The proposed resolution seeks to amend the New Jersey Constitution to allow municipalities to implement a property tax system where improvements, such as buildings, are taxed at a lower rate than the land itself. Currently, property taxes in New Jersey are assessed at a single rate for both land and improvements. This amendment would empower the Legislature to create laws that enable municipalities, particularly those in need of infrastructure investment, to adopt ordinances that differentiate tax rates for land and improvements.

The proposed amendment includes provisions for municipalities to have discretion in determining the tax rate differences and allows for a phased implementation of the new tax rates over several years. Additionally, it establishes a process for municipalities to revert to a single-rate property tax system if desired. Once the amendment is finalized, it will be presented to voters in the next general election, ensuring public input on this significant change to the property tax structure.