Bill Text: NJ A5668 | 2018-2019 | Regular Session | Introduced


Bill Title: Requires NJHMFA to allocate certain portion of federal low-income housing tax credits to certain high-opportunity areas.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2019-06-24 - Introduced, Referred to Assembly Housing and Community Development Committee [A5668 Detail]

Download: New_Jersey-2018-A5668-Introduced.html

ASSEMBLY, No. 5668

STATE OF NEW JERSEY

218th LEGISLATURE

 

INTRODUCED JUNE 24, 2019

 


 

Sponsored by:

Assemblywoman  VALERIE VAINIERI HUTTLE

District 37 (Bergen)

 

 

 

 

SYNOPSIS

     Requires NJHMFA to allocate certain portion of federal low-income housing tax credits to certain high-opportunity areas.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act concerning the low-income housing tax credit program and supplementing P.L.1983, c.530 (C.55:14K-1 et seq.).

 

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

 

     1.    a.  Provided that the agency receives a sufficient number of eligible applications, the agency shall reserve not less than 30 percent of the annual allocation of low-income housing tax credits for qualified projects located within:

     (1)   a high-performing school district;

     (2)   a census tract with a poverty rate below the State average;

     (3)   one-half mile of public transportation; and

     (4)   one-half mile of not less than three of the following facilities, or within three miles of not less than six of the following facilities:

     (a)   a full-service grocery store or supermarket;

     (b)   a hospital or medical clinic;

     (c)   a public school;

     (d)   a licensed day care service provider;

     (e)   a Family Success Center operated by the Division of Family and Community Partnerships in the Department of Children and Families;

     (f)   a One Stop Career Center;

     (g)   a pharmacy;

     (h)   a department or retail merchandise store;

     (i)    a bank or credit union;

     (j)    a restaurant, not including a fast-food restaurant;

     (k)   an indoor public recreation facility, including, but not limited to, a civic center, community center, or library;

     (l)    an outdoor public recreation facility, including, but not limited to, a park or swimming pool;

     (m)  a medical office, including, but not limited to, the office of a licensed physician, dentist, or optometrist;

     (n)   a religious institution;

     (o)   a post office, city hall, or county courthouse; or

     (p)   a fire or police station.

     b.    As used in this section:

     "High-performing school district" means a public school district in which not less than 40 percent of the students meet or exceed expectations in math and language arts based on the Grade 4 Partnership for Assessment of Readiness for College and Careers assessment, or any successor assessment method established by the Department of Education.

     "Hospital" means a general acute care hospital licensed pursuant to P.L.1971, c.136 (C.26:2H-1 et seq.).

     "Low-income housing tax credit" means the tax credits allocated to the State pursuant to section 42 of the federal Internal Revenue Code (26 U.S.C. s.42).

     "One Stop Career Center" means any of the facilities established, sponsored or designated by the State, a political subdivision of the State and a Workforce Investment Board in a local area to coordinate or make available State and local programs providing employment and training services or other employment-directed and workforce development programs and activities, including job placement services, and any other similar facility as may be established, sponsored or designated at any later time to coordinate or make available any of those programs, services or activities.

     "Poverty rate" means the percentage of households having income, adjusted for household size, below the federal poverty line established and adjusted pursuant to section 2 of the "Community Services Block Grant Act," (42 U.S.C. s.9902).

     "Public transportation" means any mode of transit available to the general public with fixed fares and daily scheduled service, without seasonal interruption, which shall at minimum operate Monday through Friday and provide regularly scheduled service during the period between 6:30 A.M. and 9:30 A.M. and the period between 3:00 P.M. and 6:00 P.M.

 

     2.    This act shall take effect immediately but shall remain inoperative until the next allocation of low-income housing tax credits immediately following the date of enactment.

 

 

STATEMENT

 

     This bill requires the New Jersey Housing and Mortgage Finance Agency (NJHMFA) to reserve not less than 30 percent of its annual allocation of low-income housing tax credits (LIHTCs) for qualified projects located in certain high-opportunity areas.

     Under the LIHTC program, the federal government allocates tax credits to designated State agencies (e.g., the NJHMFA), which award the tax credits to the developers of qualified projects in order to subsidize the construction of affordable rental housing.  Subject to federal constraints, each State agency awards LIHTCs based on standards and procedures set forth in a Qualified Allocation Plan, which may reserve a portion of LIHTCs for projects located in certain targeted areas.

     Specifically, the bill requires the NJHMFA to reserve not less than 30 percent of its annual allocation of LIHTCs for qualified projects located within:

     (1)   a high-performing public school district, in which not less than 40 percent of the students meet or exceed expectations in math and language arts based on the Grade 4 Partnership for Assessment of Readiness for College and Careers assessment, or any successor assessment method established by the Department of Education;

     (2)   a census tract with a poverty rate below the State average;

     (3)   one-half mile of public transportation, which is available to the general public with daily scheduled service operating during regular commuter hours; and

     (4)   the close proximity of certain designated positive land uses, including, but not limited to, grocery stores, health care facilities, day care providers, recreational facilities, family and vocational support centers, and other civic institutions.

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