Proposes constitutional amendment to require State reimbursement to municipalities for total property tax exemption provided to veterans having permanent and total service-connected disabilities.

SCR 108 proposes a constitutional amendment requiring New Jersey to reimburse municipalities annually for lost property tax revenue when veterans with permanent and total service-connected disabilities receive full property tax exemptions. Currently, these veterans qualify for 100% tax exemptions on their properties, but municipalities bear the full cost of this lost revenue, shifting tax burdens to other property owners. The amendment would mandate state payments to municipalities equal to the total property taxes that would have been collected from exempt properties, with municipalities then reimbursing counties, school districts, and other local taxing entities for their share. This change aims to address the current system where local governments absorb costs from tax exemptions without state compensation. The bill requires voter approval through a constitutional amendment process.