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Bill

S 3891

Requires EDA to provide grants to certain small businesses affected by State infrastructure and construction projects.*

2024-2025 Regular Session Introduced by Jim Beach and 3 co-sponsors

New Jersey bill requiring EDA to grant funds to small businesses harmed by state infrastructure projects to offset losses from construction disruption.

Substituted by A4971 (2R)
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Bill Summary · S 3891

Legislative bill overview

S 3891 would require New Jersey's Economic Development Authority (EDA) to establish a grant program providing financial assistance to small businesses negatively impacted by state infrastructure and construction projects. The bill aims to compensate businesses for losses incurred during necessary public works, such as temporary closures, reduced access, or decreased revenue.

Why is this important

State infrastructure projects benefit the public but often impose localized economic hardship on nearby small businesses. Without compensation mechanisms, these businesses bear private costs for public improvements, potentially forcing closures or relocations. This bill directly addresses that inequity by creating a dedicated funding stream, though the actual fiscal impact depends on grant amounts and eligibility criteria.

Potential points of contention

  • Funding source unclear: The bill doesn't specify where EDA grants would come from—existing budgets, new appropriations, or project budgets—raising questions about whether this shifts resources from other economic development priorities
  • Vague eligibility standards: "Affected by" infrastructure projects lacks precise definition, potentially creating disputes over which businesses qualify and making the program administratively complex
  • Precedent concerns: Establishing compensation for business losses from public projects could create ongoing expectations and financial obligations for future infrastructure work across the state

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

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