Bill Text: NJ ACR100 | 2012-2013 | Regular Session | Introduced
Bill Title: Amends Constitution to dedicate up to $175 million annually from FY2012 to FY2041 of sales and use tax revenue for preservation of open space, including flood prone or affected areas and lands protecting water supplies, for farmland preservation and soil and water conservation, and for historic preservation.
Sponsorship: Partisan Bill (Democrat 3)
Status: (Introduced - Dead) 2012-01-10 - Introduced, Referred to Assembly Agriculture and Natural Resources Committee [ACR100 Detail]
Download: New_Jersey-2012-ACR100-Introduced.html
ASSEMBLY CONCURRENT RESOLUTION No. 100
STATE OF NEW JERSEY
215th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2012 SESSION
Sponsored by:
Assemblyman JOHN F. MCKEON
District 27 (Essex and Morris)
Assemblyman NELSON T. ALBANO
District 1 (Atlantic, Cape May and Cumberland)
Assemblyman REED GUSCIORA
District 15 (Hunterdon and Mercer)
SYNOPSIS
Amends Constitution to dedicate up to $175 million annually from FY2012 to FY2041 of sales and use tax revenue for preservation of open space, including flood prone or affected areas and lands protecting water supplies, for farmland preservation and soil and water conservation, and for historic preservation.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel
A Concurrent Resolution proposing to amend Article VIII, Section II of the New Jersey Constitution by adding a new paragraph.
Be It Resolved by the General Assembly of the State of New Jersey (the Senate concurring):
1. The following proposed amendment to the Constitution of the State of New Jersey is agreed to:
PROPOSED AMENDMENT
Amend Article VIII, Section II, by adding a new paragraph 8 to read as follows:
8. (a) Commencing July 1, 2011, there shall be annually credited in each State fiscal year, until June 30, 2021, to a special account in the General Fund $175,000,000 from the State revenue annually collected from the State tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), as amended and supplemented, or from any other State law of similar effect. The dedication and use of those moneys credited pursuant to this subparagraph from the State revenue annually collected from the State tax imposed under the "Sales and Use Tax Act," as amended and supplemented, or from any other State law of similar effect, shall be subject and subordinate to (1) all appropriations of revenues from taxes made by laws enacted prior to the effective date of this paragraph in accordance with Article VIII, Section II, paragraph 3 of the State Constitution in order to provide the ways and means to pay the principal and interest on bonds of the State presently outstanding or authorized to be issued under those laws, (2) any other use of those revenues enacted into law prior to the effective date of this paragraph, or (3) the credit of State revenue annually collected from the State tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), as amended and supplemented, or from any other State law of similar effect, as required by Article VIII, Section II, paragraph 7 of the State Constitution.
The amount credited each State fiscal year pursuant to this subparagraph shall be dedicated and shall be appropriated from time to time by the Legislature only to: provide funding, including loans or grants, for the acquisition and development of lands for recreation and conservation purposes, including lands in coastal and inland areas prone to, or affected by, flooding and lands for the protection of water supplies, for the preservation of farmland and the conservation of soil and water for agricultural or horticultural use and production, for historic preservation, for administrative costs associated with each of those efforts, and for maintenance and
operational costs associated with lands acquired or developed for recreation and conservation purposes, or, associated with historic sites; and satisfy any payments relating to bonds, notes, or other obligations, including refunding bonds, issued by an authority or similar entity established by law to provide funding, including loans and grants, for the acquisition and development of lands for recreation and conservation purposes, including lands in coastal and inland areas prone to, or affected by, flooding and lands for the protection of water supplies, for the preservation of farmland and the conservation of soil and water for agricultural or horticultural use and production, and for historic preservation.
Of the moneys credited in each State fiscal year pursuant to this subparagraph, not more than 5% shall be allocated and appropriated to pay for administrative costs described in this subparagraph, and not more than 15% shall be allocated and appropriated for maintenance and operational costs associated with lands owned or operated by the State for recreation and conservation purposes, or, associated with State owned or operated historic sites. These moneys shall be appropriated in addition to other moneys usually appropriated from the General Fund or any other fund in each State fiscal year by the general appropriation law described in Article VIII, Section II, paragraph 2 of the State Constitution, for maintenance and operational costs associated with lands owned or operated by the State for recreation and conservation purposes, or, associated with State owned or operated historic sites.
(b) Commencing July 1, 2021 and ending June 30, 2041, there shall be credited in each State fiscal year to a special account in the General Fund from the State revenue annually collected from the State tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), as amended and supplemented, or from any other State law of similar effect, the lesser of $175,000,000 or the amount necessary in each State fiscal year to satisfy any payments relating to bonds, notes, or other obligations, including refunding bonds, issued by an authority or similar entity established by law to provide funding, including loans and grants, for the acquisition and development of lands for recreation and conservation purposes, including lands in coastal and inland areas prone to, or affected by, flooding and lands for the protection of water supplies, for the preservation of farmland and the conservation of soil and water for agricultural or horticultural use and production, and for historic preservation.
The dedication and use of those moneys credited pursuant to this subparagraph from the State tax imposed under the "Sales and Use Tax Act," as amended and supplemented, or from any other State law of similar effect, shall be subject and subordinate to (1) all appropriations of revenues from taxes made by laws enacted prior to the effective date of this paragraph in accordance with Article VIII, Section II, paragraph 3 of the State Constitution in order to provide the ways and means to pay the principal and interest on bonds of the State presently outstanding or authorized to be issued under those laws, (2) any other use of those revenues enacted into law prior to the effective date of this paragraph, or (3) the credit of State revenue annually collected from the State tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), as amended and supplemented, or from any other State law of similar effect, as required by Article VIII, Section II, paragraph 7 of the State Constitution.
The amount credited each State fiscal year pursuant to this subparagraph shall be dedicated and shall be appropriated from time to time by the Legislature only to satisfy any payments relating to bonds, notes, or other obligations, including refunding bonds, issued by an authority or similar entity established by law to provide funding, including loans and grants, for the acquisition and development of lands for recreation and conservation purposes, including lands in coastal and inland areas prone to, or affected by, flooding and lands for the protection of water supplies, for the preservation of farmland and the conservation of soil and water for agricultural or horticultural use and production, and for historic preservation.
(c) Moneys credited to the special account pursuant to this paragraph shall not be used for (1) payments related to bonds, notes, or other obligations which in aggregate principal amount exceed $1,750,000,000 plus costs of issuance; or (2) payments relating to bonds, notes, or other obligations, except refunding bonds, issued after June 30, 2021.
(d) The authority or similar entity established by law as described in this paragraph shall be the same authority or entity established for the purposes of Article VIII, Section II, paragraph 7 of the State Constitution.
(e) All moneys derived from repayments of any loan issued from the amounts dedicated pursuant to subparagraph (a) of this paragraph, and all income derived from the investment of moneys in the special account established pursuant to this paragraph, shall be credited to that special account, and shall be dedicated and shall be appropriated from time to time by the Legislature only for the purpose of providing funding, including loans or grants, for the acquisition and development of lands for recreation and conservation purposes, including lands in coastal and inland areas prone to, or affected by, flooding and lands for the protection of water supplies, for the preservation of farmland and the conservation of soil and water for agricultural or horticultural use and production, for historic preservation, for administrative costs associated with each of those efforts, and for maintenance and operational costs associated with lands acquired or developed for recreation and conservation purposes, or, associated with historic sites. Notwithstanding any provision of this paragraph to the contrary, the dedication of moneys derived from loan repayments and investments shall not expire.
(f) It shall not be competent for the Legislature, under any pretense whatever, to borrow, appropriate, or use the amounts credited to the special account established pursuant to this paragraph, or any portion thereof, for any purpose or in any manner other than as enumerated in this paragraph.
No moneys from the proceeds of the issuance of any bonds, notes, or other obligations, including refunding bonds, as authorized pursuant to this paragraph, may be allocated or appropriated for administrative costs or for maintenance and operational costs as described in this paragraph.
2. When this proposed amendment to the Constitution is finally agreed to pursuant to Article IX, paragraph 1 of the Constitution, it shall be submitted to the people at the next general election occurring more than three months after the final agreement and shall be published at least once in at least one newspaper of each county designated by the President of the Senate, the Speaker of the General Assembly and the Attorney General, not less than three months prior to the general election.
3. This proposed amendment to the Constitution shall be submitted to the people at that election in the following manner and form:
There shall be printed on each official ballot to be used at the general election, the following:
a. In every municipality in which voting machines are not used, a legend which shall immediately precede the question as follows:
If you favor the proposition printed below make a cross (X), plus (+), or check (a) in the square opposite the word "Yes." If you are opposed thereto make a cross (X), plus (+) or check (a) in the square opposite the word "No."
b. In every municipality the following question:
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DEDICATION FOR OPEN SPACE PRESERVATION AND WATER SUPPLY PROTECTION, FARMLAND PRESERVATION, AND HISTORIC PRESERVATION OF UP TO $175 MILLION ANNUALLY IN STATE FUNDS
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YES |
Shall the amendment to Article VIII, Section II of the Constitution of the State of New Jersey, agreed to by the Legislature, to (1) dedicate annually for the next 10 years $175,000,000 of State revenue from the State tax imposed under the "Sales and Use Tax Act": for the acquisition and development of lands for recreation and conservation purposes, including lands in coastal and inland areas prone to, or affected by, flooding and lands for the protection of water supplies, for the preservation of farmland and the conservation of soil and water for agricultural or horticultural use and production, for historic preservation, for administrative costs associated with each of those efforts, and for maintenance and operational costs associated with lands acquired or developed for recreation and conservation purposes or associated with historic sites, and to satisfy any payments relating to bonds, notes, or other obligations issued for those purposes, and (2) dedicate up to $175,000,000 in each fiscal year, for up to 20 years thereafter, of State revenue from the State tax imposed under the "Sales and Use Tax Act," to satisfy any payments relating to bonds, notes, or other obligations issued for those same purposes, be approved? |
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INTERPRETIVE STATEMENT |
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NO |
Approval of this constitutional amendment would provide a dedicated, stable source of funding for Green Acres, farmland preservation and soil and water conservation, and historic preservation efforts in the State. The Green Acres program preserves open space, including parks, fish and wildlife habitat, flood prone or affected areas, and lands that protect water supplies. It also funds park improvements and facilities. It would require an annual dedication of $175 million from State sales tax revenue, for the years 2011 to 2021 for these purposes. The funding also would be used to: pay the debt on up to $1.75 billion in bonds that could be issued by the State by 2021 for those purposes; and help pay for the maintenance and operation of parks, fish and wildlife areas, and historic sites. Not more than 15% of the annual dedication would be used to pay for maintenance and operational costs on State lands and State historic sites, and not more than 5% for program administrative costs. From 2021 to 2041, up to $175 million annually of State sales tax revenue would be dedicated as needed to pay the debt on any bonds issued by 2021. This would replenish the now depleted dedicated funding for land preservation approved by the voters in 1998 so that new land preservation efforts may be undertaken in the State. It does not raise any existing tax or authorize a new tax, but would dedicate annually a portion of future revenues from an existing tax. |
STATEMENT
This proposed amendment to the State Constitution would supplement the State's current program for open space, farmland, and historic preservation implemented pursuant to Article VIII, Section II, paragraph 7 of the State Constitution and the "Garden State Preservation Trust Act," P.L.1999, c.152 (C.13:8C-1 et seq.).
Specifically, this constitutional amendment would dedicate annually for the next 10 years $175 million of State sales and use tax revenue for the State fiscal years 2012 to 2021 to finance open space preservation, farmland preservation and soil and water conservation, and historic preservation. The constitutional amendment also: (1) allows the dedicated moneys (other than those raised from the sale of bonds) to be used to pay for administrative costs associated with the various preservation efforts; (2) allows the dedicated moneys (other than those raised from the sale of bonds) to pay for maintenance and operational costs associated with parks, other preserved open space, and historic sites; (3) recognizes a special funding category under open space preservation, sometimes referred to as the "Blue Acres" program, for the acquisition and development, for recreation and conservation purposes, of lands in coastal and inland areas prone to, or affected by, flooding; and (4) highlights protection of water supply lands as one aspect of open space preservation.
This constitutional amendment directs that not more than 5% of the annual $175 million dedication be allocated and appropriated each year for program administrative costs, and not more than 15% of the annual $175 million dedication be allocated and appropriated for maintenance and operational costs associated with State owned or operated open space lands and with State historic sites. The special percentage allocation for maintenance and operational costs associated with State lands and sites would be in addition to other moneys usually appropriated from the General Fund or any other fund in each State fiscal year pursuant to the general appropriation law (the State annual appropriations act) for maintenance and operational costs associated with State lands and sites. It is the intent of the sponsors that the moneys dedicated, allocated, and appropriated pursuant to this constitutional amendment for maintenance and operational costs associated with lands owned or operated by the State for recreation and conservation purposes, or, associated with State owned or operated historic sites shall be in addition to the moneys usually appropriated each year in the annual State budget for those purposes. In other words, the amount usually budgeted and appropriated in the annual appropriations act for these State maintenance and operational costs should not be reduced or replaced with any moneys dedicated under this constitutional amendment.
The constitutional amendment also provides, from FY2022 to FY2041, a dedication of up to $175 million of State sales tax revenue annually to pay the debt on any bonds issued by the Garden State Preservation Trust (GSPT) to finance open space, farmland, and historic preservation efforts. It also would provide that any such bonds, in aggregate principal amount not to exceed $1.75 billion plus the cost of issuance, must be issued by June 30, 2021.
State sales and use tax revenue in an amount of up to $98 million annually has been constitutionally dedicated for State fiscal years 2000 through 2029 to finance open space, farmland, and historic preservation, including the payment of any debt that may be incurred from the issuance of bonds by the GSPT for those purposes. As of FY2010, this dedication is no longer available for actual preservation efforts; it can only be used for the payment of debt service. In addition, the funds made available for preservation purposes through FY2009 have essentially been depleted.
Under the Constitution, the current bonding capacity of the GSPT is $1.15 billion. The GSPT has issued the entire $1.15 billion. Adoption of this constitutional amendment would authorize the GSPT to issue an additional $1.75 billion in bonds for the purposes of open space, farmland, and historic preservation in the State.
