Establishes "New Jersey Gold Star Family Annuity Program."

S1839 FISCAL ESTIMATE

LEGISLATIVE FISCAL ESTIMATE

SENATE, No. 1839

STATE OF NEW JERSEY

222nd LEGISLATURE

DATED: JUNE 16, 2026

SUMMARY

Synopsis:

Establishes "New Jersey Gold Star Family Annuity
Program."

Type of Impact:

Annual State expenditure increase; potential State revenue
increase.

Agencies Affected:

Department of Veterans Affairs.

Office
of Legislative Services Estimate

Fiscal Impact

Year 1

Year 2

Year 3 & Thereafter

State Expenditure Increase

Up to $4.2 million

Up to $4.2 million

Up to $4.3 million

Potential State Revenue
Increase

Indeterminate

�

The
Office of Legislative Services (OLS) concludes that establishing a New Jersey
Gold Star Family Annuity Program in the Department of Veterans Affairs to
provide an annual annuity to a surviving Gold Star family member of a member of
the United States Armed Forces or National Guard who died on active duty may
increase annual State expenditures by up to $4.2 million in the program�s first
and second years.�

�

The
OLS anticipates a State expenditure increase of up to $4.3 million in the third
year, given the average increase in federal compensation and pension benefits.

�

State
revenues may also increase by an indeterminate amount for the duration of the
program, as the bill permits the department to accept donations or grants for
the purpose of disbursing annuity payments to beneficiaries.

BILL DESCRIPTION

����� This bill establishes the New Jersey Gold Star Family
Annuity Program in the Department of Veterans Affairs to provide an annual
annuity to a surviving Gold Star family member of a member of the United States
Armed Forces or National Guard who died on active duty.

����� The bill defines a Gold Star family member as an
individual who is a New Jersey resident and is the surviving spouse, domestic
partner, partner in a civil union, parent, brother, sister, child, legal
guardian, or other legal custodian, whether of the whole blood or the half
blood, or by adoption, of a member of the Armed Forces of the United States or
the National Guard who died while on active duty for the United States.

����� Under the bill, the annuity will be paid January 1 of
each year in the amount of $600. �Starting two years after the bill�s effective
date, the amount of the annual annuity may be increased by an amount equal to
the increase in compensation and pension benefits administered by the United
States Department of Veterans Affairs in the previous year, provided that any
such adjustment may not be less than one percent nor more than four percent.

����� The bill requires program applicants to submit
applications for annuity benefits to the department. �Any complete application
is required to demonstrate the applicant�s relationship to the deceased service
member, confirm that the deceased service member died while on active duty for
the United States, and provide proof of New Jersey residency.

����� The bill limits the payment of the annuity to State
residents and requires applicants to provide proof of residency to the
department annually.

����� The bill provides that the department may accept
donations or grants for the purpose of disbursing annuity payments to
beneficiaries.

FISCAL ANALYSIS

EXECUTIVE BRANCH

����� None received.

OFFICE OF LEGISLATIVE SERVICES

����� The OLS concludes that establishing a New Jersey Gold
Star Family Annuity Program in the Department of Veterans Affairs to provide an
annual annuity to a surviving Gold Star family member of a member of the United
States Armed Forces or National Guard who died on active duty may increase annual
State expenditures by up to $4.2 million in the program�s first and second years,
based on the $600 annuity specified in the bill and the estimated number of
Gold Star family members in New Jersey.�

����� The OLS anticipates a State expenditure increase of up
to $4.3 million in the third year, given the average increase in federal compensation
and pension benefits.�����

����� If the number of Gold Star family members approved for
the program changes, the cost increase to the State will also change.

����� State revenues may also increase by an indeterminate
amount for the duration of the program as the bill permits the department to
accept donations or grants for the purpose of disbursing annuity payments to
beneficiaries.

Section:

State Government

Analyst:

Anna Harris

Associate Fiscal Analyst

Approved:

Thomas Koenig

Legislative Budget and Finance Officer

This legislative fiscal estimate has been produced by the
Office of Legislative Services due to the failure of the Executive Branch to
respond to our request for a fiscal note.

This fiscal estimate has been prepared pursuant to P.L.1980,
c.67 (C.52:13B-6 et seq.).