ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

[First Reprint]

ASSEMBLY, No. 5880

STATE OF NEW JERSEY

DATED:  JUNE 16, 2021

      The Assembly Appropriations Committee reports favorably Assembly Bill No. 5880 (1R).

      This bill requires the Department of Human Services (DHS) to develop and maintain, or enter into or modify an agreement with a third party to develop and maintain, mobile-friendly software for SNAP recipients.

      The mobile software program will include, but not be limited to, functionality that allows a user of the mobile software program who is a recipient of SNAP benefits to:  view the user’s SNAP case status and the current benefits the user receives; request an electronic benefit transfer card or a replacement card; upload and submit required documents for continued participation in SNAP and track the current processing status of those documents; receive notices and updates regarding important deadlines or actions; read and print notices and letters; update contact information; request to have a letter mailed to the user listing the amount of benefits the user receives; view local contact information for the County Board of Social Services for the county in which the user resides; and access any additional functionality as determined by the DHS.  The mobile-friendly software will also be required to be made available free of charge and in multiple languages.

      The bill requires the Commissioner of Human Services to apply for any: 1) waivers from the federal government, which are necessary for approval and implementation of this act; and 2) grants through the SNAP Process and Technology Improvement Grants program within the United States Department of Agriculture to receive federal funding to implement the provisions of bill.

      The bill appropriates $2,000,000 from the General Fund to the DHS to fund the development and maintenance of the mobile friendly software.

FISCAL IMPACT:

      The Office of Legislative Services (OLS) estimates that this bill will result in an indeterminate increase in one-time expenditures by the Division of Family Development (DFD) in the Department of Human Services (DHS) to develop a mobile software program for Supplemental Nutrition Assistance Program (SNAP) recipients, as required under the bill, as well as ongoing expenditures to maintain the software program.  The magnitude of these costs depend on several unpredictable variables; however, the OLS assumes that the department will incur the majority of the costs during the development process. 

      Unpredictable cost variables under the bill include:  1) the department’s use of a third party to develop and maintain the software program versus the use of current staff and existing State resource; and 2) the receipt of any available federal grant funds to support the development of the software program. 

      The OLS notes that to the extent all SNAP administrative costs are shared between the State and federal government, and any costs incurred by the department under the bill will result in an increase in State revenue.