N.J. Admin. Code § 19:31Z-1.7

Current through Register Vol. 56, No. 12, June 17, 2024

Section 19:31Z-1.7 - Tax credit award amounts

(a) A developer who is eligible pursuant to, and complies with, the Act and this subchapter, shall be allowed a tax credit for an approved redevelopment project that shall not exceed the following limits:

1. For a redevelopment project located in a qualified incentive tract or government-restricted municipality, 60 percent of the actual remediation costs, 60 percent of the projected remediation costs as set forth in the redevelopment agreement, or $ 8 million, whichever is lower.

2. For all other redevelopment projects, 50 percent of the actual remediation costs, 50 percent of the projected remediation costs as set forth in the redevelopment agreement, or $ 4 million, whichever is lower.

(b) The total value of tax credits approved by the Authority shall not exceed the limitations set forth at N.J.S.A. 34:1B-277 through 287. For the purpose of determining the aggregate value of tax credits approved in a fiscal year, a tax credit shall be deemed to have been approved at the time the Authority approves an application for an award of a tax credit. If the Authority approves less than the total amount of tax credits authorized pursuant to this section in a fiscal year, the remaining amount plus any amounts remaining from previous fiscal years shall be added to the limit of subsequent fiscal years until that amount of tax credits are claimed or allowed. Any unapproved, uncertified, or recaptured portion of tax credits during any fiscal year may be carried over and reallocated in succeeding years.

(c) The Authority shall award tax credits to redevelopment projects until either the available tax credits are exhausted or all redevelopment projects that are eligible for a tax credit pursuant to the provisions of the Act and this subchapter receive a tax credit, whichever occurs first. If insufficient funding exists to allow a tax credit to a developer in accordance with the provisions of subsection a. of section 16 at P.L. 2020, c. 156 (N.J.S.A. 34:1B-284) and (a) above, the Authority may offer the developer a value of the tax credit below the amount provided for in subsection a. of section 16 at P.L. 2020, c. 156 (N.J.S.A. 34:1B-284) and (a) above, provided that the developer's application is eligible for a tax credit award with the lower amount.

N.J. Admin. Code § 19:31Z-1.7

Recodified from 19:31-27.7 56 N.J.R. 807(a), effective 5/6/2024