[HISTORY: Adopted by Borough Council of Borough of Wenonah as indicated in article histories.[1] Amendments noted where applicable.]
[1]
Editor’s Note: Former Ch. 60, Tax Exemption: Tangible Household Personal Property, adopted 12-8-1960, was repealed 12-29-1983.
[Adopted 10-22-2020 by Ord. No. 2020-16[1]]
[1]
Editor's Note: This ordinance provided that it become effective 11-1-2020.
The definitions of the terms used in this article shall be the same as they appear in N.J.S.A. 40A:21-1 et seq. and therefore are:
ABATEMENT
That portion of the assessed value of the 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.
ASSESSOR
The officer of the Gloucester County Office of Assessment charged with the duty of assessing real property in the Borough of Wenonah for the purpose of general taxation.
COMPLETION
Substantially ready for the intended use for which a building or structure is constructed, improved or converted.
CONSTRUCTION
The provision of a new dwelling, multiple dwelling or commercial or industrial structure or the enlargement of the volume of any existing multiple dwelling or commercial or industrial structure by more than 30% but which shall remain the conversion of an existing building or structure or another use.
COST
When used with respect to abatements for dwellings or multiple dwellings, the only cost or fair market value of direct labor and materials used in approving 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 contractors' 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.
DWELLING
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 (multiple dwelling) pursuant to the Hotel and Multiple Dwelling Law, P.L. 1967, c. 76 (N.J.S.A. 55:13A-1 et seq.). A dwelling shall include, as they are separate 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 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. 1963, c. 168 (N.J.S.A. 46:8A-1 et seq.), or at the Condominium Act, P.L. 1969, c. 157 (N.J.S.A. 46:8B-1 et seq.), or of a cooperative, if the residential units are owned separately.
EXEMPTION
That portion of the Assessor's full and true value of any improvements, conversion, alteration or construction not regarded as increasing the taxable value of a property pursuant to this article.
IMPROVEMENT
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 a 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.
A. 
Exemption from taxation of improvements to dwellings. The municipality shall regard the first $25,000 in the Assessor's full and true value of improvements made to each such dwelling unit primarily and directly affected by the improvements in any property more than 20 years old which shall not increase the value of such property for a period of five years, notwithstanding that the value of the dwelling to which said improvements are made has increased.
B. 
After the full fifth tax year, the value of such improvements shall be assessed and taxed at 100% of the taxes otherwise due for the sixth full tax year and each year thereafter. During the exemption period, the assessment of the property shall not be less than the assessment thereon existing immediately prior the improvements, unless there is damage to the dwelling through the action of the elements sufficient to warrant a reduction.
Additional improvements completed during the period for which the improved property is subject to the previously granted exemption in an amount less than the maximum deduction permissible shall be qualified for additional deduction privileges, under the terms and conditions, however, that in no tax year shall total deductions for any single property exceed $25,000.
Applicants for tax exemption and abatement for construction of commercial or industrial structures shall provide the Borough Council with an application setting forth the following:
A. 
A general description of a project for which exemption and abatement is sought.
B. 
A legal description of all real estate necessary for the project.
C. 
Plans, drawings and other documents as may be required by the governing body to demonstrate the structure and design of the project.
D. 
Estimates of the cost of completing such projects.
E. 
A statement showing:
(1) 
The real property taxes currently being assessed at the project site;
(2) 
Estimated tax payments that would be made annually by the applicant on the project during the period of the agreement; and
(3) 
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.
F. 
Such other pertinent information as the governing body may require.
At the termination of an agreement for tax exemption or abatement authorized pursuant to this article, the project shall be subject to all applicable real estate taxes as provided by state and local laws and regulations, provided that nothing herein shall be deemed to prohibit the project or improvement, a determination of an agreement authorized pursuant to this article, to qualify for and receive the full benefits of any tax preference as provided by law.
A. 
All tax agreements entered into by the Borough pursuant to N.J.S.A. 40A:21-9 through 40A:21-12 shall be in effect for no more than five full tax years next following the date of completion of the project.
The Assessor shall determine, on October 1 of the year following the date of the completion of an improvement, conversion, or construction, the true taxable value thereof. Except for projects subject to tax agreement, pursuant to N.J.S.A. 40A:21-9 through 40A:21-12, the amount of tax to be paid for the first full tax year following completion shall be based on the assessed valuation of the property for the previous year, plus any portion of the assessed valuation of the improvement, conversion or construction not allowed an exemption pursuant to this article. Subject to the provisions of this article, the property shall continue to be treated in the appropriate manner for each of the five full tax years subsequent to the original determination by the Assessor.
A. 
No exemption or abatement shall be granted pursuant to this article except upon written application therefor filed with and approved by the County Assessor. Every application shall be on a form prescribed by the municipality and provided for the use of claimants by the Borough of Wenonah and shall be filed with the Assessor within 30 days, including Saturdays, Sundays and holidays, following the completion of the improvement, conversion, alteration or construction. (A copy of the application is attached hereto as Exhibit A.[1])
[1]
Editor's Note: Exhibit A is on file in the Borough offices.
B. 
Every application for exemption, or exemption and abatement, within the Borough of Wenonah which is filed within the time specified shall be approved and allowed by the County Assessor to the degree that the application is consistent with the provisions of this article or tax agreement, provided the improvement, conversion, alteration or construction for which the application is made qualifies as an improvement, a conversion, alteration or construction pursuant to the provisions of this article and a tax agreement, if any.
C. 
The granting of an exemption, or an exemption and abatement, or tax agreement shall be recorded and made a permanent part of the official tax records of the taxing district, which records shall contain a notice of the termination date thereof.
The exemption and abatement of real property taxes provided pursuant to this article shall apply to property taxes levied for municipal purposes, school purposes, county government purposes and for purposes of funding any other property tax exemption or abatement.
The Borough of Wenonah, pursuant to N.J.S.A. 40A:21-20, shall include the notice in the mailing of annual property tax bills to each owner of a dwelling located in the area in which exemptions, or exemptions and abatements, may be allowed pursuant to this article during the first year following adoption of this article.
A. 
The Borough of Wenonah shall report, on or before October of each year, to the Director of the Division of Local Government Services in the Department of Community Affairs and to the Director of the Division of Taxation in the Department of the Treasury in the State of New Jersey, the total amount of real property taxes exempted and the total amount abated within the Borough in the current tax year for each of the following:
(1) 
Improvements of dwellings;
(2) 
Construction of dwellings;
(3) 
Improvements and conversions of multiple dwellings;
(4) 
Improvements of commercial or industrial structures;
(5) 
Construction of multiple dwellings under tax agreements; and
(6) 
Construction of commercial or industrial structures under tax agreements.
B. 
In the case of Subsections A(5) and (6) above, the report shall state instead the total amount of payments made in lieu of taxes according to each formula utilized by the Borough and the difference between that total amount and the total amount of real property taxes which would have been paid on the project had the tax agreement not been in effect for the current tax year.