The bill amends the New Jersey Aspire Program by clarifying key definitions and expanding eligibility criteria for municipalities and developers involved in redevelopment projects. It defines "government-restricted municipality" to include those with a municipal revitalization index distress score of at least 40, as well as municipalities that received urban aid designation in the 2019 fiscal year. The bill introduces new terms related to economic development, such as "collaborative workspace" and "project financing gap," while emphasizing community engagement in redevelopment efforts. Additionally, it specifies that "project cost" for residential projects reserved for low- and moderate-income households will now include certain developer fees and outlines minimum capital contribution requirements.

Moreover, the bill modifies the New Jersey Urban Enterprise Zones Act by establishing tax credit requirements that ensure developers demonstrate a net positive benefit to the State. It introduces a community benefits agreement for projects exceeding $10 million and provides for a five-year tax exemption for improvements made under the Aspire Program. The bill also allows for a phased tax abatement on property improvements and extends reductions in connection fees for water and sewer systems to Aspire Program projects. Overall, these revisions aim to enhance support for low- and moderate-income housing while ensuring compliance with labor and environmental standards, ultimately stimulating economic development in distressed municipalities across New Jersey.

Statutes affected:
Introduced: 34:1B-323, 34:1B-325, 34:1B-326, 34:1B-328, 40:14B-22.3