Sep-24-07 DCA Announces New Partnership to Help Revitalize NJ Communities
TRENTON, N.J. – Highlighting the state’s commitment to revitalizing neighborhoods, the New Jersey Department of Community Affairs (DCA) and Public Service Enterprise Group (PSEG) today announced a new partnership that will support four local nonprofit community development programs.
“At DCA, we are in the business of rebuilding our state one neighborhood at a time,” said Acting Commissioner Charles A. Richman. “The Neighborhood Revitalization Tax Credit Program gives businesses and nonprofits the resources they need to work together to build strong relationships and invest in their communities – now and into the future.”
As a participant in DCA’s Neighborhood Revitalization Tax Credit (NRTC) Program, PSEG will provide funds for a new child care center in Elizabeth, conversion of a former hat factory into new commercial and residential space in Orange, and construction of environmentally-friendly housing and educational buildings in Newark.
PSEG and its subsidiary, Public Service Electric and Gas Company (PSE&G), have committed to a total of $2 million to the NRTC Program – $1 million from PSEG and $1 million from PSE&G. This marks the largest business investment in the program to date. For its investment, the company will receive a 100 percent state tax credit against business-related income.
“As New Jersey’s largest and oldest utility, PSE&G has played a key role in the development of our state’s largest cities for more than 100 years,” said Ralph LaRossa, PSE&G president and COO. “We’re pleased to fund projects that will improve the quality of life for children and families, as well as create new business and employment opportunities in our urban centers.”
The investments by PSEG and PSE&G will support the community development efforts of four New Jersey nonprofits. Approved by DCA, each of the following nonprofits had a neighborhood plan in the area PSE&G serves, and will receive $500,000 in funding for a specific project within its plan:
- HANDS (Housing and Neighborhood Development Services) – Orange, NJ Conversion of the Berg Hat Factory into 70,000 square feet of commercial and residential space.
- Elizabeth Development Company of New Jersey – Elizabeth, NJ
Construction of a two-story building with a 20,000 square-foot child care center at the Elizabethport Presbyterian Center.
- Lincoln Park Coastal Cultural District, Inc. – Newark, NJ
Construction of the Washington Street and Crawford Street Condominiums, which will consist of 13 green units.
- La Casa de Don Pedro, Inc. – Newark, NJ
Lower Broadway Economic Development Initiative, which includes reconstruction of three buildings with 18,000 square feet of space that can be used for retail, adult education, preschool, and administration of weatherization and payment assistance programs.
The Neighborhood Revitalization Tax Credit was developed in 2002 to provide tax credit incentives to businesses that contribute to the community development efforts of participating 501(c)(3) organizations. Funds are distributed by DCA and can be used by nonprofits for a variety of projects, including affordable housing, economic development, workforce development, open space, social services, business assistance and other activities that promote neighborhood revitalization.
The 100 percent tax credit is available to businesses that invest between $25,000 and $1 million per year. A total of $10 million per year is available in state tax credits to businesses participating in the program, generating up to $10 million for nonprofit organizations.
For more information about DCA’s NRTC Program, visit www.nj.gov/dca/dcr/nrtc/.
Public Service Enterprise Group Incorporated (PSEG) (NYSE:PEG) is a diversified energy company headquartered in Newark, N.J. Its subsidiary, Public Service Electric and Gas Company (PSE&G), is New Jersey’s oldest and largest regulated gas and electric delivery utility, serving nearly three-quarters of the state’s population. PSE&G is the winner of the ReliabilityOne National Achievement Award for superior electric system reliability.