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CRDA > About Us > pages > project-funding
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In addition to other gaming-related taxes, State law gives each casino a choice: pay 2.5% of its gaming revenue to the State, or reinvest 1.25% of its gaming revenues through the CRDA in community and economic development projects in Atlantic City and around the State. Without exception, the casinos have chosen reinvestment.
Under the terms of the reinvestment agreement, each casino is required to pay to the CRDA 1.25% of its annual gaming revenues for 50 years, and the CRDA invests this money in eligible projects in Atlantic City, South Jersey or North Jersey, according to the following chart set by law. By law, the casinos are entitled to a return on their investments through the CRDA.
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Each casino's required
investments by years
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Atlantic City
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South Jersey
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North Jersey
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1 - 3
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100%
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0%
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0%
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4 - 5
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90%
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8%
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2%
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6 - 10
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80%
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12%
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8%
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11 - 15
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50%
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28%
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22%
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16 - 20
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30%
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43%
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27%
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21 - 25
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20%
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45%
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35%
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26 - 30
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65%
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0%
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35%
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31 - 35
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25%
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25%
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50%
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36 - 50
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0%
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50%
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50%
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The law requires each casino to invest all of its first three years of required Atlantic City investments in housing and community development projects. In years 4 through 25, each casino is required to make half of its required Atlantic City investments in housing and community development projects. In years 26-35, each casino is required to invest all of its Atlantic City investment obligations in economic development projects.
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The CRDA makes capital investments through bonds and loans in projects that would not attract capital in normal market conditions. CRDA investment in a project cannot replace public or private capital that would otherwise be invested in the project.
The Authority provides financial assistance for the following types of projects:
- Projects that directly serve pressing social and economic needs of local residents, including but not limited to supermarkets, commercial establishments, daycare centers, youth and senior citizen facilities, parks, and community centers.
- Projects that are part of a comprehensive plan to improve blighted or redevelopment areas
- Public recreation and entertainment facilities, to promote the tourism industry
- Housing
- Public transportation facilities
- Convention centers
- Manufacturing, industrial, commercial, recreational, retail or service facilities
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