Bill > A3117

Introduced Session

This bill establishes the "Capital Project Development Loan Program" (loan program) within the New Jersey Economic Development Authority (EDA) to provide low-interest loans to support the completion of transformative capital projects. The bill appropriates $300 million from the General Fund to support the loan program. To qualify for the loan program, an applicant would be required to: (1) be a public institution of higher education, a State-owned hospital, a public agency, or a non-profit organization; (2) undertake a transformative capital project, which is defined to include large-scale redevelopment projects that support research and development, health care infrastructure, green infrastructure, or transformational real estate and infrastructure; and (3) meet any other eligibility requirements that the EDA deems appropriate. However, if the applicant is a non-public entity, the applicant would also be required to demonstrate that the project would be operated under a public-private partnership agreement, as approved by the EDA. Under the loan program, the EDA may approve applications on a rolling basis, subject to the availability of funds. When reviewing applications, the bill permits the EDA to prioritize applications based on any considerations that the EDA deems appropriate, including the intent of the project, the economic feasibility of the project, and the degree to which the project advances Statewide and regional planning goals. Upon approval of an application, the EDA would provide low-interest loans to each selected applicant. Under the bill, each loan may mature no later than 30 years after the date of issuance. The bill also provides that if a borrower fails to repay all or part of a program loan, the EDA may disqualify the borrower from future program loans. The bill also requires the EDA to establish and maintain a non-lapsing revolving fund, which would be known as the "Capital Project Development Loan Fund." The revolving fund would serve as the repository of all monies used to support the loan program. Specifically, the $300 million that is appropriated from General Fund under the bill would be deposited into the revolving loan fund.

AI Summary

Committee Categories

Craig Coughlin (D)*,  Joe Danielsen (D)*,  Eliana Pintor Marin (D)*,  Verlina Reynolds-Jackson (D), 

Introduced, Referred to Assembly Commerce, Economic Development and Agriculture Committee (on 01/09/2024)

Official Document