The bill amends the New Jersey Aspire Program by clarifying definitions and requirements related to redevelopment projects eligible for incentive awards. It expands the definition of "government-restricted municipality" to include specific cities such as Newark, East Orange, and Camden, and introduces new criteria for these municipalities, including a municipal revitalization index distress score of at least 40. The bill also specifies that for projects with 100% of residential units designated for low- and moderate-income households, the "project cost" will encompass certain developer fees. Additionally, it establishes the term "project financing gap" and outlines conditions for developers to qualify for incentive awards, such as compliance with prevailing wage and environmental standards, and reserving at least 20% of residential units for low- and moderate-income households.

Moreover, the bill modifies the New Jersey Urban Enterprise Zones Act to require developers to demonstrate a net positive benefit to the State that exceeds the requested tax credit amount, with allowances for reductions in specific cases. It introduces terms for incentive award agreements, including eligibility periods and community benefits agreements for larger projects. The bill also provides for phased tax abatements on improvements from redevelopment projects, exempting them from taxation for the first five years, and allows for reductions in connection fees for utility services. Lastly, it permits developers to be exempt from prevailing wage requirements if they enter into a project labor agreement, thereby enhancing the program's effectiveness in promoting economic development and community engagement.

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