The proposed bill establishes the "Next New Jersey Manufacturing Program" under the New Jersey Economic Development Authority (EDA) to incentivize in-state manufacturing investments and job creation. The program will provide tax credits to eligible businesses that invest a minimum of $10 million and create at least 20 new full-time jobs, with a focus on advanced manufacturing and clean energy sectors. The bill outlines specific criteria for tax credit eligibility, including maintaining competitive salaries for new employees, adhering to environmental standards, and ensuring compliance with labor regulations. Additionally, it reserves $100 million of the total $500 million in tax credits specifically for clean energy product manufacturers during the first two years.

To ensure accountability, the bill introduces new eligibility criteria, such as requiring businesses to maintain at least 80% of the new employees specified in their project agreements to retain their tax credits. It also allows for the transfer of tax credits to other entities under certain conditions. The legislation sets an overall cap of $11.5 billion on the total value of tax credits awarded over nine years, with specific allocations for various programs, including $2.5 billion for transformative projects under the Aspire Program. The EDA will oversee the program, approving tax credits based on applications and ensuring that the process is streamlined while promoting economic development through targeted incentives.

Statutes affected:
Introduced: 34:1B-362