Bill Text: NJ ACR102 | 2010-2011 | Regular Session | Introduced

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Bill Title: Proposition NJ, limits amount of real property taxes payable to 2.2% of equalized value.

Spectrum: Partisan Bill (Democrat 7-0)

Status: (Introduced - Dead) 2010-02-11 - Introduced, Referred to Assembly Housing and Local Government Committee [ACR102 Detail]

Download: New_Jersey-2010-ACR102-Introduced.html

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ASSEMBLY CONCURRENT RESOLUTION No. 102

STATE OF NEW JERSEY

214th LEGISLATURE

 

INTRODUCED FEBRUARY 11, 2010

 

 

Sponsored by:

Assemblyman  REED GUSCIORA

District 15 (Mercer)

Assemblyman  RALPH R. CAPUTO

District 28 (Essex)

Assemblyman  HERB CONAWAY, JR.

District 7 (Burlington and Camden)

Assemblywoman  CONNIE WAGNER

District 38 (Bergen)

Assemblyman  PAUL D. MORIARTY

District 4 (Camden and Gloucester)

 

Co-Sponsored by:

Assemblywoman Rodriguez

 

 

 

 

SYNOPSIS

     Proposition NJ, limits amount of real property taxes payable to 2.2% of equalized value.

 

CURRENT VERSION OF TEXT

     As introduced.

  

A Concurrent Resolution proposing to amend Article VIII, Section 1, paragraph 1 of the New Jersey Constitution, designated as Proposition NJ.

 

     Be It Resolved by the General Assembly of the State of New Jersey (the Senate concurring):

 

     1.    The following proposed amendment to the Constitution of the State of New Jersey is agreed to:

 

PROPOSED AMENDMENT

 

     Amend Article VIII, Section I, paragraph 1 to read as follows:

     l.  (a)  Property shall be assessed for taxation under general laws and by uniform rules. All real property assessed and taxed locally or by the State for allotment and payment to taxing districts shall be assessed according to the same standard of value, except as otherwise permitted herein, and such real property shall be taxed at the general tax rate of the taxing district in which the property is situated, for the use of such taxing district; provided, however, that any portion of the resulting ad valorem real property tax that exceeds 2.2 percent of the equalized value of the real property shall not be billed or payable.  The Legislature shall annually appropriate from the Property Tax Relief Fund such funds as may be necessary to reimburse each municipality for the total amount of uncollected ad valorem real property tax revenue resulting from this 2.2 percent limit on ad valorem real property taxes billable and payable.

     (b)  The Legislature shall enact laws to provide that the value of land, not less than 5 acres in area, which is determined by the assessing officer of the taxing jurisdiction to be actively devoted to agricultural or horticultural use and to have been so devoted for at least the 2 successive years immediately preceding the tax year in issue, shall, for local tax purposes, on application of the owner, be that value which such land has for agricultural or horticultural use.

     Any such laws shall provide that when land which has been valued in this manner for local tax purposes is applied to a use other than for agriculture or horticulture it shall be subject to additional taxes in an amount equal to the difference, if any, between the taxes paid or payable on the basis of the valuation and the assessment authorized hereunder and the taxes that would have been paid or payable had the land been valued and assessed as otherwise provided in this Constitution, in the current year and in such of the tax years immediately preceding, not in excess of 2 such years in which the land was valued as herein authorized.

     Such laws shall also provide for the equalization of assessments of land valued in accordance with the provisions hereof and for the assessment and collection of any additional taxes levied thereupon and shall include such other provisions as shall be necessary to carry out the provisions of this amendment.

(cf: Art. VIII, Sec. I, par. 1 amended effective December 5, 1963)

 

     2.    When this proposed amendment to the Constitution is finally agreed to pursuant to Article IX, paragraph 1 of the Constitution, it shall be submitted to the people at the next general election occurring more than three months after the final agreement and shall be published at least once in at least one newspaper of each county designated by the President of the Senate, the Speaker of the General Assembly and the Secretary of State not less than three months prior to the general election.

 

     3.    This proposed amendment to the Constitution shall be submitted to the people at that election in the following manner and form:

     There shall be printed on each official ballot to be used at the general election, the following:

     a.  In every municipality in which voting machines are not used, a legend which shall immediately precede the question as follows:

     If you favor the proposition printed below make a cross (X), plus (+), or check (a) in the square opposite the word "Yes." If you are opposed thereto make a cross (X), plus (+) or check (a) in the square opposite the word "No."

     b. In every municipality the following question:

 

		CONSTITUTIONAL AMENDMENT TO LIMIT PROPERTY TAXES
	YES	Shall the proposed amendment to Article VIII, Section 1, paragraph 1 of the Constitution, agreed to by the Legislature, limiting the maximum amount of real property taxes payable to 2.2% of a property's equalized value and requiring the Legislature to annually appropriate from the Property Tax Relief Fund monies to reimburse municipalities for uncollected property tax revenue, be approved?
		INTERPRETIVE STATEMENT
	NO	Approval of this amendment would limit the amount of property taxes billable and payable on real property in any given tax year to 2.2% of the real property's equalized value, which is its approximate market value.  Any portion of the resulting property tax that exceeds 2.2 percent of the equalized value of the real property could not be billed or payable.  Approval of this amendment would also require the Legislature to annually appropriate from the Property Tax Relief Fund sufficient funds to reimburse municipalities for all of the property taxes that are unable to be collected due to this cap on the amount of property taxes that can be collected from property taxpayers.  This limitation on the amount of property taxes that can be billed in any given tax year is intended to reduce the average residential property tax bill by approximately 25%.

 

 

STATEMENT

 

     This concurrent resolution proposes an amendment to the New Jersey Constitution to limit the amount of real property taxes payable by property owners to 2.2% of the equalized value of the real property.  The proposed amendment would also require the Legislature to annually appropriate from the Property Tax Relief Fund the funds as may be necessary to reimburse each municipality for the total amount of uncollected property tax revenue resulting from this 2.2 percent limit on property taxes billable and payable.

     This limitation on the amount of property taxes that can be billed in any given tax year is intended to reduce the average residential property tax bill by approximately 25%.

     This constitutional amendment does not alter in any way the current constitutional requirement that all real property be assessed according to the same standard of value and does not limit the amount by which assessments may increase over time, unlike California's Proposition 13, which limited to 2% the amount by which real property's assessed value could increase in any given year.