The proposed resolution seeks to amend the New Jersey Constitution to allow municipalities to tax property improvements at a lower rate than the land itself. Currently, property taxes in New Jersey are assessed at a single rate based on the value of both land and improvements. This amendment would enable the Legislature to create laws that permit municipalities to adopt ordinances allowing for a differentiated tax rate, specifically targeting those municipalities that require infrastructure investment, as determined by legislative standards.

Under the proposed amendment, municipalities would have the discretion to set the tax rate difference between land and improvements and could phase in these adjusted rates over several years. Additionally, the legislation would provide a mechanism for municipalities to revert to a single-rate property tax system if desired. If the amendment is approved, it will be presented to voters in the next general election, ensuring public input on this significant change to the property tax system in New Jersey.