Sponsored by:
Assemblyman ALEX SAUICKIE
District 12 (Burlington, Middlesex, Monmouth and Ocean)
 
 
 
 
SYNOPSIS
Prohibits municipal agency from approving applications for development of certain warehouses unless certificate of need is issued by Office of Local Planning Services in DCA.
 
CURRENT VERSION OF TEXT
As introduced.
An Act requiring certificates of need for certain warehouse developments and supplementing P.L.1975, c.291 (C.40:55D-1 et seq.) and P.L.1966, c.293 (C.52:27D-1 et seq.).
 
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
 
1. a. As used in this section:
Warehouse means a building greater than 100,000 square feet that stores cargo, goods, or products of any type on a short-term or long-term basis for later distribution to wholesale or retail customers, and includes, but is not limited to, a distribution center, flex-warehouse, or any other type of warehouse.
b. A municipal agency shall not approve an application for development to construct or expand a warehouse unless the Office of Local Planning Services in the Department of Community Affairs has issued a certificate of need for the project, pursuant to section 2 of P.L. , c. (C. ) (pending before the Legislature as this bill). A developer shall notify, in a form and manner determined by the Office of Local Planning Services, a municipal agency of the developers intent to submit an application for development to construct or expand a warehouse prior to applying for a certificate of need. A developer shall secure a certificate of need prior to submitting the application for development and shall include it with that application.
 
2. a. As used in this section:
Warehouse means a building greater than 100,000 square feet that stores cargo, goods, or products of any type on a short-term or long-term basis for later distribution to wholesale or retail customers, and includes, but is not limited to, a distribution center, flex-warehouse, or any other type of warehouse.
b. The Office of Local Planning Services in the Department of Community Affairs shall adopt rules and regulations pursuant to the Administrative Procedure Act, P.L.1968, c.410 (C.52:14B-1 et seq.), to effectuate the purposes of P.L. , c. (C. ) (pending before the Legislature as this bill) by establishing standards and criteria meriting the issuance of a certificate of need for a proposed warehouse project, including a requirement that the developer provide proof prior to development that:
(1) at least 90 percent of the proposed warehouse space is leased, or otherwise committed to active warehouse use, if the warehouse is to house multiple businesses; or
(2) 100 percent of the proposed warehouse space is leased, or otherwise committed to active warehouse use, if the warehouse is to house a single business.
 
3. This act shall take effect immediately.
STATEMENT
 
This bill prohibits a municipal agency from approving an application for development to construct or expand a warehouse, as defined in the bill, unless the Office of Local Planning Services (office) in the Department of Community Affairs has issued a certificate of need for the project, pursuant to the bill. A developer is to notify, in a form and manner determined by the office, a municipal agency of the developers intent to submit an application for development to construct or expand a warehouse prior to applying for a certificate of need. A developer is to secure a certificate of need prior to submitting the application for development and is to include it with that application.
The office is required to adopt rules and regulations to effectuate the purposes of the bill by establishing standards and criteria meriting the issuance of a certificate of need for a proposed warehouse project, including a requirement that the developer provide proof prior to development that: at least 90 percent of the proposed warehouse space is leased, or otherwise committed to active warehouse use, if the warehouse is to house multiple businesses; or 100 percent of the proposed warehouse space is leased, or otherwise committed to active warehouse use, if the warehouse is to house a single business.
There are many large warehouses across this State that have been vacant for years, oftentimes located in close proximity to one another, creating a cycle of ruinous competition. This bills intent is to ensure that new warehouses are guaranteed to be occupied with businesses, demonstrating the communitys need for the warehouse.