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Bill

S 4127

Establishes New Jersey Student Emergency Aid Program in Higher Education Student Assistance Authority.

2026-2027 Regular Session Introduced by Andrew Zwicker

Establishes a state fund to provide rapid, need-based emergency grants for public college undergraduates to cover living expenses during unforeseen crises.

Introduced in the Senate, Referred to Senate Higher Education Committee
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Bill Summary · S 4127

Summary of Bill S. 4127 (NJ, 222nd Legislature)

Purpose

  • Establishes the New Jersey Student Emergency Aid Program within the Higher Education Student Assistance Authority (HESAA).
  • Goal: Provide emergency grants to undergraduate students at public colleges/universities experiencing unforeseen financial crises affecting living expenses.

Key Provisions

  • Program Establishment and Administration

    • Creates the New Jersey Student Emergency Aid Program in HESAA.
    • Funds are to be distributed to each public higher education institution (as available from appropriations and other sources).
    • Each public institution administers the program locally, distributing grants to eligible students.

  • Guidelines and Administration

    • HESAA, in consultation with:
    • Office of the Secretary of Higher Education
    • Public institutions of higher education
    • New Jersey Council of County Colleges
    • Must establish guidelines addressing:
    • Eligibility criteria for applicants
    • Permissible uses of emergency aid grants
    • Application and approval procedures to ensure timely distribution
    • Maximum grant per student (by institution)
    • Annual or lifetime grant limits per student
    • Reporting and recordkeeping requirements

  • Institutional Requirements

    • Public institutions must adopt policies aligned with the guidelines.
    • The financial aid office at each institution manages:
    • Applications
    • Distribution of grants
    • Promotion/advertising of grant availability

  • Treatments of Emergency Aid Grants

    • Grants shall not be considered financial aid or taxable income for determining eligibility for State student financial aid to the extent permitted by law.
    • Grants may not be used to pay outstanding tuition or fees or to repay student loans.
    • Recipients will receive information about other campus, community, and government resources (e.g., food pantries, SNAP, clothing closets).

  • Reporting

    • Each public institution distributing grants must submit an annual report to HESAA detailing:
    • Number of students receiving grants
    • Average and median grant amounts
    • Types of emergencies (aggregate, non-identifying)
    • Percentage of recipients who remained enrolled or completed their program
    • HESAA will compile a statewide annual report for the Governor and Legislature summarizing the institutions’ reports.

  • Funding and Finances

    • Establishes a nonlapsing, revolving fund: the New Jersey Student Emergency Aid Program Fund.
    • Funded by:
    • State appropriations
    • Any applicable federal or private funds
    • The Executive Director of HESAA will determine how funds are distributed to institutions.

  • Initial Funding Allocation

    • $1,500,000 is appropriated from the General Fund to the New Jersey Student Emergency Aid Program Fund.

  • Effective Date

    • The act takes effect immediately.
    • Grants awarded under the program will be available in the first full academic year after enactment.

Who Is Affected

  • Undergraduate students enrolled in public institutions of higher education in New Jersey who experience unexpected financial crises impacting living expenses.
  • Public colleges and universities (including state system and public county colleges) that administer the program on campus.
  • HESAA, the Office of the Secretary of Higher Education, and the NJ Council of County Colleges (in guideline development and oversight).

Procedural and Timeline Aspects

  • Legislative action: Introduced May 11, 2026; referred to Senate Higher Education Committee.
  • Funding timing: General Fund appropriation of $1.5 million included in the bill; funds become available for the first full academic year after enactment.
  • Reporting cadence: Institutions provide annual reports to HESAA; HESAA reports to Governor and Legislature annually.

Practical Impact

  • Provides a formal mechanism for rapid, need-based aid to cover essential living costs (groceries, housing, transportation, medical expenses, technology, childcare).
  • Aims to reduce financial barriers that could interrupt enrollment or academic progress due to emergencies.
  • Creates standardized guidelines to ensure consistent administration, accountability, and transparency across public institutions.
  • Explicitly separates emergency grants from tuition payments and does not count them as taxable income or as financial aid for certain determinations, within permitted limits.

Compiled from official sources — confirm details with the bill’s official record.

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