SENATE COMMUNITY AND URBAN AFFAIRS COMMITTEE

STATEMENT TO

SENATE, No. 4378

with committee amendments

STATE OF NEW JERSEY

DATED:  MAY 12, 2025

      The Senate Community and Urban Affairs Committee reports favorably and with committee amendments Senate Bill No. 4378.

      As amended and reported, this bill allows counties and municipalities to annually provide up to $70,000 of voluntary contributions to nonprofit veterans’ organizations located within the county or municipality.  The bill provides that the nonprofit veterans’ organization is to provide the governing body and chief financial officer of the county or municipality with an accounting of all funds contributed by the county or municipality to the organization in the previous year including the use of those funds for programs or resources accessible to veterans within the county or municipality, as applicable.

      The bill defines a “nonprofit veterans’ organization” as any organization which provides support services to those who have served in the armed forces of the United States, including, but not limited to, services related to the physical, emotional, and medical needs of veterans, and which qualifies as a section 501(c)(19) tax exempt organization under the Internal Revenue Code.  Currently, R.S.40:5-2 allows counties and municipalities to provide up to $125,000 of financial assistance annually for volunteer emergency services associations.

      As amended and reported by the committee, Senate Bill No. 4378 is identical to Assembly Bill No. 2993 (1R), which was also amended and reported by the committee on this date.

COMMITTEE AMENDMENTS:

      The committee amended the bill to specify that the voluntary contribution to a nonprofit veterans’ organization is to be used to address issues of veterans located within the county or municipality making the voluntary contribution, as applicable.  The committee also amended the bill to remove a provision concerning cases of joint purchases made by the governing bodies of two or more local units pursuant to the provisions of the "Consolidated Municipal Services Act," P.L.1952, c.72 (C.40:48B-1 et seq.).  Lastly, the committee amended the bill to provide that the nonprofit veterans’ organization is to provide the governing body and chief financial officer of the county or municipality with an accounting of all funds contributed by the county or municipality to the organization in the previous year.