The proposed resolution seeks to amend the New Jersey Constitution to establish limitations on the assessment of homestead real property, which is defined as the principal residence of the property owners. Under this amendment, properties would be assessed at their true market value as of January 1 following voter approval, with annual reassessments thereafter. Importantly, any increase in assessed value would be capped at either 3% of the previous year's assessed value or the percentage change in the Consumer Price Index, whichever is lower. Additionally, when ownership of a homestead property changes, it would be reassessed at true value, but subsequent annual increases would again be subject to the established limitations.

Furthermore, the resolution proposes a homestead property tax exemption for up to $50,000 of assessed value. This exemption would include a full property tax exemption on the first $25,000 of assessed value and an exemption from all non-school district property taxes on the next $25,000 of assessed value (from $25,001 to $50,000). The resolution outlines that these changes would require legislative action to implement and would be presented to voters in the next general election for approval.