The mistake dates back to 2006 when the state sales tax increased from 6 to 7 percent.
The Treasury Department says half of the increase was supposed to go property tax relief. But the state wrongly directed half to tax relief and half to the enterprise zones.
Municipal officials are angry that the state reclaimed the money in a lump sum because redevelopment projects were in the works.
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Information from: The Press of Atlantic City, http://www.pressofatlanticcity.com
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