Bill Text: NJ S2075 | 2012-2013 | Regular Session | Introduced
Bill Title: Authorizes sale of site of former Riverfront State Prison in City of Camden as State surplus property to NJEDA for public auction to prequalified developer.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2012-12-20 - Substituted by A3178 (1R) [S2075 Detail]
Download: New_Jersey-2012-S2075-Introduced.html
Sponsored by:
Senator DONALD NORCROSS
District 5 (Camden and Gloucester)
SYNOPSIS
Authorizes sale of site of former Riverfront State Prison in City of Camden as State surplus property to NJEDA for public auction to prequalified developer.
CURRENT VERSION OF TEXT
As introduced.
An Act authorizing the sale of certain State surplus real property located in the City of Camden, Camden County, by the State Treasurer to the New Jersey Economic Development Authority.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. The Legislature finds and declares that:
a. The State of New Jersey owns a parcel of land and improvements containing over 16 acres on the waterfront of the City of Camden upon which the Riverfront State Prison was constructed. The redevelopment of this parcel is an important step in the implementation of the Municipal Rehabilitation and Economic Recovery Act, P.L.2002, c.43 (C.52:27BBB-1 et seq.), which calls for rebuilding the City of Camden's tax base and reducing its dependence on State aid by attracting private capital investment.
b. The decommissioning, demolition, and site improvements, and sale of this property will facilitate its redevelopment for possible commercial, residential, and recreational uses. In addition, it will encourage rezoning and redevelopment of Camden's waterfront north of the Benjamin Franklin Bridge and encourage the rehabilitation of the existing residential neighborhoods to the east. Redevelopment of this site will return property to the tax rolls, thereby helping to rebuild the city's tax base, reduce its structural deficit, and move the city closer to fiscal self-sufficiency.
c. The New Jersey Department of Corrections has seen a general decline in the prison population. As a result, other prisons within the State system have been able to absorb transfers from the Riverfront State Prison.
d. The New Jersey Economic Development Authority has a history of supporting successful development in the City of Camden. The authority spearheaded the construction of the Waterfront Technology Center which was the first office laboratory building built in Camden on speculation in over 40 years. This building has been recognized for bringing private investment and jobs to the city and serving as a catalyst for other projects along the Camden waterfront. The authority, through the Economic Recovery Board, a subsidiary of the authority, has been responsible for assisting in bringing investment to the city and creating new full time jobs and housing units throughout the city. Therefore, the authority has the requisite experience and expertise to prepare, market, and sell the site for economic development.
e. The Delaware River Port Authority has provided temporary funding for the demolition and site improvements of the prison to be repaid out of the proceeds of the sale of this site.
f. It is in the best interest of the State to authorize the authority to undertake the sale of the site to one or more qualified purchasers or redevelopers, facilitate the rezoning or subdivision of the site to allow for the redevelopment of the site, and to manage the disposition of the site to one or more purchasers or redevelopers.
g. The State House Commission approved the policies and procedures for the disposition of the Riverfront State Prison site by the authority, which will be accomplished through an auction with an appraised value as the minimum sell price among prequalified real estate developers, with the final sale terms and conditions to be approved by the authority and by the State House Commission.
2. a. The Department of the Treasury, on behalf of the Department of Corrections, is authorized to sell and convey to the New Jersey Economic Development Authority all of the State's right, title, and interest in and to the property known as the Riverfront State Prison, consisting of a 16 +- acre parcel of land and improvements situated on Block 79, Lot 13 in the City of Camden, Camden County, which has been declared surplus to the needs of the State. The consideration to be paid to the State by the authority for the sale and conveyance of the property shall be the sum of one dollar.
b. The authority shall arrange for the sale and conveyance of the property in accordance with the terms and conditions, and in the furtherance of procedures for the disposition of the property, approved by the State House Commission at its meeting on November 22, 2010. The net proceeds from the sale and conveyance, after deduction of costs, expenses, and fees incurred by the authority for the sale and conveyance, shall be paid by the authority as follows: first, an amount equal to the appraised value of the property prior to the demolition and site improvements of the prison shall be paid to the State; second, an amount equal to the amount of monies advanced by the Delaware River Port Authority to the authority for the demolition and site improvements of the prison shall be paid to the Delaware River Port Authority; and third, any amount remaining shall be paid to the State.
c. Notwithstanding any law, rule, or regulation to the contrary, prior to the sale and conveyance of the property by the authority to another party, the terms and conditions of the proposed conveyance, as determined by the procedures for the disposition of the property referenced in subsection b. of this section, shall require the approval of the State House Commission. The property may be sold and conveyed by the authority in one or more separate transactions, but each separate transaction shall require the approval of the State House Commission.
3. This act shall take effect immediately.
STATEMENT
This bill authorizes the State Treasurer, on behalf of the Department of Corrections, to sell and convey the property known as the Riverfront State Prison consisting of a 16 +- acre parcel of land and improvements located in the City of Camden, Camden County, which has been declared surplus. The property will be sold and conveyed to the New Jersey Economic Development Authority (EDA) for one dollar.
The Department of the Treasury entered into a memorandum of understanding with the EDA to provide assistance to the Department of the Treasury in demolishing the Riverfront State Prison and effectuating its disposition. EDA has been selected because of its expertise in economic development, which will help maximize the value of the property within the context of developing the Camden waterfront. EDA identified funding from the Delaware River Port Authority (DRPA) to accomplish the demolition and site improvements.
The bill provides that the EDA will dispose of the property in compliance with the disposition procedures for the property under the terms and conditions approved by the State House Commission at its meeting on November 22, 2010. Net proceeds from the sale will be allocated first to the State in the amount of the property value prior to demolition and site improvements, based on appraisal; second to DRPA to reimburse it for funds advanced to the EDA for the demolition and site improvements; and third, to the State for any remaining proceeds.
