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

New Jersey's bill A 4001 authorizes the state to withhold payments owed to the federal government when the federal government unlawfully withholds funds from the state, as ordered by a court. It requires all state agencies - including legislative and judicial branches - to report monthly on federal funds the state is owed (due to court-ordered payments) and state payments due to the federal government. The Governor can then direct the State Treasurer to withhold state payments to the federal government, up to the amount the federal government owes the state under court orders. Withheld funds must be held in reserve and returned to the state budget if unused by year-end, preventing the state from paying the federal government while the federal government fails to pay the state.