N.J. Admin. Code § 2:76-6.23

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

Section 2:76-6.23 - Determination of the Committee's cost share for a development easement on lands acquired in fee simple title by a government entity

(a) In order for a board and/or county or municipality that has acquired land in fee simple title for farmland preservation purposes to be eligible for a cost share grant for the purchase of a development easement as a partial interest in the fee simple title, the board and/or county or municipality shall submit an application to the Committee pursuant to this subchapter within three consecutive funding rounds (see 2:76-6.5(g) ), or within three years of the date of acquisition for any other permanent farmland preservation program.

(b) Where the government entity has not yet resold the premises with deed restrictions at the time the Committee provides its cost share grant, the Committee shall base the amount of its cost share grant on either the development easement value determined pursuant to N.J.A.C. 2:76-10 and certified by the Committee, or the purchase price of the premises paid by the board and/or county or municipality minus the certified "after" value of the restricted premises, whichever is less. In the case of a municipal transaction, the development easement value or purchase price shall be adjusted to include any municipal interest costs incurred as defined at 2:76-6.1 1(d).

1. Grant agreements governing transactions described in (b) above, shall provide that, if the government entity receiving the grant sells the restricted premises for more than the "after" value used to calculate the grant amount, the government entity shall reimburse to the Committee any funds previously paid by the Committee for the development easement on a pro rata basis up to the amount of the cost share grant, within 30 days of the government entity's resale of the restricted premises.

2. Failure to comply with this provision may result in the Committee filing a petition with the Department of Treasury, Division of Taxation to withhold approval of the government entity's budget for the next fiscal year.

(c) In those instances where the government entity resold the restricted premises prior to the Committee providing its cost share grant, the Committee shall base its cost share grant on the development easement value determined pursuant to N.J.A.C. 2:76-10 and certified by the Committee, on the purchase price of the premises paid by the board and/or county or municipality minus the certified "after" value of the restricted premises or on the purchase price paid by the government entity less the payment received for the resale of the restricted premises, whichever is less. In the case of a municipal transaction, the easement value or purchase price shall include any municipal interest costs incurred as defined at 2:76-6.1 1(d).

N.J. Admin. Code § 2:76-6.23

New Rule, R.2007 d.197, effective 7/2/2007.
See: 38 N.J.R. 4929(a), 39 N.J.R. 2483(a).