This bill establishes a framework for New Jersey municipalities to enhance housing development opportunities and qualify for preferential State funding. It empowers municipal governing bodies to direct planning boards to conduct special reexaminations of their master plans and development regulations. The planning boards are tasked with reviewing existing regulations related to residential development and recommending changes, which may include strategies such as permitting accessory dwelling units, reducing parking requirements, and allowing higher density housing near transit stops. Municipalities that adopt these changes will receive preferential treatment when applying for State grants and financial assistance.

Furthermore, the bill amends existing laws to provide increased funding preferences for school districts in municipalities that implement the proposed housing strategies. Specifically, it allows for a potential increase of up to 10 percent in the district aid percentage for school facilities projects if the municipality has adopted housing strategies that increase the number of permitted housing units. The Department of Community Affairs is required to develop rules and regulations to implement these provisions, while the Commissioner of Education and the Commissioner of Community Affairs will create a methodology to determine the aid percentage increase based on the additional housing units permitted. Overall, the legislation aims to incentivize municipalities to enhance their housing development potential and improve funding opportunities through State aid.

Statutes affected:
Introduced: 18A:7G-9, 18A:7G-15