LEGISLATIVE FISCAL ESTIMATE TO

ASSEMBLY, No. 2686

STATE OF NEW JERSEY

DATED: MARCH 18, 1997

      Assembly Bill No. 2686 of 1997 establishes the "Local-State Business Incentive Promotion Program" within the New Jersey Economic Development Authority (EDA) to assist counties and municipalities with their plans to retain existing businesses or attract new businesses. To implement the program, the EDA is directed to establish and maintain a "Local-State Business Incentive Promotion Fund," from which loans and grants may be awarded to qualified counties and municipalities to defray the cost of implementing such business retention and attraction plans.

      The Office of Legislative Services notes that the bill does not appropriate any State funds to the EDA for the purposes of the proposed program. However, the bill provides the EDA with the discretion to establish funding from among a variety sources, although neither the Department of Commerce and Economic Development nor the EDA has indicated the degree to which such resources may be available. Pursuant to section four of the bill, the identified resources include, but are not limited to, monies derived from: the "Economic Recovery Fund," P.L.1992, c.16 (C.34.1B-7.12), or such other available business development funds; the repayment of development loans; business development programs administered by other State agencies; appropriations made by the Legislature; fees collected from applicants pursuant to the bill; and such other monies as may be made available, including, but not limited to, funds provided by private investors.

      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.