[Ord. No. 1444-97 § 1; Ord. No. 1567-98 § I]
The Township of West Orange recognizes that there are residential
and commercial areas within its boundaries that are threatened with
economic decline. There are, however, various New Jersey statutes
which enable municipalities to encourage property owners to improve
their properties by offering them temporary relief from a portion
of their real estate taxes. One such statute is N.J.S.A. 40A:21-1
et seq., i.e., Five-Year Exemption And Abatement Law. This legislation
encourages municipalities to offer certain tax incentives to property
owners as a means of addressing local problems associated with areas
in economic decline. The within section is adopted pursuant to the
authority granted by N.J.S.A. 40A:21-1 et seq.
[Ord. No. 1444-97 § 2; Ord. No. 1567-98 § II]
As used herein the following terms shall mean:
AREA IN NEED OF REHABILITATION
Shall mean a portion or all of an area within the Township
which has been determined by the Township by ordinance to be in need
of rehabilitation or redevelopment pursuant to applicable State or
Federal law. (Attached hereto is a map of such area which is available
for inspection in the Township Clerk's office and not reprinted herewith.)
ASSESSOR
Shall mean the Tax Assessor of the Township.
COMMERCIAL PROPERTIES
Shall mean any property within the area in need of rehabilitation
which shall include all business establishments and all commercial
structures.
COMPLETION
Shall mean substantially ready for the intended use for which
a building or structure is constructed, improved or converted.
CONDOMINIUM
Shall mean a property created or recorded as a condominium
pursuant to the Condominium Act (N.J.S.A. 46:8B-1, et seq.).
CONSTRUCTION
Shall mean the building of a new residential property or
structure or the enlargement of the volume of an existing residential
property by more than 30% but shall not mean the conversion of an
existing building or structure to another use.
CONVERSION OR CONVERSION ALTERATION
Shall mean the alteration or renovation of a building or
structure in such manner as to convert the building or structure from
its previous use to use as residential property.
COOPERATIVE
Shall mean a housing corporation or association, wherein
the holder of a share or membership thereof is entitled to possess
and occupy for residential 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.
EXEMPTION
Shall mean 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 section.
IMPROVEMENT
Shall mean 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 residential property, and which does
not change its permitted use. It shall not include ordinary painting,
repairs and replacement of maintenance items. 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 act. Also in no case shall
it include the modernization, rehabilitation, renovation, alteration
or repair of residential property necessary to secure or maintain
its compliance with any health, safety or construction regulation,
code or statute applicable to residential property within the Township.
MULTIPLE DWELLING
Shall mean a building or structure meeting the definition
of "multiple dwelling" set forth in 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.
RESIDENTIAL PROPERTY
Shall mean any single family detached dwelling, condominium,
cooperative, horizontal property regime, multiple dwelling, apartment
or other form of housing.
TOWNSHIP
Shall mean the Township of West Orange.
[Ord. No. 1444-97 § 5]
If the Township by resolution approves an exemption for any project, the applicant and Township may enter into a written agreement memorializing same. The agreement shall provide that the applicant pay to the Township in lieu of the property tax payments that would otherwise be due on the improvements (not exceeding $25,000 as set forth in subsection
22-1.3) an amount equal to a percentage of taxes otherwise due on the improvements according to the following schedule:
a. In the first full tax year after completion, no payment of taxes
otherwise due;
b. In the second tax year, an amount no less than 20% of taxes otherwise
due;
c. In the third tax year, an amount not less than 40% of taxes otherwise
due;
d. In the fourth tax year, an amount not less than 60% of taxes otherwise
due;
e. In the fifth tax year, an amount not less than 80% of taxes otherwise
due.
[Ord. No. 1444-97 § 9]
Any residential property for which an exemption has already
been granted may also qualify for an additional exemption for any
additional improvement, conversion or construction completed on said
property while the original exemption is still in effect. The additional
improvement, conversion or construction shall be considered as separate
for the purposes of calculating exemptions pursuant to this section.
However, in no year shall the total fair market value of improvements
that qualify for exemption exceed $25,000.
[Ord. No. 1444-97 § 10]
The exemption of real estate taxes subject to this section shall
include all such taxes levied for municipal, school and County government
purposes and for the purposes of funding any other property tax exemptions.
[Ord. No. 1444-97 § 11]
No exemption shall be granted or tax agreement entered into
regarding any property for which real estate taxes are delinquent
or remain unpaid or for which penalties for nonpayment of taxes are
due.
[Ord. No. 1444-97 § 13; Ord. No. 1567-98 § III]
During the first year following adoption of this section notice
of its existence and its salient provisions should be included by
the Township in all annual real estate tax bills mailed to the owners
of residential and commercial property in any area in need of rehabilitation.
[Added 7-13-2021 by Ord. No. 2647-21]
a. Pursuant to N.J.S.A. 24A:6I-10(i) of the Jake Honig Compassionate Use Medical Cannabis Act and N.J.S.A. 40:48I-1(a)(1) of the New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act, there is hereby established a Cannabis Transfer Tax in the Township of West Orange which shall be fixed at a uniform percentage rate of 2% on all sales or transfers of cannabis products from a Licensed Cannabis Entity, as defined in Chapter
5, § 34.2, except for sales or transfers of cannabis products from a Cannabis Wholesaler which shall be taxed at a percentage rate of 1% on all sales or transfers of cannabis products.
b. Pursuant to N.J.S.A. 40:48I-1(a)(2) of the New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act, there is hereby established a Cannabis User Tax in the Township of West Orange at the same rates set forth in subsection
a which shall apply to any Licensed Cannabis Entity which holds concurrent licenses and operating more than one cannabis establishment. This Cannabis User Tax shall apply to the value of each transfer or use of cannabis or cannabis items not otherwise subject to the Cannabis Transfer Tax from the Licensed Cannabis Entity's establishments to any of the other Licensed Cannabis Entity's establishments either without or outside the Township of West Orange.
c. The Cannabis Transfer Tax shall be in addition to any other tax or
fee imposed pursuant to statute, state and federal, or local ordinance
or resolution by any government entity upon a Licensed Cannabis Entity.
d. The tax imposed by this section shall be paid to the Township on
a quarterly basis no later than the 15th day of the month following
the last month of the quarter along with a report certified as true
and accurate by the Chief Financial Officer, Controller or other similarly
situated person showing the gross revenues for the Licensed Cannabis
Entity for each month of the quarter.
e. The Licensed Cannabis Entity operating within the Township shall
filed on an annual basis no later than February 1 of each year a financial
report from an independent accountant certifying as to the annual
revenues for the preceding year.
f. A copy of this section shall be transmitted to the State Treasurer
and to every Licensed Cannabis Entity within the Township of West
Orange.