This bill amends existing legislation concerning urban renewal entities in New Jersey, with a focus on enhancing financial agreements and ensuring equitable funding for school districts. It mandates that urban renewal entities share certain payments in lieu of property taxes (PILOTs) with local school districts, including regional districts, based on the number of school-age children residing in the projects. Additionally, the bill requires urban renewal entities to submit detailed project applications to municipalities, county officials, and school districts, which must include fiscal plans and estimated costs. The financial agreements must be approved by municipal ordinance and include provisions for profit limitations and performance requirements.

Furthermore, the bill introduces new definitions and clarifies the process for tax exemptions, stipulating that improvements and land acquired by urban renewal entities will be exempt from taxation while requiring annual service charges for public services. Municipalities are obligated to notify school districts and counties when considering property tax exemptions and share relevant ordinances and financial agreements. The bill also emphasizes the importance of transparency by requiring annual audits from urban renewal entities to certify the number of school-age children in the projects, with these reports being shared with the Director of the Division of Local Government Services for public access. Overall, the bill aims to foster collaboration between urban renewal entities, municipalities, and educational institutions, ensuring that local education systems receive adequate funding.

Statutes affected:
Introduced: 40A:20-3, 40A:20-8, 40A:20-9, 40A:20-12, 18A:7F-38, 40A:21-4