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, homestead properties would be assessed at their true market value as of January 1 following voter approval, with annual reassessments thereafter. Importantly, any increase in the 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 the annual increase limitations would resume thereafter.

Furthermore, the resolution proposes a homestead property tax exemption on up to $50,000 of a home's 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, effectively providing tax relief for homeowners. The proposed amendment will be submitted to voters at the next general election, ensuring that the public has a say in this significant change to property tax assessment and exemption policies.