Making New Jersey a Home for Growth
March 14, 2012
Caren Franzini
Chief Executive Officer
Making New Jersey a Home for Growth
Governor Chris Christie’s Economic Development Initiatives
Tax Environment
•Vetoed income tax rate hike;
•Allowed corporate business
tax surcharge to sunset.
•Signed 2% property tax cap.
•Enacted a single-sales-factor
formula and provided for
loss carry-forwards.
•Reduced minimum business
tax paid by Subchapter S
Corporations 25%.
•Suspended 2.5%
development fee on nonresidential construction
projects.
Regulatory and
Legislative Climate
Aggressive
Outreach
•Established Red Tape Review
Commission.
•Signed measure to enhance
BRRAG, ERG and Hub.
•Signed Site Remediation
Reform Act.
•Advanced new State
Strategic Plan.
•Signed measure to establish
GrowNJ program.
•Unveiled the Partnership for
Action;
•Launched Proactive Business
Calling Plan;
•Lt. Governor Completed
Statewide “100 Business
Tour;”
•Launched the Talent
Network Initiative through
the Department of Labor.
2
Partnership for Action
Lt. Governor
Kim Guadagno
New Jersey
Business
Action Center
3
Economic Growth “Tool Kit”
Development Focus
• Economic Redevelopment and Growth (ERG) Program
• Urban Transit Hub Tax Credit (UTHTC) Program
Employment Focus
• Business Employment Incentive Program (BEIP)
• Business Retention and Relocation Assistance Grant (BRRAG)
Clean Energy Solutions
• Energy Efficiency Revolving Loan Fund
4
Revel Atlantic City
• The $2 billion Revel Atlantic City project
involves the creation of an entertainment
resort on 20 acres of beachfront property in
the South Inlet of Atlantic City.
• The project will serve to revitalize the Inlet
neighborhood with new streets, parks and
boardwalk, and result in the creation of
5,500 new permanent jobs. In the month of
January alone, there were as many as
1,600 men and women working at the
construction site.
• Revel was approved for up to $261.3
million over 20 years through ERG.
5
Gateway Transit Village
Saker ShopRite
• The $326 million Gateway Transit Village redevelopment is advancing at three
different sites in New Brunswick, leading to the development of a full-service
supermarket - the city’s first in two decades, a new fitness and wellness center,
office space, residential units, destination retail and the creation of 450 permanent
jobs and 3,000 construction jobs. Approved for up to $76.6 million through Hub.
• A new, world class Shop Rite opened in Somerville last October, marking the
Borough’s first supermarket in five years. The $28.1 million, 70,000-square-foot
development also is the cornerstone of the community’s larger redevelopment plan.
The project created 200 construction jobs, and 235 new permanent jobs have been
created to date. Approved for up to $5 million over 20 years through ERG.
6
Wakefern Food Corp.
Panasonic
• Wakefern Food Corp. and the Newark Farmers Market are advancing a $65 million
redevelopment project in Newark that involves the construction of 260,000 square feet of
warehouse space. The new distribution facility for Wakefern is expected to create over
280 new jobs at full build-out. The project is supporting an estimated 550 construction
jobs. Approved for a total of up to $45 million.
• Panasonic will be moving to a new, $126 million state-of-the-art facility in Newark being
constructed by Matrix Development Group and SJP Properties. The structure will be
home to 1,000 of the corporation’s employees and contractors, beginning in 2013. The
project supports an estimated 940 construction jobs. Approved for up to $102.4 million.
7
Bayer Healthcare
Watson Pharmaceuticals
• Bayer Healthcare recently announced that they have selected the former AlcatelLucent campus in Hanover as the site for a new corporate campus, a decision that
will keep 1,000 jobs in New Jersey, move 300 jobs here from out of state, and result
in the creation of 200 new jobs. Bayer was among the first businesses to utilize the
expanded BRRAG and was also approved for a BEIP.
• Global pharmaceutical company Watson Pharmaceuticals plans to remain and
grow in Morris County with the help of BEIP and BRRAG. The company is investing
an estimated $15 million to establish new administrative headquarters in Parsippany
that involves the retention of over 200 jobs and the creation of 175 new jobs.
8
Energy Efficiency Revolving Loan Fund
• New Jersey-based commercial, institutional or industrial entities that have
received an approved Energy Reduction Plan under the BPU’s Pay for
Performance program can apply for a low-interest loan up to a maximum of
80 percent of total eligible project costs, not to exceed $2.5 million.
• The supplemental financing must be used for whole-building energy
efficiency improvements, and projects must meet the requirements defined
under Pay for Performance.
• Applicants must have an energy reduction plan that defines a
comprehensive package of measures capable of reducing energy
consumption by 15 percent or more or achieving energy costs 15 percent
below the current energy code.
9
Contact the Partnership for Action:
Choose New Jersey
(609) 297-2200
www.ChooseNJ.com
New Jersey Business Action Center
(866) 534-7789
www.NewJerseyBusiness.gov
New Jersey Economic Development Authority
(609) 292-1800
www.njeda.com
10