S 219 — Establishes guidelines for creditworthiness determinations concerning affordable housing programs.

S219 1R2R [First[Second Reprint] SENATE, No.

Senators Burgess, Stack, CryanCryan, McKnight and McKnightRuiz         SYNOPSIS      Establishes guidelines for creditworthiness determinations concerning affordable housing programs.

  CURRENT VERSION OF TEXT      As reportedamended by the Senate Community and Urban Affairs Committee on March 5,23, 2026,2026. with amendments.

     a.   a.     The current shortage of affordable housing in this State has forced many low and moderate income New Jersey residents to live in market rate housing they cannot afford but must occupy rather than face homelessness.       b.    After paying rent, these struggling families and individuals are frequently left with less money than needed to meet other basic household obligations.  Late or partial payments, as well as missed payments made up in subsequent months, are often the result.

     c.   c.     These undesirable but unavoidable decisions negatively affect many households’ credit reports and inevitably lead to lower-credit scores for these New Jersey residents.       d.    Access to housing with affordable rents would remedy a major cause of the financial difficulties experienced by lower-income persons, leave them with more income to meet their basic expenses, and help them to restore their credit standing.

     e.   e.     Those households fortunate enough to obtain tenant-based housing subsidies, or access to cost-controlled housing units, generally after years spent on waiting lists, are often rejected by landlords based upon inadequate credit assessments.

1proof2[1proof of1 healthhealth]2 1[history] insurance2[insurance coverage1, includingincluding]2 1[any] proof2[proof of1 healthhealth]2 1[issues affecting] insurance2[insurance coverage for all1 other members of the applicant household;household;]2 the need for a reasonable accommodation in the case of a household which includes a person with a disability;

2any significant or extraordinary circumstances that have affected the needhousehold’s forincome aor reasonableexpenses, accommodationincluding, inbut not limited to, emergencies or other factors that have significantly affected the casehousehold’s ofability ato householdmeet its financial obligations;2 and the extent to which includesthe household developed a personbudget withor apayment disability;plan that enabled it to meet most of its expenses most of the time, keeping payments of expenses as close to current as was reasonably possible, and considering the occurrence of unanticipated problems, and emergencies or other factors that significantly affected the household's ability to adhere to any such budget.

and the extent to which the household developed a budget or payment plan that enabled it to meet most of its expenses most of the time, keeping payments of expenses as close to current as was reasonably possible, and considering the occurrence of unanticipated problems, and emergencies or other factors that significantly affected the household's ability to adhere to any such budget.

     c.   c.     Notwithstanding any provision of subsection a.

     a.   a.     the number of applications for affordable housing reviewed over the preceding 12-month reporting period;

     c.   c.     the number of denials to which the affordable housing applicant filed a complaint in Superior Court;

and      e.   e.     the information required under subsections a.

of section 11 of P.L.1945, c.169 (C.10:5-12), it shall constitute unlawful discrimination for a landlord to use a credit or other risk score or assessment, calculated or disseminated by any entity in any manner, to evaluate the creditworthiness of an affordable housing applicant in a way that violates the provisions of P.L.,P.L.    , c.    (C.      )  ) (pending before the Legislature as this bill).

     b.  A person claiming to be aggrieved pursuant to P.L., c.    (C.        ) (pendingP.L.,    c.    (C.        ) (pending before the Legislature as this bill) may file a complaint or action with the Division on Civil Rights in the Department of Law and Public Safety, or in the Superior Court of New Jersey, alleging a violation of the “Law Against Discrimination,” P.L.1945, c.169 (C.10:5-1 et seq.).

     c.  Following the receipt of a complaint the Director of the Division on Civil Rights in the Department of Law and Public Safety shall be authorized to prohibit the landlord from renting out the housing unit that the claimant applied for, pending the investigation of the claim.         9.   2d.  The Attorneyprovisions General, in accordance with the “Administrative Procedure Act,” P.L.1968, c.410 (C.52:14B-1 et seq.), and in consultation with the Commissioner of CommunityP.L.,    Affairs, shall adopt rules and regulations to effectuate P.L.    , c.    (C.     (C.        ) (pending before the Legislature as this bill) onshall ornot beforebe theconstrued effectiveto dateimpose ofa P.L.   duty ,on c.   a (C.     person )licensed (pending before the Legislature as this bill).  The rules and regulations adopted by the AttorneyNew GeneralJersey mayReal restrictEstate theCommission applicationpursuant of the provisions of P.L.    , c.    (C.      ) (pending before the Legislature as this bill), if necessary to complyR.S.45:15-1 withet federalseq. law.

during a transaction for which the licensee is not the landlord.2        9.    The Attorney General, in accordance with the “Administrative Procedure Act,” P.L.1968, c.410 (C.52:14B-1 et seq.), and in consultation with the Commissioner of Community Affairs, shall adopt rules and regulations to effectuate P.L.    , c.    (C.      ) (pending before the Legislature as this bill) on or before the effective date of P.L.    , c.    (C.      ) (pending before the Legislature as this bill).  The rules and regulations adopted by the Attorney General may restrict the application of the provisions of P.L.    , c.    (C.      ) (pending before the Legislature as this bill), if necessary to comply with federal law.