with the Office of Administrative Law and no later than the 90th
day after the effective date of this act, such rules and regulations as the
authority deems necessary to implement the provisions of this act, which
regulations shall be effective for a period not to exceed 12 months.� The
regulations shall, at a minimum, set forth the requirements for application
submissions, the criteria for application selections, and the permitted uses of
loan proceeds.� The regulations shall thereafter be amended, adopted, or
readopted by the authority in accordance with the provisions of the
�Administrative Procedure Act,� P.L.1968, c.410 (C.52:14B-1 et seq.).
���� 5.��� This act shall take
effect immediately.
STATEMENT
���� This bill requires the New
Jersey Economic Development Authority (EDA) to establish and maintain the Small
Business Resiliency Project Loan Program (program) and Small Business
Resiliency Project Loan Fund (fund).
Loan Program Eligibility
���� The EDA is to provide
financial assistance in the form of low-interest loans to qualified businesses
that are engaging in or have completed resiliency projects.� Under the bill, a
qualified business is a business that:
���� 1) �is registered to do
business in New Jersey with the Director of the Division of Revenue and
Enterprise Services in the Department of the Treasury;
���� 2)��� intends to maintain its
principal business operations in the State after receiving assistance from the
EDA under the program; and
���� 3)��� employs not more than 50
full-time employees at the time of approval of financial assistance to the
business.
���� Under the bill, a resiliency
project means those projects or activities, which may include, but are not
limited to, projects or activities that improve or support the treatment or
management of drinking water, wastewater, and storm water; enhance the
reliability and resiliency of the electrical grid and public utility
infrastructure; expand access to broadband internet; or utilize technology,
infrastructure improvements, and other materials that mitigate against or
protect the business in the event of climate change-related natural hazards,
including, but not limited to, increased temperatures, drought, flooding,
hurricanes, and sea-level rise.
Application Criteria
���� The bill requires the EDA to
establish an application process.� A qualified business that seeks assistance
under the loan program is required to submit an application to the EDA in a
form and manner prescribed by the EDA.� In addition to any other information
that the EDA may deem appropriate, the application is required to request an applicant
to submit information demonstrating that the applicant meets the eligibility
requirements and an outline of the anticipated use of loan proceeds.
���� Under the bill, the EDA is
required to approve applications for the loan program on a rolling basis or on
one or more dates, subject to the availability of funds.
Loan Awards and Loan
Requirements
���� Under the program, the EDA is
to provide financial assistance in the form of low-interest loans for qualified
businesses that are engaging in or have completed resiliency projects, with
priority consideration, as determined by the EDA in consultation with the
Department of Environmental Protection, given to a qualified business based the
long-term impact of the qualified business on the State economy, the type of
resiliency project, and whether the principal business operations of the
qualified business are located in a municipality of the State that has
incorporated a climate change-related hazard vulnerability assessment into the
land use plan element of the municipality�s master plan.
���� Upon approval of an
application, the EDA is required to enter into a loan agreement with the
qualified business and provide a low-interest loan to the qualified business.�
Each loan issued under the program is required to bear interest at rates lower
than and provide more flexible repayment terms than are customarily made
available through conventional business loans issued by private lenders.
���� A qualified business that
receives financial assistance under the loan program is to annually report to
the EDA until such time as the full balance of the loan has been repaid to the
EDA.� At a minimum, the annual report is to include information outlining the
expenses supported by the loan and the financial information of the qualified
business, audited by a certified public accountant, which is to include a
consolidated summary of the performance of the qualified business.
���� Any information about the
performance of a qualified business is considered confidential and not subject
to the law known commonly as the open public records act.
Loan Fund
���� Any monies received by the EDA
for the repayment of a loan issued pursuant to the program would be deposited
into the non-lapsing revolving loan fund.� Any interest collected from loans
provided by the loan program may be used by the EDA to offset the costs of the
administration of the loan program, or otherwise are required to be deposited
into the fund.
���� The EDA may also credit the
fund with monies received from State, federal, or private sources and may use
those funds to provide financial assistance to qualified businesses in a manner
consistent with federal law or the private source of funds.