ASSEMBLY COMMERCE AND MILITARY AND VETERANS' AFFAIRS COMMITTEE
STATEMENT TO
ASSEMBLY, No. 2688
STATE OF NEW JERSEY
DATED: FEBRUARY 3, 1997
The Assembly Commerce and Military and Veterans' Affairs Committee reports favorably Assembly Bill No. 2688.
As reported, the Export Finance Company Advisory Council (hereinafter, "council"), which was formed pursuant to the "Export Financing Opportunities Act," P.L.1995, c.209, to develop a form of organization and a plan of operation for the proposed Export Finance Company (hereinafter, "company"), has been meeting regularly since February 1996. The council recently recommended that the "Export Financing Opportunities Act" be amended to clarify that the council should continue to monitor and provide advisory input to the company when it is created and to permit council members to serve on the company's Board of Directors or Board of Trustees, as the case may be.
The bill also allows the company to be organized as a limited liability corporation (hereinafter, "LLC"), which may have certain operation and tax advantages. The bill also provides the authorization to the New Jersey Economic Development Authority or other public entity to purchase interest in such an LLC as long as the interest purchased does not exceed 49 percent of the total shared interest of the company, and provided that the operating agreement of the LLC permits the authority or other public entity to resign and receive a distribution from the company before any private sector members.