New Jersey S3310 caps the State's use of energy tax revenues and ensures the balance is paid annually as municipal aid.

New Jersey S3310 amends the allocation of energy tax revenues between the State and its municipalities. The bill caps the State's use of energy tax revenues at $403 million per year, the amount retained in fiscal year 1998. Any excess revenue must be distributed annually to municipalities to provide enhanced property tax relief. This change aims to correct past practices where municipalities were underfunded when energy-sector tax collections grew.

New Jersey S3310 caps the State's use of energy tax revenues and ensures the balance is paid annually as municipal aid.

New Jersey S3310 amends the allocation of energy tax revenues between the State and its municipalities. The bill caps the State's use of energy tax revenues at $403 million per year, the amount retained in fiscal year 1998. Any excess revenue must be distributed annually to municipalities to provide enhanced property tax relief. This change aims to correct past practices where municipalities were underfunded when energy-sector tax collections grew.