Urgent Update - Time Sensitive
Why affordable housing?
New Legislation would have a significant impact
on Lacey Township affordable housing numbers.
Senate Bill 50 & Assembly Bill 4
In December 2023, new Legislation was proposed to the members of the State Assembly and Senate that would alter the way in which affordable housing is administered in New Jersey.
After an unsuccessful attempt to push the Bill through at the end of the 2023 Legislative Session, the measures were reintroduced in a slightly amended form for the 2024 session. It still appears to be on a fast-track to adoption. As this new legislation would have a significant impact on affordable housing in Lacey Township, this news alert was prepared by the township’s professionals to give a brief overview of this complex situation, to highlight potential areas of concern, and to provide more resources for our residents.
The intended purpose of this proposed legislation is to address ongoing issues with the current administration of affordable housing in the state. While an administrative process through the Council on Affordable Housing (COAH) has been defunct for several years, the current process of dealing with affordable housing through the courts has created its own problems. The legislation, as proposed, neither solves those problems in a municipal friendly manner, nor provides any added safeguards, more efficient processes, or more fair solutions to the development of affordable housing in Lacey Township. Instead, it would result in less certainty and finality, less transparency, less balance, reduced flexibility, and increased litigation costs to the Township.
This Legislation proposes a distinct departure from the manner in which affordable housing has been administered in New Jersey for the last 40 years. Lacey Township has been an active and responsible participant in this framework since first receiving “substantive certification” of our Housing Element and Fair Share Plan in 2012 and has continued to act in a manner which is fair, transparent, and in compliance with all applicable rules and laws since that time, even after the Courts assumed jurisdiction over affordable housing matters in 2015.
Some of the substantive changes proposed in the Legislation are as listed below. Detailed explanations and consequences of these points are provided later in this document.
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Weakening of municipal immunity from zoning lawsuits.
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Accepted affordable housing numbers are subject to change, even after acceptance.
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Unequal representation in the decision-making bodies among housing advocates, municipalities, and political parties.
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A lack of transparency for proposed affordable housing regulations.
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Shifting affordable housing accountability from developers to municipalities.
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Potential for increased litigation costs.
- Reliance on an untested formula to determine affordable housing allowance numbers.
So, what steps can concerned residents take?
Contact your state legislators.
Assemblyman Brian Rumpf (R), 609-693-6700, AsmRumpf@njleg.org
Senator Carmen Amato (R), 609-693-6700, SenAmato@njleg.org
Assemblyman Greg Myhre (R), 609-693-6700, AsmMyhre@njleg.org
It is important that you engage with your state legislators to amend the proposed legislation to address the hardships that are outlined above.
It’s important to note that this legislation, while not yet enacted, is moving quickly. Hearings have already been scheduled and have been held in January and there appears to be an unjustified urgency to act quickly rather than carefully and deliberately. We would encourage all Lacey residents to speak with their elected State representatives and ensure that your collective voices are heard on this time sensitive matter.
Detail on the highlighted changes in this proposed legislation are provided below.
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Weakening of municipal immunity from zoning lawsuits.
By obtaining substantive certification by COAH, and the equivalent Judgment of Repose (JOR) from the Court most recently, the Township was provided with a level of immunity from zoning lawsuits. This immunity applied both during the certification process as well as once certification had been obtained. Under this proposed Legislation however, the level of immunity would be reduced, exposing the Township to costly litigation both during and after the process had taken place.
- Accepted affordable housing numbers are subject to change, even after acceptance.
Under the current legislation, the Township is provided with a clear roadmap for affordable housing numbers and is able to plan accordingly upon receiving certification from COAH or a JOR in the court, Under the proposed Legislation however, the Township would be subject to legal challenges even after plans had been approved and accepted.
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Unequal representation in the decision-making bodies among housing advocates, municipalities, and political parties.
One of the hallmarks of the COAH framework has been the manner in which the entity designed to oversee affordable housing in New Jersey ensures balance between municipalities and affordable housing advocates, as well as between political parties. This proposed legislation removes those guardrails, allowing for one political party to dominate and removing the equal balance of representation between municipalities and affordable housing advocates by transferring the process to a number of retired judges operating in the Judicial system.
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A lack of transparency for proposed affordable housing regulations.
Under the existing COAH framework, an open and transparent process exists that allows for citizens to comment on proposed regulations. This new proposal eliminates that protection, resulting in a decision-making process that is less transparent and limits citizen engagement.
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Shifting affordable housing accountability from developers to the municipalities.
Under the original Fair Housing Act, municipalities that adopt inclusionary ordinances that are approved by COAH are held in compliance, regardless of whether developers decide to build projects that include all the permitted affordable housing units or not. Under the proposed legislation, municipalities would be responsible, and could be subject to litigation, for any circumstances where all the permissible affordable housing units were not built, regardless of the reason.
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Potential for increased litigation costs.
The proposed Bill eliminates many of the safeguards that have been afforded to municipalities that complied with the rules established by COAH to ensure that all parties could proceed in an effective and efficient manner. The removal of these safeguards will result in an increased potential for litigation from involved parties as well as third party entities.
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Reliance on an untested formula to determine affordable housing allowance numbers.
Municipalities are required to use a formula to determine the appropriate number of affordable housing units for their communities. Despite the obvious importance of such a calculation, the formula being proposed in the new Bill has not yet been tested by the Office of Legislative Services, resulting in an unclear and untested mandate being used to determine planning efforts across the state.
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Assigning management of this new effort to an agency that is unable to take on the task.
The Council on Affordable Housing was established with the mandate of bringing together parties on all sides of the discussion to ensure that a fair, transparent, and effective system was in place for the creation of affordable housing in New Jersey. The goal was to ensure that all parties had an equal voice and to establish a clear process and framework, thereby promoting voluntary compliance and reducing costly legal challenges. This proposed Legislation returns the oversight and administration of affordable housing in New Jersey to the judicial branch. This, however, is a task that the Administrative Office of the Courts (AOC) has stated is beyond the jurisdiction and powers of that office and cannot be implemented.
It's important that all residents recognize the significance of this proposed legislation and the potential impact that it could have on affordable housing in Lacey Township for years to come. As such, every member of this community is urged to educate themselves and contact their state legislators to ensure that your voices are heard and the rights of Lacey Township are preserved.
https://legiscan.com/NJ/text/S50/id/2904269
https://legiscan.com/NJ/text/A4/id/2882951