Facilitates changes to certain terms of State or federal tenant-based housing subsidy due to increase in household members, emergency conditions, and financial barriers faced by head-of-household.

S4450

SENATE, No. 4450

STATE OF NEW JERSEY

222nd LEGISLATURE

�

INTRODUCED JUNE 15, 2026

Sponsored by:

Senator� BRITNEE N. TIMBERLAKE

District 34 (Essex)

SYNOPSIS

���� Facilitates changes to certain terms of State or
federal tenant-based housing subsidy due to increase in household members,
emergency conditions, and financial barriers faced by head-of-household.

CURRENT VERSION OF TEXT

���� As introduced.

��

An Act
facilitating changes to certain terms of State or
federal tenant-based housing subsidy and supplementing and amending P.L.2004,
c.140.

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

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

���� 1.� (New section)� As used in P.L.���
, c.��� (C.����� ��) (pending before the Legislature as this bill):

���� "Commissioner" means
the Commissioner of Community Affairs.�

���� "Credit inquiry"
means an inquiry into a person�s credit history that may cause information to
be recorded on an individual�s consumer report for a period greater than 30
days or that may have an impact on an individual�s credit score.

���� "Department" means
the Department of Community Affairs.�

���� "Housing authority"
means a housing authority created or continued pursuant to the "Local
Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et seq.).

���� "State or federal
tenant-based housing subsidy" means a tenant-based subsidy, enabled
pursuant to a State or federal tenant-based housing program, administered by
the department, and available to low- or moderate-income households, including
but not limited to section 3 of P.L.2004, c.140 (C.52:27D-287.3), commonly
known as the State rental assistance program, or the federal section 8 Housing
Choice Voucher Program.� A "State or federal tenant-based housing subsidy"
shall include a subsidy issued through a housing authority.

���� "Subsidy holder"
means a household that has been provided with a State or federal tenant-based
housing subsidy.

���� "Verified increase in
household members" means an increase in the number of persons who comprise
a household due to: the birth or adoption of a child; a dependent child joining
the household; the establishment of a legal guardian or custody relationship;
the return of a family member to a household; or other reasons established by
the rules and regulations adopted by the commissioner pursuant to section 7 of P.L.���
, c.��� (C.����� ��) (pending before the Legislature as this bill).�

���� 2.� (New section)� a.� The
commissioner, in coordination with the housing authorities in the State, shall
establish an application process to permit a household to efficiently apply to
adjust the amount of a State or federal tenant-based housing subsidy when a
household experiences a verified increase in household members.� The
application process shall require documentation of the new household member and
verification of residency.� The application process shall allow for:

���� (1)� changes to a subsidy�s
value; and

���� (2)� changes to the housing
unit size permitted for the subsidy holder.

���� b.� The department shall
prioritize a request made pursuant to P.L.��� , c.��� (C.����� ��) (pending
before the Legislature as this bill) to adjust the amount of a State or federal
tenant-based housing subsidy in circumstances that may require a subsidy holder
to relocate due to potential violations of overcrowding standards.�

���� 3.� (New section)� a.� The
commissioner, in coordination with the housing authorities in the State, shall
authorize an expedited reassignment of the head-of-household designation for a State
or federal tenant-based housing subsidy, within the same household, when
emergency circumstances or financial barriers prevent the household from
securing or maintaining safe housing.� The commissioner shall establish an
application process to facilitate an expedited reassignment of the head-of-household
designation.�

���� (1)� An application for an expedited
reassignment of the head-of-household designation shall be approved when a
subsidy holder household experiences an emergency circumstance or financial
barrier, including, but not limited to:

���� (a)� poor credit history; or

���� (b)� prior rental debt.

���� (2)� A head-of-household
designation shall not be reassigned to another member of the same subsidy
holder household, pursuant to this subsection, unless the prospective new
head-of-household:

���� (a)� meets program eligibility
requirements;

���� (b)� is able to satisfy
conventional landlord screening standards; and

���� (c)� is a verified member of
the household, unless waived as a new household member, for reasons of
hardship.

���� (3)� The department shall
permit a subsidy holder household to apply for a reassignment of the
head-of-household designation while:

���� (a)� retaining its existing
eligibility, and not requiring the household to reapply for the State or
federal tenant-based housing subsidy;

���� (b)� maintaining continuous
rental assistance during any relocation or lease execution; and

���� (c)� retaining the subsidy
holder household�s position within the State or federal tenant-based housing
subsidy program.�

���� b.� At the request of a
subsidy holder, the department shall prohibit a landlord from conducting a
credit inquiry on any member of the subsidy holder household, other than the
head of household, when the subsidy holder household is a prospective tenant of
the landlord.� A landlord who violates this subsection shall be subject to a
summary proceeding pursuant to the "Penalty Enforcement Law of 1999,"
P.L.1999, c.274 (C.2A:58-10 et seq.), and the penalty shall be no less than
$1,000 for an initial violation by a landlord within a one-year period, and no
less than $2,000 for each subsequent violation within a one-year period.�

���� 4.� (New section)� The
commissioner, in coordination with the housing authorities in the State, shall
authorize a subsidy holder to relocate in an expedited manner when emergency
circumstances place the health of safety of one or more members of the subsidy
holder household at risk.� The commissioner shall establish an application
process to facilitate an expedited relocation pursuant to this section.�

���� a.� An application for an expedited
relocation shall be approved when a subsidy holder household experiences an
emergency, including, but not limited to:

���� (1)� domestic violence,
stalking, or threats to personal safety;

���� (2)� fire, natural disaster,
or building condemnation; or

���� (3)� unsafe or uninhabitable
housing conditions.

���� b.� The department shall
permit a subsidy holder household to apply for an expedited relocation,
pursuant to this section, while:

���� (1)� retaining its existing
eligibility, and not requiring the household to reapply for the State or
federal tenant-based housing subsidy;

���� (2)� maintaining continuous
rental assistance during relocation or lease execution; and

���� (3)� retaining the subsidy
holder household�s position within the State or federal tenant-based housing
subsidy program.�

���� 5.� (New section)� In applying
the provisions of P.L.��� , c.��� (C. )
(pending before the Legislature as this bill) to the federal section 8 Housing
Choice Voucher Program, the commissioner shall be permitted to refrain from
strict compliance to any extent necessary to ensure compliance with federal
law.� Through the adoption of rules and regulations pursuant to section 7 of P.L.���
, c.��� (C.����� ��) (pending before the Legislature as this bill), the
commissioner shall provide guidance to the housing authorities in the State on
how they may refrain from strict compliance with the provisions of P.L.��� ,
c.��� (C.����� ��) (pending before the Legislature as this bill) for the
purpose of complying with federal law.�

���� 6.� Section 1 of P.L.2004,
c.140 (C.52:27D-287.1) is amended to read as follows:

���� 1.� The Commissioner of
Community Affairs shall establish a State rental assistance program for low
income individuals or households. This program shall be in addition to and
supplement any existing programs established pursuant to the "Prevention of
Homelessness Act (1984)," P.L.1984, c.180 (C.52:27D-280 et al.).

���� a.���� The program shall
provide rental assistance grants comparable to the federal section 8 program,
but shall be available only to State residents who are not currently holders of
federal section 8 vouchers.

���� b.��� Assistance to an
individual or household under the State program shall be terminated upon the
award of federal section 8 rental assistance to the same individual or
household.

���� c.���� The program shall
reserve a portion of the grants for assistance to senior citizens aged 62 or
older who otherwise meet the criteria of subsection a. of this section.

���� d.��� The program shall
reserve a portion of the grants for assistance to veterans who have
successfully completed the Veterans Transitional Housing Program, or
"Veterans Haven," a vocational and transitional housing program for
homeless veterans administered by the New Jersey Department of Military and
Veterans' Affairs.

���� e.���� The program shall
reserve a portion of the funds available to it for tenant-based vouchers to
veterans, other than those veterans eligible for assistance pursuant to
subsection d. of this section.

���� f.���� The program shall
reserve a portion of the funds available to it to establish and administer a
program comparable to the federal section 8 Housing Choice Voucher
Homeownership Program, authorized pursuant to Subpart M of Part 982 of Title 24
of the Code of Federal Regulations, to enable a household to use a program
voucher to buy a home by providing monthly homeownership assistance or a single
down payment assistance grant.

���� g.��� The program shall
reserve a portion of the funds available to it to establish and administer a
program comparable to the federal Section 8 Housing Choice Voucher Family
Self-Sufficiency Program, authorized pursuant to Section 1437u of Title 42 of
the Code of Federal Regulations, to help families achieve economic independence
and reduce dependence on welfare assistance and rental subsidies.

���� h.��� The program shall
reserve a portion of the funds available to it to establish and administer a
Home Repair Emergency Assistance Fund, to assist families with costs of
necessary home repairs and other homeownership expenses over the course of
their participation.

����
i.� The program shall
comply with the requirements for permitting changes to State or federal
tenant-based bousing subsidies, established pursuant to P.L.��� , c.���
(C.������� ) (pending before the Legislature as this bill).�

(cf: P.L.2024, c.98, s.1)

���� 7.� In accordance with the "Administrative
Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), the Commissioner of
Community Affairs shall adopt rules and regulations to effectuate P.L.��� ,
c.��� (C.����� ��) (pending before the Legislature as this bill) on or before
the first day of the fourth month next following enactment of P.L.��� , c.���
(C.����� ��) (pending before the Legislature as this bill).�

���� 8.� This act shall take effect
on the first day of the fourth month next following enactment, except that the
Commissioner of Community Affairs may take anticipatory action necessary to
implement the provisions of P.L. ���, c. ���(C. �������) (pending before the
Legislature as this bill).�

STATEMENT

���� This bill facilitates the
ability of a household to obtain adjustments to certain terms of a State or
federal tenant-based housing subsidy, as defined in the bill, when faced with
an increase in the number of household members, emergency conditions, and
financial barriers faced by the head-of-household.

���� This bill requires the
Commissioner of Community Affairs (commissioner), in coordination with housing
authorities in the State, to establish an application process to permit a
household to apply to adjust the amount of a State or federal tenant-based
housing subsidy when a household experiences an increase in household members.�
The bill requires the process to allow for: changes to a subsidy�s value; and
the housing unit size permitted for the subsidy holder.� The bill requires the
department to prioritize a request made to adjust the amount of a tenant-based
housing subsidy in circumstances that may require a subsidy holder to relocate
due to overcrowding standards.�

���� The bill requires the
commissioner, in coordination with housing authorities, to authorize an
expedited reassignment of the head-of-household designation for a tenant-based
housing subsidy, within the same household, when emergency circumstances or
financial barriers prevent the household from securing or maintaining safe
housing.� The bill requires an application for an expedited reassignment of the
head-of-household designation to be approved when a subsidy holder household
experiences an emergency circumstance or financial barrier, including, but not
limited to poor credit history or prior rental debt.� The bill prohibits a head-of-household
designation from being reassigned to another member of the same subsidy holder
household unless the prospective new head-of-household meets certain criteria
specified in the bill.

���� The bill also requires the
commissioner, in coordination with housing authorities, to authorize a subsidy
holder to relocate in an expedited manner when emergency circumstances place
the health of safety of one or more members of the subsidy holder household at
risk.� The bill requires an application for an expedited relocation to be
approved when a subsidy holder household experiences an emergency, as specified
in the bill.

���� At the request of a subsidy
holder, the bill requires the department to prohibit a landlord from conducting
a credit inquiry on any member of the subsidy holder household, other than the
head of household, when the subsidy holder household is a prospective tenant of
the landlord.� A landlord who violates this prohibition is to be subject to a
penalty, as specified in the bill.�

���� In applying the provisions of
the bill to the federal section 8 Housing Choice Voucher Program, the
commissioner is to be permitted to refrain from strict compliance to any extent
necessary to ensure compliance with federal law.�

���� The bill directs the
commissioner to adopt rules and regulations to effectuate the provisions of the
bill.��