Bill Text: NJ S1332 | 2024-2025 | Regular Session | Introduced
Bill Title: Requires EDA to establish program providing grants to qualified veterans purchasing franchises.
Spectrum: Slight Partisan Bill (Republican 3-1)
Status: (Introduced) 2024-01-09 - Introduced in the Senate, Referred to Senate Economic Growth Committee [S1332 Detail]
Download: New_Jersey-2024-S1332-Introduced.html
STATE OF NEW JERSEY
221st LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2024 SESSION
Sponsored by:
Senator MICHAEL L. TESTA, JR.
District 1 (Atlantic, Cape May and Cumberland)
Senator VIN GOPAL
District 11 (Monmouth)
Co-Sponsored by:
Senators A.M.Bucco and Corrado
SYNOPSIS
Requires EDA to establish program providing grants to qualified veterans purchasing franchises.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel.
An Act concerning the provision of grant funding to veterans purchasing a franchise and supplementing P.L.1974, c.80 (C.34:1B-1 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. As used in P.L. , c. (C. ) (pending before the Legislature as this bill):
"Authority" means the New Jersey Economic Development Authority established pursuant to section 4 of P.L.1974, c.80 (C.34:1B-4).
"Franchise" means a written arrangement for a definite or indefinite period, in which a person grants to one or more natural persons a license to use a trade name, trade mark, service mark, or related characteristic, and in which there is a community of interest in the marketing of goods or services at wholesale, retail, by lease, by agreement, or otherwise.
"Franchisee" means a natural person to whom a franchise is offered or granted and shall include more than one natural person if at least one natural person offered or granted a franchise is a qualified veteran.
"Franchisor" means a person who grants or offers to grant a franchise to a natural person.
"Person" means a natural person, corporation, partnership, trust, or other entity and, in the case of an entity, "person" shall include any other entity which has a majority interest in that entity or effectively controls that other entity as well as the individual officers, directors, and other persons in active control of the activities of each entity.
"Place of business" means a fixed geographical location within this State at which the franchisee displays for sale and sells the franchisor's goods or offers for sale and sells the franchisor's services. "Place of business" shall not mean an office, warehouse, place of storage, residence or vehicle, except with respect to persons who do not make a majority of their sales directly to consumers, in which case, "place of business" means a fixed geographical location within this State at which the franchisee displays for sale and sells the franchisor's goods or offers for sale and sells the franchisor's services, or an office or a warehouse from which franchisee personnel visit or call upon customers or from which the franchisor's goods are delivered to customers.
"Program" means the program established by the authority pursuant to section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill).
"Qualified veteran" means a veteran who has applied to, and has been approved by, the authority for participation in the program established pursuant to section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill).
"Veteran" means any resident of the State who has been discharged honorably or under general honorable conditions in any branch of the Armed Forces of the United States, or a Reserve component thereof, or the National Guard of this State or another state as defined in section 1 of P.L.1963, c.109 (C.38A:1-1).
2. a. The New Jersey Economic Development Authority shall establish a program that provides grant funding to a qualified veteran who becomes a franchisee after the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill) and who is approved by the authority for participation in the program established for this purpose.
b. The authority shall establish the terms and conditions by which a veteran may apply and receive approval from the authority for participation in the program. The authority shall enter into an agreement with a qualified veteran concerning the authority's provision of grant funding to a qualified veteran approved for participation in the program established for this purpose. The authority shall provide a one-time grant of no more than $10,000 to each qualified veteran approved by the authority for participation in the program.
c. The authority shall provide priority assistance to a veteran who submits an application and receives program approval, pursuant to subsection b. of this section, within six months after the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), in a manner determined by the authority, providing proof the veteran is a franchisee or the veteran has a valid offer from a franchisor for the veteran to become a franchisee operating at a location within this State.
3. a. In administering the program, and the fund established pursuant to section 4 of P.L. , c. (C. ) (pending before the Legislature as this bill), the authority shall establish:
(1) procedures and timelines for applications for the program and approvals thereof;
(2) criteria for determining grant funding to be disbursed from the fund to a qualified veteran;
(3) reporting requirements for a qualified veteran accepted into the program and the manner in which the qualified veteran applied grant funding to the franchise; and
(4) any other policies deemed necessary by the authority for the administration of the program and the fund. The authority, in its sole discretion, may amend these policies at any time if the policies are established or amended in a manner consistent with the provisions of P.L. , c. (C. ) (pending before the Legislature as this bill).
b. The reporting requirements established pursuant to paragraph (3) of subsection a. of this section shall require a qualified veteran receiving grant funding under the program to report to the authority, in a form and manner determined by the authority, within a year of receiving grant funding. The report shall include:
(1) proof that the qualified veteran used grant funding to purchase a franchise operated at location within this State; and
(2) any other information the authority requires in a form and manner determined by the authority.
4. The authority shall establish and maintain within the program a fund to provide grant funding to a qualified veteran that participates in the program and to administer the program. The fund may be credited with an appropriation made to the authority, monies made available by the authority for the purpose of the fund, and monies received by the authority from any other public or private donations. The authority is authorized to seek and accept gifts, grants, or donations from private or public sources for deposit in the fund, except that the authority may not accept a gift, grant, or donation that is subject to conditions that are inconsistent with any other law of this State.
5. This act shall take effect immediately.
STATEMENT
This bill requires the New Jersey Economic Development Authority (EDA) to establish a program that provides grant funding to a veteran, approved by the EDA for program participation, who becomes a "franchisee," as defined in the bill, after the effective date of the bill. The EDA is to establish the terms and conditions by which a veteran may apply and receive approval from the EDA for program participation. The EDA is to enter into an agreement with a qualified veteran concerning the EDA's provision of grant funding to a qualified veteran for this purpose. The EDA is to provide a one-time grant of no more than $10,000 to each veteran approved by the EDA for participation in the program. The EDA is to provide priority assistance to a qualified veteran who submits an application and receives program approval within six months after the effective date of the bill providing proof the veteran is a franchisee, or has received a valid offer from a franchisor for the veteran to become a franchisee, operating at a location within this State.
The bill requires the EDA to establish and maintain a fund to provide grant funding to a veteran that participates in the program and to administer the program. The fund is to be credited with an appropriation made to the EDA, with monies made available by the EDA for the purpose of the fund, and monies received by the EDA from any other public or private donations.
In administering the program and the fund, the EDA is to establish: 1) procedures and timelines for applications for the program and approvals thereof; 2) criteria for determining grant funding to be disbursed from the fund to a qualified veteran; 3) reporting requirements for a veteran participating in the program and the qualified veteran's receiving grant funding from the fund; and 4) any other policies deemed necessary by the EDA for the administration of the program and the fund. The EDA, in its sole discretion, may amend these policies at any time if the policies are established or amended in a manner consistent with the provisions of the bill. The reporting requirements require a veteran receiving grant funding under the program to report to the EDA, in a form and manner determined by the EDA, within a year of receiving grant funding. The report is to include: 1) proof that the veteran used grant funding to purchase a franchise within the State; and 2) any other information the EDA requires in a form and manner determined by the EDA.
