New Jersey Assembly Bill A1437

New Jersey 2022-2023 Regular Session

• Introduced: 1/11/22
• Refer: 1/11/22

Caption

Establishes COVID-19 Transitional Assistance Local Grant Program in DHS.

Impact

To qualify for the grant, municipalities must have a population of 50,000 or less, as verified by the most recent federal census. Moreover, they are required to designate an existing local entity—such as a social services agency or a COVID-19 relief fund—to oversee the distribution of the funds. The program allocates $3.5 million from the General Fund and outlines a specific formula for the allocation of the funds, rewarding municipalities $5,000 for every 7,500 residents. This ensures that funding is equitably distributed among eligible municipalities.

Summary

Assembly Bill A1437 establishes the COVID-19 Transitional Assistance Local Grant Program within the Department of Human Services of New Jersey. The primary objective of this program is to provide one-time financial grants to municipalities that have been financially impacted by the COVID-19 pandemic. The bill defines 'transitional assistance' as any form of support—monetary or otherwise—offered to eligible low-income individuals and families to help them meet basic needs and promote long-term economic self-sufficiency.

Contention

Upon receiving a grant, municipalities must immediately start processing applications for assistance. The designated entities must evaluate applications using a universal form provided by the Commissioner of Human Services and are required to deliver benefits within 30 days of determining eligibility. An audit by the Office of the State Comptroller is mandated to assess the distribution of funds, adding a level of accountability to the program. One potential point of contention in this bill could be how the defined criteria for grant eligibility may result in some municipalities being left out, heightening concerns about equitable access to relief in this challenging time.