New Jersey 2024-2025 Regular Session

New Jersey Assembly Bill ACR88

Introduced
1/9/24  

Caption

Proposes constitutional amendment to require voter approval of dedicated revenue source for certain bonded indebtedness for State transportation system.

Impact

If enacted, ACR88 would amend Article VIII, Section II, paragraph 3 of the New Jersey Constitution, placing stricter limitations on the state's ability to incur debt without voter consent. This change would compel the state to identify clear funding mechanisms before financing various transportation projects, which may include activities such as planning, construction, or rehabilitation of transportation infrastructure. By requiring voter approval for these dedicated revenue sources, the bill aims to create a more democratic process around state financial decisions, particularly those that could impact future taxpayers.

Summary

Assembly Concurrent Resolution No. 88 (ACR88) proposes a significant constitutional amendment aimed at enhancing fiscal accountability within the State of New Jersey. The resolution requires that any borrowing via bonds by the state, specifically for the purposes related to the state's transportation system, must be backed by a dedicated revenue source that is approved by voters. This measure is intended to ensure that state debt obligations are transparent and subject to public scrutiny, thereby safeguarding taxpayer interests and promoting responsible budgeting practices.

Conclusion

Overall, ACR88 seeks to reinforce fiscal discipline by mandating dedicated revenue sources for state transportation-related debt, placing the power of financial decision-making in the hands of New Jersey voters. The successful passage of this resolution would represent a significant policy shift towards greater public oversight of state fiscal practices and the management of its transportation infrastructure.

Contention

ACR88 may face opposition from stakeholders concerned about potential constraints on the state's ability to finance necessary infrastructure projects promptly. Critics of the bill argue that requiring voter approval for dedicated revenue sources could delay funding approvals and complicate the borrowing process, especially in emergencies or when swift action is required to address urgent transportation needs. Proponents, however, emphasize the importance of public involvement in fiscal decisions and argue that this method increases accountability and decreases the risk of unmanageable debt levels.

Companion Bills

NJ ACR64

Carry Over Proposes constitutional amendment to require voter approval of dedicated revenue source for certain bonded indebtedness for State transportation system.

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Proposes constitutional amendment to require voter approval of dedicated revenue source for certain bonded indebtedness for State transportation system.

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