A1561

An Act concerning the use of emergency power generators by certain facilities and businesses and supplementing various parts of the statutory law.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. a. As used in this section:

“Automatic standby emergency power generator” means an emergency power generator that is powered by natural gas, where natural gas is available, or by propane stored in an above-ground tank, is integrated with the electrical system of the facility, and provides at least 90 percent of the electric power that would be available to the facility if the facility were powered by its electrical system.

“Declared state of emergency” means a state of emergency within this State declared by the Governor or the President of the United States.

“Disaster” means a natural, technological, or civil emergency that causes damage of sufficient severity and magnitude to result in a declared state of emergency.

“Facility” means a nursing home, assisted living facility, or subacute rehabilitation facility licensed pursuant to P.L.1971 c.136 (C.26:2H-1 et seq.).

“Power outage” means a failure in the supply of electricity causing a temporary cessation in the supply of power.

b. (1) A facility, if licensed by the Department of Health on or after the effective date of this act, shall be equipped with and employ an automatic standby emergency power generator in the event of a power outage at the facility.

(2) A facility, if licensed by the Department of Health prior to the effective date of this act, shall be equipped with and employ, within 90 days after the effective date of this act, an automatic standby emergency power generator in the event of a power outage at the facility.

c. The chief administrative officer of a facility, pursuant to the provisions of subsection b. of this section, shall ensure that its automatic standby emergency power generator is checked, tested, and serviced in accordance with generally accepted engineering practices as prescribed by regulation of the Commissioner of Health.

d. If the facility provides public charging stations for portable electronic devices, it shall be equipped with sufficient outlets for members of the public to charge these devices and battery-powered, portable oxygen units. The automatic standby emergency power generator shall be able to accommodate the public charging requirements of this section under the State Uniform Construction Code, as provided in the “State Uniform Construction Code Act,” P.L.1975, c.217 (C.52:27D-119 et seq.), and shall comply with the latest NJPA-70 (National Electrical Code) requirements.

e. A facility that violates the provisions of this section shall be subject to such penalties as the Commissioner of Health may determine pursuant to sections 13 and 14 of P.L.1971, c.136 (C.26:2H-13 and 26:2H-14); except that the facility shall not be in violation of the provisions of this section if the failure to use an automatic standby emergency power generator during a declared state of emergency is due to physical damage to the facility or the automatic standby emergency power generator sustained from a disaster or during the declared state of emergency.

2. The Commissioner of Health, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations necessary to implement the provisions of section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill); except that, notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the commissioner may adopt, immediately upon filing with the Office of Administrative Law, such regulations as the commissioner deems necessary to implement the provisions of section 1 of P.L. , c. (C. ) (pending before the Legislature as this bill), which shall be effective for a period not to exceed six months and may thereafter be amended, adopted, or re-adopted by the commissioner in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).

3. a. As used in this section:

“Automatic standby emergency power generator” means an emergency power generator that is powered by natural gas, where natural gas is available, or by propane stored in an above-ground tank, is integrated with the electrical system of the building used by a volunteer or nonvolunteer first aid, ambulance, or rescue squad, and provides at least 90 percent of the electric power that would be available to the building if the building were powered by its electrical system.

“Building” means a building that is used by a volunteer or nonvolunteer first aid, ambulance, or rescue squad to house or store equipment used to render emergency services in response to a state of emergency or an emergency alarm.

“Declared state of emergency” means a state of emergency within this State declared by the Governor or the President of the United States.

“Disaster” means a natural, technological, or civil emergency that causes damage of sufficient severity and magnitude to result in a declared state of emergency.

“Power outage” means a failure in the supply of electricity causing a temporary cessation in the supply of power.

“Volunteer or nonvolunteer first aid, ambulance, or rescue squad” means a volunteer or nonvolunteer first aid, ambulance, or rescue squad as defined in section 3 of P.L.1987, c.284 (C.27:5F-20).

b. (1) A building used by a volunteer or nonvolunteer first aid, ambulance, or rescue squad, on or after the effective date of this act, shall be equipped with and employ an automatic standby emergency power generator in the event of a power outage.

(2) A building used by a volunteer or nonvolunteer first aid, ambulance, or rescue squad, prior to the effective date of this act, shall be equipped with and employ, within 90 days after the effective date of this act, an automatic standby emergency power generator in the event of a power outage.

c. The chief administrative officer of a volunteer or nonvolunteer first aid, ambulance, or rescue squad, pursuant to the provisions of subsection b. of this section, shall ensure that its automatic standby emergency power generator is checked, tested, and serviced in accordance with generally accepted engineering practices as prescribed by regulation of the Commissioner of Health.

d. If the building provides public charging stations for portable electronic devices, it shall be equipped with sufficient outlets for members of the public to charge these devices and battery-powered, portable oxygen units. The automatic standby emergency power generator shall be able to accommodate the public charging requirements of this section under the State Uniform Construction Code, as provided in the “State Uniform Construction Code Act,” P.L.1975, c.217 (C.52:27D-119 et seq.), and shall comply with the latest NJPA-70 (National Electrical Code) requirements.

e. A volunteer or nonvolunteer first aid, ambulance, or rescue squad that violates the provisions of this section shall be subject to such disciplinary measures as the Commissioner of Health deems necessary and within the commissioner’s statutory authority to impose; except that the first aid, ambulance, or rescue squad shall not be in violation of the provisions of this section if the failure to use an automatic standby emergency power generator during a declared state of emergency is due to physical damage to the building or the automatic standby emergency power generator sustained from a disaster or during the declared state of emergency.

4. The Commissioner of Health, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations necessary to implement the provisions of section 3 of P.L. , c. (C. ) (pending before the Legislature as this bill); except that, notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the commissioner may adopt, immediately upon filing with the Office of Administrative Law, such regulations as the commissioner deems necessary to implement the provisions of section 3 of P.L. , c. (C. ) (pending before the Legislature as this bill), which shall be effective for a period not to exceed six months and may thereafter be amended, adopted, or re-adopted by the commissioner in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).

5. a. As used in this section:

“Automatic standby emergency power generator” means an emergency power generator that is powered by natural gas, where natural gas is available, or by propane stored in an above-ground tank, is integrated with the electrical system of the pharmacy, and provides at least 90 percent of the electric power that would be available to the pharmacy if the pharmacy were powered by its electrical system.

“Board” means the New Jersey State Board of Pharmacy.

“Declared state of emergency” means a state of emergency within this State declared by the Governor or the President of the United States.

“Disaster” means a natural, technological, or civil emergency that causes damage of sufficient severity and magnitude to result in a declared state of emergency.

“Pharmacist-in-charge” means a pharmacist-in-charge as defined in section 2 of P.L.2003, c.280 (C.45:14-41).

“Pharmacy” means a pharmacy licensed by the board.

“Power outage” means a failure in the supply of electricity causing a temporary cessation in the supply of power.

b. (1) The pharmacist-in-charge of a pharmacy, if the pharmacy is licensed by the board on or after the effective date of this act, shall ensure that the pharmacy is equipped with and employs an automatic standby emergency power generator in the event of a power outage at the pharmacy.

(2) The pharmacist-in-charge of a pharmacy, if the pharmacy is licensed by the board prior to the effective date of this act, shall ensure that the pharmacy is equipped with and employs, within 90 days after the effective date of this act, an automatic standby emergency power generator in the event of a power outage at the pharmacy.

c. The pharmacist-in-charge, pursuant to the provisions of subsection b. of this section, shall ensure that the automatic standby emergency power generator is checked, tested, and serviced in accordance with generally accepted engineering practices as prescribed by regulation of the board.

d. A pharmacist-in-charge who intentionally fails to act in accordance with the requirements of this act is subject to discipline for professional misconduct pursuant to section 8 of P.L.1978, c.73 (C.45:1-21); except that the pharmacist-in-charge shall not be in violation of the provisions of this section if the failure to use an automatic standby emergency power generator during a declared state of emergency is due to physical damage to the pharmacy or the automatic standby emergency power generator sustained from a disaster or during the declared state of emergency.

6. The New Jersey State Board of Pharmacy, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations necessary to implement the provisions of section 5 of P.L. , c. (C. ) (pending before the Legislature as this bill); except that, notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the board may adopt, immediately upon filing with the Office of Administrative Law, such regulations as the board deems necessary to implement the provisions of section 5 of P.L. , c. (C. ) (pending before the Legislature as this bill), which shall be effective for a period not to exceed six months and may thereafter be amended, adopted, or re-adopted by the board in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).

7. a. As used in this section:

“Automatic standby emergency power generator” means an emergency power generator that is powered by natural gas, where natural gas is available, or by propane stored in an above-ground tank, is integrated with the electrical system of the building used by a fire department or force, and provides at least 90 percent of the electric power that would be available to the building if the building were powered by its electrical system.

“Building” means a building that is used by a volunteer or paid fire department or force to house or store equipment used to render emergency services in response to a state of emergency or an emergency alarm.

“Declared state of emergency” means a state of emergency within this State declared by the Governor or the President of the United States.

“Disaster” means a natural, technological, or civil emergency that causes damage of sufficient severity and magnitude to result in a declared state of emergency.

“Power outage” means a failure in the supply of electricity causing a temporary cessation in the supply of power.

b. (1) A building used by a volunteer or paid fire department or force, on or after the effective date of this act, shall be equipped with and employ an automatic standby emergency power generator in the event of a power outage.

(2) A building used by a volunteer or paid fire department or force, prior to the effective date of this act, shall be equipped with and employ, within 90 days after the effective date of this act, an automatic standby emergency power generator in the event of a power outage.

c. The chief administrative officer of a volunteer or paid fire department or force, pursuant to the provisions of subsection b. of this section, shall ensure that its automatic standby emergency power generator is checked, tested, and serviced in accordance with generally accepted engineering practices as prescribed by regulation of the Director of the Division of Fire Safety in the Department of Community Affairs.

e. A volunteer or paid fire department or force that violates the provisions of this section shall be subject to such disciplinary measures as the Director of the Division of Fire Safety in the Department of Community Affairs deems necessary and within the director’s statutory authority to impose; except that the fire department or force shall not be in violation of the provisions of this section if the failure to use an automatic standby emergency power generator during a declared state of emergency is due to physical damage to the building or the automatic standby emergency power generator sustained from a disaster or during the declared state of emergency.

8. The Director of the Division of Fire Safety in the Department of Community Affairs, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations necessary to implement the provisions of section 7 of P.L. , c. (C. ) (pending before the Legislature as this bill); except that, notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the director may adopt, immediately upon filing with the Office of Administrative Law, such regulations as the director deems necessary to implement the provisions of section 7 of P.L. , c. (C. ) (pending before the Legislature as this bill), which shall be effective for a period not to exceed six months and may thereafter be amended, adopted, or re-adopted by the director in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).

9. a. As used in this section:

“Automatic standby emergency power generator” means an emergency power generator that is powered by natural gas, where natural gas is available, or by propane stored in an above-ground tank, is integrated with the electrical system of the boarding house, and provides at least 90 percent of the electric power that would be available to the boarding house if the boarding house were powered by its electrical system.

“Boarding house” means a boarding house that is approved by the Department of Community Affairs to house residents with Alzheimer’s disease and related disorders or other forms of dementia as prescribed by regulation of the Commissioner of Community Affairs.

“Declared state of emergency” means a state of emergency within this State declared by the Governor or the President of the United States.

“Disaster” means a natural, technological, or civil emergency that causes damage of sufficient severity and magnitude to result in a declared state of emergency.

“Power outage” means a failure in the supply of electricity causing a temporary cessation in the supply of power.

b. (1) A person who is licensed to own or operate a boarding house pursuant to P.L.1979, c.496 (C.55:13B-1 et seq.), on or after the effective date of this act, shall ensure that the boarding house is equipped with and employs an automatic standby emergency power generator in the event of a power outage at that facility.

(2) A person who is licensed to own or operate a boarding house pursuant to P.L.1979, c.496 (C.55:13B-1 et seq.), prior to the effective date of this act, shall ensure that the boarding house is equipped with and employs, within 90 days after the effective date of this act, an automatic standby emergency power generator in the event of a power outage at that facility.

c. The owner or operator of a boarding house, pursuant to the provisions of subsection b. of this section, shall ensure that its automatic standby emergency power generator is checked, tested, and serviced in accordance with generally accepted engineering practices as prescribed by regulation of the Commissioner of Community Affairs.

d. The owner or operator of a boarding house who violates the provisions of this section shall be subject to such disciplinary measures as the Commissioner of Community Affairs deems necessary and within the commissioner’s statutory authority to impose; except that the owner or operator shall not be in violation of the provisions of this section if the failure to use an automatic standby emergency power generator during a declared state of emergency is due to physical damage to the boarding house or the automatic standby emergency power generator sustained from a disaster or during the declared state of emergency.

10. The Commissioner of Community Affairs, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations necessary to implement the provisions of section 9 of P.L. , c. (C. ) (pending before the Legislature as this bill); except that, notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the commissioner may adopt, immediately upon filing with the Office of Administrative Law, such regulations as the commissioner deems necessary to implement the provisions of section 9 of P.L. , c. (C. ) (pending before the Legislature as this bill), which shall be effective for a period not to exceed six months and may thereafter be amended, adopted, or re-adopted by the commissioner in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).

11. a. As used in this section:

“Automatic standby emergency power generator” means an emergency power generator that is powered by natural gas, where natural gas is available, or by propane stored in an above-ground tank, is integrated with the electrical system of the grocery store, and provides at least 90 percent of the electric power that would be available to the grocery store if the grocery store were powered by its electrical system.

“Declared state of emergency” means a state of emergency within this State declared by the Governor or the President of the United States.

“Disaster” means a natural, technological, or civil emergency that causes damage of sufficient severity and magnitude to result in a declared state of emergency.

“Grocery store” means a retail business, including a supermarket or convenience store, primarily engaged in the self-service sale of foods and household supplies for off-premises consumption or use.

“Power outage” means a failure in the supply of electricity causing a temporary cessation in the supply of power.

b. The owner or operator of a newly constructed grocery store, for which an application for a construction permit has not been declared complete by the enforcing agency before the effective date of this act, shall ensure that the grocery store is equipped with and employs an automatic standby emergency power generator in the event of a power outage at that store.

c. The owner or operator of the grocery store, pursuant to the provisions of subsection b. of this section, shall ensure that its automatic standby emergency power generator is checked, tested, and serviced in accordance with generally accepted engineering practices as prescribed by regulation of the Commissioner of Community Affairs.

d. The owner or operator of a grocery store who violates the provisions of this section shall be subject to such disciplinary measures as the Commissioner of Community Affairs deems necessary and within the commissioner’s statutory authority to impose; except that the owner or operator shall not be in violation of the provisions of this section if the failure to use an automatic standby emergency power generator during a declared state of emergency is due to physical damage to the grocery store or the automatic standby emergency power generator sustained from a disaster or during the declared state of emergency.

12. The Commissioner of Community Affairs, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), shall adopt rules and regulations necessary to implement the provisions of section 11 of P.L. , c. (C. ) (pending before the Legislature as this bill); except that, notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the commissioner may adopt, immediately upon filing with the Office of Administrative Law, such regulations as the commissioner deems necessary to implement the provisions of section 11 of P.L. , c. (C. ) (pending before the Legislature as this bill), which shall be effective for a period not to exceed six months and may thereafter be amended, adopted, or re-adopted by the commissioner in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).

13. a. As used in this section:

“Alternative power generation device” means a device capable of providing electrical power for the primary purpose of dispensing motor fuel, payment acceptance equipment, pump shutoff switches, and other safety equipment.

“Declared state of emergency” means a state of emergency within this State declared by the Governor or the President of the United States.

“Disaster” means a natural, technological, or civil emergency that causes damage of sufficient severity and magnitude to result in a declared state of emergency.

“Motor fuel” means a combustible liquid or gaseous substance used, or suitable, for the generation of power to propel motor vehicles.

“Power outage” means a failure in the supply of electricity causing a temporary cessation in the supply of power.

“Retail dealer” means a person who engages in the business of selling or dispensing motor fuel to consumers within this State.

“State Office of Emergency Management” means the State Office of Emergency Management in the Division of State Police in the Department of Law and Public Safety.

b. A retail dealer shall be equipped with and maintain an alternative power generation device and, within 24 hours of a declared state of emergency in which the retail dealer has suffered a power outage, shall begin using its alternative power generation device to resume the selling or dispensing of motor fuel.

c. During regular inspections of a retail dealer, the State Superintendent of Weights and Measures or any State, county, or municipal weights and measures officer shall, in consultation with the State Office of Emergency Management, ensure that the retail dealer is equipped with an alternative power generation device and maintaining it in a safe and proper working condition.

d. A retail dealer that fails to comply with the provisions of this section shall be liable for a penalty of not more than $1,000 for a first offense and not more than $2,500 for each subsequent offense, to be collected by the State Superintendent of Weights and Measures in a summary proceeding pursuant to the “Penalty Enforcement Law of 1999,” P.L.1999, c.274 (C.2A:58-10 et seq.); except that a retail dealer shall not be in violation of the provisions of this section if the failure to use an alternative power generation device during a declared state of emergency is due to physical damage to the retail dealer’s facilities or the alternative power generation device sustained from a disaster or during the declared state of emergency.

14. The Director of the Division of Consumer Affairs in the Department of Law and Public Safety, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.) and in consultation with the Director of the State Office of Emergency Management, shall adopt rules and regulations necessary to implement the provisions of section 13 of P.L. , c. (C. ) (pending before the Legislature as this bill); except that, notwithstanding any provision of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the director may adopt, immediately upon filing with the Office of Administrative Law, such regulations as the director deems necessary to implement the provisions of section 13 of P.L. , c. (C. ) (pending before the Legislature as this bill), which shall be effective for a period not to exceed six months and may thereafter be amended, adopted, or re-adopted by the director in accordance with the requirements of P.L.1968, c.410 (C.52:14B-1 et seq.).

15. If a community center, senior center, or other public building provides public charging stations for portable electronic devices, it shall be equipped with sufficient outlets for members of the public to charge these devices and battery-powered, portable oxygen units. Any automatic standby emergency power generator with which the building is equipped shall be able to accommodate the public charging requirements of this section under the State Uniform Construction Code, as provided in the “State Uniform Construction Code Act,” P.L.1975, c.217 (C.52:27D-119 et seq.), and shall comply with the latest NJPA-70 (National Electrical Code) requirements.

16. a. Notwithstanding the provisions of subsection (k) of section 4 of P.L.1945, c. 162 (C.54:10A-4), a taxpayer may elect to treat the cost of qualified generator property, not to exceed $10,000, as an expense which is not chargeable to capital account. A cost treated as an expense shall be allowed as a deduction for the privilege period in which the qualified generator property is placed in service.

b. (1) An election under this section for any privilege period shall:

(a) specify the items of qualified generator property to which the election applies and the portion of the cost of each of those items which is to be taken into account under subsection a. of this section, and

(b) be made on the taxpayer's return of the tax imposed by section 5 of P.L.1945, c. 162 (C.54:10A-5) for the privilege period.

(2) the election shall be made in the manner as the director may by regulation prescribe.

(3) An election or specification with respect to a privilege period may be revoked by the taxpayer with respect to any property, and the revocation, once made, shall be irrevocable.

c. The director shall prescribe the rules and regulations necessary to carry out the provisions of this section, including, among others, those for determining the adjusted basis of the acquired qualified generator property for the purposes of the Corporation Business Tax Act (1945), P.L.1945, c.162 (C.54:10A-1 et seq.).

d. For the purposes of this section:

“Qualified generator property” means (1) an automatic standby emergency power generator, any required propane storage tank and equipment or material required for generator fuel supply, any electrical equipment, material, or switching required to integrate the automatic standby emergency power generator with the electrical system of the facility for a automatic standby emergency power generator that is required to be installed in a facility pursuant to sections 1, 3, 5, 7, 9, or 11 of P.L. , c. (C. ) (pending before the Legislature as this bill) and an alternative power generation device with which a retail dealer is required to be equipped pursuant to section 13 of P.L. , c. (C. ) (pending before the Legislature as this bill).

17. a. Receipts from sales of qualified generator property are, subject to the conditions and limitations of this section, exempt from the tax imposed under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.).

b. Notwithstanding the provisions of subsection a. of this section, the seller shall charge and collect the tax imposed pursuant to the “Sales and Use Tax,” P.L.1966, c.30 (C.54:32B-1 et seq.), from the purchaser on sales of qualified generator property at the rate then in effect, and the tax shall be returned as a rebate to the purchaser by the filing of a claim with the director for a rebate of the sales and use tax paid.

b. The filing of a claim for a rebate of the sales and use tax paid in accordance with this section shall be made by the purchaser on forms furnished by the director, and shall be accompanied by such information and documentation as may be determined to be necessary by the director to verify the tax paid on qualified generator property. The claim shall be filed within 360 days of the date the qualified generator property is placed in service.

c. The director shall review or cause to be reviewed each complete claim filed for a rebate of the sales and use tax paid in accordance with this section, and shall determine or cause to be determined the amount to be returned as a rebate for the sales and use tax paid in connection with purchases of qualified generator property based on the tax separately stated on the sales slip, invoice, receipt, or other statement or memorandum given to the purchaser at the time of purchase; provided however, that the director shall determine the amount to be returned as a rebate for the tax paid in connection with eligible purchases of qualified generator property made by a contractor on behalf of a purchaser based upon the separately stated cost of the qualified generator property, or, if the cost for qualified generator property is not separately stated on the contract, bill, or invoice given to the purchaser by the contractor, the amount to be returned as a rebate shall be based on 50 percent of the total amount of the sales price paid.

d. The director shall return or cause to be returned to each purchaser that has filed a complete claim for a rebate of the sales and use tax paid in accordance with this section the amount determined to be returned as a rebate within six months of the date the complete claim is filed.

e. The director shall pay or cause to be paid to a purchaser interest on any amount determined to be returned as a rebate that is not returned within six months of the date the complete claim is filed, as is allowed and paid on overpayments of tax pursuant to section 7 of P.L.1992, c.175 (C.54:49-15.1).

f. Notwithstanding any provisions of P.L.1968, c.410 (C.52:14B-1 et seq.) to the contrary, the director may adopt, immediately upon filing with the Office of Administrative Law, such regulations, including, but not limited to, terms and conditions governing application for and payment of refunds, as the director deems necessary to implement the provisions of this section, which regulations shall be effective for a period not to exceed 180 days from the date of filing. Such regulations may thereafter be amended, adopted, or readopted by the director as the director deems necessary in accordance with the requirements of P.L.1968, c.410.

18. a. Notwithstanding the provisions of N.J.S.54A:5-1 and section 26 of P.L.2004, c.65 (C.54A:5-1.2), a taxpayer may elect to treat the cost of qualified generator property, not to exceed $10,000, as an expense which is not chargeable to capital account. A cost treated as an expense shall be allowed as a deduction for the taxable year in which the qualified generator property is placed in service.

b. (1) An election under this section for any taxable year shall:

(b) be made on the taxpayer's return of the tax imposed by section “Gross Income Tax Act,” N.J.S.54A:1-1 et seq. for the taxable year.

(2) the election shall be made in the manner as the director may by regulation prescribe.

(3) An election or specification with respect to a privilege period may be revoked by the taxpayer with respect to any property, and the revocation, once made, shall be irrevocable.

(4) The election under this section shall be made by the business entity of a taxpayer, and shall apply to each owner of the business entity.

c. The director shall prescribe the rules and regulations necessary to carry out the provisions of this section, including, among others, those for determining the adjusted basis of the acquired property for the purposes of the "New Jersey Gross Income Tax Act," N.J.S.54A:1-1 et seq.

d. For the purposes of this section:

“Qualified generator property” means (1) an automatic standby emergency power generator, any required propane storage tank and equipment or material required for generator fuel supply, any electrical equipment, material, or switching required to integrate the automatic standby emergency power generator with the electrical system of the facility for a automatic standby emergency power generator that is required to be installed in a facility pursuant to sections 1, 3, 5, 7, 9, or 11 of P.L. , c. (C. ) (pending before the Legislature as this bill) and (2) an alternative power generation device with which a retail dealer is required to be equipped pursuant to section 13 of P.L. , c. (C. ) (pending before the Legislature as this bill).

19. Sections 1 through 15 of this act shall take effect on the first day of the fourth month next following the date of enactment, but the Commissioner of Health, the Commissioner of Community Affairs, the Director of the Division of Fire Safety in the Department of Community Affairs, the Director of the Division of Consumer Affairs in the Department of Law and Public Safety, and the New Jersey State Board of Pharmacy may each take such anticipatory administrative action in advance thereof as shall be necessary for the implementation of those sections. Sections 16 through 18 of this act shall take effect immediately and shall apply to taxable years beginning after the date of enactment, but the Director of the Division of Taxation in the Department of the Treasury may take such anticipatory administrative action in advance thereof as shall be necessary for the implementation of those sections.

STATEMENT

This bill, which is to be known as the “New Jersey Residents’ Power Protection Act,” requires the use of emergency power generators in certain facilities and places of business in this State.

The facilities and businesses to whom this requirement applies provide critical and unique services that are vital to public safety and economic recovery during times of widespread power loss due to a natural disaster or other catastrophic event, and so must have secondary sources of power. These entities include: nursing homes, assisted living facilities, and subacute rehabilitation facilities; first aid, ambulance, and rescue squads; pharmacies; firehouses; boarding houses; newly constructed grocery stores (including supermarkets and convenience marts); and gas stations.

The bill further requires that certain entities (such as health care facilities, first aid, ambulance, and rescue squad buildings, and firehouses, community centers, senior centers, and other public buildings), if they provide public charging stations for portable electronic devices, be equipped with sufficient outlets for members of the public to charge these devices and battery-powered, portable oxygen units. Any automatic standby emergency power generator with which the entity is equipped must be able to accommodate this public charging requirement under the State Uniform Construction Code and comply with the latest NJPA-70 (National Electrical Code) requirements.

In addition, the bill provides for a corporation business tax deduction and gross income tax deduction (not to exceed $10,000 in either case), and a sales tax exemption, for the purchase of applicable equipment by certain businesses and individuals, respectively, as will help to effectuate the purposes of this bill.

The importance of ensuring ongoing power for the facilities and businesses referenced in this bill was vividly illustrated by the devastation to so many areas of New Jersey, and the resulting hardship to millions of people throughout this State, that was wrought by Hurricanes Irene and Sandy, when access to essential services, food, and other basic necessities was greatly compromised due to widespread and lengthy power outages throughout the State.

The bill provides for the expedited adoption of rules and regulations by the appropriate regulatory authority, as applicable to each category of facility and business, to facilitate timely implementation of its provisions.