Bill > A3643

This bill, known as the "Innovate New Jersey Act," aims to foster innovation and economic growth by establishing tax-free business incubators at institutions of higher education, which are defined as public or private universities and colleges. The Act creates an "Innovate New Jersey Program" overseen by the New Jersey Economic Development Authority (NJEDA) and an "Innovate New Jersey Board" comprised of five members with expertise in economic development. This board will review and approve applications from institutions of higher education to designate specific land or vacant space on their campuses as "tax-free New Jersey areas" for business incubation facilities. These facilities will house "qualified new businesses," which are defined as businesses not currently operating in New Jersey, focused on developing innovative technologies, and committed to creating "net new jobs" (jobs new to the state and not transferred from elsewhere in New Jersey). Participating businesses will receive significant tax exemptions for up to five or ten years on various state taxes, including corporate business tax, gross income tax, sales and use tax, and property tax, provided they meet job creation and other eligibility requirements. The Act also establishes an "Innovate New Jersey Grant Fund" to provide financial assistance for startup costs and technical support to businesses within these incubators, and it outlines reporting requirements and penalties for non-compliance or fraudulent activity.