S3649

SENATE, No. 3649

STATE OF NEW JERSEY

219th LEGISLATURE

 

INTRODUCED APRIL 19, 2021

 


 

Sponsored by:

Senator   HOLLY T. SCHEPISI

District 39 (Bergen and Passaic)

 

 

 

 

SYNOPSIS

        Requires COAH to administer affordable housing obligations of municipalities based on Statewide obligation.

 

CURRENT VERSION OF TEXT

        As introduced.

   


An Act requiring COAH to administer the affordable housing obligations of municipalities based on a statewide obligation and amending and repealing various parts of the statutory law.

 

        Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

        1.       Section 2 of P.L.1985, c.222 (C.52:27D-302) is amended to read as follows:

        2.       The Legislature finds that:

        a.         The New Jersey Supreme Court, through its rulings in South Burlington County NAACP v. Mount Laurel, 67 N.J. 151 (1975) and South Burlington County NAACP v. Mount Laurel, 92 N.J. 158 (1983), has determined that every municipality in a growth area has a constitutional obligation to provide through its land use regulations a realistic opportunity for a fair share of its region's present and prospective needs for housing for low and moderate income families.

        b.       In the second Mount Laurel ruling, the Supreme Court stated that the determination of the methods for satisfying this constitutional obligation "is better left to the Legislature," that the court has "always preferred legislative to judicial action in their field," and that the judicial role in upholding the Mount Laurel doctrine "could decrease as a result of legislative and executive action."

        c.         The interest of all citizens, including low and moderate income families in need of affordable housing, and the needs of the workforce, would be best served by a comprehensive planning and implementation response to this constitutional obligation.

        d.       There are a number of essential ingredients to a comprehensive planning and implementation response, including the establishment of reasonable fair share housing guidelines and standards, the [initial] determination of fair share by officials at the [municipal] State level [and the] , municipal preparation of a municipal housing element, State review of the [local fair share study and] housing element and formation of a plan to achieve the municipal fair share, and continuous State funding for low and moderate income housing to replace the federal housing subsidy programs which have been almost completely eliminated.

        e.         The State can maximize the number of low and moderate income units provided in New Jersey by allowing its municipalities to adopt appropriate phasing schedules for meeting their fair share, so long as the municipalities permit a timely achievement of an appropriate fair share of the [regional] need for low and moderate income housing as required by the Mt. Laurel I and II opinions and other relevant court decisions.

        f.         The State can also maximize the number of low and moderate income units by creating new affordable housing and by rehabilitating existing, but substandard, housing in the State.   Because the Legislature has determined, pursuant to P.L.2008, c.46 (C.52:27D-329.1 et al.), that it is no longer appropriate or in harmony with the Mount Laurel doctrine to permit the transfer of the fair share obligations among municipalities within a housing region, it is necessary and appropriate to create a new program to create new affordable housing and to foster the rehabilitation of existing, but substandard, housing.

        g.       Since the urban areas are vitally important to the State, construction, conversion and rehabilitation of housing in our urban centers should be encouraged.   However, the provision of housing in urban areas must be balanced with the need to provide housing throughout the State for the free mobility of citizens.

        h.       The Supreme Court of New Jersey in its Mount Laurel decisions demands that municipal land use regulations affirmatively afford a reasonable opportunity for a variety and choice of housing including low and moderate cost housing, to meet the needs of people desiring to live there.   While provision for the actual construction of that housing by municipalities is not required, they are encouraged but not mandated to expend their own resources to help provide low and moderate income housing.

        i.         Certain amendments to the enabling act of the Council on Affordable Housing are necessary to provide guidance to the council to ensure consistency with the legislative intent, while at the same time clarifying the limitations of the council in its rulemaking.   Although the court has remarked in several decisions that the Legislature has granted the council considerable deference in its rulemaking, the Legislature retains its power and obligation to clarify and amend the enabling act from which the council derives its rulemaking power, from time to time, in order to better guide the council.

        j.         The Legislature finds that the use of regional contribution agreements, which permits municipalities to transfer a certain portion of their fair share housing obligation outside of the municipal borders, should no longer be utilized as a mechanism for the creation of affordable housing by the council.

(cf: P.L.2008, c.46, s.4)

 

        2.       Section 4 of P.L.1985, c.222 (C.52:27D-304) is amended to read as follows:

        4.       As used in P.L.1985, c.222 (C.52:27D-301 et al.):

        a.         "Council" means the Council on Affordable Housing established in P.L.1985, c.222 (C.52:27D-301 et al.), which shall have primary jurisdiction for the administration of housing obligations in accordance with sound regional planning considerations in this State, and any successor body, temporary or otherwise, that obtains such primary jurisdiction.

        b.       "Housing region" means a geographic area of not less than two nor more than four contiguous, whole counties which exhibit significant social, economic and income similarities, and which constitute to the greatest extent practicable the primary metropolitan statistical areas as last defined by the United States Census Bureau prior to the effective date of P.L.1985, c.222 (C.52:27D-301 et al.).

        c.         "Low income housing" means housing affordable according to federal Department of Housing and Urban Development or other recognized standards for home ownership and rental costs and occupied or reserved for occupancy by households with a gross household income equal to 50 percent or less of the median gross household income for households of the same size within the housing region in which the housing is located.

        d.       "Moderate income housing" means housing affordable according to federal Department of Housing and Urban Development or other recognized standards for home ownership and rental costs and occupied or reserved for occupancy by households with a gross household income equal to more than [50%] 50 percent but less than 80 percent of the median gross household income for households of the same size within the housing region in which the housing is located.

        e.         ["Resolution of participation" means a resolution adopted by a municipality in which the municipality chooses to prepare a fair share plan and housing element in accordance with P.L.1985, c.222 (C.52:27D-301 et al.).] (Deleted by amendment, P.L.       , c.       ) (pending before the Legislature as this bill)

        f.         "Inclusionary development" means a residential housing development in which a substantial percentage of the housing