Translate
Facebook
Twitter
Instagram
LinkedIn
Soundcloud
MEDIA CONTACT
Press Release
February 10, 2021
2 minute read

NJEDA Board Approves Implementation of GROW NJ Accommodations to Address COVID-19 Impacts


TRENTON, N.J. (February 10, 2021) – The New Jersey Economic Development Authority (NJEDA) Board of Directors today approved the implementation of new accommodations for businesses that had previously been approved for Grow New Jersey (Grow NJ) awards. These accommodations were created by the Economic Recovery Act of 2020 (ERA), signed by Governor Phil Murphy on January 7, 2021, which amended the Grow NJ Act to provide flexibility to businesses that had been impacted by the changed economic and health circumstances due to the COVID-19 Health Emergency.

“Businesses of all sizes have endured innumerable challenges caused by the COVID-19 outbreak. Governor Murphy’s holistic, proactive response has addressed many of those challenges, but businesses still need flexibility to adapt to the new circumstances the pandemic has created,” said NJEDA Chief Executive Officer Tim Sullivan. “Providing businesses that were approved for Grow NJ tax credits that have had to adjust their plans to comply with public health guidance some additional flexibility will enable them to follow through on their commitments to New Jersey’s workers and communities without jeopardizing the incentives for which they were approved.”

The amendments to Grow NJ included in the ERAinclude:

  • A business may choose to waive its obligations under the incentive agreement for the 2020 and 2021 tax periods and instead extend the incentive agreement by a corresponding period of time.
  • A business may terminate its Grow New Jersey agreement due to the COVID-19 pandemic any time before December 31, 2022 without the NJEDA recapturing previously distributed tax credits.
  • A business may amend its Grow NJ agreement to reset its employment requirements starting with 2020 provided the incentive award is recalculated and reduced to reflect the lower employment.

To verify that companies requesting to terminate their Grow NJ awards under the new COVID-related provision are doing so due to the COVID-19 public health emergency, NJEDA staff will require the applicant to submit an explanation of the impact of the public health emergency. Additionally, for all these new ERA provisions, the CEO or an equivalent officer must certify that no events of default have occurred prior to EO 103 (Health Emergency) in March 2020 and that the facility that was approved for tax credits remains operational. Fees for these amendments will follow existing Grow NJ program regulations.

Applicants seeking additional information about the Grow NJ modifications should contact NJEDA Customer Care at CustomerCare@njeda.com.

About the New Jersey Economic Development Authority

The New Jersey Economic Development Authority (NJEDA) serves as the State’s principal agency for driving economic growth. The NJEDA is committed to making New Jersey a national model for inclusive and sustainable economic development by focusing on key strategies to help build strong and dynamic communities, create good jobs for New Jersey residents, and provide pathways to a stronger and fairer economy. Through partnerships with a diverse range of stakeholders, the NJEDA creates and implements initiatives to enhance the economic vitality and quality of life in the State and strengthen New Jersey’s long-term economic competitiveness.

To learn more about NJEDA resources for businesses call NJEDA Customer Care at 609-858-6767 or visit https://www.njeda.com and follow @NewJerseyEDA on FacebookTwitter, Instagram, and LinkedIn.

###

SHARE

Related Content

Press Release

August 8, 2022

CSIT Awards Nearly $4 Million to 45 NJ Startups Through Catalyst and Clean Tech Seed Grant Programs

TRENTON, N.J. (August 8, 2022) – The New Jersey Commission on Science, Innovation, and Technology (CSIT) today announced that it has awarded... 

Press Release

August 5, 2022

NJEDA Opens New Jersey Corporate Tax Credit Auction to Fuel New Jersey Innovation Evergreen Fund

Trenton, N.J. – The NJEDA today announced that it has launched the next phase in the creation of New Jersey Innovation Evergreen Fund (NJIEF) by opening the first of up to five annual New Jersey Corporate Tax Credit Auctions to fuel the fund.

Press Release

July 26, 2022

Notice of Meeting Cancellation - CCRC Special Board Meeting

Please be advised that the Special Board Meeting of The Capital City Redevelopment Corporation (CCRC) scheduled for Thursday, July 28, 2022 is hereby cancelled. The next regularly scheduled meeting is Tuesday, August 16, 2022 at 11:00am.