LEGISLATIVE FISCAL ESTIMATE

SENATE, No. 2861

STATE OF NEW JERSEY

220th LEGISLATURE

 

DATED: JUNE 27, 2022

 

 

SUMMARY

 

Synopsis:

Waives fees for marriage and civil union licenses in Fiscal Year 2023;

appropriates $2 million.

Type of Impact:

One-year State revenue decrease; one-year State cost increase; one-year local revenue decrease; one-year local revenue increase. 

Agencies Affected:

Municipalities; Department of the Treasury; Department of Children and Families; Department of Health; Department of Community Affairs.

 

 

Office of Legislative Services Estimate

Fiscal Impact

 

FY 2023 

 

 

State Revenue Decrease

 

Approximately $1.35 million

 

 

State Cost Increase

 

Approximately $162,000

 

 

Local Revenue Decrease

 

Approximately $162,000

 

 

Local Revenue Increase

 

Approximately $162,000

 

 

 

 

 

·         The Office of Legislative Services (OLS) concludes that the bill will result in a State revenue loss of approximately $1.35 million in FY 2023 from the waiving of the $25 marriage and civil union license fee charged by the State. 

·         Municipalities will forego revenue for one-year of approximately $162,000 by waiving the $3 fee that municipal licensing officers charge for a marriage or civil union license, as required under the bill.  The State will subsequently incur a one-year cost increase to reimburse municipalities for this revenue loss.  This reimbursement to municipalities will represent a revenue gain for these local units.

 

 

BILL DESCRIPTION

 

      This bill waives the fees charged by municipalities to issue marriage and civil union licenses for State FY 2023.

      Under current law, municipal licensing officers collect a $3 fee for issuing a marriage or civil union license.  In addition to this fee, these officers also are required to collect a $25 fee for each license, to be used by the Department of Children and Families to provide services to survivors of domestic violence.  Under the bill, both of these fees would be waived for one year.  The bill appropriates $2 million to reimburse municipalities for the $3 fee waiver.  To assist in the reimbursements, the Office of Vital Statistics and Registry in the Department of Health will provide to the Department of Community Affairs marriage certificates submitted to the office by municipalities.

 

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      None received.

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS concludes that the bill will result in a State revenue loss of approximately $1.35 million in FY 2023 from the waiving of the $25 marriage and civil union license fee charged by the State.  This estimate is based on the anticipated revenue loss from the one-year fee waiver in the Executive’s proposed FY 2023 Budget.  This revenue loss assumes about 54,000 marriages and civil unions will take place during FY 2023.  Using the same number of anticipated marriages and civil unions, the State will need to reimburse municipalities $162,000 from the waiving of the $3 fee that municipal licensing officers charge.

      For context, according to New Jersey State Health Assessment Data, 46,042 marriage certificates and 19 civil union certificates were issued in 2019, the last full year before the start of the pandemic.  Using these figures, the OLS estimates that the State would have experienced a cost increase of approximately $138,000 in that year to reimburse municipalities for the $3 fee otherwise imposed for each marriage or civil union license issued by a municipality. 

 

Section:

Local Government

Analyst:

Abigail Stoyer

Assistant Research 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.).