Bill

Bill > A6135


NJ A6135

NJ A6135
Increases amounts of certain payments in lieu of taxes paid for lands owned by State or nonprofit organization for recreation and conservation purposes.


summary

Introduced
12/04/2025
In Committee
12/04/2025
Crossed Over
Passed
Dead
01/12/2026

Introduced Session

2024-2025 Regular Session

Bill Summary

This bill would increase the amounts of certain payments in lieu of taxes (PILOTs) paid for lands owned by the State or a nonprofit organization and preserved for recreation and conservation purposes (open space lands). Current law requires that the State pay a certain amount annually to municipalities, in proportion to the acreage of open space lands in the municipality. Section 29 of P.L.1999, c.152 (C.13:8C-29) applies to lands that are acquired using constitutionally dedicated corporation business tax (CBT) revenues, and requires that, beginning 13 years after the land was acquired, the State pay: (1) $2 per acre to municipalities that are comprised of less than 20 percent open space lands; (2) $5 per acre to municipalities that are comprised of between 20 percent and 40 percent open space lands; (3) $10 per acre to municipalities that are comprised of between 40 percent and 60 percent open space lands; and (4) $20 per acre to municipalities that are comprised of 60 percent open space lands or greater. Section 30 of P.L.1999, c.152 (C.13:8C-30) applies to open space lands that were not acquired using dedicated CBT funding. It establishes the same formula for PILOTs, but applies the formula regardless of when the land was acquired. This bill would increase the per-acre amounts in the formulas in both sections of law to the following: (1) $3 per acre to municipalities that are comprised of less than 20 percent open space lands; (2) $7.50 per acre to municipalities that are comprised of between 20 percent and 40 percent open space lands; (3) $15 per acre to municipalities that are comprised of between 40 percent and 60 percent open space lands; and (4) $40 per acre to municipalities that are comprised of 60 percent open space lands or greater.

AI Summary

This bill increases the amounts of payments in lieu of taxes (PILOTs) that the state must pay to municipalities for lands owned by the state or nonprofit organizations that are preserved for recreation and conservation purposes. Currently, the state pays different per-acre amounts based on the percentage of open space lands in a municipality, with rates ranging from $2 to $20 per acre. The bill raises these rates to $3 to $40 per acre, depending on the percentage of open space. Specifically, for municipalities with less than 20% open space, the payment increases from $2 to $3 per acre; for municipalities with 20-40% open space, the rate increases from $5 to $7.50 per acre; for municipalities with 40-60% open space, the rate increases from $10 to $15 per acre; and for municipalities with 60% or more open space, the rate increases from $20 to $40 per acre. These changes apply to lands acquired using both constitutionally dedicated corporation business tax revenues and other funding sources, ensuring that municipalities receive more compensation for the loss of potential property tax revenue when land is preserved for conservation purposes. The bill takes effect immediately upon enactment.

Committee Categories

Agriculture and Natural Resources

Sponsors (2)

Last Action

Introduced, Referred to Assembly Environment, Natural Resources, and Solid Waste Committee (on 12/04/2025)

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