[Adopted 11-3-2021 by Ord. No. 2021-037]
All terms utilized in this article not specifically defined
herein shall conform to the meanings set forth in the Five-Year Exemption
and Abatement Law (“Act”). For ease of reference, the
definitions set forth in the Act as of the date of the adoption of
this article are attached hereto as Exhibit A. However, if the definitions set forth in the Act shall
be subsequently amended, then the Act, and not Exhibit A, shall control.
The Township hereby determines to utilize the authority granted
under Article VIII, Section I, Paragraph 6 of the New Jersey Constitution
to establish the eligibility of certain dwellings for exemptions,
as provided in this article and as permitted by the Act, throughout
West Milford’s Rehabilitation Areas.
The Township hereby determines to provide for the exemption
from taxation of certain improvements to existing residential properties
occurring within Rehabilitation Areas throughout the Township. To
the extent that a property owner shall apply to the Tax Assessor within
the time period prescribed by the New Jersey Department of Treasury
in accordance with the Act, which currently requires submission within
30 calendar days following completion of the improvements or construction
for which the exemption is sought, and shall provide documentation
to the Tax Assessor, in a form and manner acceptable to the Tax Assessor
and consistent with the Act, of compliance with this section, such
property owner shall be entitled to the relevant exemption enumerated
herein without any need for action by the Township Council.
The Township hereby determines to provide for the exemption
from taxation of certain improvements made to dwellings, on the following
terms and conditions:
A. The term
"dwelling," for purposes of this article, shall include residential
properties and condominium residential units, but not cooperative
(“co-op”) type residential properties.
B. The term
"dwelling," for purposes of this article, shall not include "multiple
dwellings," as defined by the Act.
C. Only residential
properties shall be eligible for the benefit of the tax abatement
under this article.
D. An applicant
must continue to live at the property to continue to receive the benefit
of the tax abatement.
E. The term
"improvements," for purposes of this subsection, shall include rehabilitation,
to include modernization, renovation, alteration or repair which produces
a physical change in an existing building or structure, which improves
the safety, sanitation, decency or attractiveness of the structure
as a place for human habitation, and which does not change its permitted
use.
F. To the extent that a dwelling shall comply with the requirements set forth at Subsections
A through
E, above, in determining the value of real property for each dwelling unit, the Township shall regard the first $15,000 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 any property pursuant to this subsection shall not be less than the assessment thereon existing immediately prior to the improvements, except if there is damage to the dwelling through action of the elements sufficient to warrant a reduction.
G. The Five-Year
Tax Abatement Program for West Milford Rehabilitation Areas”
shall be effective January 1, 2022, and applications shall only be
accepted in the 2022 calendar year.
Upon final passage and publication as provided by law, this
article shall take effect upon final passage, approval and publication
as required by law and shall authorize the Township to grant exemptions
up to a five-year period.