ELIGIBILITY

The Brownfields Redevelopment Incentive covers specific costs associated with brownfield remediation and redevelopment. Eligible costs include those associated with investigation and remediation of environmental contamination and building and structural remedial activities.

Tax credits will be awarded through a competitive application process to ensure the best projects receive State support. The NJEDA will partner with the NJ Department of Environmental Protection (NJDEP) to create evaluation criteria for competitive application process. To receive tax credits through the program, the developer must demonstrate that a financing gap exists.

To receive tax credits through the Brownfields Redevelopment Incentive Program, a project must

• Be a brownfield.
• Receive a letter of support from the governing body.
• Demonstrate the project is not economically feasible without the tax credit award. 
• Prove that a project financing gap exists, and the tax credit being considered for the project is equal or less than the project financing gap.
• Meet prevailing wage requirements for all remediation and construction work for the redevelopment project and subsequent redevelopment project, if applicable, including 10 years for building services.
• Not have started remediation activities by the developer / affiliates (other than environmental assessment and investigation activities) unless the applicant certifies that they could not have reasonably known the full extent of contamination prior to starting the cleanup. Prior environmental assessment and investigation up to 24 months prior to application may be eligible for inclusion in the program.
• Demonstrate that remediation costs are reasonable and appropriate. DEP will review the proposed costs to determine if the costs are eligible for the program and complete a cost reasonableness determination prior to EDA board approval. 
• Be in good standing with NJ Department of Environmental Protection, NJ Department of Labor and Workforce Development, and NJ Department of the Treasury
• Have a developer equity contribution of 20% of total cost of remediation (10% in Government Restricted Municipalities and Qualified Incentive Tracts)
• Have site access to perform the remediation
• Meet Green Remediation/Green Building Standards

Additional notes on eligibility:

• Cannabis Businesses are not eligible.
• The redevelopment project can be a remediation-only project.
• Parties that caused or contributed to site contamination are not eligible for the program.  
• The applicant must not be in any way “liable” or “responsible” for the discharge of hazardous substances at the site.
• Projects that received a reimbursement through the former Brownfield Contaminated Site Reimbursement Program are not eligible.

Please be advised: New Jersey State law prohibits most cannabis license and certification holders from receiving or continuing to receive an economic incentive from the NJEDA. If the applicant, or any person who controls the applicant or owns or controls more than one percent of the stock of the applicant, has applied for or received a license or a certification from the New Jersey Cannabis Regulatory Commission (NJ-CRC), the applicant is ineligible for this program and should not proceed with an application. If an application is received from an applicant that meets this criteria, the application will be declined and the application fee will not be refunded.