Establishes Economic Development Incentive Review Commission.
Sponsored by: Assemblyman WAYNE P. DEANGELO District 14 (Mercer and Middlesex)
This bill establishes the Economic Development Incentive Review Commission (commission). The commission is established within the Department of Treasury (department) and is to consist of nine members. The nine members include the State Treasurer, Executive Director of the New Jersey Economic Development Authority (authority) ex-officio. The Governor is to choose five public members, including an accountant or an auditor, a professional economist, a representative of the business community, a representative of the real estate community, and a member of the general public with no specific expertise. The Governor is to then appoint one member each upon the recommendation of the Senate President and the Speaker of the General Assembly who shall have experience in county or municipal government. Members aside from the first appointments not made upon the recommendation of the Senate President or Speaker of the General Assembly are to serve for four year terms.
The commission is required to annually contract for a report that comprehensively reviews State tax credit and tax increment financing programs, including, but not limited to, the Grow New Jersey Assistance program, the Economic Redevelopment and Growth Grant program, and the Garden State Growth Zone program. The program is to be both a review of the individual awards issued under those programs, as well as an overall evaluation of the programs themselves. The commission is to alternate between professional academic researchers, independent private sector economics firms, and non-profit research entities, to ensure a broad range of economic perspectives, when identifying firms to generate the report.
Upon receipt of the report, the commission is also to utilize its own expertise to generate an annual statement that accompanies the report. This statement is to provide additional analysis of the tax incentive programs, recommendations for legislative changes to the programs, documentation of best practices in other states, guidance to the department and authority concerning revenue impacts from tax incentive programs, and how to more efficiently manage the programs. Once the report and statement have been completed, the commission is to appear before the Senate Economic Growth Committee and the Assembly Commerce and Economic Development Committee, to present the report and statement and answer questions from Legislators.