Opposition to ACS 1571/1576 Statement
We, the undersigned Mayors, representing New Jersey communities stand in opposition to Assembly Committee Substitute (“ACS”) A1571 & A1576 in addition to its companion Senate Bill No. 1956 until a time when the legislature has considered and addressed our following concerns:
- As a result of this new mandate, will the State be providing the gap financing necessary to make our redevelopment projects financially viable?
- Likewise, will the State be providing funding to municipalities to re-engage professional services in order to restructure and amend redevelopment plans, redevelopers agreements and financial agreements (costs already born by local taxpayers)?
- How will the State address settlements impacting the much needed and long overdue construction of affordable housing units as those agreements will need to be renegotiated at the local level. Will the State fund the legal costs to the 300+ towns who have approved settlements for their affordable housing obligations?
- Is the State considering new financial tools for local municipalities to attract investment and make projects financially viable or is the expectation that towns will be responsible for these added costs by reducing project revenue to taxpayers or by increasing density, intensity and height of projects and plans moving forward?
- What will happen to community givebacks that were already negotiated in the best interest of local municipalities and under local control (infrastructure upgrades, workforce development programs, environmental remediation, contributions to Affordable Housing Trust Funds, etc.)?
- Has an economic impact assessment been conducted, especially in light of the pandemic and urgent need for economic recovery? If not, can one be undertaken so we can collectively understand the short and long term impacts statewide?
Given the significance of these concerns and many more, we cannot in good faith support this piece of legislation. We welcome the opportunity to speak with Assembly and Senate Representatives to provide perspectives on how tax incentives are being used by our communities and what plans and projects will be in jeopardy with the passage of this bill.
