SENATE ENVIRONMENT AND ENERGY COMMITTEE
STATEMENT TO
STATE OF NEW JERSEY
DATED: FEBRUARY 12, 2026
The Senate Environment and Energy Committee reports favorably Senate Bill No. 2161.
This bill would increase the amounts of certain payments in lieu of taxes (PILOTs) paid for lands owned by the State or a nonprofit organization and preserved for recreation and conservation purposes (open space lands).
Current law requires that the State pay a certain amount annually to municipalities, in proportion to the acreage of open space lands in the municipality. Section 29 of P.L.1999, c.152 (C.13:8C-29) applies to lands that are acquired using constitutionally dedicated corporation business tax (CBT) revenues, and requires that, beginning 13 years after the land was acquired, the State pay:
(1) $2 per acre to municipalities that are comprised of less than 20 percent open space lands;
(2) $5 per acre to municipalities that are comprised of between 20 percent and 40 percent open space lands;
(3) $10 per acre to municipalities that are comprised of between 40 percent and 60 percent open space lands; and
(4) $20 per acre to municipalities that are comprised of 60 percent open space lands or greater.
Section 30 of P.L.1999, c.152 (C.13:8C-30) applies to open space lands that were not acquired using dedicated CBT funding. It establishes the same formula for PILOTs, but applies the formula regardless of when the land was acquired.
This bill would increase the per-acre amounts in the formulas in both sections of law to the following:
(1) $3 per acre to municipalities that are comprised of less than 20 percent open space lands;
(2) $7.50 per acre to municipalities that are comprised of between 20 percent and 40 percent open space lands;
(3) $15 per acre to municipalities that are comprised of between 40 percent and 60 percent open space lands; and
(4) $40 per acre to municipalities that are comprised of 60 percent open space lands or greater.
This bill was prefiled for introduction in the 2026-2027 session pending technical review. As reported, the bill includes the changes required by technical review, which has been performed.