1. UNDERSTANDING THE CONNECTIONS
BETWEEN THE NJ EOA & THE SOMERSET
COUNTY STRATEGIC PLAN
Robert Bzik, AICP/PP, Director
Somerset County Planning Board
NJ Future Redevelopment Forum Panel: “Getting the
Most Out of the Economic Opportunity Act”
March, 14, 2014
2. Bookend Economic Strategy
• Comprehensive Economic Development Strategy
• Somerset County Investment Framework
Economic Opportunity Act
• Interpretation and Impact
Smart Growth Perspective
Overview
4. GOALS: Job Creation and Private Sector Investment
PRIORITY FOCUS AREAS:
• Leverage business resources and services to attract and retain
industries and companies
• Re-use significant properties to incentivize targeted industry
growth
• Reduce the Regulatory Burden
• Improve the delivery of employer-focused workforce
development resources
• Target transportation and utility investments in areas that will
have the greatest economic impact
Comprehensive Economic
Development Strategy
5. Somerset County
Investment Framework
PURPOSE: Provide a criteria-based framework for
identifying areas most suitable for growth
GOALS:
• Support ongoing regional and local smart growth, preservation,
economic revitalization, sustainability and resiliency planning
initiatives
• Achieve tactical alignment of land use, infrastructure and
preservation plans, resources, programs, policies and investment
decisions
• Convey a clear investment message regarding local and regional
land use priorities for both the public and private sectors
7. Basic Eligibility
• Qualified Incentive Area
• Priority Area
• Mega Project*
• Garden State Growth Zone
• Urban Transit Hub
• Distressed Municipality
Bonus Incentives
• Deep Poverty Pocket
• Transit Oriented Development
• Mixed Use Development
• …many others
Location-Based Incentives – Overview
8. Qualified Incentive Area - $500
• Planning Area 1 (Metropolitan)
Location-Based Incentives – Base Eligibility
9. Qualified Incentive Area - $500
• Planning Area 1 (Metropolitan)
• Planning Area 2 (Suburban)
Location-Based Incentives – Base Eligibility
10. Qualified Incentive Area - $500
• Planning Area 1 (Metropolitan)
• Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
Location-Based Incentives – Base Eligibility
11. Qualified Incentive Area - $500
• Planning Area 1 (Metropolitan)
• Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
Location-Based Incentives – Base Eligibility
12. Qualified Incentive Area - $500
• Planning Area 1 (Metropolitan)
• Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
• Port District
Location-Based Incentives – Base Eligibility
13. Qualified Incentive Area - $500
• Planning Area 1 (Metropolitan)
• Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
• Port District
• Highlands Planning Area
Location-Based Incentives – Base Eligibility
14. Qualified Incentive Area - $500
• Planning Area 1 (Metropolitan)
• Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
• Port District
• Highlands Planning Area
Location-Based Incentives – Base Eligibility
15. Qualified Incentive Area - $500
• Planning Area 1 (Metropolitan)
• Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
• Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
Location-Based Incentives – Base Eligibility
Areas determined to be in need of
redevelopment or rehabilitation
(Local Redevelopment & Housing Law)
16. Qualified Incentive Area - $500
• Planning Area 1 (Metropolitan)
• Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
• Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
• Designated Center
Location-Based Incentives – Base Eligibility
17. Qualified Incentive Area - $500
• Planning Area 1 (Metropolitan)
• Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
• Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
• Designated Center
Location-Based Incentives – Base Eligibility
About 70% of the county is “qualified.”
Outside of these areas, incentives may
still be available if the property has a
structure, or has ever had a structure.
18. Priority Area - $3,000
Planning Area 1 (Metropolitan)
Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
• Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
• Designated Center
Location-Based Incentives – Base Eligibility
19. Priority Area - $3,000
Planning Area 1 (Metropolitan)
Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
• Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
• Designated Center
Location-Based Incentives – Base Eligibility
20. Priority Area - $3,000
Planning Area 1 (Metropolitan)
Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
• Designated Center
Location-Based Incentives – Base Eligibility
21. Location-Based Incentives – Base Eligibility
Priority Area - $3,000
Planning Area 1 (Metropolitan)
Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
Designated Center
22. Location-Based Incentives – Base Eligibility
Priority Area - $3,000
Planning Area 1 (Metropolitan)
Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
Designated Center
Deep Poverty Pocket
Census tract with at least 20% of the
population below the poverty level
23. Priority Area - $3,000
Planning Area 1 (Metropolitan)
Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
Designated Center
Deep Poverty Pocket
Location-Based Incentives – Base Eligibility
24. Priority Area - $3,000
Planning Area 1 (Metropolitan)
Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
Designated Center
Deep Poverty Pocket
Transit Oriented Development
Location-Based Incentives – Base Eligibility
Within ½-mile of a public transit station
(NJ Transit, PATH, PATCO)
25. Priority Area - $3,000
Planning Area 1 (Metropolitan)
Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
Designated Center
Deep Poverty Pocket
Transit Oriented Development
Location-Based Incentives – Base Eligibility
Overall, about 50% is “priority” and 20%
is “qualified” at the base level.
28. Location-Based Bonuses
• Deep Poverty Pocket
• $1,500
• Transit Oriented Development
• $2,000
Location-Based Incentives – Bonuses
29. Priority Area - $3,000
Planning Area 1 (Metropolitan)
Planning Area 2 (Suburban)
• Planning Area 3 (Fringe)
Port District
• Highlands Planning Area
• Planning Area 4/4B/5, if:
• Designated Area in Need of
Redevelopment or
Rehabilitation
Designated Center
Deep Poverty Pocket
Transit Oriented Development
Location-Based Incentives – Base Eligibility
Overall, about 50% is “priority” and 20%
is “qualified” at the base level.
30. Location-Based Bonuses
• Deep Poverty Pocket
• $1,500
• Transit Oriented Development
• $2,000
Location-Based Incentives – Bonuses
31. Location-Based Bonuses
• Deep Poverty Pocket
• $1,500
• Transit Oriented Development
• $2,000
• Mixed-Use Development
• $500
Location-Based Incentives – Bonuses
Located in a mixed-use development
with moderate income housing for at
least 20% of full-time employees
32. Location-Based Bonuses
• Deep Poverty Pocket
• $1,500
• Transit Oriented Development
• $2,000
• Mixed-Use Development
• $500
Location-Based Incentives – Bonuses
33. Qualified Incentive Area ($500)
• Planning Area 3 (Fringe)
• Highlands Planning Area
• Designated Area in Need of
Redevelopment/Rehabilitation
Priority Area ($3,000)
• Planning Areas 1 and 2
• Port District
• Designated Center
• Deep Poverty Pocket
• Transit Oriented Development
Location-Based Bonuses
• Mixed-Use Development ($500)
• Deep Poverty Pocket ($1,500)
• Transit Oriented Development ($2,000)
Location-Based Incentives – Summary
34. Smart Growth Perspective
Somerset County
Investment Framework
Focuses investment using asset-based criteria
Built upon updated planning policy framework
Emphasizes regional, interdependent opportunities
NJ Economic Opportunity Act
Broadens incentive eligibility to encourage growth
Uses traditional planning areas combined with
new economic-oriented policy areas
Emphasizes site-level,
project-specific criteria
35. EOA Weighted toward Urban Areas
• EOA incentives extend to areas where open space, farmland and
historic preservation are higher priorities
• EOA = tax incentives whereas CIF & CEDS are comprehensive
• EOA minimum capital investment is favors rehab
CATEGORY MAXIMUM ANNUAL INCENTIVE
Garden State Growth Zone $30 million
Urban Transit Hub $10 million
Distressed Areas $80 million
Versus
Priority Areas $4 million
Other Eligible Areas $2.5 million
CATEGORY MAXIMUM ANNUAL INCENTIVE
Industrial Rehab $20 /sq. ft.
Office Rehab $40 /sq. ft.
Versus
Industrial New $60 /sq. ft.
Office New $120/ sq. ft.
36. FOR MORE INFORMATION, PLEASE CONTACT:
SOMERSET COUNTY PLANNING BOARD
Somerset County Administration Building
20 Grove Street, P.O. Box 3000
Somerville, NJ 08876
Phone: (908) 231-7021
Fax: (908) 707-1749
E-mail: Planningbd@co.somerset.nj.us
http://www.co.somerset.nj.us/planweb/index.htm