They are likely to be bunker bait boats so what they catch gets used for bait for lobster traps and the like. The big reduction boats that used to do most of the damage that catch bunker for dog food or fertilizer are no longer allowed in NJ state waters.
Here is an old article I found where they were trying to restrict the number of licenses for the bunker bait boats as well... Not sure where that sits but will try and find out.
http://www.nj.com/shore/blogs/fishin...r_bait_bo.html