[Congressional Record Volume 143, Number 56 (Monday, May 5, 1997)]
[Extensions of Remarks]
[Pages E823-E824]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




       TRIBUTE TO THE HILLSIDE, NJ, URBAN ENTERPRISE ZONE PROGRAM

                                 ______
                                 

                          HON. DONALD M. PAYNE

                             of new jersey

                    in the house of representatives

                         Thursday, May 1, 1997

  Mr. PAYNE. Mr. Speaker, I would like my colleagues here in the U.S. 
House of Representatives to join me in applauding a program that has 
been extremely successful in my district. During its first year of 
implementation, the success of the Hillside, NJ Urban Enterprise Zone 
[UEZ] has exceeded the predictions of even its most ardent supporters.
  The Hillside Urban Enterprise Zone Program has expanded Hillside's 
economic base by giving incentives for businesses to expand or relocate 
their operations. With this expansion and relocation comes the creation 
of new jobs and increased revenue for infrastructure improvements all 
without tax increases.
  Through this program, approximately 107 businesses have been 
recruited to be members of the Hillside UEZ. A direct result has been 
investment commitments totaling over $9 million to be allocated for 
renovations, expansion, and new equipment purchases. Another

[[Page E824]]

positive byproduct has been the creation of over 150 new full-time 
jobs.
  Furthermore, participating businesses also benefit by paying no sales 
tax on most tangible personal property and services and receiving 
credit against corporate business tax. In addition, qualified retail 
businesses may collect sales tax at half rate--3 percent on most 
taxable sales of tangible property. Hillside UEZ has been so successful 
that it has helped to attract at least nine new businesses into 
Hillside since its inception.
  Programs like the Hillside UEZ help areas to raise their own 
infrastructure funds and hence do not rely solely on Federal dollars. 
This project has accumulated over $500,000 through the collection of 
the 3 percent sales tax, and at least 90 percent of these funds will be 
utilized for infrastructure and program improvements within the 
designated UEZ area.
  Mr. Speaker, I am proud to bring this project from my district to the 
attention to the House, and I am sure that my colleagues will join me 
in applauding the accomplishments of the Hillside Urban Enterprise 
Zone.

                          ____________________