A 4959 New Jersey General Assembly · 2026-2027 Regular Session

"Affordable Power Purchase Agreements Extension Act"; concerns extension of certain public entity contracts related to energy conservation and renewable energy production.

This bill extends the legal term for renewable energy contracts held by New Jersey public entities, specifically school boards. By amending state statutes, it allows these boards to continue purchasing power from renewable sources under existing agreements without needing to re-bid or renegotiate the deals immediately. The measure directly affects school districts and other public agencies that have previously entered into long-term energy conservation or green energy production agreements. It ensures the stability of these contracts by formally permitting their extension within the current legal framework for public procurement.

Bill status in committee 1 of 4 stages cleared

Introduction

May 2026

Committee Review

Floor Vote

Governor

Introduced May 7, 2026 Last action Jun 30, 2026

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What changed between versions

Introduced → Reprint · 5 edits

MODERATE

The bill moved from introduced to first reprint after committee amendment on June 15, 2026. The core purpose remains unchanged: allowing public entities to extend renewable energy power purchase agreements up to 30 years total without public bidding. The committee added new procurement exceptions for electricity-related contracts and a four-year pilot program, and restructured the bill's section numbering.

Scope change

The bill's scope expanded beyond just renewable energy contract extensions to include broader electricity procurement exceptions (retail distribution, wholesale via municipal shared services authorities, and transmission-related services) as well as a four-year pilot program exception, all exempted from public bidding requirements under C.40A:11-5.

SCOPE

New subsection (6) of C.40A:11-5 allows contracting units to award contracts for retail electricity distribution, wholesale electricity by municipal shared services energy authorities, or administrative/dispatching services related to electricity transmission without public bidding, subject to prior approval by the Director of the Division of Local Government Services within 30 days (deemed approved if no response).

New exception (ii) in C.40A:11-5(1) allows services and equipment necessary for the four-year pilot program established by P.L.2025, c.291 (C.2C:25-32.1 et seq.) to be procured without public bidding.

Two new co-sponsors (Karabinchak and Bhalla) were added to the bill.

ELIGIBILITY

New exception (jj) in C.40A:11-5(1) allows extension of renewable energy contract terms pursuant to subsection (45) of C.40A:11-15 to be awarded without public advertising for bids.

TECHNICAL

The bill's section numbering was restructured by committee. The original Section 5 (amending C.40A:11-5) was renumbered to Section 15, and the cross-reference citation was updated from P.L.2017, c.131, s.174 to P.L.2025, c.291, s.9.

Floor votes

How they voted

No floor votes recorded yet.

Full legislative history

Actions timeline

Total actions

Key actions

Committee

May 28, 2026

Committee

Reported and Referred to Assembly State and Local Government Committee

lower

May 7, 2026

Introduced

Introduced, Referred to Assembly Telecommunications and Utilities Committee

lower

3 primary · 4 co-sponsors