Modifies procedures for determination and payment of fair market value in distressed municipalities; concerns real property that is abandoned, vacant, or subject to unpaid taxes.

The distress score threshold for a municipality to be classified as 'distressed' was lowered from 50 to 45, making more municipalities eligible to use the eminent domain and purchase powers granted by the bill.

A new provision states that once a municipality receives a distress score of 45 or greater, it is considered distressed for three years even if its score falls below 45 during that period, preventing loss of eligibility due to short-term score fluctuations.

A new section requires a distressed municipality to publish notice in its official newspaper or on its website and send certified mail notice to the owner of record within 10 days before exercising eminent domain. Notice must also be sent to mortgagees and servicing organizations, and if the owner is unknown, notice must be posted on the property itself.

A new challenge process allows an owner or lienholder to appeal a vacancy or abandonment determination to the municipality within 30 days of receiving certified notice (or 40 days from the date sent). Unknown owners have 40 days from publication or posting. The property is presumed vacant or abandoned unless the owner submits an affidavit or certification demonstrating remediation or intent to remediate.

A new provision states that if within 30 days of receiving notice the owner has remediated the conditions causing the vacancy/abandonment finding, or if the municipality in good faith determines the owner has taken action indicative of intent to remediate, the property shall not be considered vacant or abandoned.

A new subsection clarifies that nothing in the bill supersedes or limits summary mortgage foreclosure actions on vacant and abandoned properties under P.L. 2012, c.70 or the New Jersey Foreclosure Fairness Act, preserving existing foreclosure remedies alongside the new eminent domain pathway.