What are the Urban Enterprise Zones (UEZ) in New Jersey?

Urban Enterprise Zone Program (UEZ)

According to the State of NJ, “The UEZ Program exists to foster an economic climate that revitalizes designated urban communities and stimulates their growth by encouraging businesses to develop and create private sector jobs through public and private investment.”

New Jersey’s UEZ program was established in 1983 by the Department of Commerce. It was created to foster economic development via business incentives and tax breaks to businesses in one of the 32 participating jurisdictions.

Currently, over 6700 businesses are UEZ certified.

Businesses that participate in the UEZ program benefit as follows:

• charge half the state-wide tax rate (approximately 3.3%)
• have tax-free purchases on capital equipment, facility expansions, and upgrades.
• Business owners receive tax credits for hiring certain employees along with breaks on unemployment insurance tax benefits.
• There is also a loan program to help new businesses get up off the ground.

Where are the Urban Enterprise Zones (UEZ) in New Jersey?

The following cities participate in the State’s UEZ program.

Not all businesses in each city participate in the UEZ.

How to register a new business with the UEZ Program in NJ?

A business is not permitted to claim the tax benefits available under the UEZ program until the UEZ Authority certifies it as a qualified business.

Create/access your NJ Premier Business Services (PBS) account (step-by-step instructions).

Are Urban Enterprise Zone (UEZ) Policies Effective?

According to a study by Rutgers University, “The short answer is the findings remain “inconclusive.” It seems that enterprise zones create no or few jobs in the short run.^[1] More specifically, studies of New Jersey’s first UEZs find no discernible impact on economic development.” ^[2],[3]