ASSEMBLY APPROPRIATIONS COMMITTEE

STATEMENT TO

ASSEMBLY, No. 5126

STATE OF NEW JERSEY

DATED:  DECEMBER 16, 2024

      The Assembly Appropriations Committee reports favorably Assembly Bill No. 5126.

      This bill would extend the economic recovery term under the "Municipal Rehabilitation and Economic Recovery Act," P.L.2002, c.43 (C.52:27BBB-1 et al.) (MRERA), by five years.  By extending the economic recovery term, this bill would extend the special governing procedures, economic benefits, and additional oversight measures provided for a qualified municipality under the MRERA.  The City of Camden is the only municipality to qualify under MRERA.

FISCAL IMPACT:

      The Office of Legislative Services (OLS) concludes that the bill may potentially increase State administrative expenditures over a five-year period, from January 2025 to January 2030, associated with continued oversight of the City of Camden.

      The expended applicability of certain fiscal authorizations would have an indeterminate annual impact on the City of Camden.  Most notably, the municipality would be permitted to increase its property tax levy by three percent, rather than two percent, per year and would be required to receive funding priorities from State agencies.