NJ S4122

Reduces the minimum dedication of State lottery proceeds to retirement system investment accounts from 30% to 27%, effective with State Fiscal Year 2026

Establishes State Fiscal Year 2025 as the "base fiscal year" for measuring lottery performance following the reduction

Permanently maintains the 27% dedication if average annual lottery sales and revenues over three years following the base year equal or exceed base year figures; reverts to 30% if they fall below

Requires a third-party review if the State fails to make full annual required pension contributions while at the 27% rate, with automatic reversion to 30% if the review finds the reduction has not increased transfers to the investment account

Mandates any reversion to 30% becomes effective in the second fiscal year following the year of the funding shortfall, with no further reviews conducted after reversion occurs