By Joshua Burd
State lawmakers are hoping to create new housing in New Jersey with an incentive-based approach, unveiling a bill that would boost aid to municipalities that update their zoning to allow for higher-density residential development.
The bill, A4913, would offer what Assembly Democrats described as a wide set of parameters for towns and cities to address the shortage of available homes in their communities. Under the proposal, local planning boards could consider changes such as allowing accessory dwelling units, permitting two- and three-family homes in single-family zones, reducing parking and lot size requirements and allowing development of a multi-unit dwelling or a mixed-use development on lots zoned exclusively for office, retail or commercial uses.
Assembly Speaker Craig J. Coughlin and Assemblywoman Shanique Speight are sponsoring the legislation, which advanced in the chamber’s housing committee on Monday by a 7-0 vote.
“This bill strikes a critical balance, expanding housing opportunities while ensuring towns have the resources to support that growth,” said Coughlin, who is based in Middlesex County. “We enacted landmark legislation, A4, last spring that will spur the construction of thousands of new homes throughout the state. Now, we must ensure that our towns have the tools they need to move forward. The construction of additional housing would help stabilize the cost of housing.”
According to a news release, those municipalities that make zoning updates to allow for more housing would receive funding priority from the Department of Community Affairs. That could come in many forms, Assembly Democrats said, including additional options such as allowing manufactured homes, mixed-use developments, and higher-density housing near transit stops.
The bill would also call for DCA to provide model ordinance templates to help municipalities incorporate those housing strategies into their local zoning codes. Notably, the program would be voluntary, allowing governing bodies to decide what strategies work best for their communities.
“In the past, increasing housing density often meant straining schools, infrastructure and local services,” said Speight, whose district includes Essex and Hudson counties. “This legislation would change that by giving municipalities the resources they need to expand housing — ensuring the necessary investments follow. By providing incentives to municipalities, we are encouraging local leaders to adopt zoning policies that will open doors for more New Jersey residents, because everyone deserves an opportunity to settle down.”
A4913 would also affect the allocation of funding from the Department of Transportation and the Department of Education, the news release said. Municipalities that add housing would receive priority for transportation grants, while school districts in participating municipalities can raise their state aid percentage for school construction projects from 40 percent to 50 percent.
According to the lawmakers, the incentives provided through the bill would help address the primary concerns municipalities have regarding the rising costs of infrastructure and education when increasing housing density. The bill would offer a balanced approach to addressing the housing crisis, they said, encouraging smart growth and middle-density housing without removing any zoning powers from local governments.