A 4961 — Authorizes NJ Infrastructure Bank to expend certain sums to make loans for transportation infrastructure projects for FY2027; makes appropriation.

A4961P.L. ASSEMBLY, No.

49612026, STATEc.041 OF(A4961) NEWT&E JERSEY 222nd LEGISLATURE   INTRODUCEDP.L. MAY 7, 2026     Sponsored by:

Assemblyman 2026, CLINTONCHAPTER CALABRESE41, Districtapproved 36July (Bergen8, and2026 Passaic)Assembly, Senator No. PATRICK J.

DIEGNAN,4961 JR.    An Act authorizing the expenditure of funds by the New Jersey Infrastructure Bank for the purpose of making loans to eligible project sponsors to finance the cost to construct transportation infrastructure projects and making an appropriation.

District 18 (Middlesex) Senator  RAJ MUKHERJI District 32 (Hudson)   Co-Sponsored by:

Assemblywoman Carter, Assemblyman Singh, Senators Holzapfel, Corrado, O'Scanlon, A.M.Bucco, Henry, Wimberly and McKnight         SYNOPSIS      Authorizes NJ Infrastructure Bank to expend certain sums to make loans for transportation infrastructure projects for FY2027;

makes appropriation.

  CURRENT VERSION OF TEXT      As introduced.

   An Act authorizing the expenditure of funds by the New Jersey Infrastructure Bank for the purpose of making loans to eligible project sponsors to finance the cost to construct transportation infrastructure projects and making an appropriation.

     c.   c.     The bank is authorized to increase the aggregate sums specified in subsection a.

of this section for the bank’s costs to acquire lending capital, including:       (1) (1)   the amounts of capitalized interest, interest accrued pursuant to a short-term or temporary loan made to a project sponsor pursuant to the Interim Transportation Financing Program, and the bond issuance expenses, as provided in subsection b.

     (2) (2)   the amounts of reserve capacity expenses and debt service reserve fund requirements, as provided in subsection c.

     (3) (3)   the amounts of the loan origination fee, as provided in subsection d.

and      (4) (4)   the amounts of the debt service reserve or guarantees provided to local government units from the Economic Development and Infrastructure Improvement Revolving Fund, as provided in subsection e.

      Applicant, Project No.

25th Street Pedestrian Bridge Replacement $450,000 $900,000 Essex County, TB0700-004 Priority Repairs to County Bridges - Harrison, East Newark and Newark $2,675,000 $5,350,000 Hoboken City, TB0905-001 Sinatra Drive Redesign Project $4,225,000 $8,450,000 Princeton, TB1110-001 Improvement of Witherspoon Street Phases 2 and 3 $4,225,000 $8,450,000 Robbinsville Township, TB1112-002 Country Meadows, Brookshire Estate, and Meadowbrook Road $1,700,000 $3,400,000 Bayonne City, TB0901-003 Improvements to Broadway and Avenue E $875,000 $1,750,000 Hoboken City, STB0905-003 WIU Phase 2 - Complete Streets Improvements $1,875,000 $3,750,000 Plumsted Township, TB1523-001 Plumsted Road and Drainage Projects 2021 $700,000 $1,400,000 Little Ferry Borough, TB0230-002 Road Improvement Program $925,000 $1,850,000 Willingboro Township, TB0338-001 Segment Rating 4 Roadway Project $1,850,000 $3,700,000 Hawthorne Borough, TB1604-001 2024-2026 Road Project $3,275,000 $6,550,000 Mendham Township, TB1419-002 Road Improvements $1,150,000 $2,300,000 Marlboro Township, TB1328-003 Road Improvement Program (060-4, 060-7) $575,000 $1,150,000 Seaside Park Borough, TB1527-001 Seaside Park Boardwalk Reconstruction $6,275,000 $12,550,000 Total Projects:

     c.   c.     The bank is authorized to increase the loan amount of projects authorized pursuant to this section in the future to compensate for a refunding of the issue, where adequate savings are achieved, for the loans issued pursuant to this act.

       6.    Any loan made by the New Jersey Infrastructure Bank pursuant to this act shall be subject to the following requirements:       a.   a.     the chairperson, vice-chairperson, or secretary of the bank shall certify that the project complies with the applicable provisions of P.L.1984, c.73, P.L.1985, c.334, P.L.2016, c.56, and any amendatory and supplementary acts thereto, and any rules and regulations adopted pursuant thereto, as applicable, and satisfies the requirements of subsection g.

     c.   c.     the loan shall be repaid within a period not to exceed 31 years of the making of the loan or, for loans funded pursuant to the “Transportation Infrastructure Finance and Innovation Act” (TIFIA), 23 U.S.C.

     e.   e.     the loan shall bear interest, exclusive of any cost of issuance charges, late charges, or administrative fees payable to the bank, pursuant to subsection o.

of section 9 of P.L.1985, c.334 (C.58:11B-9), and any policy statements relating to the Transportation Infrastructure Financing Program to be set forth in the State Fiscal Year 2027 Transportation Infrastructure Financing Program Financial Plan.  The bank is authorized to use any such reduction in the loan amount made available to a project sponsor to cover that project sponsor’s increased costs due to differing site conditions or other allowable expenses, as defined and determined in accordance with the rules and regulations adopted by the bank, pursuant to section 27 of P.L.1985, c.334 (C.58:11B-27), and the requirements of subsection g.

     c.   c.     The bank is authorized to increase each loan amount authorized in section 4 of this act by the amount of reserve capacity expenses and the debt service reserve fund expenses associated with the costs identified in subsection c.

     e.   e.     The bank is authorized to utilize the funds appropriated to the bank for deposit into the Economic Development and Infrastructure Improvement Revolving Fund for the provision of debt service reserves and guarantees to local government units that finance a transportation project or redevelopment project, which debt service reserves and guarantees shall be used to satisfy any applicable creditworthiness requirements of the local government unit.

of section 23 of P.L.1985, c.334 (C.58:11B-23), the New Jersey Infrastructure Bank is authorized to utilize the following funds generated by the operation of the bank to defray the annual operating expenses of the bank:       a.   a.     the proceeds from the sale of the bank’s bonds, notes, or other obligations;

     c.   c.     any loan repayments paid to the bank, including interest from local government units;

     e.   e.     any funds received from the federal government that are permitted by the federal government to be used for the operating expenses of the bank;

of section 1 of P.L.2013, c.93 (C.58:11B-9.5), such sums as are needed consisting of:       (1) (1)   sums from the Interim Transportation Financing Program Fund, as needed by the bank to make short-term or temporary loans pursuant to the Disaster Relief Emergency Financing Program to any one or more of the project sponsors, for the respective projects thereof;

and      (2) (2)   such other amounts to be deposited in the Disaster Relief Emergency Financing Program Fund, established pursuant to subsection a.

of section 1 of P.L.2013, c.93 (C.58:11B-9.5), as long as the amount so appropriated to the bank for deposit in the Disaster Relief Emergency Financing Program Fund shall be utilized by the bank to make short-term or temporary loans pursuant to the Disaster Relief Emergency Financing Program to any one or more of the project sponsors, for the respective projects thereof. thereof. Any transportation projects funded by the Disaster Relief Emergency Financing Program shall be subject to the approval of the Commissioner of Transportation.

Any transportation projects funded by the Disaster Relief Emergency Financing Program shall be subject to the approval of the Commissioner of Transportation.

    STATEMENT        This bill authorizes the New Jersey Infrastructure Bank (NJIB) to expend up to $65,550,000 in Fiscal Year 2027 (FY2027) to provide low-interest loans to certain local government units that undertake one of 15 eligible transportation infrastructure projects set forth in the bill.  The bill also authorizes the NJIB to make a maximum of $1 million in principal-forgiveness financing loans to project sponsors for planning and design costs.  Under the bill, up to $100,000 of a loan, per borrower, is to be forgiven for a project where a principal amount of at least $250,000 is financed by the Transportation Infrastructure Financing Program through completion of the project’s construction.

                                            Authorizes NJ Infrastructure Bank to expend certain sums to make loans for transportation infrastructure projects for FY2027;

makes appropriation.