Authorizes withholding of funds due to federal government if federal government withholds funds from State in contravention of a court decision.

This bill authorizes New Jersey to withhold payments to the federal government if the federal government fails to pay the state money that a court has ordered it to provide. State agencies, including those in the executive, legislative, and judicial branches, must submit monthly reports to the State Treasurer identifying any federal funds owed to New Jersey that violate court decisions, as well as any funds the state expects to owe the federal government. If the reports indicate federal noncompliance with court orders, the Governor may direct the State Treasurer to withhold an equivalent amount from future federal payments, which are then held in reserve and added to the state's General Fund at the end of the fiscal year.