New Jersey § 5:10-14

§ 5:10-14.

Notwithstanding the provisions of P.L.1947, c. 71 ( C.40:48-8.15 et seq. ), in the event that the convention hall or halls or convention center project , including the site of a convention hall or convention center project to be constructed, located in any municipality which levies a luxury tax pursuant

to such law, shall be purchased, leased or otherwise acquired by the New Jersey Sports

and Exposition Authority and for so long as the New Jersey Sports and Exposition Authority or the Atlantic City Convention and Visitors

Authority shall be the owner or be responsible for supervision of the operation of the convention

hall or halls or convention center project , and, in any event, for so long as any bonds or notes issued by the New Jersey Sports

and Exposition Authority for the Atlantic City convention center project, or other

obligations or financing arrangements entered into or issued by the New Jersey Sports

and Exposition Authority in connection with the Atlantic City convention center project,

which are payable from, or secured by such luxury taxes, or required to be paid from luxury tax revenues of the municipality remain outstanding: a. Luxury tax revenues on deposit in the luxury tax fund created pursuant to section 5 of P.L.1979,

c. 273 ( C.40:48-8.30 ), shall be remitted promptly during each year, commencing with the year in which P.L.1991, c. 375 is enacted, by the State Treasurer from the luxury tax fund to the New Jersey Sports

and Exposition Authority or the Atlantic City Convention and Visitors Authority or both, as the case may be,

in accordance with the provisions of subsection f. of section 6 of P.L.1971, c. 137

( C.5:10-6 ) . b. No further bonds or other obligations, other than refunding bonds, shall be issued

and no lease shall be entered into, by any public body other than the Atlantic City Convention and Visitors Authority , the payment of which is to be made from or secured by the luxury tax revenues of

the municipality. c. Luxury tax revenues of the municipality which are in excess of the requirements

with respect thereto of , first, the obligations of the New Jersey Sports and Exposition Authority under the bonds, notes, leases, or other financing documents, assignments, agreements

or arrangements issued or entered into to finance or refinance, in whole or in part,

or incurred in connection with, the Atlantic City convention center project, and thereafter,

of the Atlantic City Convention and Visitors Authority, as the case may be, relating to the convention center project shall be applied to the purposes set forth

in , or in accordance with, the provisions of section 25 of P.L.2008, c. 47 ( C.52:27H-41.13 ), as appropriate . d. If the luxury tax of the municipality, including any increase thereof adopted by

the municipality after the enactment of P.L.1991, c. 375 ( C.5:10-14.3 et al.) , shall be pledged to the payment of the bonds , notes , leases, or other financing documents, assignments, agreements or arrangements issued

or entered into by the New Jersey Sports and Exposition Authority or the Atlantic City Convention and Visitors Authority to finance or refinance, in

whole or in part, or incurred by the New Jersey Sports and Exposition Authority or

the Atlantic City Convention and Visitors Authority in connection with, the Atlantic

City convention center project , the municipality shall not repeal the luxury tax, nor reduce the rate of the tax,

nor eliminate from taxation any retail sales that are subject to the tax on the date

of enactment of P.L.1991, c. 375 (C.5:10- 14. 3 et al.), so long as such bonds , notes , leases, or other financing documents, assignments, agreements or arrangements shall remain outstanding. e. As soon as practicable, and to the extent permitted by the terms of the Luxury

Tax Bond Resolution and the bonds, notes, leases, or other financing documents, assignments,

agreements or arrangements issued to finance, or entered into to finance or refinance,

in whole or in part, or incurred in connection with, the Atlantic City convention

center project, and subject to the diligence and reasonable determination provisions

of subsection f. of section 6 of P.L.1971, c. 137 ( C.5:10-6 ), the New Jersey Sports and Exposition Authority shall transfer its ownership interest

or other rights in the Atlantic City convention center project to the Atlantic City

Convention and Visitors Authority, and cease any supervision of the Atlantic City

Convention and Visitors Authority. Upon such transfer, (i) the Atlantic City Convention and Visitors Authority shall

assume all of the powers, rights, assets and duties of the authority with respect

to the Atlantic City convention center project to the extent provided by P.L.2008, c. 47 ( C.52:27H-31.1 et al.), and such powers shall then and thereafter be vested in and shall be exercised

by the Atlantic City Convention and Visitors Authority, and (ii) all debts, liabilities,

obligations and contracts of the authority with respect to the Atlantic City convention

center project, other than any bonds, notes, or other obligations, including any credit

agreement, of the authority issued and outstanding, or then in effect, on the date

of such transfer under the Luxury Tax Bond Resolution, are imposed upon the Atlantic

City Convention and Visitors Authority, and all creditors of the authority and persons

having claims against or contracts with the authority of any kind or character relating

to the Atlantic City convention center project may enforce those debts, claims and

contracts against the Atlantic City Convention and Visitors Authority as successor

to the authority in the same manner as they might have had against the authority,

and the rights and remedies of those holders, creditors and persons having claims

against or contracts with the authority relating to the Atlantic City convention center

project shall not be limited or restricted in any manner by P.L.2008, c. 47 ( C.52:27H-31.1 et al.). All expenses incurred in carrying out the transfer of the Atlantic City convention

center project from the authority to the Atlantic City Convention and Visitors Authority

pursuant to the provisions of P.L.2008, c. 47 ( C.52:27H-31.1 et al.), including expenses incurred to obtain any required consents, approvals,

waivers or non-objections as described in subsection f. of section 6 of P.L.1971,

c. 137 ( C.5:10-6 ), shall be payable solely from luxury tax revenues and other amounts held under the

Luxury Tax Bond Resolution to the extent available to pay such expenses.