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ADVOCACY UPDATE
January 7, 2026
In this update:
Government grants reform legislation clears Assembly committee
Immigration bills pass Assembly committee
Family leave changes near final legislative passage
New Jersey minimum wage as of January 1, 2026
ICYMI: Our policy recommendations for the Sherrill Administration
Next Policy World Wednesday January 14
Government grant reform legislation clears Assembly Committee
Legislation championed by the Center that would significantly improve the government grants process in New Jersey was passed unanimously by the Assembly State and Local Government Committee on January 5, 2026.
A-4692, sponsored by Assemblywoman Yvonne Lopez and Committee chairman Robert Karabinchak, would implement a series of needed reforms to improve the way governments and nonprofits work together to serve the people of New Jersey.
"Nonprofits are vital to the fabric of New Jersey's economy. A4692 would improve the way we treat our nonprofit partners by introducing a level of efficiency and stability that is critically needed in the space," said Assemblywoman Lopez, a former nonprofit chief executive officer.
Although the nonprofit community has a long tradition of working in partnership with government to identify and address critical public needs, nonprofit organizations have long decried the needless complexities associated with applying for and complying with government grants and contracts. Among the biggest problems: grants and contracts that don’t cover the nonprofit’s cost to provide services; excessive complexity in government grant and contract applications; payment delays; and duplicative reporting and monitoring requirements, to name just a few.
The new legislation would address these issues by:
incentivizing the state to pay nonprofits on time by requiring the government to pay interest when payments to nonprofits are more than 30 days late;
providing for a regular inflationary adjustment to grants and contracts;
including at least 15 percent in indirect costs in grants and contracts with nonprofits;
establishing a central repository for frequently-filed documents to reduce the need to resubmit the same materials for multiple contracts or reports; and
directing government agencies to develop procedures to reduce redundant monitoring, and standardizing and integrating reporting procedures across government departments and agencies.
More than 25 nonprofits registered their support for the bill at the hearing, including three who joined the Center testifying in favor.
Commenting on the bill, Chairman Karabinchak noted, “Nonprofits in New Jersey have done an exceptional job,” adding that the legislation will help nonprofits when, “unfortunately, you’ll be busier than ever.”
S-3786, the Senate companion bill to A-4692, is awaiting consideration in the SenateState Government, Wagering, Tourism & Historic Preservation Committee.
If legislation isn’t passed by both houses before the new legislative session begins on January 13 and signed by the Governor by noon on January 20, it must be reintroduced in the Legislature to begin the process again. If that happens, we will push vigorously for swift action in the next session.
Separate legislation, A-4695, which would establish an Office of the Nonprofit Ombudsperson to provide information and assistance to, and act as an advocate for, nonprofit organizations interacting with State agencies, is awaiting consideration by the Assembly Community Development and Women’s Affairs Committee.
For more information or to get involved contact Doug Schoenberger, Government Affairs Specialist at the Center at doug@njnonprofits.org .
Immigration bills pass Assembly committee
Three bills designed to provide increased protections for New Jersey’s immigrant communities and the entities that serve them passed the Assembly Judiciary Committee on January 5.
A-6308 would establish the Safe Communities Act and require the Attorney General to develop model policies for sensitive locations to guide interactions with federal immigration authorities. These locations include health care facilities, public schools, and places of worship to ensure individuals are not deterred from seeking services or engaging with their community.
A-6309 establishes the “Privacy Protection Act,” concerning the collection and sharing of certain personal information by State and local government entities and health care facilities. Under the bill, government entities and health care facilities are prohibited from requesting or collecting information relating to a person’s immigration status, place of birth, social security number, and individual taxpayer identification number unless it is strictly necessary to assess eligibility for, or to administer, a requested public service, benefit, or program.
A-6310 would codify the Attorney General’s “Strengthening Trust Between Law Enforcement and Immigrant Communities” directive, also known as the Immigrant Trust Directive, which reaffirms that there is a necessary distinction between State, county and local law enforcement and federal immigration authorities. It makes clear that it is not the role of State, county, or local police officers in New Jersey to carry out federal civil immigration enforcement. The federal government is responsible for enforcing federal civil immigration violations. New Jersey law enforcement officers are already tasked with the demands of protecting the public, investigating state criminal offenses, and enforcing state criminal law.
The bills must pass the full Assembly and New Jersey Senate and be signed into law by the Governor by noon on January 20, or they will need to be reintroduced in the next legislative session.
Family leave changes near final legislative passage
Legislation to broaden the applicability of New Jersey’s family leave law is nearing final passage in the State Legislature.A-3451/S-2950, as amended, would make a series of changes to New Jersey’s paid family leave law, including:
·Applying the law’s requirements to employers with 15 or more employees (reduced from 30 under current law);
·Reducing the minimum length of employment from 12 months to 6 months and the minimum base hours from 1,000 to 500 for an employee to be eligible for paid leave under the “Family Leave Act”; and
·Providing that an employee who is eligible for both earned sick leave and either temporary disability benefits or family temporary disability leave benefits will have the option of using either the earned sick leave or whichever is applicable of temporary disability benefits or family temporary disability leave benefits, and may select the order in which the different kinds of leave are taken, but may not receive more than one kind of paid leave simultaneously during any period of time.
If the Assembly passes the bill on January 12 as expected, it would head to Governor Murphy who has until noon on January 20 to sign it, otherwise it must be reintroduced in the next legislative session. The bill would take effect six months after enactment.
For more information about New Jersey's current family leave law, visit this page from the New Jersey Department of Labor and Workforce Development.
New Jersey minimum wage as of January 1, 2026
Pursuant to state law, effective January 1, 2026, New Jersey’s minimum wage has increased for most employers to $15.92 per hour.
The law provides a slightly lower minimum wage threshold for small employers (fewer than six employees) or seasonal workers; higher rates for long-term care facility direct care staff; and significantly lower rates for tipped workers. For more details, see the minimum wage chart and the New Jersey Department of Labor and Workforce Development website.
ICYMI: Our policy recommendations for the Sherrill Administration
Governor-elect Mikie Sherrill and Lt. Governor-elect Dale Caldwell are set to take office on January 20, 2026. Our policy recommendations to the new administration are centered around several broad themes to help ensure that nonprofits are best positioned to serve our communities now and over the long haul:
·PROTECT AND DEFEND THE NONPROFIT COMMUNITY from federal attacks and budget cuts.
·HELP NONPROFITS STRETCH BUDGET DOLLARS AND SECURE MUCH-NEEDED RESOURCES through government grants and contracts reform, charitable giving incentives, and more.
·PRESERVE A STRONG CIVIC INFRASTRUCTURE by protecting voting and advocacy rights, and promoting a complete and accurate 2030 Census count in New Jersey.
In her response to our nonpartisan candidate questionnaire published in October, the governor-elect said, “As governor, I’m committed to giving nonprofits a seat at the table when major decisions are made in Trenton and ensuring that their voice is heard when legislation is being considered.”
Join us to discuss all things policy, including the latest developments at the federal, state and local levels; legislative insights and advocacy opportunities; and to share any other policy or advocacy issues currently on your organization’s radar. Network with, and learn from, other changemakers to help stay abreast of current trends, build partnerships and strengthen advocacy skills for increased influence in public policy matters. Whether you’re new to advocacy or an experienced veteran, we hope we’ll see you there!
You must be a staff or board member of a nonprofit or philanthropic organization to participate. Preregistration is recommended but not necessary. (You will need to sign in to participate.)
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As part of that promise, we have a responsibility to advance an equitable society, to shine a bright light on the harsh reality of systemic racism and injustice and to actively work against it."
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Information in this communication does not constitute legal advice or a legal opinion. For answers to specific questions concerning your situation, you should consult a knowledgeable attorney who can advise you regarding your particular circumstances.
New Jersey Center for Nonprofits 3635 Quakerbridge Rd, Suite 35 Mercerville, NJ 08619 732-227-0800 | center@njnonprofits.org
