The Municipal Volunteer Property Tax Reduction Act allows municipalities in New Jersey to establish programs that enable residents aged 60 and older, who have owned and lived in their primary residence for at least 15 years, to volunteer their services in exchange for property tax credits. These credits can amount to a maximum of $1,000 per tax year and are calculated based on the State minimum wage. The bill stipulates that property tax credits earned cannot be carried over to subsequent years and must be applied to the municipal property taxes due for the year in which they are earned. Additionally, volunteers will receive vouchers that can only be used to offset property taxes for municipal purposes on their primary residence, and these vouchers are non-transferable and have no cash value.

The legislation also specifies that municipalities cannot use volunteers for positions that are budgeted for salaries, ensuring that volunteers are only utilized in non-professional, non-salaried roles. Municipalities are required to notify the Director of the Division of Local Government Services about the creation of such programs within three business days of adoption. Furthermore, any resolutions from municipalities under state supervision will require approval from the director to be effective. The bill includes provisions for the immediate implementation of necessary regulations, which will be effective for up to 365 days.