Clean energy manufacturers could qualify for tax-free project purchases

The Economic Development Authority could approve sales and use tax breaks for eligible clean energy manufacturing projects. Projects must build or substantially rebuild a facility mainly used for manufacturing or research and development. Approval would cover eligible equipment, building materials, and other listed property, excluding vehicles, short-lived parts, tools, and supplies. The expansion would take effect immediately if enacted. Project approval terms would set the period for covered purchases.

Otherwise eligible clean energy manufacturers would not need 10 years of New Jersey operations or proof that the tax break influenced their location choice. The authority could approve new facilities outside Planning Areas 1 and 2, the locations normally required, if all other program rules are met. Moves out of designated urban enterprise zones would remain restricted. A business may be eligible to apply if it moves to a site it already owns or leases and already employs at least as many people as would move.