Bill Text: NJ S969 | 2010-2011 | Regular Session | Introduced
Bill Title: Permits municipality containing a Health Enterprise Zone, or contiguous with three such municipalities, to grant property tax exemption to acute care hospitals.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2010-02-04 - Introduced in the Senate, Referred to Senate Community and Urban Affairs Committee [S969 Detail]
Download: New_Jersey-2010-S969-Introduced.html
Sponsored by:
Senator SANDRA B. CUNNINGHAM
District 31 (Hudson)
SYNOPSIS
Permits municipality containing a Health Enterprise Zone, or contiguous with three such municipalities, to grant property tax exemption to acute care hospitals.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning property tax exemptions for certain acute care hospitals and amending P.L.2004, c.139.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 4 of P.L.2004, c.139 (C.54:4-3.160) is amended to read as follows:
4. a. A municipality that has within its boundaries a Health Enterprise Zone as described in section 1 of P.L.2004, c.139 (C.54A:3-7) may adopt a resolution that provides for an exemption from taxation as real property of that portion of a structure or building that is used to house a medical or dental primary care practice as defined in N.J.S.18A:71C-32 and that is located in that designated area. The exemption shall be in effect for tax years that are within the period of designation as a State designated underserved area and shall be contingent upon an annual application therefor filed by the property owner with, and approved by, the local tax assessor.
b. A municipality that has within its boundaries a Health Enterprise Zone, as described in section 1 of P.L.2004, c.139 (C.54A:3-7), or which is contiguous to three or more municipalities that have within its boundaries a Health Enterprise Zone, may adopt a resolution that provides for an exemption from taxation as real property to a general acute care facility that is licensed by the Commissioner of Health and Senior Services pursuant to P.L.1971, c.136 (C.26:2H-1 et seq.). A municipality granting a tax exemption pursuant to this subsection may negotiate a payment in lieu of taxes with the acute care hospital facility.
(cf: P.L.2004, c.139, s.4)
2. This act shall take effect immediately.
STATEMENT
This bill would permit a municipality to grant, by resolution, a property tax exemption for a general acute care facility licensed by the Commissioner of Health and Senior Services pursuant to P.L.1971, c.136 (C.26:2H-1 et seq.); provided, however, that the municipality either has within its boundaries a Health Enterprise Zone, as described in section 1 of P.L.2004, c.139 (C.54A:3-7), or is contiguous with three or more municipalities having Health Enterprise Zones. Currently, a municipality that contains a Health Enterprise Zone may grant tax exemptions for medical and dental offices for the purpose of encouraging the location of those medical facilities in medically underserved areas. Similarly, it is of vital importance to assist in the construction and retention of hospital facilities that provide acute care hospital services to communities that have been determined to be medically underserved by the Commissioner of Health and Senior Services. A municipality that is contiguous to three or more municipalities having Health Enterprise Zones, even though that municipality may not itself have a Health Enterprise Zone, undoubtedly helps to serve nearby medically underserved areas and deserves the same opportunity to help retain acute care hospitals to promote the health of area residents.
A municipality that grants a tax exemption under this bill would have the authority to negotiate a payment in lieu of taxes with the acute care hospital receiving the tax exemption.
