By Joshua Burd
The state has released its highly anticipated guidelines for each municipality’s affordable housing obligations, following the adoption of a law earlier this year that sought to streamline the complex, often controversial process that has vexed policymakers for decades.
The nonbinding calculations, unveiled Friday by the New Jersey Department of Community Affairs, identify a current deficit of 65,410 low- and moderate-income units and the need for another 84,698 homes in the next 10 years. That includes totals for each of New Jersey’s 564 municipalities — drawn from a host of local, state and federal data sources and impacted by several key variables — which the agency will look to pair with a new dispute resolution program managed by the state judiciary.
Each town’s total and the state’s methodology can be found here. The framework, which DCA developed under a law that Gov. Phil Murphy signed in late March, applies to the fourth round of requirements under state Supreme Court’s landmark Mount Laurel doctrine that has guided New Jersey’s affordable housing policy for some five decades.
“The calculations help address New Jersey’s housing shortage by equipping municipalities with clear numbers so they can better plan on how to provide affordable housing options in their communities,” DCA Commissioner Jacquelyn A. Suárez said. “The new law provides a unique opportunity to develop ‘missing middle’ housing — options like townhouses, duplexes and other types of multifamily units that bridge the gap between single-family homes and large apartment complexes, offering the diverse housing choices that New Jersey families desire and need.”
The release comes a month after nine towns sued to block the new law, A4, arguing it imposes excessive mandates without fully considering local conditions and resources. It was the latest salvo from municipalities that have pushed back against affordable housing requirements in recent years, even as governing bodies, developers and other stakeholders have settled disputes under the third round of Mount Laurel and the Fair Housing Act.
Still, the DCA on Friday said it hoped to provide local leaders and builders with more certainty, which enables smarter planning around where housing should be built. That includes details on how municipalities may receive “bonus credits” that allow affordable housing units to be credited as one and a half or two units in certain circumstances, as it looks to incentivize age-restricted housing, units set aside for individuals with special needs and other location or purpose-specific projects such as building near mass transit.
The law limits bonus credit units to 25 percent of a municipality’s prospective need, DCA said. It also establishes related parameters for how much of a town or city’s responsibilities must be satisfied through housing available to families with children and rental housing.
Meantime, DCA said it will support municipalities by appointing housing liaisons to streamline affordable housing efforts, helping cities meet their obligations, utilize affordable housing trust funds and track project completion.
“I am grateful to the New Jersey Department of Community Affairs for their timeliness in calculating this data and their partnership in advancing our shared goal of expanding access to affordable housing,” Murphy said. “We look forward to seeing this law implemented and benefiting families across the Garden State.”
Despite the litigation filed in early September, the new affordable housing law has enjoyed broad support from developers and policy organizations focused on smart growth.
“Today, the starting pistol for good planning went off with a bang,” Peter Kasabach, executive director of New Jersey Future, said Friday. “The affordable housing guidance numbers published by the NJ Department of Community Affairs is the signal for municipalities to focus and accelerate good planning that not only meets their affordable housing obligations but creates the opportunity to plan and redevelop their community in a thoughtful and smart way.
“Everyone in New Jersey deserves an affordable place to live — in a safe, vibrant neighborhood where schools, groceries and jobs are conveniently within reach, with less driving, and with parks and green spaces nearby. By identifying prime locations for new homes, local officials can also meet their Mount Laurel obligations in ways that strengthen their community for current residents and new neighbors alike.”
DCA noted that it would continue to invest in affordable housing production, adding that future Affordable Housing Trust Fund dollars will be prioritized for municipal obligations. It also plans to direct future monies from the National Housing Trust Fund and the HOME Investment Partnerships Program toward projects serving vulnerable populations, including veterans, survivors of domestic violence and individuals with special needs.
Murphy signs landmark affordable housing bill, creating new framework for development