[Adopted 11-3-2013 by Ord. No. 13-052]
The City of Paterson hereby determines to utilize the "opt-in"
authority granted by P.L. 2013, c. 161 (N.J.S.A. 52:27D-489s) to establish
the eligibility of improvements to real property within the City for
exemptions. The said opt-in shall be construed as a complete opt-in,
such that any rights and duties that the said statute mandates shall
be deemed adopted herein as well.
Pursuant to the authorization contained in N.J.S.A. 52:27D-489s,
the Assessor shall be authorized to grant exemptions for improvements
to real property in the City that are made after the effective date
of this article. The owner of eligible property must obtain a final
certificate of occupancy on or before September 18, 2023.
A.
In determining the value of real property, the City Tax Assessor
shall regard the assessor's full and true value of the improvements
constructed after September 18, 2013, as not increasing the value
of the property, under the following terms:
(1)
For a property owner other than a Garden State Growth Zone Development
Entity, the said value of the improvements constructed after September
18, 2013, shall not increase the value of the property for five years
from the issuance of a final certificate of occupancy.
(2)
For a Garden State Growth Zone Development Entity, which prior to
the issuance of a final certificate of occupancy shall provide to
the assessor proof that it qualifies as such entity, the said value
of the improvements constructed after September 18, 2013, shall not
increase the value of the property for 10 years from the issuance
of a final certificate of occupancy, followed thereafter by payments
in lieu of taxes under the following statutory schedule:
(a)
In the 11th year after completion, 10% of taxes otherwise due
on the said improvements;
(b)
In the 12th year after completion, 20% of taxes otherwise due
on the said improvements;
(c)
In the 13th year after completion, 30% of taxes otherwise due
on the said improvements;
(d)
In the 14th year after completion, 40% of taxes otherwise due
on the said improvements;
(e)
In the 15th year after completion, 50% of taxes otherwise due
on the said improvements;
(f)
In the 16th year after completion, 60% of taxes otherwise due
on the said improvements;
(g)
In the 17th year after completion, 70% of taxes otherwise due
on the said improvements;
(h)
In the 18th year after completion, 80% of taxes otherwise due
on the said improvements;
(i)
In the 19th full year after completion, 90% of taxes otherwise
due on the said improvements;
(j)
In the 20th year after completion, and each year thereafter,
100% of taxes.
B.
An amount not less than 5% of all payments by a Garden State Growth
Zone Development Entity pursuant to this subsection shall be paid
to the county.
A.
The required payments shall be made in quarterly installments according
to the same schedule as real property taxes are due and payable.
B.
In addition to the payments required in lieu of taxes, the owner
of the property granted an exemption pursuant to this article shall
be liable for all real property taxes assessed and levied against
the land on which the improvement is situated, as well as the value
of the improvements on the property in the last full tax year prior
to the issuance of the final certificate of occupancy.
C.
Failure to make the payments set forth in Subsections A or B of this section shall result in the termination of the exemption. In addition to the remedy set forth herein, the requirements imposed shall be enforced in the same manner as is provided for real property taxes pursuant to Title 54 of the Revised Statutes of the State of New Jersey.
Upon the expiration of the tax 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 from
qualifying for and receiving the full benefits of any other tax preference
provided by law.
The exemption of real property taxes provided by the City pursuant
to this article shall apply to property taxes levied for municipal
purposes, school purposes, county government purposes and for the
purpose of funding any other property tax exemptions.
