TRENTON, NJ – A new bill introduced in the New Jersey Senate would require owners of decommissioned nuclear power plants to continue making annual community service payments to their host municipalities, even after the facilities are no longer operational.
Senate Bill 1560, sponsored by Senator Carmen F. Amato Jr. (R–Ocean), aims to prevent local tax bases from collapsing when nuclear facilities are shut down but still house spent nuclear fuel that cannot be removed. The legislation was pre-filed for introduction in the 2026 session.
Under the measure, once a nuclear power plant is decommissioned and removed from property tax rolls, its owner must make an annual payment to the municipality in lieu of property taxes. The payment would equal the last full year’s municipal and school district property tax bill before shutdown, increasing by 2 percent annually. Payments would be due each year on August 1 and continue as long as spent nuclear fuel remains stored on-site.
The bill acknowledges that decommissioned nuclear sites create long-term economic burdens for surrounding communities because federal authorities have not yet established a permanent disposal site for nuclear waste. As a result, spent fuel remains stored for decades at shuttered facilities, leaving towns with unusable land and no tax revenue.
Municipalities would retain their portion of the payment and forward the remainder to local school districts within five business days. Once the spent nuclear fuel is safely removed, the facility would again become subject to standard property taxation under state law.
- Bill requires decommissioned nuclear plants to pay annual fees in lieu of taxes
- Payments equal last full year’s taxes, increasing 2% each year
- Funds split between municipalities and local school districts