New Jersey 2026-2027 Regular Session

New Jersey Assembly Bill A2638

Introduced
1/13/26  

Caption

Provides assistance to business accelerators and incubators and startup businesses located within those business accelerators and incubators.

Impact

The bill has significant implications for state laws regarding business development and economic growth initiatives. It extends corporation business tax credits and gross income tax credits for accelerator and incubator businesses involved in the program, allowing them to claim 15 percent of their operating expenses as credits. By making these financial incentives available for seven years, the bill aims to bolster the startup ecosystem in New Jersey, thus potentially leading to increased job creation and economic diversification. Such measures are geared towards making the state more attractive for emerging technology firms and innovative startups.

Summary

Assembly Bill A2638 aims to provide support and assistance to business accelerators and incubators, along with startup businesses located within those establishments in New Jersey. The bill requires the New Jersey Economic Development Authority (EDA) to establish the 'Startup Businesses in Business Incubators Development Program', which will offer financial aid and support to qualified businesses. The EDA will match funding provided by research institutions for participating accelerator businesses and incubators, emphasizing a partnership model to promote innovation and growth in targeted sectors.

Contention

Notable points of contention surrounding Bill A2638 may include concerns about the effectiveness of government-funded programs and the long-term sustainability of the financial assistance provided. Critics may argue whether the proposed financial incentives sufficiently address the diverse needs of all startups or if they will mainly benefit already established firms with access to private capital. Additionally, discussions may arise regarding the qualification criteria for businesses to receive assistance, which could inadvertently favor certain types of startups over others, leading to a debate about equity and fairness in the distribution of resources.

Companion Bills

NJ S126

Carry Over Provides assistance to business accelerators and incubators and startup businesses located within those business accelerators and incubators.

NJ A1315

Carry Over Provides assistance to business accelerators and incubators and startup businesses located within those business accelerators and incubators.

Similar Bills

MS SB2653

Mississippi IT Optimization Act; enact.

KS SB51

House Substitute for SB 51 by Committee on Legislative Modernization - Authorizing the chief information security officer to receive audit reports, updating statutes related to services provided by the chief information technology officer and authorizing the office of information technology services to provide certain services to political subdivisions and hospitals.

NJ A838

Requires State agencies to develop and submit information technology strategic plan.

AZ HB2700

Technology study committee; assistive technology

NJ S1298

Provides that fusion energy and fusion technology companies are eligible to receive benefits under certain economic incentive programs.

MS HB1724

Statewide Information Technology Optimization Program; create for coordinated efforts across agencies.

KS HB2270

Authorizing the chief information security officer to receive audit reports and updating statutes related to services provided by the chief information technology officer.

CA SB1079

Department of Forestry and Fire Protection: Fire Innovation Unit.