Bill to Extend Deadline for "Permit Extension Act of 2008" Passes
Monday, January 11, 2010

MEMORANDUM

TO: Members of the New Jersey General Assembly

FROM: Christina M. Genovese, Director, Government Relations

RE: A-4347 (Greenwald/Malone)

DATE: January 11, 2010

The Chamber of Commerce Southern New Jersey supports A-4347 (Greenwald/Malone), which would extend the expiration date of certain permits pursuant to "Permit Extension Act of 2008." This bill would extend the expiration date to December 31, 2012, rather than July 1, 2010 as provided in current law, which will provide continued relief to builders and developers that do business in New Jersey.

The construction industry is key to job growth. When the "Permit Extension Act of 2008" was signed into law, unemployment was 5.5% in New Jersey. Today, that number has nearly doubled to more than 10%. Extending permits an additional two years would aid in saving thousands of direct and indirect construction jobs in New Jersey and hold harmless current projects struggling to move forward.

According to the most recent New Jersey Department of Labor and Workforce Development unemployment information, New Jersey lost 10,900 private-sector jobs in November, bringing the total number of job losses for the fall to more than 27,000, and 88,000 for the year. The construction subsector alone lost 2,800 jobs in November.

The proposed expiration extension of the Permit Extension Act will save both time and money and, most importantly, give builders a reason to remain in New Jersey during a harsh economic climate. Additionally, once a permit expires, the costly and time consuming permit renewal process makes it impractical to start the permitting process again. In comparison, states such as Pennsylvania have a less costly and more effective system, making it more appealing for builders to do business across the river.

The Chamber strongly believes that the passage of A-4347 (Greenwald/Malone) will send a message that New Jersey is serious about the promotion of economic growth opportunities as the state continues to struggle in tough economic times.

For these reasons, we ask that you vote “yes” on A-4347 (Greenwald/Malone).