Bill Text: NJ S4861 | 2026-2027 | Regular Session | Introduced
Bill Title: Provides for establishment of pilot program for acquiring abandoned properties in certain municipalities and develop land bank agreement.
Sponsorship: Partisan Bill (Democrat 1)
Status: (Introduced) 2026-10-22 - Introduced in the Senate, Referred to Senate Community and Urban Affairs Committee [S4861 Detail]
Download: New_Jersey-2026-S4861-Introduced.html
Sponsored by:
Senator JOHN J. BURZICHELLI
District 3 (Cumberland, Gloucester and Salem)
SYNOPSIS
Provides for establishment of pilot program for acquiring abandoned properties in certain municipalities and develop land bank agreement.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning certain abandoned properties, supplementing and amending P.L.2016, c.4, and amending P.L.1984, c.218.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. (New section) a. The director, in accordance with the authority granted pursuant to P.L.2016, c.4 (C.52:27BBBB-1 et seq.), and in consultation with the Casino Reinvestment Development Authority established pursuant to section 5 of P.L.1984, c.218 (C. 5:12-153), shall establish a pilot program, which shall expire on December 1, 2031, to acquire abandoned properties in a municipality in need of stabilization and recovery, as determined by the director pursuant to subsection b. of this section. The director may delegate any of the pilot program responsibilities provided in this section to the Executive Director of the Casino Reinvestment Development Authority, except that the Casino Reinvestment Development Authority shall have the sole responsibility for administration of the pilot program for properties located within the Atlantic City Tourism District established pursuant to the provisions of P.L.2011, c.18 (C.5:12-218 et al.). The pilot program shall permit the Department of Community Affairs, or the Casino Reinvestment Development Authority, as applicable, to acquire an abandoned property through:
(1) purchase or gift; or
(2) the abandoned property acquisition processes established by the "Abandoned Properties Rehabilitation Act," P.L.2003, 210 (C.55:19-78 et al.).
b. (1) The director, or the Executive Director of the Casino Reinvestment Development Authority, as applicable, shall establish and maintain a list of abandoned properties, as defined in section 4 of P.L.2003, c.210 (C.55:19-81), by compiling the tax rolls, ground surveys, and any abandoned property list maintained pursuant to the "Abandoned Properties Rehabilitation Act," P.L.2003, 210 (C.55:19-78 et al.) by the municipality in need of stabilization and recovery until the expiration of the pilot program.
(2) Upon the completion of the list of abandoned properties established pursuant to paragraph (1) of this subsection, as determined by the director, the director shall formally designate any property that meets the requirements of being abandoned, pursuant to section 4 of P.L.2003, c.210 (C.55:19-81), as abandoned if the property was not already designated as abandoned by the municipality in need of stabilization and recovery, and shall use this list in any action to transfer title of the property to the Department of Community Affairs.
c. (1) The director may conduct, or contract to conduct, pursuant to section 13 of P.L.2003, c.210 (C.55:19-90), rehabilitation or demolition services on any property on the abandoned property list where the Department of Community Affairs has been granted title and the director deems in need of rehabilitation or demolition.
(2) The redevelopment consultant appointed by the director, pursuant to subparagraph (o) of paragraph (3) of subsection a. of section 5 of P.L.2016, c.4 (C.52:27BBBB-5), shall expedite the permitting approval process for any permits concerning the rehabilitation or demolition of vacant properties.
d. (1) An abandoned property the director deems habitable shall be subject to a tax sale, sheriff sale, or other property auction within one year of a property's designation as abandoned, or within six months of the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill) for properties that have been previously designated as abandoned by the municipality in need of stabilization and recovery.
(2) An abandoned property that the director determines is in need of rehabilitation or demolition shall be subject to a tax sale, sheriff sale, or other property auction after the required work is completed or three years from the date the Department of Community Affairs takes possession of the property's title, whichever is earlier.
e. The director shall have the authority of a "public officer," as defined in section 3 of P.L.2003, c.210 (C.55:19-80), when acting pursuant to the "Abandoned Properties Rehabilitation Act," P.L.2003, 210 (C.55:19-78 et al.).
f. The Commissioner of Community Affairs, in consultation with the Executive Director of the Casino Reinvestment Development Authority, shall submit, for the duration of the pilot program, a biennial report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature, providing the following information:
(1) the number of properties declared vacant or abandoned as a result of the pilot program;
(2) a description of the actions taken to remediate, rehabilitate, or redevelop the vacant or abandoned properties;
(3) the number of properties sold pursuant to the pilot program; and
(4) if the land bank has been established pursuant to section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill), the same information in paragraphs (1) through (3) of this subsection as provided by the land bank.
g. The final report submitted in accordance with subsection f. of this section shall include recommendations from the redevelopment consultant appointed by the director, pursuant to subparagraph (o) of paragraph (3) of subsection a. of section 5 of P.L.2016, c.4 (C.52:27BBBB-5), concerning prospective changes to planning and zoning board development and redevelopment processes in the municipality in need of stabilization and recovery.
2. (New section) a. Within six months of the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), the director, in collaboration with the Executive Director of the Casino Reinvestment Development Authority established pursuant to section 5 of P.L.1984, c.218 (C.5:12-153), shall develop a land bank agreement pursuant to section 5 of P.L.2019, c.159 (C.40A:12A-78), incorporating the provisions of the "New Jersey Land Bank Law," sections 1 through 16 of P.L.2019, c.159 (C.40A:12A-74 et seq.), as appropriate. The land bank agreement shall establish the responsibilities of a land bank entity in acquiring property on behalf of the director in a municipality in need of stabilization and recovery, in addition to any other responsibilities deemed necessary by the director.
b. The director shall determine whether the land bank entity subject to the agreement shall be the Department of Community Affairs, a "nonprofit land bank entity," as defined in section 3 of P.L.2019, c.159 (C.40A:12A-76), or a municipality in need of stabilization and recovery.
c. The director, in collaboration with a municipality in need of stabilization and recovery and the Casino Reinvestment Development Authority, shall determine the date of establishment of the land bank in accordance with the land bank agreement developed pursuant to subsection a. of this section.
d. The redevelopment consultant appointed by the director, pursuant to subparagraph (o) of paragraph (3) of subsection a. of section 5 of P.L.2016, c.4 (C.52:27BBBB-5), shall serve as the executive director of the land bank.
3. Section 5 of P.L.2016, c.4 (C.52:27BBBB-5) is amended to read as follows:
5. a. (1) Notwithstanding the provisions of any law, rule, or regulation to the contrary, if the municipality in need of stabilization and recovery fails to submit a plan, if the commissioner has determined pursuant to subsection c. of section 4 of P.L.2016, c.4 (C.52:27BBBB-4) that the recovery plan is not likely to achieve financial stability for the municipality in need of stabilization and recovery, if the commissioner determines that the municipality is not strictly complying with a recovery plan approved by the commissioner pursuant to subsection c. of section 4 of P.L.2016, c.4 (C.52:27BBBB-4), or if the commissioner determines that a recovery plan approved by the commissioner pursuant to subsection c. of section 4 of P.L.2016, c.4 (C.52:27BBBB-4) is no longer likely to achieve financial stability, the Local Finance Board may, in its exclusive discretion at any time during which the municipality is deemed a municipality in need of stabilization and recovery, assume and reallocate to, and vest exclusively in the director, or in the Executive Director of the Casino Reinvestment Development Authority for the Atlantic City Tourism District, any of the functions, powers, privileges, and immunities of the governing body of that municipality set forth in any statute, regulation, ordinance, resolution, charter, or contract to which the municipality is a party that are, or may be, substantially related to the fiscal condition or financial rehabilitation and recovery of that municipality. The duration of the transfer of the functions, powers, privileges, and immunities of the governing body shall not exceed the duration of the time the municipality is deemed a municipality in need of stabilization and recovery.
(2) In the event the Local Finance Board assumes and reallocates to the director any function, power, privilege, or immunity of the governing body of a municipality in need of stabilization and recovery set forth in a contract to which that municipality is a party, the municipality shall remain the party to the contract and neither the Local Finance Board nor the director shall assume any contractual obligations or liability arising out of that contract or be subject to any claim for breach of that contract or any other claim related to that contract. Any actions or steps taken by the director under P.L.2016, c.4 (C.52:27BBBB-1 et al.) shall be deemed to be by, and on behalf of, the municipality in need of stabilization.
(3) The authorities granted to the director by the Local Finance Board pursuant to this section shall extend to any and all actions that, in the exclusive discretion of the director, may help stabilize the finances, restructure the debts, or assist in the financial rehabilitation and recovery of the municipality in need of stabilization and recovery. Notwithstanding the provisions of any other law, rule, regulation, or contract to the contrary, except for the provisions of Title 11A, Civil Service as may be applicable to actions taken after the effective date of P.L.2021, c.124 (C.52:27BBBB-4 et al.), the director shall have the authority to take any steps to stabilize the finances, restructure the debts, or assist in the financial rehabilitation and recovery of the municipality in need of stabilization and recovery, including, but not limited to:
(a) implementing governmental, administrative, and operational efficiency and oversight measures;
(b) dissolving, terminating, transferring, abolishing, or otherwise disposing of any municipal authority, board, commission, or department, or any function thereof, provided, however, that no such action shall be taken until adequate provision has been made for the payment of the creditors or obligees of the entity to be impacted unless otherwise permitted by law. This shall include the power to take any steps required of the governing body under applicable laws, including, but not limited to, the "municipal and county utilities authorities law," P.L.1957, c.183 (C.40:14B-1 et seq.), the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.), the "Water Infrastructure Protection Act," P.L.2015, c.18 (C.58:30-1 et seq.), the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et seq.), and the "Municipal Land Use Law," P.L.1975, c.291 (C.40:55D-1 et seq.), including, but not limited to, and notwithstanding P.L.2011, c.18 (C.5:12-218 et al.), the authority of the director to facilitate the realignment and reorganization of the municipality's zoning or planning boards and to establish procedures and practices that, in the director's discretion, enhance, streamline, and improve the municipality's redevelopment processes, including facilitating the appointment and retention of a master developer to assist in the redevelopment process. To the extent that the Local Finance Board or the director exercise any powers under the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.) with respect to any municipal authority or municipal public utility in the municipality in need of stabilization and recovery;
(c) vetoing the minutes of the governing body of the municipality in need of stabilization and recovery, any board, commission, or department of the municipality in need of stabilization and recovery, and any independent board or authority in the municipality in need of stabilization and recovery, including, but not limited to, the housing authority, parking authority, redevelopment authority, Casino Reinvestment Development Authority, if applicable as related to the master plan in the municipality in need of stabilization and recovery, planning board, and zoning board of adjustment. A true copy of the minutes of every meeting of the governing body and any board, commission, department, or independent board, or authority shall be delivered forthwith, by and under the certification of the secretary thereof, to the director. No action taken at the meeting shall have force or effect until 15 business days after a copy of the minutes have been so delivered to the director, unless during this 15-day period the director shall approve in writing the minutes or any part thereof, in which case the action shall become effective upon approval. If, within that 15-day period, the director returns a copy of the minutes with a veto of any action taken by the governing body, board, commission, department, or independent board or authority, or any member thereof at the meeting, the action shall be null and void and of no effect. The director may approve all or part of the action taken at a meeting;
(d) controlling litigation and the municipality's legal affairs, including, but not limited to, suing in the municipality's corporate name; prosecuting, defending, and resolving litigation, arbitration, disputes, and controversies; and retaining and directing municipal corporation counsel and other special counsel as the director may deem appropriate;
(e) selling, conveying, leasing, monetizing, or otherwise disposing of any interest in any municipally owned assets, including, but not limited to, any water, sewer, wastewater, and storm water infrastructure, equipment or facilities, services, and in any real property, including any improvements thereon; provided that the director shall not sell, convey, lease, monetize, or otherwise dispose of any municipally owned water asset pursuant to an agreement with a private entity until one year after the effective date of P.L.2016, c.4 (C.52:27BBBB-1 et al.) to allow the municipality in need of stabilization and recovery to maximize the value of that asset;
(f) amending or terminating any existing contracts or agreements, which shall not include bonds, notes, indentures, or other similar financing instruments and documents to which the municipality is a party, in accordance with the terms thereof, or unilaterally amending or terminating any contracts or agreements which shall not include bonds, notes, indentures, or other similar financing instruments and documents to which the municipality is a party, provided that the director determines that the unilateral termination or amendment is reasonable and directly related to stabilizing the finances or assisting with the fiscal rehabilitation and recovery of the municipality in need of stabilization and recovery;
(g) unilaterally modifying, amending, or terminating any collective negotiations agreements, except those related to school districts, to which the municipality is a party, or unilaterally modifying, amending, or terminating the terms and conditions of employment during the term of any applicable collective negotiations agreement, or both, provided that the director determines that the modifications, amendments, or terminations are reasonable and directly related to stabilizing the finances or assisting with the fiscal rehabilitation and recovery of the municipality in need of stabilization and recovery;
(h) acting as the sole agent in collective negotiations on behalf of the municipality in need of stabilization and recovery;
(i) with respect to any expired collective negotiations agreement to which the municipality in need of stabilization and recovery is a party, unilaterally modifying wages, hours, or any other terms and conditions of employment;
(j) unilaterally abolishing any non-elected positions in the municipality in need of stabilization and recovery at any time. All of the functions, powers, and duties of abolished positions shall be exercised or delegated by the director;
(k) unilaterally appointing, transferring, or removing employees of the municipality in need of stabilization and recovery, including, but not limited to, department heads and division heads, as the case may be, but excluding appointed officials who have obtained tenure in office;
(l) acting as the appropriate authority, including, without limitation, the appointing authority, for purposes of Title 40A of the New Jersey Statutes;
(m) entering into any agreement with the county in which the municipality in need of stabilization and recovery is located, any of the other municipalities located in that county, or any instrumentality of the State to share or consolidate municipal services pursuant to any law applicable to consolidation or sharing of services, including, without limitation, the "Uniform Shared Services and Consolidation Act," P.L.2007, c.63 (C.40A:65-1 et al.) and P.L.2015, c.279 (C.40A:14-90.1 et al.);
(n) procuring any goods, services, commodities, information technology, software, hardware, or other items on behalf of the municipality in need of stabilization and recovery, in accordance with either the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.), or procurement laws applicable to the State, at the discretion of the director;
(o) retaining any professionals on behalf of the municipality in need of stabilization and recovery, including, but not limited to, a master redeveloper [or redevelopment consultant], and the appointment of a redevelopment consultant, who shall be a resident of the municipality in need of stabilization and recovery, within 30 days of enactment of P.L. , c. (C. ) (pending before the Legislature as this bill), and directing the work of professionals or any professionals previously retained by the municipality in need of stabilization and recovery, in accordance with either the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.) or procurement laws applicable to the State, at the discretion of the director;
(p) retaining bond counsel, adopting bond ordinances to the extent necessary, making appropriate bond applications, and taking any other steps necessary to restructure and adjust debt, on behalf of the municipality in need of stabilization and recovery;
(q) exercising on behalf of the municipality in need of stabilization and recovery, notwithstanding P.L.2011, c.18 (C.5:12-218 et al.), any authority granted to a municipality pursuant to the "Local Redevelopment and Housing Law," P.L.1992, c.79 (C.40A:12A-1 et al.) when the director deems it necessary or appropriate to help stabilize the finances, restructure the debts, or assist with the financial rehabilitation and recovery of the municipality in need of stabilization and recovery;
(r) exercising on behalf of the municipality in need of stabilization and recovery any authority granted to a municipality pursuant to the "Redevelopment Area Bond Financing Law," P.L.2001, c.310 (C.40A:12A-64 et seq.) when the director deems it necessary or appropriate to help stabilize the finances, restructure the debts, or assist with the financial rehabilitation and recovery of the municipality in need of stabilization and recovery;
(s) exercising on behalf of the municipality in need of stabilization and recovery any authority granted to a municipality pursuant to the "Long Term Tax Exemption Law," P.L.1991, c.431 (C.40A:20-1 et seq.) and the "Five-Year Exemption and Abatement Law," P.L.1991, c.441 (C. 40A:21-1 et seq.) when the director deems it necessary or appropriate to help stabilize the finances, restructure the debts, or assist the financial rehabilitation and recovery of the municipality in need of stabilization and recovery;
(t) authorizing and filing, on behalf of the municipality in need of stabilization and recovery, subject only to the written approval of the majority of the members of the legislative Joint Budget Oversight Committee, a petition and other pleadings and papers with any United States court or federal bankruptcy court for the purpose of effecting a plan of readjustment or composition of debts, as set forth in R.S.52:27-40 et seq., and taking any other and further actions necessary or appropriate in connection with any case or proceeding; and
(u) negotiating and executing any contracts, agreements, or other documents on behalf of the municipality in need of stabilization and recovery as may be necessary or appropriate to effectuate any of the actions or steps specifically identified in P.L.2016, c.4 (C.52:27BBBB-1 et al.) or that may otherwise, as the director deems necessary or appropriate, help stabilize the finances, restructure the debts, or assist with the financial rehabilitation and recovery of the municipality in need of stabilization and recovery.
(4) Subject to subsection b. of section 11 of P.L.2016, c.4 (C.52:27BBBB-9), the Local Finance Board may authorize the director to take any action authorized to be taken under the "Local Bond Law," N.J.S.40A:2-1 et seq., and the "Municipal Qualified Bond Act," P.L.1976, c.38 (C.40A:3-1 et seq.) by a governing body of a local unit.
(5) The provisions of P.L.1941, c.100 (C.34:13A-1 et seq.), and regulations promulgated thereunder, shall in no way infringe on the authority of the Local Finance Board or the director set forth in this section or any actions taken by the director pursuant to this section.
(6) Any function, power, privilege, or immunity of the municipal governing body that is not assumed by the Local Finance Board and reallocated to and vested exclusively in the director pursuant to this section shall remain allocated to and vested in that governing body unless and until such time as the function, power, privilege, immunity, or duty may be allocated to and vested exclusively in the Local Finance Board or the director pursuant to this section. The Local Finance Board or the director may exercise any power implied or incidental to a power that has been specifically allocated.
b. (1) Notwithstanding the provisions of any law, rule, or regulation to the contrary, including any requirements set forth in R.S.40:49-1 et seq., the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.), or R.S.52:27-41, the director shall have the exclusive authority to pass, adopt, repeal, or amend any ordinance or resolution of the municipality in need of stabilization and recovery, modify any meeting agenda of the governing body of the municipality in need of stabilization and recovery, and negotiate, enter into, amend, or terminate any contract or agreement, on behalf of the municipality in need of stabilization and recovery, provided that the director deems the action necessary or appropriate to help stabilize the finances, restructure the debts, or assist with the financial rehabilitation and recovery of the municipality in need of stabilization and recovery.
(2) When exercising powers under this section, the director shall, to the extent practicable, comply with all notice, hearing, and other requirements to which the municipality in need of stabilization and recovery is generally subject, but in no instance shall the director be deemed a "public body" pursuant to the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.).
(3) The director may issue to the appropriate elected and appointed officials and employees, agents, and contractors of a municipality in need of stabilization and recovery the orders that the director deems appropriate to stabilize the finances, restructure the debts, or assist the financial rehabilitation and recovery of the municipality in need of stabilization and recovery pursuant to the authority granted by the Local Finance Board pursuant to this section. Any order by the director shall be binding on the appropriate elected and appointed officials and employees, agents, and contractors of a municipality in need of stabilization and recovery and may be enforced as other orders of the director are enforced under general law
(cf: P.L.2025, c.324, s.2)
4. Section 12 of P.L.1984, c.218 (C.5:12-160) is amended to read as follows:
12. The purposes of the Casino Reinvestment Development Authority shall be:
a. to maintain public confidence in the casino gaming industry as a unique tool of urban redevelopment for the city of Atlantic City and to directly facilitate the redevelopment of existing blighted areas and to address the pressing social and economic needs of the residents of the city of Atlantic City and the State of New Jersey by providing eligible projects in which licensees shall invest;
b. to provide licensees with an effective method of encouraging new capital investment in Atlantic City which investment capital would not otherwise be attracted by major casino-hotel convention complexes or by normal market conditions and which will not supplant capital, either public or private, that would otherwise be invested in the city of Atlantic City or in the jurisdiction in which the investment is to be made and which will have the effect of benefiting the public at large and increasing opportunities and choices of those of low and moderate income in particular;
c. to provide, further and promote tourist industries in New Jersey and especially Atlantic county, by providing financial assistance for the planning, acquisition, construction, improvement, maintenance and operation of facilities for the recreation and entertainment of the public which may include an arts center, cultural center, historic site or landmark, or sports center;
d. to provide loans and other financial assistance for the planning, acquisition, construction, reconstruction, demolition, rehabilitation, conversion, repair or alteration of buildings or facilities to provide decent, safe and sanitary dwelling units for persons of low, moderate, median range, and middle income in need of housing, and to provide mortgage financing for such units;
e. to assist in the financing of structures, franchises, equipment and facilities for operation of, expansion of and the development of public transportation or for terminal purposes, including but not limited to development and improvement of port terminal structures, facilities and equipment for public use;
f. to provide loans and other financial assistance for the construction, reconstruction, demolition, rehabilitation, conversion, repair or alteration of convention halls in Atlantic county and the State of New Jersey, including but not limited to office facilities, commercial facilities, community service facilities, parking facilities, hotel facilities and other facilities for the accommodation and entertainment of tourists and visitors;
g. to make loans and assist in the financing of the construction, reconstruction, rehabilitation, repair or acquisition of infrastructure projects, including but not limited to sewage disposal facilities, water facilities, solid waste disposal facilities, roads, highways and bridges;
h. to assist in financing buildings, structures and other property to increase opportunities in manufacturing, industrial, commercial, recreational, retail and service enterprises in the State so as to induce and to accelerate opportunity for employment in these enterprises, particularly of unemployed and underemployed residents of the jurisdiction in which the investment is to be made; to provide loans and other financial assistance for the planning, developing or preservation of new and existing small businesses as well as the planning, acquisition, construction, reconstruction, rehabilitation, conversion or alteration of the facilities that house these enterprises, particularly those which provide services or employment to unemployed or underemployed residents of the State; and to provide loans and other financial assistance to provide employment training and retraining, particularly for unemployed and underemployed residents of the State;
i. to cooperate with and assist local governmental units in financing any eligible project;
j. to encourage investment in, or financing of, any plan, project, facility, or program which directly serves pressing social and economic needs of the residents of the jurisdiction or region in which the investment is to be made, including but not limited to supermarkets, commercial establishments, day care centers, parks and community service centers, and any other plan, project, facility or program which best serves the interest of the public in accordance with section 25 of this 1984 amendatory and supplementary act;
k. to encourage investment in, or financing of, projects which are made as part of a comprehensive plan to improve blighted or redevelopment areas or are targeted to benefit low through middle income residents of the jurisdiction or region in which the investments are to be made;
l. to make loans for those eligible projects according to the projected allocated amounts to be available;
m. to establish and exercise authority over the Atlantic City Tourism District pursuant to the provisions of P.L.2011, c.18 (C.5:12-218 et al.), including administration of the pilot program to acquire abandoned properties pursuant to P.L. , c. (C. ) (pending before the Legislature as this bill).; [and]
n. any combination of the foregoing; and
o. coordinating and consulting with the Division of Local Government Services in the Department of Community Affairs in the administration of the pilot program to acquire abandoned properties pursuant to P.L. , c. (C. ) (pending before the Legislature as this bill) for properties not located within the Atlantic City Tourism District.
(cf: P.L.2011, c.18, s.3)
5. Section 13 of P.L.1984, c.218 (C.5:12-161) is amended to read as follows:
13. The Casino Reinvestment Development Authority shall have the following powers:
a. To adopt and have a common seal and to alter the same at pleasure;
b. To sue or be sued;
c. To acquire, hold, use and dispose of any eligible project in which it is making an investment;
d. To acquire, rent, hold, use, and dispose of other personal property for the purposes of the Casino Reinvestment Development Authority;
e. To acquire by purchase, gift, or otherwise, or lease as lessee, real property or easements or interests therein necessary or useful and convenient for the purposes of the Casino Reinvestment Development Authority which real property, easements or interests may be subject to mortgages, deeds of trust, or other liens or otherwise, and to hold and to use the same, and to dispose of the property so acquired no longer necessary for the purposes of the Casino Reinvestment Development Authority;
f. To make and enforce bylaws or rules and regulations for the management and regulation of its business and affairs and for the use, maintenance, and operation of any facility, and to amend the same;
g. To enter into any agreements or contracts, execute any instruments, and do and perform any acts or things necessary, convenient, or desirable for the purposes of the Casino Reinvestment Development Authority, including the entering into of cooperative purchasing agreements for the purchase of fuel, or other goods or services deemed necessary, convenient, or desirable by a majority vote of the members of the Casino Reinvestment Development Authority, with any governmental unit, including a county or municipal authority, and the entering into of agreements or contracts with any such governmental unit to provide for the payment of principal of and interest on any obligation issued by that governmental unit, the maintenance of necessary reserves in connection with these obligations or the payments under any lease entered into in connection with any eligible project;
h. To determine eligibility for investments in eligible projects in order to accomplish the purposes of the Casino Reinvestment Development Authority;
i. To collect and invest any proceeds received under subsection b. of section 3 and section 14 of this act;
j. To invest in obligations of local governmental units issued to finance eligible projects, provided that the investment shall only be effected through direct negotiation by the Casino Reinvestment Development Authority with the local governmental unit;
k. To make agreements of any kind with any governmental unit or person for the use or operation of all or any part of any eligible project for consideration and for periods of time and upon other terms and conditions as the Casino Reinvestment Development Authority may fix and agree upon, which agreements may include a partnership, limited partnership, joint venture or association in which the Casino Reinvestment Development Authority is a general or limited partner or participant;
l. To require and collect fees and charges as the Casino Reinvestment Development Authority shall determine to be reasonable in connection with the exercise of any power given to the Casino Reinvestment Development Authority under the act;
m. To the extent permitted under a contract of the Casino Reinvestment Development Authority with purchasers of its bonds entered into pursuant to section 3 of this 1984 amendatory and supplementary act, to invest and reinvest any of its moneys not required for immediate use, including moneys received for the purchase of its bonds prior to the bonds being issued as it shall deem prudent. A pro rata share of 66 2/3 [%] percent of all interest earned by the Casino Reinvestment Development Authority on any such investments shall be paid to the licensees who entered into a contract with the Casino Reinvestment Development Authority for the purchase of its bonds and who contributed to the moneys which were received by the Casino Reinvestment Development Authority and were invested pursuant to this subsection. All functions, powers and duties relating to the investment or reinvestment of these funds, including the purchase, sale or exchange of any investments or securities, may, upon the request of the Casino Reinvestment Development Authority, be exercised and performed by the Director of the Division of Investment, in accordance with written directions of the Casino Reinvestment Development Authority signed by an authorized officer, without regard to any other law relating to investments by the Director of the Division of Investment;
n. To the extent permitted under the contract of the Casino Reinvestment Development Authority with the holders of its bonds, to invest and reinvest any of its moneys not required for immediate use, including proceeds from the sale of any obligations, securities or other investments as it shall deem prudent. All functions, powers and duties relating to the investment or reinvestment of these funds, including the purchase, sale or exchange of any investments or securities, may upon the request of the Casino Reinvestment Development Authority be exercised and performed by the Director of the Division of Investment, in accordance with written directions of the Casino Reinvestment Development Authority signed by an authorized officer, without regard to any other law relating to investments by the Director of the Division of Investment;
o. To enter into all agreements or contracts with any governmental unit or person, execute any instruments, and do and perform any acts or things necessary, convenient or desirable for the purposes of the Casino Reinvestment Development Authority to carry out any power expressly given in this act;
p. To exercise the right of eminent domain in the city of Atlantic City;
q. To establish and exercise authority over the Atlantic City Tourism District established pursuant to section 5 of P.L.2011, c.18 (C.5:12-219) and, in addition to the powers provided in this section, to exercise, with regard to the tourism district, those powers granted to the authority pursuant to P.L.2011, c.18 (C.5:12-218 et al.) and P.L. , c. (C. ) (pending before the Legislature as this bill);
r. To meet and hold hearings at places as it shall designate; and
s. To establish, develop, construct, acquire, own, operate, manage, promote, maintain, repair, reconstruct, restore, improve and otherwise effectuate, either directly or indirectly, through lessees, licensees or agents, projects consisting of facilities, at a site or sites within the State of New Jersey, that are related to, incidental to, necessary for or complementary to, the accomplishment of any of the purposes of the authority or of any project of the authority authorized in accordance with P.L.1984, c.218 (C.5:12-144.1 et seq.), as amended.
(cf: P.L.2013, c.4, s.1)
6. This act shall take
effect immediately.
STATEMENT
This bill adds additional powers to the authority granted to the Director of the Division of Local Government Services (director) in the Department of Community Affairs (DCA), pursuant to the "Municipal Stabilization and Recovery Act," P.L.2016, c.4 (C.52:27BBBB-1 et seq.). Specifically, the bill requires the director, in consultation with the Casino Reinvestment Development Authority (CRDA) established pursuant to section 5 of P.L.1984, c.218 (C.5:12-153), to establish a pilot program to acquire abandoned properties, as determined by the director, in a municipality in need of stabilization and recovery, as determined by the director. The pilot program is to expire on December 1, 2031. The director may delegate any of the pilot program responsibilities to the Executive Director of the CRDA, except that the CRDA is to have the sole responsibility for administration of the pilot program for properties within the Atlantic City Tourism District established pursuant to the provisions of P.L.2011, c.18 (C.5:12-218 et al.). The pilot program is to permit the DCA to acquire an abandoned property through:
(1) purchase or gift; or
(2) the abandoned property acquisition processes established by the "Abandoned Properties Rehabilitation Act," (APRA) P.L.2003, 210 (C.55:19-78 et al.).
The bill requires the director, or Executive Director of the CRDA, as applicable, to establish and maintain a list of abandoned properties, as defined in section 4 of P.L.2003, c.210 (C.55:19-81), by compiling the tax rolls, ground surveys, and any abandoned property list maintained pursuant to the APRA by the municipality in need of stabilization and recovery until the expiration of the pilot program.
The bill provides that, once the director deems the list of abandoned properties complete, the director is to formally designate any property that meets the requirements of being abandoned, pursuant to section 4 of P.L.2003, c.210 (C.55:19-81), as abandoned if the property was not previously designated as abandoned by the municipality in need of stabilization and recovery, and shall use this list in any action to transfer title of the property to the DCA.
The director may conduct, or contract to conduct, rehabilitation or demolition services on any property on the abandoned property list where the DCA has been granted title and the director deems in need of rehabilitation or demolition.
The redevelopment consultant appointed by the director is to expedite the permitting approval process for any permits concerning the rehabilitation or demolition of vacant properties.
The bill provides that an abandoned property the director deems habitable is to be subject to a tax sale, sheriff sale, or other property auction within one year of a property's designation as abandoned, or within six months of the effective date of the bill for properties that have been previously designated as abandoned by the municipality in need of stabilization and recovery. An abandoned property the director determines is in need of rehabilitation or demolition is to be subject to a tax sale, sheriff sale, or other property auction after the required work is completed or three years from the date the DCA takes possession of the property's title, whichever is earlier.
The commissioner is to submit, for the duration of the pilot program, and in consultation with the Executive Director of the CRDA, a biennial report to the Governor and to the Legislature, providing certain information enumerated in the bill. The final report is to include recommendations from the redevelopment consultant appointed by the director concerning prospective changes to planning and zoning board development and redevelopment processes in the municipality in need of stabilization and recovery.
Within six months of the effective date of the bill, the director, in collaboration with the Executive Director of the CRDA, is to develop a land bank agreement pursuant to the "New Jersey Land Bank Law," sections 1 through 16 of P.L.2019, c.159 (C.40A:12A-74 et seq.). The land bank agreement is to establish the responsibilities of a land bank entity in acquiring property on behalf of the director in a municipality in need of stabilization and recovery, in addition to any other responsibilities deemed necessary by the director. The director is to determine whether the land bank entity subject to the agreement is to be the DCA, a "nonprofit land bank entity," as defined in section 3 of P.L.2019, c.159 (C.40A:12A-76), or a municipality in need of stabilization and recovery. The director, in collaboration with a municipality in need of stabilization and recovery and the CRDA, is to determine the date of establishment of the land bank in accordance with the land bank agreement developed pursuant to the bill. The redevelopment consultant is to serve as the executive director of the land bank.
Lastly, the bill amends the "Municipal Stabilization and Recovery Act" to require the director to appoint a redevelopment consultant, who is to be a resident of the municipality in need of stabilization and recovery, within 30 days of the enactment of this bill.
