Requires State reimbursement to municipalities of cost of disabled veterans' total property tax exemption.

This bill requires the State of New Jersey to annually reimburse municipalities for the full cost of exempting disabled veterans' property from local property taxes. It directly affects all New Jersey municipalities that provide this exemption under existing law (P.L.1948, c.259). The key mechanism mandates the state pay each municipality 102% of the total tax value of disabled veterans' exemptions, covering both lost revenue and administrative costs. Municipalities must certify exemption numbers and amounts by June 1 each year, and the state will fund this through the existing property tax system. This replaces the current practice where municipalities alone absorbed these costs, which sometimes led to higher taxes for other residents or reduced services.