[HISTORY: Adopted by the Township Council of the Township of Logan as indicated in article histories. Amendments noted where applicable.]
Article I Duplicate Tax Bill Fees
Article II Abatement for Improvements in Redevelopment Zone
[Adopted 12-3-1990 by Ord. No. 28-1990]
As used in this article, the following terms shall have the meanings indicated:
- DUPLICATE COPY
- A duplicate of the original property tax bill, which duplicate is generated by the Tax Collector of Logan Township.
- The holder of a mortgage loan.
- PROPERTY TAX PROCESSING ORGANIZATION
- A person or entity to whom or which a mortgagee or a selling servicing organization sells, assigns or transfers the servicing of a mortgage loan.
If a mortgagee, servicing organization or property tax processing organization requests a duplicate copy of a tax bill, the Tax Collector shall issue a duplicate copy, and shall charge the requesting party as follows:
[Adopted 10-7-2008 by Ord. No. 21-2008]
The purposes of this article are to:
Improve property values.
Foster commercial and economic investment in the Township.
Protect and enhance the Township's attraction to residents, tourists and visitors and serve as a support and stimulus to business and industry.
Provide the Township with the greatest flexibility within the constitutional limitations to address problems of deterioration and economic and social decline while preserving the salient features of existing tax exemption or abatement programs.
Provide initiatives for gainful employment within the Township, as well as maintain, diversify and expand commerce within the Township.
The Township Council hereby determines to utilize the authority granted under Article VIII, Section 1, paragraph 6 of the New Jersey Constitution to establish the eligibility of dwellings, multiple dwellings, commercial and industrial improvements and structures for exemptions and abatements to the maximum degree permitted by N.J.S.A. 40A:21-1 et seq. throughout the area designated as in need of rehabilitation and affected neighboring properties and/or properties identified in the Township's Redevelopment Plan.
As used in this article, the following terms shall have the meanings indicated:
- That portion of the assessed value of a property as it existed prior to construction, improvement or conversion of a building or structure thereon, which is exempted from taxation pursuant to this article.
- AREA IN NEED OF REHABILITATION
- A portion or all of a municipality which has been determined to be an area in need of rehabilitation or redevelopment pursuant to the Local Redevelopment and Housing Law, P.L. 1992, c. 79 (N.J.S.A. 40A:12A-1 et seq.), a blighted area, as determined pursuant to the Blighted Areas Act, P.L. 1949, c. 187 (N.J.S.A. 40:55-21.1 et seq.), or which has been determined to be in need of rehabilitation pursuant to P.L. 1975, c. 104 (N.J.S.A. 54:4-3.72 et seq.), P.L. 1977, c. 12 (N.J.S.A. 54:4-3.95 et seq.), or P.L. 1979, c. 233 (N.J.S.A. 54:4-3.121 et seq.).
- The officer of a taxing district charged with the duty of assessing real property for the purpose of general taxation.
- COMMERCIAL OR INDUSTRIAL STRUCTURE
- A structure or part thereof used for the manufacturing, processing or assembling of material or manufactured products, or for research, office, industrial, commercial, retail, recreational, hotel or motel facilities, or warehousing purposes, or for any combination thereof, which the governing body determines will tend to maintain or provide gainful employment within the municipality, assist in the economic development of the municipality, maintain or increase the tax base of the municipality and maintain or diversify and expand commerce within the municipality. It shall not include any structure or part thereof used or to be used by any business relocated from another qualifying municipality unless: the total square footage of the floor area of the structure or part thereof used or to be used by the business at the new site, together with the total square footage of the land used or to be used by the business at the new site, exceeds the total square footage of that utilized by the business at its current site of operations by at least 10%; and the property that the business is relocating to has been the subject of a remedial action plan costing in excess of $250,000, performed pursuant to an administrative consent order entered into pursuant to authority vested in the Commissioner of Environmental Protection under P.L. 1970, c. 33 (N.J.S.A. 13:1D-1 et seq.), the Water Pollution Control Act, P.L. 1977, c. 74 (N.J.S.A. 58:10A-1 et seq.), the Solid Waste Management Act. P.L. 1970, c. 39 (N.J.S.A. 13:1 E-1 et seq.), and the Spill Compensation and Control Act, P.L. 1976, c. 141 (N.J.S.A. 58:10-23.11 et seq.).
- Substantially ready for the intended use for which a building or structure is constructed, improved or converted.
- A property created or recorded as a condominium pursuant to the Condominium Act, P.L. 1399, c. 257 (N.J.S.A. 46:8B-1 et seq.).
- The provision of a new dwelling, multiple dwelling or commercial or industrial structure, or the enlargement of the volume of an existing multiple dwelling or commercial or industrial structure by more than 30%, but shall not mean the conversion of an existing building or structure to another use.
- CONVERSION OR CONVERSION ALTERATION
- The alteration or renovation of a nonresidential building or structure, or hotel, motel, motor hotel or guesthouse, in such manner as to convert the building or structure from its previous use to use as a dwelling or multiple dwelling.
- A housing corporation or association, wherein the holder of a share or membership interest thereof is entitled to possess and occupy for dwelling purposes a house, apartment, or other unit of housing owned by the corporation or association, or to purchase a unit of housing owned by the corporation or association.
- When used with respect to abatements for dwellings or multiple dwellings, only the cost or fair market value of direct labor and materials used in improving a multiple dwelling, or of converting another building or structure to a multiple dwelling, or of constructing a dwelling, or of converting another building or structure to a dwelling, including any architectural, engineering and contractor's fees associated therewith, as the owner of the property shall cause to be certified to the governing body by an independent and qualified architect, following the completion of the project.
- A building or part of a building used, to be used or held for use as a home or residence, including accessory buildings located on the same premises, together with the land upon which such building or buildings are erected and which may be necessary for the fair enjoyment thereof, but shall not mean any building or part of a building defined as a "multiple dwelling," pursuant to the Hotel and Multiple Dwelling Law, P.L. 1397, c. 76 (N.J.S.A. 55:13A-1 et seq.). A dwelling shall include, as they are separately conveyed to individual owners, individual residences within a cooperative, if purchased separately by the occupants thereof, and individual residences within a horizontal property regime or a condominium, but shall not include general common elements or common elements of such horizontal property regime or condominium as defined pursuant to the Horizontal Property Act, P.L. 1393, c. 168 (N.J.S.A. 46:8A-1 et seq.), or the Condominium Act, P.L. 1399, c. 257 (N.J.S.A. 46:88-1 et seq.), or of a cooperative, if the residential units are owned separately.
- That portion of the Assessor's full and true value of any improvement, conversion alteration or construction not regarded as increasing the taxable value of a property pursuant to this article.
- HORIZONTAL PROPERTY REGIME
- A property submitted to a horizontal property regime pursuant to the Horizontal Property Act, P.L. 1393, c. 168 (N.J.S.A. 46:8A-1 et seq.).
- A modernization, rehabilitation, renovation, alteration or repair which produces a physical change in an existing building or structure that improves the safety, sanitation, decency or attractiveness of the building or structure as a place for human habitation or work and which does not change its permitted use. In the case of a multiple dwelling, it includes only improvements which affect common areas or elements, or three or more dwelling units within the multiple dwelling. In the case of a multiple dwelling or commercial or industrial structure, it shall not include ordinary painting, repairs and replacement of maintenance items, or an enlargement of the volume of an existing structure by more than 30%. In no case shall it include the repair of fire or other damage to a property for which payment of a claim was received by any person from an insurance company at any time during the three-year period immediately preceding the filing of an application pursuant to this article.
- MULTIPLE DWELLING
- A building or structure meeting the definition of "multiple dwelling" set forth in the Hotel and Multiple Dwelling Law, P.L. 1397, c. 76 (N.J.S.A. 55:13A-1 et seq.), and means, for the purpose of improvement or construction the general common elements and common elements of a condominium, a cooperative or a horizontal property regime.
Editor's Note: N.J.S.A. 40:55-21.1 through 40:55-21.14 were repealed by L. 1992, c. 79, § 59. See now N.J.S.A. 40A:12A-1 et seq.
Editor's Note: N.J.S.A. 54:3-72 through 54:3-78 were repealed by L. 1991, c. 441, § 22, effective 1-18-1992. See now N.J.S.A. 40A-21-1 et seq.
Editor's Note: N.J.S.A. 54:4-3.95 through 54:4-3.112 were repealed by L. 1991, c. 441, § 22, effective 1-18-1992. See now N.J.S.A. 40A:21-1 et seq.
Editor's Note: N.J.S.A. 54:4-3.121 through 54:4-3.129 were repealed by L. 1991, c. 441, § 22, effective 1-18-1992. See now N.J.S.A. 40A:21-1 et seq.
This article authorizes the Township of Logan to grant exemptions and abatements to commence and take effect in the 2008 tax year and thereafter.
The Township Council hereby determines to provide for the exemption from taxation of improvements to dwellings more than 20 years old. In determining the value of real property, the Township shall regard the first $25,000 in the Assessor's full and true value of improvements for each dwelling unit primarily and directly affected by the improvements as not increasing the value of the property for a period of five years, notwithstanding that the value of the property to which the improvements are made is increased thereby. During the exemption period, the assessment on the property shall not be less than the assessment thereon existing immediately prior to the improvements, except if an additional abatement is granted for the property pursuant to § 139-8 of this article or there is damage to the dwelling through action of the elements sufficient to warrant a reduction.
The Township Council hereby determines to provide an additional abatement for a dwelling eligible for and receiving an exemption under § 139-7 of this article. The abatement shall be for a period of five years and shall equal 30% of the exemption granted under § 139-7 of this article for each of the five years subject to the abatement.
The Township Council hereby determines to provide for an exemption from taxation of improvements to multiple dwellings or conversions of other buildings and structures, including unutilized public buildings, to multiple dwelling use. The term "improvement" is defined by § 139-5, and includes only changes which affect common areas or elements of three or more dwelling units within a multiple dwelling and does not include ordinary painting, repairs and replacement of maintenance items or an enlargement of the volume of an existing structure by more than 30%. The Township shall regard the Assessor's full and true value of the improvements or conversion alterations as not increasing the value of the property for a period of five years. This exemption is to be granted notwithstanding that the value of the property to which the improvements or conversion alterations are made is increased thereby. During the exemption period, the assessment on the property shall not be less than the assessment existing thereon immediately prior to the improvement or conversion alteration.
The Township Council hereby determines to provide an additional abatement for a dwelling eligible for and receiving an exemption under § 139-9 of this article. The abatement shall be for a period of five years and shall equal 30% of the exemption granted under § 139-9 of this article for each of the five years subject to the abatement.
The Township Council hereby determines to provide an exemption from taxation of improvements to commercial structures. Such an improvement, as defined by § 139-5, shall not include ordinary painting, repairs and replacement items or an enlargement of the volume of the existing structure by more than 30%. The exemption shall be granted for a five-year period and shall not increase the value of the property by the value of the improvement, notwithstanding that the value of the property to which the improvement is made is increased thereby. During the exemption period, the assessment on the property shall not be less than the assessment thereon existing immediately prior to the improvement, unless there is damage to the structure through action of the elements sufficient to warrant a reduction.
The Township Council hereby determines to grant exemption and abatement from taxation for the new construction of commercial and industrial structures pursuant to the procedures set for in N.J.S.A. 40A:21-1 et seq., and in this article.
Applicants for tax exemption and abatement for new construction of commercial and industrial structures shall follow the provisions of § 139-13 and shall provide the Tax Assessor of the Township of Logan with an application, in triplicate, setting forth the following information:
A general description of a project for which exemption and abatement is sought.
A legal description of all real estate necessary for the project.
Plans, drawings and other documents as may be required by the Tax Assessor to demonstrate the structure and design of the project.
A description of the number, classes and type of employees to be employed at the project site within two years of completion of the project.
A statement of the reasons for seeking tax exemption and abatement on the project and a description of the benefits to be realized by the applicant if a tax agreement is granted.
Estimates of the cost of completing such project.
A statement showing the real property taxes currently being assessed at the project site; estimated tax payments that would be made annually by the applicant on the project during the period of the agreement; and estimated tax payments that would be made by the applicant on the project during the first full year following the termination of the tax agreement.
A description of any lease agreement between the applicant and proposed users of the project and a history and description of the users' businesses.
Such other pertinent information as the Township Council may require on a case-by-case basis.
Following the adoption of an ordinance as set forth in § 139-13, authorizing a tax agreement for a particular project, the Township Council and the Tax Assessor of the Township of Logan shall enter into a written agreement with an applicant for the exemption and abatement of local property taxes. The agreement shall provide for the applicant to pay the Township in lieu of full property taxes an amount equal to a percentage of taxes otherwise due according to the following schedule:
In the first full tax year after completion, no payment in lieu of taxes otherwise due.
In the second tax year, an amount not less than 20% of taxes otherwise due.
In the third tax year, an amount not less than 40% of taxes otherwise due.
In the fourth tax year, an amount not less than 60% of taxes otherwise due.
In the fifth tax year, an amount not less than 80% of taxes otherwise due.
All applications for tax abatement shall be made to the Tax Assessor. Upon receipt of a completed application, the Tax Assessor shall:
Review the application. When the Tax Assessor deems the application complete and that the improvement(s) meet the intent and criteria established by N.J.S.A. 40A:21-1 et seq., it shall be forwarded to the Township Council with an advisory report requesting the project be approved.
The Township Council, upon receipt of the report set forth above, shall consider passage of an appropriate tax abatement ordinance for said project.
The Clerk of the Township of Logan is authorized to forward a copy of all executed abatement agreements entered into pursuant to this article to the Director of the Division of Local Government Services in the Department of Community Affairs within 30 days of the date of execution.
Applicants shall be encouraged to apply for tax exemption on improvements prior to the commencement of construction of the improvement, provided that the applicant must file a proper application with the Tax Assessor within 30 days, including Saturdays and Sundays, following the completion of the improvement or the effective date of this article, whichever is later. An abatement that is granted shall take effect upon the issuance of a certificate of occupancy to the owner, 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 abatement.
The added assessment provisions of § 3 of P.L. 1941, c. 397 (N.J.S.A. 54:4-63.3), and the omitted assessment provisions of § 9 of P.L. 1947, c. 413 (N.J.S.A. 54:4-63.20), and § 1 of P.L. 1968, c. 184 (N.J.S.A. 54:4-63.33), shall not be applicable to any property for which the owner-occupant has been granted a tax abatement under this article (N.J.S.A. 40A:21-1 et seq.).
Every properly completed application for exemption of one or more improvements which is filed within 30 days of the completion of the improvement shall be allowed by the Assessor not later than 30 days of its filing.
In the event that a property owner subject to a tax agreement shall become delinquent on local property taxes, ceases to operate or disposes of the property or fails to meet the conditions for qualifying for the abatement during the abatement period, the local property taxes due for all the prior years subject to abatement and for the current year shall be payable as if no exemption or abatement had been granted. The Tax Collector of the Township of Logan shall notify the property owner within 15 days of the date of disqualification of the amount of taxes due. In the event that the subject property has been transferred to a new owner and it is determined that the new owner will continue to use the property pursuant to the qualifying conditions, no tax shall be due, the exemption and abatement shall continue, and the agreement shall remain in effect.
The Township Council hereby determines that an additional improvement, conversion or construction completed on a property already granted a previous exemption or abatement pursuant to this article during the period in which the previous exemption or abatement is in effect shall qualify for an additional exemption or abatement. The additional improvement, conversion or construction shall be considered as separate for purposes of calculating the exemption and abatement, except that the assessed value of any previous improvement, conversion or construction shall be added to the assessed valuation as it was prior to that improvement, conversion or construction for the purpose of determining the assessed value of the property for which any additional abatement is to be subtracted.
No exemption or abatement shall be granted or tax agreement entered into pursuant to this article for any property for which property taxes are delinquent or remain unpaid or for which penalties for nonpayment of taxes are due. As a further condition to granting an exemption or abatement, a property owner shall be required to waive the filing of any tax appeal for the subject property for the life of the exemption/abatement.
Every application submitted pursuant to this article shall be on a form prescribed by the Director of the Division of Taxation and shall be filed with the Tax Assessor of the Township of Logan, as a condition to approval, prior to the Township issuing a building permit.
At the termination of an agreement for tax abatement or exemption authorized pursuant to this article, the project shall be subject to all applicable real property taxes as provided by state laws and regulations and local ordinances, provided that nothing herein shall be deemed to prohibit the project or improvement at the termination of the agreement for tax abatement from qualifying for and receiving the full benefits of any other tax preference provided by law.
All construction that is subject to the approved abatements and exemptions shall be completed within two years after the date of the Township Council approval.
Applicants for abatements and/or exemptions pursuant to this article are in no way relieved from securing the necessary approvals from the appropriate land use board, where applicable, pursuant to the Unified Development Ordinance of the Township of Logan in accordance with the provisions of said ordinances and the Municipal Land Use Law, N.J.S.A. 40:55D-1 et seq.
Editor's Note: The Unified Development Ordinance, adopted 9-6-2005 by Ord. No. 18-2005, as amended, is on file in the Township offices.