Bill designating Atlantic City as Urban Enterprise Zone heads to Senate

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Legislation that would designate Atlantic City as New Jersey’s 33rd Urban Enterprise Zone was passed by the Assembly last week and now awaits Senate consideration.
The UEZ designation, which supporters say would offer property tax relief to the city, allows for participating businesses within the zone to be eligible for certain tax exemptions and credits.

According to Assembly Democrats, the program has helped steer $31.6 billion in private investment to participating communities since its inception in 1983.

“This is a common sense step to create economic growth that will help revitalize Atlantic City by encouraging businesses to develop and create private sector jobs through public and private investment,” Assemblyman Vince Mazzeo (D-Northfield), a bill sponsor, said. “We need jobs. We need investment. We need economic development. And we need property tax relief for hard-working families. This brings all four to Atlantic City and will be another vital step toward bringing a new day to the city built around economic prosperity for everyone.”

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Under the bill, Atlantic City’s initial UEZ designation would last for a 10-year term and operating casinos would not be eligible for program benefits. However, businesses not owned by casinos but located on casino property may participate if deemed eligible.

“Atlantic City’s comeback should not be tied to one or two major companies deciding to open for business,” Assemblyman Chris Brown (R-Linwood) said. “Small business is the backbone of economic growth and job creation and must be encouraged. Atlantic City needs to transition from a gaming resort to a ‘full-destination resort’ in order to provide jobs for our middle class families. I strongly support this legislation as another opportunity to improve the city’s infrastructure, lower property taxes and create more jobs.”

During the first five years of the program, as stated by the legislation, Atlantic City would be able to use all of the collected sales and use tax revenues. In the second half of the initial 10-year term, the city would be able to use only 66.5 percent of all revenues.
 
“These revenues are to be used by Atlantic City to provide local property tax relief,” said Mazzeo. “This bill won’t fix every problem, but it certainly will help residents and businesses alike, all while creating jobs and economic development. That will go a long way toward easing the burden faced by Atlantic City residents and businesses.”

“Atlantic City’s comeback should not be tied to one or two major companies deciding to open for business,” Assemblyman Chris Brown (R-Linwood) said. “Small business is the backbone of economic growth and job creation and must be encouraged. Atlantic City needs to transition from a gaming resort to a ‘full-destination resort’ in order to provide jobs for our middle class families. I strongly support this legislation as another opportunity to improve the city’s infrastructure, lower property taxes and create more jobs.”

During the first five years of the program, as stated by the legislation, Atlantic City would be able to use all of the collected sales and use tax revenues. In the second half of the initial 10-year term, the city would be able to use only 66.5 percent of all revenues.
 
“These revenues are to be used by Atlantic City to provide local property tax relief,” said Mazzeo. “This bill won’t fix every problem, but it certainly will help residents and businesses alike, all while creating jobs and economic development. That will go a long way toward easing the burden faced by Atlantic City residents and businesses.”

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