New Jersey Businesses Eligible for $10M Healthy Food Credit

New Jersey food and beverage companies will be eligible to bid on $10 million in corporate and insurance premium tax credits on September 18, 2023. Announced by the New Jersey Economic Development Authority (“NJEDA”), the goal of the auction is to fund programs aimed at addressing food insecurities throughout the state by promoting affordable access to healthy options. 

The auction’s proceeds will target New Jersey’s top 50 food desert communities (“FDCs”) as rated by the NJEDA. A food desert is defined as a residential area with few affordable or easy access to healthy or nutritional food options. 

Interested and eligible organizations can bid for these credits at a 15% discount during the online auction on the NJEDA’s website from September 18, 2023, at 10:00 a.m. (EST) to October 18, 2023, at 5:00 p.m. (EST). The NJEDA offers a sample form and additional details of the auction to help business leaders prepare. The full list of eligibility requirements can be found on the NJEA’s website. 

The auction is open to all industries, not just those in the food industry. Eligible bidders must be New Jersey Corporation Business Tax or Insurance Premiums Tax filers. Bids start at $500,000 in tax credits. This initiative is part of the state’s larger $240 million program, the Food Desert Relief Act, which is aimed at combatting food insecurity by attracting and strengthening supermarkets and food suppliers in FDCs. Of that $240 million, $50 million was proposed to be auctioned off. 

“The NJEDA is committed to fighting food insecurity, and this tax credit auction will help raise funds for programs that will help ensure fresh, healthy and affordable food is accessible and available in every community across the state,” said NJEDA Chief Executive Officer Tim Sullivan.  

If prospective bidders have any questions on the program or auction process, they can contact the NJEDA by September 5, 2023, at 5:00 p.m. (EST) to which they will post all answers on their website by September 11, 2023, at 5:00 p.m. (EST).