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Bill > S5003


NJ S5003

NJ S5003
Prohibits agreements intended to conceal certain information concerning the development of data centers under MLUL.


summary

Introduced
12/15/2025
In Committee
12/15/2025
Crossed Over
Passed
Dead
01/12/2026

Introduced Session

2024-2025 Regular Session

Bill Summary

This bill expressly prohibits applicants, including any agent of an applicant, for the development of a data center, as defined in the bill, from entering into agreements, commonly known as non-disclosure agreements, with approving authorities, municipal agencies, and property sellers. The bill provides that these agreements are against public policy and unenforceable. The bill also provides that an applicant is to attest that at no time did the buyer, or any agent of the buyer, of the real property proposed for development, the developer, or any other party involved in the real estate transaction, enter into any agreement, including a non-disclosure agreement, with the seller that had the purpose or effect of concealing the details, or preventing public review, of the development plans for the property if the applicant is developing a data center. An approving authority or municipal agency is not to approve a minor site plan, minor subdivision, site plan, or subdivision, or grant any other approval required by an approving authority, municipal agency, or enforcing agency, if the applicant violates a provision of this bill. Nothing in this bill is to construed to implicitly permit an applicant from entering into any agreement, including a non-disclosure agreement, that has the purpose or effect of concealing the details, or preventing public review, for the development of any structure other than a data center, to the extent that the "Senator Byron M. Baer Open Public Meetings Act," P.L.1975, c.231 (C.10:4-6 et seq.), or any other law, prohibits these practices.

AI Summary

This bill prohibits non-disclosure agreements (NDAs) in the context of data center development, defining a data center as a facility primarily used for storing, managing, and processing digital data, including computer systems, network equipment, and related infrastructure. The bill prevents applicants and their agents from entering into any agreements with approving authorities, municipal agencies, or property sellers that could conceal development details or prevent public review, deeming such agreements against public policy and unenforceable. Applicants must attest that no parties involved in the real estate transaction have entered into NDAs that would hide development plans, and approving authorities are prohibited from granting any development approvals if an applicant violates these provisions. Importantly, the bill clarifies that these restrictions specifically apply to data center developments and do not create a broader implicit permission to use NDAs for concealing details of other types of developments, while still respecting existing open meeting laws like the Senator Byron M. Baer Open Public Meetings Act. The bill aims to increase transparency in the development process for data centers by ensuring that all relevant information is available for public review.

Committee Categories

Housing and Urban Affairs

Sponsors (1)

Last Action

Introduced in the Senate, Referred to Senate Community and Urban Affairs Committee (on 12/15/2025)

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