Office of Legislative Services
State House Annex
P.O. Box 068
Trenton, New Jersey 08625
Legislative Budget and Finance Office
Phone (609) 847-3105
Fax (609) 777-2442
www.njleg.state.nj.us
LEGISLATIVE FISCAL ESTIMATE
ASSEMBLY, No. 1487
STATE OF NEW JERSEY
220th LEGISLATURE
DATED: SEPTEMBER 26, 2022
SUMMARY
Synopsis: Requires induction loop listening system installation in certain
buildings open to public upon new construction or substantial
renovation.
Type of Impact: Annual increase in State and local costs; Potential annual State and
local revenue increase.
Agencies Affected: State agencies; local governments; Department of Community Affairs.
Office of Legislative Services Estimate
Fiscal Impact Year 1 Year 2 Year 3
State Cost Increase Indeterminate
Local Cost Increase Indeterminate
Potential State Revenue Increase Indeterminate
Potential Local Revenue Increase Indeterminate
The Office of Legislative Services (OLS) concludes that the bill will result in a periodic
indeterminate increase in State and local costs associated with installing induction loop
listening systems and signage in required areas upon new construction or renovation of certain
government facilities. The State and local governments will also incur annual costs to maintain
these systems.
The costs associated with induction loop listening system installation can vary widely based
on the type of system to be installed, the size of the space, and the extent of construction needed
to install the technology.
The State and local governments will experience increased administrative costs associated with
reviewing building permit applications to assess projects for impracticability of installing
induction loop listening systems, receiving biennial certifications from owners of areas of
public assembly or service to whom the bill applies, and enforcing the provisions of this bill
under the Uniform Construction Code.
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To the extent that owners of certain public spaces are found to be in violation of the bill’s
provisions, the bill is also expected to result in an indeterminate increase in State and local
revenue from the collection of penalties imposed by an enforcing agency.
BILL DESCRIPTION
This bill requires the installation of induction loop listening systems in certain public spaces
upon new construction or renovation to assist those with hearing loss.
Induction loop listening system installations would be required in a newly constructed area of
public assembly or service. The bill would also require installation of the system during
renovations costing more than $40,000. Additionally, the bill would require the posting of signage
to indicate to visitors that the induction loop listening system is available.
The owner of an area of public assembly or service would not be required to install and
maintain an induction loop listening system if a code enforcing agency determines that the
installation of the system would be impractical, following an assertion of the impracticality of the
installation by the building permit applicant.
The bill directs the Department of Community Affairs to adopt rules and regulations to
effectuate the purposes of the bill. The provisions of the bill would be enforced under the State
Uniform Construction Code, and the owner of an area of public assembly or service who violates
the provisions of the bill would be liable for any penalty imposed by an enforcing agency.
FISCAL ANALYSIS
EXECUTIVE BRANCH
None received.
OFFICE OF LEGISLATIVE SERVICES
The OLS concludes that the bill will result in a periodic indeterminate increase in State and
local costs associated with installing induction loop listening systems and signage in required areas
upon new construction or renovation of certain government facilities. The State and local
governments will also incur annual costs to maintain these systems.
The cost of induction loop listening system installation can vary widely based on the type of
system to be installed, the size of the space, and the extent of construction needed to install the
technology. For example, for a small area with no metal or other interference concerns within the
construction area, a simple perimeter induction loop listening system may be possible. Larger
areas or areas constructed with metals that could interfere with the technology often need a more
complex system to be designed for the area. According to the Hearing Loss Association of
America, the cost of induction loop listening system installation in a small service area or
information desk could range from approximately $500 to $1,000; a small room could range from
approximately $2,500 to $4,500; a small auditorium or senior center could range from
approximately $5,000 to $35,000; and a large theater, arena, or performing arts center could range
from approximately $75,000 to $150,000. The OLS is unable to predict the specific public areas
to which the bill will apply and which governmental units will be impacted, the type of induction FE to A1487
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loop listening system that would need to be installed in those areas, and the extent of the additional
construction that would be needed to install the technology.
In 2016, induction loop listening systems were installed in five rooms in the Rhode Island
Statehouse. These rooms included a committee room, a large hearing room, the senate gallery,
and two house galleries. It was reported that the cost of the system was approximately $60,000.
Additionally, in 2017, induction loop listening systems were installed in both the Arizona Senate
and House chambers. The Arizona Legislature was allocated $250,000 for this project.
Additionally, State and local governments will experience increased administrative costs
associated with reviewing building permit applications to assess projects for impracticability of
installing induction loop listening systems, receiving biennial certifications from owners of areas
of public assembly or service to whom the bill applies, and enforcing the provisions of this bill
under the Uniform Construction Code. Within the State, the Department of Community Affairs
enforces the Uniform Construction Code in 45 municipalities. The department is also expected
to see an increase in administrative costs associated with developing criteria and standards for the
installation of the systems.
To the extent that owners of areas of public assembly or service are found to be in violation of
the bill’s provisions, the bill is expected to result in an indeterminate increase in State and local
revenue from the collection of penalties imposed by an enforcing agency under the State Uniform
Construction Code.
Section: Local Government
Analyst: Abigail Stoyer
Assistant 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.).