ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

ASSEMBLY, No. 2226

STATE OF NEW JERSEY

DATED:  OCTOBER 26, 2020

      The Assembly Appropriations Committee reports favorably Assembly Bill No. 2226.

      This bill would suspend the assessment of fines against small businesses for certain minor first-time paperwork violations.  Under the bill, a small business is defined as a business entity that employs 50 full-time employees or fewer and qualifies as a small business concern as defined in the federal “Small Business Act.”

      Under the bill, a fine would not be suspended if:

· the violation has the potential to cause serious harm to the public interest;

· failure to impose a fine or penalty would impede or interfere with the detection of criminal activity;

· the violation concerns the assessment or collection of any tax, debt, revenue, or receipt;

· the violation was not corrected within six months of the date the small business received notification of the violation; or

· except as provided below, the violation presents a danger to public safety.

      If a State agency or regulatory authority determines that the violation presents a danger to the public safety, the agency or regulatory authority may nevertheless suspend the assessment of a fine under certain circumstances if the violation is corrected within 24 hours after notification to the business of the violation.

FISCAL IMPACT:

      This bill is not certified as requiring a fiscal note.