ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

[First Reprint]

ASSEMBLY, No. 5901

with committee amendments

STATE OF NEW JERSEY

DATED:  DECEMBER 18, 2025

      The Assembly Appropriations Committee reports favorably and with committee amendments Assembly Bill No. 5901 (1R).

      As amended, this bill would provide that if transmission and distribution wires are required to be connected to, or from, an energy generation facility located in the State to allow the facility to interconnect to an electric distribution or transmission system, such that the wires would cross preserved farmland, the owner of the facility may submit an application to the State Agriculture Development Committee (SADC) for approval of a proposed project to install the transmission and distribution wires.  The bill would establish an application process and require the submission of certain information related to the proposed project.  Under the bill, the SADC, in consultation with the County Agriculture Development Board or organization that retains the development rights pursuant to the easement in place on each parcel of preserved farmland impacted by the proposed project, as applicable, would be required to render a decision on an application submitted within 60 days.

      If the Board of Public Utilities (BPU) determines that a proposed project is necessary to serve the State’s energy needs, the bill would authorize BPU staff to file a letter with the SADC explaining the public need for the proposed project.  In addition, the BPU could submit a board order to the SADC, which designates the proposed project as eligible to receive State incentives.  The Secretary of Agriculture, in consultation with the SADC, would be required to grant approval of the application within 30 days of receiving the BPU’s letter or board order.  However, if the Secretary of Agriculture finds that there will be a substantial disruption to preserved farmland resulting from the proposed project as described in the application, the secretary, in consultation with the SADC, would be required to require modifications to the proposed project as a condition of granting approval of the application to allow the proposed project to proceed without undue disruption to the preserved farmland.

COMMITTEE AMENDMENTS:

      The committee amendments to the bill provide that if the BPU determines that the proposed project is necessary to serve the State’s energy needs, the BPU may file a letter or a board order with the SADC explaining the public need for the project.

FISCAL IMPACT:

      This bill is not certified as requiring a fiscal note.