[Fourth Reprint]

SENATE, No. 1683

 

STATE OF NEW JERSEY

 

INTRODUCED NOVEMBER 7, 1996

 

 

By Senators CAFIERO, GORMLEY, DiFrancesco, O'Connor, Lynch, Adler, Assemblymen Gibson and Asselta

 

 

An Act concerning 4[the imposition of certain taxes on retail receipts for]4 the funding 4, construction and operation4 of the projects of certain tourism improvement and development authorities 2and the 4[membership and]4 powers of those authorities2 4and the powers and projects of the New Jersey Sports and Exposition Authority4, amending 2and supplementing2 P.L.1992, c.165 4, amending P.L.1971, c.137, amending P.L.1991, c.3754 and supplementing P.L.1966, c.30.

 

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

 

    21. Section 3 of P.L. 1992, c. 165 (C.40:54D-3) is amended to read as follows:

    3. As used in this act:

    "Authority" means a tourism improvement and development authority created pursuant to section 18 of this act, P.L.1992, c.165 (C.40:54D-18).

    "Bond" means any bond or note issued by an authority pursuant to the provisions of this act.

    ["Commissioner" means the Commissioner of Commerce, Energy and Economic Development.] 4"Commissioner" means the Commissioner of the Department of Commerce and Economic Development.4

    "Construction" means the planning, designing, construction, reconstruction, rehabilitation, replacement, repair, extension, enlargement, improvement and betterment of a project, and includes the demolition, clearance and removal of buildings or structures on land acquired, held, leased or used for a project.

    "Convention center facility" means any convention hall or center or like structure or building, and shall include all facilities, including commercial, office, community service, parking facilities and all property rights, easements and interests, and other facilities constructed for the accommodation and entertainment of tourists and visitors, constructed in conjunction with a convention center facility and forming reasonable appurtenances thereto 4but does not mean the Wildwood convention center facility as defined in this section4.

    "Tourism project" means the convention center facility or [similar tourism improvement or development project] outdoor special events arena, or both, located in the territorial limits of the district, and any costs associated therewith 4but does not mean the Wildwood convention center facility as defined in this section4.

    "Cost" means all or any part of the expenses incurred in connection with the acquisition, construction and maintenance of any real property, lands, structures, real or personal property rights, rights-of-way, franchises, easements, and interests acquired or used for a project; any financing charges and reserves for the payment of principal and interest on bonds or notes; the expenses of engineering, appraisal, architectural, accounting, financial and legal services; and other expenses as may be necessary or incident to the acquisition, construction and maintenance of a project, the financing thereof and the placing of the project into operation.

    "County" means a county of the sixth class.

    ["Department" means the Department of Commerce, Energy and Economic Development.]

    "Director" means the Director of the Division of Taxation in the Department of the Treasury.

    "Fund" means a Reserve Fund created pursuant to section 13 of 4[this act,]4 P.L.1992, c.165 (C.40:54D-13).

    "Outdoor special events arena" means a facility or structure for the holding outdoors of public events, entertainments, sporting events, concerts or similar activities, and shall include all facilities, property rights and interests, and all appurtenances reasonably related thereto, constructed for the accommodation and entertainment of tourists and visitors.

    "Participant amusement" means a sporting activity or amusement the charge for which is exempt from taxation under the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.) by virtue of the participation of the patron in the activity or amusement, such as bowling alleys, swimming pools, water slides, miniature golf, boardwalk or carnival games and amusements, baseball batting cages, tennis courts, and fishing and sightseeing boats.

    "Predominantly tourism related retail receipts" means:

    a. The rent for every occupancy of a room or rooms in a hotel subject to taxation pursuant to subsection (d) of section 3 of the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-3);

    b. Receipts from the sale of food and drink in or by restaurants, taverns, or other establishments in the district, or by caterers, including in the amount of such receipt any cover, minimum, entertainment or other charge made to patrons or customers, subject to taxation pursuant to subsection (c) of section 3 of the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-3) but excluding receipts from sales of food and beverages sold through coin operated vending machines; and

    c. Admissions charges to or the use of any place of amusement or of any roof garden, cabaret or similar place, subject to taxation pursuant to subsection (e) of section 3 of the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-3).

    "Purchaser" means any person purchasing or hiring property or services from another person, the receipts or charges from which are taxable by an ordinance authorized under 4[this act,]4 P.L.1992, c.165 (C.40:54D-1 et seq.).

    4"Sports authority" means the New Jersey Sports and Exposition Authority established pursuant to P.L.1971, c.137 (C.5:10-1 et seq.).4

    "Tourism" means activities involved in providing and marketing services and products, including accommodations, for nonresidents and residents who travel to and in New Jersey for recreation and pleasure.

    "Tourism development fee" means a fee imposed by ordinance pursuant to section 15 of 4[this act,]4 P.L.1992, c.165 (C.40:54D-15), within a tourism improvement and development district on:

    a. Persons making sales of tangible personal property or services, the receipts from which are subject to the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), but which are not predominately tourism related retail receipts as defined in this section;

    b. Persons making charges for participant amusements as defined in this section;

    c. Persons operating businesses that charge for parking, garaging or storing of motor vehicles;

    d. Persons maintaining or operating coin-operated vending machines within the district, for the machines within the district, regardless of the types of commodities sold through the machines; and

    e. Persons making sales of tangible personal property or services, the receipts from which are subject to the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.), and which are predominately tourism related retail receipts as defined in this section, but only to the extent that the amount of tax on those receipts collected in a year by the person is less than the amount of the tourism development fee for that year.

    "Tourism improvement and development district" or "district" means an area within two or more contiguous municipalities within a county of the sixth class established pursuant to ordinance enacted by those municipalities, for the purposes of promoting the acquisition, construction, maintenance, operation and support of a tourism project, and to devote the revenue and the proceeds from taxes upon predominantly tourism related retail receipts and from tourism development fees to the purposes as herein defined.

    "Tourist industry" means the industry consisting of private and public organizations which directly or indirectly provide services and products to nonresidents and residents who travel to and in New Jersey for recreation and pleasure.

    "Vendor" means a person selling or hiring property or services to another person, the receipts or charges from which are taxable by an ordinance authorized under 4[this act,]4 P.L.1992, c.165 (C.40:54D-1 et seq.).2

    4"Wildwood convention center facility" means the project authorized by paragraph (12) of subsection a. of section 6 of P.L.1971, c.137 (C.5:10-6).4

(cf: P.L.1992, c.165, s.3)

 

    2[1.] 2.2 Section 4 of P.L.1992, c.165 (C.40:54D-4) is amended to read as follows:

    4. a. Two or more contiguous municipalities located in a county of the sixth class may, by ordinances of a substantially similar nature, create a tourism improvement and development district for the purpose of increasing public revenue and to levy taxes upon predominantly tourism related retail receipts at a rate not to exceed [2 percent] 4[five percent, until certification by the director pursuant to subsection e. of section 9 of P.L.1992, c.165 (C.40:54D-9), and thereafter at a rate not to exceed 4 percent2, until the first day of the third month following the certification by the State Treasurer that all payments for bonds issued pursuant to section 20 of P.L. , c. (C.     ) (now pending before the Legislature as this bill) have been made, and thereafter at a rate not to exceed]4 2 percent2, and to devote the proceeds therefrom for the purposes herein described. 3[2The ordinances shall provide that to the extent that the revenues derived annually from the taxes so levied in the district exceed $6,250,000 in any year prior to certification by the director pursuant to that subsection e., or $5,500,000 in any year thereafter, the excess revenues shall not be used for the purposes of the district but shall be deposited in the State General Fund to be used for general State purposes.]3 Municipal ordinances so adopted shall not affect which retail receipts are subject to the "Sales and Use Tax Act."

    4[A rate of tax in excess of 2 percent shall be permitted only in a district in which each municipality that enters into the creation of the district and each municipality entering the district after creation does not impose a fee in excess of $2 per day for general public access to the beaches located within those municipalities. If any of those municipalities creating the district or the municipalities entering the district after creation impose a fee in excess of $2 per day for general public access to the beaches within those municipalities in any calendar year, the tax rate upon predominantly tourism related retail receipts within the district shall automatically be considered reduced to a rate of 2 percent and this rate shall be deemed effective as of the first day of the second month following a determination by the State Treasurer that a beach fee in any of the municipalities exceeded $2 per day for general public access.2]4

    For the same purposes, the ordinances establishing the district shall also provide for the imposition of tourism development fees authorized pursuant to section 15 of 4[this act,]4 P.L.1992, c.165 (C.40:54D-15). The taxes on predominantly tourism related retail receipts and tourism development fees so imposed shall be uniform throughout the district.

    b. Notwithstanding any other law to the contrary, ordinances so adopted shall not be subject to referenda, and shall not be altered or repealed, except by mutual action of all such municipalities 4and then only upon the written approval of the State Treasurer and, so long as the sports authority shall own and be responsible for the construction and operation of the Wildwood convention center facility, upon the written approval of the sports authority4. Each municipality which enters into the creation of the district shall covenant that the ordinance2, or a condition imposed by statute that each municipality is required to meet,2 shall not be altered or repealed in such manner as to affect any bonds or other obligations pertaining to projects within the district which are outstanding. 4Any alteration or repeal, or attempted alteration or repeal, in violation of this subsection, whether before or after the effective date of P.L. , c. (C. ) (now pending before the Legislature as this bill) shall be null and void.4

    c. The district shall comprise all territory within the boundaries of the municipalities which create or enter into the district.

    d. A contiguous municipality located in a county of the sixth class may, by such an ordinance, and with the mutual consent of the governing bodies of the municipalities which created the district, enter into the district so created after the date of the district's creation.

    e. A copy of an ordinance adopted pursuant to this section shall be transmitted upon adoption or amendment to the State Treasurer. An ordinance so adopted or any amendment thereto shall provide that the retail receipts tax provisions of the ordinance or any amendment to the retail receipts tax provisions shall take effect on the first day of the first full month occurring 90 days after the date of transmittal to the State Treasurer.

(cf: P.L.1992, c.165, s.4)


    4[2[2.] 3.2 Section 9 of P.L.1992, c.165 (C.40:54D-9) is amended to read as follows:

    9. a. A vendor required to collect the tax upon predominantly tourism related retail receipts imposed pursuant to this act shall on or before the dates required pursuant to section 17 of P.L.1966, c.30 (C.54:32B-17), forward to the director the tax collected in the preceding month and make and file a return for the preceding month with the director on any form and containing any information as the Director of the Division of Taxation in the Department of the Treasury shall prescribe by rule or regulation as necessary to determine liability for the tax in the preceding month during which the person was required to collect the tax.

    b. The director may permit or require returns to be made covering other periods and upon any dates as the director may specify. In addition, the director may require payments of tax liability at any intervals and based upon any classifications as the director may designate. In prescribing any other periods to be covered by the return or intervals or classifications for payment of tax liability, the director may take into account the dollar volume of tax involved as well as the need for ensuring the prompt and orderly collection of the tax imposed.

    c. The director may require amended returns to be filed within 20 days after notice and to contain the information specified in the notice.

    d. The director shall inform the authority for each month in which this tax is collected and returns made of the amount so collected in each month.

    e. From the date that substantially similar amendments to municipal ordinances to increase the tax rate 2in excess of a rate of 2 percent2 pursuant to P.L. , c. (C. ) (now pending before the Legislature as this bill), take effect in all municipalities in the district, the director shall maintain a running total of the amounts collected under the tax until such month as 20 percent of the amount collected under the increased tax rate equals the total amount collected under the tax during the time the tax was levied at a 2 percent rate pursuant to P.L.1992, c.165 (C.40:54D-1 et seq.). The director shall, within 10 days of the receipt of that amount of tax collected, certify to the governing body of each municipality in the district that such amount has been collected.

(cf: P.L.1992, c.165, s.9)]4

 

    43. Section 6 of P.L.1992, c.165 (C.40:54D-6) is amended to read as follows:

    6. a. The director shall collect and administer any tax imposed pursuant to the provisions of [this act,] P.L.1992, c.165 (C.40:54D-1 et seq.) notwithstanding the provisions of any other law or ordinance to the contrary. In carrying out the provisions of [this act] P.L.1992, c.165 (C.40:54D-1 et seq.) the director shall have all the powers granted in P.L. 1996. c.30 (C.54:32B-1 et seq.).

    b. The director shall determine and certify to the State Treasurer on a monthly basis the amount of revenues [payable to any authority operating ] collected in a district [for which a tax] on predominantly tourism related retail receipts [is imposed and collected by the director] pursuant to [this act,] P.L.1992, c.165 (C.40:54D-1 et seq.). The State Treasurer, upon the certification of the director and upon the warrant of the State Comptroller, shall pay and distribute on a monthly basis to the fund established pursuant to section 13 of [this act,] P.L.1992, c.165 (C.40:54D-13) the amount so determined and certified [unless those amounts are otherwise required to be placed in the reserve fund pursuant to this act].4

(cf: P.L.1992, c.165, s.6)

 

    4[24. Section 12 of P.L.1992, c.165 (C.40:54D-12) is amended to read as follows:

    12. [All] Of the revenues collected annually by the director under an ordinance adopted and authorized pursuant to this act, P.L.199, c.165 (C.40:54D-1 et seq.), an amount not to exceed $6,250,000 in any year prior to certification by the director pursuant to subsection e. of section 9 of P.L.1992, c.165 (C.40:54D-9), or $5,500,000 in any year thereafter, after deduction of administrative costs as provided herein, shall be retained by the State Treasurer for deposit in the fund established pursuant to section 13 of this act, P.L.1992, c.165 (C.40:54D-13), to be used and distributed according to the terms herein provided. Amounts collected in excess of such amounts shall not be deposited to the fund but shall be deposited in the State General Fund to be used for general State purposes.

    The State Treasurer may deduct from amounts so retained prior to deposit in the fund an amount equal to that necessary to compensate the Department of the Treasury for costs actually incurred by that department in administering the provisions of this act. The State Treasurer shall annually provide the authority to which the fund pertains with a written account of the amounts so deducted and of the costs so incurred in the previous fiscal year. Amounts deducted by the State Treasurer shall be retained by the Department of the Treasury and used exclusively for costs so incurred.2

(cf: P.L.1992, c.165, s.12)]4

 

    44. Section 13 of P.L.1992, c.165 (C.40:54D-13) is amended to read as follows:

    13. There is created for a tourism improvement and development district established pursuant to [this act,] P.L.1992, c.165 (C.40:54D-1 et seq.), a reserve fund to be held by the State Treasurer, but not to exist in the State Treasury, to be the repository for monies paid to the State Treasurer pursuant to [this act,] P.L.1992, c.165 (C.40:54D-1 et seq.), and disbursed as provided herein.4

(cf: P.L.1992, c.165, s.13)

 

    2[13.] 5.2 Section 14 of P.L.1992, c.165 (C. 40:54D-14) is amended to read as follows:

    14. a. Until such time as the conditions set forth in subsection b. of this section are met, the revenues deposited by the State Treasurer in the fund shall be applied for the purposes of financing the provision, advertising, promotion, improvement and operation of the tourism project within the district, and the acquisition, maintenance, operation and support of the tourism project designated by the authority authorized to undertake those activities pursuant to section 18 of 4[this act,]4 P.L.1992, c.165 (C.40:54D-18) 4[; provided however, that all funds derived from taxes upon predominantly tourism related retail receipts 2[, to the extent that the revenues are derived from taxes imposed at rates in excess of 2 percent,]2 shall be used solely for the costs of capital construction or for the issuance of bonds for the acquisition, construction, maintenance and operation of a capital construction project and the payment of interest and principal on such bonds 2, except as provided for operating expenses of the authority in subsection b. of section 20 of P.L. , c. (C. ) (now pending before the Legislature as this bill)2]4.

    b. Commencing on that date which is the later of (1) July 1, 1993, or (2) six months prior to the first date on which any payment of principal or interest on any bonds or notes issued for, or any payment of rent under any lease entered into 2[by the authority]2 in connection with the acquisition, construction, reconstruction, maintenance, operation or support of a convention center facility or other tourism project to accomplish the purposes 2[of the authority as]2 set forth in section 21 of 4[this act,]4 P.L.1992, c.165 (C.40:54D-21), are required to be made from the revenues collected pursuant to section 4 of 4[this act,]4 P.L.1992, c.165 (C.40:54D-4), the revenues thereafter retained by the State Treasurer pursuant to section 12 of 4[this act,]4 P.L.1992, c.165 (C.40:54D-12), shall be applied exclusively in accordance with the provisions of the resolution or resolutions authorizing the issuance of bonds 2[ by the authority]2 for that tourism project, to the payment of principal of and interest on bonds so issued, the maintenance of necessary reserves and the allocation of monies for future debt service payments. On that date which is the later date determined pursuant to paragraph 1 or 2 of this subsection, all monies then accumulated in the fund shall be removed by the State Treasurer and the proceeds, with the interest thereon, shall be used for any of the purposes set forth in subsection a. of this section.

    c. 2[ At the end of any full calendar year occurring after the date which is the later date determined pursuant to paragraph 1 or 2 of subsection b. of this section and after all payments coming due during that calendar year of principal and interest on authority bonds or notes issued for a tourism project have been made, and all obligations to the holders of those bonds have been met, including the maintenance of necessary reserves and the allocation of monies for future debt service payments, any balance remaining in the fund in that calendar year shall be applied to any deficiency between the operating expense budget and the anticipated operating revenues available for the following fiscal year to the entity operating the tourism project.]4[(Deleted by amendment, P.L. , c. (now pending before the Legislature as this bill).)2] At the end of any full calendar year occurring after the date which is the later date determined pursuant to paragraph 1 or 2 of subsection b. of this section and after all payments coming due during that calendar year of principal and interest on authority bonds or notes issued for a tourism project have been made, and all obligations to the holders of those bonds have been met, including the maintenance of necessary reserves and the allocation of monies for future debt service payments, any balance remaining in the fund in that calendar year shall be applied to any deficiency between the operating expense budget and the anticipated operating revenues available for the following fiscal year to the entity operating the tourism project.4

    d. At the end of each full calendar year occurring after the date which is the later date determined pursuant to paragraph 1 or 2 of subsection b. of this section and after all payments for that year have been made from the fund pursuant to 2[subsections b. and c. of]2 4subsections b. and c. of4 this section, any monies remaining in the fund in that calendar year shall be used for the purposes set forth in subsection a. of this section.

    e. Pending application to the purposes for which monies deposited in the fund may be used, the monies in the fund shall be invested by the State Treasurer pursuant to applicable regulations prescribed for the investment of State monies. Any income received from these investments shall be added to the fund from which earned, and used only for the purposes of the fund.1

    4f. Notwithstanding any other law to the contrary, subsections a. through d. of this section shall not apply to any authority in existence on July 1, 1997 for the period of time beginning on the effective date of P.L. , c. (C. )(now pending before the Legislature as this bill) and continuing thereafter until the 60th day following the date on which the State Treasurer certifies that all bonds or notes issued by the sports authority pursuant to section 12 of P.L.1991, c.375 (C.5:10-14.3) and section 18 of P.L. c. (C. )(now pending before the Legislature as this bill) to finance the Wildwood convention center facility, together with interest thereon, have been fully met and discharged or provided for. During such period of time all revenues from a district with an authority in existence on July 1, 1997 shall be deposited by the State Treasurer in the fund created pursuant to section 13 of P.L.1992, c.165 (C.40:54D-13) and shall be allocated as follows: 90 percent of the revenues shall be transferred by the State Treasurer to the sports authority for purposes in connection with the Wildwood convention center facility to be applied as set forth in subsection g. of section 6 of P.L.1971, c.137 (C.5:10-6) and the remaining 10 percent of the revenues shall be transferred by the State Treasurer to the Greater Wildwood Tourism Improvement Development Authority to be applied set forth in section 21 of P.L.1992, c.165 (C.40:54D-21).4

(cf: P.L.1992, c.165, s.14)

 

    26. Section 18 of P.L.1992, c.165 (C.40:54D-18) is amended to read as follows:

    18. a. Ordinances adopted to create a tourism improvement and development district pursuant to 4[this act,]4 P.L.1992, c.165 (C.40:54D-1 et seq.) shall provide for the creation of a public body corporate and politic for the district, under the name and style of "the Tourism Improvement and Development Authority."

    b. Copies of the ordinances for the creation of the authority or amendments thereof shall be filed in the office of the Secretary of State and in the office of the Division of Local Government Services in the Department of Community Affairs. A copy of the certified ordinance or amendment shall be admissible in evidence in any action or proceeding and shall be conclusive evidence of due and proper adoption and filing thereof. After filing in the office of the Secretary of State, a copy of the ordinance or amendment shall be published at least once in a newspaper published or circulating in the adopting municipalities, together with a notice stating the fact and date of its adoption and the date of first publication of the notice. If no action questioning the validity of the creation of the authority is commenced within 45 days after the first publication of the notice, then the authority shall be conclusively deemed to have been validly created and authorized to transact business and exercise powers pursuant to this act, P.L.1992, c.165 (C.40:54D-1 et seq.).

    c. An authority so established shall be subject to the provisions of the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.), except that the creation of the authority shall not be subject to approval of the Local Finance Board in the Department of Community Affairs.2

(cf: P.L.1992, c.165, s.18)


    27. Section 19 of P.L.1992, c.165 (C.40:54D-19) is amended to read as follows:

    19. The governing bodies of the municipalities which created an authority pursuant to 4[this act,]4 P.L.1992, c.165 (C.40:54D-1 et seq.) may by ordinance, dissolve the authority pursuant to the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.) , except that 4[the] any4 authority 4in existence on July 1, 1997,4 shall not be dissolved prior 4to4 the date certified by the State Treasurer that all 4[payments for]4 bonds 4or notes4 issued by the 4[State] sports4 authority pursuant to section 4[20] 12 of P.L.1991, c.375 (C.5:10-14.3) and section 184 of P.L. , c. (C.          ) (now pending before the Legislature as this bill) 4[have been made.2] to finance the Wildwood convention center facility, together with interest thereon, have been full met and discharged or provided for. Any dissolution, or attempted dissolution, of any such authority in violation of this section, whether before or after the effective date of P.L. , c. (C. )(now pending before the Legislature as this bill) shall be null and void.4

(cf: P.L.1992, c.165, s.19)

 

    4[28. Section 20 of P.L. 1992, c. 165 (C.40:54D-20) is amended to read as follows:

    20. a. The authority shall consist of 3[nine] eleven3 members. After the expiration of the period of 45 days following the first publication of the creating ordinances or amendments to those ordinances adopted pursuant to P.L. , c. (C. ) (now pending before the Legislature as this bill), the governing body of each municipality joining in the creation of the tourism improvement and development district shall appoint the [first] municipal members to the authority. Each municipality shall be entitled to appoint [three members]one member to the authority. [Two of the three members so appointed shall be owners, or employees of vendors, for whom a regular part of a dominant line of their business generates retail receipts subject to taxation or who are subject to payment of municipal fees pursuant to this act, P.L.1992, c.165 (C.40:54D-1 et seq.). The remaining member appointed by each municipality shall be a resident of the municipality who is not such an owner or employee of a vendor. No member shall hold any elective public office] The member shall be appointed by the mayor of the municipality, and may be the mayor or other officer of the municipality.

    b. The [Commissioner of the Department of Commerce, Energy and Economic Development] State Treasurer 3and the Director of the Division of Travel and Tourism in the Department of Commerce and Economic Development3 shall be 3[an]3 ex officio 3[member] members3 of the authority.

    c. The Governor shall appoint, with the advice and consent of the Senate, 3[five]six3 members to the authority3[, at least two of whom shall be residents] as follows: three public members who shall each be a resident of a different municipality joining in the creation of the district; and three tourism business members who shall each be a resident of a different municipality joining in the creation3 of the tourism improvement and development district 3[who are owners, or employees of vendors] and be an owner, or an employee of a vendor3, for whom a regular part of a dominant line of 3[their]3 business generates retail receipts subject to taxation or who 3[are] is3 subject to payment of municipal 3[fees] fee3 pursuant to P.L.1992, c.165 (C.40:54D-1 et seq.). No more than three of the members so appointed shall be members of the same political party.

    d. The terms of office of all members of the authority serving on the effective date of P.L. , c. (C. ) (now pending before the Legislature as this bill) shall terminate 45 days following the publication of amendments to the creating ordinances adopted pursuant to P.L. , c. (C. ) as provided for in subsection a. of this section and, thereafter, the Governor and the municipalities within the district shall proceed to appoint members as provided by this section.

    e. Each member of the authority shall serve for a term of 3[four] three3 years, except of the members initially appointed by the Governor, 3[two] one public member and one tourism business member shall be appointed for a term of one year,one public member and one tourism business member3 shall be appointed for a term of two years and [one] 3[three] one public member and one tourism business member3 shall be appointed for a term of 3[four] three3 years3, and of the members initially appointed by the municipalities, one municipality shall appoint for a term of one year, one for a term of two years and one for a term of three years, as shall be determined by agreement of the mayors of the municipalities or by rank in population of the municipalities from least to greatest3. Each member shall hold office for the term of the member's appointment and until the member's successor is appointed and qualified. A member shall be eligible for reappointment. A vacancy in the membership occurring other than by expiration of term shall be filled in the same manner as the original appointment but for the unexpired term only.

    [d.]f. The [commissioner] State Treasurer may designate an employee of the [department] Department of the Treasury3, and the Director of the Division of Travel and Tourism may designate an employee of the division,3 to represent the member at meetings of the authority. The designee of the member may lawfully vote and otherwise act on behalf of the member. The designation shall be made annually in writing and delivered to the authority and shall be effective until revoked or amended by written notice delivered to the authority.

    [e.]g. 3The Governor shall designate one of the Governor's appointees to serve as chairman at the pleasure of the Governor.3 The authority, upon the first appointment of its members and thereafter at the same time in each year, shall annually elect from among its members, 3[a chairman and]3 a vice-chairman who shall hold office until a successor is elected. The authority may also appoint and employ, without regard to the provisions of Title 11A of the New Jersey Statutes, an executive director and other agents and employees as the authority may require, and shall determine their qualifications, terms of office, duties and compensation thereof.

    [f.]h. The powers of the authority shall be vested in the voting members thereof in office from time to time; a majority of the members of the authority shall constitute a quorum and the affirmative vote of a majority of the full membership shall be necessary for any action taken by the authority unless the bylaws of the authority shall require a larger number. No vacancy in the membership of the authority shall impair the right of a quorum to exercise all the rights and perform all the duties of the authority.

    [g.] i. The members of the authority shall serve without compensation, but the authority may reimburse its members for actual and necessary expenses incurred in the discharge of their duties.

    [h.] j. Each appointed member of the authority may be removed by the appointing authority for cause after a public hearing and may be suspended by the authority pending the completion of the hearing. Each member of the authority before entering upon the duties of office shall take and subscribe an oath to perform the duties of the office faithfully, impartially, prudently and justly to the best of the member's ability. A record of these oaths shall be filed in the office of the Secretary of State.

    k. A true copy of the minutes of every meeting of the authority shall be forthwith delivered by and under the certification of the secretary thereof to the Governor. No action taken at the meeting by the authority shall take effect until 15 days after the copy of the minutes is so delivered unless during that 15 day period the Governor approves the same, in which case the action shall take effect upon that approval. If in that 15 day period, the Governor returns the copy of the minutes with veto of any action taken by the authority, that action shall be null and void.2

(cf: P.L.1992, c.165, s.20)]4

 

    48. Section 20 of P.L.1992, c.165 (C.40:54D-20) is amended to read as follows:

    20. a. After the expiration of the period of 45 days following the first publication of the creating ordinances, the governing body of each municipality joining in the creation of the tourism improvement and development district shall appoint the first members to the authority. Each municipality shall be entitled to appoint three members to the authority. Two of the three members so appointed shall be owners, or employees of vendors, for whom a regular part of a dominant line of their business generates retail receipts subject to taxation or who are subject to payment of municipal fees pursuant to [this act,] P.L. 1992, c. 165 (C.40:54D-1 et seq.). The remaining member appointed by each municipality shall be a resident of the municipality who is not such an owner or employee of a vendor. No member shall hold any elective public office.

    b. The Commissioner of the Department of Commerce[, Energy] and Economic Development shall be an ex officio member of the authority.

    c. Each member of the authority shall serve for a term of four years, except of the members initially appointed, two shall be appointed for a term of two years and one shall be appoint for a term of two years and one shall be appointed for a term of four years. Each member shall hold office for the term of the member's appointment and until the member's successor is appointed and qualified. A member shall be eligible for reappointment.

    A vacancy in the membership occurring other than by expiration of term shall be filled in the same manner s the original appointment bu for the unexpired term only.

    d. The Commissioner may designate an employee of the department to represent the member at meetings of the authority. The designee of the member may lawfully vote and otherwise act on behalf of the member.

    The designation shall be made annually in writing and delivered to the authority and shall be effective until revoked or amended by written notice delivered to the authority.

    e. The authority, upon the first appointment of its members and thereafter at the same time in each year, shall annually elect from among its members, a chairman and a vice-chairman who shall hold office until a successor is elected. The authority may also appoint and employ,. without regard to the provisions of Title 11A of the New Jersey Statutes, an executive director and other agents and employees as the authority may require, and shall determine their qualifications, terms of office, duties and compensation thereof.

    f. The powers of he authority shall be vested in the voting members thereof in office from time to time; a majority of the members of the authority shall constitute a quorum and the affirmative vote of a majority of the full membership shall be necessary for any action taken by the authority unless the bylaws of the authority shall require a larger number. No vacancy in the membership of the authority shall impair the right of a quorum to exercise all the rights and perform all the duties of the authority.

    g. The members of the authority shall serve without compensation, but the authority may reimburse its members for actual and necessary expenses incurred in the discharge of their duties.

    h. Each appointed member of the authority may be removed by the appointing authority for cause after a public hearing and may be suspended by the authority pending the completion of he hearing. Each member of the authority before entering upon the duties of office shall take and subscribe an oath to perform the duties of the office faithfully, impartially, prudently and justly to the best of the member's ability. A record of these oaths shall be filed in the office of the Secretary of State.4

(cf: P.L.1992, c.165, s.20)

 

    29. Section 21 of P.L.1992, c.165 (C.40:54D-21) is amended to read as follows:

    21. The public purpose of an authority shall be to undertake a tourism project 4[which] if it4 is necessary or useful to the economic development and public welfare of the residents and tourist industry of the creating municipalities, and to promote, advertise and enhance the attractiveness of the district to visitors and tourists4[. An] ; provided however, that such promotion, advertisement and enhancement shall not be undertaken by any authority with respect to the Wildwood convention center facility unless any such authority is expressly authorized by the sports authority to undertake such activities. Except as otherwise provided in, and subject to any limitations in, P.L. , c. (C. )(now pending before the Legislature as this bill), an4 authority shall have the following powers:

    a. To adopt bylaws for the regulation of its affairs and the conduct of its business;

    b. To adopt an official common seal and alter it at its pleasure;

    c. To maintain an office at a place or places within the district as it may designate;

    d. To sue and be sued in its own name;

    e. To acquire from any predecessor owner or operator, and to construct, reconstruct, maintain, and operate a convention center facility or other tourism project;

    f. [To] 4[Except as otherwise provided in P.L. , c. (C. ) (now pending before the Legislature as this bill), to]To4 issue bonds or notes of the authority for the purposes of this act and to provide for the rights of the holders thereof all as provided in the "Local Bond Law," N.J.S.40A:2-1 et seq.;

    g. To set and collect rents, fees, charges or other payments for the lease, use, occupancy or disposition of a convention center facility or other tourism project acquired, constructed or reconstructed by the authority pursuant to the provisions of 4[this act,]4 P.L.1992, c.165 (C.40:54D-1 et seq.). Any revenues collected shall be available to the authority for use in furtherance of any of the purposes of this act;

    h. To acquire, lease as lessee or lessor, own, rent, use, hold and dispose of real property and personal property or any interest therein, in the exercise of its powers and the performance of its duties under this act;

    i. To acquire in the name of the authority by purchase, gift or otherwise, on terms and conditions and in a manner as the authority may deem proper, or by the exercise of the power of eminent domain except as against the State of New Jersey, any land and other property which the authority may determine is necessary for the construction, reconstruction, maintenance, operation or support of [a convention center facility] tourism projects pursuant to the provisions of this act, P.L.1992, c.165 (C.40:54D-1 et seq.) or parts thereof or rights therein, and any fee simple absolute or any lesser interest in private property, and any fee simple absolute in, easements upon, or the benefit of restrictions upon abutting property to preserve and protect same;

    j. To grant by franchise, lease or otherwise, the use of any property owned and controlled by the authority to any person for the consideration and for the period or periods of time and upon terms and conditions as are agreed upon;

    k. To apply for, receive and accept from the United States of America or any agency thereof, or the State and any subdivision thereof, subject to the approval of the State Treasurer, grants for or in aid of the planning, acquisition or construction of a convention center facility or other tourism project, and to receive and accept aid or contributions from any other public or private source, of either money, property, labor or other things of value, to be held, used and applied only for the purposes for which those grants and contributions may be made;

    l. Subject to the limitations of this act, to determine the location, type and character of its tourism project and all other matters in connection therewith;

    m. [To] 4[Except as otherwise provided in section 20 of P.L.     , c.      (C. ) (now pending before the Legislature as this bill), to] To4 enter into contracts or agreements with any entity for the entity to issue bonds or notes on behalf of the authority and to make payments to the entity to secure those bonds or notes;

    n. To procure and enter into contracts for any type of insurance and indemnify against loss or damage to property from any cause, including the loss of use and occupancy and business interruption, death or injury of any person, employee liability, any act of any member, officer, employee or servant of the authority, whether part-time, compensated or uncompensated, in the performance of the duties of office or employment or any other insurable risk or any other losses in connection with property, operations, assets or obligations in any amounts and from any insurers as are deemed desirable. In addition, the authority may carry its own liability insurance;

    o. To promote and advertise the district and to promote the use of the [ convention center facility]tourism projects by tourists and visitors to the district; and

    p. To enter into any and all agreements or contracts, execute any and all instruments, and do and perform any and all acts or things necessary, convenient or desirable for the purposes of the authority or to carry out any power expressly given in 4[this act.] P.L.1992, c.165 (C.40:54D-1 et seq.)4.2

(cf: P.L.1992, c.165, s.21)

 

    210. Section 22 of P.L. 1992, c. 165 (C.40:54D-22) is amended to read as follows:

    22. All purchases, contracts or agreements made by the authority pursuant to 4[this act,]4 P.L.1992, c.165 (C.40:54D-1 et seq.) shall be made or awarded pursuant to the "Local Public Contracts Law," P.L.1971, c.198 (C.40A:11-1 et seq.).2

(cf: P.L.1992, c.165, s.22.)

 

    211. Section 23 of P.L. 1992, c. 165 (C.40:54D-23) is amended to read as follows:

    23. Any convention center facility or other tourism project [constructed by] of the authority shall be maintained and kept in the condition and repair as the authority determines, or the bond covenants require. A project or any part thereof may be policed and operated by employees and other persons as the authority may employ or authorize.2

(cf: P.L.1992, c.165, s.23)

 

    212. Section 25 of P.L.1992, c.165 (C.40:54D-25) is amended to read as follows:

    25. a. [ The] Except as otherwise provided in section 4[20] 184 of P.L.           , c. (C. ) (now pending before the Legislature as this bill), the authority may from time to time issue its bonds or notes for any of its purposes under this act, including the payment, funding, or refunding of principal or interest or redemption premiums on any bonds or notes issued by it whether the bonds or notes or interest to be funded or refunded have or have not become due. Bonds and notes so issued shall be subject to the "Local Bond Law," N.J.S.40A:2-1 et seq. and the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.).

    b. Except 4as otherwise provided in section 18 of P.L. , c. (C. )(now pending before the Legislature as this bill) and except4 as may be otherwise expressly provided by the authority, every issue of bonds or notes shall be general obligations payable out of any monies or revenues of the authority, subject only to any agreements with the holders of particular bonds or notes pledging any particular revenues or funds. The authority may issue the types of bonds or notes as it may determine, including, without limiting the generality of the foregoing, bonds or notes on which the principal and interest are payable: (1) exclusively from the income and revenues derived from a tax upon retail receipts of any vendor located within the tourism improvement and development district created pursuant to the provisions of section 4 of 4[this act,]4 P.L.1992, c.165 (C.40:54D-4); (2) exclusively from the income and revenues from rates, charges and fees of a convention center facility or other tourism project operated by the authority, whether or not the project is financed in whole or in part with the proceeds of the bonds or notes; or (3) from its revenues generally. Any bonds or notes may be additionally secured by a pledge of any grant or contribution from the federal government or any State or any agency or public subdivision thereof or any person or a pledge of any monies, income or revenues of the authority from any source whatsoever. In addition, the authority may, in anticipation of the issuance of the bonds or the receipt of appropriations, grants, reimbursements or other funds, including without limitation grants from the federal government, issue notes, the principal of or interest on which, or both, shall be payable out of the proceeds of notes, bonds or other obligations of the authority or appropriations, grants reimbursements or other funds or revenues of the authority.2

(cf: P.L.1992, c.165, s.25.)

 

    213. Section 27 of P.L.1992, c.165 (C.40:54D-27) is amended to read as follows:

    27. a. Within 30 days after the issuance of any bonds or notes [for, or the execution of lease in connection with, the acquisition, construction, reconstruction or improvement of a convention center facility or other tourism project] by the authority pursuant to 4[this act,]4 P.L.1992, c.165 (C.40:54D-1 et seq.), the authority shall file a report with the Local Finance Board setting forth, if applicable, the principal amount of bonds or notes issued [for that project,] and the annual payments of principal and interest to be made on the bonds or notes[ with respect to that project, the terms and provisions of the financing undertaken for, or the lease entered into in connection with, the project, and such engineering and feasibility studies as may have been commissioned and used by the authority in connection with financing the project].

    b. At least 90 days prior to the date which is the later date determined pursuant to paragraph 1 or 2 of subsection b. of section 14 of [this act] P.L.1992, c.165 (C.40:54D-14), 4and subject to subsection f. of that section4 an authorized officer of the authority issuing bonds or notes for, or entering into a lease in connection with, the acquisition, construction, reconstruction or improvement of the convention center facility or other tourism project shall notify the Director of the Division of Local Government Services in the Department of Community Affairs of the precise date determined pursuant to subsection b. of section 14 of [this act] P.L.1992, c.165, the amounts payable thereafter: (1) on account of the principal and interest on, or reserve funding requirements on, those bonds or notes; or (2) as rent under the lease, and the name and address of the paying agent or agents for the bonds or notes, or of the lessor under the lease. The director shall, upon the receipt of that notice, verify the facts contained therein, and certify the same to the State Treasurer.

    c. Following the certification in subsection b. of this section and upon the date set forth therein, the State Treasurer shall thereafter pay prior to each payment date from the fund the amounts certified to be paid: (1) to the appropriate paying agent or agents for the principal and interest on, or reserve funding requirements on, the bonds or notes; or (2) to the lessor as rent under the lease.

    4[d. With respect to the acquisition, construction, reconstruction or improvement of a tourism project, the authorized officer of the State authority designated under section 20 of P.L. , c. (C. ) (now pending before the Legislature as this bill) shall notify the State Treasurer on the precise date determined pursuant to subsection b. of section 14 of P.L.1992, c. 165 (C.40:54D-14) of the amounts payable thereafter, and the State Treasurer shall thereafter pay prior to each payment date from the fund the amounts required to be paid as provided in subsection c. of this section.]4 2

(cf: P.L.1992, c.165, s.27)

 

    214. Section 29 of P.L.1992, c.165 (C.40:54D-29) is amended to read as follows:

    29. The State of New Jersey does hereby pledge to and covenant and agree with the holders of any bonds or notes issued by [the] an authority [or other entity] pursuant to the provisions of 4[this act,]4 P.L.1992, c.165 (C.40:54D-1 et seq.) that the State will not limit or alter the rights or powers vested in [the] an authority to acquire, construct, maintain and operate any project, or to perform and fulfill the terms of any agreement made with the holders of the bonds or notes, or to fix, establish, charge and collect rates, fees or other charges as may be convenient or necessary to produce sufficient revenues to meet all expenses of [the ] that authority and fulfill the terms of any contract with another entity or any agreement made with the holders of the bonds or notes, and that the State will not in any way impair the rights or remedies of the holders or modify in any way the exemptions from taxation provided for in this act, until the bonds and notes, together with interest thereon, with interest on any unpaid installments of interest, and all costs and expenses in connection with any action or proceedings by or on behalf of such holders, are fully met and discharged or provided for.2

(cf: P.L.1992, c.165, s.29)

 

    215. Section 30 of P.L.1992, c.165 (C.40:54D-30) is amended to read as follows:

    30. Neither the members of [the] an authority nor any person executing bonds or notes issued pursuant to 4[this act,]4 P.L.1992, c.165 (C.40:54D-1 et seq.) shall be liable personally on the bonds or notes by reason of the issuance thereof.2

(cf: P.L.1992, c.165, s.30)

 

    4[216. Section 32 of P.L.1992, c.165 (C.40:54D-32) is amended to read as follows:

    32. In addition to the other powers conferred by this act or by any other law and not in limitation thereof, the relevant authority, in connection with construction or operation of a convention center facility or other tourism project, may make reasonable regulations for the installation, construction, maintenance, renewal and removal of tracks, pipes, mains, conduits, cables, wires, towers, poles or any other equipment and appliances, herein called "works," of any public utility as defined in R.S.48:2-13, in, on or along, over or under the project, public highway or real property, including public lands or waters. Whenever in connection with construction or operation of the project, the relevant authority shall determine that it is necessary that any works, which now are or hereafter may be located in, on, along, over under any project, public highway, or real property, should be relocated in the project, public highway, or real property or should be removed therefrom, the public utility owning or operating the works shall relocate or remove the same in accordance with the order of the relevant authority, provided, however, that the cost and expenses of the relocation or removal, including the cost of installing these works in a new location, and the cost of any lands or any rights or interest in lands or any other rights acquired to accomplish the relocation or removal, less the cost of any lands or any rights or interest in lands or any other rights of the public utility, paid to the public utility in connection with the relocation or removal of the works, shall be paid by the relevant authority and may be included in the cost of the project. In case of any relocation or removal of works, the public utility owning or operating the same, its successors or assigns, may maintain and operate the works, with the necessary appurtenances, in the new location for as long a period, and upon the same terms and conditions, as it had the right to maintain and operate the works in their former location.2

(cf: P.L.1992, c.165, s.32)]4


    2 4[17.] 16.4 Section 35 of P.L.1992, c.165 (C.40:54D-35) is amended to read as follows:

    35. 4[All] Except as otherwise provided in section 17 of P.L.      , c. (C. ) (now pending before the Legislature as this bill), all4 property of the authority, except any property which is subjected to a lien to secure any bonds or notes [issued by the authority], shall be exempt from levy and sale by virtue of an execution and no execution or other judicial process shall issue against the same, nor shall any such judgment against the authority be a charge or lien upon its property; provided that nothing herein contained shall apply to or limit the rights of the holders of any bonds or notes to pursue any remedy for the enforcement of any pledge or lien [given by the authority on its revenues or other monies].2

(cf: P.L.1992, c.165, s.35)

 

    4[218. Section 39 of P.L.1992, c.39 (C.40:54D-39) is amended to read as follows:

    39. a. The authority shall cause a financial audit of its books and accounts to be made at least once each year by certified public accountants pursuant to the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.), and copies thereof shall be filed with the State Treasurer and with the State Auditor.

      b. The annual budget of the authority for administrative and operating costs, and the annual budget for any tourism project, shall be submitted for approval to the State Treasurer within 90 days after the effective date of P.L. , c. (C. ) (now pending before the Legislature as this bill), and, thereafter, on or before the last day of October in each year. The State Treasurer shall, within 30 days of submission, review and approve each requested budget. The State Treasurer may object in whole or in part to any item or items contained in a budget while approving the other portions of a budget. If so, the State Treasurer shall append to a budget, along with the treasurer's signature of approval, a statement of each item or part thereof to which the treasurer objects, and each item or part so objected to shall not take effect. A copy of each budget and any statement shall be transmitted to the appropriate authority. Expenditures associated with construction or a specific bond issue or investment shall be considered costs of the State authority designated under section 20 of P.L. , c. (C. ) (now pending before the Legislature as this bill).2

(cf: P.L.1992, c.39, s.39)]4

 

      4[1[3.]2[ 4.1]19.2 (New section) Receipts from sales of tangible personal property and services subject to a tax on predominantly tourism related retail receipts authorized by 2corresponding2 municipal ordinances which were adopted pursuant to P.L.1992, c.165 (C.40:54D-1 et seq.) are exempt from the tax rate imposed under the “Sales and Use Tax Act” to the extent that the tax rate imposed by the ordinances exceeds 2% 2, except that the combined rate of taxation imposed under the corresponding ordinances and under the "Sales and Use Tax Act" shall not exceed 8%. Municipal ordinances so adopted shall not affect which retail receipts are subject to the "Sales and Use Tax Act." The exemption provided under this section shall terminate on the first day of the third month following the certification by the State Treasurer that all payments for bonds issued pursuant to section 20 of P.L. , c. (C. ) (now pending before the Legislature as this bill) have been made 2.]4

 

      417. (New section) a. The authority in existence on July 1, 1997 shall cooperate with the sports authority in the defeasing, refunding or refinancing of any outstanding obligations of such authority as authorized by this section and the authority shall take such steps as are necessary in order to implement such defeasing, refunding or refinancing.

      b. On the 60th day following the effective day following the effective date of P.L. , c. (C. )(now pending before the Legislature as this bill):

      (1) All right, title, and interest of the authority in existence on July 1, 1997 in any of its assets, funds and property, both real and personal, as well as those obligations as set forth in paragraph (4) of this subsection, are hereby transferred to the sports authority to be held, used and applied for the purposes set forth herein.

      (2) In addition to the powers vested in the sports authority pursuant to P.L.1971, c.137 (C.5:10-1 et seq.), all powers and duties which hitherto were exercised by the authority in existence on July 1, 1997 with respect to any property transferred pursuant to this section may henceforth be exercised by the sports authority.

      (3) All monies transferred pursuant to this act shall be deposited in the fund created by the sports authority pursuant to subsection g. of section 6 of P.L.1971, c.137 (C.5:10-6).

      (4) The sports authority shall assume such obligations of the authority as are necessary for the acquisition, construction and operation of the Wildwood convention center facility which obligations shall be as specified in a contract between the authority and the sports authority. Any such obligations of the authority which are assumed by the sports authority shall be payable from the fund created by the sports authority pursuant to subsection g. of section 6 of P.L.1971, c.137 (C.5:10-6) or from the proceeds of bonds or notes issued pursuant to section 12 of P.L.1991, c.375 (C.5:10-14.3) and section 18 of P.L. , c. (C. )(now pending before the Legislature as this bill).4


      2 4[20.] 18.4 (New section) a. The 4[State Treasurer shall designate the New Jersey Economic Development Authority established pursuant to P.L.1974, c.80 (C.34:1B-1 et seq.), or any other State authority to issue bonds for the costs of construction, and to manage the construction of the tourism projects] sports authority is hereby authorized to acquire, finance through the issuance of bonds or notes, construct, operate and perform such other functions as provided in P.L.1971, c.167 (C.5:10-1 et seq.) regarding the Wildwood convention center facility4 authorized herein. The 4[authority shall delegate to the State authority so designated by the State Treasurer] sports authority shall have4 sole responsibility to provide for the 4[bonding] acquisition, financing through the issuance of bonds or notes4 and construction 4and operation4 of the 4[tourism projects] Wildwood convention center facility4 within the district. Further, the authority 4in existence on July 1, 19974 may advise the 4[State]sports4 authority with regard to the 4[tourism projects] Wildwood convention center facility4.

      4[b. The State authority designated by the State Treasurer pursuant to this section shall utilize monies from the fund to issue bonds for the purpose of generating revenue for the construction of tourism projects; however, 3[up to] the State Treasurer shall specify an amount of not less than3 $500,000 of the fund in any year 3[may] to3 be allocated to the authority for operating expenses 3pursuant to a budget approved by the State Treasurer under section 39 of P.L.1992, c.39 (C.40:54D-39)3. 3[In no event shall the annual revenues deposited in the fund exceed $5,750,000 for bonding purposes in any year prior to certification by the director pursuant to subsection e. of section 9 of P.L.1992, c.165 (C.40:54D-9), and $5,000,000 in any year thereafter, and $500,000 for operating expenses of the authority.]3 To the extent that revenue generated annually from taxes levied pursuant to section 4 of P.L.1992, c.165 (C.40:54D-4) exceeds in any calendar year the amount 3[permitted to be deposited in that fund under this section, the excess revenue shall be deposited in the State General Fund to be used for general State purposes] required to meet payments for principal and interest on bonds for the construction of tourism projects authorized herein and for approved operating expenses of the authority, the excess revenue shall be placed in a sinking fund to be used to redeem bonds issued pursuant to this section by the State authority prior to maturity at the price or prices and upon the terms and conditions as may be provided in the bonds3.

      c. Any monies expended from the fund for the construction of tourism projects in excess of monies previously approved by the State Treasurer in the annual budget of those tourism projects, pursuant to section 39 of P.L.1992, c.165 (C.40:54D-39), shall be subject to annual review and approval of the State Treasurer.

      d. The State authority designated by the State Treasurer pursuant to this section shall utilize competitive bidding measures in the selection of all contractors, sub-contractors, and vendors; and competitive request for proposal measures for selection of all professional firms necessary for the development of the tourism projects herein. The State authority shall also review any existing agreements relating to the tourism projects for compliance with this requirement.2]4

 

       419. Section 3 of P.L.1971 c.137 (C.5:10-3) is amended to read as follows:

      3. The following words or terms as used in this act shall have the following meaning unless a different meaning clearly appears from the context:

      a. "Act" means this New Jersey Sports and Exposition Authority Law.

      b. "Authority" means the New Jersey Sports and Exposition Authority created by section 4 of [this] the act.

      c. "Bonds" means bonds issued by the authority pursuant to the act.

      d. "Meadowlands complex" means the sports and exposition project authorized by paragraph (1) of subsection a. of section 6 of the act.

      e. "Notes" means notes issued by the authority pursuant to the act.

      f. "Projects" means and includes any project which the authority is authorized to undertake pursuant to [paragraphs 1 through 10 of] subsection a. of section 6 of P.L.1971, c.137 (C.5:10-6).

      g. "State" means the State of New Jersey.

      h. "Hackensack meadowlands" means the Hackensack Meadowlands District as delineated in P.L.1968, c.404, s.4 (C.13:17-4).

      i. "Meadowlands Commission" means the Hackensack Meadowlands Development Commission created by P.L.1968, c.404.       j. "Racing Commission" means the New Jersey Racing Commission created by P.L.1940, c.17.

      k. "Credit agreement" as used herein includes loan agreement, revolving credit agreement, agreement establishing a line of credit, letter of credit, reimbursement agreement, interest exchange agreement, insurance contract, surety bond, commitment to purchase bonds, purchase or sale agreements, or commitments or other contracts or agreements authorized and approved by the authority in connection with the authorization, issuance, security, or payment of bonds.

      l. "Luxury tax" means the tax levied and collected by the city of Atlantic City, county of Atlantic, pursuant to P.L.1947, c.71 (C.40:48-8.15 et seq.).

      m. "[Convention] Atlantic City convention center project" means the project authorized by paragraph 9 of subsection a. of section 6 of P.L.1971, c.137 (C.5:10-6).

      n. "Wildwood convention center facility" means the project authorized by paragraph (12) of subsection a. of section 6 of P.L.1971, c.137 (C.5:10-6).

      o. "Tourism related tax" means the tax levied and collected pursuant to P.L.1992, c.165 (C.40:54D-1 et seq.) for the tourism improvement and development district which includes the Wildwood convention center facility.4

(cf: P.L.1991, c.375, s.1)

 

      420. Section 6 of P.L.1971, c.137 (C.5:10-6) is amended to read as follows:

      6. a. The authority, pursuant to the provisions of [the act] P.L.1971, c.137 (C.5:10-1 et seq.), is hereby authorized and empowered, either alone or in conjunction with others, and provided that, in the case of an arrangement with respect to any of the projects set forth in this section which shall be in conjunction with others, the authority shall have sufficient right and power to carry out the public purposes set forth in [this act] P.L.1971, c.137 (C.5:10-1 et seq.):

      (1) To establish, develop, construct, operate, acquire, own, manage, promote, maintain, repair, reconstruct, restore, improve and otherwise effectuate, either directly or indirectly through lessees, licensees or agents, a project to be located in the Hackensack meadowlands upon a site not to exceed 750 acres and upon a site or sites outside of that acreage, but either immediately contiguous thereto or immediately across any public road which borders that acreage, consisting of one or more stadiums, coliseums, arenas, pavilions, stands, field houses, playing fields, recreation centers, courts, gymnasiums, clubhouses, a racetrack for the holding of horse race meetings, and other buildings, structures, facilities, properties and appurtenances related to, incidental to, necessary for, or complementary to a complex suitable for the holding of athletic contests or other sporting events, or trade shows, exhibitions, spectacles, public meetings, entertainment events or other expositions, including, but not limited to, driveways, roads, approaches, parking areas, parks, recreation areas, lodging facilities, vending facilities, restaurants, transportation structures, systems and facilities, and equipment, furnishings, and all other structures and appurtenant facilities, related to, incidental to, necessary for, or complementary to the purposes of that project or any facility thereof.

      (2) To establish, develop, construct, acquire, lease or own, operate, manage, promote, maintain, repair, reconstruct, restore, improve and otherwise effectuate, either directly or indirectly through lessees, licensees or agents, a project, at a site within the State of New Jersey, consisting of a baseball stadium and other buildings, structures, facilities, properties and appurtenances related thereto, or incidental to, necessary for, or complementary to a complex suitable for the holding of professional baseball games and other athletic contests or sporting events, or trade shows, exhibitions, spectacles, public meetings, entertainment events or other expositions, such project to include driveways, roads, approaches, parking areas, parks, recreation areas, vending facilities, restaurants, transportation structures, systems and facilities, and equipment, furnishings and all other structures and appurtenant facilities related to, incidental to, necessary for, or complementary to the purposes of that project or any facility thereof.          (3) To establish, develop, construct, acquire, lease or own, operate, manage, promote, maintain, repair, reconstruct, restore, improve and otherwise effectuate, either directly or indirectly through lessees, licensees or agents, projects located within the State of New Jersey, but outside of the meadowlands complex, consisting of aquariums and the buildings, structures, facilities, properties and appurtenances related thereto, or incidental to, necessary for, or complementary to those aquariums, such project to include driveways, roads, approaches, parking areas, parks, recreation areas, vending facilities, restaurants, transportation structures, systems and facilities, and equipment, furnishings and all other structures and appurtenant facilities related to, incidental to, necessary for, or complementary to the purposes of that project or any facility thereof. To provide for a project authorized under this paragraph:

      (a) (Deleted by amendment, P.L.1988, c.172.)

      (b) The authority is authorized to enter into agreements with the State Treasurer providing for the acquisition and construction of an aquarium by the authority, including the land necessary for the aquarium, and the costs thereof, ownership of the aquarium and its land which shall be conveyed to the State upon completion, and the operation by the authority of the aquarium pursuant to a lease or other agreement with the State containing such terms and conditions as the State Treasurer may establish prior to the acquisition and construction by the authority of the aquarium and the disbursements of funds therefor. The State Treasurer is authorized to enter into a lease or other agreement to effectuate the provisions of this subparagraph.

      (4) To establish, develop, construct, acquire, own, operate, manage, promote, maintain, repair, reconstruct, restore, improve and otherwise effectuate, either directly or indirectly through lessees, licensees or agents, a project consisting of an exposition or entertainment center or hotel or office complex, including any buildings, structures, properties and appurtenances related thereto, incidental thereto, necessary therefor, or complementary thereto, such project to include driveways, roads, approaches, parking areas, parks, recreation areas, vending facilities, restaurants, transportation structures, systems, and equipment, furnishings and all other structures and appurtenances related to, incidental to, necessary for, or complementary to, the purposes of that project. A project authorized under this paragraph may be located within, immediately contiguous to, or immediately across any public road which borders the site of any other project of the authority, except the site of a racetrack authorized by paragraph (5) of this subsection and acquired by the authority prior to 1986.

      (5) To establish, develop, construct, acquire, own, operate, manage, promote, maintain, repair, reconstruct, restore, improve and otherwise effectuate, either directly or indirectly through lessees, licensees or agents, projects consisting of (a) racetrack facilities located within the State of New Jersey, but outside of the meadowlands complex, (b) their contiguous properties, and (c) their auxiliary facilities, including, without limitation, pavilions, stands, field houses, clubhouses, training tracks for horses, racetracks for the holding of horse race meetings, fairgrounds, other exposition facilities, and other buildings, structures, facilities, properties and appurtenances related to, incidental to, necessary for, or complementary to a complex suitable for the holding of horse race meetings, other sporting events, or trade shows, exhibitions, spectacles, public meetings, entertainment events or other expositions, including, but not limited to, driveways, roads, approaches, parking areas, parks, recreation areas, lodging facilities, vending facilities, restaurants, transportation structures, systems and facilities, equipment, furnishings, and all other structures and appurtenant facilities related to, incidental to, necessary for, or complementary to the purposes of any of those projects or any facility thereof.

      Notwithstanding any law to the contrary, the acquisition of any existing racetrack facility in and licensed by the State of New Jersey shall be permitted on the condition that payments equivalent to all municipal, school board and county taxes due to each entity shall be paid by the authority to the extent and in accordance with the same payment schedule as taxes would have been paid each year, as though the racetrack facility remained in private ownership. In the event the authority conveys lands or other parts of the racetrack facility to others, the authority shall receive a reduction of such payments commensurate with the amount required to be paid by the subsequent owner of the lands and improvements disposed of by the authority. In addition, the authority shall be responsible for paying all existing local franchise fees, license and parking tax fees in effect at the time of the acquisition.

      (6) To establish, develop, acquire, own, operate, manage, promote and otherwise effectuate, in whole or in part, either directly or indirectly through lessees, licensees or agents, projects consisting of events, expositions, teams, team franchises or membership in professional sports leagues.

      (7) To establish, develop, construct, acquire, own, operate, manage, promote, maintain, repair, reconstruct, restore, improve and otherwise effectuate, either directly or indirectly through lessees, licensees or agents, projects consisting of facilities, at a site or sites within the State of New Jersey and either within or without the meadowlands complex, that are related to, incidental to, necessary for, or complementary to the accomplishment or purpose of any project of the authority authorized by this section, including any buildings, structures, properties and appurtenances related thereto, incidental thereto, necessary therefor, or complementary thereto, such projects to include driveways, roads, approaches, parking areas, parks, recreation areas, vending facilities, restaurants, transportation structures, systems, and equipment, furnishings and all other structures and appurtenances related to, incidental to, necessary for, or complementary to the purposes of those projects.

      (8) To establish, develop, acquire, construct, reconstruct, improve and otherwise effectuate for transfer to, and for use and operation by, Rutgers, the State University, either directly or indirectly through lessees, licensees or agents, facilities located or to be located on property owned, leased, or otherwise used by Rutgers, the State University, consisting of an upgraded and expanded football stadium and a new track and field, soccer and lacrosse facility and the buildings, structures, properties and appurtenances related thereto, or incidental to, necessary for, or [complimentary] complementary to the football stadium and track and field, soccer and lacrosse facility, such facilities to include driveways, access roads, approaches, parking areas, parks, recreation areas, vending facilities, restaurants, transportation structures, systems and equipment, furnishings and all other structures and appurtenances related or incidental to, necessary for, or complementary to the purposes of those facilities; provided however that construction shall not begin on the expansion of the seating capacity of Rutgers Stadium until the Commissioner of Transportation certifies that all funding necessary to complete the Route 18 project in Piscataway Township has been appropriated and construction has begun on the Route 18 project in Piscataway Township under the Department of Transportation's capital program.       (9) To acquire by purchase, lease or otherwise, and to develop, construct, operate, own, lease, manage, repair, reconstruct, restore, improve, enlarge or otherwise effectuate, either directly or through lessees, licensees or agents, a convention center project in the city of Atlantic City, Atlantic County, consisting of the existing convention hall and a new convention hall or center, and associated parking areas and railroad terminal facilities and including the leasing of adjacent land for hotel facilities. In connection therewith, the authority is authorized to:

      (a) Assume existing leasehold or other contractual obligations pertaining to any such facilities or properties or to make provision for the payment or retirement of any debts and obligations of the governmental entity operating any such convention hall or center or of any bonds or other obligations payable from and secured by a lien on or pledge of the luxury tax revenues;

      (b) Make loans or payments in aid of construction with respect to infrastructure and site development for properties located in the area between the sites of the existing convention hall and a new convention center or located contiguous to or across any public road which borders the area;

      (c) Convert the existing convention hall or any facilities, structures or properties thereof, or any part thereof, not disposed of by the authority, to any sports, exposition, exhibition, or entertainment use or to use as a forum for public events or meetings, or to any other use which the authority shall determine to be consistent with its operation of the Atlantic City convention center project.

      (10) To provide a feasibility study for the use and development of the existing convention center in the city of Asbury Park, county of Monmouth and to provide a feasibility study for the construction, use and development of a convention center or recreational facility in any other municipality.

      (11) To provide funding to public or private institutions of higher education in the State to establish, develop, acquire, construct, reconstruct or improve facilities located or to be located on property owned, leased, or otherwise used by an institution, consisting of sports facilities and the buildings, structures, properties and appurtenances related thereto, or incidental to, necessary for, or complementary to those sports facilities, such facilities to include driveways, access roads, approaches, parking areas, parks, recreation areas, vending facilities, restaurants, transportation structures, systems and equipment, furnishings and all other structures and appurtenances related or incidental to, necessary for, or complementary to the purposes of those facilities.

      (12) To acquire by purchase, lease, or otherwise, including all right, title and interest of the Greater Wildwood Tourism Improvement Development Authority in any property, and to develop, construct, operate, own, lease, manage, repair, reconstruct, restore, improve, enlarge or otherwise effectuate, either directly or through lessees, licensees or agents, a convention center facility in the City of Wildwood, Cape May County, consisting of and including any existing and acquired buildings, structures, properties and appurtenances and including restaurants, retail businesses, access roads, approaches, parking areas, transportation structures and systems, recreation areas, equipment, furnishings, vending facilities, and all other structures and appurtenances incidental to, necessary for, or complementary to the purpose of such Wildwood convention center facility. In connection therewith, the authority is expressly authorized to

       (a) assume any existing mortgages, leaseholds or other contractual obligations or encumbrances with respect to the site of the Wildwood convention center facility and any other existing and acquired buildings, structures, properties, and appurtenances;

      (b) enter into agreements with a local public body or bodies providing for any necessary financial support or other assistance for the operation and maintenance of such Wildwood convention center facility from taxes or other sources of the local public body or bodies as shall be made available for such purposes;

      (c) to the extent permitted by law and by the terms of the bonds or notes issued to finance the Wildwood convention center facility, transfer its ownership interest or other rights with respect to the convention center facility to another state authority or agency;

      (d) upon payment of all outstanding bonds and notes issued therefore, transfer its ownership interest and other rights with respect thereto to such other public body as shall be authorized to own and operate such a facility; and

      (e) convert any existing convention hall or any facilities, structures or properties thereof, or any part thereof, not disposed of by the authority, to any use which the authority shall determine to be consistent with the operation of the Wildwood convention center facility.

      b. The authority, pursuant to the provisions of [the act] P.L.1971, c.137 (C.5:10-1 et seq.), is authorized (1) to make, as part of any of the projects, capital contributions to others for transportation and other facilities, and accommodations for the public's use of any of those projects, (2) to lease any part of any of those project sites not occupied or to be occupied by the facilities of any of those projects, for purposes determined by the authority to be consistent with or related to the purposes of those projects, including, but not limited to, hotels and other accommodations for transients and other facilities related to or incidental to any of those projects, and (3) to sell or dispose of any real or personal property, including, but not limited to, such portion of the site of any of those projects not occupied or to be occupied by the facilities of any of those projects, at not less than the fair market value of the property, except in the case of sale or disposition to the State, any political subdivision of the State or any agency or instrumentality of the State or any political subdivision of the State.

      c. Revenues, moneys or other funds, if any, derived from the operation or ownership of the meadowlands complex, including the conduct of horse race meetings, shall be applied, in accordance with the resolution or resolutions authorizing or relating to the issuance of bonds or notes of the authority, to the following purposes and in the following order:

      (1) The costs of operation and maintenance of the meadowlands complex and reserves therefor;

      (2) Principal, sinking fund installments and redemption premiums of and interest on any bonds or notes of the authority payable from such revenues, moneys or other funds and issued for the purposes of the meadowlands complex or for the purposes of refunding the same, including reserves and payments with respect to credit agreements therefor;

      (3) The costs of any major or extraordinary repairs, renewals or replacements with respect to the meadowlands complex or incidental improvements thereto, not paid pursuant to paragraph (1) above, including reserves therefor;

      (4) Payments required to be made pursuant to section 18b.;

      (5) Payments authorized to be made pursuant to section 18c.;

      (6) Except to the extent payments with respect to bonds or notes are provided with priority in accordance with paragraph (2) of this subsection, payments required to be made in accordance with the resolution authorizing or relating to the issuance of bonds or notes of the authority, for the purposes of any project authorized by this act, including payments and reserves with respect to any bonds or notes of the authority with respect to the meadowlands complex which are not provided with priority in accordance with paragraph (2) of this subsection;

      (7) Payments required to be made to repay any obligation incurred by the authority to the State;

      (8) The balance remaining after application in accordance with the above shall be deposited in the General State Fund, provided that (a) there shall be appropriated for authorized State purposes from the amount so deposited that amount which shall be calculated by the State Treasurer to be the debt service savings realized with respect to the refinancing of the initial project as defined in section 1 of P.L.1973, c.286 (C.5:10-14.1) at the meadowlands complex, by the issuance of bonds of the authority guaranteed by the State, and (b) after such appropriation, 40% of any balance remaining from the amounts so deposited shall be appropriated to the Meadowlands Commission for any of its purposes authorized by P.L.1968, c.404, and any amendments or supplements thereto.

      d. Revenues, moneys or other funds, if any, derived from the operation or ownership of any project other than the meadowlands complex [or], the Atlantic City convention center project, or the Wildwood convention center facility and other than a baseball stadium project or an office complex project located on the site of a baseball stadium shall be applied for such purposes, in such manner and subject to such conditions as shall be provided in the resolution authorizing or relating to the issuance of bonds or notes of the authority for the purposes of such project, and the balance, if any, remaining after such application may be applied, to the extent not contrary to or inconsistent with the resolution, in the following order (1) to the purposes of the meadowlands complex, unless otherwise agreed upon by the State Treasurer and the authority, (2) to the purposes of any other project of the authority; and, the balance remaining, if any, shall be deposited in the General Fund.

      e. Revenues, moneys or other funds, if any, derived from the operation, ownership, or leasing of a baseball stadium project or an office complex project located on the site of a baseball stadium shall be applied for the purposes, in the manner and subject to the conditions as shall be provided in the resolution authorizing or relating to the issuance of bonds or notes of the authority for the purposes of a baseball stadium project or an office complex project located on the site of a baseball stadium, if any, and the balance, if any, remaining after such application shall be applied, to the extent not contrary to or inconsistent with the resolution, to the following purposes and in the following order:

      (1) The costs of operation and maintenance of a baseball stadium project and an office complex project located on the site of a baseball stadium and reserves therefor;

      (2) Payments made to repay the bonded indebtedness incurred by the authority for the purposes of a baseball stadium project or an office complex project located on the site of a baseball stadium;

      (3) Payments equivalent to an amount required to be made by the State for payments in lieu of taxes pursuant to P.L.1977, c.272 (C.54:4-2.2a et seq.);

      (4) The balance remaining after application in accordance with the above shall be deposited in the General Fund.

      f. Revenues, moneys or other funds, if any, derived from the operation, ownership or leasing of the Atlantic City convention center project shall be applied to the costs of operating and maintaining the Atlantic City convention center project and to the other purposes set forth in this subsection as shall be provided by resolution of the authority.

      Luxury tax revenues paid to the authority by the State Treasurer pursuant to section 14 of P.L.1991, c.375 (C.5:10-14.4) shall be deposited by the authority in a separate fund or account and applied to the following purposes and in the following order:

      (1) To pay the principal, sinking fund installments and redemption premiums of and interest on any bonds or notes of the authority, including bonds or notes of the authority issued for the purpose of refunding bonds or notes, issued for purposes of (i) the initial acquisition of the existing properties which will constitute part of the Atlantic City convention center project, if the bonds or notes shall be payable under the terms of the resolution of the authority relating thereto from luxury tax revenues, or (ii) providing improvements, additions or replacements to the Atlantic City convention center project, if the bonds or notes shall be payable under the terms of the resolution of the authority relating thereto from luxury tax revenues; and to pay any amounts due from the authority under any credit agreement entered into by the authority in connection with the bonds or notes.

      (2) To pay the costs of operation and maintenance of the Atlantic City convention center project.

      (3) To establish and maintain a working capital and maintenance reserve fund for the Atlantic City convention center project in an amount as shall be determined by the authority to be necessary.

      (4) To repay to the State those amounts paid by the State with respect to bonds or notes of the authority issued for the purposes of the Atlantic City convention center project.

      (5) The balance of any luxury tax revenues not required for any of the foregoing purposes and remaining at the end of any calendar year shall be paid to the State Treasurer for application to purposes in the city of Atlantic City pursuant to section 5 of P.L.1981, c.461 (C.40:48-8.30a).

      The authority may pledge the luxury tax revenues paid to it as provided for in section 14 of P.L.1991, c.375 (C.5:10-14.4) as security for the payment of the principal of and interest or premium on its bonds or notes issued for the purposes set forth above in paragraph (1) of this subsection f. in the same manner, to the same extent and with the same effect as the pledge of any of its other revenues, receipts and funds authorized by [this act] P.L.1971, c.137 (C.5:10-1 et seq.).

  g. Revenues, moneys or other funds, if any, derived from the ownership or operation of the Wildwood convention center facility shall be applied to the costs of operating and maintaining the Wildwood convention center facility and to the other purposes set forth in this subsection as shall be provided by resolution of the authority.

      The tourism related tax revenues paid to the authority pursuant to subsection f. of section 14 of P.L.1992, c.165 (C.40:54D-14) shall be deposited by the authority in a separate fund or account and applied to any or all of the following purposes pursuant to an allocation of funds approved by the State Treasurer in writing and in advance of any application of such funds:

      (1) to pay amounts due with respect to any obligations transferred to the authority pursuant to section 17 of P.L. , c. (C. ) (now pending before the Legislature as this bill) pertaining to the Wildwood convention center facility:

      (2) to repay to the State those amounts paid with respect to bonds or notes of the authority issued for the purposes of the Wildwood convention center facility;

      (3) to pay the cost of operation and maintenance reserve for the Wildwood convention center facility;

      (4) to establish and maintain a working capital and maintenance of the Wildwood convention center facility.

      The balance, if any, of any tourism related tax revenues not allocated to any of the purposes set forth in the previous paragraphs and remaining at the end of the calendar year shall be paid to the State Treasurer for deposit in the General Fund.4

(cf: P.L.1991, c.375, s.3)

 

      421. Section 12 of P.L.1991, c. 375 (C.5:10-14.3) is amended to read as follows:

       12. a. The State Treasurer shall establish a special fund to be known as the "Sports Authority Fund" and shall pay into the fund amounts from the General Fund as shall be necessary to pay the principal and interest on bonds or notes of the authority issued pursuant to this section and to pay any amounts due from the authority under any credit agreement entered into by the authority in connection with the bonds or notes, provided that all payments from the General Fund shall be subject and dependent upon appropriations made from time to time for those purposes.

      b. (1) The State Treasurer and the authority are authorized to enter into agreements as shall be necessary to effectuate the purposes of this section, including without limitation, provisions for securing the payment of bonds or notes issued by the authority pursuant to subsection d. of this section and the interest thereon and providing for the investment of moneys in the fund; provided that the agreements shall be subject to approval by the presiding officers of both houses of the Legislature, and provided further that when the purposes of this section have been satisfied, and upon the earlier of:

      (a) the certification by the State Treasurer that the revenues of the authority are sufficient to satisfy the requirements of paragraphs (1), (2), (3), (4), (5) and (6) of subsection c. of section 6 of P.L.1971, c.137 (C.5:10-6) for the term of bonds or notes issued pursuant to subsection d. of this section; or

      (b) the satisfaction of the requirements for the payment of bonds or notes issued pursuant to P.L.1991, c.375 (C.5:10-3 et al.) or pursuant to P.L. , c. (C. )(now pending before the Legislature as this bill); the State Treasurer and the authority shall not, except for the refunding of bonds or notes issued pursuant to subsection d. of this section which produces debt service savings, enter into any further agreements regarding payments by the State Treasurer into the "Sports Authority Fund" for any reason, including but not limited to, the financing or restructuring of the debt of the authority.       (2) The agreements shall indicate the nature and scope of the projects to be financed pursuant to this section.

      (3) The agreements shall provide that with respect to the Atlantic City convention center project, the authority shall review all existing expert studies that present options as to the scope and nature of the project and the linkages between the project and the economic development of Atlantic City. Based upon its analysis of the available studies and such other expert studies as the authority may authorize, the authority shall report to the Legislature and include in the minutes of the authority its proposal for the development of the Atlantic City convention center. The report shall include an explanation for the selection of the project option proposed by the authority.

      c. Notwithstanding anything to the contrary in [this act] P.L.1991, c.375 (C.5:10-3 et al.), if and to the extent provided in any agreement between the State Treasurer and the authority, all or part of the revenues of the authority, other than luxury tax revenues or revenues of the Atlantic City convention center project and other than tourism related tax revenues or other revenues of the Wildwood convention center facility, in excess of the requirements of the resolutions authorizing or relating to the issuance of any of the authority's bonds or notes, except those issued pursuant to this section, shall be paid into the General Fund in repayment to the State for amounts previously paid by the State pursuant to this section with respect to the payment of principal and interest on bonds or notes issued for any of the purposes set forth in this section, except the purposes set forth in paragraphs (3), (4) [and] (5) , and (8) of subsection d. of this section, and any payments on account of any credit agreements with respect to the bonds or notes. Except as otherwise provided in this section, bonds or notes of the authority issued pursuant to this section shall be authorized, sold and issued in the manner and be entitled to the benefits, protection and provisions as apply to bonds and notes of the authority authorized to be issued pursuant to P.L.1971, c.137 (C.5:10-1 et seq.).

      d. In addition to its other powers to issue bonds and notes, the authority shall have power to issue from time to time bonds and notes payable from amounts in the Sports Authority Fund established pursuant to subsection a. of this section, as follows:

      (1) To provide sufficient funds to refund from time to time outstanding bonds or notes of the authority issued for the meadowlands complex or the Monmouth racetrack project authorized pursuant to paragraph (5) of subsection a. of section 6 of P.L.1971, c.137 (C.5:10-6), whether or not the bonds or notes or interest thereon have become due, to provide for the establishment of funds or reserves to secure payment of the bonds or notes or any other bonds or notes issued or to be issued for those purposes or interest thereon, and to provide for the payment of all other costs or expenses of the authority incident to or necessary to carry out the refunding; provided that the refunding bonds issued at any time pursuant to this paragraph shall not exceed that amount estimated to be necessary so that subsequent to the refunding, the revenues from the meadowlands complex or the Monmouth racetrack project, as the case may be, shall be sufficient to pay all costs payable from those revenues, as shall be estimated in a determination by the authority made in accordance with the agreement between the authority and the State Treasurer;

      (2) To finance or refinance a capital program or programs for the meadowlands complex and the Monmouth racetrack project authorized pursuant to paragraph (5) of subsection a. of section 6 of P.L.1971, c.137 (C.5:10-6), adopted by the authority to provide for major repairs, reconstruction and improvements which are legally mandated or otherwise needed to meet environmental or safety requirements, to prevent a loss of revenues, to augment revenues or to continue or enhance the operations of any of the facilities thereof, or to upgrade any of the facilities thereof [provided that the aggregate cost of the projects financed pursuant to this paragraph shall not exceed $30,000,000, exclusive of interest paid during construction];

      (3) To provide for the financing or refinancing of the facilities for Rutgers, The State University pursuant to paragraph (8) of subsection a. of section 6 of P.L.1971, c.137 (C.5:10-6);

      (4) To provide for the financing or refinancing of the Atlantic City convention center project;

      (5) To finance or refinance feasibility studies for public projects consistent with the purposes of the authority;

      (6) To provide for the financing or refinancing of any other project of the authority, but only if and to the extent expressly authorized by law enacted subsequent to the enactment of [this act] P.L.1991, c.375 (C.5:10-3 et al.); [and ]

       (7) To provide for the financing of the facilities at institutions of higher education pursuant to paragraph (11) of subsection a. of section 6 of P.L.1971, c.137 (C.5:10-6), based upon a list of projects recommended by the Commission on Higher Education following a competitive application process, provided that the aggregate financing of the projects undertaken pursuant to this paragraph shall not exceed $5,000,000; and

      (8) To provide for the financing or refinancing of a convention center facility in the City of Wildwood pursuant to paragraph (12) of subsection a. of section 6 of P.L.1971, c.137 (C.5:10-6).

      e. Bonds and notes authorized pursuant to this section shall be special obligations of the authority payable as herein provided. Bonds and notes shall not be deemed to constitute a debt or liability of the State or a pledge of the faith and credit of the State but are dependent for repayment upon appropriations as provided by law from time to time. These bonds and notes and the interest thereon may also be payable from the proceeds thereof set aside for that purpose and income accruing therefrom.

(cf: P.L.1994, c.48, s.296)

 

      1[4.] 2[5.1] 4[21.2] 22.4 This act shall take effect immediately.

 

 

                             

 

Permits State funding for the construction of a convention center facility in certain tourism improvement and development districts under certain conditions and authorizes the New Jersey Sports and Exposition Authority to undertake certain additional projects.