ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

ASSEMBLY, No. 2366

STATE OF NEW JERSEY

DATED:  MAY 19, 2022

      The Assembly Appropriations Committee reports favorably Assembly Bill No. 2366.

      This bill directs the Division of Family Development (DFD) in the Department of Human Services (DHS) to issue a monthly supplemental benefit of $15 to each eligible enrollee of the Supplemental Nutrition Assistance Program (SNAP), provided that the enrollee is a senior citizen or an individual with a disability.  SNAP, formerly known as the Food Stamp Program, is a nutrition assistance program that serves as a safety net for low-income households.   

      The federal government provides 100 percent of the funds for the standard SNAP benefit for all enrollees.  According to existing eligibility standards, the monthly benefit for senior citizens and individuals with disabilities can be as low as $16. 

      Specifically, under the bill, senior citizens and individuals with disabilities, who are SNAP enrollees, would receive a $15 monthly supplemental SNAP benefit, provided with 100 percent State funds.  To accomplish this provision, the bill also appropriates $20.5 million from the General Fund to the DHS.  The bill defines senior citizen and individual with a disability to conform with the definition of these terms in federal regulations regarding SNAP.  For example, under the bill, “senior citizen” means an individual who is 60 years of age or older by the last day of the month in which the SNAP supplemental benefit is being issued.  “Individual with a disability” means an individual who receives, by the last day of the month in which the SNAP supplemental benefit is being issued, disability assistance under the federal “Social Security Act,” 42 U.S.C. s.301 et seq.; the Supplemental Security Income program, P.L.1973, c.256 (C.44:7-85 et seq.); a governmental agency because of a permanent disability; or the federal "Railroad Retirement Act of 1974," 45 U.S.C. s.231 et seq., under certain circumstances.  The following are also included under this definition:  a veteran who is totally disabled, permanently homebound, or in need of regular aid and attendance;  or the surviving spouse or child of a veteran who is receiving federal veterans’ benefits and is considered permanently disabled.

      The bill directs the DFD to distribute the monthly supplemental benefit via the enrollee’s existing SNAP electronic benefits card, on the same issuance date as the enrollee’s standard SNAP benefits.  Furthermore, an enrollee is required to use the monthly supplemental benefit in the same manner as, and in compliance with, all State and federal laws and regulations that apply to the use of the enrollee’s standard SNAP benefits.

      The bill directs the Commissioner of Human Services to apply to the Food and Nutrition Service within the United States Department of Agriculture for any necessary waivers or approvals to implement the provisions of the bill.  The bill is to take effect on the first day of the fourth month next following the date of enactment, but the commissioner may take such advance anticipatory administrative action as may be necessary for the implementation of the bill.

FISCAL IMPACT:

      The Office of Legislative Services (OLS) determines that annual State costs under the bill would increase by approximately $63.8 million in order to provide a State-funded, additional SNAP benefit of $15 per month for enrollees who are aged 60 and older or who have a disability.

      To the extent that State administrative expenditures for SNAP increase under the bill, State revenues will also increase by an indeterminate amount, since the federal government provides a 50 percent match for State administrative costs for SNAP.  Additional administrative costs may be limited because the bill provides that the supplemental benefits are to be distributed via the enrollee’s existing benefits care on the same date regular benefits are issued.