New Jersey § 54:4-2

§ 54:4-2.

After completion of the review of the assessments of State property, the director

shall compute the State's liability for in lieu tax payments in each municipality

affected. The in lieu payment shall be calculated by applying the effective local purpose

tax rate of the municipality for the tax year 1977 and thereafter to the aggregate

amount of State property, as defined in section 1, 1 in the municipality and the sum of such calculations shall constitute the State's

liability; provided, however, the State shall have no liability to any one municipality

when the sum of its liability is less than $1,000.00, and no municipality shall receive

an in lieu payment from the State greater than an amount equal to 35% of the local

purpose tax levy, which for the purposes of this act shall include revenues which

are used for municipal purposes and derived from tax abated properties, for the year

for which the calculations are made; provided, however, that in any calendar year

no municipality which receives or is entitled to receive any extraordinary payment

for municipal services and in lieu of taxes under P.L.1977, c. 137 shall receive less

under this act than the amount that it received under said P.L.1977, c. 137. 1

N.J.S.A. § 54:4-2.2a.