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Bill > A171
NJ A171
NJ A171Establishes Main Street Economic Growth Program to encourage business development in certain small municipalities.
summary
Introduced
01/13/2026
01/13/2026
In Committee
01/13/2026
01/13/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 Regular Session
Bill Summary
This bill establishes the Main Street Economic Growth Program (program) for the purpose of providing financial and technical assistance to businesses located in main street areas within certain small municipalities. The bill's purpose is to encourage business development along traditional main streets of less-populated municipalities. The bill directs the New Jersey Economic Development Authority (EDA) to establish the program, in consultation with the Department of Community Affairs and the New Jersey Business Action Center. The bill authorizes the governing body of a small municipality to designate a "Main Street area" within the municipality. This designation would set forth the municipality's policy and plan for addressing the economic conditions in the Main Street area. Specifically, the bill defines "small municipality" as any municipality with a population under 11,000, and which municipality either: (1) is designated as a county seat; (2) contains an opportunity zone; or (3) is over 70 percent developed, according to a Department of Environmental Protection data set. The bill provides for corporation business tax credits and gross income tax credits for businesses located in a Main Street area that participate in the program based upon criteria to be determined by EDA. The bill provides that the credits be equal to 15 percent of the cost of employee compensation expenses related to meeting the employment criteria developed by EDA pursuant to the bill. The bill also requires the EDA to establish the Main Street Economic Growth Assistance Fund for the purpose of providing loans, loan guarantees, and technical assistance to area businesses located within the designated Main Street area of a participating small municipality. Under the bill, the EDA is permitted to decide the terms of any loan or loan guarantee, as well as the amount of any technical assistance, that is provided through the program. The bill requires the EDA to issue an annual report to the Governor and Legislature on the program and to adopt rules and regulations to implement the program.
AI Summary
This bill establishes the Main Street Economic Growth Program to support businesses in designated "Main Street areas" within specific small municipalities, defined as those with under 11,000 residents that are also county seats, contain an "opportunity zone" (a federally designated low-income area), or are over 70% developed according to state data. The New Jersey Economic Development Authority (EDA) will oversee this program, offering financial aid like loans and loan guarantees, as well as technical assistance, funded by a dedicated "Main Street Economic Growth Assistance Fund." To encourage participation, businesses in these Main Street areas can receive tax credits, specifically a credit equal to 15% of their employee compensation expenses related to meeting program employment criteria, which can be carried forward for up to seven years. Municipalities will have the authority to designate these Main Street areas and develop plans to revitalize them, with the EDA required to report annually on the program's progress and establish necessary regulations.
Committee Categories
Business and Industry
Sponsors (2)
Last Action
Introduced, Referred to Assembly Commerce and Economic Development Committee (on 01/13/2026)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2026/A171 |
| BillText | https://pub.njleg.gov/Bills/2026/A0500/171_I1.HTM |
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