2682-22 Tax Exemption and Abatement Ordinance.pdf

1 #12938269.1 2682-22 AN ORDINANCE SUPERSEDING AND AMENDING CHAPTER 22, TAXATION, SUBSECTION 1, FIVE-YEAR TAX EXEMPTION FOR CERTAIN IMPROVEMENTS TO RESIDENTIAL AND COMMERCIAL STRUCTURES, OF THE REVISED GENERAL ORDINANCES OF THE TOWNSHIP OF WEST ORANGE BE IT ORDAINED, by the Township Council of the Township of West Orange, in the County of Essex, State of New Jersey as follows: Section 1. Chapter 22, Taxation, Subsection 1, Five-Year Tax Exemption For Certain Improvements To Residential And Commercial Structures, of the Revised General Ordinances of the Township of West Orange is hereby deleted and replaced in its entirety with the following: §22-1 FIVE-YEAR TAX EXEMPTION FOR IMPROVEMENTS TO RESIDENTIAL AND CERTAIN COMMERCIAL STRUCTURES AND PROVIDING FOR AGREEMENTS FOR PAYMENTS IN LIEU OF TAXES FOR CERTAIN COMMERCIAL AND MULTIFAMILY CONSTRUCTION §22-1.1 Policy. 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 and to offer incentives to encourage construction of certain commercial and multifamily uses through tax exemptions and payments in lieu of taxes. One such statute is N.J.S.A. 40A:21-1 et seq., the 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. §22-1.2 Definitions. The following words and terms, when used in this chapter, shall have the following meanings unless the context clearly indicates otherwise: ABATEMENT — Shall mean 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 chapter. AREA IN NEED OF REHABILITATION — Shall mean all of the Township 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 (C. 40A:12A-1 et seq.). Pursuant to Resolution

hich 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 (C. 40A:12A-1 et seq.). Pursuant to Resolution #323-21, adopted December 14, 2021, the entire Township has been designated as an area in need of rehabilitation, pursuant to N.J.S.A. 40A:12A-14.