Bill
Bill > A962
NJ A962
Reduces number of manufacturing jobs required to qualify for NJEDA financing and incentive programs.
summary
Introduced
01/09/2024
01/09/2024
In Committee
01/09/2024
01/09/2024
Crossed Over
Passed
Dead
Introduced Session
2024-2025 Regular Session
Bill Summary
This bill reduces by 50 percent, the number of manufacturing jobs required to be eligible for New Jersey Economic Development Authority (EDA) financing and incentive programs. The sales and use tax exemption program permits certain companies to obtain a sales tax exemption certificate for the purchase of items to construct or rehabilitate a new business location. Under the bill, a life science or manufacturing company relocating 125 full-time manufacturing jobs or 250 full-time non-manufacturing jobs may be eligible for the exemption. The program currently requires the relocation of 250 full-time employees regardless of whether the job is a manufacturing job or not. The GROW NJ program provides tax credits to eligible businesses based upon defined job creation and capital investment criteria. Under the bill, the number of full-time jobs that must be created or retained to qualify for the GROW program is reduced by 50 percent for manufacturing jobs, but remains the same for non-manufacturing jobs. The definition of a mega project is altered so that the number of jobs that must be created to qualify as a mega project is reduced by 50 percent for manufacturing jobs, but remains the same for non-manufacturing jobs. The alternate benefit calculation for a GROW project in a Garden State Growth Zone which qualifies for the "Municipal Rehabilitation and Economic Recovery Act," divides the total capital investment by the number of jobs to be created, with the number of full-time manufacturing jobs used in this calculation being reduced by 50 percent for each investment and job creation category used to make the calculation. The Urban Enterprise Zones (UEZ) manufacturers energy sales tax exemption allows UEZ certified manufacturers an exemption from the sales and use tax on electricity and natural gas and its transmission consumed at the UEZ certified location. Under the bill, the employment requirement for a business is reduced from 250 full-time employees, with at least 50 percent being involved in the manufacturing process to 188 full-time employees with at least 33 percent being involved in the manufacturing process.
AI Summary
This bill reduces by 50 percent the number of manufacturing jobs required to be eligible for New Jersey Economic Development Authority (EDA) financing and incentive programs. Specifically, the bill reduces the number of manufacturing jobs required to qualify for the sales and use tax exemption program from 250 full-time jobs to 125 full-time manufacturing jobs or 250 full-time non-manufacturing jobs. The GROW NJ program's job creation and retention requirements for manufacturing jobs are also reduced by 50 percent, while remaining the same for non-manufacturing jobs. The definition of a "mega project" is also altered to reduce the manufacturing job requirements by 50 percent. Additionally, the bill reduces the employment requirement for the Urban Enterprise Zones (UEZ) manufacturers energy sales tax exemption from 250 full-time employees with at least 50 percent involved in manufacturing to 188 full-time employees with at least 33 percent involved in manufacturing.
Committee Categories
Business and Industry
Sponsors (3)
Last Action
Introduced, Referred to Assembly Commerce, Economic Development and Agriculture Committee (on 01/09/2024)
Official Document
bill text
bill summary
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bill summary
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bill summary
Document Type | Source Location |
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State Bill Page | https://www.njleg.state.nj.us/bill-search/2024/A962 |
BillText | https://pub.njleg.gov/Bills/2024/A1000/962_I1.HTM |
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