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Bill

Bill

S 4374

Expands certain requirements concerning automatic enrollment for utility bill payment assistance programs.

2026-2027 Regular Session Introduced by Nilsa Cruz-Perez and 1 co-sponsor

Automatically enroll eligible households in ongoing utility bill assistance using data sharing between DCA, nonprofits, and utilities.

Reported from Senate Committee, 2nd Reading
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Bill Summary · S 4374

Summary of Bill S 4374 (Session 222) – New Jersey

Purpose and intent

S 4374 seeks to expand and standardize automatic enrollment in utility bill payment assistance programs that provide ongoing (continuous) assistance to residential customers. The bill directs coordination between the Department of Community Affairs (DCA), nonprofit organizations, and utility companies to identify eligible households and enroll them automatically, ensuring greater access to ongoing utility bill support funded through programs like the Universal Service Fund and the Low Income Home Energy Assistance Program.

Key provisions and changes

  • Definitions (Section 1a):

    • “Ongoing assistance” refers to assistance that does not expire after a fixed amount or time period.
    • “Nonprofit organization” means a 501(c)(3) organization administering an ongoing utility bill payment assistance program on behalf of a utility company.
    • “Utility company” includes public utilities and public agencies that administer ongoing utility bill payment assistance programs.
  • Memorandum of Understanding (MOU) (Section 1b):

    • Within three months of the bill’s effective date, the DCA must enter into an MOU with qualifying nonprofit organizations and utility companies.
    • The MOU must establish a timeline and require: 1) Regular submission of:
      • List of utility customers,
      • Eligibility criteria for ongoing assistance programs,
      • Information needed to enroll a household and determine eligible assistance amounts (at least quarterly). 2) Within six months, the DCA must:
      • Use data from the Universal Service Fund and the Low Income Home Energy Assistance Program to identify eligible households,
      • Provide each program with a list of eligible households and necessary details to determine aid amounts (at least quarterly). 3) Within seven months, the nonprofit/utility must:
      • Seek any missing enrollment information from households, if necessary,
      • Automatically enroll eligible households into ongoing-assistance programs and set the maximum benefit level based on income and other program rules; if full information isn’t available, enroll at the minimum benefit level with an option for households to provide additional information later.
      • Note: Automatic enrollment does not apply to one-time grants or limited-use assistance programs.
  • Confidentiality and data sharing (Section 1c):

    • The MOU must address the protection, accessibility, security, maintenance, and disposal of sensitive household information.
    • Provisions may include obtaining consent to share enrollment information with the nonprofit or utility companies as needed for enrollment.
  • Accountability (Section 1d):

    • DCA must annually report to the Governor and Legislature the names of any nonprofits or utilities that decline or fail to enter into an MOU.
  • Administrative rules (Section 2):

    • DCA is authorized to promulgate rules under the Administrative Procedure Act to implement the bill.
  • Effective date (Section 3):

    • The act would take effect immediately upon enactment.

Who is affected

  • Residents/households: Potential automatic enrollment into ongoing utility bill payment assistance programs if eligible.
  • Nonprofit organizations and utility companies: Required to cooperate with the DCA, provide enrollment data, share eligibility information, and implement automatic enrollment.
  • Department of Community Affairs: Responsible for data matching, enrollment actions, reporting, and rulemaking.

Timelines and process highlights

  • MOU negotiations must occur within 3 months of enactment.
  • Data sharing and household eligibility identification must occur within six months (quarterly updates).
  • Automatic enrollment (where feasible) must be implemented within seven months, with a fallback to minimum benefits if information is missing, and a mechanism for households to provide missing details later.
  • Annual public reporting on any participants who refuse or fail to engage with the MOU.

Potential impact

  • Increased reach of ongoing utility bill assistance due to automatic enrollment.
  • Streamlined use of federal and state energy-assistance funds (LIHEAP and Universal Service Fund data) to target eligible households.
  • Enhanced data coordination between DCA, nonprofits, and utility providers while emphasizing privacy and consent.
  • Administrative or logistical requirements for enrolling entities and ongoing compliance reporting.

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

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