New Jersey Senate Bill S2007

New Jersey 2024-2025 Regular Session

• Introduced: 1/9/24
• Refer: 1/9/24

Caption

Establishes "Recovery Tax Credit Program"; incentivizes hiring and continued employment of certain individuals in recovery from substance use disorder.

Impact

The bill mandates that for an employer to be certified under this program, they must demonstrate a recovery-supportive environment and guarantee a minimum essential health coverage for eligible employees. The New Jersey Department of Human Services will allocate tax credits, stipulating a cap of $2 million annually, which allows certified employers to claim a credit of $1 per hour worked by eligible individuals, up to a maximum of $2,000 per person. Furthermore, the program includes a structured pathway for scaling the credits based on the number of hours worked, ensuring that incentives are aligned with participant engagement.

Summary

Senate Bill S2007 establishes the 'Recovery Tax Credit Program' designed to incentivize the hiring and continuous employment of individuals in recovery from substance use disorders. This program aims to offer tax credits to certified employers who provide suitable job opportunities to eligible individuals while also committing to support mechanisms such as employer-sponsored insurance and partnerships with local treatment providers. The overarching goal of the bill is to enhance workforce participation among those recovering from addiction, thus aiding their reintegration into society and the labor market.

Contention

Points of contention surrounding SB S2007 may arise from concerns about the adequacy of support provided to employers and the effectiveness of tax incentives in achieving the desired outcomes for both employees in recovery as well as the broader public health implications. Critiques could involve questions about the program's administration, the sufficiency of allocated tax credits, and the potential burden on the state treasury. Additionally, there may be debate regarding the criteria for eligibility and certification of both the employees and the employers involved in the program.