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Bill > ACR58


NJ ACR58

NJ ACR58
Proposes constitutional amendment to allow lower property tax rate on improvements than on land.


summary

Introduced
01/13/2026
In Committee
01/13/2026
Crossed Over
Passed
Dead

Introduced Session

2026-2027 Regular Session

Bill Summary

This resolution proposes a constitutional amendment requiring the Legislature to allow certain municipalities to tax improvements at a lower rate than land. An improvement refers to a building or other man-made condition. Property taxes in New Jersey are collected by municipalities, and are used to fund county, school, municipal, and other local needs. Currently, municipalities are required to apply a single value-based tax rate to both land and improvements. This constitutional amendment directs the Legislature to enact general laws allowing municipalities to adopt ordinances under which improvements are taxed at a lower rate than land. The Legislature may allow all municipalities to participate, or limit participation to municipalities in need of infrastructure investment, according to standards established by the Legislature. The implementing legislation will permit participating municipalities to phase-in the changes over a period of years. The implementing legislation will also establish a method permitting a municipality to return to a single property tax rate system.

AI Summary

This concurrent resolution proposes a constitutional amendment to allow municipalities to tax improvements, which are buildings or other man-made additions to land, at a lower rate than the land itself, a change from the current system where a single tax rate applies to both. Property taxes in New Jersey are collected locally to fund essential services like schools and infrastructure. The amendment directs the Legislature to create laws permitting municipalities to adopt this dual tax rate system, potentially limiting its use to municipalities needing infrastructure investment and allowing for a gradual implementation of the new rates over time, with an option for municipalities to revert to the single tax rate system if they choose.

Committee Categories

Government Affairs

Sponsors (1)

Last Action

Introduced, Referred to Assembly State and Local Government Committee (on 01/13/2026)

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