LEGISLATIVE FISCAL ESTIMATE

ASSEMBLY, No. 4707

STATE OF NEW JERSEY

221st LEGISLATURE

 

DATED: AUGUST 23, 2024

 

 

SUMMARY

 

Synopsis:

Authorizes State Treasurer to sell as surplus certain real property and improvements in City of Camden in Camden County.

Type of Impact:

One-time State revenue increase; one-time expenditure increase for Economic Development Authority and City of Camden.

Agencies Affected:

Department of the Treasury; Economic Development Authority; City of Camden.

 

 

Office of Legislative Services Estimate

Fiscal Impact

 

 

 

 

One-Time State Revenue Increase

 

Up to $5,000,001

 

 

One-Time Expenditure Increase for Economic Development Authority

 

Up to $5,000,000

 

 

One-Time Expenditure Increase for City of Camden

 

$1.00

 

 

 

 

 

·         The Office of Legislative Services (OLS) concludes that this bill will result in a one-time revenue increase to the State’s Debt Defeasance and Prevention Fund of up to $5,000,001 for the sale of the surplus property to the Economic Development Authority and the City of Camden. 

·         The Economic Development Authority will experience a concurrent one-time expenditure increase of up to $5,000,000.

·         The City of Camden will experience a concurrent one-time expenditure increase of one dollar.

 

 

BILL DESCRIPTION

 

      This bill authorizes the State Treasurer to sell and convey all of the State’s interest within the former Riverfront State Prison in the City of Camden, Camden County, a 16± acre parcel of land and all improvements.  The property has been declared to be surplus to the needs of the State.  A portion of the land referred to as the NJEDA Site will be sold and conveyed to the New Jersey Economic Development Authority and a portion of the land referred to as the City Site will be sold and conveyed to the City of Camden.

      The NJEDA Site will be sold and conveyed to the Economic Development Authority by the State Treasurer for the lesser of $5,000,000 or the appraised value at the time of the sale.  The City Site will be sold and conveyed to the City of Camden by the State Treasurer for one dollar, on the condition that the city sell and convey the city’s right, title, and interest in and to the Southwest Site to the authority.

      The bill requires the Economic Development Authority, in consultation with the City of Camden and the Department of the Treasury, to determine the boundaries of the NJEDA Site and the City Site.  The conveyance of real property by the State Treasurer to the authority and the city will not require the approval of the State House Commission or any further approval of the Legislature.

      The Economic Development Authority can thereafter sell the NJEDA Site and the Southwest Site in accordance with terms and conditions set by the authority.

      Finally, this bill repeals P.L.2013, c.22, which authorized the sale of the site of the former Riverfront State Prison in the City of Camden as State surplus property to the Economic Development Authority for public auction to a prequalified developer.  The sale authorized by P.L.2013, c.22 never occurred, as the authority has been unable to sell the property following the process set forth at that meeting, and therefore never received the title for the property from the State.

 

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      None received.

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS concludes that this bill will result in a one-time revenue increase to the State’s Debt Defeasance and Prevention Fund of up to $5,000,001 for the sale of the surplus property to the Economic Development Authority and the City of Camden.  The Economic Development Authority will experience a concurrent one-time expenditure increase of up to $5,000,000 and the City of Camden will experience a concurrent one-time expenditure increase of one dollar.

      Under the bill, the State Treasurer is authorized to sell and convey all of the State’s interest within the former Riverfront State Prison in the City of Camden, a 16± acre parcel of land and all improvements.  The NJEDA Site as defined in the bill is authorized to be sold to the Economic Development Authority for the lesser of $5,000,000 or the appraised value at the time of the sale.  The City Site as defined in the bill is authorized to be sold to the City of Camden for one dollar.

      Under current law, any revenue generated from State property sales are to be deposited into the Debt Defeasance and Prevention Fund unless otherwise stated in the bill.

 

Section:

State Government

Analyst:

Camryn Mathews

Assistant Fiscal Analyst

Approved:

Thomas Koenig

Legislative Budget and Finance Officer

 

This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note.

 

This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).