SENATE COMMUNITY AND URBAN AFFAIRS COMMITTEE

STATEMENT TO

ASSEMBLY, No. 4262

STATE OF NEW JERSEY

DATED:  MAY 12, 2025

      The Senate Community and Urban Affairs Committee reports favorably Assembly Bill No. 4262.

      This bill exempts certain creditors from payment of a property registration fee for as long as the property remains subject to the automatic stay provision of the federal Bankruptcy Code.  Current law, section 3 of P.L.2021, c.444 (C.40:48-2.12s3), authorizes a municipality, by ordinance, to require a foreclosing creditor to register property, and to impose an annual fee on the creditor for registering the property.  Under the bill, a creditor, whose debtor has sought the protection of the federal Bankruptcy Code and is protected by the automatic stay provision of the federal Bankruptcy Code, would be excused from the payment of the property registration fees authorized by section 3 of P.L.2021, c.444 (C.40:48-2.12s3).       

      As reported by the committee, Assembly Bill No. 4262 is identical to Senate Bill No. 3999, which was also reported by the committee on this date.