Bill Text: NJ A433 | 2010-2011 | Regular Session | Introduced
Bill Title: Authorizes designation of joint urban enterprise zone by Urban Enterprize Zone Authority.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2010-03-24 - Reviewed by the Sales Tax Review Commission Recommend to not enact [A433 Detail]
Download: New_Jersey-2010-A433-Introduced.html
STATE OF NEW JERSEY
214th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2010 SESSION
Sponsored by:
Assemblyman JERRY GREEN
District 22 (Middlesex, Somerset and Union)
SYNOPSIS
Authorizes designation of joint urban enterprise zone by Urban Enterprise Zone Authority.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel
An Act authorizing additional joint urban enterprise zone and amending and supplementing P.L.1983, c.303 (C.52:27H-60 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 3 of P.L.1983, c.303 (C.52:27H-62) is amended to read as follows:
3. As used in this act:
a. "Enterprise zone" or "zone" means an urban enterprise zone designated by the authority pursuant to this act;
b. "Authority" means the New Jersey Urban Enterprise Zone Authority created by this act;
c. "Qualified business" means any entity authorized to do business in the State of New Jersey which, at the time of designation as an enterprise zone or a UEZ-impacted business district, is engaged in the active conduct of a trade or business in that zone or district; or an entity which, after that designation but during the designation period, becomes newly engaged in the active conduct of a trade or business in that zone or district and has at least 25% of its full-time employees employed at a business location in the zone or district, meeting one or more of the following criteria:
(1) Residents within the zone, the district, within another zone or within a qualifying municipality; or
(2) Unemployed for at least six months prior to being hired and residing in New Jersey, and recipients of New Jersey public assistance programs for at least six months prior to being hired, or either of the aforesaid; or
(3) Determined to be low income individuals pursuant to the Workforce Investment Act of 1998, Pub.L.105-220 (29 U.S.C. s.2811);
d. "Qualifying municipality" means any municipality in which there was, in the last full calendar year immediately preceding the year in which application for enterprise zone designation is submitted pursuant to section 14 of P.L.1983, c.303 (C.52:27H-73), an annual average of at least 2,000 unemployed persons, and in which the municipal average annual unemployment rate for that year exceeded the State average annual unemployment rate; except that any municipality which qualifies for State aid pursuant to P.L.1978, c.14 (C.52:27D-178 et seq.) shall qualify if its municipal average annual unemployment rate for that year exceeded the State average annual unemployment rate. The annual average of unemployed persons and the average annual unemployment rates shall be estimated for the relevant calendar year by the Office of Labor Planning and Analysis of the State Department of Labor and Workforce Development. In addition to those municipalities that qualify pursuant to the criteria set forth above, that municipality accorded priority designation pursuant to subsection e. of section 7 of P.L.1983, c.303 (C.52:27H-66), those municipalities set forth in paragraph (7), paragraph (8) [of section 3 of P.L.1995, c.382 (C.52:27H-66.1),] and paragraph (9) of section 3 of P.L.1995, c.382 [as amended by section 3 of P.L.2004, c.75] (C.52:27H-66.1), [and] the municipalities in which the three additional enterprise zones, including the joint enterprise zone, are to be designated pursuant to criteria according priority consideration for designation of the zones pursuant to section 12 of P.L.2001, c.347 (C.52:27H-66.7), and those municipalities in which a joint zone is authorized pursuant to section 3 of P.L. , c. (C. ) (pending before the Legislature as this bill) shall be deemed qualifying municipalities;
e. "Public assistance" means income maintenance funds administered by the Department of Human Services or by a county welfare agency;
f. "Zone development corporation" means a nonprofit corporation or association created or designated by the governing body of a qualifying municipality to formulate and propose a preliminary zone development plan pursuant to section 9 of P.L.1983, c.303 (C.52:27H-68) and to prepare, monitor, administer and implement the zone development plan;
g. "Zone development plan" means a plan adopted by the governing body of a qualifying municipality for the development of an enterprise zone therein, and for the direction and coordination of activities of the municipality, zone businesses and community organizations within the enterprise zone toward the economic betterment of the residents of the zone and the municipality;
h. "Zone neighborhood association" means a corporation or association of persons who either are residents of, or have their principal place of employment in, a municipality in which an enterprise zone has been designated pursuant to this act; which is organized under the provisions of Title 15 of the Revised Statutes or Title 15A of the New Jersey Statutes; and which has for its principal purpose the encouragement and support of community activities within, or on behalf of, the zone so as to (1) stimulate economic activity, (2) increase or preserve residential amenities, or (3) otherwise encourage community cooperation in achieving the goals of the zone development plan;
i. "Enterprise zone assistance fund" or "assistance fund" means the fund created by section 29 of P.L.1983, c.303 (C.52:27H-88); and
j. "UEZ-impacted business district" or "district" means an economically-distressed business district classified by the authority as having been negatively impacted by two or more adjacent urban enterprise zones in which 50% less sales tax is collected pursuant to section 21 of P.L.1983, c.303 (C.52:27H-80).
(cf: P.L.2004, c.75, s.1)
2. Section 7 of P.L.1983, c.303 (C.52:27H-66) is amended to read as follows:
7. The authority shall designate enterprise zones from among those areas of qualifying municipalities determined to be eligible pursuant to P.L.1983, [s.] c.303. No more than [32] 33 enterprise zones shall be in effect at any one time. No more than one enterprise zone shall be designated in any one municipality. Except as otherwise provided by section 11 of P.L.2001, c.347 (C.52:27H-66.6), any designation granted shall be for a period of 20 years, beginning with the year in which a zone is eligible for an exemption to the extent of 50% of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), and shall not be renewed at the end of that period. In designating enterprise zones the authority shall seek to avoid excessive geographic concentration of zones in any particular region of the State. At least six of the 10 additional enterprise zones authorized pursuant to section 3 of P.L.1993, c.367 shall be located in counties in which enterprise zones have not previously been designated and shall be designated within 90 days of the date of the submittal of an application and zone development plan. The authority shall accept applications within 90 days of the effective date of P.L.1993, c.367. Notwithstanding the provisions of P.L.1983, c.303 (C.52:27H-60 et seq.) to the contrary, the six additional enterprise zones to be designated by the authority pursuant to the criteria for priority consideration in this section shall be entitled to an exemption to the extent of 50% of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.). The following criteria shall be utilized in according priority consideration for designation of these zones by the authority:
a. One zone shall be located in a county of the second class with a population greater than 595,000 and less than 675,000 according to the latest federal decennial census and shall be located in the qualifying municipality in that county with the highest annual average number of unemployed persons and the highest average annual unemployment rate for the 1992 calendar year according to the estimate by the State Department of Labor and Workforce Development;
b. Two zones shall be located in a county of the second class with a population greater than 445,000 and less than 455,000 according to the latest federal decennial census, one of which shall be located in the qualifying municipality in that county with the highest annual average number of unemployed persons and the highest average annual unemployment rate for the 1992 calendar year according to the estimate by the State Department of Labor and Workforce Development, and one of which shall be located in the qualifying municipality in that county with the second highest annual average number of unemployed persons and the second highest average annual unemployment rate for the 1992 calendar year according to the estimate by the State Department of Labor and Workforce Development;
c. One zone shall be located in a county of the third class with a population greater than 84,000 and less than 92,000 according to the latest federal decennial census and shall be located in the qualifying municipality in that county with the highest annual average number of unemployed persons and the highest average annual unemployment rate for the 1992 calendar year according to the estimate by the State Department of Labor and Workforce Development;
d. One zone shall be located within two noncontiguous qualifying municipalities but comprised of not more than two noncontiguous areas each having a continuous border, if:
(1) both municipalities are located in the same county which shall be a county of the fifth class with a population greater than 500,000 and less than 555,000 according to the latest federal decennial census;
(2) the two municipalities submit a joint application and zone development plan; and
(3) each of the municipalities has a population greater than 16,000 and less than 30,000 and a population density of more than 5,000 persons per square mile, according to the latest federal decennial census; and
e. One zone shall be located within a municipality having a population greater than 38,000 and less than 46,000 according to the latest federal decennial census if the municipality is located within a county of the fifth class with a population greater than 340,000 and less than 440,000 according to the latest federal decennial census.
(cf: P.L.2004, c.75, s.2)
3. (New section) The authority shall designate an additional joint zone to consist of two non-contiguous municipalities as follows:
a. one of the municipalities shall be situated in a county of the second class with a population of over 750,000 according to the latest federal decennial census and shall have a population greater than 13,000 and less than 14,000 according to the latest federal decennial census;
b. the other municipality shall have a population of greater than 21,000 and less than 22,000 and shall be situated in a county of the second class with a population of over 275,000 and less than 300,000 according to the latest federal decennial census.
The additional joint zone authorized pursuant to P.L. , c. (C. ) (pending before the Legislature as this bill) shall be designated within 90 days following the date of the submittal of a joint application and a joint zone development plan by the adjoining municipalities. The authority shall accept applications within 90 days following the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill).
Notwithstanding the provisions of P.L. , c. (C. ) (pending before the Legislature as this bill) to the contrary, the additional enterprise zone to be designated by the authority pursuant to this section shall be entitled to an exemption to the extent of 50% of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.).
4. This act shall take effect immediately.
STATEMENT
This bill would authorize the creation of a joint urban enterprise zone in two non-contiguous municipalities. This joint UEZ would be the State's 33rd urban enterprise zone.
Specifically, the municipalities eligible for designation under this bill would be situated in two counties. One of the municipalities would have to be situated in a county of the second class with a population of greater than 750,000 according to the latest federal decennial census and have a population of greater than 13,500 and less than 14,000 according to the latest federal decennial census. Middlesex Borough fulfills these population and locational criteria based on the 2000 census.
The other municipality would have to have a population of greater than 21,000 and less than 22,000 and be situated in a county of the second class with a population of over 275,000 and less than 300,000 according to the latest federal decennial census. According to the 2000 census, North Plainfield Borough fulfills these criteria.
The additional joint zone authorized pursuant to this bill is required to be designated within 90 days of the date of the submittal of a joint application and a joint zone development plan by the adjoining municipalities. The NJ Urban Enterprise Zone Authority shall accept applications within 90 days following the effective date of the bill. The additional enterprise zone to be designated by the authority pursuant to the criteria for priority consideration set forth in this section would be entitled to an exemption to the extent of 50% of the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.).
