New Jersey Administrative Code › Title 19 - OTHER AGENCIES › NEW JERSEY ECONOMIC DEVELOPMENT AUTHORITY › Chapter 31AA - FOOD DESERT RELIEF TAX CREDIT PROGRAM › Subchapter 1 - FOOD DESERT RELIEF TAX CREDIT PROGRAM › Section 19:31AA-1.9 - Reporting requirements and annual report

Current through Register Vol. 56, No. 14, July 15, 2024
(a) An applicant that is approved for an
				  incentive award and that enters an incentive award agreement shall submit
				  annually, commencing in the privilege period for which the incentive award is
				  issued and for the remainder of the commitment period, a report indicating
				  whether the applicant is aware of any condition, event, or act that would cause
				  the applicant or any co-applicant not to be in compliance with the incentive
				  award agreement or the provisions of this subchapter, the Act, and any
				  additional reporting requirements in the incentive award agreement or tax
				  credit certificate. The applicant, or an authorized agent of the applicant,
				  shall certify that the information provided pursuant to this subsection is true
				  and correct pursuant to the penalty of perjury.
(b) The annual report shall consist of:
1. A certification indicating whether the
				  applicant is aware of any condition, event, or act that would cause the
				  applicant or any co-applicant not to be in compliance with the approval, the
				  Act, and the incentive award agreement, including, but not limited to,
				  covenants that relate to the operation of the project and the use of
				  space;
2. A certification
				  indicating that the project does not violate any environmental law
				  requirements, including, but not limited to, the Flood Hazard Area Control Act
				  Rules, N.J.A.C. 7:13;
3. If
				  applicable, for the two years after the first certificate of compliance is
				  issued, evidence that the project remains in compliance with the Authority's
				  affirmative action requirements pursuant to N.J.A.C. 19:31AA-1.13;
4. If applicable, for the two years after the
				  first certificate of compliance is issued, evidence that the project remains in
				  compliance with the Authority's prevailing wage requirements pursuant to
				  N.J.A.C. 19:31AA-1.13;
5. A tax
				  clearance certificate as described at section 1 at
				  N.J.S.A.
				  54:50-39 for the applicant and any
				  co-applicant;
6. A certification
				  from the applicant that the supermarket or grocery store is operating on a
				  full-time basis, which may include, but not be limited to, access to reports
				  from an independent scanning data company;
7. A list of all tenants, sub-tenants, or
				  licensees of the supermarket or grocery store, the gross leasable area leased
				  by each tenant or sub-tenant or occupied by a licensee, and whether the tenant
				  or sub-tenant is operating its business at the premises;
8. Annual financial statements, as certified
				  by a certified public accountant and accompanied by an unqualified opinion,
				  reporting the project's financial performance;
9. If applicable, satisfactory evidence that
				  the applicant complies with the labor harmony agreement requirement pursuant to
				  N.J.A.C. 19:31AA-1.8(d) or as required for the tax credit pursuant to N.J.A.C.
				  19:31AA-1.7(d)1. For a financing gap tax credit award calculated as set forth
				  at N.J.A.C. 19:31AA-1.7(d)1, if the applicant does not provide satisfactory
				  evidence of the executed agreement in effect for the relevant privilege period,
				  the amount of the tax credit specified in the certificate of compliance shall
				  be reduced to an annual amount corresponding to an award pursuant to N.J.A.C.
				  19:31AA-1.7(d)2;
10. For a tax
				  credit that has been awarded before the completion of construction of the
				  supermarket or grocery store, the first annual report shall include the
				  permanent certificate of occupancy covering the entire project;
11. A floor plan identifying the actual uses
				  of the supermarket or grocery store for each quarter of the relevant privilege
				  period, including square footage for any alcoholic beverages and products
				  related to the consumption of such beverages, all retail space (for example,
				  planogram), and the retail space dedicated to fresh and/or frozen fruit and
				  vegetables. The calculation of the square footage of uses shall be determined
				  as the average of the quarterly floor plans for the period;
12. A copy of a permit from the Supplemental
				  Nutrition Assistance Program (SNAP) and an executed vendor agreement from the
				  Special Supplemental Nutrition Program for Women, Infants, and Children (WIC),
				  unless an application for SNAP or WIC retailer authorization is pending
				  pursuant to N.J.A.C. 19:31AA-1.8(g);
13. If the Authority approval included a
				  co-applicant, a certification that the participation agreement between the
				  applicant and the co-applicant remains in effect and is not in default and that
				  the co-applicant is making the contribution(s) required pursuant to the
				  participation agreement;
14.
				  Evidence satisfactory to the Authority of the listening session required
				  pursuant to N.J.A.C. 19:31AA-1.3(a)7iv, including, but not limited to,
				  providing a copy of the notice of the listening session and the minutes of such
				  listening session;
15. For a
				  financing gap tax credit, the annual report shall additionally include, for the
				  third year of the eligibility period, verification of the applicant's projected
				  cash flow;
16. For an initial
				  operating cost tax credit:
i. The annual
				  financial statement shall include initial operating costs for the relevant
				  privilege period and an income statement in a form satisfactory to the
				  Authority that indicates the initial operating shortfall; and
ii. Evidence of continued financing
				  approvals, including the submittal of executed financing commitments;
				  and
17. In conducting its
				  annual review, the Authority may require an applicant to submit any information
				  determined by the Authority to be necessary and relevant to its
				  review.