This bill seeks to improve the construction and rehabilitation of affordable housing by implementing a "sweat equity" model, where future residents contribute labor to the building process. It establishes a certification process for nonprofit organizations as "sweat equity certified nonprofits," which must demonstrate experience in housing projects and a commitment to affordability for low- and moderate-income households. The bill also introduces exemptions from certain regulations, such as adaptability requirements and affirmative marketing provisions, for projects utilizing sweat equity, allowing the nonprofits' affordability controls to replace existing standards.

Furthermore, the bill mandates the Commissioner of Community Affairs to create an application process for certifying these nonprofits and to adopt necessary regulations within four months of enactment. It emphasizes the importance of the New Jersey Affordable Housing Trust Fund as a funding source for affordable housing initiatives, including those involving sweat equity. The legislation aims to streamline the development of affordable housing while ensuring accessibility for low- and moderate-income households and facilitating community involvement through labor contributions.

Statutes affected:
Introduced: 52:27D-304, 52:27D-320, 52:27D-123.15