[First Reprint] SENATE, No. 1991 STATE OF NEW JERSEY 221st LEGISLATURE PRE-FILED FOR INTRODUCTION IN THE 2024 SESSION [First Reprint] SENATE, No. 1991 STATE OF NEW JERSEY 221st LEGISLATURE PRE-FILED FOR INTRODUCTION IN THE 2024 SESSION Sponsored by: Senator VIN GOPAL District 11 (Monmouth) SYNOPSIS Establishes timeframe for adoption of, and requires public comment on, proposed annual economic benefits for certain solid waste facilities; authorizes residents to petition State to establish or adjust annual economic benefit. CURRENT VERSION OF TEXT As reported by the Senate Environment and Energy Committee on March 17, 2025, with amendments. Sponsored by: Senator VIN GOPAL District 11 (Monmouth) SYNOPSIS Establishes timeframe for adoption of, and requires public comment on, proposed annual economic benefits for certain solid waste facilities; authorizes residents to petition State to establish or adjust annual economic benefit. CURRENT VERSION OF TEXT As reported by the Senate Environment and Energy Committee on March 17, 2025, with amendments. An Act concerning host community benefit agreements for certain solid waste facilities, and amending P.L.1975, c.326 and P.L.1987, c.449. Be It Enacted by the Senate and General Assembly of the State of New Jersey: 1. Section 19 of P.L.1975, c.326 (C.13:1E-28) is amended to read as follows: 19. a. Any municipality within which a sanitary landfill facility is located pursuant to an adopted and approved district solid waste management plan shall be entitled to an annual economic benefit not less than the equivalent of $1.00 per ton of solids on all solid waste accepted for disposal at the sanitary landfill facility during the previous calendar year, as determined by the department. The owner or operator of the sanitary landfill facility shall annually pay to the relevant municipality the full amount due under this subsection, and each relevant municipality [is] shall be empowered to anticipate this amount for the purposes of preparing its annual budget. For the purposes of calculating the payments, the owner or operator of the sanitary landfill facility may, subject to the prior agreement of the relevant municipality and the approval of the Department of Environmental Protection, provide the municipality with any of the following benefits in consideration for the use of land within its municipal boundaries as the location of a sanitary landfill facility: (1) The receipt of annual sums of money in lieu of taxes on the land used for the sanitary landfill facility; (2) The exemption from all fees and charges for the disposal of solid waste generated within its boundaries; (3) The receipt of a lump sum cash payment; or (4) Any combination thereof. b. (Deleted by amendment, P.L.1994, c.27). c. Every owner or operator of a sanitary landfill facility required to make annual payments to a municipality pursuant to subsection a. of this section may petition the Department of Environmental Protection for an increase in its tariff which reflects these payments. The department, [within] not more than 60 days [of] after the receipt of the petition, shall issue an appropriate order stating that these payments shall be passed along to the users of the sanitary landfill facility as an automatic surcharge on any tariff filed with, and recorded by, the department for the solid waste disposal operations of the facility. d. In issuing any order required by subsection c. of this section, the Department of Environmental Protection shall be exempt from the provisions of R.S.48:2-21. e. Not more than 10 days after commencing negotiations pursuant to subsection a. of this section in association with the 1[adoption] payment1 of 1[a host community] an annual economic1 benefit 1[agreement]1, the municipality shall provide written notice to the department of the date on which negotiations were commenced. f. Negotiations undertaken pursuant to subsection a. of this section shall be completed not more than 180 days after being commenced. If negotiations cannot be completed within the timeframe specified by this subsection, the parties may jointly apply to the department for an extension of up to 180 days to complete the negotiations. The joint application shall identify the reasons why negotiations were not completed within the initial 180-day timeframe required by this subsection. The department shall approve an application for extension, submitted pursuant to this subsection, provided that there is no reasonable basis for the commissioner to believe that the municipality or sanitary landfill facility are acting in bad faith with respect to the negotiations. Notice of an extension authorized pursuant to this subsection shall be posted on the Internet websites of the department and the municipality not later than 10 days after the extension is granted. g. Not more than 10 days after negotiations are completed pursuant to subsection f. of this section, and before the proposed 1[host community] annual economic1 benefit 1[agreement]1 is submitted to the department for approval pursuant to subsection a. of this section, the municipality shall publish the proposed 1[host community] annual economic1 benefit 1[agreement]1 on its Internet website and provide a minimum 45-day period for public comment on the proposed 1[agreement] annual economic benefit1. Not more than 45 days after the public comment period is closed, the municipality and sanitary landfill facility shall consider the comments received and incorporate changes to the proposed 1[host community] annual economic1 benefit 1[agreement]1, in accordance with those comments, as is deemed by the parties to be appropriate. Upon submission of the proposed 1[agreement] annual economic benefit1 to the department for approval, pursuant to subsection a. of this section, the municipality shall also transmit the public comments to the department for consideration. h. If a request for extension, submitted pursuant to subsection f. of this section, is denied by the department on the basis of bad faith negotiations undertaken by either party, or if the parties otherwise cannot agree on the terms of the 1[host community] annual economic1 benefit 1[agreement]1 within the initial and extended timeframes provided by subsection f. of this section, the department shall issue an order establishing 1[a host community] an annual economic1 benefit in the municipality, as the commissioner deems appropriate. When establishing the 1[host community] annual economic1 benefit, the commissioner shall consider, and shall incorporate to the greatest extent possible, consistent with the other provisions of the order, any terms on which the parties were able to reach agreement during the course of negotiations. i. A resident of a municipality within which a sanitary landfill facility is located may petition the department for an order establishing or adjusting 1[a host community] an annual economic1 benefit pursuant to this section. The petition shall be presented in a form and manner prescribed by the department and shall: (1) indicate the level of benefit that the petitioner believes should be imposed; (2) include supporting information and documentation explaining why the proposed level of benefit is both reasonable and necessary; and (3) include any other information required by the department. The department shall issue a decision on the petition no later than 180 days after receipt thereof. (cf: P.L.1994, c.27, s.1) 2. Section 2 of P.L.1987, c.449 (C.13:1E-28.1) is amended to read as follows: 2. a. Any municipality within which a transfer station is located pursuant to an adopted and approved district solid waste management plan shall be entitled to an annual economic benefit to be paid or adjusted not less than quarterly in an amount established by agreement with the owner or operator of the transfer station or by order of the Board of Public Utilities, but not less than the equivalent of $0.50 per ton of all solid waste accepted for transfer at the transfer station during the 1987 calendar year and each year thereafter. The owner or operator of the transfer station shall, not less frequently than quarterly, pay to the relevant municipality the full amount due under this subsection, and each relevant municipality [is] shall be empowered to anticipate this amount for the purposes of preparing its annual budget. For the purposes of calculating the payments, the owner or operator of the transfer station may, subject to the prior agreement of the relevant municipality and the approval of the Board of Public Utilities, provide the municipality with any of the following benefits in consideration for the use of land within its municipal boundaries as the location of a transfer station: (1) The receipt of quarterly payments of annual sums of money in lieu of taxes on the land used for the transfer station; (2) The exemption from all fees and charges for the acceptance for transfer of solid waste generated within its boundaries; (3) The receipt of quarterly lump sum cash payments; or (4) Any combination thereof. b. Every owner or operator of a transfer station required to make payments not less frequently than quarterly to a municipality pursuant to subsection a. of this section may petition the Board of Public Utilities for an increase in its tariff which reflects these payments. The board, [within] not more than 60 days [of] after the receipt of the petition, shall issue an order that these payments shall be passed along to the users of the transfer station as an automatic surcharge on any tariff filed with, and recorded by, the board for the solid waste disposal operations of the transfer station. c. In issuing any order required by subsection b. of this section, the Board of Public Utilities shall be exempt from the provisions of R.S.48:2-21. d. Not more than 10 days after commencing negotiations pursuant to subsection a. of this section in association with the 1[adoption] payment1 of 1[a host community] an annual economic1 benefit 1[agreement]1, the municipality shall provide written notice to the Board of Public Utilities of the date on which negotiations were commenced. e. Negotiations undertaken pursuant to subsection a. of this section shall be completed not more than 180 days after being commenced. If negotiations cannot be completed within the timeframe specified by this subsection, the parties may jointly apply to the board for an extension of up to 180 days to complete the negotiations. The joint application shall identify the reasons why negotiations were not completed within the initial 180-day timeframe required by this subsection. The board shall approve an application for extension, which is submitted pursuant to this subsection, provided that there is no reasonable basis for the board to believe that the municipality or transfer station are acting in bad faith with respect to the negotiations. Notice of an extension authorized pursuant to this subsection shall be posted on the Internet websites of the board and the municipality no later than 10 days after the extension is granted. f. Not more than 10 days after negotiations are completed pursuant to subsection e. of this section, and before the proposed 1[host community] annual economic1 benefit 1[agreement]1 is submitted to the board for approval pursuant to subsection a. of this section, the municipality shall publish the proposed 1[host community] annual economic1 benefit 1[agreement]1 on its Internet website and provide a minimum 45-day period for public comment on the proposed 1[agreement] annual economic benefit1. Not more than 45 days after the public comment period is closed, the municipality and transfer station shall consider the comments received and incorporate changes to the proposed 1[host community] annual economic1 benefit 1[agreement]1, in accordance with those comments, as is deemed by the parties to be appropriate. Upon submission of the proposed 1[agreement] annual economic benefit1 to the board for approval, the municipality shall also transmit the public comments to the board for consideration. g. If a request for extension, submitted pursuant subsection e. of this section, is denied by the board on the basis of bad faith negotiations undertaken by either party, or if the parties otherwise cannot agree on the terms of the 1[host community] annual economic1 benefit 1[agreement]1 within the initial and extended timeframes specified by subsection e. of this section, the board shall issue an order establishing 1[a host community] an annual economic1 benefit in the municipality, as it deems appropriate. When establishing the 1[host community] annual economic1 benefit, the board shall consider, and shall incorporate to the greatest extent possible, consistent with the other provisions of the order, any terms on which the parties were able to reach agreement during the course of negotiations. h. A resident of a municipality within which a transfer station is located may petition the board for an order establishing or adjusting 1[a host community] an annual economic1 benefit pursuant to this section. The petition shall be presented in a form and manner prescribed by the board and shall: (1) indicate the level of benefit that the petitioner believes should be imposed; (2) include supporting information and documentation explaining why the proposed level of benefit is both reasonable and necessary; and (3) include any other information required by the board. The board shall issue a decision on the petition no later than 180 days after receipt thereof. (cf: P.L.1991, c.381, s.40) 3. This act shall take effect immediately. An Act concerning host community benefit agreements for certain solid waste facilities, and amending P.L.1975, c.326 and P.L.1987, c.449. Be It Enacted by the Senate and General Assembly of the State of New Jersey: 1. Section 19 of P.L.1975, c.326 (C.13:1E-28) is amended to read as follows: 19. a. Any municipality within which a sanitary landfill facility is located pursuant to an adopted and approved district solid waste management plan shall be entitled to an annual economic benefit not less than the equivalent of $1.00 per ton of solids on all solid waste accepted for disposal at the sanitary landfill facility during the previous calendar year, as determined by the department. The owner or operator of the sanitary landfill facility shall annually pay to the relevant municipality the full amount due under this subsection, and each relevant municipality [is] shall be empowered to anticipate this amount for the purposes of preparing its annual budget. For the purposes of calculating the payments, the owner or operator of the sanitary landfill facility may, subject to the prior agreement of the relevant municipality and the approval of the Department of Environmental Protection, provide the municipality with any of the following benefits in consideration for the use of land within its municipal boundaries as the location of a sanitary landfill facility: (1) The receipt of annual sums of money in lieu of taxes on the land used for the sanitary landfill facility; (2) The exemption from all fees and charges for the disposal of solid waste generated within its boundaries; (3) The receipt of a lump sum cash payment; or (4) Any combination thereof. b. (Deleted by amendment, P.L.1994, c.27). c. Every owner or operator of a sanitary landfill facility required to make annual payments to a municipality pursuant to subsection a. of this section may petition the Department of Environmental Protection for an increase in its tariff which reflects these payments. The department, [within] not more than 60 days [of] after the receipt of the petition, shall issue an appropriate order stating that these payments shall be passed along to the users of the sanitary landfill facility as an automatic surcharge on any tariff filed with, and recorded by, the department for the solid waste disposal operations of the facility. d. In issuing any order required by subsection c. of this section, the Department of Environmental Protection shall be exempt from the provisions of R.S.48:2-21. e. Not more than 10 days after commencing negotiations pursuant to subsection a. of this section in association with the 1[adoption] payment1 of 1[a host community] an annual economic1 benefit 1[agreement]1, the municipality shall provide written notice to the department of the date on which negotiations were commenced. f. Negotiations undertaken pursuant to subsection a. of this section shall be completed not more than 180 days after being commenced. If negotiations cannot be completed within the timeframe specified by this subsection, the parties may jointly apply to the department for an extension of up to 180 days to complete the negotiations. The joint application shall identify the reasons why negotiations were not completed within the initial 180-day timeframe required by this subsection. The department shall approve an application for extension, submitted pursuant to this subsection, provided that there is no reasonable basis for the commissioner to believe that the municipality or sanitary landfill facility are acting in bad faith with respect to the negotiations. Notice of an extension authorized pursuant to this subsection shall be posted on the Internet websites of the department and the municipality not later than 10 days after the extension is granted. g. Not more than 10 days after negotiations are completed pursuant to subsection f. of this section, and before the proposed 1[host community] annual economic1 benefit 1[agreement]1 is submitted to the department for approval pursuant to subsection a. of this section, the municipality shall publish the proposed 1[host community] annual economic1 benefit 1[agreement]1 on its Internet website and provide a minimum 45-day period for public comment on the proposed 1[agreement] annual economic benefit1. Not more than 45 days after the public comment period is closed, the municipality and sanitary landfill facility shall consider the comments received and incorporate changes to the proposed 1[host community] annual economic1 benefit 1[agreement]1, in accordance with those comments, as is deemed by the parties to be appropriate. Upon submission of the proposed 1[agreement] annual economic benefit1 to the department for approval, pursuant to subsection a. of this section, the municipality shall also transmit the public comments to the department for consideration. h. If a request for extension, submitted pursuant to subsection f. of this section, is denied by the department on the basis of bad faith negotiations undertaken by either party, or if the parties otherwise cannot agree on the terms of the 1[host community] annual economic1 benefit 1[agreement]1 within the initial and extended timeframes provided by subsection f. of this section, the department shall issue an order establishing 1[a host community] an annual economic1 benefit in the municipality, as the commissioner deems appropriate. When establishing the 1[host community] annual economic1 benefit, the commissioner shall consider, and shall incorporate to the greatest extent possible, consistent with the other provisions of the order, any terms on which the parties were able to reach agreement during the course of negotiations. i. A resident of a municipality within which a sanitary landfill facility is located may petition the department for an order establishing or adjusting 1[a host community] an annual economic1 benefit pursuant to this section. The petition shall be presented in a form and manner prescribed by the department and shall: (1) indicate the level of benefit that the petitioner believes should be imposed; (2) include supporting information and documentation explaining why the proposed level of benefit is both reasonable and necessary; and (3) include any other information required by the department. The department shall issue a decision on the petition no later than 180 days after receipt thereof. (cf: P.L.1994, c.27, s.1) 2. Section 2 of P.L.1987, c.449 (C.13:1E-28.1) is amended to read as follows: 2. a. Any municipality within which a transfer station is located pursuant to an adopted and approved district solid waste management plan shall be entitled to an annual economic benefit to be paid or adjusted not less than quarterly in an amount established by agreement with the owner or operator of the transfer station or by order of the Board of Public Utilities, but not less than the equivalent of $0.50 per ton of all solid waste accepted for transfer at the transfer station during the 1987 calendar year and each year thereafter. The owner or operator of the transfer station shall, not less frequently than quarterly, pay to the relevant municipality the full amount due under this subsection, and each relevant municipality [is] shall be empowered to anticipate this amount for the purposes of preparing its annual budget. For the purposes of calculating the payments, the owner or operator of the transfer station may, subject to the prior agreement of the relevant municipality and the approval of the Board of Public Utilities, provide the municipality with any of the following benefits in consideration for the use of land within its municipal boundaries as the location of a transfer station: (1) The receipt of quarterly payments of annual sums of money in lieu of taxes on the land used for the transfer station; (2) The exemption from all fees and charges for the acceptance for transfer of solid waste generated within its boundaries; (3) The receipt of quarterly lump sum cash payments; or (4) Any combination thereof. b. Every owner or operator of a transfer station required to make payments not less frequently than quarterly to a municipality pursuant to subsection a. of this section may petition the Board of Public Utilities for an increase in its tariff which reflects these payments. The board, [within] not more than 60 days [of] after the receipt of the petition, shall issue an order that these payments shall be passed along to the users of the transfer station as an automatic surcharge on any tariff filed with, and recorded by, the board for the solid waste disposal operations of the transfer station. c. In issuing any order required by subsection b. of this section, the Board of Public Utilities shall be exempt from the provisions of R.S.48:2-21. d. Not more than 10 days after commencing negotiations pursuant to subsection a. of this section in association with the 1[adoption] payment1 of 1[a host community] an annual economic1 benefit 1[agreement]1, the municipality shall provide written notice to the Board of Public Utilities of the date on which negotiations were commenced. e. Negotiations undertaken pursuant to subsection a. of this section shall be completed not more than 180 days after being commenced. If negotiations cannot be completed within the timeframe specified by this subsection, the parties may jointly apply to the board for an extension of up to 180 days to complete the negotiations. The joint application shall identify the reasons why negotiations were not completed within the initial 180-day timeframe required by this subsection. The board shall approve an application for extension, which is submitted pursuant to this subsection, provided that there is no reasonable basis for the board to believe that the municipality or transfer station are acting in bad faith with respect to the negotiations. Notice of an extension authorized pursuant to this subsection shall be posted on the Internet websites of the board and the municipality no later than 10 days after the extension is granted. f. Not more than 10 days after negotiations are completed pursuant to subsection e. of this section, and before the proposed 1[host community] annual economic1 benefit 1[agreement]1 is submitted to the board for approval pursuant to subsection a. of this section, the municipality shall publish the proposed 1[host community] annual economic1 benefit 1[agreement]1 on its Internet website and provide a minimum 45-day period for public comment on the proposed 1[agreement] annual economic benefit1. Not more than 45 days after the public comment period is closed, the municipality and transfer station shall consider the comments received and incorporate changes to the proposed 1[host community] annual economic1 benefit 1[agreement]1, in accordance with those comments, as is deemed by the parties to be appropriate. Upon submission of the proposed 1[agreement] annual economic benefit1 to the board for approval, the municipality shall also transmit the public comments to the board for consideration. g. If a request for extension, submitted pursuant subsection e. of this section, is denied by the board on the basis of bad faith negotiations undertaken by either party, or if the parties otherwise cannot agree on the terms of the 1[host community] annual economic1 benefit 1[agreement]1 within the initial and extended timeframes specified by subsection e. of this section, the board shall issue an order establishing 1[a host community] an annual economic1 benefit in the municipality, as it deems appropriate. When establishing the 1[host community] annual economic1 benefit, the board shall consider, and shall incorporate to the greatest extent possible, consistent with the other provisions of the order, any terms on which the parties were able to reach agreement during the course of negotiations. h. A resident of a municipality within which a transfer station is located may petition the board for an order establishing or adjusting 1[a host community] an annual economic1 benefit pursuant to this section. The petition shall be presented in a form and manner prescribed by the board and shall: (1) indicate the level of benefit that the petitioner believes should be imposed; (2) include supporting information and documentation explaining why the proposed level of benefit is both reasonable and necessary; and (3) include any other information required by the board. The board shall issue a decision on the petition no later than 180 days after receipt thereof. (cf: P.L.1991, c.381, s.40) 3. This act shall take effect immediately.