New Jersey-2014-S335-Introduced

An Act temporarily exempting certain new business activities from Pinelands Commission approval.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. a. The Legislature finds and declares that there exists a state of national recession, which has drastically affected various segments of the New Jersey economy, particularly the development and construction industries and the commercial sector; that the real estate finance sector of the economy is in severe decline due to the sub-prime mortgage problem, and that this has caused real estate developers and redevelopers, including commercial developers, to experience an industry-wide decline and severe economic losses stemming from reduced demand, cancelled orders, reduced numbers of sales and rentals, price reductions, increased inventory, fewer qualified buyers, and scaled back growth plans; that these issues associated with development and construction have encouraged the relative stagnation of the State's commercial sector; that, in the pinelands area, where development approvals must be obtained not only from the local municipality, but also from the Pinelands Commission, there is an increased, and, in the current economic climate, a potentially devastating delay in project commencement, which delay is required even for development projects that affect vacant properties or properties already used for commercial purposes; that because of these additional approval requirements and delays, the recession's cumulative impact on the development and construction industries, and on the commercial sector, is likely to be more pronounced in the pinelands area than in other places in the State; and, that while it is essential to ensure that development in the pinelands area continues to comply with the pinelands comprehensive management plan, the provisions of that plan are not likely to be violated by commercial development in pinelands towns and villages, and in the regional growth areas of the pinelands protection area, whenever that development utilizes, and does not expand the footprint of, pre-existing buildings.

b. The Legislature therefore determines that, in order to promote commercial development and redevelopment, facilitate the expansion of the commercial sector, and encourage the productive use of vacant or abandoned buildings in the pinelands area, it is both reasonable and necessary, for a temporary period during this time of economic crisis, to exempt persons from compliance with the Pinelands Commission's development approval process for the improvement, reconstruction, or other development of pre-existing buildings, which are located in the towns and villages or regional growth areas of the pinelands, and which will be utilized for the conduct of new business activities.

2. a. Except for the development of an historic resource, as designated by the Pinelands Commission, a person shall be exempt from commission approval of an application for development pursuant to P.L.1979, c.111 (C.13:18A-1 et seq.) and the pinelands comprehensive management plan, for the improvement, upward expansion, or reconstruction of a building or appurtenance in a pinelands Commercial Development Zone, which building or appurtenance is necessary, and will be used, for the purposes of conducting a new business activity.

b. Any improvement, upward expansion, or reconstruction of a building or appurtenance pursuant to this section shall:

(1) be undertaken in a manner that preserves, and does not expand, the footprint of the building or appurtenance as it existed prior to the commencement of the new business activity; and

(2) comply with (a) the provisions of, and standards prescribed in, the comprehensive management plan, including those provisions and standards related to the use of septic systems and the development of wetlands, and (b) any other applicable State law, rule or regulation, local ordinance or regulation, or permitting or approval requirement.

c. As used in this section:

"Appurtenance" means any pre-existing structure or improvement of the land in a pinelands Commercial Development Zone, including, but not limited to, a driveway, garage, parking area, shed, vending facility, utility, or park, which structure or improvement is related or incidental to, and necessary or convenient for, the commercial use of a building, or the facilitation of a new business activity therein.

"Building" means a pre-existing structure in a pinelands Commercial Development Zone, which structure, immediately prior to the commencement of a new business activity therein, is vacant and unused, or is utilized for the purposes of another commercial enterprise.

"Commercial Development Zone" means a pinelands Village or Town, or a Pinelands Regional Growth Area, as designated by the commission pursuant to the comprehensive management plan.

"New business activity" means any commercial enterprise, except a gas station or fuel dealership, which involves, or is related to, the production, distribution, or sale of any commodity or service, and which is commenced on or after the effective date of this act. "New business activity" shall not include any industrial or manufacturing enterprise that is identified in the North American Industry Classification System (NAICS) Manual - developed by the Office of Management and Budget in the Executive Office of the President of the United States - as having a primary Standard Industrial Classification number within Major Group Numbers 21, 22, 23, or 31-33, or within Sub-Group Numbers 562, 811, or 812.

3. This act shall take effect on the first day of the fourth month next following the date of enactment, but the Pinelands Commission may take such anticipatory administrative action in advance thereof as shall be necessary for the act's implementation; and this act shall expire on the first day of the sixth year after its effective date.

STATEMENT

This bill would temporarily exempt certain persons engaged in commercial development in the pinelands Villages, Towns, and Regional Growth Areas (designated by the bill as "Commercial Development Zones") from compliance with Pinelands Commission development application and approval requirements.

In particular, and in response to the current, dire economic situation, the bill would provide that, for the five years following its effective date, a person would be exempt from applying for, and obtaining, Pinelands Commission approval for the improvement, upward expansion, or reconstruction, in a pinelands Commercial Development Zone, of a building or appurtenance, which is necessary, and which will be used, for the purposes of conducting a new business activity. This five-year temporary exemption term is consistent with the permitting extension term provided for by the "Permit Extension Act of 2008," P.L.2008, c.78 (C.40:55D-136.1 et seq.), as amended by P.L.2009, c.336.

"New business activity" would be defined by the bill to include any commercial enterprise, except a gas station or fuel dealership, which involves, or is related to, the production, distribution, or sale of any commodity or service, and which is commenced in a pinelands Commercial Development Zone, either on or after the bill's effective date. In order to promote the expansion of the commercial sector in the pinelands area, while simultaneously remaining consistent with the federally-approved pinelands comprehensive management plan and its environmental preservation goals for the area, the bill's authorization would not be applicable to industrial or manufacturing enterprises.

Furthermore, the bill would be applicable only to those "new business activities" that are undertaken in pre-existing pinelands structures, which, at the time of installation of the new business activity, are vacant and unused, or are used for the purposes of another commercial enterprise. In addition, any person engaged in improvement, expansion, or reconstruction activities pursuant to the bill's provisions would be expressly prohibited from taking action that would expand the original footprint of the building or appurtenance.

This bill would expire on the first day of the sixth year following its effective date.