[Adopted 8-3-1998 by Ord. No. 98-15]
This chapter shall be known as the "Environmental
Opportunity Zone Ordinance of the Borough of Pennington."
As used in this chapter, the following terms
shall have the meanings indicated:
The municipal Tax Assessor of the Borough of Pennington appointed pursuant to the provisions of Chapter 9 of Title 40A of the New Jersey Statutes (N.J.S.A. 40A:9-1 et seq.).
Any discharged hazardous substance as defined pursuant to
Section 3 of P.L. 1976, c. 141 (N.J.S.A. 58:10-23.11b), hazardous
waste as defined pursuant to Section 1 of P.L. 1976, c. 99 (N.J.S.A.
13:1E-38), or pollutant as defined pursuant to Section 3 of P.L. 1977,
c. 74 (N.J.S.A. 58:10A-3).
Any qualified real property that has been designated as an environmental opportunity zone by the governing body in § 188-3 of this chapter.
Any parcel of real property that is now vacant or underutilized,
which is in need of remediation due to a discharge or threatened discharge
of a contaminant, and which is listed in the most recent Department
of Environmental Protection publication of known hazardous discharge
sites in New Jersey prepared pursuant to P.L. 1982, c. 202 (N.J.S.A.
58:10-23.15 et seq.).
All necessary actions to investigate and clean up any known,
suspected or threatened discharge of contaminants, including, as necessary,
the preliminary assessment, site investigation, remedial investigation
and remedial action.
The governing body of the Borough of Pennington
hereby designates the following qualified real properties as environmental
opportunity zones: Block 4.01, Lots 3.01, 4.01 and 12 on the borough's
Tax Map.
In accordance with Section 5 of P.L. 1995, c. 413 (N.J.S.A. 54:4-3.154), the governing body of the Borough of Pennington hereby provides for exemptions of real property taxes for the environmental opportunity zones designated in § 188-3 of this chapter. Such exemptions shall be subject to the terms and conditions set forth in the Environmental Opportunity Zone Act, P.L. 1995, c. 413 (N.J.S.A. 54:4-3.150 et seq.), and the following items:
A.
The property tax exemption shall be for a term of
10 years.
B.
No exemption shall be granted pursuant to the Environmental
Opportunity Zone Act except upon written application filed with the
Assessor of the Borough of Pennington and is approved by the governing
body by resolution. Every application shall be on a form prescribed
by the Director of the Division of Taxation, in the Department of
the Treasury, and provided for the use of claimants by the governing
body of the Borough of Pennington. Every application for an exemption
may be approved and allowed by the governing body to the degree that
the application is consistent with the provisions of this chapter.
The exemption shall not be granted by the governing body until the
owner of the property enters into a memorandum of agreement or administrative
consent order with the Department of Environmental Protection for
the remediation. An exemption that is granted shall take effect upon
the approval by the governing body of the Borough of Pennington, and
it shall be recorded and made a permanent part of the official tax
records of the taxing district, which record shall contain a notice
of the termination date of the exemption. The owner of the property
shall deliver a copy of the approved exemption application to the
Division of Local Government Services in the Department of Community
Affairs.
C.
Payment in lieu of real property taxes may be computed
as a portion of the real property taxes otherwise due, according to
the following schedule:
(1)
In the first tax year following execution of a memorandum
of agreement or administrative consent order, no payment in lieu of
taxes otherwise due.
(2)
In the second tax year following execution of a memorandum
of agreement or administrative consent order, an amount equal to 10%
of taxes otherwise due.
(3)
In the third tax year following execution of a memorandum
of agreement or administrative consent order, an amount equal to 20%
of taxes otherwise due.
(4)
In the fourth tax year following execution of a memorandum
of agreement or administrative consent order, an amount equal to 30%
of taxes otherwise due.
(5)
In the fifth tax year following execution of a memorandum
of agreement or administrative consent order, an amount equal to 40%
of taxes otherwise due.
(6)
In the sixth tax year following execution of a memorandum
of agreement or administrative consent order, an amount equal to 50%
of taxes otherwise due.
(7)
In the seventh tax year following execution of a memorandum
of agreement or administrative consent order, an amount equal to 60%
of taxes otherwise due.
(8)
In the eighth tax year following execution of a memorandum
of agreement or administrative consent order, an amount equal to 70%
of taxes otherwise due.
(9)
In the ninth tax year following execution of a memorandum
of agreement or administrative consent order, an amount equal to 80%
of taxes otherwise due.
(10)
In the tenth and all subsequent years following
execution of a memorandum of agreement or administrative consent order,
the exemption shall expire and the full amount of the assessed real
property taxes, taking into account the value of the real property
in its remedied state, shall be due.
D.
The payments required in Subsection C of this section shall be made in quarterly installments according to the same schedule as real property taxes are due and payable. Failure to make these payments shall result in the termination of the exemption. In addition to the remedy set forth herein, the requirements imposed in Subsection C of this section shall be enforced in the same manner as is provided for real property taxes pursuant to Title 54 of the Revised Statutes.
E.
The exemption applications shall be approved by ordinance
on a per-application basis.
F.
Properties for which real property exemptions under
this chapter are approved shall be remediated in compliance with the
remediation standards adopted by the Department of Environmental Protection
pursuant to P.L. 1993, c. 139 (N.J.S.A. 58:10B-1 et seq.), or as may
be amended. Prior to receiving such real property tax exemption, the
owner of such property shall have entered into a memorandum of agreement
or administrative consent order with the Department to perform the
remediation and will complete the remediation pursuant to the agreement
or order. Once remediated, such property shall be used for a commercial
or industrial purpose during the time period for which the real property
tax exemption is given.[1]
A.
Each approved real property tax exemption shall be evidenced by a financial agreement between the Borough of Pennington and the applicant. The applicant shall prepare the agreement, and it shall contain the applicant's representation that it has complied with the provisions of the Environmental Opportunity Zone Act and this chapter. The agreement shall provide for the applicant to annually pay to the Borough of Pennington an amount in lieu of real property taxes, to be computed according to Subsection B of this section. With the approval of the governing body, the agreement may be assigned to a subsequent owner of the environmental opportunity zone.
B.
Notwithstanding any other provision in P.L. 1995, c.413 (N.J.S.A. 54:4-3.150 et seq.), if at any time the governing body of the Borough of Pennington finds that the memorandum of agreement for remediation of a property that has received real property tax exemption under this chapter has been terminated at the option of the applicant, unless an administrative consent order is issued in its place, or that the conditions in § 188-4 of this chapter, as required in Section 5.3 of P.L. 1995, c. 413 (N.J.S.A. 54:4-3.154 et seq.), are not met, the period of the real property tax exemption shall terminate.
