Bill Text: NJ SCR87 | 2016-2017 | Regular Session | Introduced


Bill Title: Amends Constitution to require State to make payments in lieu of taxes to municipalities for certain preserved open space.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2016-03-10 - Introduced in the Senate, Referred to Senate Environment and Energy Committee [SCR87 Detail]

Download: New_Jersey-2016-SCR87-Introduced.html

SENATE CONCURRENT RESOLUTION No. 87

STATE OF NEW JERSEY

217th LEGISLATURE

 

INTRODUCED MARCH 10, 2016

 


 

Sponsored by:

Senator  JEFF VAN DREW

District 1 (Atlantic, Cape May and Cumberland)

 

 

 

 

SYNOPSIS

     Amends Constitution to require State to make payments in lieu of taxes to municipalities for certain preserved open space.

 

CURRENT VERSION OF TEXT

     As introduced.

  


A Concurrent Resolution proposing to amend Article VIII, Section I of the New Jersey Constitution by adding a new paragraph.

 

     Be It Resolved by the Senate of the State of New Jersey (the General Assembly concurring):

 

     1.    The following proposed amendment to the Constitution of the State of New Jersey is agreed to:

 

PROPOSED AMENDMENT

 

     Amend Article VIII, Section I, by adding a new paragraph 8 to read as follows:

     8.    To compensate a municipality for the loss of property tax revenue due to the acquisition and ownership by the State of lands in fee simple for recreation and conservation purposes, or due to the acquisition and ownership of such property by qualifying tax exempt nonprofit organizations that become certified exempt from property taxes pursuant to P.L.1974, c.167 (C.54:4-3.63 et seq.) or similar laws, the State shall pay annually on October 1 to each municipality in which lands are so acquired and owned, an amount at least equal to the amount required pursuant to section 29 or 30, as appropriate, of P.L.1999, c.152 (C.13:8C-29 and C.13:8C-30).

 

     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 Secretary of State, 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:


 

 

CONSTITUTIONAL AMENDMENT TO REQUIRE THE STATE TO MAKE PAYMENTS TO MUNICIPALITIES FOR CERTAIN PRESERVED OPEN SPACE

 

YES

     Do you approve amending the Constitution to require the State to make certain payments to municipalities?  Those payments would be for open space owned by the State or certain nonprofit organizations.

 

 

INTERPRETIVE STATEMENT

 

NO

 

 

 

 

 

 

 

 

     Currently, the Constitution does not require the State to pay property taxes or make other kinds of payments to municipalities for open space owned by the State or certain nonprofits.  This amendment would require the State to make such payments.  Open space includes lands protecting water supplies and lands prone to flooding. These payments would compensate municipalities for a loss of property tax revenue due to the ownership of open space within the municipality by the State or certain nonprofits.  Such properties are not subject to property taxes.

 

 

STATEMENT

 

     This constitutional amendment would require the State to make payments in lieu of taxes (PILOT) to municipalities for open space acquired and owned in fee simple by the State or certain nonprofit organizations.

     The "Garden State Preservation Trust Act" (act), P.L.1999, c.152 (C.13:8C-1 et al.), established a sliding scale formula for PILOTS by the State for open space acquired and owned in fee simple by the State or nonprofit organizations.  Initially, for such acquisitions pursuant to the Garden State Preservation Trust Act, the act provided a 13-year declining payment schedule similar to that used in past Green Acres bond acts.  Under that schedule, a municipality, in the first year following acquisition of land, is to receive 100% of the property taxes last assessed and paid by the taxpayer in the prior year.  This amount declines by approximately 8% per year in each of the following 12 years.  After the 13th year, and for open space acquired prior to or after implementation of the Garden State Preservation Trust Act using other funding sources and owned in fee simple by the State or nonprofit organizations, PILOTS are to be based upon the total amount of open space owned in fee simple by the State or nonprofit organizations in the municipality, using a sliding scale, as follows:  $2 per acre when the percentage of the total acreage in a municipality that is owned in fee simple by the State or nonprofit organizations for open space preservation purposes is less than 20%; $5 per acre for 20% to less than 40% ownership; $10 per acre for 40% to less than 60% ownership; and $20 per acre for 60% or more ownership. 

     Approval of this amendment by the voters would guarantee PILOTS to municipalities based upon the amount of open space acquired and owned in fee simple by the State or nonprofit organizations within each municipality, at an amount at least equal to the amount required pursuant to section 29 or 30, as appropriate, of P.L.1999, c.152 (C.13:8C-29 and C.13:8C-30). 

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