LEGISLATIVE FISCAL ESTIMATE

[First Reprint]

SENATE, No. 3835

STATE OF NEW JERSEY

221st LEGISLATURE

 

DATED: AUGUST 4, 2025

 

 

SUMMARY

 

Synopsis:

Establishes Office of Cybersecurity Infrastructure.

Type of Impact:

Annual State expenditure increase.

Agencies Affected:

Department of the Treasury.

 

 

Office of Legislative Services Estimate

Fiscal Impact

 

Annual 

 

 

State Expenditure Increase

 

Indeterminate

 

 

 

 

 

 

·         The Office of Legislative Services (OLS) cannot determine the magnitude of the annual expenditure increase to the State of establishing and operating an Office of Cybersecurity Infrastructure.    

·         The bill does not detail the Office of Cybersecurity Infrastructure’s exact position count, organizational structure, and operating budget, thereby precluding an assessment of the office’s annual operating expenses.  Moreover, the relationship of the new office with existing State entities that perform cybersecurity functions is not detailed in the bill.

 

 

BILL DESCRIPTION

 

      This bill establishes the Office of Cybersecurity Infrastructure in, but not of, the Department of the Treasury. 

      The purpose of the office is to establish and implement cybersecurity policies for the State; establish, implement, and monitor technology infrastructure throughout the State in order for nonprofit and private organizations to interact with residents of this State in a secure manner; and establish artificial intelligence policies in order for public and private institutions to safely integrate AI into professional practices.

      Under the bill, the office will be led by the Director of the Office of Cybersecurity Infrastructure who will be authorized to appoint up to six Deputy Directors of Cybersecurity Infrastructure.  The director will submit budget requests for the office directly to the Division of Budget and Accounting in the Department of the Treasury.  The bill also requires the office to develop and maintain an Internet website providing information to the public concerning its operations.

 

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

        None received.

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS cannot determine the magnitude of the annual expenditure increase to the State of establishing and operating an Office of Cybersecurity Infrastructure. 

      The bill provides that the office will be headed by a director who will submit budget requests directly to the Division of Budget and Accounting and who may appoint up to six deputy directors.  In addition, the bill requires the office to develop and maintain an Internet website providing information to the public concerning its operations.  However, the does not detail the Office of Cybersecurity Infrastructure’s exact position count, organizational structure, and operating budget, thereby precluding an assessment of the office’s annual operating expenses. 

      Moreover, the relationship of the new office with existing State entities that perform cybersecurity functions, including the New Jersey Office of Homeland Security and Preparedness and the Office of Information Technology, is not detailed in the bill.  The OLS notes that it is also unknown whether the State will need to lease new office space to house the Office of Cybersecurity Infrastructure.

 

 

Section:

State Government

Analyst:

Anna Harris

Associate Fiscal 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.).